AUGUSTA – A Bangor landlord who charged a higher rate to a tenant on general assistance unlawfully discriminated, an investigator with the Maine Human Rights Commission concluded.
The commission is expected to rule on the complaint at its Sept. 18 meeting.
According to investigator Barbara Lelli’s report, Frederick Emerson paid his rent on an apartment on Fourth Street in Bangor using a voucher provided by the city’s general assistance program.
John and Laurie Karnes, doing business as R&K Property Management, own the apartment, and Nicole Spinney, the property manager, told the investigator they gave discounts to tenants who paid by cash and charge full rent to tenants who use the vouchers.
Between July 2005 and January of this year, Emerson paid $432 per month in rent. Tenants who do not receive general assistance vouchers are charged $365 per month for rent, the investigator found.
The landlords told Lelli they rented the apartment by the week, but since Emerson used a voucher based on a monthly payment, they had to charge him at a different rate. They explained that since the vouchers often expired at the beginning of a week, the landlords lost rent for a few days.
“Also, there are some months when there are five weeks in a month and we again lose money from people who use vouchers,” they wrote to Lelli. “The extra charge could help cover this as well as the labor time spent processing the paperwork required. It also takes a lot more time for us to get our rent money when using vouchers.”
Lelli concluded that Emerson’s weekly rent, as set by his landlords, was $85 per week. At this rate, his monthly rent should have been $368.33, which she computed by multiplying $85 by 52 weeks, and dividing it by 12 months.
The investigator concluded the landlords violated the Maine Human Rights Act by using a different rental rate for a tenant on general assistance. The landlords, in their response to Lelli, indicated they stopped the practice when they became aware that it discriminated.
If the commission upholds the investigator’s finding, a conciliation hearing follows. If that fails to find resolution, the complaint can proceed to Superior Court, where a final settlement can include monetary damages.
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