passed ordinance

*Authorize application to U.S. Department of Housing and Urban Development for the Eviction Prevention Grant Program for $2,500,000 to support no cost legal assistance for low-income tenants at risk of or subject to eviction

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  • housing
  • grant
Department
Housing Bureau
Introduced by
Former Mayor Ted Wheeler
Status
Passed

Impact statement

Purpose & background

The purpose of this legislation is to authorize the Portland Housing Bureau to apply for the US Department of Housing and Urban Development’s Eviction Prevention Grant Program NOFO. In 2021, HUD launched the Eviction Protection Grant Program (EPGP), a first-of-its-kind federal program designed to expand the reach of legal services to low-income tenants at risk of, or subject to, eviction. Millions of families face eviction each year, whether through formal court processes or through extra-legal evictions. Evicted tenants, especially children, face significant long-term consequences. Yet, most tenants do not have access to legal assistance that may help them reach more mutually beneficial resolutions with landlords or defend against illegal evictions. The Eviction Protection Grant Program aims to help fill this gap. With the infusion of a second round of funding in Fiscal Year 2022, HUD currently funds a total of 21 EPGP grantees providing no-cost legal assistance to prevent or divert eviction and mitigate the consequences of eviction across 19 states. Through this demonstration program, PD&R seeks to expand the evidence base around eviction diversion programming as local, state, and federal policymakers consider new ways to support tenants and landlords and build new eviction systems and processes. As of March 31, 2024, grantees have provided legal assistance to over 35,000 households through the program, representing a rapid scale-up to meet tenant needs. Grantees provided legal assistance to over 5,000 households during the first year of implementation in Fiscal Year 2022. In Fiscal Year 2023, grantees expanded the reach of the program by over nearly 250%, serving over 19,000 households. The majority of tenants served are people of color and nearly half are from Black households. All tenants served by the program are low-income, and nearly 2 in 3 tenants served have extremely low incomes. These are often folks living below the poverty line. The program continues to grow in impact as grantees expand their programs.

Financial impacts

PHB’s application to the US Department of Housing and Urban Development for a grant in the amount of $2,500,000 for the Eviction Prevention Grant Program NOFO will provide funding for experienced legal service providers to provide no cost legal assistance to low-income tenants at risk of or subject to eviction. With this funding, the Eviction Legal Defense program partners will perform outreach, education services, and legal service screening and intakes for at least 400 tenants facing eviction and will provide legal representation or negotiation support for at least 700 tenants through the Program. Demographic data of Program participants will be tracked to assess the Program’s effectiveness in advancing the City’s Racial Equity Goals & Strategies and the Portland Housing Bureau’s Racial Equity Plan. No match is required by this grant.

Community impacts

During the Summer of 2021, the Rental Services Commission made a series of program/policy recommendations to City Council with the goal of supporting Portland renters who were struggling as a result of the COVID-19 pandemic. These recommendations included that the City expand access to justice and legal services to guarantee that every tenant facing eviction has the right to an attorney. In 2021 and 2022, the Rental Services Commission (RSC) analyzed housing stabilization and financial assistant programs across multiple jurisdictions. This series of meetings culminated in a letter to Portland’s City Council recommending that additional financial assistance is made available through various programs, including the Eviction Legal Defense Program. In 2024, Portland State University (PSU) released a report with recommendations on service improvements to the Eviction Legal Defense Program. PSU convened a series of focus groups of tenants who underwent eviction in Multnomah County. Suggested interventions included increasing eviction navigation services, tenant outreach, and education around the eviction process. PHB’s application will support programming addressing all three recommendations. The above recommendations either directly align with, or support, the goal of the Eviction Legal Defense Program, which seeks to increase access to legal representation for tenants facing termination of their subsidy or eviction from their hosing, and improved outcomes for tenants in the program.

Full text (the legislation as adopted)

The City of Portland ordains: Section 1. The Council finds: In 2019, 5,904 eviction cases were filed in Multnomah County. Beginning in 2020, the COVID-19 pandemic caused an economic downturn throughout Oregon and in City of Portland with unprecedented numbers of layoffs and reduced work hours for a significant percentage of our workforce. This economic hardship, disproportionately affecting low and moderate-income workers and BIPOC workers, has resulted in lost wages and the inability to pay for basic household expenses, including rent. Currently, as was true before the COVID-19 pandemic, nonpayment of rent is the leading cause of evictions within the state and in the City of Portland. Although the economy continues to recover from the direct impacts of the pandemic, high inflation and increasing housing costs means many renter households, particularly low and moderate-income and BIPOC households, continue to struggle to afford their housing. Evictions filings remain elevated from pre-pandemic numbers. In 2022, 6,608 evictions were filed in Multnomah County, the majority of which were filed after pandemic eviction protections expired in August 2023. In 2023, 8,894 evictions were filed in Multnomah County, a 50% increase from pre-pandemic filings. And in the first six months of 2024, 5,538 eviction cases have been filed. If the rate of filings remains steady this year, Multnomah County will be on track to more than double the number of eviction filings when compared to 2019. Evictions have long-term consequences for tenants including houselessness, the loss of personal possessions, decreased physical and mental health, poor school performance for children, job loss, housing discrimination, and the inability to find stable replacement housing. Evictions force low-income tenants further into poverty. Studies have shown that evictions and their resulting negative impacts disproportionately affect Black and Latino households, households headed by women, and households with children. Evictions create significant costs within the City of Portland related to increased needs for shelter funding, education funding, health care provided in hospitals instead of community–based providers, transportation costs, and foster care. Providing access to counsel for tenants facing eviction is a proven means of preventing the disruptive displacement of families and the resulting social, economic, and public health costs of such displacement. Even if displacement cannot be avoided, counsel can help negotiate more favorable terms that allow more time to vacate, avoidance of a formal eviction on a tenant’s record and possible reductions in back-rent or other costs owed by the tenant. In recognition of the transformative impact of a right to counsel in eviction proceedings for tenants, seventeen cities, four states, and one county to date have adopted codes creating a right to counsel for tenants facing eviction. The Portland Housing Bureau (PHB) recognizes the importance of providing legal assistance to tenants facing potential eviction. In addition, as evictions disproportionately impact BIPOC renters, preventing evictions and their negative consequences is a way to advance the City’s Racial Equity Goals & Strategies and Portland Housing Bureau’s Racial Equity Plan. With this funding, the Eviction Legal Defense program partners will perform outreach, education services, and intakes for at least 400 tenants facing eviction and will provide legal representation or negotiation support for at least 700 tenants through the Program. Demographic data of Program participants will be tracked to assess the Program’s effectiveness in advancing the City’s Racial Equity Goals & Strategies and the Portland Housing Bureau’s Racial Equity Plan. No match is required by this grant. NOW, THEREFORE, the Council directs: The Mayor is hereby authorized to make application to the US Department of Housing and Urban Development for a grant in the amount of $ 2,500,000. The Mayor is authorized to provide such information and assurances as are required for the grant period. The Office of Management & Finance Grants Management Division is authorized to perform all administrative matters in relation to the grant application, grant agreement or amendments, requests for reimbursement from the grantor, and to submit required online grant documents on the Mayor’s behalf. Section 2. The Council declares that an emergency exists because the Eviction Prevention Grant Program application must be submitted no later than August 20, 2024; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.

Tally

4 yea 0 nay 1 other

Roll call (5)