RULE 135.00.89-001 - Rules and Regulations of the State Land Commission
RULE 135.00.89-001. Rules and Regulations of the State Land Commission
1. Land Offered for Sale
A. All land offered for sale by the Commissioner of State Lands has been certified to the State for non-payment of taxes from the county where the land is located.
B. The property being offered is identified by legal description and/or parcel number as certified by the county.
C. The Commissioner of State Lands recommends that all prospective purchasers do their own research as to the use of the land for their intended purpose and make a personal inspection of the property.
2. Notice of Sale
A. A notice of sale will be published by the Commissioner of State Lands in a newspaper having general circulation in the county where the land is located.
B. In most cases the sale will take place in the county where the land is located.
C. A notice of sale will be mailed to all interested parties known to the Commissioner.
3. Contents of the Notice of Sale
A. The assessed value of the land
B. The amount of taxes, interest, penalties and other costs due on the land.
C. The legal description of the land.
D. A list of all recorded liens against the land that are known to the Commissioner.
E. A deadline at which time bids must be delivered.
F. The land will be sold to the highest bidder provided the bid is equal to the assessed value of the land.
4. Registration at the Sale
A. Registration will take place prior to the time of sale as specified in the notice.
B. No bids will be accepted unless the bidder has registered and received a pre-numbered bid card.
5. Who May Bid
Any person, corporation or association or agent thereof may bid on the properties offered except that the Commissioner of State Lands and his employees, the County Collector or his deputy and the Clerk of the County or his deputy'may not bid on the property or be involved in the purchase of such property.
A. In General
1. The minimum bid amounts are shown on the list. The minimum bid amount is equal to the assessed value of the land as certified to the Commissioner of State Lands by the county.
2. Each sale will be made to the highest responsible bidder for not less than the minimum bid amount.
3. Successful bidders, whether bidding by mail or at the auction, will receive receipts for payments made.
B. At Auction
1. Subject to proper registration as outlined in Rule 4, bids may be made at the oral auction on the day of the sale.
2. Each parcel of land will be offered separately and in the order appearing on the bid list.
3. An oral bid accepted at public auction is a legal and binding contract to purchase.
C. By Mail
1. Bids by mail must be received by the Commissioner of State Lands no later than seven (7) days prior to the date of sale.
2. Unsuccessful bidders will be refunded in full.
3. Bids received by the Commissioner prior to the sale date will be announced immediately preceding the oral auction of the parcel.
7. Terms of Sale
A. The full purchase price is equal to the highest amount bid plus the "TAX DUE" amount as listed in the catalog.
B. Successful bidders must tender the full purchase price (the amount bid plus the "TAX DUE" amount as listed) at the time of the sale.
C. Bids by mail must include the full purchase price (the amount bid plus the "TAX DUE" amount as listed).
D. At the auction or by mail, the first one hundred dollars ($100.00) of the full purchase price must be paid in cash, by money order or cashier check with the balance payable by personal check. No deed will be issued until clearance is assured by the bank or lending institution on which such checks are drawn. (DO NOT SEND CASH BY MAIL).
E. All cashier checks, money orders, and checks should be made payable to the Commissioner of State Lands.
F. No purchase may be made on a time-payment plan.
G. Upon payment of the full purchase price, the successful bidder will receive a certificate of purchase from the Commissioner of State Lands.
H. Record owners, their agents, or assigns have thirty (30) days from the date of the sale to redeem the property.
I. In the event of redemption, the purchaser at the sale will receive a full refund, no interest accruing.
J. If no redemption occurs, the purchaser will receive a limited warranty deed from the Commissioner of State Lands subsequent to the expiration of the 30 day redemption period.
A. The cash amount tendered on the day of the sale will be forfeited by the successful bidder in the event the check used to pay the balance is a non-negotiable instrument.
B. Pursuant to the provisions of A.C.A. Section 5-37-301 through 307, "The Arkansas Hot Check Law", the maker of checks returned to the Commissioner of State Lands for insufficient funds will be prosecuted.
C. The Commissioner of State Lands reserves the right to exclude any individual, partnership or corporation from the bidding process for failure to abide by these rules or for failure to carry on business in good faith.
9. Title Being Conveyed
Deeds are limited warranty deeds conveying all title received by the State through tax forfeiture.
10. Legal Action Against the Conveyance
A. Most actions to contest the validity of the deeds must be filed within two (2) years after the date of conveyance [Exceptions to this rule are listed under A.C.A. Section 26-37-203(b)(1) & (2).]
B. If the sale is set aside by legal action or if the land is proven to-be nonexistent, or double assessed, the purchaser will be entitled to a reimbursement of money paid to the Commissioner of State Lands, interest not accruing thereon.
11. Negotiated Sales
A. In the event no one bids at least the minimum bid, the Commissioner of State Lands may negotiate a sale.
B. Such sales that are negotiated shall take place at a time which will be specified at the auction and which will be held at the offices of the Commissioner of State Lands. Prior to execution such sales must have the approval of the Attorney General of the State of Arkansas.
Nothing in these rules and regulations shall apply to the sale of tax delinquent land which has been or will be certified to the Commissioner of State Lands for tax years prior to 1978.(5/25/1989)
The following state regulations pages link to this page.