A4617 —

A4617 1R2R [First[Second Reprint] ASSEMBLY, No.

Assemblymen Danielsen, Spearman, Assemblywoman Reynolds-Jackson, and Assemblyman Clifton and Assemblywoman Pintor Marin         SYNOPSIS      Addresses certain landlord expenses in response to COVID-19 pandemic;

  CURRENT VERSION OF TEXT      As reported by the Assembly HousingAppropriations Committee on December 7,14, 2020, with amendments.

     “Assistance” means compensation for unpaid rent, provided by the program established pursuant to section 3 of this act.act 2, that shall compensate a landlord for the housing costs of the units of all of the landlord’s residential tenants in the building or development for which the assistance has been requested during the period that is both within the assistance period and prior to submission of the program application2.

       3.  a.  There is established in the Department of Community Affairs the “Landlord Emergency Compensation Program,” to provide assistance to a landlord to compensate for the portions of unpaid rent, due during the assistance period, that the landlord’s residential tenants have owed the landlord, but have not paid, to the extent that this compensation is necessary to allow the landlord to cover the landlord’s housing costs. costs. The program shall not provide assistance to the landlord for:

 The program shall not provide assistance to the landlord for:

     (1)  (1)  as of March2[March 9, 2020,2020] the date of submission of a program application2 , is in substantial compliance with the requirements of:

     1[b.] c.1 c.1 The The program shall begin accepting applications as soon as possible following enactment of this act.  If a landlord applies for assistance prior to the conclusion of the assistance period, and the landlord’s tenants miss one or more rent payments after submission of the program application, then the landlord may apply to the department for one or more additional assistance payments on a quarterly basis through the conclusion of the assistance period.  The department may adjust this application schedule as deemed appropriate by the commissioner.       1[c.] d.1  The department may prioritize program application approval based on 1the1 financial need 1of the landlord,1 as determined appropriate by the commissioner.  1A portion of assistance funding shall be reserved for landlords who own and rent out no more than two housing units.1      1[d.] e.1  The department shall prepare all application forms, application guidelines, and informational materials necessary for landlords to complete an application, and shall post materials on its website at least 30 days prior to the date on which applications shall be accepted.

       5.    a.  An assistance payment, once accepted by a landlord, shall be a full settlement of rent due for 2all of2 the landlord’s residential tenants 1for2[1for which the landlord is receiving assistance1assistance1] in the building or development for which the assistance has been requested2 during the period that is both within the assistance period and prior to submission of the program application.  By accepting an assistance payment, the landlord shall also waive any late or other fees charged to residential tenants as a result of the nonpayment of rent during the period that is both within the assistance period and prior to submission of the program application.  The acceptance of the assistance payment shall constitute a settlement of these costs even though they may not be fully compensated through the assistance payment.       b.    1Upon the provision of an assistance payment, the commissioner shall notify the landlord’s tenants of the protections provided to them as a consequence of the landlord’s receipt of assistance.

     c.1   A landlord shall not accept a delinquent rent payment from a residential tenant if the rent payment has been covered by an assistance payment.       1[c.] d.1  A landlord receiving assistance or awaiting the department’s response to a program application, shall not initiate an eviction proceeding, or complete a previously-initiated eviction proceeding, for any unpaid rent balances, or late or other fees, owed by a residential tenant for rent due during the period that is both within the assistance period and prior to submission of the program application.  2This subsection shall protect such tenants from an eviction action for nonpayment or habitually late payment of rent during this period.2      1[d.] e.1  A landlord initiating an eviction action shall provide documentation on a form to be prepared and adopted by the Administrative Director of the Courts that the landlord is not prohibited from initiating the action by any provision of this act.

       16.  a.  The Department of Community Affairs shall, as soon as practicable following the enactment of this act, prepare and make available, on its Internet website, information for landlords on (1) when assistance applications shall be available, (2) the necessary steps for application submission, (3) how to obtain help in application completion, and (4) other matters related to assistance applications deemed necessary by the commissioner.  This information shall be made available in English, Spanish, and any other languages determined necessary by the commissioner.       b. b. The department shall engage in a substantial effort to enhance awareness among the State’s landlords of the ability to apply for assistance.  Once assistance applications are made available, the department shall provide for the establishment and maintenance of a toll-free telephone hotline available, at a minimum, weekdays between 8:30 a.m.

 The department shall engage in a substantial effort to enhance awareness among the State’s landlords of the ability to apply for assistance.  Once assistance applications are made available, the department shall provide for the establishment and maintenance of a toll-free telephone hotline available, at a minimum, weekdays between 8:30 a.m.

Law 116-136, then the remainder of this amount shall be appropriated from other federal funding authorized for coronavirus relief as it becomes available.available.  2If federal funding is not available to satisfy the full amount of this appropriation, then the Commissioner of Community Affairs may notify the State Treasurer and the Joint Budget Oversight Committee of the Legislature of the deficiency and may request that the Legislature appropriate a portion of the remainder from the General Fund, or other available State funding sources, for the purposes of the program.2        1[9.] 10.1  This act shall take effect immediately.

       1[9.] 10.1  This act shall take effect immediately.