2012 Code of Alabama
Title 24 - HOUSING.
Chapter 9 - ALABAMA LAND BANK AUTHORITY.
Section 24-9-7 - Disposition of tax delinquent properties.
(a) When a tax delinquent property is acquired by the authority, the authority shall have the power to repeal and rescind all delinquent state, county, and city taxes, including school district taxes, at the time it sells or otherwise disposes of such property; provided, however, that, with respect to school district taxes, the authority shall first obtain the consent of the board of education governing the school district in which the property is located. In determining whether or not to repeal and rescind delinquent taxes, the authority shall consider the public benefit to be gained by tax forgiveness with primary consideration given to purchasers who intend to build or rehabilitate low-income housing.
(b) Prior to the sale of a tax delinquent property, the authority shall provide notice to the political subdivision in which the delinquent property is located, and if a rezoning or reclassification will be required for redevelopment for the development to be consistent with the planning and zoning of the political subdivision.
(c) At the time that the authority sells or otherwise disposes of tax delinquent property as part of its land bank program, the proceeds of the sale shall be distributed equally as follows:
(1) One third to the operations of the authority.
(2) One third to the recovery of authority expenses.
(3) One third to the recipients of ad valorem taxes within the jurisdiction of the tax delinquent property, including the appropriate school districts, in proportion to and to the extent of their respective tax bills and costs.
(d) The authority shall have full discretion in determining the sale price of the property. The agreement of the parties shall provide for a distribution of property that favors neighborhood nonprofit entities obtaining the land for low-income housing and, secondarily, other entities for the development of new industry, new commercial and economic development, and other productive uses, as well as those intending to produce low-income or moderate-income housing.
(e) The expenses of the authority shall be limited to the amount of funds generated by the authority from the sale or disposition of property, or from grants or other gifts and donations received.
(f) Tax delinquent property may not be held by the authority for a period of longer than 10 years. At the expiration of 10 years, title shall revert to and the authority shall convey the property to the municipality in which such property is located, or if in no municipality, then to the county in which the property is located. If the municipality or county rejects the reversion, the tax delinquent property may be held by the authority beyond the 10-year period.
(Act 2009-738, p. 2203, §7; Act 2010-727, p. 1818, §1.)Disclaimer: These codes may not be the most recent version. Alabama may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
