HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 1 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S A bill to be entitled 1 An act relating to fees in lieu of security deposits; 2 creating s. 83.491, F.S.; authorizing a landlord to 3 offer a tenant the option to pay a fee in lieu of a 4 security deposit; requiring the landlord to notify the 5 tenant of certain unpaid fees and costs within a 6 specified time after the conclusion of the tenancy; 7 prohibiting the landlord from filing an insurance 8 claim within a specified period of time; providing 9 requirements for the landlord and insurer if an 10 insurance claim to recover certain losses is filed; 11 prohibiting the landlord from accepting certain 12 payments; requiring the landlord to provide certain 13 written notice to the tenant; requiring a written 14 agreement signed by the landlord, or the landlord's 15 agent, and the tenant if the tenant decides to pay a 16 fee in lieu of the security deposit; prohibiting the 17 written agreement from violating certain laws; 18 requiring that certain information be in the written 19 agreement; requiring a specified disclosure in the 20 written agreement; providing options for paying the 21 fee; specifying that certain fees, insurance products, 22 and surety bonds are not security deposits; specifying 23 that landlords have exclusive discretion as to whether 24 to offer tenants the option to pay a fee in lieu of a 25 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 2 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S security deposit; prohibiting a landlord from 26 approving or denying an application for occupancy 27 based on a prospective tenant's choice to pay a fee in 28 lieu of a security deposit; requiring that landlords 29 who offer a tenant the fee option offer such option to 30 all new tenants renting a dwelling unit on the same 31 premises; providing an exception; providing 32 construction; providing applicability; providing an 33 effective date. 34 35 Be It Enacted by the Legislature of the State of Florida: 36 37 Section 1. Section 83.491, Florida Statutes, is created to 38 read: 39 83.491 Fee in lieu of security deposit. — 40 (1) If a rental agreement requires a security deposit, a 41 landlord may offer a tenant the option to pay a fee in lieu of 42 the security deposit. 43 (2)(a) If a tenant agrees to pay a fee in lieu of a 44 security deposit, the landlord must notify the tenant within 30 45 days after the conclusion of the tenancy of any costs or fees 46 that are due resulting from unpaid ren t, fees, or other 47 obligations under the rental agreement, including, but not 48 limited to, costs required for repairing damage to the premises 49 beyond normal wear and tear. 50 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 3 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S (b) A landlord may not submit a claim with an insurer to 51 recover the landlord's loss es associated with unpaid rent, fees, 52 or other obligations under the rental agreement, including, but 53 not limited to, costs required for repairing damage to the 54 premises beyond normal wear and tear until at least 15 days 55 after providing the tenant with the required notice under 56 paragraph (a). 57 1. The landlord must include an itemized list of any 58 unpaid amounts and the dates such amounts were due, 59 documentation supporting any itemized damages and costs of 60 repairs, and a copy of any written objection or repo rt of any 61 communication of objection by the tenant when he or she submits 62 a claim to an insurer. 63 2. If an insurer pays a claim that was submitted under 64 this subsection to a landlord and the insurer has subrogation 65 rights, the insurer may, within 1 year a fter the tenancy that 66 was the subject of the claim ends, seek reimbursement from the 67 tenant for the amounts that were paid to the landlord. If the 68 insurer seeks reimbursement from the tenant, the following 69 apply: 70 a. The insurer must provide the tenant wi th all 71 documentation for losses that the landlord provided to the 72 insurer in support of the landlord's claim and a copy of the 73 settlement statement documenting the insurer's payment of the 74 landlord's claim. 75 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 4 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S b. The tenant has any defenses against the insu rer which 76 the insurer would otherwise have against the landlord. 77 3. A landlord may not accept payment from both a tenant 78 and an insurer for amounts associated with the same rent, fees, 79 or damages. 80 (3) If a landlord offers a tenant the option to pay a f ee 81 in lieu of a security deposit, the landlord must notify the 82 tenant in writing of all of the following: 83 (a) That the tenant has the option to pay a security 84 deposit instead of the fee. 85 (b) That the tenant may, at any time, terminate the 86 written agreement to pay the fee in lieu of the security deposit 87 and instead pay a security deposit in the amount that is 88 specified in the rental agreement. 89 (c) Whether any additional charges apply for the options 90 provided in paragraphs (a) and (b). 91 (d) The amount of the payments required for each option 92 the landlord offers. 93 (e) That the fee is nonrefundable, if applicable. 94 (f) That the fee is only for securing occupancy without 95 paying a required security deposit. 96 (g) That the fee payment does not limit or change the 97 tenant's obligation to pay rent and fees, if any, under the 98 rental agreement or limit or change the tenant's obligation to 99 pay the costs of repairing damage to the premises beyond normal 100 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 5 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S wear and tear. 101 (h) That if the landlord use s any portion of the fee to 102 purchase insurance, the tenant is not insured and is not a 103 beneficiary of the landlord's insurance coverage, and that the 104 insurance does not limit or change the tenant's obligations to 105 pay rent and fees, if any, under the rental agreement or change 106 the tenant's obligation to pay the costs of repairing damage to 107 the premises beyond normal wear and tear. 108 (4)(a) If a tenant decides to pay a fee in lieu of a 109 security deposit, a written agreement to collect the fee must be 110 signed by the landlord, or the landlord's agent, and the tenant. 111 The written agreement may not contain any clause that violates 112 s. 83.45 or s. 83.47. The written agreement must, at a minimum, 113 specify all of the following: 114 1. The amount of the fee. 115 2. How and when the fee is to be collected. 116 3. The process and timeframe in which a tenant must pay 117 the security deposit specified in the rental agreement if the 118 tenant defaults on the fee. 119 4. That the written agreement may be terminated at any 120 time as long as the tenant pays the amount of the security 121 deposit specified in the rental agreement. 122 5. If the tenant pays the amount of the security deposit 123 specified in the rental agreement, then the tenant's default on 124 paying the fee or termination of the written agreem ent may not 125 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 6 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S adversely impact the tenant's credit report. 126 (b) The written agreement specified under paragraph (a) 127 must also include a disclosure in substantially the following 128 form: 129 130 FEE IN LIEU OF SECURITY DEPOSIT 131 THIS AGREEMENT HAS BEEN ENTERED INTO VO LUNTARILY BY BOTH PARTIES 132 AND THE TENANT AGREES TO PAY THE LANDLORD A FEE IN LIEU OF A 133 SECURITY DEPOSIT AS AUTHORIZED UNDER SECTION 83.491, FLORIDA 134 STATUTES. THIS FEE IS NOT A SECURITY DEPOSIT AND PAYMENT OF THE 135 FEE DOES NOT ABSOLVE THE TENANT OF ANY OBLIG ATIONS UNDER THE 136 RENTAL AGREEMENT, INCLUDING THE OBLIGATION TO PAY RENT AS IT 137 BECOMES DUE AND ANY COSTS AND DAMAGES BEYOND NORMAL WEAR AND 138 TEAR THAT THE TENANT OR HIS OR HER GUESTS MAY CAUSE. IF THE 139 LANDLORD USES ANY PORTION OF THE TENANT'S FEE TO PURCHASE 140 INSURANCE, THE TENANT IS NOT INSURED AND IS NOT A BENEFICIARY OF 141 SUCH COVERAGE. SUCH INSURANCE DOES NOT LIMIT OR CHANGE THE 142 TENANT'S OBLIGATION TO PAY RENT AND FEES, IF ANY, UNDER THE 143 RENTAL AGREEMENT OR TO PAY THE COSTS AND DAMAGES BEYOND NORMAL 144 WEAR AND TEAR THAT THE TENANT OR HIS OR HER GUESTS MAY CAUSE. 145 THE TENANT MAY TERMINATE THIS AGREEMENT AT ANY TIME AND STOP 146 PAYING THE FEE AND INSTEAD PAY A SECURITY DEPOSIT AS PROVIDED IN 147 SECTION 83.491, FLORIDA STATUTES. 148 149 THIS DISCLOSURE IS BASIC. PLEASE REFER TO PART II OF CHAPTER 83, 150 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 7 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S FLORIDA STATUTES, TO DETERMINE YOUR LEGAL RIGHTS AND 151 OBLIGATIONS. 152 153 (5) A fee in lieu of a security deposit may be: 154 (a) A recurring monthly fee, payable on the same date that 155 the rent payment is due under the rental agreement; or 156 (b) Payable upon a schedule that the landlord and tenant 157 choose and as specified in the written agreement. 158 (6) A fee collected under this section, or an insurance 159 product or a surety bond accepted, by a landlord in lieu of a 160 security deposit is not a security deposit as defined in s. 161 83.43(12). 162 (7) A landlord has exclusive discretion as to whether to 163 offer tenants the option to pay a fee in lieu of a security 164 deposit and is not required to offer such fee option to tenants. 165 However, if a landlord offe rs a tenant an option to pay a fee in 166 lieu of a security deposit, the landlord may not use a 167 prospective tenant's choice to pay, or offer to pay, a fee in 168 lieu of a security deposit as criteria in the determination to 169 approve or deny an application for occ upancy, and the landlord 170 must also offer all new tenants renting a dwelling unit on the 171 same premises the option to pay a fee in lieu of a security 172 deposit, unless the landlord chooses to prospectively terminate 173 the fee option for all new rental agreements . 174 (8)(a) This section does not: 175 HB 133 2023 CODING: Words stricken are deletions; words underlined are additions. hb0133-00 Page 8 of 8 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S 1. Require a fee collected in lieu of a security deposit 176 to be used to purchase an insurance product or surety bond; or 177 2. Prohibit a tenant from being offered or sold an 178 insurance product or a surety bond to present t o the landlord in 179 lieu of a security deposit if the offer or sale of such 180 insurance product or surety bond complies with the laws of this 181 state. 182 (b) Acceptance by a landlord of an insurance product or a 183 surety bond that is purchased or procured by a tenant, a 184 landlord, or an agent of the landlord may not be considered an 185 offer on the part of the landlord to allow a tenant to pay a fee 186 in lieu of a security deposit for the purposes of subsection 187 (7). 188 (9) This section applies to rental agreements entered into 189 or renewed on or after July 1, 2023. 190 Section 2. This act shall take effect July 1, 2023. 191