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Finance director proposes online tax-foreclosure auctions citing safety, county backs a pilot trial

3050320 · March 13, 2025
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Summary

Director of finance Laurie Skerritt recommended switching Tompkins County's non-real property tax foreclosure auction to an online platform because of safety concerns, large cash payments at past auctions, and staff overtime; the committee gave her discretion to pursue a pilot.

Tompkins County Director of Finance Laurie Skerritt asked the Budget, Capital and Personnel Committee on March 13 for guidance on whether to switch the county's tax foreclosure auction from an in-person event to an online platform.

Skerritt said safety at recent live auctions has become a concern and the sheriff's office provided armed assistance at the prior event; she also described handling unusually large cash payments and the need to transport those funds after hours. She said the live auction includes an informational meeting followed by an after-hours auction and that staff attendance incurs overtime. For those reasons, Skerritt proposed considering an online auction and asked whether the county should pursue that change.

Committee members discussed trade-offs. Legislator Randy Moose and others noted some buyers prefer to pay cash or need in-person assistance; Moose suggested a hybrid approach or better on-site security and payment controls if the auction remains in person. Deborah and Veronica asked whether online platforms affect revenue; Skerritt said counties report mixed results—some saw increased bids from a wider pool, others saw declines—and that there is not a definitive revenue impact.

The committee discussed operational details: Drew (auction support) and Skerritt said an online model could accept credit-card payments and allow buyers 48 hours to bring certified payment to the county office; staff suggested the auctioneer could contact regular bidders to explain any change and the county could advertise assistance for bidders who need help completing online transactions.

Skerritt said the current list includes 63 parcels pending foreclosure (figures vary year to year). Several legislators emphasized safety concerns in the crowded, open building where the live auction is held; others urged caution about facilitating out-of-town investors if the auction were opened online.

After discussion, the committee gave Skerritt discretion to pursue an online auction pilot and return with specifics, including vendor costs, payment procedures, and how the county would assist bidders with limited computer access.

No formal vote was taken; the committee indicated support for a trial approach and asked the finance office to report back with a recommended plan.