On page 955, after line 26, insert the following:
Sec. 1803. "2021 c 3 s 3 (uncodified) is amended to read as follows:
FOR THE DEPARTMENT OF COMMERCE—RENTAL ASSISTANCE AND HOUSING
General Fund—Federal Appropriation | . . . . | $365,000,000 |
TOTAL APPROPRIATION | . . . . | $365,000,000 |
The appropriation in this section is subject to the following conditions and limitations:
(1) $325,000,000 of the general fund—federal appropriation (CRRSA) is provided solely for the department to administer an emergency rental and utility assistance program pursuant to P.L. 116-260, the federal consolidated appropriations act. The department shall distribute funding in the form of grants to local housing providers. In making distributions, the department must consider the number of unemployed persons and renters in each jurisdiction served by the provider as well as account for any funding that jurisdiction, including cities within each county, received directly from the federal government. A provider may use up to 9.5 percent of their grant award for administrative costs and the remainder must be used for financial assistance as defined in P.L. 116-260. The department may retain up to 0.5 percent of the funding provided in this subsection to administer the program.
(2)(a) $30,000,000 of the general fund—federal appropriation (CRF) is provided solely for the department to administer an eviction rental assistance program. The department shall distribute funding in the form of grants to local housing providers. In making distributions, the department must consider the number of unemployed persons and renters in each jurisdiction served by the provider. To be eligible for the program, households must, at a minimum, have an income at or below 80 percent of the area median income and must have a missed or partially paid rent payment. Rental payments made through the program will be provided directly to landlords. The department may establish additional eligibility criteria to target these resources to households most likely to become homeless if they do not receive rental assistance.
(b) Of the amounts provided in this subsection, $16,000,000 of the general fund—federal appropriation (CRF) is provided solely for local housing providers to subgrant with community organizations that serve historically disadvantaged populations within their jurisdiction. Subgrants may be used for program outreach and assisting community members in applying for assistance under this subsection and subsection (1) of this section.
(3) $4,000,000 of the general fund
—federal appropriation (CRF) is provided solely for the department to assist homeowners at risk of foreclosure pursuant to chapter
61.24 RCW. Funding must be used for activities to prevent mortgage or tax lien foreclosures, housing counselors, foreclosure prevention hotlines, low-income legal services, mediation, and other activities that promote homeownership. The department may contract with other state agencies to carry out these activities.
(4) $1,500,000 of the general fund—federal appropriation (CRF) is provided solely for a contract with resolution Washington for alternative dispute resolution centers and dispute resolution programs to provide citizens with low-cost resolution as an alternative to litigation. This funding must be prioritized for resolution services relating to evictions.
(5) $1,500,000 of the general fund—federal appropriation (CRF) is provided solely for the department to contract with the office of civil legal aid to provide services relating to evictions, housing, and utilities.
(6) $1,000,000 of the general fund—federal appropriation (CRF) is provided solely for the department to contract with the office of the attorney general for legal work relating to the eviction moratorium extended in the governor's proclamation 20-19.5.
(7)(a) $2,000,000 of the general fund—federal appropriation (CRF) is provided solely for a program to provide grants to eligible landlords who have encountered a significant financial hardship due to loss of rental income from elective nonpayor tenants during the state's eviction moratorium pursuant to the governor's proclamation.
(b) To be eligible for a grant under this subsection, a landlord must:
(i) Apply for a grant or have a property manager or property management company apply for a grant on behalf of a landlord;
(ii) Be the sole investor in the property from which they are seeking rental arrears;
(iii) Be the owner of no more than ((four))six dwelling units from which they receive rental payments; and
(iv) ((Not contract with a property manager or property management company for duties or activities related to the tenancy or dwelling unit; and
(v))) Have an elective nonpayor tenant who is in arrears in rent or utilities or both.
(c) Eligible landlords may receive a grant of up to 80 percent of the total amount of rent in arrears. The department must prioritize landlords who have an income at or below 100 percent of the area median income and who demonstrate a loss of rental income, to the extent that funds are available.
(d) The department may inspect the property and the landlord's records related to an application under the program, including the use of a third-party inspector as needed to investigate fraud, to assist in making its application review, and to determine eligibility.
(e) A landlord who receives a grant under this section is prohibited from:
(i) Taking any legal action against the tenant for damages attributable to the same tenancy; or
(ii) Pursuing collection, or authorizing another entity to pursue collection on the landlord's behalf, against the tenant for damages attributable to the same tenancy.
(8) For the purposes of this section, the following definitions apply:
(i) "Dwelling unit" has the meaning defined in RCW
59.18.030.
(ii) "Elective nonpayor" means a tenant who has been determined to not be eligible for the federal or state emergency rental assistance program or has not applied for the federal or state emergency rental assistance program.
(iii) "Landlord" has the meaning defined in RCW
59.18.030.
(iv) "Owner" has the meaning defined in RCW
59.18.030.
(v) "Rent" has the meaning defined in RCW
59.18.030.
(vi) "Tenant" has the meaning defined in RCW
59.18.030."