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Council delays security‑deposit changes after debate; caps on application fees pass
Summary
Council member Ruhl Landau’s bill to allow installment payment of a second month’s security deposit was held for further work after extended debate. A related bill capping application fees at $50 passed on a recorded vote.
Philadelphia City Council heard extended debate on two bills that would change landlord‑tenant transaction rules.
Council member Ruhl Landau sponsored a bill to allow tenants who are charged two months’ security deposit to pay the second month in installments over a short period, rather than upfront. The ordinance (bill number 250,044) drew sustained floor discussion, including data requests and concerns about impacts on small "mom‑and‑pop" landlords.
Majority Leader Catherine Gilmore Richardson asked the sponsor to consider an amendment to exempt small landlords; she cited a Pew Research Center breakdown showing roughly 73% of city landlords own one or two units and that locally‑based landlords supply a large share of naturally occurring affordable housing. Landau said the bill was intended to provide breathing room — not to prevent landlords from requiring two months’ upfront deposit — and that the installment option was meant to be a compromise to reduce move‑in barriers. After floor discussion, Landau announced she would hold the bill and continue stakeholder outreach; she said she plans to reintroduce a revised measure in September.
Separately, Council adopted bill 250,045, capping application fees charged by landlords to prospective tenants at $50 or the documented cost of processing, whichever is less. That bill passed on a recorded roll‑call vote (16–0). The clerk recorded ayes from Council President Kenyatta Johnson and 15 other members: Phillips, Gilmore Richardson, Gauthier, Thomas, Jones, Landau, Lozada, Young, Brooks, Harrity, Driscoll, O'Neil, Scuilla, Bass and Ahmad.
Council members who spoke during the security‑deposit debate expressed support for tenants’ access but sought protections for small landlords and assurances the city will fund programs — such as security deposit assistance — to prevent unintended housing loss. Landau said she remains open to amendment and will work with colleagues and stakeholders before bringing the measure back for a vote.
