Minneapolis City Council Wants Housing Providers To Lose More Money

Minneapolis City Council Member Jason Chavez

Minneapolis City Council Members Jason Chavez, Elliott Payne and Aurin Chowdhury want to give tenants facing eviction more time to vacate their rental units.

The state of Minnesota currently requires housing providers a 14-day notice to quit. That means a tenant either needs to move out of their unit before the end of that time or get entirely current with the landlord on rent. Failure to do so will result in the landlord filing for eviction.

The city of Minneapolis wants to extend that to 30 days in order to give the tenant more time to find legal representation or raise the money to get current on rent.

Once the landlord files a complaint against the tenant, the court issues a summons. The court hearing takes place 7 to 14 days after the court issues the summons. However, the landlord must have someone else serve the tenants with the summons to appear in court at least 7 days before the hearing.

At the hearing, the housing provider and tenant present their respective cases and the judge issues a ruling. If they find in favor of the housing provider, the judge will order the tenant to vacate the unit within 24 hours. However, if the tenant can convince the court this will cause a substantial hardship, the judge may allow for up to 1 additional week in which to move.

In that time, if the tenant suddenly comes up with all past due rent plus interest, a $5 attorney fee if one represented the landlord, and additional costs of action. For example, that may include the filing fee ($325), witness fees, or even the cost to serve them.

Now, let’s add up the potential lost costs and time on a 2 bedroom apartment in Minneapolis:

  1. Average rent – $1650. Tenant is one month delinquent. 30 day + $1650.
  2. New 30 day notice period if not concurrent with #1 – 30 days + another $1650.
  3. Court filing. Let’s say the court sets a hearing in 21 days and the tenant will be served in a timely manner. 21 days + 3 weeks rent of $1155.
  4. Judge extension to avoid a hardship – 7 days. Another $385.

In total, if a tenant is just one month late, the lost income and time =

$1650 for first month + $1650 for 30 day notice period + $1155 for hearing lead time + 7 day extension at $385 in lost rent.

There are also court costs, server fees, etc. Let’s call that another $600.

TOTAL LOSSES = $5550.

TOTAL LOST TIME = 90 days.

Three months of a non-paying tenant will put most mom and pop housing providers in the hole for the year.

Here’s the good news. We can still do something about it. This proposal will be discussed at the Minneapolis City Council Business, Housing & Zoning Committee meeting:

Tuesday, September 10, 2024 at 1:30

Room 350, Public Service Center

250 S Fourth St, Minneapolis

For information on how to write the council members on the committee, or testify, click here: https://www.minneapolismn.gov/government/city-council/committees/business-housing-zoning-committee/