Plain English Breakdown
The official text states the bill passed both chambers but does not list an effective date.
Rules for Hotel Land Rent and Public Utilities Commission Appointments
This law stops landowners from raising ground rent on hotel or motel properties based on future housing density bonuses unless those rights are already secured, and it requires the Governor to consider geographic diversity when appointing commission members.
What This Bill Does
- Prohibits valuing land with operating hotels or motels for rent adjustments using residential density bonuses that are not yet entitled or vested as of the valuation date.
- States that these new rules do not change existing requirements to earn a density bonus under current law.
- Requires the Governor to ensure a diverse composition of Public Utilities Commission members by considering geographic diversity and other factors.
Who It Names or Affects
- Landowners who lease land with operating hotels or motels
- Developers seeking housing density bonuses on hotel or motel properties
- The Governor regarding appointments to the Public Utilities Commission
Terms To Know
- Density Bonus Law
- A rule that requires cities and counties to give developers extra building allowances, incentives, or waivers if they build specified housing units.
- Ground Rent
- The payment made under a lease for the use of land improved with an operating hotel or motel.
- Entitled and Vested
- Density increases that are legally secured as of the valuation date used to set rent.
Limits and Unknowns
- The bill does not define what specific 'other factors' beyond geographic diversity must be considered for commission appointments.
- The official text provided does not include an effective date for when these rules begin.
- These rent restrictions apply only to land with operating hotels or motels, not other property types.