Bill Text: MN SF1572 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Delinquent property tax payment provisions modifications
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2013-04-10 - Referred to Taxes [SF1572 Detail]
Download: Minnesota-2013-SF1572-Introduced.html
1.2relating to taxation; property; modifying provisions for payment of delinquent
1.3taxes;amending Minnesota Statutes 2012, sections 279.37, subdivisions 1a,
1.42; 281.14; 281.17.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 279.37, subdivision 1a, is amended to read:
1.7 Subd. 1a. Class 3a property. (a) The delinquent taxes upon a parcel of property
1.8which was classified class 3a, for the previous year's assessmentand had a total market
1.9value of $500,000 or less for that same assessment shall be eligible to be composed into a
1.10confession of judgment with the approval of the county auditor. Property qualifying under
1.11this subdivision shall be subject to the same provisions as provided in this section except
1.12as provided in paragraphs (b) to(d) (f).
1.13 (b) Current year taxes and penalty due at the time the confession of judgment
1.14is entered must be paid.
1.15 (c) The down payment must include all special assessments due in the current tax
1.16year, all delinquent special assessments, and 20 percent of the ad valorem tax, penalties,
1.17and interest accrued against the parcel. The balance remaining is payable in four equal
1.18annual installments. A municipality as defined in section 429.011, cities of the first class,
1.19and other special assessment authorities, who have certified special assessments against
1.20any parcel of property, may, through resolution, waive the requirement of payment of all
1.21current and delinquent special assessments at the time the confession is entered. If the
1.22municipality, city, or authority grants the waiver, 100 percent of all current year taxes,
1.23special assessments, and penalties due at the time, along with 20 percent of all delinquent
2.1taxes, special assessments, penalties, interest, and fees must be paid. The balance
2.2remaining shall be subject to and included in the installment plan.
2.3(d) When there are current and delinquent special assessments certified and billed
2.4against a parcel, the assessment authority or municipality as defined in section 429.011
2.5may abate under section 375.192, subdivision 2, all special assessments and the penalty
2.6and interest affiliated with the special assessments, and reassess the special assessments,
2.7penalties, and interest accrued thereon, under section 429.071, subdivision 2. The
2.8municipality shall notify the county auditor of its intent to reassess as a precondition
2.9to the entry of the confession of judgment. Upon the notice to abate and reassess, the
2.10municipality shall, through resolution, notify the county auditor to remove all current
2.11and delinquent special assessments and the accrued penalty and interest on the special
2.12assessments, and the payment of all or a portion of the current and delinquent assessments
2.13shall not be required as part of the down payment due at the time the confession of
2.14judgment is entered in accordance with paragraph (c).
2.15(d) (e) The amounts entered in judgment bear interest at the rate provided in section
2.16279.03, subdivision 1a
, commencing with the date the judgment is entered. The interest
2.17rate is subject to change each year on the unpaid balance in the manner provided in section
2.18279.03, subdivision 1a
.
2.19(f) The county auditor may require conditions on properties including, but not
2.20limited to, environmental remediation action plan requirements, restrictions, or covenants,
2.21when considering a request for approval of eligibility for composition into a confession of
2.22judgment for delinquent taxes upon a parcel of property which was classified class 3a, for
2.23the previous year's assessment.
2.24 Sec. 2. Minnesota Statutes 2012, section 279.37, subdivision 2, is amended to read:
2.25 Subd. 2. Installment payments. The owner of any such parcel, or any person to
2.26whom the right to pay taxes has been given by statute, mortgage, or other agreement, may
2.27make and file with the county auditor of the county in which the parcel is located a written
2.28offer to pay the current taxes each year before they become delinquent, or to contest the
2.29taxes under Minnesota Statutes 1941, sections278.01 to
278.13 , and agree to confess
2.30judgment for the amount provided, as determined by the county auditor. By filing the
2.31offer, the owner waives all irregularities in connection with the tax proceedings affecting
2.32the parcel and any defense or objection which the owner may have to the proceedings, and
2.33also waives the requirements of any notice of default in the payment of any installment or
2.34interest to become due pursuant to the composite judgment to be so entered. Unless the
2.35property is subject to subdivision 1a, with the offer, the owner shall (i) tender one-tenth of
3.1the amount of the delinquent taxes, costs, penalty, and interest, andshall (ii) tender all
3.2current year taxes and penalty due at the time the confession of judgment is entered. In the
3.3offer, the owner shall agree to pay the balance in nine equal installments, with interest as
3.4provided in section279.03 , payable annually on installments remaining unpaid from time
3.5to time, on or before December 31 of each year following the year in which judgment
3.6was confessed. The offer must be substantially as follows:
3.7"To the court administrator of the district court of ........... county, I, .....................,
3.8am the owner of the following described parcel of real estate located in ....................
3.9county, Minnesota:
3.10.............................. Upon that real estate there are delinquent taxes for the year ........., and
3.11prior years, as follows: (here insert year of delinquency and the total amount of delinquent
3.12taxes, costs, interest, and penalty). By signing this document I offer to confess judgment in
3.13the sum of $...... and waive all irregularities in the tax proceedings affecting these taxes and
3.14any defense or objection which I may have to them, and direct judgment to be entered for
3.15the amount stated above, minus the sum of $............, to be paid with this document, which
3.16is one-tenth or one-fifth of the amount of the taxes, costs, penalty, and interest stated above.
3.17I agree to pay the balance of the judgment in nine or four equal, annual installments, with
3.18interest as provided in section279.03 , payable annually, on the installments remaining
3.19unpaid. I agree to pay the installments and interest on or before December 31 of each year
3.20following the year in which this judgment is confessed and current taxes each year before
3.21they become delinquent, or within 30 days after the entry of final judgment in proceedings
3.22to contest the taxes under Minnesota Statutes, sections278.01 to
278.13 .
3.23Dated .............., ......."
3.24 Sec. 3. Minnesota Statutes 2012, section 281.14, is amended to read:
3.25281.14 EXPIRATION OF TIME FOR REDEMPTION.
3.26The time for redemption from any tax sale, whether made to the state or to a private
3.27person, shall not expire until notice of expiration of redemption, as provided in section
3.28281.13
3.29 Sec. 4. Minnesota Statutes 2012, section 281.17, is amended to read:
3.30281.17 PERIOD FOR REDEMPTION.
3.31Except for properties for which the period of redemption has been limited under
3.32sections281.173 and
281.174 , the following periods for redemption apply.
4.1The period of redemption for all lands sold to the state at a tax judgment sale shall
4.2be three years from the date of sale to the state of Minnesotaif the land is within an
4.3incorporated area unless it is: (a) nonagricultural homesteaded land as defined in section
4.4273.13, subdivision 22; (b) homesteaded agricultural land as defined in section
273.13,
4.5subdivision 23
, paragraph (a); or (c) seasonal residential recreational land as defined in
4.6section
273.13, subdivision 22, paragraph (c), or 25, paragraph (d), clause (1), for which
4.7the period of redemption is five years from the date of sale to the state of Minnesota.
4.8The period of redemption for homesteaded lands as defined in section273.13,
4.9subdivision 22 , located in a targeted neighborhood as defined in Laws 1987, chapter 386,
4.10article 6, section 4, and sold to the state at a tax judgment sale is three years from the date
4.11of sale. The period of redemption for all lands located in a targeted neighborhood as
4.12defined in Laws 1987, chapter 386, article 6, section 4, except (1) homesteaded lands as
4.13defined in section273.13, subdivision 22 , and (2) for periods of redemption beginning
4.14after June 30, 1991, but before July 1, 1996, lands located in the Loring Park targeted
4.15neighborhood on which a notice of lis pendens has been served, and sold to the state at a
4.16tax judgment sale is one year from the date of sale.
4.17The period of redemption for all real property constituting a mixed municipal solid
4.18waste disposal facility that is a qualified facility under section115B.39, subdivision 1 , is
4.19one year from the date of the sale to the state of Minnesota.
4.20The period of redemption for all other lands sold to the state at a tax judgment
4.21sale shall be five years from the date of sale, except that the period of redemption for
4.22nonhomesteaded agricultural land as defined in section
273.13, subdivision 23, paragraph
4.23(b), shall be two years from the date of sale if at that time that property is owned by a
4.24person who owns one or more parcels of property on which taxes are delinquent, and the
4.25delinquent taxes are more than 25 percent of the prior year's school district levy.
1.3taxes;amending Minnesota Statutes 2012, sections 279.37, subdivisions 1a,
1.42; 281.14; 281.17.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 279.37, subdivision 1a, is amended to read:
1.7 Subd. 1a. Class 3a property. (a) The delinquent taxes upon a parcel of property
1.8which was classified class 3a, for the previous year's assessment
1.9
1.10confession of judgment with the approval of the county auditor. Property qualifying under
1.11this subdivision shall be subject to the same provisions as provided in this section except
1.12as provided in paragraphs (b) to
1.13 (b) Current year taxes and penalty due at the time the confession of judgment
1.14is entered must be paid.
1.15 (c) The down payment must include all special assessments due in the current tax
1.16year, all delinquent special assessments, and 20 percent of the ad valorem tax, penalties,
1.17and interest accrued against the parcel. The balance remaining is payable in four equal
1.18annual installments. A municipality as defined in section 429.011, cities of the first class,
1.19and other special assessment authorities, who have certified special assessments against
1.20any parcel of property, may, through resolution, waive the requirement of payment of all
1.21current and delinquent special assessments at the time the confession is entered. If the
1.22municipality, city, or authority grants the waiver, 100 percent of all current year taxes,
1.23special assessments, and penalties due at the time, along with 20 percent of all delinquent
2.1taxes, special assessments, penalties, interest, and fees must be paid. The balance
2.2remaining shall be subject to and included in the installment plan.
2.3(d) When there are current and delinquent special assessments certified and billed
2.4against a parcel, the assessment authority or municipality as defined in section 429.011
2.5may abate under section 375.192, subdivision 2, all special assessments and the penalty
2.6and interest affiliated with the special assessments, and reassess the special assessments,
2.7penalties, and interest accrued thereon, under section 429.071, subdivision 2. The
2.8municipality shall notify the county auditor of its intent to reassess as a precondition
2.9to the entry of the confession of judgment. Upon the notice to abate and reassess, the
2.10municipality shall, through resolution, notify the county auditor to remove all current
2.11and delinquent special assessments and the accrued penalty and interest on the special
2.12assessments, and the payment of all or a portion of the current and delinquent assessments
2.13shall not be required as part of the down payment due at the time the confession of
2.14judgment is entered in accordance with paragraph (c).
2.15
2.17rate is subject to change each year on the unpaid balance in the manner provided in section
2.19(f) The county auditor may require conditions on properties including, but not
2.20limited to, environmental remediation action plan requirements, restrictions, or covenants,
2.21when considering a request for approval of eligibility for composition into a confession of
2.22judgment for delinquent taxes upon a parcel of property which was classified class 3a, for
2.23the previous year's assessment.
2.24 Sec. 2. Minnesota Statutes 2012, section 279.37, subdivision 2, is amended to read:
2.25 Subd. 2. Installment payments. The owner of any such parcel, or any person to
2.26whom the right to pay taxes has been given by statute, mortgage, or other agreement, may
2.27make and file with the county auditor of the county in which the parcel is located a written
2.28offer to pay the current taxes each year before they become delinquent, or to contest the
2.29taxes under Minnesota Statutes 1941, sections
2.30judgment for the amount provided, as determined by the county auditor. By filing the
2.31offer, the owner waives all irregularities in connection with the tax proceedings affecting
2.32the parcel and any defense or objection which the owner may have to the proceedings, and
2.33also waives the requirements of any notice of default in the payment of any installment or
2.34interest to become due pursuant to the composite judgment to be so entered. Unless the
2.35property is subject to subdivision 1a, with the offer, the owner shall (i) tender one-tenth of
3.1the amount of the delinquent taxes, costs, penalty, and interest, and
3.2current year taxes and penalty due at the time the confession of judgment is entered. In the
3.3offer, the owner shall agree to pay the balance in nine equal installments, with interest as
3.4provided in section
3.5to time, on or before December 31 of each year following the year in which judgment
3.6was confessed. The offer must be substantially as follows:
3.7"To the court administrator of the district court of ........... county, I, .....................,
3.8am the owner of the following described parcel of real estate located in ....................
3.9county, Minnesota:
3.10.............................. Upon that real estate there are delinquent taxes for the year ........., and
3.11prior years, as follows: (here insert year of delinquency and the total amount of delinquent
3.12taxes, costs, interest, and penalty). By signing this document I offer to confess judgment in
3.13the sum of $...... and waive all irregularities in the tax proceedings affecting these taxes and
3.14any defense or objection which I may have to them, and direct judgment to be entered for
3.15the amount stated above, minus the sum of $............, to be paid with this document, which
3.16is one-tenth or one-fifth of the amount of the taxes, costs, penalty, and interest stated above.
3.17I agree to pay the balance of the judgment in nine or four equal, annual installments, with
3.18interest as provided in section
3.19unpaid. I agree to pay the installments and interest on or before December 31 of each year
3.20following the year in which this judgment is confessed and current taxes each year before
3.21they become delinquent, or within 30 days after the entry of final judgment in proceedings
3.22to contest the taxes under Minnesota Statutes, sections
3.23Dated .............., ......."
3.24 Sec. 3. Minnesota Statutes 2012, section 281.14, is amended to read:
3.25281.14 EXPIRATION OF TIME FOR REDEMPTION.
3.26The time for redemption from any tax sale, whether made to the state or to a private
3.27person, shall not expire until notice of expiration of redemption, as provided in section
3.28
3.29 Sec. 4. Minnesota Statutes 2012, section 281.17, is amended to read:
3.30281.17 PERIOD FOR REDEMPTION.
3.31Except for properties for which the period of redemption has been limited under
3.32sections
4.1The period of redemption for all lands sold to the state at a tax judgment sale shall
4.2be three years from the date of sale to the state of Minnesota
4.3
4.4
4.5
4.6
4.7
4.8The period of redemption for homesteaded lands as defined in section
4.9subdivision 22
4.10article 6, section 4, and sold to the state at a tax judgment sale is three years from the date
4.11of sale. The period of redemption for all lands located in a targeted neighborhood as
4.12defined in Laws 1987, chapter 386, article 6, section 4, except (1) homesteaded lands as
4.13defined in section
4.14after June 30, 1991, but before July 1, 1996, lands located in the Loring Park targeted
4.15neighborhood on which a notice of lis pendens has been served, and sold to the state at a
4.16tax judgment sale is one year from the date of sale.
4.17The period of redemption for all real property constituting a mixed municipal solid
4.18waste disposal facility that is a qualified facility under section
4.19one year from the date of the sale to the state of Minnesota.
4.20
4.21
4.22
4.23
4.24
4.25
