Property Brokers - Property Management Compliance Guidelines

Smoke alarms Regulations

The requirement for smoke alarms in rental properties has been in place since July 2016. Every rental property requires working smoke alarms during the tenancy and there are specific requirements for the types of alarms that are used.

Smoke alarms must be installed:

• Within three metres of each bedroom door or in every room where a person sleeps

• In each level or story of a multi-story or multi-level home

• In all rental homes, boarding houses, rental caravans, and self-contained sleep-outs.

All new smoke alarms must:

• Be photoelectric

• Have a battery life of at least eight years, or be hard-wired

• Have the expiry date recorded

• Installed according to the manufacturer’s instructions

• Meet international standards.

Existing smoke alarms do not need to be replaced if they are working and have not exceeded the expiry date.

Landlords must ensure smoke alarms:

• Are working at the start of each new tenancy

• Remain in working order during the tenancy Tenants must:

• Not damage, remove or disconnect a smoke alarm

• Replace dead batteries during the tenancy if there are older-style smoke alarms with replaceable batteries

• Let the landlord know if there are any problems with the smoke alarms as soon as possible.

Landlords can enter the property to comply with smoke alarm requirements. 24 hours’ notice must be given and entry must be between the hours of 8am and 7pm.

If landlords do not meet their obligations, they could be fined up to $7,200 and their insurance

If tenants do not meet their obligations they could

Smoke alarms Policy

The following illustration outlines best-practice when installing smoke alarms. Property Brokers’ policy is that an alarm should be installed no more than three metres from the bedrooms and on each level of a multi-story home.

Minimum Also recommended by Fire and Emergency New Zealand

Property Brokers’ Policy

1. Every property under management requires smoke alarms.

2. We cannot manage a property, unless;

• The property has the correct alarms installed

• The owner agrees to install the correct alarms at the commencement of a new tenancy.

3. All alarms are to be installed and checked before a tenancy begins.

4. Alarms can be checked during an inspection, using a CRC Smoke Spray.

5. The alarms are to be checked and photographed between tenancies.

6. Each tenancy agreement must reference all alarms in the property.

Recommended Testing Agency:

The following is an example of a reputable testing agency.

• Smoke Alarm Testing Services (SATS) sats.co.nz

Generally, it will cost between $80.00 - $130.00 (excluding GST) to have smoke alarms professionally monitored each year. Talk to your Property/Branch Manager about potential options for your property.

Insulation Regulations

Ceiling and underfloor insulation must be installed in rental homes where it is reasonably practicable since July 2019. The insulation must meet the standards set out in the insulation regulations and be installed safely and correctly.

Wall insulation is not compulsory.

The insulation regulations apply to any residential rental property covered by the Residential Tenancies Act.

How to meet the insulation regulations: Insulation is rated by how well it resists heat flow, measured by the R-value. The higher the R-value, the better the insulation.

Zone 1

Zone 2

Zone 3

Minimum R-values for Zones 1 and 2:

• Ceiling R 2.9

• Underfloor R 1.3

Minimum R-values for Zone 3:

• Ceiling R 3.3

• Underfloor R 1.3

The zones shown on the map provide an overview of what R-value is required for each area. A large majority of the Property Brokers’ portfolio in the North Island is Zone 2, and all of the South Island is Zone 3.

If a rental property is below these levels of insulation, it must be upgraded to meet the new standard immediately. Where there are multiple layers of insulation and all layers are in reasonable condition, the product R-values may be combined.

Insulation Policy

As of July 2019, every rental property needs to comply with the Insulation Standards. The original standards of 70mm or more have now been increased to a 120mm minimum thickness.

Under the healthy homes standards, all rental properties will need to have insulation which meets the 2008 Building Code. Houses with existing ceiling insulation must have a minimum thickness of at least 120mm. The only exception to the insulation requirement is if the property meets one of the exemptions detailed on the following page.

Property Brokers’ Policy

1. Any existing or new property can not be tenanted until it meets the Insulation Requirements.

2. New Properties

• Any new property from July 2019 must have a compliance certificate provided by an approved installer

• If the insulation was installed by the owner, they must provide evidence of what was installed, such as receipts and/or photos

• If the owner is unable to provide what is required or is unaware of the status, then the property will need to be assessed to determine whether it is compliant.

3. Insulation details, certificates and any other documents about insulation need to be kept on file for that property.

4. No rental properties can be advertised until adequate insulation has been installed.

Insulation Exemptions

Examples of types of properties that would meet the exemption criteria are:

• Apartments where there is a habitable space above and below the apartment

• Houses constructed on concrete slabs where it is not feasible to install underfloor insulation

• Houses with ‘skillion’ roofs where there is no ceiling in place to install insulation above.

Access exemptions - Installation is not considered ‘reasonably practicable’:

• When you can not access the location to install insulation without removing any cladding or lining, carrying out other substantial building work, or causing significant damage to the property

• You can not install insulation without creating health or safety risks to people, when these risks are greater than the normal level of risk when installing insulation

• Access to the ceiling or underfloor can be achieved by carrying out minor work, (e.g. temporarily removing baseboards from the exterior of the property to access the underfloor), the landlord is expected to do so

• Changes are made to an exempt property that then allows insulation to be fitted, (for example a new roof). It must be installed as soon as reasonably practicable.

Other exemptions to insulation requirements:

• Where the landlord intends to demolish or substantially rebuild all or part of the property within 12 months of the start of a tenancy. In this case, the landlord must, if requested, provide evidence of having applied for the necessary resource consent and/or building consent for the redevelopment or building work

• When a property is purchased from, and immediately rented back to the former owner-occupier – in which case a 12-month exception will apply from the date of purchase

• Where the landlord can provide evidence that the insulation is still in reasonable condition and that when originally installed, it complied with particular insulation requirements.

Written confirmation of exemption:

If a landlord is in any doubt whether insulation can be installed in their rental property, they should consult an experienced professional insulation installer and, if needed, a builder.

If the experienced professional says insulating some areas is not reasonably practicable or not possible, the landlord must ask for written confirmation of said reasons to include in all tenancy agreements.

Healthy Homes Standards ( HHS) Regulations

The Healthy Homes Standards (HHS) are:

• Heating – Rental homes must have fixed heating devices in living rooms which can warm rooms to at least 18°C. Some heating devices are inefficient, unaffordable or unhealthy, and they will not meet the heating standard requirements.

• Insulation – Rental homes must have ceiling, and underfloor insulation which meets the 2008 Building Code or, (for existing ceiling insulation), is at least 120mm thick.

• Ventilation – Rental homes must have the right size extractor fans in kitchens and bathrooms and windows that can be opened in the living room, dining room, kitchen and bedrooms.

• Moisture and drainage – Rental homes must have efficient drainage and guttering, downpipes and drains. If a rental home has an enclosed subfloor, it must have a ground moisture barrier if it’s possible to install one.

• Draught-stopping – Rental homes must have no unnecessary gaps or holes in walls, ceilings, windows, floors, and doors that cause noticeable draughts. All unused chimneys and fireplaces must be blocked.

Compliance timeframes

1 Dec 2020: All tenancy agreements to stipulate status for HHS.

1 July 2021: All properties are to comply with HHS within 120 days of a new or renewed tenancy.

1 July 2024: Public housing (Kainga Ora) must comply with HHS regulations.

1 July 2025: All houses are to comply.

From the 1st July 2021, the Healthy Homes Standards came into effect for any new or renewed tenancy in a private property that starts after the beginning of July.

In simple terms, any new tenancy after this date needs to be fully compliant with 120 days of the tenant start date.

The following is a breakdown of each area covered in the Healthy Homes Standards. The information included within this guide has been extracted from Residential Tenancies (Healthy Homes Standards) Regulations 2019. For a comprehensive overview of these regulations, visit: legislation.govt.nz

Heating

A heater is a qualifying heater if;

• It is installed as a fixture to the premises; and either –

› the heater (or if it is a fixed heat pump, the indoor unit) is in the living room; or

› the heater supplies heat directly into the living room (for example, through a duct or vent located in the living room); and

› it has a heating capacity of at least 1.5 kW; and

› if it is an electric heater or a fixed heat pump, it has a thermostat; and

› it is not an unacceptable heater.

• Each of the following is an unacceptable heater:

› an open fire

› an unflued combustion heater

› an electric heater (if the required heating capacity for the living room is greater than 2.4 kW).

In this regulation, electric heater means an electric heater that is not a fixed heat pump. Fixed heat pump means a heat pump that is permanently wired into the premises’ electrical system.

Required heating capacity

The required heating capacity for a living room is the required heating capacity determined in accordance with schedule 2 of the Healthy Homes Legislation.

A building is a certified passive building if one of the following applies:

• the building has been certified as a passive house under the Passive House Standard of the Passivhaus Institut, Germany:

• the International Living Future Institute has issued one of the following in respect of the building:

› a Living Building Certification:

› a Petal Certification that includes a heating related requirement:

› a Zero Energy Certification; or

› that certification has not lapsed, expired, been cancelled, or otherwise ceased to be in force.

Exemption from heating standard if not reasonably practicable to install - the main living room need not comply with it, at the commencement of the tenancy;

• the living room does not comply with that regulation (regulation 8); and

• it is not reasonably practicable to install qualifying heaters so as to comply with that regulation.

This exemption ceases to apply if, during the term of the tenancy, it becomes reasonably practicable to install qualifying heaters.

Insulation

Ceiling insulation

The ceiling of each domestic living space in the premises must be fully covered by qualifying ceiling insulation.

However, the ceiling is not required to be fully covered if:

• another domestic living space, (whether or not part of the premises), is immediately above the ceiling; or:

• clearances are reasonably required around any other item that is installed in, or above, the ceiling.

Qualifying ceiling insulation

Ceiling insulation is qualifying ceiling insulation if all of the following apply:

• the insulation’s R-value when it was installed was;

› if the premises are in zone 1 or zone 2, at least 2.9; or

› if the premises are in zone 3, at least 3.3

› installed in accordance with NZS 4246:2016

› in a reasonable condition (or better).

If the ceiling insulation for an area of ceiling consists of two or more products installed on top of each other, the insulation’s R-value for the purposes of subclause (1)(a) is to be determined by;

• the R-value of each product when it was installed; and

• adding those R-values together.

• If insulation was installed in different areas of the ceiling at different times, subclause (1) applies separately to the insulation in each different area.

In this regulation, zone 1, zone 2, and zone 3 have the same meanings as in Appendix B of NZS 4218:2009.

Underfloor insulation for suspended floors

If a domestic living space in the premises has a suspended floor, that floor must be fully covered by qualifying underfloor insulation. However, the floor is not required to be fully covered if:

• another domestic living space, (whether or not part of the premises), is immediately below the floor; or

• clearances are reasonably required around any other item that is installed in or under the floor.

Qualifying underfloor insulation

Underfloor insulation is qualifying underfloor insulation if all of the following apply:

• the insulation’s R-value, when it was installed, was at least 1.3

• the insulation was installed in accordance with NZS 4246:2016

• the insulation is in a reasonable condition (or better).

Insulation (continued)

If the underfloor insulation for an area of floor consists of two or more products installed on top of each other, the insulation’s R-value for the purposes of subclause (1)(a) is to be determined by;

• the R-value of each product when it was installed; and

• adding those R-values together.

If insulation was installed under different areas of the floor at different times, subclause (1) applies separately to the insulation in each different area.

Determining R-value of insulation - this regulation applies if, when insulation is installed;

• the insulation is a new product; and

• the manufacturer’s instructions for the product specify its R-value.

The R-value of the insulation when it is installed is the R-value of the product specified in the manufacturer’s instructions. In this regulation, manufacturer’s instructions, in relation to an insulation product, includes any specification, instruction, recommendation, or other information relating to the product that is provided, or otherwise made available, in any way to buyers, installers, or users of the product by or on behalf of the product’s manufacturer.

Determining whether insulation is in reasonable condition - in determining whether insulation is in reasonable condition (or better), the following matters must be taken into account:

• the extent to which the performance of the insulation is compromised by any aspect of its condition:

• the extent of any dampness, damage, degradation, or displacement:

• the condition of any materials or other items that are ancillary to the insulation’s installation (for example, strapping or staples).

• without limiting subclause (1), ceiling insulation is not in reasonable condition if the minimum thickness of the insulation material is less than 120mm.

However, subclause (2) does not apply if the landlord proves that;

• the insulation’s R-value, when it was installed, was the value specified in the Insulation Regulations 2016

• the current thickness of the insulation material is 70% or more of its thickness when it was installed (even if its current thickness is less than 120mm).

This regulation is not an exhaustive statement of the matters that may be taken into account. Exemption from insulation standards if not reasonably practicable to install.

A ceiling need not comply with regulation 13 of the Insulation Regulation 2016 if, at the commencement of the tenancy;

• the ceiling does not comply with that regulation; and

• it is not reasonably practicable to install insulation so as to comply with that regulation.

Insulation (continued)

A floor need not comply with regulation 15 if, at the commencement of the tenancy;

• the floor does not comply with that regulation; and

• it is not reasonably practicable to install insulation so as to comply with that regulation. The exemption ceases to apply if, during the term of the tenancy, it becomes reasonably practicable to install insulation so as to comply with regulation 13 or 15.

Partial exemption for certain thermal underfloor insulation - this regulation applies if;

• there is underfloor insulation covering a floor at the premises; and

• when the insulation was installed, requirements relating to thermal insulation imposed by or under an enactment or a bylaw were applicable to the premises or tenancy building; and

• the landlord is in possession of a compliance document (document A) that includes a certification or other statement to the effect that the premises or tenancy building, with the insulation installed, complied with those requirements.

In determining whether the insulation is qualifying underfloor insulation, points 1 and 2 above do not apply.

This exemption ceases to apply if, during the term of the tenancy, either of the following occurs:

• the landlord receives a request for evidence and fails to provide reasonable evidence of document A to the person making the request within ten working days after the day on which the landlord receives the request; or

• the landlord receives a Tribunal request or requirement for evidence and fails to comply with it within the time allowed by the Tribunal.

Ventilation

Extractor fans for kitchens and bathrooms. Each kitchen and bathroom in the premises must have an extractor fan installed in it.

For a kitchen;

• the fan and all exhaust ducting must have a diameter of at least 150mm; or

• the fan and all exhaust ducting must have an exhaust capacity of at least 50ℓ/s.

For a bathroom;

• the fan and all exhaust ducting must have a diameter of at least 120mm; or

• the fan and all exhaust ducting must have an exhaust capacity of at least 25ℓ/s.

Exemption from extractor fan standards if not reasonably practicable to install - a kitchen or bathroom need not comply with regulation 23 if all of the following apply:

• at the commencement of the tenancy

• the room does not have an extractor fan;

• it is not reasonably practicable to install an extractor fan so as to comply with the regulation 23;

• when the room was built or converted into a kitchen or bathroom, not having an extractor fan was lawful; and

• if not having an extractor fan was lawful only because the room met alternative ventilation requirements, at the commencement of the tenancy the room still meets those requirements.

This exemption ceases to apply if, during the term of the tenancy, it becomes reasonably practicable to install an extractor fan so as to comply with regulation 23.

Moisture and drainage

All tenancy buildings must have efficient drainage systems. The tenancy building must have a drainage system that efficiently drains storm water, surface water, and ground water to an appropriate outfall. The drainage system must include appropriate gutters, downpipes, and drains for the removal of water from the roof.

Suspended floors to have ground moisture barrierthis regulation applies if;

• the tenancy building has a suspended floor; and

• the subfloor space is enclosed.

The tenancy building’s subfloor space must have a ground moisture barrier that;

• is made of a material that meets the specifications for an on-ground vapour barrier set out in section 8 of NZS 4246:2016; and

• was installed in accordance with section 8 of NZS 4246:2016; or

• has an alternative ground moisture barrier that

› has a vapour flow resistance of at least 50 MN s/g; and

› was installed by an appropriate professional installer.

A subfloor space is enclosed if the airflow in and out of the space is significantly obstructed along at least 50% of the perimeter of the subfloor space by one or more of the following:

• a masonry foundation wall:

• cement boards, timber skirting, or other cladding:

• other parts of the building or any adjoining structure:

• any other permanent or semi-permanent structure that significantly obstructs airflow:

• rock, soil, or other similar material.

A tenancy building need not comply with regulation 28 if, at the commencement of the tenancy;

• the building does not comply with that regulation; and

• it is not reasonably practicable to install a ground moisture barrier so as to comply with that regulation.

This exemption ceases to apply if, during the term of the tenancy, it becomes reasonably practicable to install a ground moisture barrier so as to comply with regulation 28.

Draught-stopping

Open fireplaces to be blocked. If the premises has an open fireplace, it must be closed off or its chimney must be blocked in a way that prevents draughts in and out of the premises through the fireplace.

However, this does not apply if;

• the tenant requests in writing that the fireplace be available for use; and

• the landlord agrees to the request.

If subclause (1) is disapplied under subclause (2), the fireplace and its chimney must be;

• free from gaps or holes that allow draughts in or out of the premises and that are not necessary for the safe and efficient operation of the fireplace; and

• maintained in good working order.

Gaps and holes that allow draughts - the premises must be free from gaps between, and holes in, building elements that;

• are not intentional parts of the construction of the premises (such as drainage and ventilation openings); and

• allow draughts in or out of the premises; and

• are unreasonable.

In determining whether a gap or hole is unreasonable for the purposes of subclause (1)(c), the following matters may be taken into account:

• the size and location of the gap or hole:

• the extent of the draught that is allowed through the gap or hole:

• if there is more than one gap or hole at the premises, the extent of the total draught that is allowed through those gaps and holes:

• the likely impact that a draught through the gap or hole will have on heat loss from the premises;

• any other relevant matters, subject to subclause (3).

In determining whether a gap or hole is unreasonable, the age and condition of the premises or tenancy building must not be taken into account.

Healthy Homes Standards Policy

Property Brokers will be working to identify the best practice strategy to measure and record details. The best time to check each property is during the next inspection.

Property Brokers’ software will be updated to reflect the changes in HHS and to allow all new areas to be accurately recorded for each property and investor.

As an overview of the process that will be followed, the following steps outline the company policy/ process for HHS.

1. During the next inspection at the property (routine, entry or exit), record the following areas for the property:

• Extractor fan (kitchen) – Yes/No + type

• Extractor fan (bathroom) – Yes/No + type

• Insulation – is the ceiling < 120mm

• Living area

- Current heating source – type

- Living area size

• Draught-stopping (gaps of >3mm) –Yes/No

•

2. Record information internally

• Property view

• Health and Safety and Healthy Homes tabs

3. Property Manager to measure and record information.

4. Owner to be provided with a Healthy Homes Standards report specific to their property:

• Advised of compliance status

• Stipulate recommendations

• Provide assessment of costs.

5. Obtain approval from the owner for the required work.

A thorough overview of the new regulations and all components of the Healthy Homes Standards can be found through the following link.

While it is important to have a thorough understanding of these new regulations, Property Brokers will work to ensure all documentation remains up to date, and if any changes are made, all staff, and clients will be informed.

legislation.govt.nz/regulation/ public/2019/0088/latest/whole. html#LMS148201

6. Inform tenants of the intent, and what will be done to meet the HHS.

7. Place work orders for the necessary upgrades.

Asbestos Regulations

Residential landlords are PCBU’s (persons conducting a business or undertaking), under the Health and Safety at Work Act. They must manage any asbestos-related risks when work is taking place at their property. This is to ensure the health and safety of tenants, neighbours, contractors and anyone else who may be affected.

Property Brokers anticipate an increase in compliance and regulations in this area. It is also an area that we want to ensure tenants within properties are safe and are made aware of any potential asbestos within the building.

Asbestos was a common building material up until the 1980’s, but it may be present in buildings built or renovated before 2000.

Overview of requirements:

• If you're a landlord you must comply with the Health and Safety at Work Act 2015 and the Health and Safety at Work (Asbestos) Regulations 2016.

• As a landlord, you may not have to remove asbestos from your property but you will need to manage any related risks. For example, if contractors are carrying out repairs, this could disturb material that contains asbestos.

• If a landlord plans to do work such as refurbishment or demolition, they need to ensure that asbestos relating to the work’s location is identified and removed, where reasonably practicable. This must happen before any work starts.

• When work at a property includes a risk of exposure to respirable asbestos, the relevant asbestos must be identified and an asbestos management plan prepared. A landlord may write the asbestos management plan themselves, or they may employ someone else to do it. If the asbestos is non-friable and in good condition it’s often safer to leave it undisturbed if the work taking place is routine maintenance or other minor work.

• The landlord needs to work with the other PCBU’s involved, (such as building contractors), to ensure the plan is followed. They also need to inform their tenants about the asbestos and what they need to do to keep safe while the work takes place.

Asbestos Management plan

The primary legislation governing work health and safety in New Zealand is the Health and Safety at Work Act 2015 (HSWA). Policy clarifications set out WorkSafe’s view of HSWA in relation to a sector, particular circumstances, or a specific function.

This policy clarification sets out when residential landlords have a duty to identify asbestos and prepare an asbestos management plan.

What does the law say?

• Under HSWA, landlords must ensure that when work is carried out at their property, it is done safely and without endangering workers or others, including tenants.

• Landlords must identify asbestos in the workplace and document plans for managing its risks in an asbestos management plan if there is a risk of exposure to respirable asbestos fibres.

Asbestos Management Plan

1. As a residential landlord, property manager or building contractor, you are the person conducting a business or undertaking (PCBU) for your rental property.

2. Coordinate, collaborate and cooperate when they share overlapping duties with you.

3. Under HSWA, you have a duty to identify asbestos and prepare an asbestos management plan for work involving a risk of exposure to respirable asbestos fibres. For example, exposure is likely to occur from dust created when drilling or cutting into asbestoscontaining materials.

4. The risk of exposure depends on the kind of work you’re planning to do. Types of work that create risk may include renovations, refurbishments or demolition work.

5. If the work creates a risk of exposure in an area of the property, you must ensure asbestos is identified and an asbestos management plan is prepared.

6. The duty only applies:

• when you are planning and carrying out the work

• to the area relevant to the work creating a risk of exposure to respirable asbestos fibres.

Positively identifying a Management Survey

The asbestos surveyor should take a sufficient number of samples to confirm the location and extent of any asbestos-containing material (ACM). Sample numbers can be reduced if materials are assumed to contain asbestos.

When sampling is carried out as part of a management survey, a competent person should collect samples from each type of suspected ACM for analysis. If the sampled material contains asbestos, other similar materials used in the same way in the building can be assumed to contain asbestos.

• Research and analysis

• Sampling and identification

• Transport and disposal

• Demonstrations, education or practical training

• Response to an emergency

• Demolition

• Firefighting

• Maintenance and servicing work

• Display of an artifact or thing

• Mining

• Laundering asbestoscontaminated clothing

• Naturally occurring asbestos

• Work carried out in accordance with an approved method

Management survey

Work involving asbestos

• Removing 10m2 or less of non-friable asbestos and associated asbestoscontaminated dust (ACD)

• Removing ACD not associated with the removal of friable or nonfriable asbestos and is only a minor contaminant

• Any amount of friable asbestos or ACM

• Any amount of ACD

• Any amount of non-friable asbestos or ACM

• Any amount of non-friable asbestos or ACM

• ACD associated with removing non-friable asbestos or ACM

The purpose of the asbestos management survey is to help the workplace PCBU to identify and manage all asbestos in their workplace systematically. The survey has to provide sufficient information for the workplace PCBU to indicate the presence and location of asbestos or ACM, carry out a suitable risk assessment, and develop an asbestos management plan.

In most cases, the survey will have three aims.

• Find and record the location, extent and product type of any assumed or known asbestos and ACM.

• Inspect and record information on the accessibility, condition, and surface treatment of any assumed or known asbestos and ACM.

• Determine and record the asbestos type, either by collecting representative samples of suspect materials for laboratory identification or by making an assumption based on the product type and its appearance, etc.

Asbestos-related work

Asbestos removal work

Unlicensed asbestos removal

Licensed asbestos removal Class A Class B

Asbestos

Best practice

The management of asbestos is new for everyone, so what does good practice look like? The following scenarios outline the actions you must take or ensure happen, so you meet your duty under HSWA. They also illustrate that responsibilities are specific to the part of the property where there is a risk of exposure to respirable asbestos fibres.

Scenario one – demolition of a shed:

A landlord is planning to demolish a shed located at the rear of a rental property. The shed is of an age and type that is likely to contain asbestos, such as a structure built, altered or refurbished before January 2000, with building elements that may contain asbestos. Until now, rather than identifying all asbestos, the landlord assumed it to be present and advised the tenants on how to stay safe.

Before the demolition, the landlord must ensure all the asbestos from the shed is identified and removed. An asbestos management plan needs to be prepared during the planning process before the demolition. A licensed asbestos removalist can develop the plan for the landlord, as they are likely to have already the information needed for their own asbestos removal plan.

The landlord and the removalist will need to work together to ensure the removal is carried out safely and in accordance with the regulations. In this scenario, the house does not need to be included in the asbestos management plan because the work does not involve the house.

Scenario two – renovating a kitchen and bathroom:

A landlord is planning to refurbish the kitchen and bathroom of a rental property. The property is of an age and type that is likely to contain asbestos. Rather than identifying all asbestos, the landlord assumed it to be present and advised the tenants how to stay safe.

Before the refurbishment begins, the landlord must ensure all the asbestos from the kitchen and bathroom is identified and removed where possible. The landlord must ensure the asbestos management plan is prepared during the planning stage and work with a licensed removalist to ensure the removal is carried out safely and in accordance with the regulations.

In this scenario, there is no requirement to identify all asbestos and prepare an asbestos management plan for the areas of the house not being renovated because there is no risk of exposure there.

Asbestos Policy

Property Brokers are constantly working to update our policy on asbestos and this is determined on whether it becomes mandatory for every property to be assessed.

In the meantime, the policy for asbestos is as follows;

1. If a property is new or existing and if asbestos is suspected within a property, an approved asbestos assessor must be engaged to check the property.

2. If a property is new, and asbestos is suspected, the property cannot be rented until it has been assessed, and either a management plan or removal plan has been completed.

3. Notify the owner of the concern and pending assessment.

4. Based on the findings;

• A management plan will be established.

• All asbestos will be identified.

5. If identified, depending on the threat, the asbestos management plan is to leave the asbestos within the property, then it must be identified:

• Asbestos to be recorded internally.

• Asbestos to be recorded as a hazard in the Maintenance Management software.

• Work orders for tradesman need to identify risks within the property.

6. If work is to be carried out where asbestos has been identified, a management or removal plan needs to be established in consultation with an approved asbestos management company.

Asbestos is a potentially hazardous material. It is essential that if you have any concerns about a property under management, you raise it immediately with your property manager.

Methamphetamine Regulations

We are well versed on our obligations with methamphetamine (meth) and how to handle any issues around it, as and when it arises.

Property Brokers does not have a policy in place with respects to mandatory testing. However, it is best practice to check a property that is new to the portfolio, especially if it has been in the rental pool for many years.

Contamination

The testing process currently in place does not distinguish whether meth has been smoked in the property or manufactured. Generally, if manufactured, the readings will be much higher and more concentrated in areas.

• If an initial test in the property records levels of more than 1.5ug/100cm2, further testing will be necessary.

• Secondary tests are more thorough and therefore conclusive. Contamination will be more clearly identified, including the location.

• It may be evident that only one room within the property measures higher levels.

• Based on the second more thorough test, a management plan can be established.

Gluckman Report – what does it mean for levels?

This report was completed after the original levels were established. The Gluckman report indicated that levels up to 15ug/cm2 were deemed to be safe. This level is substantially higher than the NZS 8510:2017 clean-up standard of 1.5µg/100cm2

It concluded that exposure to methamphetamine levels below 15μg/100 cm2 would be highly unlikely to give rise to any adverse effects.

Although the Gluckman report was conducted by a reputable scientist and applied a logical and pragmatic approach to the meth issues, the government has not yet amended the original levels of 1.5ug/cm2. Therefore, we need to continue to operate to the original standards.

The government is currently reviewing these standards, and it is likely that new guidelines will be set in the future.

Methamphetamine

Best practice

What to look for – how can you spot meth usage: Strange smells, fumes and vapour escaping from windows or ventilators, sealed windows and premises being used for purposes other than normal, are some of the signs that indicate a premises may be being used as a clandestine (clan) laboratory.

If you suspect you have found a clan lab, leave from the area immediately.

• Never taste, touch or smell any chemicals or equipment.

• Do not attempt to stop a chemical reaction.

• Do not turn any electrical device on or off, such as lights or a fan. This could cause an explosion.

• Do not shut off the water supply to the house or the chemical reaction.

• Do not smoke in or near a clan laboratory.

• Do not use tools, radios, cell-phones, torches or devices that produce sparks or friction.

• Call the Police.

• Do not go back inside.

If you suspect the house you are moving into has previously been used as a clan lab, speak to your manager, and take the appropriate steps to remedy the issue.

Acting on contaminated properties:

Before deciding whether to take a meth-related claim to the Tenancy Tribunal, you should consider all available information. This includes:

• the New Zealand Standard

• the CSA report

• Tribunal decisions. Recent decisions allow a landlord to refer to the guidance available at the time a property was tested and decontaminated.

You should also consider:

• when the testing and decontamination took place

• what evidence there is of methamphetamine manufacture or use in the premises

• how to satisfy the Tribunal that the premises was not contaminated before the current tenancy started.

FAQ’s

• The property has two storeys, do we need a smoke alarm on each level?

Yes. The minimum requirement is no more than three metres from each room.

• Will Property Brokers require each property to be tested for asbestos?

At this stage, no. However, we are working to determine the feasibility of checking properties going forward.

• Should Property Brokers ask new clients about asbestos in their property?

Yes, most definitely. It is important to obtain all information about the property and if the owner is aware, we need to establish a management plan for the affected areas.

• Is meth testing still compulsory for properties?

No, properties do not need to be tested between each tenant or if a new property is secured. However, if it is suspected that meth has been smoked or manufactured in the property, it needs to be tested.

• Are the Management Authorities going to be updated to include asbestos?

Yes, all documentation including tenancy agreements will be updated to ensure information is captured.

• Should Property Brokers be responsible for checking smoke alarms between tenancies?

The property manager should contract this requirement to a third party such as SATS (Smoke Alarm Testing Services). There are professional agencies that check, monitor, and install alarms for properties for a small annual fee.

• What levels should be abided by with meth contamination?

At this stage, if a recording of more than 1.5ug/cm2 comes through, further testing is required. The government is still reviewing the levels post-Gluckman report, and until further guidelines are released, we act to the 1.5ug/cm2

• If we know there is asbestos in the property, do we need to get a licensed contractor to remove the contaminated material?

If there is less than 10m2 of non-fibral asbestos material, then it can be removed by an unlicensed contractor. Depending on the amount, and type of asbestos, a management plan will be put in place.

• An owner has recently insulated to the Insulation Regulation, are they ok?

Not necessarily, if the ceiling insulation is less than 120mm, they will need to top it up.

• Does underfloor insulation need to be 120mm or more?

No, only the ceiling insulation requires 120mm or more.

• Who should we use to test smoke alarms?

There are several professional agencies across New Zealand. SATS (Smoke Alarm Testing Services) is a trusted brand as an example. Talk to your Property/Branch Manager for options.

Resources

Smoke Alarms:

Requirements - tenancy.govt.nz/assets/Uploads/Tenancy/smoke-alarm-requirements.pdf

Best Practice - Smoke alarm best practice recommendations from Fire and Emergency New Zealand

Insulation:

Regulations - tenancy.govt.nz/healthy-homes/insulation-standard/

Legislation - tenancy.govt.nz/assets/Uploads/Tenancy/NZS-42462016-Energy-efficiency-Installing-bulkthermal-insulation-in-residential-buildings.pdf

Healthy Homes Standards:

Regulation - legislation.govt.nz/regulation/public/2019/0088/latest/whole.html

FAQ’s - hud.govt.nz/assets/Healthy-Homes/765404e8a3/Healthy-Homes-Standards-Common-Questionsand-Answers-13052019.pdf

Asbestos:

Regulations - legislation.govt.nz/regulation/public/2016/0015/19.0/DLM6729706.html

Health & Safety - legislation.govt.nz/act/public/2015/0070/latest/DLM5976660.html

Identifying Asbestos - worksafe.govt.nz/topic-and-industry/asbestos/working-with-asbestos/conductingasbestos-surveys/#lf-doc-24691

Management and Removal - worksafe.govt.nz/topic-and-industry/asbestos/management-and-removal-ofasbestos/

Methamphetamine:

Law - police.govt.nz/advice/drugs-and-alcohol/methamphetamine-and-law

Standards - standards.govt.nz/assets/Publication-files/NZS8510-2017.pdf

Gluckman Report - pmcsa.org.nz/wp-content/uploads/Methamphetamine-contamination-in-residentialproperties.pdf