BILL ANALYSIS



S.B. 1567
By: Ellis (Coleman)
May 19, 1995
Committee Report (Unamended)


BACKGROUND

In the event of foreclosure of real property by a taxing district
resulting from nonpayment of ad valorem property taxes, an
individual may contest the sale within a certain time period. 
Section 33.54, Tax Code, provides that a person may challenge a tax
sale against the purchaser if the person files within three years
after the purchaser's deed is filed.

PURPOSE

S.B. 1567 would reduce the time period to file an action against a
property's title for property sold at a tax sale.  It would also
require a person challenging the sale to deposit with the court an
amount equal to all taxes, penalties, interest, and cost on the
property.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 33.54 (Limitation of Actions Relating to
Property Sold for Taxes), Tax Code, to reduce the filing time to
challenge a tax sale against the purchaser from three years to two
years for a residence homestead or for land qualified for
agricultural use and to one year for all other property.  Requires
a person challenging that a tax sale is not valid, to deposit with
the court an amount equal to all taxes, penalties, interest, and
costs on the property.

SECTION 2. Emergency clause.

SUMMARY OF COMMITTEE ACTION

On May 19, 1995, the committee convened in a formal meeting and
considered S.B. 1567.  By a record vote of 7 ayes, 0 nays, 0
present not voting and 4 absent, the committee voted to report S.B.
1567 to the House without amendment with the recommendation that it
do pass.