AB441,1,5 An Act to repeal 101.983 (3); to amend 101.983 (2) (c), 101.983 (4) (c), 706.05 (12), 846.16 (2m) (c), 846.16 (3m) (am) and 846.16 (3m) (bm); and to create 77.22 (2) (bm), 101.19 (1g) (m), 101.987 and 709.03 (form) B9m. of the statutes; relating to: inspections of and disclosures regarding residential dumbwaiters and elevators in real estate transactions and providing a penalty.

Analysis by the Legislative Reference Bureau

This bill requires that, in connection with certain real estate transactions, the owner of an individual residential dwelling unit that is served by a dumbwaiter or elevator (residential elevator) must have the residential elevator inspected and provide certain disclosures regarding the residential elevator to the transferee.

The bill requires the Department of Safety and Professional Services to develop a pamphlet for owners of residential elevators that describes maximum clearance and distance requirements measured from the hoistway face of landing doors or gates and the dangers associated with residential elevators that do not comply with those requirements.

Under the bill, no later than ten days after accepting an agreement to transfer a dwelling unit with a residential elevator, the owner of the dwelling unit must disclose to the prospective transferee the existence of the residential elevator and provide a copy of the DSPS residential elevator pamphlet. Prior to transferring the dwelling unit, the owner of the dwelling unit must have the residential elevator inspected by a licensed elevator inspector, who must prepare an inspection report and issue a certificate stating the date on which the inspection is completed. The owner of the dwelling unit must provide the transferee a copy of the inspection report prior to transferring the dwelling unit.

Under the bill, a register of deeds may not accept for recording any deed or other document of transfer of an individual residential dwelling unit that is served by a residential elevator unless the deed or document is accompanied by the required certificate.

The bill provides that, if a licensed elevator inspector falsifies a certificate, DSPS must revoke the inspector's license, and the inspector may be required to forfeit not more than $500 for each false certificate. Under the bill, if a person, with intent to evade inspection and certification requirements, falsely states on a real estate transfer return form that real property being transferred does not include an individual residential dwelling unit that is served by a residential elevator, the person may be required to forfeit not more than $500 per dwelling unit being transferred.

For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB441,1 Section 1. 77.22 (2) (bm) of the statutes is created to read:

AB441,2,3 77.22 (2) (bm) Whether the real estate transferred is subject to certification under s. 101.987 (3) (c).

AB441,2 Section 2. 101.19 (1g) (m) of the statutes is created to read:

AB441,2,6 101.19 (1g) (m) Inspecting, preparing inspection reports, and issuing certificates for residential elevators under s. 101.987 (4).

AB441,3 Section 3. 101.983 (2) (c) of the statutes is amended to read:

AB441,3,2 101.983 (2) (c) Inspections. The department may not issue or renew a permit for a conveyance under this subsection unless the department or an independent inspector has conducted an inspection of the conveyance and has prepared an inspection report certifying that the conveyance complies with this subchapter and any applicable rules promulgated under this subchapter. Any inspection under this subsection or sub. (3) shall be performed by an inspector who is licensed under s. 101.985 (3).

AB441,4 Section 4. 101.983 (3) of the statutes is repealed.

AB441,5 Section 5. 101.983 (4) (c) of the statutes is amended to read:

AB441,3,6 101.983 (4) (c) Conduct inspections and prepare inspection reports as provided under sub. (2) (c) and sub. (3) s. 101.987 (3) (c).

AB441,6 Section 6. 101.987 of the statutes is created to read:

AB441,3,8 101.987 Residential elevators. (1) Definitions. In this section:

AB441,3,11 (a) “Residential elevator” means an elevator or dumbwaiter that serves an individual residential dwelling unit and that is exempt under s. 101.983 (2) (e) from the requirements under s. 101.983 (2).

AB441,3,15 (b) “Transfer” means to convey an ownership interest in a dwelling unit by deed, land contract, or judgment or to convey an interest in a lease for a term in excess of one year. “Transfer" does not include conveying an interest in a dwelling unit under chs. 851 to 879 or by nonprobate transfer on death under s. 705.15.

AB441,3,19 (2) Public education. The department shall develop a pamphlet for owners of residential elevators that describes maximum clearance and distance requirements measured from the hoistway face of landing doors or gates and the dangers associated with residential elevators that do not comply with those requirements.

AB441,3,22 (3) Transfer restrictions. The owner of an individual residential dwelling unit that is served by a residential elevator may not transfer the dwelling unit unless all of the following apply:

AB441,3,25 (a) The owner, not later than 10 days after the acceptance by the owner of an agreement, if any, to transfer the dwelling unit, discloses to the prospective transferee the existence of the residential elevator.

AB441,4,3 (b) The owner, not later than 10 days after the acceptance by the owner of an agreement, if any, to transfer the dwelling unit, provides to the prospective transferee a copy of the pamphlet developed by the department under sub. (2).