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Oklahoma Legislature· SB 1197Second Reading referred to Local and County Government

An act relating to county resale auctions, the official text

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1                    STATE OF OKLAHOMA

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2                  2nd Session of the 60th Legislature (2026)

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3 SENATE BILL 1197              By: Mann
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5

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6                    AS INTRODUCED

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7   An Act relating to county resale auctions; amending

7   68 O.S. 2021, Sections 3129, as last amended by

8   Section 4, Chapter 179, O.S.L. 2025, and 3135 (68

8   O.S. Supp. 2025, Section 3129), which relate to

9   county resale auctions; disallowing use of cash for

9   certain purposes; requiring certain use of certified

10  funds; mandating certain deposit by certified funds;

10  updating statutory language; and providing an

11  effective date.

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12

12

13 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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14  SECTION 1.      AMENDATORY  68 O.S. 2021, Section 3129, as

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15 last amended by Section 4, Chapter 179, O.S.L. 2025 (68 O.S. Supp.
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16 2025, Section 3129), is amended to read as follows:
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17  Section 3129. A. On the day real estate is advertised for

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18 resale, the county treasurer shall offer same for sale at the office
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19 of the county treasurer between the hours of eight a.m. and five
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20 p.m., the exact hours of each sale to be determined by the local
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21 county treasurer, and continue the sale thereafter from day to day
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22 between such hours until all of the real estate is sold and is
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23 concluded by the county treasurer. The real estate shall be sold at
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24 public auction to the highest bidder for cash or certified funds.
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    Req. No. 2294                                              Page 1
1 Online auctions may accept online payments.
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2   B. The county treasurer may choose to hold the June resale

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3 through an online auction instead of the in-person process as
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4 prescribed in subsection A of this section. Such online auctions
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5 shall occur during regular business hours and shall follow all other
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6 requirements of the resale auction until all of the real estate is
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7 sold and is concluded by the county treasurer. The county treasurer
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8 may select a firm to conduct the online auction with the cost of the
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9 online auctioneer to be added to the sale of each property.
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10  C. 1. As used in this section, "nuisance property" shall be

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11 defined as property that is deemed unmarketable or unusable due to
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12 the existence of liens in excess of the property's fair market value
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13 as shown by the county assessor's office or due to environmental
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14 problems or conditions that exist on the property that would cost
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15 more to remedy than the fair market value of the property as shown
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16 by the county assessor's office, or property in which abatement
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17 liens have been placed upon the property by a municipality in excess
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18 of twenty-five percent (25%) of the property's fair market value as
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19 shown by the county assessor's office.
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20  2. All property must be sold for a sum not less than two-thirds

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21 (2/3) of the assessed value of such real estate as fixed for the
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22 current fiscal year, or for the total amount of taxes, penalties,
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23 interest, and costs due on such property, whichever is the lesser.
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24 Notwithstanding, there shall be a reserve minimum bid placed in an
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    Req. No. 2294                                              Page 2
 1 amount covering all taxes, abatement costs, penalties, interest, and
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 2 costs due to a municipality if the right to exercise the reserve
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 3 minimum bid is noticed to the county treasurer. With the exception
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 4 of nuisance property, if there is no bid equal to or greater than
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 5 the sum so required, the county treasurer shall bid off the same in
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 6 the name of the county. However, the property must be bid off in
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 7 the name of the municipality if demand is made in writing by a
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 8 municipality which has outstanding liens upon the property. In
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 9 cases of nuisance property, the county treasurer shall have
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10 discretion to not bid off the property in the name of the county and
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11 instead allow the property to remain under its current ownership,
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12 unless demand is made in writing by a municipality which has
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13 outstanding liens upon the property. "Nuisance property" shall be
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14 defined as property that is deemed unmarketable or unusable due to
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15 the existence of liens in excess of the property's fair market value
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16 as shown by the county assessor's office or due to environmental
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17 problems or conditions that exist on the property that would cost
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18 more to remedy than the fair market value of the property as shown
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19 by the county assessor's office, or property in which abatement
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20 liens have been placed upon the property by a municipality in excess
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21 of twenty-five percent (25%) of the property's fair market value as
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22 shown by the county assessor's office. Greenbelts, common areas,
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23 easements, retention ponds, and detention ponds may also be
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24 considered nuisance property if transference of ownership to either
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Req. No. 2294  Page 3
1 the county or a third party would cause a hardship to the
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2 neighborhood or subdivision these areas were meant to serve or to
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3 the county or third party.
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4   3. The county treasurer shall make the determination, in

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5 conjunction with review and approval of the board of county
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6 commissioners, upon consideration of the above factors provisions of
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7 paragraphs 1 and 2 of this subsection, as to whether or not property
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8 constitutes nuisance property. The said nuisance property
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9 determination may be made at any time during the year, including
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10 before or immediately after the June resale. In the case of a
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11 nuisance property that has liens from a city or town, if a minimum
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12 bid is not made, the city or town shall be credited a bid on the
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13 property equal to the amount of the lien of the city or town if its
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14 intention to do so is made known to the county treasurer prior to
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15 the sale or at the sale.
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16  4. In the case of a nuisance property with liens from a city or

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17 town, if a minimum bid is not made, the nuisance property shall be
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18 bid off in the name of the city or town if its intention to do so is
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19 made known to the county treasurer prior to the sale or at the sale.
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20 All property bid off in the name of the county shall be for the
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21 amount of all taxes, penalties, interest, and costs due thereon, and
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22 the county treasurer shall issue a deed therefor to the board of
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23 county commissioners for the use and benefit of the county. All
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24 nuisance property bid off in the name of the city or town shall be
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    Req. No. 2294                                              Page 4
1 for the amount of any municipal liens due thereon, and the county
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2 treasurer shall issue a deed therefor to the city or town for the
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3 use and benefit of the city or town.
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4   D. The county treasurers shall provide to the Oklahoma Health

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5 Care Authority (OHCA) a list of properties that will be sold at tax
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6 resales in their respective counties. Using the information
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7 provided, the OHCA shall produce a list for each county of
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8 properties on which the OHCA has liens. The county treasurers shall
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9 make the list of properties with the OHCA liens available to
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10 potential buyers at the tax resales. The OHCA shall file a release
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11 of the liens on properties that fit the definition of blighted
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12 properties areas, as defined in Section 38-101 of Title 11 of the
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13 Oklahoma Statutes, in the county records of the county where the
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14 property is located upon request of that county's treasurer. The
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15 filing of the lien release shall not extinguish the debt owed to the
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16 OHCA, which may be enforced through any legal means available to the
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17 OHCA.
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18  E. The county shall not be liable to the state or any taxing

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19 district thereof for any part of the amount for which any property
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20 may be sold to such county. All property bid off in the name of the
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21 county shall be exempt from ad valorem taxation as long as title is
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22 held for the county.
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23  F. 1. The county shall not be civilly liable for any

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24 environmental problems or conditions on any property which that
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    Req. No. 2294                                             Page 5
1 existed on the property prior to the county's involuntary ownership
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2 of the property pursuant to this section, or which that may result
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3 from such environmental problems or conditions on the property.
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4 During the period of the county's involuntary ownership of the
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5 property, the person or persons who would be legally liable for the
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6 environmental problems or conditions on the property but for the
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7 county's ownership shall continue to be liable for such
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8 environmental problems or conditions.
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9   2. In addition, the county shall not be subject to civil

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10 liability with regard to any actions taken by the county to
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11 remediate any problems or conditions on the property resulting from
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12 the environmental problems or conditions if the remedial action is
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13 not performed in a reckless or negligent manner.
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14  SECTION 2.     AMENDATORY   68 O.S. 2021, Section 3135, is

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15 amended to read as follows:
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16  Section 3135. A. Any property acquired by the county under the

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17 provisions of the resale tax laws may be sold by the county
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18 treasurer, after notice by publication, at a price as may be
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19 approved by the board of county commissioners, the notice to be
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20 given after receipt of bid on the property. The notice shall be
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21 published by the county treasurer once during each of the three (3)
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22 consecutive weeks preceding the sale, and if there be no paper is no
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23 newspaper published in the county, the county treasurer shall give
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24 notice by post a written or printed notice posted on the door of the
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    Req. No. 2294                                               Page 6
 1 courthouse. The notice shall embrace include a description of the
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 2 property, the amount bid, and the name of the bidder, and state that
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 3 the sale of the property so listed shall be made at the price and to
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 4 the bidder at a given date, beginning at an hour to be specified
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 5 therein, subject to the approval of the board of county
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 6 commissioners, unless higher bids are received at the sale. On the
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 7 date stated in the notice, the property shall be sold by the county
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 8 treasurer to the highest competitive bidder, for cash in hand or
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 9 certified funds, or to the original bidder if there be no higher
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10 price is offered. The sale in any event shall be subject to the
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11 approval of the board of county commissioners in its discretion.
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12 The cost of the advertisement and other expense expenses incident to
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13 the sale, as provided by law, shall be apportioned to the respective
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14 tracts listed in the sale and shall be added to the sale price of
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15 the real estate as a separate and additional charge and shall be
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16 paid by the purchaser, in addition to the amount bid upon the real
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17 estate. A deposit of certified funds shall be required of any
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18 bidder before advertisement of the property to cover the
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19 advertisement and costs. Upon declaring the successful bidder at
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20 the sale, and before closing the sale, the bidder shall be required
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21 to make, or increase, the bid sufficient to cover the cost of
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22 advertising and sale, and sufficient to cover the fees of the county
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23 clerk for the recording mandatorily required by law upon approval by
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24 the board of county commissioners, otherwise the sale shall
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Req. No. 2294  Page 7
1 continue. Upon approval of the sale as hereinbefore provided, the
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2 chair of the board of county commissioners shall execute a deed
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3 conveying title to the purchaser of the property in as full and
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4 ample manner as by law provided on a form prescribed by the State
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5 Auditor and Inspector.
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6   B. In addition to the methods provided for in subsection A of

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7 this section, the county may also periodically hold auctions to sell
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8 any property or properties acquired by the county under the
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9 provisions of the resale tax laws. The auctions shall be held at a
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10 time, date, and place as set by the county treasurer with the
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11 approval of the county commissioners. On the date of the auction,
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12 the property or properties shall be sold by the county treasurer to
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13 the highest competitive bidder, for cash in hand or certified funds.
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14 Any bid which is less than all of the real estate ad valorem taxes
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15 owed at the time of the original resale shall be accepted only upon
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16 approval of the county commissioners and the county excise board.
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17 The county treasurer and county commissioners may contract with an
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18 auctioneer to conduct the auction for a fee or commission as may be
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19 mutually agreed upon. If an auctioneer is employed, the auctioneer
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20 shall be responsible for conducting the auction and all the
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21 necessary advertising.
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22  SECTION 3. This act shall become effective November 1, 2026.

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23

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24  60-2-2294      MSBB    11/18/2025 3:39:40 PM

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    Req. No. 2294                                               Page 8
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