CHEMUNG COUNTY, N.Y. (WENY) — Chemung County has been in a limbo with New York State after the Supreme Court ruled counties are no longer allowed to keep proceeds from auctions on foreclosed homes that created surplus revenue.  

In May of 2023, a Minnesota case was brought to the Supreme Court after Geraldine Tyler, a woman who owned a condominium, stopped paying property taxes, was given a foreclosure notice after she accrued $15,000 in unpaid taxes, and later had her home foreclosed by Hennepin County. In turn, the county sold the property for $40,000 and was able to keep a surplus of $25,000, while Tyler was left with nothing.  

The question at the forefront is if it is constitutional for the government to foreclose a home to satisfy a debt, and pocket leftover revenue.

The Minnesota ruling is now telling New York, among other states, that counties are no longer able to keep proceeds from auctions. Newly sworn in treasurer of Chemung County, Katlyn Colombani-Ruiz, says the county practices Article 9 of Real Property Tax Law for Levy and Collection of Taxes, and Article 11 that outlines procedures for enforcement of collection of delinquent taxes. Once unpaid taxes are turned over as delinquent, the county is then required under law to make each taxing district whole.

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