MS HB1078

Creates a new crime for misappropriation of utility payment funds when a person receives money under a lease or rental agreement to pay utilities but knowingly fails to apply those funds within 60 days of receiving the utility bill

Establishes tiered felony penalties based on amount misappropriated: $25,000+ carries up to 20 years imprisonment and $50,000 fine; $5,000-$24,999 carries up to 10 years and $10,000 fine; $1,000-$4,999 carries up to 5 years and $3,000 fine

Misappropriation under $1,000 is punishable by up to 6 months imprisonment and $1,000 fine, with enhanced penalties of up to 2 years for repeat offenders with two or more prior convictions

Requires convicted offenders to make full restitution to victims and any other persons who suffered financial loss from the offense

Provides exemptions when the tenant failed to pay sufficient funds or when delays resulted from administrative, clerical, or technical errors by the utility company; effective July 1, 2026