1-1 By: Carona S.B. No. 256
1-2 (In the Senate - Filed January 16, 2001; January 17, 2001,
1-3 read first time and referred to Committee on Intergovernmental
1-4 Relations; February 15, 2001, reported favorably by the following
1-5 vote: Yeas 4, Nays 2, 1 present not voting; February 15, 2001,
1-6 sent to printer.)
1-7 A BILL TO BE ENTITLED
1-8 AN ACT
1-9 relating to the recovery by a taxing unit of certain costs on the
1-10 resale of property bid off to the unit at a tax foreclosure sale.
1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12 SECTION 1. Subdivision (2), Subsection (g), Section 34.21,
1-13 Tax Code, is amended to read as follows:
1-14 (2) "Costs" includes:
1-15 (A) the amount reasonably spent by the purchaser
1-16 for maintaining, preserving, and safekeeping the property,
1-17 including the cost of:
1-18 (i) [(A)] property insurance;
1-19 (ii) [(B)] repairs or improvements
1-20 required by a local ordinance or building code or by a lease of the
1-21 property in effect on the date of the sale;
1-22 (iii) [(C)] discharging a lien imposed by
1-23 a municipality to secure expenses incurred by the municipality in
1-24 remedying a health or safety hazard on the property;
1-25 (iv) [(D)] dues or assessments for
1-26 maintenance paid to a property owners' association under a recorded
1-27 restrictive covenant to which the property is subject; and
1-28 (v) [(E)] impact or standby fees imposed
1-29 under the Local Government Code or Water Code and paid to a
1-30 political subdivision; and
1-31 (B) if the purchaser is a taxing unit to which
1-32 the property is bid off under Section 34.01, personnel and overhead
1-33 costs reasonably incurred by the purchaser in connection with
1-34 maintaining, preserving, safekeeping, managing, and reselling the
1-35 property.
1-36 SECTION 2. This Act takes effect immediately if it receives
1-37 a vote of two-thirds of all the members elected to each house, as
1-38 provided by Section 39, Article III, Texas Constitution. If this
1-39 Act does not receive the vote necessary for immediate effect, this
1-40 Act takes effect September 1, 2001.
1-41 * * * * *