Signed by Governor Gavin Newsom

Vote Smart's Synopsis:

Vote to concur with Senate amendments and pass a bill that establishes the Tenant, Homeowner, and Small Landlord Relief and Stabilization Act of 2020, among other provisions.

Highlights:

• Species that a tenant will not be guilty of an unlawful detainer, now or in the future, based upon nonpayment of COVID-19 rental debt that came during the transition period if, on or before January 31, 2021, the tenant tenders one or more payments that are equal to or no less than 25 percent of each transition period rental payment demanded (Sec. 20).

• Defines “COVID-19 rental debt” as unpaid rent or any other unpaid financial obligation of a tenant under the tenancy that came about during the covered time period (Sec. 20).

• Defines “covered time period” as the time period between March 31, 2020, and January 31, 2021 (Sec. 20).

• Defines the “transition time period” as the period between September 1, 2020, and January 31, 2021 (Sec. 20).

• Defines “COVID-19-related financial distress” as any of the following (Sec. 20):

• Loss of income caused by the COVID-19 pandemic; 

• Increased out-of-pocket expenses directly related to performing essential work during the COVID-10 pandemic; 

• Increased expenses directly related to the health impact of the COVID-19 pandemic; 

• Childcare responsibilities or responsibilities to care of an elderly, disabled, or sick family member directly related to COVID-19 pandemic that limits a tenant’s ability to earn income; 

• Increased costs for childcare related to the COVID-19 pandemic; 

• Other circumstances related to the COVID-19 pandemic that have reduced a tenant’s income or increased a tenant’s expenses.

• Specifies that this bill will remain in effect until February 21, 2021, and as of that date is repealed (Sec. 3).

• Specifies that a landlord who violates section 789.3 of the civil code, if the tenant has provided a declaration of COVID-19 financial distress, will be liable for damages between 1,000 and $2.500 (Sec. 3).

• Requires a tenancy will be terminated by the management only for one or more of the following reasons (Sec. 4):

• Failure of the homeowner or resident to comply with a local ordinance or state law relating to mobile homes within a reasonable time after the homeowner receives a notice of noncompliance;

• Conduct by the homeowner or resident, upon the park premises, that constitutes a substantial annoyance to other homeowners or residents; 

• Conviction of the homeowner or resident for prostitution, a felony controlled substance offense, if the act resulting in the conviction was committed anywhere on the premises of the mobile home park, including within the home owner’s mobile home; or

• Failure of the homeowner or resident to comply with a reasonable rule or regulation of the park that is part of the rental agreement.

• Prohibits an action to recover COVID-19 rental debt brought pursuant to this bill from being brought before March 1, 2021 (Sec. 14).

• Requires a tenant, if that tenant is unable to pay rent that comes due between September 1, 2020, and January 31, 2021, because of decreased income or increased expenses due to the COVID-19 pandemic, to provide to their landlord a declaration of under penalty of perjury of their COVID-19 related financial distress attesting to the decreased income or increased expenses (Sec. 20).

• Authorizes a landlord to require a high-income tenant to submit documentation supporting the claim that the tenant has suffered COVID-19 financial related distress (Sec. 20).

• Defines a “high-income tenant” as a tenant with an annual household income of 130 percent of the median income for the county in which the residential rental property is located (Sec. 20).

Full Bill Text