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Government Operations

HB1695

To Clarify The Foreclosure Process For Property Subject To A Municipal Lien; To Allow A Municipality To Petition To Set Aside The Sale Of Property To Certain Persons; And To Provide For The Priority Of Unrecorded Municipal Liens.

Failed

Last Action (May 5, 2025): Died in House Committee at Sine Die adjournment.

Sponsors

AI-Generated Summary

This bill amends Arkansas law regarding municipal liens on neglected or dilapidated property. It increases the statutory limits on the amount of municipal clean-up costs that can be given priority status over other liens. The legislation clarifies the procedures for municipalities to conduct property foreclosures due to unpaid municipal clean-up liens, including notice requirements and the appointment of commissioners for public sales. It establishes that municipalities must record satisfaction of liens within 30 days of payment. The bill also allows municipalities to petition to set aside sales of state tax-delinquent properties to certain individuals. Furthermore, it creates a mechanism for municipalities to claim proceeds from the sale of tax-delinquent properties for unrecorded clean-up liens, granting these liens priority over other unrecorded claims. Finally, the bill streamlines administrative processes by repealing existing, duplicative statutes regarding the removal or razing of buildings.

Potential Impact Analysis

Who Might Benefit?

Municipalities and incorporated towns are the primary beneficiaries of this bill. It provides them with enhanced legal tools and more streamlined processes to recover costs incurred from cleaning up neglected properties, demolishing unsafe structures, or performing environmental remediation. By increasing the priority and caps of these liens, municipalities have a better chance of recouping expenditures from tax-delinquent property sales. Neighborhood residents may also benefit from improved public health and safety conditions resulting from more efficient municipal enforcement against blighted properties.

Who Might Suffer?

Property owners who neglect their real estate may be negatively impacted by the increased ease and priority of municipal lien enforcement, which could lead to more frequent foreclosures on their properties. Holders of unrecorded liens, such as private lenders or contractors who do not properly record their financial interests in a property, may find their claims subordinate to municipal liens that previously would not have held such priority. Additionally, former owners of tax-delinquent property may receive less money from the proceeds of state sales if municipal entities successfully claim funds for unrecorded liens before the remainder is distributed to the former owner.

Vote Records

Third Reading

April 9, 2025
Yea: 30 Nay: 1 NV: 4 Absent: 0 Passed
View individual votes (35)
Legislator Party Chamber Vote
Jane English Republican Senate Yea
Jonathan Dismang Republican Senate Yea
Greg Leding Democrat Senate Yea
Missy Irvin Republican Senate Yea
Bryan King Republican Senate NV
Kim Hammer Republican Senate Yea
Stephanie Flowers Democrat Senate Yea
Frederick Love Democrat Senate Yea
Terry Rice Republican Senate Yea
Reginald Murdock Democrat Senate Yea
Gary Stubblefield Republican Senate Yea
Jim Dotson Republican Senate Nay
John Payton Republican Senate Yea
Alan Clark Republican Senate Yea
Ronald Caldwell Republican Senate Yea
Bart Hester Republican Senate Yea
Jimmy Hickey Republican Senate Yea
Dan Sullivan Republican Senate Yea
David Wallace Republican Senate Yea
Blake Johnson Republican Senate Yea
Justin Boyd Republican Senate Yea
Clarke Tucker Democrat Senate Yea
Scott Flippo Republican Senate Yea
Clint Penzo Republican Senate NV
Mark Johnson Republican Senate Yea
Ricky Hill Republican Senate Yea
Jamie Scott Democrat Senate Yea
Breanne Davis Republican Senate Yea
Ben Gilmore Republican Senate Yea
Joshua Bryant Republican Senate NV
Matt McKee Republican Senate NV
Jim Petty Republican Senate Yea
Steve Crowell Republican Senate Yea
Tyler Dees Republican Senate Yea
Matt Stone Republican Senate Yea

Third Reading

March 20, 2025
Yea: 78 Nay: 5 NV: 17 Absent: 0 Passed
View individual votes (100)
Legislator Party Chamber Vote
Tracy Steele Democrat House Yea
Fred Allen Democrat House Yea
Lane Jean Republican House Yea
Stephen Meeks Republican House Yea
Mark Perry Democrat House Yea
Jon Eubanks Republican House Yea
Matthew Shepherd Republican House Yea
Jeff Wardlaw Republican House NV
Bruce Cozart Republican House Yea
David Whitaker Democrat House Yea
Mike Holcomb Republican House Yea
Stephen Magie Democrat House Yea
Mark McElroy Republican House Yea
Richard Womack Republican House NV
Jack Ladyman Republican House Nay
Robin Lundstrum Republican House Nay
Dwight Tosh Republican House Yea
Rick Beck Republican House NV
Mary Bentley Republican House Yea
Les Eaves Republican House Yea
Justin Gonzales Republican House NV
Julie Mayberry Republican House Yea
Ken Ferguson Democrat House Yea
Ron Mcnair Republican House NV
Marcus Richmond Republican House Yea
Deann Vaught Republican House Yea
Karilyn Brown Republican House Yea
Sonia Eubanks Barker Republican House Yea
Frances Cavenaugh Republican House Yea
Jimmie Gazaway Republican House Yea
Roger Lynch Republican House Yea
John Maddox Republican House Yea
Aaron Pilkington Republican House Yea
Johnny Rye Republican House Yea
Les Warren Republican House Yea
Carlton Wing Republican House NV
Austin Mccollum Republican House NV
Carol Dalby Republican House Yea
Steve Hollowell Republican House Yea
Brian Evans Republican House Yea
Lee Johnson Republican House Yea
Andrew Collins Democrat House Yea
Stan Berry Republican House Yea
Harlan Breaux Republican House Yea
Cameron Cooper Republican House NV
Nicole Clowney Democrat House Yea
Cindy Crawford Republican House Yea
Denise Garner Democrat House Yea
Tippi McCullough Democrat House Yea
Jay Richardson Democrat House Yea
Jim Wooten Republican House Yea
Denise Ennett Democrat House Yea
Richard McGrew Republican House Yea
Joy Springer Democrat House Yea
Howard Beaty Republican House Yea
Tony Furman Republican House Yea
Kendon Underwood Republican House Nay
David Ray Republican House NV
John Carr Republican House NV
Rick McClure Republican House Yea
Keith Brooks Republican House Yea
Ashley Hudson Democrat House Yea
Jon Milligan Republican House Yea
RJ Hawk Republican House Yea
Wade Andrews Republican House Yea
Rebecca Burkes Republican House Nay
Hope Duke Republican House Nay
Zack Gramlich Republican House Yea
Mindy McAlindon Republican House NV
Matt Duffield Republican House Yea
Stetson Painter Republican House Yea
Steve Unger Republican House Yea
Wayne Long Republican House NV
Scott Richardson Republican House Yea
Brandon Achor Republican House Yea
Jeremiah Moore Republican House Yea
Joey Carr Republican House Yea
Matt Brown Republican House Yea
Shad Pearce Republican House Yea
Chad Puryear Republican House Yea
Ryan Rose Republican House NV
Bart Schulz Republican House NV
Trey Steimel Republican House Yea
Tara Shephard Democrat House Yea
Jeremy Wooldridge Republican House Yea
Kendra Moore Republican House Yea
Brit McKenzie Republican House Yea
Steven Walker Republican House NV
Glenn Barnes Democrat House Yea
Lincoln Barnett Democrat House Yea
Alyssa Brown Republican House NV
Nick Burkes Republican House NV
Paul Childress Republican House Yea
James Eaton Republican House Yea
Brad Hall Republican House Yea
Dolly Henley Republican House Yea
Jessie McGruder Democrat House Yea
Jason Nazarenko Republican House Yea
Randy Torres Republican House Yea
Diana Gonzales Worthen Democrat House Yea
Read Full Bill on arkleg.state.ar.us