Councilman Pacheco on Oct. 3 asked the City Council to examine a city lien and deed issue affecting property purchased by Lee Marks. The city attorney advised the council that under municipal code the Department of Public Works must file and record the deed as a ministerial action and that, in the city attorney’s view, the council does not have jurisdiction to stop that ministerial recording.

Pacheco said his office and the city attorney had discussed the property and that, because of legal impediments, the appropriate next step was a referral to the Public Works Committee so staff and councilmembers could investigate possible equitable resolutions. Pacheco moved to refer the matter; the chair ordered the referral with no objection. Several council members used the discussion to raise a broader policy problem: liens assessed for demolition and abatement can exceed a property’s market value, creating disincentives for redevelopment and complicating foreclosure outcomes.

Councilman Nick Hernandez described examples of prior demolitions where liens exceeded property values and urged the committee to consider whether state legislation or a city policy change is needed to prevent loss of city assessments in tax-lien foreclosures. Councilman Berensen cautioned against ad hoc concessions that could constitute a gift of public funds; Holden and others called for procedural safeguards and clearer notice in lien/auction processes.

The council’s action was to refer the item to the Public Works Committee so staff can review the legal options and explore potential compromises or policy changes; the chair instructed the committee to act expeditiously.