HB 1280 Summary

• Authorizes counties, consolidated cities, and second class cities to establish municipal land banks to manage and improve marketability of distressed real property in their jurisdictions.

• Requires county executives to offer tax sale certificates to land banks at no cost when property fails to sell at tax sale and is located within a land bank's territory.

• Modifies redemption interest calculations for tax sale properties and shortens the period for holders of tax sale certificates to apply for tax deeds from 180 days to 90 days.

• Provides land banks with a share of property taxes (25% reduction) from properties they sell during a "look back period," distributed by county treasurers without requiring appropriation.

• Allows unsafe building funds to be used for land bank operations and establishes land bank governance structures, powers, and restrictions on property acquisition and sales eligibility.