HBA-CCH, MPM, KDB H.B. 858 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 858 By: Dutton Urban Affairs 2/19/2001 Introduced BACKGROUND AND PURPOSE Current state law allows municipalities to resell tax foreclosed property. It also allows other taxing units party to a foreclosure to enter into an agreement with a municipality to sell such property for certain purposes. However, in this situation, municipalities are sometimes unable to present a clear title to the property to a purchaser. This may present a barrier to those who purchase the property, and dissuade potential purchasers from attempting to buy foreclosed properties, and potentially undermine urban redevelopment efforts. House Bill 858 conveys a deed of foreclosed property to a purchaser at the time it is sold. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 858 amends the Tax Code to provide that the deed of conveyance of foreclosed property that is sold by a municipality conveys to the purchaser the right, title, and interest acquired by each taxing unit that was a party to the judgment of foreclosure, subject to any remaining right of redemption at the time of the sale. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001.