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28th Legislature(2013-2014)

Bill Text 28th Legislature


00 Enrolled HB 282                                                                                                         
01 Relating to the rights and obligations of residential landlords and tenants; and relating to the                        
02 taking of a permanent fund dividend for rent and damages owed to a residential landlord.                                
03                           _______________                                                                               
04    * Section 1. AS 34.03.020(e) is amended to read:                                                                   
05            (e)  If required by the landlord, the landlord and the tenant shall include within                           
06       the rental agreement, incorporate by reference in the rental agreement, or add as a                               
07       separate attachment to the rental agreement a premises condition statement, setting out                           
08       the condition of the premises, including fixtures but excluding reference to any of the                           
09       other contents of the premises, and, if applicable, a contents inventory itemizing or                             
10       describing all of the furnishings and other contents of the premises and specifying the                           
11       condition of each of them. In the premises condition statement and contents inventory,                            
12       the landlord and tenant [PARTIES] shall describe the premises and its contents at                             
13       the commencement of the term of the period of the occupancy covered by the rental                                 
01       agreement. When signed by the landlord and tenant [PARTIES], the premises                                     
02       condition statement and contents inventory completed under this subsection become                                 
03       part of the rental agreement.                                                                                     
04    * Sec. 2. AS 34.03.070(a) is amended to read:                                                                      
05            (a)  Except as provided in (h) of this section, a [A] landlord may not demand                            
06       or receive prepaid rent or a security deposit, however denominated, in an amount or                               
07       value in excess of two months' periodic rent. This section does not apply to rental units                         
08       where the rent exceeds $2,000 a month.                                                                            
09    * Sec. 3. AS 34.03.070(b) is amended to read:                                                                      
10            (b)  Upon termination of the tenancy, property or money held by the landlord                                 
11       as prepaid rent or as a security deposit may be applied to the payment of accrued rent                            
12       and the amount of damages that the landlord has suffered by reason of the tenant's                                
13       noncompliance with AS 34.03.120. The accrued rent and damages must be itemized                                    
14       by the landlord in a written notice mailed to the tenant's last known address within the                          
15       time limit prescribed by (g) of this section, together with the amount due the tenant. In                         
16       this subsection, "damages"                                                                                        
17                 (1)  means deterioration of the premises and, if applicable, of the                                     
18       contents of the premises;                                                                                         
19                 (2)  does not include deterioration                                                                     
20                      (A)  that is the result of normal wear and tear [THE                                           
21            TENANT'S USE OF THE PREMISES BY NORMAL, NONABUSIVE                                                           
22            LIVING];                                                                                                     
23                      (B)  caused by the landlord's failure to prepare for expected                                      
24            conditions or by the landlord's failure to comply with an obligation of the                                  
25            landlord imposed by this chapter.                                                                            
26    * Sec. 4. AS 34.03.070(c) is amended to read:                                                                      
27            (c)  All money paid to the landlord by the tenant as prepaid rent or as a security                           
28       deposit in a lease or rental agreement shall be promptly deposited by the landlord,                               
29       wherever practicable, in a trust account in a bank, savings and loan association, or                              
30       licensed escrow agent, and the landlord shall provide to the tenant the terms and                                 
31       conditions under which the prepaid rent or security deposit or portions of them may be                            
01       withheld by the landlord. Nothing [; NOTHING] in this chapter prohibits the landlord                          
02       from commingling prepaid rents and security deposits in a single financial account;                           
03       however, the landlord shall separately account for prepaid rent and security                                  
04       deposits received from each tenant. The landlord may not commingle prepaid                                    
05       rent and security deposits with other funds. The landlord may not use money                                   
06       held for one tenant in a trust account to                                                                     
07                 (1)  refund the security deposit of another tenant;                                                 
08                 (2)  apply to the payment of another tenant's accrued rent;                                         
09                 (3)  apply to damages suffered by the landlord because of another                                   
10       tenant's noncompliance with AS 34.03.120.                                                                     
11    * Sec. 5. AS 34.03.070(g) is amended to read:                                                                      
12            (g)  If the landlord or tenant gives notice that complies with AS 34.03.290, the                             
13       landlord shall mail the written notice and refund required by (b) of this section within                          
14       14 days after the tenancy is terminated and possession is delivered by the tenant,                            
15       except the landlord shall have 30 days after the tenancy is terminated to mail the                            
16       refund if costs are deducted for damages that the landlord has suffered because                               
17       of the tenant's noncompliance with AS 34.03.120. If the tenant does not give notice                           
18       that complies with AS 34.03.290, the landlord shall mail the written notice and refund                            
19       required by (b) of this section within 30 days after the tenancy is terminated,                                   
20       possession is delivered by the tenant, or the landlord becomes aware that the dwelling                            
21       unit is abandoned. If the landlord does not know the mailing address of the tenant, but                           
22       knows or has reason to know how to contact the tenant to give the notice required by                              
23       (b) of this section, the landlord shall make a reasonable effort to deliver the notice and                        
24       refund to the tenant.                                                                                             
25    * Sec. 6. AS 34.03.070 is amended by adding new subsections to read:                                               
26            (h)  Notwithstanding the limitation on the amount of prepaid rent or security                                
27       deposit in (a) of this section, a landlord may demand or receive an additional security                           
28       deposit from a tenant who has a pet on the premises that is not a service animal. The                             
29       additional security deposit                                                                                       
30                 (1)  may not exceed the periodic rent for one month; and                                                
31                 (2)  shall be accounted for separately from prepaid rent or a security                                  
01       deposit received under (a) of this section and may be applied only to the amount of                               
02       damages that are directly related to the pet of the tenant.                                                       
03            (i)  In this section,                                                                                        
04                 (1)  "normal wear and tear" means deterioration that occurs from the                                    
05       intended use of the rental unit and without negligence, carelessness, accident, misuse,                           
06       or abuse of the premises or contents by the tenant, members of the household of the                               
07       tenant, or the invitees or guests of the tenant;                                                                  
08                 (2)  "service animal" means an animal that is individually trained to do                                
09       work or perform tasks that are directly related to and for the benefit of an individual                           
10       with a disability, including a physical, sensory, psychiatric, intellectual, or other                             
11       mental disability.                                                                                                
12    * Sec. 7. AS 34.03.090(b) is amended to read:                                                                      
13            (b)  The tenant shall [AS A CONDITION OF DELIVERY OF POSSESSION                                          
14       OF THE PREMISES TO THE TENANT, THE LANDLORD MAY REQUIRE THE                                                       
15       TENANT TO] acknowledge or verify by the tenant's signature the accuracy of the                                    
16       premises condition statement and contents inventory prepared under AS 34.03.020(e).                               
17       The [BEFORE REQUIRING THE TENANT'S SIGNATURE, THE LANDLORD                                                    
18       SHALL FIRST ADVISE THE TENANT THAT THE] premises condition statement                                              
19       and contents inventory                                                                                            
20                 (1)  may be used by the landlord or tenant as the basis                                             
21                      (A)  to determine whether prepaid rent or a security deposit                                       
22            shall be applied to the payment of damages to the premises when authorized by                                
23            AS 34.03.070(b); and                                                                                         
24                      (B)  to compute the recovery of other damages to which the                                         
25            parties may be entitled under this chapter; and                                                              
26                 (2)  is, in an action initiated by a party to recover damages or to obtain                              
27       other relief to which a party may be entitled under this chapter, presumptive evidence                            
28       of the condition of the premises and its contents at the commencement of the term of                              
29       the period of occupancy covered by the rental agreement.                                                          
30    * Sec. 8. AS 34.03.100(a) is amended to read:                                                                      
31            (a)  The landlord shall                                                                                      
01                 (1)  make all repairs and do whatever is necessary to put and keep the                                  
02       premises in a fit and habitable condition;                                                                        
03                 (2)  keep all common areas of the premises in a clean and safe                                          
04       condition;                                                                                                        
05                 (3)  maintain in good and safe working order and condition all                                          
06       electrical, plumbing, sanitary, heating, ventilating, air-conditioning, kitchen, and other                        
07       facilities and appliances, including elevators, supplied or required to be supplied by                            
08       the landlord;                                                                                                     
09                 (4)  provide and maintain appropriate receptacles and conveniences for                                  
10       the removal of ashes, garbage, rubbish, and other waste incidental to the occupancy of                            
11       the dwelling unit and arrange for their removal;                                                                  
12                 (5)  supply running water and reasonable amounts of hot water and heat                                  
13       at all times, insofar as energy conditions permit, except where                                                   
14                      (A)  the building that includes the dwelling unit is so                                        
15            constructed that heat or hot water is generated by an installation within the                                
16            exclusive control of the tenant and supplied by a direct public utility                                      
17            connection; or                                                                                           
18                      (B)  the premises do not have a well or water provided by a                                    
19            direct public utility connection and the rental agreement specifically states                            
20            that the duty of the landlord to supply running water or hot water to the                                
21            premises is waived by the tenant;                                                                        
22                 (6)  if requested by the tenant, provide and maintain locks and furnish                                 
23       keys reasonably adequate to ensure safety to the tenant's person and property; and                                
24                 (7)  provide smoke detection devices and carbon monoxide detection                                      
25       devices as required under AS 18.70.095.                                                                           
26    * Sec. 9. AS 34.03.120(a) is amended to read:                                                                      
27            (a)  The tenant                                                                                              
28                 (1)  shall keep that part of the premises occupied and used by the tenant                               
29       as clean and safe as the condition of the premises permit;                                                        
30                 (2)  shall dispose all ashes, rubbish, garbage, and other waste from the                                
31       dwelling unit in a clean and safe manner;                                                                         
01                 (3)  shall keep all plumbing fixtures in the dwelling unit or used by the                               
02       tenant as clean as their condition permits;                                                                       
03                 (4)  shall use in a reasonable manner all electrical, plumbing, sanitary,                               
04       heating, ventilating, air-conditioning, kitchen, and other facilities and appliances,                         
05       including elevators, in the premises;                                                                         
06                 (5)  may not deliberately or negligently destroy, deface, damage,                                       
07       impair, or remove a part of the premises or knowingly permit any person to do so;                                 
08                 (6)  may not unreasonably disturb, or permit others on the premises                                     
09       with the tenant's consent to unreasonably disturb, a neighbor's peaceful enjoyment of                             
10       the premises;                                                                                                     
11                 (7)  shall maintain smoke detection devices and carbon monoxide                                         
12       detection devices as required under AS 18.70.095;                                                                 
13                 (8)  may not, except in an emergency when the landlord cannot be                                        
14       contacted after reasonable effort to do so, change the locks on doors of the premises                             
15       without first securing the written agreement of the landlord and, immediately after                               
16       changing the locks, providing the landlord a set of keys to all doors for which locks                             
17       have been changed; in an emergency, the tenant may change the locks and shall,                                    
18       within five days, provide the landlord a set of keys to all doors for which locks have                            
19       been changed and written notice of the change; [AND]                                                              
20                 (9)  may not unreasonably engage in conduct, or permit others on the                                    
21       premises to engage in conduct, that results in the imposition of a fee under a municipal                          
22       ordinance adopted under AS 29.35.125; and                                                                     
23                 (10)  may not allow the number of individuals occupying the                                         
24       premises to exceed the number allowed by applicable law, by a covenant limiting                               
25       the landlord's use of the premises, or the rental agreement.                                                  
26    * Sec. 10. AS 34.03.120 is amended by adding a new subsection to read:                                             
27            (c)  When terminating the tenancy, the tenant shall leave the premises in                                    
28       substantially the same condition, except for normal wear and tear, as the condition of                            
29       the premises at the beginning of the tenancy, including, in the landlord's discretion,                            
30       professionally cleaning the carpets if the carpets were professionally cleaned                                    
31       immediately before the tenancy began. In this subsection, "normal wear and tear" has                              
01       the meaning given in AS 34.03.070.                                                                                
02    * Sec. 11. AS 34.03.220(a) is amended to read:                                                                     
03            (a)  Except as provided in this chapter,                                                                     
04                 (1)  if the tenant or someone in the tenant's control deliberately inflicts                             
05       substantial damage to the premises in breach of AS 34.03.120(a)(5) or the tenant                              
06       engages in or permits another to engage in prostitution or another illegal activity                           
07       at the premises in breach of AS 34.03.120(b), the landlord may deliver a written                              
08       notice to quit to the tenant under AS 09.45.100 - 09.45.105 specifying the act or                             
09       activity constituting the breach and specifying that the rental agreement will terminate                      
10       on [UPON] a date that is not less than 24 hours or more than five days after service                      
11       of the notice; for purposes of this paragraph, damage to premises is "substantial" if the                         
12       loss, destruction, or defacement of property attributable to the deliberate infliction of                         
13       damage to the premises exceeds $400;                                                                              
14                 (2)  if there is a material noncompliance by the tenant with the rental                                 
15       agreement, or if there is noncompliance with AS 34.03.120, other than deliberate                                  
16       infliction of substantial damage to the premises or other than noncompliance as to a                              
17       utility service for which the provisions of (e) of this section apply, materially affecting                       
18       health and safety, the landlord may deliver a written notice to quit to the tenant under                          
19       AS 09.45.100 - 09.45.110 specifying the acts and omissions constituting the breach                                
20       and specifying that the rental agreement will terminate on [UPON] a date not less than                        
21       10 days after service of the notice; if the breach is not remedied, the rental agreement                          
22       terminates as provided in the notice subject to the provisions of this section; if the                            
23       breach is remediable by repairs or the payment of damages or otherwise and the tenant                             
24       adequately remedies the breach before the date specified in the notice, the rental                                
25       agreement will not terminate; in the absence of due care by the tenant, if substantially                          
26       the same act or omission that constituted a prior noncompliance of which notice was                               
27       given recurs within six months, the landlord may terminate the rental agreement upon                              
28       at least five days' [DAYS] written notice to quit specifying the breach and the date of                       
29       termination of the rental agreement.                                                                              
30    * Sec. 12. AS 43.23.065(b) is amended to read:                                                                     
31            (b)  An exemption is not available under this section for permanent fund                                     
01       dividends taken to satisfy                                                                                        
02                 (1)  child support obligations required by court order or decision of the                               
03       child support services agency under AS 25.27.140 - 25.27.220;                                                     
04                 (2)  court ordered restitution under AS 12.55.045 - 12.55.051,                                          
05       12.55.100, or AS 47.12.120(b)(4);                                                                                 
06                 (3)  claims on defaulted education loans under AS 43.23.067;                                            
07                 (4)  court ordered fines;                                                                               
08                 (5)  writs of execution under AS 09.35 of a judgment that is entered                                    
09                      (A)  against a minor in a civil action to recover damages and                                      
10            court costs;                                                                                                 
11                      (B)  under AS 09.65.255 against the parent, parents, or legal                                      
12            guardian of an unemancipated minor;                                                                          
13                 (6)  a debt owed by an eligible individual to an agency of the state,                                   
14       including the University of Alaska, unless the debt is contested and an appeal is                                 
15       pending, or the time limit for filing an appeal has not expired;                                                  
16                 (7)  a debt owed to a person for a program for the rehabilitation of                                    
17       perpetrators of domestic violence required under AS 12.55.101, AS 18.66.100(c)(15),                               
18       AS 25.20.061(3), or AS 33.16.150(f)(2);                                                                       
19                 (8)  a judgment for unpaid rent or damage owed to a landlord by                                     
20       an eligible individual that was a tenant of the landlord; in this paragraph,                                  
21       "tenant" has the meaning given in AS 34.03.360.                                                               
22    * Sec. 13. The uncodified law of the State of Alaska is amended by adding a new section to                         
23 read:                                                                                                                   
24       APPLICABILITY. Sections 1 - 11 of this Act apply to a residential rental agreement                                
25 for a period beginning on or after the effective date of this Act.                                                      
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