BILL NUMBER: SB 1427	ENROLLED
	BILL TEXT

	PASSED THE SENATE  AUGUST 19, 2010
	PASSED THE ASSEMBLY  AUGUST 5, 2010
	AMENDED IN ASSEMBLY  AUGUST 2, 2010
	AMENDED IN SENATE  MAY 12, 2010
	AMENDED IN SENATE  APRIL 19, 2010

INTRODUCED BY   Senator Price

                        FEBRUARY 19, 2010

   An act to add Sections 2929.4 and 2929.45 to the Civil Code,
relating to foreclosures.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1427, Price. Foreclosures: property maintenance.
   Existing law, until January 1, 2013, requires a legal owner to
maintain vacant residential property purchased at a foreclosure sale,
or acquired by that owner through foreclosure under a mortgage or
deed of trust. Existing law authorizes a governmental entity to
impose civil fines and penalties for failure to maintain that
property of up to $1,000 per day per violation.
   This bill would require a governmental entity, prior to imposing a
fine or penalty for failure to maintain a vacant property that is
subject to a notice of default, that is purchased at a foreclosure
sale, or that is acquired through foreclosure, to provide the owner
of that property with a notice of the violation and an opportunity to
correct the violation. This notice requirement would not apply if
the governmental entity determines that a specific condition of the
property threatens public health or safety. The bill would further
provide that the costs of nuisance abatement measures taken by a
governmental entity with regard to property that is subject to a
notice of default, that is purchased at a foreclosure sale, or
acquired through foreclosure, shall not exceed the actual and
reasonable costs of nuisance abatement. This bill would also prohibit
a governmental entity from imposing an assessment or lien for the
costs of nuisance abatement prior to the adoption of those costs by
the elected officials of that governmental entity at a public
hearing.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 2929.4 is added to the Civil Code, to read:
   2929.4.  (a) Prior to imposing a fine or penalty for failure to
maintain a vacant property that is subject to a notice of default,
that is purchased at a foreclosure sale, or that is acquired through
foreclosure under a mortgage or deed of trust, a governmental entity
shall provide the owner of that property with a notice of the
violation and an opportunity to correct that violation.
   (b) This section shall not apply if the governmental entity
determines that a specific condition of the property threatens public
health or safety.
  SEC. 2.  Section 2929.45 is added to the Civil Code, to read:
   2929.45.  (a) An assessment or lien to recover the costs of
nuisance abatement measures taken by a governmental entity with
regard to property that is subject to a notice of default, that is
purchased at a foreclosure sale, or that is acquired through
foreclosure under a mortgage or deed of trust, shall not exceed the
actual and reasonable costs of nuisance abatement.
   (b) A governmental entity shall not impose an assessment or lien
unless the costs that constitute the assessment or lien have been
adopted by the elected officials of that governmental entity at a
public hearing.