FELLSMERE — The owners of 12 properties in Fellsmere have one more chance to clear up their outstanding water liens or else the city will initiate the foreclosure process to recoup the utility costs ranging from $67 on one property to nearly $131,600 on another, a partially developed hotel site.
“This is a last resort action,” City Manager Jason Nunemaker told the Fellsmere City Council at a recent meeting.
He explained that the city’s bookkeeping requires that the dozen water liens, which date as far back as 2006, be cleared from the books.
Nunemaker said that it is city staff’s preference to take care of the liens without going through the foreclosure process.
The largest water liens are on five parcels that constitute the partially developed Aldea hotel site located at the northwest corner of Interstate 95 and County Road 512. Each parcel has a $131,590 lien.
“We’re obviously not using any utilities on that property,” property representative Michael Schlitt told the council during the discussion. He asked the council consider alternative ways to resolve the situation.
Nunemaker told the council that, in the case of the Aldea development, a line of credit had been extended to the builder, but that line of credit did not take care of the water utility lien. He said if the city were to go to the bank where the line of credit had been taken, the city wouldn’t be able to get the money.
“They’ll tell us to go pound sand,” Nunemaker said.
The Fellsmere City Council agreed to give Schlitt time to work out an arrangement with city staff to address the water liens on the Aldea property.
Along with the Aldea site, the council discussed the impact foreclosing on the historical homes listed could have.
“We’re losing enough of our old structures,” Mayor Susan Adams said, asking staff to pay special attention to those homes that have water liens against them.
She said that if the liens aren’t satisfied and the city can take them through foreclosure, perhaps the city could convert them to public use.
“It does give me heartburn to do this,” she said of considering foreclosure on the properties.
The city council unanimously approved having staff send one last certified letter to each of the properties’ owners requesting they reach out to the city within 15 days to take care of their liens.