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News & Press: Sacramento Report

Rent Control Measure Qualifies for Ballot

Tuesday, July 17, 2018  
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A rent control initiative has qualified for the November ballot that would repeal the Costa-Hawkins Rental Housing Act enacted in 1995. That act prohibited rent control on certain buildings first occupied after February 1, 1995 and provided for market increases upon a vacancy of rent controlled units (often referred to as vacancy decontrol). It also prohibited rent control on single family homes. The act was phased in for local governments that already had rent control ordinances.

If the November initiative, entitled the “Affordable Housing Act,” is passed by the voters, local governments would be able to restrict rents for homes and apartments without any state law restrictions. The initiative comes after the Legislature failed to pass a repeal of Costa-Hawkins through legislation in 2017. Ballotpedia.org reported that in 2016 and 2017 there were 12 local ballot measures to expand or increase rent control, with half failing and half passing.

Supporters of the initiative have raised over $2 million, with the main support coming from the AIDS Healthcare Foundation. The California Apartment Association has led the opposition to the initiative, organizing Californians for Responsible Housing to oppose the initiative. Opponents have raised more than $6 million. This initiative promises to be extraordinarily expensive and candidates throughout the state will be asked to endorse the initiative.

California Land Title Association


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