Fair Chance in Housing Act, S250 & A1919
- New Jersey
- Chaptered: June 18, 2021
- In Effect: January 1, 2022
TL;DR:
The Fair Chance in Housing Act (FCHA) bars housing providers from inquiring about criminal history on housing applications. Housing providers that wish to conduct a criminal background check must provide a conditional offer to the applicant first, may only consider certain convictions, and perform an individualized assessment.
What it is:
The Fair Chance in Housing Act (FCHA) creates new restrictions on criminal background checks and the rental housing leasing process in New Jersey. First, landlords, rental owners, and managers that choose to use criminal screening must follow this leasing process:
1. The owner advertises an available unit and a potential renter completes the application.
Before making a conditional offer, the housing provider is prohibited from inquiring into the applicant’s criminal history. This includes inquiries on the initial application or a verbal inquiry to the applicant before a conditional offer has been made. Additionally, it’s prohibited from advertising that the owner would deny or refuse to consider rental applicants with a criminal history, with exceptions. The two exceptions are a) a conviction for the manufacture or production of methamphetamine on the premises of federally assisted housing, or b) a conviction that requires the applicant to register as a sex offender for life.
2. The landlord, manager, or leasing agent extends a conditional offer and provides the applicant with a Notice of Disclosure.
The Notice of Disclosure states that criminal history will be considered in the leasing process and informs the tenant of their right to provide additional evidence of rehabilitation or of inaccuracies on their record.
3. The landlord, manager, or leasing agent initiates the applicant’s criminal background check (after a conditional offer) and reviews the information on the report. If there is a permissible conviction present on the applicant’s report, the housing provider must conduct an individualized assessment.
Under New Jersey's Fair Chance in Housing Act, housing providers may only consider the following:
- Convictions for murder, aggravated assualt, kidnapping, arson, human trafficking, sexual assault, or endangering the welfare of a child.
- Convictions that require a lifetime on the state sex offender registry.
- Convictions for a 1st-degree indictable offense, or release from prison for that offense, within the past 6 years.
- Convictions for a 2nd or 3rd-degree indictable offense, or release from prison for that offense, within the past 4 years.
- Convictions for a 4th-degree indictable offense, or release from prison for that offense, within the past 1 year.
Additionally, housing providers are prohibited from considering any of the following records:
- Arrests or charges that did not result in a criminal conviction.
- Expunged convictions.
- Convictions erased through executive pardon.
- Vacated and otherwise legally nullified convictions.
- Juvenile adjudications of delinquency.
- Sealed records.
After reviewing the applicant’s report to see the permissible convictions under the FCHA, landlords and managers must conduct an individualized assessment. This individualized assessment must consider:
- The nature and severity of the offense(s)
- The age at the time of the offense(s)
- How recently the offense(s) occurred
- Any information the applicant provided in their favor since the offense(s)
- If the offense(s) happened again in the future, whether that would impact the safety of other tenants or the property
- Whether the offense(s) happened on, or was connected to, property that the applicant had rented or leased previously
4. After reviewing the report, the housing provider can initiate a lease with the applicant or withdraw the conditional offer.
Should they choose to withdraw the offer, the property owner or manager must provide the applicant with a Notice of Withdrawal. This details the specific reason(s) for the withdrawal and notifies the applicant of their right to appeal. The applicant will then have 30 days to request the report the housing provider relied upon. The landlord will have 10 days to fulfill that request.
To appeal the withdrawal, applicants must submit evidence of inaccuracies in their criminal record or evidence of rehabilitation. If evidence is presented, the housing provider must consider this and provide a new determination within 30 days.
What it means:
Rental properties that choose to screen their applicants for their criminal history must:
- Stop asking an applicant about their criminal history before extending a conditional offer.
- Stop advertising their policies to deny applicants with criminal records, with some exceptions.
- Provide a Notice of Disclosure to applicants when extending a conditional offer.
- Only consider certain convictions under the FCHA when reviewing an applicant’s criminal record information.
- Conduct an individualized assessment of each applicant.
- Provide a Notice of Withdrawal to applicants who have had their conditional offer withdrawn.
- Provide all the information used to form the assessment to the applicant within 10 days of an applicant’s request.
- Reconsider new evidence of rehabilitation or of inaccuracies on the criminal record and provide a new determination within 30 days of an applicant’s appeal.
Whom it affects:
Renters and Housing Providers in the State of New Jersey
The Fair Chance in Housing Act affects all housing providers and applicants within the State of New Jersey.
New Jersey’s Fair Chance in Housing Act affects housing providers and applicants within the state of New Jersey. FCHA defines “housing provider” as “a landlord, an owner, lessor, sublessor, assignee, or their agent, or any other person receiving or entitled to receive rents or benefits for the use or occupancy of any rental dwelling unit.” An “applicant” is defined as “any person considered for, who requests to be considered for, or who requests to be considered for tenancy within a rental dwelling unit.
Resources:
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