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Meeting Name: JOINT COMMITTEE ON REDEVELOPMENT OF ABANDONED AND FORECLOSED HOMES Agenda status: Final
Meeting date/time: 7/9/2018 10:00 AM Minutes status: Final  
Meeting location: City Hall, Room 301-A
Amended 7/3/18 -- Location changed to 301-A from 301-B
Published agenda: Agenda Agenda Published minutes: Not available  
Meeting video: eComment: Not available  
Attachments:
File #Ver.Agenda #TypeTitleActionResultTallyAction DetailsVideo
   1. Review and approval of May 29th meeting minutes.

Minutes note: Meeting convened officially at 10:14 A.M. (convened unofficially at 10:03 A.M.) Members present: Ald. Robert Bauman, Maria Prioletta, Preston Cole Tony Perez and Ald. Russell Stamper (arrived at 10:14 A.M. due to a special F&P meeting). Members excused: Mario Higgins, Spencer Coggs and Ald. Khalif Rainey Mr. Perez moved, seconded by Mr. Cole, for approval of the minutes. There were no objections.
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   2. Communication from the Department of City Development on Housing Infrastructure Preservation Fund Activities.

Minutes note: Discussion of this item was combined with with item #9 . Per Ald. Bauman, there was a historic property in the Concordia neighborhood which suffered a fire and the city took it over in a tax foreclosure and spent $90,000 on it. The sale was contingent on owner occupancy and the owner does not live there and last night the tenants were sitting on the porch shooting a bb gun at other houses, signs, passing vehicles and animals. The alderman is upset at landlords scamming the city. He is upset the city cannot even enforce its own contracts. The address of the property is 832 N. 29th St. and he wants this sale rescinded and the property back under control of the city. The police were called and confirmed that they were tenants. Per Assistant City Attorney Gregg Hagopian, the owner, Brian Holman, has two problem properties. The City Attorney's Office has met with Mr. Holman a number of times and they have negotiated an agreement that satisfies DNS and HPC issues and those items have been satisifed so far. There is a new deed on this property, registered on June 25th, 2018 and he may have added someone to the deed who is living at this address. The city is currently looking at requiring cash from buyers who will then lose the cash if the spirit of the contract is not followed, rather than having to try to collect through court action. Amy Turim, Dept. of City Development, said Mr. Holman is no longer buying property from the city. The deed now notes that the owners are Mr. Holman's wife and Mr. Holman's sister, Karen Lemon. The city is asking who is actually living at the residence. Ms. Lemon also has 3 children. The city is considering creating a several-thousand dollar performance bond for these types of sales. ACA Hagopian will e-mail the children's names to Ald. Bauman. Ms. Prioletta said that they have a contingency that ownership cannot be transferred unless it's a hardship situation, as determined by the city. Ms. Turim will investigate doing this with properties in this program. Mr. Cole said this will be added to the Strong Neighborhoods agenda so the city can investigate.
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   3. Communication from the Department of City Development on the Lease-to-Own Program.

Minutes note: Nothing new to report.
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   4. Communication from the Department of City Development relating to the Rehabilitation to Rent Program.

Minutes note: Nothing new to report.
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   5. Communication from the Department of City Development on the Strong Home Loan Program.

Minutes note: Nothing new to report.
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   6. Communication from the Mayor's Office, Department of City Development, and the City Attorney's Office relating to activities, revenue and expenditures of the Strong Neighborhoods Plan.

Minutes note: This was heard as part of item #10
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   7.  Communication from the Department of Neighborhood Services relating to the Compliance Loan Program.

Minutes note: Nothing new to report.
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   8. Communication from the Department of Neighborhood Services relating to demolition and deconstruction.

Minutes note: Tom Mishefske, Dept. of Neighborhood Services, said the department will present a six-month update of this program at the July 24th Zoning, Neighborhoods and Development Committee meeting
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   9. Communication from the Treasurer's Office, Department of Neighborhood Services and the City Attorney's Office relating to efforts to pierce the corporate veil of legal entities such as LLC's that own real property in the City of Milwaukee in order to expedite the collection of funds owed the city and to expedite compliance with DNS orders.

Minutes note: Assistant City Attorney Kail Decker answered questions from Ald. Bauman relating to the report and if bankrupcty court is now deciding how much city property is worth. The city is currently in negotiations with Mr. Rasheed - currently 150 buildings containing 300 units are still in receivership. Ald. Bauman would like to take over all these properties are part of the 10,000 homes program. Mr. Rasheed is still the owner, but the city can collect rents, make repairs and find tenants. Mr. Rasheed gets the proceeds from the sales less any liens, debts, penalties, etc. Mr. Choudry would like his properties transferred to a trust and the trust would be administered by Mr. Choudry's attorney, which the city does not support. Ald. Bauman is concerned that the Kohn Law Firm does not have a sense of urgency relating to city matters, although Mr. Cole noted that a representatin from Kohn does sit in on the Strong Neighborhoods meetings. Atty. Decker thinks that the urgency was related to tearing down the building, rather than collecting the money. The neighbors suffer when a blighted building is in existance for years.
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   10. Communication from various city departments related to the Mayor's proposed 10,000 homes over 10 years.

Minutes note: Ms. Prioletta presented a PowerPoint, contained in file 171233. The city is open to co-ops and will look at the model and WHEDA has money that is available for this. With state-wide competitions for funds, the city is trying to define what its specific needs are in specific areas. Ald. Bauman feels that building design is different if aimed at renters instead of homeowners. The projects should be aimed at homeowners, rather than renters, even if the development is more expensive. Owner occupancy has declined by 12% since 2005 primarily due to the foreclosure crisis of 2008. Ald. Stamper feels that it's also due to the lifting of the residency requirement for police officers and firefighters. The budget office is charged with tracking units and how it's counted. Mr. Cole asked if the Dept. of City Development had tried working with the Medical College of Wisconsin and its programs.
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   11. Public Comment    Not available
   12. Set next meeting date.

Minutes note: Sept. 10 at 10 A.M.
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171233 0 CommunicationCommunication relating to the 2018 activities of the Joint Committee on the Redevelopment of Abandoned and Foreclosed Homes.    Action details Not available