The California Legislature ended its two-year session having sent all four of CAA’s housing-supply bills to the governor’s desk, as well as a number of other positive proposals for the rental housing industry.

While increasing supply was a No. 1 housing issue in 2016, bills on issues such as water conservation, bedbugs and home-sharing platforms also advanced to the governor by the close of the session midnight Wednesday, Aug. 30.

Because the governor set housing production as one of his priorities this year, CAA’s housing-supply bills will likely elicit plenty of attention from him. Last month, Brown witnessed the collapse of his own plan to streamline the permitting process for developments with affordable housing. This unfortunate rejection by the Legislature of Brown’s streamlining bill makes it all the more vital for the governor to sign the housing-production bills that did reach his desk in order to provide sufficient housing for California’s growing workforce.

When workers have limited affordable options when it comes to housing, jobs move elsewhere, providing political momentum for rent control measures like those headed to the ballot in several Bay Area cities.

Below are short summaries of positive proposals for the rental housing industry that have reached the governor:

Housing production

AB 2299 (D-Bloom) — Second Units — would make it easier for property owners to construct second units on their property. Sponsored by CAA
CAA support letter to governor

AB 2501 (D-Bloom) — Density Bonuses — would make it faster, easier and more economical for developers to obtain density bonuses in exchange for including affordable housing in the developments. Co-sponsored by CAA

AB 2584 (D-Daly) — Housing Projects: Denial — authorizes organizations such as CAA to bring legal action against a local government that denies housing projects in violation of state law. Sponsored by CAA
CAA support letter to governor

AB 2180 (D-Ting) — Building Permit Process — proposes to expedite the building permit process by shortening the number of days that a local government must take to approve a new housing project. Sponsored by CAA

AB 1934 (D-Santiago) — Zoning Variance: Affordable Housing — would clarify that a local government may issue a density bonus (allowing for more units in a project) to commercial developers when they include affordable housing at or near the commercial development.
CAA support letter to governor

AB 2208 (D-Santiago) — Affordable Housing would require local governments to identify underutilized land and available air rights on top of existing government-owned building to construct affordable housing for the community.
CAA support letter to governor

SB 1413 (Leno) – School Districts: Employee Housing — would allow a school district to establish and implement programs to address the housing needs of teachers and school district employees who face challenges in securing affordable housing.
CAA support letter to governor

Water conservation

SB 7 (D-Wolk) – Water Meters and Submeters — would require that beginning Jan. 1, 2018, water submeters be installed in new apartment units. It specifically authorizes the imposition of an administrative fee by property owners or third-party billing companies when they read and bill tenants for their water use. It does not change or prohibit the use of ratio utility billing systems (RUBS).
Full story

Short-term vacation rentals

SB 1092 (D-Monning) – Advertising: Short Term Rentals — would require short term rental companies to provide a disclosure to individuals who list their property on the company’s website about the need to review their insurance coverage to ensure they are covered in the event of injury or damage during the short term rental period.


AB 551 (D-Nazarian) – Bedbugs — proposes to put in place disclosure requirements – as currently used in CAA forms — about the prevention and reporting of bedbugs in a unit.  Prohibits landlords from renting units in which they know bedbugs exist and prohibits landlords from retaliating against tenants who report the pests.


AB 2476 (D-Daly) – Parcel Taxes — would require the legislative body of a local agency to provide notice to property owners within one week of the local agency voting to place a proposed parcel tax on the ballot.
CAA support letter to governor