Eviction assistance program includes $15 million fund

FRANKFORT, Ky. (WTVQ) – Tenants and landlords now have a new system to try to work out overdue rent and a $15 million pot of money to help cover the bills under a new eviction plan unveiled by Gov. Andy Beshear Monday.

The governor’s new executive order overrides one he issued earlier this year and may make a pending federal lawsuit challenging that order moot.

Under the plan, landlords will have to give tenants 30 days notice of intent to evict.

The order covers March 6 through Dec. 31 and bans late fees and penalties, the governor said.  During the 30-day notice, landlords and tenants must meet to try to work out an agreement.

“As this battle has taken many months, we now face three major concerns: one, wanting to make sure that people aren’t out on the street; two, wanting to make sure that these landlords aren’t bankrupted or aren’t being treated unfairly; and three, making sure that as people come out of this that they don’t have so much debt from their housing situation that they can’t ever dig out,” the governor said. “We want a fair system that tries to address all three of these.”

The cornerstone of the program is $15 million federal CARES Act funding for a “Healthy at Home Eviction Relief Fund.” Additional money also will come from the Team Kentucky Fund and CARES money sent to housing agencies. Local courts also can tap into the fund to establish rent assistance programs, Beshear said.

The fund will reimburse eligible landlords for missed rent payments and pay some advance rent to keep tenants in their homes.

“Kentuckians cannot be Healthy at Home without a home,” said Beshear. “We want to help get people in a place where they’re not only still in their homes, but they’re not going to owe five or six months of rent when they come out of this.”

Landlords and tenants can start applying for the program on Sept. 8. A web site and more details will be announced before then.

The Governor also pointed to other programs helping Kentuckians pay rent, including the Team Kentucky Fund, the Louisville/Jefferson County Eviction Prevention COVID-19 Relief Fund and the Kentucky Housing Corporation Emergency Solutions Grant (ESG) program, which is awaiting funding through the U.S. Department of Housing and Urban Development.

Kentuckians seeking legal assistance can contact the Kentucky COVID-19 Legal Helpline or call toll-free: 833-540-0342. The service is sponsored by Kentucky’s Access to Justice Commission and the four Kentucky civil legal aid programs, AppalReD Legal Aid, Kentucky Legal Aid, Legal Aid of the Bluegrass and Legal Aid Society.

Lawyers who want to volunteer to provide direct legal assistance to Kentuckians in need during the pandemic can visit Together Lawyers Can.

The governor’s previous executive order blocking evictions was challenged in federal court. The state and landlords who sued have been unable to reach an agreement during mediation.

“I think that lawsuit is moot because it challenged an order that doesn’t exist any longer,” Beshear said. “We think this is a fair process that benefits landlords and tenants.”

The Lexington Fayette County Urban Council will start Tuesday discussing a city plan that will start out with $1.9 million and could got to $3 million for household assistance, including rent and food. That money would come from the city’s share of CARES Act funding.