A06608 Summary:

BILL NOA06608A
 
SAME ASSAME AS S02142-A
 
SPONSORRivera JD
 
COSPNSRConrad, Rodriguez, Benedetto, Gottfried, Dinowitz, Septimo, Simon, Richardson, Jackson, Sillitti, McDonough, Glick, Frontus, Fernandez, Reyes, Bronson, Clark, Hevesi, Seawright, Lunsford, Peoples-Stokes, Gonzalez-Rojas
 
MLTSPNSR
 
Add Art 16 §§520 - 524, §235-aa, amd §462, RP L
 
Requires the disclosure of lead-based paint test reports in real estate transactions.
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A06608 Actions:

BILL NOA06608A
 
03/19/2021referred to judiciary
05/26/2021reported referred to codes
06/02/2021reported referred to rules
06/03/2021amend and recommit to rules 6608a
06/07/2021reported
06/07/2021rules report cal.455
06/07/2021ordered to third reading rules cal.455
06/09/2021passed assembly
06/09/2021delivered to senate
06/09/2021REFERRED TO RULES
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A06608 Committee Votes:

JUDICIARY Chair:Lavine DATE:05/26/2021AYE/NAY:15/6 Action: Favorable refer to committee Codes
LavineAyeMontesanoNay
ZebrowskiAyeNorrisNay
WeprinAyeWalshNay
BraunsteinAyeByrnesNay
QuartAyeBrownNay
SteckAyeTannousisNay
SeawrightAye
JoynerAye
AbinantiAye
WallaceAye
WalkerAye
CruzAye
McMahonAye
MitaynesAye
RajkumarAye

CODES Chair:Dinowitz DATE:06/02/2021AYE/NAY:16/6 Action: Favorable refer to committee Rules
DinowitzAyeMorinelloNay
PretlowAyeGiglioNay
CookAyeMontesanoNay
CymbrowitzAyeReillyNay
O'DonnellAyeMikulinNay
LavineAyeTannousisNay
PerryAye
AbinantiAye
WeprinAye
HevesiAye
FahyAye
SeawrightAye
RosenthalAye
WalkerAye
VanelAye
CruzAye

RULES Chair:Gottfried DATE:06/07/2021AYE/NAY:21/8 Action: Favorable
HeastieExcusedBarclayNay
GottfriedAyeHawleyNay
NolanExcusedGiglioNay
WeinsteinAyeBlankenbushNay
PretlowAyeNorrisNay
CookAyeMontesanoNay
GlickAyeRaNay
AubryAyeBrabenecNay
EnglebrightAye
DinowitzAye
ColtonAye
MagnarelliAye
PerryAye
PaulinAye
Peoples-StokesAye
BenedettoAye
LavineAye
LupardoAye
ZebrowskiAye
ThieleAye
BraunsteinAye
DickensAye
DavilaAye

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A06608 Floor Votes:

DATE:06/09/2021Assembly Vote  YEA/NAY: 102/46
AbbateYClarkYFrontusYLalorNOPaulinYSillittiY
AbinantiYColtonYGalefYLavineYPeoples-StokesYSimonY
AndersonYConradYGallagherYLawlerNOPerryYSimpsonNO
AngelinoNOCookYGallahanNOLemondesNOPheffer AmatoYSmithNO
AshbyNOCruzYGandolfoNOLunsfordYPichardoYSmullenNO
AubryYCusickYGiglio JANOLupardoYPretlowYSolagesY
BarclayNOCymbrowitzYGiglio JMNOMagnarelliYQuartYSteckY
BarnwellYDarlingYGlickYMamdaniYRaNOSternY
BarrettYDavilaYGonzalez-RojasYManktelowNORajkumarYStirpeY
BarronYDe La RosaYGoodellNOMcDonaldYRamosYTagueNO
BenedettoYDeStefanoNOGottfriedYMcDonoughNOReillyNOTannousisNO
BichotteYDickensYGriffinYMcMahonYReyesYTaylorY
BlankenbushNODilanYGuntherYMeeksYRichardsonYThieleY
BrabenecNODinowitzYHawleyNOMikulinNORivera J YVanelY
BraunsteinYDiPietroNOHevesiYMiller B NORivera JDYWalczykNO
BronsonYDursoNOHunterYMiller MLNORodriguezYWalkerY
BrownNOEichensteinNOHyndmanYMitaynesYRosenthal D YWallaceY
BurdickYEnglebrightYJacksonYMontesanoNORosenthal L YWalshNO
BurgosYEpsteinYJacobsonYMorinelloNORozicYWeinsteinY
BurkeYFahyYJean-PierreYNiouYSalkaNOWeprinY
ButtenschonNOFallYJensenNONolanERSantabarbaraYWilliamsY
ByrneNOFernandezYJonesYNorrisNOSayeghYWoernerY
ByrnesNOFitzpatrickNOJoynerYO'DonnellYSchmittNOZebrowskiNO
CahillYForrestERKellesYOtisYSeawrightYZinermanY
CarrollYFriendNOKimYPalmesanoNOSeptimoYMr. SpeakerY

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A06608 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6608A
 
SPONSOR: Rivera JD
  TITLE OF BILL: An act to amend the real property law, in relation to requiring the disclosure of lead-based paint test reports in real estate transactions   PURPOSE OF BILL: This bill requires property owners to conduct lead paint tests and provide the reports of such test before selling or leasing the property. By requiring that these test reports also be submitted to the Department of Health, New York takes a first step towards tracking and mitigating its worst-in-the-nation lead poisoning crisis.   SUMMARY OF SPECIFIC PROVISIONS: Section 1 of the bill sets forth legislative findings. Section 2 of the bill creates a new Article 16 to the real property law enacting the "Lead-based Paint Disclosure Act". Section 521 of the act sets forth definitions. Section 522 of the act requires that a building owner must provide to any buyer, a certificate that such property has been tested for lead- based paint, and provide the report of such test before executing any sale of the property. This section also requires that the building owner file such certificate and reports with the State Department of Health in the relevant County. This section also prohibits any local title office from accepting an instrument of transfer of title unless the required a certificate is provided. Building owners who need to conduct necessary lead-based paint testing may deduct the cost of such tests from the taxes owed on the sale of the property. Section 523 of the act sets forth the duty placed upon agents represent- ing either the buyer or seller of the property. Agents shall have the duty to inform their respective party of the rights and requirements under this law. If one party is not represented by an agent, the agent of the represented party also has a duty to inform the unrepresented party. Section 524 of the act prevents the limitation of any existing legal cause of action or remedy by this law. Section 3 of the bill adds Section 235-aa to the real property law requiring the disclosure of all lead-based paint test reports prior to executing any residential lease. This section also sets forth penalties for owners who violate this section. Section 4 of the bill amends Section 462 of the real property law to include the newly created disclosure requirements onto the Property Condition Disclosure Statement. Section 5 This act shall take effect August 1, 2022. Effective imme- diately, the addition, amendment, and/or repeal of any rule or regu- lation necessary for the implementation of this act on its effective date are authorized to be made and completed on or before such effective date.   JUSTIFICATION: Despite federal policies phasing out lead from paint and gasoline in the 1970s, states have largely been left to develop their own lead poisoning prevention policy. While New York has been a leader in lead policy, the legacy of lead continues to pose a threat to New Yorkers through contam- inated house dust, old paint, soil, and water. The main sources of lead exposure vary from one place to another, but in New York the biggest catalysts of lead poisoning are the lead hazards in pre-1978 housing. According to the Centers for Disease Control and Prevention, New York has more children identified with elevated blood lead levels than any other states. Over 100,000 young children in the state may have a blood lead level of 5 micrograms per deciliter (pg/dL) or higher. According to the Council on Environmental Health, lead-based paint hazards are the most significant sources of exposure in children. New York also has the nation's greatest number of housing units, the highest percentage of pre-1960 and pre-1950 housing, and the oldest housing inventory among the 50 states. This older housing stock places New Yorkers at greater risk of exposure to lead hazards. Lead is widely recognized as an issue of environmental justice because low-income children living in older housing has the highest risk of lead poisoning. The mandated disclosure of lead-paint test reports provided for in this bill will ensure that tenants and homeowners in New York can choose to move into buildings free of any unknown lead-paint hazards. This bill will also give state health officials the knowledge of which properties do and do not have lead paint hazards. By making this information public, the private market will encourage proactive repair and mainte- nance to address lead paint hazards.   LEGISLATIVE HISTORY: 2020: 58830 (Kavanagh) - RULES.   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: To be determined.   EFFECTIVE DATE: This act shall take effect August 1, 2022.
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A06608 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         6608--A
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                     March 19, 2021
                                       ___________
 
        Introduced by M. of A. J. D. RIVERA, CONRAD, RODRIGUEZ, BENEDETTO, GOTT-
          FRIED,  DINOWITZ, SEPTIMO, SIMON, RICHARDSON, JACKSON, SILLITTI, McDO-
          NOUGH, GLICK,  FRONTUS,  FERNANDEZ,  REYES,  BRONSON,  CLARK,  HEVESI,
          SEAWRIGHT,  LUNSFORD  --  read  once  and referred to the Committee on
          Judiciary -- reported and  referred  to  the  Committee  on  Codes  --
          reported  and  referred  to  the Committee on Rules -- Rules Committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to the Committee on Rules
 
        AN ACT to amend the real property law,  in  relation  to  requiring  the
          disclosure  of  lead-based  paint  test  reports in real estate trans-
          actions
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Legislative  findings.  The  legislature hereby finds and
     2  declares that lead poisoning of children persists as  one  of  the  most
     3  prevalent  and  preventable  environmental  diseases  in New York State.
     4  Nearly 100,000 children were newly identified with  levels  of  lead  in
     5  their  blood at five micrograms per deciliter (mcg/dL) in New York state
     6  between 2011 and 2015.   Medical research indicates  that  children  can
     7  suffer  permanent  brain damage at blood levels even lower than 5mcg/dL,
     8  and that there is no level of lead ingestion  that  is  without  adverse
     9  impact.    The  predominant cause of lead poisoning in young children is
    10  the ingestion of lead particles from deteriorating or abraded lead-based
    11  paint from older and poorly maintained residences.   Although  New  York
    12  state banned the sale of lead-based paint in 1970, (l.1970, ch. 338) 74%
    13  of New York's housing stock was constructed prior to 1970 and lead-based
    14  paint  was available outside of the state until 1978. New York state has
    15  both the nation's greatest number (over 4 million  units),  the  highest
    16  percentage  (55.08%)  of  pre-1960 and pre-1950 (41.0%) housing, and the
    17  oldest housing inventory among the fifty states. At least ninety percent
    18  of lead-based paint still exists in occupied housing built before  1960.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06488-03-1

        A. 6608--A                          2
 
     1  New  York  state's older housing stock places residents at great risk of
     2  exposure to lead hazards, with low-income children living in older hous-
     3  ing having the highest risk of lead poisoning. Knowledge  of  lead-based
     4  paint  hazards, their control, mitigation, abatement, and risk avoidance
     5  is not sufficiently widespread. In addition, while federal law  requires
     6  the disclosure by sellers of real property of knowledge of the existence
     7  of  lead-based paint and lead-based paint hazards, and encourages poten-
     8  tial buyers to conduct inspections for  lead-based  paint,  these  mech-
     9  anisms  neither mandate that such inspections take place either by sell-
    10  ers  or  buyers.  This  gap  in  disclosure  requirements   results   in
    11  residential  property  being  transferred  without  any knowledge of the
    12  potential for such property to cause lead poisoning  and  the  attendant
    13  liabilities.
    14    Local  county  health  departments  lack  sufficient information as to
    15  which housing contains lead-based paint and the locations of such  lead-
    16  based paint, resulting in less cost-effective prevention of lead poison-
    17  ing,  avoidable  harm to children's health, and wasted public resources.
    18  The purposes of this act are to assure that  properties  that  have  not
    19  been  previously  tested for lead-based paint are not simply transferred
    20  to new owners without knowledge of whether  there  is  lead-based  paint
    21  present,  and  to  better utilize the existing federal laws that mandate
    22  disclosure of lead-based paint and lead-based paint hazards and  to  aid
    23  in  the  prevention  of lead poisoning.  This act is not intended to and
    24  does not diminish the responsibility of buyers to carefully examine  the
    25  property  which they intend to purchase and public records pertaining to
    26  the property. This act is not intended to and does  not  limit  existing
    27  responsibilities by a seller, buyer or agent concerning the condition of
    28  the  property or potential liabilities or remedies at law, statute or in
    29  equity.
    30    This act will significantly improve the transfer  process  and  better
    31  serve  the interests of all parties to a home purchase. It will increase
    32  clarity regarding the nature of the property and  will  provide  greater
    33  certainty  to contracts entered into by better informed buyers and sell-
    34  ers. As well, it will provide incentive to owners  to  voluntarily  test
    35  their property prior to sale.
    36    §  2.  The  real property law is amended by adding a new article 16 to
    37  read as follows:
    38                                 ARTICLE 16
    39                       LEAD-BASED PAINT DISCLOSURE ACT
    40  Section 520. Short title.
    41          521. Definitions.
    42          522. Inspection of  residential  real  property  for  lead-based
    43                 paint prior to transfer of title.
    44          523. Duty of agent.
    45          524. Liability.
    46    §  520.  Short  title. This article shall be known and may be cited as
    47  the "lead-based paint disclosure act".
    48    § 521. Definitions. As used in this article, the following terms shall
    49  have the following meanings:
    50    1. "Agent" shall mean a person who is licensed as a real estate broker
    51  or a real estate salesperson pursuant to section four hundred forty-a of
    52  this chapter and acting in a fiduciary capacity.
    53    2. "Binding contract of  sale"  shall  mean  a  real  estate  purchase
    54  contract  or offer that would, upon signing by the seller and subject to
    55  satisfaction of any contingencies, require the buyer to accept a  trans-
    56  fer of title.

        A. 6608--A                          3
 
     1    3.  "Broker"  shall  have  the  same  meaning  as "real estate broker"
     2  defined by section four hundred forty of this chapter.
     3    4.  "Buyer"  shall  mean  any  entity  that  enters into a real estate
     4  purchase contract, including but not limited  to  individuals,  partner-
     5  ships,  corporations,  trusts,  government  agencies,  housing agencies,
     6  Indian tribes, and nonprofit organizations.
     7    5. "Lead-based paint" shall mean paint or other similar surface  coat-
     8  ing  material containing 1.0 milligrams of lead per square centimeter or
     9  greater, as determined by laboratory analysis of paint samples with  all
    10  layers  of  paint  present,  or by an x-ray fluorescence analyzer. If an
    11  x-ray fluorescence analyzer is used, readings  shall  be  corrected  for
    12  substrate bias when necessary as specified by the performance character-
    13  istic  sheets  released  by  the  United States environmental protection
    14  agency and the United States department of housing and urban development
    15  for the specific x-ray fluorescence analyzer  used.  X-ray  fluorescence
    16  readings  shall  be  classified as positive, negative or inconclusive in
    17  accordance with the United States department of housing and urban devel-
    18  opment guidelines for the evaluation and  control  of  lead-based  paint
    19  hazards in housing (July 2012) or successor guidelines, and the perform-
    20  ance  characteristic  sheets released by the United States environmental
    21  protection agency and the United States department of housing and  urban
    22  development  for  the  specific  x-ray fluorescence analyzer used. X-ray
    23  fluorescence readings that fall within the inconclusive zone, as  deter-
    24  mined  by  the  performance characteristic sheets, shall be confirmed by
    25  laboratory analysis of paint chips, results shall be reported in  milli-
    26  grams  of  lead per square centimeter and the measure of such laboratory
    27  analysis shall be definitive. If laboratory analysis is used  to  deter-
    28  mine  lead  content, results shall be reported in milligrams of lead per
    29  square centimeter. Where the surface area of a paint chip sample  cannot
    30  be  accurately  measured  or if an accurately measured paint chip sample
    31  cannot be removed, a laboratory analysis may be reported in  percent  by
    32  weight.  In  such  case,  lead-based paint shall mean any paint or other
    33  similar surface-coating material containing more than 0.009  percent  of
    34  metallic  lead,  based on the non-volatile content of the paint or other
    35  similar surface-coating material. In the event that  the  United  States
    36  environmental  protection  agency  or  a successor agency, or the United
    37  States department of housing and urban development or a successor  agen-
    38  cy, or a department or agency of the state of New York that has obtained
    39  applicable  authorization  pursuant  to  40 C.F.R. part 745 subpart Q or
    40  successor regulation, adopts more stringent  definitions  of  lead-based
    41  paint,  such  more stringent definitions shall apply for the purposes of
    42  this article.
    43    6. "Real estate purchase contract" shall mean any of the following:
    44    (a) a contract which provides for the purchase and sale or exchange of
    45  residential real property;
    46    (b) a lease with an option to purchase residential real property;
    47    (c) a lease-with-obligation-to-purchase agreement for residential real
    48  property; or
    49    (d) an installment land sale contract for residential real property.
    50    7. "Residential real property" shall mean real property improved by  a
    51  residential  dwelling  erected prior to the year nineteen hundred seven-
    52  ty-eight.
    53    8. "Residential dwelling" shall mean a single-family dwelling, includ-
    54  ing attached structures such as porches and stoops, or  a  single-family
    55  dwelling  unit  within  a structure that contains more than one separate
    56  residential dwelling unit, used or occupied, or designed to be  used  or

        A. 6608--A                          4
 
     1  occupied,  wholly  or  partly,  as  the home or residence of one or more
     2  persons whether or not it was or will be occupied.
     3    9. "Seller" shall mean any entity that intends to engage in the trans-
     4  fer  of  title  to  a buyer of residential real property, in whole or in
     5  part, including but not limited  to  individuals,  partnerships,  corpo-
     6  rations,  trusts,  government agencies, housing agencies, Indian tribes,
     7  mortgage banker, lender, and nonprofit organizations. The term  "seller"
     8  also shall mean an entity that transfers shares in a cooperatively owned
     9  project.
    10    10.  "Test for lead-based paint" shall mean a test for the presence of
    11  lead-based paint that has been conducted through both a lead hazard risk
    12  assessment and a lead-based paint inspection as  defined  in  40  C.F.R.
    13  745.103,  24  C.F.R.  35.86, and the United States department of housing
    14  and urban development guidelines for the evaluation and control of lead-
    15  based paint hazards in housing (July 2012), or successor regulations and
    16  guidelines, and a report prepared indicating the results of  such  test,
    17  including  the locations where tests were performed for lead-based paint
    18  and lead-based paint hazards and the readings of all  such  tests.  Such
    19  test shall not be valid unless performed by a person accredited pursuant
    20  to:  (a)  certification  to  conduct  lead  hazard  risk  assessment and
    21  inspections by the United States environmental protection agency  pursu-
    22  ant  to  40  C.F.R.  745.226(b)  or successor regulation; or (b) certif-
    23  ication by a state or tribal program authorized  by  the  United  States
    24  environmental  protection agency to certify individuals engaged in lead-
    25  based paint activities pursuant to 40 C.F.R. 745.325 or successor  regu-
    26  lation  or eligible to conduct the inspections required by this article.
    27  For multifamily housing, the test must be conducted in  accordance  with
    28  the United States department of housing and urban development guidelines
    29  for  the  evaluation  and control of lead-based paint hazards in housing
    30  (July 2012), or successor guidelines.
    31    11. "Transfer of title" shall mean delivery  of  a  properly  executed
    32  instrument  conveying  title  to  residential  real  property  and shall
    33  include delivery of a real estate purchase contract that is a  lease  or
    34  installment land sale contract.
    35    §  522.  Inspection  of residential real property for lead-based paint
    36  prior to transfer of title.  1. (a) Effective August first, two thousand
    37  twenty-two, every seller of residential real property pursuant to a real
    38  estate purchase contract shall deliver to a buyer or buyer's agent prior
    39  to the signing by the buyer of a binding contract of sale a  certificate
    40  that such property has been tested for lead-based paint, and provide the
    41  report  of such test. A copy of the certificate containing the signature
    42  of the seller and any report of a test for  lead-based  paint  shall  be
    43  attached  to  the  real estate purchase contract. A copy of such certif-
    44  icate and report of such test and any subsequent reports of  such  tests
    45  shall  be filed with the state department of health in the department of
    46  health in the county where such residential real  property  is  located,
    47  and  such  certificate shall as well be filed with the office authorized
    48  under section three hundred seventy-two of this chapter to be  registrar
    49  of  title  in  the  county where such real property is located, and such
    50  office shall not accept for filing an instrument of  transfer  of  title
    51  unless accompanied by such certificate where applicable.
    52    (b) The presentation of a certificate of such test by a prior owner of
    53  said  property  and  evidence of filing such certificate and report with
    54  the department of health in the county where such residential real prop-
    55  erty is located, shall be deemed to be in compliance with the provisions
    56  of this subdivision.

        A. 6608--A                          5
 
     1    (c) In the event the seller has not received  from  a  prior  owner  a
     2  certification and report of such tests as set forth in this subdivision,
     3  the  costs  of  testing  for  lead-based  paint and the preparation of a
     4  certificate and report thereof as provided in this subdivision shall  be
     5  deductible  by  the  transferor  or  grantor,  up  to the amount of five
     6  hundred dollars, or in a building with more than one dwelling unit up to
     7  four hundred dollars per dwelling unit tested, from the taxes imposed by
     8  sections fourteen hundred two and fourteen hundred two-a of the tax law.
     9  The transferor or grantor shall not be reimbursed for costs in excess of
    10  the total taxes imposed by sections fourteen hundred  two  and  fourteen
    11  hundred two-a of the tax law.
    12    2. Any provision in a real estate purchase contract or any other docu-
    13  ment  related to the transfer of title in residential real property that
    14  purports to waive any right created under state or federal law  for  the
    15  buyer  to  conduct  a  risk  assessment or inspection of the property to
    16  determine the presence  of  lead-based  paint  and/or  lead-based  paint
    17  hazards,  or  any  oral  agreement that purports to waive such right, is
    18  null and void as against public policy, notwithstanding that such  waiv-
    19  ers might otherwise be permitted by federal law.
    20    3.  A  certificate  that  such property has been tested for lead-based
    21  paint shall not be required in connection  with  any  of  the  following
    22  transfers of residential real property:
    23    (a) A transfer to a beneficiary of a deed of trust;
    24    (b) A transfer by a fiduciary in the course of the administration of a
    25  decedent's estate, a guardianship, a conservatorship, or a trust;
    26    (c) A transfer from one co-owner to one or more other co-owners;
    27    (d)  A  transfer  made  to  the  transferor's spouse or to one or more
    28  persons in the lineal consanguinity of one or more of the transferors;
    29    (e) A transfer between spouses or former spouses  as  a  result  of  a
    30  decree  of  divorce,  dissolution of marriage, annulment, or legal sepa-
    31  ration or as a result of property settlement, agreement incidental to  a
    32  decree  of  divorce,  dissolution  of marriage, annulment or legal sepa-
    33  ration;
    34    (f) A transfer to or from the state, a political  subdivision  of  the
    35  state, or another governmental entity;
    36    (g) A transfer by a sheriff;
    37    (h) A transfer pursuant to a partition action; or
    38    (i)  A transfer of an unoccupied dwelling unit or residential property
    39  that is to be demolished, provided the dwelling unit  or  property  will
    40  remain  unoccupied until demolition and lead-safe work practices enumer-
    41  ated in 40 C.F.R. 745 and  successor  regulations,  or  more  protective
    42  state law are followed during the demolition.
    43    4.  Nothing  contained  in  this  article  is  intended to prevent the
    44  parties to a contract of sale from entering into agreements of any  kind
    45  or  nature  with respect to the physical condition of the property to be
    46  sold, including, but not limited to, agreements for  the  sale  of  real
    47  property "as is".
    48    §  523.  Duty  of agent. An agent representing a seller of residential
    49  real property as a listing broker, or, if the seller is not  represented
    50  by  an agent, the agent representing the buyer of residential real prop-
    51  erty and dealing with a prospective seller, shall have the duty to time-
    52  ly (in any event, before the buyer signs a  binding  contract  of  sale)
    53  inform  each  seller  of the seller's obligations under this article. An
    54  agent representing a buyer of residential  real  property,  or,  if  the
    55  buyer is not represented by an agent, the agent representing a seller of
    56  residential  real  property  and dealing with a prospective buyer, shall

        A. 6608--A                          6
 
     1  have the duty to timely (in any event, before the buyer signs a  binding
     2  contract  of  sale)  inform  such  buyer of the buyer's rights and obli-
     3  gations under this article. If an agent performs the  duties  and  obli-
     4  gations  imposed  upon  him  or  her pursuant to this section, the agent
     5  shall have no further duties under this article and shall not be  liable
     6  to  any  party  for a violation of this article. The department of state
     7  may, pursuant to section  four  hundred  forty-one-c  of  this  chapter,
     8  revoke or suspend the license of an agent who violates this article.
     9    § 524. Liability. Nothing contained in this article shall be construed
    10  as  limiting  any  existing  legal  cause of action or remedy at law, in
    11  statute or in equity.
    12    § 3. The real property law is amended by adding a new  section  235-aa
    13  to read as follows:
    14    § 235-aa. Disclosure of lead-based paint and lead-based paint hazards.
    15  1.  Prior  to  executing  a residential lease or rental agreement with a
    16  tenant, the owner of real property shall provide the tenant  a  copy  of
    17  all  reports  of a test for lead-based paint issued or prepared pursuant
    18  to section five hundred  twenty-two  of  this  chapter,  and  any  other
    19  report,  within  the  possession  or control of the owner, pertaining to
    20  lead-based paint or lead-based  paint  hazards  within  the  meaning  of
    21  section  4852d of title 42 of the United States Code and the regulations
    22  thereunder. Owners who deliver a disclosure form with all required docu-
    23  ments under the provisions of section 4852d of title 42  of  the  United
    24  States  Code  and  the  regulations  thereunder  shall be deemed to have
    25  complied with the requirements of this subdivision.
    26    2. Any agreement by a  lessee  or  tenant  of  premises  for  dwelling
    27  purposes  waiving  or  modifying  his or her rights as set forth in this
    28  section shall be void as contrary to public policy.
    29    3. An owner who violates this section shall  be  liable  for  a  civil
    30  penalty  not  to exceed ten thousand dollars, and in addition, a penalty
    31  to the tenant not to exceed the  equivalent  of  the  amount  of  rental
    32  payments  for  three  months  plus any attorney's fees.   The powers and
    33  remedies set forth in this section shall be in  addition  to  all  other
    34  existing  legal cause of action or remedy at law, in statute or in equi-
    35  ty.
    36    § 4. Subdivision 2 of section 462 of the real property law,  as  added
    37  by chapter 456 of the laws of 2001, is amended to read as follows:
    38    2. The following shall be the disclosure form:
 
    39                   PROPERTY CONDITION DISCLOSURE STATEMENT
 
    40  NAME OF SELLER OR SELLERS:
 
    41  PROPERTY ADDRESS:
 
    42    THE  PROPERTY CONDITION DISCLOSURE ACT REQUIRES THE SELLER OF RESIDEN-
    43  TIAL REAL PROPERTY TO CAUSE THIS DISCLOSURE STATEMENT OR A COPY  THEREOF
    44  TO  BE DELIVERED TO A BUYER OR BUYER'S AGENT PRIOR TO THE SIGNING BY THE
    45  BUYER OF A BINDING CONTRACT OF SALE.
    46    PURPOSE OF STATEMENT: THIS IS A STATEMENT OF  CERTAIN  CONDITIONS  AND
    47  INFORMATION CONCERNING THE PROPERTY KNOWN TO THE SELLER. THIS DISCLOSURE
    48  STATEMENT  IS  NOT  A WARRANTY OF ANY KIND BY THE SELLER OR BY ANY AGENT
    49  REPRESENTING THE SELLER IN THIS TRANSACTION. IT IS NOT A SUBSTITUTE  FOR
    50  ANY  INSPECTIONS  OR  TESTS AND THE BUYER IS ENCOURAGED TO OBTAIN HIS OR
    51  HER OWN INDEPENDENT PROFESSIONAL INSPECTIONS AND ENVIRONMENTAL TESTS AND
    52  ALSO IS ENCOURAGED TO CHECK PUBLIC RECORDS PERTAINING TO THE PROPERTY.

        A. 6608--A                          7
 
     1    A KNOWINGLY FALSE OR INCOMPLETE STATEMENT BY THE SELLER ON  THIS  FORM
     2  MAY  SUBJECT  THE  SELLER  TO  CLAIMS BY THE BUYER PRIOR TO OR AFTER THE
     3  TRANSFER OF TITLE. IN THE EVENT A  SELLER  FAILS  TO  PERFORM  THE  DUTY
     4  PRESCRIBED  IN  THIS  ARTICLE TO DELIVER A DISCLOSURE STATEMENT PRIOR TO
     5  THE  SIGNING BY THE BUYER OF A BINDING CONTRACT OF SALE, THE BUYER SHALL
     6  RECEIVE UPON THE TRANSFER OF TITLE A  CREDIT  OF  FIVE  HUNDRED  DOLLARS
     7  AGAINST THE AGREED UPON PURCHASE PRICE OF THE RESIDENTIAL REAL PROPERTY.
     8    "RESIDENTIAL  REAL  PROPERTY" MEANS REAL PROPERTY IMPROVED BY A ONE TO
     9  FOUR FAMILY DWELLING USED OR OCCUPIED, OR INTENDED TO BE USED  OR  OCCU-
    10  PIED, WHOLLY OR PARTLY, AS THE HOME OR RESIDENCE OF ONE OR MORE PERSONS,
    11  BUT  SHALL  NOT  REFER  TO  (A) UNIMPROVED REAL PROPERTY UPON WHICH SUCH
    12  DWELLINGS ARE TO BE CONSTRUCTED OR (B) CONDOMINIUM UNITS OR  COOPERATIVE
    13  APARTMENTS  OR  (C)  PROPERTY  ON  A HOMEOWNERS' ASSOCIATION THAT IS NOT
    14  OWNED IN FEE SIMPLE BY THE SELLER.
 
    15  INSTRUCTIONS TO THE SELLER:
    16    (a) ANSWER ALL QUESTIONS BASED UPON YOUR ACTUAL KNOWLEDGE.
    17    (b) ATTACH ADDITIONAL PAGES WITH YOUR SIGNATURE IF ADDITIONAL SPACE IS
    18  REQUIRED.
    19    (c) COMPLETE THIS FORM YOURSELF.
    20    (d) IF SOME ITEMS DO NOT APPLY TO YOUR PROPERTY, CHECK  "NA"  (NON-AP-
    21  PLICABLE). IF YOU DO NOT KNOW THE ANSWER CHECK "UNKN" (UNKNOWN).
 
    22    SELLER'S  STATEMENT: THE SELLER MAKES THE FOLLOWING REPRESENTATIONS TO
    23  THE BUYER BASED UPON THE SELLER'S ACTUAL KNOWLEDGE AT THE TIME OF  SIGN-
    24  ING  THIS  DOCUMENT.  THE SELLER AUTHORIZES HIS OR HER AGENT, IF ANY, TO
    25  PROVIDE A COPY OF THIS STATEMENT TO A PROSPECTIVE BUYER OF THE  RESIDEN-
    26  TIAL REAL PROPERTY. THE FOLLOWING ARE REPRESENTATIONS MADE BY THE SELLER
    27  AND ARE NOT THE REPRESENTATIONS OF THE SELLER'S AGENT.
 
    28  GENERAL INFORMATION
    29    1. HOW LONG HAVE YOU OWNED THE PROPERTY?
    30    2. HOW LONG HAVE YOU OCCUPIED THE PROPERTY?
    31    3. WHAT  IS  THE AGE OF THE STRUCTURE OR STRUCTURES? NOTE TO BUYER--IF
    32       THE STRUCTURE WAS BUILT BEFORE 1978 YOU ARE ENCOURAGED TO  INVESTI-
    33       GATE FOR THE PRESENCE OF LEAD BASED PAINT HAZARDS. IN ADDITION, NEW
    34       YORK  REAL  PROPERTY LAW REQUIRES THE SELLER TO PRODUCE THE RESULTS
    35       OF A TEST OF ALL THE PAINTED SURFACES FOR LEAD, OR TO CONDUCT  SUCH
    36       A TEST IF NOT PREVIOUSLY PERFORMED.
    37    4. DOES  ANYBODY  OTHER  THAN  YOURSELF  HAVE A LEASE, EASEMENT OR ANY
    38       OTHER RIGHT TO USE OR OCCUPY ANY PART OF YOUR PROPERTY  OTHER  THAN
    39       THOSE  STATED  IN DOCUMENTS AVAILABLE IN THE PUBLIC RECORD, SUCH AS
    40       RIGHTS TO USE A ROAD OR PATH OR CUT TREES OR CROPS. YES NO UNKN NA
    41    5. DOES ANYBODY ELSE CLAIM TO OWN ANY PART OF YOUR PROPERTY?   YES  NO
    42       UNKN NA (IF YES, EXPLAIN BELOW)
    43    6. HAS ANYONE DENIED YOU ACCESS TO THE PROPERTY OR MADE A FORMAL LEGAL
    44       CLAIM  CHALLENGING  YOUR  TITLE TO THE PROPERTY? YES NO UNKN NA (IF
    45       YES, EXPLAIN BELOW)
    46    7. ARE THERE ANY FEATURES  OF  THE  PROPERTY  SHARED  IN  COMMON  WITH
    47       ADJOINING  LAND  OWNERS OR A HOMEOWNERS ASSOCIATION, SUCH AS WALLS,
    48       FENCES OR DRIVEWAYS? YES NO UNKN NA (IF YES DESCRIBE BELOW)
    49    8. ARE THERE ANY ELECTRIC OR GAS UTILITY SURCHARGES  FOR  LINE  EXTEN-
    50       SIONS,  SPECIAL  ASSESSMENTS OR HOMEOWNER OR OTHER ASSOCIATION FEES
    51       THAT APPLY TO THE PROPERTY? YES NO UNKN NA (IF YES, EXPLAIN BELOW)
    52    9. ARE THERE CERTIFICATES OF OCCUPANCY RELATED TO THE PROPERTY?    YES
    53       NO UNKN NA (IF NO, EXPLAIN BELOW)

        A. 6608--A                          8
 
     1  ENVIRONMENTAL
     2    NOTE  TO SELLER - IN THIS SECTION, YOU WILL BE ASKED QUESTIONS REGARD-
     3  ING PETROLEUM PRODUCTS AND HAZARDOUS OR TOXIC SUBSTANCES THAT  YOU  KNOW
     4  TO  HAVE BEEN SPILLED, LEAKED OR OTHERWISE BEEN RELEASED ON THE PROPERTY
     5  OR FROM THE PROPERTY ONTO ANY OTHER  PROPERTY.  PETROLEUM  PRODUCTS  MAY
     6  INCLUDE,  BUT  ARE  NOT  LIMITED TO, GASOLINE, DIESEL FUEL, HOME HEATING
     7  FUEL, AND LUBRICANTS. HAZARDOUS OR TOXIC SUBSTANCES  ARE  PRODUCTS  THAT
     8  COULD POSE SHORT- OR LONG-TERM DANGER TO PERSONAL HEALTH OR THE ENVIRON-
     9  MENT  IF  THEY  ARE  NOT PROPERLY DISPOSED OF, APPLIED OR STORED.  THESE
    10  INCLUDE, BUT ARE NOT LIMITED TO, FERTILIZERS,  PESTICIDES  AND  INSECTI-
    11  CIDES, PAINT INCLUDING PAINT THINNER, VARNISH REMOVER AND WOOD PRESERVA-
    12  TIVES,  TREATED WOOD, CONSTRUCTION MATERIALS SUCH AS ASPHALT AND ROOFING
    13  MATERIALS, ANTIFREEZE AND OTHER AUTOMOTIVE PRODUCTS, BATTERIES, CLEANING
    14  SOLVENTS INCLUDING SEPTIC TANK CLEANERS,  HOUSEHOLD  CLEANERS  AND  POOL
    15  CHEMICALS AND PRODUCTS CONTAINING MERCURY AND LEAD.
 
    16    NOTE  TO  BUYER  -  IF  CONTAMINATION  OF THIS PROPERTY FROM PETROLEUM
    17  PRODUCTS AND/OR HAZARDOUS OR TOXIC SUBSTANCES IS A CONCERN TO  YOU,  YOU
    18  ARE URGED TO CONSIDER SOIL AND GROUNDWATER TESTING OF THIS PROPERTY.  IF
    19  LEAD  IN  DRINKING  WATER IS A CONCERN TO YOU, YOU ARE URGED TO HAVE THE
    20  PLUMBING EXAMINED, INCLUDING THE SERVICE LINE.
 
    21    10. IS ANY OR ALL OF THE PROPERTY LOCATED IN A DESIGNATED  FLOODPLAIN?
    22        YES  NO  UNKN  NA (IF YES, EXPLAIN BELOW)
    23    11. IS  ANY  OR  ALL  OF THE PROPERTY LOCATED IN A DESIGNATED WETLAND?
    24        YES  NO  UNKN  NA (IF YES, EXPLAIN BELOW)
    25    12. IS THE PROPERTY LOCATED IN AN AGRICULTURAL  DISTRICT?    YES    NO
    26        UNKN  NA (IF YES, EXPLAIN BELOW)
    27    13. WAS  THE  PROPERTY EVER THE SITE OF A LANDFILL?  YES  NO  UNKN  NA
    28        (IF YES, EXPLAIN BELOW)
    29    14. ARE THERE OR HAVE THERE EVER BEEN  FUEL  STORAGE  TANKS  ABOVE  OR
    30        BELOW  THE GROUND ON THE PROPERTY?  YES  NO  UNKN  NA  IF YES, ARE
    31        THEY CURRENTLY IN USE? YES NO UNKN NA LOCATION(S) ARE THEY LEAKING
    32        OR HAVE THEY EVER LEAKED? YES NO UNKN NA (IF YES, EXPLAIN BELOW)
    33    15. IS THERE ASBESTOS IN THE STRUCTURE? YES NO UNKN NA (IF YES,  STATE
    34        LOCATION OR LOCATIONS BELOW)
    35    16. IS  LEAD  PLUMBING PRESENT? YES NO UNKN NA (IF YES, STATE LOCATION
    36        OR LOCATIONS BELOW)
    37    17. HAS A RADON TEST BEEN DONE? YES NO UNKN NA (IF YES, ATTACH A  COPY
    38        OF THE REPORT)
    39    18. HAS  MOTOR  FUEL, MOTOR OIL, HOME HEATING FUEL, LUBRICATING OIL OR
    40        ANY OTHER PETROLEUM PRODUCT, METHANE  GAS,  OR  ANY  HAZARDOUS  OR
    41        TOXIC  SUBSTANCE SPILLED, LEAKED OR OTHERWISE BEEN RELEASED ON THE
    42        PROPERTY OR FROM THE PROPERTY ONTO ANY OTHER  PROPERTY?    YES  NO
    43        UNKN NA (IF YES, DESCRIBE BELOW)
    44    19. HAS THE PROPERTY BEEN TESTED FOR THE PRESENCE OF MOTOR FUEL, MOTOR
    45        OIL,  HOME  HEATING  FUEL, LUBRICATING OIL, OR ANY OTHER PETROLEUM
    46        PRODUCT, METHANE GAS, OR ANY HAZARDOUS OR TOXIC SUBSTANCE? YES  NO
    47        UNKN NA (IF YES, ATTACH REPORT(S))
 
    48  STRUCTURAL
    49    20. IS  THERE  ANY ROT OR WATER DAMAGE TO THE STRUCTURE OR STRUCTURES?
    50        YES NO UNKN NA (IF YES, EXPLAIN BELOW)
    51    21. IS THERE ANY FIRE OR SMOKE DAMAGE TO THE STRUCTURE OR  STRUCTURES?
    52        YES NO UNKN NA (IF YES, EXPLAIN BELOW)

        A. 6608--A                          9
 
     1    22. IS  THERE  ANY  TERMITE,  INSECT,  RODENT  OR  PEST INFESTATION OR
     2        DAMAGE?  YES NO UNKN NA (IF YES, EXPLAIN BELOW)
     3    23. HAS  THE  PROPERTY BEEN TESTED FOR TERMITE, INSECT, RODENT OR PEST
     4        INFESTATION OR DAMAGE? YES NO  UNKN  NA  (IF  YES,  PLEASE  ATTACH
     5        REPORT(S))
     6    24. WHAT  IS  THE TYPE OF ROOF/ROOF COVERING (SLATE, ASPHALT, OTHER.)?
     7        ANY KNOWN MATERIAL DEFECTS? HOW OLD IS THE ROOF? IS THERE A TRANS-
     8        FERABLE WARRANTEE ON THE ROOF IN EFFECT NOW? YES NO  UNKN  NA  (IF
     9        YES, EXPLAIN BELOW)
    10    25. ARE  THERE  ANY  KNOWN  MATERIAL  DEFECTS  IN ANY OF THE FOLLOWING
    11        STRUCTURAL SYSTEMS: FOOTINGS, BEAMS, GIRDERS, LINTELS, COLUMNS  OR
    12        PARTITIONS. YES NO UNKN NA (IF YES, EXPLAIN BELOW)
 
    13  MECHANICAL SYSTEMS & SERVICES
    14    26. WHAT  IS  THE WATER SOURCE (CIRCLE ALL THAT APPLY - WELL, PRIVATE,
    15        MUNICIPAL, OTHER)? IF MUNICIPAL, IS IT METERED? YES NO UNKN NA
    16    27. HAS THE WATER QUALITY AND/OR FLOW RATE BEEN TESTED? YES NO UNKN NA
    17        (IF YES, DESCRIBE BELOW)
    18    28. WHAT IS THE TYPE OF SEWAGE SYSTEM (CIRCLE ALL THAT APPLY -  PUBLIC
    19        SEWER, PRIVATE SEWER, SEPTIC OR CESSPOOL)?  IF SEPTIC OR CESSPOOL,
    20        AGE?  ________  DATE  LAST  PUMPED? ________ FREQUENCY OF PUMPING?
    21        ________ ANY KNOWN MATERIAL DEFECTS?   YES NO  UNKN  NA  (IF  YES,
    22        EXPLAIN BELOW)
    23    29. WHO IS YOUR ELECTRIC SERVICE PROVIDER? ________ WHAT IS THE AMPER-
    24        AGE?  ________  DOES  IT  HAVE CIRCUIT BREAKERS OR FUSES? ________
    25        PRIVATE OR PUBLIC POLES? ________ ANY KNOWN MATERIAL DEFECTS?  YES
    26        NO UNKN NA (IF YES, EXPLAIN BELOW)
    27    30. ARE THERE ANY FLOODING, DRAINAGE OR GRADING PROBLEMS THAT RESULTED
    28        IN  STANDING  WATER ON ANY PORTION OF THE PROPERTY? YES NO UNKN NA
    29        (IF YES, STATE LOCATIONS AND EXPLAIN BELOW)
    30    31. DOES THE BASEMENT HAVE SEEPAGE THAT RESULTS IN STANDING WATER? YES
    31        NO UNKN NA (IF YES, EXPLAIN BELOW)
 
    32  ARE THERE ANY KNOWN MATERIAL DEFECTS IN ANY OF THE  FOLLOWING  (IF  YES,
    33  EXPLAIN BELOW. USE ADDITIONAL SHEETS IF NECESSARY.):
 
    34    32. PLUMBING SYSTEM?              YES        NO        UNKN        NA
    35    33. SECURITY SYSTEM?              YES        NO        UNKN        NA
    36    34. CARBON MONOXIDE DETECTOR?     YES        NO        UNKN        NA
    37    35. SMOKE DETECTOR?               YES        NO        UNKN        NA
    38    36. FIRE SPRINKLER SYSTEM?        YES        NO        UNKN        NA
    39    37. SUMP PUMP?                    YES        NO        UNKN        NA
    40    38. FOUNDATION/SLAB?              YES        NO        UNKN        NA
    41    39. INTERIOR WALLS/CEILINGS?      YES        NO        UNKN        NA
    42    40. EXTERIOR WALLS OR SIDING?     YES        NO        UNKN        NA
    43    41. FLOORS?                       YES        NO        UNKN        NA
    44    42. CHIMNEY/FIREPLACE OR STOVE?   YES        NO        UNKN        NA
    45    43. PATIO/DECK?                   YES        NO        UNKN        NA
    46    44. DRIVEWAY?                     YES        NO        UNKN        NA
    47    45. AIR CONDITIONER?              YES        NO        UNKN        NA
    48    46. HEATING SYSTEM?               YES        NO        UNKN        NA
    49    47. HOT WATER HEATER?             YES        NO        UNKN        NA
    50    48. THE PROPERTY IS LOCATED IN THE
    51        FOLLOWING SCHOOL DISTRICT                          UNKN

        A. 6608--A                         10
 
     1    NOTE: BUYER IS ENCOURAGED TO CHECK PUBLIC RECORDS CONCERNING THE PROP-
     2  ERTY (E.G. TAX RECORDS AND WETLAND AND FLOOD PLAIN MAPS)
     3    THE  SELLER SHOULD USE THIS AREA TO FURTHER EXPLAIN ANY ITEM ABOVE. IF
     4  NECESSARY, ATTACH ADDITIONAL PAGES AND INDICATE HERE THE NUMBER OF ADDI-
     5  TIONAL PAGES ATTACHED.
 
     6    ______________________________________________________________________
     7    ______________________________________________________________________
     8    ______________________________________________________________________
     9    ______________________________________________________________________
 
    10    SELLER'S CERTIFICATION: SELLER CERTIFIES THAT THE INFORMATION IN  THIS
    11  PROPERTY  CONDITION  DISCLOSURE  STATEMENT  IS  TRUE AND COMPLETE TO THE
    12  SELLER'S ACTUAL KNOWLEDGE AS OF THE DATE SIGNED  BY  THE  SELLER.  IF  A
    13  SELLER  OF  RESIDENTIAL  REAL  PROPERTY ACQUIRES KNOWLEDGE WHICH RENDERS
    14  MATERIALLY INACCURATE A PROPERTY CONDITION DISCLOSURE STATEMENT PROVIDED
    15  PREVIOUSLY, THE  SELLER  SHALL  DELIVER  A  REVISED  PROPERTY  CONDITION
    16  DISCLOSURE  STATEMENT  TO THE BUYER AS SOON AS PRACTICABLE. IN NO EVENT,
    17  HOWEVER, SHALL A SELLER BE REQUIRED TO PROVIDE A REVISED PROPERTY CONDI-
    18  TION DISCLOSURE STATEMENT AFTER THE TRANSFER OF TITLE FROM THE SELLER TO
    19  THE BUYER OR OCCUPANCY BY THE BUYER, WHICHEVER IS EARLIER.

    20    SELLER _______________________________________  DATE ________________
    21    SELLER _______________________________________  DATE ________________
 
    22    BUYER'S ACKNOWLEDGMENT: BUYER ACKNOWLEDGES RECEIPT OF A COPY  OF  THIS
    23  STATEMENT  AND BUYER UNDERSTANDS THAT THIS INFORMATION IS A STATEMENT OF
    24  CERTAIN CONDITIONS AND INFORMATION CONCERNING THE PROPERTY KNOWN TO  THE
    25  SELLER. IT IS NOT A WARRANTY OF ANY KIND BY THE SELLER OR SELLER'S AGENT
    26  AND  IS  NOT A SUBSTITUTE FOR ANY HOME, PEST, RADON OR OTHER INSPECTIONS
    27  OR TESTING OF THE PROPERTY OR INSPECTION OF THE PUBLIC RECORDS.
 
    28    BUYER _______________________________________   DATE ________________
    29    BUYER _______________________________________   DATE ________________
 
    30    § 5. This act shall take effect August 1, 2022.  Effective  immediate-
    31  ly,  the  addition,  amendment,  and/or repeal of any rule or regulation
    32  necessary for the implementation of this act on its effective  date  are
    33  authorized to be made and completed on or before such effective date.
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