Introduced Version
House Bill 2848 History
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Key: Green = existing Code. Red = new code to be enacted
H. B. 2848
(By Delegate Boggs, Swartzmiller, Ferro,
Caputo, D, Poling.)
(By Request of the State Auditor)
[Introduced March 6, 2013; referred to the
Committee on the Judiciary then Finance.]
A BILL to amend and reenact §11A-3-18, §11A-3-27, and §11A-3-28 of
the Code of the West Virginia, 1931, as amended, all relating
generally to the sale of tax liens and nonentered, escheated
and waste and unappropriated lands; providing the process for
requesting a refund after forfeiture of rights to a tax deed;
clarifying deadlines for receipt of tax deeds and refunds
related to failure to meet deadlines; providing procedure for
petitioning to compel execution of a deed by the State
Auditor; removing the provisions allowing judgment against the
State Auditor for costs in the case of failure or refusal to
execute a deed without reasonable cause.
Be it enacted by the Legislature of West Virginia:
That §11A-3-18, §11A-3-27, and §11A-3-28 of the Code of the
West Virginia, 1931, as amended, be amended and reenacted, all to
read as follows:
ARTICLE 3. SALE OF TAX LIENS AND NONENTERED, ESCHEATED AND WASTE
AND UNAPPROPRIATED LANDS.
§11A-3-18. Limitations on tax certificates.
(a) No lien upon real property evidenced by a tax certificate
of sale issued by a sheriff on account of any delinquent property
taxes may remain a lien on the real property for a period longer
than eighteen months after the original issuance of the tax
certificate of sale.
(b) All rights of a purchaser to a tax deed shall be
considered forfeited and expired and no tax deed is to be issued on
any tax sale evidenced by a tax certificate of sale where the
certificate has ceased to be a lien pursuant to the provisions of
this section and application for the tax deed, pursuant to the
provisions of section twenty-seven of this article, is not pending
at the time of the expiration of the limitation period provided in
this section.
(c) Whenever a lien evidenced by a tax certificate of sale has
expired by reason of the provisions of this section, the State
Auditor shall immediately issue and record a certificate of
cancellation describing the real estate included in the certificate
of purchase or tax certificate and giving the date of cancellation
and the State Auditor shall also make proper entries in his or her
records. The State Auditor shall also present a copy of every
certificate of cancellation to the sheriff who shall enter it in the sheriff's records and the certificate and the record are prima
facie evidence of the cancellation of the certificate of sale and
of the release of the lien of the certificate on the lands
described in the certificate. Failure to record the certificate of
cancellation does not extend the lien evidenced by the certificate
of sale. The sheriff and State Auditor are not entitled to any
fees for the issuing of the certificate of cancellation nor for the
entries in their books made under the provisions of this
subsection.
(d) Whenever a purchaser has complied with the notice
requirements provided in section nineteen of this article, but has
failed to request a deed within the eighteen month deadline
provided in this section, thereby forfeiting all rights to a tax
deed, the purchaser may within thirty days of the expiration of the
lien, request a refund of the amounts paid in excess of the taxes
owed and expenses incurred in the processing of the tax lien:
Provided, That the purchaser shall only be entitled to a refund
upon proof of compliance with the requirements of section nineteen
of this article.
§11A-3-27. Deed to purchaser; record.
(a) If the real estate described in the notice is not redeemed
within the time specified in the notice, then from between April 1
of the second year following the sheriff's sale and until the
expiration of the lien evidenced by a tax certificate of sale issued by a sheriff for the real estate as provided in section
eighteen of this article, the State Auditor or his or her deputy
shall upon request of the purchaser make and deliver to the clerk
of the county commission subject to the provisions of section
eighteen of this article, a quitclaim deed for the real estate:
Provided, That the purchaser's right to a tax deed shall be
considered forfeited if the deed is not requested within the
eighteen month period set forth in section eighteen. The deed
shall provide in form or effect as follows:
This deed made this _______ day of _____________, 20 _____, by
and between _________________, State Auditor, West Virginia, (or by
and between _______________, a commissioner appointed by the
circuit court of ______________ County, West Virginia) grantor, and
_____________, purchaser, (or __________________, heir, devisee or
assignee of _______________________, purchaser), grantee,
witnesseth, that:
Whereas, In pursuance of the statutes in such case made and
provided, _________________, Sheriff of ____________ County, (or
______________, deputy for ______________, Sheriff of ___________
County), (or ______________, collector of ______________ County),
did, in the month of ____________, in the year 20 _____, sell the
tax lien(s) on real estate, hereinafter mentioned and described,
for the taxes delinquent thereon for the year (or years) 20 _____,
and ______________, (here insert name of purchaser) for the sum of $___________, that being the amount of purchase money paid to the
sheriff, did become the purchaser of the tax lien(s) on such real
estate (or on ________ acres, part of the tract or land, or on an
undivided _____________ interest in such real estate) which was
returned delinquent in the name of ___________________; and
Whereas, The State Auditor has caused the notice to redeem to
be served on all persons required by law to be served therewith;
and
Whereas, The tax lien(s) on the real estate so purchased has
not been redeemed in the manner provided by law and the time for
redemption set in such notice has expired;
Now, therefore, the grantor, for and in consideration of the
premises and in pursuance of the statutes, doth grant unto
______________, grantee, his or her heirs and assigns forever, the
real estate on which the tax lien(s) so purchased existed, situate
in the county of _____________________, bounded and described as
follows: ______________________________
Witness the following signature: __________________________
State Auditor.
(b) Except when ordered to do so, as provided in section
twenty-eight of this article, The State Auditor may not execute and
deliver a deed more than sixty days after the person entitled to
the deed delivers the same and requests the execution of the deed,
except pursuant to the provisions of section twenty-eight of this article.
(c) For the execution of the deed and for all the recording
required by this section, a fee of $50 and the recording and
transfer tax expenses shall be charged, to be paid by the grantee
upon delivery of the deed. The deed, when duly acknowledged or
proven, shall be recorded by the clerk of the county commission in
the deed book in the clerk's office, together with any assignment
from the purchaser, if one was made, the notice to redeem, the
return of service of the notice, the affidavit of publication, if
the notice was served by publication, and any return receipts for
notices sent by certified mail.
(d) The State Auditor shall appoint employees of his or her
office to act as his or her designee to effect the purposes of this
section.
§11A-3-28. Compelling service of notice or execution of deed.
(a) If the State Auditor fails or refuses to prepare and serve
the notice to redeem as required in sections twenty-one and twenty-
two of this article, the person requesting the notice may, at any
time within two weeks after discovery of the failure or refusal,
but in no event later than sixty days following the date the person
requested that notice be prepared and served, apply by petition to
the circuit court of the county for an order compelling the State
Auditor to prepare and serve the notice or appointing a
commissioner to do so. If the person requesting the notice fails to make application within the time allowed, he or she shall lose
his or her right to the notice, but his or her rights against the
State Auditor under the provisions of section sixty-seven of this
article shall not be affected. Notice given pursuant to an order
of the court or judge shall be as valid for all purposes as if
given within the time required by section twenty-two of this
article.
(b) If the State Auditor fails or refuses to execute the deed
as to a purchaser who has complied with the deadline required in
section twenty-seven of this article, the person requesting the
deed may, at any time after such failure or refusal upon proof of
compliance with the limitations period set forth in section twenty-
seven of this article, but not more than six months after his or
her right to the deed accrued, apply by petition to the circuit
court of the county for an order compelling the State Auditor to
execute the deed or appointing a commissioner to do so. If the
person requesting the deed fails to prove compliance with the
limitations period set forth in section twenty-seven of this
article or fails to make an application within the time allowed, he
or she shall lose his or her right to the deed. but his or her
rights against the State Auditor under the provisions of section
sixty-seven of this article shall not be affected. Any deed
executed pursuant to an order of the court or judge shall have the
same force and effect as if executed and delivered by the State Auditor within the time specified in section twenty-seven of this
article.
(c) Ten days' written notice of every application must be
given to the State Auditor. If, upon the hearing of the
application, the court or judge is of the opinion that the
applicant is not entitled to the notice or deed requested, the
petition shall be dismissed at his or her costs; but if the court
or judge is of the opinion that he or she is entitled to the notice
or deed, then, upon his or her deposit with the clerk of the
circuit court of a sum sufficient to cover the costs of preparing
and serving the notice, unless a deposit has already been made with
the State Auditor, an order shall be made by the court or judge
directing the State Auditor to prepare and serve the notice or
execute the deed, or appointing a commissioner for the purpose, as
the court or judge shall determine. If it appears to the court or
judge that the failure or refusal of the State Auditor was without
reasonable cause, judgment shall be given against him or her for
the costs of the proceedings; otherwise the costs shall be paid by
the applicant.
(d) Any commissioner appointed under the provisions of this
section shall be subject to the same liabilities as are provided
for the State Auditor. For the preparation of the notice to
redeem, he or she shall be entitled to the same fee as is provided
for the State Auditor. For the execution of the deed, he or she shall also be entitled to a fee of $50 and the recording and
transfer expenses, to be paid by the grantee upon delivery of the
deed.
NOTE: The purpose of this bill is to provide the process for
requesting a refund after forfeiture of rights to a tax deed; to
clarify deadlines for receipt of tax deeds and refunds related to
failure to meet deadlines; to provide the procedure for petitioning
to compel execution of a deed by the State Auditor; and to remove
the provisions allowing judgment against the State Auditor for
costs in the case of failure or refusal to execute a deed without
reasonable cause.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.