Latest Update on California Rental Relief Program
UPDATED on 3/16/2021: IMPORTANT NOTICE: If your rental property is within an area that is processing Rental Relief Applications through the State of California, the State’s website is available (as of yesterday at 5:00 p.m.) and accepting landlord applications at https://housing.ca.gov/.
If your rental property is within an area that is processing applications and disbursing rental assistance locally, such as the City of Los Angeles, you must apply through that local jurisdiction’s website. The City of Los Angeles has set up a website; however, landlords will not be able to apply through the City’s website until March 30, 2021. The State’s website will ask which county your property is in and then which City, and you will be directed to the local jurisdiction’s website where applications are being processed locally.
The City of Los Angeles’ website is located at: www.hcidla.lacity.org. We encourage you to check back regularly for updates to see when the City will begin accepting applications from landlords, but the City has targeted opening applications to landlords from March 30, 2021 until April 30, 2021.
Previously, we advised that the City of Los Angeles had planned to limit or “cap” rental relief at just $10,000 per rental unit household. We have since learned that the City will not be limiting the amount of rental relief funding in compliance with Senate Bill 91 (S.B. 91) and Federal guidelines. In other words, there will be no “caps” placed on rental relief paid for any household. (For more information about City of Los Angeles, see below).
Additionally, yesterday, we were misinformed by State representatives that City of Los Angeles landlords have the choice to apply either through the State’s rental relief program or through the City’s program. This was incorrect. We apologize for any confusion.
To apply for the new California rental assistance program under S.B. 91, please click the button below:
AGENCY CONFERENCE: The California Business, Consumer Services, and Housing Agency (the “Agency”) held a conference call today, Monday, March 15, 2021 to present details on the Rent Assistance Program made available under Senate Bill 91 (“S.B. 91”). During the call, the Agency’s Secretary, Lourdes M. Castro Ramírez, stated that at 5:00 P.M. tonight, the State’s website will be live, meaning that the application portal will be activated, and the State will then begin receiving applications from landlords and tenants. Secretary Ramirez further said that the money can be applied towards past due rent and utilities. She also advised that because this program is federally funded, the State will be following all Federal guidelines and requirements.
Representatives of the Agency walked through the website and website functionality. The State’s website is located at https://housing.ca.gov/. The Agency noted that there have been over 100 local network partners approved to assist with funding requests, and that number will likely more than double in the upcoming weeks. The State has also forged a partnership with the United Way to assist with funds distribution.
Those participating on the conference call were next walked through the “Horne / Neighborly” application process. The tenant application has 13 steps to complete, and the landlord application has only 4 steps. Once a landlord has completed his or her application, the tenants that were listed by the landlord will be notified via email prompting them to complete necessary documents / consent to be considered for rental relief funding.
The State will be posting a PDF sample of the application on the “Housing is Key” website, but applications will only be accepted electronically through the State’s website. There will also be a call center set up for anyone seeking assistance that will be available 7:00 A.M. and 7:00 P.M. weekdays at (833) 430-2122.
The following is a message sent out by the Agency. Of particular note, the toolkit has a helpful checklist for both tenants and landlords. The State plans a press conference at 2:00 P.M. today where it will be sharing this information more widely.
Message by Secretary Ramirez:
I am very excited to share with you that we will begin accepting applications for CA COVID-19 Rent Relief at 5:00 p.m. today!
With as many as 1.5 million California renters behind on rent and at risk of eviction because of the COVID-19 pandemic, the CA COVID-19 Rent Relief program will be a lifeline to renters and landlords. It clears accumulated rental debt, keeps the hardest-hit families in their homes, and will lead to a more equitable economic recovery.
As I mentioned last time, we have worked with LISC to establish the CA Local Partner Network, consisting of community-based organizations in the hardest hit areas to provide in-person assistance to individuals who may not know about the program, or who may need help filling out their applications.
We are bringing on new partners every day, with a goal of getting to 200. I would again like to urge any of you interested in joining or Local Partner Network to apply by clicking here.
Our goal is to make sure that everyone who needs rent relief gets it
Californians can visit our CA COVID-19 Rent Relief page through our Housing Is Key website, or they can call toll-free (833) 430-2122.
I would also like to ask you to help us push out information about CA COVID-19 Rent Relief. We have created a toolkit you can use for social media messages, reaching out to your clients, and including in your newsletters.
Governor Newsom has been saying that there is light at the end of the tunnel, and I believe CA COVID-19 Rent Relief is one more example. With CA COVID-19 Rent Relief, more Californians can have confidence that they will get through this pandemic and participate in California’s post-pandemic economic recovery.
In partnership,
Lourdes Castro Ramírez, Secretary
Business, Consumer Services and Housing Agency
About S.B. 91
Governor Newsom signed S.B. 91 into law on January 29, 2021. With its passage, up to $2.6 billion in Federal COVID relief funding is being made available to pay landlords of certain low-income renters up to 80% of rent owed due to non-payment resulting from COVID-19 financial hardships. S.B. 91 extends protections afforded renters under Assembly Bill 3088, which expired January 31, 2021.
The rental assistance program available under S.B. 91 will pay landlords of qualified renters up to 80% of the rent in arrears between April 2020 and March 2021, and a landlord must agree to forgive (write-off) the remaining 20% and not pursue eviction for non-payment or any other curable breach of the lease. Alternatively, the rental relief program will pay landlords 25% of rent in arrears between April 1, 2020 and March 31, 2021 (and may apply for 25% covering an additional 3-months thereafter), if landlords will not agree to forgive 20% unpaid amounts (after receiving 80% of amounts owed). Additionally, tenants may apply for payment 25% of rent due for up to three (3) months for the months of April, May, and June 2021.
Certain Requirements
Earlier today, the Apartment Association of Greater Los Angeles advised that application requirements include: (i) All payments must be used to satisfy the renter’s unpaid rent for the period between April 1, 2020 and March 31, 2021, (ii) Your renters must take steps to verify that they meet eligibility requirements and sign the application, and (iii) Your renter’s household income must be at or below 80% of the Area Median Income (AMI). Before applying, you will need:
- Property Deed(s)
- Mortgage Note(s)
- Property Tax Statement
- Copy of Property Insurance Statement
- Lease or rental agreement reflecting renter’s name, residence address, and monthly rent due.
City of Los Angeles Owners
The City of Los Angeles will be distributing funds locally and will be accepting applications for landlords and tenants through the City’s website later this month, on March 30, 2021 . It is anticipated that applications will be open to landlords until April 30, 2021. Landlords in the City of Los Angeles may not apply through the state website. The State’s website will ask which county your property is in and then which City and will direct you to a local jurisdiction’s website if applications are being processed locally.
Information about the City of Los Angeles’s rental assistance program may be found at the following link: www.hcidla.lacity.org.
AAGLA is a non-profit association consisting of rental housing providers and real estate professionals in the Greater Los Angeles area. Our main goal is to provide the tools and resources needed to improve real estate management & operations to ultimately help our members provide safe housing and to ensure fair returns on their investments.