PR 23-0968 — Fairness in Renting Emergency Declaration Resolution of 2020

________________________ENROLLED ________________________ORIGINAL Chairman Phil Mendelson Councilmember Mary Cheh 4 A PROPOSED RESOLUTION 723-546 _________________ 9 IN THE COUNCIL OF THE DISTRICT OF COLUMBIA ______________October 6, 2020 To declare the existence of an emergency with respect to the need to amend the Rental Housing Act of 1985 to require a housing provider to serve a written notice to vacate on a tenant before evicting the tenant for nonpaymentany ofreason, rent, to prohibitrequire a housing provider fromto filingprovide the tenant with notice of the housing provider’s intent to file a claim against a tenant to recover possession of a rental unit forat least 30 days before filing the nonpaymentclaim, of, rentto unlessrequire the Superior Court to dismiss a claim brought by a housing provider hasto providedrecover thepossession tenantof witha atrental leastunit 30where days’the writtenhousing noticeprovider, ofin itscases intentwhere a notice to doquit so,or toa prohibitsummons housingand providerscomplaint fromare filingserved claimsby posting on the leased premise, failed to recoverprovide possessionthe Superior Court with photographic evidence of the posted service, to provide that no tenant shall be evicted from a rental unit for which the non-housing paymentprovider ofdoes rentnot unlesshave providinga current business license for rental housing, to require the Superior Court to seal certain eviction records, to authorize the Superior Court to seal certain evictions records upon motion by a tenant, to provide that a housing provider shall not make an inquiry about, require the prospective tenant 30to days’disclose or reveal, or base an adverse action on certain criteria, to require a housing provider to provide written notice to a prospective tenant of theirthe intenthousing provider's basis for taking adverse action against the prospective tenant, to doprovide so;the tenant an opportunity to dispute the information forming the basis of the housing provider’s adverse action;

to requireamend section 16-1501 of the CourtDistrict of Columbia Official Code to sealprovide certainthat evictionthe records;person aggrieved shall not file a complaint seeking restitution of possession for nonpayment of rent in an amount less than $600;

and to authorizedeclare the Courtsense toof sealthe certainCouncil evictionsthat recordsthe uponSuperior motionCourt byshould araise defendant;filing fees for eviction cases to $100.

to amend Title 16 of the District of Columbia Official Code to prohibit a housing provider from filing to evict a tenant if amount of nonpayment of rent is less than $600;

to amend the Rental Housing Act of 1985 to prohibit a tenant from being evicted from a unit where the housing provider does not have a current business license;

to require a housing provide to provide notice to prospective tenants of information and criteria used by the housing provider to screen tenants;

to prohibit a housing provider from requesting information from a prospective tenant on an eviction filing that did not result in a judgment for possession in favor of the housing provider or that was filed 3 or more years ago, or about an alleged breach of lease by the tenant if the alleged breach stemmed from a incident in which the prospective tenant was a victim of a crime or took place 3 or more years ago;

to require that a housing provider provide written notice to a prospective tenant of the housing provider's basis for taking adverse action against the prospective tenant, and providing the tenant the right to dispute the information forming that basis;

to provide a prospective tenant with the right to provide a housing provider with evidence showing that information relied upon by the housing provider in taking an adverse action was inaccurate or was information that the landlord was prohibited under District law from inquiring about;

and to express the Sense of the Council that the Superior Court should raise filing fees for eviction cases to $100.

(b)ENROLLED Unfortunately,ORIGINAL the(b) The number of residents effected by COVID-19 and the public health emergency grows each day.

The Council has issued a moratorium on residential evictions for the length of the public health emergency, plus 60 days, and required that landlords offer rent payment plans to tenants with outstanding rent accrued during the public health emergency;emergency.

whereA a tenant with a rent payment plan who is current on both their rent and payments owed under the plan,plan that tenant cannot be evicted for non-payment of rent.

(d) Many residents have only been able remain in their homes due only to the current moratorium on evictions.

When the moratorium is lifted, a number of landlords willmay take immediatelyimmediate action to evict these tenants with outstanding rent.

The cost to file with the Superior Court is currently set at $15, which is significantly less than other jurisdictions,jurisdictions where fees may range from $50 to nearly $200.

ThisThe minimal cost to file an eviction claim with the Superior Court discourages landlords from working directly with tenants to address amounts in arrears, even where the rent owed is minimal.

(f) Data from the Superior Court from 2014 through 2018 shows that approximately 12% of all eviction filings were for non-payment of rent in amounts totaling $600 or less;less, and 50% of filings were for $1,000.

50% of filings were for $1,000.

Unfortunately, District law does not distinguish between tenants who owe significant amounts of unpaid rent,rent and those who owe de minimis amounts.

(f)(g) Some District landlords have exploited the low, low cost to file with the Court, filing dozens, if not hundreds, of eviction cases each year.

In 2018, just ten10 District housing providers were responsible for 40% of all eviction filings in the District.

And filing costs have been found to have a direct effect on landlord behavior:behavior.

aA 2020 Housing“Housing StudiesStudies” study found that neighborhoods in states that charge higher eviction filings fees had fewer landlords making serial eviction-filings.

(g)(h) When a landlord files with the Superior Court to evict a tenant, the act of filing with the Court—not the Court granting the eviction—creates an eviction record.

From 2014-2018,2014 through 2018, only 5.5% of eviction filings in the District resulted in an executed eviction.

Landlords may have named the wrong tenant in an eviction filing,filing or filed for eviction for “underpaymentunderpayment of rent”rent when the tenant ENROLLED ORIGINAL was not in arrears, due to the landlord’s accounting error.

Landlords may have wrongfully filefiled for eviction after a tenant legally withheld rent, objected to an illegal rent increase, or otherwise exercised their tenant rights.

In all these examples—and for every tenant in the 94.5% of eviction filings that did not result in an executed eviction—a permanent eviction record was created the moment the landlord filesfiled with the Court.

(h)(i) Even with a moratorium on evictions for the length of the public health emergency, nothing prevents landlords from filing for an eviction with the Superior Court.

(i)(j) Currently, District law has no mechanism to provide for eviction records to be sealed or expunged.

That means,means that whenever a landlord files to evict a tenant,tenant a permanent court record is created.

As a result, the eviction record—and the harm the record causes—causes—will will follow that tenant for the remainder of their lives.

(j)(k) Eviction records can have devastating consequences for tenants:

landlords may charge a higher rent based on the “risk”perceived risk posed by thea tenant,prospective tenant or may deny the prospective tenant’s rental application outright.

rather, the fact that a prior landlord filed for eviction, creationcreating an eviction record for that tenant, is the determinative factor.

(k)(l) The harm caused by eviction records is particularly acute for low income residents and those who have experienced homelessness.

(l)(m) Of the more than 8,000 eviction filings in the District since the start of 2020, at least 1,800 were in violation of District law.

Under current District law, an eviction record will be created for all of these tenants, each of whom willmay face permanent, drastic harm because they have an eviction record.

(m)(n) Emergency legislation is needneeded to provide the Superior Court with the authority to seal these and other eviction records, to prohibit housing providers from filing to evict a tenant where non-payment of rent is less than $600, to set requirements for landlords to provide tenants with notice of information and criteria used to screen tenants, and an opportunity to review and ENROLLED ORIGINAL appeal such information, and to express the Sensesense of the Council that the Superior Court should raise filing fees for eviction cases to $100,$100 to ensure that the temporary struggles that residents are facing due to the COVID-19 pandemic do not permanently hamper those residents’ ability to find safe, affordable housing.