Industry News
February 16, 2010
Pre-Closing Sewer Certificates
The CLTA has notified the East Bay Municipal Utility District (EBMUD) that California law preempts local regulation of title company escrow activities. The CLTA letter follows a proposal by EBMUD to adopt a Regional Private Sewer Lateral Ordinance. The ordinance requires property owners to obtain a compliance certificate indicating their sewer laterals are without defects and have proper connections prior to selling their property. In addition, the Regional Ordinance includes provisions for property owners to request a time extension, to have the required work completed, provided that sufficient funds are held in an escrow account.
Development and adoption of the Regional Ordinance is a requirement of a settlement agreement between EBMUD, the U.S. Environmental Protection Agency (EPA), and the State Regional Water Quality Control Board (RWQCB) to maintain health of the San Francisco Bay.
