Washington Rental Owner S Association

Washington Rental Owner’s Association

1428 4th Avenue E Olympia, WA 98506 Final Legislative Report

Dear Washington Rental Owner’s Association Member:

Below is a Legislative Update of the bills your lobbyists, Mark Gjurasic and Chester Baldwin, have been monitoring in the 60-Day 2016 Legislative Session which was scheduled to sine die on Thursday, March 10. Governor Jay Inslee called a 30 Day Special Session on the evening of Thursday, March 10 to finalize the Supplemental Budget, which lasted for an additional 20 days. The 2016 Legislative Session adjourned late on Tuesday, March 29 with a total of 80 days. On Monday, April 18, 2016 the Governor signed the 2016 Supplemental Budget into law.

SUPPORT LEGISLATION 1. Landlord Tenant Provisions – SB 6413/HB 2811 This is an agreed upon bill by the landlord and tenant groups which: (1) Increases time from 14 days to 21 days to refund security deposits; (2) Addresses reusable (portable) tenant screening reports; and (3) limits certain eviction records under the residential landlord-tenant act. (Senators Mullet, Benton, Pedersen, Frockt; Representatives Walkinshaw, Harris, Jinkins, Walsh, Robinson, Zeiger, Tarleton, McBride, Ormsby, Stanford, Pollet, Frame, Bergquist, Santos) STATUS SB: Governor Signed – Effective Date: June 9, 2016 STATUS HB: DEAD House Floor Page 2 of 4 SUPPORT LEGISLATION 2. Disposal of Property After Eviction – SB 5221/HB 1573 Currently there is no guidance as to how long tenant property should be left on the curb after an eviction. This bill allows for the disposal of tenant property after 5 days. (Senators Benton, Roach; Representatives Johnson, Muri, Stanford) STATUS SB: DEAD House Judiciary STATUS HB: DEAD House Judiciary

3. Criminal Trespass - SB 5894 A person is guilty of criminal trespass in the first degree if the person is a tenant by sufferance or resides at a rental property and is not listed as a tenant on the rental agreement or as a guest in an affidavit signed by the owner or an agent of the owner of the property, and the person refuses to immediately upon demand surrender possession of the premises to the owner, or vacate the property, including other rental areas or common areas held by the owner. The existing defenses to criminal trespass also do not apply to a person trespassing in a dwelling in which a foreclosure action is pending or where the dwelling has been foreclosed upon and is being prepared for sale. (Senators Sheldon, Warnick, King, Padden) SB STATUS: DEAD Senate Rules

4. Tenancy At Will – SB 5218  Applies to “tenants” who occupy a residence without a rental agreement and without having a denominated rental amount but with prior consent and who have been served with a 30-day notice to move but refuse to leave.  Allows a property owner to use the unlawful detainer process on these “tenants” to remove them from their property. (Senators Hobbs, Benton) STATUS SB: DEAD House Rules

5. 3 Day Pay or Vacate – SB 5219  Allows for a 3-day notice to pay rent or vacate to be used for unlawful detainer not only for rent but also to include any outstanding fees in addition to rent.  Currently a SECOND lawsuit is filed in order to recover these fees; this bill would increase judicial economy and cost less for tenants in court costs and attorney fees. (Senators Benton, Roach) STATUS SB: DEAD Senate X File

6. Money Judgments – SB 5220:  Currently if an unlawful detainer is started with substitute service, the property owner may only get possession of the premises back from the tenant, but may not get a money judgment.  The bill allows the recovery of moneys owed (without a SECOND lawsuit) if the Defendant consents, enters a general appearance, or files a responsive document to defend in the case. (Senators Benton, Roach) STATUS SB: DEAD Senate Rules

OPPOSED LEGISLATION 1. Makes Source of Income a Protected Class – SB 5378/ HB 1565 Mark Gjurasic Rob Trickler Chester Baldwin WROA Lobbyist WROA President WROA Attorney & Lobbyist E-mail: [email protected] E-mail: [email protected] Email: [email protected] 360.481.6000 425.220.7621 360.688.4588 Page 3 of 4 The bill would prevent discrimination in housing decisions based on a prospective tenant’s source of income. Essentially makes a Section 8 voucher holders a protected class for housing across the state. (Senators Kohl- Welles, Miloscia, Frockt, Darneille, Pedersen, Jayapal, Hobbs, McAuliffe, Keiser, Chase; Representatives Ormsby, Walsh, Pettigrew, Kirby, Jinkins, Robinson, Riccelli, Wylie, Santos) STATUS SB: DEAD Human Services, Mental Health & Housing STATUS HB: DEAD Senate Human Services, Mental Health & Housing

2. Prevents Screening Companies from Disclosing Eviction Records – SB 5376/HB 1460 Screening companies would be prevented from disclosing the existence of a filed eviction lawsuit unless the suit resulted in a judgment in favor of the landlord. Also, prevents disclosure even if a judgment in favor of the landlord has been granted under limited circumstances. (Senators Habib, Miloscia, Darneille, Jayapal, Hobbs, Kohl-Welles, Keiser, Frockt, Chase; Representatives Robinson, Walkinshaw, Walsh, Stanford, Bergquist, Appleton, Sells, Ortiz-Self, Gregerson, Tarleton, Peterson, Pettigrew, Fitzgibbon, Riccelli, Jinkins, Kilduff, McBride, Pollet) STATUS SB: DEAD Senate Rules STATUS HB: DEAD House Judiciary

3. Requiring 90-days Notice for Rent Increases Over 10% – SB 5377/HB 2051 This bill authorizes but not require a city to adopt a law that could require 90-days’ notice for a rent increase of 10% or more (Seattle already requires 60-days notice for such an increase in any 12-month period). Also increase the number of people who would qualify for relocation assistance if a property is demolished or substantially remodeled. (Senators Miloscia, Frockt, Jayapal, Darneille, Pedersen, McAuliffe, Keiser, Chase; Representatives Farrell, Tarleton, Pollet, Robinson, Gregerson, Ryu, Orwall, Walkinshaw, Appleton, Kagi) STATUS SB: DEAD Senate Financial Institutions & Insurance STATUS HB: DEAD House Rules

4. Housing Demolitions Fee – HB 2397 Authorizes cities and towns to impose a fee on the demolition of a residential building (up to $5,000 for single family residence) to pay for affordable housing. (Representatives McBride, Robinson, Kuderer, Stanford, Clibborn, Goodman, Walkinshaw, Tarleton, Farrell, Moscoso, Ormsby) STATUS HB: DEAD House Community Development and Housing & Tribal Affairs

5. Increasing the Notice of Termination for Tenancies – SB 6441 Increases the notice time for termination of a rental agreement for both parties; 30-days for a tenant with less then 2 years occupancy and 60-days for a longer-term tenant. (Senators Cleveland, Rolfes, Miloscia, Fraser, Darneille, Pedersen, Hasegawa) STATUS SB: DEAD Senate Financial Institutions & Insurance

6. Portable Tenant Screening – SB 5123/HB 1257 Defines a “comprehensive screening report” provided by a screen company (securely online) and requires a landlord to accept the report or pay themselves for any additional report the landlord wants to use. (Senators Frockt, Kohl-Welles, Mullet, Pedersen, Jayapal, Darneille, McCoy, Conway, Keiser; Representatives Walkinshaw, Senn, Robinson, Stanford, Farrell, Ormsby, Riccelli, Gregerson, Jinkins, Fitzgibbon, Peterson, Bergquist, Santos, Pollet) STATUS SB: DEAD Senate Financial Institutions & Insurance STATUS HB: DEAD House Judiciary

MONITORED LEGISLATION

Mark Gjurasic Rob Trickler Chester Baldwin WROA Lobbyist WROA President WROA Attorney & Lobbyist E-mail: [email protected] E-mail: [email protected] Email: [email protected] 360.481.6000 425.220.7621 360.688.4588 Page 4 of 4 1. Affordable Housing – SB 6239/HB 2544 This legislation allows a county or city to apply a local property tax exemption for non-profit owned properties that provide affordable housing to very low-income families. It provides that the tax exemption may last up to 15 consecutive years, with a possible three-year extension, for qualifying properties. (Senators Fain, Frockt, Cleveland, Rolfes, Keiser, Darneille, McAuliffe, Chase; Representatives Frame, Ryu, Robinson, Appleton, Fitzgibbon, Stokesbary, Wylie, McBride, Gregerson, Sells, Tarleton, Pollet, Bergquist, Stanford) STATUS SB: DEAD Senate Rules STATUS HB: DEAD House Finance

Mark Gjurasic Rob Trickler Chester Baldwin WROA Lobbyist WROA President WROA Attorney & Lobbyist E-mail: [email protected] E-mail: [email protected] Email: [email protected] 360.481.6000 425.220.7621 360.688.4588