Emergency Rental Assistance through the Coronavirus Relief Fund (R46688, Version 1)
Summary
This Congressional Research Service report, R46688 version 1 dated February 18, 2021, describes the $25 billion Emergency Rental Assistance (ERA) program that Congress created in the Consolidated Appropriations Act, 2021 (Division N of P.L. 116-260). It says ERA is funded through the Coronavirus Relief Fund, directs resources to states and localities by per capita formula, and may be used only for financial assistance and housing stability services for renters. States and localities must use at least 90% of funds for financial assistance, defined to include rental and utility assistance including arrearages, and the remaining 10% may be used for housing stability services and administrative expenses. Renters are eligible if they are low-income, experiencing financial hardship and at risk of homelessness or housing insecurity.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Full text
Emergency Rental Assistance through the
Coronavirus Relief Fund
February 18, 2021
Congressional Research Service
https://crsreports.congress.gov
R46688
SUMMARY
R46688
Emergency Rental Assistance through the
February 18, 2021
Coronavirus Relief Fund
Grant A. Driessen
In response to concerns about the economic effects of the Coronavirus Disease 2019 (COVID- Specialist in Public Finance
19) pandemic on renters and their landlords, Congress created a $25 billion Emergency Rental
Assistance (ERA) program in the Consolidated Appropriations Act, 2021 (Division N of P.L.
Maggie McCarty
116-260). Specialist in Housing Policy
The ERA program is funded through the Coronavirus Relief Fund (CRF) that was established by
the Coronavirus Aid, Relief, and Economic Security Act (CARES Act, P.L. 116-136) and Libby Perl
implemented by the Department of the Treasury. Like the CRF, the ERA directs resources to Specialist in Housing Policy
states and localities via a per capita formula allocation, although the ERA uses a somewhat
different formula that treats the District of Columbia as a state and includes a lower threshold for
localities to qualify for direct allocations (among other differences). Unlike the CRF, which can For a copy of the full report,
please call 7-5700 or visit
be used for a broad set of purposes including rental assistance, the ERA may only be used for
www.crs.gov.
financial assistance and housing stability services for renters.
P.L. 116-260 establishes various parameters for how ERA funding can be used. Among other requirements, states and
localities must use at least 90% of their funds for financial assistance, which is defined to include rental assistance and utility
assistance (including payment of arrearages). The remaining 10% may be used for housing stability services (case
management and other supports to help families retain their housing) and administrative expenses. Renters are eligible for
assistance if they are low-income, experiencing financial hardship, and at risk of homelessness or housing insecurity.
Grantees are directed to prioritize very low-income renters for assistance. The law also establishes expenditure deadlines and
imposes various reporting requirements on the Treasury Secretary.
Within the statutory requirements—and any additional guidance established by Treasury—states and localities will have
flexibility in designing their rental assistance programs. Many had used CARES Act and other funding to establish earlier
rental assistance programs; if those programs are consistent with ERA requirements, th ey may be available to facilitate
relatively rapid distribution of ERA funds.
The ability of states and localities to structure their programs differently will mean that the experience of similarly situated
renters seeking assistance will likely vary geographically. Similarly, there may be geographic variability in the degree to
which existing resources—both ERA and earlier funds—are adequate to meet demand for rental assistance. Recent estimates
that account for ERA suggest that as much as $57 billion in rental and utility debt may be outstanding nationally. This has led
for calls for more aid, which may be provided in the form of additional rental assistance, additional direct assistance via
stimulus payments and further enhanced unemployment, and/or additional aid to states and localities. President Biden’s
American Rescue Plan proposes additional assistance in each of these forms.
Congressional Research Service
Emergency Rental Assistance through the Coronavirus Relief Fund
Contents
Introduction ................................................................................................................... 1
Background: Rental Assistance During the COVID-19 Pandemic ........................................... 1
State and Local Allocations .............................................................................................. 2
ERA Program Parameters ................................................................................................. 5
Eligible Use of Funds ................................................................................................. 6
Financial Assistance ............................................................................................. 6
Administrative Costs and Housing Stability Services ................................................. 6
Individual Eligibility and Prioritization ......................................................................... 7
Eligibility............................................................................................................ 7
Prioritization ....................................................................................................... 7
Documentation .................................................................................................... 7
Funding Availability and Reallocation........................................................................... 7
Reporting Requirements ............................................................................................. 7
Outstanding Questions ..................................................................................................... 8
How will local programs be structured? ........................................................................ 8
Will rental assistance be adequate to prevent loss of housing?........................................... 9
Will the federal government provide further assistance to state and local
governments? ......................................................................................................... 9
Tables
Table 1. Emergency Rental Assistance Allocations by State/Territory and Government
Level .......................................................................................................................... 3
Contacts
Author Information ....................................................................................................... 10
Congressional Research Service
Emergency Rental Assistance through the Coronavirus Relief Fund
Introduction
The Consolidated Appropriations Act, 2021 (P.L. 116-260) included an appropriation of $25
billion to help low-income households make rent and utility payments through an Emergency
Rental Assistance (ERA) program. 1 The ERA is funded through the Coronavirus Relief Fund
(CRF), a program created as part of the Coronavirus Aid, Relief, and Economic Security
(CARES) Act (P.L. 116-136), and administered by the Treasury Department, to assist state, local,
territorial, and tribal governments. 2 While the CARES Act CRF appropriation could be used for
multiple purposes, the ERA appropriation in P.L. 116-260 is directed only to rent and utility
assistance and housing stability services.
This report briefly describes the need for rental assistance during the Coronavirus Disease 2019
(COVID-19) pandemic, provides information about the allocation of the $25 billion in ERA
funds, describes the parameters of the ERA program, and discusses outstanding questions about
the program and renter needs.
Background: Rental Assistance During the COVID-
19 Pandemic
Even before the onset of the COVID-19 pandemic, low-income renters struggled with housing
affordability. In 2020, the Joint Center on Housing Studies reported that nearly half (48%) of all
renters were cost burdened (i.e., paying more than 30% of their income in rent), with higher
numbers for lower-income (80%), Black (55%), and Hispanic (53%) renters.3 The pandemic may
have made renter housing arrangements even more precarious. Renters have been more likely to
lose employment income than homeowners.4 This is particularly the case for Black and Hispanic
renters, who are also estimated to face the greatest threat of eviction during the pandemic . 5
Millions of renters report being behind on their rent and lacking confidence in their ability to pay
next month’s rent. 6
Efforts to assist renters include eviction moratoriums at the state and federal levels. A national
eviction moratorium issued by the Centers for Disease Control and Prevention took effect on
1 See Division N, T itle V, Section 501 of P.L. 116-260.
2 For more information about CRF in the CARES Act, see CRS Report R46298, General State and Local Fiscal
Assistance and COVID-19: Background and Available Data.
3
Joint Center for Housing Studies, America’s Rental Housing 2020, January 2020, pp. 26-29,
https://www.jchs.harvard.edu/sites/default/files/reports/files/Harvard_JCHS_Americas_Rental_Housing_2020.pdf.
4 Alexander Hermann and Sharon Cornelissen, Using the Census Bureau’s Household Pulse Survey to Assess the
Economic Impacts of COVID-19 on America’s Households, Harvard Joint Center for Housing Studies, July 2, 2020,
https://www.jchs.harvard.edu/blog/using-the-census-bureaus-household-pulse-survey-to-assess-the-economic-impacts-
of-covid-19-on-americas-households/.
5
Whitney Airgood-Obrycki, “ T he Impact of COVID-19 on Renters and Rental Markets,” Harvard Joint Center for
Housing Studies virtual event, September 4, 2020, https://www.jchs.harvard.edu/calendar/impact-covid-19-renters-and-
rental-markets. See also, Sophia Wedeen, Black and Hispanic Renters Face Greatest Threat of Eviction in Pandemic,
Harvard Joint Center for Housing Studies, January 11, 2021, https://www.jchs.harvard.edu/blog/black-and-hispanic-
renters-face-greatest-threat-eviction-pandemic.
6 See Census Bureau Pulse survey data, available at https://www.census.gov/programs-surveys/household-pulse-
survey/data.html#phase3.
Congressional Research Service 1
Emergency Rental Assistance through the Coronavirus Relief Fund
September 4, 2020, and has been extended thus far through March 31, 2021.7 While the
moratoriums prevent eviction for nonpayment of rent, they do not prevent arrearages from
accumulating, which could result in eviction when moratoriums lift. Renter inability to maintain
payments also affects landlords. This may particularly result in hardship for smaller landlords,
who are estimated to have lower incomes and make up larger shares of Black and Hispanic
landlords. 8
At the outset of the COVID-19 pandemic, states and localities relied on federal funds
appropriated as part of the CARES Act, including funds distributed through CRF, to operate
rental assistance programs. 9 Households may have drawn on CARES Act stimulus checks,
expanded unemployment benefits, and borrowing to cover rent. However, some of these sources
of funds may be depleted as the pandemic continues. 10 Recent research estimates that total rental
arrears were $57 billion as of the end of January 2021. 11
Organizations representing both tenants and landlords have advocated for additional federal funds
to help tenants pay their rent. 12 Legislation was introduced in the 116th Congress that would have
provided as much as $100 billion to help tenants pay rent. 13 Ultimately, Congress appropriated
$25 billion for both rent and utility assistance to be funded through the CRF.
State and Local Allocations
P.L. 116-260 provides a total of $25 billion in ERA support to governments in states, territories,
and tribal areas. Payments are distributed across these jurisdictions as follows:
$23.785 billion is allocated for governments in the 50 states and the District of
Columbia (DC) based on their populations (as projected by the U.S. Census
Bureau for July 2020), 14 with no state receiving less than $0.2 billion;
7
For more information, see CRS Insight IN11516, Federal Eviction Moratoriums in Response to the COVID-19
Pandemic.
8
Small landlords in the analysis are those owning 2-4 unit properties; Jung Hyun Choi and Caitlin Young, Owners and
Renters of 6.2 Million Units in Small Buildings Are Particularly Vulnerable during the Pandemic , T he Urban Institute,
August 10, 2020, https://www.urban.org/urban-wire/owners-and-renters-62-million-units-small-buildings-are-
particularly-vulnerable-during-pandemic.
9 See examples from the National Conference of State Legislatures, which tracks the ways in which states are using
their CRF allocations: https://www.ncsl.org/research/fiscal-policy/state-actions-on-coronavirus-relief-funds.aspx
10 Jim Parrott and Mark M. Zandi, Averting an Eviction Crisis, Urban Institute, January 25, 2021,
https://www.urban.org/sites/default/files/publication/103532/averting-an-eviction-crisis.pdf (hereinafter, Averting an
Eviction Crisis).
11 Ibid.
12 See, for example, National Housing Conference, “31 housing organizations tell administration and Congress to
immediately return to negotiations,” press release, August 21, 2020, https://nhc.org/press-release/31-housing-
organizations-tell-administration-and-congress-to-immediately-return-to-negotiations/.
13
See the Heroes Act (H.R. 6800) and the Emergency Rental Assistance and Rental Market Stabilization Act (H.R.
6820, S. 3685).
14
U.S. Census Bureau, “Vintage 2020 Population Estimates for the United States and States,” December 2020,
https://www.census.gov/programs-surveys/popest/technical-documentation/research/evaluation-estimates.html.
Allocations are determined by total state populations, including non -renters; for recent estimates of state renter
populations, see U.S. Census Bureau, “American Community Survey 2015 -2019 5-Year Data Release,” December
2020, https://www.census.gov/newsroom/press-kits/2020/acs-5-year.html.
Congressional Research Service 2
Emergency Rental Assistance through the Coronavirus Relief Fund
$0.8 billion is set aside for governments in tribal areas, with individual
government allocations distributed in proportion to relative payments made under
the Native American Housing Block Program in FY2020;15
$0.4 billion is allocated to the territories of Puerto Rico, the U.S. Virgin Islands,
Guam, the Northern Mariana Islands, and American Samoa, with $0.325 billion
provided to Puerto Rico and $0.075 billion distributed to the remaining territories
based on their relative population share; and
$0.015 billion is set aside to cover federal administrative costs related to program
implementation.
ERA payments are generally provided to state (or territorial) governments, though state
governments may transfer any funds received to local governments so long as funds are used for
eligible purposes. Local governments serving a population of at least 200,000 (as measured by the
U.S. Census Bureau in 2019), 16 may elect to receive assistance directly from Treasury. Any
payments made directly to localities reduce the allocation made to the state government (keeping
the total amount provided across each state constant), and are the product of (1) the state or
territorial allocation amount, (2) the percentage of the state or territorial population attributable to
the local government, and (3) 45%.
In many cases, populations are served by more than one local government that is eligible for
direct assistance from the CRF (e.g., a city with a population of 300,000 located in a county with
200,000 other people and thus having a county population of 500,000). Treasury clarified that in
such cases, all overlapping governments are eligible for assistance. 17 However, direct assistance
payments to larger localities is calculated using only their unique population, or will be reduced
by any amounts also attributable to smaller localities receiving assistance (i.e., in the above
example, the county government would only use a population of 200,000 for its direct payment
calculation).
Table 1 shows ERA allocations and estimates broken out by state and territory, and government
level. Allocations made across states and territories, and localities have been confirmed by
Treasury. 18
Table 1. Emergency Rental Assistance Allocations by State/Territory and
Government Level
(All allocations in millions of dollars)
Direct Local
Government State Government
State or Territory Total Allocation Allocation Allocation
Alabama 326 63 263
15
For more on the Native American Housing Block Grant program, see CRS Report R43307, The Native American
Housing Assistance and Self-Determination Act of 1996 (NAHASDA): Background and Funding, by Katie Jones.
16
U.S. Census Bureau, “Subcounty Resident Population Estimates: April 1, 2010 to July 1, 2019,” May 2020,
https://www.census.gov/data/tables/time-series/demo/popest/2010s-total-cities-and-towns.html.
17
U.S. T reasury, “Emergency Rental Assistance Program: Data and Methodology for State, Local Government, and
T erritory Allocations,” January 2021, https://home.treasury.gov/system/files/136/Emergency-Rental-Assistance-Data-
and-Methodology-1-11-21.pdf.
18 U.S. T reasury, “Emergency Rental Assistance Program: Payments to States and Eligible Units of Local
Government,” February 2021, https://home.treasury.gov/system/files/136/Emergency-Rental-Assistance-Payments-to-
States-and-Eligible-Units-of-Local-Government.pdf.
Congressional Research Service 3
Emergency Rental Assistance through the Coronavirus Relief Fund
Direct Local
Government State Government
State or Territory Total Allocation Allocation Allocation
Alaska 200 35 165
American Samoa 10 0 10
Arizona 492 194 299
Arkansas 201 27 174
California 2,611 1,113 1,498
Colorado 385 137 248
Connecticut 236 0 236
Delaware 200 0 200
District of Columbia 200 0 200
Florida 1,441 570 872
Georgia 710 158 552
Guam 33 0 33
Hawaii 200 75 125
Idaho 200 24 176
Illinois 835 268 566
Indiana 448 76 372
Iowa 210 15 195
Kansas 200 31 169
Kentucky 297 33 264
Louisiana 308 59 249
Maine 200 0 200
Maryland 402 143 258
Massachusetts 457 36 421
Michigan 661 38 623
Minnesota 375 86 289
Mississippi 200 13 187
Missouri 408 84 324
Montana 200 0 200
Nebraska 200 41 159
Nevada 208 83 125
New Hampshire 200 21 179
New Jersey 589 235 354
New Mexico 200 39 161
New York 1,282 481 801
North Carolina 703 156 547
North Dakota 200 0 200
Congressional Research Service 4
Emergency Rental Assistance through the Coronavirus Relief Fund
Direct Local
Government State Government
State or Territory Total Allocation Allocation Allocation
Northern Mariana Islands 10 0 10
Ohio 775 210 565
Oklahoma 264 54 210
Oregon 281 77 204
Pennsylvania 848 278 570
Puerto Rico 325 0 325
Rhode Island 200 0 200
South Carolina 346 74 272
South Dakota 200 0 200
Tennessee 457 73 383
Texas 1,947 639 1,308
U.S. Virgin Islands 21 0 21
Utah 216 65 150
Vermont 200 0 200
Virginia 570 45 525
Washington 510 188 322
West Virginia 200 0 200
Wisconsin 387 65 322
Wyoming 200 0 200
All Tribal Governments 800 0 800
Totals 24,985 6,680 18,305
Source: U.S. Treasury, “Emergency Rental Assistance Program,” February 2021, https://home.treasury.gov/
policy-issues/cares/emergency-rental-assistance-program.
Notes: Recipients may choose to transfer funds to governments within their jurisdiction, but are not obligated
to do so. For each state or territory, the sum of the direct local government allocation and the state government
allocation may not equal the total allocation due to rounding.
ERA Program Parameters
When P.L. 116-260 created the ERA program under the CRF, it established parameters for how
the funds can and should be spent. These parameters are relatively broad, but are more
prescriptive than what was included in the original CARES Act CRF. Treasury has issued,19 and
may continue to issue, clarifying guidance regarding how certain aspects of the law are to be
applied.
As noted, funds are provided from Treasury to states and localities, which can use the funds to
design their own rental assistance programs within the requirements of the law and Treasury
guidance. Some states and localities may be able to use the new funds to supplement existing
19 T reasury guidance can be found at https://home.treasury.gov/policy-issues/cares/emergency-rental-assistance-
program.
Congressional Research Service 5
Emergency Rental Assistance through the Coronavirus Relief Fund
rental assistance programs created with CARES Act or other funds, to the extent their existing
programs align with the emergency rental assistance statutory requirements (which are outlined
below).
Eligible Use of Funds
P.L. 116-260 directs that 90% of funds be spent on direct financial assistance and up to 10% may
be spent on administrative expenses and housing services.
Financial Assistance
P.L. 116-260 defines financial assistance as assistance to tenants for
rent and rental arrears,
utilities and home energy costs and arrears, and
other expenses related to housing incurred due, directly or indirectly, to the
COVID-19 outbreak, as defined by the Treasury Secretary.
Treasury has issued an FAQ document clarifying that telecommunications services are not
considered utilities under this program. 20 As of the date of this report, Treasury has not defined
“other expenses related to housing.”
Length of Assistance
Assistance can be provided for no more than 12 months, with the possibility of one 3-month
extension. Payments made for prospective rent are subject to additional limitations; they can only
be provided in 3-month increments and only if rental arrearages are addressed.
Payments
P.L. 116-260 directs that payments be made directly to landlords or utility providers, but it allows
payments to be made directly to tenants if landlords or utility providers are unwilling to accept
such payments.
Landlords are permitted to aid their tenants in applying, or they may apply directly. Landlords
who apply directly must meet certain conditions (including obtaining tenant signatures , notifying
tenants of the application, and ensuring any funds received are applied to tenants’ rental
obligations).
Administrative Costs and Housing Stability Services
The remaining 10% of grant funds can be used for grantee administrative costs and housing
stability services.
P.L. 116-260 describes “housing stability services” as case management and other services related
to COVID-19, to be defined by the Secretary, that are intended to keep tenants stably housed. (As
of the date of this report, Treasury has not further defined the term.)
The law restricts administrative expenses to those tied to providing financial assistance and
housing stability services, including for data collection and reporting requirements.
20 See the FAQ at https://home.treasury.gov/system/files/136/ERA-Frequently-Asked-Questions_Pub-1-19-21.pdf.
Congressional Research Service 6
Emergency Rental Assistance through the Coronavirus Relief Fund
Individual Eligibility and Prioritization
P.L. 116-260 establishes a three-part eligibility test based on income level, income loss or other
financial hardship, and risk of homelessness or housing instability. It also establishes a set of
income targeting requirements to guide states and localities in prioritizing assistance.
Eligibility
To be eligible for direct financial assistance or housing stability services, households must be
renters and
low-income, defined (consistent with federal housing law) as having income at or
below 80% of local area median income as established by the Department of
Housing and Urban Development (HUD);
experiencing financial hardship, as evidenced by receipt of unemployment
benefits or an attestation of other pandemic-related financial hardship (income
loss or increased expenses); and
have at least one member at risk of homelessness or housing instability, as
evidenced by past due rent or utility notices (including eviction notices), unsafe
living conditions, or other evidence as established by the grantee.
Prioritization
P.L. 116-260 directs grantees to prioritize the following individuals for direct financial assistance
and housing stability services:
very low-income tenants defined (consistent with federal housing law) as having
income at or below 50% of local area median income as established by HUD;
and
applicants who are unemployed and have been unemployed for the prior 90 days.
The law permits states and localities to further establish their own prioritization policies.
Documentation
P.L. 116-260 allows grantees to base income eligibility on annual income or current monthly
income (subject to three-month recertification).
Funding Availability and Reallocation
P.L. 116-260 makes the funding it provides available to grantees through December 31, 2021.
However, beginning September 30, 2021, the Treasury Secretary is directed to recapture any
excess unobligated funds (as determined by the Secretary) and to reallocate them to grantees who
have obligated at least 65% of their funds for eligible purposes. Grantees receiving reallocated
funds may request up to a 90-day extension of the December 31, 2021, availability deadline for
those funds.
Reporting Requirements
The Treasury Secretary, in consultation with the Secretary of Housing and Urban Development, is
required under P.L. 116-260 to provide quarterly reports on a number of specified program
indicators, including the number of households served by the program, their income profiles, the
Congressional Research Service 7
Emergency Rental Assistance through the Coronavirus Relief Fund
acceptance rate of applicants, and the types and amounts of assistance. Grantees must establish
data privacy guidelines for collecting information.
Outstanding Questions
Several aspects of the ERA program will not be known until grantees receive funds and
implement programs at the state and local levels. This section discusses possible questions about
the implementation of the ERA program, adequacy of funds, and potential implications if state
and local governments were to receive additional funds.
How will local programs be structured?
There is likely to be a great deal of variation across states and localities in terms of how local
ERA programs are structured.
As noted earlier, P.L. 116-260 directs Treasury to allocate ERA funds to states and localities.
States and localities are then charged with distributing assistance to eligible renters based on a
limited set of program parameters. Within those parameters, states and localities will have
authority to determine, for example,
who will administer assistance (i.e., a government entity vs. a nonprofit or
community partner);
how to prioritize among the eligible uses of the funds (e.g., arrears vs.
prospective payments; utilities vs. rent);
how to ration limited benefits (e.g., lotteries for assistance vs. first-come first-
served or referral-based processes);
whether and how to further prioritize applicants (e.g., adopting deeper income
targeting than is required by law);
how much documentation to require of applicants and for recertification periods;
the amount and duration of benefits provided;
whether to place conditions on the recipients of assistance (e.g., requiring
landlords to accept partial payment to reduce debt obligations); and
whether and what to provide in terms of housing stability services.
One factor that may influence state and local decisions is the extent to which any existing
emergency rental assistance programs they administer may already meet, or may be easily
adjusted to meet, the requirements for ERA funding. To the extent states and localities can fund
existing programs with their ERA dollars instead of having to establish new programs, the
assistance could potentially be distributed more quickly.
The ability of state and local governments to structure their programs differently will mean that
the experience of similarly situated renters seeking emergency rental assistance will likely vary
geographically. How and whether individual renters are made aware of the availability of ERA
funds in their communities; their individual eligibility and likelihood of being assisted; and how
to access available assistance are currently uncertain. (As of the date of this report, there is no
Congressional Research Service 8
Emergency Rental Assistance through the Coronavirus Relief Fund
central federal repository for information on federally funded emergency rental assistance
programs. 21 )
Will rental assistance be adequate to prevent loss of housing?
Both the amount and geographic distribution of ERA funds c ould determine the extent to which
renters may be protected from eviction. Additional federal assistance, which could take various
forms, could also affect the need for, and adequacy of, ERA funds.
Because there is no definitive estimate of renters in arrears and the amount they owe, it is
unknown whether all renters who are behind will be able to receive assistance with available
funding. Estimates of the need for rental assistance vary and may depend on the data source and
methodology (which are not examined in this report). 22 Research released in January 2021
predicted that ERA rental assistance will be insufficient to meet the needs of all delinquent
renters, and that arrears will continue to exceed $30 billion even after ERA funds are expended. 23
The formula used to allocate funds may also determine the adequacy of funds for a given
community. States and counties with greater numbers of low -income renters who qualify for ERA
may have more difficulty meeting the needs of their residents than areas with similar populations
but fewer residents in need.
The need for rental assistance could also depend on congressional actions. Additional stimulus
payments, expanded unemployment assistance, or additional rental assistance may help address
renters’ needs. All three have been proposed in President Biden’s American Rescue Plan. 24 The
availability of unspent CARES Act funds or additional support to state and local governments
(described in the next section) may also be factors.
Will the federal government provide further assistance to state and
local governments?
How state and local governments choose to distribute ERA funds across programs and other
governments may depend on the perceived likelihood and timing of further federal assistance
during the COVID-19 pandemic. The Congressional Budget Office (CBO) estimated that the
federal government provided $291 billion in new fiscal assistance to state and local governments
21 One national organization, the National Low Income Housing Coalition, has created a repository of local rental
assistance programs, funded with a mix of state or local funds and federal funds from various p rograms. It can be
accessed at https://nlihc.org/rental-assistance.
22 Various estimates made in 2020 predicted arrears of $7 billion, $25 -$34 billion, and $70 billion by the end of the
year. See Davin Reed and Eileen Divringi, Household Rental Debt During COVID-19, Federal Reserve Bank of
Philadelphia, October 2020, https://www.philadelphiafed.org/-/media/frbp/assets/community-development/reports/
household-rental-debt-during-covid-19.pdf; Stout, Risius Ross LLC, Analysis of Current and Expected Rental Shortfall
and Potential Eviction Filings in the U.S., National Council of State Housing Finance Agencies, September 25, 2020,
https://www.ncsha.org/wp-content/uploads/Analysis-of-Current-and-Expected-Rental-Shortfall-and-Potential-
Evictions-in-the-US_Stout_FINAL.pdf; and John Lonski, Weekly Market Outlook: Markets Avoid Great Recession’s
Calamities, Moody’s Analytics, August 13, 2020, p. 9, https://www.moodysanalytics.com/-/media/article/2020/weekly-
market-outlook-markets-avoid-great-recessions-calamities.pdf.
23 Averting an Eviction Crisis.
24
T he White House, “National Strategy for the COVID-19 Response and Pandemic Preparedness,” January 21, 2021,
https://www.whitehouse.gov/wp-content/uploads/2021/01/National-Strategy-for-the-COVID-19-Response-and-
Pandemic-Preparedness.pdf (hereinafter, “National Strategy for the COVID-19 Response and Pandemic
Preparedness”).
Congressional Research Service 9
Emergency Rental Assistance through the Coronavirus Relief Fund
through the four pieces of pandemic relief legislation enacted prior to P.L. 116-260, including
policy-specific funding and general purpose assistance through the Coronavirus Relief Fund. 25
CRS estimates that P.L. 116-260 provides an additional $162 billion in policy-specific state and
local assistance. 26
State and local government advocates have sought additional federal fiscal relief to assist with
budget shortfalls and new spending on housing, health, education, and other services related to
the COVID-19 pandemic until the public health crisis ends and normal economic activity
resumes. How much additional relief is anticipated and when any new federal assistance is
expected to arrive may affect what types of services are provided with existing money, including
ERA funding. President Biden’s American Rescue Plan includes a call for $350 billion in general
fiscal assistance for state and local governments, with no details provided on state and local
support for housing programs. 27
Author Information
Grant A. Driessen Libby Perl
Specialist in Public Finance Specialist in Housing Policy
Maggie McCarty
Specialist in Housing Policy
Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan
shared staff to congressional committees and Members of Congress. It operates solely at the behest of and
under the direction of Congress. Information in a CRS Report should not be relied upon for purposes other
than public understanding of information that has been provided by CRS to Members of Congress in
connection with CRS’s institutional role. CRS Reports, as a work of the United States Government, are not
subject to copyright protection in the United States. Any CRS Report may be reproduced and distributed in
its entirety without permission from CRS. However, as a CRS Report may include copyrighted images or
material from a third party, you may need to obtain the permission of the copyright holder if you wish to
copy or otherwise use copyrighted material.
25
Congressional Budget Office (CBO), An Update to the Budget Outlook: 2020 to 2030, September 2020 , Figure A-2,
https://www.cbo.gov/system/files/2020-09/56517-Budget-Outlook.pdf. Estimate does not include $30 billion in
increased federal funding for the Supplemental Nutrition Assistance Program, which is implemented by state
governments.
26 Includes funding provided for the ERA, education, transportation, vaccine distribution, contact tracing, testing, and
the Disaster Relief Fund. A detailed CBO cost estimate for these funds was not available as of the cover date of this
report.
27 See the “ National Strategy for the COVID-19 Response and Pandemic Preparedness.”
Congressional Research Service R46688 · VERSION 1 · NEW 10
File and source
- File
- R46688.1.pdf
- Size
- 1,150,418 bytes
- SHA-256
- 518076dacfed716c7766d31fdaa38552f77a4a0b6cbff7105334dbd85f4ac56f
- Our copy
- R46688.1.pdf
- Original
- crsreports.congress.gov