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Gov. Gavin Newsom on Thursday expanded price gouging protections for rental housing amid calls for authorities to prosecute landlords who hiked rent in the wake of devastating fires in Los Angeles County.
Under California law, price gouging protections are activated during a state of emergency and generally prohibit landlords, hotels, and motels from charging more than 10% more than their pre-crisis billing or advertised rates. There is.
The protections were set to expire in February, but Newsom on Thursday issued an executive order extending the protections in Los Angeles County until March 8.
Since the fire broke out last week, a wave of landlords have raised rents on properties far beyond what is allowed by regulations, including increases of more than 50%, according to online property listings. are.
The properties have been widely shared on social media, prompting tenant groups and some landlord groups to call on authorities to prosecute.
“The actions of a few bad actors taint an entire industry and exploit vulnerable families who are struggling to rebuild,” California Apartment Association CEO Tom Bannon said in a statement Wednesday. ” he said. “We support efforts to strengthen penalties for violators and encourage strict enforcement of the law.”
In addition to extending price gouging protections, President Newsom’s executive order seeks to accelerate post-fire housing construction and adds to measures already announced. The new rules include streamlining the construction of ADUs on fire-ravaged land and expediting the permitting process for temporary housing.
“As thousands of Los Angeles residents face sudden displacement, the state is committed to providing housing and assistance as quickly as possible,” Newsom said in a statement. “Now we are speeding up the construction of new temporary housing by removing obstacles and strengthening protections against exploitation.”
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