THE PUBLIC REPORT ISSUANCE PROCESS
(California Department of Real Estate, Subdivision Public Report Guide, Section II)
The following is a brief description of the major steps in obtaining a final public report. (Note: This procedure and the mandated time frames do not apply to applications for preliminary public reports, interim public reports, conditional public reports and amended or renewed reports.)
A subdivider (or authorized representative) completes a Notice of Intention (application) and submits it, together with the appropriate fee and the required complement of documents, to the DRE.
The application package is reviewed to ensure that everything needed for initial processing has been submitted (minimum filing package). If complete, the fee is processed and a file number is assigned to the application. If not complete, the filing package is returned to the subdivider (or representative).
The file is reviewed to determine if it qualifies as a substantially complete application (SCA). Within 10 days after initial receipt of the minimum filing package, the Department of Real Estate must notify the applicant whether or not the file meets substantially complete application requirements. If it does not, the applicant is notified which documents are missing via a Quantitative Deficiency Notice. Submittals that do not meet substantially complete application requirements will be placed in a pending file and will not be further processed for a final public report.
Once all the necessary documents identified in the Quantitative Deficiency Notice are received, the applicant will be notified that the file qualifies as substantially complete and file processing for a final report will continue. The file is then assigned to a Deputy who reviews the complete file and prepares a qualitative deficiency notice if necessary. The qualitative deficiency notice indicates what additional documentation is needed to issue the final public report and also points out where there is a need to supplement, correct or amend anything that is already part of the file.
If the subdivision is a common interest filing (condominiums, etc.), the budget file is reviewed by DRE budget reviewers simultaneous to the Deputy review of the remaining file. If necessary, they prepare budget deficiency notices covering their particular area of review, and correspond with the single responsible party (SRP) and budget preparer regarding any budget deficiencies.
The Deputy sends an all-encompassing (except for possibly association budget deficiencies) qualitative deficiency notice to the single responsible party (SRP) and a copy to the subdivider. This step must be completed within 20 days (standard) or 60 days (common interest) from the date DRE determined the file to be substantially complete.
The SRP responds to the qualitative deficiency notice directly to the Deputy and responds to the budget deficiency notice directly to the Appraiser, with a copy to the Deputy. The SRP's response may take weeks or months depending on circumstances.
The Deputies and Appraisers review the comprehensive, qualitative response for correctness and, as dictated by the response, may send additional deficiency notices. The Deputy must respond within 20 days (standard) or 30 days (common interest) from the date of receipt of the correspondence.
After having corrected all deficiencies, the SRP will be notified to record the CC&Rs, obtain bonds, etc. When recorded documents, etc., are received, the Deputy will determine if the file is "perfected", and if so, prepare a draft public report and send it to the appropriate typing unit.
A final public report is prepared and issued to the party named by the applicant as the single responsible party. The final public report must be issued within 10 days (standard) or 15 days (common interest) from the date the file is "perfected."
The SRP is given the original of the public report for reproduction of as many copies as it is anticipated will be needed for distribution to all prospective purchasers.