SACRAMENTO (CBS / AP) — A Bay Area lawmaker’s bill to cap rent increases for most tenants in the country’s most populous state has cleared a key legislative hurdle.
The California Senate voted 25-10 on Tuesday to approve Assembly Bill 1482 from Assemblymember David Chiu (D-San Francisco), a bill that would cap annual rent increases at 5% plus inflation. The cap would not apply to housing built within the last 15 years, single-family homes not owned by corporations or trusts, and duplexes where the owner lives in one of the units. The cap expires in 2030.
Supporters say the bill will help tenants stay in their homes while the state rushes to build new housing to meet the state’s outsized demand. Critics say it will discourage construction of new housing and hurt smaller landlords.
The bill needs final approval in the Assembly.
AB1482 is one of several housing-related measures considered by the legislature in the final days of its session. Last week, lawmakers in both chambers approved Senate Bill 330, which aims to increase housing production by reducing roadblocks for builders. The measure has headed to Gov. Gavin Newsom’s desk for his consideration.
Lawmakers are also considering Assembly Bill 1487, also authored by Chiu, which would create a regional agency in the Bay Area to address the housing crisis.
© Copyright 2019 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.