Bill S.309, introduced by Senator Clarkson, seeks to amend Vermont's residential rental agreements and eviction procedures to enhance tenant protections and create a more equitable rental market. Key provisions include the establishment of a just cause ejectment process, requiring landlords to provide specific reasons for eviction, and the introduction of a Positive Rental Payment Credit Reporting Pilot Program managed by the Office of the State Treasurer. The bill reduces notice periods for termination of tenancy for nonpayment of rent from 14 to 7 days and for breaches of rental agreements from 30 to 21 days. It also prohibits landlords from charging application fees and limits security deposits to no more than two months' rent, while introducing a maximum rent increase provision.

The bill further outlines a new framework for ejectment proceedings, mandating confidentiality for newly filed ejectment complaints unless a final judgment favors the landlord. It specifies the process for landlords to regain possession of properties and includes provisions for tenant participation in the credit reporting pilot program, which aims to improve tenants' credit histories. Additionally, the bill allows landlords to retain security deposits exceeding two months' rent for existing agreements until July 1, 2026, and mandates education and technical assistance for landlords and tenants regarding their rights under Vermont rental statutes. The bill is set to take effect on July 1, 2026, with appropriated funds from the General Fund for its implementation.

Statutes affected:
As Introduced: 9-137, 13-3705