Senate committee guts bill that would’ve helped renters deal with negligent landlords; tenant advocates call for more
A bill to give Indiana renters more options to deal with negligent landlords was gutted by a Senate committee Wednesday.
The measure now takes the entire issue to a summer study committee.
Among other things, the legislation, SB 202, would’ve created a rent escrow system. If landlords aren’t making necessary repairs to essential services – like electricity, heat and water – the renter could go to court and pay their rent to a third party. That would withhold the rent from the landlord until repairs are made.
The bill’s author, Sen. Fady Qaddoura (D-Indianapolis), said he’s frustrated that only a study committee on the issue can move forward this session.
“But I understand the legislative process,” Qaddoura said. “I understand that we have to convince our colleagues and go through the motions.”
READ MORE: Housing advocates propose policy solutions to help Hoosier renters
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Committee chair Sen. Liz Brown (R-Fort Wayne) said she didn’t want to kill the bill entirely.
“So, I thought putting it in a summer study would give us an opportunity to really flesh out these issues and get some relief for these people, who desperately need it,” Brown said.
Even if the bill passes, it’s not guaranteed to become a study committee topic. That decision is made by the four legislative caucus leaders after session ends.
Tenants advocates call for more action
Andrew Bradley is with Prosperity Indiana. He said the importance of the issue hasn’t been impressed on lawmakers.
“Our message is this issue is too critical to not address this session,” he said.
Bradley said the lack of enforcement of habitability standards in Indiana has raised a variety of other housing costs for the state.
“We believe that the major reason that Indiana has some of the highest rates of severe housing cost burden in the Midwest and lowest rates of affordable and available housing is due to the lack of enforcement,” he said.
Several groups outlined why tenant protections were crucial, noting that rent escrow systems are used in more than half of states to help address critical problems with a rental property.
Amy Nelson is with the Fair Housing Center of Central Indiana. She said in the past two years the center has received over 300 calls from Hoosiers living in “deplorable” conditions.
“This is a statewide problem,” she said. “And as we document in a recent report this is at the same time that Indiana landlords are seeing record profits.”
Nelson said that legislation like SB 202 would simply enforce existing laws.
“Statewide our Hoosier renters have leases in place which require they have habitable space. They pay their rent, but their landlord won’t make needed repairs despite being asked over and over again,” she said. “What are people to do?”
Rabbi Aaron Spiegel is with the Greater Indianapolis Multifaith Alliance, which has been advocating for tenant protection. He said the lack of legislative action on tenant protections can be placed at the feet of lobbying from the Indiana Apartment Association.
“Ninety percent of this is special interest, primarily coming from the Indiana Apartment Association,” he said.
The Indiana Apartment Association did not respond to a request for comment.
Brandon is our Statehouse bureau chief. Contact him at bsmith@ipbs.org or follow him on Twitter at @brandonjsmith5.
