Reference is to Printer's Date 01/26/2011.
Amend the bill, as and if amended, by striking all after the enacting clause and inserting:
/ SECTION 1. Chapter 1, Title 27 of the 1976 Code is amended by adding:
"Section 27-1-70.
(A) A transfer fee covenant recorded
on or after the date of the enactment of this act must be void
and unenforceable unless, at the time the document containing
the transfer fee covenant is submitted for recording, a notice
described in subsection (b) is contemporaneously submitted for
recording in the office of the applicable county recorder.
(B) Notice required
under subsection (a) shall:
(1)
be titled, in boldface type, 'Payment of Transfer Fee
Required';
(2)
include statements of;
(a)
the name or names of the owner or owners of the affected
property;
(b)
the legal description of the affected property;
(c)
the dollar amount or, if applicable, the percentage of
sales price constituting the transfer fee required to be paid
under the transfer fee covenant;
(d)
the method and manner of payment of the transfer fee;
(e)
in the case of affected property that is residential
property, actual dollar-cost examples of the amount of the
transfer fee for property priced at two hundred fifty thousand
dollars, five hundred thousand dollars and seven hundred fifty
thousand dollars; and
(f)
if applicable, the date on which, or circumstances under
which, the transfer fee covenant expires.
(C) A transfer fee
covenant that imposes a transfer fee of not more than one
percent of the gross sales price for the affected property,
effective for a term of not more than ninety-nine years, and
which complies with the requirements under subsections (A) and
(B) must be presumed to be valid.
(D) No property must be
subject to more than one transfer fee covenant.
(E) For purposes of
this section, the following definitions shall apply:
(1)
The term 'affected property' means, with respect to a
transfer fee covenant, the real property that is encumbered by
the transfer fee covenant.
(2)
The term 'applicable county recorder' means, with respect
to affected property, the recorder of the county in which the
affected property is located.
(3)
The term ' transfer fee' means a fee, charge, or payment
imposed by a covenant, restriction, or similar document filed in
the applicable county recorder's office and required to be paid
in connection with or as a result of a transfer of title to
affected property,
but does not include fees, charges, payments, or other
obligations that:
(a)
are imposed by a court judgment, order, or decree;
(b)
are imposed by or payable to the federal, state, or local
government;
(c)
arise out of a mechanic's lien;
(d)
arise from an option to purchase or for waiver of the
right to purchase the affected property;
(e)
are payable to a homeowners association, condominium
association, or similar entity for the benefit of the owners;
and
(f)
are imposed by or payable to lenders
or purchasers of loans.
(4)
The term 'transfer fee covenant' means a covenant,
restriction, or agreement filed wit the office of the applicable
county recorder that:
(a)
affects real property; and
(b)
obligates a future buyer or seller of the affected real
property, other than a person who is a party to the covenant,
restriction, or agreement, to pay a transfer fee."
/
Renumber sections to conform.
Amend title to conform.