Alabama 2023 Regular Session

Alabama Senate Bill SB6 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	SB6INTRODUCED
2	2	Page 0
3	3	U94MDG-1
4	4	By Senator Coleman-Madison
5	5	RFD: County and Municipal Government
6	6	First Read: 07-Mar-23
7	7	PFD: 30-Jan-23
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12	12	5 U94MDG-1 11/28/2022 SLU (L) cr 2022-5079
13	13	Page 1
14	14	SYNOPSIS:
15	15	Under existing law, the acquisition of real
16	16	property by local land bank authorities is subject to
17	17	certain restrictions on the procedure, geographic
18	18	location, and costs.
19	19	This bill would provide a shortened redemption
20	20	period for a tax delinquent property that is not
21	21	acquired by an open market bidder at a tax sale
22	22	auction, would authorize a local government or a local
23	23	land bank authority to purchase property at public
24	24	auction by tendering the minimum bid in the absence of
25	25	open market bids, and would limit the geographical
26	26	boundaries of local land bank authority acquisitions.
27	27	This bill would also provide for the creation of
28	28	multijurisdictional local land bank authorities by
29	29	intergovernmental agreements and a property tax
30	30	exemption for a property owned by a local land bank
31	31	authority.
32	32	This bill would further provide for the
33	33	authorization of local governments to allocate a
34	34	portion of local property tax revenues to local land
35	35	bank authorities, a local land bank authority to convey
36	36	properties to state and local governments for
37	37	floodplain management and storm water drainage, and for
38	38	the Governor to create a local land bank authority by
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68	68	executive order following a declaration of a state of
69	69	emergency.
70	70	A BILL
71	71	TO BE ENTITLED
72	72	AN ACT
73	73	Relating to land bank authorities; to amend Sections
74	74	24-9-4, 24-9-6, 24-9-10, 40-1-3, 40-10-1, 40-10-18, 40-10-29,
75	75	40-10-120, 40-10-184, and to add Sections 29-4-11 and 29-4-12
76	76	to the Code of Alabama 1975; to provide for the creation of
77	77	multijurisdictional local land bank authorities; further
78	78	authorize the acquisition of tax delinquent property and tax
79	79	liens by local land bank authorities; further provide for the
80	80	exemption of land bank authority property from taxes and fees;
81	81	provide for the allocation of a portion of the ad valorem
82	82	taxes on property conveyed by a land bank authority to the
83	83	authority; further provide for the conveyance of land bank
84	84	authority property; and authorize the Governor to create a
85	85	local land bank authority in the event of a state of
86	86	emergency.
87	87	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
88	88	Section 1. Sections 24-9-4, 24-9-6, and 24-9-10, Code
89	89	of Alabama 1975, are amended to read as follows:
90	90	"§24-9-4
91	91	When used in the chapter, the following words shall
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121	121	have the following meanings:
122	122	(1) AGREEMENT. The intergovernmental cooperation
123	123	agreement entered into between an authority and a local
124	124	authority by the parties pursuant to this chapter.
125	125	(2) AUTHORITY. The Alabama Land Bank Authority.
126	126	(3) BOARD. The Alabama Land Bank Authority Board.
127	127	(4) LOCAL LAND BANK AUTHORITY. A local land bank
128	128	authority created by a county or municipality as provided in
129	129	Section 24-9-10.
130	130	(5) PROPERTY. Real property, including any improvements
131	131	thereon.
132	132	(6) TAX-DELINQUENT PROPERTY. Any property on which the
133	133	taxes levied and assessed by any party remain in whole or in
134	134	part unpaid on the date due and payable."
135	135	"§24-9-6
136	136	(a) The authority, at such times as it deems to be
137	137	appropriate, may submit a written request to the Land
138	138	Commissioner of the Alabama Department of Revenue for the
139	139	transfer of the state's interest in certain properties to the
140	140	authority. Upon receipt of such request, the Land Commissioner
141	141	shall issue a tax deed conveying the state's interest in the
142	142	property to the authority. The authority shall not be required
143	143	to pay the amount deemed to have been bid to cover delinquent
144	144	taxes or any other amount in order to obtain the tax deed.
145	145	(b)(1) Delinquent property that may be transferred by
146	146	the Land Commissioner to the authority shall be limited to
147	147	parcels that have been bid in for the state pursuant to
148	148	Chapter 10 of Title 40 for at least three years and the
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178	178	state's interest in real property acquired pursuant to Chapter
179	179	29 of Title 40 for delinquent taxes administered by the state
180	180	and held for at least three years. The three-year period shall
181	181	not apply to properties encumbered by one or more housing or
182	182	building code liens transmitted to the tax collecting official
183	183	in accordance with Title 11.
184	184	(2) The Land Commissioner or his or her agents or
185	185	assistants may adopt rules necessary to transfer such
186	186	properties to the authority.
187	187	(c) The authority shall administer properties acquired
188	188	by it as follows:
189	189	(1) All property acquired by the authority shall be
190	190	inventoried and the inventory shall be maintained as a public
191	191	record.
192	192	(2) The authority shall have the power to manage,
193	193	maintain, protect, rent, lease, repair, insure, alter, sell,
194	194	trade, exchange, or otherwise dispose of any property acquired
195	195	pursuant to subsection (b)(1), on terms and conditions
196	196	determined in the sole discretion of the authority.
197	197	(d) Nothing contained in Act 2013-249 shall be
198	198	construed to grant any power of eminent domain to the
199	199	authority or any local authority."
200	200	"§24-9-10
201	201	(a) If the number of tax delinquent properties in a
202	202	municipality exceeds 100, then the governing body of a
203	203	municipality may adopt a resolution declaring that it is wise,
204	204	expedient, and necessary that a local land bank authority be
205	205	formed by the municipality by the filing for record of a
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235	235	certificate of incorporation in accordance with the provisions
236	236	of subsection (c)(d).
237	237	(b) If the number of tax delinquent properties in a
238	238	municipality exceeds 100, then the governing body of a county
239	239	may adopt a resolution declaring that it is wise, expedient,
240	240	and necessary that a local land bank authority be formed by
241	241	the county by the filing for record of a certificate of
242	242	incorporation in accordance with the provisions of subsection
243	243	(c)(d).
244	244	(c) A county and a municipality located within that
245	245	county may create a single land bank authority by an
246	246	intergovernmental agreement, so long as both the county and
247	247	the municipality each meet the criteria of subsections (a) and
248	248	(b). The intergovernmental agreement shall comply with all
249	249	provisions of subsections (d) and (e).
250	250	(c)(d) Upon the adoption of the authorizing resolution,
251	251	the municipality or county, as the case may be, shall proceed
252	252	to incorporate the local land bank authority by filing for
253	253	record in the office of the judge of probate of the county a
254	254	certificate of incorporation which shall comply in form and
255	255	substance with the requirements of this section and which
256	256	shall be in the form and executed in the manner herein
257	257	provided. The certificate of incorporation of the local land
258	258	bank authority shall state all of the following:
259	259	(1) The name of the local unit of government forming
260	260	the local land bank authority.
261	261	(2) The name of the local land bank authority.
262	262	(3) The size of the initial governing body of the local
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292	292	land bank authority, which shall be composed of an odd number
293	293	of members, but not less than five.
294	294	(4) The qualifications, method of selection, and terms
295	295	of office of the initial board members.
296	296	(5) A method for the adoption of bylaws by the
297	297	governing body of the local land bank authority.
298	298	(6) A method for the distribution of proceeds from the
299	299	activities of the local land bank authority.
300	300	(7) A method for the dissolution of the local land bank
301	301	authority.
302	302	(8) Any other matters considered advisable by the local
303	303	unit of government, consistent with Act 2013-249.
304	304	(d)(e) Following incorporation, a local authority may
305	305	enter into an intergovernmental agreement with the authority
306	306	providing for the transfer to the local authority of any
307	307	property held by the authority which is located within the
308	308	corporate limits of the municipality or the boundary of the
309	309	county which created the land bank.
310	310	(e)(f) A local land bank authority shall have all of
311	311	the powers of the authority as set forth in this chapter. In
312	312	addition, a local land bank authority shall have the following
313	313	powers:
314	314	(1) Without the approval of a local unit of government
315	315	in which property held by the local land bank authority is
316	316	located, control, hold, manage, maintain, operate, repair,
317	317	lease as lessor, secure, prevent the waste or deterioration
318	318	of, demolish, and take all other actions necessary to preserve
319	319	the value of the property it holds or owns. AnA local land
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349	349	bank authority may take or perform the following actions with
350	350	respect to property held or owned by the local land bank
351	351	authority:
352	352	a. Grant or acquire a license, easement, or option with
353	353	respect to property as the authority determines is reasonably
354	354	necessary to achieve the purposes of this chapter.
355	355	b. Fix, charge, and collect rents, fees, and charges
356	356	for use of property under the control of the local land bank
357	357	authority or for services provided by the authority.
358	358	c. Pay any tax or special assessment due on property
359	359	acquired or owned by the local land bank authority.
360	360	d. Take any action, provide any notice, or institute
361	361	any proceeding required to clear or quiet title to property
362	362	held by the local land bank authority in order to establish
363	363	ownership by and vest title to property in the authority,
364	364	including, but not limited to, a quiet title and foreclosure
365	365	action pursuant to Section 24-9-8.
366	366	e. Remediate environmental contamination on any
367	367	property held by the local land bank authority.
368	368	(2) Enter into an intergovernmental agreement with a
369	369	municipality or county , or another local land bank authority,
370	370	providing for one or more of the following:
371	371	a. The conveyance to the authority of tax delinquent
372	372	property held by the municipality or county for title
373	373	clearance, including, but not limited to, a quiet title and
374	374	foreclosure action under Section 24-9-8.
375	375	b. The acquisition and title clearance of property by
376	376	the authority of property to be conveyed by the local land
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406	406	bank authority to the municipality or county or another entity
407	407	pursuant to the agreement between the authority and the
408	408	municipality or county.
409	409	c. The performance of operational and administrative
410	410	services to be provided to another local land bank authority.
411	411	(3) Acquire real property at a sale conducted in
412	412	accordance with Section 40-10-18 by tendering a bid equal to
413	413	the minimum amount specified in the decree of sale and the
414	414	costs and expenses subsequently accruing, which shall be
415	415	accepted by the judge of probate and the local land bank
416	416	authority shall be the purchaser at the sale. The tender of
417	417	the minimum bid in accordance with this subsection shall be
418	418	for cash, with a credit for any and all components of the
419	419	minimum bid already due and payable to the governmental entity
420	420	that created the local land bank authority. After 90 days from
421	421	the date of sale, the judge of probate shall execute and
422	422	deliver to the governmental entity a deed to each lot or
423	423	parcel of real estate sold to the local land bank authority.
424	424	The deed shall convey to, and vest in, the grantee all right,
425	425	title, interest, and estate of any and all persons having an
426	426	interest in the property as of the date of the sale.
427	427	(4) Acquire a tax lien at an auction conducted in
428	428	accordance with Section 40-10-184 by tendering a cash bid at
429	429	an interest rate of zero percent, which shall be accepted as
430	430	the successful bid. The bid shall be tendered for cash subject
431	431	to a credit for any and all amounts already due and payable to
432	432	the governmental entity that created the local land bank
433	433	authority.
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463	463	(f)(g) A local unit of government and any agency or
464	464	department of such local unit of government may do one or more
465	465	of the following:
466	466	(1) Anything necessary or convenient to aid a local
467	467	land bank authority in fulfilling its purposes under Act
468	468	2013-249.
469	469	(2) Lend, grant, transfer, appropriate, or contribute
470	470	funds to a local land bank authority in furtherance of its
471	471	purposes.
472	472	(3) Lend, grant, transfer, or convey funds to a local
473	473	land bank authority that are received from the federal
474	474	government or this state or from any nongovernmental entity in
475	475	aid of the purposes of Act 2013-249.
476	476	(g)(h)A local land bank authority created by a county
477	477	or a municipality may acquire real property only within the
478	478	geographical boundaries of the county or municipality, and
479	479	only in those portions of the county or municipality In the
480	480	event a county creates a local authority, the local authority
481	481	may acquire real property that has been tax delinquent for
482	482	three or more years only in those portions of the county
483	483	located outside of the geographical boundaries of any other
484	484	local land bank authority created by any municipality located
485	485	partially or entirely within the county. The Land Bank
486	486	Authority may acquire real property that has been tax
487	487	delinquent for three or more years only in those portions of
488	488	the state located outside of the geographical boundaries of
489	489	any local authority created by any municipality or county .
490	490	(h)(i) Any local land bank authority formed by a
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520	520	municipality or county pursuant to this section shall continue
521	521	to exist in accordance with its articles of incorporation and
522	522	this section in the event that the number of tax delinquent
523	523	properties in the local jurisdiction forming the authority
524	524	subsequently decreases to 100 or less.
525	525	(i)(j) Any local land bank authority formed by a
526	526	municipality or county pursuant to this section shall permit
527	527	the Alabama Department of Examiners of Public Accounts to
528	528	perform an audit upon request by the department. The
529	529	department shall assess the cost of the audit against the
530	530	local land bank authority.
531	531	(k) As public property used for public purposes, the
532	532	real property of a local land bank authority, including, but
533	533	not limited to, real property held by a local land bank
534	534	authority pursuant to a long-term lease contract with
535	535	community land trusts, and its income are exempt from all
536	536	license fees, recording fees, and all other taxes imposed by
537	537	the state or by any of its political subdivisions.
538	538	(l) Up to 75 percent of the ad valorem taxes collected
539	539	on real property, except any state or school district ad
540	540	valorem tax, conveyed by a local land bank authority shall be
541	541	remitted to the local land bank authority. The specific
542	542	percentage of the taxes to be remitted shall be set forth in
543	543	the local law, ordinance, resolution, or intergovernmental
544	544	contract of the local land bank authority. The allocation of
545	545	property tax revenues shall commence with the first taxable
546	546	year following the date of conveyance and shall continue for a
547	547	period of five consecutive tax years. The funds shall be
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577	577	remitted to the local land bank authority in accordance with
578	578	the administrative procedures established by the tax
579	579	commissioner or tax collecting official of the county in which
580	580	the local land bank authority is located. The allocation of
581	581	property tax revenues shall not occur if the taxes have been
582	582	previously allocated to a tax allocation district, or
583	583	allocated to secure a debt of the local government, unless the
584	584	tax allocation district or local government enters into an
585	585	agreement with the local land bank authority for the
586	586	remittance of the funds to the local land bank authority. "
587	587	Section 2. Sections 24-9-11 and 24-9-12 are added to
588	588	the Code of Alabama 1975, to read as follows:
589	589	§24-9-11
590	590	(a) A local land bank authority may convey ownership
591	591	of, or interest in, real property to a state or local
592	592	governmental entity for purposes of floodplain management or
593	593	storm water drainage in the event of all of the following:
594	594	(1) Floodplain management or storm water retention or
595	595	drainage is the highest and best use of the real property.
596	596	(2) As a result of housing and building code
597	597	restrictions, floodplain elevations, and other local, state,
598	598	or federal law or public and private agreements, conditions,
599	599	and limitations, the real property is no longer suitable for
600	600	development or redevelopment.
601	601	(b)(1) A local land bank authority may convey ownership
602	602	of, or interest in, real property under this section by grant,
603	603	deed lease, or other form of conveyance, and may include
604	604	additional limitations, restrictions, and conditions to be
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634	634	determined by the local land bank authority.
635	635	(2) Consideration for the conveyance may be any of the
636	636	following not otherwise prohibited by law:
637	637	a. A nominal monetary payment.
638	638	b. A contractual obligation in favor of the party to
639	639	which the real property is being conveyed.
640	640	c. An exchange of real property.
641	641	d. Other consideration determined by the local land
642	642	bank authority and the party to whom the real property is to
643	643	be conveyed.
644	644	§24-9-12
645	645	(a) Upon declaring a state of emergency caused by a
646	646	natural disaster that causes widespread damage to, and
647	647	destruction of, real property and improvements and dislocation
648	648	of residents, the Governor may create a local land bank
649	649	authority in accordance with this section.
650	650	(1) The Governor may issue an executive order providing
651	651	for the immediate creation of a local land bank authority of
652	652	and for local governments of the geographic areas subject to
653	653	the declaration of the state of emergency.
654	654	(2) The executive order shall provide for incorporation
655	655	and certification of the local land bank authority as required
656	656	under this chapter.
657	657	(b) Any local land bank authority created pursuant to
658	658	this section shall have all powers of a local land bank
659	659	authority created pursuant to Section 24-9-10.
660	660	(c) Upon the necessary and appropriate action of the
661	661	local governments having jurisdiction over the geographic
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691	691	areas subject to the declaration of the state of emergency, a
692	692	local land bank authority created pursuant to this section may
693	693	be converted into a local land bank authority created pursuant
694	694	to Section 24-9-10, at which time, the local land bank
695	695	authority shall be the successor in interest and at law to the
696	696	local authority created pursuant to this section.
697	697	(d) In the event that a local land bank authority
698	698	created pursuant to this section is not converted pursuant to
699	699	subsection (c), 12 months following the date of the Governor's
700	700	executive order, the local land bank authority created by the
701	701	executive order shall be dissolved in accordance with the
702	702	provisions of the Governor's executive order.
703	703	Section 3. Sections 40-1-3, 40-10-1, 40-10-18,
704	704	40-10-29, 40-10-120, and 40-10-184, Code of Alabama 1975, are
705	705	amended to read as follows:
706	706	"§40-1-3
707	707	From and after October 1 of each year, when property
708	708	becomes assessable the state shall have a lien upon each and
709	709	every piece or parcel of property owned by any taxpayer for
710	710	the payment of all taxes which may be assessed against him or
711	711	her and upon each piece and parcel of property real or
712	712	personal assessed to owner unknown, which lien shall continue
713	713	until such taxes are paid, and the county shall have a like
714	714	lien thereon for the payment of the taxes which may be
715	715	assessed by it; and, if such property is within the limits of
716	716	a municipal corporation, such municipal corporation shall have
717	717	a like lien thereon for the payment of the taxes which may be
718	718	assessed by it. These liens shall be superior to all other
719	719	337
720	720	338
721	721	339
722	722	340
723	723	341
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725	725	343
726	726	344
727	727	345
728	728	346
729	729	347
730	730	348
731	731	349
732	732	350
733	733	351
734	734	352
735	735	353
736	736	354
737	737	355
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748	748	liens and shall exist in the order named, and each of such
749	749	liens may be enforced and foreclosed by sale for taxes as
750	750	provided in this title, or as other liens upon property are
751	751	enforced, except as otherwise provided by lawslaw. These taxes
752	752	and liens shall include any and all liens transmitted to the
753	753	tax collecting official by counties and municipal corporations
754	754	in accordance with Sections 11-40-35, 11-53B-16, and
755	755	11-67-66."
756	756	"§40-10-1
757	757	(a) The probate court of each county may order the sale
758	758	of lands therein for the payment of taxes assessed on the
759	759	lands, or against the owners of the lands, when the tax
760	760	collector shall report to the court that he or she or the
761	761	holder of a tax lien issued pursuant to Acts 1995, No. 95-408
762	762	was unable to collect the taxes assessed against the land, or
763	763	any mineral, timber or water right or special right, or
764	764	easement therein, or the owner thereof, without a sale of the
765	765	land.
766	766	(b) For purposes of any enforcement proceedings under
767	767	this chapter, the taxes due shall include any and all liens of
768	768	a municipality for housing and building code violations and
769	769	enforcement actions which liens are transmitted to the tax
770	770	collecting official in accordance with Title 11. "
771	771	"§40-10-18
772	772	(a) If no person shall bid for any real estate offered
773	773	at such sale an amount sufficient to pay the sum greater than
774	774	the minnimum bid specified in the decree of sale, and the
775	775	costs and expenses subsequently accruing, and no minimum bid
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781	781	370
782	782	371
783	783	372
784	784	373
785	785	374
786	786	375
787	787	376
788	788	377
789	789	378
790	790	379
791	791	380
792	792	381
793	793	382
794	794	383
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796	796	385
797	797	386
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804	804	Page 15
805	805	is tendered by a local government or a local land bank
806	806	authority, the judge of probate shall bid in such real estate
807	807	for the state at a price not exceeding the sum specified in
808	808	such decree and such subsequently accruing cost and
809	809	expensesthe minimum bid. In no event shall the judge of
810	810	probate bid in for the state less than the entire amount of
811	811	real estate included in any assessment.
812	812	(b) If no person shall bid for any real estate offered
813	813	at such sale, an amount greater than the minimum bid specified
814	814	in the degree of sale, and the costs and expenses subsequently
815	815	accruing, a local government or local land bank authority in
816	816	which the real estate is located may tender a bid for the
817	817	minimum amount which bid shall be accepted by the judge of
818	818	probate, and the successful bidder shall be the purchaser at
819	819	the sale. The tender of the minimum bid in accordance with
820	820	this subsection shall be for cash, with a credit for any and
821	821	all amount already due and owing the local governmental entity
822	822	submitting the bid. "
823	823	"§40-10-29
824	824	(a) After the expiration of three years from the date
825	825	of the sale of any real estate for taxes, the judge of probate
826	826	then in office must execute and deliver to the purchaser,
827	827	other than the state, or person to whom the certificate of
828	828	purchase has been assigned, upon the return of the
829	829	certificate, proof that all ad valorem taxes have been paid,
830	830	and payment of a fee of five dollars ($5) to the judge of
831	831	probate, a deed to each lot or parcel of real estate sold to
832	832	the purchaser and remaining unredeemed, including therein, if
833	833	393
834	834	394
835	835	395
836	836	396
837	837	397
838	838	398
839	839	399
840	840	400
841	841	401
842	842	402
843	843	403
844	844	404
845	845	405
846	846	406
847	847	407
848	848	408
849	849	409
850	850	410
851	851	411
852	852	412
853	853	413
854	854	414
855	855	415
856	856	416
857	857	417
858	858	418
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862	862	desired by the purchaser, any number of parcels, or lots
863	863	purchased by him or her at such sale; and such deed shall
864	864	convey to and vest in the grantee all the right, title,
865	865	interest, and estate of the person whose duty it was to pay
866	866	the taxes on such real estate and the lien and claim of the
867	867	state and county thereto, but it shall not convey the right,
868	868	title, or interest of any reversioner or remainderman therein.
869	869	(b) After the expiration of 90 days from the sale for
870	870	the minimum bid to a local government or local land bank
871	871	authority, the judge of probate then in office shall execute
872	872	and deliver to the entity a deed to the real estate sold to
873	873	the entity and the deed shall convey to and vest in the
874	874	grantee all of the right, title, and interest of any and all
875	875	persons having an interest in the property as of the date of
876	876	the sale."
877	877	"§40-10-120
878	878	(a) Except as otherwise provided in this subsection,
879	879	real Real estate which hereafter may be sold for taxes and
880	880	purchased by the state may be redeemed at any time before the
881	881	title passes out of the state or, if purchased by any other
882	882	purchaser, may be redeemed at any time within three years from
883	883	the date of the sale by the owner, his or her heirs, or
884	884	personal representatives, or by any mortgagee or purchaser of
885	885	such lands, or any part thereof, or by any person having an
886	886	interest therein, or in any part thereof, legal or equitable,
887	887	in severalty or as tenant in common, including a judgment
888	888	creditor or other creditor having a lien thereon, or on any
889	889	part thereof; and an infant or insane person entitled to
890	890	421
891	891	422
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896	896	427
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899	899	430
900	900	431
901	901	432
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903	903	434
904	904	435
905	905	436
906	906	437
907	907	438
908	908	439
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911	911	442
912	912	443
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918	918	Page 17
919	919	redeem at any time before the expiration of three years from
920	920	the sale may redeem at any time within one year after the
921	921	removal of the disability; and such redemption may be of any
922	922	part of the lands so sold, which includes the whole of the
923	923	interest of the redemptioner. If the mortgage or other
924	924	instrument creating a lien under which a party seeks to redeem
925	925	is duly recorded at the time of the tax sale, the party shall,
926	926	in addition to the time herein specified, have the right to
927	927	redeem the real estate sold, or any portion thereof covered by
928	928	his or her mortgage or lien, at any time within one year from
929	929	the date of written notice from the purchaser of his or her
930	930	purchase of the lands at tax sale served upon such party, and
931	931	notice served upon either the original mortgagees or
932	932	lienholders or their transferee of record, or their heirs,
933	933	personal representatives, or assigns shall be sufficient
934	934	notice.
935	935	(1) When any real property is sold for taxes and has
936	936	also been sold in one or more prior sales for taxes without
937	937	redemption from such prior tax sales, the three-year period
938	938	for redemption shall be measured from the date of the earliest
939	939	sale of the real property for taxes.
940	940	(2) When any real property is sold for taxes and the
941	941	minimum bid specified in the decree of sale, and the costs and
942	942	expenses subsequently accruing includes amounts attributable
943	943	to one or more housing and building code liens or nuisance
944	944	abatement liens and the property is not lawfully occupied as a
945	945	residence, the period for redemption shall be one year from
946	946	the date of the sale.
947	947	449
948	948	450
949	949	451
950	950	452
951	951	453
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975	975	Page 18
976	976	(3) When any real property is sold to a local
977	977	government or local land bank in accordance with Section
978	978	40-10-18 for the minimum bid specified in the decree of sale
979	979	and the costs and expenses subsequently accruing, the period
980	980	for redemption shall be one year from the date of the sale.
981	981	(b) If any real property has been sold for taxes and is
982	982	subject to redemption from the sale as set forth in subsection
983	983	(a) and has also been sold in one or more subsequent sales for
984	984	taxes, then any party entitled to redeem such sale for taxes
985	985	may redeem such sale if the redemptioner simultaneously
986	986	redeems his or her sale and all subsequent sales. In the event
987	987	of a redemption of successive sales, the redemption amount
988	988	shall be ascertained by applying the provisions of Sections
989	989	40-10-121 and 40-10-122. Redemption amounts computed pursuant
990	990	to Section 40-10-121 shall be paid as stated therein.
991	991	Redemption amounts computed pursuant to Section 40-10-122
992	992	shall be paid as stated therein if the purchaser had the right
993	993	to redeem pursuant to subsection (a) or was the owner of the
994	994	then current tax certificate or tax title. Otherwise, those
995	995	funds shall be disposed of as set forth in Section 40-10-28
996	996	and paid to such purchaser or his or her assignee only as set
997	997	forth in Section 40-10-28, with the time limits for such
998	998	application computed utilizing the sale date when the
999	999	purchaser's interest was sold for taxes."
1000	1000	"§40-10-184
1001	1001	(a) On the day and time designated for a tax lien
1002	1002	auction, the tax collecting official shall proceed to auction
1003	1003	all tax liens described in the tax lien auction list compiled
1004	1004	477
1005	1005	478
1006	1006	479
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1019	1019	492
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1032	1032	Page 19
1033	1033	as provided in Section 40-10-183, except those for which the
1034	1034	taxes, penalties, interest, fees, and costs thereon have been
1035	1035	paid. Any tax lien unsold after a tax lien auction shall be
1036	1036	retained by the county for future auction or sale as provided
1037	1037	in this article.
1038	1038	(b) A tax lien shall be sold at auction pursuant to
1039	1039	this article to the person who pays all taxes, interest,
1040	1040	penalties, fees, and costs due on the property, including an
1041	1041	origination cost of twenty dollars ($20) as of the date of
1042	1042	auction and a twenty dollar ($20) auction fee, and who, in
1043	1043	addition, bids the lowest interest rate on the amount required
1044	1044	to be paid to redeem the property from the sale. The beginning
1045	1045	interest rate bid shall not exceed a rate of 12 percent and
1046	1046	additional bids may be made at a rate less than the
1047	1047	immediately preceding bid. If the interest rate bid for the
1048	1048	property reaches 0.00zero percent and a bid is submitted by
1049	1049	the local government or local land bank authority in which the
1050	1050	property is located, the bid shall be accepted as the
1051	1051	successful bid. The tender of the bid shall be for cash, with
1052	1052	a credit for any and all amounts already due and payable to
1053	1053	the local governmental entity submitting the bid. If no bid is
1054	1054	submitted and more than one bidder remains, the tax collecting
1055	1055	official shall draw lots to determine the winning bidder for
1056	1056	the property.
1057	1057	(c) The sale of a tax lien does not extinguish any deed
1058	1058	restriction, deed covenant, or easement on or appurtenant to
1059	1059	the parcel. A tax lien offered for auction or sale shall be
1060	1060	identified by a uniform parcel number and a legal
1061	1061	505
1062	1062	506
1063	1063	507
1064	1064	508
1065	1065	509
1066	1066	510
1067	1067	511
1068	1068	512
1069	1069	513
1070	1070	514
1071	1071	515
1072	1072	516
1073	1073	517
1074	1074	518
1075	1075	519
1076	1076	520
1077	1077	521
1078	1078	522
1079	1079	523
1080	1080	524
1081	1081	525
1082	1082	526
1083	1083	527
1084	1084	528
1085	1085	529
1086	1086	530
1087	1087	531
1088	1088	532 SB6 INTRODUCEDSB6 INTRODUCED
1089	1089	Page 20
1090	1090	description."
1091	1091	Section 4. This act shall become effective immediately
1092	1092	following its passage and approval by the Governor, or its
1093	1093	otherwise becoming law.
1094	1094	533
1095	1095	534
1096	1096	535
1097	1097	536