|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to the resale of property purchased by a taxing unit at a |
|
tax sale. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 33.52(d), Tax Code, is amended to read as |
|
follows: |
|
(d) Except as provided by Section 34.05(k), a [A] taxing |
|
unit's claim for taxes that become delinquent after the date of the |
|
judgment is not affected by the entry of the judgment or a tax sale |
|
conducted under that judgment. Those taxes may be collected by any |
|
remedy provided by this title. |
|
SECTION 2. Section 34.05, Tax Code, is amended by adding |
|
Subsections (j), (k), and (l) to read as follows: |
|
(j) In lieu of a sale pursuant to Subsections (c) and (d), |
|
the taxing unit that purchased the property may sell the property at |
|
a private sale for an amount equal to or greater than its market |
|
value, as shown by the most recent certified appraisal roll, if: |
|
(1) the sum of the amount of the judgment plus |
|
post-judgment taxes, penalties, and interest owing against the |
|
property exceeds the market value; and |
|
(2) each taxing unit entitled to receive proceeds of |
|
the sale consents to the sale for that amount. |
|
(k) A sale under Subsection (j) discharges and extinguishes |
|
all liens foreclosed by the judgment and, with the exception of the |
|
prorated tax for the current year that is assessed under Section |
|
26.10, the liens for post-judgment taxes. The presiding officer of |
|
a taxing unit selling real property under Subsection (j) shall |
|
execute a deed to the property conveying to the purchaser the right, |
|
title, and interest acquired or held by each taxing unit that was a |
|
party to the judgment foreclosing tax liens on the property. The |
|
conveyance is subject to any remaining right of redemption at the |
|
time of the sale and to the purchaser's obligation to pay the |
|
prorated taxes for the current year as provided by Section 26.10. |
|
The deed must recite that the liens foreclosed by the judgment and |
|
the post-judgment tax liens are discharged and extinguished by |
|
virtue of the conveyance. |
|
(l) A taxing unit that does not consent to a sale under |
|
Subsection (j) is liable to the taxing unit that purchased the |
|
property for a pro rata share of the costs incurred by the |
|
purchasing unit in maintaining the property, including the costs of |
|
preventing the property from becoming a public nuisance, a danger |
|
to the public, or a threat to the public health. The nonconsenting |
|
unit's share of the costs described by this subsection is |
|
calculated from the date the unit fails to consent to the sale and |
|
is equal to the percentage of the proceeds from a sale of the |
|
property to which the nonconsenting unit would be entitled |
|
multiplied by the costs incurred by the purchasing unit to maintain |
|
the property. |
|
SECTION 3. The change in law made by this Act applies to |
|
real property sold to a taxing unit that is a party to a judgment to |
|
foreclose a tax lien regardless of whether the judgment was entered |
|
before, on, or after the effective date of this Act. |
|
SECTION 4. This Act takes effect immediately if it receives |
|
a vote of two-thirds of all the members elected to each house, as |
|
provided by Section 39, Article III, Texas Constitution. If this |
|
Act does not receive the vote necessary for immediate effect, this |
|
Act takes effect September 1, 2011. |