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new state-funded court-based rental assistance program has launched, providing relief to tenants facing eviction and landlords struggling with unpaid rent. The initiative replaces a previous program that helped over 10,500 households before running out of funds earlier this year. Illinois allocated $75 million in state funds to continue the program through fiscal year 2025.

    Eligible households can receive up to $15,000 for past-due rent, $500 for court costs, and two months' worth of future rent. To qualify, tenants must have an active eviction case due to nonpayment of rent and earn 80% or less of the area median income. The program benefits both landlords and tenants by keeping people housed and allowing property owners to recoup losses.

    The initiative is part of Illinois' broader eviction diversion strategy, which provides financial assistance and legal aid to help tenants and landlords reach settlements before going to court. Tenants are not required to demonstrate that their hardship is related to Covid-19, and citizenship status does not affect eligibility. Housing providers cannot evict tenants receiving the grant.

    The program offers up to two months of future rent payments to help tenants find new housing if their landlord chooses not to participate. Renters in Chicago and Cook County also retain the right to stay in their homes if they pay their debts in full before an eviction order is finalized. As of Monday, 260 applications had been received for the program, which aims to assist 8,900 households.