1     
PROPERTY REDEMPTION AMENDMENTS

2     
2021 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Phil Lyman

5     
Senate Sponsor: ____________

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions related to redemption of property.
10     Highlighted Provisions:
11          This bill:
12          ▸     modifies the manner in which a county treasurer applies a partial payment on a
13     delinquent account for the redemption of property; and
14          ▸     makes technical changes.
15     Money Appropriated in this Bill:
16          None
17     Other Special Clauses:
18          None
19     Utah Code Sections Affected:
20     AMENDS:
21          59-2-1346, as last amended by Laws of Utah 2018, Chapters 197 and 281
22     

23     Be it enacted by the Legislature of the state of Utah:
24          Section 1. Section 59-2-1346 is amended to read:
25          59-2-1346. Redemption -- Time allowed.
26          (1) Property may be redeemed on behalf of the record owner by any person at any time
27     before the tax sale which shall be held in May or June as provided in Section 59-2-1351
28     following the lapse of four years from the date the property tax or tax notice charges became
29     delinquent.
30          (2) A person may redeem property by paying to the county treasurer all delinquent
31     taxes, tax notice charges, interest, penalties, and administrative costs that have accrued on the
32     property.
33          (3) (a) Subject to Subsection (3)(d), a person may redeem a subdivided lot by paying
34     the county treasurer the subdivided lot's proportional share of the delinquent taxes, tax notice
35     charges, interest, penalties, and administrative costs accrued on the base parcel, calculated in
36     accordance with Subsection (3)(b).
37          (b) The county treasurer shall calculate the amount described in Subsection (3)(a) by
38     comparing:
39          (i) the amount of the value of the base parcel as described in Subsection (3)(b)(ii) that
40     is attributable to the property that comprises the subdivided lot as the property existed on
41     January 1 of the year in which the delinquent property taxes on the base parcel were assessed or
42     tax notice charges on the base parcel were listed; and
43          (ii) the value of the base parcel as it existed on January 1 of the year in which the
44     delinquent property taxes on the base parcel were assessed or tax notice charges on the base
45     parcel were listed.
46          (c) If the county treasurer does not have sufficient information to calculate the amount
47     described in Subsection (3)(b)(i), upon request from the county treasurer, the county assessor
48     shall provide the county treasurer any information necessary to calculate the amount described
49     in Subsection (3)(b)(i).
50          (d) A person may redeem a subdivided lot under this Subsection (3) only if the record
51     owner of the subdivided lot is a bona fide purchaser.
52          (4) (a) At any time before the expiration of the period of redemption the county
53     treasurer shall accept and credit any payment on account for the redemption of property[,
54     payments in amounts of not less than $10, except for the final payment, which may be in any
55     amount].
56          (b) For the purpose of computing the amount required for redemption and for the
57     purpose of distributing the payments received on account, unless otherwise specified by the
58     person making the payment, the county treasurer shall apply all payments [shall be applied] in
59     the following order:
60          (i) against the delinquent tax and tax notice charges for the earliest year included in the
61     delinquent account at the time of payment;
62          [(i)] (ii) against the interest and administrative costs accrued on the delinquent tax and
63     tax notice charges for the [last] earliest year included in the delinquent account at the time of
64     payment;
65          [(ii)] (iii) against the penalty charged on the delinquent tax and tax notice charges for
66     the [last] earliest year included in the delinquent account at the time of payment;
67          [(iii) against the delinquent tax for the last year included in the delinquent account at
68     the time of payment;]
69          (iv) against [the interest and administrative costs accrued on] the delinquent tax and tax
70     notice charges for the [next to last] second earliest year included in the delinquent account at
71     the time of payment; and
72          (v) so on until the full amount of the delinquent taxes, tax notice charges, penalties,
73     administrative costs, and interest on the unpaid balances are paid within the period of
74     redemption.