As highlighted in the recently distributed UTA Quarterly and this issue of the UTA eNews, thanks to our hard-working California lobbyist Michael Belote, Esq. – with bill language support from Andrew Boylan and Michelle Mierzwa – we were able to get some clean-up language added to address some of the issues that trustee members have been experiencing under the CA SB 1079 post-auction bid process which has been in effect since the beginning of the year. The amendments were added into two budget trailer bills – AB 175 and SB 175. We’re pleased to announce that AB 175 has been enrolled and signed by the Governor with an operative date of January 1, 2022. The bill didn’t encompass all of the requests identified by the UTA Legislative Committee since the changes were posed as minor clarifications, but we hope to address the remaining needs and amendments in the upcoming 2022 legislative session.
A few of the highlights of AB 175 that will become operative on January 1, 2022, include:
– Extending the time to record the TDUS from 18 calendar days after the sale to 21 calendar days or if the full post-sale period is triggered then from 48 calendar days to 60 calendar days.
– Establishing a 5 pm cutoff on the 15th-day after-sale for at least one eligible bidder to submit a bid or notice of intent to bid. This will be similar to the 5 pm cutoff that already exists for the 45th day after the sale deadline.
– Limiting the information that trustees can give out during the SB 1079 process to the date of the sale, the amount of the last and highest bid at the sale, and the trustee’s address for receiving documents under the SB 1079 process.
– Amending the form and content of the affidavits or declarations submitted under the existing SB 1079 process. This includes making sure that trustees are provided with a current phone number and return mailing address.
Be sure to attend the upcoming UTA Conference in Reno to hear from Michael Belote, Esq., and our esteemed member panelists to discuss all of the specifics of AB 175 and what we can expect in 2022!
A copy of the bill can be found here: CA AB 175.