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File #: 160261    Version: 0 Name:
Type: Resolution Status: ADOPTED
File created: 3/31/2016 In control: CITY COUNCIL
On agenda: Final action: 4/7/2016
Title: Calling on the First Judicial District to develop a conciliation process, in coordination with the Philadelphia Department of Revenue, similar to the Residential Mortgage Foreclosure Diversion program, to address the rising level of residential tax delinquency cases, and to address the problems with the current system, so as to prevent the unnecessary sale of owner-occupied homes.
Sponsors: Councilmember Bass, Councilmember Greenlee, Councilmember Green, Councilmember Parker, Councilmember Jones, Councilmember Squilla
Attachments: 1. Resolution No. 16026100.pdf, 2. Signature16026100.pdf
Title
Calling on the First Judicial District to develop a conciliation process, in coordination with the Philadelphia Department of Revenue, similar to the Residential Mortgage Foreclosure Diversion program, to address the rising level of residential tax delinquency cases, and to address the problems with the current system, so as to prevent the unnecessary sale of owner-occupied homes.

Body
WHEREAS, The First Judicial District's Residential Mortgage Foreclosure Diversion Program is nationally renowned as an innovative and effective best practice to help homeowners facing mortgage foreclosure to remain in their homes thus preventing vacancy and neighborhood blight. The mandatory program, which has been copied around the country, requires a face-to-face conciliation conference for all new foreclosure actions. Since its inception in 2008, homeowners, with housing counselors or legal help, meet with lenders' attorneys to reach agreements to try to avert foreclosures; and

WHEREAS, In the past three years the City's Revenue Department has intensified its efforts to collect delinquent taxes thereby increasing the risk that long time family homes are subjected to foreclosure; and

WHEREAS, The "Save Your Home Philly Hotline" serves as a central point of contact for Philadelphia homeowners at risk of foreclosure. The Hotline provides advice, brief service, and referrals to thousands of Philadelphia homeowners each year. According to Hotline statistics the number of calls relating to real estate tax delinquencies has been steadily rising. From 2014 to 2015 the percentage of these calls went from 14% of the total hotline calls to 37% of the inquiries, representing a 267% increase in one year; and

WHEREAS, The legal process for tax delinquent cases differs from mortgage foreclosures in that it only requires a written response to a "Rule to Show Cause" as to why the property should not be sold, while owner-occupied mortgage foreclosure cases require the lend...

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