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C.A.R.® Forms Now Address Underground Gas Pipelines


The California Association of REALTORS® recently released its 2012 Statewide Buyer and Seller Advisory (C.A.R. Form SBSA, Rev. 11/11) and Seller Property Questionnaire (C.A.R. Form SPQ, Rev. 11/11). These updated forms add underground gas pipelines to the items that a Buyer may consider to be material facts in a residential transaction.

In the SBSA, among the usual hazard advisories – zone disclosures for earthquake faults, seismic hazards, wildland fires, 100-year floodplains, supplemental property taxes, and Megan’s Law – a new paragraph has been added regarding Underground Pipelines and Utilities. In the SPQ, “underground gas pipelines” has been inserted in the lengthy list of items which may be a source of neighborhood noise, nuisance or other problems that could be material to a transaction.

These updated forms acknowledge the growing concern among real estate consumers about living near a natural gas transmission pipeline. In September 2010, a Pacific Gas and Electric (PG&E) pipeline exploded in a residential neighborhood on the San Francisco Peninsula, killing eight people and destroying 38 homes and damaging 61 others. In the aftermath, the utility formally took the extraordinary act of notifying millions of California residents that they reside within 2,000 feet of a PG&E gas transmission pipeline. The State of California also enacted five new laws to strengthen transmission pipeline safety. However, newly mandated testing of existing pipelines continues to expose dangerous leaks in old buried pipelines.

The SBSA explains to the consumer that underground pipelines transporting natural gas, liquid fuel and other potentially hazardous materials exist throughout California. The form also directs the consumer to hazard disclosure companies and other public sources that can provide detailed information as to the location of existing pipelines with respect to a specific property.

To order the pipeline proximity disclosure as part of your hazard disclosure package, request the FANHD Industry Standard package. Call or click to 800-527-0027 -

Most important, as specified in the report, FANHD assumes the liability with respect to errors in disclosing information from Federal pipeline maps.