Bill Text: NJ S3215 | 2016-2017 | Regular Session | Introduced


Bill Title: Establishes residential rental property inspection findings database.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-06-19 - Referred to Senate Budget and Appropriations Committee [S3215 Detail]

Download: New_Jersey-2016-S3215-Introduced.html

SENATE, No. 3215

STATE OF NEW JERSEY

217th LEGISLATURE

 

INTRODUCED MAY 18, 2017

 


 

Sponsored by:

Senator  BRIAN P. STACK

District 33 (Hudson)

 

 

 

 

SYNOPSIS

     Establishes residential rental property inspection findings database.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act establishing a database of residential rental property inspection findings, amending various parts of the statutory law, and supplementing chapter 8 of Title 46 of the Revised Statutes.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.  Section 4 of P.L.1966, c.168 (C.2A:42-77) is amended to read as follows:

     4.  Whenever the governing body of a municipality finds that the health and safety of residents of that municipality are impaired or threatened by the existence of substandard multiple dwellings, it may adopt an ordinance setting forth such a finding and providing for the regulation of rents and the possession of rental space in substandard multiple dwellings.  Such ordinance shall include in its provisions that:

     (a) A public officer be designated or appointed to exercise the powers prescribed by the ordinance.

     (b) Whenever it appears by preliminary investigation that a multiple dwelling is substandard the public officer shall cause a complaint to be served upon the owner of and parties in interest in such multiple dwelling, stating the reasons why said multiple dwelling is deemed to be substandard and setting a time and place for hearing before the public officer.  The owners and parties in interest shall be given the right to file an answer and to appear and give testimony.  The rules of evidence shall not be controlling in hearings before the public officer.

     (c) (1) If, after notice and hearing, the public officer determines the multiple dwelling under consideration is substandard he shall state his findings in writing and shall issue and cause to be served upon the owner or other person entitled to receive said rents an order requiring that such repairs, alterations or improvements necessary to bring such property up to minimum standards be made within a reasonable time.

     (2) Within 30 days of a determination made pursuant to paragraph (1) of this subsection, the public officer shall transmit a copy of the complaint, written findings, and order, including information identifying the landlord and any violations found, to the Division of Codes and Standards in the Department of Community Affairs.  The results of any reinspection, including any violations corrected, also shall be transmitted to the division.

     (d) Failure to complete such repairs, alterations or improvements within a reasonable time as fixed by the public officer shall be cause to impose rent control on the substandard multiple dwelling.

     (e) In establishing maximum rents which may be charged for housing space in a multiple dwelling subject to rent control, the permissible rents shall be sufficient to provide the owner or other person entitled to receive said rents with a fair net operating income from the multiple dwelling.  The net operating income shall not be considered less than fair if it is 20% or more of the annual income in the case of a multiple dwelling containing less than 5 dwelling units or is 15% or more in the case of a multiple dwelling containing 5 or more dwelling units.  In determining the fair net operating income, the public officer shall consider the following items of expense: heating fuel, utilities, payroll, janitorial materials, real estate taxes, insurance, interior painting and decorating, depreciation, and repairs and replacements and additions to furniture and furnishings which expenses shall be deducted from the annual income derived from the multiple dwelling.  All items of expense and the amount of annual income shall be certified by the owner or other person entitled to receive said rents on forms provided by the public officer.

     (f) The imposition of rent control on any substandard multiple dwelling shall not operate to impair leases existing at the time of the adoption of an ordinance under [this act] P.L.1966, c.168 (C.2A:42-74 et seq.), but shall take effect at the expiration of the term of any such lease and shall remain in effect thereafter so long as the multiple dwelling is subject to rent control.

     (g) It shall be unlawful for any person to demand or receive any rent in excess of the maximum rent established for housing space in multiple dwelling subject to rent control or to demand possession of the space or evict a tenant for refusal to pay rent in excess of the established maximum rent.  The owner or other person entitled to receive said rents shall not be prevented, however, from exercising his rights to obtain possession of housing space from a tenant  as a result of the tenant's violation of law or contract and the owner or other person entitled to receive said rents shall be provided reasonable grounds to  obtain possession of premises for his own personal use and occupancy and for purposes of substantially altering, remodeling or demolishing the multiple dwelling.

     (h) Whenever the public officer finds that a multiple dwelling subject to rent control is no longer substandard, he shall so inform the governing body and rent control on said multiple dwelling shall be removed.

(cf: P.L.1966, c.168, s.4)

 

     2.  Section 2 of P.L.1983, c.2 (C.40:48-2.12a1) is amended to read as follows:

     2.  a.  No exemption from inspection pursuant to the provisions of statutory law shall prevent any municipality from adopting an ordinance to provide for the inspection of buildings to assure the health, safety, and public welfare of the municipality and its residents.

     b.  Within 30 days of the issuance of a complaint or citation, or of the completion of a report or other written statement of findings for an inspection conducted pursuant to subsection a. of this section of a residential rental property, or upon a reinspection, the municipality shall transmit a copy of the complaint, citation, report, or written statement, including information identifying the landlord, any violations found, and any violations corrected, to the Division of Codes and Standards in the Department of Community Affairs.

(cf: P.L.2013, c.253, s.24)

 

     3.  Section 1 of P.L.1979, c.476 (C.40:48-2.12m) is amended to read as follows:

     1.  a.  The governing body of a municipality may adopt ordinances regulating the maintenance and condition of any unit of dwelling space, upon the termination of occupancy, in any residential rental property for the purpose of the safety,  healthfulness, and upkeep of the structure and the adherence to such other standards of maintenance and condition as are required in the interest of public safety, health and welfare.  Such ordinances shall require the owner of any residential rental property, prior to rental or lease involving a new occupancy of any unit of dwelling space in such property, to obtain a certificate of inspection or occupancy for the unit of dwelling space.  Such certificate of inspection or occupancy shall be issued by the municipality upon the inspection of the unit of dwelling space by a municipal inspector and his findings that such unit meets the standards provided by law.  The municipality may charge a fee to fund the costs of the inspections and the issuance of the certificates.

     b.  Within 30 days of the issuance of a complaint or citation, or of the completion of a report or other written statement of findings for an inspection conducted pursuant to subsection a. of this section, or upon a reinspection, the municipal inspector shall transmit a copy of the complaint, citation, report, or written statement, including information identifying the landlord, any violations found, and any violations corrected, to the Division of Codes and Standards in the Department of Community Affairs.

     c.  For purposes of [this act] P.L.1979, c.476, "owner" means the person who owns, purports to own, or exercises control of any residential rental property.

(cf: P.L.1979, c.476, s.1)

 

     4.  Section 3 of P.L.1987, c.30 (C.55:13A-13a) is amended to read as follows:

     3.  a.  Any inspection required under P.L.1967, c.76 (C.55:13A-1 et seq.) shall be conducted by the commissioner except as provided in subsection b. of this section or where a municipality has a cooperative arrangement, with the bureau to perform these inspections in which case the inspection shall be conducted by the municipality; provided, however, that nothing in this section shall preclude the bureau from conducting inspections in any municipality for the purpose of monitoring or auditing the performance of local agencies, as provided hereinafter, or inspectors, or for the purpose of dealing with imminent hazards.

     b.  (1) In any municipality which maintains a permanent local agency for the purpose of conducting inspections and enforcing laws, ordinances and regulations concerning buildings and structures within the municipality, and such agency is supervised by, and has all hotel and multiple dwelling inspections performed by persons licensed by, the commissioner under [this act] P.L.1967, c.76 (C.55:13A-1 et seq.), the municipal governing body may by ordinance designate that agency to conduct the inspections and enforce the regulations prescribed by or pursuant to P.L.1967, c.76 (C.55:13A-1 et seq.).  Where an ordinance is in effect all inspections required pursuant to P.L.1967, c.76 (C.55:13A-1 et seq.) within the territorial limits of the municipality shall be conducted by the agency so designated, subject to the supervision and control of the commissioner; and all applications otherwise directed by law to be filed with the commissioner, and all fees and penalties otherwise to be imposed or collected by the commissioner, shall in such a municipality be filed with, or imposed or collected by, the local agency designated by ordinance pursuant to this subsection; provided, that in no case shall the local agency collect or impose a penalty in excess of the minimum amount which the commissioner is authorized by law to collect or impose for the same violation, or to assess a continuing penalty, without the written prior approval of the bureau.  The commissioner shall have the power to order corrective action as may be necessary where a local agency is found to be failing to carry out its responsibilities under [this act] P.L.1967, c.76 (C.55:13A-1 et seq.) and to suspend the authority of the local agency under this subsection where the local agency repeatedly or habitually fails to enforce the "Hotel and Multiple Dwelling Law," P.L.1967, c.76 (C.55:13A-1 et seq.) and the regulations adopted pursuant thereto.

     (2) Within 30 days of the issuance of a complaint or citation, or of the completion of a report or other written statement of findings for an inspection conducted pursuant to paragraph (1) of this subsection of a multiple dwelling containing rental units, or upon a reinspection, the permanent local agency shall transmit a copy of the complaint, citation, report, or written statement, including information identifying the landlord, any violations found, and any violations corrected, to the Division of Codes and Standards in the Department of Community Affairs.

     c.  Any person affected by the determinations made pursuant to any inspection conducted under P.L.1967, c.76 (C.55:13A-1 et seq.) may appeal those determinations to the Office of Administrative Law with the final decision to be issued by the commissioner; provided, however, that the cost of any such hearing to the department shall be borne by the local agency in any case where the inspection fee is required to be paid to a local agency or in which the notice, order or decision being contested was issued by a local agency.

(cf: P.L.1987, c.30, s.3)

 

     5.  (New section)  a.  The Division of Codes and Standards in the Department of Community Affairs, in consultation with the Office of Information Technology, shall design, develop, and maintain a single, Statewide electronic database that contains and displays residential rental property inspection findings, including information identifying the landlord, any violations of State and local housing standards found during an inspection, and any corrective actions taken, which findings have been:

     (1) reported to the division by a public officer, pursuant to paragraph (2) of subsection c. of section 4 of P.L.1966, c.168 (C.2A:42-77);

     (2) reported to the division by a municipality, pursuant to subsection b. of section 2 of P.L.1983, c.2 (C.40:48-2.12a1);

     (3) reported to the division by a municipal inspector, pursuant to subsection b. of section 1 of P.L.1979, c.476 (C.40:48-2.12m);

     (4) reported to the division by a permanent local agency, pursuant to paragraph (2) of subsection b. of section 3 of P.L.1987, c.30 (C.55:13A-13a); and

     (5) made by the Commissioner of Community Affairs pursuant to P.L.1967, c.76 (C.55:13A-1 et seq.) with respect to multiple dwellings containing rental units.

     b.  The database established under subsection a. of this section shall be searchable by landlord and municipality.

     c.  The database established under subsection a. of this section shall be accessible to the judiciary and housing authorities in addition to the department.

     d.  The Commissioner of Community Affairs shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this section.

 

     6.  This act shall take effect immediately.

 

 

STATEMENT

 

     This bill would require the Department of Community Affairs to create and maintain a searchable electronic database of residential rental property inspection findings.  The database would have to contain information identifying the landlord, any violations of State and local housing standards, and any corrective actions taken.  Compiling this data into a user-friendly, accessible database would make it easier for government entities handling landlord-tenant matters to identify landlords with histories of violations to aid in their decision-making.

     The bill specifically provides that the database be made available to the courts and local housing authorities.  Making this information readily accessible to the courts would provide them with important contextual information that would help lead to more informed decisions regarding whether, or how much of, a rent deposit should be required in order to remedy a violation of State or local standards of fitness for human habitation.  Local housing authorities and the department, meanwhile, would be able to use this information to make more informed decisions on where to direct limited rental subsidies, away from landlords with many violations and to those who properly maintain their rental properties.  Ultimately, this bill would serve to protect tenants and strengthen their right to safe and decent housing.

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