SENATE COMMUNITY AFFAIRS COMMITTEE

 

STATEMENT TO

 

SENATE, No. 1057

 

STATE OF NEW JERSEY

 

DATED: JANUARY 14, 1997

 

      The Senate Community Affairs Committee reports favorably Senate Bill No. 1057.

      Section 1 of P.L.1967, c.265 (C.46:8-19) currently exempts security deposits on a contract, lease or license agreement for the seasonal use or rental of real property from the requirement that security deposits be deposited or invested in a money market fund or an interest bearing account in a State or federally chartered bank, savings bank or savings and loan association.

      This bill would change the definition of the term "seasonal use or rental" in that section to mean use or rental of real property for not more than 125 consecutive days for residential purposes by a person who has a permanent place of residence elsewhere. Under current law, that term means such use for not more than 60 consecutive days.

      This bill is identical to Assembly Bill No. 1831 which was also favorably reported by the committee on January 14, 1997.