SB 1240 would prohibit and remove language in property deeds which restricts ownership based on race, ethnicity, or national origin. Private property owners, land owners, and developers all utilized racially restrictive covenants throughout the early 20th century.
This language was first introduced in deeds and related housing documents in order to segregate neighborhoods and exacerbate housing disparities based on race.
The Fair Housing Act was passed by Congress in 1968, officially outlawing discrimination on the basis of race and ethnicity in the selling or renting of housing. SB 1240 affirms the federal Fair Housing Act and ensures no further deeds and housing documents would have written language in violation of the Act.
The effects of such racially restrictive covenants and the associated practice of redlining are still felt today. Many neighborhoods remain segregated and predominantly Black and brown neighborhoods, the targets of these restrictive covenants, often see lower property values and income levels as a result of the practice.