A bill for an act relating to cities or counties canceling the sale of property containing abandoned buildings to a tax sale certificate holder.

Senate

File

28

-

Introduced

SENATE

FILE

28

BY

McCLINTOCK

A

BILL

FOR

An

Act

relating

to

cities

or

counties

canceling

the

sale

1

of

property

containing

abandoned

buildings

to

a

tax

sale

2

certificate

holder.

3

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

4

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Section

1.

Section

448.13,

Code

2025,

is

amended

to

read

as

1

follows:

2

448.13

Cancellation

of

tax

sale

and

certificate

of

purchase

3

——

refund

of

purchase

money.

4

If

the

county

treasurer

receives

a

verified

statement

from

a

5

city

or

county

stating

that

a

parcel

sold

at

tax

sale

contains

6

a

building

that

is

abandoned,

as

those

terms

are

defined

in

7

section

657A.1

,

prior

to

redemption

of

the

parcel

under

chapter

8

447

or

the

issuance

of

a

tax

deed

for

the

parcel,

and

the

9

verified

statement

is

accompanied

by

a

petition

filed

by

the

10

city

or

county

under

section

657A.10B

for

title

to

the

parcel,

11

the

county

treasurer

shall

make

an

entry

in

the

county

system

12

canceling

the

sale

of

the

parcel

and

shall

refund

the

purchase

13

money

to

the

tax

sale

certificate

holder

as

provided

under

14

section

657.10B

.

15

Sec.

2.

Section

657A.10B,

subsection

7,

Code

2025,

is

16

amended

to

read

as

follows:

17

7.

If

a

city

or

county

files

a

petition

under

subsection

2

,

18

naming

the

holder

of

a

tax

sale

certificate

of

purchase

for

the

19

property

as

a

respondent,

the

city

or

county

shall

also

file

20

the

petition,

along

with

a

verified

statement

declaring

that

21

the

property

identified

in

the

petition

contains

an

abandoned

22

building,

with

the

county

treasurer.

Upon

receiving

the

23

petition

and

verified

statement,

the

county

treasurer

shall

24

make

an

entry

in

the

county

system

canceling

the

sale

of

the

25

property

and

shall

refund

the

purchase

money

to

the

tax

sale

26

certificate

holder

,

including

interest

of

two

percent

per

27

month,

counting

each

fraction

of

a

month

as

an

entire

month,

28

on

the

sum

of

the

purchase

money

and

any

amounts

added

to

29

the

amount

due

under

section

447.1,

calculated

from

the

date

30

of

purchase

of

the

property

by

the

holder

until

the

date

the

31

purchase

money,

any

added

amounts,

and

the

interest

calculated

32

pursuant

to

this

subsection

are

refunded

.

33

EXPLANATION

34

The

inclusion

of

this

explanation

does

not

constitute

agreement

with

35

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28

the

explanation’s

substance

by

the

members

of

the

general

assembly.

1

This

bill

relates

to

cities

or

counties

canceling

the

sale

2

of

property

containing

abandoned

buildings

to

a

tax

sale

3

certificate

holder.

4

Currently,

if

a

city

or

county

files

a

petition

against

5

the

holder

of

a

tax

sale

certificate,

and

the

tax

certificate

6

holder’s

property

is

verified

to

contain

an

abandoned

building,

7

the

county

treasurer

is

required

to

cancel

the

sale

of

the

8

property

and

is

required

to

refund

the

purchase

money

to

the

9

tax

sale

certificate

holder.

If

the

sale

of

such

a

property

is

10

canceled,

the

bill

requires

the

city

or

county

to

refund

the

11

purchase

money

plus

interest

of

2

percent

per

month

on

the

sum

12

of

the

purchase

money

and

any

amounts

added

to

the

amount

due

13

under

Code

section

447.1.

14

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