2024 -- H 7659

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LC005298

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2024

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A N   A C T

RELATING TO TAXATION -- TAX SALES

     Introduced By: Representatives P. Morgan, Nardone, J. Brien, Messier, and Roberts

     Date Introduced: February 15, 2024

     Referred To: House Municipal Government & Housing

     It is enacted by the General Assembly as follows:

     SECTION 1. Sections 44-9-8 and 44-9-14 of the General Laws in Chapter 44-9 entitled

"Tax Sales" are hereby amended to read as follows:

     44-9-8. Sale of undivided part or whole of land.

     (a) If the taxes are not paid, the collector shall, at the time and place appointed for the sale,

sell by public auction for the amount of the taxes, assessments, rates, liens, interest, and necessary

intervening charges, the smallest undivided part of the land which will bring the amount, but not

less than one percent (1%), or the whole for the amount if no person offers to take an undivided

part appoint a real estate broker, duly registered with the municipality, to list the property for sale

for fair market value.

     (b) If the amount received from the sale is more than the taxes, assessments, rates, liens,

interest and necessary intervening charges, the excess amount shall be paid to the owner of the real

estate at the time of the sale.

     SECTION 2. Section 44-9-14 of the General Laws in Chapter 44-9 entitled "Tax Sales" is

hereby amended to read as follows:

     44-9-14. Purchase by collector for city or town.

     If at the time and place of sale no person, within six (6) months of the broker listing as set

forth in §44-9-8, bids offers fair market value an amount equal to the tax and charges for the land

offered for sale, the collector shall then and there make public declaration of the fact; and, if no bid

equal to the tax and charges is then made, the collector shall give public notice that the collector

may purchase purchases for the city or town by which the tax is assessed the land as offered for

sale at the amount of the tax and the charges and expenses of the levy and sale fair market value.

This amount, together with the cost of recording the deed of purchase, shall be allowed the collector

in his or her settlement with the city or town; provided, that the collector causes the deed to be duly

recorded within sixty (60) days after the purchase and to be delivered to the city or town treasurer.

     SECTION 3. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO TAXATION -- TAX SALES

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     This act would replace the tax sale auction process with a real estate broker listing of the

land for fair market value and any surplus proceeds realized upon sale shall be paid to the owner

of the real estate at the time of the sale. If no fair market value is received, the town or city collector

may purchase the real estate at fair market value.

     This act would take effect upon passage.

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