P A L N1 ii) A P P a pjaaa to aol! home

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P A L N1 ii) A P P a pjaaa to aol! home RE: Notice of New Legal Requirements in the City of Palmdale Hp: '(our company has been identified as being a trustee or beneficiary of Deeds of Trust on property located in the City of Palmdale Therefore you are being provided this courtesy notice of new legal requirements in the City of Palmdale. In an attempt to prevent conditions of blight, disrepair, and illegal occupancy by vagrants often resulting from vacant buildings, the City Council of the City of Palmdale enacted Ordinance No. 1345 which I\.', became effective on March 7, 2008, This Ordinance requires any beneficiary and any trustee of a Deed of Trust on a property located within the City to perform an inspection of the property that is the security for the '' 'H Deed of Trust prior to recording a notice of default with the Los Angeles County Recorder's Office. If the property is vacant or shows evidence of a" vacancy, either the trustee or the beneficiary must register the property with the City within 10 days of the inspection using forms provided by the City. Both the trustee and the beneficiary may be issued citations if the property is not registered, 1):).,'2(,1: I If the property is not vacant, you must perform a monthly inspection to ensure that the property is being maintained n accordance with City of Palmdale Property Maintenance Standards and continues to be occupied. If any inspection reveals that the property is no longer occupied, you must then register the property with the City. During the entire foreclosure proceedings and until the property is transferred to a new owner who is not the former trustee or beneficiary, you, meaning both the trustee and the beneficiary, are responsible to ensure the property is kept maintained and secured and, if vacant, registered with the City. Please immediately conduct an inspection of all properties located within the City of Palrndale for which you are a trustee or beneficiary and for which a Notice of Default has already been recorded and register properties found to be vacant or which show evidence of vacancy. Although the Ordinance require registration within 10 days of your inspection, the City is allowing a grace period of 30 days from March 7, 2008, for all properties already subject to Notices of Default or in the foreclosure process. After that date, citations will be issued for failure to comply with Ordinance No. 1345. We have attached an application for

your use Please be aware that each abandoned property will require a separate application form to be completed and submitted to the address shown below along with an application fee of $i with the checks made payable to the City of Palmdale. i A complete copy of Ordinance No. 1345 is available at the City of Palmdale website at www.cityofpalmdale.org or can be obtained at the City of Palmdale Planning Department, 38250 Sierra Highway, Palmdale, CA 93550. Please review the Ordinance, since there are other obligations that you may have to perform as beneficiary/trustee of an abandoned property We thank you in advance for your attention to this matter. Should you have any questions or require additional information, please do not hesitate call any of our staff members at (661) 267-5200. Sincerely, Attachment Asoka Herath Director of Planning cc: Matthew Ditzhazy, City Attorney Stephen H. Williams, City Manager

REGSTRATON OF VACANT AND ABANDONED PROPERTY ocalion 'arcul Nuorbur Owner of Record Status (Circle Applicable Descriptor) Abandoned Vacant UdC QpAcpessfhle jtilities (Circle On or Off) Electricity On - Oft Water On - Old jyg On Oft Nrsrrre BENEF1CARIES TRUSTEE MaArrg Address Physical Address Agent ri Confect J Phone Number (Orrect Line) Nirrre TRUSTEE - CONTACT Madrriq Address Physcal Address Agrnrrt or Contact j Phorre Nsrnber )r)rreci lnrei Name LOCAL PROPERTY MANAGER Mailing Address Plrysrcai Address Agent or Contact Phone Number Direct Line) Recordnry Cairn ftustoe Sale Date DEFAULT INFORMATION Document Number Trustee Sale Number Ariction Location Auction Date _Minimum Bid _j CITY OF PALMDALE VERIFICATION Cede Enforcerrrrrtrt Cese Number E:xrstrnng Flogs Dare of Registration Fees Paid [funding arid Safety Case Nirrofren Beating Filings Emergency Contact Name (Property) Fnrrergerncy Confect Phone (24 hour)

Responsible persons (beneficiaries/trustees) will inspect their registered property and remove all weeds, dry brush, dead vegetation, trash, junk, debris, building materials, furniture, clothing, large and small appliances, or printed material and shall take any other action necessary to prevent giving the appearance that the property is abandoned, including but not limited to the following: (A) The property shall be kept free of graffiti, tagging or similar markings by removal or painting over with an exterior grade paint that matches the color of the exterior of the structure. (B) Visible front and side yards shall be landscaped and maintained in accordance with city requirements and neighborhood standards. (C) Permitted landscaping includes, but is not limited to, grass, ground covers, bushes, shrubs, hedges or similar plantings, decorative rock or bark or artificial turf/sod designed specifically for residential installation. (D) Permitted landscaping does not include weeds, gravel, broken concrete, asphalt, decomposed granite, plastic sheeting, indoor-outdoor carpet or any similar material. (E) Required maintenance includes but is not limited to regular watering, irrigation, cutting, pruning and mowing of required landscape and removal of all trimmings. (F) Pools and spas shall be kept in working order so the water remains clear and free of pollutants and debris or drained and kept dry. In either case properties with pools and/or spas must comply with the minimum security fencing requirements of the State of California. Additionally, responsible persons (beneficiaries/trustees) will secure their registered in a manner to prevent access by unauthorized persons. Doors, windows and gates will be closed and locked. In the case of broken windows, doors or gates, securing means the replacement or boarding of the window, door or gate. Responsible persons (beneficiaries/trustees): (A) If the responsible person is a corporation and/or out-of-area beneficiary/trustee/owner, a local property manager will be hired to perform weekly inspections to verify that the requirements of this chapter, and any other applicable laws, are being met. (B) The registered property will be posted with the name and 24-hour contact phone number of the local property manager. The posting shall be no less than 18 inches by 24 inches and shall be of a font that is legible from a distance of 45 feet and shall contain along with the name and 24-hour contact number the words "THIS PROPERTY MANAGED BY" and 'TO REPORT PROBLEMS OR CONCERNS CALL." The posting shall be placed on the interior of a window facing the street to the front of the property so it is visible from the street, or secured to the exterior of the building/structure facing the street to the front of the property so it is visible from the street or, if no such area exists, on a stake of sufficient size to support the posting in a location that is visible from the street to the front of the property but not readily accessible to vandals. Exterior posting must be constructed of and printed with weather resistant materials. (C) The registered property will be inspected on a weekly basis to determine if the property is in compliance with the requirements of the ordinance.

CITY OF PALMDALE COUNTY OF LOS ANGELES, CALIFORNIA ORDINANCE NO 1345 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALMDALE ADDING A NEW CHAPTER 838 TO THE PALMDALE MUNICIPAL CODE REQUIRING OWNERS AND OTHER PERSONS RESPONSIBLE FOR VACANT AND ABANDONED PROPERTY TO REGISTER WITH THE CITY AND TO MAINTAIN SUCH PROPERTY WHEREAS, vacant buildings are a major cause and source of blight in both residential and non-residential neighborhoods, especially when they are not maintained or secured: and WHEREAS, vacant buildings attract vagrants, gang members and other criminals and are prime locations to conduct illegal criminal activities: and WHEREAS vacant buildings are extremely vulnerable to being set on fire by transients and others using the property without authorization; and WHEREAS, vacant buildings that are not maintained or secured pose serious threats to the public's health and safety and therefore are declared to be public nuisances; and WHEREAS, it is the responsibility of owners and also of all other persons holding equitable title or any other interest in property to prevent such property from becoming a burden to the neighborhood and community and a threat to the public health, safety and welfare, NOW THEREFORE THE CITY COUNCIL OF THE CITY OF PALMDALE DOES ORDAIN AS FOLLOWS: SECTION 1, A new Chapter 8.38 is added to the Palmdale Municipal Code to read as follows: CHAPTER 8.38 VACANT AND ABANDONED PROPERTY REGISTRATION 838.O10 Purpose/scope. 8.38.020 Definitions. 8.38.030 Registration. 8.38.040 Inspection and registration of previously abandoned properties. 8.38.050 Maintenance requirements. 8.38.060 Security requirements. 8.38.070 Additional authority. 8.38.080 Enforcement. 8.38.090 Violation/penalty.

Ord. 1345 January 16, 2008 Page 2 of 7 838.O1O Purpose/scope, It is the purpose and intent of the Palrndale City Council, through the adoption of this chapter, to estabsh an abandoned or vacant property registration program as a mechanism to protect neighborhoods and commercial areas from becoming blighted through the lack of adequate maintenance and security of abandoned and vacated properties &38.020 Definitions, For the purposes of this chapter, certain words and phrases used in this chapter are defined as follows: "Abandoned" means a property that is vacant and is: 1) under a current notice of default; 2) under a current notice of trustee's sale; 3) pending a tax assessor's lien sale; 4) any property that has been the subject of a foreclosure sale where the title was retained by the beneficiary of a deed of trust involved in the foreclosure; and 5) any property transferred under a deed in lieu of foreclosure/sale. "Accessible property" means a property that is accessible through a compromised/breached window, gate, fence, wall, etc. "Accessible structure" means a structure/building that is unsecured and/or breached in such a way as to allow access to the interior space by unauthorized persons. "Beneficiary" means a lender or holder of a note secured by a deed of trust. "Beneficiary/Trustee" means both the beneficiary and the Trustee. When any act is required of the beneficiary/trustee by this Chapter, both are responsible for performing such act and may be charged with a violation of this Code for failure to act. However, it is sufficient if it is accomplished by either one. If information is required to be provided, then both must provide such information. "Deed of trust" means an instrument by which title to real estate is transferred to a third party trustee as security for a real estate Joan and often used in California instead of a mortgage. This definition applies to any and all subsequent deeds of trust, i.e., second trust deed, third trust deed, etc. "Deed in lieu of foreclosure/sale" means a recorded document that transfers ownership of a property from the trustor to the holder of a deed of trust upon consent of the beneficiary of the deed of trust. "Distressed" means a property that is under a current notice of default and/or notice of trustee's sale and/or pending tax assessor's lien sale or has been foreclosed upon by the trustee or has been conveyed to the beneficiary/trustee via a deed in lieu of foreclosure/sale.

Ord. 1345 January 16, 2008 Page 3 of 7 Evidence of vacancy' means any condition that on its own or combined with other conditions present would lead a reasonable person to believe that the property is vacant and not occupied by authorized persons. Such conditions include, but are not limited to, overgrown and/or dead vegetation, accumulation of newspapers, circulars, flyers and/or mail, past due utility notices and/or disconnected utilities, accumulation of trash, junk and/or debris, the absence of window coverings such as curtains, blinds and/or shutters, the absence of furnishings and/or personal items consistent with residential habitation, and statements by neighbors, passersby, delivery agents, government employees that the property is vacant. 'Local' means within 40-road/driving miles distance of the subject property. "Notice of default' means a recorded notice that a default has occurred under a deed of trust and that the beneficiary intends to proceed with a trustee's sale. "Out of area" means in excess of 40-road/driving miles distance of the subject property. "Responsible person" means any person, partnership, association, corporation, or fiduciary having legal or equitable title to or any interest in any real property and includes trustees and beneficiaries of a deed of trust on the property and any other lien holder on the property. "Owner of record" means the person having recorded title to the property at any given point in time the record is provided by the Los Angeles County Recorder's Office. "Property" means any unimproved or improved real property, or portion thereof, situated in the City and includes the buildings or structures located on the property regardless of condition "Securing" means such measures as may be directed by the Director of Planning! designee that assist in rendering the property inaccessible to unauthorized persons, including but not limited to the repairing of fences and walls, chaining/padlocking of gates, the repair or boarding of door, window and/or other openings. Boarding shall be completed to a minimum of the current HUD securing standards at the time the boarding is completed or required. "Trustee" means the person, firm or corporation holding a deed of trust on a property. "Trustor" means a borrower under a deed of trust, who deeds property to a trustee as security for the payment of a debt. "Vacant" means a building/structure that is not occupied by authorized persons

Ord. 1345 January 16, 2008 Page 4 of 7 &38O3O Registration. Any beneficiary/trustee, who holds a deed of trust on a property located within the City of Palmdale, shall perform an inspection of the property that is the security for the deed of trust, upon default by the trustor, prior to recording a notice of default with the Los Angeles County Recorder's Office. If the property is found to be vacant or shows evidence of vacancy, it is, by this chapter, deemed abandoned and the beneficiary/trustee shall, within 10 days of the inspection, register the property with the Planning Director on forms provided by the City. (A) tf the property is occupied but remains in default it shall be inspected by the beneficiary/trustee, or an agent/designee of the beneficiary/trustee, monthly until (1) the trustor or another party remedies the default; or (2) the foreclosure is completed and ownership is transferred to a new owner who is not the former beneficiary or trustee; or (3) it is found to be vacant or shows evidence of vacancy at which time it is deemed abandoned, and the beneficiary/trustee shall, within 10 days of that inspection, register the property with the Planning Director on forms provided by the City. (B) (C) The beneficiary/trustee shall also register any property, which becomes vacant after a foreclosure sale where the title was transferred to the beneficiary of a deed of trust involved in the foreclosure and any property, which becomes vacant after being transferred under a deed in lieu of foreclosure/sale, Such registration shall contain the following information for both the beneficiary and the trustee: name (corporation or individual); the streetloffice address (not a P.O. box) and if different, the mailing address; a direct contact name and phone number for the person handling the deed of trust arid/or foreclosure; and, in the case of a corporation or out-of-area beneficiary or trustee, the local property manager responsible for the security and maintenance of the property. (D) The annual registration fee established by City Council resolution, shall accompany the registration form. The fee and registration shall be valid for the calendar year, or remaining portion of the calendar year, in which the registration was initially required. Subsequent registrations and fees are due January 1st of each year and must be received no later than January 31St of the year due. (E) (F) Persons required to register properties pursuant to this chapter shall keep such properties registered and all required information updated and comply with all the security and maintenance requirements of this Chapter for the entire time such properties remain vacant. When such properties become occupied or title is transferred, the beneficiary/trustee or prior responsible person shall notify the Planning Director in writing. Any person, firm or corporation required to register a property pursuant to this chapter must report any change of information contained in the registration within 10 days of the change.

Ord. 1345 January 16, 2008 Page 5 of 7 838.O4O Inspection and registration of previously abandoned properties. Any beneficiary/trustee, who holds a deed of trust on a property located within the City of Palmdale, which property is, on the effective date of this Chapter: 1) under a current notice of default; 2) under a current notice of trustee's sale; 3) pending a tax assessor's lien sale; 4) that has been subject of a foreclosure shale where the title was retained by the beneficiary of a deed of trust involved in the foreclosure; and 5) which was transferred under a deed in lieu of foreclosure/sale, shall, on or before June 30, 2008, perform an inspection of the property that is the security for the deed of trust. If the property is found to be vacant or shows evidence of vacancy, it is, by this chapter, deemed abandoned and the beneficiary/trustee shall, within 10 days of the inspection, register the property with the Planning Director on forms provided by the City. 8.38.050 Maintenance requirements. Responsible persons, including beneficiaries/trustees shall maintain properties subject to inspection and/or registration pursuant to this chapter, as required by Chapter 8.36 and any other applicable provisions of federal, state or local law, and shall keep such properties free of weeds, dry brush, dead vegetation, trash, junk, debris, building materials, any accumulation of newspapers, circulars, flyers, notices, except those required by federal, state or local law, discarded personal items including but not limited to furniture, clothing, large and small appliances, or printed material and shall take any other action necessary to prevent giving the appearance that the property is abandoned, including but not limited to the following: (A)The property shall be kept free of graffiti, tagging or similar markings by removal or painting over with an exterior grade paint that matches the color of the exterior of the structure. (B) Visible front and side yards shall be landscaped and maintained in accordance with city requirements and neighborhood standards. (C) Permitted landscaping includes, but is not limited to, grass, ground covers, bushes, shrubs, hedges or similar plantings, decorative rock or bark or artificial turf/sod designed specifically for residential installation. (D) Permitted landscaping does not include weeds, gravel, broken concrete, asphalt, decomposed granite, plastic sheeting, indoor-outdoor carpet or any similar material. (E) Required maintenance includes but is not limited to regular watering, irrigation, cutting, pruning and mowing of required landscape and removal of all trimmings. (F) Pools and spas shall be kept in working order so the water remains clear and free of pollutants and debris or drained and kept dry. In either case properties with pools and/or spas must comply with the minimum security fencing requirements of the State of California. 8.38.060 Security requirements. Responsible persons, including beneficiaries/trustees shall secure properties subject to inspection and/or registration pursuant to this chapter, in a manner to prevent access by unauthorized persons, including but not limited to the following; the closure and locking

Ord. 1345 January 16, 2008 Page 6 of 7 of windows, doors (walk-through, sliding and garage), gates and any other opening of such size that it may allow a child to access the interior of the property and or structure(s). In the case of broken windows securing means the re-glazing or boarding of the window. Responsible Persons shall do the following: (A) If the responsible person is a corporation and/or out-of-area beneficiary/trustee/owner, a local property manager shall be hired to perform weekly inspections to verify that the requirements of this chapter, and any other applicable laws, are being met. ('B) The property shall be posted with name and 24-hour contact phone number of the local property manager. The posting shall be no less than 18 inches by 24 inches and shall be of a font that is legible from a distance of 45 feet and shall contain along with the name and 24-hour contact number the words "THIS PROPERTY MANAGED BY" and "TO REPORT PROBLEMS OR CONCERNS CALL." The posting shall be placed on the interior of a window facing the street to the front of the property so it is visible from the street, or secured to the exterior of the building/structure facing the street to the front of the property so it is visible from the street or, if no such area exists, on a stake of sufficient size to support the posting in a location that is visible from the street to the front of the property but not readily accessible to vandals. Exterior posting must be constructed of and printed with weather resistant materials. (C)The Responsible Person or local property manager shall inspect the property on a weekly basis to determine if the property is in compliance with the requirements of this chapter. 8.38070 Additional authority. ln addition to the enforcement remedies established in Chapters 1.16, 1.20, 8.36 and 8.10 PMC, the Director of Planning/designee shall have the authority to require the Responsible Person of any property affected by this section to implement additional maintenance and/or security measures including but not limited to securing any/all door, window or other openings, installing additional security lighting, increasing on-site inspection frequency, employment of an on-site security guard, disconnecting utilities and removing the meter boxes, or other measures as may be reasonably required to arrest the decline of the property and prevent unauthorized entry. 838.080 Enforcement. Violations of this chapter may be enforced in any combination as allowed in Chapters 1.16, 1.20, 810 and 8.36 PMC. 8.38090 Violation/penalty. Violations of this chapter shall be treated as a strict liability offense regardless of intent. Any person, firm and/or corporation that violates any portion of this section shall be subject to prosecution and/or administrative enforcement as provided in Title 1 of the PMC and subject to the penalties set forth therein. It shall constitute a new and separate offense for each and every day during any portion of which a violation of, or

Ord. 1345 January 16, 2008 Page 7 of 7 faflure to comply with, any provision or requirement of this Chapter is committed, continued, or permitted by any person, and such person shall be punished accordingly. SECTION 2. Severability. If any section, 5ubsection, subdivision, paragraph, sentence, clause or phrase in this Ordinance or any part thereof is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one (1) or more subsections, subdivisions, paragraphs, sentences, clauses or phrases be declared unconstitutional, or invalid, or ineffective. SECTION 3. The City Clerk shall certify to the azptiori of this ordinance and shall cause this ordinance to be published or posted as required bylaw. PASSED, APPROVED and ADOPTED this day of Febra r y, 2008 by the following vote: AYES:Mavor Ledford and Councilmembers Lackey. Knight. Hofbauei. and Dispeoza NOES: None A8STAIN: None _ABSENT: None ATTEST:.. Mayor Victoria L. Hancock, CMC City Clerk Approved as to form: City Attorney Ditzhazy

Exhibit A to Resolution No. CC 2008-089 June 18, 2008 Page 17 I 6. TERMINATION OF SUBSTANDARD PROPERTY $150 DECLARATION 7. SUMMARY ABATEMENT ACTION $200 for filing 8. FILING A CRIMINAL COMPLAINT, INSPECTION $350 per action WARRANT OR ABATEMENT WARRANT 9. COMPUTER RESEARCH TO IDENTIFY $45 per property PROPERTY OWNERSHIP 10. INVESTIGATE CASE PHOTOGRAPHS $2 per photo 11. SMALL CLAIMS FILING $200 12. ABATEMENTOFFOOD $150 CARTS/CONVEYANCES 13. EMERGENCY DRAINING OF POOLS $750 I 14. REMOVAL OF ENCROACHMENTS (Or actual $200 cost borne by the City if greater) 15. AFTER HOURS INSPECTION (Or actual costs $125 borne by the City if greater) 16.REGISTRATION FEE FOR VACANT AND r ABANDONED PROPERTIES (Chapter 8.38) $100j(' / 17. GRAFFITI REMOVAL (Equipment and staff cost) $344 mm fee (Based on minimum time of lhr4o mm at $3.44 per minute after $206.69/hr and $3.44 per minute after the 1St hr) the 1st hour AA. MISCELLANEOUS SERVICES I BB. 1. WRITTEN INTERPRETATION OF $75 per hour POLICIES AND REGULATIONS 2. PUBLIC HEARING FEE $475 REFUND SCHEDULE RELATING TO APPLICATION FEES The following schedule shall apply to refunds of fees where the application is withdrawn during processing, or the applicant fails to provide additional information which is required for further processing of the application:

Exhibit A to Resolution No. CC 2008-089 June 18, 2008 Page 18 1. APPLICATION FILED AND/OR DISTRIBUTED 75% of fees paid TO AFFECTED DEPARTMENTS OR AGENCIES I 2. FIRST MEETING OF THE DEVELOPMENT 50% of fees paid ADVISORY BOARD HAS BEEN CONCLUDED OR DETERMINATION REGARDINGS COMPLETENESS HAS BEEN MADE 3. APPLICANT FAILS TO RESPOND TO A SECOND REQUEST FOR ADDITIONAL INFORMATION No refund of fees 4. SECOND MEETING OF THE DEVELOPMENT ADVISORY BOARD HAS BEEN CONCLUDED AND/OR CONDITIONS AND/OR STAFF REPORT PREPARED No refund of fees CC. PRE-CONSTRUCTION CONFERENCE $300 I EE. BUSINESS LICENSE TAXES (voted by public - will go to ballot on November) 1. CLASSIFICATION "A": SERVICES INDUSTRIES a. Annual tax $25 b. Semi-annual tax $15 c. Tax per employee $3 2. CLASSICATION "B": RETAIL, WHOLESALE, AND MANUFACTURING a. Annual tax $25 b. Semi-annual tax $15 c. Tax per employee $3