HB388 Alabama 2011 Session

Summary

Primary Sponsor

Barbara Bigsby BoydRepresentative

Democrat

Co-Sponsors

Oliver RobinsonMary MooreJohn W. RogersRod Scott

Session

Regular Session 2011

Title

Redemption of land sold for taxes, interest rate reduced only on tax amount due on date of sale, Sec. 40-10-122 am'd.

Summary

HB388 changes how land redeemed from tax sales is handled by limiting interest, clarifying what must be paid, and adding a detailed process to value improvements, with retroactive effect dating back to 2008.

What This Bill Does

If passed, redemption must be paid to the judge of probate with the sale amount, and interest would apply only to the tax amount due on the sale date (at about 12% annually). For portions of the excess bid up to 15% of market value, interest is limited to the tax amount due on the sale date plus taxes paid by the purchaser. The bill also reduces interest on unpaid taxes, insurance premiums, permanent improvements, and preservation improvements, and it includes retroactive effect to October 1, 2008 (no refunds of prior interest or excess bid). It creates a procedure to value permanent and preservation improvements through demands, referee and umpire appointments, and a final award.

Who It Affects

• Redemption applicants (landowners or others seeking to redeem property) will face deposits of the sale amount with the probate judge, pay reduced interest, potentially pay any unpaid taxes, and cover costs and a small probate fee; they may also owe interest on improvements in some cases and must follow the new valuation process for improvements.
• Tax sale purchasers (buyers of property at tax sales) will be required to provide value statements for improvements if asked, participate in the referee/umpire valuation process, and may face potential payment of improvement values if disputes arise; they must cooperate with the new process to determine improvement values.

Key Provisions

• Redemption deposit: the redemptioner must deposit with the county probate judge the amount of the sale with interest at 12% per annum from the date of sale, and interest on the excess bid portion up to 15% of market value only on the tax amount due plus taxes already paid by the purchaser.
• Additional charges: redemption must also cover any unpaid taxes due, all costs and fees to officers, and a $0.50 fee to the judge of probate; online payment is permitted.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Property, Real and Personal