A bill that would have mandated landlords to comprehensively disclose all fees and charges in rental property advertisements will not proceed further in 2023.
Authored by Sen. Caroline Menjivar, D-Van Nuys, the proposed legislation, known as SB 611, advanced to the Assembly Judiciary Committee but has now been reclassified as a two-year bill. This means its journey will pause for the remainder of this year, with a return expected in 2024.
The bill aligned with President Biden’s nationwide initiative to curb what he refers to as “junk fees” and aims to enhance transparency in California’s rental market. While there is broad support for this goal, the California Apartment Association expressed concerns about the scope of the bill, particularly the requirement to list fees that could change based on the tenant’s usage or preferences, like utility costs or optional service fees.
The CAA also opposed the inclusion of fees that are only relevant if a tenant violates their lease or fails to pay rent on time, arguing these are not considered “junk fees.” CAA suggested that advertisements should only be required to include fixed costs, like rent prices, security deposits and screening fees, and other mandatory fees, while excluding optional fees or charges that only apply in specific scenarios.