Calls for audit arise as Los Angeles County Rent Relief Program faces delays.
In Los Angeles, Landlord Reimbursement Program Faces Delays, Prompting Call for Audit
In the bustling city of Los Angeles, applications recently opened for landlord reimbursements related to unpaid back rent during the COVID-19 pandemic. However, a similar program at the county level, which aims to support small “mom and pop” landlords, has yet to begin accepting applications. This delay has sparked a call for an audit of the department responsible for overseeing the program, in order to uncover the reasons behind the hold-up.
The Los Angeles County Board of Supervisors approved the program in January, allocating up to $45 million to reimburse small property owners who are owed back rent accumulated during the pandemic. Despite this approval, neither applications nor program guidelines have been made available. In response, Supervisors Kathryn Barger and Holly Mitchell have directed an audit of the county’s Department of Consumer and Business Affairs, seeking answers for the delay.
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Results of the audit are expected within the next two weeks, according to a recent statement. Supervisor Barger expressed her frustration with the delays, stating, “Delaying the disbursement of relief funds to mom-and-pop property owners is simply unacceptable. We’ve missed the mark and small property owners are bearing the brunt of [the department’s] delays.”
In her motion from January, Supervisor Barger directed county staff to identify funds for the program from local, state, and federal sources. The program would provide up to $30,000 per housing unit to landlords who agree not to evict tenants when reimbursed for missed rental payments.
Supervisor Mitchell emphasized the urgency of implementing the program, as its delay may lead to the displacement of families. She stated, “Every day we wait, more Angelenos are being evicted or becoming at risk of being evicted. Our shared constituency is counting on us to get this done, and we must do all we can to prevent more residents from being displaced.”
Helen Chavez, a representative for Supervisor Barger’s office, attributed the delays to the consumer affairs department extending its deadline for launching the program. She explained, “The department that’s in charge of designing and rolling out that program has kept on pushing back the deadline, so my boss Supervisor Barger said enough is enough. She wants an objective look at their planning work.”
Supervisor Barger also criticized the county’s delay, calling it unfair. She stated, “The county expects property owners to pay their property taxes on time. So the county needs to reciprocate and step up quickly when property owners have needs.”
She further highlighted the plight of rental property owners, particularly elderly individuals, who are on the verge of losing their rental homes. Supervisor Barger expressed her intention to consider “consequences” once the reason for the delay is revealed.
Meanwhile, the City of Los Angeles’ rent-relief program is set to end on October 31. Eligible landlords can receive up to six months of unpaid back rent reimbursed through Measure ULA funds, known as the “mansion tax.” However, some industry experts argue that these measures are insufficient.
A recent article in the Wall Street Journal reported that there could be over $1 billion in unpaid back rent in the greater Los Angeles area. This estimate is based on research from the National Equity Atlas, which utilized Census surveys.
According to Daniel Yukelson, executive director of the Apartment Association of Greater Los Angeles, the rent relief offered by the city and county falls short of compensating landlords for their pandemic-related losses. He stated, “All this pales in comparison to the losses that property owners have suffered these past three plus years.”
Why is it important for the Department of Consumer and Business Affairs to conduct a prompt and thorough audit to uncover the reasons behind the hold-up in the reimbursement program
Ervisor Barger felt it was necessary to call for an audit to understand the reasons behind these delays.”
This delay in the landlord reimbursement program has significant implications for both landlords and tenants. Many small landlords have been struggling to meet their financial obligations due to unpaid rent during the pandemic. The reimbursement program was designed to provide them with the necessary financial assistance to alleviate their burden. However, with the delay in accepting applications, these small landlords are left in a vulnerable position, unable to recoup the funds they desperately need.
Furthermore, the delay in implementing this program may result in the displacement of families who are already struggling to make ends meet. The threat of eviction looms over many households, and without the support of the reimbursement program, these families may find themselves without a home.
It is crucial that the audit of the Department of Consumer and Business Affairs is conducted promptly and thoroughly. The findings from this audit will shed light on the reasons behind the hold-up and allow for necessary adjustments to be made. Transparency and accountability are essential to ensure that the reimbursement program can be expedited and effectively support small landlords and their tenants.
The current situation calls for a sense of urgency and collaboration among all stakeholders involved. Local, state, and federal authorities must work together to identify the issues causing the delay and find prompt solutions. By prioritizing the implementation of the reimbursement program, Los Angeles can provide much-needed relief to small landlords and prevent further displacement of families.
In conclusion, the delays in the landlord reimbursement program in Los Angeles have prompted a call for an audit of the Department of Consumer and Business Affairs. This audit aims to uncover the reasons for the hold-up and identify necessary steps to expedite the program. The urgency of the situation cannot be understated, as small landlords and tenants rely on this program for financial relief and security. It is crucial for all stakeholders to work together and prioritize the implementation of the program to prevent further hardships for the vulnerable population affected by the pandemic.
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