Town of Frye Island
State of Maine
Chapter 110 -- TAX
[HISTORY: Adopted Town Meeting 10/7/00, WA08]
Table of Contents
Management and Administration
Disposition of tax-acquired property
This chapter shall be known as and may be cited as the �Policy for
Tax-Acquired Property for the Town of Frye Island, Maine� and shall be
referred to herein as �this chapter.�
The purpose of this
chapter is to establish a policy procedure whereby real estate property acquired
in accordance with M.R.S.A. �� 942 and 943, as amended, shall be managed,
administered and disposed of by the Town of Frye Island. This is a policy and
not an ordinance.
For the purpose of
this chapter, the following definitions shall be observed in the construction of
FORECLOSED TAX LIEN
� A tax lien mortgage that has automatically foreclosed pursuant to 36 M.RS.A.
�� 942 and 943.
JUST VALUE FOR THE
CURRENT YEAR TAXES NOT ASSESSED � The amount of taxes that would have been
assessed to the property had it not been owned by the municipality on April 1 of
the year in which it is sold by the municipality. (NOTE: The purpose of this
definition is to recover for the municipality those taxes which would have been
assessed to the municipality if it had been privately owned on April 1 in the
year which it is sold. These taxes would be lost under current law if the
municipality sells tax-acquired property after April 1.)
LAND or LANDS � That
portion of the physical surface of the earth either natural or modified by man
to a permanent or semi-permanent state and all natural or man-made resources
therein and thereon. For the purpose of this chapter, �land� shall be
commonly referred to as �real estate property.� as cited below.
MAIL � Regular,
first class mail posted at any United States Post Office, postage prepaid.
ESTATE PROPERTY � Any structure, building or dwelling, the same being
constructed or fabricated elsewhere and transported, in whole or in part, to and
placed, set or installed permanently or temporarily upon land within the
municipality. For the purpose of this chapter, �manufactured real estate
property� shall be commonly referred to as �real estate property�, as
MUNICIPALITY � The
Town of Frye Island, Maine
MUNICIPAL OFFICERS �
The Board of Selectmen of the Town of Frye Island, Maine
PRIOR OWNER � The
person or persons, entity or entities, heirs or assigns to whom the property was
most recently assessed for municipal taxes.
QUITCLAIM DEED � A
signed, legal instrument releasing the municipality�s right, title or interest
in real estate property, acquired by virtue of foreclosed tax liens, to an
individual or individuals, entity or entities, without providing a guaranty or
warranty of title to the same.
REAL ESTATE PROPERTY
� All land or lands and all structures, buildings, dwellings, tenements and
hereditaments, including manufactured real estate property, located or relocated
upon any land or lands connected therewith and all rights thereto and interests
TAX ACQUIRED PROPERTY
� That real estate property tax acquired by the municipality by virtue of a
foreclosed tax lien as cited above.
TAX LIEN � The
statutory lien created by 36 M.R.S.A. � 552.
foreclosure of a tax lien mortgage, title to the real estate property
automatically passes to the municipality. The management of this property rests
exclusively with the municipal officers, subject to the provisions of state
statues and local municipal ordinances and regulations. The Treasurer shall
annually provide the municipal officers with an inventory of all tax-acquired
property within fourteen (14) days of the date of foreclosure of tax liens. The
inventory shall include all tax-acquired property from prior years in which the
municipality continues to retain an interest, as well as all other real estate
owned by the municipal even though not tax acquired. The purpose of the
inventory is to advise the municipality officers of that real estate in which
the municipality has an interest.
officers shall obtain fire loss insurance for tax-acquired property in a dollar
value not less than all outstanding taxes, liens, costs and other attendant
officers shall determine when and if any occupants of tax acquired property
shall vacate the same.
officers shall determine whether a tax-acquired property is to be retained for
municipal use or disposed of in accordance with provisions of this chapter. The
municipal officers shall determine which lots, if any shall be appraised prior
officers may pursue an auction for equitable relief in accordance with the
provisions of 36 M.R.S.A. � 946, as amended, as a means of securing a clear
title to any tax-acquired property, whether it is to be sold or retained.
officers may change a monthly rental fee to any and all occupants of
tax-acquired property. Should a rental fee be charged, the municipal officers
shall obtain general liability insurance coverage for the rented tax-acquired
officers shall, in the event that the property is vacated for sixty (60)
consecutive days, obtain general liability insurance coverage for the
of tax-acquired property
Should the municipal
officers determine that title to tax acquired property be relinquished rather
than retained by the municipality, the following shall be observed:
For a thirty-day
period following the date of foreclosure, the Treasurer may accept payment from
the prior owner for all past due taxes, accrued interest and costs associated
with the tax lien foreclosure process if offered by the prior owner. Following
the acceptance of payment, the municipality shall deliver a municipal quitclaim
deed to the prior owner releasing the municipality�s interest in the property.
officers shall solicit public bids for the sale of the tax-acquired property and
shall receive, open and read aloud submitted bids
officers shall send notice of the impending sale, via mail only, to any and all
prior owners of said property. Such notification shall be made at least
forty-five (45) days prior to the scheduled sale. Said prior owner may redeem
the property within the 30 days immediately following notification, with full
payment of all outstanding taxes. Including a just value for the current year
not assessed, liens, interest and all costs, including but not limited to notice
and insurance costs.
officers shall cause a public notice of an impending public sale of tax-acquired
property to be posted within the Town Office and to be advertised for two (2)
successive weeks in those newspapers generally used by the town for legal
advertisements. The last notice shall be published at least seven (7) days prior
to the advertised sale date.
officers require the following for proper submission: A bid sheet containing a full description of the property being bid upon,
and the bid price in United State currency.
A bid sheet containing a full description of the property being bid upon, and the bid price in United State currency.
officers shall require that those bid terms cited in Subsection E (1) and (2) be
sealed in a single plain envelope marked only �Tax-Acquired Property Bid� on
the exterior and either be hand delivered to the municipality or, if mailed,
enclosed within a second envelope addressed; Town Manager, Town of Frye Island 1
Sunset Road, Frye Island, Maine 04071. All bids must be received by the
municipality no later than 10:00 am daylight saving time on the date that bids
shall be opened and read.
officers generally will not accept any bid for a dollar amount less than the
total outstanding taxes, including a just value for current year taxes not
assessed, liens, interest and all costs, including but not limited to public
notice fees and insurance costs.
officers shall retain the right to accept or reject any and all bids submitted
and shall cause the same disclaimer to be noted in any public notice soliciting
bids in accordance with this chapter. Should the municipal officers reject all
bids, the property may be offered again for public sale without notice to any
prior owner or owners and without first having offered it to any prior owner
officers shall notify, via mail, any successful bidder.
The municipal officers
shall, as a credit to payment, retain the submitted old price deposit of any
successful bidder and shall return all other submitted deposits within ten (10)
days of the bid opening.
The municipal officers
shall require payment in full from any successful bidder within thirty (30)
calendar days following the date when bids are opened and read (see Subsection L
for exception). Should the bidder fail to pay the full balance, the municipality
shall retain the bid price deposit and title to the property.
The municipal officers
may, subject to a show of good faith on the part of the bidder, extend the time
limit a one-time-only additional twenty (20) days in which full payment must be
The municipal officers
shall issue only a quitclaim deed to convey title to tax acquired property.
The successful bidder
shall be responsible for the removal of any and all occupants of purchased
tax-acquired property and shall, in writing, forever indemnify and save harmless
the municipality from any and all claims arising out of the sale of the
tax-acquired property brought by the occupants of the purchased property, their
heirs or assigns.
This is a policy and
not an ordinance, which is intended as a guideline with regard to tax-acquired
property. The municipal officers may vote to take action different from the
guidelines set forth in this chapter if in their judgment it is in the best
interest of the Town of Frye Island.
those cases where the municipality has taken possession of the real estate, and
personal property of someone other than the municipality remains on the real
estate, the municipality shall comply with Maine law with respect to the
disposition of abandoned personal property. In those cases where the
municipality has not taken possession of the real estate, the successful bidder
shall be responsible for complying with Maine law with respect to the
disposition of abandoned personal property and shall indemnify and hold harmless
the municipality from any and all claims which may be made against the
municipality with respect to such personal property.
may not be withdrawn at any time after submission.
Effective Date: October 7, 2000
Download above info in MS Word format | Return to the Frye Island homepage