California Governor Signs Eviction Moratorium

SB 91 was signed by Gov. Newsom today, January 29, 2021, officially extending the eviction moratorium to June 30, 2021, with future extensions possible.

Highlights are:

(1)  Housing providers must serve a One-Time “Notice from the State of California” to all tenants who have missed one or more rental payments since 9/1/2020. This form must be served by February 28, 2021.

(2)  Housing providers should continue to serve the  new 15-Day Notice for unpaid rent, along with a new, informational “Notice from the State of California” each month.

(3)  Tenants need to continue paying a minimum of 25% of their rent, but the deadline for that payment is June 30, 2021. Therefore, a tenant does not have to pay ANY rent until June 30th as long as they sign and return the NEW Declaration of Financial Distress form each month.

(4)  Housing Providers are not allowed to deny applicants whom they SUSPECT have unpaid rent during the Pandemic.

(5)  Housing providers are not allowed to use security deposits or any rent payments to cover past due rent without written permission from the tenant.

(6)  For rent due from March 1, 2020 to August 31, 2020 (the protected period) that was converted from past due rent to debt – the date that housing providers may begin the Small Claims court process has been pushed from March 1, 2021 to August 2, 2021. Also late fees cannot be added.

(7)  One bit of good news is the creation of the California Rental Assistance Fund which will provide assistance to housing providers and tenants. The application process will open up in March.