What to Know
- Housing is Key was established during the pandemic to help struggling tenants and landlords pay rent
- Many say they never received their money, and they can't get any answers from the state
- The state is paying the contractor running the program roughly $260 million
Theresa Glover had a rough year in 2020. The pandemic hit, she underwent open heart surgery, and she lost her job.
“It wasn’t too awful long before I was dipping into my savings to pay my rent. And I wiped that out. And I maxed out all my credit cards trying to stay on top of my rent and stuff,” said Glover.
So the Ventura County tenant was relieved to learn about the state’s "Housing is Key" program, a $5 billion fund set up during the pandemic to help struggling tenants, like Glover, pay rent. Landlords who weren’t receiving rent could also apply for money.
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Glover was approved for $7,800 a year ago. But she said she hasn't received a dime, and doesn't get any answers when asks about her money.
“That phone number is a number that anybody can call. To ask any question, but you’ll receive no answer. I mean they’ll answer the phone, but they won’t answer the question,” she said.
John Schneider is a small landlord. He was approved for $24,000 in rent his tenant hadn’t paid. But Housing is Key sent the check to Schneider’s tenant, who cashed it and never paid him.
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"I’ve been hitting my head against the wall since then trying to get anybody to do anything,” said Schneider.
He asked Housing is Key to fix its mistake a year ago, but he’s received nothing.
“The last thing I’d think you do is give the money to the debtor and cross your fingers they'll do the right thing,” said Schneider.
The I-Team heard from several tenants and landlords who say they also qualified for money, but never got any.
Others are complaining online about "Housing is Key." Some say if they don’t get their money, they’ll be homeless.
Jackie Zaneri, an attorney with the tenant advocacy group Alliance for Californians Community Empowerment (ACCE), said thousands of applicants, like Glover and Schneider, are still waiting for money. So ACCE is suing the state, for mismanaging the program and failing to pay the money it promised.
“Part of the issue right now for us to figure out how we can get everyone the money they were told they would get.” said Zaneri.
According to the "Housing is Key" website, it’s paid out nearly $4.5 billion. But it’s unclear how much money is left. The I-Team learned through court documents that "Housing is Key" paid an independent contractor $260 million to manage the program, and it said it likely needs to pay that contractor even more.
Meanwhile, tenants and landlords are wondering if they’ll ever get the money they were promised.
“You would think a government agency like this would be more together,” said Glover.
The I-Team asked the director of the Department of Housing and Community Development, which is in charge of the "Housing is Key" program, for an on-camera interview, but he declined. A spokesperson also declined to comment on the lawsuit, saying they don’t comment on pending litigation.
