Bill Text: OR SB490 | 2011 | Regular Session | Introduced
Bill Title: Relating to utilities in dwelling units.
Sponsorship: Partisan Bill (Democrat 2)
Status: (Failed) 2011-06-30 - In committee upon adjournment. [SB490 Detail]
Download: Oregon-2011-SB490-Introduced.html
76th OREGON LEGISLATIVE ASSEMBLY--2011 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 427
Senate Bill 490
Sponsored by Senator BONAMICI; Senator DINGFELDER (Presession
filed.)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Requires utility providing natural or liquid propane gas,
electricity or water to notify residential tenant of possible
termination of utility or service paid for by landlord. Allows
tenant to retain utility or service for up to lesser of three
billing periods or 90 days by paying current amounts due.
A BILL FOR AN ACT
Relating to utilities in dwelling units; creating new provisions;
and amending ORS 90.315.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 90.315 is amended to read:
90.315. (1) As used in this section, 'utility or service '
includes but is not limited to electricity, natural or liquid
propane gas, oil, water, hot water, heat, air conditioning, cable
television, direct satellite or other video subscription
services, Internet access or usage, sewer service and garbage
collection and disposal.
(2) The landlord shall disclose to the tenant in writing at or
before the commencement of the tenancy any utility or service
that the tenant pays directly to a utility or service provider
that benefits, directly, the landlord or other tenants. A
tenant's payment for a given utility or service benefits the
landlord or other tenants if the utility or service is delivered
to any area other than the tenant's dwelling unit.
(3) If the landlord knowingly fails to disclose those matters
required under subsection (2) of this section, the tenant may
recover twice the actual damages sustained or one month's rent,
whichever is greater.
(4)(a) Except for tenancies covered by ORS 90.505 to 90.840, if
a written rental agreement so provides, a landlord may require a
tenant to pay to the landlord a utility or service charge that
has been billed by a utility or service provider to the landlord
for utility or service provided directly to the tenant's dwelling
unit or to a common area available to the tenant as part of the
tenancy. A utility or service charge that shall be assessed to a
tenant for a common area must be described in the written rental
agreement separately and distinctly from such a charge for the
tenant's dwelling unit. Unless the method of allocating the
charges to the tenant is described in the tenant's written rental
agreement, the tenant may require that the landlord give the
tenant a copy of the provider's bill as a condition of paying the
charges.
(b) Except as provided in this paragraph, a utility or service
charge may only include the cost of the utility or service as
billed to the landlord by the provider. A landlord may add an
additional amount to a utility or service charge billed to the
tenant if:
(A) The utility or service charge to which the additional
amount is added is for cable television, direct satellite or
other video subscription services or for Internet access or
usage;
(B) The additional amount is not more than 10 percent of the
utility or service charge billed to the tenant;
(C) The total of the utility or service charge and the
additional amount is less than the typical periodic cost the
tenant would incur if the tenant contracted directly with the
provider for the cable television, direct satellite or other
video subscription services or for Internet access or usage;
(D) The written rental agreement providing for the utility or
service charge describes the additional amount separately and
distinctly from the utility or service charge; and
(E) Any billing or notice from the landlord regarding the
utility or service charge lists the additional amount separately
and distinctly from the utility or service charge.
(c) A landlord may not require a tenant to agree to the
amendment of an existing rental agreement, and may not terminate
a tenant for refusing to agree to the amendment of a rental
agreement, if the amendment would obligate the tenant to pay an
additional amount for cable television, direct satellite or other
video subscription services or for Internet access or usage as
provided under paragraph (b) of this subsection.
(d) A utility or service charge, including any additional
amount added pursuant to paragraph (b) of this subsection, is not
rent or a fee. Nonpayment of a utility or service charge is not
grounds for termination of a rental agreement for nonpayment of
rent under ORS 90.394 but is grounds for termination of a rental
agreement for cause under ORS 90.392.
(e) If a landlord fails to comply with paragraph (a), (b) or
(c) of this subsection, the tenant may recover from the landlord
an amount equal to one month's periodic rent or twice the amount
wrongfully charged to the tenant, whichever is greater.
(5)(a) If a tenant, under the rental agreement, is responsible
for a utility or service and is unable to obtain the service
prior to moving into the premises due to a nonpayment of an
outstanding amount due by a previous tenant or the owner, the
tenant may either:
(A) Pay the outstanding amount and deduct the amount from the
rent;
(B) Enter into a mutual agreement with the landlord to resolve
the lack of service; or
(C) Immediately terminate the rental agreement by giving the
landlord actual notice and the reason for the termination.
(b) If the tenancy terminates, the landlord shall return all
moneys paid by the tenant as deposits, rent or fees within four
days after termination.
(6) If a tenant, under the rental agreement, is responsible for
a utility or service and is unable to obtain the { + utility
or + } service after moving into the premises due to a nonpayment
of an outstanding amount due by a previous tenant or the owner,
the tenant may either:
(a) Pay the outstanding amount and deduct the amount from the
rent; or
(b) Terminate the rental agreement by giving the landlord
actual notice 72 hours prior to the date of termination and the
reason for the termination. The tenancy does not terminate if the
landlord restores service or the availability of service during
the 72 hours. If the tenancy terminates, the tenant may recover
actual damages from the landlord resulting from the shutoff and
the landlord shall return:
(A) Within four days after termination, all rent and fees; and
(B) All of the security deposit owed to the tenant under ORS
90.300.
(7) If a landlord, under the rental agreement, is responsible
for a utility or service and the utility or service is shut off
due to a nonpayment of an outstanding amount, the tenant may
either:
(a) Pay the outstanding balance and deduct the amount from the
rent; or
(b) Terminate the rental agreement by giving the landlord
actual notice 72 hours prior to the date of termination and the
reason for the termination. The tenancy does not terminate if the
landlord restores service during the 72 hours. If the tenancy
terminates, the tenant may recover actual damages from the
landlord resulting from the shutoff and the landlord shall
return:
(A) Within four days after termination, all rent prepaid for
the month in which the termination occurs prorated from the date
of termination or the date the tenant vacates the premises,
whichever is later, and any other prepaid rent; and
(B) All of the security deposit owed to the tenant under ORS
90.300.
{ + (8) If a landlord, under the rental agreement, is
responsible for providing natural or liquid propane gas,
electricity or water and the utility or service is noticed for
shutoff due to nonpayment of an outstanding amount, the tenant
may pay the balance due for the current billing period, as
defined in section 3 of this 2011 Act, to retain or restore the
utility or service as provided in section 3 of this 2011 Act and
deduct the amount from the rent. + }
{ - (8) - } { + (9) + } If a landlord fails to return to
the tenant the moneys owed as provided in subsection (5), (6) or
(7) of this section, the tenant shall be entitled to twice the
amount wrongfully withheld.
{ - (9) - } { + (10) + } This section does not preclude the
tenant from pursuing any other remedies under this chapter.
SECTION 2. { + Section 3 of this 2011 Act is added to and made
a part of ORS chapter 757. + }
SECTION 3. { + (1) As used in this section:
(a) 'Covered utility' means a public utility, a consumer-owned
utility and, notwithstanding the exceptions in the definition of
a public utility in ORS 757.005 (1)(b), any other person that
supplies natural or liquid propane gas, electricity or water to a
dwelling unit that is subject to ORS chapter 90.
(b) 'Current billing period' means the first billing period for
which charges are not past due on the date that a covered utility
first issues a termination notice for nonpayment under this
section to tenants of a landlord for charges that are already
past due on the landlord's utility account.
(2) When the records of a covered utility establish that the
covered utility provides service to property with master-metered,
multifamily dwelling units or to a dwelling unit at a service
address that is different from the billing address of the account
holder, the covered utility shall notify the occupants of the
dwelling units at least 15 days before termination of the service
for nonpayment.
(3) If a tenant, or group of tenants, pays the current amount
due for the current billing period within the 15-day period after
receiving the notice required by this section, the covered
utility must:
(a) Continue providing the service to the service address for
the following billing period; and
(b) Subject to the timely payment of the current amount due in
each billing period as it comes due, continue providing the
service to the service address under this section for at least
three consecutive billing periods or 90 days, whichever is less.
(4) A covered utility may not require the tenant, or group of
tenants, to pay any arrearages, fees or deposits owed by the
landlord. Notwithstanding any payments made by the tenant, or
group of tenants, the landlord remains the customer of the
covered utility.
(5) A covered utility may not require the tenant, or group of
tenants:
(a) To undergo credit screening;
(b) To pay a higher rate for the service than the rate at which
the service is provided to the landlord; or
(c) To pay new deposits or fees for the extension of service.
(6) A covered utility must provide the notice required by this
section in writing:
(a) By posting the notice on the door of each dwelling unit; or
(b) If it is not possible to post the notice on the door of
each dwelling unit, by posting the notice in each accessible
common area and at each point of access to each structure
containing dwelling units.
(7) The notice must be:
(a) Printed in boldface type; and
(b) Addressed to 'Tenants' or 'Occupants'.
(8) The notice must include:
(a) In boldfaced type, on the outside of the envelope or the
face of the notice, the statement: 'Important notice regarding
termination of utility service';
(b) A description in clear and simple language of the right to
continue the utility service ordinarily provided by the landlord
by paying the current amount due in the current billing period
and the right to offset under ORS 90.315 (8) the utility payments
against rent owed to the landlord;
(c) The earliest date for the proposed interruption of service;
(d) The date by which payment must be made to avoid
interruption of service;
(e) The current amount due in the current billing period, which
is the amount the tenant, or group of tenants, must pay to avoid
interruption of the utility service provided to the landlord;
(f) A statement of other requirements, including, if required,
the submission of evidence of the residential tenancy, that must
be met to avoid interruption of the utility service provided to
the landlord;
(g) A telephone number at which the tenant, or group of
tenants, may call the covered utility for further information;
and
(h) Contact information for the Oregon State Bar Lawyer
Referral Service and information about how to find free legal
assistance along with the following statement: + }
________________________________________________________________
{ + ' FOR MORE INFORMATION ABOUT YOUR RIGHTS, YOU MAY WISH TO
CONSULT A LAWYER. If you believe you need legal assistance,
contact the Oregon State Bar and ask for the lawyer referral
service at ____________. If you do not have enough money to pay a
lawyer and are otherwise eligible, you may be able to receive
legal assistance for free. Find information about free legal
assistance at _________.' + }
________________________________________________________________
{ + (9) Before accepting a payment from a tenant, or group of
tenants, and continuing to provide the service pursuant to this
section, a covered utility may require evidence that the service
address is occupied by a residential tenant, or group of tenants,
who are subject to ORS chapter 90 and whose landlord is a
customer of the covered utility and receives service at the
service address. If the covered utility requires evidence of the
residential tenancy as described in this subsection, information
about the requirement and how to provide the evidence must be
described clearly in the notice required by this section.
Sufficient evidence of the residential tenancy includes, but is
not limited to:
(a) A copy of a written rental agreement; or
(b) A cancelled check or other proof of payment of rent.
(10) For property described in subsection (2) of this section,
evidence of the residential tenancy of one individual at the
service address establishes the obligation of the covered utility
to provide service under this section to all residential tenants
at the service address.
(11) A covered utility may not provide more information about
the account or the arrearages of the landlord that is the
customer of the covered utility than is necessary for the tenant,
or group of tenants, to pay the current amount due. The covered
utility does not violate the landlord's right to privacy and is
immune from liability for disclosure of the information necessary
for the tenant, or group of tenants, to pay the current amounts
due for the current billing period or future billing periods.
(12) A covered utility may not terminate service to which this
section applies unless the covered utility has complied with this
section. For violation of this section, a tenant, or group of
tenants, may seek injunctive relief against a covered utility and
$1,000 per tenant per violation of this section or actual
damages, whichever is greater.
(13) A court shall award reasonable attorney fees and costs to
the prevailing party in an action for equitable relief or damages
under this section. + }
SECTION 4. { + Section 3 of this 2011 Act and the amendments
to ORS 90.315 by section 1 of this 2011 Act apply to termination
of services by a covered utility on or after the effective date
of this 2011 Act. + }
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