More than 400 bidders registered for Luzerne County’s August delinquent tax auction, held at King’s College in Wilkes-Barre. Council is set to vote Tuesday on a $50 registration fee for bidders, as authorized by state law.
File photo
Luzerne County tax sale bidders would be charged a $50 registration fee under a proposal county council is set to vote on Tuesday.
Counties have authority to impose a fee under 2021 state legislation, and fees are in place in several other counties, including Lackawanna, Monroe, Carbon and Schuylkill, county Manager Romilda Crocamo said during a council work session last month.
Luzerne County would keep revenue from the fee, which was recommended by county tax-claim operator Elite Revenue Solutions LLC, Crocamo said.
Councilwoman LeeAnn McDermott said Elite informed her tax sales are “really getting crowded” due to bidders bringing other people not participating in the sales.
A fee could discourage non-bidders from taking up seats on the auction floor at the King’s College Scandlon Physical Education Center in Wilkes-Barre, McDermott had said during a meeting of council’s real estate committee, which she chairs.
McDermott also noted the fee will be credited toward purchases if bidders buy properties.
A registration fee also is warranted because increased due diligence is now required on all tax sale bidders, officials said.
The fee is authorized under the state’s 2021 amendment of the Real Estate Tax Law — legislation that attempts to weed out irresponsible bidders who contribute to blight. The amendment requires county tax claim offices to cut off bid registration sooner so municipalities have time to research whether prospective buyers have code violations.
More detailed information also is required from bidders under the amendment.
For example, companies must submit an affidavit disclosing the name, business address and phone number of all officers and shareholders and, for LLCs, all members, managers and individuals with ownership interests or rights.
Good-standing certificates from the last 90 days must be submitted by LLC, corporate and partnership bidders. The law also requires operating agreements for LLCs, bylaws for corporations and partnership agreements for partnerships.
Bidders also must attest that they are not delinquent on real estate taxes or municipal utility bills or bidding for or acting as an agent for a person who is barred from participating in the sale.
Only registered bidders are permitted on the auction floor as a control. Non-registered public observers must stand in a separate segregated area.
The next tax sale will be in April. Information on auctions is posted at luzernecountytaxclaim.com.
Tuesday’s meeting is at 6 p.m. in the county courthouse on River Street in Wilkes-Barre, with instructions for remote attendance posted under council’s online meeting section at luzernecounty.org.
Reach Jennifer Learn-Andes at 570-991-6388 or on Twitter @TLJenLearnAndes.
