30-12-1899

2006 Conference

1. News
2. 1999
3. December

The Minister of Building Issues, Clayton Cosgrove, gave the opening address at this year’s annual Conference. Key elements of his speech included:

• An outline of the economic significance of the private rental sector and it being a key part of New Zealand’s housing sector
• Advice that government was updating key pieces of legislation to better respond to the changing demographics and make-up of the rental market – including the Residential Tenancies Act 1986 and the Unit Titles 1972 – which are both clearly out of date for the modern rental environment
• Report on developments with the Weathertight Homes Resolution Service, introduction of licensing for those who design and build and a reassurance to landlords that they can still do work that doesn't need a building consent - eg, maintenance and repair, building low fences, garden sheds and low decks, installing new kitchen or bathroom joinery or other internal joinery, and painting and decorating.

Concerning the RTA the following was noted:

• A key piece of legislation affecting our rental business
• A package of reforms to improve the Residential Tenancies Act 1986 and streamline tenancy services
• Benefits for landlords include new property entry rights, and allowing us to recover reasonable debt collection costs incurred in enforcing Tenancy Tribunal Orders through a private debt collection agency, allowing some tenant breaches to become unlawful acts that can result in exemplary damages being awarded. These would include sub-letting, assigning a tenancy without consent, exceeding the number of tenants agreed in a tenancy agreement, or becoming a problem neighbour. The Government has instructed the Ministry of Justice to review the way in which civil debts – for example unpaid rent – can be collected faster and easier by landlords.
• Landlords who breach building, health and safety regulations may face financial penalties, payable to the tenant.
• Greater protection for fixed term tenants is proposed by compelling landlords to notify tenants at least three weeks before the tenancy period ends if they are not going to renew the contract
• A new RTA will also pick up on the concerns that were behind Maryan Street's Residential Tenancies (Damage Insurance) Amendment Bill.

Concerning the UTA the following was noted:

• The review affects those with investments in apartments and high-rise buildings
• 500,000 people will be living in apartments, townhouses and high-rise buildings in Auckland alone within 50 years time
• The current Act is 34 years old and is outdated
• Departmental officials currently analysing submissions from the recent round of public consultation, including the NZPIF submission with a call for “clear and unambiguous rules and expectations
• The Government will announce its proposed amendments to the Act towards the end of the year

RT (DAMAGE INSURANCE) AMENDMENT BILL - Withdrawn

The report of the Social Services Select Committee on the Residential Tenancies (Damage Insurance) Amendment Bill was presented to Parliament on 14 September and is to be formally debated on 8 November.

As previously reported, the Committee recommended that the Bill not be proceeded with. A Parliamentary vote is to be held to confirm that recommendation.

As indicated in the Minister’s speech to the NZPIF Conference, the new Residential Tenancies Bill, due early next year, may pick up on some of the concerns raised in the Bill – especially where they might relate to body corporate insurance arrangements.