Text: HF422            Text: HF424
Complete Bill History


House File 423

HOUSE FILE BY BELL Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to landlord and tenant law by modifying 2 requirements related to rental deposits, providing for the 3 establishment of a landlord=tenant relations review board, and 4 requiring certain premises to have an on=site manager. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 6 TLSB 2386HH 83 7 md/sc/5 PAG LIN 1 1 Section 1. Section 543B.8, Code 2009, is amended by adding 1 2 the following new unnumbered paragraph: 1 3 NEW UNNUMBERED PARAGRAPH. A landlord=tenant relations 1 4 review board is established in the department of commerce 1 5 within the real estate commission. The landlord=tenant 1 6 relations review board shall carry out duties specified in 1 7 sections 562A.12A and 562A.35A. The commission shall provide 1 8 staff assistance and administrative support to the 1 9 landlord=tenant relations review board. 1 10 Sec. 2. Section 562A.12, subsection 3, unnumbered 1 11 paragraph 1, Code 2009, is amended to read as follows: 1 12 A landlord shall, within thirty days from the date of 1 13 termination of the tenancy and receipt of the tenant's mailing 1 14 address or delivery instructions, return the rental deposit to 1 15 the tenant or furnish to the tenant a written statement 1 16 showing the specific reason for withholding of the rental 1 17 deposit or any portion thereof. If the rental deposit or any 1 18 portion of the rental deposit is withheld for the restoration 1 19 of the dwelling unit, the statement shall specify the nature 1 20 of the damages. In addition to a written statement of the 1 21 reasons for withholding a rental deposit, the landlord shall 1 22 provide photographic documentation of any damage described in 1 23 the written statement and provide copies of all documentation 1 24 related to any inspection conducted following termination of 1 25 the tenancy. The landlord may withhold from the rental 1 26 deposit only such amounts as are reasonably necessary for the 1 27 following reasons: 1 28 Sec. 3. Section 562A.12, subsection 3, unnumbered 1 29 paragraph 2, Code 2009, is amended to read as follows: 1 30 In an a court action, or in a proceeding pursuant to 1 31 section 562A.35A, subsection 5, concerning the rental deposit, 1 32 the burden of proving, by a preponderance of the evidence, the 1 33 reason for withholding all or any portion of the rental 1 34 deposit shall be on the landlord. 1 35 Sec. 4. NEW SECTION. 562A.12A LANDLORD RENTAL DEPOSIT 2 1 REPORTS. 2 2 The landlord of a premises having twenty=five or more 2 3 rental dwelling units shall file an annual landlord rental 2 4 deposit report for the previous calendar year with the 2 5 landlord=tenant relations review board on or before February 2 6 1. Each report shall provide the reasons for each rental 2 7 deposit, or portion thereof, withheld by the landlord, the 2 8 original rental deposit amount, and the amount withheld. The 2 9 real estate commission, in consultation with the 2 10 landlord=tenant relations review board, shall prescribe a 2 11 standardized form for reports required under this section. 2 12 Sec. 5. Section 562A.13, Code 2009, is amended by adding 2 13 the following new subsection: 2 14 NEW SUBSECTION. 7. The landlord or a person authorized to 2 15 enter into a rental agreement on behalf of the landlord shall 2 16 provide to the tenant at or before the commencement of the 2 17 tenancy all of the following: 2 18 a. A written statement of all damage to the dwelling unit 2 19 caused by the previous tenant. 2 20 b. Photographs of the dwelling unit taken during the 2 21 inspection conducted at the expiration of the previous 2 22 tenancy. 2 23 c. A written statement of all restoration or repairs made 2 24 following the expiration of the previous tenancy. 2 25 Sec. 6. Section 562A.15, Code 2009, is amended by adding 2 26 the following new subsection: 2 27 NEW SUBSECTION. 5. The landlord of a premises having 2 28 twenty=five or more rental dwelling units is required to 2 29 employ an on=site manager. The on=site manager may either 2 30 reside on the premises or operate an office on the premises 2 31 during normal business hours. A landlord may serve as an 2 32 on=site manager. 2 33 Sec. 7. NEW SECTION. 562A.35A LANDLORD=TENANT RELATIONS 2 34 REVIEW BOARD. 2 35 1. The landlord=tenant relations review board is 3 1 established in the department of commerce within the real 3 2 estate commission. The landlord=tenant relations review board 3 3 shall consist of three members. Members of the board shall be 3 4 appointed to four=year staggered terms by the governor. 3 5 2. a. A vacancy on the board shall be filled in the same 3 6 manner as the original appointment. A member appointed to 3 7 fill a vacancy created other than by expiration of a term 3 8 shall be appointed for the remainder of the unexpired term. 3 9 b. A majority of the members of the board constitutes a 3 10 quorum. Any action taken by the board must be adopted by the 3 11 affirmative vote of a majority of its membership. 3 12 c. The board shall elect a chairperson from the membership 3 13 of the board. The chairperson shall serve a two=year term. 3 14 d. Board members shall be reimbursed for actual and 3 15 necessary expenses incurred while engaged in their official 3 16 duties. 3 17 3. The real estate commission shall provide staff 3 18 assistance and administrative support to the board. 3 19 4. The duties of the board shall include all of the 3 20 following: 3 21 a. Adopt and publish guidelines that estimate common 3 22 restoration and replacement costs to landlords following 3 23 termination of a tenancy. 3 24 b. Propose rules, for approval by the real estate 3 25 commission and adoption by the commission pursuant to chapter 3 26 17A, describing the reporting requirements for landlords 3 27 pursuant to section 562A.12A. 3 28 c. Hear and decide voluntary informal dispute resolution 3 29 proceedings pursuant to subsection 5. 3 30 d. Receive and index rental deposit complaints against 3 31 landlords from current and former tenants. 3 32 e. Compile and make available an annual report consisting 3 33 of all landlord rental deposit reports received pursuant to 3 34 section 562A.12A, a summary of the board's informal dispute 3 35 resolution proceedings, and an index of all landlord rental 4 1 deposit complaints received from tenants. 4 2 5. a. The board shall preside over voluntary informal 4 3 dispute resolution proceedings between tenants and landlords 4 4 relating to the withholding of rental deposits under section 4 5 562A.12, subsection 3, paragraph "b". 4 6 b. An application for voluntary informal dispute 4 7 resolution must be voluntarily signed and submitted by both 4 8 parties. The board shall determine a time and place for the 4 9 proceeding and provide written notice of the proceeding to the 4 10 parties. 4 11 c. The board shall adopt procedures to govern proceedings 4 12 under this subsection. The procedures shall be provided to 4 13 the parties in writing and shall accompany the notice of the 4 14 proceeding. 4 15 d. The rules of evidence shall not apply to a proceeding 4 16 under this subsection. The board shall review any relevant 4 17 evidence provided by the parties and the rental agreement 4 18 governing the tenancy. 4 19 e. The burden of proving, by a preponderance of the 4 20 evidence, the reason for withholding all or any portion of the 4 21 rental deposit shall be on the landlord. 4 22 f. The board shall issue a decision in the dispute no 4 23 later than ten days after completion of the proceeding. The 4 24 board's decision is binding on the landlord and tenant if both 4 25 parties have voluntarily participated in the proceeding. A 4 26 decision of the board shall preclude other remedies available 4 27 to the parties relating to the withholding of the rental 4 28 deposit under section 562A.12, subsection 3, paragraph "b". 4 29 However, a board decision may be enforced by a civil action in 4 30 district court, and damages and attorney fees specified in 4 31 section 562A.12, subsections 7 and 8, may be awarded by the 4 32 court. 4 33 g. Section 562A.12, subsections 7 and 8, relating to 4 34 punitive damages and attorney fees, shall not apply to 4 35 voluntary informal dispute resolution proceedings under this 5 1 subsection. 5 2 6. No member of the board may be held liable for civil 5 3 damages for any statement or decision made pertaining to a 5 4 dispute resolution proceeding under this section. 5 5 7. The real estate commission, in consultation with the 5 6 board, shall adopt rules pursuant to chapter 17A for carrying 5 7 out the duties of the board pursuant to this section. 5 8 8. The board shall, except for actions taken in relation 5 9 to proceedings under subsection 5, comply with the 5 10 requirements of chapters 21 and 22. The real estate 5 11 commission shall be the official repository of board records. 5 12 EXPLANATION 5 13 This bill makes changes to Iowa's uniform residential 5 14 landlord and tenant law. The bill requires that in addition 5 15 to a written statement of the reasons for withholding a rental 5 16 deposit, a landlord must provide photographic documentation of 5 17 any damage described in the written statement and provide 5 18 copies of all documentation related to any inspection 5 19 conducted following termination of the tenancy. The bill also 5 20 requires a landlord to provide a new tenant with information 5 21 about, and photographs of, the damage caused by the previous 5 22 tenant, including any repairs made by the landlord. 5 23 The bill also creates a landlord=tenant relations review 5 24 board. The board consists of three members appointed by the 5 25 governor. The bill directs the real estate commission, within 5 26 the department of commerce, to provide staff assistance and 5 27 administrative support to the board. 5 28 Under the bill, the board is responsible for adopting 5 29 guidelines that estimate common restoration and repair costs 5 30 to landlords, adopting requirements for the landlord rental 5 31 deposit reports required under the bill, deciding informal 5 32 dispute resolution proceedings relating to rental deposits, 5 33 indexing rental deposit complaints against landlords, and 5 34 preparing an annual report of the board's actions. 5 35 The bill provides that the board shall preside over 6 1 voluntary informal dispute resolution proceedings between 6 2 tenants and landlords relating to the withholding of a rental 6 3 deposit for the restoration or repair of a dwelling unit. The 6 4 bill also provides that a decision of the board precludes 6 5 other available remedies relating to the withholding of a 6 6 rental deposit for the restoration or repair of the dwelling 6 7 unit. However, the bill allows a party to enforce a board 6 8 decision by a civil action in district court. 6 9 The bill requires each landlord of a premises having 25 or 6 10 more rental dwelling units to file an annual landlord rental 6 11 deposit report describing each rental deposit withheld by the 6 12 landlord and the reasons for the withholding. 6 13 The bill also requires a landlord of a premises having 25 6 14 or more dwelling units to employ an on=site manager. If a 6 15 landlord fails to comply with the bill's on=site manager 6 16 requirement, the landlord may be subject to tenant remedies 6 17 provided in Code section 562A.21. 6 18 LSB 2386HH 83 6 19 md/sc/5
Text: HF422            Text: HF424 Complete Bill History