SENATE BILL REPORT

SB 5391

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As of January 22, 2019

Title: An act relating to the disclosure of drug production in improved residential real property sales.

Brief Description: Requiring the disclosure of drug production in improved residential real property sales.

Sponsors: Senators Zeiger, Mullet, Padden, Das, Warnick, Hunt and Keiser.

Brief History:

Committee Activity: Financial Institutions, Economic Development & Trade: 1/22/19.

Brief Summary of Bill

  • Requires a seller of residential real estate to disclose in writing whether the improved residential property was ever used to manufacture drugs.

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS, ECONOMIC DEVELOPMENT & TRADE

Staff: Clint McCarthy (786-7319)

Background: An improved residential real property is defined in statute as real property consisting of, or improved by, one to four residential dwelling units; a residential condominium; a residential timeshare; or a mobile or manufactured home.

When selling an improved residential real property, the seller is required, with certain exclusions, to provide the buyer with a completed seller disclosure statement. The seller must answer (1) yes, (2) no, or (3) do not know, on a long list of items the seller is required to disclose to a prospective buyer. Disclosures are categorized as follows:

Summary of Bill: A seller of a residential real estate property has a duty to inform the buyer in writing whether the improved residential real property being sold was ever used to manufacture illegal drugs.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: Home inspection would cost a lot, but a seller disclosure about being aware of drug manufacturing is a step in a good direction.

OTHER: The seller disclosure form already requires a seller to disclose if drugs have been manufactured in a home under the environmental subsection.

Persons Testifying: PRO: Senator Hans Zeiger, Prime Sponsor. OTHER: Bob Mitchell, Washington REALTORS.

Persons Signed In To Testify But Not Testifying: No one.