Section 4580 - Exemption from Limitation on Transfer Fees
The prohibition in Section 4575 does not apply to a community service organization or similar entity, or to a nonprofit entity that provides services to a common interest development under a declaration of trust, of either of the following types:
(a) An organization or entity that satisfies both of the following conditions:
(1) It was established before February 20, 2003.
(2) It exists and operates, in whole or in part, to fund or perform environmental mitigation or to restore or maintain wetlands or native habitat, as required by the state or local government as an express written condition of development.
(b) An organization or entity that satisfies all of the following conditions: (1) It is not an organization or entity described by subdivision (a). (2) It was established and received a transfer fee before January 1, 2004. (3) On and after January 1, 2006, it offers a purchaser the following payment options for the fee or charge it collects at time of transfer:
(A) Paying the fee or charge at the time of transfer.
(B) Paying the fee or charge pursuant to an installment payment plan for a period of not less than seven years. If the purchaser elects to pay the fee or charge in installment payments, the organization or entity may also collect additional amounts that do not exceed the actual costs for billing and financing on the amount owed. If the purchaser sells the separate interest before the end of the installment payment plan period, the purchaser shall pay the remaining balance before the transfer.
Section 1368 - Documents to Furnish to Purchaser; Limitation on Transfer Fees
(c)(2) The prohibition in paragraph (1) does not apply to a community service organization or similar entity, or to a nonprofit entity that provides services to a common interest development under a declaration of trust, that is described in subparagraph (A) or (B):
(A) The community service organization or similar entity satisfies both of the following requirements:
(i) The community service organization or similar entity was established prior to February 20, 2003.
(ii) The community service organization or similar entity exists and operates, in whole or in part, to fund or perform environmental mitigation or to restore or maintain wetlands or native habitat, as required by the state or local government as an express written condition of development.
(B) The community service organization or similar entity, or a nonprofit entity that provides services to a common interest development under a declaration of trust, satisfies all of the following requirements:
(i) The organization or entity is not an organization or entity described in subparagraph (A).
(ii) The organization or entity was established and received a transfer fee prior to January 1, 2004.
(iii) On and after January 1, 2006, the organization or entity offers a purchaser the following payment options for the fee or charge it collects at time of transfer:
(I) Paying the fee or charge at the time of transfer.
(II) Paying the fee or charge pursuant to an installment payment plan for a period of not less than seven years. If the purchaser elects to pay the fee or charge in installment payments, the organization or entity may also collect additional amounts that do not exceed the actual costs for billing and financing on the amount owed. If the purchaser sells the separate interest before the end of the installment payment plan period, he or she shall pay the remaining balance prior to transfer.
Changes
4580. 1368. (c) (2) The prohibition in paragraph (1)Section 4575 does not apply to a community service organization or similar entity, or to a nonprofit entity that provides services to a common interest development under a declaration of trust, that is described in subparagraph (A) or (B):
(A) The community service organization or similar entityof either of the following types:
(a) An organization or entity that satisfies both of the following requirementsconditions:
(1) (i) The community service organization or similar entity It was established prior tobefore February 20, 2003.
(2) (ii) The community service organization or similar entity It exists and operates, in whole or in part, to fund or perform environmental mitigation or to restore or maintain wetlands or native habitat, as required by the state or local government as an express written condition of development.
(b) (B) The community service An organization or similar entity, or a nonprofit entity that provides services to a common interest development under a declaration of trust,entity that satisfies all of the following requirements: (i) The organization or entityconditions:
(1) It is not an organization or entity described in subparagraph (A). (ii) The organization or entityby subdivision (a).
(2) It was established and received a transfer fee prior tobefore January 1, 2004.
(3) (iii) On and after January 1, 2006, the organization or entity offersit offers a purchaser the following payment options for the fee or charge it collects at time of transfer:
(A) (I) Paying the fee or charge at the time of transfer.
(B) (II) Paying the fee or charge pursuant to an installment payment plan for a period of not less than seven years. If the purchaser elects to pay the fee or charge in installment payments, the organization or entity may also collect additional amounts that do not exceed the actual costs for billing and financing on the amount owed. If the purchaser sells the separate interest before the end of the installment payment plan period, he or shethe purchaser shall pay the remaining balance priorbefore to the transfer.