SUBSTITUTE FOR ORDINANCE NO. 081277, AS AMENDED
Amending Chapter 56, Code of
Ordinances, by adding Article VI, Registration of vacant properties and
increasing number of vacant properties and properties in the process of
foreclosure have created serious concerns on the national and local levels; and
presence of vacant and foreclosing properties discourage potential home buyers
in areas adjacent to or in neighborhoods with such properties; and
WHEREAS, in many
instances, the owners fail to adequately maintain and secure these vacant
presence of vacant and foreclosing properties assist in the decline of
neighborhoods, creating an attractive public nuisance and contributing to lower
property values; and
City of Kansas City, Missouri desires to protect residential neighborhoods from
decline and devaluation; NOW, THEREFORE,
BE IT ORDAINED
BY THE COUNCIL OF KANSAS CITY:
1. That Chapter 56, Code of Ordinances of the City of Kansas City, Missouri, is
hereby amended adding Article VI, Registration of vacant properties and
foreclosing properties, to read as follows:
VACANT PROPERTIES AND
Sec. 56-571. Purpose.
The purpose of
this article is:
identify those properties citywide that are vacant or foreclosing and to gain
contact information for code enforcement and emergency situations; and
protect neighborhoods from becoming blighted through the lack of adequate
maintenance and security of vacant properties and foreclosing properties.
Sec. 56-572. Definitions.
words, terms and phrases, when used in this article, shall have the meanings
ascribed to them in this section, except where the context clearly indicates a
different meaning, and any words not defined here but defined elsewhere in this
chapter shall have the meaning ascribed to them previously:
means a lender under a note secured by a deed of trust.
means the City of Kansas City, Missouri.
means consecutive calendar days.
Deed of Trust
means an instrument by which title to real estate is transferred to a third
party trustee as security for a real estate loan. This definition includes any
subsequent deeds of trust.
means the failure to fulfill a contractual obligation, monetary or conditional.
Foreclosure have the same meaning, that being the process by which a
property, placed as security for a real estate loan, is prepared for sale to
satisfy the debt if the borrower (trustor) under a deed of trust defaults.
the foreclosure process means taking any of the following actions: (i)
delivering a notice of default to the borrower; (ii) delivering the mortgagees
notice of intention to foreclose to the borrower; or (iii) commencing a
foreclosure action on a property in a court of law.
within fifty (50) road/driving miles distance of the city
means the creditor, including but not limited to, service companies, lenders in
a mortgage agreement and any agent, servant, or employee of the mortgagee, or
any successor in interest and/or assignee of the mortgagees rights, interests
or obligations under the mortgage agreement.
Default means a notice, issued pursuant to the applicable real estate
security document or section 408.554, RSMo, that a default has occurred under a
deed of trust.
Owner means any person,
mortgagee, or property trust trustee who alone or jointly or severally with
others, with or without the right of possession, is entitled under any
agreement to the control or direction of the management or disposition of the
building or property or of any part of the building or property. Unless
otherwise specifically provided, the owner, his agent for the purpose of
managing, controlling or collecting rents and any other person managing or
controlling a building or property in any part of which there is a violation of
the provisions of this ordinance, shall be liable for any violation therein,
existing or occurring, or which may have existed or occurred, at or during any
time when such person is or was the person owning or managing, controlling, or
acting as agent in regard to said buildings or property and is subject to
injunctions, abatement orders or other remedial orders. The liabilities and
obligations imposed on an owner shall attach to:
mortgage company or any other person with or without an interest in the
building or property who knowingly takes any action in any judicial or
administrative proceeding that is intended to delay issuance or enforcement of
any remedy for any violation of the Property Maintenance Code then in existence;
provided that with respect to fines such person shall be liable only for fines
which accrue on or after the date of such action; and further provided that no
liability shall be imposed under this ordinance for any action taken in any
proceeding, including a proceeding to foreclose on a lien, that does not delay
or prevent the prosecution of any action brought by the city to enforce the citys
Property Maintenance Code.
(2) a property
trust trustee under a property trust, unless said trustee in a proceeding under
said provisions of this ordinance discloses in a verified pleading or in an
affidavit filed with the court, the name and last known address of each person
who was a beneficiary of the trust at the time of the alleged violation and of
each person, if any, who was then acting as agent for the purpose of managing,
controlling or collecting rents, as the same may appear on the records of the
Out of Area means in
excess of fifty (50) road/driving miles distance of the city.
Property means any
improved real property, or portion thereof, located in the city, including
buildings or structures situated on the property.
Property Trust Trustee
means one who holds title to a building, structure or property under a property
trust with or without the right of possession, management or control.
Registration Period means
June 1 of each year through May 31 of the subsequent year.
Securing means measures
that assist in making the property inaccessible to unauthorized persons,
including but not limited to the repairing of fences and walls, chaining/pad
locking of gates, the repair or boarding of door, window or other openings.
Trustee means the person,
firm or corporation holding a Deed of Trust on a property as security for the
payment of a debt.
Trustor means a borrower
under a deed of trust, who deeds property to a trustee as security for the
payment of a debt.
a property which is lacking habitual presence of human beings who have a legal
right to be on the property, or at which substantially all lawful business
operations or residential occupancy has ceased. In determining whether a property
is vacant, it is relevant to consider, among other factors, the percentage of
the overall square footage of any building on the property or floor to the
occupied space, the condition and value of any items in the property and the
presence of rental or for sale signs on the property; provided that
multi-family residential property containing five (5) or more dwelling units
shall be considered vacant when the majority of all of the dwelling units become
unoccupied and a majority remain unoccupied. A property shall not be
considered vacant which is being currently marketed by a licensed real estate
professional hired by the former or current occupant of the property and to
which water service has not been shut-off.
Sec. 56-573. Annual
Registration of vacant and/or foreclosing properties required.
subdivision shall apply to all vacant and/or foreclosing properties, as defined
in this chapter, including properties owned, operated, or subsidized by public
or nonprofit agencies. Effective May 1, 2009, the annual vacant and/or foreclosing properties registration requirement established by this article shall
go into effect.
(b) Adherence to
this article does not relieve the owner or any other party of any applicable
obligations set forth in any other ordinance which may apply to the property.
vacant or foreclosing properties pursuant to this article does not relieve any
party of any obligation to otherwise record property information.
(d) All owners
must register vacant and/or foreclosing properties as defined in this chapter
annually with the neighborhood and community services department of the city by
submitting a vacant/foreclosing property registration form provided by the
(1) All vacant property, within 90 days of becoming and remaining
vacant, shall be registered by the owner.
(2) All foreclosing properties, within 14 days of initiation of
the foreclosure process as defined in this chapter, must be registered by the party
initiating the foreclosure process.
(i) This registration must certify that the property was
inspected for occupancy and identify whether the property is vacant at the time
of registration. If the property is not vacant at the time of registration, a
monthly inspection shall be conducted by the owner to determine if the property
has become vacant. If, upon subsequent inspection, a property is determined to
be vacant, an updated registration form shall be filed with the city.
(ii) At the time of registration with the city, the party
initiating the foreclosure process must send written notice addressed to the
occupant of the property that the foreclosure process has been initiated.
Notice shall be sent by regular United States mail, postage pre-paid.
to June 1, 2009 the owner of each vacant or foreclosing property shall register
the property. There shall be no fee charged for this registration.
registrations submitted under this article shall expire on May 31 of each registration
period for which they were submitted and shall be subject to renewal annually. Application
for renewal of registration in any period will be accepted beginning May 1 and
may be made without penalty through May 31.
owners shall apply for registration and renewal on a form provided by the
department which shall include provision for the following owner, agent and
(1) The common name of the property, if any, the
exact street address of the property, the primary intended use of the property
and the number of units in each building on the property.
(2) An identification of the owner(s) by full
name, telephone number, mailing address, e-mail address and date of birth. The
mailing address may not be a P.O. Box. If the property is owned by a
corporation, limited liability company, partnership, limited partnership, trust
or real estate investment trust, the name and address of any of the following
shall be provided:
i. For a corporation, a corporate officer and
the chief operating officer;
a partnership, the managing partner;
iii. For a limited liability company, the
managing or administrative member;
a limited partnership, a general partner;
a trust, a trustee; or
a real estate investment trust, a general partner or an officer.
(3) Name and address of all lien holders and any other party with
an ownership interest in the property.
(4) If the owner does not reside within the city,
he or she shall designate a local agent who shall be authorized to receive on
behalf of the owner service of any notice, order or summons issued because of a
violation of this code. Such agent must be an individual over the age of 18
years and must reside within the city or customarily and regularly attend a
business office located within the city. A partner, associate or corporate
principal who meets these qualifications may be designated and registered as
the agent. All official notices may be served on the responsible local agent
and any notice so served shall be deemed to have been served upon the owner of
(5) The full name, telephone number, mailing
address and email address of an agent, if one is so designated by the owner, to
receive service of any notice, order or summons issued because of a violation
of this code.
(6) The names, addresses, and phone numbers of
designated employees or authorized representatives who may be contacted in the
event of an emergency.
(7) The name, mailing address, telephone number and email address
for the person or entity, whether it be the owner, tenant, manager or agent,
responsible for securing and maintaining the property. If the owner resides out
of area, he must designate a local agent responsible for securing and
maintaining the property
(8) The signature of the owner, an officer if the
owner is a corporation, a partner if the owner is a partnership, a member if
the owner is a limited liability company and the registered agent if so
designated. A registered agents signature shall indicate consent to the
Sec. 56-574. Posting.
Within 7 days of
registering the property, every owner of a vacant property shall post an
exterior-facing notice in a front window furnishing the 24-hour contact name
and phone number for a person responsible for maintaining the property. The
address of the contact shall also be provided on the posting. The posting
shall be hung from the interior of the window, and should be on paper no smaller
than 8 by 5 inches and printed in a font size no less than 12 point.
Sec. 56-575. Change in
The owner of a
vacant or foreclosing property already registered with the city shall register
any changes of the previously submitted registration information within 30 days
of said change. There shall be no fee for this registration update if done
within the 30 days.
Sec. 56-576. Notice on sale of
owner selling a vacant or foreclosing property registered as provided in this
article shall give notice in writing to the department within 30 days of
closing. This notice shall include the name and address of the buyer.
new owner shall have 30 days from the date the change of ownership occurred to
file a new registration with the department. There shall be no fee for this
Sec. 56-577. Notice on
occupancy of property.
Every owner of a
vacant or foreclosing property registered as provided in this article that
becomes occupied shall give notice in writing to the department within 30 days
56-578. Inaccurate or incomplete registration information.
It shall be a
violation of this code for an owner or a responsible person to provide
inaccurate information for the registration of vacant or foreclosing properties
or to fail to provide information required by the city for the registration.
Sec. 56-579. Appeal.
that a property is vacant or foreclosing made by the city, and any fine for
failing to register such property may be administratively appealed as provided
for in this chapter or Chapter 48.
56-580. Affirmative Defenses.
It shall be an
affirmative defense to any citation or administrative penalty issued under this
(a) The property is
the subject of probate proceedings or its title is otherwise the subject of
current litigation, not including foreclosure proceedings. This defense shall
not be applicable for more than 24 months without permission of the director;
property has been used as a residence by a person entitled to possession for a
period of at least three months within the previous nine months and the same
person intends to resume residing at the property.
Sec. 56-581. Penalty for
violation of Article VI.
It shall be a
violation of this code to fail to register or re-register any vacant or
foreclosing property regulated by article VI, and to fail or refuse,
upon proper request, to provide full and correct information specified by this
article. Registration requirements shall not preclude the city from taking
appropriate actions to secure the property; or to issue notices of violation or
notices to abate; or from acting upon imminent hazard(s). Penalties for failing
to register or re-register shall be imposed as administrative citation fines.
The amount of the penalty for late filings is $50 for the first 30 days and
escalates by an additional $50 for each additional 30 days of delinquency until
a maximum of $500 is reached per registration period.
Sec. 56-582. Violations.
Any owner who
fails to comply with the requirements of this ordinance shall be guilty of an
ordinance violation and upon conviction thereof shall be punishable as set
forth in section 56-583.
Sec. 56-583. Penalties.
person convicted of a violation of this article shall be punished for that
violation by a fine of not less than $200.00, but not more than $1,000.00, or
by imprisonment of not more than 180 days or by both such fine and imprisonment.
Whenever the penalty is to be a fine or a fine and imprisonment, the fine shall
be no less than the minimum amount set out in the following schedule:
Not less than $200.00 but not more
Not less than $300.00 but not more
Not less than $500.00 but not more
Fourth and subsequent
day that a violation continues shall be considered a separate offense, for
which the violator may be arrested, tried and convicted without necessity of
administrative citation fines as described in Sec. 56-36 may also be imposed
for violations of this article and such fines shall be subject to the
administrative fine provisions and processes as described elsewhere in article
Sec. 56-584. Program
reporting and evaluation.
The city council
shall review the program provisions and requirements at least every two years
and determine whether to maintain, modify or terminate the program.
as to form and legality:
Assistant City Attorney