Gov. Gavin Newsom has declared a state of emergency in Calaveras County in response to the Gann Fire, triggering California’s anti-price-gouging law and limiting rent increases to no more than 10% above pre-emergency levels. The rental housing protections are currently scheduled to remain in effect through Sept. 5, 2026, unless extended.
The Gann Fire began Aug. 3 and, as of the governor’s proclamation issued Thursday, Aug. 6, had burned more than 10,000 acres and was 26% contained. The fire had destroyed several structures, caused at least one death and continued to threaten residences, businesses and critical infrastructure, including in the communities of Copperopolis and San Andreas. Evacuation orders and warnings were also in place.
The governor’s emergency proclamation triggers Penal Code Section 396, which generally prohibits increasing the price of rental housing by more than 10% above the amount charged or advertised before the emergency. The restrictions apply to both existing tenants and prospective renters. The California Attorney General’s Office has also taken the position that the law may apply outside the county specifically named in the emergency declaration if the disaster causes increased consumer demand for housing elsewhere.
Violations of the anti-price-gouging law can result in criminal penalties of up to one year in county jail, a fine of up to $10,000, or both, as well as civil enforcement actions and other penalties.
CAA urges rental housing providers in Calaveras County and surrounding areas that may experience increased housing demand because of the fire to review their rent policies and ensure compliance with the law.
As a reminder, CAA does not track emergency declarations issued by local officials. Rental property owners should contact applicable local authorities for information about local emergency declarations, which may independently trigger protections under Penal Code Section 396 or additional local price-gouging requirements.
