27 - Proposed forgiveness of civil penalties on property located at 1416 W. KaufmanTO: City Council
Gene Anderson, Interim City Manager
FROM: Stephanie H. Harris, City Attorney
SUBJECT: Proposed forgiveness of civil penalties on property located at 1416 W. Kaufman
DATE: January 21, 2020
BACKGROUND: In October of 2012, the Building Standards Commission issued an order of
demolition on the residential structure located at 1416 W. Kaufman and ordering civil penalties in
the amount of $1,000.00 per day if the work was not completed within 30 days. Rather than
demolish the structure, the then -owner sold the property to its current owners who were able to
rehabilitate the structure and make it code compliant. The now -owners completed the work in
December of 2013 and have been residing in the home. As of last week, city code officers were
able to confirm that the structure is still in good condition and code compliant. The owners would
now like to sell the property, but unfortunately, the order for civil penalties is still attached to the
property, and as of January 15, the civil penalties ran to $426,000.00 plus 10% compounding
interest, which is far in excess of the value of the property.
STATUS OF ISSUE: The current owners have asked that the city to forgive the civil penalties
and interest accrued on the property so that they might sell it. The owners bought the property
subj ect to the order, but they rehabilitated a structure that was due to be demolished, thus increasing
the property's taxable value. There is a public purpose in forgiving the civil penalties in that doing
so will allow sale of the property to an owner who can maintain the property and thus contribute
to the well-being of this West Paris neighborhood.
BUDGET: No discernable impact; council would be forgiving well over $500,000.00 in penalties
and interest, but those penalties and interest would be next to impossible to collect given how many
times they exceed the value of the property itself.
RECOMMENDATION: Move to approve a resolution forgiving civil penalties in the amount of
$426,000.00 plus interest on the property located at 1416 W. Kaufman.
UP] 7_\-W
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS
FORGIVING CERTAIN CIVIL PENALTIES ASSESSED AGAINST THE
PROPERTY LOCATED AT 1416 W. KAUFMAN STREET; FINDING A PUBLIC
PURPOSE IN SUPPORT OF SAME; MAKING OTHER FINDINGS AND
PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE
DATE.
WHEREAS, on October 15, 2012, after notice, publication, and hearing as required by
law, the Building and Standards Commission of the City of Paris ordered that a structure be
demolished within thirty days on the property located City Block 2, Lots 12, 13, and 14,
otherwise known as 1416 W. Kaufman Street, and assessed civil penalties should the owner fail
to demolish the structure as ordered, all as authorized by the Code of Ordinances of the City of
Paris, Chapter 7, Article III, Section 7-49; and
WHEREAS, in Order No. DS12-623, dated November 29, 2012 memorializing the order
of said hearing, a copy of which is attached hereto as Exhibit A and incorporated by reference
herein, said civil penalties were assessed in the amount of $1,000.00 per day to begin accruing
on October November 15, 2012 should the owner fail to demolish the structure; and
WHEREAS, the owner having failed to demolish the structure as ordered, on or about
July 19,2013, sold the property and the new owners repaired the structure, completing work in
December of 2013; and
WHEREAS, said owners, having rehabilitated the property, wish to sell same; and
WHEREAS, as of January 15, 2020 civil penalties in the amount of $426,000.00 had
accrued under said order, none of which have been paid; and
WHEREAS, pursuant to Code of Ordinances Chapter 7, Article III, Section 7-49(7), civil
penalties of one thousand dollars ($1,000.00) per day shall accrue interest at the rate of ten
percent (10%) a year from the date of assessment until paid in full; and
WHEREAS, the accrued civil penalties plus interest far exceed the value of the property;
and
WHEREAS, the property has been improved since the purchase and renovation in 2013,
thereby increasing its taxable value; and
WHEREAS, given the above, the City Council finds a public purpose in forgiving the
approximately $426,000.00 in civil penalties and any accrued interest in order to facilitate the
sale of said property, thus keeping it on the tax rolls at the increased taxable value which is
attributable to the current owner's rehabilitating same;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS,
TEXAS, THAT:
Section 1. The findings set out in the preamble to this resolution are hereby in all things
approved.
Section 2. The City Council hereby forgives civil penalties and interest assessed and
accrued against the property located at 1416 W. Kaufman St. by virture of Building and Standards
Commission Order No. DS12-418 in the amount of $426,000.00 plus interest for the public
purpose of facilitating the sale of the property and thus enabling the sale of same and maintaining
taxable value of the property attributable to maintaining an occupied and code compliant
residential structure theron.
Section 3. This resolution shall become effective from and after the date of passage.
PASSED AND APPROVED this 27th day of January, 2020.
Steven J. Clifford, M.D. Mayor
FIN wI:f—�1 AI
Janice Ellis, City Clerk
APPROVED AS TO FORM:
Stephanie H. Harris, City Attorney
Database: 11kYoung--Lamar Year: 2012 Mmment #: 101076 Volume- 2012 page; 101.976001.
Pr 'r
5
ORM NO..DS12623
AN ORDER OF THF_ C11y.0F PARIS, PARIS, TEXAS BUILDING AND STANDARDS
COWMSSION WITH RWARD TO THE AJDATMENT OF THE SUBSTANDARD AM
DANGEROUS STXUCTUREI$ LOCATED AT 1416-W KABbiany PARTS, TEXAS
-
WHEREAS, the BuMfe U0. Standards Commission for tbe City of Paris cm&wtcd a
public hearing on 10/1*2012, vh�Nin tho strucbjmslocated at 1416'W IC n, mom
VarticWorly described as Talk "4-Mbdge Addition DIM& 2,,. Lot 1:241-14, ftrK Texb
(uprVeWl was agenda kM.nwnbw3Q; and
WHEREAS, notice for the public hewing has been Owen;. BW
WHEREAS, based upon the avidonco pmwnmd, the Building- and St ndar& Conmisska
finds ow the prop" is fivvicilatiahofChapta 7. Ardcle M ofthe Code of"Ofinces of the. City
of Paris, Parls, Tom% and
WFMREAS, the Building and Standards Commission finds that the smr.(um is
dilapiddW, subMndar4 dangerous and/or, uafffor human habitatim moccupied-by-dic vwm, or
)vsmc,,qrother invitee, constiades a hmd to tho healthy saft and W&M of the public, is Mmiy
w endanger pe rwmand property,. And. is WoKar6d. ftm umuthwized entry to *0 Ovort that it
could be entered or used by vagranis or othO unhMW Pcrwm 04 d Plate Ofhxt=V Or could be
mored or used by children, to wk
HOLES IN ROOF, MISSING AND ANTEMORATED -WOOD..
WORE
IT IS EMMY 02DERgD SM TEX BUUJ)ING AND
STANDARDS COMUMON, OF TMZ• MY OF PARIS TRAT.4
Tue -P"p" be demolished sad that allz*v* be complaW wItMn 30 days of
the date of this Onter.
U the. work .k not completed WWU the. dw OdW *10 "
above,
thm CUy of P
wM demolish tbamrtciure and as6"s 'for the denielftka aptot. the
, p p" an wbith'the. stnuMm was locaft&,
if the work is not ompleted vvkbb the timle I stated ohms, a civil penally of
t ,
per day plus intereft for each day the work to not emplew Will
be assessed against the property owner, I
I ITOP9 rly shal4 Pursuant to City
The property owner Of A 110hOWr 9(th't .
Ordinance No. 2004-M, flandsh writtem Mof to a C* of Paris Co&
Inspeeter jof'the proper and legal disposal 41 -9 Isaffil of -all moterlds from
You are. -advised that you maty U. to bime a Court drmint
the qatoome of the-de.clelon and order of aft
of -city of Paris Buffelln . g and
Staudstr& Commholon coommiag your.' Orolt@M. You should volitact
your own attorney for too advim and $i b xwtic*, to you is not to bo
I
EXHIE31T A
Database;' JjxYQmng_1amar Year 2012 Instrument#: 18106, Volume: 2012 Page: , 1iP197.6002.
101976-2012 11129/201210-01:04AM FOV,202
taken as 1.0 &dviee to you by the City of PwAs or by any -Of it's
employees or officiah.
you are advised "t pursuant to section 7-51 and . smfiou 7-53 of tht
CW Of PiLts Code of 0Hkance, you have Aght to 4ppeall a degision
and order of ft Uttffftg And StOdard"Orna"m'byfirIng a
(30) eatendar days. after the
petition to a Distrkt Court witWu IbW
:ftsl dr*61 sod ardw of the COMInt"Ien h
date it copy of the ion germed return
penonally dellVelt9d or =9111til by M11AM msils. Lou .51
to you. If s
o appeal h, tskta pgovant to met' 7
recelotrequesUd,. . frm the decision apd.order-of th
oe
f the, Parts Cod? of Ordinances
o
cluntmMen witbiA me required period, the decision and order of the
ComMission b fMal and binding.
ORDF'RE0 TW6,1911 DAY OF OCTOBM 2-01L
ILI
ATMST�
0
114
APPROVED AS TO FORM,
D. LesloCk, ASSL MY AftoFney
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