The Texas Eviction Diversion Program was a pandemic-era initiative that paused eviction lawsuits over unpaid rent, paid landlords directly from federal Emergency Rental Assistance funds, and sealed the resulting court records. It closed to new applications in the summer of 2023 after serving more than 25,000 renter households and disbursing over $243 million in rental and utility assistance.1Texas Judicial Branch. Supreme Court Reflects on the Successful Completion of the Texas Eviction Diversion Program No state-funded program has replaced it, but if you went through the program, your sealed records remain confidential.2Texas Law Help. The Texas Eviction Diversion Program Has Ended
What the Program Did
The TEDP launched in October 2020 through a joint effort among the Supreme Court of Texas, the Office of Court Administration, the Office of the Governor, and the Texas Department of Housing and Community Affairs. TDHCA processed applications and paid landlords using federal Emergency Rental Assistance funds routed through the U.S. Treasury.3Texas Department of Housing and Community Affairs. Texas Rent Relief and the Texas Eviction Diversion Program
The mechanics were simple. When an eviction case was filed for nonpayment, and both the landlord and tenant agreed to participate, the Justice of the Peace paused the case for 60 days and made the court records confidential.4Texas State University. Order Abating Eviction TEDP If the landlord received payment and didn’t move to reinstate within that window, the court dismissed the case with prejudice.5Texas Justice Court Training Center. COVID Eviction Flowchart The tenant stayed housed, the landlord got paid, and the case never became a public eviction judgment.
Only nonpayment cases qualified. Evictions based on lease violations, property damage, or holdover tenancy were not eligible. Tenants had to have household income at or below 200 percent of the federal poverty level and show a COVID-19-related impact on their ability to pay rent. Participation was voluntary on both sides; if either party declined, the court proceeded with a standard eviction hearing.6Texas State University. Court Notification on Diversion Program – Script
Are TEDP Records Still Sealed?
Yes. The confidentiality that came with a TEDP abatement order survives the program’s closure. If your case was dismissed with prejudice through the program, the landlord cannot refile a lawsuit for the same unpaid rent, and the record itself should not be publicly accessible or reportable.2Texas Law Help. The Texas Eviction Diversion Program Has Ended
Tenant screening companies occasionally report records they shouldn’t. The Fair Credit Reporting Act requires them to maintain accurate information and to leave sealed records out of their reports. If a TEDP case shows up on a screening report despite being sealed, you have the right to dispute it directly with the screening company.
Why the Program Ended and What Replaced It
The TEDP ran entirely on federal Emergency Rental Assistance money. TDHCA stopped taking new applications in the summer of 2023.3Texas Department of Housing and Community Affairs. Texas Rent Relief and the Texas Eviction Diversion Program The underlying federal ERA2 performance period ended September 30, 2025, and grantees can no longer use those funds to assist renters.7U.S. Department of the Treasury. Emergency Rental Assistance Program
Nothing has taken the program’s place. Congress has not appropriated a replacement, and Texas has not created a state-funded successor. Whether a similar model returns will depend on future federal funding or a decision by the Texas Legislature.
What Texas Tenants Facing Eviction Should Do Now
Without the TEDP, nonpayment cases run through the standard forcible detainer process. Under Texas Property Code Section 24.005, a landlord must give at least three days’ written notice to vacate before filing an eviction suit, though a written lease can lengthen or shorten that period.8State of Texas. Texas Property Code 24-005 – Notice Required Before Filing Certain Eviction Suits If the eviction is based only on unpaid rent and the tenant has not been previously late, the notice must give the tenant a chance to pay before the suit is filed.
Move before the court date, not after. Once a judgment is entered, it becomes part of the public record and appears on tenant screening reports for years. Options that still exist:
- TDHCA’s Help for Texans directory lists reduced-rent housing and housing assistance resources.
- Dialing 2-1-1 connects you with local social services, including eviction-prevention legal help and emergency financial aid referrals.
- Local legal aid organizations represent low-income tenants in eviction cases at no cost in many Texas counties. Income eligibility varies by provider.
- A direct payment plan negotiated with the landlord, before the case is filed, often produces a better outcome than any courtroom argument.
Tax Notes for Landlords Who Received TEDP Payments
If you’re a landlord who received TEDP funds, the IRS treats emergency rental assistance paid on a tenant’s behalf as part of your gross income. It’s rent, and it’s taxable to you the same way any other rent payment is.9Internal Revenue Service. Emergency Rental Assistance Frequently Asked Questions Tenants generally don’t owe tax on the assistance because the money went to the landlord rather than into the tenant’s own income.
Agencies that disbursed $600 or more in rental payments are required to file Form 1099-MISC reporting those amounts.10Internal Revenue Service. About Form 1099-MISC, Miscellaneous Information The income is still reportable if a 1099 never arrived. Keep records of what you received in case questions come up on a later return or audit.