APARTMENT ADVOCATE
NATIONAL APARTMENT ASSOCIATION
Final ‘ Junk Fees ’ Rule Excludes Rental Housing
Naa ’ s Advocacy Averted Additional Federal Regulation Of Rental Housing Fees .
By Joe Riter and Nicole Upano
The Federal Trade Commission ( FTC ) issued its final “ junk fees ” rule , Trade Regulation Rule on Unfair and Deceptive Fees , notably excluding the rental housing industry from additional regulation .
NAAPAC FINANCIAL UPDATE : Help NAA Reaches the Final $ 100,000 of Our $ 1.2 Million Goal !
By Rob Johnson
NAAPAC is reaching out to rally support as we aim to raise the last $ 100,000 needed to meet our critical 2024 fundraising goal of $ 1.2 million . The steadfast support from our NAA affiliates and members has been essential ; we are pleased to report that 41 affiliates have already met or exceeded their Fund Our Future Goal ! We need your immediate assistance to cross the finish line and secure the remaining funds .
Becoming effective 120 days after it is published in the Federal Register , the FTC ’ s final rule focuses on total price and fee disclosure requirements for live-event ticketing and short-term lodging industries . While the FTC notes no intended impact on rental housing providers , NAA is reviewing the shortterm lodging provisions for any potential impacts .
Out of more than 70,000 comments received by the FTC , 3,800 NAA affiliate partners and members amplified our message urging the FTC to exclude the rental housing industry from this rule . As NAA and the National Multifamily Housing Council emphasized in our comments , the rule is inapplicable to our industry :
[ T ] he rental housing transaction fundamentally differs from a typical hotel or live event ticket transaction because the landlord-tenant relationship involves an ongoing contractual relationship , typically at least a year-long commitment . It is subject to extensive regulation at the state and local level and is uniquely characterized by a series of transactions as opposed to a single-point transaction … Applicants and residents are informed of concierge-type services and benefits that could require changes to their housing costs in the lease and throughout the entire leasing process …
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As part of our advocacy , NAA also took a leadership role in crafting the national real estate trade groups ’ coalition letter and secured a key opportunity for dialogue with FTC officials to raise key industry concerns and answer questions directly from regulators .
While the industry ’ s exclusion from this rule is a significant development , NAA will remain vigilant for future efforts to regulate industry operations by the FTC . NAA thanks our affiliate partners and members for their steadfast commitment to fighting this regulatory overreach .
While a few races have yet to be called , 215 NAAPAC-supported candidates have emerged victorious , resulting in an impressive 96 % -win rate ! NAAPAC contributed $ 2.2 million directly to support our congressional allies and deployed another $ 300,000 towards independent expenditures to assist three key industry champions : Representatives Lori Chavez-DeRemer ( R-Ore . -5 ), Vicente Gonzalez ( D-Texas-34 ), and Don Bacon ( R-Neb . -2 ) in their highly competitive elections . We are proud to report that Reps . Bacon and Gonzalez won , thanks in part to our support .
The National Apartment Association is already preparing for the upcoming tax reform discussions in 2025 , as well as the critical legislative battles anticipated during and after the lame-duck session . Our work is far from over ; having disbursed $ 2.5 million , NAAPAC must prepare for the next election cycle . There are numerous new members of Congress with whom we need to build relationships , and tax reform remains our priority .
Congratulations to Derek Seal of Maxfield Property Management , a member of the Rental Housing Association of Utah , for winning NAAPAC ' s Holiday Sweepstakes ! We are grateful to everyone who participated in this exciting sweepstakes , which helped raise approximately $ 30,000 .
Lastly , NAAPAC has launched our final end-of-year Winter Sweepstakes , which will award one lucky winner a $ 1,000 gift card . Tickets will again be $ 25 each , or if you purchase 4 , the 5th is free ! Join us in our mission to amplify the multifamily industry ’ s voice and drive transformative change . Together , we will make a significant impact for our members !
If you have any questions , please contact April Capone at acapone @ naahq . org
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