HomeMy WebLinkAbout31. Municipal Options - Landlords and Tenants during COVID-19 y 14 1
1. Current Status of Renter Protections
a. WI Emergency Order#15—Expires May 26,2020
i. On March 27,2020 an Emergency Order was issued putting a 60 day ban
on the filing of rental eviction actions.
I The emergency order expires at the end of the day on May 26,2020.
iii. Nothing in the order relieves an individual from paying their rent.
b. Federal CARES Act—Expires July 25,2020
i. On March 27,2020—Federal Gov.passed the CARES Act.
ii. For 120 days,the Act prohibits evictions and the accrual of
interest/penalties for renters living in properties that(1) are federally
subsidized, or(2)have federally backed mortgages. Expires on fuly 25,
2020.
iii. It's estimated this covers at least 25% of rental properties.
iv. There are a few more nuances to this Act that may help certain renters,
but the major benefit will be in sub (ii) above.
2. Possible Avenues for Relief
a. Rental Relief Fund
i. Other cities have done this. A few we have found are included below:
1. Orlando—allocated$1.8 million. Ran out of funds in one week.
2. Boston-$3 million. Had to shift to "lottery"based on number of
applications.
3. Seattle/King County—allocated$5 million through United Way.
Received 7,000 applications in two days. Shut down program
until further funding is available.
4. LA County-Looking to implement in the next 30 days.
5. Chicago—Grant program. Forms are online. No report on effect
of program yet.
6. San Antonio—Voluntary participation by landlords. They have to
agree to forgive 25%of rent, and City would pay the remaining
75%.
7. Volusia County, FL—Forms online.
8. Does not appear any WI cities have started a rental assistance
program yet
I Questions:
1. How much money do we need to make a difference?
2. Will it actually stop the eviction?
a. If this is the second time in the last twelve months that the
tenant has received notice for non-payment,paying rent
will NOT stop the eviction.
3. What criteria would we use?
a. Proof that loss was attributable to COVID?
b. Household income limitations?
c. Do they need to be current on rent?
d. Do we distinguish between a$1,600 rental for a single
college student versus a$700 rental for a single parent of
three? How?
e. Are we going to cap the amounts given out(i.e. $500 per
applicant). If we "cap" the amount, are we going to give
funds even if it doesn't cure the default?
f. Are we going to help homeowners too?
4. Who will supervise administration of funds?
5. Would landlords be required to waive default in order to receive
payment? Forgive a portion of the debt owed?
b. Stopping Evictions/Reducing Rent
i. Can't be done at City level
1. Wis. Stat. §66.1010 prohibits the City from enacting an ordinance
prohibiting a landlord from pursuing an eviction action.
2. Wis. Stat. §66.1015 prohibits the City from regulating the amount
of rent or fees charged for a residential tenancy.
3. Wis. Stat. §704.07 prohibits City from abating(reducing)rent
unless it is related to conditions that materially affect the health or
safety of the tenant or substantially affect the use and occupancy
(i.e.mold,hole in roof, etc.)
c. Informing Tenants
i. Leverage Existing Community Resources
1. Legal Aid/Winnebago County Conflict Resolution Center
2. UWO
3. HUD/Sec. 8
4. Forward Service Corp. (Emergency Assistance for Families)
5. WI will be receiving$37 million at the state level for community
development block grants through CARES
ii. Create "one-stop shop" on City website for renters with links to
resources?
iii. Create Tenant Resource Center? (Would require continued funding