I also think I'm probably less risk averse than most people when it comes to things like this...I don't mind risking a lien or a pissed off contractor.That said, this is how I'd proceed (though I'm not saying it's how you should proceed):1.

I would tell them they should pay for it, and you will reimburse them out of closing proceeds (if in fact you are willing to pay for it).

He had nothing to do with property management and proceeded to help me find a CEO of a property management company. 

I can help you determine how to proceed with your husband.

Before I give my 2 cents however, I need a soapbox moment :) I think there is an innate tendency (myself included at times), to "bash" ideas and thoughts that we don't agree with, perhaps unintentionally, but nonetheless haphazardly and often in an exaggerated manner in an attempt to demonstrate our greater knowledge.

I'm intending on 1031'ing the proceeds into a larger property, as I'm looking for a small to medium sized commercial rental property.

If you do not win the auction the proceeds from the auction will be used to pay off your tax certificate plus interest.Check about the procedure for other states and counties. 

If you do expect to be able to proceed with this application, then please plan to provide the items listed below to expedite the loan process: 1.

Anyways, so my next question to you guys is HOW DO I PROCEED WITH FINANCING?

Could I just deposit the proceeds into the S Corp account?