S T AT EMANUAL
DE E DGRABBE R’ S
I NSTANT
E XPE RT
S E RI E S
P UB L I CR E COR DSGUI DE L I NE S E AR L YDE L I NQUE NTL I S T S P R E AUCT I ONL I S T S L AS T MI NUT EL I S T S
ANDMOR E . . .
DeedGrabbing and Buying Delinquent Tax Property in Alaska (And How to Get Your Lists of Tax Delinquent Owners)
Legal Disclaimer
This book is intended to provide accurate and authoritative information on the subject of tax sales and purchasing property that is in some stage of the tax sale process. It is offered with the understanding that the author is not an attorney or accountant, and is not offering legal or tax advice. Please consult with an attorney in your area before you proceed with any of the suggestions found in this book. This book is intended for instructional purposes only. Every effort has been made to reflect the applicable laws as of the date of the publication of this book. However, this is a dynamic field of endeavor in which new laws are enacted, old laws revised and/or reinterpreted on a continuing basis and where statutes, rulings, and case law are constantly changing. Readers are advised to proceed with the techniques described herein with caution. The author, printers, licensees, nor distributors make no warranties, express or implied about the merchantability or fitness for any particular use of this product. © Copyright 2011, Richard Dawson Published by
DeedGrabber.com PO Box 3348 Munster, IN 46321 800-528-9149 www.deedgrabber.com All rights are reserved under State and Federal Copyright Law. No part of this book may be reprinted, reproduced, paraphrased or quoted in whole or in part by any means without the express written permission of the publisher and author.
© Copyright 2011, Richard Dawson
Page 2
Quick Reference Guide to Alaska
Type of Tax Sale: Tax Deed How Tax Sale Buyers Get Title / Owner Loses Property: A property is foreclosed by the municipality then held for at least one year. A notice is then sent near the end of that 1-year period, giving a final 30-day redemption time. At that time it can be sold at a sale or kept by the municipality and can’t be redeemed. Governmental Body Holding Tax Sale: Municipal Tax Collector Public Access Law: Electronic records are part of the definition of “public records” – and all public records are accessible for copying or inspection. How to Get List of Tax-Delinquent Properties: Several opportunites – request a list of tax-delinquent properties or access the certified foreclosure list that is prepared yearly. These properties have approximately one year left to redeem.
How to Get Your DeedGrabber "Last Minute" List Get certified foreclosure lists from 1-12 months ago, or access the 30-day redemption expiration notices that must be sent out before the property is lost.
© Copyright 2008, Richard Dawson
Page 12
Getting Your List of Tax Delinquent Properties A penalty is added to delinquent taxes, suggesting that there is a way to query the tax roll for unpaid taxes to add the penalty. Or, you could request the entire tax roll and view which properties have penalties assessed against them:
AS 29.45.250. Rates of Penalty and Interest. (a) A penalty not to exceed 20 percent of the tax due may be added to all delinquent taxes, and interest not to exceed 15 percent a year shall accrue upon all unpaid taxes, not including penalty, from the due date until paid in full. A municipality may impose a penalty not to exceed 20 percent of the tax due upon the late return of personal property assessment forms. A penalty under this section may be imposed according to a formula that increases the amount of the penalty as the length of time increases during which payment is delinquent or assessment forms are not returned.
Delinquent taxes are then enforced by foreclosure by the municipality:
AS 29.45.320. Real Property Tax Collection. (a) The municipality shall enforce delinquent real property tax liens by annual foreclosure, unless otherwise provided by ordinance. (b) If the tax on property described in AS 29.45.070 or on a taxable interest in taxexempt property is not paid when due, a municipality may enforce the tax by a personal action against the delinquent taxpayer brought in the district or superior court, in addition to other remedies available to enforce the lien.
You can request a list of all delinquent real property tax liens as shown in this section. A comprehensive list is prepared annually:
AS 29.45.330. Foreclosure List. (a) A municipality shall (1) annually present a petition for judgment and a certified copy of the foreclosure list for the previous year's delinquent taxes in the superior court for judgment;
© Copyright 2008, Richard Dawson
Page 13
(2) publish the foreclosure list for four consecutive weeks in a newspaper of general circulation distributed in the municipality or, if there is no newspaper of general circulation distributed in the municipality, post the list at three public places for at least 30 days; (3) within 10 days after the first publication or posting, mail to the last known owner of each property as the owner's name and address appear on the list a notice advising of the foreclosure proceeding in which a petition for judgment of foreclosure has been filed and describing the property and the amount due as stated on the list. (b) The list shall be arranged in alphabetical order as to the last name and must include (1) the last known owner; (2) the property description as stated on the assessment roll; (3) years and amounts of delinquency; (4) penalty and interest due; (5) a statement that the list is available for public inspection at the clerk's office; (6) a statement that the list has been presented to the superior court with a petition for judgment and decree. (c) Completion of the requirements of (a) of this section constitutes and has the same force and effect as the filing of an individual and separate complaint and service of summons to foreclose a lien against each property described on the foreclosure list.
Request electronic copies of this list – or copy the list at the clerk’s office as shown above. If taxes aren’t paid, the foreclosure is completed with a court judgment transferring the property to the municipality:
AS 29.45.390. Transfer and Appeal. (a) Foreclosed properties are transferred to the municipality for the lien amount. When answers are filed the court may enter judgment against and order the transfer to the municipality of all other properties on the list pending determination of the matters in controversy. The court shall hear and determine the issues raised by the complaint and answers in the same manner and under the same rules as it hears and determines other actions. (b) The court clerk shall deliver a certified copy of the judgment and decree to the municipal clerk. The certified judgment and decree constitutes a transfer to the municipality. (c) The judgment and decree stops objections to it that could have been presented before judgment and decree. Appeal from a judgment and decree of foreclosure, or from a final order in the proceeding, may be taken in a manner provided for appeals in civil actions.
Note in subsection (b), copies of the judgment are sent to the municipal clerk. You could request to inspect these files or get electronic copies. The county then must hold the property, subject to redemption for at least 1 year: © Copyright 2008, Richard Dawson
Page 14
AS 29.45.400. Redemption Period. Properties transferred to the municipality are held by the municipality for at least one year. During the redemption period a party having an interest in the property may redeem it by paying the lien amount plus penalties, interest, and costs, including all costs incurred under AS 29.45.440(a). Property redeemed is subject to all accrued taxes, assessments, liens, and claims as though it had continued in private ownership. Only the amount applicable under the judgment and decree must be paid in order to redeem the property.
So, any of these lists will provide you with tax delinquent properties at various stages of the process.
© Copyright 2008, Richard Dawson
Page 15
Getting Your "DeedGrabber" Last-Minute List
You can look back at judgments from 1-12 months ago, transferring properties to the municipality. A notice is also issued, which notifies each owner that the redemption period will expire in 30 days – request the list of notices sent in the last 30 days, and check back frequently. You can also monitor the newspaper in which this notice is published:
AS 29.45.440. Expiration. (a) At least 30 days before the expiration of the redemption period the clerk or the clerk's designee shall publish a redemption period expiration notice. The notice must contain the date of judgment, the date of expiration of the period of redemption, and a warning that all properties ordered sold under the judgment, unless redeemed, shall be deeded to the municipality immediately on expiration of the period of redemption and that every right or interest of a person in the properties will be forfeited forever to the municipality. The notice appears once a week for four consecutive weeks in a newspaper of general circulation distributed in the municipality. If there is no newspaper of general circulation distributed in the municipality, the notice is posted in three public places for at least four consecutive weeks. The clerk shall send a copy of the notice by certified mail to each record owner of property against which a judgment of foreclosure has been taken and, if the assessed value of the property is more than $10,000, to all holders of mortgages or other liens of record on the property. The notice shall be mailed within five days after the first publication. The mailing shall be sufficient if mailed to the property owner and to the holder of a mortgage or recorded lien at the last address of record. (b) The right of redemption expires 30 days after the date of the first notice publication.
© Copyright 2008, Richard Dawson
Page 16
Public Records Access in Alaska
All non-exempt records are available for inspection and copying:
AS 40.25.110. Public Records Open to Inspection and Copying; Fees. (a) Unless specifically provided otherwise, the public records of all public agencies are open to inspection by the public under reasonable rules during regular office hours. The public officer having the custody of public records shall give on request and payment of the fee established under this section or AS 40.25.115 a certified copy of the public record.
And, electronic records are included in the definition of “public records”: (3) "public records" means books, papers, files, accounts, writings, including drafts and memorializations of conversations, and other items, regardless of format or physical characteristics, that are developed or received by a public agency, or by a private contractor for a public agency, and that are preserved for their informational value or as evidence of the organization or operation of the public agency; "public records" does not include proprietary software programs;
The agency may only charge actual costs for electronic requests: (c) Notwithstanding (b) of this section, the fee for duplicating a public record in the electronic form kept by a public agency may not exceed the actual incremental costs of the public agency.
So, you should easily be able to make your requests in the format in which the municipality keeps records.
© Copyright 2008, Richard Dawson
Page 17
Conclusion
When you're "getting your feet wet" with your first public records requests, bring this manual with you. If you are told that the records you want are not available, or don't have to be provided to you, show the clerk the appropriate section of this manual containing the state law, and go through the questions with the clerk shown in Chapter 1. Don't be afraid to ask for someone higher up, who may be more familiar with the bookkeeping methods and computer system. Get a specific reason why you were denied and find a way to work around it, or phrase your request differently. Try the county attorney's office if you feel you were wrongly denied, and see if they agree with the agency who denied you. Most of all, persist. You'll get what you're looking for.
© Copyright 2008, Richard Dawson
Page 18