1.1 A bill for an act 1.2 relating to health; modifying requirements for well disclosure certificates; 1.3 establishing a fee; appropriating money; amending Minnesota Statutes 2024, 1.4 section 103I.235, subdivision 1, by adding subdivisions. 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. Minnesota Statutes 2024, section 103I.235, subdivision 1, is amended to read: 1.7 Subdivision 1.Disclosure of wells to buyer.(a) Before signing an agreement to sell or 1.8transfer real property, the seller must disclose in writing to the buyer information about the 1.9status and location of all known wells on the property, by delivering to the buyer either a 1.10statement by the seller that the seller does not know of any wells on the property, or a 1.11disclosure statement indicating the legal description and county, and a map drawn from 1.12available information showing the location of each well to the extent practicable. In the 1.13disclosure statement, the seller must indicate, for each well, whether the well is in use, not 1.14in use, or sealed. 1.15 (b) At the time of closing of the sale, the disclosure statement information, name and 1.16mailing address of the buyer, and the quartile, section, township, and range in which each 1.17well is located must be provided on a well disclosure certificate signed by the seller or a 1.18person authorized to act on behalf of the seller. This paragraph expires the earlier of July 1.1931, 2028, or one day before the date the commissioner specifies in the State Register 1.20according to subdivision 1a. 1.21 (c) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner 1.22specifies in the State Register according to subdivision 1a. Before the closing of the sale, 1.23the seller or a person authorized to act on behalf of the seller must submit to the commissioner 1Section 1. 25-03086 as introduced02/12/25 REVISOR SGS/ES SENATE STATE OF MINNESOTA S.F. No. 1769NINETY-FOURTH SESSION (SENATE AUTHORS: HOFFMAN, Weber and Utke) OFFICIAL STATUSD-PGDATE Introduction and first reading02/24/2025 Referred to Health and Human Services 2.1a well disclosure certificate signed by the seller or person authorized to act on behalf of the 2.2seller that contains the following information: 2.3 (1) the disclosure statement information; 2.4 (2) the name and mailing address of the buyer; and 2.5 (3) either: 2.6 (i) the quartile, section, township, and range where each well is located; or 2.7 (ii) the lot, block, and plat name where each well is located. 2.8The well disclosure certificate must be accompanied by a nonrefundable fee of $50 payable 2.9to the Department of Health. Upon receipt of the well disclosure certificate and fee, the 2.10commissioner must provide a well disclosure certificate number to the person who submitted 2.11the well disclosure certificate. The well disclosure certificate number must appear on the 2.12deed or other instrument of conveyance to indicate that a well disclosure certificate was 2.13submitted for the real property. Well disclosure certificate numbers shall be used by county 2.14recorders and registrars of titles and may be used by other interested persons. The 2.15commissioner must maintain the well disclosure certificate for six years after the date of 2.16submission. 2.17 (c) (d) A well disclosure certificate need not be provided is not required if the seller does 2.18not know of any wells on the property and the deed or other instrument of conveyance 2.19contains the statement: "The Seller certifies that the Seller does not know of any wells on 2.20the described real property." 2.21 (d) (e) If a deed is given pursuant to a contract for deed, the well disclosure certificate 2.22required by this subdivision shall be signed by the buyer or a person authorized to act on 2.23behalf of the buyer. If the buyer knows of no wells on the property, a well disclosure 2.24certificate is not required if the following statement appears on the deed followed by the 2.25signature of the grantee or, if there is more than one grantee, the signature of at least one 2.26of the grantees: "The Grantee certifies that the Grantee does not know of any wells on the 2.27described real property." The statement and signature of the grantee may be on the front or 2.28back of the deed or on an attached sheet and an acknowledgment of the statement by the 2.29grantee is not required for the deed to be recordable. 2.30 (e) (f) This subdivision does not apply to the sale, exchange, or transfer of real property: 2.31 (1) that consists solely of a sale or transfer of severed mineral interests; or 2Section 1. 25-03086 as introduced02/12/25 REVISOR SGS/ES 3.1 (2) that consists of an individual condominium unit as described in chapters 515 and 3.2515B. 3.3 (f) (g) For an area owned in common under chapter 515 or 515B the association or other 3.4responsible person must report to the commissioner by July 1, 1992, the location and status 3.5of all wells in the common area. The association or other responsible person must notify 3.6the commissioner within 30 days of any change in the reported status of wells. 3.7 (g) (h) If the seller fails to provide a required well disclosure certificate, the buyer, or a 3.8person authorized to act on behalf of the buyer, may sign a well disclosure certificate based 3.9on the information provided on the disclosure statement required by this section or based 3.10on other available information. This paragraph expires the earlier of July 31, 2028, or one 3.11day before the date the commissioner specifies in the State Register according to subdivision 3.121a. 3.13 (i) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner 3.14specifies in the State Register according to subdivision 1a. If the seller fails to submit a 3.15required well disclosure certificate to the commissioner, the buyer or a person authorized 3.16to act on behalf of the buyer may sign a well disclosure certificate based on the information 3.17provided in the disclosure statement required by this section or based on other available 3.18information and may submit the well disclosure certificate according to paragraph (c). 3.19 (h) (j) A county recorder or registrar of titles may not record a deed or other instrument 3.20of conveyance dated after October 31, 1990, for which a certificate of value is required 3.21under section 272.115, or any deed or other instrument of conveyance dated after October 3.2231, 1990, from a governmental body exempt from the payment of state deed tax, unless the 3.23deed or other instrument of conveyance contains the statement made in accordance with 3.24paragraph (c) or (d) or is accompanied by the well disclosure certificate containing all the 3.25information required by paragraph (b) or (d). The county recorder or registrar of titles must 3.26not accept a certificate unless it contains all the required information. The county recorder 3.27or registrar of titles shall note on each deed or other instrument of conveyance accompanied 3.28by a well disclosure certificate that the well disclosure certificate was received. The notation 3.29must include the statement "No wells on property" if the disclosure certificate states there 3.30are no wells on the property. The well disclosure certificate shall not be filed or recorded 3.31in the records maintained by the county recorder or registrar of titles. After noting "No wells 3.32on property" on the deed or other instrument of conveyance, the county recorder or registrar 3.33of titles shall destroy or return to the buyer the well disclosure certificate. The county 3.34recorder or registrar of titles shall collect from the buyer or the person seeking to record a 3.35deed or other instrument of conveyance, a fee of $50 for receipt of a completed well 3Section 1. 25-03086 as introduced02/12/25 REVISOR SGS/ES 4.1disclosure certificate. By the tenth day of each month, the county recorder or registrar of 4.2titles shall transmit the well disclosure certificates to the commissioner of health. By the 4.3tenth day after the end of each calendar quarter, the county recorder or registrar of titles 4.4shall transmit to the commissioner of health $42.50 of the fee for each well disclosure 4.5certificate received during the quarter. The commissioner shall maintain the well disclosure 4.6certificate for at least six years. The commissioner may store the certificate as an electronic 4.7image. A copy of that image shall be as valid as the original. This paragraph expires the 4.8earlier of July 31, 2028, or one day before the date the commissioner specifies in the State 4.9Register according to subdivision 1a. 4.10 (k) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner 4.11specifies in the State Register according to subdivision 1a. A county recorder or registrar 4.12of titles must not record a deed or other instrument of conveyance for which a certificate 4.13of value is required under section 272.115 or any other deed or instrument of conveyance 4.14from a governmental body exempt from the payment of state deed tax, unless the deed or 4.15other instrument of conveyance contains: 4.16 (1) the statement made in accordance with paragraph (d) or (e); or 4.17 (2) the well disclosure certificate number provided by the commissioner according to 4.18paragraph (c). 4.19 (i) (l) No new well disclosure certificate is required under this subdivision if the buyer 4.20or seller, or a person authorized to act on behalf of the buyer or seller, certifies on the deed 4.21or other instrument of conveyance that the status and number of wells on the property have 4.22not changed since the last previously filed well disclosure certificate. The following 4.23statement, if followed by the signature of the person making the statement, is sufficient to 4.24comply with the certification requirement of this paragraph: "I am familiar with the property 4.25described in this instrument and I certify that the status and number of wells on the described 4.26real property have not changed since the last previously filed well disclosure certificate." 4.27The certification and signature may be on the front or back of the deed or on an attached 4.28sheet and an acknowledgment of the statement is not required for the deed or other instrument 4.29of conveyance to be recordable. This paragraph expires the earlier of July 31, 2028, or one 4.30day before the date the commissioner specifies in the State Register according to subdivision 4.311a. 4.32 (m) Effective the earlier of August 1, 2028, or the date the commissioner specifies in 4.33the State Register according to subdivision 1a, the county recorder or registrar of titles must: 4Section 1. 25-03086 as introduced02/12/25 REVISOR SGS/ES 5.1 (1) verify that the seller's name, the buyer's name and mailing address, and the legal 5.2description of the deed or other instrument of conveyance matches those provided on the 5.3well disclosure certificate; and 5.4 (2) validate the verified well disclosure certificate using the information technology 5.5system administered by the commissioner. 5.6 (j) The commissioner in consultation with county recorders shall prescribe the form for 5.7a well disclosure certificate and provide well disclosure certificate forms to county recorders 5.8and registrars of titles and other interested persons. 5.9 (k) (n) Failure to comply with a requirement of this subdivision does not impair: 5.10 (1) the validity of a deed or other instrument of conveyance as between the parties to 5.11the deed or instrument or as to any other person who otherwise would be bound by the deed 5.12or instrument; or 5.13 (2) the record, as notice, of any deed or other instrument of conveyance accepted for 5.14filing or recording contrary to the provisions of this subdivision. 5.15 Sec. 2. Minnesota Statutes 2024, section 103I.235, is amended by adding a subdivision 5.16to read: 5.17 Subd. 1a.Implementation of well disclosure certificate information technology 5.18system.(a) The commissioner must implement the well disclosure certificate information 5.19technology system no later than June 30, 2028, and must provide notice to the chairs and 5.20ranking minority members of the legislative committees with jurisdiction over public health 5.21when the information technology system is implemented. 5.22 (b) The commissioner must, by publication in the State Register, specify a date by which 5.23county recorders and registrars of titles must comply with subdivision 1, paragraph (m). 5.24This date must be at least three months after the commissioner publishes the date in the 5.25State Register. 5.26 Sec. 3. Minnesota Statutes 2024, section 103I.235, is amended by adding a subdivision 5.27to read: 5.28 Subd. 4.Responsible person.Following the closing of the sale of real property, the 5.29new property owner is the responsible person for any wells located on the property. 5Sec. 3. 25-03086 as introduced02/12/25 REVISOR SGS/ES 6.1 Sec. 4. APPROPRIATION; WELL DISCLOSURE CERTIFICATION 6.2INFORMATION TECHNOLOGY SYSTEM. 6.3 $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of 6.4health for the development of an information technology system for well disclosure 6.5certificates that allows electronic submission of well disclosure certificates, accepts fee 6.6payments, provides for issuance of well disclosure certificate numbers, and contains a 6.7searchable database of well disclosure certificates. This is a onetime appropriation and is 6.8available until June 30, 2028. The commissioner must incorporate any ongoing costs for 6.9the well disclosure certificate information technology system into a service-level agreement 6.10and must pay those costs to the Department of Information Technology Services under the 6.11rates and mechanisms specified in the agreement. 6Sec. 4. 25-03086 as introduced02/12/25 REVISOR SGS/ES