Beginning June 1, 2026, House Bill 3525 (HB 3525) implements sweeping new requirements for Oregon landlords whose rental units rely on “exempt” domestic water wells. This law aims to guarantee safe drinking water and protect tenants’ health by mandating regular testing and full disclosure of water quality results to tenants. But how will these changes affect Portland landlords? How can you determine if they apply to you, and what steps should you take to stay compliant?
1. Which Rentals Must Comply?
HB 3525 applies when rented dwelling units use domestic “exempt” water wells—a well not regulated as a public water system—located in a groundwater-management area or area of groundwater concern. These wells are common in rural, semi-rural, and some outer‑Portland areas. If you own such a unit, HB 3525’s provisions apply.
2. What Tests Are Required — and When?
Landlords must test well water for:
- Arsenic.
- Coliform bacteria (e.g., E. coli).
- Lead.
- Nitrates.
The first test must be conducted within 30 days of well installation (for arsenic). Testing is then required annually, unless a test confirms that no contaminants exceed EPA limits. In that case, landlords may skip testing for up to four years following two consecutive clear annual tests, provided the first test was also clear.
3. Processing and Reporting Requirements
All testing must be performed by DEQ- or OHA-accredited labs, which must electronically report results to the Oregon Health Authority. Landlords must provide tenants with results within 30 days of receipt, using OHA-approved forms that clearly state pass/fail outcomes. Before a lease begins or a screening fee is charged, landlords must disclose well use, latest testing dates, and next testing deadlines.
4. What If Contaminants Are Found?
If any contaminant exceeds the EPA Maximum Contaminant Levels (MCLs):
- Landlords must notify tenants immediately, including the date and remediation plan.
- Provide tenants with a health-information handout supplied by the OHA.
- Treat, repair, or replace the water wells or water system.
- Conduct follow-up tests as required under OHA rules, likely annually until cleared
5. Penalties and Tenant Rights
Failure to comply has serious consequences. First of all, rentals become uninhabitable if drinking water isn’t safe, which now explicitly includes testing and treatment obligations for well water. This means that noncompliance may jeopardize habitability status under Oregon landlord–tenant law, potentially opening landlords up to further legal action. In addition, tenants can recover the greater of their actual damages or a penalty of $300 per violation.
Challenges for Portland Landlords
Despite its public health benefits, HB 3525 presents a number of practical and financial challenges for landlords, especially those managing properties in rural or semi-rural areas of Portland, where exempt wells are more common. One of the first hurdles is identifying whether your rental is served by an exempt well and whether that well falls within a designated groundwater management area or area of concern. These designations can shift, making it difficult to stay current without expert guidance.
Once a qualifying well is identified, landlords must implement a reliable recordkeeping system. This includes tracking test dates, storing lab results, maintaining disclosure forms, and scheduling future compliance activities. Without a structured system, it’s easy to miss deadlines or lose important documentation, and these mistakes can result in costly penalties.
Coordinating with certified water testing labs adds another layer of complexity. Tests must be scheduled on time, conducted according to specific standards, and reported electronically to the Oregon Health Authority. Even minor delays in processing or miscommunication with a lab can put a landlord out of compliance.
If water contaminants are found, landlords bear the full responsibility of resolving the issue. Treatment or replacement of well systems can be expensive, especially if the property relies on the well as its only water source. The law also imposes strict timelines for testing, disclosure, and reporting. These legal requirements are non-negotiable, and even a well-meaning landlord can find themselves penalized for administrative oversights. In worst-case scenarios, noncompliance may lead to claims that the unit is uninhabitable under Oregon law, further compounding the legal and financial strain.
All of this amounts to a significant administrative and emotional burden. HB 3525 introduces a shifting legal framework that requires vigilance, organization, and timely action—something that many independent landlords struggle to maintain while managing other aspects of their rental business. Without a support system, the stress of keeping up with regulations like HB 3525 can become overwhelming.
How the Rent Portland Homes – Darla Andrews Office Can Help
This is where Rent Portland Homes Darla Andrew’s Office comes in. We handle every detail, from audits and lab coordination to documentation, notifications, and remediation management, so you’re always in step with the law. Partner with us and turn HB 3525 compliance from a burden into a seamless operational component, keeping your tenants safe and your stress low.
1. Regulatory Compliance Audit
We conduct thorough assessments of your rental units with water wells, confirming existing infrastructure, mapping groundwater areas, identifying compliance needs, and establishing testing schedules aligned with the law.
2. Testing Management
We coordinate with accredited labs—handling sample collection, shipping, sample tracking, and ensuring electronic reports reach the OHA. You receive necessary tenant disclosures and handouts on time.
3. Documentation & Disclosure
We prepare and deliver required notices: pre-lease water source disclosure, test results within 30 days, reminders for upcoming tests, and formal notifications if contaminants are detected.
4. Contaminant Response
If test results exceed standards, we help you navigate remediation, connecting you with treatment installers or well-service professionals, overseeing repairs, and scheduling follow-up testing per law.
5. Tenant Communication & Support
Our team ensures tenants are informed, managing communication professionally to maintain relationships while meeting legal standards.
6. Risk Reduction
We mitigate operational risk by documentation, calendar tracking, legal compliance, and habitability monitoring, thus ensuring you retain tenant confidence and avoid fines and lawsuits.
7. Peace of Mind + ROI Protection
We take HB 3525 concerns off your plate so you can focus on portfolio growth. With our help, you confidently maintain rental income while complying with evolving landlord laws.
If you’d like to experience our full suite of property management services, contact Rent Portland Homes Darla Andrews Office today. We’re here to help you get the most out of your rental property ownership experience.
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