Agenda

Back to Calendar Return

County Administrator's Report 14. 21.

BCC Regular Meeting

Budget & Finance Consent

Meeting Date:	12/06/2018
Issue: Default on the Purchase of County-Owned Real Property Located at 3704 West Cervantes Street
From:	Stephan Hall
Department:	Asst County Administrator
CAO Approval:

RECOMMENDATION:

Recommendation Concerning Default on the Purchase of County-Owned Real Property Located at 3704 West Cervantes Street - Stephan Hall, Budget Manager, Management and Budget Services

That the Board take the following action concerning default on the purchase of County-owned real property located at 3704 West Cervantes Street (Account#: 07-0989-000, Reference #: 34-2S-30-0860-050-001). This parcel is located in District 2:

A. Declare James Smith, Jr., d/b/a Smith Family Enterprize, LLC, the successful bidder of the parcel referenced above, to be in default of the terms of the Contract between Smith Family Enterprize, LLC, and the County for purchase of the County-owned parcel located at 3704 West Cervantes Street for failure to close in the time frame prescribed by the terms of the Contract;

B. Retain the deposit made by James Smith, Jr., on behalf of Smith Family Enterprize, LLC, in the amount of $457.80, for the parcel located at 3704 West Cervantes Street; and

C. Authorize the parcel to be re-advertised for sale at another auction.

BACKGROUND:

James Smith, Jr. was the successful bidder in the surplus real property auction ending June 18, 2018, wherein he bid $4,578 for the parcel located at 3704 West Cervantes Street. Following the close of the auction, Mr. Smith completed the 10% Deposit and Purchase form and submitted his bid deposit to the County in the amount of $457.80 for the aforementioned parcel. The County Attorney's Office received the sales contract on August 16, 2018, which had hand-corrected typographical errors. No check payable to the County was included. As such, the County Attorney's Office mailed a set of corrective closing documents to Mr. Smith on August 17, 2018. To date, Mr. Smith has not executed the corrected Agreement for Sale and Purchase and has not responded to telephone calls or emails in this regard. On October 5, 2018, a certified letter was mailed to Mr. Smith by the Acting County Administrator, advising that he had failed to complete the closing and that the Administrator would recommend the Board find him in default of the terms of the contract, retain the bid deposit, and authorize the property to be re-advertised for another auction.

BUDGETARY IMPACT:

The 10% bid deposit submitted by Mr. James Smith, Jr. was deposited into the General Fund.

LEGAL CONSIDERATIONS/SIGN-OFF:

N/A

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

N/A

Attachments
Certified Letter