AN ACT TO AMEND TITLES 16 AND 25 OF THE DELAWARE CODE RELATING TO LEAD-BASED PAINT.

Similar to HS 1 to HB 70, HS 2 to HB 70 differentiates between large property owners and small property owners, recognizing that smaller property owners may find lead certification to be prohibitively expensive and may need more time and assistance to comply with this Act. To that end, this Substitute bill defines large property owners as persons that own or control 20 or more rental units, while small property owners are defined as persons who control fewer than 20 rental units. In addition to different deadlines, small property owners may certify a multi-unit property by inspecting only 5 units of the property. All owners may request a certificate deferral if lead inspectors or certified contractors are not available or if remediation or abatement would create a significant economic burden on the property owner. Unlike HB 70, small and large property owners must obtain lead free or lead safe certification before a rental unit is turned over to a new tenant, but no later than 4 years after the Act is implemented.

As in HB 70, if the rental unit is uninhabitable, the landlord must provide alternative housing while the unit undergoes lead abatement or remediation. Recertification for lead safe units must occur prior to commencement of any rental agreement more than 4 years after the date the unit was last certified. Units must be recertified as lead free or lead safe if a lead-based paint hazard is discovered in the rental unit or if individuals residing in the unit develop elevated lead blood levels.

Similar to HB 70, this Act creates a Lead-based Paint Hazard Control Grant and Loan Program. Preference for grants must be given to families with young children, pregnant individuals, or tenants regularly visited by children under 6 years old. For landlords with 5 or few units, grants or loans may be issued for 100% of the costs incurred to obtain certification. For landlords with 6-19 units, 50% of the costs may be covered by the fund. A landlord may not raise the rent on a rental unit that benefits from a grant or loan under this program for 3 years. It also permits the lead-based paint hazard control grant and loan program to issue loans to large property owners for 10% of the costs associated with lead abatement or remediation if the landlord can show the expenditure would be a significant financial burden.

This Substitute bill further requires DHSS to provide an annual report to the Governor and the General Assembly regarding the number and types of certifications issued under this Act, as well as any violations or civil penalties issued. Prior to filing a complaint for eviction, this Substitute bill requires the landlord to provide documentation that the property in question is in compliance with this Act. No documentation is required if a complaint is filed because the tenant refuses to provide reasonable access to the rental unit so that the landlord may comply with this chapter.

As in HB 70, this Act also does the following: (1) Establishes a Lead-Based Paint Remediation Certification Committee to study the available workforce and available public funding to support the inspection and remediation efforts required by this Act along with the feasibility of meeting deadlines established under this Act. (2) Prohibits landlords from discriminating against individuals because they make a complaint or assist in an investigation or proceeding relating to a lead-based paint hazard in a rental unit or premises. (3) Prohibits landlords from discriminating against individuals residing in a unit who have elevated blood lead levels or children or pregnant individuals who may be affected by lead-based paint hazards. (4) Requires that contractors performing lead-based paint abatement or remediation under the Delaware State Lead-Based Paint Program provide for the safety of workers performing lead-based paint remediation work, including free blood testing for workers at least every 3 months.

Aside from the feasibility review, this Act will not be implemented or enforced until March 1, 2027.