Bill Text: CA SB1366 | 2023-2024 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Real property disclosure requirements: domestic water storage tank assistance.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed) 2024-04-29 - Referred to Com. on JUD. [SB1366 Detail]

Download: California-2023-SB1366-Introduced.html

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CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill

No. 1366

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Introduced by Senator Hurtado

February 16, 2024

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An act to add Section 1102.156 to the Civil Code, relating to real estate.

LEGISLATIVE COUNSEL'S DIGEST

SB 1366, as introduced, Hurtado. Real property disclosure requirements: water tank assistance.

Existing law requires that specified disclosures be made upon any transfer by sale, exchange, real property sales contract, lease with an option to purchase, any other option to purchase, or ground lease coupled with improvements, of any single-family residential property.

Existing law authorizes the State Water Resources Control Board to provide grants to eligible applicants to be used to provide interim relief, as specified, to households in which a private water well has gone dry, or has been destroyed, due to drought, wildfire, or other natural disaster.

This bill would, if the residential real property has received water tank assistance, require the seller or real estate agent, as defined, to disclose specified information in writing. The bill would define “water tank assistance” as any assistance provided to homeowners under the above-described grant program in the form of water tanks due to water well issues during emergencies. The bill would also require disclosures regarding water tank assistance, if applicable to the property, during property tours and in all marketing materials, property listings, and any communication related to the sale of the property.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Section 1102.156 is added to the Civil Code, immediately following Section 1102.155, to read:

1102.156.

 (a) For purposes of this section, the following definitions apply:

(1) “Real estate agent” includes a real estate agent and any other individual or entity engaged in the business of buying, selling, or leasing real estate.

(2) “Water tank assistance” means any assistance provided to homeowners, pursuant to Section 13194 of the Water Code, in the form of water tanks due to water well issues during emergencies.

(b) (1) If residential real property subject to this article has received water tank assistance, the seller or real estate agent shall disclose the following information in writing:

(A) Details of the water well issue that led to the water tank assistance.

(B) Information about the water tank assistance received during the emergency.

(C) A notice that the water tank does not convey with the property.

(2) The disclosure required by paragraph (1) shall be included in all marketing materials, property listings, and any communication related to the sale of the property, if applicable.

(3) During property tours, a real estate agent shall verbally communicate information about the water tank assistance and ensure potential buyers are aware that the water tank does not convey with the property, if applicable.

(c) Prior to the execution of a sales contract, the buyer shall acknowledge in writing that they have received and understood the disclosure described in subdivision (b), if applicable. The acknowledgment shall be retained as part of the transaction records.

(d) This section shall apply to all transactions subject to this article that are initiated on or after January 1, 2025.