Relating to applications for a residential tenancy; prescribing an effective date.
Summary
House Bill 3938 amends Oregon’s residential landlord screening law to limit what landlords may consider when evaluating rental applicants. The bill adds a new prohibition on using an applicant’s credit score if the applicant provides proof that the applicant or a household member is eligible for medical assistance under the Oregon Health Plan (OHP). It also carries forward and restates existing limits on considering certain eviction histories, arrests, criminal convictions, medical marijuana status, and unpaid rent from the COVID-era period.
More specifically, the bill bars landlords from considering prior eviction actions in certain circumstances, including older judgments and judgments tied to claims arising between April 1, 2020, and March 1, 2022. It also restricts the use of arrest and criminal history information to specified categories of conduct that are currently illegal and relevant to tenant safety or property protection, while excluding marijuana-only possession or use convictions. The measure takes effect 91 days after adjournment sine die.
Impact
HB3938 would amend ORS 90.303, the statute governing what residential landlords may consider when screening applicants. Its principal legal change is to prohibit credit-score screening for applicants who can show OHP eligibility, which would create a new tenant-protection category tied to public health coverage status. The bill also preserves and clarifies existing restrictions on screening for certain eviction records, pandemic-era unpaid rent, medical marijuana status, and limited criminal history, thereby narrowing landlord discretion in rental application review.
Sentiment
The available record shows no committee transcript or vote history, so there is no documented debate or recorded opposition in the provided materials. Based on the bill text alone, the measure appears to be framed as a tenant-protection and housing-access bill, with a focus on reducing barriers for low-income or medically assisted households. The overall tone of the legislation is consumer- and renter-friendly, emphasizing limits on the use of potentially exclusionary screening criteria.
Contention
The most likely point of contention is the new restriction on using credit scores for applicants tied to OHP eligibility, since landlords may view credit screening as an important risk-management tool. Another possible area of dispute is the continued limitation on considering pandemic-era unpaid rent and eviction-related judgments, which could be seen by landlords as constraining their ability to assess rental risk. No specific supporters or opponents are identified in the provided context, but the bill’s policy balance suggests tension between tenant access to housing and landlord screening discretion.