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Summary

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This legislation updates the mandatory disclosure form provided by sellers to buyers during residential real estate transactions in Rhode Island. It adds two primary requirements. First, sellers must disclose the results of any home energy audits or air leakage testing and provide buyers with information regarding energy efficiency programs. Second, for coastal properties, the form must now include a section detailing "Shoreline Access." This section informs buyers of the public's right to access the shore up to ten feet landward of the recognizable high tide line and requires sellers to disclose known public rights-of-way and relevant permits.
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Analysis

Pros for Progressives

  • Protects public access to nature by mandating the disclosure of shoreline rights, ensuring that private property owners acknowledge the public's right to use the beach.
  • Promotes environmental sustainability by encouraging the disclosure of home energy audits, which may motivate buyers to utilize energy efficiency programs and reduce their carbon footprint.
  • Increases consumer protection and transparency in housing markets by ensuring buyers are fully informed about property boundaries, public access rights, and energy efficiency issues before purchasing.

Cons for Progressives

  • Relies on voluntary disclosure of energy audits rather than mandating that all homes be tested for energy efficiency prior to sale, limiting the environmental impact.
  • Does not provide financial assistance or subsidies for low-income homeowners to fix energy efficiency issues identified in the disclosures.
  • The reliance on the seller's "actual knowledge" regarding rights of way could allow some sellers to avoid disclosing public access points if they claim ignorance.

Pros for Conservatives

  • Enhances contract transparency and market efficiency by ensuring all parties have clear information regarding property rights and easements before closing a deal.
  • Maintains a voluntary approach to energy audits, requiring disclosure only if a test has arguably already been performed, rather than mandating new government inspections.
  • Protects buyers from future litigation or disputes by clearly outlining shoreline boundaries and public access rules at the time of purchase.

Cons for Conservatives

  • Formalizes the erosion of private property rights by forcing sellers to acknowledge public access to their private beachfront property up to ten feet past the high tide line.
  • Increases the regulatory burden and paperwork required for real estate transactions, complicating the process for home sellers.
  • Utilizes private real estate contracts to promote state-sponsored environmental agendas by requiring the distribution of government energy efficiency program information.

Constitutional Concerns

Moderate. The bill mandates the inclusion of language regarding public shoreline access (10 feet landward of the high tide line). This underlying access law is currently the subject of debate regarding the Takings Clause of the 5th Amendment. Forcing property owners to sign a disclosure acknowledging this public right could be argued as compelled speech or an acknowledgment of a regulatory taking, though the risk largely stems from the shoreline access statute itself rather than this disclosure bill.

Impact Overview

Groups Affected

  • Home Buyers
  • Home Sellers
  • Real Estate Agents
  • Coastal Property Owners
  • Coastal Resources Management Council

Towns Affected

All

Cost to Taxpayers

None

Revenue Generated

None

BillBuddy Impact Ratings

Importance

30

Measures population affected and overall level of impact.

Freedom Impact

40

Level of individual freedom impacted by the bill.

Public Services

20

How much the bill is likely to impact one or more public services.

Regulatory

30

Estimated regulatory burden imposed on the subject(s) of the bill.

Clarity of Bill Language

90

How clear the language of the bill is. Higher ambiguity equals a lower score.

Enforcement Provisions

50

Measures enforcement provisions and penalties for non-compliance (if applicable).

Environmental Impact

30

Impact the bill will have on the environment, positive or negative.

Privacy Impact

30

Impact the bill is likely to have on the privacy of individuals.

Bill Status

Current Status

Held
Comm Passed
Floor Passed
Law

History

• 01/14/2026 Introduced, referred to House Corporations

Bill Text

SECTION 1. Section 5-20.8-2 of the General Laws in Chapter 5-20.8 entitled "Real Estate Sales Disclosures" is hereby amended to read as follows:
5-20.8-2. Disclosure requirements.
(a) As soon as practicable, but in any event no later than prior to signing any agreement to transfer real estate, the seller of the real estate shall deliver a written disclosure to the buyer and to each agent with whom the seller knows he or she or the buyer has dealt in connection with the real estate. The written disclosure shall comply with the requirements set forth in subsection (b) and shall state all deficient conditions of which the seller has actual knowledge. The agent shall not communicate the offer of the buyer until the buyer has received a copy of the written disclosure and signed a written receipt of the disclosure. If the buyer refuses to sign a receipt pursuant to this section, the seller or agent shall immediately sign and date a written account of the refusal. The agent is not liable for the accuracy or thoroughness of representations made by the seller in the written disclosure or for deficient conditions not disclosed to the agent by the seller.
(b)(1) The Rhode Island real estate commission shall approve a form of written disclosure for vacant land and a form of written disclosure for the sale of real property and improvements consisting of a house or building containing one to four (4) dwelling units as required under this chapter or the seller may use a disclosure form substantially conforming to the requirements of this section. The following provisions shall appear conspicuously at the top of any written disclosure form: “Prior to the signing of an agreement to transfer real estate (vacant land or real property and improvements consisting of a house or building containing one to four (4) dwelling units), the seller is providing the buyer with this written disclosure of all deficient conditions of which the seller has knowledge. This is not a warranty by the seller that no other defective conditions exist, which there may or may not be. The buyer should estimate the cost of repair or replacement of deficient conditions prior to submitting an offer on this real estate. The buyer is advised not to rely solely upon the representation of the seller made in this disclosure, but to conduct any inspections or investigations the buyer deems to be necessary to protect his or her best interest.” Nothing contained in this section shall be construed to impose an affirmative duty on the seller to conduct inspections as to the condition of this real estate.
(2) The disclosure form for vacant land shall include the following information:
(i) Sewage System — (Assessment, Annual Fees, Type, Cesspool/Septic Location, Last Pumped, Maintenance History, Defects)
“Potential purchasers of real estate in the State of Rhode Island are hereby notified that many properties in the state are still serviced by cesspools as defined in chapter 19.15 of title 23 (the “Rhode Island Cesspool Act of 2007”). Cesspools are a substandard and inadequate means of sewage treatment and disposal, and cesspools often contribute to groundwater and surface water contamination. Requirements for abandonment and replacement of high-risk cesspools as established in chapter 19.15 of title 23 are primarily based upon a cesspool’s nontreatment of wastewater and the inherent risks to public health and the environment due to a cesspool’s distance from a tidal water area, or a public drinking water resource. Purchasers should consult chapter 19.15 of title 23 for specific cesspool abandonment or replacement requirements. An inspection of property served by an on-site sewage system by a qualified professional is recommended prior to purchase. Pursuant to § 5-20.8-13, potential purchasers shall be permitted a ten-day (10) period to conduct an inspection of a property’s sewage system to determine if a cesspool exists, and if so, whether it will be subject to the phase-out requirements as established in chapter 19.15 of title 23.”
(ii) Water System — (Imp. & Repairs, Type, Defects) Private water supply (well). “The buyer understands that this property is, or will be served, by a private water supply (well) that may be susceptible to contamination and potentially harmful to health. If a public water supply is not available, the private water supply must be tested in accordance with regulations established by the Rhode Island department of health pursuant to § 23-1-5.3. The seller of that property is required to provide the buyer with a copy of any previous private water supply (well) testing results in the seller’s possession and notify the buyer of any known problems with the private water supply (well).” LC003547 - Page 2 of 8
(iii) Property Tax
(iv) Easements and Encroachments — The seller of the real estate is required to provide the buyer with a copy of any previous surveys of the real estate that are in the seller’s possession and notify the buyer of any known easements, encroachments, covenants, or restrictions of the seller’s real estate. If the seller knows that the real estate has a conservation easement or other conservation or preservation restriction as defined in § 34-39-2, the seller is required to disclose that information and provide the buyer with a copy of any documentation in the seller’s possession regarding the conservation and preservation restrictions. A buyer may wish to have a boundary or other survey independently performed at the buyer’s own expense.
(v) Deed — (Type, Number of Parcels)
(vi) Zoning — (Permitted use, Classification). “Buyers of real estate in the State of Rhode Island are legally obligated to comply with all local real estate ordinances; including, but not limited to, ordinances on the number of unrelated persons who may legally reside in a dwelling, as well as ordinances on the number of dwelling units permitted under the local zoning ordinances.” If the subject property is located in a historic district, that fact must be disclosed to the buyer, together with the notification that “property located in a historic district may be subject to construction, expansion, or renovation limitations. Contact the local building inspection official for details.”
(vii) Restrictions — (Plat or Other)
(viii) Building Permits
(ix) Flood Plain — (Flood Insurance)
(x) Wetlands — The location of coastal wetlands, bay, freshwater wetlands, pond, marsh, river bank, or swamp, as those terms are defined in chapter 1 of title 2, and the associated buffer areas may impact future property development. The seller must disclose to the buyer any such determination on all or part of the land made by the department of environmental management.
(xi) Hazardous Waste — (Asbestos and Other Contaminants)
(xii) Miscellaneous
(xiii) Farms — The disclosure shall inform the buyer that any farm(s) that may be in the municipality are protected by the right to farm law.
(3) The disclosure form for the sale of real property and improvements consisting of a house or building containing one to four (4) dwelling units shall include the following information:
(i) Seller Occupancy — (Length of Occupancy)
(ii) Year Built
(iii) Basement — (Seepage, Leaks, Cracks, etc. Defects)
(iv) Sump Pump — (Operational, Location, and Defects) LC003547 - Page 3 of 8
(v) Roof (Layers, Age, and Defects)
(vi) Fireplaces — (Number, Working and Maintenance, Defects)
(vii) Chimney — (Maintenance History, Defects)
(viii) Woodburning Stove — (Installation Date, Permit Received, Defects)
(ix) Structural Conditions — (Defects)
(x) Insulation — (Wall, Ceiling, Floor, UFFI)
(xi) Termites or other Pests — (Treatment Company)
(xii) Radon — (Test, Company). “Radon has been determined to exist in the State of Rhode Island. Testing for the presence of radon in residential real estate prior to purchase is advisable.”
(xiii) Electrical Service — (Imp. & Repairs, Electrical Service, Amps, Defects, Modifications)
(xiv) Heating System — (Type, Imp. & Repairs, Underground Tanks, Zones, Supplemental Heating, Defects, Modifications)
(xv) Air Conditioning — (Imp. & Repairs, Type, Defects)
(xvi) Plumbing — (Imp. & Repairs, Defects, Modifications)
(xvii) Sewage System — (Assessment, Annual Fees, Type, Cesspool/Septic Location, Last Pumped, Maintenance History, Defects)
“Potential purchasers of real estate in the state of Rhode Island are hereby notified that many properties in the state are still serviced by cesspools as defined in Rhode Island general law chapter 19.15 of title 23 (the Rhode Island Cesspool Act of 2007). Cesspools are a substandard and inadequate means of sewage treatment and disposal, and cesspools often contribute to groundwater and surface water contamination. Requirements for abandonment and replacement of high-risk cesspools as established in chapter 19.15 of title 23 are primarily based upon a cesspool’s nontreatment of wastewater and the inherent risks to public health and the environment due to a cesspool’s distance from a tidal water area, or a public drinking water resource. Purchasers should consult chapter 19.15 of title 23 for specific cesspool abandonment or replacement requirements. An inspection of property served by an on-site sewage system by a qualified professional is recommended prior to purchase. Pursuant to § 5-20.8-13, potential purchasers shall be permitted a ten-day (10) period to conduct an inspection of a property’s sewage system to determine if a cesspool exists, and if so, whether it will be subject to the phase-out requirements as established in chapter 19.15 of title 23.”
(xviii) Water System — (Imp. & Repairs, Type, Defects) Private water supply (well). “The buyer understands that this property is, or will be served, by a private water supply (well) that may be susceptible to contamination and potentially harmful to health. If a public water supply is not LC003547 - Page 4 of 8 available, the private water supply must be tested in accordance with regulations established by the Rhode Island department of health pursuant to § 23-1-5.3. The seller of that property is required to provide the buyer with a copy of any previous private water supply (well) testing results in the seller’s possession and notify the buyer of any known problems with the private water supply (well).”
(xix) Domestic Hot Water — (Imp. & Repairs, Type, Defects, Capacity of Tank)
(xx) Property Tax
(xxi) Easements and Encroachments — The seller of the real estate is required to provide the buyer with a copy of any previous surveys of the real estate that are in the seller’s possession and notify the buyer of any known easements, encroachments, covenants, or restrictions of the seller’s real estate. If the seller knows that the real estate has a conservation easement or other conservation or preservation restriction as defined in § 34-39-1, the seller is required to disclose that information and provide the buyer with a copy of any documentation in the seller’s possession regarding the conservation and preservation restrictions. A buyer may wish to have a boundary or other survey independently performed at his or her own expense.
(xxii) Deed — (Type, Number of Parcels)
(xxiii) Zoning — (Permitted use, Classification). “Buyers of real estate in the state of Rhode Island are legally obligated to comply with all local real estate ordinances; including, but not limited to, ordinances on the number of unrelated persons who may legally reside in a dwelling, as well as ordinances on the number of dwelling units permitted under the local zoning ordinances.” If the subject property is located in a historic district, that fact must be disclosed to the buyer, together with the notification that “property located in a historic district may be subject to construction, expansion, or renovation limitations. Contact the local building inspection official for details.”
(xxiv) Restrictions — (Plat or Other)
(xxv) Building Permits
(xxvi) Minimum Housing — (Violations)
(xxvii) Flood Plain — (Flood Insurance)
(xxviii) Wetlands — The location of coastal wetlands, bay, freshwater wetlands, pond, marsh, river bank, or swamp, as those terms are defined in chapter 1 of title 2, and the associated buffer areas may impact future property development. The seller must disclose to the buyer any such determination on all or part of the land made by the department of environmental management.
(xxix) Multi-family or other Rental Property — (Rental Income)
(xxx) Pools & Equipment — (Type, Defects) LC003547 - Page 5 of 8
(xxxi) Lead Paint — (Inspection) Every buyer of residential real estate built prior to 1978 is hereby notified that those properties may have lead exposures that may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced IQ behavioral problems, and impaired memory. The seller of that property is required to provide the buyer with a copy of any lead inspection report in the seller’s possession and notify the buyer of any known lead poisoning problem. Environmental lead inspection is recommended prior to purchase.
(xxxii) Fire
(xxxiii) Hazardous Waste — (Asbestos and Other Contaminants)
(xxxiv) Miscellaneous
(xxxv) Farms — The disclosure shall inform the buyer that any farm(s) that may be in the municipality are protected by the right to farm law.
(xxxvi) Mold — (Type, repairs, alterations, modifications).
(xxxvii) Ventilation system modifications.
(xxxviii) Moisture penetration and damage.
(xxxix) Blower door diagnostic air leakage testing – home energy audit results – (test, company). Air leakage testing and home energy audits are advisable for residential real estate prior to purchase in order to assess the energy efficiency of the property. Real estate buyers shall be provided with information related to availability of energy efficiency audits and energy efficiency programs as identified by the Rhode Island office of energy resources to reduce utility bills, reduce energy consumption, improve financial security, reduce carbon emissions, and increase comfort, safety and health for building occupants and owners.
(c) Any agreement to transfer real estate shall contain an acknowledgement that a completed real estate disclosure form has been provided to the buyer by the seller in accordance with the provisions of this section.
(d) The Rhode Island real estate commission has the right to amend the seller disclosure requirements by adding or deleting requirements when there is a determination that health, safety, or legal needs require a change. Any change to requirements shall be a rule change, subject to the administrative procedures act, chapter 35 of title 42. The power of the commission to amend the written disclosure requirements shall be liberally construed so as to allow additional information to be provided as to the structural components, housing systems, and other property information as required by this chapter.
(e) The disclosure form for the sale of vacant land or real property and improvements in subsections (b)(2) and (b)(3) of this section shall also include the following information: LC003547 - Page 6 of 8
“Shoreline Access — Members of the public shall have the right to access shoreline property as defined in § 5-20.8-1. The public’s rights and privileges of the shore may be exercised, where shore exists, on wet sand or dry sand or rocky beach, up to ten feet (10′) landward of the ‘recognizable high tide line’ subject to the restrictions governed by § 46-23-26 and any general laws to the contrary.
The seller of the real estate is required to notify the buyer of any public rights of way on the real estate that are known to the seller. The seller shall provide the buyer with a copy of any documentation evidencing such rights of way or conditions of public access that is in the seller’s possession.
The buyer is advised to contact the coastal resources management council, the municipality, or applicable nonprofit organizations to determine whether any public rights of way exist.
The seller shall provide the buyer with a copy of any permits relating to the real estate that were issued by the coastal resources management council and that are in the seller’s possession.”

SECTION 2. This act shall take effect upon passage.

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