August 1 has arrived and it’s a day some L.A. renters have been dreading: missing rent is due. Under previous tenant protections during the pandemic, tenants had until today to pay any missing rent due between March 2020-September 2021. For rent due between October 2021-Jan. 31, tenants have until February 2024 to pay the missing rent.
L.A. Mayor Karen Bass has been attempting to prepare renters with education and resources, including a controversial move to use some funds raised under Measure ULA, the so-called mansion tax, to cover some of the windfall. The measure, which was approved by voters, is a 4 percent sales tax on property sales exceeding $5 million, and 5.5 percent sales tax on properties exceeding $10 million. The revenue from the sales tax, originally secured for homeless resources including housing development, will now reportedly be collected and earmarked for renter protections, including protections for low-income seniors at risk of homelessness, rental assistance programs and building more affordable housing units, according to L.A.’s ABC affiliate.
Last week, the mayor’s office said that $38 million has been raised from the measure since the tax went into effect earlier this year. City officials initially reported the measure would generate between $600 million-$1.1 billion annually, but that estimate was recently lowered to $672 million annually.
“We will only be able to solve our city’s homelessness crisis if we work to prevent people from falling into homelessness in the first place,” Bass said in a statement. “On August 1, certain COVID-19 rental protections will expire and I have worked with our partners on the City Council as well as the Los Angeles Housing Department to prepare resources for those who may be impacted,” adding that the city will do all it can to prevent a “wave of evictions” as they continue to confront the homelessness crisis.
The Mayor’s Fund for Los Angeles—an independent nonprofit that supports the mayor’s vision for the city—has committed its resources to homelessness prevention via its new “We Are LA” program. The initiative is intended to reach and help at-risk Angelenos stay housed, having already connected with nearly 41,000 Angelenos and made case management appointments with more than 10,000 Angelenos. The program aims to connect with more than 200,000 in the coming weeks.