86R12689 LHC-D
 
  By: Dutton H.B. No. 3764
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the period for redeeming the residence homestead of an
  elderly person sold at an ad valorem tax sale.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 34.21, Tax Code, is amended by amending
  Subsections (a), (b), and (c) and adding Subsection (d-1) to read as
  follows:
         (a)  The owner of real property sold at a tax sale to a
  purchaser other than a taxing unit that was used as the residence
  homestead of the owner or that was land designated for agricultural
  use when the suit or the application for the warrant was filed, or
  the owner of a mineral interest sold at a tax sale to a purchaser
  other than a taxing unit, may redeem the property on or before the
  second anniversary of the date on which the purchaser's deed is
  filed for record, or on or before a later anniversary of that date
  as provided by Subsection (d-1), by paying the purchaser the amount
  the purchaser bid for the property, the amount of the deed recording
  fee, and the amount paid by the purchaser as taxes, penalties,
  interest, and costs on the property, plus a redemption premium of 25
  percent of the aggregate total if the property is redeemed during
  the first year of the redemption period or 50 percent of the
  aggregate total if the property is redeemed during a subsequent 
  [the second] year of the applicable redemption period.
         (b)  If property that was used as the owner's residence
  homestead or was land designated for agricultural use when the suit
  or the application for the warrant was filed, or that is a mineral
  interest, is bid off to a taxing unit under Section 34.01(j) or (p)
  and has not been resold by the taxing unit, the owner having a right
  of redemption may redeem the property on or before the second
  anniversary of the date on which the deed of the taxing unit is
  filed for record, or on or before a later anniversary of that date
  as provided by Subsection (d-1), by paying the taxing unit:
               (1)  the lesser of the amount of the judgment against
  the property or the market value of the property as specified in
  that judgment, plus the amount of the fee for filing the taxing
  unit's deed and the amount spent by the taxing unit as costs on the
  property, if the property was judicially foreclosed and bid off to
  the taxing unit under Section 34.01(j); or
               (2)  the lesser of the amount of taxes, penalties,
  interest, and costs for which the warrant was issued or the market
  value of the property as specified in the warrant, plus the amount
  of the fee for filing the taxing unit's deed and the amount spent by
  the taxing unit as costs on the property, if the property was seized
  under Subchapter E, Chapter 33, and bid off to the taxing unit under
  Section 34.01(p).
         (c)  If real property that was used as the owner's residence
  homestead or was land designated for agricultural use when the suit
  or the application for the warrant was filed, or that is a mineral
  interest, has been resold by the taxing unit under Section 34.05,
  the owner of the property having a right of redemption may redeem
  the property on or before the second anniversary of the date on
  which the taxing unit files for record the deed from the sheriff or
  constable, or on or before a later anniversary of that date as
  provided by Subsection (d-1), by paying the person who purchased
  the property from the taxing unit the amount the purchaser paid for
  the property, the amount of the fee for filing the purchaser's deed
  for record, and the amount paid by the purchaser as taxes,
  penalties, interest, and costs on the property, plus a redemption
  premium of 25 percent of the aggregate total if the property is
  redeemed in the first year of the redemption period or 50 percent of
  the aggregate total if the property is redeemed during a subsequent 
  [in the second] year of the applicable redemption period.
         (d-1)  Notwithstanding the general redemption period
  prescribed by Subsection (a), (b), or (c), a person 65 years of age
  or older who was an owner of real property subject to a tax sale
  under Section 34.01 that was the owner's residence homestead when
  the suit or the application for the warrant was filed may redeem the
  property on or before the fourth anniversary of the date on which:
               (1)  the purchaser's deed is filed for record, if the
  property is redeemed under Subsection (a);
               (2)  the deed of the taxing unit is filed for record, if
  the property is redeemed under Subsection (b); or
               (3)  the taxing unit files for record the deed from the
  sheriff or constable, if the property is redeemed under Subsection
  (c).
         SECTION 2.  Section 33.06(c-1), Tax Code, is amended to read
  as follows:
         (c-1)  To obtain an abatement of a pending sale to foreclose
  the tax lien, the individual must deliver an affidavit stating the
  facts required to be established by Subsection (a) to the chief
  appraiser of each appraisal district that appraises the property,
  the collector for the taxing unit that requested the order of sale
  or the attorney representing that unit for the collection of
  delinquent taxes, and the officer charged with selling the property
  not later than the fifth day before the date of the sale. After an
  affidavit is delivered under this subsection, the property may not
  be sold at a tax sale until the 181st day after the date the
  individual no longer owns and occupies the property as a residence
  homestead. If property is sold in violation of this section, the
  property owner may file a motion to set aside the sale under the
  same cause number and in the same court as a judgment reference in
  the order of sale. The motion must be filed during the applicable
  redemption period as set forth in Section 34.21(a) or (d-1) or, if
  the property is bid off to a taxing entity, on or before the 180th
  day following the date the taxing unit's deed is filed of record,
  whichever is later. This right is not transferable to a third
  party.
         SECTION 3.  The change in law made by this Act applies only
  to the redemption of real property sold or bid off at a tax sale for
  which the deed from the sale or transfer is filed for record on or
  after the effective date of this Act. The redemption of real
  property sold or bid off at a tax sale for which the deed from the
  sale or transfer is filed for record before the effective date of
  this Act is governed by the law in effect when the deed is filed, and
  the former law is continued in effect for that purpose.
         SECTION 4.  This Act takes effect January 1, 2020, but only
  if the constitutional amendment proposed by the 86th Legislature,
  Regular Session, 2019, to lengthen the period for redeeming the
  residence homestead of a person 65 years of age or older sold at an
  ad valorem tax sale is approved by the voters. If that amendment is
  not approved by the voters, this Act has no effect.