Relating to the right to repurchase from a condemning entity certain real property for which ad valorem taxes are delinquent.

Contracts

• Tax Vendor MSAs: Amend Master Service Agreements with third-party tax payment vendors. You must include indemnification clauses that cover the full replacement cost of the real property (not just penalties/interest) if their negligence triggers a repurchase right.
• Joint Ventures: Update Operating Agreements for JVs holding condemned land. Explicitly define the "Tax Matters Partner" and assign strict liability for asset loss caused by tax delinquency.

Hiring/Training

• Cross-Department Integration: The Tax Department and Right-of-Way (ROW) Department must integrate workflows. Tax staff must be trained to treat eminent domain parcels as "zero-tolerance" assets regarding payment delays.
• Inquiry Response: Staff must be trained to identify and respond to "Statement of Tax Status" requests from former owners within statutory deadlines to prevent tolling of repurchase windows.

Reporting & Record-Keeping

• Heir Tracking: Establish a system to maintain contact information for previous owners, heirs, and assigns for a minimum of 10 years.
• Mandatory Notices: Implement automated triggers to generate:
• 1. Statement of Tax Status: Required upon request (permitted annually starting 18 months post-acquisition).
• 2. Notice of Right to Repurchase: Required via certified mail within 180 days if taxes remain unpaid for three years.

Fees & Costs

• Operational Costs: Low immediate fiscal impact.
• Penalty Risk: Severe. The cost is the forfeiture of asset equity (e.g., selling a \$500k asset back for the original \$100k price).