Legislative Battle Over Rent Control Returns to California
Sacramento, CA — The ongoing struggle over rent control in California has reignited as the Assembly’s housing committee reviewed Assembly Bill 1157, a significant proposal spearheaded by Democratic Assemblymember Ash Kalra of San Jose. This bill seeks to amend the current rent hike cap, reducing it from 10% to 5% or 2% plus inflation—whichever is lower—while extending the regulations to single-family homes, which are currently exempt. Additionally, it aims to make rent control provisions permanent, as the existing law is set to expire in 2030.
The mid-morning committee hearing drew a passionate crowd, with tenant advocates from the Alliance of Californians for Community Empowerment donning yellow, and landlord representatives from the California Apartment Association clad in red. The atmosphere underscored the bill’s contentious nature, a stark reflection of California’s ongoing housing crisis.
Proponents of AB 1157 argue that the current rent cap disproportionately burdens low-income renters, especially amidst rising inflation. Renters like San Diego County’s Tammy Alvarado have highlighted the bill’s importance, stating, “Most people’s American dream is to buy a house and ours is just to remain in our house.”
Despite passing the committee with a narrow 7 to 5 vote, the bill faces reservations even among its supporters, many of whom worry about its potential chilling effect on new housing construction—a critical concern in a state grappling with a severe housing shortage. Current law exempts homes built within the last 15 years, a point of contention amongst economists who warn that rent control may discourage the development and maintenance of housing stock.
As discussions continue, the divide between advocates for increased housing supply and those supporting renter protections is expected to shape California’s legislative landscape throughout the session. Notably, AB 1157 did not make it onto Assembly Speaker Robert Rivas’ priority list, indicating the complexities ahead in balancing housing needs across the state.
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