Florida 2023 2023 Regular Session

Florida House Bill H0133 Engrossed / Bill

Filed 04/20/2023

                            
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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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; authorizing a landlord to offer a 5 
tenant the option to pay the security deposit in a 6 
specified manner; requiring the landlord to notify the 7 
tenant of certain unpaid fees and costs within a 8 
specified time after the conclusion of the tenancy; 9 
prohibiting the landlord from filing an insurance 10 
claim within a specified period of time; prov iding 11 
requirements for the landlord and insurer if an 12 
insurance claim to recover certain losses is filed; 13 
prohibiting the landlord from accepting certain 14 
payments; requiring the landlord to provide certain 15 
written notice to the tenant; requiring a written 16 
agreement signed by the landlord, or the landlord's 17 
agent, and the tenant if the tenant decides to pay a 18 
fee in lieu of the security deposit; prohibiting the 19 
written agreement from contradicting specified laws; 20 
requiring that the written agreement contain certain 21 
information; requiring a specified disclosure in the 22 
written agreement; providing options for paying the 23 
fee; specifying that certain fees, insurance products, 24 
and surety bonds are not security deposits; specifying 25          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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that landlords have exclusive dis cretion as to whether 26 
to offer tenants the option to pay a fee in lieu of a 27 
security deposit; prohibiting a landlord from 28 
approving or denying an application for occupancy 29 
based on a prospective tenant's choice to pay a fee in 30 
lieu of a security deposit; r equiring that landlords 31 
who offer a tenant the fee option offer such option to 32 
all new tenants renting a dwelling unit on the same 33 
premises; providing an exception; providing 34 
construction; providing applicability; providing an 35 
effective date. 36 
 37 
Be It Enacted by the Legislature of the State of Florida: 38 
 39 
 Section 1.  Section 83.491, Florida Statutes, is created to 40 
read: 41 
 83.491  Fee in lieu of security deposit. — 42 
 (1)(a)  If a rental agreement requires a security deposit, 43 
a landlord may offer a tenant the option to pay a fee in lieu of 44 
a security deposit. 45 
 (b)  A landlord may provide a tenant the option of paying a 46 
security deposit in monthly installments in an amount that is 47 
agreed upon between the tenant and the landlord while 48 
participating in the fee pr ogram. 49 
 (2)(a)  If a tenant agrees to pay a fee in lieu of a 50          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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security deposit, the landlord must notify the tenant within 30 51 
days after the conclusion of the tenancy if there are any costs 52 
or fees due resulting from unpaid rent, fees, or other 53 
obligations under the rental agreement, including, but not 54 
limited to, costs required for repairing damage to the premises 55 
beyond normal wear and tear. 56 
 (b)  A landlord may not submit a claim to an insurer to 57 
recover the landlord's losses associated with unpaid rent, fees, 58 
or other obligations under the rental agreement, including, but 59 
not limited to, costs required for repairing damage to the 60 
premises beyond normal wear and tear until at least 15 days 61 
after providing the tenant with the required notice under 62 
paragraph (a). 63 
 1.  The landlord must include an itemized list of any 64 
unpaid amounts and the dates such amounts were due, 65 
documentation supporting any itemized damages and costs of 66 
repairs, and a copy of any written objection or report of any 67 
communication of objec tion by the tenant when the landlord 68 
submits a claim to an insurer. 69 
 2.  If an insurer pays a claim that was submitted under 70 
this subsection to a landlord and the insurer has subrogation 71 
rights, the insurer may, within 1 year after the tenancy that 72 
was the subject of the claim ends, seek reimbursement from the 73 
tenant for the amounts paid to the landlord. If the insurer 74 
seeks reimbursement from the tenant, the following apply: 75          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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 a.  The insurer must provide the tenant with all 76 
documentation for losses which t he landlord provided to the 77 
insurer in support of the landlord's claim and a copy of the 78 
settlement statement documenting the insurer's payment of the 79 
landlord's claim. 80 
 b.  The tenant retains any defenses against the insurer 81 
which the tenant would otherwi se have against the landlord. 82 
 3.  A landlord may not accept payment from both a tenant 83 
and an insurer for amounts associated with the same rent, fees, 84 
or damages. 85 
 (3)  If a landlord offers a tenant the option to pay a fee 86 
in lieu of a security deposit, t he landlord must notify the 87 
tenant in writing of all of the following: 88 
 (a)  That the tenant has the option to pay a security 89 
deposit instead of the fee at any time. 90 
 (b)  That the tenant may, at any time, terminate the 91 
agreement to pay the fee in lieu of the security deposit and 92 
instead pay a security deposit as listed in a rental agreement 93 
between the landlord and tenant or, if a security deposit was 94 
not agreed upon in a rental agreement between the landlord and 95 
tenant, in the amount that is otherwise offered to new tenants 96 
for a substantially similar dwelling unit on the date that the 97 
tenant terminates the agreement. 98 
 (c)  That the tenant may choose to pay the securit y deposit 99 
in monthly installments in an amount that is agreed upon between 100          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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the landlord and tenant while participating in the fee program. 101 
 (d)  Whether any additional charges apply for the options 102 
provided in paragraphs (a) and (b). 103 
 (e)  The amount of th e payments required for each option 104 
the landlord offers. 105 
 (f)  That the fee is nonrefundable, if applicable. 106 
 (g)  That the fee is only for securing occupancy without 107 
paying a required security deposit. 108 
 (h)  That the fee payment does not limit or change t he 109 
tenant's obligation to pay rent and fees, if any, under the 110 
rental agreement or limit or change the tenant's obligation to 111 
pay the costs of repairing damage to the premises beyond normal 112 
wear and tear. 113 
 (i)  That if the landlord uses any portion of the fee to 114 
purchase insurance, the tenant is not insured and is not a 115 
beneficiary of the landlord's insurance coverage, and that the 116 
insurance does not limit or change the tenant's obligations to 117 
pay rent and fees under the rental agreement or change the 118 
tenant's obligation to pay the costs of repairing damage to the 119 
premises beyond normal wear and tear. 120 
 (4)(a)  If a tenant decides to pay a fee in lieu of a 121 
security deposit, a written agreement to collect the fee must be 122 
signed by the landlord, or the landlord 's agent, and the tenant. 123 
The written agreement may not contain any clause that 124 
contradicts s. 83.45 or s. 83.47. The written agreement must, at 125          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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a minimum, specify all of the following: 126 
 1.  The amount of the fee, which may not be increased 127 
during the term of the rental agreement. 128 
 2.  How and when the fee is to be collected. 129 
 3.  The process and timeframe during which a tenant must 130 
pay the security deposit specified in the rental agreement if 131 
the tenant defaults on paying the fee, and that such default 132 
will not adversely affect the tenant's credit rating if the 133 
security deposit is timely paid. 134 
 4.  That the written agreement may be terminated at any 135 
time as long as the tenant pays the amount of the security 136 
deposit specified in the rental agreement. 137 
 5.  If the tenant pays the amount of the security deposit 138 
specified in the rental agreement, then the tenant's default on 139 
paying the fee or termination of the written agreement may not 140 
adversely impact the tenant's credit report. 141 
 (b)  The written agreement spec ified under paragraph (a) 142 
must also include a disclosure in substantially the following 143 
form: 144 
 145 
 FEE IN LIEU OF SECURITY DEPOSIT 146 
 147 
THIS FEE IS NOT A SECURITY DEPOSIT AND PAYMENT OF THE 148 
FEE DOES NOT ABSOLVE THE TENANT OF ANY OBLIGATIONS 149 
UNDER THE RENTAL AGREE MENT, INCLUDING THE OBLIGATION 150          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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TO PAY RENT AS IT BECOMES DUE AND ANY COSTS AND 151 
DAMAGES BEYOND NORMAL WEAR AND TEAR WHICH THE TENANT 152 
OR HIS OR HER GUESTS MAY CAUSE. 153 
 154 
THE TENANT MAY TERMINATE THIS AGREEMENT AT ANY TIME 155 
AND STOP PAYING THE FEE AND INSTEAD PAY THE SECURITY 156 
DEPOSIT AS PROVIDED IN SECTION 83.491, FLORIDA 157 
STATUTES. 158 
 159 
THIS AGREEMENT HAS BEEN ENTERED INTO VOLUNTARILY BY 160 
BOTH PARTIES AND THE TENANT AGREES TO PAY THE LANDLORD 161 
A FEE IN LIEU OF A SECURITY DEPOSIT AS AUTHORIZED 162 
UNDER SECTION 83.491, FLORI DA STATUTES. IF THE 163 
LANDLORD USES ANY PORTION OF THE TENANT'S FEE TO 164 
PURCHASE INSURANCE, THE TENANT IS NOT INSURED AND IS 165 
NOT A BENEFICIARY OF SUCH COVERAGE, AND THE INSURANCE 166 
DOES NOT CHANGE THE TENANT'S FINANCIAL OBLIGATIONS 167 
UNDER THE RENTAL AGREEMENT. 168 
 169 
THIS DISCLOSURE IS BASIC. PLEASE REFER TO PART II OF 170 
CHAPTER 83, FLORIDA STATUTES, TO DETERMINE YOUR LEGAL 171 
RIGHTS AND OBLIGATIONS. 172 
 173 
 (5)  A fee in lieu of a security deposit may be: 174 
 (a)  A recurring monthly fee, payable on the same date that 175          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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the rent payment is due under the rental agreement; or 176 
 (b)  Payable upon a schedule that the landlord and tenant 177 
choose and as specified in the written agreement. 178 
 (6)  A fee collected under this section, or an insurance 179 
product or a surety bond accepted, by a landlor d in lieu of a 180 
security deposit is not a security deposit as defined in s. 181 
83.43(12). 182 
 (7)  A landlord has exclusive discretion as to whether to 183 
offer tenants the option to pay a fee in lieu of a security 184 
deposit and is not required to offer such fee optio n to tenants. 185 
However, if a landlord offers a tenant an option to pay a fee in 186 
lieu of a security deposit, the landlord may not use a 187 
prospective tenant's choice to pay, or offer to pay, a fee in 188 
lieu of a security deposit as criteria in the determination to 189 
approve or deny an application for occupancy, and the landlord 190 
must also offer all new tenants renting a dwelling unit on the 191 
same premises the option to pay a fee in lieu of a security 192 
deposit, unless the landlord chooses to prospectively terminate 193 
the fee option for all new rental agreements. 194 
 (8)(a)  This section does not: 195 
 1.  Require a fee collected in lieu of a security deposit 196 
to be used to purchase an insurance product or a surety bond; or 197 
 2.  Prohibit a tenant from being offered or sold an 198 
insurance product or a surety bond to present to the landlord in 199 
lieu of a security deposit if the offer or sale of such 200          
 
CS/HB 133, Engrossed 1 	2023 
 
 
 
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insurance product or surety bond complies with the laws of this 201 
state. 202 
 (b)  Acceptance by a landlord of an insurance product or a 203 
surety bond that is purchased or procured by a tenant, a 204 
landlord, or an agent of the landlord may not be considered an 205 
offer on the part of the landlord to allow a tenant to pay a fee 206 
in lieu of a security deposit for the purposes of subsection 207 
(7). 208 
 (9)  This section applies to rental agreements entered into 209 
or renewed on or after July 1, 2023. 210 
 Section 2.  This act shall take effect July 1, 2023. 211