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Killeen staff outlines parcels-and-trust program to foreclose abandoned lots for low-income housing
Summary
City staff told the council there are about 114 liened properties in Killeen, roughly 35 of which meet Texas tax-code criteria for foreclosure; the proposal would reclassify a lien-collection role to a revitalization coordinator and use foreclosed parcels to solicit developers for low-to-moderate income housing.
City staff presented details May 5 on a parcels-and-trust program intended to bring abandoned, tax-delinquent properties back onto the tax roll and make sites available for development of low- to moderate-income housing.
Planning and development staff said the city's current inventory includes approximately 114 properties with outstanding liens; of those, about 35 meet Texas tax-code criteria (less than one acre, abandoned for at least a year and tax-delinquent for three years) and are eligible for foreclosure proceedings.
"Of the 114 properties, approximately 35 meet this criteria, which means they are eligible for foreclosure proceedings," staff said while presenting the map of affected properties. Staff proposed creating a revitalization coordinator position (reclassifying a lien-collection specialist role) to manage tax sales, protests with the Bell County Appraisal District and post-foreclosure conveyance to developers.
Under the plan, if foreclosed properties do not sell at tax sale, the city would take ownership temporarily and convey parcels to private developers selected through an RFP process targeted to create low- and moderate-income housing. Staff said the city already has a contract relationship with MBBA that could be amended to support foreclosure legal services.
Supporters on council described the effort as a way to stop the city's unofficial maintenance of abandoned lots and to return properties to the tax roll. "A lot of these properties'we've been maintaining unofficially since the eighties'have zero return on investment," Mayor Pro Tem Alvarez said, urging swift action on neglected neighborhoods.
Staff noted workload implications and that the revitalization coordinator position is currently advertised and interviews scheduled. The next steps include partnering with KISD, Bell County and CTC to transfer unsold tax-sale properties into a city trust and then issuing developer RFPs.
A timeline for implementation depends on hiring the coordinator, legal processes at the appraisal district and any subsequent council approvals; staff did not present a firm schedule for conveyance to developers at the May 5 meeting.
