HB672 Alabama 2010 Session

Summary

Primary Sponsor

Ken Guin

Democrat

Session

Regular Session 2010

Title

Tax delinquent properties, Alabama Land Bank Authority, acquisition of property, definition of tax delinquent property altered, board voting procedures altered, civil immunity for board members, holding certain property to be redeemed for taxes, Act 2009-738, 2009 Reg. Sess. am'd.; Secs. 24-9-2, 24-9-4, 24-9-5, 24-9-6, 24-9-7, 24-9-8 am'd.

Summary

The bill expands and tightens the Alabama Land Bank Authority's powers to acquire, hold, dispose of, and forgive taxes on tax-delinquent and other properties to spur redevelopment and economic development, with new governance, immunity, and foreclosure rules.

What This Bill Does

It broadens the Authority's mission to rehabilitate land for housing and economic development and removes the minimum time tax has been unpaid to qualify as tax-delinquent. It requires a majority board vote for any action, provides civil immunity to board members, and designates the Authority as a public corporation with expanded powers. It allows the Authority to hold title to properties, forgive unpaid taxes at sale, distribute sale proceeds to operations, expenses, and local tax recipients, and impose a 10-year limit on ownership with reversion to the local municipality or county if not claimed. It establishes foreclosure and redemption procedures, including notice requirements and a process to extinguish redemption rights, and sets redevelopment timeframes for purchasers with priority given to low-income housing and economic development.

Who It Affects

• Taxpayers with tax-delinquent properties: their unpaid taxes may be repealed or forgiven when the Authority sells the property, and their redemption rights can be extinguished under certain procedures.
• Local governments (municipalities and counties) and school districts: municipalities/counties can reclaim property held by the Authority after the 10-year period, and school tax forgiveness requires consent from the school district board.
• Developers and nonprofit groups, especially those focused on low-income housing: they receive priority in the distribution of land and in redevelopment efforts.
• The general public and government entities: there will be board governance changes, civil liability protections for board members, and open meetings requirements.

Key Provisions

• Expands the Authority’s mission to acquire tax-delinquent and other public/surplus property to rehabilitate land for housing, new industry, and redevelopment to stimulate economic development.
• Requires a majority of the Authority Board to approve any action, provides civil immunity to board members, and designates the Authority as a public corporation with broader powers to hold title and manage property.
• Allows the Authority to repeal and rescind unpaid taxes at the time of sale, allocates sale proceeds among operations, recovery of expenses, and local tax recipients, and imposes a 10-year ownership limit with title reverting to the local municipality or county if not claimed.
• Sets foreclosure and redemption procedures, including notice requirements and possible extinguishment of redemption rights, and requires redevelopment within two years for purchasers with priority given to low-income housing and economic development (with school tax forgiveness requiring school board consent).

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Alabama Land Bank Authority