Bill Text: AZ SB1371 | 2017 | Fifty-third Legislature 1st Regular | Engrossed

Bill Title: Delinquent property taxes; common areas

Spectrum: Partisan Bill (Republican 1-0)

Status: (Engrossed - Dead) 2017-05-10 - House third reading None voting: (27-27-6-0) [SB1371 Detail]

Download: Arizona-2017-SB1371-Engrossed.html




House Engrossed Senate Bill




State of Arizona


Fifty-third Legislature

First Regular Session










Amending sections 11-475, 11-479 and 42-17153, Arizona Revised Statutes; amending title 42, chapter 18, article 3, Arizona Revised Statutes, by adding section 42‑18121.02; relating to county government procedures.





Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 11-475, Arizona Revised Statutes, is amended to read:

START_STATUTE11-475.  Fees; exemption

A.  The county recorder shall receive the following fees:

1.  For recording papers required or authorized by law to be recorded, if the fee is not otherwise specified in this section, five dollars for the first five pages plus one dollar for each additional page.  In no case shall the charge for additional pages exceed two hundred fifty dollars.

2.  For recording papers to which the United States, this state or a political subdivision thereof, including cities, towns and irrigation, drainage and electrical districts, is a party, when recorded at the request of the United States, this state or the political subdivision, three dollars for the first five pages, plus fifty cents for each additional page, such fee to apply only if the fee is to be paid from public monies.  Those fees due the county recorder from the state for recording papers may be paid on a monthly basis.

3.  For preparing and certifying copies of a record in the recorder's office, one dollar for each page or partial page.  In addition for attaching the recorder's certificate and seal, three dollars.

4.  For issuing a certificate pursuant to section 47‑9523, ten dollars for each name, plus one dollar for each financing statement or statement of assignment reported therein.

5.  Fifteen dollars for each deed that transfers, conveys or affects an interest in real property.

6.  Twenty‑five dollars for each deed of trust or mortgage.

7.  Ten dollars for each release of a deed of trust or mortgage.

B.  A person recording a deed of trust or mortgage for residential property constructed for at least one family but not more than four families shall include "residential 1‑4" in the caption heading on the first page of each document.  Failure to comply with this subsection does not affect the validity of the document or the validity of the recording of the document.

C.  The fees provided in subsection A, paragraphs 5, 6 and 7 of this section include the amount charged pursuant to subsection G of this section and section 11‑475.01.

D.  The standard fee shall be charged for the first indexing category indicated by the caption of any instrument.  Three dollars shall be charged for each additional indexing category on the same instrument.

E.  The standard fee shall be charged for the first assignment, partial assignment, release, partial release or other modification of any instrument.  Three dollars shall be charged for each additional transaction on the same instrument.

F.  Notwithstanding subsection A, paragraph 3 of this section, the recorder shall prepare and furnish copies and certifications at one‑half of the established fee when requested by any state agency for official purposes.

G.  One dollar shall be charged for each instrument if the recorder is required to deliver the instruments by mail.  The fee collected pursuant to this subsection shall be deposited into the county general fund.

H.  The county recorder shall not receive a fee for performing the duties prescribed by this section for an office, agency or department of the county where the document is to be recorded.  This exemption shall apply only when such fees would otherwise be paid from public monies.


Sec. 2.  Section 11-479, Arizona Revised Statutes, is amended to read:

START_STATUTE11-479.  Destruction of records; requirements; exception

A.  The county recorder may destroy, under sections 41‑151.09, 41‑151.11, 41‑151.12, 41‑151.13, 41‑151.14, 41‑151.15, 41‑151.16, 41‑151.17, 41‑151.18 and 41‑151.19, all of the filed papers or record books created by handwriting, by typing on printed forms, by typewriting by photostatic or photographic methods or by any electronic means in the recorder's official custody, except federal tax lien notices AND TAX LIEN NOTICES UNDER section 42-17153, if all of the following conditions exist:

1.  The record, paper or document is photographed or reproduced by any other method under the direction and control of the county recorder on electronic media or film of a type approved for permanent record by the Arizona state library, archives and public records.

2.  The device used to reproduce the record, paper or document on film or electronic media is one which accurately and legibly reproduces the original in all details.

3.  The photographs or other reproductions on film or electronic media are made as accessible for public reference as the book records were.

4.  A true copy of archival quality of such film or electronic media reproduction is kept in a safe and separate place for security purposes.

B.  No page of any record, paper or document shall be destroyed if any such page cannot be reproduced on film or electronic media with full legibility.  Every such unreproducible page shall be permanently preserved in a manner that will afford easy reference. END_STATUTE

Sec. 3.  Section 42-17153, Arizona Revised Statutes, is amended to read:

START_STATUTE42-17153.  Lien for taxes; time lien attaches; priority

A.  Except as provided in subsection subsections B and C of this section, a tax that is levied on real or personal property is a lien on the assessed property.

B.  A tax that is levied against personal property of a person who owns real property of a value of less than two hundred dollars in the county is a personal liability of the property owner, in addition to being a lien against the property.

C.  A tax that is levied against a residential common area that is described in and valued pursuant to chapter 13, article 9 of this title is the corporate liability of the homeowners' association, in addition to being a lien against the property.

C.  D.  The lien:

1.  Attaches on January 1 of the tax year.

2.  Is not satisfied or removed until one of the following occurs:

(a)  The taxes, penalties, charges and interest are paid.

(b)  Title to the property has finally vested in a purchaser under a sale for taxes.

(c)  A certificate of removal and abatement has been issued pursuant to section 42‑18353.

3.  Is prior and superior to all other liens and encumbrances on the property, except:

(a)  Liens or encumbrances held by this state.

(b)  Liens for taxes accruing in any other years.

D.  E.  For taxpayers valued by the department pursuant to section 42‑14151, the lien shall attach attaches:

1.  To all property, real and personal, regardless of the taxing jurisdiction where such property is located.  Such lien will attach

2.  To the entire system and may not be released by payment of a portion of the tax liability relating to a single portion or component of the system.

E.  F.  If a political subdivision of this state acquires title to property after December 31, 1998, any lien for delinquent taxes on the property:

1.  Is not abated, extinguished, discharged or merged in the title to the property unless approved by the county board of supervisors.

2.  Is enforceable in the same manner as other delinquent tax liens. END_STATUTE

Sec. 4.  Title 42, chapter 18, article 3, Arizona Revised Statutes, is amended by adding section 42-18121.02, to read:

START_STATUTE42-18121.02.  Purchase of tax lien on residential common area; satisfaction of lien; purchaser's recourse

As provided by section 42-17153, subsection C, a tax that is levied against a residential common area that is described in and valued pursuant to chapter 13, article 9 of this title is the corporate liability of the homeowners' association, in addition to being a lien against the property. If a tax lien on a residential common area is sold to a purchaser pursuant to this article:

1.  The tax lien is satisfied on payment by the purchaser of the amount of delinquent taxes, interest and penalties for which the lien was sold.

2.  The treasurer shall remove the lien and make the proper entries in the treasurer's record of tax lien sales.

3.  The redemption and foreclosure provisions of this chapter do not apply.

4.  The purchaser's recourse is through judicial action against the homeowners' association on the association's corporate liability for the amount of the delinquent taxes, interest, penalties and charges relating to the prior lien plus additional interest on that amount at the bid rate under section 42-18114. END_STATUTE

Sec. 5.  Effective date

Section 42-17153, Arizona Revised Statutes, as amended by this act, and section 42-18121.02, Arizona Revised Statutes, as added by this act, are effective from and after December 31, 2018.