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Subsidized renters and fees

Published (3/23/2012)
By Lee Ann Schutz
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Those renting under a federally subsidized program will see their interest rate on late fees come down from the current 8 percent to correspond with the federal standard, under a new law signed by Gov. Mark Dayton March 20.

The law will take care of an “inadvertent oversight when state statutes were updated in 2010,” according to the House sponsor, Rep. Mary Liz Holberg (R-Lakeville). The Senate sponsor is Sen. Scott Newman (R-Hutchinson). The law applies to any eviction action on or before Dec. 31, 2014.

The law, effective Aug. 1, 2012, will allow landlords operating a lease under a federally subsidized tenancy program to charge late fees, but on a schedule consistent with that of federal guidelines.

It would also delay the effective dates on provisions related to tenant evictions in a foreclosed property from Jan. 1, 2013, to

Jan. 1, 2015.

HF1515*/ SF1272/CH132

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