Residential Tenancies VIC Developments

1. Residential TenanciesVIC Developments Thu-Trang Tran – Consumer Affairs Victoria

2. 5 year process Public consultation Residential Accommodation Issues Paper 2007 Res Parks RoomingHouses Student Accom Security of tenure Safety Vulnerability Legislative Amendments

3. Caravan and residential parks

4. The End Mobile homes

5. ‘Owner-renters’ Communal park environment Dwelling (like UMD; not ‘traditional’ caravan) owned by resident “Owner-renter” Site Site-owner Main place of residence ‘Owner-renters’ are homeowners, but not landowners

6. RTA – current Part 4

7. Scope of new Part 4A • Based on circumstance of ‘site tenant’ • Dwelling owned by site tenant • Manufactured/prefabricated home • Not a “traditional” caravan • Main place of residence • Not investors/holiday homes • Rent site in a communal park environment • Not Crown parks

8. Part 4 vs Part 4A • Part 4: • Residents of caravan parks (60 days; agreement in place) that are: • ‘Renter-renters’ • ‘Owner-renters’ but their dwellings are not UMDs, but registrable moveable dwellings (ie caravans with wheels) • Part 4A: • Site tenants of parks • ‘Owner-renters’ but their dwellings are UMDs (and not caravans with wheels)

9. Summary changes • 5 year minimum terms for new parks only • Written agreements with term (duration) specified • Notice to vacate: from 120 to 365 days • Pre-contractual consideration period (20 days) • Cooling-off period (5 days) • Greater information disclosure • Fees, their basis, mechanism for increases/review • Park rules, incl. resale conditions • Resale rights • In-situ sale of dwelling & right to assign site agreement • Right to participate in residents’ committees and meet onsite • Limitation of liability for breaking fixed term agreement: up to 12 months rent • VCAT jurisdiction: from $10,000 to $100,000

10. Non-legislative projects Proposals: • Capacity building of residents committees • Assistance to industry bodies • develop and promote use of best practice guidelines for their members • Further research • incentive mechanisms that may support supply of longer tenure to owner-renters

11. Rooming Houses

12. Context • Shared policy & enforcement across State and local government bodies • Two deaths in 2006 • State Coroner & Metropolitan Fire and Emergency Services Boardrecommendations to improve safety • Rooming House Standards Taskforce 2009 (chaired by Martin Foley MP) • Foley Report – 32 recommendations

13. Legislative amendments • Definitions • Health (Prescribed Accommodation) Regulations 2001 aligned with RTA • Head of power for minimum standards • Phase 1: 6 standards in early 2011 – RIS being prepared • Phase 2: additional standards • CAV inspectors can inspect non-residential areas in RHs

14. Legislative amendments • CAV can take representative action on behalf of residents • Duty on landlord/agents to notify local government if premise is used as unregistered RH • Protection for resident where RH operator defaults • 45 days minimum notice by landlord to resident

15. Implement within 12 months • Legislative amendments • Feasibility of third party action under RTA • Registration of premises • Closure protocols (rec 27)

16. Implement within 12 months • Comprehensive information campaign • Access & understanding of law • Collaboration with Commonwealth agencies • Best practice for local government • Support for families • Purchase and leasing of rooming houses • Industry Code of Practice • Access to mainstream support

17. Implement within 18 months • Additional minimum standards • Establish water, energy and thermal efficiency program • Investigate providing fire services with additional powers • Review 25% leverage requirement policy • Develop not-for-profit leased RH model • Develop private rental market brokerage • Explore alternative accommodation options

18. Implement within 24 months • Introduce register of RH operators • Investigate development of compliance certificate • Amend Housing Establishment Fund Guidelines • Collaborate with Commonwealth to attract private sector investment in singles accommodation

19. Non-legislative projects • Guide for rooming house residents • health and safety issues, including smoke detector requirements and communal living standards • Rooming House Compliance Program: • > 400 rooming house inspections with 20 councils • Warnings, infringements and prosecutions • “Rogue” operators

20. Student accommodation

21. Context • Growing numbers of international students • 73,000 in 2002 to over 130,000 in 2007 • Vulnerability • limited knowledge of their rights and responsibilities • face language and cultural barriers • rogue suppliers • Confusion in the market • “affiliated” student accommodation

22. Legislative amendments • Regulation-making power • criteria that must be used by educational institutions to determine whether to formally affiliate residential premises • Requirement to disclose that premise is exempted from RTA • Flipside: If not an exempted premised, prohibited from saying so

23. Non-legislative projects • Marketing and Communications Activities for International Students • Student Accommodation Roundtable

24. Other issues 2007 Issues Paper – Other issues • Security of tenure: longer term tenancy • Detrimental impacts of a tight rental market • Minimum standards • …? REVIEW OF RESIDENTIAL TENANCIES ACT Issues Paper 2011?

25. Ideas • Advocacy/support network: advice to residents; duty advocate at VCAT • Provision of legal assistance through funding to community legal centres • Research ideas • Mapping project: life cycle of different types of tenants and their experience of the ‘system’ • Marketing research: effective method of reaching the RT audience and what messages we need to convey • Process review • CAV’s delivery of service