Colorado § 39-11-148 - Limitations on certificates of purchase - special improvement liens.

§ 39-11-148. Limitations on certificates of purchase - special improvement liens.

(1) No lien upon property created by a certificate of purchase issued by a treasurer on account of any delinquent property taxes or any special assessment may remain a lien for a period longer than seven years after the issuance thereof, except as provided in subsection (3) of this section. This section does not apply to any certificate of purchase issued to and held by the county, city, city and county, or district levying the tax or special assessment; except that, in the event of an assignment of the certificate of purchase issued to and held by the county, city, city and county, or district, the lien of the certificate of purchase must cease seven years after the date of its issuance subject only to the provisions of subsection (3) of this section. Notwithstanding any other provision of this section, a lien on property created by a tax lien sale certificate of purchase issued prior to January 1, 2026, may remain a lien for a period of fifteen years after the date of issuance.

(2) No treasurer's deed may issue after public auction in connection with any tax lien sale evidenced by certificate of purchase where the certificate of purchase has ceased to be a lien pursuant to the provisions of this section and application for public auction for the treasurer's deed is not pending at the time of the expiration of the limitation period provided for in this section.

(3) In the event of an assignment of a certificate of purchase that is seven years old at the time of assignment or will become seven years old within one year from the date of such assignment, the assignee thereof is entitled to a treasurer's deed in the manner provided by law if the assignee or other legal holder of the certificate institutes proceedings to procure a treasurer's deed by filing an application for public auction for treasurer's deed with the treasurer for the same, as provided in article 11.5 of this title 39, within one year from the date of the assignment.

(4) Whenever a lien created by a certificate of purchase has expired, the treasurer shall immediately issue a certificate of cancellation describing the property included in the certificate of purchase and giving the date of cancellation, and shall also make proper entries in the book of sales in the treasurer's office as follows: "Canceled by provision of section 39-11-148, C.R.S.", with the date of the entry. The treasurer shall also present every certificate of cancellation to the county clerk and recorder who shall enter the same in the record of property for which a tax lien was sold for delinquent taxes and endorse the date of entry on the certificate of cancellation and file the same, and the certificate and the record thereof must be prima facie evidence of the cancellation of the certificate of purchase and of the release of the lien of the certificate on the property described therein. If a tax lien was sold, in whole or in part, due to a delinquent special assessment, the treasurer shall notify the governmental entity imposing the special assessment of the cancellation of the lien. Failure to record the certificate of cancellation must not extend the lien created by the certificate of purchase. The treasurer and county clerk and recorder are not entitled to any fees or surcharges for issuing a certificate of cancellation or making entries in their books under the provisions of this subsection (4).

(5) Whenever a lien created pursuant to a certificate of purchase becomes unenforceable pursuant to section 31-25-1119, the treasurer shall immediately issue a certificate of cancellation describing the property included in the certificate of purchase indicating the date of cancellation and shall make the appropriate entries in the book of sales in the treasurer's office, as follows: "Canceled by provision of sections 31-25-1119 and 39-11-148, C.R.S.", with the date of the entry. The treasurer may present every certificate of cancellation to the county clerk and recorder who shall enter the same in the record of property for which a tax lien was sold for delinquent taxes and endorse the date of entry on the certificate of cancellation and file the same, and the certificate and the record thereof is prima facie evidence of the cancellation of the certificate of purchase and of the release of the lien of the certificate on the property therein described. Failure to record the certificate of cancellation does not extend the lien created by the certificate of purchase. The treasurer and county clerk and recorder are not entitled to any fees for issuing and recording a certificate of cancellation or for making entries in their books under the provisions of this subsection (5).

Source: L. 64: R&RE, p. 742, § 1. C.R.S. 1963: § 137-11-47. L. 67: p. 802, §§ 3, 4. L. 81: (5) amended, p. 1627, § 40, effective July 1. L. 85: (4) and (5) amended, p. 1245, § 29, effective July 1. L. 2026: Entire section amended, (SB 26-144), ch. 135, p. 618, § 47, effective June 1.

Editor's note: Section 55(1) of chapter 135 (SB 26-144), Session Laws of Colorado 2026, provides that the act changing this section applies to any fee imposed, assessed, or collected by a county treasurer on or after June 1, 2026.