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Treasurer warns of unpaid parcels and court delays; Philips Lidle remains vendor for in‑rem auctions
Summary
Treasurer briefed the committee on roughly 140 unpaid parcels ahead of an in‑rem auction, explained how a recent state law change affects repurchase agreements and possible county losses, and secured authorization to continue work with Philips Lidle for auction services while exploring future RFP options.
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Otsego County Treasurer Alan told the administration committee the county had about 140 parcels still owed as of the meeting’s snapshot and reminded members that the last day to pay before in‑rem auction currently is June 30, with the auction itself likely in mid‑August but subject to court scheduling.
Alan described the county’s longstanding use of Philips Lidle for foreclosure/In‑Rem processing and said legal fees charged per parcel are reflected in packet materials (the meeting cited a legal fee of $390.40 per parcel). He warned the committee the county already recorded a loss on a recent auction cycle — about $41,000 from roughly 14 parcels that resulted in deficits when the county could not keep surplus proceeds under the new state law framework — and that future outcomes will depend on market and court timing.
Alan said the county can consider repurchase agreements in future auctions to improve payment rates, but noted the timing is tight for the current auction. Committee members discussed the possibility of issuing an RFP for auction services in the future; Alan recommended continuing with Philips Lidle for the 2025 cycle while allowing purchasing to investigate other vendors for subsequent years.
The committee approved a resolution to retain Philips Lidle for the county’s in‑rem work for 2025 with an authorization not to exceed $350,000 (budgeted). Members asked staff to return with RFP options and to monitor how the county recovers funds and interest from accounts held under the new state procedures.
Alan emphasized the operational burden of in‑rem processing (tracking hundreds to thousands of parcels, certified mail and field posting) and that outsourcing the process helps the county manage workload during peak months.

