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Housing in Brief: Baltimore Mayor Vetoes Security Deposit 'Insurance' Bill – Next City


Baltimore Mayor Brandon Scott vetoed a bill that would provide alternatives to traditional security deposits for tenants this week, potentially marking a swift turnaround for a proposal that the city council approved by a vote of 12-2 in April, according to a report in The Baltimore Sun.
The bill would have required some landlords to give tenants a choice to pay a security deposit in three monthly installments or opt for a security deposit “insurance” plan, in which they would pay nonrefundable monthly premiums to a bond company that would cover the upfront costs of damages but bill the tenant for them afterward, the report says. That could result in tenants paying more than the cost of a security deposit, and in the weeks since the bill’s passage, advocacy groups including the Baltimore branch of the NAACP, Maryland Consumer Rights Coalition, Baltimore Teachers Union, CASA and Progressive Maryland, lobbied the mayor to veto the bill, according to the report. ....

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Baltimore mayor vetoes "security deposit insurance" legislation, saying risks outweigh benefits – Greater Greater Washington


Baltimore Mayor Brandon Scott vetoed a controversial bill Monday afternoon that would have expanded the market for a “security deposit insurance” company tenant advocates have called “predatory.”
The bill, which would require landlords to offer one of two alternatives to traditional security deposits, passed in the Council 12-2, with one abstention. Scott considered the bill up until the very last minute if he hadn’t vetoed the bill by 5 pm Monday, it would have automatically become law.
“I applaud the bill’s sponsor for seeking to reduce the burden on residents as they seek to secure stable housing in the City of Baltimore,” Scott wrote in a letter to the City Council. He praised one of the two alternatives laid out in the bill the option to spread the security deposit payment over a three-month period as a way to help residents struggling with the upfront cost of renting an apartment. ....

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