Edmonds BarbaraRESIDENTIAL PROPERTY MANAGERS BILLFirst ReadingHon BARBARA EDMONDS (Associate Minister of Housing): I present a legislative statement on the Residential Property Managers Bill.ASSISTANT SPEAKER (Hon Poto Williams): The legislative statement is published under the authority of the House and can be found on the Parliament website.Hon BARBARA EDMONDS: I move That the Residential Property Managers Bill be now read a first time. I nominate the Social Services and Community Committee to consider the bill.Madam Speaker kia orana. As a Government we've worked hard to ensure everyone has access to secure healthy and affordable housing. Across New Zealand nearly one in three households rent with the residential property management sector responsible for around half of the rental market. Over the past few years we've seen an increase in the use of residential property managers by property owners. Usually services might include advising owners on compliance with tenancy law advertising for tenants lodging bonds collecting rent organising repair work and completing routine inspections. Their role is becoming increasingly important in the function of the overall rental market. As part of that role residential property managers ensure tenants are treated fairly and have access to secure and safe rental housing. But while many residential property managers abide by professional standards there's no current legal requirement for them to do so. I want to acknowledge that several existing industry bodies have implemented voluntary standards for residential property managers in recognition of how vital their service is but we need to be clear that the sector as a whole isn't regulated. Therefore good service and professional conduct isn't guaranteed. The Residential Property Managers Bill will protect the interests of property owners and tenants by creating a comprehensive regulatory regime for residential property managers and their businesses. Tenant advocacy groups real estate and property management companies and property management industry bodies have all expressed concern about the risk to tenants and property owners from not having a regulated market. While there are a mix of views in some areas of the regime I acknowledge and welcome the broad stakeholder support for putting a regulatory framework in place for residential property managers. I want to ensure that residential property managers operate in a manner that supports public confidence and the integrity of the residential tenancies market. I want to safeguard the interests of property owners and tenants as well.What this bill will deliver is an occupational licensing regime that will achieve these outcomes by establishing compulsory licensing of residential property managers and their businesses setting minimum entry and qualification requirements for residential property managers ensuring residential property managers meet professional standards of practice and providing accountability through an effective complaints and disciplinary process that includes complaints assessment committees and a disciplinary tribunal. The bill has been designed as a distinct occupational licensing regime for residential property managers with parallel processes to those established in the Real Estate Agents Act. This is a deliberate choice. With the Real Estate Authority as the regulator there are significant administrative efficiencies from having similar processes supporting licensing and the complaints and disputes functions.One matter that I want to raise today is that this bill does not regulate landlords. This also means Kāinga Ora and registered community housing providers are not regulated by this bill. The relationship between landlords and tenants is currently addressed under the Residential Tenancies Act and is the relationship that we've worked hard to improve on during our term of Government. We've increased enforcement powers and penalties for large-scale landlords in 2021 and we've introduced name suppression for parties who are wholly or substantially successful in their case in the tribunal. It is my view and the view of this Government that these changes should have an opportunity to bed in first before we consider further legislation of landlords. These changes to the enforcement powers under the Residential Tenancies Act are in addition to other changes that the Government has made to protect tenants such as improving security of tenure by removing no-cause terminations and implementing the healthy home standard.What the bill will do is further amend the Residential Tenancies Act to better empower the Tenancy Tribunal in limited ranges of circumstances—such as where a private landlord is serially non-compliant the tribunal will be able to order them to employ the services of a residential property manager. This power for the Tenancy Tribunal will not apply to Kāinga Ora or to registered community housing providers. The final specific area I want to record today is that the bill amends the Real Estate Agents Act to make changes to the real estate authority board. The authority board will be required to have experience in the residential property management sector. Board members are also to have collective knowledge and experience of Māori perspectives and of the Treaty of Waitangi. I'm confident that this new regulatory regime will improve residential property management services in New Zealand and in doing so improve the renting experience for many. The regulation of residential property managers continues the momentum we've built over the last six years to fundamentally improve the wellbeing of New Zealanders through better housing outcomes. It will help provide assurance to property owners and their tenants that all residential property managers are abiding by professional standards know the law and manage rental properties well.As this bill progresses to the select committee stage I'm also interested in hearing from members of the sector and the public about how this regulatory regime will improve the residential property market and quality of residential property management services. I also look forward to receiving feedback on any improvements that this could be made to the bill as currently drafted in particular given several stakeholders have raised the coverage of landlords I will be interested in the select committee's views on this issue.It is a privilege to be able to guide this bill through the House. I thank my colleagues for their support. I'd also like to thank my officials at the Ministry of Housing and Urban Development for their advice in drafting this bill. I commend this bill to the House.ASSISTANT SPEAKER (Hon Poto Williams): The question is that the motion be agreed to.