HB 1312
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
Third Reader - Revised
House Bill 1312 (Delegate Wilkins)
Judiciary and Environment and Judicial Proceedings
Transportation
Landlord and Tenant - Eviction Actions - Catastrophic Health Emergencies
This emergency bill prohibits the court from issuing any judgment for possession or
repossession, or a warrant of restitution of possession or repossession, during, and for
specified periods after, a catastrophic health emergency. These prohibitions apply in failure
to pay rent and breach of lease actions if, in addition to other requirements, the tenant can
demonstrate to the court, through specified means, that the tenant suffered a “substantial
loss of income.” The bill’s provisions are applicable only to residential leases. The bill also
prohibits a landlord – during a catastrophic health emergency only – from (1) increasing a
tenant’s rent or (2) charging specified fees and fines. Finally, the bill requires the Judiciary
to collect, compile, maintain, and publish on its website specified eviction data, and submit
an annual report to the Governor and the General Assembly.
Fiscal Summary
State Effect: General fund expenditures increase by $110,000 in FY 2021 for one-time
programming costs and likely increase minimally through FY 2022 due to an increased
workload for the District Court, as discussed below. Revenues are not materially affected.
(in dollars) FY 2021 FY 2022 FY 2023 FY 2024 FY 2025
Revenues $0 $0 $0 $0 $0
GF Expenditure 110,000 - 0 0 0
Net Effect ($110,000) ($-) $0 $0 $0
Note:() = decrease; GF = general funds; FF = federal funds; SF = special funds; - = indeterminate increase; (-) = indeterminate decrease
Local Effect: The bill is not anticipated to materially affect local government operations
or finances.
Small Business Effect: Meaningful.
 Analysis
Bill Summary:
Data Collection and Publication
The Judiciary must collect, compile, maintain, and publish eviction data every two weeks
on the Judiciary’s website. “Eviction data” means, in regards to specified actions, the
(1) zip code and census tract of the subject premises in Baltimore City and in each county
of the State; (2) date of execution of the warrant or writ; and (3) type of action from which
the warrant or writ was issued.
The Judiciary must report to the Governor and the General Assembly on the eviction data
on or before August 31 each year, with the first report due by August 31, 2022.
Substantial Loss of Income and Affirmative Defense
The bill authorizes a tenant to raise a “substantial loss of income” as an affirmative defense
in an eviction proceeding during a “catastrophic health emergency.” If the emergency has
been declared for 60 to 179 consecutive days, the tenant may raise a substantial loss of
income as an affirmative defense in an eviction proceeding for up to three months
following the catastrophic health emergency. If the catastrophic health emergency has been
declared for 180 consecutive days or longer, the tenant may raise the affirmative defense
for up to six months following the emergency.
The bill prohibits the court from issuing any judgment for possession or repossession/
warrant of restitution of possession or repossession of residential property in failure to pay
rent actions, if a tenant can demonstrate to the court, through documentation or other
objectively verifiable means, that (1) the tenant has suffered a “substantial loss of income”
and (2) due to this loss of income, the tenant is unable to pay rent or utility fees or will be
homeless if the tenant is evicted. The bill establishes similar restrictions for breach of lease
actions if the tenant has suffered a substantial loss of income and the alleged breach of
lease was caused by or related to the tenant’s loss of such income.
These prohibitions may not be construed to interfere with failure to pay rent and breach of
lease actions, except as specifically provided in the bill, or to relieve any person of any
obligation to make payments or comply with any other obligation that the person may have
under a lease.
“Substantial loss of income” means a substantial loss of income resulting from a
catastrophic health emergency proclamation, including a substantial loss of income due to
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job loss, reduction in compensated hours of work, closure of place of employment, or the
need to miss work to care for a home-bound, school-age child.
The bill incorporates the definition of “catastrophic health emergency” contained in
§ 14-3A-01 of the Public Safety Article. Under that section, a “catastrophic health
emergency” is a situation in which extensive loss of life or serious disability is threatened
imminently because of exposure to a deadly agent.
Prohibition on Rent or Fee Increases
During a catastrophic health emergency, landlords are prohibited from (1) increasing a
tenant’s rent or (2) charging a tenant a fine or fee for the nonpayment or late payment of
rent, including late fees, administrative fees related to rent, collection fees, court costs not
awarded by a court, or liquidated or other damages for nonpayment or late payment of rent.
Current Law: In general, a landlord seeking to evict a tenant initiates the process by filing
the appropriate action (e.g., failure to pay rent, breach of lease, etc.) in the District Court.
If awarded a judgment by the court, the landlord files a warrant of restitution, which, once
reviewed and signed by the court, authorizes an eviction. The warrants of restitution are
forwarded to the local sheriff’s office, who is then authorized to carry out the evictions.
Statute sets forth numerous specific requirements for such actions, including those related
to written notice prior to filing certain actions.
In failure to pay rent actions, if judgment is in favor of the landlord and the tenant does not
return the premises to the landlord or otherwise satisfy the judgment by paying the
applicable rent and late fees within 4 days, as specified, the court must, at any time after
4 days have elapsed, issue a warrant of restitution. The court may, upon presentation of a
certificate signed by a physician certifying that surrendering the property within the
4-day period would endanger the health or life of the tenant or other occupant, extend the
time for surrender of the premises as justice may require, up to 15 days. Statutory
provisions also authorize stays of execution in other specified circumstances, such as in the
event of extreme weather conditions.
If the landlord does not order a warrant of restitution within 60 days from either the date
of judgment or the expiration date of any stay of execution (whichever is later), then (1) the
judgment for possession must be stricken and (2) the judgment must generally count toward
the threshold for the number of judgments at which a tenant no longer has the right to
redemption of the leased premises, as specified.
State Expenditures: General fund expenditures increase by $110,000 in fiscal 2021 for
programming changes. Although these programing changes will generally facilitate the
ongoing data collection and publication of eviction data as required under the bill, the
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Judiciary advises that workloads for landlord-tenant actions are also impacted by the bill’s
other requirements.
The Judiciary notes that landlord-tenant matters routinely represent a high volume of the
cases filed in the District Court each year. For example, in fiscal 2019, 669,427 failure to
pay rent cases (which represent the largest volume of landlord-tenant related actions) were
filed in the State; that same year, 230,968 landlord-tenant cases resulted in a warrant of
restitution. Although there are some existing restrictions on eviction actions under an
executive order and an order from the U.S. Centers for Disease Control and Prevention
(CDC), these prohibitions are generally effective during the declared state of emergency
or through June 30, 2021, respectively. Under the bill, tenants are specifically authorized
to raise a substantial loss of income as an affirmative defense for up to six months following
a catastrophic health emergency. The Judiciary anticipates that hearing times (and
postponements) may increase as tenants produce, and the courts examine, appropriate
documentation of a substantial loss of income and otherwise facilitate this affirmative
defense. Accordingly, general fund expenditures likely also increase minimally (in addition
to the programming costs noted above) to reflect an overall increased workload for the
District Court. However, any expenditures associated with this impact, in regards to the
current catastrophic health emergency, are likely realized only through fiscal 2022.
Small Business Effect: Small business landlords may be adversely affected due to the
specified restrictions on judicial action related to a catastrophic health emergency. In regard
to the current catastrophic health emergency, while some of the provisions within the bill
generally align with provisions that are already in effect pursuant to an executive order/
CDC order, the bill expands protections for periods of time after a health emergency.
Landlords are also prohibited from increasing rent or charging specified fines or fees during
a catastrophic health emergency.
Additional Comments: On March 5, 2020, Governor Lawrence J. Hogan, Jr., declared a
state of emergency and catastrophic health emergency in an effort to control and prevent
the spread of COVID-19. The state of emergency was most recently renewed on
March 18, 2021. For additional information, see the Appendix – COVID-19.
Additional Information
Prior Introductions: None.
Designated Cross File: SB 910 (Senator Smith) - Judicial Proceedings.
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Information Source(s): Montgomery and Prince George’s counties; City of
Havre de Grace; Maryland Association of Counties; Judiciary (Administrative Office of
the Courts); Department of Housing and Community Development; Department of
Legislative Services
Fiscal Note History: First Reader - February 17, 2021
rh/jkb Third Reader - March 31, 2021
Revised - Amendment(s) - March 31, 2021
Revised - Updated Information - March 31, 2021
Analysis by: Donavan A. Ham Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 1312/ Page 5
 Appendix – COVID-19
In December 2019, a novel strain of coronavirus known as severe acute respiratory
syndrome coronavirus 2 emerged in Wuhan, China. Coronavirus disease (COVID-19) is
an infectious disease caused by this virus. As the number of cases spread globally by
March 2020, the World Health Organization declared COVID-19 a pandemic.
Testing, Cases, and Deaths in Maryland
Maryland’s first three confirmed cases of COVID-19 were recorded on March 6, 2020,
with the first two deaths occurring March 16, 2020. As of January 27, 2021, Maryland
reported a total of 346,559 confirmed cases, 31,468 individuals ever hospitalized, and
6,821 confirmed deaths. The jurisdictions with the highest number of cases have been
Prince George’s, Montgomery, and Baltimore counties and Baltimore City. Statewide,
8.4% of cases (28,954) and 45.9% of COVID-19 deaths (3,130) occurred in congregate
living settings (i.e., nursing homes, assisted living, and group homes). Updated data on
COVID-19 in Maryland is available on the Maryland Department of Health (MDH)
dashboard: https://coronavirus.maryland.gov.
Vaccines
In December 2020, the U.S. Food and Drug Administration approved both
Pfizer-BioNTech and Moderna’s COVID-19 vaccines for emergency use. Due to limited
quantities, distribution began with priority groups as determined by states. Maryland began
distribution in January 2021 with Phase 1A, which includes health care workers, residents
and staff of nursing homes, first responders, public safety, corrections staff, and front-line
Judiciary staff. Phase 1B began January 18, 2021, and includes residents of assisted living
facilities and other congregate settings, adults age 75 and older, staff of K-12 schools and
child care facilities, high-risk incarcerated individuals, and those involved in continuity of
government. As of January 27, 2020, the State is in Phase 1C, which includes adults
aged 65 and older, additional public safety and public health workers, and essential workers
in food/agriculture, manufacturing, public transit, and the postal service. Phase 2 will
include individuals aged 16 to 64 at increased risk of severe illness, incarcerated adults,
and remaining essential workers. Phase 3 will include the general public. As of
January 27, 2021, 852,625 doses of the vaccine have been distributed, and 419,579 doses
have been administered (363,282 first doses and 56,297 second doses). Updated data is
available on the MDH dashboard: coronavirus.maryland.gov/#Vaccine.
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Declaration of a State of Emergency and Initial Executive Orders
On March 5, 2020, Governor Lawrence J. Hogan, Jr. declared a state of emergency and the
existence of a catastrophic health emergency to deploy resources and implement the
emergency powers of the Governor to control and prevent the spread of COVID-19. The
declaration, which has been renewed several times (most recently January 21, 2021),
initiated a series of executive actions, including moving the Maryland Emergency
Management Agency to its highest activation level, activating the National Guard, and
closing all public schools. The Governor then ordered the closure of in-house dining at bars
and restaurants and banned mass gatherings of more than 50 people. This action was
followed by a more extensive stay-at-home order on March 30, 2020, requiring closure of
all nonessential businesses. This order remained in effect until May 15, 2020.
Emergency Legislation
Chapters 13 and 14 of 2020 (the COVID-19 Public Health Emergency Protection Act of
2020) authorized the Governor, for the duration of the emergency, to take actions relating
to health insurance, Medicaid, retailer profits, employer actions, and personnel at State
health care facilities as a result of the state of emergency and catastrophic health
emergency. The Acts also authorize the Secretary of Labor to determine certain individuals
eligible for unemployment insurance (UI) benefits due to COVID-19. The Acts terminate
April 30, 2021.
Subsequent Executive Orders and Advisories
Since March 2020, the Governor has issued numerous executive orders relating to
COVID-19, including (1) closing Maryland ports and harbors to passenger vessels;
(2) expanding child care access; (3) expanding the scope of practice for health care
practitioners, activating the Maryland Responds Medical Reserve Corps, controlling and
restricting elective medical procedures, closing adult day care centers, and providing
additional health care regulatory flexibility; (4) augmenting emergency medical services;
(5) prohibiting price gouging; (6) fast tracking lab testing processes; (7) authorizing
expanded telehealth services; (8) delegating authority to local health officials to control
and close unsafe facilities; (9) extending certain licenses, permits, and registrations;
(10) authorizing remote notarizations; (11) prohibiting evictions of tenants suffering
substantial loss of income due to COVID-19, additionally prohibiting certain
repossessions, restricting initiation of residential mortgage foreclosures, and prohibiting
commercial evictions; (12) regulating certain businesses and facilities and generally
requiring the use of face coverings; (13) establishing alternate health care sites and
authorizing regulation of patient care space in health care facilities; and (14) implementing
alterative correctional detention and supervision.
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Federal Legislation Regarding COVID-19
Five federal emergency bills have been enacted to address the COVID-19 pandemic:
 the Coronavirus Preparedness and Response Supplemental Appropriations
Act, which provided $8.3 billion in emergency funds for federal agencies (including
$950 million through the U.S. Centers for Disease Control and Prevention for state
and local response);
 the Families First Coronavirus Response Act, which addressed emergency family
and medical leave and paid sick leave, specified insurance coverage of COVID-19
testing, and provided additional funding for nutrition assistance programs and
unemployment benefits;
 the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which
included a Coronavirus Relief Fund for state and local governments; an Education
Stabilization Fund for states, school districts, and institutions of higher education; a
Disaster Relief Fund for state and local governments; additional funding for public
health agencies to prevent, prepare for, and respond to COVID-19; funding for
transit systems; an expansion and extension of eligibility for UI benefits, and
additional temporary unemployment compensation of $600 per week; $349 billion
for the establishment of the Paycheck Protection Program (PPP); a $500 billion
lending fund for businesses, cities, and states; and Economic Impact Payments to
American households of up to $1,200 per adult and $500 per child;
 the Paycheck Protection Program and Health Care Enhancement Act, which