Free Republic

Using the word “sham,” a Michigan Appeals Court panel gave plaintiffs hope in their case against the Kent County treasurer and the Kent County Land Bank for bypassing the public auction process on tax foreclosed property. The case is on appeal after Kent County Circuit Judge George Buth ruled in favor of the defendants, saying he doubted plaintiffs had legal standing. The plaintiffs involve a coalition of private investors and real estate groups who say they were denied access to the property when the county treasurer sold foreclosed property to the land bank for an amount no higher than the...

When push came to shove, $1.7 million in funding for the Fast Track Land Bank Authority was included in Senate Bill 608. Initially, the House passed version of the bill did not include the funding, but the Senate passed version did. Gov. Rick Snyder reportedly wanted it in the bill as well. The decision on the land bank funding and several other differences between the House and Senate regarding Senate Bill 608 were decided in a six member conference committee. Rep. Joe Haveman, R-Holland, House Appropriations Committee chairman and member of the conference committee, said that as the issue was...

The Kent County Land Bank is acquiring tax delinquent and abandoned property before it is made available to the public and in doing so, the quasi-governmental entity is casting a big shadow on what had been an open and successful real estate market. Under Michigan statute, land banks aren't supposed to buy tax delinquent and abandoned property until after buyers get their chance at tax auctions. This prohibition seems to indicate that the Legislature intended to limit land bank purchases to the less desirable parcels and buildings that the market rejects. However, the law allows local governments to purchase delinquent...

Earlier this month, Michigan news outlets heralded Flint-area Congressman Dan Kildee's first sponsored bill, which proposed using $1.9 billion to fund demolitions throughout the United States. MLive ran with the official narrative about the Democrat's proposal, publishing an article claiming that the "First bill proposed by Congressman Dan Kildee would help Flint, other cities eliminate blight." The bill was cast as a request for more funding for the demolition of vacant buildings throughout the country. However, the text of the bill reveals that the legislation may be an attempt at providing funding to "land banks," which are government entities that...

The house sitting on 5076 Montauk Drive in Alpine Township (pictured at right) doesn't look like a blighted property. The house is not crumbling, nor does it appear to be in an area where vacancy is a concern. However, when the Kent County Land Bank Authority acquired 5076 Montauk this summer, the property automatically became "blighted." Any property acquired by any Michigan land bank is considered blighted by law, regardless of the property's condition or location. In Kent County, properties held by owners who repeatedly fail to pay property taxes are subject to tax foreclosure. Tax foreclosed properties are sold...

No one likes to see a building sit vacant. Vacant buildings deteriorate, can invite vandalism and discourage those considering moving to a neighborhood. If a building is tax delinquent for a number of years, it can be taken by county government, which then takes up the expensive task of maintaining the property until someone purchases it. So it is surprising to see that before its upcoming tax auction Kent County acted directly to keep vacant properties from being sold to private individuals. On July 12, the Kent County Board of Commissioners voted to hand more than 40 properties over to...