Minnesota Senate Passes Legislation Ending Eviction Moratorium
On July 14, 2020, Governor Walz issued Executive Order 20-79, which placed a moratorium on evictions and lease terminations due to the ongoing Covid-19 pandemic and related peacetime emergency. The eviction moratorium was designed for tenants having difficulty paying rent and to ensure stable housing during the pandemic. However, it burdened landlords who could neither terminate a lease or evict tenants unless the landlord could meet very narrow exceptions.
Since this time, landlords and tenants alike have been closely watching the Minnesota State Legislature for any plan to terminate the Executive Order and end the eviction moratorium.
As of June 28, 2021, a bill set to phase out the eviction moratorium has passed both houses of the MN Legislature and is on its way to the Governor’s desk for signature. The bill, dubbed a ‘Step-Down, Off-Ramp’, by members of the legislature, is designed to soften the blow that a sudden stop to the eviction moratorium might have on tenants, landlords, and the courts.
The Timeline
In general, the legislation enacts many of the same protections for tenants that were included in the Executive Order. However, the legislation adds additional exceptions to those protections and adds a timeline for the complete removal of all restrictions. Overall, all lease and eviction restrictions end 105 days after the signing of the law by the Governor (post-enactment). The one exception is that, through June 1, 2022, any tenant who has a pending application for rental assistance cannot be evicted based on non-payment of rent so long as the application is pending.
The Bar on Lease Termination and Non-Renewals
The legislation keeps in place the bar on lease terminations and non-renewals for a period of 105 days post-enactment, unless certain exceptions are met. Specifically, the legislation provides landlords the opportunity to terminate or non-renew leases for non-payment of rent after a period of 45 days post-enactment for tenants who are ineligible for rental assistance through a Covid-19 rental assistance.
Exceptions to the Bar on Evictions
The legislation also generally bars eviction actions for a period of 105 days post-enactment. However, the legislation allows for eviction actions, due to non-payment of rent, after a period of 75 days post-enactment for tenants who are ineligible for rental assistance through a Covid-19 rental assistance program. It also allows for evictions for lease violations, other than for non-payment of rent, from and after 15 days post-enactment.
Similar to the Executive Order, exceptions for lease terminations and evictions based on serious endangerment of others, some material violations of the lease, and other reasons are included in the legislation as well.
Evictions and Lease Terminations for Tenants With Emergency Rental Assistance
Finally, landlords may not file or proceed with an eviction action, or terminate the lease, of any tenant based on nonpayment of rent who has a pending application for assistance through an emergency rental assistance program authorized under the federal Consolidated Appropriations Act or the American Rescue Plan Act. The tenant must provide the landlord or the court with proof of a pending application and reason for delay of assistance.The prohibition on such evictions while an application is pending will be in effect through June 22, 2022.
Landlords may proceed with an eviction action for nonpayment of rent against a tenant who is eligible for rental assistance but refuses to apply for assistance, refuses to provide the landlord with information required for the landlord to apply, or refuses to provide proof that they have applied for assistance through such programs.
Schedule a Consultation With Morris Law Group
Minnesota Governor Tim Walz signed the ‘step-down- off-ramp’ legislation on June 29, 2021. The continued 45-day, 75-day, and 105-day moratoriums begin to countdown from Wednesday, June 30, 2021.
At Morris Law Group, we have a team of highly experienced real estate attorneys that are here to help if you need any legal counsel or representation regarding the lift on the eviction moratorium. Reach out to our team today, and we’ll provide you with a free, no-obligation consultation so that you can see how our Minnesota law firm can help you.
Disclaimer: This article is not meant to provide legal advice. As your trusted Edina real estate attorneys, we believe it’s our duty to pass along the most updated news regarding the Minnesota eviction moratorium.