Placement: Second Reading of Ordinances / Public Hearing
Action Requested: Motion / Vote
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Ordinance 23-41, Public Hearing, Amend the City of Port St. Lucie Code of Ordinances Title III, Chapter 36, Article I, “General Provisions,” Increasing the Fees Charged By the Lien Services Division.
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Submitted By: Stephen Okiye, Finance Director, Finance Department.
Strategic Plan Link: The City's Goal of a high-performing city government organization.
Executive Summary (General Business): The Finance Department is recommending an update to the Lien Services Ordinance, revising the fees for lien searches from $50 to $80 and offering a rush fee of $160 for expedited services.
Presentation Information: A short PowerPoint presentation by Charlie Proulx, Deputy Director, Finance.
Staff Recommendation: Move that the Council adopt Ordinance 23-41.
Alternate Recommendations:
1. Move that the Council amend the recommendation and adopt Ordinance 23-41.
2. Move that the Council provide staff direction.
Background: Prior to 2016, all lien-related matters such as lien searches, modifications, and recordings were decentralized amongst various departments making it challenging for customers and staff to address questions and operate efficiently. At the City Council Winter Retreat on March 3rd, 2016, the City Council unanimously approved the creation of Lien Services under the Finance Department to centralize and expedite the process. To offset the cost of additional staff and resources, a $50 administrative fee was approved per lien search (Ordinance 16-18). Most customers are lien search companies working on behalf of title companies, and a lien search letter from the City represents their due diligence in ensuring a clean title. At the time, the $50 administrative fee was consistent with other agencies; however, it has not been reviewed since. An analysis was recently conducted and shows that Port St. Lucie is well below the industry average of $86. To ensure our pricing is in line with the market, improve the quality of our product for customers, and adequately cover the operational costs of the division, we propose raising the lien search fee to $80 and introducing a two-day rush service priced at $160.
Issues/Analysis: N/A
Financial Information: On average, the division is operating at a loss of $100,000. Increasing the lien search fee from $50 to $80 will net the City approximately $180,000 in additional general fund revenue.
Special Consideration: N/A
Location of Project: N/A
Attachments:
1. Ordinance 23-XX Draft
2. Powerpoint
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: #10180
Legal Sufficiency Review:
Reviewed by Sebastian Poprawski, Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.