SB 128 Summary

• Assessments unpaid 30+ days after due date become delinquent and accrue interest at the property tax rate; unpaid amounts constitute liens on real property with precedence over all liens except taxes.

• Municipalities cannot enforce or assign liens on owner-occupied real estate unless the total principal owed exceeds $4,000, providing protection for homeowners with smaller debts.

• Assignments of sewer assessment and connection charge liens executed after July 1, 2022 must be memorialized in written contracts specifying contact information, foreclosure timelines (minimum 1 year after purchase), attorney fee structures, and prohibitions on conflicts of interest.

• Assignees must provide 60-day written notice to property owners and mortgage holders before foreclosure, disclose litigation history and ethics violations, and must not be insulated from liability; property owners become third-party beneficiaries of the assignment contract.

• All foreclosures, sales, and other enforcement actions must be commercially reasonable; assignees' costs and reasonable attorney fees can be taxed against property owners and collected after demand is made.