Senate File 135 - Introduced SENATE FILE 135 BY EDLER A BILL FOR An Act relating to landlord notification of delinquency notices 1 sent by utilities and landlords’ ability to use security 2 deposits to satisfy delinquent utility accounts. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1943XS (5) 89 cm/jh
S.F. 135 Section 1. Section 384.84, subsection 3, paragraph a, Code 1 2021, is amended to read as follows: 2 a. A city utility or enterprise service to a property or 3 premises, including services of sewer systems, storm water 4 drainage systems, sewage treatment, solid waste collection, 5 water, solid waste disposal, or any of these services, may be 6 discontinued or disconnected if the account for the service 7 becomes delinquent. Gas or electric service provided by a city 8 utility or enterprise shall be discontinued or disconnected 9 only as provided by section 476.20, subsections 1 through 10 4, and discontinuance or disconnection of those services 11 is subject to rules adopted by the utilities board of the 12 department of commerce. Section 476.20, subsection 3A, applies 13 to city utilities and enterprise services. 14 Sec. 2. Section 476.1B, subsection 1, Code 2021, is amended 15 by adding the following new paragraph: 16 NEW PARAGRAPH . m. Enforcement of section 476.20, subsection 17 3A. 18 Sec. 3. Section 476.20, Code 2021, is amended by adding the 19 following new subsection: 20 NEW SUBSECTION . 3A. If the customer is a tenant, and if 21 the owner or landlord of the property or premises has made 22 a written request for notice to the utility, the notice of 23 delinquency for nonpayment of account sent to the customer 24 shall also be sent to the owner or landlord, or the designee 25 of the owner or landlord. The notice shall be sent to the 26 appropriate persons by ordinary mail not less than thirty days 27 after the notice of delinquency is sent to the customer. 28 Sec. 4. Section 562A.12, subsection 3, paragraph a, Code 29 2021, is amended by adding the following new subparagraph: 30 NEW SUBPARAGRAPH . (4) To satisfy debts for a tenant’s 31 delinquent utility account. 32 EXPLANATION 33 The inclusion of this explanation does not constitute agreement with 34 the explanation’s substance by the members of the general assembly. 35 -1- LSB 1943XS (5) 89 cm/jh 1/ 2
S.F. 135 This bill provides that if a customer of a public utility 1 is a tenant, and if the owner or landlord of the property or 2 premises has made a written request for notice to the public 3 utility, the notice of delinquency for nonpayment of account 4 sent to the customer shall also be sent to the landlord, the 5 owner, or the designee of the owner or landlord. The notice 6 shall be sent to the landlord, owner, or designee within 30 7 days after the notice of delinquency is sent to the customer. 8 The bill applies to public utilities as defined in Code 9 section 476.1 that furnish gas by piped distribution system 10 or electricity to the public for compensation, water by piped 11 distribution system to the public for compensation, or sanitary 12 sewage or storm water drainage disposal by piped collection 13 system to the public for compensation. 14 The bill also applies to electric public utilities having 15 fewer than 10,000 customers, municipally owned utilities 16 furnishing gas or electricity, gas public utilities having 17 fewer than 2,000 customers, and city utilities or enterprise 18 services. 19 The bill provides that the landlord may withhold from 20 security deposit amounts as reasonably necessary to pay for 21 delinquent utility accounts the tenant was responsible to pay 22 during the tenancy. 23 -2- LSB 1943XS (5) 89 cm/jh 2/ 2