Before adjourning for the year early last Saturday morning, California lawmakers approved a number of bills with serious implications for the rental housing industry. Gov. Gavin Newsom In the paragraphs below, we summarize the most significant of those proposals. Gov. Gavin Newsom now has until Oct. 13 to either sign or veto each of the following:
This year’s statewide rent-cap bill, including a series of amendments secured by CAA, has now cleared both houses of the California Legislature and will head to the desk of Gov. Gavin Newsom. The Assembly, which needed to review amendments to the bill, approved the legislation this afternoon on a 48-26 vote with five abstentions. On Tuesday, the bill passed off the Senate floor on a 25-10 vote with five abstentions. AB 1482 by Assemblyman David Chiu, D-San Francisco, will cap annual rent increases at 5% plus the rate of inflation — which comes to about 8% at present — for… Read More
A bill that would cap annual rent increases for much of California’s multifamily housing stock now includes significant amendments secured by the California Apartment Association. The amendments to AB 1482, among other things, would prevent local governments from making the bill’s rent cap any more restrictive. Moreover, the revisions would improve the legislation’s vacancy decontrol and “just cause” for eviction provisions, while shielding new buildings from the cap for five additional years. The changes follow weeks of around-the-clock negotiations with the office of Gov. Gavin Newsom and Senate Pro Tem Toni Atkins and were announced last week after the bill advanced from the Senate Appropriations Committee. The bill, AB 1482 by Assemblyman David Chiu, D-San Francisco,… Read More
The California Apartment Association has stopped a bill that would have imposed “just cause” eviction controls across California. On Thursday, AB 1481 died for the year, lacking the votes needed to win full Assembly approval by this week’s deadline. CAA led a strong grassroots campaign to defeat the bill.
At its Legislative Conference, the California Apartment Association spent Wednesday morning providing a crash course on the most significant legislation facing the rental housing industry in 2019. By the afternoon, more than 400 rental housing professionals, thoroughly prepped by CAA’s public affairs team, were ready for their walk to the Capitol, where they went from office to office, advocating for their industry in one of the busiest years in recent memory for landlord-tenant legislation. The program started at 10 a.m. in a sprawling ballroom in the downtown Sacramento Sheraton Grand. Over the next two hours, CAA’s government affairs leaders… Read More
The California Apartment Association has expanded its public affairs and compliance staff to better protect the rental housing industry from legislative threats and to help members navigate a growing number of complicated laws and regulations. CAA’s new hires include Stephanie Shirkey, senior policy and compliance counsel; Ninder Grewal, policy and compliance counsel; and Victor Cao, vice president of public affairs in Orange County. Stephanie Shirkey After CAA led the defeat of Proposition 10, the statewide rent control initiative on the November ballot, lawmakers returned with a deluge of negative proposals, including a statewide rent cap on all rental units, statewide… Read More
Despite opposition from CAA, a pair of “just cause” for eviction bills advanced this week from the Assembly Judiciary Committee. The bills, AB 1481 by Assemblyman Rob Bonta, D-Alameda, and AB 1697 by Assemblyman Tim Grayson, D-Concord, have now gone to the Assembly floor. Both Grayson’s and Bonta’s proposals would limit evictions to certain causes, such as failure to pay rent, a substantial breach of the lease, or use of the property for illegal activity. Proving criminal activity, however, often requires testimony from third‐party witnesses who may be reluctant to come forward.
Debra Carlton, CAA’s senior vice president of public affairs, testifies against AB 1482. Photos by Bob Knapik A bill that would apply rent control and price-gouging protections statewide advanced today from its first committee hearing, while a second rent control proposal stalled amid strong opposition from CAA. Assemlyman David Chiu The Assembly Committee on Housing and Community Development approved AB 1482 by Assemblyman David Chiu, D-San Francisco, the committee chairman, on a 6 to 1 vote with one abstention.
A pair of bills that would greatly expand rent control in California will get their first test in the state Legislature next week. On Thursday, April 25, the Assembly Committee on Housing and Community Development will hold special hearings on AB 1482, which would apply rent control to every unit in California, and AB 36, which would weaken California’s Costa-Hawkins Act, allowing cities and counties to expand local rent control laws to single-family homes and newer construction.
When Proposition 10 went down in defeat, the rental housing industry breathed a collective sigh of relief. Now, nearly four months after voters overwhelmingly rejected the statewide rent control initiative, a collective gasp may be in order. The California Legislature — where Democrats now hold a super majority in both houses — has introduced hundreds of rental housing-related bills for 2019, the largest such batch in decades. Unfortunately, an alarming number of those proposals would have negative ramifications on rental housing providers. In the paragraphs that follow, we review some of the worst offenders: