Vote Smart's Synopsis:

Vote to pass a bill that prohibits the eviction or penalization of tenants unable to pay rent during the COVID-19 pandemic.

Highlights:

• Requires creditors to grant a mortgage forbearance to an impacted homeowner if the impacted homeowner submits a written request affirming the following (Sec. 3):

• The impacted homeowner has suffered a negative financial impact as a result of the COVID-19 pandemic;

• The gross household income after hardship does not exceed 150 percent of the area’s median income, as defined by the U.S. Department of Housing and Urban Development; and

• The impacted homeowner possesses one or more bank accounts, and all of those accounts collectively contain less than six months’ worth of the homeowner’s gross household income for 2019.

• Establishes an extension on mortgage repayment equal to the number of months the forbearance is in effect (Sec. 3).

• Authorizes an impacted homeowner who is denied forbearance to file a complaint to the Department of Banking Insurance for an investigation (Sec. 3).

• Prohibits landlords from evicting or giving notice to evict a tenant until at least sixty days following the end of an emergency period (Sec. 4).

• Prohibits judges from issuing warrants to evict until sixty days following the end of an emergency period (Sec. 4).

• Requires landlords to offer tenants an option to repay any missed payments during a pandemic (Sec. 6).

• Authorizes tenants to decline the aforementioned offer if (Sec. 6):

• The tenant is not an impacted tenant;

• The tenant’s gross household income exceeds 100 percent of the area’s median income; or

• The tenant possesses one or more bank accounts that collectively contain six months’ worth of the tenant’s gross household income for 2019. 

• Prohibits landlords from imposing fines on tenants for any late fees during a pandemic (Sec. 6).

• Establishes a “COVID-19 Impact Fund” which can be used for maintaining mortgage payments and related fees for properties approved for mortgage forbearance, and in cases where the value of the Low-Income Housing Tax has been reduced due to the COVID-19 pandemic.

• Establishes that this bill takes effect immediately upon passage and applies retroactively to rent and mortgage payments missed subsequent to March 9, 2020 (Sec. 11).

Full Bill Text