As members of the National Association of REALTORS® and California Association of REALTORS®, REALTORS® have benefit of belonging to the largest trade associations dedicated to the promotion and preservation of the real estate profession and the property rights of all. It is this commitment that unifies members in the support or opposition of legislation which may affect the real estate industry as a whole, as well as the communities in which we live, work, and play. We invite you to take a closer look at the important legislation currently being sponsored and/or monitored and share any thoughts and/or comments with your REALTOR® or elected representative to be sure your voice is heard.
C.A.R. Sponsored Bills 2017
(Status as of March 6, 2017)
· AB 1139 (Reyes) Private Transfer Fee Disclosure Update – Private Transfer Fees (“PTFs”) are fees imposed by a seller requiring the buyer and any subsequent purchaser to pay a fee upon the transfer. In 2012, the Federal Housing Finance Agency (“FHFA”) adopted a rule for Fannie Mae and Freddie Mac backed mortgages requiring that the funds generated by any PTF provide a “direct benefit” to the encumbered property (PTFs established prior to the date of the rule are “grandfathered”). Federal law now requires the Federal Housing Administration (“FHA”) to adopt the same rule regarding PTFs. Current California law on PTF PTF disclosure law to inform homebuyers of the FHA and FHFA regulations relating to PTFs and how those regulations may impact the ability to obtain financing. (Status: Assembly Judiciary Committee)
· AB 690 (Quirk-Silva) Homeowners Association (“HOA”) Management Company Disclosures: Fees & Conflicts of Interest – AB 690, among other things, requires HOAs to deliver, within the annual budget report, an itemized estimate of fees that may be charged by a professional management company for documents necessary to facilitate a real estate transaction. Pending amendments clarify that sellers may request to purchase some or all of these documents, but shall not be required to purchase ALL of the documents listed on this form. Management companies will also be required to disclose any conflicts of interest when initiating a management contract or presenting bids for service to the HOA board. C.A.R. is sponsoring AB 690 to help unit owners prepare for costs associated with the transfer of real property and to ensure that the board of directors has the tools necessary to make informed decisions regarding proposed service providers. (Status: Assembly Housing and Community Development Committee)
· AB 1569 (Caballero) Rental Housing: Support/Companion Animal Certifications – Housing providers must make a “reasonable accommodation” for a tenant’s disability. “Reasonableness” for support (sometimes referred to as companion) animals is, based on federal guidance, determined on a case-by-case basis. Unlike service animals, support animals are not trained to perform specific tasks. Support animals are not afforded the same protections under the ADA or California state law, causing confusion for housing providers. This bill, among other things, clarifies the right of landlords to request reliable third-party verification to show the need for a support/companion animal in a rental unit, and clarifies that ID cards or online services providing “ESA prescription” letters for sale are not sufficient verification. (Status: Pending Committee Assignment)
· AB 1333 (Dababneh) Property Owner Notification: Proposed Taxes and Bonds – Under current law, resident property owners receive notice of proposed taxes and bonds with receipt of their ballot pamphlet while non-resident property owners do not receive any notice whatsoever. This bills requires a city, county or special district (e.g., hospital district) to provide notice to all property owners within seven days of a proposed tax or bond qualifying for the ballot. (Status: Pending Committee Assignment)
· SB 348 (Leyva) Ballot Pamphlet Notification: Challenging New Taxes – Current law allows taxpayers to challenge new taxes typically within 60 days of approval by voters. However, most taxpayers are unaware of the time restrictions imposed on their ability to challenge new taxes. This bill requires the ballot pamphlet notify voters that new taxes can only be challenged within 60 days of voter approval. (Status: Senate Elections and Constitutional Amendments Committee)