| 1 | 1 | | 86R7231 JES-F |
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| 2 | 2 | | By: Bettencourt S.B. No. 1361 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to the public resale by means of a public auction using |
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| 8 | 8 | | online bidding and sale of property purchased by a taxing unit at an |
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| 9 | 9 | | ad valorem tax sale. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Section 34.05(d), Tax Code, is amended to read as |
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| 12 | 12 | | follows: |
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| 13 | 13 | | (d) Except as provided by this subsection, all public sales |
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| 14 | 14 | | requested as provided by Subsection (c) must [shall] be conducted |
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| 15 | 15 | | in the manner prescribed by the Texas Rules of Civil Procedure for |
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| 16 | 16 | | the sale of property under execution or, if directed by the |
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| 17 | 17 | | commissioners court of the county, in accordance with Section |
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| 18 | 18 | | 34.01(a-1) and the rules adopted under that section providing for |
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| 19 | 19 | | public auction using online bidding and sale. The notice of the sale |
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| 20 | 20 | | must contain a description of the property to be sold, the number |
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| 21 | 21 | | and style of the suit under which the property was sold at the tax |
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| 22 | 22 | | foreclosure sale, and the date of the tax foreclosure sale. The |
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| 23 | 23 | | description of the property in the notice is sufficient if it is |
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| 24 | 24 | | stated in the manner provided by Section 34.01(f). If the |
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| 25 | 25 | | commissioners court of a county by order specifies the date or time |
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| 26 | 26 | | at which or location in the county where a public sale requested |
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| 27 | 27 | | under Subsection (c) shall be conducted, the sale shall be |
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| 28 | 28 | | conducted on the date and at the time and location specified in the |
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| 29 | 29 | | order. The acceptance of a bid by the officer conducting the sale is |
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| 30 | 30 | | conclusive and binding on the question of its sufficiency. An |
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| 31 | 31 | | action to set aside the sale on the grounds that the bid is |
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| 32 | 32 | | insufficient may not be sustained in court, except that a taxing |
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| 33 | 33 | | unit that participates in distribution of proceeds of the sale may |
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| 34 | 34 | | file an action before the first anniversary of the date of the sale |
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| 35 | 35 | | to set aside the sale on the grounds of fraud or collusion between |
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| 36 | 36 | | the officer making the sale and the purchaser. On conclusion of the |
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| 37 | 37 | | sale, the officer making the sale shall prepare a deed to the |
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| 38 | 38 | | purchaser. The taxing unit that requested the sale may elect to |
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| 39 | 39 | | prepare a deed for execution by the officer. If the taxing unit |
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| 40 | 40 | | prepares the deed, the officer shall execute that deed. An officer |
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| 41 | 41 | | who executes a deed prepared by the taxing unit is not responsible |
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| 42 | 42 | | or liable for any inconsistency, error, or other defect in the form |
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| 43 | 43 | | of the deed. As soon as practicable after a deed is executed by the |
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| 44 | 44 | | officer, the officer shall either file the deed for recording with |
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| 45 | 45 | | the county clerk or deliver the executed deed to the taxing unit |
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| 46 | 46 | | that requested the sale, which shall file the deed for recording |
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| 47 | 47 | | with the county clerk. The county clerk shall file and record each |
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| 48 | 48 | | deed under this subsection and after recording shall return the |
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| 49 | 49 | | deed to the grantee. |
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| 50 | 50 | | SECTION 2. This Act takes effect immediately if it receives |
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| 51 | 51 | | a vote of two-thirds of all the members elected to each house, as |
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| 52 | 52 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 53 | 53 | | Act does not receive the vote necessary for immediate effect, this |
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| 54 | 54 | | Act takes effect September 1, 2019. |
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