SB 771 -- SELF-STORAGE FACILITIES

SPONSOR: DePasco (Rizzo)

COMMITTEE ACTION: Voted "do pass" by the Committee on Commerce by a vote of 21 to 1.

This bill authorizes operators of self-storage facilities to impose reasonable late fees for each month an occupant does not pay rent when due, as long as the late fee is specified in the rental agreement. A reasonable late fee is defined as the greater of $20 or 20% of the monthly rental amount. An operator who wishes to establish a late fee that is higher than that defined in the bill has the burden of proof that the higher late fee is reasonable. The bill also permits operators to recover all reasonable rent collection and lien enforcement expenses from the occupant.

FISCAL NOTE: No impact on state funds.

PROPONENTS: Supporters say that the bill provides additional protections for both consumers and owners of self-service storage facilities.

Testifying for the bill was Senator DePasco.

OPPONENTS: There was no opposition voiced to the committee.

Debra Cheshier, Senior Legislative Analyst