Legislative Update - October 5, 2023
Governor Signs Just Cause Termination Bill
Governor Newsom signed SB 567 (Durazo) on September 30, which will change some of the rules when terminating tenancy for owner/family-member move-in and substantial remodel/demolition.
As introduced, SB 567 sought to significantly overhaul the Tenant Protection Act of 2019 (AB 1482) by dramatically lowering the rent cap and applying the limit to previously exempt single-family homes. It also sought (among other things) to impose AB 1482’s “just cause” protections on Day 1 of the tenancy. SCRHA strongly opposed the bill and these provisions which were amended out of the bill as a result. The bill was amended several more times throughout session due to continued opposition. The new law will do the following:
- For termination of tenancy based on an intent to occupy the property by owner or family member, would require that the owner or family member occupy the residential real property for a minimum of 12 continuous months as the person’s primary residence. The noticing for this will require the name and relationship of the person moving in, who must move in within 90 days of terminating the tenancy. For the purposes of this cause, owners are individuals (with family members), family trusts, and some LLCs.
- The bill would require an owner who displaces a tenant to substantially remodel or demolish a unit to provide the tenant with written notice providing the tenant with specified information, including a description of the substantial remodel to be completed and the expected duration of the repairs, or the expected date by which the property will be demolished, and a copy of permits required to undertake the substantial remodel or demolition. Notice will also require letting the tenant know if they want to move back into the unit after remodel that the tenant must tell the owner and provide contact info.
- This bill would also prescribe new enforcement mechanisms, including making an owner who attempts to recover possession of a rental unit in violation of the law liable to the tenant in a civil action for up to 3 times the actual damages, in addition to punitive damages.
The law goes into effect April 1, 2024. SCRHA is reviewing the law so forms can be properly updated, and guidance can be provided.
SCRHA remained opposed to SB 567 until the end, asking the Governor to veto the bill. Thank you to all members who contacted the Governor asking for a veto. We are still awaiting the fate of AB 12 – Security Deposits and SB 267 – Credit Screening/Government Subsidies.
SCRHA Encourages Support of “Leave No Veteran Behind”“Leave No Veteran Behind” seeks to achieve functional zero for veteran homelessness in the county through partnerships with regional, state, and federal partners. The program includes incentives for rental housing providers, such as a leasing bonus and dedicated landlord liaisons. Members with vacant units or units on notice to vacate are encouraged to sign up for the 211 Interest List. If you have rented to a homeless veteran and would like to share your positive experience with the County and local media, please contact mkirkland@socalrha.org.
The County of San Diego is spearheading a regional effort to house homeless veterans.