Section 24-9-7 Disposition of tax delinquent properties.
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 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 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 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.
(Act 2009-738, §7.)