Lawmakers weigh bill to create claims path for foreclosure surplus after Tyler v. Hennepin

House Committee on Revenue members heard extended testimony on House Bill 2,089, a measure the sponsor said responds to the U.S. Supreme Court's decision in Tyler v. Hennepin County by creating a statutory pathway for owners to claim surplus proceeds from tax-foreclosure sales.

Representative Emerson Levy, sponsor, said the bill provides a claims process through the Oregon State Treasury's unclaimed property program for surplus proceeds when a county sells real property to satisfy delinquent property taxes. The bill applies to claims for which the claimant received notice that the statutory one-year redemption period expired on or after May 25, 2023, Levy said; dash 2 and dash 3 amendments address technical and court-suggested refinements.

County representatives generally said they supported the stakeholder-driven revisions but outlined administrative and fiscal concerns. Justin Lowe of the Association of Oregon Counties (AOC) said his group opposed the introduced version but was neutral on the dash-2 amendment and appreciated the sponsor's work to incorporate county feedback. Lowe warned that added notice and…