Bill Text: IA HF64 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to utility cost disclosures in connection with rental properties, providing penalties, and including applicability provisions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-05-31 - NOBA: Graybook [HF64 Detail]
Download: Iowa-2017-HF64-Introduced.html
House File 64 - Introduced HOUSE FILE BY ISENHART A BILL FOR 1 An Act relating to utility cost disclosures in connection 2 with rental properties, providing penalties, and including 3 applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1372YH (1) 87 gh/sc PAG LIN 1 1 Section 1. Section 476.56, Code 2017, is amended to read as 1 2 follows: 1 3 476.56 Energy costs provided. 1 4 A gas or electric public utility shall provide, upon the 1 5 request of a person who states in writing that the person is an 1 6 owner of real property, or an interested prospective purchaser 1 7or renterof the property, which is or has been receiving gas 1 8 or electric service from the public utility, the annual gas 1 9 or electric energy costs for the property. A gas or electric 1 10 public utility and, notwithstanding section 476.1, subsection 1 11 5, a public utility furnishing water or sewer service, shall 1 12 comply with the utility service cost disclosure provisions of 1 13 section 562A.13A with regard to existing or prospective renters 1 14 of real property. 1 15 Sec. 2. NEW SECTION. 562A.13A Utility service cost 1 16 disclosure statements ==== penalty. 1 17 1. In addition to the required disclosure provisions 1 18 of section 562A.13, the landlord or a person authorized to 1 19 enter into a rental agreement on behalf of the landlord shall 1 20 disclose to a prospective tenant in writing at or before the 1 21 commencement of the tenancy, and to an existing tenant at any 1 22 point during the tenancy, the gas, electric, water, or sewer 1 23 utility service costs for a dwelling unit. Utility service 1 24 costs shall be provided with respect to a dwelling unit for the 1 25 preceding twelve=month period based upon information obtained 1 26 at no charge by the landlord or person authorized to enter 1 27 into the rental agreement from the utility furnishing utility 1 28 service, pursuant to an energy cost disclosure statement 1 29 developed pursuant to subsection 2. In the event that 1 30 utility service has been provided for a period of less than 1 31 one year, cost information shall be provided for the period 1 32 beginning when utility service commenced. In the event of new 1 33 construction, utility service cost information from similar 1 34 dwelling units in similar properties may be obtained in writing 1 35 from a utility and supplied to a prospective tenant, or in 2 1 the alternative, a landlord may obtain a written estimate of 2 2 anticipated utility service costs from a utility or an energy 2 3 consultant. 2 4 2. The office of consumer advocate shall develop the 2 5 format of an energy cost disclosure statement for utilization 2 6 by landlords in complying with this section. The format 2 7 developed shall include space for the disclosure of the 2 8 annual utility service costs, and shall also include space 2 9 for a representative list of energy efficiency standards 2 10 incorporating features or upgrades that a dwelling unit or 2 11 the building of which it is a part might conceivably exhibit 2 12 or offer. The list of energy efficiency standards shall 2 13 be developed by the office of the consumer advocate, in 2 14 consultation with state and federal energy efficiency agencies 2 15 and experts, and shall be accompanied by a space for notation 2 16 by the landlord indicating whether or not the unit or building 2 17 meets or exceeds each standard. 2 18 3. A landlord who fails to comply with the requirements of 2 19 this section upon receipt of a written notice by a tenant or 2 20 a prospective tenant that utility service costs have not been 2 21 disclosed shall have seven days from the date of receipt of the 2 22 notice to provide the required utility service cost disclosure 2 23 statement. A landlord who fails to provide the disclosure 2 24 statement within the seven=day period or who enters into a 2 25 rental agreement with a tenant without first disclosing utility 2 26 service costs on a disclosure statement or who misrepresents 2 27 utility service costs on a disclosure statement shall be 2 28 subject to a civil penalty of five hundred dollars. Such 2 29 penalty shall be imposed by the office of consumer advocate or 2 30 pursuant to a civil proceeding regarding recovery of damages 2 31 by a tenant for nondisclosure, and shall be remitted to the 2 32 division of community action agencies for deposit into the 2 33 energy crisis fund created in section 216A.102. 2 34 Sec. 3. APPLICABILITY. This Act applies to rental 2 35 agreements entered into on or after January 1, 2018. 3 1 EXPLANATION 3 2 The inclusion of this explanation does not constitute agreement with 3 3 the explanation's substance by the members of the general assembly. 3 4 This bill relates to utility cost disclosure requirements in 3 5 connection with rental properties. 3 6 The bill modifies provisions of Code section 476.56, 3 7 relating to the provision of energy costs by a gas or electric 3 8 utility upon request with regard to the purchase or rental 3 9 of real property, to provide that the Code section refers to 3 10 ownership or prospective ownership of real property, not the 3 11 rental or prospective rental of the property. 3 12 The bill establishes new Code section 562A.13A within the 3 13 uniform residential landlord and tenant law provisions of Code 3 14 chapter 562A requiring that a landlord or a person authorized 3 15 to enter into a rental agreement on behalf of the landlord 3 16 shall disclose to a prospective tenant in writing at or before 3 17 the commencement of the tenancy, or to an existing tenant at 3 18 any point during the tenancy, the gas, electric, water, or 3 19 sewer utility service costs for a dwelling unit. The bill 3 20 specifies that the utility service costs shall be provided with 3 21 respect to a dwelling unit for the preceding 12=month period, 3 22 or for the period beginning when utility service commenced 3 23 if less than one year, based upon information obtained at no 3 24 charge by the landlord or person authorized to enter into 3 25 the rental agreement from the utility furnishing utility 3 26 service. In the event of new construction, the bill requires 3 27 utility service cost information from similar dwelling units 3 28 in similar properties to be obtained in writing from a utility 3 29 and supplied to a prospective tenant, or in the alternative, a 3 30 landlord may obtain a written estimate of anticipated utility 3 31 service costs from a utility or an energy consultant. 3 32 The bill directs the office of consumer advocate to develop 3 33 an energy cost disclosure statement for utilization by 3 34 landlords, containing space for the disclosure of the utility 3 35 service costs and also including space for a representative 4 1 list of energy efficiency standards incorporating features or 4 2 upgrades that a dwelling unit or the building of which it is 4 3 a part might conceivably exhibit or offer. The bill provides 4 4 that the list of energy efficiency standards shall be developed 4 5 by the office in consultation with state and federal energy 4 6 efficiency agencies and experts and shall be accompanied by a 4 7 space for the landlord to indicate whether or not the unit or 4 8 building meets or exceeds each standard. 4 9 The bill provides that a landlord who fails to supply the 4 10 required utility service cost disclosure statement upon receipt 4 11 of a written notice by a tenant or a prospective tenant shall 4 12 have seven days from the date of receipt of the notice to 4 13 provide the required disclosure statement. If a landlord 4 14 fails to provide the disclosure statement within the seven=day 4 15 period, or enters into a rental agreement with a tenant without 4 16 first disclosing utility service costs or misrepresents utility 4 17 service costs on a disclosure statement, the bill provides that 4 18 the landlord shall be subject to a civil penalty of $500. The 4 19 penalty shall be imposed by the office of consumer advocate or 4 20 pursuant to a civil proceeding regarding recovery of damages 4 21 by a tenant for nondisclosure, and shall be remitted to the 4 22 division of community action agencies for deposit into the 4 23 energy crisis fund created in Code section 216A.102. 4 24 The bill applies to rental agreements entered into on or 4 25 after January 1, 2018. LSB 1372YH (1) 87 gh/sc
