There is no doubt that the last year and a half has been difficult for everyone, in every corner of Kentucky. An unfortunate highlight of these difficult times has been the ever-present housing crisis. Millions of people across the country lost their jobs as pandemic shutdowns began in spring of 2020 – many at businesses have not resumed at capacity, or in some cases, at all.
When Congress finally responded to the housing and income crisis by passing the COVID relief package in December, cities and states were tasked with starting a brand new program for paying rent to landlords as soon as possible. While Kentucky’s programs opened in February, the sheer demand created by Congress’ inaction resulted in a backlog of applications, and numerous hiccups in the process began popping up.
Overwhelmed local governments tasked with doling the funds out to landlords and tenants, all in need of payments to stave off evictions, hit issue after issue. Not enough staff in offices to process the applications at the local level, software programs not designed for such a heavy workload, inundated phone lines and inboxes making communications and inquiries impossible. Turns out when you starve state and local governments, decreasing the workforce by attrition year after year, it has consequences.
Frustrated landlords, unable to evict tenants with balances owed in hopes of replacing them with higher income renters, and unable to make payments to the banks and into tax payment accounts, wondered where all this promised money was. Worried tenants who dutifully completed applications in duplicate, attached documents, and explained their situations over and over wondered, ironically, the same.
Flash forward to the most recent federal order to halt evictions for nonpayment of rent. A grace period has been given to those still in limbo with approved payments coming, but for some landlords, that grace period means another two months of uncertainty. As is so often the case, fears are stoked with misconceptions flying, like tenants gleefully spending money that could be used for arrears on big screen TVs and new cars.
The pool of relief money is drying up. A line of income-secure renters are biding their time, waiting on units to become empty through eviction, so they can jump in with 12-month leases and auto-paid rent. These ideas could not be further from the truth. Statistics show that renters who were able to pay their rent, even in small amounts during COVID did so, indicating that renters in the aggregate have taken on additional debt, borrowed from family, and put off paying other bills in order to stay housed.
As for monies running out – Kentucky received $264 million, Louisville received $22.9 million, and Lexington received $9.6 million, and the state has given Louisville and Lexington additional money to be obligated. Not even half of that funding has been assigned, meaning that every landlord who is in line for payments will get paid – if they can just hang on, fill out the paperwork completely, and be patient.
A court-ordered eviction is not a collection process, and emergency rental assistance can’t be given to landlords after the eviction. The old saying “you can’t squeeze blood from a turnip” comes to mind. Instead, rent relief guarantees the entire balance up to 12 months is paid, with the opportunity of three months of advance rent.
While we are focused on short-term solutions, we also need to think about what needs to change in the future. We know that for 62% of Kentuckians who rent, the cost of a home was unaffordable pre-pandemic. Congress must expand housing assistance to every family who qualifies for it instead of underfunding the Housing Choice Voucher program year after year, so much so that only 1 in 4 families who are eligible actually receive assistance. If federal housing assistance were funded at sufficient levels, we would not have millions of renters owing back rent during an economic crisis.
So, what are we asking? We encourage landlords across Kentucky to remain patient. Waiting on the funding has been no easy task, full of red tape and hang-ups, but accessing the relief money that is there not only shores up your bank account, but allows you to be a contributing member to the success, stabilization, and steadiness of your communities. It allows families to stay safely housed while we see surges in COVID positivity rates, uncertainty with schools and businesses reopening, and every Kentuckian doing their best to recover.
Renters and landlords can apply for emergency rental assistance at Healthy at Home Eviction Relief Fund, which includes links to Lexington and Louisville’s portals. To ensure long-term housing stability, join other Kentuckians and sign your organization onto the HoUSed campaign.
Katherine Mueller is the Story Coordinator at the Homeless and Housing Coalition of Kentucky.
Tell me how it is constitutional to force a landlord to pay someone else’s housing expense. Why should I have to work two jobs so that someone else doesn’t have to pay rent for a year and a half? Why should I have to go get a loan so that someone else can live for free?
And then you tell me to be patient, as though my mortgage, property taxes, insurance, and utilities don’t need to be paid every month. There is no moratorium for me or the other small landlords who are getting cheated by this unlawful order.
On top of that if my tenant refuses to participate in the rent assistance program, I GET NOTHING. It doesn’t matter that I was forced to house them rent free for over a year, I am screwed.
The time for patience is OVER.
19 months is too long!
Perfectly said Tony.