Asbestos Exposure in Housing Reduction Act of 2022
Bill: H.R.7175 | Sponsor: Rep. Torres, Norma J. (D-CA)
Policy area: Housing and Community Development

Summary:
Asbestos Exposure in Housing Reduction Act of 2022
This bill requires the seller or lessor of a dwelling to disclose to the purchaser or lessee any known asbestos-based hazards in the dwelling and provide any available asbestos hazard evaluation report. The bill also requires the seller or lessor to allow the purchaser or lessee a 10-day period to conduct a risk assessment or inspection for asbestos hazards. Further, the bill requires that every contract for the sale or lease of a dwelling contain an asbestos warning statement and that every purchaser of a dwelling acknowledge that the purchaser has read and understands the warning statement and had the 10-day period to conduct a risk assessment or inspection.

To require disclosure of asbestos hazards in the sale and lease of 
             residential dwellings, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Asbestos Exposure in Housing 
Reduction Act of 2022''.

SEC. 2. DISCLOSURE IN SALE OR LEASE OF HOUSING.

    (a) Required Disclosure.--The Secretary of Housing and Urban 
Development and the Administrator of the Environmental Protection 
Agency shall, not later than the expiration of the 2-year period 
beginning on the date of the enactment of this Act, jointly issue 
regulations under this section requiring the disclosure of asbestos 
hazards in dwellings that are offered for sale or lease. Such 
regulations shall require that, before the purchaser or lessee is 
obligated under any contract to purchase or lease the dwelling, the 
seller or lessor shall--
            (1) disclose to the purchaser or lessee the presence of any 
        known asbestos, and any known asbestos-based hazards, in such 
        dwelling and provide to the purchaser or lessee any asbestos 
        hazard evaluation report available to the seller or lessor; and
            (2) permit the purchaser a 10-day period (unless the 
        parties mutually agree upon a different period of time) to 
        conduct a risk assessment or inspection for the presence of 
        asbestos hazards.
    (b) Asbestos Warning Statement.--The regulations issued under this 
section shall provide that every contract for the purchase and sale of 
any interest in a dwelling, and every contract for lease of a dwelling, 
shall contain an Asbestos Warning Statement and a statement signed by 
the purchaser or lessee that the purchaser has--
            (1) read the Asbestos Warning Statement and understands its 
        contents; and
            (2) had a 10-day opportunity (unless the parties mutually 
        agreed upon a different period of time) before becoming 
        obligated under the contract to purchase the dwelling to 
        conduct a risk assessment or inspection for the presence of 
        asbestos-based hazards.
    (c) Contents of Asbestos Warning Statement.--The Asbestos Warning 
Statement shall contain the following text printed in large type on a 
separate sheet of paper attached to the contract: ``Every purchaser of 
any interest in residential real property on which a dwelling is 
located, and every lessee of a dwelling, is notified that such property 
may present exposure to asbestos that may place occupants at risk of 
lung disease and mesothelioma--a form of cancer. The seller of any 
interest in residential real property, and the lessor of a dwelling, is 
required to provide the buyer or lessee, respectively, with any 
information on asbestos-based hazards from risk assessments or 
inspections in the seller's or lessor's possession and notify the buyer 
or lessee of any known asbestos-based hazards. A risk assessment or 
inspection for possible asbestos-based hazards is recommended prior to 
purchase or lease.''.
    (d) Compliance Assurance.--Whenever a seller or lessor has entered 
into a contract with an agent for the purpose of selling or leasing a 
dwelling, the regulations issued under this section shall require the 
agent, on behalf of the seller or lessor, to ensure compliance with the 
requirements of this section.
    (e) Penalties for Violations.--
            (1) Monetary penalty.--Any person who knowingly violates 
        any provision of this section shall be subject to civil money 
        penalties in accordance with the provisions of section 102 of 
        the Department of Housing and Urban Development Reform Act of 
        1989 (42 U.S.C. 3545).
            (2) Injunction authority.--The Secretary is authorized to 
        take such lawful action as may be necessary to enjoin any 
        violation of this section.
            (3) Civil liability.--
                    (A) In general.--Any person who knowingly violates 
                the provisions of this section shall be jointly and 
                severally liable to the purchaser or lessee in an 
                amount equal to 3 times the amount of damages incurred 
                by such individual.
                    (B) Costs.--In any civil action brought for damages 
                pursuant to this paragraph, the appropriate court may 
                award court costs to the party commencing such action, 
                together with reasonable attorney fees and any expert 
                witness fees, if that party prevails.
            (4) Prohibited act.--It shall be a prohibited act under 
        sections 15 and 409 of the Toxic Substances Control Act (15 
        U.S.C. 2614, 2689) for any person to fail or refuse to comply 
        with a provision of this section or with any rule or order 
        issued under this section. For purposes of enforcing this 
        section under the Toxic Substances Control Act (15 U.S.C. 2601 
        et seq.), the penalty for each violation applicable under 
        section 16 of such Act (15 U.S.C. 2615) shall not be more than 
        $10,000.
    (f) Validity of Contracts and Liens.--Nothing in this section shall 
affect the validity or enforceability of any sale or contract for the 
purchase and sale or lease of any interest in residential real property 
or any loan, loan agreement, mortgage, or lien made or arising in 
connection with a mortgage loan, nor shall anything in this section 
create a defect in title.
    (g) Definitions.--For purposes of this section, the following 
definitions shall apply:
            (1) Asbestos.--The term ``asbestos'' has the meaning given 
        such term in section 202 of the Toxic Substances Control Act 
        (15 U.S.C. 2642).
            (2) Asbestos-based hazard.--The term ``asbestos-based 
        hazard'' means any condition that causes exposure to asbestos 
        that would result in adverse human health effects as 
        established by the appropriate Federal agency.
            (3) Dwelling.--The term ``dwelling'' means any dwelling, as 
        such term is defined in section 802 of the Fair Housing Act (42 
        U.S.C. 3602) that was constructed prior to 2019. The exemptions 
        under section 803(b) of such Act (42 U.S.C. 3603) shall not 
        apply for purposes of this Act.
            (4) Inspection.--The term ``inspection'' means an on-site 
        investigation to determine the presence of asbestos and the 
        provision of a report explaining the results of the 
        investigation.
            (5) Risk assessment.--The term ``risk assessment'' means an 
        on-site investigation to determine and report the existence, 
        nature, severity and location of asbestos-based hazards in 
        dwellings, including--
                    (A) information gathering regarding the age and 
                history of the housing;
                    (B) visual inspection;
                    (C) sampling or other environmental sampling 
                techniques;
                    (D) other activity as may be appropriate; and
                    (E) provision of a report explaining the results of 
                the investigation.
    (h) Effective Date.--The regulations issued under this section 
shall take effect upon the expiration of the 2-year period beginning on 
the date of the enactment of this Act.
    (i) Authorization of Appropriations.--There is authorized to be 
appropriated for each fiscal year such sums as may be necessary to 
carry out this section.
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