Regular Legislative Session Wrap Up
LOUISIANA REALTORS • June 9, 2020
Louisiana REALTORS® was once again successful in advocating on behalf of the real estate industry and defending the rights of property owners in the 2020 Regular Legislative Session. While the atmosphere was a little different at the Capitol, your advocacy team defeated bills that would have harmed the industry and moved the ball forward with others. Below is a summary a few of the items in which you may be interested. We will provide a final report after the governor’s veto period expires.
The Louisiana Legislature is currently in special session, and Louisiana REALTORS® continues to monitor legislation and advocate on your behalf.
Remote Online Notarization
House Bill No. 274, Representative Garofalo
Status: Sent to the Governor
This bill seeks to authorize the performance of notarial functions remotely using technology. Remote online notarization allows documents to be notarized in an electronic form where the signer uses an electronic signature and appears before the notary using online audio-video technology.
However, this bill would not allow for an “authentic act” to be done by remote means. This is significant to the real estate industry because most transactions with a mortgage are done by authentic act. This is done so the lender can foreclose by executory process. The legal and notary community is not currently comfortable completing these acts by remotely, so authentic acts are excluded from the proposed authorization in this legislation.
If passed, remote online notarization would not be available until February 1, 2022, or until remote online notarization is authorized by federal law (whichever comes first). This could make real estate closings more efficient, and NAR has supported similar efforts since November of 2018.
Lease Eviction Requirements
House Bill No. 388, Representative Mandie Landry
Status: Involuntarily Deferred in the House Committee on Civil Law and Procedure
House Bill No. 388 sought to delay the time in which a landlord can evict a tenant for nonpayment of rent. The proponents of the bill failed to recognize the inherent time delays built into legally evicting a tenant for non-payment. The landlord must first file a rule for possession with the proper court or justice of the peace. The sheriff or constable must then serve the tenant with notice of the rule and then a hearing must be scheduled. None of this happens overnight. This bill would have further delayed a landlord from placing a paying tenant in his or her property. Like tenants, landlords have bills to pay. Any time a landlord does not receive a payment or timely receive a payment there is a ripple effect that may cause the landlord to not be able to pay other bills or to provide for his or her family.
This is exactly the message Louisiana REALTORS® sent to all legislators on the committee. and it resonated. The bill was soundly defeated, with many legislators echoing the reasons above as to why they were against the bill.
Legal Deadlines Affecting Eviction Moratoriums
House Bill No. 805, Representative Thomas Pressly
Status: Sent to the Governor
During the COVID-19 pandemic, Governor Edwards has issued a series of orders suspending prescription and legal deadlines. The suspension of legal deadlines has effectively prevented legal proceedings such as evections for nonpayment of rent from taking place until the suspension is lifted. The current order suspends all legal deadlines including evictions through June 14th, but that is subject to change.
House Bill No. 805 seeks to (1) affirm the Governor’s previous orders; and (2) provide that the suspension of legal deadlines will end July 6th. However, the bill provides that evictions could move forward earlier than July 6th if Governor Edwards does not suspend the laws pertaining to evictions in future orders.
Louisiana REALTORS® has been in communication with Governor Edwards’ office about this issue to ensure that the suspension of legal deadlines pertaining to evictions ends sooner rather than later. As of the date of this posting, non-CARES Act evictions may proceed on June 15th but that is subject to change. We will continue to communicate with Governor Edwards on this issue.
COVID-19 Limitation on Liability
House Bill No. 826, Representative Thomas Pressly
Status: Sent to the Governor
Senate Bill No. 435, Senator Mark Abraham
Status: Sent to the Governor
These bills seek to limit the liability of persons and businesses for injury or death resulting from or related to the actual or the alleged exposure to COVID-19 in the course of the persons’ or business’ operations unless the person or business acted in such a way that was negligent or intentional or not in substantial compliance with applicable governmental COVID-19 procedures.
These bills extend the limitation of liability to the business of real estate including but not limited to agents, brokers, appraisers, and inspectors.
CARES Act Funding for Small Businesses
Senate Bill No. 189, Senator Bodi White
Status: Sent to the Governor
This bill has to do with the money that is part of the $1.8 billion sent to Louisiana through the $2 trillion CARES Act stimulus passed by Congress. Approximately $1 billion of this may be used to plug holes in the state budget once one is finalized. The governor wants the remaining dollars to go to local governments. The legislature wants to take some of the remaining dollars to go to local governments and to small businesses, including real estate-related businesses.
If this bill becomes law, SB No. 189 takes $300 million and puts it in the Main Street Recovery Fund in the State Treasurer’s office to allocate grants for small businesses with 50 or fewer employees. The theory is that local governments will make up the money in sales taxes, etc. if more small businesses survive, and then there will not be a need for a direct bailout for them.
The bill provides for minority-owned businesses and those who have not received other federal programs like the PPP to have access first, then the fund would be open to all Louisiana based small business owners.
Omnibus Premium Reduction Act of 2020
Senate Bill No. 418, Senator Kirk Talbot
Status: Sent to the Governor
This is what has been referred to as the Omnibus Premium Reduction Act of 2020. The goal of legislation is to reduce the cost of auto insurance by bringing Louisiana’s legal structure in line with the rest of the country.
This is significant because in a 2019 survey where more than 800 realtors responded, you told us that keeping up with technology is your first concern, and a close second was fear of litigation. This bill, if it becomes law, would transform the Louisiana civil legal structure, and reduce the chances of your being a defendant in a tort lawsuit by doing the following:
- The jury trial threshold for tort actions would be $10,000 instead of $50,000. A higher jury threshold allows attorneys to “shop” for a more favorable judge for a plaintiff’s case.
- The jury trial threshold for all other actions would be $35,000. This would allow for anything less than $35,000 to be heard by a judge, thereby ensuring that these matters can be handled in a timely manner. Louisiana REALTORS® helped business interests and courts in reaching this agreement.
- A person would have two years to bring a claim after an auto accident instead of one year. This would give parties time to work out a settlement instead of running to the courthouse to preserve their claim.
- When a plaintiff's medical expenses have been paid by a health insurance company or Medicare, his recovery of medical expenses is limited to the amount actually paid to the health care provider by the insurer or Medicare, and not the amount billed. However, there was a last-minute amendment that muddied the waters on this and could potentially provide a windfall to plaintiffs. If signed or allowed to become law, legislators seek to fix this in the special session.
From the Louisiana Department of Insurance: During a press conference today with Governor Jeff Landry, Insurance Commissioner Tim Temple announced that registration for the next round of the Louisiana Fortify Homes Program (LFHP) will open at 8 a.m. on Monday, June 1, and will include 3,000 grants. The registration period for this lottery will be open for three weeks, closing at 5 p.m. on Friday, June 19. During the press conference, Gov. Landry signed HB 1187 by Rep. Paul Sawyer, which will allow Louisiana Citizens Property Insurance Corporation to transfer $50 million in additional Katrina bond assessment funds to the LFHP. Combined with the $30 million in funding the program will receive through taxes and fees on insurance entities, the LFHP will receive a total of $80 million this year. “By lowering overall losses, we can reduce insurance and reinsurance costs, draw more insurers into the market, motivate existing companies to write additional policies and lower insurance premiums,” said Commissioner Temple. “That is exactly what the Louisiana Fortify Homes Program is designed to do.” The list of coastal parishes that are eligible to participate is expanding to include Acadia, Jefferson Davis and Lafayette parishes. Additionally, homeowners who live in the portions of Ascension, Calcasieu, Iberia, Livingston, St. Martin, St. Tammany, Tangipahoa and Vermilion parishes that were previously not included in the program will now be eligible to participate. A map showing the full list of eligible parishes is available on FortifyHomes.La.Gov . “Louisiana is the fastest growing state in the country for Fortified roofs, and that growth is not by accident—it is the result of strong support from Governor Landry and legislators like Chairman Talbot, Chairman Firment and Representative Sawyer, targeted program design, and a clear recognition that strengthening homes is one of the most effective ways to reduce insurance losses,” said Commissioner Temple. “At the end of the day, this program is about more than just roofs. It is about protecting families, it is about strengthening communities, and it is about putting Louisiana in a stronger position—both physically and economically—to face the challenges ahead.” To participate in the lottery, homeowners must register during the June registration period. Homeowners who registered for a previous round but were not selected must register again to participate. People who register on the last day of the registration period have the same chance of being selected as those who register on the first day, so there is no need to rush to register as soon as the period opens. When registering, homeowners will need to upload their homestead exemption, insurance policy declarations page that includes wind coverage, and flood insurance declarations page if the residence is in a flood zone. Homeowners who need assistance obtaining a copy of their homestead exemption should contact their parish tax assessor. Homeowners can contact their homeowners and flood insurance companies or agents for a copy of their policy declarations page. Homeowners are required to create a profile in the LFHP system before registering for the lottery and may do so by visiting the LFHP website and clicking the Login button. Homeowners who previously created a profile may use the same one for this and future rounds. Once the lottery registration period closes, the LFHP will randomly select 3,000 participants and send email notifications to registrants about whether they were selected to participate. These selection notices will be sent via email beginning on Monday, June 22. There are several program requirements that homeowners should be aware of before registering. Those interested in the program are encouraged to review eligibility information and frequently asked questions at FortifyHomes.La.Gov to determine whether their home meets the requirements for the program. If selected to participate in the grant program, homeowners will be financially responsible for having the home evaluated by a FORTIFIED-certified Evaluator as well as costs for the roof upgrade including permits, inspections and construction costs beyond the amount of the grant The LFHP provides grants of up to $10,000 for homeowners to upgrade their roofs to standards set by the Insurance Institute for Business & Home Safety. The program helps Louisiana homeowners strengthen their roofs to better withstand hurricane-force winds.
Learn how real estate agents can educate buyers about Louisiana homeownership costs, including taxes, insurance, HOA fees, and maintenance.
The 2026 Regular Legislative Session has officially adjourned, and Louisiana REALTORS® closes the session with a strong record of legislative wins, defensive victories and meaningful progress on issues that directly impact property owners, homebuyers, housing providers and real estate professionals across Louisiana. This session touched nearly every major pressure point in the real estate market: insurance affordability, transaction transparency, appraisal certainty, leasing law, property taxes, blight redevelopment, litigation costs, consumer protection and private property rights. Louisiana REALTORS® successfully advanced several major policy priorities this session, including residential wholesaling reform, vacant residential land disclosure, appraisal certainty, security deposit reform, insurance mitigation funding and redevelopment tools for blighted property. At the same time, the association helped stop or reshape proposals that would have harmed housing supply, increased practitioners' liability, or created uncertainty for property owners and housing providers. Major Wins for You and Real Estate Residential Wholesaling Reform The signature victory of the session was HB 468 by Rep. Troy Hebert , Louisiana REALTORS®’ residential wholesaling reform bill. For years, residential wholesaling operated in a gray area of Louisiana law. HB 468 creates a clear statutory framework for residential wholesaling, strengthens consumer protection, increases transparency, and gives the Louisiana Real Estate Commission meaningful enforcement authority. The bill’s conference report passed unanimously in both chambers, with votes of 94-0 in the House and 35-0 in the Senate. This is a major structural reform for Louisiana real estate law. This bill will be state law effective August 1, 2026. Please note that the law does not affect any wholesale contracts between now and the effective date. Vacant Residential Land Disclosure HB 1166, by Rep. Kim Carver, passed the Legislature and has been sent to the Governor for his signature. The bill addresses disclosure gaps in vacant residential land transactions where buyers may discover late-stage issues involving access, utilities, drainage, flood risk, prior use or other material facts. HB 1166 creates a clearer process for buyers, sellers and real estate practitioners, and should help reduce failed transactions, disputes and closing-table surprises. As new industry forms and disclosures are developed, Louisiana REALTORS® will monitor the process closely and work to ensure the final requirements are practical, clear and consistent with sound industry practice. The Louisiana Real Estate Commission will complete the forms and disclosure process, with final implementation expected to be legally required for agents beginning January 1, 2027. Appraisal Liability Protections Louisiana REALTORS® secured two important appraisal-related wins. HB 1027 also by Rep. Troy Hebert , signed as Act No. 187 , clarifies that appraisers should not be held liable for compliance with obligations that belong to other parties in the transaction. HB 300 by Rep. Neil Riser , signed as Act No. 149 , addresses appraisal thresholds for bank-owned property. Together, these measures support greater transaction certainty and fairness in the appraisal process. The pair of these measures will take effect as law on August 1, 2026. Housing & Market Stability Security Deposit Reform HB 292, by Rep. Delisha Boyd and signed by Governor Landry as Act No. 63 , creates a more workable process for addressing damage discovered at the end of a lease and provides greater flexibility through written agreements regarding security deposit timelines. The measure offers practical clarity for housing providers, tenants and property managers when property damage is identified after move-out, allowing additional time to assess damage, obtain repair estimates and document costs before final security deposit accounting is completed. By creating a clearer statutory framework, the law helps reduce disputes and ensures that both landlords and tenants have a better understanding of their rights and responsibilities. Property managers can mark August 1, 2026, on their calendars, as that is the effective date for this legislation. Protections for Victims & Landlords HB 297, by Rep. Mandie Landry and signed by Governor Landry as Act No. 64 , expands Louisiana's early lease-termination protections to include victims of stalking and cyberstalking. The law recognizes that personal safety may require a tenant to leave a residence before the end of a lease term. To exercise these protections, a tenant must provide documentation from a qualified third party or other authorized evidence demonstrating that they are a victim of stalking or cyberstalking and that continued occupancy would present a safety concern. The measure also clarifies and expands who may serve as a qualified third party for purposes of supporting a tenant's request. These changes will take effect into law on August 1, 2026. Insurance Affordability and Mitigation Insurance affordability remained one of the most significant issues facing Louisiana homeowners and the real estate market. HB 1187 by Rep. Paul Sawyer , signed by Governor Landry as Act No. 416 , transfers an additional $50 million in Katrina bond assessment funds to the Louisiana Fortify Homes Program. Combined with other insurance-related funding, the program reaches approximately $80 million for the year. The Fortify Homes Program remains one of Louisiana’s most direct tools for reducing property risk, strengthening homes, improving market stability, and placing downward pressure on insurance costs over time. Several additional insurance measures did not reach final passage, including legislation on fortified roof endorsements, nonrenewal protections for homeowners who mitigate risk, and a pre-suit review process for residential property insurance disputes. These remain important long-term priorities. This became law and took effect upon the Governor’s signature. Blight, Redevelopment, and Property Taxes Louisiana REALTORS® supported policies this session aimed at returning neglected property to productive use and strengthening property-tax fairness. HB 214 by Rep. Chance Henry , now Act No. 272 with Governor Landry’s signature, will appear on the ballot as a constitutional amendment authorizing an optional property tax exemption for rehabilitated blighted or derelict property. HB 217, also by Rep. Chance Henry , is the enabling legislation for HB 214 and has received the Governor’s signature, becoming Act No. 422. Together, these measures would give local governments another tool to encourage private investment, neighborhood revitalization, and redevelopment. SB 180 , now Act No. 39 , will also appear on the ballot. The measure allows the surviving spouse of a deceased veteran with a service-connected disability to transfer an expanded property tax exemption. This is both a property-tax fairness measure and a homeownership stability measure for Louisiana veterans’ families. If passed in the fall election, the measures would take effect on January 1, 2027, as well as SB 180. Defensive Victories Some of the most important wins in this session came from stopping harmful legislation before it became law. Rent Stabilization Stopped Twice HB 472 by Rep. Alonzo Knox , the rent price control bill, was stopped after being involuntarily deferred. Louisiana REALTORS® opposed the bill and provided testimony in committee because rent-control policies can discourage investment, reduce housing supply, create uncertainty for housing providers and ultimately worsen affordability challenges. Knox brought the bill to the House Committee on Municipal, Local and Parochial Affairs twice due to the opposing testimony of our organization and opposition from the Home Builders Association and the Louisiana Apartment Association. Hidden Fees Bill Reshaped Yet Still Thwarted HB 617 by Rep. Mandie Landry , the hidden fees bill, raised concerns because it could have imposed liability on real estate professionals for fees they do not control, including those set by lenders, title companies, insurers, government entities and other third parties. Louisiana REALTORS® successfully negotiated a House-side amendment exempting real estate transactions from the bill’s scope. The bill later died in the Senate Commerce Committee. It is worth noting that the author agreed to include us in an amendment by Rep. Troy Hebert from the House floor, exempting real estate transactions. Automatic Renewal Bill Monitored HB 750, by Rep. Vincent Cox, addressing automatic renewal provisions, was closely monitored by Louisiana REALTORS® to ensure the legislation did not unintentionally apply to residential or commercial leases, property management agreements, association operations, nonprofit activities or standard real estate practices. Those concerns were successfully addressed through a Louisiana REALTORS® amendment offered by Senator Pressly during Senate consideration. When the bill returned to the House, Rep. Cox accepted the amendment and supported concurrence, preserving the bill's consumer protection goals while ensuring Louisiana's real estate industry, housing providers, associations and nonprofits were not subjected to unintended regulatory burdens . Missed Opportunities Two broader legal reform measures passed the House but stalled in the Senate Judiciary A Committee. HB 437, by Rep. Michael Melerine, addressing expert witness fees, and HB 1089, by Rep. Dennis Bamburg, establishing CARE Accounts, both reflected broader efforts to reduce litigation costs, improve Louisiana’s legal climate, and address cost drivers affecting insurance affordability and business competitiveness. Their failure to reach final passage was a missed opportunity, but the issues remain central to Louisiana’s long-term affordability conversation. Louisiana REALTORS® will continue to monitor these proposals and hope to see similar reforms return next session with a different outcome. What Comes Next The end of the session does not end the work. Louisiana REALTORS® will now turn to implementation, member education, ballot engagement and preparation for the next legislative cycle by directly engaging you, the driving force behind all of our efforts. The issues that shaped this session — housing affordability, insurance availability, redevelopment, legal costs, and private property rights — are not going away. Neither are we. Louisiana REALTORS® remain committed to serving as a consistent, credible and effective voice for property owners, homebuyers, housing providers and real estate professionals across Louisiana. Thank You As the Legislature adjourns, Louisiana REALTORS® expresses sincere appreciation to the leadership, members, public officials and advocacy partners who helped make this a productive and successful session for the real estate industry and property owners across Louisiana. We are especially grateful to Louisiana REALTORS® President Ginger Maulden, President-Elect David Favret, Treasurer Misty Ingersoll, Legislative Committee Director Keary Coffin, Outside General Counsel Eric Landry, LARPAC Chairwoman Marsha McGraw-Barbera, the Louisiana Real Estate Commission Commissioners and Executive Team, and the members of the Louisiana REALTORS® Legislative Committee for their leadership, guidance, resources and engagement throughout the session. We also extend a special thank you to those who attended this session’s REALTOR® Day and helped strengthen our presence at the Capitol. Your participation amplified our ability to advocate with one united voice when it mattered most. We further extend our appreciation to the legislators and partners who worked alongside us this session, including Rep. Troy Hebert, Rep. Kim Carver, House Commerce Chairman Daryl Deshotel, Rep. Delisha Boyd, Rep. Stephanie Hilferty, Rep. John Wyble, Sen. Beth Mizell, Sen. Greg Miller, Speaker Phillip DeVillier, Senate President Cameron Henry and Governor Jeff Landry for their leadership, accessibility and commitment to addressing issues impacting housing, property rights, insurance affordability, redevelopment and Louisiana’s economic future. Strong policy outcomes are only possible through collaboration, professionalism and sustained engagement. Louisiana REALTORS® remains grateful for the relationships and partnerships that helped move meaningful legislation across the finish line this year. Please view the session wrap-up tracking report provided by our lobbying team over at Harris, DeVille and Associates.
