Fraudulent Utility Conversion; create crime when landlord fails to pay utilities and tenants' utilities are interrupted.

Renters get protection from diverted utility payments

The law makes it a crime for someone who receives money under a lease or rental agreement to pay utilities to knowingly fail to apply it to the bill within 60 days after receiving the bill. It also covers using an agent or employee’s deception, false pretense, or false promise to avoid applying the payment. Penalties depend on the amount: under $1,000, up to six months in county jail and a $1,000 fine; $1,000 to under $5,000, up to five years and a $3,000 fine; $5,000 to under $25,000, up to 10 years and a $10,000 fine; and $25,000 or more, up to 20 years and a $50,000 fine. A person with two or more prior convictions faces up to two years in prison and a $2,000 fine for a later conviction. Courts must order full restitution to victims and others who lost money. The law does not apply when the renter failed to timely provide enough money or a utility provider’s administrative, clerical, or technical error caused the delay. It covers water, electricity, gas, heat, and sewer service, and took effect upon passage.