Pa. Gov. Wolf says he can’t extend moratorium on foreclosures and evictions, urges lawmakers to do it - FORECLOSURE FRAUD

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Pa. Gov. Wolf says he can’t extend moratorium on foreclosures and evictions, urges lawmakers to do it

Pa. Gov. Wolf says he can’t extend moratorium on foreclosures and evictions, urges lawmakers to do it

By Ron Southwick | rsouthwick@pennlive.com

Hours after the expiration of an order halting evictions and foreclosures, Gov. Tom Wolf said Tuesday he cannot extend his moratorium and urged lawmakers to take action to ensure residents don’t lose their homes.

Wolf had issued an order barring evictions and foreclosures in May and extended it in July, but the order expired at 12:01 a.m. Sept. 1. Wolf surprised some housing advocates last week when he said he lacked the legal standing to extend the moratorium again.

At a news conference Tuesday, Wolf called on lawmakers to pass legislation imposing a moratorium on foreclosures and evictions. With many losing their jobs in the coronavirus pandemic, Wolf said keeping people in their homes is a public health priority.

“I have provided this for as long as I can under Pennsylvania’s laws. Now, the House and Senate has to act,” Wolf said.

Wolf said foreclosures and evictions should be halted for an extended period, possibly 90 days or longer, but said he was opening to discuss the length of the moratorium with lawmakers. The governor also called on lawmakers to approve an additional $200 million to provide more housing assistance.

The Wolf administration estimated 400,000 Pennsylvanians may not be able to make their August and September payments.

Senate Minority Leader Jay Costa, D-Allegheny, joined Wolf at the news conference and said lawmakers should have taken action already.

“We shouldn’t be here today,” Costa said.

In a news conference Monday, Wolf had hinted that he could possibly extend the moratorium. Later, his office issued a statement saying that’s not an option, the Associated Press reported.

Last week, the Federal Housing Administration extended its moratorium on evictions and foreclosures through Dec. 31, 2020. The FHA’s action protects homeowners with FHA-insured single family mortgages.

Wolf said in a letter to lawmakers last week the state’s Emergency Services Management Code does not give him the authority to take additional action. He said the code put a limit on the amount of time he can issue orders regarding temporary housing.

The governor is asking lawmakers to take action to help those facing foreclosure and eviction. Specifically, he’s calling for lawmakers to approve an increase to the $750-per-month cap on payments for housing assistance. He said the payments should be at least 130% of federal government limits.

Wolf called on lawmakers to approve $100 million in housing assistance and another $100 million so residents don’t have to risk losing water services.

Some advocates have said many will lose their homes with the governor’s moratorium ending.

Jason Gottesman, a spokesman for the Pennsylvania House Republican Caucus, faulted the Democratic governor for failing to work with lawmakers. The GOP controls both chambers of the General Assembly.

“Gov. Wolf has ignored the law and acted by fiat for the last six months,” Gottesman said in a statement. “It is curious now that he is searching for the limits of his authority as an excuse to pass the buck to the General Assembly over the crisis he created for both property owners and renters.

“Instead of telling the General Assembly how to do its job and what bills to pass, Gov. Wolf should instead work with us to reopen Pennsylvania’s economy, get those struggling to pay their bills back to work safely, and restore some sense of normalcy to the people of the Commonwealth,” Gottesman said.

Senate Majority Leader Jake Corman, R-Centre, said the governor informed lawmakers Monday night he wouldn’t extend the moratorium. He criticized Wolf for not engaging with lawmakers on the issue.

“Governor Wolf has made zero phone calls to the Republican legislative leaders on this issue,” Corman said in a statement Monday. “He has offered zero language that would provide guidance to the legislature on how to achieve what he wants.”

Costa said Democratic lawmakers have been talking for months about the need to advance housing protections but they didn’t gain support in the GOP-controlled Legislature.

Wolf said at the news conference it’s “probably” true that he hasn’t personally called GOP legislative leaders but his staff has been reaching out to lawmakers. He also said he’s been urging lawmakers to take action so people don’t lose their homes.

“The General Assembly has had three months to act,” Wolf said. “They have not.”

Wolf also called on lawmakers to approve other steps to help renters and homeowners.

The governor wants lawmakers to eliminate the requirement that renters and homeowners be 30 days behind in their payments before being eligible for aid. The current rules force renters, for example, to choose between paying rent and buying groceries and prescriptions, the Wolf administration said.

The Wolf administration also wants landlords and mortgage lenders to have the option of allowing people to repay what they owe over the course of a year, or the option of forgiving unpaid rent and mortgage payments.

The pandemic has battered Pennsylvania’s economy, as many businesses have shuttered or laid off workers. Pennsylvania’s unemployment rate rose to 13.7% in July.

Source: https://www.pennlive.com/news/2020/09/pa-gov-wolf-says-he-cant-extend-moratorium-on-foreclosures-and-evictions-urges-lawmakers-to-do-it.html

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