LOC News
Residential Eviction Safe Harbor Bill Passes
On Friday, June 4, the House Committee on Housing held a hearing during which it became clear that rent assistance would not be widely available in communities before June 30, when the state eviction moratorium expires. As a result, the Legislature introduced a new proposal, which was amended into SB 278, to provide help for tenants and landlords. The -15 amendments were adopted to SB 278 last Wednesday night, and the bill passed the House floor last Thursday with unanimous support. On Monday, SB 278 received final passage in the Senate with a 27-2 vote.
SB 287 provides 60 days for a tenant who has applied for rent assistance to be qualified for help and receive resources. The 60-day clock begins the day the tenant notifies their landlord that they have applied. A tenant can notify their landlord they’ve applied for rent assistance until their first appearance in court. The bill changes the rate of compensation for the Landlord Compensation Fund (LCF) from 80% to 100%. This change is retroactive, so if a landlord has previously applied for and received funds from the LCF, they will receive additional resources.
SB 278 recognizes that if a tenant is unable to pay rent while they wait for rent assistance, there is risk there to both landlords and tenants – the tenant is accumulating debt they may not be able to pay, and landlords are taking a risk while they wait for rent assistance. The bill provides that the state will stand up a program to compensate landlords who do not receive payment after a tenant’s 60-day safe harbor period if the tenant is either ineligible for rent assistance, or the process to determine whether a tenant is eligible for rent assistance is delayed past 60 days.
Contact: Ariel Nelson, Lobbyist – anelson@orcities.org
Last Updated 6/25/21