(Update: Deadline extended to June 30)
SALEM, Ore. (KTVZ) -- Millions of dollars remain in the state's Landlord Compensation Fund program, and Oregon Housing and Community Services Director Margaret Salazar is encouraging landlords to apply soon, as the application deadline, which was set for Friday, has been extended to June 23 at 11:59 p.m.
This is the final opportunity for landlords to apply to get assistance to cover rental debt for all tenants, regardless of income, the agency said in a news release, which continues below:
Round three of the Landlord Compensation Fund program opened on June 1 and included at least $60 million in assistance covering rent-owed by eligible tenants that was accrued from April 1, 2020 through June 30, 2021.
The agency encourages tenants to pay their July rent as they wait for assistance to cover past rent owed in order to avoid eviction. With unprecedented demand for assistance, the agency also asks landlords to be patient as community organizations distribute funds.
Oregon's Landlord Compensation Program is designed to provide relief to residential landlords who have been unable to collect rent due to tenant hardships. Participating landlords can receive up to 80% of rent owed from April 1, 2020 to June 30, 2021, for qualifying residents. For the first time, landlords can apply for LCF funds to cover former renters. For landlords to learn more and how to apply because go to: https://bit.ly/OHCS-LCF
As outlined in statute, landlords may be eligible to receive funding for an amount equal to 80% of the rental debt owed by qualified residents. Participating landlords must agree to forgive the remaining 20% of the tenant's debt as a condition of receiving payment.
A media briefing was held on May 27 that provided an overview of the program. To view the briefing, visit: http://bit.ly/LCFbriefingMay27.
Background on the Landlord Compensation Program
During the Third Special Session of 2020, the Oregon Legislature enacted an eviction moratorium and established the Landlord Compensation Fund (HB 4401). The Legislature allocated $200 million in rent assistance to support tenants and landlords, which includes $150 million for the Landlord Compensation Fund. This program was designed to provide relief to landlords who have tenants living in their homes who have been unable to pay rent at any point since April 2020 due to a financial hardship. The program will also eliminate the rent owed for those tenants experiencing a hardship.
Once a landlord’s application is deemed complete and has met the eligibility requirements, Public Housing Authorities (PHAs) will verify ownership, make payments to landlords, and notify tenants that their rent has been forgiven. To date, over $28 M in payments have been made to landlords for this program and the work is ongoing, as PHAs work around the clock to process payments.
Tenants must provide their landlord with a Declaration of Financial Hardship for Eviction Protection. When tenants provide this form to their landlord, they are protected from eviction through June 30th, 2021, and the landlord may use the form to request payment for rental debt owed from April 1, 2020, through June 2021.
The Landlord Compensation Fund provides direct support to landlords. This program should not be confused with the Oregon Emergency Rental Assistance Program (OERAP) which is also administered by OHCS and recently opened to low-income tenant applications. Tenants in need of assistance can see if they qualify and find more information at Oregonrentalassistance.org