Bill No. 250329: What Philadelphia's New Rental License Law Means for Landlords
Quick answer: Bill No. 250329 is part of Philadelphia's "Safe Healthy Homes Act," signed into law by Mayor Cherelle Parker in May 2026. It tightens the connection between rental licenses, Certificates of Rental Suitability, and a landlord's right to collect rent or file an eviction. If your property has open Licenses & Inspections (L&I) violations for more than 30 days, your rental license can be denied, your renewal can be blocked, and tenants gain new legal remedies against you — including lawsuits for up to $2,000 per unit plus rent refunds and attorney's fees.
If you own or manage rental property in Philadelphia, this is one of the most consequential pieces of housing legislation to pass in the past decade. Here's what it actually does, why it matters, and how to make sure your license stays in good standing.
What Is Bill No. 250329?
Bill No. 250329 was introduced by Council member Nicolas O'Rourke in April 2025 as part of a three-bill package known as the Safe Healthy Homes Act, developed with OnePA Renters United Philadelphia and Philly Thrive. After nearly a year of hearings, committee votes, a lawsuit from two landlords that briefly sent the bill back to committee, and a final Council vote in April 2026, Mayor Parker signed it into law on May 7, 2026.
At its core, the bill rewrites the relationship between L&I violations, rental licenses, and a landlord's ability to legally operate. The key provisions include:
Violations block licensing. If a property has any open L&I violation or habitability issue on record for more than 30 days with no pending appeal, L&I can now refuse to issue or renew that property's rental license — and the license is treated as "not in good legal standing" in the meantime.
Mandatory tenant notice. Landlords and L&I must notify tenants by first-class mail if a rental license expires, becomes inactive, or falls out of compliance with Certificate of Rental Suitability requirements.
Expanded rent and eviction restrictions. The city already barred landlords without a valid license or Certificate of Rental Suitability from collecting rent or filing for eviction. This bill extends that restriction to any property with violations open for more than 30 days.
No renewal until you're clean. A rental license can't be issued or renewed until all outstanding violations are resolved and all fines and costs are paid in full.
Court filings now require proof. In any eviction or rent-collection action, landlords must attach a copy of their rental license, Certificate of Rental Suitability, and L&I inspection history for the tenancy.
New private lawsuit remedies for tenants. Tenants who successfully sue over noncompliance can now recover civil damages up to $2,000 per unit, compensatory damages, a refund of rent paid during any period of noncompliance, injunctive relief, and attorney's fees.
Certificates tied to renewals, not just move-ins. A Certificate of Rental Suitability must now be renewed every time a lease is renewed with an existing tenant, not just at the start of a new tenancy, and it's only valid for one specific unit.
A Proactive Inspection Program. L&I is authorized to build out a program to inspect rental units on a regular cycle — not just in response to complaints — with a rollout target of July 2030 and public annual reporting on its progress.
Why This Matters for Philadelphia Landlords
This bill changes the stakes of routine license and compliance management in a few important ways:
1. A single unresolved violation can now freeze your income. Previously, the rent-collection and eviction restrictions mainly kicked in when a license or Certificate of Rental Suitability lapsed. Now, an open violation sitting on your record for 30 days — even a minor one you didn't realize was still active — can trigger the same restrictions and block your renewal.
2. Renewals are stricter. You can no longer renew a license while fines or violations are outstanding. If you've let a citation slide, or you're unaware of one because a tenant or previous owner never told you, it can quietly derail your renewal timeline.
3. Your legal exposure just went up. The new private-lawsuit remedies mean tenants have a much stronger financial incentive — and a clearer legal path — to sue over licensing or habitability noncompliance. A lapsed license is no longer just a paperwork problem; it's now a potential $2,000-per-unit liability, plus damages, rent refunds, and legal fees.
4. More paperwork is required in court. If you ever need to pursue an eviction or collect unpaid rent, you'll need your license, Certificate of Rental Suitability, and inspection history on hand and current. Missing or outdated documents could jeopardize your case regardless of the underlying merits.
5. Inspections are coming, eventually. The Proactive Inspection Program means Philadelphia is moving toward a system where properties get inspected on a routine cycle rather than only after a complaint. Landlords who stay ahead of maintenance and documentation will be far better positioned once that program scales up.
The practical takeaway: license and compliance management in Philadelphia is no longer a once-a-year task you can handle reactively. It now touches your ability to collect rent, evict a nonpaying tenant, and defend yourself in court.
How Philly Rental License Helps
Staying compliant under Bill No. 250329 means tracking a lot of moving pieces at once: license status, Certificate of Rental Suitability renewals, open L&I violations, and required tenant notices — across every property you own. That's exactly the kind of work we handle every day at Philly Rental License.
We help Philadelphia landlords and property owners:
Obtain and renew rental licenses correctly the first time, avoiding the delays that can now leave a property in "not good legal standing."
Secure and renew Certificates of Rental Suitability — including for lease renewals with existing tenants, a requirement many landlords don't realize now applies under this bill.
Navigate the paperwork trail you'll need if you ever face an eviction filing or rent dispute, so your license, certificate, and inspection history are ready to go.
Stay ahead of city notices, so an expired license or lapsed certificate never catches you off guard.
Whether you own a single rental property or a growing portfolio, Bill No. 250329 makes it more important than ever to have your licensing and compliance handled by people who track Philadelphia's rental laws for a living. That's what we do.
Bottom Line
Bill No. 250329 raises the cost of noncompliance for Philadelphia landlords — tying rental licenses directly to violation history, adding new tenant notice requirements, and giving tenants stronger legal remedies. The best way to protect your rental income and avoid legal exposure is to keep your license, Certificate of Rental Suitability, and L&I record clean before problems compound.
Need help getting or keeping your Philadelphia rental license in good standing? Contact Philly Rental License at (267) 310-1834 or info@phillyrentallicense.com, or visit phillyrentallicense.com to get started.
This article is for general informational purposes and does not constitute legal advice. For guidance specific to your property or situation, consult a Philadelphia landlord-tenant attorney or contact Philly Rental License directly.