The proposed bill, Substitute Bill No. 5092, aims to protect renters from excessive rent increases following the transfer of residential property. It amends Section 7-148c of the general statutes by introducing new criteria for fair rent commissions to consider when determining if a rental charge or proposed increase is excessive. Notably, the bill adds a new factor for consideration: whether ownership of the accommodations has changed within the past twelve months. Additionally, it defines "major renovations" as those costing over fifty thousand dollars and outlines the commission's responsibilities in assessing rent increases based on the completion of such renovations.

Furthermore, the bill modifies Section 7-148d, allowing commissions to limit rent increases deemed excessive based on the new criteria established in Section 7-148c. It specifies that if a proposed increase exceeds five percent or the average increase in the consumer price index, it may be considered harsh and unconscionable unless major renovations have been completed. The bill also includes provisions for tenants to withhold rent if the housing does not comply with health and safety regulations and protects tenants from landlord retaliation for filing complaints with the commission. The changes will take effect on October 1, 2026.

Statutes affected:
Governor's Bill: 7-148c, 7-148d
HSG Joint Favorable Substitute: 7-148c, 7-148d
File No. 180: 7-148c, 7-148d
PD Joint Favorable: 7-148c, 7-148d