SB3396 Summary

• Allows property owners whose property is sold at tax sale to a county, municipality, or county land bank to claim the equity in the property through the indemnity fund.

• Defines equity as the fair cash value of the property on the date the tax deed is issued, minus redemption amount owed, taxes paid by the tax deed grantee, mortgages or liens, and a $500 administrative fee.

• Requires equity claims to be filed within 90 days after the tax deed is recorded if issued on or after the effective date; claims for deeds issued between May 24, 2021 and the effective date must be filed within 90 days of the effective date.

• Specifies that counties, municipalities, and land banks must pay equity claims from their general funds rather than from the county indemnity fund.

• Maintains existing indemnity fund procedures for owners barred from recovering the property, with filing deadlines of 10 years after tax deed issuance and compensation limits varying based on property type and owner circumstances.