Site Tools
Welcome to the State of California

8240-8246 Sealed Bid: Authorization to Sell – Procedures and Requirements

8240. RECORD OF SALES
A complete file should be maintained for each sale.  The file should include copies of the following information:

1) Assessor's parcel map;

2) Copy of the notice of power to sell;

3) Copy of the notice to the board of supervisors of intention to sell;

4) Copy of the board's approval;

5) Copy of the notice to the last assessee and the parties of interest;

6) Parties-of-interest information;

7) Copy of the published or posted notice of sale;

8) Copy of the affidavit of publication or posting;

9) Registered or certified letter receipts;

10) Notices returned by the post office (left unopened; see M-8155);

11) Copy of the report of sale;

12) Copy of the tax deed to purchaser; and

13) Any correspondence and other required papers or documents related to the parcel or tax sale.

A tax collector's summary record of sale, similar to form SCO 8-01, should be used as the top document in the file.  It serves as both a check that required steps have been taken and as a record documenting the actions taken in the preparation of the tax sale.

8241. MINIMUM SELLING PRICE
The minimum bid for oil, gas, or mineral rights and for unusable parcels to be sold at a sealed bid sale may be set at any level the tax collector deems appropriate (Rev. & Tax. Code §3698.5(b)).

8242. RECOMMENDED TAX SALE FORMS
Form SCO 8-02 is recommended for seeking approval from the board of supervisors to sell tax-defaulted property that is subject to sale and for re-offering unsold parcels, pursuant to Revenue and Taxation Code section 3692(e). 

Form SCO 8-03 is recommended as an attachment to form SCO 8-02 to list the descriptions of the properties to be sold and the minimum price at which it is proposed to sell each property (Rev. & Tax. Code §3698).  Form SCO 8-03 is a multipurpose form.  It is designed to eliminate duplicated information in the preparation of the approvals and reports required for the sale of tax-defaulted property that is subject to sale.  The form may also be used for noticing taxing agencies (Rev. & Tax. Code §3700) and reporting the sale to the county assessor (Rev. & Tax. Code §3716), the county auditor, and the county treasurer (Rev. & Tax. Code §3718). 

Form SCO 8-03 may be completed as follows:

1) For board of supervisors' approval and for notice to taxing agencies, complete columns 1 and 2.

2) When columns 1 and 2 have been completed, proofread the information.  Once completed, make sufficient copies of the original for the purposes specified in paragraph (1) above. Retain the original in the file for future use.

3) When the tax sale has been completed, fill in columns 3 through 12 of the original form, which has been held in the file.  Copies of the completed form can then be made for the report of sale to the assessor, the auditor, and the treasurer.

NOTE:  The form does not provide for any documentary transfer taxes that are added to the sales price.

8243. PARCEL LIST DISTRIBUTION SCHEDULE
Prepare sufficient copies of the report of sale to provide one each for the members of the board of supervisors (Rev. & Tax. Code §3698), the tax collector, and each taxing agency (Rev. & Tax. Code §3700).

8244. APPROVAL BY BOARD OF SUPERVISORS
The tax collector must transmit a notice to the board of supervisors, stating the following information:

1) An intention to sell tax-defaulted property that is subject to sale at a sealed bid sale.  A sealed bid sale and a public auction sale may be combined in a single notice (Rev. & Tax. Code §3698(a)) (see M-8100 et seq. for public auctions);

NOTE:  If the tax collector intends to use the 90-day re-sale option under Revenue and Taxation Code section 3692(e), that intention must be referenced in the notice and a date, time and location provided.

2) A description of the property to be sold -- For purposes of notice to the board, the assessor’s parcel number is sufficient (Rev. & Tax. Code §3698(b)); and

3) The minimum price at which it is proposed to sell the property (Rev. & Tax. Code §3692(b) & (c)).  Forms SCO 8-02 and SCO 8-03 are recommended for his purpose (M-8243).

The board of supervisors shall either approve or disapprove the proposed sale. It may delete parcels and approve sale of the remainder. Following approval, the board of supervisors may not delete, withdraw, or withhold properties from sale nor rescind its approval.

The lower portion of form SCO 8-02 may be used for the approval.

8245. AUTHORIZATION BY STATE CONTROLLER
This section was deleted on January 1, 1999.

8246. NOTICE OF SALE TO THE STATE CONTROLLER
Send a notice of the proposed sale to the State Controller's Office 45 to 120 days prior to the date of the sale.  Included in the notice should be the date, time, and place of the sale (Rev. & Tax. Code §3700.5) and the total number of parcels.