Approval Sheet

CITY OF GILLETTE
201 E. 5th Street
Phone (307)686-5200
CITY OF GILLETTE


www.gillettewy.gov

 
DATE: 10/18/2016 7:00:00 PM
SUBJECT:
An Ordinance Pursuant to Wyoming Statute 15-6-420 Declaring a Default on Assessments in the Northland Village Mobile Home Park, Authorizing Certificates of Delinquency, and Authorizing Litigation in the District Court, Sixth Judicial District, for Purposes of a Foreclosure Action on the Delinquencies.
BACKGROUND:
Ordinance 1st reading:  6/0 (Councilman Montgomery absent)

On February 23, 2007 the City of Gillette passed Ordinance No. 3472 creating the Northland Village Mobile Home Park Local Improvement District (LID).  The purpose of the LID was to assist in the construction of water and sewer lines and roads within the Subdivision.  The original cost of the project was $869,002.80.  Each lot was assessed a special assessment in the amount of either $6,931.91 or $7,020.19 depending on lot location, size, and other factors.

Of the total cost of $869,002.80, Home Owners Association Fees, savings and pre-payments reduced the final amount owed for assessment to $755,163.93.  Each lot owner was then given the opportunity to pay the assessment interest-free within 30 days or could finance the amount owed for a period of ten (10) years at the annual rate of 2.5%

Of the original 121 assessments, 91 are paid in full and the LID assessment liens have been released.  Of the remaining 30 lots, nine (9) are current and are expected to be paid in full by the February 28, 2017 deadline.  Two (2) are delinquent, but at this time are expected to be paid by the February 28, 2017 deadline.  The remaining nineteen (19) are substantially delinquent or have made no payments on the assessment.  The delinquent balance, with interest, is approximately $101,691.55.

During the August 16, 2016 work session, council was advised of the available means for collection of the amounts owed.  Council chose judicial foreclosure as the way to proceed with the collection action.  Such an action is authorized by Wyoming Statute upon passage of an Ordinance.  This Ordinance, as presented, provides the necessary authority to the City Attorney, the City Clerk, and the Director of Finance to collect all delinquent assessments and delinquent installments on assessments within the Northland Village Mobile Home Park.
ACTUAL COST VS. BUDGET:
SUGGESTED MOTION:
I move for the approval of An Ordinance Pursuant to Wyoming Statute 15-6-420 Declaring a Default on Assessments in the Northland Village Mobile Home Park, Authorizing Certificates of Delinquency, and Authorizing Litigation in the District Court, Sixth Judicial District, for Purposes of a Foreclosure Action on the Delinquencies on Second Reading.
STAFF REFERENCE:
Pat Davidson, Assistant City Attorney
ATTACHMENTS:
Click to download
Northland Ordinance-Final