Rep. Sandra Scott Applauds Committee Passage of Legislation to Prohibit Foreclosures

ATLANTA - State Representative Sandra Scott (D-Rex) applauds the recent committee passage of House Bill 1035, the Georgia Homeownership Protection Act, by the House Ways and Means Committee. Sponsored by Rep. Scott, the legislation would protect owner-occupied homes from foreclosure based solely on unpaid non-tax service charges.

"A Georgia family should not lose their home over a service fee," said Rep. Scott. "House Bill 1035 would restore balance and proportionality to our laws. Taxes remain enforceable. Mortgage remains enforceable. But, we are drawing a clear line-non-tax service charges should not cost someone their home."

HB 1035 would prohibit the foreclosure of a lien or any other involuntary forfeiture of an owner-occupied dwelling for nonpayment of nontax service charges. The bill would clarify that a foreclosure or involuntary sale of an owner-occupied dwelling may occur for nonpayment of ad valorem or other taxes, as well as for defaulting on a mortgage. Utilities and local authorities could pursue collections via civil action for unpaid service charges but could not pursue a lien resulting in foreclosure or tax sale of an owner-occupied property.

"This is about protecting homeownership, while preserving fiscal responsibility," added Rep. Scott. "We can enforce debt without displacing families."

The legislation seeks to protect owner-occupied homes from foreclosure, tax sale or involuntary forfeiture based solely on unpaid non-tax service charges, including certain homeowners' association (HOA) assessments, condominium fees and local utility service charges. HB 1035 would preserve enforcement authority for ad valorem taxes and purchase-money mortgages, while ensuring that unsecured service-related debts could not result in the forced sale of a family's primary residence.

Rep. Scott expresses appreciation to members of the Ways and Means Committee for their thoughtful review and favorable action.

The full text of HB 1035 may be found here.

Editor's note: Rep. Scott includes a graphic.

Representative Sandra Scott represents the citizens of District 76, which includes a portion of Clayton County. She was first elected to the House of Representatives in 2010 and currently serves on the Banks & Banking, Defense & Veterans Affairs, Human Relations & Aging, Insurance and Reapportionment and Redistricting committees.

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