Many small businesswomen are being excluded from the promised post-coronavirus economic boom because the leadership of the Centers for Disease Control and Prevention is going far beyond its mandate by meddling in the economy. The CDC's leadership is extending an eviction moratorium that leaves property owners virtually helpless with tenants who haven't paid their rent. This unnecessary moratorium is placing an unbearable squeeze on mom-and-pop landlords, many of whom are female.
Darlene, who lives in California, is owed $18,000 by a tenant she can't evict. She argues that the moratorium is "hurting me. I'm trying to pay the bills, the water — whatever the city wants, but I can't go to work to make up the difference. I blame the government for putting me in this place."
Billions in federal and state rental assistance programs and the lifting of lockdowns haven't been enough to convince a small cadre of unelected bureaucrats to unchain the economy. Struggling landlords are appealing this never-ending moratorium to the Supreme Court because the CDC is exceeding its powers and dabbling in economic planning. Hopefully, the justices will side with the rule of law and end the moratorium once and for all.
When Congress passed the original moratorium last March as part of the CARES Act, little was known about the coronavirus. In an effort to prevent a spike in homelessness. Congress prudently allowed the moratorium to expire in July of 2020.
But acting completely unilaterally, the CDC decided to reinstate it. Since last September, the agency has extended the order four times, counting the latest instance, and there is no reason to think it won't do so again.
Almost a year later, over 150 million Americans are fully vaccinated, and the economy is roaring. The future looks bright, but the CDC and a small minority of Congress still aren't satisfied.
Even the lawmakers pressuring Biden to extend the moratorium tacitly acknowledge their demands aren't about public health. In a letter to the Biden administration, the members argue, "As workers and families across the country are just beginning to recoup from the trauma and economic hardship caused by the COVID-19 pandemic, we must take all necessary action to protect them from becoming unhoused during this vulnerable time."
Instead of openly pushing for change through the legislative process, these Congressmen are trying to sneak major housing policy changes past the American people through the unelected and unaccountable CDC.
The moratorium has become an economic millstone. Many landlords cannot collect even half what is owed them but still must pay taxes while maintaining their properties. Big rental companies with hundreds of units will likely be fine, but small landlords who rely on a few tenants are in trouble.
Women landlords who operate small operations are likely to go under if something doesn't change. Often these women have had property in the family for generations, like Greta Arceneaux, who transformed an old family home into a moneymaking rental property. Now, Arceneaux cannot remove tenants who are months behind on rent, and she is struggling to meet her tax obligations. Similarly, Korri Olsen and her husband have been unable to move into the house they bought on their wedding day because they can't evict squatters who have been illegally living in the family's new house for years.
If this trend continues, cities and states will receive less tax revenue from landlords who can't afford to pay taxes. When these landlords go belly up, an already prevalent housing shortage will worsen in many big cities. This vicious cycle is the inevitable consequence of public health officials trying to set housing policy.
Federal courts have rejected the moratorium on multiple occasions. A federal judge ruled, "It is the role of the political branches, and not the courts, to assess the merits of policy measures designed to combat the spread of disease, even during a global pandemic."
CDC lawyers appealed this ruling, and the judge granted a stay, meaning the moratorium remains in effect while the case works its way through the appeals process. In the meantime, small property owners are paying the price. Now that the administration is extending the moratorium yet again, the Supreme Court must step in and end this abuse.
An eviction moratorium may have been necessary at the beginning of the pandemic, but that moment has passed. Instead of sticking to public health, CDC officials are making politically motivated decisions that hurt female entrepreneurs. It is time for the Supreme Court to set a much-needed precedent and halt government agencies from exceeding their authority during a national health crisis.
Teri Christoph is co-founder of Smart Girl Politics, host of the Smart Girl Politics podcast and a longtime fundraising consultant.