By JOY HAMPTON
May 08, 2008 07:22 am
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Rogers County Treasurer Cathy Baker said the annual tax certificate sale held by her office each October is no more. Senate Bill 1770 eliminating the one-year certificate sale on property with delinquent taxes was signed by Governor Brad Henry April 24.
The County Officers and Deputies Association of Oklahoma (CODA) lobbied for the change stating that the sale put an undue burden on taxpayers.
“What the county treasurers noticed is that we had out-of-state speculators coming in here buying up these liens,” said Dave Herbert of CODA. “A number of these lien purchasers were running up expenses making it tougher for the landowner to buy back the lien and pay his taxes.”
“The ‘undue burden’ was the process-serving fees that certificate holders could charge for notification of the tax deed application,” said Baker.
Baker said tax amounts and accumulated interest over four years could be very high and make it difficult for delinquent taxpayers.
“My concern is that the burden is going to be greater due to the fact, now, that they won’t be notified for four years versus being notified with just two years of taxes,” said Baker. “It’s a lose-lose situation for the homeowner, actually, but it generated a lot of funds for my school districts in October that they now won’t get until June when we hold the auction for the four-year taxes.”
“According to the information the county treasurers gave me, this only affects about 1 percent of the money collected on ad valorem,” said Herbert.
Baker agreed that figure was accurate but said, “One-percent of millions of tax dollars is a lot.”
The total ad valorem tax dollars due to Rogers County for 2007, according to the Assessor’s tax rolls, is $51,121,623, said Baker.
Currently, Baker’s office is trying to collect over a $2 million outstanding in tax revenues for the current year.
“We are expecting that number to be reduced,” said Baker. “We just sent out delinquent reminders, and then we’ll follow up that with a certified notice in September.”
Baker said with the October sale gone, she doesn’t know how taxpayers will respond to the September notices.
“There are so many properties setting vacant in the county now that people have walked away from or that heirs have not claimed,” said Baker. “Now that property will set there four years before it’s paid up, mowed or taken care of. I believe this is a loss for the school districts and the county.”
In Rogers County, the certificate sales were community events enjoyed by Baker and her staff.
“Our tax certificate sales have been very popular,” said Baker. “We’re not computerized. It’s a hands-on sale. We try to make it fun and professional and people look forward to coming to them. I feel I am looking out for the homeowner by letting them be notified in two years rather than looking to get a notice from me in four.”
Herbert explained that now the liens will stay with the county treasurers.
“This will give the taxpayer an extra 18 months to clear up the tax problem opposed to his home being forced into foreclosure by some unscrupulous lien buyer,” said Herbert. “Since the governor signed this bill, they’re eliminating the two-year deal. We noticed the homeowners were being taken advantage of.”
Herbert said homeowners could still lose their property if they don’t pay their taxes within four years.
Senate Bill 1770 passed in the Senate with 44-to-1 vote and in the House with a 100-to- 1 vote.
By JOY HAMPTON
Staff Writer
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