1 | 1 | | 1.1 A bill for an act |
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2 | 2 | | 1.2 relating to health; modifying requirements for well disclosure certificates; |
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3 | 3 | | 1.3 establishing a fee; appropriating money; amending Minnesota Statutes 2024, |
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4 | 4 | | 1.4 section 103I.235, subdivision 1, by adding subdivisions. |
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5 | 5 | | 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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6 | 6 | | 1.6 Section 1. Minnesota Statutes 2024, section 103I.235, subdivision 1, is amended to read: |
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7 | 7 | | 1.7 Subdivision 1.Disclosure of wells to buyer.(a) Before signing an agreement to sell or |
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8 | 8 | | 1.8transfer real property, the seller must disclose in writing to the buyer information about the |
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9 | 9 | | 1.9status and location of all known wells on the property, by delivering to the buyer either a |
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10 | 10 | | 1.10statement by the seller that the seller does not know of any wells on the property, or a |
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11 | 11 | | 1.11disclosure statement indicating the legal description and county, and a map drawn from |
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12 | 12 | | 1.12available information showing the location of each well to the extent practicable. In the |
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13 | 13 | | 1.13disclosure statement, the seller must indicate, for each well, whether the well is in use, not |
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14 | 14 | | 1.14in use, or sealed. |
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15 | 15 | | 1.15 (b) At the time of closing of the sale, the disclosure statement information, name and |
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16 | 16 | | 1.16mailing address of the buyer, and the quartile, section, township, and range in which each |
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17 | 17 | | 1.17well is located must be provided on a well disclosure certificate signed by the seller or a |
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18 | 18 | | 1.18person authorized to act on behalf of the seller. This paragraph expires the earlier of July |
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19 | 19 | | 1.1931, 2028, or one day before the date the commissioner specifies in the State Register |
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20 | 20 | | 1.20according to subdivision 1a. |
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21 | 21 | | 1.21 (c) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner |
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22 | 22 | | 1.22specifies in the State Register according to subdivision 1a. Before the closing of the sale, |
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23 | 23 | | 1.23the seller or a person authorized to act on behalf of the seller must submit to the commissioner |
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24 | 24 | | 1Section 1. |
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25 | 25 | | 25-03086 as introduced02/12/25 REVISOR SGS/ES |
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26 | 26 | | SENATE |
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27 | 27 | | STATE OF MINNESOTA |
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28 | 28 | | S.F. No. 1769NINETY-FOURTH SESSION |
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29 | 29 | | (SENATE AUTHORS: HOFFMAN, Weber and Utke) |
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30 | 30 | | OFFICIAL STATUSD-PGDATE |
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31 | 31 | | Introduction and first reading02/24/2025 |
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32 | 32 | | Referred to Health and Human Services 2.1a well disclosure certificate signed by the seller or person authorized to act on behalf of the |
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33 | 33 | | 2.2seller that contains the following information: |
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34 | 34 | | 2.3 (1) the disclosure statement information; |
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35 | 35 | | 2.4 (2) the name and mailing address of the buyer; and |
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36 | 36 | | 2.5 (3) either: |
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37 | 37 | | 2.6 (i) the quartile, section, township, and range where each well is located; or |
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38 | 38 | | 2.7 (ii) the lot, block, and plat name where each well is located. |
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39 | 39 | | 2.8The well disclosure certificate must be accompanied by a nonrefundable fee of $50 payable |
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40 | 40 | | 2.9to the Department of Health. Upon receipt of the well disclosure certificate and fee, the |
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41 | 41 | | 2.10commissioner must provide a well disclosure certificate number to the person who submitted |
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42 | 42 | | 2.11the well disclosure certificate. The well disclosure certificate number must appear on the |
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43 | 43 | | 2.12deed or other instrument of conveyance to indicate that a well disclosure certificate was |
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44 | 44 | | 2.13submitted for the real property. Well disclosure certificate numbers shall be used by county |
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45 | 45 | | 2.14recorders and registrars of titles and may be used by other interested persons. The |
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46 | 46 | | 2.15commissioner must maintain the well disclosure certificate for six years after the date of |
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47 | 47 | | 2.16submission. |
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48 | 48 | | 2.17 (c) (d) A well disclosure certificate need not be provided is not required if the seller does |
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49 | 49 | | 2.18not know of any wells on the property and the deed or other instrument of conveyance |
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50 | 50 | | 2.19contains the statement: "The Seller certifies that the Seller does not know of any wells on |
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51 | 51 | | 2.20the described real property." |
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52 | 52 | | 2.21 (d) (e) If a deed is given pursuant to a contract for deed, the well disclosure certificate |
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53 | 53 | | 2.22required by this subdivision shall be signed by the buyer or a person authorized to act on |
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54 | 54 | | 2.23behalf of the buyer. If the buyer knows of no wells on the property, a well disclosure |
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55 | 55 | | 2.24certificate is not required if the following statement appears on the deed followed by the |
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56 | 56 | | 2.25signature of the grantee or, if there is more than one grantee, the signature of at least one |
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57 | 57 | | 2.26of the grantees: "The Grantee certifies that the Grantee does not know of any wells on the |
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58 | 58 | | 2.27described real property." The statement and signature of the grantee may be on the front or |
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59 | 59 | | 2.28back of the deed or on an attached sheet and an acknowledgment of the statement by the |
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60 | 60 | | 2.29grantee is not required for the deed to be recordable. |
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61 | 61 | | 2.30 (e) (f) This subdivision does not apply to the sale, exchange, or transfer of real property: |
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62 | 62 | | 2.31 (1) that consists solely of a sale or transfer of severed mineral interests; or |
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63 | 63 | | 2Section 1. |
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64 | 64 | | 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 |
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65 | 65 | | 3.2515B. |
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66 | 66 | | 3.3 (f) (g) For an area owned in common under chapter 515 or 515B the association or other |
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67 | 67 | | 3.4responsible person must report to the commissioner by July 1, 1992, the location and status |
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68 | 68 | | 3.5of all wells in the common area. The association or other responsible person must notify |
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69 | 69 | | 3.6the commissioner within 30 days of any change in the reported status of wells. |
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70 | 70 | | 3.7 (g) (h) If the seller fails to provide a required well disclosure certificate, the buyer, or a |
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71 | 71 | | 3.8person authorized to act on behalf of the buyer, may sign a well disclosure certificate based |
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72 | 72 | | 3.9on the information provided on the disclosure statement required by this section or based |
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73 | 73 | | 3.10on other available information. This paragraph expires the earlier of July 31, 2028, or one |
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74 | 74 | | 3.11day before the date the commissioner specifies in the State Register according to subdivision |
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75 | 75 | | 3.121a. |
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76 | 76 | | 3.13 (i) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner |
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77 | 77 | | 3.14specifies in the State Register according to subdivision 1a. If the seller fails to submit a |
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78 | 78 | | 3.15required well disclosure certificate to the commissioner, the buyer or a person authorized |
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79 | 79 | | 3.16to act on behalf of the buyer may sign a well disclosure certificate based on the information |
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80 | 80 | | 3.17provided in the disclosure statement required by this section or based on other available |
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81 | 81 | | 3.18information and may submit the well disclosure certificate according to paragraph (c). |
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82 | 82 | | 3.19 (h) (j) A county recorder or registrar of titles may not record a deed or other instrument |
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83 | 83 | | 3.20of conveyance dated after October 31, 1990, for which a certificate of value is required |
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84 | 84 | | 3.21under section 272.115, or any deed or other instrument of conveyance dated after October |
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85 | 85 | | 3.2231, 1990, from a governmental body exempt from the payment of state deed tax, unless the |
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86 | 86 | | 3.23deed or other instrument of conveyance contains the statement made in accordance with |
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87 | 87 | | 3.24paragraph (c) or (d) or is accompanied by the well disclosure certificate containing all the |
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88 | 88 | | 3.25information required by paragraph (b) or (d). The county recorder or registrar of titles must |
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89 | 89 | | 3.26not accept a certificate unless it contains all the required information. The county recorder |
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90 | 90 | | 3.27or registrar of titles shall note on each deed or other instrument of conveyance accompanied |
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91 | 91 | | 3.28by a well disclosure certificate that the well disclosure certificate was received. The notation |
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92 | 92 | | 3.29must include the statement "No wells on property" if the disclosure certificate states there |
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93 | 93 | | 3.30are no wells on the property. The well disclosure certificate shall not be filed or recorded |
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94 | 94 | | 3.31in the records maintained by the county recorder or registrar of titles. After noting "No wells |
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95 | 95 | | 3.32on property" on the deed or other instrument of conveyance, the county recorder or registrar |
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96 | 96 | | 3.33of titles shall destroy or return to the buyer the well disclosure certificate. The county |
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97 | 97 | | 3.34recorder or registrar of titles shall collect from the buyer or the person seeking to record a |
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98 | 98 | | 3.35deed or other instrument of conveyance, a fee of $50 for receipt of a completed well |
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99 | 99 | | 3Section 1. |
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100 | 100 | | 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 |
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101 | 101 | | 4.2titles shall transmit the well disclosure certificates to the commissioner of health. By the |
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102 | 102 | | 4.3tenth day after the end of each calendar quarter, the county recorder or registrar of titles |
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103 | 103 | | 4.4shall transmit to the commissioner of health $42.50 of the fee for each well disclosure |
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104 | 104 | | 4.5certificate received during the quarter. The commissioner shall maintain the well disclosure |
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105 | 105 | | 4.6certificate for at least six years. The commissioner may store the certificate as an electronic |
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106 | 106 | | 4.7image. A copy of that image shall be as valid as the original. This paragraph expires the |
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107 | 107 | | 4.8earlier of July 31, 2028, or one day before the date the commissioner specifies in the State |
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108 | 108 | | 4.9Register according to subdivision 1a. |
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109 | 109 | | 4.10 (k) This paragraph is effective the earlier of August 1, 2028, or the date the commissioner |
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110 | 110 | | 4.11specifies in the State Register according to subdivision 1a. A county recorder or registrar |
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111 | 111 | | 4.12of titles must not record a deed or other instrument of conveyance for which a certificate |
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112 | 112 | | 4.13of value is required under section 272.115 or any other deed or instrument of conveyance |
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113 | 113 | | 4.14from a governmental body exempt from the payment of state deed tax, unless the deed or |
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114 | 114 | | 4.15other instrument of conveyance contains: |
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115 | 115 | | 4.16 (1) the statement made in accordance with paragraph (d) or (e); or |
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116 | 116 | | 4.17 (2) the well disclosure certificate number provided by the commissioner according to |
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117 | 117 | | 4.18paragraph (c). |
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118 | 118 | | 4.19 (i) (l) No new well disclosure certificate is required under this subdivision if the buyer |
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119 | 119 | | 4.20or seller, or a person authorized to act on behalf of the buyer or seller, certifies on the deed |
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120 | 120 | | 4.21or other instrument of conveyance that the status and number of wells on the property have |
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121 | 121 | | 4.22not changed since the last previously filed well disclosure certificate. The following |
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122 | 122 | | 4.23statement, if followed by the signature of the person making the statement, is sufficient to |
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123 | 123 | | 4.24comply with the certification requirement of this paragraph: "I am familiar with the property |
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124 | 124 | | 4.25described in this instrument and I certify that the status and number of wells on the described |
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125 | 125 | | 4.26real property have not changed since the last previously filed well disclosure certificate." |
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126 | 126 | | 4.27The certification and signature may be on the front or back of the deed or on an attached |
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127 | 127 | | 4.28sheet and an acknowledgment of the statement is not required for the deed or other instrument |
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128 | 128 | | 4.29of conveyance to be recordable. This paragraph expires the earlier of July 31, 2028, or one |
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129 | 129 | | 4.30day before the date the commissioner specifies in the State Register according to subdivision |
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130 | 130 | | 4.311a. |
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131 | 131 | | 4.32 (m) Effective the earlier of August 1, 2028, or the date the commissioner specifies in |
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132 | 132 | | 4.33the State Register according to subdivision 1a, the county recorder or registrar of titles must: |
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133 | 133 | | 4Section 1. |
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134 | 134 | | 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 |
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135 | 135 | | 5.2description of the deed or other instrument of conveyance matches those provided on the |
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136 | 136 | | 5.3well disclosure certificate; and |
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137 | 137 | | 5.4 (2) validate the verified well disclosure certificate using the information technology |
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138 | 138 | | 5.5system administered by the commissioner. |
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139 | 139 | | 5.6 (j) The commissioner in consultation with county recorders shall prescribe the form for |
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140 | 140 | | 5.7a well disclosure certificate and provide well disclosure certificate forms to county recorders |
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141 | 141 | | 5.8and registrars of titles and other interested persons. |
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142 | 142 | | 5.9 (k) (n) Failure to comply with a requirement of this subdivision does not impair: |
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143 | 143 | | 5.10 (1) the validity of a deed or other instrument of conveyance as between the parties to |
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144 | 144 | | 5.11the deed or instrument or as to any other person who otherwise would be bound by the deed |
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145 | 145 | | 5.12or instrument; or |
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146 | 146 | | 5.13 (2) the record, as notice, of any deed or other instrument of conveyance accepted for |
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147 | 147 | | 5.14filing or recording contrary to the provisions of this subdivision. |
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148 | 148 | | 5.15 Sec. 2. Minnesota Statutes 2024, section 103I.235, is amended by adding a subdivision |
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149 | 149 | | 5.16to read: |
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150 | 150 | | 5.17 Subd. 1a.Implementation of well disclosure certificate information technology |
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151 | 151 | | 5.18system.(a) The commissioner must implement the well disclosure certificate information |
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152 | 152 | | 5.19technology system no later than June 30, 2028, and must provide notice to the chairs and |
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153 | 153 | | 5.20ranking minority members of the legislative committees with jurisdiction over public health |
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154 | 154 | | 5.21when the information technology system is implemented. |
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155 | 155 | | 5.22 (b) The commissioner must, by publication in the State Register, specify a date by which |
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156 | 156 | | 5.23county recorders and registrars of titles must comply with subdivision 1, paragraph (m). |
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157 | 157 | | 5.24This date must be at least three months after the commissioner publishes the date in the |
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158 | 158 | | 5.25State Register. |
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159 | 159 | | 5.26 Sec. 3. Minnesota Statutes 2024, section 103I.235, is amended by adding a subdivision |
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160 | 160 | | 5.27to read: |
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161 | 161 | | 5.28 Subd. 4.Responsible person.Following the closing of the sale of real property, the |
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162 | 162 | | 5.29new property owner is the responsible person for any wells located on the property. |
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163 | 163 | | 5Sec. 3. |
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164 | 164 | | 25-03086 as introduced02/12/25 REVISOR SGS/ES 6.1 Sec. 4. APPROPRIATION; WELL DISCLOSURE CERTIFICATION |
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165 | 165 | | 6.2INFORMATION TECHNOLOGY SYSTEM. |
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166 | 166 | | 6.3 $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of |
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167 | 167 | | 6.4health for the development of an information technology system for well disclosure |
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168 | 168 | | 6.5certificates that allows electronic submission of well disclosure certificates, accepts fee |
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169 | 169 | | 6.6payments, provides for issuance of well disclosure certificate numbers, and contains a |
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170 | 170 | | 6.7searchable database of well disclosure certificates. This is a onetime appropriation and is |
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171 | 171 | | 6.8available until June 30, 2028. The commissioner must incorporate any ongoing costs for |
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172 | 172 | | 6.9the well disclosure certificate information technology system into a service-level agreement |
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173 | 173 | | 6.10and must pay those costs to the Department of Information Technology Services under the |
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174 | 174 | | 6.11rates and mechanisms specified in the agreement. |
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175 | 175 | | 6Sec. 4. |
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176 | 176 | | 25-03086 as introduced02/12/25 REVISOR SGS/ES |
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