(a) Within one (1) calendar year of the receipt of the excess proceeds by the Commissioner of State Lands, the funds shall be distributed as follows:

1. (1) To the Commissioner of State Lands to pay penalties, collection fees, sale costs, and other costs as may be provided by law; and
2. (2) To the county to pay the delinquent taxes, interest, and costs.

(b)

1. (1) The remaining excess proceeds shall be held for one (1) year following the date of the limited warranty deed.

2. (2) After the one-year period has expired, upon submission and approval of the application from the relevant governmental entity, the excess proceeds are distributed as follows:

   1. (A) To the county to satisfy delinquent personal property taxes and penalties;
   2. (B) To the Department of Finance and Administration to satisfy delinquent taxes, penalties, and interest for which certificates of indebtedness have been filed;
   3. (C) To the county to satisfy delinquent solid waste assessments, plus penalty and interest; and
   4. (D) In the event the Commissioner of State Lands is required to make a refund to the purchaser of the parcel for the taxes or assessments withheld pursuant to this subsection, the amount of the refund shall be recovered by the Commissioner of State Lands from the county, counties, or department that originally received the proceeds under this subpart.

(c) If any excess proceeds remain following the above distributions, the remainder is distributed as follows:

1. (1)

   1. (A) Ten percent (10%) of the remaining funds up to a maximum of five hundred dollars ($500) shall be paid to the Commissioner of State Lands for the administration of the distribution of excess proceeds.
   2. (B) However, the amount paid to the Commissioner of State Lands shall not be a sum less than the amount necessary to pay filing fees required to record any deeds; and

2. (2) The remainder shall be paid to the former owner of the parcel upon:

   1. (A) Submission of a complete application packet and any other documents required by the Commissioner of State Lands from the former owner; and
   2. (B) The approval of the Commissioner of State Lands.