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BACKGROUND On March 17, 2020, the City Manager, acting as Director of Emergency Services, declared the existence of a local emergency in the City due to the threat of COVID- 19. On March 23, 2020, the City Council adopted a resolution ratifying the proclamation of the existence of a local emergency in the City (Resolution No. 20-1139). On March 16, 2020, California Governor Gavin Newsom issued Executive Order N-28- 20 permitting local governments to exercise their police power to impose substantive limitations on residential and commercial evictions under specified circumstances related to the COVID-19 pandemic or government response to COVID-19. On March 27, 2020, California Governor Gavin Newson issued Executive Order N-37- 20: (1) extending the time for a residential tenant to respond to an eviction lawsuit by 60 days (from the normal 5 court days to respond) if the tenant was current on rent and demonstrates loss of income due to COVID-19; and (2) suspending execution of writs of possession by the sheriff by 60 days if the tenant satisfies the same criteria. On March 24, 2020 and on March 31, 2020, the Alameda County Board of Supervisors adopted and amended an urgency ordinance establishing a countywide temporary moratorium on residential evictions resulting from loss of income, increased medical expenses or childcare needs due to COVID-19. On April 6, 2020, the California Judicial Council approved a temporary emergency order which essentially stops unlawful detainer actions in the state until 90 days after the Governor declares that the state of emergency related to COVID-19 is over. DISCUSSION As a result of the public health emergency and the precautions recommended by the health authorities to stop all non-essential activities, many tenants in the City have experienced or expect to experience a sudden and unexpected income loss. The California Employment Development Department reports that for the two-week period ending March 31, 2020, there were 1,065,060 claims for unemployment benefits. Further economic impacts are anticipated, leaving tenants vulnerable to eviction. For residential tenants, displacement through eviction creates undue hardship through additional relocation costs, stress and anxiety, the threat of homelessness due to the lack of alternative housing, and lack of moving services and supplies as stores and businesses close. For commercial tenants, businesses are expected to see a sharp drop in revenue, making it difficult to pay workers and suppliers. The loss of business income as a result of COVID-19 may inhibit City businesses from fulfilling their financial obligations, including payment of rent, payment of wages to workers, and making public utility payments such as water and sewage charges. Page 2 of 3