2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › PROPERTY TAX (§§ 39-1-101 — 39-14-103) › COLLECTION AND REDEMPTION (§§ 39-10-101 — 39-12-113) › Article 11.5 - Issuance of Treasurer's Deeds (§§ 39-11.5-101 — 39-11.5-119) › Section 39-11.5-109 - Treatment of an overbid

(1)
(a)
Any overbid must be paid in order of recording priority to junior lienors, determined as of the recording date of the application for public auction according to the records, who have duly filed a notice of intent to redeem and whose liens have not been redeemed, in each case up to the unpaid amount of each such lienor's lien plus fees and costs. After payment to all lienors, any remaining overbid shall be paid to the property owner.
(b)
A lienor or lawful holder that is not entitled to redeem by virtue of holding a lien that is recorded after the application for public auction or by not timely filing a notice of intent to redeem pursuant to section 39-11.5-111 or 39-11.5-113 does not have any claim to any portion of the overbid. A lawful holder who accepts less than a full redemption pursuant to section 39-11.5-111 (4)(c) also does not have any claim to any portion of the overbid.
(c)
The treasurer shall only redeem the property to a lawful holder. The treasurer may issue overbid funds to lienors who comply with the requirements of this article 11.5, but shall not redeem the property to those lienors.
(2)
(a)
The treasurer shall post the following statement on the Treasurer's office website:
NOTICE TO A PROPERTY OWNER OF A PROPERTY FOR WHICH THE OPTION FOR TREASURER'S DEED HAS BEEN SOLD AT PUBLIC AUCTION:
If the option for a treasurer's deed for your property is sold at a public auction for more than the total owed to the lawful holder of a tax lien on your property and to all other lien holders, please contact the treasurer's office after the auction because you may have funds due to you.
(b)
In order to pay the property owner as required pursuant to subsection (1) of this section, a treasurer shall mail the property owner a notice regarding the remaining overbid to the best available address no later than thirty calendar days after the conclusion of the public auction. If the amount of the remaining overbid is equal to or greater than twenty-five dollars, the treasurer shall make reasonable efforts to identify the property owner's current address.
(c)
An agreement to pay compensation to recover or assist in recovering an amount due to the property owner from the treasurer under subsection (1) of this section is not enforceable. A person who induces or attempts to induce another person to enter into such an agreement commits a class 2 misdemeanor.
(3)
(a)
The treasurer shall hold any unclaimed remaining overbid from the public auction in escrow for six months from the date of the public auction. The treasurer is answerable for these funds without interest at any time within six months after the public auction to any person legally entitled to the funds. The treasurer shall pay any interest earned on the escrowed funds to the county at least annually.
(b)
Unclaimed remaining overbids that are not claimed within six months from the date of the sale are unclaimed property for purposes of the "Revised Uniform Unclaimed Property Act", article 13 of title 38. the treasurer shall transfer these unclaimed remaining overbids to the administrator in accordance with article 13 of title 38.
(c)
After the treasurer transfers the unclaimed remaining overbids to the administrator or to the general fund of the county, the treasurer is discharged from any further liability or responsibility for the money.
Added by 2024 Ch. 165,§ 5, eff. 7/1/2024.