SHERBURNE COUNTY
SOLID WASTE CLEANUP:
LOW INTEREST LOAN PROGRAM ORDINANCE
(ORDINANCE NO. 251)
The Sherburne County Board of Commissioners adopted ORD-251 (Solid Waste Cleanup: Low Interest Loan Program Ordinance), to establish standards and procedures for providing low interest loans to single family residential properties that have received a Notice of Violation for various provisions set forth in Section 19.0 of the County’s Solid Waste Ordinance (ORD-180) to assist in financing the cleanup in order to obtain compliance.
The above ordinance was passed by the Sherburne County Board of Commissioners on the 2nd day of March, 2021 and effective upon date of publication. The full text of the ordinance is available for inspection at the office of the Solid Waste Administrator and the ordinance is duly filed with the Sherburne County Auditor.
/s/ Raeanne Danielowski, Sherburne County Board Chair
Attested by: /s/ Bruce Messelt, County Administrator
Drafted by Sherburne County Planning and Zoning
Sherburne County Government Center, Elk River, MN
Adopt Ordinance No. 251 (Solid Waste Cleanup: Low Interest Loan Program Ordinance), to read as follows:
SECTION 1.0 PURPOSE, AUTHORITY
1.1 PURPOSE AND AUTHORITY
An Ordinance establishing standards and procedures for providing low interest loans to single family residential properties that have received a Notice of Violation for various provisions set forth in Section 19.0 of the County’s Solid Waste Management Ordinance (ORD-180), and setting forth loan process, eligibility criteria, and repayment procedures all in order to promote the health, welfare and safety of the public, and to protect the environment. This Ordinance is enacted pursuant to Minn. Stat. Chapters 400, 463, 145A, 115, 115A and 375.
SECTION 2.0 LOAN PROCESS
2.1 ADMINISTRATION
The Sherburne County Solid Waste Administrator, or its designee, is the Administrator of this Ordinance and the Solid Waste Cleanup Low Interest Loan Program. The Program Administrator will assume the responsibility for soliciting, collecting, and processing Low Interest Loan Applications, developing loan specifications, determining eligibility, and approving loan applications; and, monitor cleanup procedures and approve disbursements of funds pursuant to this Ordinance and the Low Interest Loan Program.
2.2 ELIGIBILITY
A. Eligible Applicants. Owners of eligible properties may apply for a loan pursuant to this Ordinance to finance the costs of clean-up of solid waste on their properties. All persons having an ownership interest in the property must join in the Loan Application. If a property is being sold on a contract for deed, both the vendor and vendee must sign the application. Applicants must provide proof that they are current in payment of all property taxes and in payment of any mortgage. No income or asset limitation shall apply to eligible applicants.
B. Eligible Properties. Loan Applications will only be accepted for residential properties (based on property tax classification) that meet the following criteria as determined by the Program Administrator:
1. Property owner(s) have received a Notice(s) of Violation from the County, and have not obtained compliance due to financial constraints and/or other limitations.
2. Except for violations of ORD-180 for which a loan is being requested, the property is in compliance with all other Ordinances and land use permits and licenses.
3. The property is located entirely within Sherburne County.
4. The property is not delinquent on their property taxes and/or mortgage(s).
C. Eligible Cleanup Expenses. Loan proceeds may only be used for expenses related to the cleanup of solid waste violations identified by the Program Administrator, including those identified in the Notice(s) of Violation(s) sent by the County. Eligible expenses include contractor costs relating to removal of the solid waste violations, costs for a licensed hauler to transport the waste, disposal fees at a licensed and permitted land disposal, processing and/or recycling facility, and costs relating to necessary soil remediation. Specific eligible expenses shall be determined by the Program Administrator as part of a project plan to be approved as a condition of issuing any loan under this Ordinance.
D. Ineligible Cleanup Expenses. Loan proceeds may not be used for:
1. Any expense(s) for removal of items that were not specifically identified in the Notice(s) of Violations(s) or otherwise identified by the Program Administrator during the application process.
2. Any cleanup cost(s) that have occurred prior to an approval of a Loan Application by the Program Administrator.
3. Any disposal, processing, and/or recycling cost(s) incurred at any solid waste facility that does not have a current and valid MPCA permit and/or County license.
4. Any solid waste removal cost(s) by a solid waste hauler that does not have a current and valid Hauler License.
5. Application fee, lien recording fee, and satisfaction of lien recording fee.
6. Landscaping, seeding, sod and other natural landscape restoration costs (if needed).
7. Any costs incurred by the property owner(s) that intend to conduct solid waste cleanup activities themselves and without the use of a Contractor, other than that of disposal, processing, and/or recycling costs.
8. Activities that violate local, state or federal rules, regulations and statutes.
9. Any other expenses not directly related to the solid waste cleanup activities, as determined by the Program Administrator.
2.3 LOAN APPLICATION PROCESS
A. Loan Application. Owner(s) of eligible properties must complete a Loan Application form as prepared by the Department, and submit that form to the Department for review. Incomplete applications, as determined by the Department, will not be accepted. Loan Applications shall require the following information, at a minimum:
1. Proof of ownership for all of the affected property;
2. A copy of the last or most current mortgage statement or satisfaction of a mortgage;
3. A non-refundable loan application fee as established in the County’s fee schedule.
4. A proposed project plan, identifying the type and estimated amount of waste to be removed from the property, the proposed use of any contractor or hauler to remove and/or transport the waste to a solid waste facility, and the appropriate solid waste disposal, processing or recycling facilities to be used.
5. If using a Contractor for cleanup, at least two (2) separate proposals itemizing the total costs for removal and disposal of all solid waste materials of the proposed project. Applicants are not required to select the lowest proposal, but the information may be used by the Department in determining the total amount of the loan to be issued. Project costs that exceed the total amount of the approved loan shall be the sole responsibility of the Applicant(s). The County shall not be responsible for any amounts that exceed the total amount of the loan, as determined by the Program Administrator.
B. Application Review. The Program Administrator will review the Loan Application and determine eligibility. Application approval is subject to the applicant providing the Program Administrator and/or designee access to the property to inspect the solid waste to be removed. After review of the application and inspection of the property (if deemed necessary), the Program Administrator may require that the applicant modify the proposed project plan as a condition of loan approval.
Loan Applications will be accepted throughout the entire length of the program or until funds are expended. The Program is discretionary by the County and is subject to the availability of funds. Applicants who do not qualify will be informed by the Department in writing as to why the Application was rejected. The Program Administrator’s determination of eligibility pursuant to this Ordinance shall be final.
C. Funding Priority. Because the Loan Program is subject to the availability of funds, the Department may prioritize loans for properties based upon the type and scope of solid waste violation(s), and the overall threat to County’s environment and natural resources as determined by the Program Administrator
E. Special Assessment Agreement. A loan issued by the County pursuant to this Ordinance shall be a lien on the property and will be collected as a special assessment with the property’s real estate taxes. After approving a Loan Application, the County will prepare a Loan and Special Assessment Agreement. All owners of the property shall sign the Loan and Special Assessment Agreement before any loan proceeds are disbursed. The Loan and Special Assessment Agreement will not be recorded until disbursement of the loan proceeds.
F. Loan Terms. A loan approved pursuant to this Ordinance shall be issued on the following terms:
Maximum Funding: $20,000
Interest Rate: 3% Interest
Application Fee: $100 Non-refundable fee per application.
Lien Recording Fee: $46.00
Lien Satisfaction Fee: $46.00
Repayment: Payable twice a year as a Special Assessment included with the Property’s real estate taxes. Property owners may prepay the loan at any time without penalty. The loan shall become immediately due and payable in full upon any sale, conveyance or other transfer of the Property.
Term of Repayment: Payable twice a year over 5 years for loans up to $5,000. Loans greater than $5,000 shall be payable twice a year over 10 years.
Income Limit: None
Asset Limit: None
G. Penalty for Ordinance Violation. If, during the term of any loan, a court determines that a violation of any Ordinance or land use permit or license exists on the property encumbered by a Loan and Special Assessment Agreement, the loan shall become immediately due and payable and the collection schedule for any assessment for the remaining outstanding balance shall be accelerated and shall become payable in full with the following year’s property taxes.
H. Notice to Proceed. After all documentation and fees required by the Ordinance have been received, the Department will issue a notice to the Applicant and/or the selected Contractor identifying the total amount of the loan that has been approved.
SECTION 3.0 LOAN PAYMENT
3.1 VERIFICATION OF PROPER CLEANUP AND ONSITE INSPECTION
All cleanup activities must be conducted in compliance with Minnesota Statutes, the rules and regulations of the Minnesota Pollution Control Agency and County and other local Ordinances. Prior to disbursing any loan funds, the Applicant or the Applicant’s contractor shall provide the County with an invoice and cleanup report verifying that all solid waste materials were properly removed and disposed, processed, and/or recycled at a MPCA permitted and/or County licensed facility. Applicant(s) must allow the Program Administrator and/or designee access the property for inspection and/or testing to verify that all solid waste violations have been removed and any necessary soil remediation has been completed, and that the property is in full compliance with ORD-180.
3.2 LOAN DISBURSEMENT
Upon verification of completion and approval by the Program Administrator of the total project costs, and that the property is in full compliance with the County’s ordinances, the County will disburse the approved loan funds to the Applicant. If the Applicant is using a Contractor, the County will disburse the approved loan funds jointly to the Applicant and the Applicant’s contractor. The Applicant’s contractor shall provide the Program Administrator with a lien waiver for the property. The lien waiver and Loan and Special Assessment Agreement shall immediately be recorded with the County Recorder. Any request for partial reimbursement of cleanup expenses will not be approved by the Department prior to verifying that the property is in full compliance with ORD-180.
SECTION 4.0 GENERAL PROVISIONS
4.1 LIABILITY
This Ordinance shall not relieve or lessen the responsibility or liability of any person owning, operating, controlling, or removing and disposing of solid waste materials for damage to persons or property or any other injury occasioned thereby. The County assumes no responsibility for any of the activities undertaken by Applicant and Applicant’s contractors and agents, or any other activities authorized or funded pursuant to this Ordinance.
4.2 ABROGATION
It is not intended by this Ordinance to appeal, abrogate, annul, impair, or interfere with any existing easements, covenants, deeds, restrictions, agreements, Ordinances, rules, regulations, permits previously adopted, or issues pursuant to law. However, where this Ordinance imposes greater restrictions, the provisions of this Ordinance shall govern.
4.3 ADDITIONAL VIOLATIONS NOT COVERED
Any additional violations of ORD-180 that may occur after the completion of a solid waste cleanup shall be considered separate from the approved loan and shall be the sole responsibility of the property owner to obtain compliance. It is not intended by this Ordinance that the County bear any responsibility for additional costs or to approve further loans.
4.4 WASTE MANAGEMENT HIERARCHY OBSERVED
In accordance with Minn. Statute §115A.02, Applicants approved for a loan shall ensure that all solid waste materials identified as recyclables are directed to a MPCA permitted and/or County licensed processing/recycling facility for recycling. Loan proceeds may not be used for any recyclable materials that are disposed of at a landfill.
4.5 EFFECTIVE DATE
This Ordinance shall be effective after formal adoption by the County Board and publication according to law.
(Published in the Patriot: 03/06/21).
