N.J. Stat. § 52:27D-287.10

Current through L. 2024, c. 87.
Section 52:27D-287.10 - "Eviction Prevention Program."
a. The commissioner shall establish an "Eviction Prevention Program" to provide rental relief for New Jersey residents who have been or continue to be unable to pay rent because of financial hardship directly or indirectly incurred because of the COVID-19 pandemic.
b. The commissioner shall administer the program in accordance with the following principles, and, notwithstanding the provisions of the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), shall publish regulatory guidance to that effect:
(1) The Eviction Prevention Program shall be considered a supplement to the COVID-19 Emergency Rental Assistance Program Phase II (CVERAP II) program opened by the department on March 22, 2021. Accordingly, to the greatest extent allowable and feasible, the department should utilize programmatic infrastructure, processes, and vendor contracts established under CVERAP II in order to administer relief under the Eviction Prevention Program;
(2) a household shall be eligible to participate in the program if the household is unable to make residential rental payments which are due and owing pursuant to a valid and enforceable oral or written lease, stipulation of settlement, judgment, order or other type of legally binding agreement, because of a financial hardship sustained as a result of the COVID-19 pandemic;
(3) a household shall be eligible for assistance under this program regardless of whether the household has been served with a summons and complaint for eviction;
(4) a household shall be eligible for assistance if their annualized current income is no more than 120 percent of the area median income; however, the commissioner may establish funding priorities to benefit very low-income and low-income households;
(5) a household shall be eligible for assistance under this program although it may be unlikely for the household to have the ability to pay shelter costs after the period of assistance has ended;
(6) a household may utilize the assistance to pay current rent, accrued rent, and future rent, as determined by the department;
(7) the department shall award grants to be paid on behalf of eligible households to be applied to up to two years of rent, depending upon the person's or household's particular circumstances and available funds in the program. The department shall provide assistance along a continuum based upon the income level of the tenant household, and shall include deep subsidies, shallow subsidies, and flat amounts. Grants representing fewer than two years' worth of rental assistance may be renewed based on a renewed showing of need by the individual or household. Notwithstanding the provisions of the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), the commissioner shall prepare detailed guidance covering the amount and duration of such grants. Any grants that are provided to cover ongoing rent shall be awarded in accordance with the following guidelines and principles:
(a) for a very low-income household, a deep subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income;
(b) for a low- or moderate- income household that is not also very low-income, a shallow subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income, provided, however, that the amount of any such subsidy shall not exceed $800 per month;
(c) for a middle-income household, assistance in the form of a subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income, provided, however, that the amount of any such subsidy shall not exceed $500 per month.
(8) To qualify for rental assistance under the program, households shall demonstrate that a person in the household:
(a) qualifies for unemployment or has experienced a reduction in household income, incurred significant costs, or experienced a financial hardship, directly or indirectly, to the COVID-19 pandemic;
(b) demonstrates a risk of experiencing homelessness or housing instability;
(c) falls within a household income threshold that establishes eligibility for rental assistance under the program;
(d) has a lack of assets and savings to pay rent arrears or current and future rent;
(e) is a New Jersey resident; and
(f) is obligated to pay rent on a residential dwelling.

A household that has previously received rental assistance under CVERAP II may apply for additional assistance under the Eviction Prevention Program, but any additional grant of assistance shall take into account the rental assistance previously provided pursuant to CVERAP II.

(9) during the course of the payment period, if the department is notified by either the landlord or the program participant that a person or household has begun to experience difficulty paying rent as a result of continued hardships suffered as a result of the COVID-19 pandemic, the household's income and family situation shall be reevaluated in light of the changed conditions, and the person or household shall be placed in a different assistance tier, if necessary, to prevent eviction;
(10) during the course of the payment period, a participant household shall certify the household's current income once every six months, using a brief form to be developed by the department, including any necessary attachments. Beginning the month following receipt of a certification, the department shall increase or decrease the amount of subsidy provided to the household in accordance with the subsidy category applicable to the most recent reported income, provided that limited non-recurring short term increases in income shall not require a subsidy adjustment; and
(11) during the course of the payment period, if a participant household experiences conditions that violate the implied warranty of habitability, the tenant may so certify those conditions to the department in writing. Based on the tenant's written certification, the department shall have an inspection conducted on the dwelling. Upon confirmation that the violation of the implied warranty of habitability exists, the department shall, after serving the landlord with written notification of such violation and providing the landlord with sufficient opportunity to cure, consider whether and in what amount to withhold rent based on those conditions.
c. Notwithstanding any other law or regulation to the contrary, any revisions to existing program regulations or operating procedures required by this section shall take effect immediately.
d. As soon as possible following the enactment of P.L. 2021, c. 188(C.52:27D-287.7 et al.), and no later than August 31, 2021, the department shall implement a comprehensive public information plan to create awareness among eligible tenants of the assistance provided by the program and the provisions of section 3 of P.L. 2021, c. 188(C.52:27D-287.9) prohibiting eviction and providing credit protection relating to nonpayment or habitual late payment of rent, or failure to pay a rent increase, during the covered period. This plan shall include but not be limited to public service announcements, information about the program in governmental notices and utility providers billings, notices to landlords as to how to assist their tenants in applying for the program, outreach to underserved populations, including, but not limited to providing all information in both English and Spanish, postings on social media, and any other means likely to ensure that tenants will be aware of the program's existence, tenant protections, tenant attestation, and the provisions of section 3 of P.L. 2021, c. 188(C.52:27D-287.9). In addition, the department shall prepare a form notice, which shall include the tenant attestation, in languages including, but not limited to, English and Spanish, describing the program and the provisions of section 3 of P.L. 2021, c. 188(C.52:27D-287.9) and shall distribute the notice to landlords for inclusion with any notice or complaint sent to a tenant related to an eviction for nonpayment of rent, habitual late payment, or failure to pay a rent increase, or an action seeking repayment of rental arrears pursuant to P.L. 2021, c. 188(C.52:27D-287.7 et al.). The notice shall also be posted on the department's Internet website. Prior to the end of the covered period, the landlord shall post the form notice provided by the department in a conspicuous location within the common area of a multiple dwelling.
e. As soon as possible following the enactment of P.L. 2021, c. 188(C.52:27D-287.7 et al.), and no later than August 31, 2021, the commissioner shall start accepting applications for assistance through the Eviction Prevention Program, as revised pursuant to this section.
(1) A program application shall state the monthly rent as established in the lease or other rental agreement, the amount of rent paid by the tenant or third parties, if any, the amount of rent unpaid, the amount of security deposit funding that the tenant has applied against rent pursuant to Executive Order No. 128 of 2020, and any other information required by the department for determining financial need.
(2) An application shall include a certification by the tenant as to:
(a) the number of occupants of the unit;
(b) the tenant household's income; and
(c) if a specific funding source is involved, a certification and any documentation providing the minimum amount of information needed to comply with the requirements of that funding source.

The commissioner shall make the application forms and related verification requirements as simple as possible, shall require the minimum documentation permissible by said funding sources, and shall rely on self-certification and verification to the greatest extent possible. Any certifications made by a tenant under this program shall remain confidential to the maximum extent possible.

f. The program established by this section shall work closely with the Office of Eviction Prevention established by section 5 of P.L. 2021, c. 188(C.52:27D-287.11) in order to (1) ensure that tenants receive the maximum assistance for which they are qualified to avoid displacement and retain or obtain decent, affordable, safe and suitable housing; and (2) ensure that all available sources of potential assistance are explored and utilized in order to effectively and efficiently extend the reach and efficacy of the funding provided to this program by the State.

N.J.S. § 52:27D-287.10

Added by L. 2021, c. 188, s. 4, eff. 8/4/2021.