Assembly extends eviction and foreclosure moratoria to Aug. 31 after hours of debate over rent-relief distribution

The Assembly voted May 3 to extend pandemic-era limits on residential evictions and certain commercial foreclosures to Aug. 31, 2021, saying more time is needed to distribute rent-relief funds and avoid a wave of post‑moratorium eviction filings.

Sponsor "Mister Dinowitz" told members the extension aims to prevent mass evictions while the state and federal relief programs ramp up. He noted the state budget included $2.3 billion for rent relief and said it would take more time to distribute those funds. "We don't want people out on the streets," Dinowitz said during his explanation.

Opponents, including Mister Fitzpatrick and others, pressed to align any extension with CDC guidance and asked why the Assembly would not tie the end date to federal public-health guidance. Fitzpatrick argued an earlier date would limit harm to small-property owners and speed a return to normal court access. Several speakers warned about unspent funds — one member said roughly $53 million from prior allocations remained unspent — and asked when OTDA would get application infrastructure running.

The floor record shows extended exchanges on eligibility criteria, whether hardship declarations should include specific income limits, and whether landlords retain any recourse: sponsors and others said money would be available to make landlords whole in many cases and that the Tenant Safe Harbor Act allows monetary judgments without immediate eviction, while the eviction moratorium prevents removal except in narrow exceptions for egregious behavior.

Dinowitz and other supporters emphasized the number of hardship declarations already filed, which the sponsor said was "in the neighborhood of 40,000," and argued that courts could not safely absorb a large wave of filings if the moratorium were to end immediately. "If all of the potential evictions proceeded immediately, we would have a disaster on our hands," the sponsor said.

The debate included stories from members about small landlords and the risks of driving housing providers out of the market; others urged speeding distribution of relief funds. The Assembly recorded the final vote: Ayes 91, Nos 57. The act takes effect immediately.

What's next: OTDA (the Office of Temporary and Disability Assistance) was identified as the agency expected to publish application guidelines and operate distribution; members urged the executive branch to expedite that work.