Monday, January 9, 2017

==Legislative Update, 2017 #01== First minor bill hearings this week.


The rush of new legislation is just starting.

Howdee everyone,
 
The beginning of the legislative season is here.  See the schedule below for hearings this week. 
 
Action items this week:
None.  You decide. 
 
See more info in Summaries & Full Detail for each bill further below. (includes property owner position, contact info, Talking points, and more).
(to jump right to bill detail, use Control-F, Find).
 
Hearings this week:
01/11/2017 at 10:00 AM    LOB Room 301
HB117, Tax exemption to assist elderly or disability
Level of Response: Email legislators Call Legislators
Property Owner Position: For
 
01/11/2017 at 10:00 AM    LOB Room 301
HB172, Enabling Counties to borrow against anticipated taxes
Level of Response: You Decide
Property Owner Position: You Decide
 
01/11/2017 at 01:15 PM    LOB Room 302
HB279, Smoking on private & commercial property 
Level of Response: You Decide
Property Owner Position: You Decide
 
01/12/2017 at 01:15 PM    LOB Room 302
HB150, property and casualty insurance 
Level of Response: You decide
Property Owner Position: You decide
 
01/12/2017 at 02:15 PM    LOB Room 207
HB129, Repealing the Education Tax Credit
Level of Response: Email legislators
Property Owner Position: Against
 
01/12/2017 at 03:15 PM    LOB Room 302
HB78, Increase penalties for violating property and casualty laws
Level of Response: Email legislators
Property Owner Position: Against
 
Hearings next week:
None scheduled so far
 
 
Further below is:
Bills Updated Status summary:
Full details on all bills above
(Which includes property owner position, contact info, talking points, and more)
 
Love & Light,
Nick Norman
Director of Legislative Affairs
==============================================
We only list the committee reports on the most important bills affecting the real estate business.  If you want to get the committee report on one of the other bills contact me & I will show you how to get them on line.  Its not terribly hard to get but not straight ahead either.
==============================================
Bills Updated Status summary:
We only list the committee reports on the most important bills affecting the real estate business.  If you want to get the committee report on one of the other bills contact me & I will show you how to get them on line.  It’s not terribly hard to get but not straight ahead either.
 
HB117     
Title: relative to the property tax exemption for improvements to assist persons with disabilities.
Property Owner Position: For
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none
 
HB172     
Title: relative to tax anticipation notes in counties.
Property Owner Position: You Decide
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none
 
HB279     
Title: relative to smoking on private property.
Property Owner Position: You Decide
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none
 
HB150     
Title: relative to property and casualty insurance.
Property Owner Position: You decide
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none
 
HB129     
Title: repealing the education tax credit.
Property Owner Position: Against
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none
 
HB78     
Title: relative to penalties for violating the insurance laws regarding property and casualty insurance.
Property Owner Position: Against
General Status: HOUSE
House Status: IN COMMITTEE
Senate Status: none ==============================================
Full details on all bills above:
HB117, Tax exemption to assist elderly or disability
01/11/2017 at 10:00 AM    LOB Room 301
Title: Title: relative to the property tax exemption for improvements to assist persons with disabilities.
 
Summary: Provide, upon application, an assessment exemption for improvements for elderly (over 65), improvements can include standby generators.  The bill also makes current statute gender neutral 
 
Property Owner Position: For
 
 
Email to Committee: 
Subject: HB117 
 
Analysis Stated in Bill: 
 
Talking Points:
Allows owner occupiers an offset, from assessment, for the amount of improvements for disabled or elderly .  Similar to current solar exemption.  Section II; the owner should not have to reside in the property for the exception. If a lanldord makes an improvement for an elderly or disabled tenant it should also count. IV should read same year not some year.
=====================
HB172, Enabling Counties to borrow against anticipated taxes
01/11/2017 at 10:00 AM    LOB Room 301
Title: Title: relative to tax anticipation notes in counties.
 
Summary: This bill would give counties the authority to borrow against anticipated taxes for current expenses. We don't see any direct impact on residential landlords.
 
Property Owner Position: You Decide
 
 
Email to Committee: 
Subject: HB172 
 
Analysis Stated in Bill: 
 
Talking Points:
 
=====================
HB279, Smoking on private & commercial property 
01/11/2017 at 01:15 PM    LOB Room 302
Title: Title: relative to smoking on private property.
 
Summary: This bill would amend the indoor smoking act by allowing smoking in privately owned vehicles, whether or not used for private purposes, 
allowing for banning smoking in privately owned premises where the person in charge has banned smoking.
 
The bill would also delete the blanket ban on smoking in grocery stores, cocktail lounges and restaurants. Seemingly, it would leave it up to the person in charge to decide if any of these privately owned facilities would ban smoking.
 
Property Owner Position: You Decide
 
 
Email to Committee: 
Subject: HB279 
 
Analysis Stated in Bill: 
 
Talking Points:
You decide on this one.
=====================
HB150, property and casualty insurance 
01/12/2017 at 01:15 PM    LOB Room 302
Title: Title: relative to property and casualty insurance.
 
Summary: This is a bill that amends the statute for property and casualty insurance.  It seems to have little impact on us.
 
Property Owner Position: You decide
 
 
Email to Committee: 
Subject: HB150 
 
Analysis Stated in Bill: 
 
Talking Points:
We're basically just letting you know this bill is here incase you think it may impact you.  Not sure we have the knowledge to take a position on the bill.  If you learn more please let us know.
=====================
HB129, Repealing the Education Tax Credit
01/12/2017 at 02:15 PM    LOB Room 207
Title: Title: repealing the education tax credit.
 
Summary: Remove education/scholarship tax credit against business profits tax.
 
Property Owner Position: Against
 
 
Email to Committee: 
To: 0
Subject: HB129 
 
Analysis Stated in Bill: 
 
Talking Points:
While we see this as a small impact bill, we also would oppose  anything that would increase the effect of the Business Profits Tax.  According to the Fiscal Note at the bottom of the bill, the tax credit to be repealed is an offset of BET or BPT for scholarships. The amount deducted over the last few years has been miminal (Highest year $115,000). RE companies could use this decuction as an effective tool to assist personnel .
=====================
HB78, Increase penalties for violating property and casualty laws
01/12/2017 at 03:15 PM    LOB Room 302
Title: Title: relative to penalties for violating the insurance laws regarding property and casualty insurance.
 
Summary: The bill substantially increases fines set forthin RSA 412:40
 
Property Owner Position: Against
 
 
Email to Committee: 
Subject: HB78 
 
Analysis Stated in Bill: 
 
Talking Points:
Here is the entire bill.
"The commissioner, may upon a finding that any person or organization has violated any provisions of this chapter, impose a penalty of not less than [$500] $10,000 or more than [$10,000] $40,000 for each violation, but if the violation is found to be willful, a penalty of not less than [$1,000] $30,000 or more than [$25,000] $75,000 may be imposed for each violation. Separate penalties may be in addition to any other penalty provided by law. "
 
This is a very large increase, especially on the low end.  What about a minor infraction, now the minimum is $10000?  The RSA 412 is very long with lot of rules to understand and therefore easy to miss one.  
=====================
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Friday, December 30, 2016

=Legislative Update, 2016 #25== New lead paint law update. Now (this weekend) is the time if you want to provide input on this huge bill.

Howdee everyone,
 
If you want to follow up, stay in touch with the new enormous lead bill and possibly respond to it, then read on.
If not you can skip this email entirely.
 
The lead commission is meeting and continuing its action.
The good news is there is good landlord participation on the commission.  And recent meetings have seen very good work on both sides to come to agreement on something that is approaching being workable.
 
We’ve attempted to summarize this for you but the bill is huge, complicated and not easy to condense.
 
Immediately below this email is:
A summary of the original bill & second draft bill.
A summary of where we are at now.
 
Attached is:
161129 Commission lead provisions.doc
    Actual language of several provisions.
 
161222LeadLanguageWithSomeLandlordNotes.doc
    Some of the latest proposals still being worked on.
    Send back your thoughts.
 
161230 Unconfirmed lead provisions.doc
    We have not been given the language that is being submitted with the LSR (bill actually going to legislature). Perhaps that is because parts of it are still being drafted.
Included in this file is what would seem to be included in the final bill based on commission discussions, votes and language in place at the time of voting.
 
Action items to help and be part of the solution:
1. Review the enclosed and attached information
2. Send back your comments.
We’d like to know you are in agreement with our positions on each section in the bill.
 
Please note the original & second drafts were mostly prepared by tenant & lead advocates. 
 
Let me know if you want to be on the frequent update list which will be getting more updates, especially over the next few weeks as we continue to work on final bill language.
 
Love & Light,
Nick Norman
Director of Legislative Affairs
=======
Summary of the original bill & second draft bill
These points are extremely oversimplified to give you the flavor of what was in original drafts of the bill.
 
Minimum Housing Standards, RSA 48-A:14
Added property may not have loose, peeling, chipping, chalking or flaking lead-based paint
water lines may not have high lead in water 
…
Prohibited Practices
RSA 540-A:3 to include that
No landlord of pre-1978 rental housing shall allow the presence of loose, peeling, chipping, chalking or flaking lead-based paint or 
have high lead in water
or fail to comply with essential maintenance practices and applicable public health laws and regulations concerning lead.
…
Remedies for Prohibited Practices
RSA 540-A:4
Landlord subject to injunctive relief for not addressing lead in paint or water and civil penalties to tenant if not complying with injunctive relief.
…
Lead in water testing
Landlord required to test for lead in water and required to remediate for lead in water.  Using filters for lead remediation is allowed.
…
Tenants must comply with written instructions to prepare for remediation of a lead hazard.
…
Tenant may be evicted for willful creation of a lead hazard
…
Day Care license
Can be suspended, revoked or denied if not following Essential Maintenance practices or other lead laws (RRP).
Must test for lead in water.
…
Blood Lead Level, BLL, of action
Drop BLL from 10 ug/dl to 5 ug/dl
Projections have been that this would cause the number of lead orders to sky rocket from 75 /year to any where from 600 to 7000/year.
 
Also, DHHS must conduct investigation (which leads to lead order) when DHHS believes there is a lead hazard.
…
RRP
NH DHHS would take over running the RRP including rule making authority.
…
Essential Maintenances Practices, EMP
Would be mandatory for pre-1978 rental properties and childcare facilities
Tiny incentive, “carrot”, offered that property owner shall not be liable to a tenant of the property for any warranty of habitability claim related to exposure to lead.
…
Building permits, enforcement
Building permit would require a certification that RRP will be used if disturbing lead.
 
Building officials can coordinate with DHHS to enforce RRP.
 
Building official may shutdown a job if they believe RRP is not being followed.
…
Lead Poisoning Prevention fund
Expanded to include the very non-descript “and other designated activities” & replacement of lead pipes.
…
Public Water Systems and Privately Owned Redistribution Systems
Will have to inspect their systems for lead pipes and eliminate lead pipes within one year.
…
Paint can fee
Established to raise money for lead remediation and prevention of childhood lead poisoning.
…
Notifying Purchasers of Real Property
Added wording to notifications including lead in water
…
BLL testing
Move all NH municipalities to universal testing meaning all 1 & 2 years old children would be tested for lead.
 
No child admitted to public school without having had a prior lead test.
 
=======
Summary of where we are at now
Perhaps the most major pieces of forward movement are:
(see 161222LeadLanguageWithSomeLandlordNotes.doc)
 
changing the lead order process from the present abate entire building with abatement rules all at once method (whole building approach) to a method of abating the subject unit with abatement rules and perhaps the remainder using RRP rules (graduated approach).  (Still being drafted).
 
And EMP would be moved from mandatory to voluntary unless a child had an elevated lead level.  The incentive “carrot” is a little stronger by adding “the owner shall not be liable for breach of warranty of habitability relative to lead-based paint and shall be entitled to a rebuttable presumption of having exercised due care relative to preventing lead hazard exposures.”
 
And notification would be given to the landlord at ANY venous BLL which gives owners more early alerts to be proactive without lead orders and prevent the child’s level from going higher.
 
In exchange for that, actions would be taken for children measuring >=5ug/dl and <10 .="" id="yui_3_16_0_ym19_1_1483125560342_32981" span="">  However, those actions could be done in a common sense plan using RRP rules.  If however, the child did not improve then abatement rules would kick in.  This allows the “good” landlord to handle the situation reasonably at a much lower cost with out a lead order.
 
The interaction of these components is still being drafted.
Your input would be helpful.
…
Dropped.
Minimum Housing Standards, RSA 48-A:14
…
Not sure about this section.  It appears to be dropped.
Prohibited Practices
RSA 540-A:3 to include that
No landlord of pre-1978 rental housing shall allow the presence of loose, peeling, chipping, chalking or flaking lead-based paint or 
have high lead in water
or fail to comply with essential maintenance practices and applicable public health laws and regulations concerning lead.
…
Not sure about this section.  It appears to be dropped.
Remedies for Prohibited Practices
RSA 540-A:4
Landlord subject to injunctive relief for not addresses lead in paint or water and civil penalties to tenant if not complying with injunctive relief.
…
survived.
Lead in water testing
 (for child care See 161129 Commission lead provisions.doc)
 (for landlords see 161230 Unconfirmed lead provisions.doc)
Landlord required to test for lead in water and required to remediate for lead in water.  Using filters for lead remediation is allowed.
 
Many troubling provisions here.  We are against this section relating to landlords and feel first efforts at lead in water should be with the companies supplying the water.
Note this section would require testing for every new tenancy.
…
survived.
(see 161230 Unconfirmed lead provisions.doc)
Tenants must comply with written instructions to prepare for remediation of a lead hazard.
…
survived.
(see 161230 Unconfirmed lead provisions.doc)
Tenant may be evicted for willful creation of a lead hazard
…
Not sure if this section survived or not.  Need to see final language with LSR
(see 161230 Unconfirmed lead provisions.doc)
Day Care license
Can be suspended, revoked or denied if not following Essential Maintenance practices or other lead laws (RRP).
Must test for lead in water.
…
survived.
(see 161222LeadLanguageWithSomeLandlordNotes.doc)
Blood Lead Level, BLL, of action
…
survived.
(see 161230 Unconfirmed lead provisions.doc)
RRP
NH DHHS would take over running the RRP including rule making authority.
 
We are against this provision.  However, notice that the current draft addresses one of our concerns by limiting DHHS so they can not “tighten” the RRP rule but only enforce it which includes certifications and fees.
 
…
(see 161222LeadLanguageWithSomeLandlordNotes.doc)
Essential Maintenances Practices, EMP
…
Appear to be dropped.
Building official RRP enforcement
 
survived.
(See 161129 Commission lead provisions.doc)
Building permit would require a certification that RRP will be used if disturbing lead.
Actually we view this as good.  Everyone should be using RRP if it would normally be required anyway.
…
Unsure, guessing this section survived.
(see 161230 Unconfirmed lead provisions.doc)
Lead Poisoning Prevention fund
Expanded to include the very non-descript “and other designated activities” & replacement of lead pipes.
 
The troubling part is DHHS wants to tap the fund for things that would grow the size of their department and are not lead remediation.
…
survived.
Public Water Systems and Privately Owned Redistribution Systems
 (See 161129 Commission lead provisions.doc)
Water systems will have more time.
We think this is important and should be the first step.
In other words, make sure the water being delivered to our properties is good before we are required to remediate lead in water which might not be from our building but actually delivered to us with lead in the water already.
 
However, the wording seems weak.  Water systems have to make reasonable efforts but don’t have to excavate to prove anything.  Still it is a good start.
…
Survived and expanded.
(see 161230 Unconfirmed lead provisions.doc)
Paint can fee
Established to raise money for lead remediation and prevention of childhood lead poisoning.
 
We are naturally in favor of this.  We were able to move the commission from a recommendation of 2.5 million to 3 million and include that the 3 million would be achieved through a paint can fee and an allocation from the general fund.  We have been in support of the fee being $1/gallon and adamant that the money only be spent on lead remediation.
 
There is a proposal that this fund be administered using a simple voucher system that would effectively give landlords a flat price per window, per door etc.  Current talk is about reimbursing approximately 50% of average labor and materials.  The reimbursement would be for landlords that voluntarily comply with Essential Maintenance Practices and are proactive at remediating lead hazards.