To Amend The Law Concerning The Redemption Of A Tax-delinquent Parcel; And To Exempt Disabled Veterans From Certain Penalties When Redeeming A Tax-delinquent Parcel.
Summary
HB1400 amends Arkansas law governing the redemption of tax-delinquent parcels. Under current law, a person redeeming a delinquent parcel must pay the delinquent taxes, 10% simple interest for each year of delinquency, a 10% penalty for each year of delinquency, and applicable costs. The bill keeps those general redemption requirements in place but creates an exception for disabled veterans when they are redeeming a tax-delinquent parcel they own from the Commissioner of State Lands.
To qualify for the exemption, a disabled veteran must submit the required letter under existing veterans property-tax exemption law and otherwise satisfy the redemption requirements in § 26-37-310. The practical effect is to remove the annual 10% penalty from the redemption amount for eligible disabled veterans, while leaving delinquent taxes, interest, and costs due. The bill cross-references the existing statutory definition of “disabled veteran” in Arkansas law.
Impact
HB1400 directly amends Arkansas Code § 26-37-302, which sets the amounts required to redeem or purchase a tax-delinquent parcel. It adds a new subsection creating a penalty exemption for qualifying disabled veterans and modifies the general redemption language to make that exception explicit. The bill affects tax-delinquent property owners who are disabled veterans, the county collector, and the Commissioner of State Lands by reducing the amount owed in certain redemption cases and by requiring documentation tied to the existing disabled-veteran property-tax exemption framework.
Sentiment
The available voting history shows strong bipartisan support and no recorded opposition: the bill passed the House 98-0 and the Senate 35-0 on third reading. There are no committee transcripts provided, but the unanimous votes suggest the measure was viewed favorably and as a targeted benefit for disabled veterans rather than a controversial tax policy change.
Contention
No significant contention is reflected in the provided record. The only substantive policy choice in the bill is whether disabled veterans should be exempt from the 10% delinquency penalty when redeeming their own tax-delinquent property. Because the bill preserves the underlying taxes, interest, and other redemption requirements, any debate would likely have centered on the scope of the exemption, the documentation required to prove eligibility, and the fiscal effect on penalty revenue, but no objections are documented in the materials provided.