SB9 Summary

• Authorizes Class 1 municipalities in Alabama to enforce municipal code and nuisance abatement liens through judicial in rem foreclosure proceedings on non-owner-occupied property.

• Establishes a foreclosure process requiring municipalities to file petitions with circuit courts, provide notice to interested parties, and conduct court-supervised sales with a minimum bid price equal to the redemption amount (unpaid liens plus applicable taxes and costs).

• Allows interested parties to redeem property before sale by paying the full redemption amount, and permits redemption payments by non-owners to create liens with priority equal to the municipal code lien.

• Requires municipalities to wait at least 6 months after recording a lien before filing foreclosure petitions and mandates notification to other taxing entities 60 days before filing.

• Becomes effective October 1, 2024, and explicitly excludes owner-occupied residential properties from all foreclosure proceedings.