CHAPTER 9. UNSAFE BUILDING LAW
IC 36-7-9
Chapter 9. Unsafe Building Law
IC 36-7-9-1
Application of chapter
Sec. 1. This chapter applies to each consolidated city and itscounty. This chapter also applies to any other municipality or countythat adopts an ordinance under section 3 of this chapter.
As added by Acts 1981, P.L.309, SEC.28. Amended by Acts 1982,P.L.33, SEC.33.
IC 36-7-9-2
Definitions
Sec. 2. As used in this chapter:
"Community organization" means a citizen's group, neighborhoodassociation, neighborhood development corporation, or similarorganization that:
(1) has specific geographic boundaries defined in its bylaws orarticles of incorporation and contains at least forty (40)households within those boundaries;
(2) is a nonprofit corporation that is representative of at leasttwenty-five (25) households or twenty percent (20%) of thehouseholds in the community, whichever is less;
(3) is operated primarily for the promotion of social welfare andgeneral neighborhood improvement and enhancement;
(4) has been incorporated for at least two (2) years; and
(5) is exempt from taxation under Section 501(c)(3) or501(c)(4) of the Internal Revenue Code.
"Continuous enforcement order" means an order that:
(1) is issued for compliance or abatement and that remains infull force and effect on a property without further requirementsto seek additional:
(A) compliance and abatement authority; or
(B) orders for the same or similar violations;
(2) authorizes specific ongoing compliance and enforcementactivities if a property requires reinspection or additionalperiodic abatement;
(3) can be enforced, including assessment of fees and costs,without the need for additional notice or hearing; and
(4) authorizes the enforcement authority to assess and collectongoing costs for continuous enforcement order activities fromany party that is subject to the enforcement authority's order.
"Department" refers to the executive department authorized byordinance to administer this chapter. In a consolidated city, thisdepartment is the department of metropolitan development, subjectto IC 36-3-4-23.
"Enforcement authority" refers to the chief administrative officerof the department, except in a consolidated city. In a consolidatedcity, the division of development services is the enforcementauthority, subject to IC 36-3-4-23. "Hearing authority" refers to a person or persons designated assuch by the executive of a city or county, or by the legislative bodyof a town. However, in a consolidated city, the director of thedepartment or a person designated by the director is the hearingauthority. An employee of the enforcement authority may not bedesignated as the hearing authority.
"Known or recorded fee interest, life estate interest, or equitableinterest of a contract purchaser" means any fee interest, life estateinterest, or equitable interest of a contract purchaser held by a personwhose identity and address may be determined from:
(1) an instrument recorded in the recorder's office of the countywhere the unsafe premises is located;
(2) written information or actual knowledge received by thedepartment (or, in the case of a consolidated city, theenforcement authority); or
(3) a review of department (or, in the case of a consolidatedcity, the enforcement authority) records that is sufficient toidentify information that is reasonably ascertainable.
"Known or recorded substantial property interest" means any rightin real property, including a fee interest, a life estate interest, a futureinterest, a mortgage interest, a lien as evidenced by a certificate ofsale issued under IC 6-1.1-24, or an equitable interest of a contractpurchaser, that:
(1) may be affected in a substantial way by actions authorizedby this chapter; and
(2) is held by a person whose identity and address may bedetermined from:
(A) an instrument recorded in:
(i) the recorder's office of the county where the unsafepremises is located; or
(ii) the office of the county auditor of the county where theunsafe premises are located in the case of a lien evidencedby a certificate of sale issued under IC 6-1.1-24;
(B) written information or actual knowledge received by thedepartment (or, in the case of a consolidated city, theenforcement authority); or
(C) a review of department (or, in the case of a consolidatedcity, the enforcement authority) records that is sufficient toidentify information that is reasonably ascertainable.
"Substantial property interest" means any right in real propertythat may be affected in a substantial way by actions authorized bythis chapter, including a fee interest, a life estate interest, a futureinterest, a mortgage interest, or an equitable interest of a contractpurchaser.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.4; P.L.177-2003, SEC.3; P.L.169-2006, SEC.59; P.L.88-2009,SEC.7; P.L.73-2010, SEC.10.
IC 36-7-9-3
Ordinances adopting this chapter Sec. 3. The legislative body of a municipality or county may adoptthis chapter by ordinance. The ordinance must specify the executivedepartment of the unit responsible for the administration of thischapter or establish such a department. However, in a municipalityin which a commissioner of buildings was appointed to administerIC 18-5-5 (before its repeal on September 1, 1981), the commissionerof buildings is responsible for the administration of this chapter. Theordinance must also incorporate by reference the definition of"substantial property interest" in this chapter.
As added by Acts 1981, P.L.309, SEC.28. Amended by Acts 1982,P.L.33, SEC.34; P.L.3-1990, SEC.126.
IC 36-7-9-4
Unsafe buildings and unsafe premises described
Sec. 4. (a) For purposes of this chapter, a building or structure, orany part of a building or structure, that is:
(1) in an impaired structural condition that makes it unsafe to aperson or property;
(2) a fire hazard;
(3) a hazard to the public health;
(4) a public nuisance;
(5) dangerous to a person or property because of a violation ofa statute or ordinance concerning building condition ormaintenance; or
(6) vacant and not maintained in a manner that would allowhuman habitation, occupancy, or use under the requirements ofa statute or an ordinance;
is considered an unsafe building.
(b) For purposes of this chapter:
(1) an unsafe building; and
(2) the tract of real property on which the unsafe building islocated;
are considered unsafe premises.
(c) For purposes of this chapter, a tract of real property that doesnot contain a building or structure, not including land used forproduction agriculture, is considered an unsafe premises if the tractof real property is:
(1) a fire hazard;
(2) a hazard to public health;
(3) a public nuisance; or
(4) dangerous to a person or property because of a violation ofa statute or an ordinance.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.14-1991,SEC.9; P.L.66-2005, SEC.1.
IC 36-7-9-4.5
Legislative findings; vacant or deteriorated structures
Sec. 4.5. (a) In Indiana, especially in urban areas, there exist alarge number of unoccupied structures that are not maintained andthat constitute a hazard to public health, safety, and welfare. (b) Vacant structures often become dilapidated because thestructures are not maintained and repaired by the owners or personsin control of the structures.
(c) Vacant structures attract children, become harborage forvermin, serve as temporary abodes for vagrants and criminals, andare likely to be damaged by vandals or set ablaze by arsonists.
(d) Unkept grounds surrounding vacant structures invite dumpingof garbage, trash, and other debris.
(e) Many vacant structures are situated on narrow city lots and inclose proximity to neighboring structures, thereby increasing the riskof conflagration and spread of insect and rodent infestation.
(f) Vacant, deteriorated structures contribute to blight, cause adecrease in property values, and discourage neighbors from makingimprovements to properties.
(g) Structures that remain boarded up for an extended period oftime also exert a blighting influence and contribute to the decline ofthe neighborhood by decreasing property values, discouragingpersons from moving into the neighborhood, and encouragingpersons to move out of the neighborhood.
(h) Vacant structures often continue to deteriorate to the point thatdemolition of the structure is required, thereby decreasing availablehousing in a community and further contributing to the decline of theneighborhood.
(i) The blighting influence of vacant, deteriorated structuresadversely affects the tax revenues of local government.
(j) The general assembly finds that vacant, deteriorated structurescreate a serious and substantial problem in urban areas and are publicnuisances.
(k) In recognition of the problems created in a community byvacant structures, the general assembly finds that vigorous anddisciplined action should be taken to ensure the proper maintenanceand repair of vacant structures and encourages local governmentalbodies to adopt maintenance and repair standards appropriate for thecommunity in accordance with this chapter and other statutes.
As added by P.L.14-1991, SEC.10. Amended by P.L.1-1992,SEC.186.
IC 36-7-9-5
Orders; contents; notice; expiration
Sec. 5. (a) The enforcement authority may issue an order requiringaction relative to any unsafe premises, including:
(1) vacating of an unsafe building;
(2) sealing an unsafe building against intrusion by unauthorizedpersons, in accordance with a uniform standard established byordinance;
(3) extermination of vermin in and about the unsafe premises;
(4) removal of trash, debris, fire hazardous material, or a publichealth hazard in and about the unsafe premises;
(5) repair or rehabilitation of an unsafe building to bring it intocompliance with standards for building condition or
maintenance required for human habitation, occupancy, or useby a statute, a rule adopted under IC 4-22-2, or an ordinance;
(6) demolition and removal of part of an unsafe building;
(7) demolition and removal of an unsafe building if:
(A) the general condition of the building warrants removal;or
(B) the building continues to require reinspection andadditional abatement action after an initial abatement actionwas taken pursuant to notice and an order; and
(8) requiring, for an unsafe building that will be sealed for aperiod of more than ninety (90) days:
(A) sealing against intrusion by unauthorized persons andthe effects of weather;
(B) exterior improvements to make the building compatiblein appearance with other buildings in the area; and
(C) continuing maintenance and upkeep of the building andpremises;
in accordance with standards established by ordinance.
Notice of the order must be given under section 25 of this chapter.The ordered action must be reasonably related to the condition of theunsafe premises and the nature and use of nearby properties. Theorder supersedes any permit relating to building or land use, whetherthat permit is obtained before or after the order is issued.
(b) The order must contain:
(1) the name of the person to whom the order is issued;
(2) the legal description or address of the unsafe premises thatare the subject of the order;
(3) the action that the order requires;
(4) the period of time in which the action is required to beaccomplished, measured from the time when the notice of theorder is given;
(5) if a hearing is required, a statement indicating the exact timeand place of the hearing, and stating that person to whom theorder was issued is entitled to appear at the hearing with orwithout legal counsel, present evidence, cross-examineopposing witnesses, and present arguments;
(6) if a hearing is not required, a statement that an order undersubsection (a)(2), (a)(3), (a)(4), or (a)(5) becomes final ten (10)days after notice is given, unless a hearing is requested inwriting by a person holding a fee interest, life estate interest, orequitable interest of a contract purchaser in the unsafe premises,and the request is delivered to the enforcement authority beforethe end of the ten (10) day period;
(7) a statement briefly indicating what action can be taken bythe enforcement authority if the order is not complied with;
(8) a statement indicating the obligation created by section 27of this chapter relating to notification of subsequent interestholders and the enforcement authority; and
(9) the name, address, and telephone number of the enforcementauthority. (c) The order must allow a sufficient time, of at least ten (10)days, but not more than sixty (60) days, from the time when noticeof the order is given, to accomplish the required action. If the orderallows more than thirty (30) days to accomplish the action, the ordermay require that a substantial beginning be made in accomplishingthe action within thirty (30) days.
(d) The order expires two (2) years from the day the notice of theorder is given, unless one (1) or more of the following events occurswithin that two (2) year period:
(1) A complaint requesting judicial review is filed under section8 of this chapter.
(2) A contract for action required by the order is let at publicbid under section 11 of this chapter.
(3) A civil action is filed under section 17 of this chapter.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.5; P.L.14-1991, SEC.11; P.L.177-2003, SEC.4; P.L.88-2006,SEC.8; P.L.88-2009, SEC.8; P.L.1-2010, SEC.149.
IC 36-7-9-6
Modification or rescission of orders
Sec. 6. (a) The enforcement authority may issue an order thatmodifies the order previously issued.
(b) The enforcement authority may rescind an order previouslyissued, even if the order has been affirmed by the hearing authority.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.6.
IC 36-7-9-7
Hearings; hearing authority findings and action; additional periodfor ordered actions; continuous enforcement order; performancebond; record of findings; collection of penalties
Sec. 7. (a) A hearing must be held relative to each order of theenforcement authority, except for an order issued under section5(a)(2), 5(a)(3), 5(a)(4), or 5(a)(5) of this chapter. An order issuedunder section 5(a)(2), 5(a)(3), 5(a)(4), or 5(a)(5) of this chapterbecomes final ten (10) days after notice is given, unless a hearing isrequested before the ten (10) day period ends by a person holding afee interest, life estate interest, mortgage interest, or equitableinterest of a contract purchaser in the unsafe premises. The hearingshall be conducted by the hearing authority.
(b) The hearing shall be held on a business day no earlier than ten(10) days after notice of the order is given. The hearing authoritymay, however, take action at the hearing, or before the hearing if awritten request is received by the enforcement authority not laterthan five (5) days after notice is given, to continue the hearing to abusiness day not later than fourteen (14) days after the hearing dateshown on the order. Unless the hearing authority takes action to havethe continued hearing held on a definite, specified date, notice of thecontinued hearing must be given to the person to whom the order wasissued at least five (5) days before the continued hearing date, in the
manner prescribed by section 25 of this chapter. If the order beingconsidered at the continued hearing was served by publication, it issufficient to give notice of the continued hearing by publicationunless the enforcement authority has received information in writingthat enables it to make service under section 25 of this chapter by amethod other than publication.
(c) The person to whom the order was issued, any person havinga substantial property interest in the unsafe premises that are thesubject of the order, or any other person with an interest in theproceedings may appear in person or by counsel at the hearing. Eachperson appearing at the hearing is entitled to present evidence,cross-examine opposing witnesses, and present arguments.
(d) At the conclusion of any hearing at which a continuance is notgranted, the hearing authority may make findings and take action to:
(1) affirm the order;
(2) rescind the order; or
(3) modify the order, but unless the person to whom the orderwas issued, or counsel for that person, is present at the hearing,the hearing authority may modify the order in only a mannerthat makes its terms less stringent.
(e) In addition to affirming the order, in those cases in which thehearing authority finds that there has been a willful failure to complywith the order, the hearing authority may impose a civil penalty in anamount not to exceed five thousand dollars ($5,000). The effectivedate of the civil penalty may be postponed for a reasonable period,after which the hearing authority may order the civil penalty reducedor stricken if the hearing authority is satisfied that all work necessaryto fully comply with the order has been done. For purposes of anappeal under section 8 of this chapter or enforcement of an orderunder section 17 of this chapter, action of the hearing authority isconsidered final upon the affirmation of the order, even though thehearing authority may retain jurisdiction for the ultimatedetermination related to the civil penalty. In the hearing authority'sexercise of continuing jurisdiction, the hearing authority may, inaddition to reducing or striking the civil penalty, impose one (1) ormore additional civil penalties in an amount not to exceed fivethousand dollars ($5,000) per civil penalty. An additional civilpenalty may be imposed if the hearing authority finds that:
(1) significant work on the premises to comply with theaffirmed order has not been accomplished; and
(2) the premises have a negative effect on property values or thequality of life of the surrounding area or the premises requirethe provision of services by local government in excess of theservices required by ordinary properties.
(f) If, at a hearing, a person to whom an order has been issuedrequests an additional period to accomplish action required by theorder, and shows good cause for this request to be granted, thehearing authority may grant the request. However, as a condition forallowing the additional period, the hearing authority may require thatthe person post a performance bond to be forfeited if the action
required by the order is not completed within the additional period.
(g) If an order is affirmed or modified, the hearing authority shallissue a continuous enforcement order (as defined in section 2 of thischapter).
(h) The board or commission having control over the departmentshall, at a public hearing, after having given notice of the time andplace of the hearing by publication in accordance with IC 5-3-1,adopt a schedule setting forth the maximum amount of performancebonds applicable to various types of ordered action. The hearingauthority shall use this schedule to fix the amount of the performancebond required under subsection (f).
(i) The record of the findings made and action taken by thehearing authority at the hearing shall be available to the public uponrequest. However, neither the enforcement authority nor the hearingauthority is required to give any person notice of the findings andaction.
(j) If a civil penalty under subsection (e) is unpaid for more thanfifteen (15) days after payment of the civil penalty is due, the civilpenalty may be collected from any person against whom the hearingofficer assessed the civil penalty or fine. A civil penalty or fine maybe collected under this subsection in the same manner as costs undersection 13 or 13.5 of this chapter. The amount of the civil penalty orfine that is collected shall be deposited in the unsafe building fund.
As added by Acts 1981, P.L.309, SEC.28. Amended by Acts 1981,P.L.45, SEC.26; P.L.59-1986, SEC.7; P.L.14-1991, SEC.12;P.L.177-2003, SEC.5; P.L.169-2006, SEC.60; P.L.88-2009, SEC.9.
IC 36-7-9-8
Appeals
Sec. 8. (a) An action taken under section 7(d) or 7(e) of thischapter is subject to review by the circuit or superior court of thecounty in which the unsafe premises are located, on request of:
(1) any person who has a substantial property interest in theunsafe premises; or
(2) any person to whom that order was issued.
(b) A person requesting judicial review under this section mustfile a verified complaint including the findings of fact and the actiontaken by the hearing authority. The complaint must be filed withinten (10) days after the date when the action was taken.
(c) An appeal under this section is an action de novo. The courtmay affirm, modify, or reverse the action taken by the hearingauthority.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.169-2006,SEC.61.
IC 36-7-9-9
Emergency action; recovery of costs; challenge of determination ofemergency
Sec. 9. (a) If the enforcement authority finds it necessary to takeemergency action concerning an unsafe premises in order to protect
life, safety, or property, it may take that action without issuing anorder or giving notice. However, this emergency action must belimited to removing any immediate danger.
(b) The department, acting through the enforcement authority,may recover the costs incurred by the enforcement authority in takingemergency action, by filing a civil action in the circuit court orsuperior court of the county against the persons who held a feeinterest, life estate interest, or equitable interest of a contractpurchaser in the unsafe premises at the time the enforcementauthority found it necessary to take emergency action. Thedepartment is not liable for the costs of this civil action.
(c) If an unsafe premises poses an immediate danger to the life orsafety of persons occupying or using nearby property, theenforcement authority may, without following this chapter'srequirements for issuing an order and giving notice, take emergencyaction to require persons to vacate and not use the nearby propertyuntil the danger has passed. However, any person required to vacatean unsafe premises under this subsection may challenge in anemergency court proceeding the enforcement authority'sdetermination that the premises poses an immediate danger to the lifeor safety of any person. In an emergency court proceeding, theenforcement authority has the burden of proving that emergencyaction is necessary to protect from immediate danger the life orsafety of persons occupying or using nearby property.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.8.
IC 36-7-9-10
Action to enforce orders
Sec. 10. (a) The enforcement authority may cause the actionrequired by an order issued under section 5(a)(2), 5(a)(3), 5(a)(4), or5(a)(5) of this chapter to be performed by a contractor if:
(1) the order has been served, in the manner prescribed bysection 25 of this chapter, on each person having a known orrecorded fee interest, life estate interest, or equitable interest ofa contract purchaser in the unsafe premises that are the subjectof the order;
(2) the order has not been complied with;
(3) a hearing was not requested under section 5(b)(6) of thischapter, or, if a hearing was requested, the order was affirmedat the hearing; and
(4) the order is not being reviewed under section 8 of thischapter.
(b) The enforcement authority may cause the action required byan order, other than an order under section 5(a)(2), 5(a)(3), 5(a)(4),or 5(a)(5) of this chapter, to be performed if:
(1) service of an order under section 5(a)(1) of this chapter, inthe manner prescribed by section 25 of this chapter, has beenmade on each person having a known or recorded substantialproperty interest or present possessory interest in the unsafe
premises that are the subject of the order;
(2) service of an order under section 5(a)(6), 5(a)(7), or 5(a)(8)of this chapter, in the manner prescribed by section 25 of thischapter, has been made on each person having a known orrecorded substantial property interest in the unsafe premisesthat are the subject of the order;
(3) the order has been affirmed or modified at the hearing insuch a manner that all persons having a known or recordedsubstantial property interest, and persons holding a presentpossessory interest, as required, in the unsafe premises that arethe subject of the order are currently subject to an orderrequiring the accomplishment of substantially identical action;
(4) the order, as affirmed or modified at the hearing, has notbeen complied with; and
(5) the order is not being reviewed under section 8 of thischapter.
(c) If action is being taken under this section on the basis of anorder that was served by publication, it is sufficient to serve thestatement by publication and indicate that the enforcement authorityintends to perform the work, unless the authority has receivedinformation in writing that enables it to make service under section25 of this chapter by a method other than publication.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.9; P.L.177-2003, SEC.6; P.L.169-2006, SEC.62.
IC 36-7-9-11
Liability for costs for performance of work required by orders
Sec. 11. (a) The work required by an order of the enforcementauthority may be performed in the following manner:
(1) If the work is being performed under an order other than anorder under section 5(a)(2), 5(a)(3), or 5(a)(4) of this chapter,and if the cost of this work is estimated to be less than tenthousand dollars ($10,000), the department, acting through theunit's enforcement authority or other agent, may perform thework by means of the unit's own workers and equipment ownedor leased by the unit. Notice that this work is to be performedmust be given to all persons with a known or recordedsubstantial property interest, in the manner prescribed insubsection (c), at least ten (10) days before the date ofperformance of the work by the enforcement authority. Thisnotice must include a statement that an amount representing areasonable estimate of the cost incurred by the enforcementauthority in processing the matter and performing the workmay, if not paid, be recorded after a hearing as a lien against allpersons having a fee interest, life estate interest, or equitableinterest of a contract purchaser in the unsafe premises.
(2) If the work is being performed under an order other than anorder under section 5(a)(2), 5(a)(3), or 5(a)(4) of this chapter,and if the estimated cost of this work is ten thousand dollars($10,000) or more, this work must be let at public bid to a
contractor licensed and qualified under law. The obligation topay costs imposed by section 12 of this chapter is based on thecondition of the unsafe premises at the time the public bid wasaccepted. Changes occurring in the condition of the unsafepremises after the public bid was accepted do not eliminate ordiminish this obligation.
(3) If the work is being performed under an order issued undersection 5(a)(2), 5(a)(3), or 5(a)(4) of this chapter, the work maybe performed by a contractor who has been awarded a base bidcontract to perform the work for the enforcement authority, orby the department, acting through the unit's enforcementauthority or other governmental agency and using the unit's ownworkers and equipment owned or leased by the unit. Workperformed under an order issued under section 5(a)(2), 5(a)(3),or 5(a)(4) of this chapter may be performed without furthernotice to the persons holding a fee interest, life estate interest,or equitable interest of a contract purchaser, and these personsare liable for the costs incurred by the enforcement authority inprocessing the matter and performing the work, as provided bysection 12 of this chapter.
(b) Bids may be solicited and accepted for work on more than one(1) property if the bid reflects an allocation of the bid amount amongthe various unsafe premises in proportion to the work to beaccomplished. The part of the bid amount attributable to each of theunsafe premises constitutes the basis for calculating the part of thecosts described by section 12(a)(1) of this chapter.
(c) All persons who have a known or recorded substantialproperty interest in the unsafe premises and are subject to an orderother than an order under section 5(a)(2), 5(a)(3), or 5(a)(4) of thischapter must be notified about the public bid in the mannerprescribed by section 25 of this chapter, by means of a writtenstatement including:
(1) the name of the person to whom the order was issued;
(2) a legal description or address of the unsafe premises that arethe subject of the order;
(3) a statement that a contract is to be let at public bid to alicensed contractor to accomplish work to comply with theorder;
(4) a description of work to be accomplished;
(5) a statement that both the bid price of the licensed contractorwho accomplishes the work and an amount representing areasonable estimate of the cost incurred by the enforcementauthority in processing the matter of the unsafe premises may,if not paid, be recorded after a hearing as a lien against allpersons having a fee interest, life estate interest, or equitableinterest of a contract purchaser in the unsafe premises;
(6) the time of the bid opening;
(7) the place of the bid opening; and
(8) the name, address, and telephone number of the enforcementauthority. (d) If the notice of the statement that public bids are to be let isserved by publication, the publication must include the informationrequired by subsection (c), except that it need only include a generaldescription of the work to be accomplished. The publication mustalso state that a copy of the statement of public bid may be obtainedfrom the enforcement authority.
(e) Notice of the statement that public bids are to be let must begiven, at least ten (10) days before the date of the public bid, to allpersons who have a known or recorded substantial property interestin the property and are subject to an order other than an order undersection 5(a)(2), 5(a)(3), or 5(a)(4) of this chapter.
(f) If action is being taken under this section on the basis of anorder that was served by publication, it is sufficient to serve thestatement that public bids are to be let by publication, unless theenforcement authority has received information in writing thatenables the unit to make service under section 25 of this chapter bya method other than publication.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.11; P.L.255-1996, SEC.26; P.L.169-2006, SEC.63.
IC 36-7-9-12
Liability for costs for performance of work required by orders
Sec. 12. (a) When action required by an order is performed by theenforcement authority or by a contractor acting under section 11 ofthis chapter, each person who held a fee interest, life estate interest,or equitable interest of a contract purchaser in the unsafe premisesfrom the time when the order requiring the work performed wasissued to the time that the work was completed is jointly andseverally responsible for the following costs:
(1) The actual cost of the work performed by the enforcementauthority or the bid price of work accomplished by thecontractor under section 11 of this chapter.
(2) An amount that represents a reasonable forecast of theaverage processing expense that will be incurred by theenforcement authority in taking the technical, administrative,and legal actions concerning typical unsafe premises that arenecessary under this chapter so that the action required by anorder may be performed by a contractor under section 11 of thischapter. In calculating the amount of the average processingexpense, the following costs may be considered:
(A) The cost of obtaining reliable information about theidentity and location of persons who own a substantialproperty interest in the unsafe premises.
(B) The cost of notice of orders, notice of statements ofrescission, notice of continued hearing, notice of statementsthat public bids are to be let or that the enforcementauthority intends to accomplish the work, and notice that ahearing may be held on the amounts indicated in the record,in accordance with section 25 of this chapter.
(C) Salaries for employees. (D) The cost of supplies, equipment, and office space.
(b) The board or commission having control over the departmentshall determine the amount of the average processing expense at thepublic hearing, after notice has been given in the same manner as isrequired for other official action of the board or commission. Indetermining the average processing expense, the board orcommission may fix the amount at a full dollar amount that is aneven multiple of ten (10).
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.11; P.L.68-2010, SEC.4.
IC 36-7-9-13
Notice of unpaid costs; filing with clerk of court; hearing;judgment lien
Sec. 13. (a) If all or any part of the costs listed in section 12 ofthis chapter remain unpaid for any unsafe premises (other thanunsafe premises owned by a governmental entity) for more thanfifteen (15) days after the completion of the work, the enforcementauthority does not act under section 13.5 of this chapter, and theenforcement authority determines that there is a reasonableprobability of obtaining recovery, the enforcement authority shallprepare a record stating:
(1) the name and last known address of each person who helda known or recorded fee interest, life estate interest, orequitable interest of a contract purchaser in the unsafe premisesfrom the time the order requiring the work to be performed wasrecorded to the time that the work was completed;
(2) the legal description or address of the unsafe premises thatwere the subject of work;
(3) the nature of the work that was accomplished;
(4) the amount of the unpaid bid price of the work that wasaccomplished; and
(5) the amount of the unpaid average processing expense.
The record must be in a form approved by the state board ofaccounts.
(b) The enforcement authority, or its head, shall swear to theaccuracy of the record before the clerk of the circuit court anddeposit the record in the clerk's office. Notice that the record hasbeen filed and that a hearing on the amounts indicated in the recordmay be held must be sent in the manner prescribed by section 25 ofthis chapter to all of the following:
(1) The persons named in the record.
(2) Any mortgagee that has a known or recorded substantialproperty interest.
(c) If, within thirty (30) days after the notice required bysubsection (b), a person named in the record or a mortgagee fileswith the clerk of the circuit court a written petition objecting to theclaim for payment and requesting a hearing, the clerk shall enter thecause on the docket of the circuit or superior court as a civil action,and a hearing shall be held on the question in the manner prescribed
by IC 4-21.5. However, issues that could have been determined undersection 8 of this chapter may not be entertained at the hearing. At theconclusion of the hearing, the court shall either sustain the petitionor enter a judgment against the persons named in the record for theamounts recorded or for modified amounts.
(d) If no petition is filed under subsection (c), the clerk of thecircuit court shall enter the cause on the docket of the court and thecourt shall enter a judgment for the amounts stated in the record.
(e) A judgment under subsection (c) or (d), to the extent that it isnot satisfied under IC 27-2-15, is a debt and a lien on all the real andpersonal property of the person named, or a joint and several debtand lien on the real and personal property of the persons named inthe record prepared under subsection (a). The lien on real propertyis perfected against all creditors and purchasers when the judgmentis entered on the judgment docket of the court. The lien on personalproperty is perfected by filing a lis pendens notice in the appropriatefiling office, as prescribed by the Indiana Rules of Trial Procedure.
(f) Judgments rendered under this section may be enforced in thesame manner as all other judgments are enforced.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.59-1986,SEC.12; P.L.7-1987, SEC.167; P.L.247-1989, SEC.3; P.L.31-1994,SEC.12; P.L.169-2006, SEC.64.
IC 36-7-9-13.5
Unpaid costs for unsafe premises repairs; notice; certification asspecial assessment; collection as delinquent taxes; disposition ofcollections
Sec. 13.5. (a) This section does not apply to the collection of anamount if a court determines under section 13 of this chapter that theenforcement authority is not entitled to the amount.
(b) If all or any part of the costs listed in section 12 of this chapterremain unpaid for any unsafe premises (other than unsafe premisesowned by a governmental entity) for more than fifteen (15) days aftercompletion of the work, the enforcement authority may send noticeunder section 25 of this chapter to each person who held a known orrecorded fee interest, life estate interest, or equitable interest of acontract purchaser in the unsafe premises. If the notice is sent, theenforcement authority shall also send notice to any mortgagee witha known or recorded substantial property interest. The notice mustrequire full payment of the amount owed within thirty (30) days.
(c) If full payment of the amount owed is not made less than thirty(30) days after the notice is delivered, the enforcement officer maycertify the following information to the county auditor:
(1) The name of each person who held a known or recorded feeinterest, life estate interest, or equitable interest of a contractpurchaser in the unsafe premises.
(2) The description of the unsafe premises, as shown by therecords of the county auditor.
(3) The amount of the delinquent payment, including all costsdescribed in section 12 of this chapter. (d) The county auditor shall place the total amount certified undersubsection (c) on the tax duplicate for the affected property as aspecial assessment. The total amount, including accrued interest,shall be collected as delinquent taxes are collected.
(e) An amount collected under subsection (d), after all other taxeshave been collected and disbursed, shall be disbursed to the unsafebuilding fund.
(f) A judgment entered under section 13, 19, 21, or 22 of thischapter may be certified to the auditor and collected under thissection. However, a judgment lien need not be obtained undersection 13 of this chapter before a debt is certified under this section.
As added by P.L.31-1994, SEC.13. Amended by P.L.169-2006,SEC.65.
IC 36-7-9-14
Unsafe building fund; deposits and expenditures
Sec. 14. (a) The enforcement authority shall establish in itsoperating budget a fund designated as the unsafe building fund. Anybalance remaining at the end of a fiscal year shall be carried over inthe fund for the following year and does not revert to the generalfund.
(b) Money for the unsafe building fund may be received from anysource, including appropriations by local, state, or federalgovernments, and donations. The following money shall be depositedin the fund:
(1) Money received as payment for or settlement of obligationsor judgments established under sections 9 through 13 and 17through 22 of this chapter.
(2) Money received from bonds posted under section 7 of thischapter.
(3) Money received in satisfaction of receivers' notes orcertificates that were issued under section 20 of this chapter andwere purchased with money from the unsafe building fund.
(4) Money received for payment or settlement of civil penaltiesor fines imposed under section 7 of this chapter.
(5) Money received from the collection of special assessmentsunder section 13.5 of this chapter.
(c) Money in the unsafe building fund may be used for theexpenses incurred in carrying out the purposes of this chapter,including:
(1) the cost of obtaining reliable information about the identityand location of each person who owns a substantial propertyinterest in unsafe premises;
(2) the cost of an examination of an unsafe building by aregistered architect or registered engineer not employed by thedepartment;
(3) the cost of surveys necessary to determine the location anddimensions of real property on which an unsafe building islocated;
(4) the cost of giving notice of orders, notice of statements of
rescission, notice of continued hearing, and notice of statementsthat public bids are to be let in the manner prescribed by section25 of this chapter;
(5) the bid price of work by a contractor under section 10 orsections 17 through 22 of this chapter;
(6) the cost of emergency action under section 9 of this chapter;and
(7) the cost of notes or receivers' certificates issued undersection 20 of this chapter.
(d) Payment of money from the unsafe building fund must bemade in accordance with applicable law.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.14-1991,SEC.13; P.L.31-1994, SEC.14; P.L.169-2006, SEC.66.
IC 36-7-9-15
Transfer of money to unsafe building fund
Sec. 15. The board or commission having control over thedepartment may transfer all or part of the money in a building,demolition, repair, and contingent fund that was established byIC 18-5-5-7 (before its repeal on September 1, 1981) to the unsafebuilding fund.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.3-1990,SEC.127.
IC 36-7-9-16
Inspection warrants
Sec. 16. (a) If the owners or those in possession of a buildingrefuse inspection, an inspection officer of the enforcement authoritymay obtain an inspection warrant from any court of record in thecounty in which the building is located in order to determine if thebuilding is an unsafe building. The court shall issue the warrantsubject to the following conditions:
(1) The person seeking the warrant must establish that thebuilding to be searched or inspected is to be searched orinspected as part of a legally authorized program of inspectionthat naturally includes the building, or that there is probablecause for believing that a condition, object, activity, orcircumstance legally justifies a search or inspection of thatbuilding.
(2) An affidavit establishing one (1) of the grounds described insubdivision (1) must be signed under oath or affirmation by theaffiant.
(3) The court must examine the affiant under oath oraffirmation to verify the accuracy of the affidavit.
(b) The warrant is valid only if it:
(1) is signed by the judge of the court and bears the date andhour of its issuance above that signature, with a notation thatthe warrant is valid for only forty-eight (48) hours after itsissuance;
(2) describes (either directly or by reference to the affidavit) the
building where the search or inspection is to occur so that theexecutor of the warrant and owner or the possessor of thebuilding can reasonably determine what property the warrantauthorizes an inspection of;
(3) indicates the conditions, objects, activities, or circumstancesthat the inspection is intended to check or reveal; and
(4) is attached to the affidavit required to be made in order toobtain the warrant.
(c) A warrant issued under this section is valid for only forty-eight(48) hours after its issuance, must be personally served upon theowner or possessor of the building, and must be returned withinseventy-two (72) hours.
As added by Acts 1981, P.L.309, SEC.28.
IC 36-7-9-17
Civil actions regarding unsafe premises; treble damages undersecond or subsequent judgment
Sec. 17. (a) The department, acting through its enforcementauthority, a person designated by the enforcement authority, or acommunity organization may bring a civil action regarding unsafepremises in the circuit, superior, or municipal court of the county.The department is not liable for the costs of such an action. The courtmay grant one (1) or more of the kinds of relief authorized bysections 18 through 22 of this chapter.
(b) A civil action may not be initiated under this section beforethe final date of an order or an extension of an order under section5(c) of this chapter requiring:
(1) the completion; or
(2) a substantial beginning toward accomplishing thecompletion;
of the required remedial action.
(c) A community organization may not initiate a civil action underthis section if:
(1) the enforcement authority or a person designated by theenforcement authority has filed a civil action under this sectionregarding the unsafe premises; or
(2) the enforcement authority has issued a final order that therequired remedial action has been satisfactorily completed.
(d) A community organization may not initiate a civil action underthis section if the real property that is the subject of the civil actionis located outside the specific geographic boundaries of the areadefined in the bylaws or articles of incorporation of the communityorganization.
(e) At least sixty (60) days before commencing a civil actionunder this section, a community organization must issue a notice bycertified mail, return receipt requested, that:
(1) specifies:
(A) the nature of the alleged nuisance;
(B) the date the nuisance was first discovered;
(C) the location on the property where the nuisance is
allegedly occurring;
(D) the intent of the community organization to bring a civilaction under this section; and
(E) the relief sought in the action; and
(2) is provided to:
(A) the owner of record of the premises;
(B) tenants located on the premises;
(C) the enforcement authority; and
(D) any person that possesses an interest of record.
(f) In any action filed by a community organization under thissection, a court may award reasonable attorney's fees, court costs,and other reasonable expenses of litigation to the prevailing party.
(g) If a second or subsequent civil judgment is entered under thissection:
(1) against an owner of a known or recorded fee interest, lifeestate, or equitable interest as a contract purchaser of property;and
(2) during any two (2) year period;
a court may order the owner to pay treble damages based on the costsof the ordered action. The second or subsequent civil judgment mayrelate to the same property or a different property held by the owner.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.31-1994,SEC.15; P.L.177-2003, SEC.7; P.L.88-2009, SEC.10.
IC 36-7-9-18
Injunctions
Sec. 18. A court acting under section 17 of this chapter may granta mandatory or prohibitory injunction against any person that willcause the order to be complied with, if it is shown that:
(1) an order, which need not set a hearing date, was issued tothe person;
(2) the person has a property interest in the unsafe premises thatare the subject of the order that would allow the person to takethe action required by the order;
(3) the building that is the subject of the order is an unsafebuilding; and
(4) the order is not being reviewed under section 8 of thischapter.
As added by Acts 1981, P.L.309, SEC.28.
IC 36-7-9-18.1
Performance bond
Sec. 18.1. (a) A court acting under section 17 of this chapter maycondition the granting of a period of time to accomplish the actionrequired by an order on the posting of a performance bond that willbe forfeited if the action required by the order is not completedwithin the period the court allows. Before granting a period of timethat is conditioned on the posting of a bond, the court may requirethat the requesting person justify the request with a workable andfinancially supported plan. If the court determines that a significant
amount of work must be accomplished to comply with the order, thecourt may require that the bond specify interim completion standardsand provide that the bond is forfeited if any of these interimcompletion standards are not substantially met.
(b) An amount collected under subsection (a) on a forfeited bondshall be deposited in the unsafe building fund.
As added by P.L.169-2006, SEC.67.
IC 36-7-9-19
Civil forfeitures
Sec. 19. (a) A court acting under section 17 of this chapter mayimpose a civil penalty not to exceed five thousand dollars ($5,000)against any person if the conditions of section 18 of this chapter aremet. The penalty imposed may not be substantially less than the costof complying with the order, unless that cost exceeds two thousandfive hundred dollars ($2,500). The effective date of the penalty maybe postponed for a period not to exceed thirty (30) days, after whichthe court may order the penalty reduced or stricken if it is satisfiedthat all work necessary to fully comply with the order has been done.
(b) On request of the enforcement authority the court shall entera judgment in the amount of the penalty. If there is more than one (1)party defendant, the penalty is separately applicable to eachdefendant. The amount of a penalty that is collected shall bedeposited in the unsafe building fund.
As added by Acts 1981, P.L.309, SEC.28. Amended by P.L.169-2006,SEC.68.
IC 36-7-9-20
Appointment of receiver; conditions; rehabilitation of property byowner, mortgagee, or person with substantial interest
Sec. 20. (a) A court acting under section 17 of this chapter mayappoint a receiver for the unsafe premises, subject to the followingconditions:
(1) The purpose of the receivership must be to take possessionof the unsafe premises for a period sufficient to accomplish andpay for repairs and improvements.
(2) The receiver may be a nonprofit corporation the primarypurpose of which is the improvement of housing conditions inthe county where the unsafe premises are located, or may beany other capable person residing in the county.
(3) Notwithstanding any prior assignments of the rents andother income of the unsafe premises, the receiver must collectand use that income to repair or remove the defects as requiredby the order, and may, upon approval by the court, make repairsand improvements in addition to those specified in the order orrequired by applicable statutes, ordinances, codes, orregulations.
(4) The receiver may make any contracts and do all thingsnecessary to accomplish the repair and improvement of theunsafe premises. (5) A receiver that expends money, performs labor, or furnishesmaterials or machinery, including the leasing of equipment ortools, for the repair of an unsafe premises may have a lien thatis equal to the total expended. When a lien exists, the receivermay sell the property:
(A) to the highest bidder at auction under the same noticeand sale provisions applicable to a foreclosure sale ofmechanic's liens or mortgages; or
(B) for fair market value if all persons having a substantialproperty interest in the unsafe premises agree to the amountand procedure.
The transferee in either a public or private sale must firstdemonstrate the necessary ability and experience to rehabilitatethe premises within a reasonable time to the satisfaction of thereceiver.
(6) The court may, after a hearing, authorize the receiver toobtain money needed to accomplish the repairs andimprovement by the issuance and sale of notes or receiver'scertificates to the receiver or any other person or party bearinginterest fixed by the court. The notes or certificates are a firstlien on the unsafe premises and the rents and income of theunsafe building. This lien is superior to all other assignments ofrents, liens, mortgages, or other encumbrances on the property,except taxes, if, within sixty (60) days following the sale ortransfer for value of the notes by the receiver, the holder of thenotes files a notice containing the following information in thecounty recorder's office:
(A) The legal description of the tract of real property onwhich the unsafe building is located.
(B) The face amount and interest rate of the note orcertificate.
(C) The date when the note or certificate was sold ortransferred by the receiver.
(D) The date of maturity.
(7) Upon payment to the holder of a receiver's note or certificateof the face amount and interest, and upon filing in the recorder'soffice of a sworn statement of payment, the lien of that note orcertificate is released. Upon a default in payment on a receiver'snote or certificate, the lien may be enforced by proceedings toforeclose in the manner prescribed for mechanic's liens ormortgages. However, the foreclosure proceedings must becommenced within two (2) years after the date of default.
(8) The receiver is entitled to the same fees, commission