Methamphetamine
Methamphetamine use and manufacture in rental properties pose serious health and financial risks, and its crucial landlords understand the many factors at play in relation to this issue. Contamination can impact tenant wellbeing, trigger costly remediation, void insurance cover, and result in Tenancy Tribunal claims.
While some landlords may believe methamphetamine contamination is becoming less common, it remains a real issue in many communities. In response, insurers have tightened their policy conditions, with many now requiring pre-tenancy baseline testing for cover to apply, along with reduced claim limits or higher excesses.
No matter the circumstances, pre-tenancy baseline testing and ongoing testing between each tenancy is the single best way to reduce risk and ensure liability can be directed to any responsible party.
Tip: Check your insurance policy for methamphetamine-related requirements. If baseline testing is a condition of cover, make it part of your standard process.
WHAT ARE THE REGULATIONS?
New Zealand has two influential, but not legally binding, standards for methamphetamine contamination and their use may depend on the specific circumstances:
When methamphetamine residue levels are above 15 µ g / 100cm2( micrograms per hundred square centimetres), the property is considered contaminated and needs to be decontaminated.
The property must be decontaminated until methamphetamine residue levels are no longer above 15 µ g / 100cm2( until they are 15 µ g / 100cm2 or less).
IS TESTING STILL REQUIRED?
Testing isn’ t mandatory but is highly recommended as a risk management tool. When considering this, we suggest landlords consider the following questions:
• What does my insurance policy require?
• How can any liable party be held accountable without evidence they have caused the contamination?
• What is my risk tolerance and ability to cover remediation costs if contamination is found?
WHAT IS BEST PRACTICE FOR LANDLORDS?
While not required by law, the following actions are widely considered best practice to reduce risk and strengthen your position if issues arise:
• Conduct a baseline test between tenancies, even if there are no signs of drug use at present
• Understand the risk in finding contamination with no prior testing or results, especially where an existing tenancy is in place
• Include a clause in your tenancy agreement stating that testing for methamphetamine may be conducted with proper notice, outlining the tenant’ s liability if contamination is found
• Remember that the Tenancy Tribunal has confirmed baseline testing can provide critical evidence in resolving disputes and assigning liability for contamination.
Contamination will be determined on a room-byroom basis. For example, if the bedroom is above 15 µ g / 100cm2 but the kitchen is below 15 µ g / 100cm2, only the bedroom needs to be decontaminated.
If methamphetamine residue levels are above 30 µ g / 100cm2, landlords and tenants will have the option of ending the tenancy. Tenants can give 2 days’ notice and landlords can give 7 days’ notice when terminating a tenancy.
28 LANDLORD INFORMATION GUIDE