Louisiana House Bill HB599

Louisiana 2012 Regular Session

• Introduced: 3/12/12
• Refer: 3/12/12

Caption

(Constitutional Amendment) Authorizes an alternative bidding mechanism for bidding down redemption penalties at a tax sale (OR SEE FISC NOTE LF EX)

Impact

If enacted, HB 599 would affect the procedures outlined in Article VII, Section 25 of the Louisiana Constitution, which governs tax sales. By introducing the bidding down mechanism, the bill seeks to enhance the competitiveness of tax sales. This change could make it easier for bidders to acquire property at tax sales and potentially reduce the burden on delinquent taxpayers by providing a mechanism for more favorable bidding terms.

Summary

House Bill 599 proposes a constitutional amendment concerning tax sales in Louisiana. Specifically, it allows an alternative bidding mechanism where bidders can elect to bid down the existing five percent redemption penalty in increments of one-tenth of one percent. This amendment aims to provide more flexibility and options for bidders at tax sales, which are conducted when property taxes are delinquent. The bill reflects a broader intention to modernize the current tax sale processes and improve their efficiency.

Sentiment

The sentiment surrounding HB 599 appears to be generally positive among stakeholders interested in tax reform and property management. Advocates argue that the bill will promote fairness in tax sales and create opportunities for more bidders. However, there may be concerns among some communities regarding how these changes could impact the overall tax collection process and the operational aspects of selling property for delinquent taxes.

Contention

Notable points of contention regarding the bill may arise from stakeholders who fear that the changes could complicate or destabilize the existing tax sales system. There could be apprehension among local governments or tax collectors that the new bidding procedure might undermine their authority or disrupt established practices. As discussions progress, these concerns will likely need to be addressed to ensure that the proposed changes will not adversely affect the revenue generated from tax sales.