Florida Senate - 2020 SB 1842
By Senator Powell
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.
9 Be It Enacted by the Legislature of the State of Florida:
11 Section 1. Section 689.261, Florida Statutes, is amended to
13 689.261 Sale of residential property; disclosures
disclosure of ad valorem taxes to 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
33 PROPERTY TAX
34 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.
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.
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
54 PROPERTY IS LOCATED .... WHOLLY .... PARTLY IN A 500-YEAR
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):
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):
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):
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).
82 ...(PURCHASER’S INITIALS)...
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
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 summary
119 must be provided by the seller. If the disclosure summary is not
120 included in the contract for sale, the contract for sale must
121 refer to and incorporate by reference the disclosure summary and
122 include, in prominent language, a statement that the potential
123 purchaser should not execute the contract until he or she has
124 read the disclosure summary required by this section.
125 Section 2. This act shall take effect July 1, 2020.