Existing law requires the tax receiver of a county to mail notice of delinquent taxes to certain persons. The notice of delinquency must state certain information, including that if the amount of delinquent taxes is not paid, the tax receiver will, at 5 p.m. on the first Monday in June of the current year, issue a certificate authorizing the county treasurer to hold the property. (NRS 361.5648) Section 2 of this bill provides instead that the notice of delinquency must state that if the amount of delinquent taxes is not paid, the tax receiver will, at the close of business of the tax receiver of the county on the first Monday in June of the current year, issue a certificate authorizing the county treasurer to hold the property. Existing law requires the tax receiver to make out a trustee's certificate that describes each property on which delinquent taxes, penalties, interest and costs have not been paid. The trustee's certificate authorizes the county treasurer to hold each property for a certain period of time. (NRS 361.570) When the time allowed by law for the redemption of a property described in the certificate has expired and no redemption has been made, the tax receiver who issued the certificate is required to execute and deliver to the county treasurer a deed of the property. Upon obtaining such a deed, the county treasurer is required to hold the property in trust until it is sold or otherwise disposed of. Existing law provides that during certain periods or not later than 5 p.m. on the third business day before the day of the sale by a county treasurer, certain persons are entitled to have the property reconveyed upon the receipt by the county treasurer of payment of the delinquent taxes and certain costs. (NRS 361.585) Section 3 of this bill provides instead that during certain periods or not later than the close of business of the county treasurer on the third business day before the day of the sale by a county treasurer, certain persons are entitled to have the property reconveyed upon the receipt by the county treasurer of payment of the delinquent taxes and certain costs. Existing law authorizes, under certain circumstances, the county treasurer to sell property held in trust because of delinquent taxes. Upon payment, the county treasurer is required, with certain exceptions, to issue a quitclaim deed to the purchaser. Existing law provides an exception to this requirement to issue a quitclaim deed under certain circumstances, if, not later than 5 p.m. on the third business day immediately preceding the day of the sale by the county treasurer, a municipality provides the county treasurer with an affidavit that meets certain requirements. (NRS 361.595) Section 4 of this bill provides instead that, under certain circumstances, the county treasurer may not issue the quitclaim deed if, not later than the close of business of the county treasurer on the third business day immediately preceding the day of the sale by the county treasurer, a municipality provides the county treasurer with an affidavit that meets certain requirements. Under existing law, if the county treasurer sells property held in trust because of delinquent taxes, the county treasurer is required to pay certain costs and taxes from the excess proceeds from the sale and then pay into the county general fund: (1) the first $300 of the excess proceeds; (2) 10 percent of the next $10,000 of the excess proceeds; and (3) the amount remaining to be held separately for a certain period of time, and if not claimed by certain persons who had a secured interest in the property, then into the county general fund. (NRS 361.610) Section 5 of this bill provides that after the payment of certain costs and taxes, 5 percent of the excess proceeds must be accounted for separately in the county general fund pursuant to section 1 of this bill. The money in the account is only authorized to be used to acquire technology or improve technology used in the office of the county treasurer. Section 1 also requires the county treasurer to submit an annual report to the board of county commissioners by July 1 setting forth the projected expenditure of money in the account for the following fiscal year. Existing law sets forth certain procedures allowing a person to make a claim for the excess proceeds from the sale by the county treasurer of property held in trust because of delinquent taxes, including, without limitation, requiring certain indeterminable claims to be submitted to mediation, and if mediation is unsuccessful, then requiring the county treasurer to conduct a hearing or file an action for interpleader. (NRS 361.610) Section 5 eliminates conducting a hearing as a method for determining certain indeterminable claims, instead requiring the county treasurer to file an action for interpleader following any unsuccessful mediation. Existing law authorizes a person to enter into an agreement to locate, deliver, recover or assist in the recovery of excess proceeds by certain persons. However, if the agreement is entered into by a natural person who occupied the property as his or her primary residence at the time of the sale, any such agreement must not provide for a fee of more than 10 percent of the remaining excess proceeds due that person. (NRS 361.610) Section 5 removes the limitation that the property must have been occupied by a natural person as his or her primary residence at the time of sale and instead applies the 10 percent cap to the fee of: (1) any natural person; and (2) certain persons who are otherwise authorized by power of attorney, assignment or any other legal instrument by another person to file a claim with and collect from the county treasurer any property owed to the person.

Statutes affected:
As Introduced: 361.5648, 361.585, 361.595, 361.610
BDR: 361.5648, 361.585, 361.595, 361.610