I was his legal guardian by court order. A person at the DMV told me at his death I am no longer the guardian.
Medicaid has sent me an estate recovery questionnaire. I am fairly certain the condemned property, his 2020 truck, and bank balance will be part of the recovery.To be honest I think it should be since Medicaid paid for his care.
You may be able to sell the property to someone who wants the lot and would be willing to do the tear-down. I know a few people who have done this with dilapidated inherited properties.
Another option might be the local fire department! Sometimes they accept properties to be burned down to train their trainees. I know a person and also an organization that did this.