Welcome to the new blog portion of my website. I'm going to be discussing issues that arise in code enforcement and invite comments and ideas from you. In today's difficult economic environment, we're all struggling with how to perform our jobs with decreasing resources. We're being confronted with new challenges daily due to the foreclosure crisis (ever try to find a live person to speak with about pipes bursting in subzero weather in a foreclosed house with mold growing so bad the residence can't be salvaged?) In my practice as a municipal prosecutor, I deal with these questions daily. I'm also interested in how effective code enforcement can reduce crime in a community and I will be writing about that issue. While I can't give legal advice on this blog, I will be pointing out interesting cases that may be useful to you.
The Vacant Property Toolkit from the Business and Professional People for the Public Interest is finally ready and posted on its website at http://www.bpichicago.org/VacantPropertyResources.php I’ve written about this organization’s work in the past to address this very important issue and the Toolkit is a great starting point for any agency trying to deal with the problems presented by vacant and abandoned property.
Posted by Linda Pieczynski Category(ies): Code Enforcement, Foreclosure, property maintenance Tag(s):
I’m recently back from the Region III conference in Brooklyn Park, MN put on by AMBO. This year I stayed an extra night courtesy of Mother Nature (my Southwest flight was cancelled due to the snow storm in Chicago) but it gave me a chance to visit with a great group of people. One of the things that really impressed me is the difference between laws in a state like Minnesota versus those in my home state, Illinois. Inspectors in Minnesota have more tools at their disposal in dealing with the foreclosure crisis because of their ability to clean a property up and collect the costs on the property’s tax bill. In theory, Illinois inspectors can do the same thing but the way the 2005 law is written makes it so convoluted that I don’t know anyone who has been successful in collecting any money this way. Putting a lien on property isn’t sufficient. Years may pass before the property sells or the lien may be wiped out by foreclosure proceedings depending on local law. What is the difference between states? I believe Illinois is in the grip of special interests that defeat bills that would make it easier to get property cleaned up and help local jurisdictions recoup their costs. Being able to collect municipal expenses on next year’s tax bill for a problem property with a process that is simple and direct is a terrific tool that I wish I could use in my practice. It would eliminate the helplessness inspectors experience during the gap period, from the time the homeowner walks away from a property and the time the lender takes title. I envy my Minnesota colleagues.
Posted by Linda Pieczynski Category(ies): Foreclosure, Politics, Politics and building codes, property maintenance Tag(s):
For anyone who is not aware of it, MERS was created by the mortgage banking industry to streamline the mortgage process by using electronic commerce to eliminate paper. Its mission is to register every mortgage loan in the United States on the MERS® System. If you are a member of government, you can access the information for free by applying for a username and password at http://www.mersinc.org/ppc/index.aspx This will enable an inspector to find out which lender has a mortgage, the history of it which may help in finding out the status of a foreclosure and who is responsible for the property. Once again, I’m grateful to Kelly Anbach for sharing this information with me. Many of these loans have been transferred when lenders fail. I have prosecuted cases where the lender has possession but doesn’t want to spend anymore money on a property that’s an albatross around its neck. These new lenders obtain the loans in bulk and often have no idea what junk they are receiving. In the meantime, the municipalities are trying to deal with these blighted properties and trying to get the lenders to take responsibility whether they want to or not. Sometimes we have to threaten demolition if there’s no agreement. The quicker we can get to a responsible party, the more likely it is we can salvage a property before it deteriorates and requires demolition.
Posted by Linda Pieczynski Category(ies): Code Enforcement, Foreclosure Tag(s):
Once again, I’m thanking Kelly Anbach, inspector for the Village of Hinsdale for finding out about a new program. Detroit is working with lenders to keep foreclosed homes occupied with a special program, ROOF (Retaining Occupancy On Foreclosure) whereby former owners of these homes are allowed to stay in them if they pay for the utilities, a fee tied to their income and other costs. When the homes are sold, occupants can receive refunds of up to 50% of the monthly fees they have paid, if they have maintained the property and moved out on time. This sounds like a great way to keep the maintenance up on the property until a new owner takes over. You can read more about it at: http://www.freep.com/article/20091122/COL06/911220515/1322/Detroit-program-to-keep-people-in-foreclosed-homes
Posted by Linda Pieczynski Category(ies): Foreclosure, property maintenance Tag(s):
Commercial building foreclosures are going to be a big problem in 2010. Many communities already have these “zombie” buildings which were built during the good times but have stood empty or half-built. In some situations, inspectors I work with are going forward with demolition lawsuits or condemnation. Others just remain empty hoping for better days. This link contains an interesting video on the problem. http://www.huffingtonpost.com/2009/11/20/zombie-buildings-are-they_n_365400.html
Posted by Linda Pieczynski Category(ies): Foreclosure, property maintenance Tag(s):
