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HB1404 • 2026

Fraudulent Utility Conversion; create crime when landlord fails to pay utilities and tenants' utilities are interrupted.

AN ACT TO PROHIBIT A PERSON WHO HAS RECEIVED PAYMENT IN ACCORDANCE WITH A LEASE TO PAY UTILITY SERVICES FROM KNOWINGLY FAILING TO PAY OR USING AN AGENT OR EMPLOYEE TO USE ANY DECEPTION TO NOT PAY THE AMOUNT OWED TO THE UTILITY SERVICE; TO PROVIDE CRIMINAL PENALTIES; AND FOR RELATED PURPOSES.

Crime Energy Housing
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Yates, Mansell, Felsher
Last action
2026-03-25
Official status
Law
Effective date
Passage

Plain English Breakdown

The candidate explanation included an exemption for accidental failure, which is not supported in the official source material.

Fraudulent Utility Conversion; create crime when landlord fails to pay utilities and tenants' utilities are interrupted

This law makes it illegal for landlords who receive money from tenants to pay utility bills but do not use that money to actually pay the utilities, setting criminal penalties based on the amount involved.

What This Bill Does

  • Makes it a crime for landlords to fail to pay utility bills with rent money they collect from tenants.
  • Sets different levels of punishment based on how much money was involved in the crime.
  • Requires those found guilty to give back any money or property taken as part of the crime.

Who It Names or Affects

  • Landlords who receive payments from tenants for utilities
  • Tenants whose utilities might be cut off due to their landlord's actions

Terms To Know

Utility services
Services like water, electricity, gas, heat, and sewer that are provided by companies.
Juridical person
A legal entity such as a corporation or partnership that can enter into contracts and be sued in court.

Limits and Unknowns

  • The law does not specify how landlords should prove they are exempt from the crime.
  • It is unclear what happens if a landlord accidentally fails to pay utilities instead of intentionally doing so.

Bill History

  1. 2026-03-25 Mississippi Legislative Bill Status System

    03/25 Approved by Governor

  2. 2026-03-20 Mississippi Legislative Bill Status System

    03/20 (S) Enrolled Bill Signed

  3. 2026-03-19 Mississippi Legislative Bill Status System

    03/19 (H) Enrolled Bill Signed

  4. 2026-03-18 Mississippi Legislative Bill Status System

    03/18 (H) Concurred in Amend From Senate

  5. 2026-03-10 Mississippi Legislative Bill Status System

    03/10 (S) Returned For Concurrence

  6. 2026-03-09 Mississippi Legislative Bill Status System

    03/09 (S) Passed As Amended

  7. 2026-03-09 Mississippi Legislative Bill Status System

    03/09 (S) Amended

  8. 2026-02-25 Mississippi Legislative Bill Status System

    02/25 (S) Title Suff Do Pass As Amended

  9. 2026-02-18 Mississippi Legislative Bill Status System

    02/18 (S) Referred To Judiciary, Division B

  10. 2026-02-12 Mississippi Legislative Bill Status System

    02/12 (H) Transmitted To Senate

  11. 2026-02-11 Mississippi Legislative Bill Status System

    02/11 (H) Motion to Reconsider Tabled

  12. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Motion to Reconsider Entered (Porter, Hood, Yates)

  13. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Passed As Amended

  14. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Amended

  15. 2026-01-29 Mississippi Legislative Bill Status System

    01/29 (H) Title Suff Do Pass

  16. 2026-01-16 Mississippi Legislative Bill Status System

    01/16 (H) Referred To Judiciary A

Official Summary Text

Fraudulent Utility Conversion; create crime when landlord fails to pay utilities and tenants' utilities are interrupted.

Current Bill Text

Read the full stored bill text
H. B. No. 1404 *HR43/R1089SG* ~ OFFICIAL ~ G1/2
26/HR43/R1089SG
PAGE 1 (GT\KP)

To: Judiciary A
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representatives Yates, Mansell, Felsher

HOUSE BILL NO. 1404
(As Sent to Governor)

AN ACT TO PROHIBIT A PERSON WHO HAS RECEIVED PAYMENT IN 1
ACCORDANCE WITH A LEASE TO PAY UTILITY SERVICES FROM KNOWINGLY 2
FAILING TO PAY OR USING AN AGENT OR EMPLOYEE TO USE ANY DECEPTION 3
TO NOT PAY THE AMOUNT OWED TO THE UTILITY SERVICE; TO PROVIDE 4
CRIMINAL PENALTIES; AND FOR RELATED PURPOSES. 5
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 6
SECTION 1. (1) No person who has received money or payment 7
in accordance with a lease contract or rental agreement to pay 8
utility services shall knowingly, willfully and unlawfully: 9
(a) Fail to apply the money or payment as necessary to 10
satisfy the amount owed for the utility services within sixty (60) 11
days of the person's receipt of the bill for utility services. 12
(b) Use or cause an agent or employee to use any 13
deception, false pretense, or false promise in the failure to 14
apply the money or payment as necessary to satisfy the amount owed 15
for the utility services. 16
(2) (a) When the misappropriation or taking amounts to a 17
value of Twenty-five Thousand Dollars ($25,000.00) or more, the 18
offender, upon conviction, shall be imprisoned for not more than 19
H. B. No. 1404 *HR43/R1089SG* ~ OFFICIAL ~
26/HR43/R1089SG
PAGE 2 (GT\KP)

twenty (20) years, fined not more than Fifty Thousand Dollars 20
($50,000.00), or both. 21
(b) When the misappropriation or taking amounts to a 22
value of Five Thousand Dollars ($5,000.00) or more, but less than 23
a value of Twenty-five Thousand Dollars ($25,000.00), the 24
offender, upon conviction, shall be imprisoned for not more than 25
ten (10) years, fined not more than Ten Thousand Dollars 26
($10,000.00), or both. 27
(c) When the misappropriation or taking amounts to a 28
value of One Thousand Dollars ($1,000.00) or more, but less than a 29
value of Five Thousand Dollars ($5,000.00), the offender, upon 30
conviction, shall be imprisoned for not more than five (5) years, 31
fined not more than Three Thousand Dollars ($3,000.00), or both. 32
(d) (i) When the misappropriation or taking amounts to 33
less than a value of One Thousand Dollars ($1,000.00), the 34
offender, upon conviction, shall be imprisoned for not more than 35
six (6) months in the county jail, fined not more than One 36
Thousand Dollars ($1,000.00), or both. 37
(ii) If the offender convicted under subparagraph 38
(i) of this paragraph has been convicted two (2) or more times 39
previously, upon any subsequent conviction, the offender shall be 40
imprisoned for not more than two (2) years, fined not more than 41
Two Thousand Dollars ($2,000.00), or both. 42
(e) In addition to the penalties provided in paragraphs 43
(a) through (d) of this subsection, a person convicted under the 44
H. B. No. 1404 *HR43/R1089SG* ~ OFFICIAL ~
26/HR43/R1089SG
PAGE 3 (GT\KP)

provisions of this section shall be ordered to make full 45
restitution to the victim and any other person who has suffered a 46
financial loss as a result of the offense pursuant to Chapter 37, 47
Title 99, Mississippi Code of 1972. 48
(3) The provisions of this section shall not apply if the 49
person who has received money or payment for utility services is 50
unable to pay the bill for utility services because either: 51
(a) The tenant or lessee has failed to timely pay 52
sufficient funds to satisfy the specific amount owed in the bill 53
for utility services. 54
(b) The reason for the delay in receipt of either the 55
bill or payment for utility services is due to an administrative, 56
clerical, or technical error or omission on behalf of the company 57
providing utility services. 58
(4) For purposes of this section: 59
(a) "Person" means a natural or juridical person, 60
including, but not limited to, a sole proprietorship, corporation, 61
company, limited liability company, partnership, limited liability 62
partnership, trust, incorporated or unincorporated association, or 63
any other individual or entity. "Person" shall also include any 64
representative, director, trustee, agent, or officer of a 65
juridical person who is authorized and responsible for making 66
payments for utility services. 67
H. B. No. 1404 *HR43/R1089SG* ~ OFFICIAL ~
26/HR43/R1089SG
PAGE 4 (GT\KP)
ST: Fraudulent Utility Conversion; create crime
when landlord fails to pay utilities and
tenants' utilities are interrupted.
(b) "Utility services" means any water, electricity, 68
gas, heat, or sewer services, whether privately, municipally, 69
cooperatively, or investor-owned. 70
SECTION 2. This act shall take effect and be in force from 71
and after its passage. 72