Minneapolis Property Management Blog

CDC and Minnesota and Rent Payments..Oh My!

Deb Newell - Friday, September 4, 2020

 

Here’s what is new, if you haven’t heard, it is true, the CDC has ordered a new federal eviction moratorium that is in place through December 31, 2010.  What exactly does this mean for Minnesotans?  Well, rent is still due.  The order does not absolve the tenant the obligation to pay rent and nothing is prohibiting us from charging or collecting fees, penalties or interest as a result of not paying rent on time.  Which as of August 4, both Executives Orders 20-14 and 20-73 are rescinded.  

Also, the moratorium only restricts evictions for non-payment of rent and only applies in states where eviction moratoriums are not already in place, which at this time, Minnesota does already have a moratorium in place, Executive Order 20-79 issued on 7/14/2020 (set to expire 9/12/2020), and one that is stricter than the federal mandated moratorium.  

Going back now to the federal moratorium.  In order for a tenant to be covered, they must fill out a sworn declaration and deliver it to the landlord, or property management firm.  CLICK HERE for a sample of such declaration that was provided with the new order.  

In this declaration the following criteria must be met:

  1. The individual has used best efforts to obtain all available government
           assistance for rent or housing;
  2. The individual either:
    1. Expects to earn no more than $99,000 in annual income for Calendar
             Year 2020 (or no more than $198,000 if filing a joint return);
    2. Was not required to report any income in 2019 to the IRS; or
    3. Received an Economic Impact Payment (stimulus check) pursuant to
            the CARES Act;
  3. The individual is unable to pay the full rent or make a full housing payment
           due to substantial loss of household income, loss of compensable hours of work or wages, a lay-off, or extraordinary out-of-pocket medical expenses;
  4. The individual is using best efforts to make timely partial payments that are
          as close to the full payment as the individual’s circumstances may permit;
          and
  5. Eviction would likely render the individual homeless.

The CDC Order does not preclude evictions based on a resident:  

  1. Engaging in criminal activity while on the premises;
  2. Threatening the health or safety of other residents;  
  3. Damaging or posing an immediate and significant risk of damage to property
  4. Violating any applicable building code, health ordinance, or similar
          regulation relating to health and safety; or
  5. Violating any other contractual obligation, other than the timely payment
          of rent.

Should the tenant falsify the declaration, a landlord could potentially challenge the declaration, this would have to be resolved in housing court, and up to the judge to decide on whether or not the eviction can proceed.  


Why Hire Us

Get a Quote