Bill Text: HI SB393 | 2024 | Regular Session | Amended
Bill Title: Relating To The Landlord-tenant Code.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed) 2024-03-20 - Received notice of all Senate conferees being discharged (Sen. Com. No. 340). [SB393 Detail]
Download: Hawaii-2024-SB393-Amended.html
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THE SENATE |
S.B. NO. |
393 |
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THIRTY-SECOND LEGISLATURE, 2023 |
S.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO THE LANDLORD-TENANT CODE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that many
Hawaii residents continue to face the possibility of eviction due to challenges
to paying rent. The legislature
previously enacted Act 57, Session Laws of Hawaii 2021, to encourage
communication, and facilitate mediation, between landlords and tenants to help
reduce summary possession cases.
Research indicates that the program and procedures created by Act 57
were widely successful in substantially increasing the number of disputes that
were settled in mediation without the filing of a summary possession case and
increasing the number of settlements in which the parties agreed that the
tenant could continue to reside in the subject home. The amendments made to Hawaii's residential
landlord-tenant code were repealed automatically by Act 57.
The
legislature notes that the availability of rental relief is a key factor in
ensuring housing stability and that combining rent relief with a robust
pre-litigation mediation process is likely to lead to significantly better
outcomes than mediation that starts only after litigation is filed, or rent
relief alone.
Accordingly,
the purpose of this Act is to:
(1) Create a pilot program that adopts the most effective features of Act 57, Session Laws of Hawaii 2021, by:
(A) Extending the period for a notice of termination of the rental agreement from five business days to fifteen calendar days;
(B) Requiring landlords to engage in mediation and delay filing an action for summary possession if a tenant schedules or attempts to schedule a mediation;
(C) Requiring landlords to include specific information in the fifteen-calendar day notice provided to tenants and certain mediation centers; and
(D) Repealing these amendments made to Hawaii's residential landlord-tenant code on December 31, 2024; and
(2) Create an emergency rent relief program available to participants in pre-litigation mediation to provide resources that will help avoid eviction and maintain stable tenancies.
SECTION 2. Section 521-68, Hawaii Revised Statutes, is amended to read as follows:
"§521-68
Landlord's remedies for failure by tenant to pay rent. (a) A
landlord or the landlord's agent may, any time after rent is due, demand
payment thereof and notify the tenant in writing that unless payment is made
within a time mentioned in the notice, as provided in subsection (b), not
less than [five business] fifteen calendar days after receipt
thereof, the rental agreement [will] shall be terminated. If the tenant cannot be served with notice as
required, notice may be given to the tenant by posting the same in a
conspicuous place on the dwelling unit[.] and the notice shall be
deemed received on the date of posting.
If the tenant remains in default, the landlord may thereafter bring a
summary proceeding for possession of the dwelling unit or any other proper
proceeding, action, or suit for possession[.
(b)],
subject to subsections (b) through (g).
The notice required in this section need not be given if the action is
based on the breach of a mediated agreement or other settlement agreement.
(b)
The fifteen-calendar day notice required
under subsection (a) shall provide, at a minimum, the following:
(1) The name and contact information of
the landlord or the landlord's agent and including, if possible, phone number,
electronic mail address, and mailing address;
(2) The address of the dwelling unit
subject to the rental agreement;
(3) The name and contact information of
each tenant, including, if possible, phone number, electronic mail address, and
mailing address;
(4) The monthly rental rate of the
dwelling unit;
(5) The current amount of the rent due
as of the date of the notice, after applying all rent paid from all sources;
(6) Whether the landlord or landlord's
agent has applied for rental assistance or been contacted on behalf of the
tenant by any agency providing rental assistance;
(7) That any rental assistance received
by the landlord or landlord's agent has been credited to the tenant's amount
due;
(8) That a copy of the fifteen-calendar
day notice being provided to the tenant is also being provided to the mediation
center to be identified by the landlord and, in accordance with subsection (c),
in order for the mediation center to contact the landlord and tenant to attempt
to schedule a mediation regarding the nonpayment of rent;
(9) That the mediation center will
provide proof to the landlord that the notice was received and provide
confirmation of the scheduled date and time of mediation;
(10) That the landlord or landlord's
agent may file an action for summary possession if the rent due is not paid and
if mediation is not scheduled within fifteen calendar days after the tenant's
receipt of the fifteen-calendar day notice, regardless of whether the scheduled
mediation session occurs within the fifteen calendar days;
(11) A warning in bold typeface print that
reads: "If mediation is not
scheduled within fifteen calendar days after receipt of the notice, regardless
of whether the scheduled mediation session occurs within the fifteen-calendar
day period, then the landlord may file an action for summary possession after
the expiration of the fifteen-calendar day period. If mediation is scheduled before the
expiration of the fifteen-calendar day period, regardless of whether the
scheduled mediation session occurs within the fifteen calendar days, then the landlord
shall only file an action for summary possession after the expiration of thirty
calendar days following the tenant's receipt of the fifteen-calendar day
notice. If the fifteen‑calendar
day notice was mailed, receipt of notice shall be deemed to be two days after
the date of the postmark. If the
fifteen-calendar day notice was posted on the premises, receipt of notice shall
be deemed to be the date of posting. If
an agreement is reached before the filing of an action for summary possession,
whether through mediation or otherwise, then the landlord shall not bring an
action for summary possession against the tenant, except as provided in any
agreement that may be reached. The
landlord shall be required to note the status of the mediation or settlement
effort and proof of sending or posting the fifteen-calendar day notice to the
mediation center in the action for summary possession.";
(12) Notice that the eviction may be
subject to additional requirements and protections under state or federal law and
that the tenant is encouraged to seek the tenant's own legal advice regarding
their rights and responsibilities; and
(13) That the landlord or landlord's
agent shall engage in mediation if mediation is scheduled.
(c) Landlords or their agents shall provide the
fifteen‑calendar day notice to a mediation center that offers free
mediation for residential landlord-tenant matters. The mediation center shall contact the
landlord or landlord's agent and the tenant to schedule the mediation. If a tenant schedules mediation within the
fifteen-calendar day period, regardless of whether the scheduled mediation
session occurs within the fifteen-day period, the landlord shall only file a
summary proceeding for possession after the expiration of thirty calendar days
from the date of receipt of the notice.
If the tenant schedules mediation, the landlord shall participate.
(d) The summary possession complaint for
nonpayment of rent shall include:
(1) A document or documents from the
mediation center verifying that the landlord provided a copy of the required
fifteen-calendar day notice to the mediation center;
(2) A statement as to whether the
landlord or landlord's agent and tenant have participated in, or will
participate in any scheduled mediation; and
(3) If mediation is pending, the date on
which the mediation is scheduled.
(e) If the mediation has not occurred as of, or
been scheduled for a future date after, the return hearing date on the summary
possession complaint, the court, in its discretion and based on a finding of
good cause, may order a separate mediation.
(f) If there is any defect in the
fifteen-calendar day notice described in subsection (b) provided by the
landlord and the court determines the defect was unintentional and immaterial,
the court may allow the landlord to cure the defect without dismissing the
action for summary possession.
(g) A landlord or the landlord's agent may bring
an action for rent alone at any time after the landlord has demanded payment of
past due rent and notified the tenant of the landlord's intention to bring [such
an] the action."
SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2023-2024 and the same sum or so much thereof as may be necessary for fiscal year 2024-2025 for administration of the pre-litigation mediation program established under section 2 of this Act.
The sums appropriated shall be expended by the counties for the purposes of this Act, in the following amounts:
City and county of Honolulu $
County of Hawaii $
County of Kauai $
County of Maui $ .
SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2023-2024 and the same sum or so much thereof as may be necessary for fiscal year 2024-2025 for the establishment of an emergency rent relief program to provide moneys to participants in the pre-litigation mediation program established pursuant to section 2 of this Act for the purposes of avoiding eviction and maintaining stable tenancies.
The sums appropriated shall be expended by the counties for the purposes of this Act, in the following amounts:
City and county of Honolulu $
County of Hawaii $
County of Kauai $
County of Maui $ .
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 2050; provided that section 2 of this Act shall be repealed on December 31, 2024, and section 521-68, Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day before the effective date of this Act.
Report Title:
Housing; Landlord-tenant Code; Remedies; Notice; Failure to Pay Rent; Mediation; Appropriations
Description:
Until 12/31/2024, extends the period for a notice of termination of the rental agreement from 5 business days to 15 calendar days; requires landlords to engage in mediation and delay filing an action for summary possession if a tenant schedules or attempts to schedule a mediation; requires landlords to include specific information in the fifteen-calendar day notice provided to tenants and certain mediation centers. Appropriates moneys. Effective 7/1/2050. (SD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
