House Study Bill 150
HOUSE FILE
BY (PROPOSED COMMITTEE ON
LOCAL GOVERNMENT BILL BY
CHAIRPERSON VAN ENGELENHOVEN)
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to the duties of county recorders and county
2 auditors concerning instruments affecting real estate.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 1568YC 81
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PAG LIN
1 1 Section 1. Section 331.602, subsection 5, Code 2005, is
1 2 amended by striking the subsection.
1 3 Sec. 2. Section 331.603, subsection 3, Code 2005, is
1 4 amended to read as follows:
1 5 3. The recorder may reproduce in miniature on a durable
1 6 medium any instrument to be recorded. When a recorded
1 7 instrument involves a release, or assignment, or other
1 8 subsequent reference to an original document, the separate
1 9 instrument filed acknowledging the release, or assignment, or
1 10 other subsequent reference shall be reproduced. In lieu of
1 11 marginal entries, the recorder shall make notations on both
1 12 the index and the record of the original instrument cross=
1 13 reference the release, assignment, or other subsequent
1 14 reference with the record of the original document. When an
1 15 official record is produced in miniature, a security copy
1 16 shall be reproduced at the same time and kept outside of the
1 17 courthouse.
1 18 Sec. 3. Section 458A.22, Code 2005, is amended to read as
1 19 follows:
1 20 458A.22 DUTY TO HAVE FORFEITED LEASE RELEASED == AFFIDAVIT
1 21 OF NONCOMPLIANCE == NOTICE TO LANDOWNER == REMEDIES.
1 22 1. When any oil, gas, or metallic mineral lease given on
1 23 land situated in Iowa and recorded, becomes forfeited by
1 24 failure of the lessee to comply with its provisions or the
1 25 Iowa law, the lessee shall, within sixty days after date of
1 26 forfeiture of the lease, have the lease surrendered in
1 27 writing, duly acknowledged, and placed on record in the county
1 28 where the leased land is situated, or the lease may be
1 29 released by a marginal release on margin of the record without
1 30 cost to the owner of land described in the lease. If the
1 31 lessee fails to execute and record a release of the recorded
1 32 lease within the time provided for, the owner of the land may
1 33 execute and file with the recorder of the counties in which
1 34 the forfeited lease has been recorded an affidavit of
1 35 noncompliance in substantially the following form:
2 1 AFFIDAVIT OF NONCOMPLIANCE
2 2 State of Iowa )
2 3 County of ...... ) ss.
2 4 ......., being first duly sworn, upon oath deposes and says
2 5 that the deponent is ...... as referred to in an (oil and gas)
2 6 (metallic mineral) mining lease dated the ... day of ......
2 7 (month), .... (year), which lease is recorded in Volume ...,
2 8 Page ..., or as Instrument # ... of the County Records of
2 9 ...... County, ..., and which lease covers the following
2 10 described lands: ..............................................
2 11 ...............................................................
2 12 And further, deponent says that on the ... day of ......
2 13 (month), .... (year), under the terms of said lease, there
2 14 should have been paid to the deponent or deposited to the
2 15 deponent's credit in the ........ Bank of ........ the sum of
2 16 .... Dollars ($....), the payment of which was necessary in
2 17 order to keep the above described lease in force and effect.
2 18 Deponent hereby swears the above payment has never been made
2 19 to the deponent or the deponent's representatives, in money or
2 20 otherwise, nor has same been deposited to the deponent's
2 21 credit in the above bank.
2 22 And further, deponent says that there has been no drilling
2 23 or development of any nature or kind whatsoever done on the
2 24 land covered by the lease referred to herein, as called for
2 25 under the terms of said lease.
2 26 ....................
2 27 ....................
2 28 Subscribed and sworn to before me, a Notary Public for the
2 29 State of Iowa, this .... day of ...... (month), ... (year)
2 30 ....................
2 31 Notary Public
2 32 My commission expires ..........
2 33 AFFIDAVIT OF THE BANKER
2 34 State of ...... )
2 35 County of ...... ) ss.
3 1 I, ......, (Cashier) (President) of the ...... Bank of
3 2 ......, being first duly sworn, upon my oath declare that
3 3 there has not been deposited to the credit of ...... in the
3 4 ...... Bank of ......, by ...... or any other party, any sum
3 5 of money whatsoever, in payment of rental under the terms of
3 6 the (oil and gas) (metallic mineral) mining lease referred to
3 7 in this affidavit.
3 8 Witness my hand this ...... day of ...... (month), ...
3 9 (year)
3 10 ....................
3 11 (Cashier) (President) of ...... Bank
3 12 Subscribed and sworn to before me, a Notary Public for the
3 13 State of Iowa on the .... day of ...... (month), ... (year)
3 14 ....................
3 15 Notary Public
3 16 My commission expires ..........
3 17 2. The owner of the land shall retain the original
3 18 affidavit and shall mail a copy of the affidavit by restricted
3 19 certified mail, as defined in section 618.15, to the lessee.
3 20 If the lessee shall, within thirty days after receipt of the
3 21 filing of such affidavit, give gives notice in writing, by
3 22 restricted certified mail, to the county recorder of the
3 23 county where said owner of the land is located that said the
3 24 lease has not been forfeited and that said the lessee still
3 25 claims that said the lease is in full force and effect, then
3 26 the said affidavit shall not be recorded but the county
3 27 recorder shall notify the owner of the land of the action of
3 28 the lessee, and the owner of the land shall be entitled to the
3 29 remedies provided by this chapter for the cancellation of such
3 30 disputed lease.
3 31 3. If the lessee shall does not notify the county recorder
3 32 owner of the land as above provided in subsection 2, then the
3 33 county recorder owner shall record said file the original
3 34 affidavit for recording with the county recorder, and
3 35 thereafter the record of the said lease shall not be notice to
4 1 the public of the existence of said the lease or of any
4 2 interest therein or rights thereunder, and said the record
4 3 shall not be received in evidence in any court of the state on
4 4 behalf of the lessee against the lessor, and said the lease
4 5 shall stand forfeited.
4 6 Sec. 4. Section 558.41, subsection 4, Code 2005, is
4 7 amended to read as follows:
4 8 4. TERMINATION OF LIFE ESTATE. Upon the termination of a
4 9 life estate interest through the death of the holder of the
4 10 life estate, any surviving holder or successor in interest
4 11 shall prepare a change of title or affidavit for tax purposes
4 12 and delivery of the deed or change of title shall deliver such
4 13 instrument to the county recorder of the county in which each
4 14 parcel of real estate is located.
4 15 Sec. 5. Section 558.49, Code 2005, is amended to read as
4 16 follows:
4 17 558.49 INDEX RECORDS.
4 18 The recorder must keep index records, arranged
4 19 alphabetically by grantor and grantee, to show the following:
4 20 1. Each grantor.
4 21 2. Each grantee.
4 22 3. The date and time when the instrument was filed with
4 23 the recorder.
4 24 4. The date of the instrument.
4 25 5. The nature of the instrument.
4 26 6. The document reference number where the record of the
4 27 instrument may be found.
4 28 7. The description of the real estate conveyed.
4 29 Sec. 6. Section 558.57, Code 2005, is amended to read as
4 30 follows:
4 31 558.57 ENTRY ON AUDITOR'S TRANSFER BOOKS.
4 32 The After the recorder shall not record has accepted for
4 33 recording and indexed any deed, real estate installment
4 34 contract, or other instrument unconditionally conveying real
4 35 estate or altering a real estate contract by assigning the
5 1 buyer's or seller's interest, changing the name of the buyer
5 2 or seller, changing the legal description of the property,
5 3 forfeiting or canceling the contract, or making other
5 4 significant changes, until the auditor shall make the proper
5 5 entries have been made upon the transfer books in the
5 6 auditor's office, and endorsement made upon the deed, real
5 7 estate installment contract, or other instrument properly
5 8 dated and officially signed, in substantially the following
5 9 form:.
5 10 Entered upon transfer books and for taxation this .. day of
5 11 .... (month), .. (year). My fee $.... collected by recorder.
5 12 ....................
5 13 Auditor.
5 14 Sec. 7. Section 558.58, subsection 1, Code 2005, is
5 15 amended to read as follows:
5 16 1. At the time of filing a deed, real estate installment
5 17 contract, or other instrument mentioned in section 558.57, the
5 18 recorder shall collect from the person filing the deed, real
5 19 estate installment contract, or instrument, and note payment
5 20 of, the recording fee provided by law and the auditor's
5 21 transfer fee, as provided by law, except as provided in
5 22 subsection 2. The recorder shall deliver the deed, real
5 23 estate installment contract, or instrument to the county
5 24 auditor, after endorsing upon the instrument the following:
5 25 Filed for record, indexed, and delivered to the county
5 26 auditor this .. day of .... (month), .. (year), at ....
5 27 o'clock ..m.
5 28 Recorder's and auditor's fee $.... paid.
5 29 ....................
5 30 Recorder.
5 31 After the recorder has accepted the instrument for
5 32 recording, the instrument shall be indexed and then delivered
5 33 to the auditor to be placed on the auditor's transfer books.
5 34 Sec. 8. Section 558.60, Code 2005, is amended to read as
5 35 follows:
6 1 558.60 TRANSFER AND INDEX BOOKS.
6 2 The county auditor shall keep in the county auditor's
6 3 office books for the transfer of real estate, which shall
6 4 consist of a transfer book, index book, and plat book. As
6 5 used in this context, "book" means the method of data storage
6 6 and retrieval utilized by the county auditor.
6 7 The auditor shall index the real estate transfers by city,
6 8 block, and lot or by township, range, section, section
6 9 quarter, and subdivision, as occasion may require. The
6 10 transfer books shall show all of the following:
6 11 1. Each grantor.
6 12 2. Each grantee.
6 13 3. The date and time when the instrument was filed with
6 14 the county recorder.
6 15 4. The date of the instrument.
6 16 5. The nature of the instrument.
6 17 6. The document reference number where the record of the
6 18 instrument may be found.
6 19 7. The description of the real estate conveyed.
6 20 Sec. 9. Section 558.63, Code 2005, is amended to read as
6 21 follows:
6 22 558.63 BOOK OF PLATS == HOW KEPT.
6 23 The auditor shall keep the book of plats so as to show
6 24 showing the number of lot and block, or township and range,
6 25 divided into sections and subdivisions as occasion may
6 26 require, and shall designate thereon each piece of real
6 27 estate, and mark in pencil the name of the owner thereon, in a
6 28 legible manner; which. The plats shall be lettered or
6 29 numbered so that they may be conveniently referred to by the
6 30 memoranda of in the transfer book, and shall be drawn on the
6 31 scale of not less than four inches to the mile.
6 32 Sec. 10. Section 558.67, Code 2005, is amended to read as
6 33 follows:
6 34 558.67 CORRECTION OF BOOKS AND INSTRUMENTS.
6 35 The auditor from time to time shall correct any error
7 1 appearing in the transfer books, and shall notify the grantee
7 2 of any error in description discovered in any instrument filed
7 3 for transfer, and permit the same to be corrected by the
7 4 parties before completing such transfer shall notify the
7 5 submitter or preparer of an instrument and the grantee named
7 6 in the instrument of any error discovered in an instrument
7 7 filed for transfer and shall further notify such persons of
7 8 the procedure necessary to correct such error.
7 9 Sec. 11. Section 614.21, unnumbered paragraph 1, Code
7 10 2005, is amended to read as follows:
7 11 No action shall be maintained to foreclose or enforce any
7 12 real estate mortgage, bond for deed, trust deed, or contract
7 13 for the sale or conveyance of real estate, after twenty years
7 14 from the date thereof, as shown by the record of such
7 15 instrument, unless the record of such instrument shows that
7 16 less than ten years have elapsed since the date of maturity of
7 17 the indebtedness or part thereof, secured thereby, or since
7 18 the right of action has accrued thereon, or unless the record
7 19 shows an extension of the maturity of the instrument or of the
7 20 debt or a part thereof, and that ten years from the expiration
7 21 of the time of such extension have not yet expired. The date
7 22 of maturity, when different than as appears by the record of
7 23 the instrument, and the date of maturity of any extension of
7 24 said indebtedness or part thereof, may be shown at any time
7 25 prior to the expiration of the above periods of limitation by
7 26 the holder of the debt or the owner or assignee of the
7 27 instrument filing an extension agreement, duly acknowledged as
7 28 the original instrument was required to be acknowledged, in
7 29 the office of the recorder where the instrument is recorded,
7 30 or by noting on the margin of the record of such instrument in
7 31 the recorder's office an extension of the maturity of the
7 32 instrument or of the debt secured, or any part thereof; each
7 33 notation to be witnessed by the recorder and entered upon the
7 34 index of mortgages in the name of the mortgagor and mortgagee.
7 35 Sec. 12. Sections 558.61, 558.62, and 558.64, Code 2005,
8 1 are repealed.
8 2 EXPLANATION
8 3 This bill makes changes to the Code relating to the duties
8 4 of county recorders and county auditors concerning instruments
8 5 affecting real estate.
8 6 The bill strikes a requirement that the county recorder
8 7 compile and forward to the inheritance tax division of the
8 8 department of revenue a list of deeds which are dated or
8 9 acknowledged more than six months before the date of
8 10 recording.
8 11 The bill requires the recorder to cross=reference to the
8 12 original document an instrument that makes subsequent
8 13 reference to the original document.
8 14 The bill changes the process by which an oil, gas, or
8 15 metallic mineral lease is forfeited by the lessor or released
8 16 by the lessee. The bill requires that if a lessee fails to
8 17 record with the county recorder a release of a lease, the
8 18 owner of the land shall send to the lessee, by restricted
8 19 certified mail, an affidavit of noncompliance. If the lessee
8 20 disputes the forfeiture of the lease, the lessee must notify
8 21 the owner of the land, by restricted certified mail, within 30
8 22 days of receiving the affidavit of noncompliance. The bill
8 23 further provides that if the lessee does not so notify the
8 24 owner of the land, the owner shall record the affidavit of
8 25 noncompliance with the county recorder.
8 26 The bill makes changes relating to the county recorder's
8 27 duty to record instruments affecting real estate and the
8 28 county auditor's duty to note transfers of real estate. The
8 29 bill repeals those sections which illustrate the endorsements
8 30 to be made on instruments and the form of real estate transfer
8 31 books and instead lists the information required to be noted
8 32 on the instruments and in the transfer books. The bill
8 33 defines "book", in the context of the county auditor's
8 34 transfer book, index book, and plat book, to mean the method
8 35 of data storage and retrieval utilized by the auditor.
9 1 The bill provides that notice of any surviving holder or
9 2 successor in interest of a life estate that has been
9 3 terminated through the death of the holder of the life estate
9 4 may be made by affidavit filed for recording with the county
9 5 recorder in lieu of a deed or change of title.
9 6 The bill requires the county auditor to notify the
9 7 submitter or preparer, and the grantee, of an instrument filed
9 8 for transfer of any error discovered in the instrument.
9 9 The bill strikes the option of making a notation, witnessed
9 10 by the county recorder, on the margin of an instrument
9 11 indicating an extension of the debt maturity date relating to
9 12 the real estate described in the instrument and requires that
9 13 such an extension agreement be filed with the county recorder
9 14 for recording.
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