LCO \\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234-R01- HB.docx 1 of 11 General Assembly Substitute Bill No. 5234 February Session, 2022 AN ACT CONCERNING THE RIGHTS AND RESPONSIBILITIES OF LANDLORDS AND TENANTS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Subsections (a) and (b) of section 47a-21 of the 2022 1 supplement to the general statutes are repealed and the following is 2 substituted in lieu thereof (Effective October 1, 2022): 3 (a) As used in this chapter: 4 (1) "Accrued interest" means the interest due on a security deposit as 5 provided in subsection (i) of this section, compounded annually to the 6 extent applicable. 7 (2) "Commissioner" means the Banking Commissioner, unless 8 otherwise specified. 9 (3) "Damage insurance" means a bond or commercial insurance 10 coverage in an amount not greater than may be required under 11 subsection (b) of this section and as specified in any rental agreement to 12 secure the performance by the tenant of the terms and conditions of such 13 rental agreement and to replace any requirement for a security deposit. 14 [(3)] (4) "Escrow account" means any account at a financial institution 15 which is not subject to execution by the creditors of the escrow agent 16 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 2 of 11 and includes a clients' funds account. 17 [(4)] (5) "Escrow agent" means the person in whose name an escrow 18 account is maintained. 19 [(5)] (6) "Financial institution" means any state bank and trust 20 company, national bank, savings bank, federal savings bank, savings 21 and loan association, and federal savings and loan association that is 22 located in this state. 23 [(6)] (7) "Forwarding address" means the address to which a security 24 deposit may be mailed for delivery to a former tenant. 25 [(7)] (8) "Landlord" means any landlord of residential real property, 26 and includes (A) any receiver; (B) any successor; and (C) any tenant who 27 sublets his premises. 28 [(8)] (9) "Receiver" means any person who is appointed or authorized 29 by any state, federal or probate court to receive rents from tenants, and 30 includes trustees, executors, administrators, guardians, conservators, 31 receivers, and receivers of rent. 32 [(9)] (10) "Rent receiver" means a receiver who lacks court 33 authorization to return security deposits and to inspect the premises of 34 tenants and former tenants. 35 [(10)] (11) "Residential real property" means real property containing 36 one or more residential units, including residential units not owned by 37 the landlord, and containing one or more tenants who paid a security 38 deposit. 39 [(11)] (12) "Security deposit" means any advance rental payment, or 40 any installment payment collected pursuant to section 47a-22a, except 41 an advance payment for the first month's rent or a deposit for a key or 42 any special equipment. 43 [(12)] (13) "Successor" means any person who succeeds to a landlord's 44 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 3 of 11 interest whether by purchase, foreclosure or otherwise and includes a 45 receiver. 46 [(13)] (14) "Tenant" means a tenant, as defined in section 47a-1, as 47 amended by this act, or a resident, as defined in section 21-64. 48 [(14)] (15) "Tenant's obligations" means (A) the amount of any rental 49 or utility payment due the landlord from a tenant; (B) a tenant's 50 obligations under the provisions of section 47a-11; and (C) the actual 51 reasonable cost of changing the locks of the dwelling unit pursuant to 52 section 47a-7b, if the tenant has not paid such cost. 53 (b) (1) In the case of a tenant under sixty-two years of age, a landlord 54 shall not demand a security deposit or damage insurance coverage in an 55 amount that exceeds two months' rent. 56 (2) In the case of a tenant sixty-two years of age or older, a landlord 57 shall not demand a security deposit or damage insurance coverage in an 58 amount that exceeds one month's rent. Any landlord who has received 59 a security deposit in an amount that exceeds one month's rent from a 60 tenant who becomes sixty-two years of age after paying such security 61 deposit shall return the portion of such security deposit that exceeds one 62 month's rent to the tenant upon the tenant's request. Any landlord who 63 has accepted damage insurance in lieu of a security deposit in an 64 amount that exceeds one month's rent from a tenant who attains sixty-65 two years of age after providing such damage insurance shall accept 66 replacement damage insurance from such tenant in an amount not to 67 exceed one months' rent. 68 (3) Any landlord may permit any tenant to provide damage 69 insurance in lieu of the payment of a security deposit. Such damage 70 insurance shall conform to the following criteria: (A) The insurance 71 company providing the damage insurance is licensed or authorized to 72 do business in this state, (B) the damage insurance policy permits the 73 monthly payment of premiums unless the tenant selects a different 74 payment schedule, (C) the damage insurance is effective upon the 75 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 4 of 11 payment of the first premium and remains effective for the entire lease 76 term except as provided in subdivision (5) of this subsection, (D) the 77 damage insurance coverage provided per claim is no less than the 78 amount the landlord would otherwise require for the security deposit, 79 (E) the insurance company providing the damage insurance agrees to 80 approve or deny payment of a claim in accordance with the Insurance 81 Department regulations of this state, and (F) the insurance company 82 providing the damage insurance shall notify the landlord in writing 83 within ten days if the damage insurance policy lapses or is canceled for 84 any reason. 85 (4) Any landlord may designate one or more insurance companies 86 from which the landlord will accept damage insurance in lieu of a 87 security deposit. Any such insurance companies shall be identified in 88 the written lease agreement between landlord and tenant. 89 (5) Any tenant who opts to provide damage insurance in lieu of a 90 security deposit may, at any time, opt to pay the full security deposit to 91 the landlord in lieu of maintaining the damage insurance policy. The 92 landlord shall not alter the terms of the lease in the event a tenant opts 93 to pay the full amount of the security deposit pursuant to this 94 subdivision. 95 Sec. 2. (NEW) (Effective October 1, 2022) (a) As used in this section, 96 "walk-through" means a joint physical inspection of the dwelling unit 97 by the landlord and the tenant, or their designees, for the purpose of 98 noting and listing any observed conditions within the dwelling unit. On 99 and after January 1, 2023, upon or after the entry into a rental agreement 100 but prior to the tenant's occupancy of a dwelling unit, a landlord shall 101 offer such tenant the opportunity to conduct a walk-through of the 102 dwelling unit. If the tenant requests such a walk-through, the landlord 103 and tenant, or their designees, shall use a copy of the preoccupancy 104 walk-through checklist prepared by the Commissioner of Housing 105 under subsection (c) of this section. The landlord and the tenant, or their 106 designees, shall specifically note on the walk-through checklist any 107 existing conditions, defects or damages to the dwelling unit present at 108 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 5 of 11 the time of the walk-through. After the walk-through, the landlord and 109 the tenant, or their designees, shall sign duplicate copies of the walk-110 through checklist and each shall receive a copy. 111 (b) Upon the tenant's vacating of the dwelling unit, the landlord may 112 not retain any part of the security deposit collected under chapter 831 of 113 the general statutes or seek payment from the tenant for any condition, 114 defect or damage that was noted in the preoccupancy walk-through 115 checklist. Such walk-through checklist shall be admissible, but shall not 116 be conclusive, as evidence of the condition of the dwelling unit at the 117 beginning of a tenant's occupancy in any administrative or judicial 118 proceeding. 119 (c) Not later than December 1, 2023, the Commissioner of Housing 120 shall (1) prepare a standardized preoccupancy walk-through checklist 121 for any landlord and tenant to use to document the condition of any 122 dwelling unit during a preoccupancy walk-through under subsection 123 (a) of this section, and (2) make such checklist available on the 124 Department of Housing Internet web site. 125 (d) The provisions of this section shall not apply to any tenancy under 126 a rental agreement entered into prior to January 1, 2023. 127 Sec. 3. (NEW) (Effective October 1, 2022) (a) As used in this section, 128 "tenant screening report" means a credit report, a criminal background 129 report, an employment history report, a rental history report, or any 130 combination thereof, used by a landlord to determine the suitability of 131 a prospective tenant. 132 (b) No landlord may demand from a prospective tenant any 133 payment, fee or charge for the processing, review or acceptance of any 134 rental application, or demand any other payment, fee or charge before 135 or at the beginning of the tenancy, except a tenant screening report as 136 provided by subsection (c) of this section. 137 (c) Any landlord may charge a fee or fees to reimburse costs 138 associated with conducting a tenant screening report, provided the 139 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 6 of 11 cumulative fee for such tenant screening report is no more than the 140 actual cost of the tenant screening report or twenty dollars, whichever 141 amount is less, and the landlord shall waive any such fee if the 142 prospective tenant provides a copy of a tenant screening report that is 143 satisfactory to the landlord and that was conducted within thirty days 144 of the tenant's rental application. A landlord may not collect such fee or 145 fees unless the landlord provides the prospective tenant with a copy of 146 the tenant screening report and a copy of the receipt or invoice from the 147 entity conducting the tenant screening report concerning the 148 prospective tenant. 149 Sec. 4. Section 47a-23c of the general statutes is repealed and the 150 following is substituted in lieu thereof (Effective October 1, 2022): 151 (a) (1) Except as provided in subdivision (2) of this subsection, this 152 section applies to any tenant who resides in a building or complex 153 consisting of five or more separate dwelling units or who resides in a 154 mobile manufactured home park and who is either: (A) Sixty-two years 155 of age or older, or whose spouse, sibling, parent or grandparent is sixty-156 two years of age or older and permanently resides with that tenant, or 157 (B) a person with a physical or mental disability, as defined in 158 subdivision (8) of section 46a-64b, or whose spouse, sibling, child, 159 parent or grandparent is a person with a physical or mental disability 160 who permanently resides with that tenant, but only if such disability can 161 be expected to result in death or to last for a continuous period of at least 162 twelve months. 163 (2) With respect to tenants in common interest communities, this 164 section applies only to (A) a conversion tenant, as defined in subsection 165 (3) of section 47-283, who (i) is described in subdivision (1) of this 166 subsection, or (ii) is not described in subdivision (1) of this subsection 167 but, during a transition period, as defined in subsection (4) of section 47-168 283, is residing in a conversion condominium created after May 6, 1980, 169 or in any other conversion common interest community created after 170 December 31, 1982, or (iii) is not described in subdivision (1) of this 171 subsection but is otherwise protected as a conversion tenant by public 172 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 7 of 11 act 80-370, and (B) a tenant who is not a conversion tenant but who is 173 described in subdivision (1) of this subsection if his landlord owns five 174 or more dwelling units in the common interest community in which the 175 dwelling unit is located. 176 (3) As used in this section, "tenant" includes each resident of a mobile 177 manufactured home park, as defined in section 21-64, including a 178 resident who owns his own home, "landlord" includes a "licensee" and 179 an "owner" of a mobile manufactured home park, as defined in section 180 21-64, "complex" means two or more buildings on the same or 181 contiguous parcels of real property under the same ownership, and 182 "mobile manufactured home park" means a parcel of real property, or 183 contiguous parcels of real property under the same ownership, upon 184 which five or more mobile manufactured homes occupied for 185 residential purposes are located. 186 (b) (1) No landlord may bring an action of summary process or other 187 action to dispossess a tenant described in subsection (a) of this section 188 except for one or more of the following reasons: (A) Nonpayment of 189 rent; (B) refusal to agree to a fair and equitable rent increase, as defined 190 in subsection (c) of this section; (C) material noncompliance with section 191 47a-11 or subsection (b) of section 21-82, which materially affects the 192 health and safety of the other tenants or which materially affects the 193 physical condition of the premises; (D) voiding of the rental agreement 194 pursuant to section 47a-31, or material noncompliance with the rental 195 agreement; (E) material noncompliance with the rules and regulations 196 of the landlord adopted in accordance with section 47a-9 or 21-70; (F) 197 permanent removal by the landlord of the dwelling unit of such tenant 198 from the housing market; or (G) bona fide intention by the landlord to 199 use such dwelling unit as his principal residence. 200 (2) The ground stated in subparagraph (G) of subdivision (1) of this 201 subsection is not available to the owner of a dwelling unit in a common 202 interest community occupied by a conversion tenant. 203 (3) A tenant may not be dispossessed for a reason described in 204 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 8 of 11 subparagraph (B), (F) or (G) of subdivision (1) of this subsection during 205 the term of any existing rental agreement. 206 (c) (1) The rent of a tenant protected by this section may be increased 207 only to the extent that such increase is fair and equitable, based on the 208 criteria set forth in section 7-148c. 209 (2) Any such tenant aggrieved by a rent increase or proposed rent 210 increase may file a complaint with the fair rent commission, if any, for 211 the town, city or borough where his dwelling unit or mobile 212 manufactured home park lot is located; or, if no such fair rent 213 commission exists, may bring an action in the Superior Court to contest 214 the increase. In any such court proceeding, the court shall determine 215 whether the rent increase is fair and equitable, based on the criteria set 216 forth in section 7-148c. 217 (d) A landlord, to determine whether a tenant is a protected tenant, 218 as described in subdivision (1) of subsection (a) of this section, may 219 request proof of such protected status. On such request, any tenant 220 claiming protection shall provide proof of the protected status within 221 thirty days. The proof shall include a statement of a physician or an 222 advanced practice registered nurse in the case of alleged blindness or 223 other physical disability. 224 (e) (1) On and after January 1, 2023, whenever a dwelling unit is 225 rented to, or a rental agreement is entered into or renewed with, any 226 tenant who is a protected tenant as described in subdivision (1) of 227 subsection (a) of this section, the landlord of such dwelling unit or such 228 landlord's agent shall provide such protected tenant with written notice 229 of the provisions of subsections (b) and (c) of this section in a form as 230 described in subdivision (2) of this subsection. 231 (2) Not later than January 1, 2023, the Commissioner of Housing shall 232 create a notice which shall be used by landlords, pursuant to 233 subdivision (1) of this subsection, to inform a protected tenant of the 234 rights provided under subsections (b) and (c) of this section. Such notice 235 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 9 of 11 shall be a one-page, plain-language summary of such rights and shall be 236 available in languages other than English, as determined by the 237 commissioner. Not later than January 1, 2023, such notice shall be posted 238 on the Department of Housing Internet web site. 239 Sec. 5. Section 47a-1 of the 2022 supplement to the general statutes is 240 repealed and the following is substituted in lieu thereof (Effective October 241 1, 2022): 242 As used in this chapter, sections 2, 3 and 6 of this act and sections 47a-243 21, as amended by this act, 47a-23 to 47a-23c, inclusive, as amended by 244 this act, 47a-26a to 47a-26g, inclusive, 47a-35 to 47a-35b, inclusive, 47a-245 41a, 47a-43 and 47a-46 and section 47a-7b: 246 (a) "Action" includes recoupment, counterclaim, set-off, cause of 247 action and any other proceeding in which rights are determined, 248 including an action for possession. 249 (b) "Building and housing codes" include any law, ordinance or 250 governmental regulation concerning fitness for habitation or the 251 construction, maintenance, operation, occupancy, use or appearance of 252 any premises or dwelling unit. 253 (c) "Dwelling unit" means any house or building, or portion thereof, 254 which is occupied, is designed to be occupied, or is rented, leased or 255 hired out to be occupied, as a home or residence of one or more persons. 256 (d) "Landlord" means the owner, lessor or sublessor of the dwelling 257 unit, the building of which it is a part or the premises. 258 (e) "Owner" means one or more persons, jointly or severally, in whom 259 is vested (1) all or part of the legal title to property, or (2) all or part of 260 the beneficial ownership and a right to present use and enjoyment of the 261 premises and includes a mortgagee in possession. 262 (f) "Person" means an individual, corporation, limited liability 263 company, the state or any political subdivision thereof, or agency, 264 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 10 of 11 business trust, estate, trust, partnership or association, two or more 265 persons having a joint or common interest, and any other legal or 266 commercial entity. 267 (g) "Premises" means a dwelling unit and the structure of which it is 268 a part and facilities and appurtenances therein and grounds, areas and 269 facilities held out for the use of tenants generally or whose use is 270 promised to the tenant. 271 (h) "Rent" means all periodic payments to be made to the landlord 272 under the rental agreement. 273 (i) "Rental agreement" means all agreements, written or oral, and 274 valid rules and regulations adopted under section 47a-9 or subsection 275 (d) of section 21-70 embodying the terms and conditions concerning the 276 use and occupancy of a dwelling unit or premises. 277 (j) "Roomer" means a person occupying a dwelling unit, which unit 278 does not include a refrigerator, stove, kitchen sink, toilet and shower or 279 bathtub and one or more of these facilities are used in common by other 280 occupants in the structure. 281 (k) "Single-family residence" means a structure maintained and used 282 as a single dwelling unit. Notwithstanding that a dwelling unit shares 283 one or more walls with another dwelling unit or has a common parking 284 facility, it is a single-family residence if it has direct access to a street or 285 thoroughfare and does not share heating facilities, hot water equipment 286 or any other essential facility or service with any other dwelling unit. 287 (l) "Tenant" means the lessee, sublessee or person entitled under a 288 rental agreement to occupy a dwelling unit or premises to the exclusion 289 of others or as is otherwise defined by law. 290 (m) "Tenement house" means any house or building, or portion 291 thereof, which is rented, leased or hired out to be occupied, or is 292 arranged or designed to be occupied, or is occupied, as the home or 293 residence of three or more families, living independently of each other, 294 Substitute Bill No. 5234 LCO {\\PRDFS1\HCOUSERS\BARRYJN\WS\2022HB-05234- R01-HB.docx } 11 of 11 and doing their cooking upon the premises, and having a common right 295 in the halls, stairways or yards. 296 Sec. 6. (NEW) (Effective October 1, 2022) Any landlord shall provide, 297 at the time a tenant executes a rental agreement for any residential 298 dwelling unit owned by the landlord, an application for admission as 299 an elector to each tenant who is eligible to apply for admission as an 300 elector pursuant to section 9-12 of the general statutes.301 This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2022 47a-21(a) and (b) Sec. 2 October 1, 2022 New section Sec. 3 October 1, 2022 New section Sec. 4 October 1, 2022 47a-23c Sec. 5 October 1, 2022 47a-1 Sec. 6 October 1, 2022 New section Statement of Legislative Commissioners: Section 1(a)(3) was rewritten for clarity and consistency; in Sections 1(b)(1) and 1(b)(2), "coverage" was added for clarity and consistency; in Section 1(b)(3), "requires" was changed to "would otherwise require" for accuracy and "except as provided in subdivision (5) of this subsection" was added for accuracy; in Section 2(a), "or their designees" was added after "the landlord and tenant" for consistency, "on the walk-through checklist" was added after "shall specifically note" for accuracy, and "walk-through" was added before "checklist" for consistency; and definitions were moved from Sections 2, 3 and 6 to a reference in Section 5, for consistency with standard drafting conventions. HSG Joint Favorable Subst.