House lawmakers OK digital payment protections for tenants, landlords

Technology is great until it isn’t, a testifier told the House Housing Finance and Policy Committee when it heard a bill aimed at addressing payment problems for landlords and tenants — sometimes caused when digital platforms fail.

Twice amended before unanimously being passed by the House Thursday, HF3951/SF4171* would ensure tenants are not penalized when digital rent-payment platforms go down and would protect landlords from being stuck with unpaid utility charges from tenants who move out.

Sponsored by Rep. Spencer Igo (R-Wabana Township), the measure now returns to the Senate for concurrence.

Igo said tenant and landlord groups each recognized they had concerns, worked together on solutions, and brought forward a proposal that benefits both sides while making the lives of landlords and tenants better.

For tenants, the bill would require landlords to provide an alternative method of payment and prohibit them charging late fees when an online portal is not functioning.

For landlords, the bill would create a way to estimate a departing tenant’s final utility bill in buildings with shared meters, basing the amount on the previous billing period.

“Landlord/tenant law is not the easiest to find common ground, but we did so this year,” Rep. Michael Howard (DFL-Richfield) said.

Amendments

The House approved two amendments. One, offered by Rep. Samakab Hussein (DFL-St. Paul), would prohibit minor children from being listed on eviction complaints, unless the child is the only person renting the unit. This can prevent an issue of a young adult finding out years after the fact that they have an eviction case on their record, he said.

Offered by Rep. Jeff Dotseth (R-Silver Township), another would allow expedited eviction action when a tenant assaults a landlord or their employees or contractors. It closes a clear gap, Dotseth said, and forwards the goal of ensuring everyone feels safe at home.