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Council halves interest, approves 3-year repayment plan for utility liens on 629 E. Charlotte Ave.
Summary
After discussion, council voted to cut the accrued interest on outstanding utility charges for property at 629 East Charlotte Avenue roughly in half and allow a three-year payment plan for the remaining principal; staff previously recommended waiving only interest and providing a three-year payback of principal.
The Punta Gorda City Council on May 7 approved a councilmember motion to reduce the outstanding accrued interest on utility liens attached to 629 East Charlotte Avenue and allow the new owner a multi-year repayment plan for the remaining balance.
Kristen Simeon, finance director, explained the Utility Advisory Board had recommended waiving the lien interest and allowing a three-year payback of principal related to unpaid utility fees on the property. Property owner Dr. Gadsden told council he bought the building knowing a lien existed and had begun repairs and improvements, including a new roof and securing the structure. He said the property had no active water usage for years and that meter charges accumulated while prior owners were deceased.
Council discussion included whether waiving interest set a precedent, the administrative work behind lien collection and the public benefit of returning a blighted property to active use. One councilmember proposed halving the interest and granting a three-year payment plan; that motion was seconded and passed by voice vote.
Staff said once a payment plan is established the city typically suspends additional interest on the unpaid principal. Council also clarified annexation of an adjacent city-owned strip of land is a separate planning matter to be handled through planning and zoning and future agendas.
