Key 2021 Legislative Developments and Best Practices
Washington State Eviction Bridge
Governor Inslee put in place an “Eviction Bridge” through September 30, 2021 for the purpose of allowing time for programs for the dissemination of Federal relief funds of $1.5B in Washington State. More than $650 Million of federal relief dollars had been allocated to assist renters in Washington State. This was in addition to the $500 Million dollars previously released by the Department of Commerce to local governments for rental assistance which was expected to help more than 80,000 landlords and renters.
Rent increase notifications were allowed starting July 1, 2021, but must follow appropriate notice periods. As of August 1, 2021, tenants are expected to pay full rent, reduced rent negotiated with landlord, or actively seek rental assistance funding. Landlords may only evict a tenant if none of those actions are being taken, must offer the tenant a reasonable re-payment plan before beginning the eviction process, and also provide in writing to the tenant information about rental assistance support available to them. In addition, landlords may begin evicting a tenant only if there is an operational rental assistance program and eviction resolution program in place in their county. Landlords are prohibited from treating past unpaid rent, late fees, or other charges as an enforceable debt until the landlord and tenant have been provided with an opportunity to resolve nonpayment through an eviction resolution pilot program.
Passed During The 2021 State Legislative Session
SB 5160 Eviction Reform: Provides additional tenant protections during and after public-health emergencies, including a new Eviction Resolution Program (ERP), which creates a “right to counsel” program for tenants under 30% AMI. It allows landlords to pursue eviction if tenants refuse to accept reasonable offers of repayment plans after 14-days and provides landlords access to state rental assistance programs, namely the landlord mitigation fund, to allow reimbursement for up to $15,000 of past due rent.
HB 1236 Just Cause Evictions: The bill allows for termination of a lease with a period of 6 months or more with 60-days' notice with some limitations. For leases under 6 months, just cause, must be applied. Landlords are not required to offer a payment plan. This bill does not include a preemption, which would have stopped local jurisdictions across the state from implementing their own just cause ordinances. HB 1236 expanded the “just causes” for eviction from 11 to 16.
King County
Tenant Protections Ordinance 2021-0131 Passed
This ordinance includes a package of tenant protections including implementing just cause termination, meaning there are only specific reasons, labeled “just causes” for which a landlord can evict a tenant including failure to comply with pay or vacate notice, certain lease violations, owner to occupy the unit (90-day notice required), and with appropriate notice, that a rental unit will be demolished. This ordinance introduces a cap on move-in fees and the security deposit to one month's rent, limits total late fees to 1.5% of one month's rent and requires 120-day notice for rent increases over 3%, with no rent increases permitted on defective units. It establishes right to counsel for tenants and a county-operated tenant help line. The most controversial element of the ordinance, it prohibits a housing provider from requiring a social security number to perform a credit history and background check. The penalty for violation of any of the above provisions ranges from 2 – 3 times damages or monthly rent plus attorney's costs and fees.
SEATTLE 2021 Landlord / Tenant ORDINANCES
Eviction Ban tied to Civil Emergency (CB 120077 Passed): Provides an eviction defense for non-payment of rent during the city's civil emergency period. Coupled with the state bills requiring payment plans and protections, a potential concern in this new law is the lack of clarity around the end of the city's civil emergency which makes the end-date of the eviction ban also undefined.
Just Cause for Eviction (CB 120090 Passed): Requires housing providers to offer an extension to a lease with “reasonable terms” 90 days prior to the end of the lease, unless the housing provider has one of the just causes for eviction. Another bill, CB 120057, requires housing providers to have “just cause” and give 90-day notice to terminate or refuse to renew a fixed term lease agreement.
School Year Eviction Ban (CB 120046 Passed): Prohibits evictions during the school year of any person having legal custody of a child or student, and any employee or independent contractor of a school or its governing body, for ten (10) months of the year.
The above summary of new laws is not intended to be legal advice. The rules and regulations surrounding landlord and tenant relations is complex and rapidly evolving. Landlords, property managers, or rental owners should contact the attorneys at Holmquist + Gardiner PLLC if you have any questions or need assistance navigating these new laws.
