CITY OF EAST PROVIDENCE

RHODE ISLAND

JOURNAL OF REGULAR COUNCIL MEETING

Tuesday, March 20, 2012

6:45pm Executive Session

7:00 PM Regular Council Meeting

 

 

I.       Executive Session

A.      Claims Committee

Claims for Reconsideration

1. Travelers Home & Marine Ins. Co.

Litigation

1. Citizens Savings Bank vs City of East Providence

2. Gansett Limited Partnership vs City of East Providence

II.     Call To Order

III.    Salute To The Flag

IV.     Consent Calendar

1.   Letters

1. Exeter Resolution in support of H7055 expanding the number of voters allowed at polling locations. 

2. East Greenwich Resolution in support of H7055 expanding the number of voters allowed at polling locations. 

3. Westerly Resolution in opposition of H7250 mandatory continuation of existing teacher contracts.

2.   Council Journals

1. December 1, 2011 Emergency Council Meeting

2. January 3, 2012 Regular Council Meeting

3. January 17, 2012 Regular Council Meeting

4. February 7, 2012 Regular Council Meeting

5. February 28, 2012 Regular Council Meeting

6. March 6, 2012 Regular Council Meeting

3.   Cancellation/Abatements

Cancellation/Abatements

Year

Amount

2011

$1,519.03

2009

$327.59

2008

$324.63

2005

$95.72

2003

$223.14

2002

$298.66

Total

$2,788.77

4.   Tax Board Review Abatements

Tax Board Review Abatements

Year

Amount

2011

$6,701.70

Total

$6,701.70

Motion to Approve the Consent Calendar is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous.

V.      Public Comment

1. Alan Gilmore - Business Registration Fee

2. Burton Batty, Jr. - Business Registration Fee

3. Jack Fahey - Budget

4. Michael Melitto - Foreclosure Ordinance, defers until later to speak

5. Phil Tirrell - Business Registration Fee

6. Denise Lincoln - Business Registration Fee

7. Tom Riley - How Many Honey Pots Continued

VI.     Appointments

1.   Conservation Commission (by Councilman DiGoia)

Marie Esten, 41 Rhodes Avenue (02915)

 

Motion to approve is made by Councilman DiGioia, seconded by Councilman Conley and on a roll call vote it is unanimous.

2.   Canvassing Authority- Alternate (replaced Fran Brelsford) (by Mayor Rogers)

John Amaral, 61 Circuit Drive (02915)

Motion to approve is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

3.   Traffic Control (by Mayor Rogers)

Marie Barros, 45 Gerald Street (02914)

Motion to approve is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

4.   East Providence Tow List

A-1 Towing & Recovery, LLC, 5A Eastern Avenue (02914), John Barbosa.

 

Attorney Robert Brady testifies for Mr. Barbosa, stating previously the City had 6 tow companies on the list, one was removed through a Show Cause process.  There are 5 companies now.  Mr. Barbosa has filed the application, complied with all the rules and regulations, is licensed with the State PUC and owns property in the City. He has submitted all requirements, references, and the ordinance 8-524 states that if he meets all requirements and is operating 24 hours a day, 7 days a week, he shall be included on the EPPD call list. In addition to being a taxpayer and property owner, Mr. Barbosa is a supporter of local youth groups, has been in business in the City for a year and a half and there is no logical reason why he not be added.   

Solicitor Andreoni stated that it has been past practice of City Council to appoint to the tow list at their discretion and a Council member must make the appointment and there is no number as to how many they should have on the list.

Chief Tavares stated that Mr. Barbosa asked to speak with him prior and he did meet with Mr. Barbosa and made mention he would like to be on the tow list.  Chief Tavares further explained that he informed Mr. Barbosa that it was not his duty to assign companies to that list that the process involved going to the Clerk’s office to make application. He further let Mr. Barbosa know he didn't know him or the company or if there was a waiting list and informed him he was on the record last year that he was in favor of six companies on the tow list not four.  The Chief stated his reasons for this as detailed before including in cases of storms or other natural disasters where more companies would be an asset.  The Chief added that the City Manager had asked him to perform an analysis recently on choosing 6 companies vs 5 since this was a soft year with little snow there was no urgency at this point to add another company.  The Chief added that he did view the video of the previous Council Meeting and was concerned by Mr. Barbosa's demeanor and his tone and those who represent the City and the EPPD must have professionalism and good conduct and for the most part they have done a very good job and when they have not they have been removed.  Chief Tavares stated he could not support Mr. Barbosa at this point and time and would like to see a waiting list compiled going forward and invites Mr. Barbosa to apply to the waiting list and he can be considered again, that perhaps he was just having a bad day.  In any case, the Chief would like to invite a wider group and create a list to add one company so that in those times of need or urgency the City can activate that waiting list.

Mr. Brady responds the purpose in pointing out the nature of the statute if the company is qualified it states they shall be appointed to the list, how does adding a new person to the list hurt, it can only help and Mr. Barbosa should be appointed to the tow list.

Mr. Andreoni stated the distinction is we are talking about two lists the list to tow and the list that the EPPD has concerning their list to tow. 

It is requested that Mr. Andreoni review the rules and regulations for those on the EPPD tow list and review the ordinance for changes if needed to make it clear.

Mr. Brady states that this is the discrepancy Mr. Barbosa was confused and thought he was on the list.

 

Testifying:

Brian Coogan, 809 Broadway, Mr. Coogan states that he has been towing in East Providence since 1988, and that the list is the tow list, there is a license to do business in the City for a tower in the Clerk’s office like a peddler license etc... there were 6 towers on the list before just put 6 on don't be political.

Councilman Conley stated that he is concerned by the argument Mr. Brady makes and that he feels that the analysis is not complete and it may require a little work.  He requests the law department take a look at this. He added that when Mr. Barbosa was here last week, that we would receive a recommendation from the Chief and that my preference was to follow this recommendation, it is not political but good government following the recommendation of those professionals we have hired.  

The motion by Councilman Conley is to refer to the Chief's recommendation there is no second on the motion.  There is no other motion and the item dies.

5.   Canvassing Authority (by Mayor Rogers)

Bruce DiTraglia, 120 Smith Street (02915)

Motion to approve is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

VII.   Licenses Requiring Public Hearing

1.   Dance Entertainment

Square One, LLC DBA Oxford Tavern, 446 Waterman Avenue (02914), Alan Manchester, 202 Robert Street, Westport, MA (02790).

 

The Mayor states that there was a neighborhood meeting held to address any issues the neighbors might have with this license.  The problems which existed with the previous owner were trash disposal and late night noise. The Mayor read the ordinance regarding licenses subject to a Show Cause Hearing if needed to address problems. The neighbors attending the meeting all agreed that there should be no stipulation as this new owner has not had any issues yet. 

VIII.  New Business

A.      City Managers Report by City Manager Peter Graczykowski

1.   State Income Tax Refund Offset Program Update

The City Manager reported the first step was to send 13,000 letters to residents or businesses who had owed anything over $25.  This totaled $750,000 of those, $284,000 is real estate $219,000 motor vehicles and $146,000 water and sewer. After March 28th the remaining accounts will be turned over to the State and will be offset by the income tax refund.

2.   Bacon and Company Letter of Engagement

The City Managaer reported that the B & E letter this is a three year contract, it is the final year of the contract.  Last year the fees were very close and the scope of the services is increasing because of the demands. We have the company looking into more areas than in the past.

 

Councilman Conley asked if the City asked them to hold their fees and City Manager stated yes but that it is not an option.

 

Councilman Conley stated he was discouraged that they did not want to and that he is not prepared to act on this item until they come in on the record and tell the Council why they won't hold their fees.

The Mayor agrees and a motion is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose to defer the item until B & E come to the Council to discuss.

3.   Award of Bid for Statistical Revaluation

The City Manager calls the Assessor Steve Hazard to the podium.  Mr. Hazard states the last reval was done in 2009 and needs to be completed as of 12/31/12. It is broken down into 3 sections, the state reimburses for one portion. The East Providence software is very old and the third part of the fee is the appraisal on Exxon Mobile.  Exxon Mobil has come up at other Council meetings they take up roughly 1/10 of the City land.  One bidder was Peter Scotti and Associates and other the other was Navigant. There are also clean up issues regarding the mobile land and if they want to put houses etc... there are environmental issues that make it very complex

 

Councilman Conley stated that the Council did not receive the background information on Exxon Mobil. 

The City Manager will provide this at the next Council meeting.

 

A motion to approve is made by Councilman Conley, seconded by Councilman DiGioia and on a roll call vote it is unanimous. 

4.   Police Detail Rate Change

The City Manager reported that the EPPD detail rate change originally requested by Mayor Rogers has been reviewed by looking at other communities.  The Chief did a study and East Providence has the second highest officer rate.  The vehicle rate is lower and the Finance Department concluded they are supporting the current hourly officer rate but that the cruiser rate should be increased. The Chief and Finance Director went before the Budget Commission with this item on March 15th and it was approved and became effective immediately.

5.   Departmental Activity Update

The City Manager reported that the Departmental Activity update provides a snap shot of activities, it is posted on line as part of the Council Agenda and also posted on the city website separately under the City Manager Department per Councilman DiGioia's request.

6.   Approval of Wastewater Rate Study

The City Manager asked that the Wastewater Rate Study be withdrawn as it is item to be further discussed at a Budget Commission Meeting. 

A motion to withdraw is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

B.      Reports Of Other City Officials

1.   Claims Committee Report(by Solicitor Orlando Andreoni)

Pursuant to R.I.G.L. § 42-46-5(a)(2), a motion is made by Councilwoman Kleyla and seconded by Councilman Rose to convene in closed session for the purposes of discussing claims & litigation.  Upon a roll call vote:  Mayor Rogers - Aye, Councilman Conley - Aye, Councilman DiGioia - Aye, Councilwoman Kleyla - Aye, Councilman Rose - Aye, the motion is approved 5-0.

 

                                    EAST PROVIDENCE CLAIMS COMMITTEE

                                              CLAIMS & LITIGATION REPORT

                                TUESDAY, MARCH 20, 2012; ROOM 101; 7:00 P.M.

====================================================================

                                             CLAIMS FOR RECONSIDERATION

 

TRAVELERS HOME & MARINE INS. CO.                                                                  $1,763.70

(INS: COREY PENA)

RM No. 11-068, Claim No. 11-046

 

Claim for reimbursement of expenses paid for property damage sustained to insured’s vehicle as a result of striking an open manhole/sewer cover on Valley Street.  The Claims Committee voted at its meeting held on November 1, 2011 to deny the claim.  Claimant is asking for reconsideration of the claim and has submitted photographs of the damage to their insured’s vehicle.

 

Motion by:  Councilman Rose                                    Seconded by:  Councilwoman Kleyla

 

Motion:  Defer the matter and request the City Solicitor review the matter with the claimant.

 

 

LITIGATION

 

CITIZENS SAVINGS BANK VS. CITY OF EAST PROVIDENCE

C.A. NO. 11-1698

 

Settlement Discussion

 

Motion by:  Councilman Conley                                 Seconded by:  Councilman DiGioia

 

Motion:  Refer the matter to the Law Department for settlement.

 

GANSETT LIMITED PARTNERSHIP VS. CITY OF EAST PROVIDENCE

C.A. NO. 08-2984, 09-1024, 09-7173, 11-0930

 

Settlement Discussion

 

Motion by:  Councilman Conley                                 Seconded by:  Councilwoman Kleyla

 

Motion:  Refer the matter to the Law Department to review with the Budget Commission.

 

Under discussion Councilman Conley states for clarification the on the first matter it is a motion to continue and Solicitor Andreoni replies yes. 

A motion to approve the Claims Committee Report is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

2.   School Committee Update (by Council Liaison School Committee Member Chrissy Rossi)

Ms. Rossi placed handed out a report to be submitted for the record. 

3.   Earth Day Cleanups (by Director of Public Works Steve Coutu)

Director Coutu announced the City will again support neighborhood Earth Day Clean-ups during the month of April.  Clean-ups can be organized and take place anywhere included this year are the waterfront, the bike path and walking trails.  The City supports the groups and supplies the gloves and bags and picks up all the debris that the groups collect.  If you are interested in establishing a group contact the Department of Public Works Donna 435-7701.

Councilwoman Kleyla asks about paint can disposals. Mr. Coutu states empty cans are free at any collection so it doesn't add to the city cap regarding paint collection.  There is a day in August dedicated to collecting non-empty paint cans in conjunction with RI Resource Recovery. Other times of the year all non-empty paint cans be also be brought to RI Resource Recovery in Johnston or any turn stations.

C.      Council Members

1.   Bi-Weekly Update (by Mayor Rogers)

The Mayor provided an update on the Budget Commission.  They have been meeting with school athletics, elementary ed, secondary ed, City law department, EPPD, IT and Parks and Recreation, all proposing cuts. East Providence is better off than Woonsocket and Providence and better than Central Falls.  The East Providence School Department at the last meeting voted to send the resolution to state legislature and the Mayor read from an article, adding reorganization and consolidation and the brave stand they took and publicly thanked them.

The Mayor also stated that he is proposing via Representative Melo that the City receive its education aid payments on a monthly basis.  He requested the Law Department to put a resolution together with a fiscal analysis attached. 

The Mayor announced the Governor is sponsoring a small business forum on Tuesday, April 10th.

Planning Director Jeanne Boyle was called forward to give details.  The forum will be from 8:30am-10:00am this is part of a series the Governor is holding across the State.  There will be an opportunity for questions and answers from the East Providence business community, they will cover access to finance and credit for small business, regulatory and permitting processes at the state level, revitalizing urban communities and businesses, focus on energy efficiencies for businesses and this is done partnering with the local chamber of commerce.  Invites to all local businesses are going out and attendance elsewhere has been around 75-100. This will provide a good discussion on the various topics and outreach will be handled by the Planning Department who are asking for RSVP's just to help get head count but people don't need to RSVP to attend.  This information will also be located on the city's web page with a link to the East Providence Chamber website as well.

2.   Business Registration Fee Discussion (by Mayor Rogers)

The Mayor stated he has heard from the business community regarding various city offices and he would like to have a local forum with all the department and division heads so that the business owners and potential business owners can ask questions to help things move faster.  A lot of problems businesses may find will be settled with the new software package. There will be an option to discuss what other cities are doing and how we might be able to do some of the same pro-business items. The City Manager has agreed to put this together.

The Assessor Steve Hazard is called to the podium to explain why we have the fee and 3 reasons why the city needs to have ordinance:

1. we are able to identify businesses

2. it's good business practice to have a list of all business if they need to be notified for anything including emergencies

3. for collection of the taxes which equates to $500,000 that can't be collected if we have no means to collect

Even if the council eliminates the fee, which was for administrative costs, the goal was to catch the 5% who are not paying the taxes.  Its question of fairness and equity and how we administer the process is the question.

The City Manager stated that if you don't do it at all you stand to lose $500,000 a year.

The Assessor suggested the requirement to file the form with no fee attached and then a registration is still there.

Mayor Rogers stated that times are tough now the City Council is imposing a new fee, if we want to keep businesses in the City we are deterring them from staying here. If there is any way around that whether it's by reducing the fee or removing the fee he would be in favor of that.

Councilman DiGioia stated this was introduced by the Rossi Plan and that he wants to make a motion to bring back the ordinance amendment and get rid of the fee. The business community has contacted all of us and it should be done tonight.

Councilman Conley seconded the motion adding the Assessor has correctly stated that we will have an enforcement action without the fee, on a roll call vote Councilwoman Kleyla Nay as it was not explained how this refund would be given back, Mayor Rogers Aye, Assistant Mayor Rose Aye.  The motion passes 4-1.

D.      Introduction of Ordinances

1.   An ordinance amendment regarding collection of taxes.

AN ORDINANCE IN AMENDMENT OF CHAPTER 16 OF THE REVISED ORDINANCES OF THE CITY OF EAST PROVIDENCE, RHODE ISLAND, 1998, AS AMENDED, ENTITLED “TAXATION”

SECTION I.  Section 16-51 entitled “Collection” of Article IV entitled “Property Tax on Ratable Real Estate and Tangible Personal Property and Excise Tax on Registered Motor Vehicles and Trailers” of Chapter 16 of the Revised Ordinances of the City of East Providence, Rhode Island, 1998, as amended, entitled “Taxation.” is amended to read as follows:

Sec. 16-51. Collection.

0

 

2.   An ordinance amending parking fines.

AN ORDINANCE IN AMENDMENT OF CHAPTER 18 OF THEREVISED ORDINANCES OF THE CITY OF EAST PROVIDENCE, RHODE ISLAND, 1998, AS AMENDED, ENTITLED “VEHICLES AND TRAFFIC”

SECTION I.  Section 18-11 entitled “Traffic fines” of Article I entitled “In General” of Chapter 18 entitled “Vehicles and Traffic” is amended to read as follows:

Sec. 18-11.  Traffic fines.

Fines for violation of the motor vehicle regulations contained in this chapter are hereby fixed as follows:

(1)        Defiance of corner law . . . . . $25.00 $45.00

(2)        Operating motor vehicle in violation of posted restricted street . . . . . 25.00 85.00

(3)        Parking at bus stop . . . . . 25.00 50.00

(4)        Parking at crosswalk . . . . . 25.00 50.00

(5)        Parking in front of driveway . . . . . 25.00 50.00

(6)        Parking in front of hydrant . . . . . 25.00 48.00

(7)        Parking in restricted area . . . . . 25.00 45.00

(8)        Parking too far from curb . . . . . 25.00 45.00

(9)        Parking with left wheel at curb . . . . . 25.00 45.00

(10)      Violating time regulation . . . . . 25.00 45.00

(11)      Parking in fire lane . . . . . 50.00 65.00

(12)      Parking on sidewalk . . . . . 25.00 45.00

(13)      For violation of snow emergency ordinance (plus towing and storage charges, if any) . . . . . 50.00 80.00

(14)      Parking by commercial vehicles in restricted areas . . . . . 50.00 65.00

(15)      Parking in disabled parking:

                        a.         First violation . . . . . 75.00 100.00

                        b.         Second violation . . . . . 150.00 200.00

                        c.         Third violation . . . . . 300.00 325.00

All of the above traffic fines are subject to a four-dollar increase upon issuance of a summons for such violations.  A $10.00 discount will be applied to the above traffic fines provided said fine is paid within 10 days from the date noted as the date of the offense.

SECTION II.  This ordinance shall take effect upon second passage and all ordinances and parts of ordinances inconsistent herewith are hereby repealed.

Sgt. Andrews comes to the podium and lets the Council know that the fines have not been adjusted since 1998. If a person pays within 10 days they receive a $10 discount and with that discount the fees would be about the same as Pawtucket.

Mayor Rogers asked if research could be done regarding operating a motor vehicle in violation of posted restricted street for a 1st, 2nd and 3rd violation.  This would help in the Roger Williams area in particular. 

Councilman DiGioia stated he could not support this due to the difficult times we are in.

Councilman Conley asked who can introduce ordinances, is it just the Council and requested a written formal analysis of this issue.

A motion to approve is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote, Councilman Conley votes Nay and Councilman DiGioia votes Nay and Mayor Rogers votes Aye.  The motion passes 3-2.

3.   An ordinance pertaining to foreclosures.

AN ORDINANCE IN AMENDMENT OF CHAPTER 4 OF THE REVISED ORDINANCES OF THE CITY OF EAST PROVIDENCE, RHODE ISLAND, 1998, AS AMENDED, ENTITLED “BUILDINGS AND BUILDING REGULATIONS.”

SECTION I.  Chapter 4 of the Revised Ordinances of the City of East Providence, Rhode Island, 1998, as amended, entitled “Buildings and Building Regulations.” is hereby amended to add the following:

Article IV.  Foreclosure Requirements

Sec. 4-431.  Foreclosure Requirements for Owner Occupied Residential Properties.

(A) Definitions

1.      The City shall mean the City of East Providence.

2.      Residential premises/property shall mean real property that is owner-occupied as an owner's principal resident, located within the City of East Providence, that is either a single-family or a structure containing not more than four residential units, and shall also include a residential condominium unit or a residential co-op unit occupied by an owner as an owner's principal resident.

3.      Loan/mortgage conciliation conference coordinator shall mean an individual employed by a HUD-approved independent counseling agency to facilitate the discussion between the homeowner/mortgagor and the lender/mortgagee.

4.      Loan/mortgage conciliation conference shall mean the formal discussion and negotiation taking place at the call of the loan/mortgage conciliation conference coordinator between the homeowner/mortgagor and the lender/mortgagee.

5.      Homeowner shall mean an individual who owns and resides in residential real property located in the City of East Providence, and for whom such residential real property is a principal resident.

6.      Lender shall mean an entity which has advanced funds secured by a mortgage on residential premises, and recorded in the Land Evidence Records of the City.

7.      The Parties shall mean the homeowner/mortgagor and the lender/mortgagee

8.      Rules and regulations shall mean any rules adopted by the City necessary for the proper enforcement of this Ordinance to interpret and secure its intent.

(B) Statement of Policy.  It is hereby declared that residential mortgage foreclosure actions, caused in part by so-called sub-prime mortgage lending and predatory lending practices as well as unemployment and underemployment, have negatively impacted a substantial number of homeowners in the City. Increasing numbers of foreclosures leads to increases in unoccupied and unattended buildings in the City and cause the unnecessary and unwanted displacement of homeowners and tenants who desire to live in the City of East Providence.

(C) Purpose.  The purpose of this ordinance is to protect the public by providing early, HUD-approved independent counseling agency supervised intervention in residential owner-occupied mortgage foreclosure cases which will assure timely determination of eligibility under various federal, state and local programs established to facilitate loan work-out and other solutions to permit residential homeowners, where possible, to retain their properties and permit lenders to move forward to auction/sale of the properties and recordation of a foreclosure deed upon conclusion of the process.

(D) Filing/Recording of Foreclosure Deed.  From and after the effective date of this Ordinance, no deed offered by a lender/mortgagee to be filed with the City Clerk as a result of a mortgage foreclosure action shall be accepted and/or recorded in the Land Evidence Records of the City until and unless the following events have occurred:

a.       The lender/mortgagee shall provide written notice to the City of its intent to foreclose on the subject residential property at the same time it issues notice to the homeowner/mortgagor of the foreclosure action. Such notice must include plat and lot information.

b.      Said notice shall be filed by the lender/mortgagee with the City Clerk.

c.       Following the filing of such notice, the Parties shall participate in a mandatory loan/mortgage conciliation conference at a location mutually convenient to the parties. Telephone participation by the lender/mortgagee is acceptable.

d.      Said conciliation conference shall be scheduled at a time and place to be determined by the conciliation conference coordinator, but not later than twenty-one (21) days following the mailing of the notice of intent to foreclose. The Parties will be noticed by certified and first class mail.

e.       Prior to the scheduled conciliation conference, the homeowner/mortgagor will be assigned a loan counselor to be provided by a HUD-approved independent counseling agency.

f.       The homeowner/mortgagor shall cooperate in all respects with the housing counseling agency, providing all necessary financial and employment information. The homeowner/mortgagor shall complete any and all loan resolution proposals and applications as appropriate.

g.      The conciliation conference will require the exchange of information provided as required by subsection (f) to the representative of the lender/mortgagee.

h.      If after two attempts by the conciliation conference coordinator to contact the homeowner/mortgagor, the homeowner/mortgagor fails to respond to the conference coordinator's request to appear for the conciliation conference, or the homeowners/mortgagor fails to cooperate in any respect with the requirements outlined in this Ordinance, the requirements of the Ordinance will be deemed to be satisfied upon verification by the HUD- approved independent counseling agency that the required notice was sent; and if so, a certificate will be issued immediately by the HUD-approved independent counseling agency authorizing the lender/mortgagee to proceed with the foreclosure action including recording the foreclosure deed.

i.        If, it is determined after a good faith effort made by the lender/mortgagee at the conciliation conference with the homeowner/mortgagor, that the Parties, cannot come to an agreement to re-negotiate the terms of the loan in an effort to avoid foreclosure, such good faith effort on behalf of the lender/mortgagee shall be deemed to satisfy the requirements of this Ordinance. A certificate certifying such good faith effort will be issued immediately by the HUD- approved independent counseling agency authorizing the lender/mortgagee to proceed with the foreclosure action to include recording the deed. Such a certification will be in the form of a document to be filed along with all other relevant documents with the City Clerk.

j.        Upon the demand of the lender/mortgagee at any time following completion of the conciliation conference, if the lender/mortgagee is not invoking subsection (h), the HUD- approved independent counseling agency will immediately certify that the provisions of this Ordinance have been met.

k.      The Parties shall complete the process required by this Ordinance within a period of forty- five (45) days from the initial notice provided in (a).

1. Cases involving premises which are not owner-occupied or which are not residential are not subject to the mandatory loan/mortgagee conciliation conference and may proceed directly to foreclosure and recordation of the deed concerning such property, presuming compliance with section 4-432.

m. Notwithstanding the foregoing, any lender/mortgagee which is headquartered within the State of Rhode Island and which services its own mortgages shall be deemed in compliance with the requirements of this section of:

(1)   The lender/mortgagee provides homeowners forbearance relief requirements applicable to FHA-Insured Mortgages, as set forth in Chapter 8 of the HUD Handbook 4.330.1 Rev. 5, Administration of Insured Home Mortgages, as the same may be amended from time to time; and

(2)   The deed offered by a lender/mortgagee to be filed with the City Clerk as a result of a mortgage foreclosure action contains a certification that the provisions of this sub-section have been satisfied.

(E)  Penalties.  No deed offered by a lender/mortgagor to be filed with the City Clerk shall be accepted and/or recorded in the Land Evidence Records of the City if it is determined that the lender/mortgagor has failed in any respect with the requirements and provisions of this ordinance.

Sec. 4-432.  Foreclosure Requirements for Rental Properties.

(A) Definitions

1.      Bona Fide Tenant shall mean a person who has entered into a written or oral rental agreement with a homeowner or landlord (mortgage) with respect to a dwelling unit of a mortgaged residential premises no less than thirty (30) days prior to the foreclosure of the mortgagor's interest. Neither the mortgagor nor any member of his or her immediate family is a "bona fide tenant." The protections afforded a bona fide tenant exist regardless of whether the residential premises is or is not owner-occupied.

2.      The City shall mean the City of East Providence

3.      Rules and Regulations shall mean any rules adopted by the City necessary for the proper enforcement of this Ordinance to interpret and secure its intent.

(B) Notice to Bona Fide Tenants.  Effective upon passage of this Ordinance, no bona fide tenant legally occupying a rental residential property within the City shall be forced to vacate that property in the event of a mortgage foreclosure action upon that property unless and until the following series of actions are taken:

a.       Where any dwelling unit of a foreclosed mortgaged estate is occupied by a bona fide tenant, and where the foreclosed mortgagor had provided essential services including, without limitation, heat, running water, hot water, electric, sewer or gas to such tenant, any successor in interest to be foreclosed mortgagor shall continue to provide the same essential services under the same terms and conditions to the tenant.

b.      A successor in interest to a mortgagor shall provide notice to each bona fide tenant, as defined in Section (A) by mailing an envelope addressed to "Resident of Property Previously Subject to Foreclosure Sale" and by posing, in the same manner required for posting the notice of sale on the property to be sold, a written notice in English, Spanish and Portuguese stating the name and address of the successor in interest, and/or managing agent so that the tenant may know to whom the ongoing rental payments should be made.

c.       Where a dwelling unit of a foreclosed mortgaged estate is occupied by a bona fide tenant of the foreclosed mortgagor, the bona fide tenant assumes a month to month periodic tenancy governed by the provisions of Chapter 18, Title 34 of the Rhode Island General Laws, except in those instances in which the bona fide tenant has entered into a written rental agreement with a homeowner or landlord (mortgagor) with respect to a dwelling unit of a mortgaged residential premises. In such instances tenancy is assumed for the duration specified in the written agreement.

d.  The lender/mortgagee shall provide notice to each bona fide tenant, as defined in Section (A), by mailing an envelope addressed to "Resident of Property Subject to Foreclosure Sale" and by posting, in the same manner required for posting the notice of sale on the property to be sold, at the same time notice is provided to the mortgagor, a written notice in English, Spanish and Portuguese: (i) stating that the real estate is to be sold in foreclosure, which may affect the tenant's right to continue to live in the property; (ii) stating the date, time and place of sale; (iii) providing the address and telephone number of Rhode Island Legal Services, and (iv) provide the name, address and telephone number of HUD-approved counseling agencies in Rhode Island. Failure of the lender/mortgagor to provide notice as provided herein shall not affect the validity of the foreclosure; however, no successor in interest to the mortgagor shall be permitted to initiate an action for possession of the premises against such bona fide tenant until notice as required herein, in addition to the notice required in subsection (d) is provided.

(C)  Registration with the City Clerk.  From and after the effective date of this Ordinance where any dwelling unit of a foreclosed mortgaged estate is occupied by a bona fide tenant, the successor in interest to be foreclosed mortgagor shall file with the City, through the City Clerk's Office a certificate of registration. Each Certificate of Registration shall state:

a.         Name, address and telephone number of the lender/mortgagee.

b.         Such description of each multiple dwelling/tenanted dwelling, by street number or otherwise, as will enable the easy location of same.

c.         The name, address and telephone number of the agent appointed by the lender/mortgagee for the purpose of receiving service of process and other orders or notices.

d.        The number of dwelling units in the building.

e.         The names of all tenants and an identification of the type of lease said tenant is operating under.

f.          The name and address, including the dwelling unit, apartment or room number of any person employed by the lender/mortgagor to provide regular maintenance service.

g.      The name, address and telephone number of an individual representative of the lender/mortgagor who may be contacted at any time and who has the authority to make emergency decisions concerning the building and any repair thereto or expenditure in connection therewith.

h.  The name and address of the fuel supplier, if any, and the grade of fuel oil used.

(D) Penalties.  Any failure of a lender/mortgagee or successor in interest to a mortgagor to comply with the terms of this Ordinance will be penalized by a fine of not less than $1,000.00 per offense.

SECTION II.  This ordinance shall take effect upon its second passage and all ordinances or parts of ordinances inconsistent herewith are hereby repealed.

Requested by:  Councilman Rose

Mike Malitto, 44 Washington Street, Providence, was called to the podium and stated that Providence, Cranston, Warwick, Warren and Lincoln have all passed a similar ordinance.  About 90% of people who take advantage of these programs are allowed to remain in their home, often times it's too late and 80%-90% don't take advantage they get the notice too late, of those that do take advantage 90% are successful. There is a bill pending before the legislature H 7842 this proposal will make this model mandatory statewide. Because so many communities are considering this there is a good chance the legislation will be adopted. The statewide legislation gives someone the conciliatory measure before the deed is recorded.

Councilman Conley asked how does this ordinance matches up with the Superior Court decision?

Mr. Malitto stated it probably would not hold up on that one portion of the ordinance, on the other hand, the part that requires the conciliation procedures would be extremely helpful to homeowners. 

Councilman Conley asked why include it if it was struck down in Superior Court.

Mr. Andreoni stated he didn't have a chance to find out if the case was appealed or not.

Councilman Conley requested that it be brought back without that piece but all the good stuff still in it.

A motion to defer is made by Councilman DiGioia, seconded by Councilman Conley and on a roll call vote Assistant Mayor Rose votes Nay, Mayor Rogers votes Nay and Councilwoman Kleyla votes Aye.  The motion is to defer passes 3-2.

4.   An ordinance regarding removal of a no parking sign on South Broadway.

AN ORDINANCE IN AMENDMENT OF CHAPTER 18 OF THE REVISED ORDINANCES OF THE CITY OF EAST PROVIDENCE, RHODE ISLAND, 1998, AS AMENDED, ENTITLED “VEHICLES AND TRAFFIC”

SECTION I.  Section 18-307 entitled “Parking prohibited at all times.” of Article X entitled “Stopping, Standing and Parking.” of Chapter 18 of the Revised Ordinances of the City of East Providence, Rhode Island, 1998, as amended, entitled “Vehicles and Traffic.” is amended by deleting therefrom the following:

            South Broadway (west side) from a point 25 feet north of the Seth Street-South Broadway intersection southerly 642 feet

SECTION II.  This ordinance shall take effect upon its second passage and all ordinances or parts of ordinances inconsistent herewith are hereby repealed.

Requested By:  Director of Public Works

Director Coutu stated he was approached by Waterview Villa it is very crowded on South Broadway there is on street parking allowed although not in front of the building and the street appears able to support on street parking. 

A motion to approve is made by Councilwoman Kleyla, seconded by Assistant Rose and on a roll call vote it is unanimous.  

E.       Communications

1.   Anthony Ferreira, 44 Brightridge Avenue (02914) requesting to address the Council regarding the budget.

Mr. Ferreira stated that the homestead exemption and elderly exemption and library closures via the budget commission seem to be gone and how is this going to be handled.

Mayor Rogers addressed the question, as a commission member, they are public meetings and there is a public record kept, nothing is really finalized, I have to wear two hats council and budget commission member. I can be outvoted, though we do not vote and work on consensus instead. I have to decide what is best for city, the exemption will be done in increments, if it gets done at all.  The library director along with the trustees came back to the Budget Commission with the solution or acceptance of closing two libraries. The Commission is going for the small items and moving up to the big numbers and it is my hope that when we get to the big numbers we can refund the smaller ones. 

Mr. Ferreira also complained that it is hard to see the meetings as they are not streaming or taping.

2.   Freddie Rybka, 9 Cozzens Avenue (029150 requesting to address the Council regarding the budget.

Mr. Rybka stated the boilers put in at the EPHS, the chemical isn't being properly put in and a 6 year old boiler has lost 6 tubes already. He explained this is why this is happening by not properly adding chemicals to the boilers.  The City Manager stated he will get a breakdown from the Director of Facilities.

3.   Laura McNamara, Director of the East Providence Area Chamber of Commerce, 1011 Waterman Avenue (02914) requesting to address the Council regarding commentary from the East Providence business community on the Business Registration ordinance and generating revenue for the City.

Ms. McNamara asked if the City can put the business form on line instead of sending out in the mail as this would save money.  The form imposing a late fee for those that do not submit on time would work better.  Thank you to the City Council in repealing the ordinance. Ms. McNamara explained why the business community was so outraged.  

IX.     Adjournment

A motion to adjourn is made by Councilwoman Kleyla, seconded by Assistant Mayor Rose and on a roll call vote it is unanimous. 

 

Approved By Council:  April 3, 2012

 

Attest:  _______________

                   City Clerk

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