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Bill

HF 825

A bill for an act relating to declaration of value and groundwater hazard statement requirements.

2025-2026 Regular Session

Creates a narrow exception: no groundwater hazard statement needed for deeds transferring trust distributions to beneficiaries when conveyed without consideration; eases recording.

Explanation of vote.
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Bill Summary · HF 825

Summary — HF 825 (Amendment H‑1158)

Title: An act relating to declaration of value and groundwater hazard statement requirements
Introduced: March 6, 2025 — Amendment H‑1158 (sponsor: Gustoff of Polk)
Status: Passed House (Mar 26, 2025; yeas 96, nays 0). Referred to Senate Judiciary (message from House Mar 27). Explanation of vote filed Apr 22, 2025.

Purpose

HF 825 (as amended by H‑1158) creates a narrow exception to the state requirement that a groundwater hazard statement be submitted along with the declaration of value when real‑estate conveyance documents are presented for recording. The exception applies to certain trust‑related conveyances made without consideration.

Key provisions

  • Amends Code section 428A.1(2) and section 558.69 (unnumbered paragraph 1) to adjust recordation and disclosure requirements.
  • Retains the existing requirement that a declaration of value (signed by a seller, buyer, or agent) accompany deeds/instruments presented to the county recorder; requires separate declarations for parcels located in different counties (per section 428A.5).
  • Creates an explicit exception: when a declaration of value is submitted for a deed transferring distributions of assets to beneficiaries of a trust that is conveyed without consideration, the submitter is not required to also submit a groundwater hazard statement.
  • Continues existing exemptions from declaration-of-value requirements for instruments listed in section 428A.2 (various subsections), and excludes federal agencies/instrumentalities and certain eminent‑domain acquisitions as before.

Who is affected

  • Trustees, beneficiaries, and parties handling trust asset distributions conveyed without consideration (will not need to file the groundwater hazard statement in these cases).
  • County recorders and clerks (administrative change in processing certain trust conveyances).
  • Title companies, real‑estate attorneys, and closing agents (adjusts paperwork checklist for qualifying trust transfers).
  • Potential indirect effect on buyers/recipients of trust property who would otherwise receive the groundwater hazard statement.

Practical impact and considerations

  • Administrative relief: reduces document filing requirements for certain no‑consideration trust distributions, streamlining recordation for those transactions.
  • Disclosure/consumer awareness: recipients of trust conveyances covered by the exception would not receive the groundwater hazard statement at recording; stakeholders may weigh administrative savings against any reduction in standardized groundwater‑related disclosure at the time of recordation.
  • No change to the declaration‑of‑value regime for ordinary conveyances or the multiple other statutory exemptions already in place.

Legislative history / next steps

  • Introduced Mar 6, 2025; H‑1158 filed Mar 24 and adopted Mar 26; passed House Mar 26 (96‑0); referred to Judiciary Mar 27; subcommittee held Mar 31. As of the latest action (Explanation of vote Apr 22), the bill awaits further Senate consideration.

Compiled from official sources — confirm details with the bill’s official record.

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