SPECIAL COUNCIL - VDBO Minutes and Exhibits 1-3

SPECIAL COUNCIL MEETING A Special Council Meeting was held on October 7, 2019 at 6:00 p.m. with Council President Hare presiding. Council members present were Mr. Anderson, Mr. Neil, Mr. Slavin, Mr. Cole, Mr. Polce, Mr. Taylor, and Mr. Lindell. Mr. Sudler was absent. Mayor Christiansen was also present (departed at 6:49 p.m.). Council staff members present were Deputy Solicitor Pepper, Mr. Hugg, and Mrs. McDowell. ADOPTION OF AGENDA Mr. Neil moved for adoption of the agenda, seconded by Mr. Taylor and unanimously carried. PUBLIC HEARING - VIOLATION OF THE DANGEROUS BUILDING ORDINANCE - PROPERTY LOCATED AT 24 SOUTH QUEEN STREET, OWNED BY SAFWAT NASR A public hearing was duly advertised for this time and place to consider a violation of the Dangerous Building Ordinance at 24 South Queen Street, owned by Safwat Nasr. Mr. David Hugg, Director of Planning and Community Development, and Mr. Tim Taraila, Chief Code Enforcement Officer, reviewed a presentation depicting the condition of the property (Exhibit #1). Staff recommended: 1) Declaring the building and all accessory structures on this property dangerous; 2) Ordering the properties demolished by November 7, 2019 by the owners or equity owners at their own risk; 3) Ordering the Building Inspector to cause the demolition of the structures if not completed by the owners within 10 days of the date established by City Council; and 4) Ordering the City Manager, with the assistance of the City Solicitor, to cause the cost of demolition to be charged against the lands on which the buildings exist as municipal liens or cause such costs to be added to the tax duplicate as assessments, or to be levied as a special tax, or to be recovered in a suit at law against the owners. Mr. Hugg advised that there were outstanding taxes and penalties owed to the City in the amount of $975 and $412 owed to the County for unpaid county taxes. Responding to questions from members of Council, the following information was provided: • Although it is probably not a conforming lot, something could be rebuilt on the same footprint. • The initial letter regarding the notice of the violation of the dangerous building ordinance was sent by Mr. Ron Coburn, Code Enforcement Officer, on May 25, 2018 when he did the first inspection. • The building was placarded for being dangerous on April 24, 2019. • Notice was sent to Mr. Nasr and Shallcross Mortgage Company on August 28, 2019. Neither have replied. • Mr. Nasr has active permits for 38 South Queen Street and he has been working on the property. Mr. Slavin summarized that the City’s first contact was May 25, 2018, un-permitted work was being performed, taxes and utilities have not been paid on this property for over a year, and there has been no response from the owner.

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 2 Council President Hare declared the public hearing open. There being no one else present wishing to speak, Council President Hare declared the public hearing closed. Mr. Neil moved to accept staff’s recommendation to: 1) declare this building and all accessory structures on this property dangerous; 2) order the property demolished by November 7, 2019 by the owner or equity owner at their own risk; 3) order the Building Inspector to cause the demolition of the structures if not completed by the owner within 10 days of the date established by City Council; and 4) order the City Manager with the assistance of the City Solicitor to cause the cost of demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner. The motion was seconded by Mr. Cole and carried by a unanimous roll call vote (Sudler absent). PUBLIC HEARING - VIOLATION OF THE DANGEROUS BUILDING ORDINANCE - PROPERTY LOCATED AT 28 SOUTH QUEEN STREET, OWNED BY VIVIAN PITTS A public hearing was duly advertised for this time and place to consider a violation of the Dangerous Building Ordinance at 28 South Queen Street, owned by Vivian Pitts. Mr. David Hugg, Director of Planning and Community Development, reviewed a presentation depicting the condition of the property (Exhibit #2). Staff recommended: 1) Declaring the building and all accessory structures on this property dangerous; 2) Ordering the properties demolished by November 7, 2019 by the owners or equity owners at their own risk; 3) Ordering the Building Inspector to cause the demolition of the structures if not completed by the owners within 10 days of the date established by City Council; and 4) Ordering the City Manager, with the assistance of the City Solicitor, to cause the cost of demolition to be charged against the lands on which the buildings exist as municipal liens or cause such costs to be added to the tax duplicate as assessments, or to be levied as a special tax, or to be recovered in a suit at law against the owners. Mr. Hugg advised that $1,238.12 is owed to the City for a combination of fees and taxes and $672.86 is owed to the County in unpaid taxes on the property. Responding to questions from members of Council, the following information was provided: • The notice for the violation of the dangerous building was sent on August 28, 2019 through regular and certified mail and was posted on the property. • Previous to the August 28, 2019 notice, there were notices from different inspectors going back to 2018. • The first vacant building inspection was conducted on April 28, 2018 as a result of a citizen complaint and the property was placarded as dangerous and unfit for habitation. • Staff did not recommend repairing this property due to the lack of a structural engineer’s report. It was noted that the property owner had been given the opportunity to repair it during the process.

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 3 Mr. Taylor stated that this property was notorious as being a drug house and that there are two pathways to Kirkwood Street that allow people to allude the police. He noted that he was at the property that day and it is an eyesore that they need to act on to enhance the safety of the community. Mr. Taylor advised that the homeless also stay there at night. Mayor Christiansen concurred with Mr. Taylor’s remarks. Council President Hare declared the public hearing open. Mr. John Tarburton, P.A., attorney representing Wells Fargo, requested that demolition be postponed. He stated that Wells Fargo foreclosed on the property for a default judgment earlier in the summer and a Sheriff's sale was held on August 1, 2019, at which time Wells Fargo purchased the property. The Sheriff's deed was signed September 30, 2019 and they received it last Friday. Mr. Tarburton advised that the deed has been sent to the City of Dover to be approved before recording. Mr. Tarburton noted that Wells Fargo has retained the services of Mr. Steve Schmidt of Remax Horizons and the locks have been changed, the premises has been secured, and they have begun removing debris. He advised that Wells Fargo is reasonably certain that they will be able to sell the property relatively quickly after making improvements to it. Mr. Schmidt advised that Remax Horizons received the property from Wells Fargo on September 25, 2019 and they had a vagrant that was living on the side porch removed. He stated that they have since secured the side porch and the garage, which also had somebody living in it. Mr. Schmidt noted that they should receive bids that week to have the property inside and outside cleaned up of the debris, have the grass cut, and have the overgrowth cleaned up. He stated that the exterior was in bad shape and he did not know how many exterior repairs the bank would approve, but that the house was structurally sound. Responding to questions from members of Council, Mr. Tarburton stated that he was unsure of the exact number of properties that Wells Fargo owns across Delaware that were in this situation; however, he noted that this situation was not unusual. He advised that, in a decent market and depending on the condition of the house, it does not take very long to go from deed to sale. Mr. Tarburton stated that his client wants to sell the house, has the money for repairs and wants to make them so that the house is marketable, and is relatively certain that they will be able to accomplish that. He cautioned that they were moving into the part of the year where real estate tends to slow down and, based upon his experience with the real estate market, it may take longer than the ordinary three to four months. Mr. Taylor advised that he and Mr. Schmidt had done work together in the past and his word has been honorable and his work was done in excellence and it was done right the first time. Mr. Hare suggested that the garage be demolished and the overgrowth be cleaned up because of the condition of the garage and the problems that the thoroughfare creates for the police. Mayor Christiansen suggested setting a completion date for the repairs.

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 4 Mr. Schmidt assured members that Wells Fargo requires weekly inspections of the properties and he sends them photos every week. Responding to Mr. Taylor, Mr. Schmidt estimated that they would have the trash cleaned up by the end of the week and have the overgrowth cut down within the next two to three weeks, noting that they would have to get bids from the landscapers and approval from the bank. There being no one else present wishing to speak, Council President Hare declared the public hearing closed. Mr. Slavin asked if staff would have to re-notify because of the new owner. Mr. Pepper advised that the new owner had been notified as part of the process because they appeared on the lien search. Mr. Anderson moved for approval of staff’s recommendation but ordering that the properties be repaired or demolished by January 7, 2020 or sooner by the owner or equity owner. The motion was seconded by Mr. Taylor. Mr. Slavin requested staff to schedule periodic inspections and communicate their progress to Council. He also suggested bringing this property back to Council at any time if staff feels that progress has not been made. Mr. Hare reiterated his suggestion that the garage be torn down and the overgrowth be cleaned up. Responding, Mr. Tarburton pointed out that a property is more marketable with a garage than without one and requested that he be given a chance to talk to his client before being instructed to demolish the garage. Mr. Polce expressed his strong opposition to allowing additional time and, noting that he was sympathetic to the new buyer acquiring the property to generate some revenue, he advised that he could not be elected to represent his constituents and continue to allow these blighted buildings to come before Council to have the property owner granted more time. Mr. Anderson reminded members that the fifth and 14th amendments to the constitution say that the three most precious rights to be protected are life, liberty, and property. When you deprive someone of their property, it is one of the most awesome responsibilities that they can take at this level of government. Mr. Anderson noted that the new owner was willing to take action and move expeditiously. He also stated that the City’s resources should be used to leverage the repair of properties to maintain affordable, quality housing in the neighborhoods, which is a desperate concern for his constituents. Mr. Anderson stated that they recently considered a situation where a gentleman spent $7,000 repairing the property and, because the recommendation was demolition instead of repair, the property was demolished and he is now homeless. He also stated that the City had grants to repair the property that were never offered to him. Mr. Slavin stated that Council takes property rights very seriously, including the rights of neighboring properties whose values have continually been drained out of their properties because Council does nothing and allows these blighted houses to exist and spread. He noted that he was willing to allow more time in this case because they have a willing owner, which he typically does not like to do out of respect for the work of the inspectors.

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 5 Mr. Lindell stated that he agreed with the spirit of Mr. Slavin’s comments and he also agreed with Mr. Polce that the line has to be drawn somewhere. He referred to several established neighborhoods with dilapidated properties and noted that they are affecting the property values of others and reinforcing people’s opinions of Dover. Mr. Lindell advised that safety is paramount. The motion to declare the building and all accessory structures on this property dangerous; order the garage demolished by November 7, 2019 and the house repaired or demolished by the owners or equity owners at their own risk by January 7, 2020 or sooner if staff so recommends; order the Building Inspector to cause the demolition of the structures if not completed by the owners within 10 days of the date established by City Council; and order the City Manager, with the assistance of the City Solicitor, to cause the cost of demolition to be charged against the lands on which the buildings exist as municipal liens or cause such costs to be added to the tax duplicate as assessments, or to be levied as a special tax, or to be recovered in a suit at law against the owners and that staff will schedule periodic inspections and communicate their progress to Council was carried by a roll call vote of five yes (Anderson, Neil, Slavin, Taylor, and Hare) and three no (Cole, Polce, and Lindell). PUBLIC HEARING - VIOLATION OF THE DANGEROUS BUILDING ORDINANCE - PROPERTY LOCATED AT 34 SOUTH QUEEN STREET, OWNED BY VIVIAN PITTS A public hearing was duly advertised for this time and place to consider a violation of the Dangerous Building Ordinance at 34 South Queen Street, owned by Vivian Pitts. Mr. David Hugg, Director of Planning and Community Development, reviewed a presentation depicting the condition of the property (Exhibit #3). Mr. Tim Taraila, Chief Code Enforcement Officer, reviewed the history of property owner notification. He noted that there had been no contact from the property owner. Staff recommended: 1) Declaring the building and all accessory structures on this property dangerous; 2) Ordering the properties demolished by November 7, 2019 by the owners or equity owners at their own risk; 3) Ordering the Building Inspector to cause the demolition of the structures if not completed by the owners within 10 days of the date established by City Council; and 4) Ordering the City Manager, with the assistance of the City Solicitor, to cause the cost of demolition to be charged against the lands on which the buildings exist as municipal liens or cause such costs to be added to the tax duplicate as assessments, or to be levied as a special tax, or to be recovered in a suit at law against the owners. Council President Hare declared the public hearing open. Mr. John Tarburton, P.A., representing Wells Fargo, advised that a default judgment was entered September 11, 2019 and, given the notice requirements for a foreclosure sale, the soonest that a sale could be scheduled would ordinarily be the month of December. He noted that Kent County does not conduct sales during the month of December and the earliest the property could be sold to either a third party owner or to have Wells Fargo acquire a deed would be January. Mr. Tarburton advised that Wells Fargo is interested in preserving this property and they have issued bids to secure the premises, change the locks, repair or replace the furnace and the hot water heater, replace the downspouts and the gutters, repair or replace the windows, clean the interior of the property, replace

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 6 or repair exterior doors as needed, and perform yard maintenance and debris removal outside. He advised that the restrictions imposed upon lenders prohibit simply going out and hiring someone. Mr. Tarburton requested additional time to secure title to the property. He noted that the mortgage does allow a lender to secure the premises and to make repairs as necessary; however, it is not as firm a position as where the lender has a deed because they do not necessarily have the same right to be on the premises as they do when they have a deed. Mr. Tarburton advised that if there are others on the premises who need to be evicted, that cannot be done until the lender has a deed and can initiate eviction. Responding to Mr. Neil, Mr. Tarburton stated that the first notice was sent to one of his colleagues and they were unaware of the problems until they initiated a foreclosure. He noted that, during dependency of a loan when a borrower has a loan and either is or is not making payments, notices are not sent to the lender about code violations unless someone goes out of their way to do it or unless a foreclosure proceeding has been initiated. Mr. Tarburton stated that as soon as they initiated the foreclosure proceeding, the first notice they received was forwarded to Wells Fargo, which was in August. There being no one else present wishing to speak, Council President Hare declared the public hearing closed. Mr. Neil moved to accept staff’s recommendation to: 1) declare this building and all accessory structures on this property dangerous; 2) order the property demolished by November 7, 2019 by the owner or equity owner at their own risk; 3) order the Building Inspector to cause the demolition of the structures if not completed by the owner within 10 days of the date established by City Council; and 4) order the City Manager with the assistance of the City Solicitor to cause the cost of demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner. The motion was seconded by Mr. Taylor and carried by a unanimous roll call vote (Sudler absent). Mr. Slavin moved for adjournment, seconded by Mr. Taylor and unanimously carried. Meeting adjourned at 7:03 p.m. TRACI A. McDOWELL CITY CLERK

SPECIAL COUNCIL MEETING OF OCTOBER 7, 2019 PAGE 7 All ordinances, resolutions, motions, and orders adopted by City Council during their Special Meeting of October 7, 2019, are hereby approved. ROBIN R. CHRISTIANSEN MAYOR /TM S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Council-Minutes\2019\10-07-2019 SPECIAL COUNCIL - VDBO Minutes.wpd Exhibits Exhibit #1 - Presentation - Violation of Dangerous Building Ordinance - 24 South Queen Street Exhibit #2 - Presentation - Violation of Dangerous Building Ordinance - 28 South Queen Street Exhibit #2 - Presentation - Violation of Dangerous Building Ordinance - 34 South Queen Street

EXHIBIT #1 Special Council Meeting of 10/07/2019 Violation of Dangerous Building Ordinance 24 S Queen Street Planning & Inspections Department Dover, Delaware October 7, 2019

24 S Queen Street Case History  8 code enforcement cases since 2017  Numerous code violations found during the last housing inspection which occurred on May 25, 2018.  Missing smoke detectors, no water heater.  City Staff requested a structural engineers report and an electrical inspection. Becker Morgan believes the option of rebuilding should be explored in lieu of renovating.  The dwelling has two apartments. During the inspection only one unit was entered due to the other unit having no electric.  The last electrical service was terminated on 8/31/2018.  Was registered as vacant on 4/18/2019.

Dangerous Building Code – Chapter 22 Article XI, Sec. 22-381 (9) General Welfare. (10) Code Violations. (11) Unoccupied Buildings

Recommended Council Action  Declare this building and all accessory structures on this property dangerous.  Order the property demolished by November 7, 2019 by the owner or equity owner at their own risk.  Order the Building Inspector to cause the demolition of the structures if not completed by the owner within 10 days of the date established by City Council.  Order the City Manager with the assistance of the City Solicitor to cause the cost of demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner.

EXHIBIT #2 Special Council Meeting of 10/07/2019 Violation of Dangerous Building Ordinance 28 S Queen Street Planning & Inspections Department Dover, Delaware October 7, 2019

28 S Queen Street Case History  12 code enforcement cases since 2016  Numerous code violations found during an exterior inspection which occurred on May 6, 2019.  Including damaged wall siding, doors, clogged toilets, no electric and drug paraphernal throughout the dwelling.  The grass has been cut by the City Contractor three times in the last 12 months.  The electrical service was terminated on 5/17/2018.  Was registered as vacant on 4/23/2018.  Condemned on May 6, 2019

Dangerous Building Code – Chapter 22 Article XI, Sec. 22-381 (9) General Welfare. (10) Code Violations. (11) Unoccupied Buildings

Recommended Council Action  Declare this building and all accessory structures on this property dangerous.  Order the property demolished by November 7, 2019 by the owner or equity owner at their own risk.  Order the Building Inspector to cause the demolition of the structures if not completed by the owner within 10 days of the date established by City Council.  Order the City Manager with the assistance of the City Solicitor to cause the cost of demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner.

EXHIBIT #3 Special Council Meeting of 10/07/2019 Violation of Dangerous Building Ordinance 34 S Queen Street Planning & Inspections Department Dover, Delaware October 7, 2019

34 S Queen Street Case History  7 code enforcement cases since 2016  The dwelling was inspected and condemned on July 12, 2019 as a result of a citizen complaint. Numerous code violations were observed including broken windows, doors, screens, missing gutters and downspouts.  The last electrical service was terminated on 6/21/2018.  Was registered as vacant on 9/21/2018 and is still vacant and secured by City Staff.

Dangerous Building Code – Chapter 22 Article XI, Sec. 22-381 (9) General Welfare. (10) Code Violations. (11) Unoccupied Buildings

Recommended Council Action  Declare this building and all accessory structures on this property dangerous.  Order the property demolished by November 7, 2019 by the owner or equity owner at their own risk.  Order the Building Inspector to cause the demolition of the structures if not completed by the owner within 10 days of the date established by City Council.  Order the City Manager with the assistance of the City Solicitor to cause the cost of demolition to be charged against the land on which the building exists as a municipal lien or cause such cost to be added to the tax duplicate as an assessment, or to be levied as a special tax, or to be recovered in a suit at law against the owner.