Brainerd to Combat Vacant Buildings

One Community Update
June 6, 2024

Source: Brainerd Dispatch

Vacant, unmaintained buildings in Brainerd could soon cost the owners big money.

City Council members are considering a vacant building registry, which would require owners of vacant buildings, as defined in a new ordinance, to register them with the city for a fee of $7,000. That fee could be waived or suspended, however, if the property owner works with city staff to restore the building.

Community Development Director James Kramvik brought the issue to the council last month, asking if the council wanted to pursue it. Council members reviewed a proposed ordinance laying on the guidelines Monday, June 3.

Kramvik told the council residents have consistently expressed that clean, well-maintained neighborhoods and business are a high priority, and the past few years have seen an increase in the number of abandoned dwellings and neglected properties due to maintenance issues or fire damage. Right now, the city relies on complaints from residents to address code violations on vacant properties. Many of the buildings do not meet the standards of condemnation and removal, as the problems are repairable.

A solution could be a vacant building registry. The proposed guidelines Kramvik presented to the council Monday are modeled after Minneapolis’ vacant building registry, which he said seems to be successful.

The proposed ordinance defines a vacant building as one that is:

  • Condemned.
  • Unoccupied and unsecured for five days or more. Many times unsecured buildings happen after events like fires, when there might be broken windows or doors that are broken and left open.
  • Unoccupied and secured by means other than those normally used in the design of the building for 30 days or more. These buildings are typically those that might be missing windows or doors and have plywood over the openings. If an owner is in contact with a city about the work, though, the building may not go on the registry.
  • Unoccupied and has multiple housing maintenance, fire or building code violations existing for 30 days or more.
  • Unoccupied for more than a year with an order to correct a nuisance.
  • A vacant building that is unable to receive a certificate of occupancy due to expired permits or demonstrated work stoppage of 180 days or more as determined by a building official. These cases happen when construction might have started on a building and then stopped for a period of time. Neighbors might complain about debris all over the property.

A building owner would be able to appeal a designation.

If a building is placed on the registry, the owner would have to include details on the expected time it is to remain vacant and a plan for either returning the building to occupancy standards or demolishing it.

The $7,000 annual registry fee could be waived or suspended if the building owner has a written restoration plan with the city and is working to restore the building.

The goal, Kramvik said, is not to stick people with a $7,000 fine but to incentivize property owners to either fix up their buildings or sell them. It’s an ordinance he said many people in the city have expressed interest in.

Mayor Dave Badeaux said he was in favor of the regulations, noting he’s had a few discussions lately with residents about problem properties.

“It seems like we’re getting one or two of them a year,” Badeaux said. “And it’s just an interesting dilemma that has popped up in the last couple of years, and getting ahead of it is good.”

With council members in favor of the proposed ordinance, Kramvik will bring it back to the council at its next meeting for a first official reading.

 

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CEO

Alan Jaffa

Alan Jaffa is the Chief Executive Officer for Safeguard Properties, steering the company as the mortgage field services industry leader. He also serves on the board of advisors for SCG Partners, a middle-market private equity fund focused on diversifying and expanding Safeguard Properties’ business model into complimentary markets.

Alan joined Safeguard in 1995, learning the business from the ground up. He was promoted to Chief Operating Officer in 2002, and was named CEO in May 2010. His hands-on experience has given him unique insights as a leader to innovate, improve and strengthen Safeguard’s processes to assure that the company adheres to the highest standards of quality and customer service.

Under Alan’s leadership, Safeguard has grown significantly with strategies that have included new and expanded services, technology investments that deliver higher quality and greater efficiency to clients, and strategic acquisitions. He takes a team approach to process improvement, involving staff at all levels of the organization to address issues, brainstorm solutions, and identify new and better ways to serve clients.

In 2008, Alan was recognized by Crain’s Cleveland Business in its annual “40-Under-40” profile of young leaders. He also was named a NEO Ernst & Young Entrepreneur Of The Year® Award finalist in 2013.

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Esq., General Counsel and EVP

Linda Erkkila

Linda Erkkila is the General Counsel and Executive Vice President for Safeguard Properties, with oversight of legal, human resources, training, and compliance. Linda’s broad scope of oversight covers regulatory issues that impact Safeguard’s operations, risk mitigation, strategic planning, human resources and training initiatives, compliance, insurance, litigation and claims management, and counsel related to mergers, acquisition and joint ventures.

Linda assures that Safeguard’s strategic initiatives align with its resources, leverage opportunities across the company, and contemplate compliance mandates. She has practiced law for 25 years and her experience, both as outside and in-house counsel, covers a wide range of corporate matters, including regulatory disclosure, corporate governance compliance, risk assessment, compensation and benefits, litigation management, and mergers and acquisitions.

Linda earned her JD at Cleveland-Marshall College of Law. She holds a degree in economics from Miami University and an MBA. Linda was previously named as both a “Woman of Influence” by HousingWire and as a “Leading Lady” by MReport.

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COO

Michael Greenbaum

Michael Greenbaum is the Chief Operating Officer of Safeguard Properties, where he has played a pivotal role since joining the company in July 2010. Initially brought on as Vice President of REO, Mike’s exceptional leadership and strategic vision quickly propelled him to Vice President of Operations in 2013, and ultimately to COO in 2015. Over his 14-year tenure at Safeguard, Mike has been instrumental in driving change and fostering innovation within the Property Preservation sector, consistently delivering excellence and becoming a trusted partner to clients and investors.

A distinguished graduate of the United States Military Academy at West Point, Mike earned a degree in Quantitative Economics. Following his graduation, he served in the U.S. Army’s Ordnance Branch, where he specialized in supply chain management. Before his tenure at Safeguard, Mike honed his expertise by managing global supply chains for 13 years, leveraging his military and civilian experience to lead with precision and efficacy.

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CFO

Joe Iafigliola

Joe Iafigliola is the Chief Financial Officer for Safeguard Properties. Joe is responsible for the Control, Quality Assurance, Business Development, Marketing, Accounting, and Information Security departments. At the core of his responsibilities is the drive to ensure that Safeguard’s focus remains rooted in Customer Service = Resolution. Through his executive leadership role, he actively supports SGPNOW.com, an on-demand service geared towards real estate and property management professionals as well as individual home owners in need of inspection and property preservation services. Joe is also an integral force behind Compliance Connections, a branch of Safeguard Properties that allows code enforcement professionals to report violations at properties that can then be addressed by the Safeguard vendor network. Compliance Connections also researches and shares vacant property ordinance information with Safeguard clients.

Joe has an MBA from The Weatherhead School of Management at Case Western Reserve University, is a Certified Management Accountant (CMA), and holds a bachelor’s degree from The Ohio State University’s Honors Accounting program.

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Business Development

Carrie Tackett

Business Development Safeguard Properties