HomeMy WebLinkAbout- - Approve Special Assessments - 7/20/2010CITY COUNCIL AGENDA REPORT
MEETING DATE: JULY 20, 2010
ITEM NUMBER:
SUBJECT: APPROVE CERTIFICATION OF SPECIAL ASSESSMENTS FOR DELINQUENT CIVIL
FINES FOR MUNICIPAL CODE VIOLATIONS
DATE: JUNE 30, 2010
FROM: FINANCE DEPARTMENT, ADMINISTRATION DIVISION
PRESENTATION BY: BOBBY YOUNG, BUDGET & RESEARCH OFFICER
FOR FURTHER INFORMATION CONTACT
RECOMMENDED ACTION:
1) Hold Public Hearing
COLLEEN O'DONOGHUE, ASSISTANT FINANCE
DIRECTOR, (714)754-5219
2) Adopt Resolution No. entitled "A Resolution of the City Council of the City of Costa
Mesa certifying Special Assessments for Collection of Delinquent Civil Citations for
Municipal Code Violations."
BACKGROUND:
Pursuant to State law, certain delinquent fines, interest, and penalties may be collected as part of
nuisance abatement procedures authorized by Government Code section 38773.5. These procedures
authorize municipalities to levy and collect delinquent Civil Citation fines plus interest and penalties
as a Special Assessment lien against the real property of those so assessed.
Staff has made repeated attempts without success to collect the Civil Citation fines due from the
property owners listed in Attachment 1 entitled "Final County List." There are a total of 55
delinquent civil citations that are recommended to be assessed against 22 properties. The total
amount now delinquent equals $24,865.00.
Each property owner was notified in writing of their rights to a hearing pursuant to Municipal Code
Section 1-45 through Section 1-47 when the citations were initially issued. Also, each property
owner has been advised in writing by certified mail of this hearing and further, that their right to an
administrative hearing and judicial review of the citation issued against them has now expired.
The purpose of the public hearing is to consider a resolution to certify the Special Assessments and
authorize recording such assessments against the respective properties as liens. This action will also
authorize the Tax Collector for the County of Orange to place the assessments on the tax roll and
proceed to collect the assessments as property tax liens against their properties. Should the
assessments be added to the tax roll as liens, penalties and interest will continue to accrue until paid
at the maximum rate allowed by state law.
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Those property owners who so choose may appear before City Council at this public hearing and
contest the amount and/or validity of any lien or assessment for a civil fine.
However, pursuant to Municipal Code Section 1-48(4), such contests shall be limited to the issue of
the amount and/or validity of the lien or assessment (whether the civil citation can legally be added
to the tax roll as a special assessment) and may not consider whether the underlying Code violation
occurred. All administrative hearings and rights of appeal have been exhausted for those parties
listed in Attachment 1.
ANALYSIS:
Pursuant to State law, the City may choose to collect delinquent fines, interest, and penalties as
special assessments against the real property involved. The assessments are limited to property
related violations, wherein the fines exceed $250.00 cumulatively and are at least sixty days past
due. In addition, for those proposed Special Assessments, all administrative hearing or appeal rights
of the cited persons must have been exhausted.
For each of the Civil Citations listed in Attachment 1, the fines plus interest and penalties have not
been paid. The total amount now delinquent equals $24,865.00. Staff has made repeated attempts to
collect the fines without success.
If the resolution is approved, these fine amounts will be levied as Special Assessments against the
properties as listed. Once certified, the fines will be reported to the Orange County Tax Assessor for
inclusion on the property tax bills as Special Assessments.
A Public Hearing is required prior to adoption of the resolution certifying the Special Assessments
to the Orange County Assessor for inclusion on the Tax Roll. Each of the property owners listed in
Attachment 1 have received certified letters notifying them of the proposed Special Assessment
against their property for delinquent Civil Citations and the date and time of the public hearing.
Those property owners who so choose may appear before City Council at this public hearing and
contest the amount and/or validity of any lien or assessment for a civil fine.
However, pursuant to Municipal Code Section 1-48(4), such contests shall be limited to the issue of
the amount and/or validity of the lien or assessment (whether the civil citation can legally be added
to the tax roll as a special assessment) and may not consider whether the underlying Code violation
occurred.
Also, the legal notice advertising the public hearing which is required pursuant to the State Code has
been published in the Daily Pilot.
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ALTERNATIVES CONSIDERED
Council may choose to reject the resolution and direct staff to proceed to collect delinquent civil
citations through the collection agency currently used by the City. However, this would severely
reduce the maximum amount that could be collected by the City. No further alternatives were
considered.
FISCAL REVIEW
By certifying the Special Assessments to the Orange County Assessor for inclusion on the Property
Tax Roll, the City will collect approximately 95% of the total amount due of $24,865.00.
LEGAL REVIEW
The City Attorney has reviewed and approved the attached resolution as to form.
CONCLUSION:
By adopting the attached resolution, the City will be able to collect approximately 95% of the
delinquent receivables for Civil Citations less the County's Property Tax Administrative Fee.
Therefore, adoption of the attached resolution certifying the Special Assessments to the Orange
County Assessor for inclusion on the Property Tax Roll is recommended.
COLLEEN O'DONOGHUE
Assistant Finance Director
KIMBERLY HALL BARLOW
City Attorney
Attachment 1: Civil Citation Special Assessment List
Attachment 2: Resolution Certifying in_ Special Assessments for Collecting Delinquent Fines
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