The US Government Making Changes in Rent Relief? Will You Be Affected?

Two parts of the historic $46.55 billion appropriated by Congress for rent relief were sent out last March: $25 billion from the stimulus package passed a year ago, and an additional $21.55 billion included in the American Rescue Plan Act.

According to CNN, the US Department of Treasury will begin moving rental assistance among state and local aid distributors in order to make sure it gets into the hands of struggling renters and their landlords.

Read more: Rental Assistance Program Exceeds 2.5 million Payments. Will You Still Be Able to Apply Late?

“Over 2.5 million households have been helped by emergency rental assistance,” said Diane Yentel, president and CEO of the National Low Income Housing Coalition.
“With back rent paid, these families have a clean slate and some housing stability to help get through the next wave of the pandemic. But many struggling renters have yet to receive assistance, through no fault of their own, and remain at risk of losing their home this winter.”
According to a Treasury Department report, and $1 billion — or about 5% — of the second round had been distributed.
The Treasury projects that as much as $30 billion of the total rent relief funds will be spent or obligated by the end of the year. It estimates that at least 80% of the program’s first round of funding will be spent or spoken for by December 31.
CNN also adds that here are 26 states whose distribution of aid falls far below Treasury’s benchmark and are most at risk of having funds reallocated elsewhere.
Some of these include states with fewer people, like South Dakota, North Dakota, Wyoming and Nebraska, none of which had distributed more than 10% of of their first round funds by the end of October.
Other states on this list have larger populations and ongoing high levels of need, but they are not effectively distributing aid. These states include Ohio, which had only distributed 14% of its round one funds through October, and South Carolina, which only distributed 10%.
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