MEMORANDUM
TO: All County Assessors, Auditors, and Commissioners
FROM: Micah G. Vincent, Commissioner
RE: HEA 1568: Developer’s Discount; Sale of Vacant Parcels
DATE: June 6, 2013
On April 29, 2013, Governor Mike Pence signed into law House Enrolled Act 1568 (“HEA 1568”). Sections 2 and 6 amend statutes that govern matters related to property assessment. These changes are effective July 1, 2013. Please note that this memorandum is intended to be an informative bulletin; it is not a substitute for reading the law.
Section 2 amends IC 6-1.1-4-12 so that for purposes of the “Developer’s Discount,” a financial institution that holds land that: (1) has been subdivided into lots; or (2) re-zoned for, or put to, a different use; qualifies for a land development exception in which the reclassification of the land is delayed.
Section 6 amends IC 6-1.1-24-6.8, which governs the procedures for incorporating a parcel not sold at a tax sale into an adjacent parcel. Where IC 6-1.1-24-6.8 allows a county executive that holds a certificate of sale for a vacant parcel to sell the parcel to a contiguous residential property owner, section 6 makes the following changes:
(1) It provides that the vacant parcel or the certificate of sale for the vacant parcel will be sold to the successful applicant for $1, plus the amount of certain costs incurred by the county in the sale. (Under current law, the sale price does include costs incurred by the county.)
(2) It provides that for purposes of the statute, a “vacant parcel” includes an improved parcel.
(Current law provides that a “vacant parcel” includes only an unimproved parcel.)
(3) It specifies that the county executive may offer for sale the vacant parcel or the certificate of sale for a vacant parcel.
(4) It eliminates the property tax exemption for a vacant parcel acquired by a contiguous residential property owner.
(5) It provides that a contiguous residential property owner who receives a tax deed for a vacant parcel may not sell the vacant parcel for one year.
If you have any questions, please contact Assessment Division Director Barry Wood at (317) 232-3762 or bwood@dlgf.in.gov.
