Senate
File
552
-
Introduced
SENATE
FILE
552
BY
COMMITTEE
ON
COMMERCE
(SUCCESSOR
TO
SF
135)
A
BILL
FOR
An
Act
relating
to
utilities
at
rental
properties
and
1
landlords’
ability
to
use
security
deposits
to
satisfy
2
delinquent
utility
accounts.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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552
Section
1.
Section
384.84,
subsection
3,
paragraph
c,
Code
1
2021,
is
amended
to
read
as
follows:
2
c.
A
city
utility
or
enterprise
service
to
a
property
or
3
premises
shall
not
be
discontinued
or
disconnected
unless
prior
4
written
notice
is
sent,
by
ordinary
mail,
to
the
account
holder
5
in
whose
name
the
delinquent
rates
or
charges
were
incurred,
6
informing
the
account
holder
of
the
nature
of
the
delinquency
7
and
affording
the
account
holder
the
opportunity
for
a
hearing
8
prior
to
discontinuance
or
disconnection
of
service.
If
the
9
account
holder
is
a
tenant,
and
if
the
owner
or
landlord
of
the
10
property
or
premises
has
made
a
written
request
for
notice,
11
the
notice
shall
also
be
given
to
the
owner
or
landlord
within
12
thirty
days
of
the
delinquency
.
If
the
account
holder
is
a
13
tenant
and
requests
a
change
of
name
for
service
under
the
14
account,
such
request
shall
be
sent
to
the
owner
or
landlord
15
of
the
property
if
the
owner
or
landlord
has
made
a
written
16
request
for
notice
of
any
change
of
name
for
service
under
the
17
account
to
the
rental
property.
18
Sec.
2.
Section
384.84,
subsection
4,
paragraph
d,
19
subparagraphs
(1)
and
(2),
Code
2021,
are
amended
to
read
as
20
follows:
21
(1)
Residential
or
commercial
rental
property
where
22
a
charge
for
water
service
is
separately
metered
and
paid
23
directly
to
the
city
utility
or
enterprise
by
the
tenant
is
24
exempt
from
a
lien
for
delinquent
rates
or
charges
associated
25
with
such
water
service
if
the
landlord
gives
written
notice
to
26
the
city
utility
or
enterprise
that
the
property
is
residential
27
or
commercial
rental
property
and
that
the
tenant
is
liable
28
for
the
rates
or
charges.
A
city
utility
or
enterprise
may
29
require
a
deposit
not
exceeding
the
usual
cost
of
ninety
days
30
of
water
service
to
be
paid
to
the
utility
or
enterprise.
Upon
31
receipt,
the
utility
or
enterprise
shall
acknowledge
the
notice
32
and
deposit.
A
written
notice
shall
contain
the
name
of
the
33
tenant
responsible
for
charges,
address
of
the
residential
or
34
commercial
rental
property
that
the
tenant
is
to
occupy,
and
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the
date
that
the
occupancy
begins.
1
(2)
A
change
in
tenant
for
a
residential
rental
property
2
shall
require
a
new
written
notice
to
be
given
to
the
city
3
utility
or
enterprise
within
thirty
business
days
of
the
change
4
in
tenant.
A
change
in
tenant
for
a
commercial
rental
property
5
shall
require
a
new
written
notice
to
be
given
to
the
city
6
utility
or
enterprise
within
ten
business
days
of
the
change
7
in
tenant.
When
the
tenant
moves
from
the
rental
property,
8
the
city
utility
or
enterprise
shall
return
the
deposit
if
the
9
water
service
charges
are
paid
in
full.
10
Sec.
3.
Section
384.84,
subsection
4,
paragraph
e,
Code
11
2021,
is
amended
to
read
as
follows:
12
e.
Residential
rental
property
where
a
charge
for
any
of
the
13
services
of
sewer
systems,
storm
water
drainage
systems,
sewage
14
treatment,
solid
waste
collection,
and
solid
waste
disposal
15
is
paid
directly
to
the
city
utility
or
enterprise
by
the
16
tenant
is
exempt
from
a
lien
for
delinquent
rates
or
charges
17
associated
with
such
services
if
the
landlord
gives
written
18
notice
to
the
city
utility
or
enterprise
that
the
property
is
19
residential
rental
property
and
that
the
tenant
is
liable
for
20
the
rates
or
charges.
A
city
utility
or
enterprise
may
require
21
a
deposit
not
exceeding
the
usual
cost
of
ninety
days
of
the
22
services
of
sewer
systems,
storm
water
drainage
systems,
sewage
23
treatment,
solid
waste
collection,
and
solid
waste
disposal
24
to
be
paid
to
the
utility
or
enterprise.
A
city
utility
or
25
enterprise
may
require
a
deposit
not
exceeding
the
usual
cost
26
of
sixty
days
of
the
services
of
gas
and
electric
to
be
paid
27
to
the
utility
or
enterprise.
Upon
receipt,
the
utility
or
28
enterprise
shall
acknowledge
the
notice
and
deposit.
A
written
29
notice
shall
contain
the
name
of
the
tenant
responsible
for
30
the
charges,
the
address
of
the
residential
rental
property
31
that
the
tenant
is
to
occupy
,
and
the
date
that
the
occupancy
32
begins.
A
change
in
tenant
shall
require
a
new
written
notice
33
to
be
given
to
the
city
utility
or
enterprise
within
thirty
34
business
days
of
the
change
in
tenant.
When
the
tenant
moves
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552
from
the
rental
property,
the
city
utility
or
enterprise
shall
1
return
the
deposit
if
the
charges
for
the
services
of
gas,
2
electric,
sewer
systems,
storm
water
drainage
systems,
sewage
3
treatment,
solid
waste
collection,
and
solid
waste
disposal
are
4
paid
in
full.
A
change
in
the
ownership
of
the
residential
5
rental
property
shall
require
written
notice
of
such
change
6
to
be
given
to
the
city
utility
or
enterprise
within
thirty
7
business
days
of
the
completion
of
the
change
of
ownership.
8
The
lien
exemption
for
rental
property
does
not
apply
to
9
charges
for
repairs
related
to
a
service
of
sewer
systems,
10
storm
water
drainage
systems,
sewage
treatment,
solid
waste
11
collection,
and
solid
waste
disposal
if
the
repair
charges
12
become
delinquent.
13
Sec.
4.
Section
562A.12,
subsection
3,
paragraph
a,
Code
14
2021,
is
amended
by
adding
the
following
new
subparagraph:
15
NEW
SUBPARAGRAPH
.
(4)
To
satisfy
debts
for
a
tenant’s
16
delinquent
utility
account.
17
EXPLANATION
18
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
19
the
explanation’s
substance
by
the
members
of
the
general
assembly.
20
This
bill
relates
to
utilities
at
rental
properties.
21
Under
current
law,
an
owner
or
landlord
may
request
to
22
receive
a
copy
of
the
written
notice
of
delinquent
rates
or
23
charges
sent
by
a
city
utility
or
enterprise
service
to
an
24
account
holder.
The
bill
specifies
that
such
notice
must
25
be
provided
to
the
owner
or
landlord
within
30
days
of
the
26
delinquency.
27
Under
current
law,
for
a
residential
or
commercial
rental
28
property
to
be
exempt
from
a
lien
for
delinquent
rates
or
29
charges
imposed
by
a
city
utility
or
enterprise,
a
landlord
30
must
provide
the
name
of
a
tenant
who
is
responsible
for
31
charges
to
the
city
utility
or
enterprise
when
the
tenant
is
32
delinquent
in
paying
rates
or
charges.
A
landlord
must
provide
33
a
new
notice
if
a
tenant
that
is
responsible
for
a
delinquency
34
moves
out.
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The
bill
removes
the
requirement
that
a
landlord
provide
1
the
name
of
a
tenant
that
is
responsible
for
a
delinquency
in
2
a
notice
to
a
city
utility
or
enterprise.
The
bill
removes
3
the
requirement
that
a
landlord
provide
a
new
notice
to
a
4
city
utility
or
enterprise
if
the
tenant
responsible
for
a
5
delinquency
moves
out.
6
The
bill
provides
that
the
landlord
may
withhold
from
a
7
tenant’s
security
deposit
amounts
as
reasonably
necessary
to
8
pay
for
delinquent
utility
accounts
the
tenant
was
responsible
9
to
pay
during
the
tenancy.
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