[Ord. of 1-2-1991, § 1.2]
The purpose of this division is to establish and dictate a procedure
whereby real property acquired in accordance with 36 M.R.S.A. §§ 942
and 943 shall be managed, administered and disposed of by the City.
[Ord. of 1-2-1991, § 1.3]
The following words, terms and phrases, when used in this division,
shall have the meanings ascribed to them in this section, except where
the context clearly indicates a different meaning:
A tax lien mortgage that automatically foreclosed pursuant
to 36 M.R.S.A. §§ 942 and 943.
The amount of taxes that would have been assessed to the
property had it not been owned by the municipality on April 1 of the
year in which it is sold by the municipality. The purpose of this
definition is to recover for the municipality those taxes which would
have been assessed to the property had it been privately owned on
April 1 in the year in which it is sold. These taxes would be lost
under current law if the municipality sells the tax-acquired property
after April 1.
Regular, first class mail posted at any U.S. post office,
postage prepaid.
The City of Belfast, Maine.
A signed, legal instrument releasing the municipality's
right, title or interest in real estate property, acquired by virtue
of foreclosed tax liens, to a person, without providing a guarantee
or warranty of title to such property.
Real estate as defined by 36 M.R.S.A. § 551 that
has been acquired by the municipality by virtue of a foreclosed tax
lien.
The statutory lien created by 36 M.R.S.A. § 552.
[Ord. of 1-2-1991, §§ 2.1, 2.2]
(a)
Following statutory foreclosure of a tax lien mortgage, title to
the real estate property automatically passes to the municipality.
The management of this property rests exclusively with the municipal
officers, subject to the provisions of state statutes and local municipal
ordinances and regulations.
(b)
The municipal officers shall determine whether a tax-acquired property
is to be retained for municipal use or disposed of in accordance with
the provisions of this division.
(c)
Should the municipal officers determine that tax-acquired property
shall be retained for use by the municipality, the municipal officers
may pursue an action for equitable relief in accordance with the provisions
of 36 M.R.S.A. § 946 as a means of securing a clear title
to the property.
(d)
The municipal officers may charge a monthly rental fee to any and
all occupants of tax-acquired property. Should a rental fee be charged,
the municipal officers shall obtain general liability insurance coverage
for the rented tax-acquired property.
(e)
The municipal officers may, if the property is vacated for 60 consecutive
days, obtain a general liability insurance coverage for the tax-acquired
property.
[Ord. of 1-2-1991, § 3.1; Ord.
No. 17-2004, 9-7-2004; Ord. No. 40-2009, 5-19-2009(1)]
Should the municipal officers determine that title to tax-acquired
property be relinquished rather than retained by the municipality,
the following shall be observed:
(1)
Bidding required. Within 120 days after acquisition of tax-acquired
property by the municipality, the municipal officers shall solicit
public bids for the sale of the tax-acquired property and shall receive,
open and read aloud submitted bids at a council meeting.
(2)
Notice to owner; owner's right of redemption. Prior to the time the municipal officers cause public notice of impending public sale of tax acquired property as set forth in subsection (3) of this section, the City Clerk shall send notification of such impending public sale and request for bids to the person to whom the property was most recently assesses for municipal taxes.
The notification shall contain the same information which would be contained in the public notice under subsection (3) of this section and shall additionally notify the recipient that the recipient may, at any time prior to the date and time of opening of bids by the municipal officers, tender full payment of all outstanding taxes, just value for the current year taxes assessed, tax liens, interest and all costs, including but not limited to deed preparation, attorney fees, notice and insurance costs, and in so doing may redeem the property and be entitled to a quit-claim deed from the municipality. The notice provided for by this subsection is a matter of courtesy only, and the failure of the municipality or municipal officers to send this notice shall not create any legal rights in any person. The failure of the municipal officers or the City Clerk to send this notice, or the fact that the notice has not been received or understood by the person to whom it was sent, shall not invalidate the sale or use of the tax-acquired property pursuant to this division, nor shall such failure provide a legal basis for any legal action against the municipality or municipal officers or any employee thereof. This redemption shall not apply to property which the municipal officers elect to retain rather than to put out to bid.
(3)
Posting and publication of notice. The municipal officers shall cause
a public notice of the impending sale of tax-acquired property to
be posted within City hall and to be advertised for two successive
weeks in a newspaper of local circulation within the county, the last
notice to be published at least seven days prior to the advertised
date for receipt of bids.
(4)
Required submittals by bidders. The municipal officers shall require
the following for proper submission:
a.
A bid sheet shall be submitted containing a full description of the
property being bid upon and the bid price in U.S. currency.
b.
A certified cashier's check or postal money order, in an amount
not less than 10% of the bid price, shall be included as a deposit
on the bid. Failure to submit a deposit shall cause the bid to be
automatically rejected.
(5)
Delivery of bids. The municipal officers shall require that those bid items cited in subsection (4) of this section be sealed in a single plain envelope marked only "Tax-Acquired Property Bid" on the exterior and either be hand delivered to the municipality or, if mailed, be enclosed within a second envelope addressed to the Belfast City Council, City of Belfast, 71 Church Street, Belfast, Maine 04915. All bids must be received by the municipality no later than 10:00 a.m. DST on the date that bids shall be opened and read.
(6)
Right to reject bids; re-offering of property. The municipal officers shall retain the right to accept or reject any and all bids submitted, and shall cause the same disclaimer to be noted in any public notice soliciting bids in accordance with this division. Should the municipal officers reject all bids, or in the absence of any bids, the property may be offered again for public sale without notice to that person cited in subsection (2) of this section.
(7)
Notification of successful bidder. The municipal officers shall notify,
via mail, any successful bidder.
(8)
Disposition of deposits. The municipal officers shall, as a credit
to payment, retain the submitted bid price deposit of any successful
bidder, and shall return all other submitted deposits.
(9)
Time limit for payment. The municipal officers shall require payment in full from any successful bidder within 30 calendar days following the date when bids are opened and read (see subsection (10) of this section for exception). Should the bidder fail to pay the full balance, the municipality shall retain the bid price deposit and title to the proffered property.
(10)
Extension of time for payment. The municipal officers may, subject
to a show of good faith on the part of the bidder, extend the time
limit a one-time-only additional 20 days, within which full payment
must be received.
(11)
Form of deed. The municipal officers shall issue only a quit-claim
deed to convey title to tax-acquired property.
(12)
Removal of occupants. The successful bidder shall be responsible
for the removal of any and all occupants of purchased tax-acquired
property and shall, in writing, forever indemnify and save harmless
the municipality from any and all claims arising out of the sale of
the tax-acquired property brought by the occupants of the purchased
property or their heirs or assigns.
