An act TO REPEAL THE LAW CONCERNING THE TRANSFER OF 10 TAX-FORFEITED LANDS TO STATE INSTITUTIONS, the official text

Stricken language would be deleted from and underlined language would be added to present law.

1 State of Arkansas        As Engrossed: H1/27/25
2 95th General Assembly
                                 A Bill

3 Regular Session, 2025                                             HOUSE BILL 1121

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5 By: Representative Long

6 By: Senator A. Clark

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8                          For An Act To Be Entitled

9   AN ACT TO REPEAL THE LAW CONCERNING THE TRANSFER OF

10  TAX-FORFEITED LANDS TO STATE INSTITUTIONS; AND FOR

11  OTHER PURPOSES.

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14                                      Subtitle

15                       TO REPEAL THE LAW CONCERNING THE

16                       TRANSFER OF TAX-FORFEITED LANDS TO STATE

17                       INSTITUTIONS.

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19 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:

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21  SECTION 1. Arkansas Code � 22-6-501 is repealed.

22  22-6-501. Transfer to state institutions.

23  (a)(1) The Commissioner of State Lands is authorized upon application

24 of the director of any state department or agency, the management or the

25 board of trustees of any state institution, or the chief executive of any

26 county, city, or school district of this state to issue to the applying

27 governmental unit a deed for land listed on the Commissioner of State Lands'

28 records as having been forfeited for the nonpayment of taxes.

29  (2) The application shall include the following:

30                       (A) The proposed use of the land;

31                       (B) The proposed duration for the stated use; and

32                       (C) The division or department designated for the

33 maintenance and operation of the property once deeded. Moreover, the

34 Commissioner of State Lands is authorized to accept the application as

35 submitted or recommend modifications to the application. The Commissioner of

36 State Lands is further empowered to disallow any application determined by

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    As Engrossed: H1/27/25                                                 HB1121

1 the Commissioner of State Lands to be contrary to the best interests of the

2 health and general welfare of the state and its citizens.

3   (b)(1) The deed issued by the Commissioner of State Lands to a state

4 department or agency, state institution, city, county, or school district may

5 contain restrictive covenants or reservations stating that should the

6 governmental unit no longer desire to use the land for the proposed use

7 stated in the application, said governmental unit shall submit a subsequent

8 letter of application to the Commissioner of State Lands to request change in

9 the use of the property, and the Commissioner of State Lands shall accept,

10 modify, or disallow the request.

11            (2) Moreover, should the governmental unit determine that the

12 property can no longer be utilized, the property shall revert to the state,

13 be held by the Commissioner of State Lands, and be treated as tax-forfeited

14 land subject to the powers and authority of the Commissioner of State Lands.

15            (3) Because this section applies to the disposition of tax-

16 forfeited land, � 22-6-601 shall not apply herewith.

17  (c) No consideration shall be required for the transfer except the fee

18 of one dollar ($1.00) as required by law.

19  (d)(1) All deeds granted by the Commissioner of State Lands prior to

20 the passage of this section are confirmed, and the title of all purchases

21 under the deeds from the Commissioner of State Lands are quieted,

22 established, and confirmed.

23            (2) Collection of any outstanding ad valorem property tax

24 indebtedness shall be stayed by the Commissioner of State Lands while title

25 to the property remains with the governmental unit.

26            (3) Should the property revert to the state pursuant to

27 subsection (b) of this section, the property may be sold as prescribed by the

28 Commissioner of State Lands.

29  (e)(1) Land donated by the Commissioner of State Lands under this

30 section may be used for any lawful purpose or transferred pursuant to any

31 lawful authority of the city or town.

32            (2) Owners of property donated to a city or town under this

33 section shall not have any right to retain any of the appraised value of the

34 property.

35  (f) Prior to conveyance of property, the Commissioner of State Lands

36 may give consideration to the following issues:

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    As Engrossed: H1/27/25                                         HB1121

1   (1) Whether the prospective purchaser has a pattern or practice

2 of not paying fines resulting from a citation for violation of state laws or

3 rules or local codes and ordinances;

4   (2) Whether the prospective purchaser has a pattern or practice

5 of not timely paying property taxes; and

6   (3) Whether the prospective purchaser was the prior owner of

7 real property that was transferred to the Commissioner of State Lands as a

8 result of tax delinquency during the preceding three (3) years.

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10                          /s/Long

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