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7-22-13 Special Called Meeting MINUTES OF SPECIAL CALLED MEETING OF ATLANTIC BEACH CITY COMMISSION HELD ON JULY 22, 2013 PRESENT: Mayor Mike Borno Mayor Pro Tern Maria Mark Commissioner Mark Beckenbach Commissioner Jonathan Daugherty Commissioner Carolyn Woods ALSO: Jim Hanson, City Manager Donna Bartle, City Clerk Nancy Bailey, Recording Secretary The Mayor called the meeting to order at 6:30 p.m. in the Commission Chamber. 1. ORDINANCE NO. 95-13-107, Public Hearing and Final Reading AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AUTHORIZING THE SALE OF CITY OWNED REAL PROPERTY LOCATED AT 765 SABALO DRIVE, ATLANTIC BEACH, FLORIDA 32233, AND PROVIDING AN EFFECTIVE DATE. Mayor Borno read Ordinance No. 95-13-107 by title. Motion: Approve Ordinance No. 95-13-107. Moved by Daugherty, Seconded by Mark Mayor Borno explained the Ordinance is to authorize the sale of property on Sabalo Drive that the City acquired because of City Code Enforcement actions. Mayor Borno opened the Public Hearing. Ralph Marcello, President of Beaches Habitat for Humanity, 797 Mayport Rd. stated they would love to rehab the property and would promise to rehab it within the next 12 months during their current fiscal year from July to June. He stated they would love to do neighborhood revitalization work in the same neighborhood and, given the lack of new land, they believe this property will give them an entrée into the neighborhood. He stated whatever way the City decides to sell it they would be willing to compete and bid on the home. No one else from the audience spoke so he closed the Public Hearing. Votes: Aye: 5—Borno,Beckenbach,Daugherty, Mark,Woods Nay: 0 MOTION CARRIED 2. Direction from Commission on how to sell the property located at 765 Sabalo Drive. Mayor Borno opened the Courtesy of the Floor to Visitors. Ray Brown,523 Clipper Ship Lane, requested that the Commission get the maximum return on the investment paid to obtain the property. He stated he wants maximum return on his investment because the City used his money, as a taxpayer,to acquire this property. He stated he doesn't care how they sell the property, but he wants the maximum return. Mayor Borno asked Mr. Brown to clarify what he meant by maximum return on money the City has invested to acquire the property. The Mayor stated the money they used to acquire the property was to pay for what they had to do related to upkeep of it and asked Mr. Brown if he was saying that he would be happy with anything over and above. Mr. Brown stated the greater the better, over and above what the total cost was including legal fees, maintenance fees, lien fees or whatever money the City had to pay. He stated however the City disposes of that property he wants them to get more than that and hopefully five or ten times more. Mayor Borno closed the Courtesy of the Floor to Visitors. Mr. Hanson stated there were two options proposed, one is to sell it to Habitat for cost and have them rehab it and the other is to sell it for as much as they can through some kind of auction process. He stated it is appropriate for the Commission to say which direction they want to go, for the sake of expediency, and authorize staff to sell it by whichever method they want,because the longer it sits there with no one owning it other than the City, the more money the City has to invest to maintain it. Motion: List the property for general sale to the open market for a period of 45 days and all bids on the property be sealed in bid format and sell it to the highest bidder. Moved by Daugherty, Seconded by Woods Commissioner Woods asked for the City Attorney's input related to whether anyone can bid, how they set the price, etc. Mr. Jensen stated he believes that is one fair way to do this. Discussion ensued. Mr. Jensen stated they have a title policy on the house and the title is clear, and the taxes are current. Commissioner Mark stated she will not support this motion because she believes Habitat is the best option and is a sure thing and there are too many unknowns for this process. Discussion ensued. Mayor Borno called the question. He asked for a vote on calling the question. Votes: Aye: 3—Borno, Mark, Daugherty Nay: 2—Beckenbach,Woods MOTION CARRIED Mayor Borno called for a vote on the motion. Votes: Aye: 3—Beckenbach, Daugherty,Woods Nay: 2—Mark, Borno MOTION CARRIED -2- Commissioner Woods stated in the future, on houses like this with a lot of liens, she believes the City should adopt a policy to negotiate the monies that are due at the time of closing so these properties can move on the open market. She stated we could recoup our actual expenses, but not the added on fines that we don't have money out-of-pocket for. Mayor Borno stated if she would like to have this as a policy then it needs to be put in the form for an Ordinance. Mr. Hanson clarified the City Code does not give anyone the authority to change a code enforcement fine except the Code Enforcement Board. He stated he has had people come to him to reduce a fine but he does not have the authority to do that. Mr. Jensen stated this is through State Statute. The meeting was adjourned at 6:55 p.m. 'Z4 4 )9-0'" Mike Borno Mayor/Presiding Officer ATTEST Donna L. Bartle, CMC City Clerk -3-