Pet owners dismayed by Hawaii’s lack of pet-friendly rental units could soon see an increase in lease agreements that allow animals to reside with their owners — if they pay.

Legislators last week came to agreement on a bill that will permit landlords to negotiate a refundable security deposit with tenants who plan to live with pets. Senate Bill 328 now goes to the House and Senate chambers for final approval before being sent to the governor for signing.

"The hope on this bill is that it will be the incentive that’s needed to allow more rental property owners to rent to folks with pets," said Sen. Roz Baker, chairwoman of the Senate Commerce and Consumer Protection Committee. "Because we know that pets can provide companionship and comfort even if they’re not listed as assistance dogs."

The proposed law will take effect upon approval by the governor but will affect rental agreements entered into on or after Nov. 1.

Roughly 58 percent of Oahu households had pets as of June 2012, which amounts to about 375,000 pets on the island, according to a Ward Research study cited by the Hawaiian Humane Society.

Inga Gibson, Hawaii state director for the Humane Society of the United States, said one of the most common reason animals are surrendered is because of housing issues.

Many landlords in Hawaii don’t allow tenants to have pets because current law prohibits them from collecting anything more than one month’s rent as a deposit, Gibson said.

Under the bill, landlords could effectively double the refundable security deposit for renters with pets by charging a sum up to the cost of one month’s rent to compensate for cleaning, damage and other costs related to the everyday use of the unit, and another with the same limit to compensate for damage caused by any pets.

Verified service/assistance animals would be exempt from additional charges.

Jennifer Han, policy advocate for the Hawaiian Humane Society, said in some cases landlords are increasing monthly rent if tenants want to have a pet.

"When you pay that rent, you don’t get that rent money back," Han said. With an upfront security deposit in place, pet owners would be able to recoup their money if no damage is done.

Earlier this session, some House members spoke out against the bill on the grounds that encouraging landlords to rent to pet owners would raise rents for everyone.

Rep. Angus McKelvey, chairman of the House Consumer Protection and Commerce Committee, who worked with Baker on the final draft of the bill, said that position was ill-founded and that support for the bill is widespread.

"When the bill passed the floor, a lot of people were coming up to me, saying, you know, ‘This is huge because I’d like to get a pet,’ ‘My daughter misses having a dog,’ or, you know, ‘We want a cat but we can’t go get a cat or a dog because if we do then our landlord’s going to kick us out,’" he said.

The Hawaii Association of Realtors has supported the bill throughout the session.

Dale Bordner, president of the 8,000-member association, said she thinks it’s a good way to give property owners more flexibility to allow pets in their units.

"I think most pets are very well-behaved, and so this kind of addresses situations where an unfortunate situation might happen," she said.