California Bill Update - August 2023

Legislative Updates,

The California Legislature returned from their summer recess on August 14. Appropriations Committee hearings and Floor Session have resumed so as to dispense with bills remaining from the 2023 legislative year. The Legislature has until September 14 to complete their work for the year. 
 
Here’s a look at some of the bills that we are still working on. 

AB 12 (Haney) - Security Deposits: would cap security deposits at one month’s rent, regardless of whether the unit is furnished. A majority of the Legislature has expressed its support for AB 12, arguing that it will help tenants access housing that they otherwise cannot afford due to the current “high” security deposits allowed under existing law. SCRHA continues to oppose this bill which is on the Senate Floor and can be taken up for a vote any day now. If you haven't already contacted your Senator, please use the SCRHA Action Alert to request a NO vote. 
 
SB 567 (Durazo) - Just cause eviction/ penalties: SB 567 would amend the state’s Tenant Protection Act of 2019 (AB 1482) by changing the just-cause eviction rules and imposing penalties against rental property owners who fail to follow the law. Initially, the bill would have capped rents at the consumer price index or 5%, whichever is lower. That language was removed from the bill due to opposition from SCRHA and other rental housing associations. And thanks to members who contacted their elected officials, other parts of the bill were amended. The bill is currently in the Assembly Appropriations Committee.  
 
Bills not moving forward this year. A reminder of the bills we helped stop this year include;
 
AB 919 (Kalra) - right to purchase: would require that before selling any residential rental property on the open market, the owner must first notify each tenant and each “qualified organization” registered with the Department of Housing and Community Development. The owner would then have to give them the first right to purchase the rental building, a process that would take over eight months, with no guarantees that the tenant or qualified organization can afford to buy the housing.
 
AB 1086 (McCarty) - Secretly recording rental property owners: would allow an investigator for a qualified fair housing enforcement organization, as defined, to secretly record a conservation with a rental property owner or their agent without their consent.

SB 395 (Wahab) - Statewide database; would require the state to create a searchable statewide database. Landlords would need to file a copy of any notice of termination or notice of rent increase within 10- days of serving the notice on the tenant.
 
SB 460 (Wahab) - Criminal background checks: would prohibit rental housing providers and their agents from inquiring about an applicant’s criminal history.
 
SB 466 (Wahab) – Rent Control: As introduced, SB 466 would have allowed local governments to impose their own form of strict rent control on residential rental property.