22 - Relien of Lien Waiver Request - 239 NE 2nd Street

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Regarding 239 NE 2nd Street, according to LCAD, the value of the property is $2,010.00. The value of the lien's principal is $1,350.30, interest is $5,885.87, for a total value of $7,236.17. All taxes are listed on LCAD as having been paid. We have also learned that Mr. Faber plans to sell the property for approximately $9,000.00, as part of a larger sell of the surrounding three properties, the grand total is about $57k. It is also appropriate to report that Mr. Faber has done a lot of work clearing all of these lots (including 239 NE 2nd Street). For those who can recall, all four lots were heavily wooded. In fact, they had reached the point that we in Code Enforcement could not abate them due to how wooded they were. The work Mr. Faber has done has made all these properties ready for development. The exact amount spent on this is unknown. Mr. Faber is prepared to pay the city to release the lien. The amount is subject to City Council approval, however he is requesting any forgiveness the council is willing to provide. They are attempting to close on all four properties at an unknown future date. Pursuant to City Code 4.03.009, only the City Council can consider waiving a Structure Lien. BUDGET: There is no new expense to the City in this situation to agree to releasing the lien. The principal of the lien is $1,350.30. The accumulated interest is approximately $5,885.87 (as of 4/8/24 — the approximate date we received the request). The total of the lien is therefore $7,236.17. The value of the property is $2,010.00 according to LCAD. There are no delinquent taxes and no other known liens. OPTIONS: The City Manager has developed a process he goes through for considering when (if) to forgive principal and/or interest for Nuisance Liens (liens that he is tasked with reviewing). It is not perfect, but this procedure allows him to remain fairly consistent each time. Given there are so many different factors and scenarios involved with properties all over town, the City Manager attempts to adhere to two goals: 1. Protect the taxpayer dollar — resist forgiving liens (at least the principal) whenever possible given taxpayers had expense in maintaining the property, while 2. Finding a way to get the property in to the hands of someone who will maintain — possibly develop — the property, thus alleviating the taxpayers of having to further maintain the property (note: this has not been an issue in this specific situation primarily because the lot used to be so wooded beyond our ability to abate).