S.F. 225 Section 1. Section 448.13, Code 2021, is amended to read as 1 follows: 2 448.13 Cancellation of tax sale and certificate of purchase 3 —— refund of purchase money. 4 If the county treasurer receives a verified statement from 5 a city municipality, as defined in section 657A.10B, stating 6 that a parcel sold at tax sale contains a building which is 7 abandoned, as those terms are defined in section 657A.1 , prior 8 to redemption of the parcel under chapter 447 or the issuance 9 of a tax deed for the parcel, and the verified statement is 10 accompanied by a petition filed by the city municipality under 11 section 657A.10B for title to the parcel, the county treasurer 12 shall make an entry in the county system canceling the sale of 13 the parcel and shall refund the purchase money to the tax sale 14 certificate holder. 15 Sec. 2. Section 657A.10B, Code 2021, is amended to read as 16 follows: 17 657A.10B Petition by city municipality for title to abandoned 18 property. 19 1. For purposes of this section, “municipality” means a city 20 or, in the case of an abandoned building located outside the 21 limits of a city, a county. 22 1. 2. a. In lieu of the procedures in sections 657A.1A 23 through 657A.10 and 657A.10A , a city municipality in which a 24 building that has been abandoned for at least six consecutive 25 months is located may petition the court to enter judgment 26 awarding title to the abandoned property to the city 27 municipality . A petition filed under this section shall 28 include the legal description of the abandoned property. If 29 more than one abandoned building is located on a parcel of real 30 estate, the city municipality may combine the actions into one 31 petition. The owner of the building and grounds, mortgagees of 32 record, lienholders of record, or other known persons who hold 33 an interest in the property shall be named as respondents on 34 the petition. 35 -1- LSB 1059XS (3) 89 js/ns 1/ 4

S.F. 225 b. The petition shall be filed in the district court of the 1 county in which the property is located. Service on the owner 2 and any other named respondents shall be by personal service or 3 certified mail or, if service cannot be made by either method, 4 by posting the notice in a conspicuous place on the building 5 and by publication in a newspaper of general circulation in the 6 city municipality . The action shall be in equity. 7 2. 3. Not sooner than sixty days after the filing of the 8 petition, the city municipality may request a hearing on the 9 petition. 10 3. 4. In determining whether a property has been abandoned, 11 the court shall consider the following for each building that 12 is located on the property and named in the petition and the 13 building grounds: 14 a. Whether any property taxes or special assessments on the 15 property were delinquent at the time the petition was filed. 16 b. Whether any utilities are currently being provided to 17 the property. 18 c. Whether the building is unoccupied by the owner or 19 lessees or licensees of the owner. 20 d. Whether the building meets the city’s municipality’s 21 housing code as being fit for human habitation, occupancy, or 22 use. 23 e. Whether the building meets the city’s municipality’s 24 building code as being fit for occupancy or use. 25 f. Whether the building is exposed to the elements such that 26 deterioration of the building is occurring. 27 g. Whether the building is boarded up or otherwise secured 28 from unauthorized entry. 29 h. Past efforts to rehabilitate the building and grounds. 30 i. Whether those claiming an interest in the property have, 31 prior to the filing of the petition, demonstrated a good-faith 32 effort to restore the property to productive use. 33 j. The presence of vermin, accumulation of debris, and uncut 34 vegetation. 35 -2- LSB 1059XS (3) 89 js/ns 2/ 4

S.F. 225 k. The effort expended by the petitioning city municipality 1 to maintain the building and grounds. 2 l. Past and current compliance with orders of the local 3 housing or building code official. 4 m. Any other evidence the court deems relevant. 5 4. 5. In lieu of the considerations in subsection 3, 4, if 6 the city municipality can establish to the court’s satisfaction 7 that all parties with an interest in the property have received 8 proper notice and either consented to the entry of an order 9 awarding title to the property to the city municipality or did 10 not make a good-faith effort to comply with the order of the 11 local housing or building code official within sixty days after 12 the filing of the petition, the court shall enter judgment 13 against the respondents granting the city municipality title to 14 the property. 15 5. 6. If the court determines that the property has been 16 abandoned or that subsection 4 5 applies, the court shall enter 17 judgment and order awarding title to the city municipality . 18 The title awarded to the city municipality shall be free 19 and clear of any claims, liens, or encumbrances held by the 20 respondents. 21 6. 7. If a city municipality files a petition under 22 subsection 1 2 , naming the holder of a tax sale certificate 23 of purchase for the property as a respondent, the city 24 municipality shall also file the petition, along with a 25 verified statement declaring that the property identified in 26 the petition contains an abandoned building, with the county 27 treasurer. Upon receiving the petition and verified statement, 28 the county treasurer shall make an entry in the county system 29 canceling the sale of the property and shall refund the 30 purchase money to the tax sale certificate holder. 31 8. This section does not apply to a house, barn, 32 outbuilding, or structure located on agricultural land outside 33 the limits of a city. For purposes of this subsection, 34 “agricultural land” means land suitable for use in farming. For 35 -3- LSB 1059XS (3) 89 js/ns 3/ 4

S.F. 225 purposes of this subsection, “farming” means the cultivation of 1 land for the production of agricultural crops, the production 2 of fruit or other horticultural crops, grazing, or the 3 production of livestock. 4 EXPLANATION 5 The inclusion of this explanation does not constitute agreement with 6 the explanation’s substance by the members of the general assembly. 7 This bill relates to the acquisition of title of abandoned 8 property in the unincorporated area of a county. Current law 9 provides a process for a city to petition a district court to 10 enter judgment awarding title to abandoned property in the city 11 to the city when the property has been abandoned for at least 12 six months. The bill authorizes a county to follow the same 13 process for property located outside of the limits of a city. 14 The bill does not apply to a house, barn, outbuilding, or 15 structure located on agricultural land outside the limits of a 16 city. The bill defines the terms “municipality”, “agricultural 17 land”, and “farming”. The bill makes conforming changes 18 relating to the cancellation of a tax sale certificate for an 19 abandoned property for which a municipality has acquired title. 20 -4- LSB 1059XS (3) 89 js/ns 4/ 4