Commissioners ask state's attorney to draft contract to temporarily satisfy county aid lien on pending home sale

Paul Larson, the seller of a Henry property at 208 Elm Street, asked the Codington County Board of Commissioners on Aug. 4 to temporarily satisfy a county aid lien so his buyers could close on a pending sale.

"The surprise on title is a county aid lien in the amount of $4,155.55," Larson said, explaining the lien appeared on title after he and the buyers had arranged to proceed with a lease‑to‑purchase contract and that the buyers' credit scores had improved. Larson told the board the buyer (identified in the discussion as Melissa Gimm) and her spouse were prepared to work out a payment plan to address the debt after closing.

State's Attorney Allison Traub told the board the county could release the lien and later reestablish it: "If the county were to release the lien, we could put it back on. We would be in 2nd place to the bank, obviously, for the mortgage." Traub recommended documenting the temporary release in a contract to protect the county and to permit contract damages if the transaction fails.

Commissioner Gable moved — and Commissioner McElhaney seconded — a motion authorizing the state's attorney to draft and negotiate such a contract with Larson and the purchaser and to return to the commission next week for a decision. The motion carried by voice vote.

The action recorded in the meeting is procedural: the board did not itself release the lien at the Aug. 4 meeting but authorized the state's attorney to prepare a contract that, if approved, would allow the title company to close while preserving the county's ability to reestablish the lien afterward. The lien amount reported in the hearing was $4,155.55 and the county's counsel characterized it as a county aid lien, not a property tax lien.