BILL NUMBER: S8381
SPONSOR: OBERACKER
 
TITLE OF BILL:
An act in relation to authorizing the village of Bloomingburg to enter
into a contract to sell or pledge as collateral for a loan some or all
of the delinquent liens held by such village to a private party or
engage a private party to collect some or all of the delinquent tax
liens held by it
 
PURPOSE:
To expand the options available to the Village of Bloomingburg to effi-
ciently and effectively manage the collection of delinquent property
taxes and to increase revenues to the city.
 
SUMMARY OF PROVISIONS:
This bill permits the Village of Bloomingburg, under enumerated circum-
stances, to enter into a contract to sell some or all of their delin-
quent tax liens to a private party and for the Village of Bloomingburg
to enter into a contract to collect some or all of the delinquent tax
liens held by such Village to a private party. The bill provides
"consumer protections" for affected property owners, including a
requirement for a thirty day notification period. Following the enact-
ment of this bill, the existing redemption periods and interest rates
remain unchanged, and procedural requirements relating to foreclosure of
a mortgage or tax lien sale by the Municipal Bond Bank Agency are
imposed.
 
EXISTING LAW:
Click here
 
JUSTIFICATION:
This bill was introduced at the request of the Village of Bloomingburg,
Sullivan County. For decades, if there was a delinquency in payment of
property taxes, the County Attorney, via contract with the Village,
would bring the foreclosure action in State Supreme Court. Recently, the
Sullivan County attorney informed the Village that the County would no
longer be handling the Village's foreclosure actions. Litigating these
tax delinquencies would present an overwhelming burden on a village the
size of Bloomingburg and the Village of Bloomingburg should be awarded
the same courtesy as other municipalities across the state.
 
LEGISLATIVE HISTORY:
New Bill.
 
FISCAL IMPLICATIONS:
N/A
 
LOCAL FISCAL IMPLICATIONS:
N/A
 
EFFECTIVE DATE:
This act shall take effect immediately.