The implementation of HB 5759 would significantly alter how tax sales are conducted in Rhode Island. By instituting these notification requirements and the right of first refusal, the aim is to prevent undue hardship on low-income families who may not be able to pay their taxes on time. Supporters argue that these measures will protect homeowners from losing their properties due to tax liens and provide them with necessary assistance to manage their tax obligations, potentially stabilizing communities that could otherwise suffer from high rates of foreclosure and displacement.
Summary
House Bill 5759, introduced in the Rhode Island General Assembly, focuses on amending existing taxation laws related to tax sales. The bill mandates the Rhode Island Housing and Mortgage Finance Corporation to have a right of first refusal on owner-occupied residential properties with three or fewer units before they can be sold at tax sales. This is intended to provide a safeguard for homeowners facing tax liens, ensuring that they have options to address their tax liabilities before losing their homes. The bill specifies the procedure the corporation must follow to notify homeowners of their rights and options, including requiring in-person or Zoom meetings for discussing remediation measures.
Contention
While the bill is positioned as protective legislation for homeowners, it could face opposition based on concerns about its impact on municipal revenues. Some critics may argue that extending the timeframe for tax collections through further notification requirements could hinder local governments' financial stability, making it more difficult for them to operate effectively. There are concerns regarding the balance between protecting homeowners and ensuring that municipalities can collect needed taxes in a timely manner.
Defines who is eligible to bid at tax sales; Authorizes Rhode Island housing and mortgage finance corporation to use excess funds collected under § 34-27-3.2 to purchase at tax sale owner-occupied residences.
Defines who is eligible to bid at tax sales; Authorizes Rhode Island housing and mortgage finance corporation to use excess funds collected under § 34-27-3.2 to purchase at tax sale owner-occupied residences.
Exempts urban and small farmers from sales taxes, real, tangible and personal property taxes and income taxes. It also defines urban and small farmers and urban farmland.
Exempts urban and small farmers from sales taxes, real, tangible and personal property taxes and income taxes. It also defines urban and small farmers and urban farmland.
Exempts certain urban and small farmers from sales taxes, real, tangible and personal property taxes and income taxes. Also defines urban and small farmers and urban farmland.
Exempts certain urban and small farmers from sales taxes, real, tangible and personal property taxes and income taxes. This act would also define urban and small farmers and urban farmland.