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ARIZONA STATE SENATE

Fifty-Fifth Legislature, Second Regular Session

 

FACT SHEET FOR H.B. 2629

 

property tax liens; expiration dates

Purpose

Requires the county treasurer to notify the purchaser of a property tax lien (lien purchaser) of the pending expiration of the lien within 365 days before the expiration date by certified mail and to send a separate notice within 30 days after the lien's expiration by mail or email.

Background

By September 1, the county treasurer must send a notice of delinquent taxes to each person or firm that owes delinquent taxes against real property. By December 31, the county treasurer must publish a list of all real property with delinquent taxes and an accompanying notice that the county treasurer will sell a property tax lien at public auction.

The county treasurer must sell a property tax lien to the person who pays the aggregate amount of all delinquent taxes due on the property, including penalties, interest and charges. The county treasurer must deliver a certificate of purchase to each lien purchaser at the sale or provide for a registered certificate in the county treasurer's records. If the certificate of purchase for the sale of delinquent taxes is not redeemed and an action to foreclose the right of redemption is not commenced within 10 years after the last day of the month in which the certificate was acquired, the certificate of purchase expires and the lien is void.

For property tax liens purchased beginning August 23, 2002, the county treasurer must notify the lien purchaser by certified mail of the pending expiration between 30 and 60 days before the expiration date. Within seven days after the lien's expiration date, the county treasurer must notify the lien purchaser by certified mail that the lien and certificate of purchase have expired (A.R.S. Title 42, Chapter 18, Article 3).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Accelerates, from between 30 and 60 days to within 365 days before a property tax lien expires, the time period by which the county treasurer must notify the lien purchaser of the pending expiration.

2.   Requires the county treasurer, within 30 days after expiration, rather than 7 days, to notify the lien purchaser by mail or email, if practicable, that the lien and certificate of purchase have expired and removes the requirement for the notice to be sent by certified mail.

3.   Repeals the restriction that property lien notice requirements apply to liens purchased beginning August 23, 2002.

4.   Makes technical and conforming changes.

5.   Becomes effective on the general effective date.

House Action

WM                 2/9/22        DP       8-0-0-2

3rd Read           2/17/22                  58-0-2

Prepared by Senate Research

March 4, 2022

MG/AN/slp