February 14, 2007





SENATE BILL No. 156

_____


DIGEST OF SB 156 (Updated February 12, 2007 12:58 pm - DI 52)



Citations Affected: IC 13-11; IC 32-20; noncode.

Synopsis: Environmental restrictive covenants. Provides that marketable record title to real property is subject to all interests of the department of environmental management arising from the recording of a restrictive covenant under IC 13.

Effective: July 1, 2007.





Gard




    January 11, 2007, read first time and referred to Committee on Corrections, Criminal, and Civil Matters.
    January 18, 2007, pursuant to Senate Rule 65(b), reassigned to Committee on Energy and Environmental Affairs.
    February 13, 2007, reported favorably _ Do Pass.






February 14, 2007

First Regular Session 115th General Assembly (2007)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
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SENATE BILL No. 156



    A BILL FOR AN ACT to amend the Indiana Code concerning environmental law.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 13-11-2-193.5; (07)SB0156.1.1. -->     SECTION 1. IC 13-11-2-193.5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 193.5. "Restrictive covenant" for purposes of IC 13-14-2-6, means, with respect to land, any deed restriction, restrictive covenant, environmental covenant, environmental notice, or other restriction or obligation that:
        (1) limits the use of the land or the activities that may be performed on or at the land or requires the maintenance of any engineering control on the land designed to protect human health or the environment;
        (2) by its terms is intended to run with the land and be binding on successors;
        (3) is recorded with the county recorder's office in the county in which the land is located; and
        (4) explains how it can be modified or terminated.
SOURCE: IC 32-20-3-2; (07)SB0156.1.2. -->     SECTION 2. IC 32-20-3-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 2. Marketable record title is subject to the following:
        (1) All interests and defects that are inherent in the muniments of which the chain of record title is formed. However, a general reference in the muniments, or any one (1) of them, to:
            (A) easements;
            (B) use restrictions; or
            (C) other interests created before the root of title;
        is not sufficient to preserve them, unless specific identification is made in the muniments of a recorded title transaction that creates the easement, use restriction, or other interest.
        (2) All interests preserved by:
            (A) the filing of proper notice; or
            (B) possession by the same owner continuously for at least fifty (50) years, in accordance with IC 32-20-4-1.
        (3) The rights of any person arising from adverse possession or adverse user, if the period of adverse possession or adverse user was wholly or partly subsequent to the effective date of the root of title.
        (4) Any interest arising out of a title transaction recorded after the effective date of the root of title from which the unbroken chain of title of record is started. However, the recording shall not revive or give validity to any interest that has been extinguished before the time of the recording by the operation of section 3 of this chapter.
        (5) The exceptions stated in IC 32-20-4-3 concerning:
            (A) rights of reversioners in leases;
            (B) rights of any lessee in and to any lease; and
            (C) easements and interests in the nature of easements.
        (6) All interests of the department of environmental management in land used for the disposal of hazardous wastes arising from the recording of a restrictive covenant under IC 13-22-3-3. IC 13.
SOURCE: ; (07)SB0156.1.3. -->     SECTION 3. [EFFECTIVE JULY 1, 2007] (a) IC 32-20-3-2, as amended by this act, applies only to determinations of marketable record title (as defined in IC 32-20-2-2) after June 30, 2007.
    (b) Under IC 32-20-3-2, as amended by this act, marketable record title (as defined in IC 32-20-2-2) is subject to all interests of the department of environmental management arising from the recording of a restrictive covenant under IC 13, regardless of whether the recording occurred before July 1, 2007.