§ 613 - Stormwater discharge permits during transition period
§ 613. Stormwater discharge permits during transition period
(a) In addition to the following, the definitions found in section 1264 of Title 10 apply to this section unless otherwise indicated. As used in this section:
(1) "Conveyance" means any conveyance of real property or an interest or estate therein where recording is required under this title and where the real property is located within an impaired watershed.
(2) "Impaired watershed" means a watershed where the receiving water or a segment of the receiving water is a stormwater-impaired water.
(3) "Pretransition stormwater discharge permit" means any permit issued by the secretary of natural resources pursuant to section 1264 of Title 10 on or before June 30, 2004 for a discharge of stormwater.
(4) "Refinancing" means the refinancing of an existing loan on real property located within an impaired watershed.
(5) "Stormwater discharge permit" means any permit or approval issued by the secretary pursuant to sections 1264 and 1264a of Title 10 on or after July 1, 2004, and includes coverage under any general permit covering stormwater runoff into stormwater-impaired waters.
(b) Beginning on July 1, 2004, and notwithstanding any law to the contrary, no encumbrance on record title to real property or effect on marketability of title shall be created by the failure of the holder of real property from which regulated stormwater runoff discharges to an impaired watershed to obtain, renew, or comply with the terms and conditions of a pretransition stormwater discharge permit for a conveyance or refinancing, provided that such holder:
(1) Provides a notice of deferral of permit to the secretary of natural resources with a property description, the identity of the impaired watershed, the permit number of any expired pre-transition stormwater discharge permit covering the property, and such other information as the secretary may require; and
(2) Records in the land records a notice indicating, in an appropriate form to be determined by the secretary of natural resources, that at the time of establishment of a general permit in the impaired watershed where the real property is located, but not later than January 15, 2010, the mortgagor (in the case of a refinancing) or the grantee (in the case of a conveyance) shall be subject to all applicable requirements of the water quality remediation plan, TMDL, or watershed improvement permit established under chapter 47 of Title 10.
(c) Subsection (b) shall not apply in cases in which, on or after July 1, 2004, the owner of the real property from which regulated stormwater runoff discharges to an impaired watershed to be conveyed or refinanced engages, contracts to engage, or assists the engagement by others in expansion or redevelopment without first obtaining a stormwater discharge permit from the secretary of natural resources pursuant to sections 1264 and 1264a of Title 10.
(d)(1) After July 1, 2004, a purchaser of real property shall have the right to terminate a binding contract for the sale of real property from which regulated stormwater runoff discharges to an impaired watershed if, after a contract for sale has been signed but prior to closing, the purchaser determines and gives written notice to the seller within 30 days of discovery of any of the following:
(A) That "expansion" or "redevelopment" as defined in section 1264 of Title 10 occurred on the subject property on or after July 1, 2004 without the seller or other party first obtaining a stormwater discharge permit required pursuant to sections 1264 and 1264a of Title 10; or
(B) That the seller has failed to renew or comply with the material terms and conditions of any pretransition stormwater discharge permit or stormwater discharge permit; or
(C) That the seller has failed to comply with the notice requirements of subsection (b) of this section.
(2) Following the receipt of written notice, the seller shall have 30 days, unless the parties agree to a shorter or longer period, either to obtain a stormwater discharge permit or to take reasonable steps to demonstrate compliance with the terms and conditions of a stormwater discharge permit. If the seller does not obtain the required stormwater discharge permit or comply with the terms of a stormwater discharge permit, the purchaser may terminate the contract if, as an owner or occupant of the property, the purchaser may be subject to an enforcement action under section 1274 of Title 10.
(e) This section shall not apply to any impaired watershed for which the secretary of natural resources has issued a watershed improvement permit, issued an individual permit under a total maximum daily load approved by the U.S. Environmental Protection Agency, issued a general permit implementing a total maximum daily load approved by the U.S. Environmental Protection Agency, or issued a general or individual permit implementing a water quality remediation plan. (Added 2003, No. 140 (Adj. Sess.), § 6; amended 2007, No. 43, § 2, eff. May 23, 2007.)