Senate Bill 26-044 Introduced

A Bill for an Act

• Page 1, Line 101Concerning the collection of taxes on mineral rights by

• Page 1, Line 102county treasurers.

Bill Summary

(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)

The bill authorizes a board of county commissioners to cancel any taxes that have been levied on a severed mineral account 5 years after the date the taxes become delinquent. The bill establishes certain requirements for when a county may convey a tax lien on a severed mineral account to a grantee or surface owner of record after a period of 5 years.

• Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:

• Page 2, Line 2SECTION 1.  In Colorado Revised Statutes, 39-10-114, add

• Page 2, Line 3(2)(c) as follows:

• Page 2, Line 439-10-114.  Abatement - cancellation of taxes.

• Page 2, Line 5(2) (c)  Any taxes levied on a severed mineral account that

• Page 2, Line 6are determined to be uncollectible five years after the date the

• Page 2, Line 7taxes become delinquent may be canceled by the board of

• Page 2, Line 8county commissioners of the county that levied the taxes, and

• Page 2, Line 9the mineral account shall be distinguished and conveyed to the

• Page 2, Line 10grantee or surface owner of record by means of recorded tax

• Page 2, Line 11deed, at no cost to the grantee or surface owner of record, or

• Page 2, Line 12conveyed to the treasurer's office.

• Page 2, Line 13SECTION 2.  In Colorado Revised Statutes, 39-11-128, add (3)

• Page 2, Line 14as follows:

• Page 2, Line 1539-11-128.  Condition precedent to deed - notice - exception.

• Page 2, Line 16(3)  Subsection (1) of this section does not apply to taxes

• Page 2, Line 17on a severed mineral account that have been canceled by a

• Page 2, Line 18board of county commissioners pursuant to section 39-10-114

• Page 2, Line 19(2)(c). Taxes on severed mineral accounts that have been

• Page 2, Line 20canceled by the board of county commissioners shall be

• Page 2, Line 21distinguished and conveyed to the grantee or surface owner of

• Page 2, Line 22record by means of recorded tax deed, and no fee is required for

• Page 2, Line 23the processing or recording of such tax deed.

• Page 2, Line 24SECTION 3.  In Colorado Revised Statutes, 39-11-142, amend

• Page 2, Line 25(6)(a) as follows:

• Page 2, Line 2639-11-142.  Disposition of certificates held by counties.

• Page 3, Line 1(6) (a) (I)  Before July 1, 2024, in all cases where Except as

• Page 3, Line 2provided in subsection (6)(a)(II) of this section, if a tax lien on real

• Page 3, Line 3property has been struck off to the county at a tax sale and the county has

• Page 3, Line 4held the certificate of sale for thirty fifteen years or more without

• Page 3, Line 5obtaining a tax deed as provided in this section, then such certificate may

• Page 3, Line 6be declared void and of no effect.

• Page 3, Line 7(II)  In all cases where a tax lien on a severed mineral

• Page 3, Line 8account has been struck off to the county at a tax sale and the

• Page 3, Line 9county has held the certificate of sale for five years or more

• Page 3, Line 10without obtaining a tax deed as provided in this section, then

• Page 3, Line 11such certificate may be declared void and of no effect, and the

• Page 3, Line 12severed mineral account may be conveyed to the grantee or

• Page 3, Line 13surface owner of record by means of recorded tax deed.

• Page 3, Line 14SECTION 4.  In Colorado Revised Statutes, 39-11-148, amend

• Page 3, Line 15(1) and (3) as follows:

• Page 3, Line 1639-11-148.  Limitations on tax certificates - special

• Page 3, Line 17improvement liens.

• Page 3, Line 18(1) (a)  No Except as provided in subsections (1)(b) and (3) of

• Page 3, Line 19this section, a lien upon real property created by a tax certificate or a

• Page 3, Line 20certificate of purchase issued by a treasurer on account of any delinquent

• Page 3, Line 21property taxes or any special assessment of any kind or nature shall not

• Page 3, Line 22remain a lien thereon for a period longer than fifteen years after the

• Page 3, Line 23original issuance thereof. except as provided in subsection (3) of this

• Page 3, Line 24section. This section shall does not apply to any tax certificate or

• Page 3, Line 25certificate of purchase issued to and held by the county, city, city and

• Page 3, Line 26county, or district levying such tax or special assessment; except that, in

• Page 3, Line 27the event of an assignment of such tax certificate or certificate of

• Page 4, Line 1purchase so issued to and held by such county, city, city and county, or

• Page 4, Line 2district, the lien of such tax certificate or certificate of purchase shall

• Page 4, Line 3cease fifteen years after the date of its issuance subject only to the

• Page 4, Line 4provisions of subsection (3) of this section.

• Page 4, Line 5(b)  Except as provided in subsection (3) of this section, a

• Page 4, Line 6lien upon a severed mineral account created by a tax certificate

• Page 4, Line 7or a certificate of purchase issued by a treasurer on account of

• Page 4, Line 8any delinquent property taxes or any special assessment of any

• Page 4, Line 9kind or nature shall not remain a lien thereon for a period

• Page 4, Line 10longer than five years after the original issuance thereof. This

• Page 4, Line 11subsection (1)(b) does not apply to any tax certificate or

• Page 4, Line 12certificate of purchase for a severed mineral account that is

• Page 4, Line 13issued to and held by the county, city, city and county, or

• Page 4, Line 14district levying such tax or special assessment; except that, in

• Page 4, Line 15the event of an assignment of such tax certificate or certificate

• Page 4, Line 16of purchase so issued to and held by such county, city, city and

• Page 4, Line 17county, or district, the lien of such tax certificate or

• Page 4, Line 18certificate of purchase shall cease five years after the date of

• Page 4, Line 19its issuance subject only to the provisions of subsection (3) of

• Page 4, Line 20this section.

• Page 4, Line 21(3) (a)  Except as provided in subsection (3)(b) of this

• Page 4, Line 22section, in the event of an assignment of a tax certificate or certificate

• Page 4, Line 23of purchase for real property that is held by a county, city, city and

• Page 4, Line 24county, or district levying such tax wherein such certificate is fifteen

• Page 4, Line 25years old at the time of assignment or will become fifteen years old within

• Page 4, Line 26one year from the date of such assignment, the assignee thereof shall be

• Page 4, Line 27is entitled to a tax deed in the manner provided by law if such assignee or

• Page 5, Line 1other legal holder of such certificate institutes proceedings to procure a

• Page 5, Line 2tax deed by making a demand upon the treasurer for the same, as

• Page 5, Line 3provided by law, within one year from the date of such assignment by the

• Page 5, Line 4county, city, city and county, or district levying such tax.

• Page 5, Line 5(b)  In the event of an assignment of a tax certificate or

• Page 5, Line 6certificate of purchase for a severed mineral account that is

• Page 5, Line 7held by a county, city, city and county, or district levying such

• Page 5, Line 8tax wherein such certificate is five years old at the time of

• Page 5, Line 9assignment or will become five years old within one year from

• Page 5, Line 10the date of such assignment, the assignee thereof is entitled to

• Page 5, Line 11a tax deed in the manner provided by law if such assignee or

• Page 5, Line 12other legal holder of such certificate institutes proceedings to

• Page 5, Line 13procure a tax deed by making a demand upon the treasurer for

• Page 5, Line 14the same, as provided by law, within one year from the date of

• Page 5, Line 15such assignment by the county, city, city and county, or district

• Page 5, Line 16levying such tax.

• Page 5, Line 17SECTION 5.  In Colorado Revised Statutes, 39-11-151, add (4)

• Page 5, Line 18as follows:

• Page 5, Line 1939-11-151.  County officials and employees may not acquire a

• Page 5, Line 20tax lien or property by sale of a tax lien - exception.

• Page 5, Line 21(4)  This section does not apply to the conveyance of a

• Page 5, Line 22severed mineral account in accordance with section 39-11-142

• Page 5, Line 23(6)(a)(II).

• Page 5, Line 24SECTION 6.  Act subject to petition - effective date. This act

• Page 5, Line 25takes effect at 12:01 a.m. on the day following the expiration of the

• Page 5, Line 26ninety-day period after final adjournment of the general assembly (August

• Page 5, Line 2712, 2026, if adjournment sine die is on May 13, 2026); except that, if a

• Page 6, Line 1referendum petition is filed pursuant to section 1 (3) of article V of the

• Page 6, Line 2state constitution against this act or an item, section, or part of this act

• Page 6, Line 3within such period, then the act, item, section, or part will not take effect

• Page 6, Line 4unless approved by the people at the general election to be held in

• Page 6, Line 5November 2026 and, in such case, will take effect on the date of the

• Page 6, Line 6official declaration of the vote thereon by the governor.