HB 1074 Security Deposits

With HB 1074, which changed how you collect, record, process and return security deposits fully in place, we thought this would be a good time to offer a few things for you to consider and a request.

• Lease renewals are new leases so they will need to comply with the requirements of HB 1074
• The new law requires a signed and dated checklist. In addition to new leases, you will need to do this for lease renewals to be in compliance at move out
• Although you cannot use the security deposit for carpet cleaning, you can require a carpet cleaning fee at lease inception. For renewing leases, you will have to consider if you want to require a carpet cleaning fee at renewal

This is not legal advice, only suggestions on things you should consider when redesigning your security deposit processes. Please consult your legal counsel to ensure your new processes comply with the law.

Now the request. As you are putting new processes in place and having to redo your previous move-in security deposit procedure for renewals, please consider tracking any additional cost this has caused. This information is helpful for your GA team when informing legislators about the unintended consequences of this legislation.

HB 1074  "Changes" Slide Deck"