I believe one of the tenants is a dog groomer or trainer. 

An interest bearing escrow account (with all that an escrow account implies) or posting a bond with the town or city, which costs money and in any case, the town clerk will look at you with a befuddled look on her face if you try.So, separate, interest-bearing escrow accounts.

You're implying that emergencies never happen.

Sending them a 1099 implies you are forgiving the debt.

You bring up a good point though that it's important to be careful what you call it, since a deposit implies it's refundable whereas a fee is usually not. 

My properties are on the other side of town so I try not to imply that I will be there but I do parcel out the work and expect to be notified by the tenant when the work has been completed. 

I also didn't mean to imply that you need one for each bedroom, if one is installed in the vicinity of multiple bedrooms it should be code compliant.Is the hard wire requirement a local code?

If the buyers go there today and see what's around, I bet most of them would never buy.The argument that's being implied in their marketing is this.

She seems to be implying that the landlord is not declaring rental income, which is certainly none of her business.

(unless that's not what you were implying...maybe I'm misreading the title).