Gov. Gavin Newsom on Jan. 29 signed legislation to extend the state’s landmark eviction moratorium through June 30, protecting millions of Californians struggling as a result of the economic hardships brought on by the COVID-19 pandemic.

“Once again, California is leading the way by enacting the strongest eviction protections in the nation, which will provide relief for millions of Californians dealing with financial difficulties as a result of COVID-19,” Newsom said. “This law not only provides greatly needed support for tenants, but also provides relief to small property owners in need of assistance to pay for mortgages, thanks to $2.6 billion in federal stimulus funding.”

Newsom, Senate President Pro Tempore Toni Atkins and Assembly Speaker Anthony Rendon announced an agreement on the legislation,  to extend the eviction moratorium established last year under Assembly Bill 3088, which was set to expire at the end of the month.

Senate Bill 91 pauses evictions for tenants who declare under penalty of perjury an inability to pay all or part of the rent due to a COVID-related reason. Tenants are still responsible for paying unpaid amounts to property owners, but those unpaid amounts cannot be the basis for an eviction, even after the moratorium ends.

SB 91 also establishes the State Rental Assistance Program to allocate the $2.6 billion in federal rental assistance California will receive. The program will target aid to income-qualified tenants most at-risk with unpaid back rent. Assistance will also be extended to property owners who agree to waive 20% of unpaid rent. By agreeing to this waiver, property owners will become eligible for 80% in rent reimbursements for amounts owed between April 1, 2020, and March 31, 2021.

“Those of us pushing to get this done knew that there were literally homes and lives at stake,” Rendon said.

The State Rental Assistance Program will begin accepting applications from property owners and tenants in March.