(iii) An examination associated with moving into or out of a leased home.

"Home inspection report." A typewritten report on the results of a home inspection.

"Home inspector." An individual licensed by the State Board of Certified Real Estate Appraisers to perform home inspections.

The term does not include an individual licensed under any of the following laws when acting under the individual's registration or license:

(1) The act of May 23, 1945 (P.L.913, No.367), known as the Engineer, Land Surveyor and Geologist Registration Law, as to professional engineers, professional land surveyors and professional geologists.

(2) The act of January 24, 1966 (1965 P.L.1535, No.537), known as the Pennsylvania Sewage Facilities Act.

(3) The act of March 1, 1974 (P.L.90, No.24), known as 20190HB0021PN4619 - 3 - the Pennsylvania Pesticide Control Act of 1973.

(4) The act of December 14, 1982 (P.L.1227, No.281), known as the Architects Licensure Law.

(5) The act of July 9, 1987 (P.L.238, No.43), known as the Radon Certification Act.

"Home inspector-in-training." A candidate for licensure as a home inspector who has been granted a registration as a home inspector-in-training.

"Material defect." A problem with a residential real property or any portion of it that would have a significant adverse impact on the value of the property or that involves an unreasonable risk to people on the property.

The fact that an essential component, system or subsystem is near, at or beyond the end of its normal useful life is not by itself a material defect.

* * * Section 3.

Section 4(a) and (k) of the act are amended to, <-- (B) AND (K) OF THE ACT ARE AMENDED AND THE SECTION IS AMENDED BY ADDING A SUBSECTION TO read:

Section 4.

State Board of Certified Real Estate Appraisers.

(a) Creation.--There is hereby created the State Board of Certified Real Estate Appraisers as a departmental administrative board in the Department of State.

The board shall consist of the following members:

(1) The Secretary of the Commonwealth or a designee.

(2) The Attorney General or a designee.

(3) The Secretary of Banking or a designee.

(4) [Eight] Twelve members who are citizens of the <-- United States and who have been residents of this Commonwealth for a two-year period immediately prior to 20190HB0021PN4619 - 4 - appointment, two of whom shall be public members [and six], <-- eight of whom shall be persons who are State-certified real estate appraisers[.], one of whom shall be a certified <-- Pennsylvania evaluator and one of whom shall be a person who is a licensed and qualified home inspector under this act, except that the home inspector initially appointed pursuant to this paragraph need not be licensed by the board but, at the time of appointment, must have satisfied the education and experience requirements of this act for licensure as a home inspector.

If a member is qualified in more than one profession specified in this paragraph, the appointment shall specify in which capacity the member is being appointed.

* * *] FOURTEEN MEMBERS WHO ARE CITIZENS OF THE UNITED <-- STATES AND WHO HAVE BEEN RESIDENTS OF THIS COMMONWEALTH FOR A TWO-YEAR PERIOD IMMEDIATELY PRIOR TO APPOINTMENT.

EIGHT OF THE MEMBERS SHALL BE STATE-CERTIFIED REAL ESTATE APPRAISERS, TWO OF THE MEMBERS SHALL BE CERTIFIED PENNSYLVANIA EVALUATORS, TWO OF THE MEMBERS SHALL BE QUALIFIED HOME INSPECTORS AND TWO OF THE MEMBERS SHALL BE PUBLIC MEMBERS.

IF A MEMBER IS QUALIFIED IN MORE THAN ONE PROFESSION SPECIFIED IN THIS PARAGRAPH, THE APPOINTMENT SHALL SPECIFY IN WHICH CAPACITY THE MEMBER IS BEING APPOINTED.

(B) TERM OF OFFICE.--THE PROFESSIONAL AND PUBLIC MEMBERS SHALL SERVE FOUR-YEAR TERMS, EXCEPT AS PROVIDED IN SUBSECTION (C) OR (C.1), AND SHALL BE APPOINTED BY THE GOVERNOR BY AND WITH THE ADVICE AND CONSENT OF A MAJORITY OF THE MEMBERS ELECTED TO THE SENATE.

* * * (C.1) INITIAL APPOINTMENTS OF CERTIFIED PENNSYLVANIA EVALUATORS AND QUALIFIED HOME INSPECTORS.--WITHIN 90 DAYS OF THE 20190HB0021PN4619 - 5 - EFFECTIVE DATE OF THIS SUBSECTION, THE GOVERNOR SHALL NOMINATE ONE CERTIFIED PENNSYLVANIA EVALUATOR AND ONE QUALIFIED HOME INSPECTOR TO SERVE A TWO-YEAR TERM AND ONE CERTIFIED PENNSYLVANIA EVALUATOR AND ONE QUALIFIED HOME INSPECTOR TO SERVE A FOUR-YEAR TERM.

* * * (k) Notice.--Reasonable notice of all meetings shall be given in conformity with [the act of July 3, 1986 (P.L.388, No.84), known as the Sunshine Act] 65 Pa.C.S.

Ch.

7 (relating to open meetings).

* * * Section 4.

Sections 5(1), (3) and (6) and 6 heading of the act are amended to read:

Section 5.

Powers and duties of board.

The board shall have the following powers and duties:

(1) To pass upon the qualifications and fitness of applicants for certification or licensure and to adopt and revise rules and regulations requiring applicants for REGISTRATION, certification or licensure to pass examinations <-- relating to their qualifications for REGISTRATION, <-- certification or licensure.

* * * (3) To examine for, deny, approve, issue, revoke, suspend or renew certificates of appraisers, registrations of home inspectors-in-training and licenses of appraiser trainees and home inspectors pursuant to this act and to conduct hearings in connection therewith.

* * * (6) To establish fees for the operation of the board, including fees for the issuance and renewal of registrations, 20190HB0021PN4619 - 6 - certificates and licenses and for examinations.

* * * Section 6.

Application and qualifications of certified real estate appraisers.

* * * Section 5.

The act is amended by adding sections to read:

Section 6.1.

Application and qualifications of home inspectors and home inspectors-in-training.

(a) Qualifications.--An applicant shall be considered to be qualified for a license as a home inspector if the applicant submits proof satisfactory to the board of all of the following:

(1) The applicant is of good moral character (RESERVED).

<-- (2) The applicant is at least 18 years of age.

(3) The applicant has a high school diploma or its equivalent or equivalent life or occupational experience.

(4) The applicant:

(i) has completed no less than 120 hours of board- approved classroom instruction, which includes six hours of education providing the basic knowledge on the differences between the National Manufactured Housing Construction and Safety Standards Act of 1974 (Public Law 93-383, 42 U.S.C.

§ 5401 et seq.) and the act of May 11, 1972 (P.L.286, No.70), known as the Industrialized Housing Act, and the installation of manufactured and modular homes;

(ii) is registered as a home inspector-in-training;

and (iii) has completed no less than 75 mentored home inspections completed in the presence and under the direct supervision of a home inspector licensed in this 20190HB0021PN4619 - 7 - Commonwealth.

A home inspection report prepared by a home inspector-in-training shall be used for training purposes only and may not be provided to a client.

(5) The applicant has passed a board-approved psychometrically valid licensing examination to be administered pursuant to section 812.1 of the act of April 9, 1929 (P.L.177, No.175), known as The Administrative Code of 1929.

(6) The application is accompanied by the application fee as established by the board by regulation.

(7) The applicant is not addicted to the habitual use of alcohol, narcotics or other habit-forming drugs.

(8) There is no criminal history which would impede the applicant's eligibility, determined by the board based on the applicant's submission of the following:

(i) A report of the applicant's criminal history record information under 18 Pa.C.S.

§ 9121(b) (relating to general regulations).

(ii) If the applicant has resided outside this Commonwealth for any time in the five years immediately preceding the date of application, a report to the board of Federal criminal identification and crime records under 28 U.S.C.

§ 534(a)(4) (relating to acquisition, preservation, and exchange of identification records and information;

appointment of officials).

(b) Issuance of license.--The board shall issue a license as a home inspector to an applicant who applies within two years of the effective date of this subsection and complies with all of the following:

(1) Is an active home inspector.

20190HB0021PN4619 - 8 - (2) Meets the qualifications described in subsection (a) <-- (1), (2) (A)(2), (3), (6), (7) and (8).

<-- (3) Submits proof satisfactory to the board that the applicant has:

(i) been in active, continuous practice for at least five years immediately preceding the effective date of this section;

or (ii) has performed or participated in 100 home <-- inspections and has passed a recognized or accredited examination testing knowledge of the proper procedures for conducting a home inspection.

(c) Practice of home inspection.--An individual may not practice home inspection or hold himself out as a home inspector unless licensed by the board except for the following:

(1) An individual licensed as a professional engineer under the act of May 23, 1945 (P.L.913, No.367), known as the Engineer, Land Surveyor and Geologist Registration Law.

(2) An individual licensed under the act of December 14, 1982 (P.L.1227, No.281), known as the Architects Licensure Law.

(3) A home inspector-in-training practicing home inspection in the presence and under the direct supervision of a home inspector licensed in this Commonwealth, provided the home inspector-in-training does not hold himself out as a home inspector.

(d) Compliance.--Notwithstanding subsection (c), a person licensed or registered as a professional engineer under the Engineer, Land Surveyor and Geologist Registration Law, or a person licensed or registered under the Architects Licensure Law, must comply with subsection (i) and sections 6.2, 17.1, 20190HB0021PN4619 - 9 - 17.2 and 17.3 when performing a home inspection.

A person licensed or registered as a professional engineer, or licensed or registered as an architect, who violates this subsection shall be subject to disciplinary action, including license or registration suspension and revocation, and penalties under the Engineer, Land Surveyor and Geologist Registration Law and the Architects Licensure Law, respectively.

(e) Use of title.--An individual who holds a license or is maintained on inactive status may use the title "Licensed Home Inspector" and the abbreviation "L.H.I." No other individual may use the title "Licensed Home Inspector" or the title "Home Inspector" or hold himself out to others as a home inspector.

This subsection includes advertising as a home inspector and adopting or using a title or description, or a derivative of "Licensed Home Inspector" or "Home Inspector" and their related abbreviations, which implies directly or indirectly that home inspection services are being provided.

(f) Nontransferability of license.--A license under this section is not transferable.

(g) Examination not required.--The board may issue a home inspector license without examination to an applicant holding a home inspector license in another state who submits proof satisfactory to the board of all of the following:

(1) The applicant is of good moral character (RESERVED).

<-- (2) The applicant holds an unrestricted and active home inspector license from another state whose licensure requirements are substantially equivalent to the requirements for licensure in this Commonwealth.

(3) The applicant has submitted an application accompanied by the application fee.

20190HB0021PN4619 - 10 - (4) There is no criminal history which would impede the applicant's eligibility, determined by the board based on the applicant's submission of the following:

(i) A report of the applicant's criminal history record information under 18 Pa.C.S.

§ 9121(b).

(ii) If the applicant has resided outside this Commonwealth for any time in the five years immediately preceding the date of application, a report to the board of Federal criminal identification and crime records under 28 U.S.C.

§ 534(a)(4).

(h) Prohibitions.--No agency or political subdivision of this Commonwealth, other than the board, shall impose the following on individuals licensed under this section:

(1) A registration or licensing requirement for conducting home inspections.

(2) A license fee to obtain a local license, except that this prohibition shall not prevent a local government from imposing an occupational license tax on a person operating as a home inspector within the jurisdiction of the local government.

(i) Insurance.--A person licensed as a home inspector shall maintain insurance against errors and omissions in the performance of a home inspection and general liability, with coverages of not less than $250,000 per occurrence and $500,000 in the aggregate and with deductibles of not more than $15,000.

An applicant must provide proof that the applicant has obtained professional liability insurance.

It is sufficient if the applicant files with the application a copy of a letter from the applicant's professional liability insurance carrier indicating that the applicant will be covered against professional 20190HB0021PN4619 - 11 - liability in the required amounts effective upon the issuance of the applicant's license to practice home inspection in this Commonwealth.

Upon issuance of the license, the licensee must, within 30 days, submit to the board the certificate of insurance or a copy of the policy declaration page.

A home inspector shall maintain professional liability insurance for at least one year after the latest home inspection report the home inspector delivers, unless the home inspection report was delivered prior to the effective date of this section.

(j) Construction.--Nothing in this act shall be construed to allow a home inspector who is not licensed under any of the following laws to perform any activity that would constitute the practice of the profession regulated by that law:

(1) The Engineer, Land Surveyor and Geologist Registration Law, as to the practice of engineering, land surveying or geology.

(2) The act of January 24, 1966 (1965 P.L.1535, No.537), known as the Pennsylvania Sewage Facilities Act.

(3) The act of March 1, 1974 (P.L.90, No.24), known as the Pennsylvania Pesticide Control Act of 1973.

(4) The Architects Licensure Law.

(5) The act of July 9, 1987 (P.L.238, No.43), known as the Radon Certification Act.

(k) Other licensees.--The requirements of this act relating to the licensing of home inspectors shall not affect the obligations or immunities of an individual licensed as other than a home inspector under this act that are imposed or provided under this act or 68 Pa.C.S.

Ch.

73 (relating to seller disclosures) when the individual is acting under the individual's license, nor the obligations or immunities of an 20190HB0021PN4619 - 12 - individual certified under this act as a real estate appraiser when the individual is acting under the individual's license.

(l) Home inspector-in-training registrant.-- (1) The board shall, upon application and payment of the application fee established by the board, issue a home inspector-in-training registration, without examination, to any person who meets the home inspector-in-training educational requirements set by the board.

(2) A home inspector-in-training registrant shall keep a record of the mentored home inspections completed, which shall, at a minimum, include the following information:

(i) Date and time of the inspection.

(ii) Address of the residence inspected.

(iii) Business name of the supervising inspector.

(iv) Name of the supervising inspector.

(v) License number of the supervising inspector.

(vi) Signature of the supervising inspector.

(m) Definition.--As used in this section, the term <-- "convicted" includes a judgment, an admission of guilt or a plea of nolo contendere.

Section 6.2.

Conduct of home inspection.

(a) General rule.--A home inspector shall conduct a home inspection with the degree of care that a reasonably prudent home inspector would exercise.

In ascertaining the degree of care that would be exercised by a reasonably prudent home inspector, a court shall consider the standards of practice and codes of ethics as established by the board by regulation.

(b) Immediate threat to health or safety.--If an immediate threat to health or safety is observed during the course of a home inspection and the home is occupied, the home inspector 20190HB0021PN4619 - 13 - shall disclose the immediate threat to health or safety to the property owner and occupants of the property at the conclusion of the home inspection.

Posting a notice on a form prescribed by the board by regulation on the front door of the occupied home in a position that ensures the occupants see the notice shall constitute proper disclosure.

Section 6.

Section 7 of the act is amended to read:

Section 7.

Reciprocity.

The board shall have the power to grant a reciprocal certification to an applicant who is certified as an appraiser or licensed as an appraiser trainee or home inspector in another state and has demonstrated qualifications which equal or exceed those required pursuant to this act in the determination of the board.

Section 7.

Section 10(a) and (c) of the act are amended and the section is amended by adding a subsection to read:

Section 10.

Certification renewal, licensure renewal and records.

(a) Renewal term.-- (1) Except as provided under paragraph (2), renewal of registration, certification or licensure shall be on a biennial basis for persons in good standing.

(2) The board may prescribe limitations on the number of times a registered home inspector-in-training and a licensed appraiser trainee may renew a registration or license.

* * * (b.3) Continuing education for home inspectors.--A home inspector shall be required to obtain 32 hours of continuing education during the biennial renewal period.

Continuing education hours may be earned by completion of continuing 20190HB0021PN4619 - 14 - education courses in the field of home inspection during the immediately preceding two years as approved by the board.

Three of the total required hours of continuing education must focus on the difference between the National Manufactured Housing Construction and Safety Standards Act of 1974 (Public Law 93- 383, 42 U.S.C.

§ 5401 et seq.) and the act of May 11, 1972 (P.L.286, No.70), known as the Industrialized Housing Act, and the installation of manufactured and modular homes.

(c) Records.--A record of all persons licensed as appraiser trainees [and] or home inspectors, all persons certified as real estate appraisers and all persons registered as home inspectors- in-training in this Commonwealth shall be kept in the office of the board, shall be open to public inspection and copying upon payment of a nominal fee for copying the record and shall be accessible on the board's Internet website.

Each registrant, certificateholder and licensee shall advise the board of the address of his or her principal place of business.

Section 8.

Sections 11(a)(1), (3), (5) and (15) and (b), 12, 13, 14, 15(b) and 17(a) of the act are amended to read:

Section 11.

Disciplinary and corrective measures.

(a) Authority of board.--The board may deny, suspend or revoke registrations, certificates or licenses, or limit, restrict or reprimand a registrant, certificateholder or licensee for any of the following causes:

(1) Procuring or attempting to procure a registration, certificate or license or renewal of a registration, certificate or license pursuant to this act by knowingly making a false statement, submitting false information or refusing to provide complete information in response to a question in an application for registration, certification or 20190HB0021PN4619 - 15 - licensure or renewal of registration, certification or licensure through any form of fraud or misrepresentation.

* * * (3) Paying, or offering to pay, any valuable consideration other than provided for by this act to any member or employee of the board to procure a registration, certificate or license under this act.

* * * (5) Performing an act or omitting an act when such performance or omission involves dishonesty, fraud or misrepresentation with intent to substantially benefit the registrant, certificateholder or licensee in his profession or with the intent to substantially injure another person.

* * * (15) Having a license or certificate to perform appraisals or home inspections suspended, revoked or refused by an appraisal licensure or certification authority of another state, territory or country, or receiving other disciplinary actions by the appraisal or home inspection licensure or certification authority of another state, territory or country.

* * * (b) Board action.--When the board finds that the registration, certificate or license, application for registration, certification or licensure or renewal of registration, certification or licensure of any person may be denied, revoked, restricted or suspended under the terms of subsection (a), the board may:

(1) Deny the application for registration, certification or licensure or for renewal of registration, certification or 20190HB0021PN4619 - 16 - licensure.

(2) Administer a public reprimand.

(3) Revoke, suspend, limit or otherwise restrict a registration, certificate or license as determined by the board.

(4) Suspend enforcement of its findings thereof and place a registrant, certificateholder or licensee on probation with the right to vacate the probationary order for noncompliance.

(5) Restore a suspended registration, certificate or license and impose any disciplinary or corrective measure which it might originally have imposed.

* * * Section 12.

Reinstatement of REGISTRATION, certificate or <-- license.

Unless ordered to do so by Commonwealth Court or an appeal therefrom, the board shall not reinstate the certificate [or], license or registration of a person to practice as a certified real estate appraiser or as an appraiser trainee or as a licensed home inspector or as a registered home inspector-in- training, pursuant to this act, which has been revoked.

Any person whose certificate [or], license or registration has been revoked may apply for reinstatement, after a period of at least five years, but must meet all of the certification [or], licensure or registration qualifications of this act, including the examination requirement, if he or she desires to hold himself or herself out or to practice as a real estate appraiser or home inspector or home inspector-in-training pursuant to this act at any time after such revocation.

Section 13.

Reporting of multiple certification or licensure.

20190HB0021PN4619 - 17 - Any appraiser certified in this Commonwealth who is also certified or licensed to perform appraisals in any other state, territory or country shall report this information to the board on the biennial renewal application.

Any home inspector licensed in this Commonwealth who is also certified or licensed to perform home inspections in any other state, territory or country shall report this information to the board on the biennial renewal application.

Any disciplinary action taken in any other state, territory or country shall be reported to the board on the biennial renewal application, or within 90 days of disposition, whichever is sooner.

Multiple licensure or certification shall be noted by the board on the certified appraiser's or licensed home inspector's record, and such state, territory or country shall be notified by the board of any disciplinary actions taken against said certified appraiser or licensed home inspector in this Commonwealth.

Section 14.

Surrender of suspended or revoked registration, certificate or license.

The board shall require a person whose registration, certificate or license has been suspended or revoked to return the registration, certificate or license in such manner as the board directs.

Failure to do so shall be a misdemeanor of the third degree.

Section 15.

Penalties.

* * * (b) Civil penalty.--In addition to any other civil remedy or criminal penalty provided for in this act, the board, by a vote of the majority of the maximum number of the authorized membership of the board as provided by law, or by a vote of the majority of the duly qualified and confirmed membership or a 20190HB0021PN4619 - 18 - minimum of three members, whichever is greater, may levy a civil penalty of up to $10,000 on any certificateholder [or], licensee or registrant who violates any provision of this act [or], any noncertificateholder who holds himself out as a real estate appraiser in this Commonwealth or who performs an appraisal for which certification or licensure is required under the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (Public Law 101-73, 103 Stat.

183) an appraisal in any federally related or nonfederally related transaction or any other appraisal[.] or any nonlicensed individual who holds himself out as a home inspector in this Commonwealth or who performs a home inspection for which certification or licensure is required.

The board shall levy this penalty only after affording the accused party the opportunity for a hearing, as provided in 2 Pa.C.S.

(relating to administrative law and procedure).

* * * Section 17.

Injunctive relief.

(a) Injunction.--A violation of section 3 or 6(c) or (e) may be enjoined by the courts upon petition of the secretary or the board.

In any proceeding under this section, it shall not be necessary to show that any person is individually injured by the actions complained of.

If the court finds that the respondent has violated section 3 or 6.1(c) or (e), it shall enjoin him or her from so practicing or holding himself or herself out until he or she has been duly certified or licensed.

Procedure in such cases shall be the same as in any other injunction suit.

* * * Section 9.

The act is amended by adding sections to read:

Section 17.1.

Remedies for home inspection services consumers.

(a) Unfair Trade Practices and Consumer Protection Law.--The 20190HB0021PN4619 - 19 - performance of a home inspection is a service subject to the act of December 17, 1968 (P.L.1224, No.387), known as the Unfair Trade Practices and Consumer Protection Law.

(b) Wrongful acts.--The following acts engaged in by a home inspector, an employer of a home inspector or another business or person that controls or has a financial interest in the employer of a home inspector shall be deemed to be an unfair or deceptive act or practice as defined by section 2(4) of the Unfair Trade Practices and Consumer Protection Law:

(1) Performing or offering to perform for an additional fee any repairs to a structure with respect to which the home inspector, the employer of the home inspector or other business or person has prepared a home inspection report within the preceding 12 months, except that this paragraph shall not apply to remediation for radon or wood-destroying insects.

(2) Inspecting for a fee any property in which the home inspector, the employer of the home inspector or other business or person has a financial interest or an interest in the transfer of the property, including receipt of a board as an agent, unless the financial interest or interest in the transfer of the property is disclosed in writing to the buyer before the home inspection is performed and the buyer signs an acknowledgment of receipt of the disclosure.

(3) Offering or delivering a commission, referral fee or kickback to the seller of the inspected property or to an agent for the seller or buyer for the referral of business to the home inspector, the employer of the home inspector or other business or person.

(4) Accepting an engagement to perform a home inspection 20190HB0021PN4619 - 20 - or to prepare a home inspection report in which the employment itself or the fee payable for the inspection is contingent upon the conclusions in the report, preestablished or prescribed findings or the closing of the transaction.

(c) Home warranty company.--A home warranty company that is affiliated with or retains the home inspector does not violate subsection (b) if the home warranty company performs repairs in accordance with claims made under a home warranty contract.

(d) Other remedies.--In addition to other remedies available under the Unfair Trade Practices and Consumer Protection Law or other applicable provision of law, the owner of a property on which repairs are performed in violation of subsection (b)(1) shall be entitled to a full refund of money paid for those repairs, and a promissory note or another obligation to pay given to the person performing those repairs shall be void.

Section 17.2.

Home inspection contracts.

(a) Required provisions.--A home inspection contract must be typewritten and include all of the following:

(1) Signature of client.

(2) Scope of home inspection.

(3) Fee charged to client.

(4) Contact information of home inspector.

(5) License number of home inspector.

(6) A statement explaining the confidentiality between the home inspector and the client.

(b) Prohibited provisions.--The following types of provisions in a contract with a home inspector for the performance of a home inspection are contrary to public policy, and the clause shall be unenforceable as it relates to:

(1) A limitation on the liability of the home inspector 20190HB0021PN4619 - 21 - for gross negligence or willful misconduct.

(2) A waiver or modification of any provision of this section or section 6.2, 17.1 or 17.3.

Section 17.3.

Home inspection reports.

(a) Contents.--A home inspection report must be typewritten and include all of the following:

(1) A description of the scope of the inspection, including identification of the essential components and systems and subsystems covered by the report.

(2) A description of material defects noted during the inspection, along with a recommendation that certain experts be retained to determine the extent of the defects and the corrective action that should be taken.

(3) If, at the time of the inspection, there is visible evidence of the presence of interior mold, the home inspector must disclose in the home inspection report the visible evidence and the location and advise the client to obtain a professional evaluation.

(4) The following statements, set forth conspicuously:

(i) A home inspection is intended to assist in evaluation of the overall condition of the dwelling.

The inspection is based on observation of the visible and apparent condition of the structure and its components on the date of inspection.

(ii) The results of this home inspection are not intended to make a representation regarding the presence or absence of latent or concealed defects that are not reasonably ascertainable in a competently performed home inspection.

No warranty or guaranty is expressed or implied.

20190HB0021PN4619 - 22 - (iii) If the person conducting your home inspection is not a licensed structural engineer or other professional whose license authorizes the rendering of an opinion as to the structural integrity of a building or the building's other component parts, you may be advised to seek a professional opinion as to any defects or concerns mentioned in the report.

(iv) This home inspection report is not to be construed as an appraisal and may not be used as such for any purpose.

(b) Delivery of report.--Except as otherwise required by this subsection or by law, a home inspector may not deliver a home inspection report to a person other than the client of the home inspector without the client's consent.

The property owner shall have the right, upon request, to receive without charge a copy of a home inspection report from the person for whom the home inspection report was prepared.

If immediate threats to health or safety are observed during the course of the inspection and if the premises are occupied, the client hereby consents to allow the home inspector to disclose the immediate threats to health or safety to the property owner and occupants of the property.

(c) Cost of repairs.--A home inspector may not express either orally or in writing an estimate of the cost to repair a defect found during a home inspection.

(d) Liability.--A home inspector shall not be held liable for the contents or omissions of a home inspection report if relied upon by any individual or person other than the client as identified by the executed contract for the specific home inspection.

20190HB0021PN4619 - 23 - (e) Limitation period.--An action to recover damages arising from a home inspection report must be commenced within one year after the date the report is delivered regardless of when the claim is discovered by the client.

Section 10.

Repeals are as follows:

(1) The General Assembly declares that the repeal under paragraph (2) is necessary to effectuate this act.

(2) The provisions of 68 Pa.C.S.

Ch.

75 are repealed.

Section 11.

The State Board of Certified Real Estate Appraisers shall promulgate final regulations to carry out this act within 18 months of the effective date of this section.

The board shall report, within 60 days of the effective date of this section and every 30 days thereafter, on the status of the regulations to the Consumer Protection and Professional Licensure Committee of the Senate and the Professional Licensure Committee of the House of Representatives.

Section 12.

This act shall take effect as follows:

(1) The following provisions shall take effect immediately:

(i) This section.

(ii) Section 11 of this act.

(iii) The amendment of section 4(a) AND (B) of the <-- act.

(2) The remainder of this act shall take effect in two years.

20190HB0021PN4619 - 24 -