Committee authorizes in rem takings for tax-delinquent parcels; deed-restriction decision delayed

Chair Gerry Gibbs and county staff told the Human Resources, Finance and Property Committee on Thursday that administration is ready to move forward with in rem proceedings for tax-delinquent parcels listed in a petition scheduled for an Oct. 7 court hearing. Committee members voted to authorize taking parcels that remain unsatisfied after that hearing and deferred a final decision on deed restrictions until the committee's first meeting in December.

The authority to begin in rem takings and the timetable: The action stems from staff work to clear long-outstanding tax certificates and move properties back onto the tax rolls. Staff reported that more owners are paying delinquent taxes, and recommended proceeding at the Oct. 7 court hearing for the parcels listed in the current petition. The committee voted to authorize the taking of parcels that remain unsatisfied after that hearing; the motion was made by Chair Gerry Gibbs and seconded by Supervisor Pool and passed unanimously.

Why it matters: Moving tax-delinquent properties through in rem proceedings can return parcels to productive use and restore taxable value. Staff said the county will follow court action with post-taking steps required by county ordinance, typically including appraisal and listing on Wisconsin Surplus.

What staff reported and the committee's direction: A staff presenter identified as Lance (staff member) said the administration had split an initial batch of 43 tax-deed properties into two groups because statutory notice requirements required additional publication for some addresses; he told the committee that progress on collections has been steady and that “people do continue to pay.” Lance said 97 parcels had been selected for potential in rem action, and the filed petition includes 89 parcels. He asked for committee authorization to take any parcels that remain unpaid at the conclusion of the Oct. 7 hearing.

Data and process details given to the committee: Lance compared counterbook reports across years to measure progress: tax certificates outstanding from tax year 2021 were 315 in the October 2024 counterbook; the comparable number for tax year 2022 was reported as 222, a reduction staff described as just shy of 30 percent. Staff also reported that about 1,676 tax certificates had been newly issued in September and that the total outstanding certificates across all years decreased from 3,786 (in Oct. 2024 report) to 3,528 as of the September report cited in the meeting. Staff flagged that many of the oldest certificates (for tax years 2013–2017) have dropped sharply in count across the review period.

Committee conditions and timing: Committee members asked how soon title would vest after the hearing; staff said title could vest on Oct. 7 assuming no contest. The committee agreed to proceed with takings but to postpone any final policy on deed restrictions until more information about the results of earlier takings is available. In practice, staff said appraisals and 28-day vacate notices for improved parcels may delay listing on Wisconsin Surplus into November.

Discussion versus decision: Committee members engaged in substantive discussion about "sliver" parcels (very small parcels with low tax values) and parcels affected by bankruptcy or needing additional notice. That discussion was recorded as discussion only. The formal committee decision authorized in rem takings for listed parcels unsatisfied at the Oct. 7 hearing and set a direction to revisit deed-restriction policy at the committee's first December meeting.

Next steps: Staff will proceed with the Oct. 7 court filing and take title to parcels that remain unsatisfied after that hearing; appraisals and vacancy-notice timelines will determine when individual parcels can be listed on Wisconsin Surplus. The committee's December meeting will include a return agenda item to decide whether to impose deed restrictions on taken parcels.