Bill Text: FL S1842 | 2020 | Regular Session | Introduced
Bill Title: Residential Property Disclosures
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2020-03-14 - Died in Banking and Insurance [S1842 Detail]
Download: Florida-2020-S1842-Introduced.html
Florida Senate - 2020 SB 1842 By Senator Powell 30-01671-20 20201842__ 1 A bill to be entitled 2 An act relating to residential property disclosures; 3 amending s. 689.261, F.S.; requiring that certain 4 disclosures relating to flood events be provided to a 5 purchaser of residential property; providing 6 requirements for such disclosures; defining terms; 7 providing an effective date. 8 9 Be It Enacted by the Legislature of the State of Florida: 10 11 Section 1. Section 689.261, Florida Statutes, is amended to 12 read: 13 689.261 Sale of residential property; disclosures 14disclosure of ad valorem taxesto prospective purchaser.— 15 (1) A prospective purchaser of residential property must be 16 presented a disclosure summary at or before execution of the 17 contract for sale. Unless a substantially similar disclosure 18 summary is included in the contract for sale, a separate 19 disclosure summary must be attached to the contract for sale. 20 Unless included in the contract for sale, the disclosure summary 21 must be provided by the seller. If the disclosure summary is not 22 included in the contract for sale, the contract for sale must 23 refer to and incorporate by reference the disclosure summary and 24 include, in prominent language, a statement that the potential 25 purchaser should not execute the contract until he or she has 26 read the disclosure summary required by this section. 27 (2) The disclosure summary, whether separate or included in 28 the contract, must include disclosures relating to property 29 taxes and flood events and must be in a form substantially 30 similar to the following: 31 PROPERTY TAX AND 32 FLOODPLAIN, FLOOD POOL, FLOODWAY, OR RESERVOIR 33PROPERTY TAX34 DISCLOSURE SUMMARY 35 BUYER SHOULD NOT RELY ON THE SELLER’S CURRENT PROPERTY TAXES AS 36 THE AMOUNT OF PROPERTY TAXES THAT THE BUYER MAY BE OBLIGATED TO 37 PAY IN THE YEAR SUBSEQUENT TO PURCHASE. A CHANGE OF OWNERSHIP OR 38 PROPERTY IMPROVEMENTS TRIGGERS REASSESSMENTS OF THE PROPERTY 39 THAT COULD RESULT IN HIGHER PROPERTY TAXES. IF YOU HAVE ANY 40 QUESTIONS CONCERNING VALUATION, CONTACT THE COUNTY PROPERTY 41 APPRAISER’S OFFICE FOR INFORMATION. 42 43 1. ARE YOU (SELLER) AWARE OF ANY OF THE FOLLOWING CONDITIONS? 44 WRITE YES (Y) IF YOU ARE AWARE, NO (N) IF YOU ARE NOT AWARE, OR 45 DO NOT KNOW (DK) IF YOU ARE NOT SURE. 46 47 .... PRESENT FLOOD INSURANCE COVERAGE. 48 .... PREVIOUS FLOODING DUE TO A FAILURE OR BREACH OF A RESERVOIR 49 OR A CONTROLLED OR EMERGENCY RELEASE OF WATER FROM A RESERVOIR. 50 .... PREVIOUS WATER PENETRATION INTO A STRUCTURE ON THE PROPERTY 51 DUE TO A NATURAL FLOOD EVENT. 52 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A 100-YEAR 53 FLOODPLAIN. 54 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A 500-YEAR 55 FLOODPLAIN. 56 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A FLOODWAY. 57 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A FLOOD POOL. 58 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A RESERVOIR. 59 IF THE ANSWER TO ANY OF THE ABOVE IS “YES,” PLEASE EXPLAIN 60 (ATTACH ADDITIONAL SHEETS AS NECESSARY): 61 62 2. HAVE YOU (SELLER) EVER FILED A CLAIM FOR FLOOD DAMAGE TO THE 63 PROPERTY WITH ANY INSURANCE PROVIDER, INCLUDING THE NATIONAL 64 FLOOD INSURANCE PROGRAM? .... YES .... NO 65 IF THE ANSWER IS “YES,” PLEASE EXPLAIN (ATTACH ADDITIONAL SHEETS 66 AS NECESSARY): 67 68 3. HAVE YOU (SELLER) EVER RECEIVED ASSISTANCE FROM THE FEDERAL 69 EMERGENCY MANAGEMENT AGENCY (FEMA) OR THE UNITED STATES SMALL 70 BUSINESS ADMINISTRATION (SBA) FOR FLOOD DAMAGE TO THE PROPERTY? 71 .... YES .... NO 72 IF THE ANSWER IS “YES,” PLEASE EXPLAIN (ATTACH ADDITIONAL SHEETS 73 AS NECESSARY): 74 75 WARNING: HOMES IN HIGH-RISK FLOOD ZONES WITH MORTGAGES FROM 76 FEDERALLY REGULATED OR INSURED LENDERS ARE REQUIRED TO HAVE 77 FLOOD INSURANCE. EVEN WHEN NOT REQUIRED, FEMA ENCOURAGES 78 HOMEOWNERS IN HIGH-RISK, MODERATE-RISK, AND LOW-RISK FLOOD ZONES 79 TO PURCHASE FLOOD INSURANCE THAT COVERS THE STRUCTURE(S) AND THE 80 PERSONAL PROPERTY WITHIN THE STRUCTURE(S). 81 82 ...(PURCHASER’S INITIALS)... 83 84 (3) For purposes of this section, the term: 85 (a) “100-year floodplain” means any area of land that: 86 1. Is identified on the Flood Insurance Rate Map as a 87 special flood hazard area, which is designated on the map as 88 Zone A, V, A99, AE, AO, AH, VE, or AR. 89 2. Has a 1 percent annual chance of flooding, which is 90 considered a high risk of flooding. 91 3. May include a regulatory floodway, flood pool, or 92 reservoir. 93 (b) “500-year floodplain” means any area of land that: 94 1. Is identified on the Flood Insurance Rate Map as a 95 moderate flood hazard area, which is designated on the map as 96 Zone B or X (shaded). 97 2. Has a 0.2 percent annual chance of flooding, which is 98 considered a moderate risk of flooding. 99 (c) “Flood Insurance Rate Map” means the current flood 100 hazard area map published by the Federal Emergency Management 101 Agency under the National Flood Insurance Act of 1968, 42 U.S.C. 102 s. 4001 et seq. 103 (d) “Flood pool” means the area adjacent to a reservoir 104 that lies above the normal maximum operating level of the 105 reservoir and that is subject to controlled inundation under the 106 management of the United States Army Corps of Engineers. 107 (e) “Floodway” means an area that is identified on the 108 Flood Insurance Rate Map as a regulatory floodway, which 109 includes the channel of a river or other watercourse and the 110 adjacent land areas that must be reserved for the discharge of a 111 base flood, also referred to as a 100-year flood, without 112 cumulatively increasing the water surface elevation more than a 113 designated height. 114 (f) “Reservoir” means a water impoundment project operated 115 by the United States Army Corps of Engineers that is intended to 116 retain water or delay the runoff of water in a designated 117 surface area of land. 118(2)Unless included in the contract, the disclosure summary119must be provided by the seller. If the disclosure summary is not120included in the contract for sale, the contract for sale must121refer to and incorporate by reference the disclosure summary and122include, in prominent language, a statement that the potential123purchaser should not execute the contract until he or she has124read the disclosure summary required by this section.125 Section 2. This act shall take effect July 1, 2020.