SB 209 — AN ACT CONCERNING NONRESIDENT LANDLORD REGISTRATION AND INCREASING PENALTIES FOR REPEAT BUILDING AND FIRE CODE VIOLATIONS.

(Probation) GF - Potential Minimal Minimal Cost Resources of the General Fund GF - Potential Minimal Minimal Revenue Gain Note:

GF=General Fund Municipal Impact:

Municipalities Effect FY 25 $ FY 26 $ Various Municipalities Revenue Potential Potential Gain Explanation The bill requires municipalities with a population of 25,000 or more to require certain residential property owners and landlords to report information to the municipality and establishes that failure to do so will result in a violation.

This results in a potential revenue gain to municipalities beginning in FY 25 as reporting requirement violations result in a $100 fine.

There is an additional revenue gain to municipalities that have established an ordinance for a civil penalty for reporting requirement violations.

This penalty may be up to $500 for a first violation and up to $1,000 for subsequent violations.

According to the U.S.

Census Bureau population estimates, in 2022 there were 45 towns in Connecticut with a population of 25,000 or more.

sSB209 / File No.

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502 The bill also increases second and subsequent penalties for certain fire and building code violations, which results in a potential cost to the Judicial Department for probation and a potential revenue gain to the General Fund from fines.

On average, the marginal cost to the state for incarcerating an offender for the year is $3,300 while the average marginal cost for supervision in the community is less than $800 each 3 year for adults.

In FY 23, there were less 50 total offenses recorded and less than $1,000 in total revenue for these offenses.

The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to the number of violations.

2Inmate marginal cost is based on increased consumables (e.g., food, clothing, water, sewage, living supplies, etc.).

This does not include a change in staffing costs or utility expenses because these would only be realized if a unit or facility opened.

3Probation marginal cost is based on services provided by private providers and only includes costs that increase with each additional participant.

This does not include a cost for additional supervision by a probation officer unless a new offense is anticipated to result in enough additional offenders to require additional probation officers.

4CGS Sec.

29-354:

3 offenses;

CGS Sec.

29-291c:

25 offenses and $1,000 revenue;

and CGS Sec.

29-254a:

18 offenses sSB209 / File No.

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502 OLR Bill Analysis sSB 209 AN ACT CONCERNING NONRESIDENT LANDLORD REGISTRATION AND INCREASING PENALTIES FOR REPEAT BUILDING AND FIRE CODE VIOLATIONS.

SUMMARY This bill requires municipalities with a population of at least 25,000 based on the most recent decennial census (“covered municipalities”) to require certain residential property owners and landlords to report specified information to the municipality, such as their current residential address.

Existing law allows, but does not require, all municipalities to do so.

The bill also modifies the reporting requirement for these municipalities to include other identifying information for the owner, landlord, or agent in charge of the building.

Under current law, the identifying information requirement applies only to certain individuals associated with a business entity that owns rental property.

Additionally, under the bill, violators commit a violation, rather than an infraction.

The bill adds complying with the modified reporting requirement to the law’s list of landlord responsibilities (§ 2).

Under existing law, (1) rental agreements cannot allow landlords to receive rent payments for any period during which the landlord is noncompliant with these responsibilities (CGS § 47a-4a) and (2) a tenant who claims that the landlord failed to perform his or her legal duties may generally institute an action in Superior Court to seek relief (CGS § 47a-14h).

The bill also establishes increased penalties for repeat violations of the State Building Code, the State Fire Prevention Code and Fire Safety Code, and certain written orders by building inspectors.

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502 Lastly,itmakestechnical,conforming,andotherminorchanges,such as specifying that the duties of agents in charge of a building include property supervision and maintenance to comply with state and local codes.

EFFECTIVE DATE:

October 1, 2024 § 1 — MUNICIPAL LANDLORD IDENTIFICATION REQUIREMENTS Current law allows municipalities to require nonresident property owners and landlords renting to federal Housing Choice Voucher programparticipants(also knownas“project-basedhousing providers” or PBHPs) to report certain information to the tax assessor or another designated municipal officer.

This information must include the following:

1.

the owner’s or PBHP’s current residential address, if they are an individual, or 2.

the current residential address of (a) the agent in charge of the building and (b) each person who exercises day-to-day financial or operational control of the property (i.e., “controlling participants”), if the owner or PBHP is a business entity that owns rental property in the state (i.e., a corporation, partnership, trust, or other legally recognized entity).

For business entities, this report must also include identifying information for the controlling participants.

Identifying Information and Nonresident Owners Current law does not define “identifying information,” but under the bill it is proof of a person’s name, birthdate, current residential address, driver’s license number, or other government-issued identification number.

The bill also defines nonresident owner, which is a person who does not live at the residential rental property and is either (1) an owner (i.e., one or more people with legal title to the property or beneficial ownership and a right to present use and enjoyment of the premises, including mortgagees in possession) or (2) a controlling participant.

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502 Covered Municipalities Under the bill, covered municipalities must require nonresident property owners and PBHPs to report the information described above to them.

For these municipalities, the bill also expands the reporting requirement to include accurate identifying information for the nonresident owner, PBHP, or agent in charge.

Under current law, reportsprovidedto a tax assessor onor afterOctober 1,2023,are exempt from disclosure under the state’s Freedom of Information Act.

The bill makes these reports exempt regardless of when they were provided.

Violations of Reporting Requirement Under the bill, a person who violates the reporting requirement discussed above commits a violation, rather than an infraction as under current law(see BACKGROUND).Consequently, thefineforaviolation under the bill is $100 (rather than being based on the schedule of infraction fines) and cannot be paid by mail (CGS § 51-164m(f)).

Existing law also allows municipalities to adopt an ordinance setting a civil penalty for violations of the reporting requirement.

The penalty cannot exceed $500 for a first violation and $1,000 for subsequent violations.

Anyone who is assessed a civil penalty may appeal to the Superior Court (CGS § 47a-6b).

§§ 3-5 — INCREASED PENALTIES FOR CERTAIN REPEAT CODE VIOLATIONS The bill establishes increased penalties for repeat violations of (1) the State Building Code;

(2) the State Fire Prevention Code and Fire Safety Code;

and (3) a building inspector’s written order for providing additional exits, making repairs or alterations, or removing the building or a portion of it.

The bill retains current law’s penalties for these violations for a first offense (i.e., a fine between $200 and $1,000, imprisonment up to six months, or both).

Under the bill, the penalties for subsequent violations are as follows:

1.

State Building Code or building inspector’s written order:

a fine between $500 and $2,000, up to one year of imprisonment, or sSB209 / File No.

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502 both;

2.

State Fire Prevention Code and Fire Safety Code:

a fine between $500 and $1,000, up to one year of imprisonment, or both.

Under existing law, unchanged by the bill, the fire code-related violations may also be subject to a fine of $50 per day for each day the violation continues.

BACKGROUND Infractions Infractions are punishable by fines, usually set by Superior Court judges, of between $35 and $90, plus a $20 or $35 surcharge and an additional fee based on the amount of the fine.

There may be other added charges depending upon the type of infraction.

For example, certain motor vehicle infractions trigger a Special Transportation Fund surcharge of 50% of the fine.

An infraction is not a crime, and violators can pay the fine by mail without making a court appearance.

COMMITTEE ACTION Housing Committee Joint Favorable Substitute Change of Reference - JUD Yea 13 Nay 2 (03/07/2024) Judiciary Committee Joint Favorable Yea 29 Nay 7 (03/28/2024) sSB209 / File No.

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