LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE 75th Regular Session April 9, 1997 TO: Honorable Eddie Lucio, Jr., Chair IN RE: Senate Bill No. 1249 Committee on Intergovernmental Relations By: Ellis Senate Austin, Texas FROM: John Keel, Director In response to your request for a Fiscal Note on SB1249 ( Relating to the sale of property for delinquent ad valorem taxes.) this office has detemined the following: Biennial Net Impact to General Revenue Funds by SB1249-As Introduced No fiscal implication to the State is anticipated. The bill would amend Chapters 33 and 34 of the Tax Code to change the time limit on taking action related to a property sold for taxes to the date before either the first anniversary that the purchaser at the sale had the deed filed of record, or the second anniversary of the deed filing if the property was a residence homestead or agricultural land at the time of the delinquent tax lawsuit. The bill would allow property to be sold for any amount at a public sale. At a private sale, the property could not be sold for less than the market value specified in the judgment or the total amount of the judgment against the property. Current law requires action related to a property sold for taxes to be within three years after the deed to the purchaser at the tax sale is filed of record. Taxing units must consent to receive proceeds of less than the property's market value in the judgment or the total amount of the judgment against the property. The bill would take effect September 1, 1998 and would only apply to an action commenced or the resale of property by a taxing unit on or after that date. No significant fiscal implication to units of local government is anticipated. Source: Agencies: 304 Comptroller of Public Accounts LBB Staff: JK ,TL ,BR