[Adopted 4-16-2013 by L.L. No. 4-2013[2]]
The purpose of this article is to establish the policy and procedures
in the County of Sullivan for the sale of parcels of real property
not redeemed for delinquent real property taxes, in accordance with
New York State Real Property Tax Law Article 11.
When used in this article, the following definitions apply:
The amount of the Town's official assessed value of real
property, not including exemptions, on the latest assessment roll.
The County of Sullivan, a political subdivision of the State
of New York.
An unpaid tax, special ad valorem levy, special assessment
or other charge imposed upon real property by or on behalf of a municipal
corporation or special district, plus all applicable charges, relating
to any parcel which is included in the return of unpaid delinquent
taxes prepared pursuant to Real Property Tax Law or such other general,
special or local law.
The Sullivan County Treasurer.
The Sullivan County Legislature.
Any individual, group, association, partnership, corporation
or other legal entity.
An advisory board whose membership shall consist of the County
Treasurer, the Director of Real Property Tax Services, the County
Manager and the County Attorney, or their designees. The RPAB shall
hear and discuss real property matters and tax foreclosure matters
for the purpose of advising the Sullivan County Legislature's Real
Property Committee and shall perform all duties requested by said
Committee pursuant to this article. The role of the RPAB shall be
advisory only and shall not be a prerequisite to formal action by
the Legislature.
The duly designated standing committee as defined in the
Sullivan County Code, which shall have jurisdiction of real property
matters, regardless of its title by the Chairman of the Legislature,
from time to time.
A.
When the appropriate court executes a judgment pursuant to Real Property
Tax Law Article 11 awarding title to one or more parcels of real property
to the County, then the County shall take possession of any such parcel,
unless 1) such parcel has been withdrawn from the proceeding; or 2)
the County as a matter of law is not permitted to take possession
of such parcel; or 3) the Real Property Committee, consistent with
applicable law and after considering the recommendation of the RPAB,
determines that it would not be in the County's interest to take title
to the parcel.
B.
Upon execution by the enforcing officer of a deed to such parcel
or parcels, pursuant to Real Property Tax Law Article 11, the County,
or other named grantee, shall be seized of an estate in fee simple
absolute in absentees and nonresidents, except as specifically exempted
by law, who may otherwise have had any right, title, interest, claim,
lien, or equity of redemption in or upon such parcel shall be barred
and forever foreclosed of any such right, title, interest, claim,
lien or equity of redemption. Upon the execution of the judgment of
foreclosure by the court, the execution and or recording of the deed
by the enforcing officer shall be ministerial.
C.
The County may retain title to one or more properties for public
use, by resolution of the Legislature, or it may sell or release its
interest in such parcel(s) as set forth herein.
D.
The judgment may include a provision granting title to all personal
property deemed abandoned on the realty.
A.
Public auction.
(1)
Within a reasonable time after the court renders judgment in favor of the County authorizing the enforcing officer to convey title to the County, the County Legislature shall approve a date for a public auction. There shall be at least one public auction each year. Such auction or auctions shall be conducted on behalf of the County by the enforcing officer. The County Legislature may authorize the enforcing officer and the County Manager to execute a contract from time to time with an auction company to assist with the conduct of the auction. Decisions regarding the sale of specific properties at such auction shall be made by the enforcing officer. All parcels except those sold through a release of the County's interest pursuant to Subsection B herein, or through a private sale pursuant to Subsection B herein, or retained for public use or retained by the County of Sullivan for future determination or conveyed to another municipality for public use shall be subject to a public auction. Public notice of such auction shall be made at such times, places and manner in the discretion of the enforcing officer, who may seek the advice of the RPAB, the County Legislature and/or the auction company, if any, hired by the County to assist the enforcing officer in the conduct of the auction.
(2)
The
terms of sale for the annual public auction shall be prepared, and
modified from time to time, by the enforcing officer, who may seek
the advice of the RPAB, the County Legislature and/or the auction
company, if any, hired by the County to assist the enforcing officer
in the conduct of the auction. Bids made at such auction shall be
subject to final approval by resolution of the Legislature, and any
bid may be rejected by resolution of the Legislature in its sole discretion.
(3)
The Legislature may, in its discretion, authorize the enforcing officer
to conduct more that one public auction annually.
(4)
After all unredeemed parcels have been offered for sale at public
auction, the Legislature shall attempt to sell any unsold parcels
at private sale or subsequent public auction, or retain one or more
specific parcels for public use.
B.
Release of County's interest (repurchase program).
(1)
Upon and after the expiration of the redemption period, the Legislature
may, prior to the public auction, permit the previous owner of record
to repurchase the parcel through a release of the County's interest.
The purchase price of such parcel shall be the total of the outstanding
real property taxes, assessments, charges, interest, fees and penalties
due and owing at the time of the sale; plus an additional 10% of that
total, to be paid to the County's auctioneer, if any; plus an additional
sum in the amount of 5% of the full equalized assessed value of the
property; plus other costs and surcharges, if any. The repurchase
program shall take place annually following the execution of the judgment
of foreclosure by the court, commencing on March 1 and ending at 5:00
p.m. on April 20. This program shall be available to each former record
owner(s) at the time the County commenced its foreclosure proceeding
(by the filing of the in rem pleadings); however, each said owner
must file a written application with the enforcing officer, along
with payment in full, in an amount to be calculated by the enforcing
officer and received by the enforcing officer no later than 5:00 p.m.
on April 20. Personal checks are not an acceptable method of payment.
(2)
If the release of the County's interest is made upon and after the
expiration of the redemption period, but before the judgment is executed,
then the enforcing officer shall evidence the release by canceling
and discharging the delinquent liens.
(3)
If the release is made after the judgment, the County Attorney shall
effect the release of the County's interest by preparing and submitting
to the court which executed the judgment an order discontinuing the
in rem tax foreclosure action as to said property, canceling the notice
of pendency of such action as to said property, and vacating and setting
aside the judgment of foreclosure and the deed, if any, executed pursuant
to such judgment of foreclosure as to said parcel(s). The entry of
such order shall restore all parties, including owners, mortgagees,
lienors, receivers, administrators and encumbrancers, to the status
each held prior to the time the County acquired judgment to said property
as if the judgment had never been rendered and shall render said property
liable for all taxes, deficiencies, liens, penalties, interest, and
other charges which shall accrue subsequent to those paid in order
to obtain the release provided for in this section, or which were,
for whatever reason, omitted from the payment made to obtain such
release. The deed and other documents of conveyance shall be recorded
by the Sullivan County Clerk even if executed only by a representative
of the County but not the grantee.
(4)
Prior to reacquisition, if the property lies within a Village, then
the party reacquiring the property must demonstrate written certification
and documentation that all outstanding Village taxes have been paid
in full.
(5)
The Legislature reserves the right to not conduct a repurchase program
in any particular year, or to change the terms of the program in any
particular year, by the adoption of a resolution prior to the commencement
of the program that year.
(6)
The enforcing officer shall provide notice of the repurchase program
to the former owner by regular first-class mail at the address contained
in the most recent tax roll. Notwithstanding this article, the repurchase
program shall be deemed discretionary in that it is not required by
state law, therefore failure of the enforcing officer to mail the
notice, or for the recipient to receive it, shall not give rise to
a cause of action against the County.
C.
Private sale.
(1)
Anything above to the contrary notwithstanding, a private sale may
be authorized on a case-by-case basis by resolution of the Legislature
after considering the recommendation of the Real Property Advisory
Board. Any such private sale agreements must be approved by a resolution
of the Legislature.
(2)
The Executive Committee of the Legislature shall designate specific
properties for private sale from time to time, without the need for
a formal resolution, on its own initiative or upon a recommendation
of the RPAB. After a parcel has been so designated by the Legislature,
the RPAB shall cull offers and meet with offerors and make recommendations
to the Real Property Committee. The Legislature shall make a final
determination on a case-by-case basis upon the adoption of a resolution.
Any checks or monies received prior to said final determination shall
be promptly returned by the Chair of the RPAB.
(3)
The following are examples of criteria to be used to approve a private
sale, but this list is not intended to be exhaustive. The Legislature
retains sole discretion to approve a private sale, or not, in the
best interest of the County, keeping in mind that it is otherwise
the policy of the County, as expressed herein above, that real property
not retained for public use shall be sold at public auction:
(a)
Sale of property to promote economic development, where selection
of a particular use would be in the best interests of the County.
(b)
Sale to a local government for public use.
(c)
Sale to a contiguous owner: 1) to provide access to a landlocked
property; 2) to resolve a problem created by an encroachment, shared
well or septic system, or common driveway, etc.; or 3) if the parcel
cannot be otherwise improved under existing zoning regulations.
(4)
The Legislature may engage the services of a real estate broker and/or
its auction company, if any, to assist the County with the sale of
parcels.
(5)
Prior to consummation of the private sale, if the property lies within
a Village, then the party acquiring the property must demonstrate
written certification and documentation that all outstanding Village
taxes have been paid in full.
(6)
In addition to the sales price, the purchaser shall pay to the County
of Sullivan all other lawful charges and fees.
A.
The County shall convey all parcels to be conveyed to a third party
by the terms of this article by quitclaim deed. All sales may include
a concurrent sale of the personality acquired by the County and authorized
by the judgment. All sales shall include costs in the nature of a
surcharge $20 plus a search fee and other expenses of foreclosure
($150 or more) per parcel, in the discretion of the enforcing officer.
B.
The County of Sullivan shall not be liable for any physical condition
of the property notwithstanding the County's ownership thereof.
C.
The Legislature shall have final approval over all conveyances covered
by this legislation.
