(a) Prior to the conveyance of a unit in a residential common interest community that is an establishment, as defined in section 22a-134, the declarant for the residential common interest community of which the unit is a part or the declarant’s immediate predecessor in title shall (1) become a certifying party, as defined in section 22a-134 for the purpose of investigation and remediation of the parcel on which such community is located; (2) provide financial assurance pursuant to subsection (b) of this section; and (3) record notice on the land records in the municipality where the common interest community is located that the parcel on which the common interest community is located is being investigated and remediated pursuant to sections 22a-134 to 22a-134e, inclusive. Such notice shall identify the volume and page number of any recorded environmental use restriction, as defined in section 22a-133o. If the declarant or the declarant’s immediate predecessor in title fails to become a certifying party for the purpose of investigation and remediation of the parcel on which such community is located, or fails to provide financial assurance pursuant to subsection (b) of this section, an individual or entity authorized to act on behalf of the common interest community shall provide written notice to the commissioner of such failure prior to the conveyance of any such unit. If the declarant fails to record such notice, the commissioner may record or require an individual or entity authorized to act on behalf of the common interest community to record on the land records in the municipality where the common interest community is located a notice that contains the information required by subdivision (3) of this subsection.

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(b) The financial assurance required pursuant to subsection (a) of this section shall (1) identify the Commissioner of Energy and Environmental Protection as the beneficiary, (2) be in an amount and in a form approved by the commissioner that is equal to the cost of investigation and remediation of the contaminants on the subject property, subject to the standards specified in sections 22a-134 to 22a-133e, inclusive, and (3) be used solely at the affected common interest community for the sole purpose of investigation and remediation of such property for the benefit of the unit owners of such community. The commissioner may reduce the amount of such financial assurance from time to time as work is completed. Such financial assurance need not include the costs of any improvements to the real estate not required to remediate the contamination or the costs of remediation work already completed or on parcels of real estate that may be added to the common interest community by the exercise of development rights pursuant to section 47-229.