Alabama 2024 Regular Session

Alabama Senate Bill SB3 Compare Versions

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

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1	1	SB3INTRODUCED
2	2	Page 0
3	3	V6U6VP-1
4	4	By Senator Coleman-Madison
5	5	RFD: County and Municipal Government
6	6	First Read: 05-Feb-24
7	7	2024 Regular Session
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12	12	5 V6U6VP-1 09/14/2023 SLU (L)bm 2023-2882
13	13	Page 1
14	14	2024 Regular Session
15	15	SYNOPSIS:
16	16	Under existing law, the acquisition of real
17	17	property by local land bank authorities is subject to
18	18	certain restrictions on the procedure, geographic
19	19	location, and costs.
20	20	This bill would provide a shortened redemption
21	21	period for a tax delinquent property that is not
22	22	acquired by an open market bidder at a tax sale
23	23	auction, would authorize a local government or a local
24	24	land bank authority to purchase property at public
25	25	auction by tendering the minimum bid in the absence of
26	26	open market bids, and would limit the geographical
27	27	boundaries of local land bank authority acquisitions.
28	28	This bill would provide for the creation of
29	29	multijurisdictional local land bank authorities by
30	30	intergovernmental agreements and a property tax
31	31	exemption for a property owned by a local land bank
32	32	authority; authorize local governments to allocate a
33	33	portion of local property tax revenues to local land
34	34	bank authorities; authorize a local land bank authority
35	35	to convey properties to state and local governments for
36	36	flood plain management and storm water drainage; and
37	37	authorize the Governor to create a local land bank
38	38	authority by executive order following a declaration of
39	39	a state of emergency.
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69	69	a state of emergency.
70	70	This bill would also make nonsubstantive,
71	71	technical revisions to update the existing code
72	72	language to current style.
73	73	A BILL
74	74	TO BE ENTITLED
75	75	AN ACT
76	76	Relating to land bank authorities; to amend Sections
77	77	24-9-4, 24-9-5, 24-9-6, 24-9-7, 24-9-8, 24-9-10, 40-1-3,
78	78	40-10-1, 40-10-18, 40-10-29, 40-10-120, 40-10-184, 40-10-197,
79	79	and 40-10-199, Code of Alabama 1975; to add Sections 24-9-11
80	80	and 24-9-12 to the Code of Alabama 1975; to provide for the
81	81	creation of multijurisdictional local land bank authorities;
82	82	to further authorize the acquisition of tax delinquent
83	83	property and tax liens by local land bank authorities; to
84	84	further provide for the exemption of local land bank authority
85	85	property from taxes and fees; to provide for the allocation of
86	86	a portion of the ad valorem taxes on certain property conveyed
87	87	to a local land bank authority to the authority; to further
88	88	provide for the conveyance of local land bank authority
89	89	property; to authorize the Governor to create local land bank
90	90	authorities in the event of a state of emergency; and to make
91	91	nonsubstantive, technical revisions to update the existing
92	92	code language to current style.
93	93	BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
94	94	Section 1. Sections 24-9-4, 24-9-5, 24-9-6, 24-9-7,
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124	124	Section 1. Sections 24-9-4, 24-9-5, 24-9-6, 24-9-7,
125	125	24-9-8, and 24-9-10, Code of Alabama 1975, are amended to read
126	126	as follows:
127	127	"§24-9-4
128	128	When used in the chapter, the following words shall
129	129	have the following meanings:
130	130	(1) AGREEMENT. The intergovernmental cooperation
131	131	agreement entered into between an authority and a local land
132	132	bank authority by the parties pursuant to this chapter.
133	133	(2) AUTHORITY. The Alabama Land Bank Authority.
134	134	(3) BOARD. The Alabama Land Bank Authority Board.
135	135	(4) LOCAL LAND BANK AUTHORITY. A local land bank
136	136	authority created by a county or municipality as provided in
137	137	Section 24-9-10.
138	138	(5) PROPERTY. Real property, including any improvements
139	139	thereon.
140	140	(6) TAX-DELINQUENT PROPERTY. Any property on which the
141	141	taxes levied and assessed by any party remain in whole or in
142	142	part unpaid on the date due and payable."
143	143	"§24-9-5
144	144	(a) There is created the Alabama Land Bank Authority
145	145	Board which shall govern the authority to administer and
146	146	enforce this chapter.
147	147	(b) The board shall consist of the following members:
148	148	(1) Four residents of the state appointed by the
149	149	Governor.
150	150	(2) Two representatives from nonprofit organizations
151	151	engaged in low-income housing appointed by the Governor.
152	152	(3) The Presiding Officer of the Senate or his or her
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182	182	(3) The Presiding Officer of the Senate or his or her
183	183	designee.
184	184	(4) The Speaker of the House of Representatives or his
185	185	or her designee.
186	186	(5) The Chair of the Senate Finance and Taxation
187	187	General Fund Committee or his or her designee.
188	188	(6) The Chair of the House Ways and Means General Fund
189	189	Committee or his or her designee.
190	190	(7) The State Revenue Commissioner or his or her
191	191	designee.
192	192	(8) The Superintendent of the State Banking Department
193	193	or his or her designee.
194	194	(9) The Director of the Alabama Department of Economic
195	195	and Community Affairs or his or her designee.
196	196	(10) The Secretary of the Alabama Department of
197	197	Commerce or his or her designee.
198	198	(11) The State Finance Director or his or her designee.
199	199	(12) The Chair of the Alabama Housing Finance Authority
200	200	or his or her designee.
201	201	(13) The Administrator of the Alabama Credit Union
202	202	Administration or his or her designee.
203	203	(c) The members of the board shall serve four year
204	204	terms. In appointing the initial members of the board under
205	205	subdivision (1) of subsection (b), the Governor shall
206	206	designate two to serve four years, one to serve three years,
207	207	and one to serve two years.
208	208	(d) Members of the board shall receive reimbursement
209	209	for expenses incurred in the performance of their duties but
210	210	no other compensation.
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240	240	no other compensation.
241	241	(e) The board may employ the necessary personnel for
242	242	the performance of its functions and fix their compensation.
243	243	(f) The board shall elect from its membership a chair,
244	244	vice chair, and secretary-treasurer. The board shall adopt
245	245	rules to govern its proceedings. A majority of the membership
246	246	of the board shall constitute a quorum for all meetings.
247	247	Approval by a majority of the membership shall be necessary
248	248	for any action to be taken by the authority. All meetings
249	249	shall be open to the public, except as otherwise permitted by
250	250	the Alabama Open Meetings Act, and a written record shall be
251	251	maintained of all meetings.
252	252	(g) The membership of the board shall be inclusive and
253	253	reflect the racial, gender, geographic, urban/ruralurban,
254	254	rural, and economic diversity of the state.
255	255	(h) The board, when acting in its official capacity,
256	256	its members, and the authority shall be immune from civil
257	257	liability against the claims of any individual or other entity
258	258	of any nature whatsoever arising out of its ownership or
259	259	administration of properties or related to its decisions or
260	260	actions, which decisions or actions were made in good faith,
261	261	without malice, and predicated upon information which was then
262	262	available to the board.
263	263	(i) The authority shall be a public body corporate and
264	264	politic with the power to accept and issue deeds in its name,
265	265	including, without limitation, the acceptance of real property
266	266	in accordance with this chapter, and to institute quiet title
267	267	actions as provided in Section 24-9-8, and shall have any
268	268	other powers necessary and incidental to carry out the powers
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298	298	other powers necessary and incidental to carry out the powers
299	299	and the purpose granted by this chapter.
300	300	(j) In addition to the tax-delinquent property acquired
301	301	by the authority as provided herein, the authority may
302	302	acquire, by purchase, donation, or exchange, other publicly
303	303	owned property from local governments, including that which
304	304	was acquired years earlier as a result of foreclosure
305	305	proceedings of that property, or property that has become
306	306	surplus. The authority may also acquire property through
307	307	voluntary donations and transfers from private owners and may
308	308	acquire by purchase or lease on the open market property from
309	309	a private owner to complete an assemblage of property for
310	310	redevelopment.
311	311	(k) No later than October 1, 2018, the State Revenue
312	312	Commissioner or his or her designee shall convene the first
313	313	meeting of the authority."
314	314	"§24-9-6
315	315	(a) The authority, at suchthe times as it deems to be
316	316	appropriate, may submit a written request to the Land
317	317	Commissioner of the Alabama Department of Revenue for the
318	318	transfer of the state's interest in certain properties to the
319	319	authority. Upon receipt of suchthe request, the Land
320	320	Commissioner shall issue a tax deed conveying the state's
321	321	interest in the property to the authority. The authority shall
322	322	not be required to pay the amount deemed to have been bid to
323	323	cover delinquent taxes or any other amount in order to obtain
324	324	the tax deed.
325	325	(b)(1) Delinquent property that may be transferred by
326	326	the Land Commissioner to the authority shall be limited to
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356	356	the Land Commissioner to the authority shall be limited to
357	357	parcels located outside the geographic boundaries of a local
358	358	land bank authority that have been bid in for the state
359	359	pursuant to Chapter 10 of Title 40 for at least three years
360	360	and the state's interest in real property acquired pursuant to
361	361	Chapter 29 of Title 40 for delinquent taxes administered by
362	362	the state and held for at least three years. The three-year
363	363	period shall not apply to properties encumbered by one or more
364	364	housing, building code, or nuisance abatement liens.
365	365	(2) The Land Commissioner or his or her agents or
366	366	assistants may adopt rules necessary to transfer suchthe
367	367	properties to the authority.
368	368	(c) The authority shall administer properties acquired
369	369	by it as follows:
370	370	(1) All property acquired by the authority shall be
371	371	inventoried and the inventory shall be maintained as a public
372	372	record.
373	373	(2) The authority shall have the power to manage,
374	374	maintain, protect, rent, lease, repair, insure, alter, sell,
375	375	trade, exchange, or otherwise dispose of any property acquired
376	376	pursuant to subsection (b)(1), on terms and conditions
377	377	determined in the sole discretion of the authority.
378	378	(d) Nothing contained in Act 2013-249 shall be
379	379	construed to grant any power of eminent domain to the
380	380	authority or any local authority."
381	381	"§24-9-7
382	382	(a) The authority shall adopt rules for the disposition
383	383	of property in which the authority holds a legal interest,
384	384	which rules shall address the conditions set forth in this
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414	414	which rules shall address the conditions set forth in this
415	415	section.
416	416	(b) The authority may manage, maintain, protect, rent,
417	417	repair, insure, alter, convey, sell, transfer, exchange, lease
418	418	as lessor, or otherwise dispose of property or rights or
419	419	interests in property in which the authority holds a legal
420	420	interest to any public or private person for value determined
421	421	by the authority on terms and conditions, and in a manner and
422	422	for an amount of consideration the authority considers proper,
423	423	fair, and valuable, including for no monetary consideration.
424	424	The transfer and use of property under this section and the
425	425	exercise by the authority of powers and duties under Act
426	426	2013-249 shall be considered a necessary public purpose and
427	427	for the benefit of the public.
428	428	(c) Before the authority may sell, lease, exchange,
429	429	trade, or otherwise dispose of any property, it shall either:
430	430	(1) Establish a purchase price and conditions for sale
431	431	purposes.
432	432	(2) Establish a price and conditions for rent or lease
433	433	purposes.
434	434	(3) Establish the conditions for trade, exchange, or
435	435	other disposal of the property.
436	436	The conditions made pursuant to this subsection may
437	437	include a requirement that the transferee must provide a
438	438	development plan or execute a development agreement with the
439	439	authority specifying the transferee's commitments regarding
440	440	the development of the property and the time frame within
441	441	which the development must occur, the range of permitted uses
442	442	for the property, and any restrictions on its subsequent
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472	472	for the property, and any restrictions on its subsequent
473	473	resale or transfer.
474	474	(d) The disposition of property by the authority shall
475	475	not be governed by any laws or rules otherwise applicable to
476	476	the disposition of property by a state or local agency.
477	477	Provided, however, that, prior to the disposition of property,
478	478	the authority shall give notice of its intent to dispose of
479	479	any property for which notice was not previously advertised by
480	480	the Commissioner of Revenue, or his or her designee, or by a
481	481	local official in a manner as prescribed by the authority and
482	482	shall include in the notice the date, time, and place at which
483	483	persons objecting to the intended action must appear. If no
484	484	objection is made within 30 days from the date of the notice,
485	485	the authority may proceed with the disposition of the property
486	486	as noticed without a public auction.
487	487	(e) No property shall be sold, traded, exchanged, or
488	488	otherwise disposed of by the authority to any entity for
489	489	investment purposes only and with no intent to use the
490	490	property other than to transfer the property at a future date
491	491	for monetary gain.
492	492	(f) The authority shall not sell, trade, exchange, or
493	493	otherwise dispose of any property held by the authority to any
494	494	party who had an interest in the property at the time it was
495	495	tax delinquent or to any party who transferred the party's
496	496	interest in the property to the authority by sale, trade,
497	497	exchange, or otherwise, unless the person pays all the taxes,
498	498	interest, municipal liens, penalties, fees, and any other
499	499	charges due and owing under Chapter 10 and Chapter 29 of Title
500	500	40, including the amount to the Land Commissioner had the
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530	530	40, including the amount to the Land Commissioner had the
531	531	property not been transferred to the authority.
532	532	(g) Except as otherwise provided in this section, the
533	533	authority shall have full discretion in determining the sale
534	534	price of the property. No purchaser from the authority shall
535	535	be responsible for the proper disposition of the proceeds paid
536	536	to the authority for the purchase of property. "
537	537	"§24-9-8
538	538	(a) The authority may initiate a quiet title action
539	539	under this section to quiet title to real property held by the
540	540	authority or interests in tax delinquent property held by the
541	541	authority by undertaking the examination of title as required
542	542	in subsection (b) and thereafter filing the petition as
543	543	provided in subsection (c). Following the filing of the
544	544	petition, the authority shall record with the office of the
545	545	judge of probate in the county in which the property subject
546	546	to quiet title action is located a notice of pending quiet
547	547	title action. The notice shall include the name of the
548	548	taxpayer whose interest was affected by the tax sale; the name
549	549	of any other party as revealed by a search and examination of
550	550	the title to the property who may claim an interest in the
551	551	property; a legal description of the property; the street
552	552	address of the property if available; the name, address, and
553	553	telephone number of the authority; a statement that the
554	554	property is subject to the quiet title proceedings under Act
555	555	2013-249; a statement that any legal interests in the property
556	556	may be extinguished by a circuit court order vesting title to
557	557	the property in the authority; and the date, time, and place
558	558	of the hearing on the petition to quiet title. Notwithstanding
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588	588	of the hearing on the petition to quiet title. Notwithstanding
589	589	anything in this chapter to the contrary, no quiet title
590	590	action and nothing in this chapter shall affect any right,
591	591	title, or interest, whether recorded or unrecorded, in the
592	592	subject property which was held at the time of the tax sale by
593	593	any person or entity engaged in the generation, transmission,
594	594	or distribution of electric power, natural gas, or
595	595	telecommunications.
596	596	(b) After the notice required under subsection (a) has
597	597	been recorded, Prior to filing the petition described in
598	598	subsection (a), the record title to the property shall be
599	599	examined and an opinion of title rendered by an attorney at
600	600	law, who is licensed to practice law in this state, or a
601	601	certificate of title shall be prepared by a title agent or
602	602	title insurer duly licensed under the Alabama Title Insurance
603	603	Act as set out in Section 27-25-1, et seq., for the benefit of
604	604	the authority in order to identify all owners of an interest
605	605	in the property.
606	606	(c) Once the authority has identified the owners of
607	607	interest in the property, the authority shall file a single
608	608	petition with the clerk of the circuit court for the judicial
609	609	district in which the property subject to foreclosure under
610	610	this section is located listing all property subject to
611	611	foreclosure by the authority and for which the authority seeks
612	612	to quiet title. No such action shall be subject to the payment
613	613	of filing fees. The list of properties shall include a legal
614	614	description of, a tax parcel identification number for, and
615	615	the street address of each parcel or property. The petition
616	616	shall seek a judgment in favor of the authority against each
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646	646	shall seek a judgment in favor of the authority against each
647	647	property listed and shall include a date, within 90 days, on
648	648	which the authority requests a hearing on the petition. The
649	649	petition shall request that a judgment be entered vesting
650	650	absolute title in the authority, without right of redemption
651	651	for each parcel of property listed, as provided in this
652	652	section. At any time during the pendency of this action, the
653	653	authority may file a motion to release or dismiss a certain
654	654	parcel or parcels of land from the petition, which release
655	655	will not affect the remaining parcels of land subject to the
656	656	petition.
657	657	(d) The case shall be docketed in the circuit court by
658	658	the clerk, and shall be a preferred case therein. The circuit
659	659	court in which a petition is filed under subsection (c) shall
660	660	immediately set the date, time, and place for a hearing on the
661	661	petition for quiet title. In no event may the clerk schedule
662	662	the hearing later than 90 days after the filing of a petition
663	663	by the authority under subsection (c). The court, on the
664	664	request of a party or as needed to allow completion of service
665	665	of process on all interested persons, and to allow those
666	666	persons 30 days after service of process to file an answer or
667	667	other responsive pleadings to the petition, may extend the
668	668	90-day period for good cause shown.
669	669	(e) The authority shall serve all persons having record
670	670	title or interest in or lien upon the property with a notice
671	671	of the hearing on the petition to quiet title. SuchThe service
672	672	shall be attempted by personal service and by certified mail;
673	673	provided if service is perfected by either method, the service
674	674	will be sufficient to provide service of process upon all
675	675	309
676	676	310
677	677	311
678	678	312
679	679	313
680	680	314
681	681	315
682	682	316
683	683	317
684	684	318
685	685	319
686	686	320
687	687	321
688	688	322
689	689	323
690	690	324
691	691	325
692	692	326
693	693	327
694	694	328
695	695	329
696	696	330
697	697	331
698	698	332
699	699	333
700	700	334
701	701	335
702	702	336 SB3 INTRODUCED
703	703	Page 13
704	704	will be sufficient to provide service of process upon all
705	705	persons having record title or interest in or lien upon the
706	706	property. If the persons entitled to service are located
707	707	outside the county, they may be served by certified mail.
708	708	(f) The notice required under subsection (e) shall
709	709	include:
710	710	(1) The date on which the authority recorded, under
711	711	subsection (a), the notice of the pending quiet title and
712	712	foreclosure action.
713	713	(2) A statement that a person with a property interest
714	714	in the property may lose suchthe interest, if any, as a result
715	715	of the quiet title and foreclosure hearing.
716	716	(3) A legal description, tax parcel identification
717	717	number of the property, and the street address of the
718	718	property.
719	719	(4) The date and time of the hearing on the petition
720	720	for quiet title and a statement that the judgment of the court
721	721	may result in title to the property vesting in the authority.
722	722	(5) An explanation of any rights of redemption and
723	723	notice that the judgment of the court may extinguish any
724	724	ownership interest in or right to redeem the property.
725	725	(6) The name, address, and telephone number of the
726	726	authority.
727	727	(g) In the event the sheriff is unable to perfect
728	728	service or certified mail attempts are returned unclaimed, the
729	729	authority shall conduct a search for the person with an
730	730	interest in the property conveyed to the authority.
731	731	(1) The search, at a minimum, shall include the
732	732	following:
733	733	337
734	734	338
735	735	339
736	736	340
737	737	341
738	738	342
739	739	343
740	740	344
741	741	345
742	742	346
743	743	347
744	744	348
745	745	349
746	746	350
747	747	351
748	748	352
749	749	353
750	750	354
751	751	355
752	752	356
753	753	357
754	754	358
755	755	359
756	756	360
757	757	361
758	758	362
759	759	363
760	760	364 SB3 INTRODUCED
761	761	Page 14
762	762	following:
763	763	a. An examination of the addresses given on the face of
764	764	the instrument vesting interest or the addresses given to the
765	765	clerk of the probate court by the transfer declaration form.
766	766	b. A search of the current telephone
767	767	directoryelectronic telephone databases for the municipality
768	768	and the county in which the property is located.
769	769	c. A letter of inquiry to the person who sold the
770	770	property to the owner whose interest was sold in the tax sale
771	771	at the address shown in the transfer tax declaration or in the
772	772	telephone directory electronic telephone databases .
773	773	d. A letter of inquiry to the attorney handling the
774	774	closing prior to the tax sale if suchthe information is
775	775	provided on the deed forms.
776	776	(2) A sign being no less than four feet by four feet
777	777	shall be erected on the property and maintained by the
778	778	authority for a minimum of 30 days reading as follows:
779	779	"THIS PROPERTY HAS BEEN CONVEYED TO THE ________ LAND
780	780	BANK AUTHORITY AND IS SUBJECT TO A QUIET TITLE ACTION. PERSONS
781	781	WITH INFORMATION REGARDING THE PRIOR OWNERSHIP OF OR INTEREST
782	782	IN THE PROPERTY ARE REQUESTED TO CONTACT THE LAND BANK
783	783	AUTHORITY AT _________."
784	784	(3) Any additional parties who are identified as having
785	785	an interest in the property shall be provided notice in
786	786	accordance with this section.
787	787	(h) If the interested party is an individual, the
788	788	authority shall examine voter registration lists, available
789	789	municipal archives for records of deaths, and the probate
790	790	court records of estates opened in the county in which the
791	791	365
792	792	366
793	793	367
794	794	368
795	795	369
796	796	370
797	797	371
798	798	372
799	799	373
800	800	374
801	801	375
802	802	376
803	803	377
804	804	378
805	805	379
806	806	380
807	807	381
808	808	382
809	809	383
810	810	384
811	811	385
812	812	386
813	813	387
814	814	388
815	815	389
816	816	390
817	817	391
818	818	392 SB3 INTRODUCED
819	819	Page 15
820	820	court records of estates opened in the county in which the
821	821	property is located.
822	822	(i) If the interested party is a business entity, the
823	823	authority shall search the records of the Secretary of State
824	824	for the name and address of a registered agent.
825	825	(j) If an interested party appears at the hearing and
826	826	asserts a right to redeem the property, that party may redeem
827	827	in accordance with Chapter 10 and Chapter 29 of Title 40.
828	828	(k)(1) If the authority has made the search as required
829	829	by this section and been unable to locate those persons
830	830	required to be served under subsection (e), and has located
831	831	additional addresses of those persons through the search and
832	832	attempted without success to serve those persons in either
833	833	manner provided by subsection (e), the authority shall provide
834	834	notice by publication. Prior to the hearing, a notice shall be
835	835	published once each week for three successive weeks in a
836	836	newspaper of general circulation in the county in which the
837	837	property is located. If no paper is published in that county,
838	838	publication shall be made in a newspaper of general
839	839	circulation in an adjoining county. This publication shall
840	840	substitute for notice under this subsection or subsection (g).
841	841	The published notice shall include the information required in
842	842	subsection (f). Should the identity of some or all of the
843	843	persons who may have an interest in the property be unknown,
844	844	or should suchthe persons be infants or persons of unsound
845	845	mind, the court shall appoint a guardian ad litem to represent
846	846	and defend the interests of suchthe unknown, the
847	847	infantsinfant, or incompetentthe persons of unsound mind who
848	848	are parties in the action.
849	849	393
850	850	394
851	851	395
852	852	396
853	853	397
854	854	398
855	855	399
856	856	400
857	857	401
858	858	402
859	859	403
860	860	404
861	861	405
862	862	406
863	863	407
864	864	408
865	865	409
866	866	410
867	867	411
868	868	412
869	869	413
870	870	414
871	871	415
872	872	416
873	873	417
874	874	418
875	875	419
876	876	420 SB3 INTRODUCED
877	877	Page 16
878	878	are parties in the action.
879	879	(2) A person claiming an interest in a parcel of
880	880	property set forth in the quiet title action who desires to
881	881	contest that petition shall file an answer containing written
882	882	objections with the clerk of the circuit court and serve those
883	883	objections on the authority before the date of the hearing.
884	884	The circuit court may appoint and utilize as the court
885	885	considers necessary a special master for assistance with the
886	886	resolution of any objections to the quiet title action or
887	887	questions regarding the title to property subject thereto.
888	888	Within 30 days following the hearing, the circuit court shall
889	889	enter judgment on a petition to quiet title. The circuit
890	890	court's judgment shall specify all of the following:
891	891	a. The legal description, tax parcel identification
892	892	number, and, if known, the street address of the subject
893	893	property.
894	894	b. That fee simple title to the property by the
895	895	judgment is vested absolutely in the authority, except as
896	896	otherwise provided in paragraph e., without any further rights
897	897	of redemption.
898	898	c. That all liens against the property, including any
899	899	lien for unpaid taxes or special assessments, are
900	900	extinguished.
901	901	d. That, except as otherwise provided in paragraph e.,
902	902	the authority has good and marketable fee simple title to the
903	903	property.
904	904	e. That all existing recorded and unrecorded interests
905	905	in the property are extinguished, except a recorded easement
906	906	or right-of-way, restrictive covenant, prior reservation or
907	907	421
908	908	422
909	909	423
910	910	424
911	911	425
912	912	426
913	913	427
914	914	428
915	915	429
916	916	430
917	917	431
918	918	432
919	919	433
920	920	434
921	921	435
922	922	436
923	923	437
924	924	438
925	925	439
926	926	440
927	927	441
928	928	442
929	929	443
930	930	444
931	931	445
932	932	446
933	933	447
934	934	448 SB3 INTRODUCED
935	935	Page 17
936	936	or right-of-way, restrictive covenant, prior reservation or
937	937	severance of all mineral, mining, oil, and gas rights within
938	938	and underlying the property, suchthe state of facts as shown
939	939	on recorded plats, or restrictions or covenants imposed under
940	940	the Alabama Land Recycling and Economic Development Act or any
941	941	other environmental law in effect in the state, severed oil,
942	942	gas, and mineral rights and mineral leases and agreements are
943	943	excepted from Act 2013-249 and any quiet title action
944	944	authorized herein.
945	945	f. A finding that all persons entitled to notice and an
946	946	opportunity to be heard have been provided that notice and
947	947	opportunity and that the authority provided notice to all
948	948	interested parties or that the authority complied with the
949	949	notice procedures in subdivision (1), which compliance shall
950	950	create a rebuttable presumption that all interested parties
951	951	received notice and an opportunity to be heard.
952	952	(l) Except as otherwise provided in paragraph (k)(2)e.,
953	953	fee simple title to property set forth in a petition for quiet
954	954	title filed under subsection (c) shall vest absolutely in the
955	955	authority upon the effective date of the judgment by the
956	956	circuit court and the authority shall have absolute title to
957	957	the property. The authority's title is not subject to any
958	958	recorded or unrecorded lien, except as provided in paragraph
959	959	(k)(2)e. and shall not be stayed except as provided in
960	960	subsection (m). A judgment entered under this section is a
961	961	final order with respect to the property affected by the
962	962	judgment.
963	963	(m) The authority or a person claiming to have an
964	964	interest in property under this section may within 42 days
965	965	449
966	966	450
967	967	451
968	968	452
969	969	453
970	970	454
971	971	455
972	972	456
973	973	457
974	974	458
975	975	459
976	976	460
977	977	461
978	978	462
979	979	463
980	980	464
981	981	465
982	982	466
983	983	467
984	984	468
985	985	469
986	986	470
987	987	471
988	988	472
989	989	473
990	990	474
991	991	475
992	992	476 SB3 INTRODUCED
993	993	Page 18
994	994	interest in property under this section may within 42 days
995	995	following the effective date of the judgment under subsection
996	996	(k) appeal the circuit court's judgment quieting title to the
997	997	property to the court of appeals. An appeal under this
998	998	subsection is limited to the record of the proceedings in the
999	999	circuit court under this section. In the event of a timely
1000	1000	appeal, the circuit court's judgment quieting title to the
1001	1001	property shall be stayed until the court of appeals has
1002	1002	reversed, modified, or affirmed that judgment. If an appeal
1003	1003	under this subsection stays the circuit court's judgment, the
1004	1004	circuit court's judgment is stayed only as to the property
1005	1005	that is the subject of that appeal and the circuit court's
1006	1006	judgment quieting title to other property that is not the
1007	1007	subject of that appeal is not stayed.
1008	1008	(n) The authority shall record an order of judgment for
1009	1009	each parcel of property in the office of the judge of probate
1010	1010	for the county in which the subject property is located.
1011	1011	(o) Notwithstanding the limitation of actions,
1012	1012	requirements for adverse possession under, any other
1013	1013	provisions of Section 40-10-82, or any other law, the
1014	1014	authority may initiate a quiet title action under this section
1015	1015	at any time after acquiring an interest in the property which
1016	1016	is subject to the action. A final decree of an action properly
1017	1017	filed in compliance with this section shall extinguish all
1018	1018	outstanding rights of redemption."
1019	1019	"§24-9-10
1020	1020	(a) If the number of tax delinquent properties in a
1021	1021	municipality exceeds 100, then the governing body of a
1022	1022	municipality may adopt a resolution declaring that it is wise,
1023	1023	477
1024	1024	478
1025	1025	479
1026	1026	480
1027	1027	481
1028	1028	482
1029	1029	483
1030	1030	484
1031	1031	485
1032	1032	486
1033	1033	487
1034	1034	488
1035	1035	489
1036	1036	490
1037	1037	491
1038	1038	492
1039	1039	493
1040	1040	494
1041	1041	495
1042	1042	496
1043	1043	497
1044	1044	498
1045	1045	499
1046	1046	500
1047	1047	501
1048	1048	502
1049	1049	503
1050	1050	504 SB3 INTRODUCED
1051	1051	Page 19
1052	1052	municipality may adopt a resolution declaring that it is wise,
1053	1053	expedient, and necessary that a local land bank authority be
1054	1054	formed by the municipality by the filing for record of a
1055	1055	certificate of incorporation in accordance with the provisions
1056	1056	of subsection (c)(d).
1057	1057	(b) If the number of tax delinquent properties in a
1058	1058	municipalitycounty exceeds 100, then the governing body of a
1059	1059	county may adopt a resolution declaring that it is wise,
1060	1060	expedient, and necessary that a local land bank authority be
1061	1061	formed by the county by the filing for record of a certificate
1062	1062	of incorporation in accordance with the provisions of
1063	1063	subsection (c)(d).
1064	1064	(c) A county and a municipality located within that
1065	1065	county may create a single land bank authority by an
1066	1066	intergovernmental agreement, so long as both the county and
1067	1067	the municipality each meet the criteria of subsections (a) and
1068	1068	(b). The intergovernmental agreement shall comply with all
1069	1069	provisions of subsections (d) and (e) and Chapter 102 of Title
1070	1070	11.
1071	1071	(d) Upon the adoption of the authorizing resolution,
1072	1072	the municipality or county, as the case may be, shall proceed
1073	1073	to incorporate the local land bank authority by filing for
1074	1074	record in the office of the judge of probate of the county a
1075	1075	certificate of incorporation which shall comply in form and
1076	1076	substance with the requirements of this section and which
1077	1077	shall be in the form and executed in the manner herein
1078	1078	provided. The certificate of incorporation of the local land
1079	1079	bank authority shall state all of the following:
1080	1080	(1) The name of the local unit of government forming
1081	1081	505
1082	1082	506
1083	1083	507
1084	1084	508
1085	1085	509
1086	1086	510
1087	1087	511
1088	1088	512
1089	1089	513
1090	1090	514
1091	1091	515
1092	1092	516
1093	1093	517
1094	1094	518
1095	1095	519
1096	1096	520
1097	1097	521
1098	1098	522
1099	1099	523
1100	1100	524
1101	1101	525
1102	1102	526
1103	1103	527
1104	1104	528
1105	1105	529
1106	1106	530
1107	1107	531
1108	1108	532 SB3 INTRODUCED
1109	1109	Page 20
1110	1110	(1) The name of the local unit of government forming
1111	1111	the local land bank authority.
1112	1112	(2) The name of the local land bank authority.
1113	1113	(3) The size of the initial governing body of the local
1114	1114	land bank authority, which shall be composed of an odd number
1115	1115	of members, but not less than five.
1116	1116	(4) The qualifications, method of selection, and terms
1117	1117	of office of the initial board members.
1118	1118	(5) A method for the adoption of bylaws by the
1119	1119	governing body of the local land bank authority.
1120	1120	(6) A method for the distribution of proceeds from the
1121	1121	activities of the local land bank authority.
1122	1122	(7) A method for the dissolution of the local land bank
1123	1123	authority.
1124	1124	(8) Any other matters considered advisable by the local
1125	1125	unit of government, consistent with Act 2013-249.
1126	1126	(d)(e) Following incorporation, a local land bank
1127	1127	authority may enter into an intergovernmental agreement with
1128	1128	the authority providing for the transfer to the local land
1129	1129	bank authority of any property held by the authority which is
1130	1130	located within the corporate limits of the municipality or the
1131	1131	boundary of the county which created the land bank.
1132	1132	(e)(f) A local land bank authority shall have all of
1133	1133	the powers of the authority as set forth in this chapter. In
1134	1134	addition, a local land bank authority shall have the following
1135	1135	powers:
1136	1136	(1) To adopt, amend, and repeal bylaws for the
1137	1137	regulation of its affairs and the conduct of its business.
1138	1138	(2) To sue and be sued in its own name and to prosecute
1139	1139	533
1140	1140	534
1141	1141	535
1142	1142	536
1143	1143	537
1144	1144	538
1145	1145	539
1146	1146	540
1147	1147	541
1148	1148	542
1149	1149	543
1150	1150	544
1151	1151	545
1152	1152	546
1153	1153	547
1154	1154	548
1155	1155	549
1156	1156	550
1157	1157	551
1158	1158	552
1159	1159	553
1160	1160	554
1161	1161	555
1162	1162	556
1163	1163	557
1164	1164	558
1165	1165	559
1166	1166	560 SB3 INTRODUCED
1167	1167	Page 21
1168	1168	(2) To sue and be sued in its own name and to prosecute
1169	1169	and defend civil actions in any court having jurisdiction of
1170	1170	the subject matter and of the parties, including, but not
1171	1171	limited to, actions to clear title to the property of the
1172	1172	local land bank authority.
1173	1173	(3) To adopt and make use of a corporate seal and to
1174	1174	alter the same at its pleasure.
1175	1175	(4) To acquire by purchase, lease, or otherwise and to
1176	1176	hold, lease, and dispose of real or personal property of every
1177	1177	kind and character, or any interests therein, in furtherance
1178	1178	of the public purposes of the local land bank authority.
1179	1179	(5) To acquire, accept, or retain equitable interests,
1180	1180	security interests, or other interests in any real property,
1181	1181	personal property, or fixtures by loan agreement, note,
1182	1182	mortgage, trust deed, security agreement, assignment, pledge,
1183	1183	conveyance, contract, lien, or other consensual transfer in
1184	1184	order to secure credit extended by the local land bank
1185	1185	authority.
1186	1186	(6) To borrow from private lenders, from
1187	1187	municipalities, from the state, or from federal government
1188	1188	funds, as may be necessary, for the operation and work of the
1189	1189	local land bank authority.
1190	1190	(7) To issue negotiable revenue bonds and notes
1191	1191	according to the provisions of this chapter.
1192	1192	(8) To procure insurance or guarantees from the state
1193	1193	or federal government for the payments of any debts or parts
1194	1194	of debts incurred by the local land bank authority, and to pay
1195	1195	premiums in connection with the insurance or guarantees.
1196	1196	(9) To enter into contracts and other instruments
1197	1197	561
1198	1198	562
1199	1199	563
1200	1200	564
1201	1201	565
1202	1202	566
1203	1203	567
1204	1204	568
1205	1205	569
1206	1206	570
1207	1207	571
1208	1208	572
1209	1209	573
1210	1210	574
1211	1211	575
1212	1212	576
1213	1213	577
1214	1214	578
1215	1215	579
1216	1216	580
1217	1217	581
1218	1218	582
1219	1219	583
1220	1220	584
1221	1221	585
1222	1222	586
1223	1223	587
1224	1224	588 SB3 INTRODUCED
1225	1225	Page 22
1226	1226	(9) To enter into contracts and other instruments
1227	1227	necessary, incidental, or convenient to the performance of its
1228	1228	duties and the exercise of its powers, including, but not
1229	1229	limited to, intergovernmental agreements under Chapter 102 of
1230	1230	Title 11, for the joint exercise of powers under this chapter.
1231	1231	(10) To enter into contracts and other instruments
1232	1232	necessary, incidental, or convenient to the performance of
1233	1233	functions by the local land bank authority on behalf of
1234	1234	municipalities or agencies or departments of municipalities;
1235	1235	or the performance by municipalities or agencies or
1236	1236	departments of municipalities; or of functions on behalf of
1237	1237	the local land bank authority.
1238	1238	(11) To procure insurance against losses in connection
1239	1239	with the real property, assets, or activities of the local
1240	1240	land bank authority.
1241	1241	(12) To invest money of the local land bank authority,
1242	1242	at the discretion of the board of directors, in instruments,
1243	1243	obligations, securities, or properties determined proper by
1244	1244	the board of directors, and name and use depositories for its
1245	1245	money.
1246	1246	(13) To hire and compensate employees and contractors,
1247	1247	to provide retirement and other forms of deferred
1248	1248	compensation, to provide fringe benefits, and to otherwise
1249	1249	contract with employees and contractors.
1250	1250	(1)(14) Without the approval of a local unit of
1251	1251	government in which property held by the local land bank
1252	1252	authority is located, control, hold, manage, maintain,
1253	1253	operate, repair, lease as lessor, secure, prevent the waste or
1254	1254	deterioration of, demolish, and take all other actions
1255	1255	589
1256	1256	590
1257	1257	591
1258	1258	592
1259	1259	593
1260	1260	594
1261	1261	595
1262	1262	596
1263	1263	597
1264	1264	598
1265	1265	599
1266	1266	600
1267	1267	601
1268	1268	602
1269	1269	603
1270	1270	604
1271	1271	605
1272	1272	606
1273	1273	607
1274	1274	608
1275	1275	609
1276	1276	610
1277	1277	611
1278	1278	612
1279	1279	613
1280	1280	614
1281	1281	615
1282	1282	616 SB3 INTRODUCED
1283	1283	Page 23
1284	1284	deterioration of, demolish, and take all other actions
1285	1285	necessary to preserve the value of the property it holds or
1286	1286	owns. AnA local land bank authority may take or perform the
1287	1287	following actions with respect to property held or owned by
1288	1288	the local land bank authority:
1289	1289	a. Grant or acquire a license, easement, or option with
1290	1290	respect to property as the local land bank authority
1291	1291	determines is reasonably necessary to achieve the purposes of
1292	1292	this chapter.
1293	1293	b. Fix, charge, and collect rents, fees, and charges
1294	1294	for use of property under the control of the local land bank
1295	1295	authority or for services provided by the local land bank
1296	1296	authority.
1297	1297	c. Pay any tax or special assessment due on property
1298	1298	acquired or owned by the local land bank authority.
1299	1299	d. Take any action, provide any notice, or institute
1300	1300	any proceeding required to clear or quiet title to property
1301	1301	held by the local land bank authority in order to establish
1302	1302	ownership by and vest title to property in the local land bank
1303	1303	authority, including, but not limited to, a quiet title and
1304	1304	foreclosure action pursuant to Section 24-9-8.
1305	1305	e. Remediate environmental contamination on any
1306	1306	property held by the local land bank authority.
1307	1307	(2) Enter(15) To enter into an intergovernmental
1308	1308	agreement with a municipality or county , or another local land
1309	1309	bank authority, providing for one or more of the following:
1310	1310	a. The conveyance to the local land bank authority of
1311	1311	tax delinquent property held by the municipality or county for
1312	1312	title clearance, including, but not limited to, a quiet title
1313	1313	617
1314	1314	618
1315	1315	619
1316	1316	620
1317	1317	621
1318	1318	622
1319	1319	623
1320	1320	624
1321	1321	625
1322	1322	626
1323	1323	627
1324	1324	628
1325	1325	629
1326	1326	630
1327	1327	631
1328	1328	632
1329	1329	633
1330	1330	634
1331	1331	635
1332	1332	636
1333	1333	637
1334	1334	638
1335	1335	639
1336	1336	640
1337	1337	641
1338	1338	642
1339	1339	643
1340	1340	644 SB3 INTRODUCED
1341	1341	Page 24
1342	1342	title clearance, including, but not limited to, a quiet title
1343	1343	and foreclosure action under Section 24-9-8.
1344	1344	b. The acquisition and title clearance of property by
1345	1345	the local land bank authority of property to be conveyed by
1346	1346	the local land bank authority to the municipality or county or
1347	1347	another entity pursuant to the agreement between the local
1348	1348	land bank authority and the municipality or county.
1349	1349	c. The performance of operational and administrative
1350	1350	services to be provided to another local land bank authority.
1351	1351	(16) To acquire property at a sale conducted in
1352	1352	accordance with Section 40-10-18 by tendering a bid equal to
1353	1353	the minimum amount specified in the decree of sale and the
1354	1354	costs and expenses subsequently accruing, which shall be
1355	1355	accepted, and a certificate of purchase issued to the local
1356	1356	land bank authority. The tender of the minimum bid in
1357	1357	accordance with this subsection shall be for cash, with a
1358	1358	credit for any and all components of the minimum bid already
1359	1359	due and payable to the county, municipality, and school board
1360	1360	whose taxes and liens compose part of the minimum bid. After
1361	1361	90 days from the date of sale, upon return of the certificate,
1362	1362	the judge of probate shall execute and deliver to the local
1363	1363	land bank authority a deed for each lot or parcel of property
1364	1364	that it purchased. The deed shall convey to, and vest in, the
1365	1365	grantee all right, title, interest, and estate of any and all
1366	1366	persons having an interest in the property as of the date of
1367	1367	the sale.
1368	1368	(17) To acquire a tax lien at an auction conducted in
1369	1369	accordance with Section 40-10-184 by tendering a cash bid at
1370	1370	an interest rate of 0.00 percent, which shall be accepted as
1371	1371	645
1372	1372	646
1373	1373	647
1374	1374	648
1375	1375	649
1376	1376	650
1377	1377	651
1378	1378	652
1379	1379	653
1380	1380	654
1381	1381	655
1382	1382	656
1383	1383	657
1384	1384	658
1385	1385	659
1386	1386	660
1387	1387	661
1388	1388	662
1389	1389	663
1390	1390	664
1391	1391	665
1392	1392	666
1393	1393	667
1394	1394	668
1395	1395	669
1396	1396	670
1397	1397	671
1398	1398	672 SB3 INTRODUCED
1399	1399	Page 25
1400	1400	an interest rate of 0.00 percent, which shall be accepted as
1401	1401	the successful bid. The bid shall be tendered for cash, with a
1402	1402	credit for any and all components of the minimum bid already
1403	1403	due and payable to the county, municipality, and school board
1404	1404	whose taxes and liens compose part of the minimum bid.
1405	1405	(18) To apply for and receive funding through grants
1406	1406	and loans from the governmental unit or units that created the
1407	1407	local land bank authority, from other municipalities, from the
1408	1408	state, from the federal government, and from other public and
1409	1409	private sources.
1410	1410	(19) To receive and retain payments for services
1411	1411	rendered, for rent and leasehold payments received, for
1412	1412	consideration for disposition of real and personal property,
1413	1413	for proceeds of insurance coverage for losses incurred, for
1414	1414	income from investments, and for any other asset and activity
1415	1415	lawfully permitted to a local land bank authority under this
1416	1416	act.
1417	1417	(f)(g) A local unit of government and any agency or
1418	1418	department of suchthe local unit of government may do one or
1419	1419	more of the following:
1420	1420	(1) Anything necessary or convenient to aid a local
1421	1421	land bank authority in fulfilling its purposes under Act
1422	1422	2013-249.
1423	1423	(2) Lend, grant, transfer, appropriate, or contribute
1424	1424	funds to a local land bank authority in furtherance of its
1425	1425	purposes.
1426	1426	(3) Lend, grant, transfer, or convey funds to a local
1427	1427	land bank authority that are received from the federal
1428	1428	government or this state or from any nongovernmental entity in
1429	1429	673
1430	1430	674
1431	1431	675
1432	1432	676
1433	1433	677
1434	1434	678
1435	1435	679
1436	1436	680
1437	1437	681
1438	1438	682
1439	1439	683
1440	1440	684
1441	1441	685
1442	1442	686
1443	1443	687
1444	1444	688
1445	1445	689
1446	1446	690
1447	1447	691
1448	1448	692
1449	1449	693
1450	1450	694
1451	1451	695
1452	1452	696
1453	1453	697
1454	1454	698
1455	1455	699
1456	1456	700 SB3 INTRODUCED
1457	1457	Page 26
1458	1458	government or this state or from any nongovernmental entity in
1459	1459	aid of the purposes of Act 2013-249.
1460	1460	(h) A local land bank authority created by a county may
1461	1461	acquire real property only within the geographical boundaries
1462	1462	of the county and only in those portions of the county outside
1463	1463	of the geographical boundaries of the local land bank
1464	1464	authority created by a municipality located partially or
1465	1465	wholly within the county. A local land bank authority created
1466	1466	by a municipality may acquire real property in any of the
1467	1467	following locations:
1468	1468	(1) Within its own geographical boundaries.
1469	1469	(2) Outside of its own geographical boundaries so long
1470	1470	as the real property is not located within the boundaries of
1471	1471	any other local land bank authority.
1472	1472	(3) Within the geographical boundaries of another local
1473	1473	land bank authority pursuant to an intergovernmental agreement
1474	1474	between the local land bank authorities.
1475	1475	(g) In the event a county creates a local authority,
1476	1476	the local authority may acquire real property that has been
1477	1477	tax delinquent for three or more years only in those portions
1478	1478	of the county located outside of the geographical boundaries
1479	1479	of any other local authority created by any municipality
1480	1480	located partially or entirely within the county. The Land Bank
1481	1481	Authority may acquire real property that has been tax
1482	1482	delinquent for three or more years only in those portions of
1483	1483	the state located outside of the geographical boundaries of
1484	1484	any local authority created by any municipality or county.
1485	1485	(h)(i) Any local land bank authority formed by a
1486	1486	municipality or county pursuant to this section shall continue
1487	1487	701
1488	1488	702
1489	1489	703
1490	1490	704
1491	1491	705
1492	1492	706
1493	1493	707
1494	1494	708
1495	1495	709
1496	1496	710
1497	1497	711
1498	1498	712
1499	1499	713
1500	1500	714
1501	1501	715
1502	1502	716
1503	1503	717
1504	1504	718
1505	1505	719
1506	1506	720
1507	1507	721
1508	1508	722
1509	1509	723
1510	1510	724
1511	1511	725
1512	1512	726
1513	1513	727
1514	1514	728 SB3 INTRODUCED
1515	1515	Page 27
1516	1516	municipality or county pursuant to this section shall continue
1517	1517	to exist in accordance with its articles of incorporation and
1518	1518	this section in the event that the number of tax delinquent
1519	1519	properties in the local jurisdiction forming the local land
1520	1520	bank authority subsequently decreases to 100 or less.
1521	1521	(i)(j) Any local land bank authority formed by a
1522	1522	municipality or county pursuant to this section shall permit
1523	1523	the Alabama Department of Examiners of Public Accounts to
1524	1524	perform an audit upon request by the department. The
1525	1525	department shall assess the cost of the audit against the
1526	1526	local land bank authority.
1527	1527	(k) As public property used for public purposes, the
1528	1528	real property of a local land bank authority, including, but
1529	1529	not limited to, real property held by a local land bank
1530	1530	authority pursuant to a long-term lease contract with
1531	1531	community land trusts and its income, are exempt from all
1532	1532	license fees, recording fees, and all other taxes imposed by
1533	1533	the state or by any of its political subdivisions, as well as
1534	1534	all stormwater fees and other municipal assessments.
1535	1535	(l) Up to 75 percent of the ad valorem taxes collected
1536	1536	on any and all real property, except any state or school
1537	1537	district ad valorem tax, conveyed by a local land bank
1538	1538	authority shall be remitted to the local land bank authority.
1539	1539	The specific percentage of the taxes to be remitted shall be
1540	1540	set forth in the local law, ordinance, resolution, or
1541	1541	intergovernmental contract of the local land bank authority.
1542	1542	The allocation of ad valorem tax revenues shall commence with
1543	1543	the first taxable year following the date of conveyance and
1544	1544	shall continue for a period of five consecutive tax years. The
1545	1545	729
1546	1546	730
1547	1547	731
1548	1548	732
1549	1549	733
1550	1550	734
1551	1551	735
1552	1552	736
1553	1553	737
1554	1554	738
1555	1555	739
1556	1556	740
1557	1557	741
1558	1558	742
1559	1559	743
1560	1560	744
1561	1561	745
1562	1562	746
1563	1563	747
1564	1564	748
1565	1565	749
1566	1566	750
1567	1567	751
1568	1568	752
1569	1569	753
1570	1570	754
1571	1571	755
1572	1572	756 SB3 INTRODUCED
1573	1573	Page 28
1574	1574	shall continue for a period of five consecutive tax years. The
1575	1575	funds shall be remitted to the local land bank authority in
1576	1576	accordance with the administrative procedures established by
1577	1577	the tax commissioner or tax collecting official of the county
1578	1578	in which the local land bank authority is located. The
1579	1579	allocation of ad valorem tax revenues shall not occur if the
1580	1580	taxes have been previously pledged to secure a tax increment
1581	1581	financing debt of the authorizing governmental subdivision
1582	1582	creating the tax increment district pursuant to Chapter 99 of
1583	1583	Title 11, unless the authorizing subdivision enters into an
1584	1584	agreement with the local land bank authority for the
1585	1585	remittance of the funds to the local land bank authority. "
1586	1586	Section 2. Sections 24-9-11 and 24-9-12 are added to
1587	1587	the Code of Alabama 1975, to read as follows:
1588	1588	§24-9-11
1589	1589	(a) A local land bank authority may convey ownership
1590	1590	of, or interest in, real property to a state or local
1591	1591	governmental entity for purposes of floodplain management or
1592	1592	stormwater drainage in the event of all of the following:
1593	1593	(1) Floodplain management or stormwater retention or
1594	1594	drainage is the highest and best use of the real property.
1595	1595	(2) As a result of housing and building code
1596	1596	restrictions, floodplain elevations, and other local, state,
1597	1597	or federal law or public and private agreements, conditions,
1598	1598	and limitations, the real property is no longer suitable for
1599	1599	development or redevelopment.
1600	1600	(b)(1) A local land bank authority may convey ownership
1601	1601	of, or interest in, real property under this section by grant,
1602	1602	deed, lease, or other form of conveyance, and may include
1603	1603	757
1604	1604	758
1605	1605	759
1606	1606	760
1607	1607	761
1608	1608	762
1609	1609	763
1610	1610	764
1611	1611	765
1612	1612	766
1613	1613	767
1614	1614	768
1615	1615	769
1616	1616	770
1617	1617	771
1618	1618	772
1619	1619	773
1620	1620	774
1621	1621	775
1622	1622	776
1623	1623	777
1624	1624	778
1625	1625	779
1626	1626	780
1627	1627	781
1628	1628	782
1629	1629	783
1630	1630	784 SB3 INTRODUCED
1631	1631	Page 29
1632	1632	deed, lease, or other form of conveyance, and may include
1633	1633	additional limitations, restrictions, and conditions to be
1634	1634	determined by the local land bank authority.
1635	1635	(2) Consideration for the conveyance may be any of the
1636	1636	following not otherwise prohibited by law:
1637	1637	a. A nominal monetary payment.
1638	1638	b. A contractual obligation in favor of the party to
1639	1639	which the real property is being conveyed.
1640	1640	c. An exchange of real property.
1641	1641	d. Other consideration determined by the local land
1642	1642	bank authority and the party to whom the real property is to
1643	1643	be conveyed.
1644	1644	§24-9-12
1645	1645	(a) Upon declaring a state of emergency caused by a
1646	1646	natural disaster that causes widespread damage to, and
1647	1647	destruction of, real property and improvements and dislocation
1648	1648	of residents, the Governor may create a local land bank
1649	1649	authority in accordance with this section.
1650	1650	(1) The Governor may issue an executive order providing
1651	1651	for the immediate creation of a local land bank authority of a
1652	1652	local government located in whole or in part in a geographical
1653	1653	area that is subject to the declaration of the state of
1654	1654	emergency.
1655	1655	(2) The executive order shall provide for incorporation
1656	1656	and certification of the local land bank authority as required
1657	1657	under this chapter.
1658	1658	(b) Any local land bank authority created pursuant to
1659	1659	this section shall have all powers of a local land bank
1660	1660	authority created pursuant to Section 24-9-10.
1661	1661	785
1662	1662	786
1663	1663	787
1664	1664	788
1665	1665	789
1666	1666	790
1667	1667	791
1668	1668	792
1669	1669	793
1670	1670	794
1671	1671	795
1672	1672	796
1673	1673	797
1674	1674	798
1675	1675	799
1676	1676	800
1677	1677	801
1678	1678	802
1679	1679	803
1680	1680	804
1681	1681	805
1682	1682	806
1683	1683	807
1684	1684	808
1685	1685	809
1686	1686	810
1687	1687	811
1688	1688	812 SB3 INTRODUCED
1689	1689	Page 30
1690	1690	authority created pursuant to Section 24-9-10.
1691	1691	(c) Upon the necessary and appropriate action of the
1692	1692	local governments having jurisdiction over the geographical
1693	1693	areas subject to the declaration of the state of emergency, a
1694	1694	local land bank authority created pursuant to this section may
1695	1695	be converted into a local land bank authority created pursuant
1696	1696	to Section 24-9-10, at which time the local land bank
1697	1697	authority shall be the successor in interest and at law to the
1698	1698	local land bank authority created pursuant to this section.
1699	1699	(d) In the event that a local land bank authority
1700	1700	created pursuant to this section is not converted pursuant to
1701	1701	subsection (c), 12 months following the date of the Governor's
1702	1702	executive order, the local land bank authority created by the
1703	1703	executive order shall be dissolved in accordance with the
1704	1704	provisions of the Governor's executive order.
1705	1705	Section 3. Sections 40-1-3, 40-10-1, 40-10-18,
1706	1706	40-10-29, 40-10-120, 40-10-184, 40-10-197, and 40-10-199, Code
1707	1707	of Alabama 1975, are amended to read as follows:
1708	1708	"§40-1-3
1709	1709	From and after October 1 of each year, when property
1710	1710	becomes assessable the state shall have a lien upon each and
1711	1711	every piece or parcel of real property owned by any taxpayer
1712	1712	for the payment of all taxes which may be assessed against him
1713	1713	or her and upon each piece and parcel of property real or
1714	1714	personal assessed to owner unknown, which lien shall continue
1715	1715	until suchthe taxes are paid, and the county shall have a like
1716	1716	lien thereon for the payment of the taxes which may be
1717	1717	assessed by it; and, if suchthe real property is within the
1718	1718	limits of a municipal corporation, suchthe municipal
1719	1719	813
1720	1720	814
1721	1721	815
1722	1722	816
1723	1723	817
1724	1724	818
1725	1725	819
1726	1726	820
1727	1727	821
1728	1728	822
1729	1729	823
1730	1730	824
1731	1731	825
1732	1732	826
1733	1733	827
1734	1734	828
1735	1735	829
1736	1736	830
1737	1737	831
1738	1738	832
1739	1739	833
1740	1740	834
1741	1741	835
1742	1742	836
1743	1743	837
1744	1744	838
1745	1745	839
1746	1746	840 SB3 INTRODUCED
1747	1747	Page 31
1748	1748	limits of a municipal corporation, suchthe municipal
1749	1749	corporation shall have a like lien thereon for the payment of
1750	1750	the taxes which may be assessed by it. These liens shall be
1751	1751	superior to all other liens and shall exist in the order
1752	1752	named, and each of suchthe liens may be enforced and
1753	1753	foreclosed by sale for taxes as provided in this title, or as
1754	1754	other liens upon property are enforced, except as otherwise
1755	1755	provided by lawslaw. These taxes and liens shall include any
1756	1756	and all liens transmitted to the tax collecting official by
1757	1757	counties and municipal corporations in accordance with
1758	1758	Sections 11-40-35, 11-53B-16, 11-67-66, 45-37A-53, and any
1759	1759	other state law authorizing the transmittal of nuisance
1760	1760	abatement liens for weed removal and grass cutting. "
1761	1761	"§40-10-1
1762	1762	(a) The probate court of each county may order the sale
1763	1763	of lands therein for the payment of taxes assessed on the
1764	1764	lands, or against the owners of the lands, when the tax
1765	1765	collector shall report to the court that he or she or the
1766	1766	holder of a tax lien issued pursuant to Acts 1995, No. 95-408
1767	1767	was unable to collect the taxes assessed against the land, or
1768	1768	any mineral, timber or water right or special right, or
1769	1769	easement therein, or the owner thereof, without a sale of the
1770	1770	land.
1771	1771	(b) For purposes of any enforcement proceedings under
1772	1772	this chapter, the taxes due shall include any and all liens of
1773	1773	a municipality for housing and building code violations and
1774	1774	enforcement actions and nuisance abatement assessment liens
1775	1775	which are transmitted to the tax collecting official in
1776	1776	accordance with Title 11. "
1777	1777	841
1778	1778	842
1779	1779	843
1780	1780	844
1781	1781	845
1782	1782	846
1783	1783	847
1784	1784	848
1785	1785	849
1786	1786	850
1787	1787	851
1788	1788	852
1789	1789	853
1790	1790	854
1791	1791	855
1792	1792	856
1793	1793	857
1794	1794	858
1795	1795	859
1796	1796	860
1797	1797	861
1798	1798	862
1799	1799	863
1800	1800	864
1801	1801	865
1802	1802	866
1803	1803	867
1804	1804	868 SB3 INTRODUCED
1805	1805	Page 32
1806	1806	accordance with Title 11. "
1807	1807	"§40-10-18
1808	1808	(a) If no person shall bidbids for any real
1809	1809	estateproperty offered at suchthe sale an amount sufficient to
1810	1810	pay the sum greater than the minimum bid specified in the
1811	1811	decree of sale, and the costs and expenses subsequently
1812	1812	accruing, and no minimum bid is tendered by a local government
1813	1813	or a local land bank authority, the judge of probate shall bid
1814	1814	in such real estate the real property for the state at a price
1815	1815	not exceeding the sum specified in such decree and such
1816	1816	subsequently accruing cost and expenses the minimum bid. In no
1817	1817	event shall the judge of probate bid in for the state less
1818	1818	than the entire amount of real estateproperty included in any
1819	1819	assessment.
1820	1820	(b) If no person bids for any real property offered at
1821	1821	the sale in an amount greater than the minimum bid specified
1822	1822	in the decree of sale, and the costs and expenses subsequently
1823	1823	accruing, a local government or local land bank authority in
1824	1824	which the real property is located may tender a bid for the
1825	1825	minimum amount which bid shall be accepted and a certificate
1826	1826	of purchase issued to the entity. The tender of the minimum
1827	1827	bid in accordance with this subsection shall be for cash with
1828	1828	a credit for any and all components of the minimum bid already
1829	1829	due and payable to the county, municipality, and school board
1830	1830	whose taxes and liens compose part of the minimum bid. "
1831	1831	"§40-10-29
1832	1832	(a) After the expiration of three years from the date
1833	1833	of the sale of any real estate for taxes, the judge of probate
1834	1834	then in office must execute and deliver to the purchaser,
1835	1835	869
1836	1836	870
1837	1837	871
1838	1838	872
1839	1839	873
1840	1840	874
1841	1841	875
1842	1842	876
1843	1843	877
1844	1844	878
1845	1845	879
1846	1846	880
1847	1847	881
1848	1848	882
1849	1849	883
1850	1850	884
1851	1851	885
1852	1852	886
1853	1853	887
1854	1854	888
1855	1855	889
1856	1856	890
1857	1857	891
1858	1858	892
1859	1859	893
1860	1860	894
1861	1861	895
1862	1862	896 SB3 INTRODUCED
1863	1863	Page 33
1864	1864	then in office must execute and deliver to the purchaser,
1865	1865	other than the state , or person to whom the certificate of
1866	1866	purchase has been assigned, upon the return of the
1867	1867	certificate, proof that all ad valorem taxes have been paid,
1868	1868	and payment of a fee of five dollars ($5) to the judge of
1869	1869	probate, a deed to each lot or parcel of real estateproperty
1870	1870	sold to the purchaser and remaining unredeemed, including
1871	1871	therein, if desired by the purchaser, any number of parcels,
1872	1872	or lots purchased by him or her at suchthe sale; and suchthe
1873	1873	deed shall convey to and vest in the grantee all the right,
1874	1874	title, interest, and estate of the person whose duty it was to
1875	1875	pay the taxes on suchthe real estateproperty and the lien and
1876	1876	claim of the state and county thereto, but it shall not convey
1877	1877	the right, title , or interest of any reversioner or
1878	1878	remainderman therein.
1879	1879	(b) After the expiration of one year from the sale for
1880	1880	the minimum bid to a local government or local land bank
1881	1881	authority, upon return of the certificate of purchase, the
1882	1882	judge of probate shall execute and deliver to the entity a
1883	1883	deed to the real property sold to the entity. The deed shall
1884	1884	convey to, and vest in, the grantee all of the right, title,
1885	1885	interest, and estate of any and all persons having an interest
1886	1886	in the real property as of the date of the sale. "
1887	1887	"§40-10-120
1888	1888	(a)(1) Except as otherwise provided in this subsection,
1889	1889	real property Real estate which hereafter may be sold for
1890	1890	taxes and purchased by the state may be redeemed at any time
1891	1891	before the title passes out of the state or, if purchased by
1892	1892	any other purchaser, may be redeemed at any time within three
1893	1893	897
1894	1894	898
1895	1895	899
1896	1896	900
1897	1897	901
1898	1898	902
1899	1899	903
1900	1900	904
1901	1901	905
1902	1902	906
1903	1903	907
1904	1904	908
1905	1905	909
1906	1906	910
1907	1907	911
1908	1908	912
1909	1909	913
1910	1910	914
1911	1911	915
1912	1912	916
1913	1913	917
1914	1914	918
1915	1915	919
1916	1916	920
1917	1917	921
1918	1918	922
1919	1919	923
1920	1920	924 SB3 INTRODUCED
1921	1921	Page 34
1922	1922	any other purchaser, may be redeemed at any time within three
1923	1923	years from the date of the sale by the owner, his or her
1924	1924	heirs, or personal representatives, or by any mortgagee or
1925	1925	purchaser of such lands, or any part thereof all or part of the
1926	1926	real property, or by any person having an interest therein, or
1927	1927	in any part thereof in all or part of the real property , legal
1928	1928	or equitable, in severalty or as tenant in common, including a
1929	1929	judgment creditor or other creditor having a lien thereon, or
1930	1930	on any part thereof; and an infant or insane person of unsound
1931	1931	mind entitled to redeem at any time before the expiration of
1932	1932	three years from the sale may redeem at any time within one
1933	1933	year after the removal of the disability; and suchthe
1934	1934	redemption may be of any part of the lands so real property
1935	1935	sold, which includes the whole of the interest of the
1936	1936	redemptioner. If the mortgage or other instrument creating a
1937	1937	lien under which a party seeks to redeem is duly recorded at
1938	1938	the time of the tax sale, the party shall, in addition to the
1939	1939	time herein specified, have the right to redeem the real
1940	1940	estatereal property sold, or any portion thereof covered by
1941	1941	his or her mortgage or lien, at any time within one year from
1942	1942	the date of written notice from the purchaser of his or her
1943	1943	purchase of the landsreal property at tax sale served upon
1944	1944	suchthe party, and notice served upon either the original
1945	1945	mortgagees or lienholders or their transferee of record, or
1946	1946	their heirs, personal representatives, or assigns shall be
1947	1947	sufficient notice.
1948	1948	(2) When any real property is sold for taxes and has
1949	1949	also been sold in one or more prior sales for taxes without
1950	1950	redemption from the prior tax sales, the three-year period for
1951	1951	925
1952	1952	926
1953	1953	927
1954	1954	928
1955	1955	929
1956	1956	930
1957	1957	931
1958	1958	932
1959	1959	933
1960	1960	934
1961	1961	935
1962	1962	936
1963	1963	937
1964	1964	938
1965	1965	939
1966	1966	940
1967	1967	941
1968	1968	942
1969	1969	943
1970	1970	944
1971	1971	945
1972	1972	946
1973	1973	947
1974	1974	948
1975	1975	949
1976	1976	950
1977	1977	951
1978	1978	952 SB3 INTRODUCED
1979	1979	Page 35
1980	1980	redemption from the prior tax sales, the three-year period for
1981	1981	redemption shall be measured from the date of the earliest
1982	1982	sale of the real property for taxes.
1983	1983	(3) When any real property is sold for taxes at the
1984	1984	minimum bid specified in the decree of sale, and the real
1985	1985	property is not lawfully occupied as a residence as of the
1986	1986	date of the sale, the period for redemption shall be one year
1987	1987	from the date of the sale if one or both of the following
1988	1988	conditions apply:
1989	1989	a. The minimum bid included amounts attributable to one
1990	1990	or more housing and building code liens or nuisance abatement
1991	1991	liens.
1992	1992	b. Housing and building code liens, or nuisance
1993	1993	abatement liens, had been filed of record prior to the date of
1994	1994	the sale.
1995	1995	(4) When any real property is sold to a local
1996	1996	government or local land bank authority in accordance with
1997	1997	Section 40-10-18 for the minimum bid specified in the decree
1998	1998	of sale and the costs and expenses subsequently accruing, the
1999	1999	period for redemption shall be one year from the date of the
2000	2000	sale.
2001	2001	(b) If any real property has been sold for taxes and is
2002	2002	subject to redemption from the sale as set forth in subsection
2003	2003	(a) and has also been sold in one or more subsequent sales for
2004	2004	taxes, then any party entitled to redeem suchthe sale for
2005	2005	taxes may redeem suchthe sale if the redemptioner
2006	2006	simultaneously redeems his or her sale and all subsequent
2007	2007	sales. In the event of a redemption of successive sales, the
2008	2008	redemption amount shall be ascertained by applying the
2009	2009	953
2010	2010	954
2011	2011	955
2012	2012	956
2013	2013	957
2014	2014	958
2015	2015	959
2016	2016	960
2017	2017	961
2018	2018	962
2019	2019	963
2020	2020	964
2021	2021	965
2022	2022	966
2023	2023	967
2024	2024	968
2025	2025	969
2026	2026	970
2027	2027	971
2028	2028	972
2029	2029	973
2030	2030	974
2031	2031	975
2032	2032	976
2033	2033	977
2034	2034	978
2035	2035	979
2036	2036	980 SB3 INTRODUCED
2037	2037	Page 36
2038	2038	redemption amount shall be ascertained by applying the
2039	2039	provisions of Sections 40-10-121 and 40-10-122. Redemption
2040	2040	amounts computed pursuant to Section 40-10-121 shall be paid
2041	2041	as stated thereinin that section. Redemption amounts computed
2042	2042	pursuant to Section 40-10-122 shall be paid as stated
2043	2043	thereinin that section if the purchaser had the right to
2044	2044	redeem pursuant to subsection (a) or was the owner of the then
2045	2045	current tax certificate or tax title. Otherwise, those funds
2046	2046	shall be disposed of as set forth in Section 40-10-28 and paid
2047	2047	to suchthe purchaser or his or her assignee only as set forth
2048	2048	in Section 40-10-28, with the time limits for suchthe
2049	2049	application computed utilizing the sale date when the
2050	2050	purchaser's interest was sold for taxes."
2051	2051	"§40-10-184
2052	2052	(a) On the day and time designated for a tax lien
2053	2053	auction, the tax collecting official shall proceed to auction
2054	2054	all tax liens described in the tax lien auction list compiled
2055	2055	as provided in Section 40-10-183, except those for which the
2056	2056	taxes, penalties, interest, fees, and costs thereondue on the
2057	2057	real property have been paid. Any tax lien unsold after a tax
2058	2058	lien auction shall be retained by the county for future
2059	2059	auction or sale as provided in this article.
2060	2060	(b) A tax lien shall be sold at auction pursuant to
2061	2061	this article to the person who pays all taxes, interest,
2062	2062	penalties, fees, and costs due on the propertyreal property,
2063	2063	including an origination cost of twenty dollars ($20) as of
2064	2064	the date of auction and a twenty dollar ($20) auction fee, and
2065	2065	who, in addition, bids the lowest interest rate on the amount
2066	2066	required to be paid to redeem the propertyreal property from
2067	2067	981
2068	2068	982
2069	2069	983
2070	2070	984
2071	2071	985
2072	2072	986
2073	2073	987
2074	2074	988
2075	2075	989
2076	2076	990
2077	2077	991
2078	2078	992
2079	2079	993
2080	2080	994
2081	2081	995
2082	2082	996
2083	2083	997
2084	2084	998
2085	2085	999
2086	2086	1000
2087	2087	1001
2088	2088	1002
2089	2089	1003
2090	2090	1004
2091	2091	1005
2092	2092	1006
2093	2093	1007
2094	2094	1008 SB3 INTRODUCED
2095	2095	Page 37
2096	2096	required to be paid to redeem the propertyreal property from
2097	2097	the sale. The beginning interest rate bid shall not exceed a
2098	2098	rate of 12 percent and additional bids may be made at a rate
2099	2099	less than the immediately preceding bid. If the interest rate
2100	2100	bid for the propertyreal property reaches 0.00 percent and
2101	2101	more than one bidder remains, the tax collecting official
2102	2102	shall draw lots to determine the winning bidder for the
2103	2103	propertyreal property, unless a bid for 0.00 percent is
2104	2104	submitted by a local government or a local land bank
2105	2105	authority. If a bid for 0.00 percent is submitted by a local
2106	2106	government or a local land bank authority, the bid shall be
2107	2107	accepted as the successful bid. The tender of the bid by a
2108	2108	local government or local land bank authority shall be for
2109	2109	cash with a credit for any and all components of the minimum
2110	2110	bid already due and payable to the county, municipality, and
2111	2111	school board whose taxes and liens compose part of the minimum
2112	2112	bid.
2113	2113	(c) The sale of a tax lien does not extinguish any deed
2114	2114	restriction, deed covenant, or easement on or appurtenant to
2115	2115	the parcel. A tax lien offered for auction or sale shall be
2116	2116	identified by a uniform parcel number and a legal
2117	2117	description."
2118	2118	"§40-10-197
2119	2119	(a)(1)Except as otherwise provided in this subsection,
2120	2120	at At any time not less than three years after the auction or
2121	2121	sale of a tax lien but not more than 10 years after the
2122	2122	auction or sale, if the tax lien has not been redeemed, a
2123	2123	holder of all of the sold tax lien certificates for a parcel
2124	2124	of propertyreal property may bring in the circuit court of the
2125	2125	1009
2126	2126	1010
2127	2127	1011
2128	2128	1012
2129	2129	1013
2130	2130	1014
2131	2131	1015
2132	2132	1016
2133	2133	1017
2134	2134	1018
2135	2135	1019
2136	2136	1020
2137	2137	1021
2138	2138	1022
2139	2139	1023
2140	2140	1024
2141	2141	1025
2142	2142	1026
2143	2143	1027
2144	2144	1028
2145	2145	1029
2146	2146	1030
2147	2147	1031
2148	2148	1032
2149	2149	1033
2150	2150	1034
2151	2151	1035
2152	2152	1036 SB3 INTRODUCED
2153	2153	Page 38
2154	2154	of propertyreal property may bring in the circuit court of the
2155	2155	county in which the propertyreal property is located an action
2156	2156	to foreclose the right to redeem and quiet title to the
2157	2157	propertyreal property in the name of the holder of the tax
2158	2158	lien certificate. If any applicable law or court order
2159	2159	prohibits bringing an action to foreclose the right to redeem
2160	2160	and quiet title to the propertyreal property, the limitation
2161	2161	provided in this section shall be extended 12 months following
2162	2162	the termination of the prohibition.
2163	2163	(2) When any tax lien is auctioned and sold for taxes
2164	2164	and the underlying real property has also been subject to one
2165	2165	or more tax lien auctions and sales which tax liens have not
2166	2166	been redeemed, the three-year period for redemption shall be
2167	2167	measured from the date of the earliest sale of the unredeemed
2168	2168	tax lien.
2169	2169	(3) When any tax lien is sold for taxes at the minimum
2170	2170	bid specified in the decree of sale, and the real property is
2171	2171	not lawfully occupied as a residence as of the date of the
2172	2172	sale, the period for redemption shall be one year from the
2173	2173	date of the sale if either of the following conditions apply:
2174	2174	a. The minimum bid included amounts attributable to one
2175	2175	or more housing and building code liens or nuisance abatement
2176	2176	liens.
2177	2177	b. Housing and building code liens, or nuisance
2178	2178	abatement liens, had been filed of record prior to the date of
2179	2179	the sale.
2180	2180	(4) When any tax lien is sold to a local government or
2181	2181	local land bank authority in accordance with Section 40-10-184
2182	2182	for the minimum bid specified in the decree of sale and the
2183	2183	1037
2184	2184	1038
2185	2185	1039
2186	2186	1040
2187	2187	1041
2188	2188	1042
2189	2189	1043
2190	2190	1044
2191	2191	1045
2192	2192	1046
2193	2193	1047
2194	2194	1048
2195	2195	1049
2196	2196	1050
2197	2197	1051
2198	2198	1052
2199	2199	1053
2200	2200	1054
2201	2201	1055
2202	2202	1056
2203	2203	1057
2204	2204	1058
2205	2205	1059
2206	2206	1060
2207	2207	1061
2208	2208	1062
2209	2209	1063
2210	2210	1064 SB3 INTRODUCED
2211	2211	Page 39
2212	2212	for the minimum bid specified in the decree of sale and the
2213	2213	costs and expenses subsequently accruing, the period for
2214	2214	redemption shall be one year from the date of the sale.
2215	2215	(b)(1) At least 30 days before filing a tax lien
2216	2216	foreclosure action under this article, but not more than 180
2217	2217	days before the action is commenced, the holder of the tax
2218	2218	lien certificates shall send notice of intent to file the
2219	2219	foreclosure action by certified mail to all of the following:
2220	2220	a. The propertyreal property owner of record, according
2221	2221	to the property tax records of the county in which the
2222	2222	propertyreal property is located, at the owner's address shown
2223	2223	in the records and at the street address of the propertyreal
2224	2224	property if different.
2225	2225	b. All holders of outstanding mortgages, judgment
2226	2226	liens, or other liens on the propertyreal property as recorded
2227	2227	in the probate office of the county in which the propertyreal
2228	2228	property is located.
2229	2229	c. The tax collecting official of the county in which
2230	2230	the propertyreal property is located.
2231	2231	(2) The notice shall include the propertyreal property
2232	2232	owner's name, the uniform parcel number, the legal description
2233	2233	of the propertyreal property, the name and address of the
2234	2234	holder of the tax lien certificate, and a statement that the
2235	2235	holder proposes to file a tax lien foreclosure action as soon
2236	2236	as 30 but not later than 180 days after the date of mailing of
2237	2237	the notice. If the holder fails to send the notice required by
2238	2238	this subsection, the court shall dismiss any tax lien
2239	2239	foreclosure action filed under this article.
2240	2240	(c) The holder shall name as parties defendant to the
2241	2241	1065
2242	2242	1066
2243	2243	1067
2244	2244	1068
2245	2245	1069
2246	2246	1070
2247	2247	1071
2248	2248	1072
2249	2249	1073
2250	2250	1074
2251	2251	1075
2252	2252	1076
2253	2253	1077
2254	2254	1078
2255	2255	1079
2256	2256	1080
2257	2257	1081
2258	2258	1082
2259	2259	1083
2260	2260	1084
2261	2261	1085
2262	2262	1086
2263	2263	1087
2264	2264	1088
2265	2265	1089
2266	2266	1090
2267	2267	1091
2268	2268	1092 SB3 INTRODUCED
2269	2269	Page 40
2270	2270	(c) The holder shall name as parties defendant to the
2271	2271	tax lien foreclosure action all persons entitled to redeem
2272	2272	under this article. Upon filing the tax lien foreclosure
2273	2273	action, the holder shall record a notice as provided by
2274	2274	Section 35-4-131.
2275	2275	(d)(1) In a tax lien foreclosure action, if the court
2276	2276	finds that the tax lien auction or sale is valid, that proper
2277	2277	notice has been given, that the holder is the holder of all of
2278	2278	the sold tax certificates on the property, and that the tax
2279	2279	liens have not been redeemed, the court shall enter judgment
2280	2280	foreclosing the right of the defendant or defendants to redeem
2281	2281	and shall direct the circuit clerk to execute and deliver to
2282	2282	the party in whose favor judgment is entered a deed conveying
2283	2283	the interests of the defendants in the propertyreal property
2284	2284	described in the tax lien certificates.
2285	2285	(2) After entry of judgment, a party whose rights to
2286	2286	redeem the tax liens are foreclosed has no further legal or
2287	2287	equitable right, title, or interest in the propertyreal
2288	2288	property subject to the right of appeal and stay of execution
2289	2289	as in other civil actions.
2290	2290	(e) The foreclosure of the right to redeem does not
2291	2291	extinguish any easement or right-of-way on or appurtenant to
2292	2292	the propertyreal property or rights of any public utility or
2293	2293	governmental entity in the propertyreal property.
2294	2294	(f)(1) The clerk's deed executed in accordance with
2295	2295	subsection (d) shall include all of the following information:
2296	2296	a. The date of the judgment.
2297	2297	b. The number and style of the case.
2298	2298	c. The name of the plaintiff, who shall be stated as
2299	2299	1093
2300	2300	1094
2301	2301	1095
2302	2302	1096
2303	2303	1097
2304	2304	1098
2305	2305	1099
2306	2306	1100
2307	2307	1101
2308	2308	1102
2309	2309	1103
2310	2310	1104
2311	2311	1105
2312	2312	1106
2313	2313	1107
2314	2314	1108
2315	2315	1109
2316	2316	1110
2317	2317	1111
2318	2318	1112
2319	2319	1113
2320	2320	1114
2321	2321	1115
2322	2322	1116
2323	2323	1117
2324	2324	1118
2325	2325	1119
2326	2326	1120 SB3 INTRODUCED
2327	2327	Page 41
2328	2328	c. The name of the plaintiff, who shall be stated as
2329	2329	the grantee.
2330	2330	d. The legal description of the propertyreal property.
2331	2331	e. The uniform parcel number of the propertyreal
2332	2332	property.
2333	2333	f. The date of the conveyance.
2334	2334	(2) The original deed shall be delivered to the
2335	2335	plaintiff for recording in the probate records in the county
2336	2336	in which the propertyreal property is located.
2337	2337	(g) Any person who is entitled to redeem under this
2338	2338	article may redeem at any time before judgment is entered,
2339	2339	notwithstanding that an action to foreclose has been
2340	2340	commenced, by paying into the circuit court the redemption
2341	2341	amount that would have been paid to the tax collecting
2342	2342	official under Section 40-10-193 plus any other amounts
2343	2343	determined by the court under this section. If the person who
2344	2344	redeems has been served personally or by publication in the
2345	2345	action, or if the person became an owner after the action
2346	2346	began and redeems after a notice is recorded pursuant to
2347	2347	subsection (c), the redeeming party shall also pay into the
2348	2348	court with the redemption amount the costs incurred by the
2349	2349	plaintiff in the action, including reasonable attorney fees
2350	2350	actually incurred, to be determined by the court. The court
2351	2351	shall then order the tax lien certificates cancelledcanceled
2352	2352	and the tax liens void, the redemption amount be paid to the
2353	2353	tax collecting official, and the costs and attorney fees be
2354	2354	paid to the plaintiff.
2355	2355	(h) If a tax lien that was purchased pursuant to this
2356	2356	article is not redeemed and the holder of the tax lien
2357	2357	1121
2358	2358	1122
2359	2359	1123
2360	2360	1124
2361	2361	1125
2362	2362	1126
2363	2363	1127
2364	2364	1128
2365	2365	1129
2366	2366	1130
2367	2367	1131
2368	2368	1132
2369	2369	1133
2370	2370	1134
2371	2371	1135
2372	2372	1136
2373	2373	1137
2374	2374	1138
2375	2375	1139
2376	2376	1140
2377	2377	1141
2378	2378	1142
2379	2379	1143
2380	2380	1144
2381	2381	1145
2382	2382	1146
2383	2383	1147
2384	2384	1148 SB3 INTRODUCED
2385	2385	Page 42
2386	2386	article is not redeemed and the holder of the tax lien
2387	2387	certificate fails to commence a tax lien foreclosure action on
2388	2388	or before 10 years from the date of the tax lien certificate,
2389	2389	the tax lien certificate shall expire and the lien shall
2390	2390	become void.
2391	2391	(i) If a judicial proceeding prohibits bringing a tax
2392	2392	lien foreclosure action, the time of expiration under this
2393	2393	section shall be extended by 12 months following the
2394	2394	completion of the judicial proceeding."
2395	2395	"§40-10-199
2396	2396	(a) Tax liens that are not sold at the tax lien auction
2397	2397	conducted by the tax collecting official shall be separated in
2398	2398	the tax lien auction list as prescribed by Section 40-10-183
2399	2399	and the county shall retain the lien pursuant to Section
2400	2400	40-1-3. TheExcept as otherwise provided in this subsection,
2401	2401	the tax collecting official, within 45 days after the tax lien
2402	2402	auction date, may sell at private sale an unsold tax lien for
2403	2403	no less than all taxes, interest, penalties, costs, and fees.
2404	2404	A local land bank authority may acquire the unsold tax lien
2405	2405	for cash with a credit for any and all components of the tax
2406	2406	lien aggregate amount due and payable to the county,
2407	2407	municipality, and school board. The purchaser at private sale
2408	2408	shall be entitled to interest on the amount paid at a rate
2409	2409	agreed to by the tax collecting official, not to exceed 12
2410	2410	percent. All private tax lien sales shall be entered in the
2411	2411	record of tax lien auctions and sales, as provided in Section
2412	2412	40-10-188.
2413	2413	(b) All tax liens that remain unsold by the tax lien
2414	2414	auction or sale shall be included in all future tax lien
2415	2415	1149
2416	2416	1150
2417	2417	1151
2418	2418	1152
2419	2419	1153
2420	2420	1154
2421	2421	1155
2422	2422	1156
2423	2423	1157
2424	2424	1158
2425	2425	1159
2426	2426	1160
2427	2427	1161
2428	2428	1162
2429	2429	1163
2430	2430	1164
2431	2431	1165
2432	2432	1166
2433	2433	1167
2434	2434	1168
2435	2435	1169
2436	2436	1170
2437	2437	1171
2438	2438	1172
2439	2439	1173
2440	2440	1174
2441	2441	1175
2442	2442	1176 SB3 INTRODUCED
2443	2443	Page 43
2444	2444	auction or sale shall be included in all future tax lien
2445	2445	auctions or sales until sold.
2446	2446	(c) Any tax lien that does not sell at auction shall be
2447	2447	reported to the county commission when seeking approval of
2448	2448	errors in assessments, litigationslitigation, or insolvents as
2449	2449	the tax collecting official will be allowed credit for taxes
2450	2450	due to this state upon final settlement with the state
2451	2451	Comptroller."
2452	2452	Section 4. This act shall become effective on October
2453	2453	1, 2024.
2454	2454	1177
2455	2455	1178
2456	2456	1179
2457	2457	1180
2458	2458	1181
2459	2459	1182
2460	2460	1183
2461	2461	1184
2462	2462	1185