Hi my friend was in the military and has a service dog he has the papers and ID card for the dog does he still have to pay a pet deposit?

Yes... It covers extra thorogh cleaning because the next tenants might be allergic to animals.

If the landlord requires a pet deposit of all tenants then it has to be paid.

Why not? A pet is a pet, military or not.

From what I have read and researched over the years, Service animals are not pets. It is my understanding, under the Fair Housing Act, a landlord cannot require a pet security deposit for a service animal. They can, however, require payment for any damage the animal causes. I think I read that there are some 'small business' type exemptions so the Act may not cover all rentals. Your friend may want to visit the ADA.Gov (ADA.gov homepage ) website for more information.

Revised ADA Requirements: Service Animals

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People with disabilities who use service animals cannot be isolated from other patrons, treated less favorably than other patrons, or charged fees that are not charged to other patrons without animals. In addition, if a business requires a deposit or fee to be paid by patrons with pets, it must waive the charge for service animals.

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Service Animal FAQs: Housing - Pet Partners

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Service Animal Categorized

The Fair Housing Act does not define "service animal" per se, and does not make a distinction among certified service animals, non-certified animals, animals that provide psychological support, and service animals in training that live with the people with disabilities for whom they will work. The Act does not have restrictions about who may train the animal. However, the Act recognizes that service animals are necessary for the individuals with disabilities who have them, and as such does not categorize service animals as "pets." Service animals, then, cannot be subjected to "pet rules" that may be applied by housing providers to companion (non service) animals. Housing providers cannot, for example, impose upon service animals the size or weight restrictions of a pet rule, exclusions from areas where people are generally welcome, or access restrictions to only a particular door or elevator. Further, special tags, equipment, "certification" or special identification of service animals cannot be required. Judith Keeler, Director, U.S. Dept. of HUD, Northwest Alaska Area Fair, Housing Enforcement Center, states that it is HUD's position that no deposit may be charged for the service animal.

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I agree classifying a service animal as a pet is incorrect. But I was surprised that they would be exempt from deposit rules. So Cat was the only one right here.

However, being former military is irrelevant. It's the ADA that governs.

I don't read the ADA regulations quoted as requiring a waiver of a pet deposit fee by a landlord. It deals only with areas "where the public is allowed to go". That would not include rented premises.

However, this part does; Judith Keeler, Director, U.S. Dept. of HUD, Northwest Alaska Area Fair, Housing Enforcement Center, states that it is HUD's position that no deposit may be charged for the service animal.

I don't see where the quote from Ms. Keeler is, but she is plain incorrect, in my opinion. And her opinion, by itself, isn't the law.

From HUD's website:
Questions and Answers about Fair Housing

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So how do Fair Housing laws apply to real life situations? Here are some examples: Situation 1
John has been diagnosed with severe depression and is disabled as defined by the Fair Housing Act. His doctor prescribes John a dog to help alleviate some of his symptoms. John asks his landlord if he can have a dog as a reasonable accommodation for his disability. His landlord says yes, but tells John he'll need to pay a $250 pet deposit and must provide proof that the animal is trained.
Question: Did John's landlord correctly handle John's request under the Fair Housing Act? What if John wanted a cat or a ferret instead?
Answer: No, John's landlord did not handle his request correctly. The landlord cannot charge John a pet deposit for his animal because it is not a pet, but rather a service/companion animal required for disability. Further, the landlord cannot ask for proof that the animal is trained. Lastly, service/companion animals do not have to be just dogs; they can also be other animals, such as cats or ferrets.

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"... Lastly, service/companion animals do not have to be just dogs; they can also be other animals, such as cats or ferrets. " (Quoting the HUD FAQ)

"... Service animals are defined as dogs" Under the ADA.

"... This definition does not affect or limit the broader definition of “assistance animal” under the Fair Housing Act or the broader definition of “service animal” under the Air Carrier Access Act."...

Revised ADA Requirements: Service Animals

Which proves to me that Ms. Keeler, or whoever is responsible for the HUD FAQ, doesn't know what she is talking about.