SENATE BILL REPORT

SB 6258

BYSenators Nelson, Sutherland, McCaslin and Saling

Providing utility services to tenants.

Senate Committee on Law & Justice

Senate Hearing Date(s):January 22, 1990; January 29, 1990

Majority Report:  That Substitute Senate Bill No. 6258 be substituted therefor, and the substitute bill do pass.

      Signed by Senators Nelson, Chairman; McCaslin, Vice Chairman; Hayner, Madsen, Newhouse, Patrick, Thorsness.

Minority Report:  Do not pass and do not substitute.

      Signed by Senators Niemi, Rinehart, Talmadge.

Senate Staff:Richard Rodger (786-7461)

                  January 30, 1990

AS REPORTED BY COMMITTEE ON LAW & JUSTICE, JANUARY 29, 1990

BACKGROUND:

Gas, electric, and water companies may place a lien against the property of a landlord if the tenant fails to pay for services rendered.

Utility companies may refuse to provide services to a residential customer who is a tenant based upon the nonpayment for services by a prior tenant.

SUMMARY:

Charges for all utility services are made to the customer receiving the service.  Utility companies are prohibited from placing liens against the property of a landlord based upon the failure of a tenant to pay for services.

Utility companies are prohibited from refusing to provide service to a residential customer who is a tenant, based upon the nonpayment for services by the prior customer.  The company may refuse to provide the service if the prior nonpaying customer continues to reside in the premises.

EFFECT OF PROPOSED SUBSTITUTE:

A landlord may collect a separate deposit to ensure payment of utility bills.  The agreement shall be in writing and the funds shall be placed in a trust account until dispersed.  The landlord shall return any remaining deposit within 14 days after receiving the final billing from the utility or proof of payment by the tenant.

Utility companies shall provide a final billing to the landlord within five days of notice of the tenant's termination of service or vacation of the premises.

The requirement that all charges be made to the customer receiving the service is stricken.  The prohibition against utilities placing liens against the property of a landlord for the tenant's utility bill is removed.

Appropriation:    none

Revenue:    none

Fiscal Note:      available

Senate Committee - Testified: Jim Lazar, citizen, (pro);  Stan Finkelstien, Association of Washington Cities, (con);  Bob Noack, City of Lynnwood, (con);  Dan Clements, City of Renton, (con);  Fred Wilmeth, City of Steilacoom, (con);  Steve Karavitis, City of Tacoma, (con);  Gerald Phillips, Apartment Association of Seattle and King County, (pro);  Bill Brumfield, Southwest Washington Rental Association, (pro);  Tim Seth, Washington Apartment Association, (pro);  Dan Vander Kolk, Southwest Washington Rental Association, (pro);  Theresa Bosler, Washington Mobile Park Association, (pro);  Will Guimont, National Trailer Park Association, (pro)