Bill Text: OR HB2485 | 2011 | Regular Session | Introduced
Bill Title: Relating to inspection of residential septic systems.
Spectrum: Unknown
Status: (Failed) 2011-06-30 - In committee upon adjournment. [HB2485 Detail]
Download: Oregon-2011-HB2485-Introduced.html
76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 1742
House Bill 2485
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of House Interim Committee on
Consumer Protection and Government Accountability)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Requires seller of real property to obtain septic system
inspection report and provide copies to Department of
Environmental Quality and to each buyer that makes written offer
to purchase. Allows buyer to withdraw buyer's offer within three
days after receiving septic system inspection report or to revoke
offer anytime before closing for failure or refusal of seller to
provide septic system inspection report with seller's disclosure
document.
A BILL FOR AN ACT
Relating to inspection of residential septic systems; creating
new provisions; and amending ORS 105.462, 105.464, 105.475 and
105.485.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 105.462 is amended to read:
105.462. For purposes of ORS 105.462 to 105.490:
(1) 'Financial institution' has the meaning given that term in
ORS 706.008. 'Financial institution' includes a:
(a) Trust company, as that term is defined in ORS 706.008;
(b) Mortgage banker, as that term is defined in ORS 86A.100;
(c) Mortgage broker, as that term is defined in ORS 86A.100;
and
(d) Consumer finance company that is licensed under ORS chapter
725.
(2) 'Real estate licensee' has the meaning given that term in
ORS 696.010.
{ + (3) 'Seller's disclosure document' means:
(a) A seller's property disclosure statement required by ORS
105.464; and
(b) A septic system inspection report required by section 3 of
this 2011 Act.
(4) 'Septic system' means a domestic septage treatment
component or system, as described in ORS 454.782 (3), or a
component or system that is similar to components or systems
described in ORS 454.782 (3). + }
SECTION 2. { + Section 3 of this 2011 Act is added to and made
a part of ORS 105.462 to 105.490. + }
SECTION 3. { + (1) Except as provided in ORS 105.475 (4), when
real property described in ORS 105.465 (1) has a septic system,
the seller shall:
(a) Obtain a septic system inspection by a person licensed or
permitted under the program established under ORS 454.792 before
selling the real property;
(b) Provide a copy of the septic system inspection report to
each buyer that makes a written offer to purchase the real
property; and
(c) Provide a copy of the septic system inspection report to
the Department of Environmental Quality.
(2) A buyer may withdraw the buyer's offer to purchase real
property within three days after receiving the copy of the septic
system inspection report.
(3) The department may adopt rules to administer this section,
including rules that exempt areas of this state in which the
public health risk from a failed septic system is minimal. + }
SECTION 4. ORS 105.475 is amended to read:
105.475. (1) If a seller issues a seller's { - property
disclosure statement - } { + disclosure document + } and a
buyer has not then delivered to the seller a written statement
waiving the buyer's right to revoke the buyer's offer, the buyer
shall have five business days after delivery of the seller's
{ - property disclosure statement - } { + disclosure
document + } to revoke the buyer's offer by delivering to the
seller a separate signed written statement of revocation
disapproving the seller's disclosure.
(2) If a buyer fails to timely deliver to a seller a written
statement revoking the buyer's offer, the buyer's right to revoke
the buyer's offer expires.
(3) If a buyer closes the transaction, the buyer's right to
revoke based on ORS 105.462 to 105.490, 696.301 and 696.870 is
terminated.
(4) If the seller fails or refuses to provide a seller's
{ - property disclosure statement - } { + disclosure
document + } as required under this section, the buyer shall have
a right of revocation until the right is terminated pursuant to
subsection (3) of this section.
(5) If the buyer revokes the offer pursuant to this section,
notwithstanding ORS 696.581, the buyer is entitled to immediate
return of all deposits and other considerations delivered to any
party or escrow agent with respect to the buyer's offer, and the
buyer's offer is void.
(6) When the deposits and other considerations have been
returned to the buyer, upon the buyer's signed, written release
and indemnification of the holders of the deposits and other
considerations, the holders are released from all liability for
the deposits and other considerations.
(7) Any seller's { - property disclosure statement - }
{ + disclosure document + } issued by the seller is part of and
incorporated into the offer and the acceptance.
SECTION 5. ORS 105.485 is amended to read:
105.485. The burden of proof of lawful delivery of a
{ - seller's property disclosure statement - } { + seller's
disclosure document, + } and any amendment { - thereto - }
{ + to the seller's disclosure document, + } is on the seller.
The burden of proof of lawful delivery of a notice of revocation
of a buyer's offer is on the buyer.
SECTION 6. ORS 105.464, as amended by section 14a, chapter 591,
Oregon Laws 2009, is amended to read:
105.464. A seller's property disclosure statement must be in
substantially the following form:
_________________________________________________________________
If required under ORS 105.465, a seller shall deliver in
substantially the following form the seller's property disclosure
statement to each buyer who makes a written offer to purchase
real property in this state:
_________________________________________________________________
INSTRUCTIONS TO THE SELLER
Please complete the following form. Do not leave any spaces
blank. Please refer to the line number(s) of the question(s)
when you provide your explanation(s). If you are not claiming an
exclusion or refusing to provide the form under ORS 105.475 (4),
you should date and sign each page of this disclosure statement
and each attachment.
Each seller of residential property described in ORS 105.465 must
deliver this form to each buyer who makes a written offer to
purchase. Under ORS 105.475 (4), refusal to provide this form
gives the buyer the right to revoke their offer at any time prior
to closing the transaction. Use only the section(s) of the form
that apply to the transaction for which the form is used. If you
are claiming an exclusion under ORS 105.470, fill out only
Section 1.
An exclusion may be claimed only if the seller qualifies for the
exclusion under the law. If not excluded, the seller must
disclose the condition of the property or the buyer may revoke
their offer to purchase anytime prior to closing the transaction.
Questions regarding the legal consequences of the seller's choice
should be directed to a qualified attorney.
_________________________________________________________________
(DO NOT FILL OUT THIS SECTION UNLESS YOU ARE CLAIMING AN
EXCLUSION UNDER ORS 105.470)
Section 1. EXCLUSION FROM ORS 105.462 TO 105.490:
You may claim an exclusion under ORS 105.470 only if you qualify
under the statute. If you are not claiming an exclusion, you must
fill out Section 2 of this form completely.
Initial only the exclusion you wish to claim.
___ This is the first sale of a dwelling never occupied. The
dwelling is constructed or installed under building or
installation permit(s) #___, issued by _____.
___ This sale is by a financial institution that acquired the
property as custodian, agent or trustee, or by foreclosure or
deed in lieu of foreclosure.
___ The seller is a court appointed receiver, personal
representative, trustee, conservator or guardian.
___ This sale or transfer is by a governmental agency.
_______________
Signature(s) of Seller claiming exclusion
Date _____
_______________
Buyer(s) to acknowledge Seller's claim
Date _____
_________________________________________________________________
(IF YOU DID NOT CLAIM AN EXCLUSION IN SECTION 1, YOU MUST FILL
OUT THIS SECTION.)
Section 2. SELLER'S PROPERTY DISCLOSURE STATEMENT
(NOT A WARRANTY)
(ORS 105.464)
NOTICE TO THE BUYER: THE FOLLOWING REPRESENTATIONS ARE MADE BY
THE SELLER(S) CONCERNING THE CONDITION OF THE PROPERTY LOCATED
AT __________ ('THE PROPERTY').
DISCLOSURES CONTAINED IN THIS FORM ARE PROVIDED BY THE SELLER ON
THE BASIS OF SELLER'S ACTUAL KNOWLEDGE OF THE PROPERTY AT THE
TIME OF DISCLOSURE. BUYER HAS FIVE DAYS FROM THE SELLER'S
DELIVERY OF THIS SELLER'S DISCLOSURE STATEMENT TO REVOKE BUYER'S
OFFER BY DELIVERING BUYER'S SEPARATE SIGNED WRITTEN STATEMENT OF
REVOCATION TO THE SELLER DISAPPROVING THE SELLER'S DISCLOSURE
STATEMENT, UNLESS BUYER WAIVES THIS RIGHT AT OR PRIOR TO ENTERING
INTO A SALE AGREEMENT.
FOR A MORE COMPREHENSIVE EXAMINATION OF THE SPECIFIC CONDITION OF
THIS PROPERTY, BUYER IS ADVISED TO OBTAIN AND PAY FOR THE
SERVICES OF A QUALIFIED SPECIALIST TO INSPECT THE PROPERTY ON
BUYER'S BEHALF INCLUDING, FOR EXAMPLE, ONE OR MORE OF THE
FOLLOWING: ARCHITECTS, ENGINEERS, PLUMBERS, ELECTRICIANS,
ROOFERS, ENVIRONMENTAL INSPECTORS, BUILDING INSPECTORS, CERTIFIED
HOME INSPECTORS, OR PEST AND DRY ROT INSPECTORS.
Seller ___ is/ ___ is not occupying the property.
I. SELLER'S REPRESENTATIONS:
The following are representations made by the seller and are not
the representations of any financial institution that may have
made or may make a loan pertaining to the property, or that may
have or take a security interest in the property, or any real
estate licensee engaged by the seller or the buyer.
*If you mark yes on items with *, attach a copy or explain on an
attached sheet.
____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________
1. TITLE
A. Do you have legal authority to sellYese NoopeUnknown
*B.Is title to the property subject to any of the
following: Yes No Unknown
(1)First right of refusal
(2)Option
(3)Lease or rental agreement
(4)Other listing
(5)Life estate?
*C.Is the property being transferred an
unlawfully established unit of landYes No Unknown
*D.Are there any encroachments, boundary
agreements, boundary disputes or recent
boundary changes? Yes No Unknown
*E.Are there any rights of way, easements,
licenses, access limitations or claims that
may affect your interest in the proYestyNo Unknown
*F.Are there any agreements for joint
maintenance of an easement or rightYes wNo? Unknown
*G.Are there any governmental studies, designations,
zoning overlays, surveys or notices that would
affect the property? Yes No Unknown
*H.Are there any pending or existing governmental
assessments against the property? Yes No Unknown
*I.Are there any zoning violations or
nonconforming uses? Yes No Unknown
*J.Is there a boundary survey for the
property? Yes No Unknown
*K.Are there any covenants, conditions,
restrictions or private assessments that
affect the property? Yes No Unknown
*L.Is the property subject to any special tax
assessment or tax treatment that may result
in levy of additional taxes if the property
is sold? Yes No Unknown
2. WATER
A. Household water
(1)The source of the water is (check ALL that apply):
Public Community Private
Other _____
(2)Water source information:
*a.Does the water source require a watYespeNoit?Unknown
If yes, do you have a permit? Yes No
b. Is the water source located on the YespeNoy? Unknown
*If not, are there any written agreements for
a shared water source? Yes No Unknown NA
*c.Is there an easement (recorded or unrecorded)
for your access to or maintenance of the water
source? Yes No Unknown
d. If the source of water is from a well or spring,
have you had any of the following in the past
12 months? Flow test Bacteria test
Chemical contents test Yes No Unknown NA
*e.Are there any water source plumbing problems
or needed repairs? Yes No Unknown
(3)Are there any water treatment systems for
the property? Yes No Unknown
Leased Owned
B. Irrigation
(1)Are there any water rights or other
irrigation rights for the property?Yes No Unknown
*(2If any exist, has the irrigation water been
used during the last five-year periYes No Unknown NA
*(3Is there a water rights certificate or other
written evidence available? Yes No Unknown NA
C. Outdoor sprinkler system
(1)Is there an outdoor sprinkler system for the
property? Yes No Unknown
(2)Has a back flow valve been installeYes No Unknown NA
(3)Is the outdoor sprinkler system opeYesleNo Unknown NA
3. SEWAGE SYSTEM
A. Is the property connected to a public or
community sewage system? Yes No Unknown
B. Are there any new public or community sewage
systems proposed for the property? Yes No Unknown
C. Is the property connected to an on-site septic
system? Yes No Unknown
If yes, was it installed by permit?Yes No Unknown NA
*Has the system been repaired or alYesedNo Unknown
Has the condition of the system been
evaluated and a report issued? Yes No Unknown
Has it ever been pumped? Yes No Unknown NA
If yes, when? __________
{ -
Are there any sewage system problems or - }
{ -
needYesNopairs? Unknown - }
{ -
E. - }
{ +
D. + }
Does your sewage system require on-site
pumping to another level? Yes No Unknown
{ +
Is the septic system inspection report
attached? Yes No Unknown NA
If no, on what date do you expect to provide
the septic system inspection report?______ + }
____
4. DWELLING INSULATION
A. Is there insulation in the:
(1)Ceiling? Yes No Unknown
(2)Exterior walls? Yes No Unknown
(3)Floors? Yes No Unknown
B. Are there any defective insulated doors or
windows? Yes No Unknown
5. DWELLING STRUCTURE
*A.Has the roof leaked? Yes No Unknown
If yes, has it been repaired? Yes No Unknown NA
B. Are there any additions, conversions or
remodeling? Yes No Unknown
If yes, was a building permit requiYes? No Unknown NA
If yes, was a building permit obtaiYes? No Unknown NA
If yes, was final inspection obtainYes No Unknown NA
C. Are there smoke alarms or detectorsYes No Unknown
D. Are there carbon monoxide alarms? Yes No Unknown
E. Is there a woodstove or fireplace
insert included in the sale? Yes No Unknown
*If yes, what is the make? _____
*If yes, was it installed with a peYest?No Unknown
*If yes, is a certification label issued by the
United States Environmental Protection
Agency (EPA) or the Department of
Environmental Quality (DEQ) affixedYes iNo Unknown
*F.Has pest and dry rot, structural or
'
whole house'
inspection been done
within the last three years? Yes No Unknown
*G.Are there any moisture problems, areas of water
penetration, mildew odors or other moisture
conditions (especially in the basemYes)?No Unknown
*If yes, explain on attached sheet the frequency
and extent of problem and any insurance claims,
repairs or remediation done.
H. Is there a sump pump on the propertYes No Unknown
I. Are there any materials used in the
construction of the structure that are or
have been the subject of a recall, class
action suit, settlement or litigatiYes No Unknown
If yes, what are the materials? _____
(1)Are there problems with the materiaYes No Unknown NA
(2)Are the materials covered by a warrYesy?No Unknown NA
(3)Have the materials been inspected? Yes No Unknown NA
(4)Have there ever been claims filed for these
materials by you or by previous ownYes? No Unknown NA
If yes, when? _____
(5)Was money received? Yes No Unknown NA
(6)Were any of the materials repaired or
replaced? Yes No Unknown NA
6. DWELLING SYSTEMS AND FIXTURES
If the following systems or fixtures are included
in the purchase price, are they in good working
order on the date this form is signed?
A. Electrical system, including wiring, switches,
outlets and service Yes No Unknown
B. Plumbing system, including pipes, faucets,
fixtures and toilets Yes No Unknown
C. Water heater tank Yes No Unknown
D. Garbage disposal Yes No Unknown NA
E. Built-in range and oven Yes No Unknown NA
F. Built-in dishwasher Yes No Unknown NA
G. Sump pump Yes No Unknown NA
H. Heating and cooling systems Yes No Unknown NA
I. Security system Owned Leased Yes No Unknown NA
J. Are there any materials or products used in
the systems and fixtures that are or have
been the subject of a recall, class action
settlement or other litigations? Yes No Unknown
If yes, what product? __________
(1)Are there problems with the productYes No Unknown
(2)Is the product covered by a warrantYes No Unknown
(3)Has the product been inspected? Yes No Unknown
(4)Have claims been filed for this product
by you or by previous owners? Yes No Unknown
If yes, when? __________
(5)Was money received? Yes No Unknown
(6)Were any of the materials or products repaired
or replaced? Yes No Unknown
7. COMMON INTEREST
A. Is there a Home Owners' Association
or other governing entity? Yes No Unknown
Name of Association or Other Governing
Entity __________
Contact Person ____________
Address _______________
Phone Number ____________
B. Regular periodic assessments: $___
per Month Year Other ___
*C.Are there any pending or proposed special
assessments? Yes No Unknown
D. Are there shared '
common areas'
or joint
maintenance agreements for facilities like
walls, fences, pools, tennis courts, walkways
or other areas co-owned in undivided interest
with others? Yes No Unknown
E. Is the Home Owners' Association or other
governing entity a party to pending litigation
or subject to an unsatisfied judgmeYes No Unknown NA
F. Is the property in violation of recorded
covenants, conditions and restrictions or in
violation of other bylaws or governing rules,
whether recorded or not? Yes No Unknown NA
8. GENERAL
A. Are there problems with settling, soil,
standing water or drainage on the property
or in the immediate area? Yes No Unknown
B. Does the property contain fill? Yes No Unknown
C. Is there any material damage to the property or
any of the structure(s) from fire, wind, floods,
beach movements, earthquake, expansive soils
or landslides? Yes No Unknown
D. Is the property in a designated floYeslaNo? Unknown
E. Is the property in a designated slide or other
geologic hazard zone? Yes No Unknown
*F.Has any portion of the property been tested
or treated for asbestos, formaldehyde, radon
gas, lead-based paint, mold, fuel or chemical
storage tanks or contaminated soil YeswaNor? Unknown
G. Are there any tanks or underground storage
tanks (e.g., septic, chemical, fuel, etc.)
on the property? Yes No Unknown
H. Has the property ever been used as an illegal
drug manufacturing or distribution Yese?No Unknown
*If yes, was a Certificate of FitneYesisNoed?Unknown
*I.Has the property been classified as
forestland-urban interface? Yes No Unknown
9. FULL DISCLOSURE BY SELLERS
*A.Are there any other material defects affecting
this property or its value that a prospective
buyer should know about? Yes No
*If yes, describe the defect on attached sheet and
explain the frequency and extent of the problem
and any insurance claims, repairs or remediation.
B. Verification:
The foregoing answers and attached explanations (if any) are complete and correct to
the best of my/our knowledge and I/we have received a copy of this disclosure statement.
I/we authorize my/our agents to deliver a copy of this disclosure statement to all
prospective buyers of the property or their agents.
Seller(s) signature:
SELLER _______________
DATE __________
SELLER _______________
DATE __________
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
_________________________________________________________________
II. BUYER'S ACKNOWLEDGMENT
A. As buyer(s), I/we acknowledge the duty to pay diligent
attention to any material defects that are known to me/us or can
be known by me/us by utilizing diligent attention and
observation.
B. Each buyer acknowledges and understands that the disclosures
set forth in this statement and in any amendments to this
statement are made only by the seller and are not the
representations of any financial institution that may have made
or may make a loan pertaining to the property, or that may have
or take a security interest in the property, or of any real
estate licensee engaged by the seller or buyer. A financial
institution or real estate licensee is not bound by and has no
liability with respect to any representation, misrepresentation,
omission, error or inaccuracy contained in another party's
disclosure statement required by this section or any amendment to
the disclosure statement.
C. Buyer (which term includes all persons signing the 'buyer's
acknowledgment' portion of this disclosure statement below)
hereby acknowledges receipt of a copy of this disclosure
statement (including attachments, if any) bearing seller's
signature(s).
DISCLOSURES, IF ANY, CONTAINED IN THIS FORM ARE PROVIDED BY THE
SELLER ON THE BASIS OF SELLER'S ACTUAL KNOWLEDGE OF THE PROPERTY
AT THE TIME OF DISCLOSURE. IF THE SELLER HAS FILLED OUT SECTION 2
OF THIS FORM, YOU, THE BUYER, HAVE FIVE DAYS FROM THE SELLER'S
DELIVERY OF THIS DISCLOSURE STATEMENT TO REVOKE YOUR OFFER BY
DELIVERING YOUR SEPARATE SIGNED WRITTEN STATEMENT OF REVOCATION
TO THE SELLER DISAPPROVING THE SELLER'S DISCLOSURE UNLESS YOU
WAIVE THIS RIGHT AT OR PRIOR TO ENTERING INTO A SALE AGREEMENT.
BUYER HEREBY ACKNOWLEDGES RECEIPT OF A COPY OF THIS SELLER'S
PROPERTY DISCLOSURE STATEMENT.
BUYER _______________ DATE __________
BUYER _______________ DATE __________
Agent receiving disclosure statement on buyer's behalf to sign
and date:
_______________ Real Estate Licensee
_______________ Real Estate Firm
Date received by agent _____
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
_________________________________________________________________
SECTION 7. { + Section 3 of this 2011 Act and the amendments
to ORS 105.462, 105.464, 105.475 and 105.485 by sections 1, 4, 5
and 6 of this 2011 Act apply to written offers to purchase real
property tendered on or after the effective date of this 2011
Act. + }
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