SLS 12RS-624 ORIGINAL
Page 1 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 398
BY SENATOR GALLOT
TAX/SALES. Constitutional amendment to provide an alternative bidding procedure on
property at a tax sale. (2/3-CA13s1(A))
A JOINT RESOLUTION1
Proposing to amend Article VII, Section 25(A)(1) and (B)(1) of the Constitution of2
Louisiana, relative to tax sales; to provide relative to the procedure for bidding at ad3
valorem tax sales; to authorize an alternative bidding procedure; to provide for4
related matters; and to specify an election for submission of the proposition to5
electors and provide a ballot proposition.6
Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members7
elected to each house concurring, that there shall be submitted to the electors of the state, for8
their approval or rejection in the manner provided by law, a proposal to amend Article VII,9
Section 25(A)(1) and (B)(1) of the Constitution of Louisiana, to read as follows:10
§25. Tax Sales11
Section 25.(A) Tax Sales. (1) There shall be no forfeiture of property for12
nonpayment of taxes. However, at the expiration of the year in which the taxes are13
due, the collector, without suit, and after giving notice to the delinquent in the14
manner provided by law, shall advertise for sale the property on which the taxes are15
due. The advertisement shall be published in the official journal of the parish or16
municipality, or, if there is no official journal, as provided by law for sheriffs' sales,17 SB NO. 398
SLS 12RS-624 ORIGINAL
Page 2 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
in the manner provided for judicial sales. On the day of sale, the collector shall sell1
the portion of the property which the debtor points out. If the debtor does not point2
out sufficient property, the collector shall sell immediately the least quantity of3
property which any bidder will buy for the amount of the taxes, interest, and costs.4
In lieu of selling the least quantity of property, the collector may elect to allow5
bidders to bid down the five percent redemption penalty provided for in6
Subparagraph (B)(1) of this Section in increments of one-tenth of one percent7
as may be provided by law. The sale shall be without appraisement. A tax deed by8
a tax collector shall be prima facie evidence that a valid sale was made.9
* * *10
(B) Redemption. (1) The property sold shall be redeemable for three years11
after the date of recordation of the tax sale, by paying the price given, including12
costs, five percent penalty thereon or such percentage bid-down as provided for13
in Subparagraph (A)(1) of this Section, and interest at the rate of one percent per14
month until redemption.15
* * *16
Section 2. Be it further resolved that this proposed amendment shall be submitted17
to the electors of the state of Louisiana at the statewide election to be held on November 6,18
2012.19
Section 3. Be it further resolved that on the official ballot to be used at said election20
there shall be printed a proposition, upon which the electors of the state shall be permitted21
to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as22
follows:23
Do you support an amendment to authorize the collector to allow bidders on24
property at a tax sale to bid down the 5% penalty that they receive if the25
property is redeemed within three years in increments of one-tenth of one26
percent in lieu of the collector selling the least quantity of property which27
any bidder will buy for the amount owed on the property?(Amends Article28
VII, Section 25(A)(1) AND (B)(1))29 SB NO. 398
SLS 12RS-624 ORIGINAL
Page 3 of 3
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Danielle Doiron.
DIGEST
Present constitution provides, relative to ad valorem property tax sales, that on the day of
sale, the collector shall sell the portion of the property which the debtor points out, and that
if the debtor does not point out sufficient property, the collector shall sell immediately the
least quantity of property which any bidder will buy for the amount of the taxes, interest, and
costs.
Present constitution provides that property sold at the tax sale is redeemable for three years
after the date of recordation of the tax sale by paying the price given, including costs, 5%
penalty thereon , and interest at the rate of one percent per month until redemption.
Proposed constitutional amendment authorizes the collector to allow bidders to bid down the
5% redemption penalty in increments of one-tenth of one percent in lieu of selling the least
quantity of property as may be provided by law.
Provides for submission of the proposed amendment to the voters at the statewide election
to be held on November 6, 2012.
(Amends Const. Art. 7, §25(A)(1) and (B)(1))