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Bill

HB 5425

Relating to acquisitions of properties by land reuse agencies and urban renewal authorities.

2026 Regular Session Introduced by J.B. Akers and 7 co-sponsors

HB 5425 clarifies how land reuse agencies acquire, hold, and report on properties, expands tax-delinquent authority with safeguards, and adds annual centralized reporting.

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Bill Summary · HB 5425

Summary of HB 5425 (2026) – West Virginia

Purpose and intent

HB 5425 aims to update and clarify the acquisition and reporting processes for properties owned by land reuse agencies and urban renewal authorities (URAs) in West Virginia. The bill affects two parallel frameworks:
- Article 18E: West Virginia Land Reuse Agency Authorization Act (URAs)
- Article 18E, §31-18E-9: Acquisition provisions for land reuse agencies and municipal land banks

A primary goal is to streamline how these entities obtain, hold, maintain, and report on real property, including properties acquired through tax-delinquency processes or intergovernmental agreements. The bill also introduces annual reporting requirements to the West Virginia Land Stewardship Corporation and the Joint Committee on Government and Finance.

Key provisions and changes

General property ownership and acquisition

  • URAs and land reuse agencies must hold title to acquired real property in their own name.
  • They may acquire real property or interests by any lawful means, but may not acquire severed oil, gas, or mineral interests.
  • Acquisitions from municipalities/counties are permitted by various contractual arrangements (purchase contracts, lease purchase, installment contracts, land contracts). Municipalities/counties may transfer property to URAs/land reuse agencies within jurisdictional boundaries.
  • Intergovernmental conveyances: URAs and land reuse agencies can receive property from urban renewal authorities or other entities with fee simple title, free of liens, subject to local consent and without redevelopment contracts in certain cases.
  • Maintenance: Agencies must maintain property per local laws and ordinances.
  • Jurisdictional limits: Generally, URAs/land reuse agencies may not own property outside their created jurisdiction, except where an intergovernmental agreement authorizes management/maintenance within another jurisdiction.

Tax-delinquent properties

  • Authorized, with municipality or intergovernmental agreement, to acquire tax-delinquent interests under Chapter 11A.
  • Right of first refusal on certain qualifying tax-delinquent properties within municipal limits if authorized, with criteria such as:
    • Assessed value thresholds (URAs: $25,000–$100,000; Land reuse agencies: $50,000 or less)
    • Municipal liens exceeding back taxes
    • Property on vacant-property registries for 24+ months
    • Recent tax sales with non-redemption or lack of deed
    • Property condemned
  • If the URA/agency exercises the right of first refusal, a 15-day window is provided after obtaining a tax deed to notify adjacent property owners, who then have 120 days to express interest to purchase at the amount paid plus expenses. Sale can be denied if neighboring owner or related entity has tax or fee delinquencies.
  • Sunset: The right of first refusal provisions (subsections (2) and (3)) are slated to sunset effective July 1, 2026.

Reporting and oversight

  • Annual reporting: URAs and land reuse authorities that exercise tax-delinquent authority must report to the West Virginia Land Stewardship Corporation by the year-end following the calendar year; the Corporation will compile a statewide report for the Joint Committee on Government and Finance.
  • Audits: The Joint Committee on Government and Finance may audit and subpoena entities as part of the reporting process.

Who is affected

  • Urban renewal authorities (URAs) and land reuse agencies/municipal land banks operating within West Virginia.
  • Municipalities and counties that create and/or transfer property to these authorities.
  • Property owners adjacent to tax-delinquent properties within the authorities’ jurisdiction.
  • The West Virginia Land Stewardship Corporation and the Joint Committee on Government and Finance (oversight and compilation of reports).

Procedural and timeline notes

  • Effective dates: The provisions related to tax-delinquent property rights of first refusal include a sunset date of July 1, 2026 for those specific subdivisions.
  • Annual reporting deadlines begin as soon as possible after January 1 of each year for authorities exercising the tax-delinquent provisions.
  • Reports are due to the WV Land Stewardship Corporation, which will compile and forward to the Joint Committee on Government and Finance (with potential audits).

Overall impact

HB 5425 updates governance and oversight of property acquisitions by URAs and land reuse agencies, clarifies permissible methods, expands tax-delinquent property authorities with defined safeguards and sunset provisions, and strengthens annual reporting and accountability through centralized reporting and potential legislative audits.

Compiled from official sources — confirm details with the bill’s official record.

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