Title
a. Approve the distribution of excess proceeds resulting from the sale of real property at the Tax Collector's public internet auction regarding claims on three identified properties; and
b. Approve the interpleader of excess proceeds resulting from the sale of real property at the Tax Collector's public internet auction regarding unresolved disputed claims on five identified properties.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Approve the distribution of excess proceeds resulting from the sale of real property at the Tax Collector's public internet auction regarding claims on three identified properties; and
b. Approve the interpleader of excess proceeds resulting from the sale of real property at the Tax Collector's public internet auction regarding unresolved disputed claims on five identified properties.
SUMMARY/ DISCUSSION:
Board of Supervisor approval is required to authorize the refund of excess proceeds generated from real property tax sales in accordance with Section 4675 of the California Revenue and Taxation Code.
On June 23, 2015 and August 24, 2015 the Tax Collector sold parcels of property at an internet public auction to the highest bidders. As a result of the competitive bidding process, some of the final sale amounts exceeded the taxes, penalties, and fees that were owed on these properties. The remaining amount is known as "excess proceeds," and has been held in a suspense account for at least the minimum 1 year period, as provided and required by law.
During this one year period, claims may be filed against the excess proceeds by any party who had an interest in the property at the time of the sale. The Tax Collector received claims against nine parcels for excess proceeds. The claim against parcel 420-071-074-000 was disallowed for failure to provide supporting documentation. Both the Tax Collector and County Counsel have reviewed and verified the validity and distribution priority of each of t...
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