Assigned to GOV                                                                    AS PASSED BY CONFERENCE COMMITTEE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Fourth Legislature, First Regular Session

 

AMENDED

FACT SHEET FOR H.B. 2358

 

landlord tenant; partial payment; assistance

Purpose

            Specifies that acceptance of a housing assistance payment by a landlord does not constitute an acceptance of partial payment of rent or waive the landlord's right to terminate a rental agreement for any breach by the tenant.

Background

            A landlord is not required to accept partial payment of rent or other charges from a tenant. If a landlord does accept partial payment of rent or other charges, the landlord does not retain the right to proceed against a tenant, unless the tenant agrees in writing to the terms and conditions of the partial payment. The written agreement must contain the date on which the rent balance is due. A landlord may proceed against a tenant in breach of the written agreement or any other breach of the original rental agreement (A.R.S. § 33-1371). If a rental agreement is terminated, the landlord may have a claim for possession and rent and a separate claim for actual damages for a breach of the rental agreement (A.R.S. § 33-1373).

            There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.      Specifies that a landlord's acceptance of a housing assistance payment does not:

a)      constitute an acceptance of partial payment of rent; or

b)      waive the landlord's right to terminate the rental agreement for any breach by the tenant.

2.      Defines housing assistance payment to include any payment made to a landlord by a government agency, public housing authority or a third party on behalf of a government agency, public housing authority or for-profit entity pursuant to a separate written rental assistance or subsidy contract.

3.      Exempts, from the definition of housing assistance payment, any payment made by a
faith-based organization, community action agency program or nonprofit entity.

4.      Makes technical and conforming changes.

5.      Becomes effective on the general effective date.

Amendments Adopted by Committee of the Whole

1.      Modifies the definition of housing assistance payment to:

a)      exempt any payment made by a faith-based organization, community action agency program or nonprofit entity that does not have a separate written rental assistance or subsidy contract; and

b)      apply to payments made pursuant to a written rental assistance or subsidy contract, rather than written agreement, between a landlord and payor.

2.      Makes technical changes.

Amendments Adopted by Conference Committee

1.      Includes, in the definition of housing assistance payment, payments made to a landlord by a third party on behalf of a for-profit entity pursuant to a separate written rental assistance or subsidy contract.

2.      Removes the requirement, in order to be exempted from the definition of housing assistance payment, that a payment made by a faith-based organization, community action agency program or nonprofit entity not have a separate written rental assistance or subsidy contract.

House Action                                                           Senate Action

COM               2/12/19      DP       7-2-0-0               GOV               3/18/19      DP     4-3-0

3rd Read          2/25/19                  45-15-0               3rd Read          4/18/19                 16-13-1

Prepared by Senate Research

May 8, 2019

MH/kja