Housing.

Senator Wahab's comprehensive housing legislation aims to increase housing affordability and tenant protections through reforms to fees, permits, and tax credits. The bill prohibits landlords from charging unauthorized fees, including processing fees and pet fees, while capping late fees at 2% of monthly rent. Application screening fees would be limited to actual costs up to $30 per applicant.

The legislation strengthens tenant rights by requiring landlords to provide itemized receipts for screening fees and mandating refunds within seven days if applications are not considered. It also expands renter tax credits, temporarily increasing them from $120/$60 to $250/$500 between 2026-2031 for qualified renters, with refundability contingent on budget appropriations.

For housing development, the bill maintains and extends permit streamlining provisions indefinitely, limiting public hearings and establishing firm timelines for project approvals. It requires the California Residential Mitigation Program to prioritize funding for seismic retrofitting of affordable multifamily housing serving lower-income households. The California Coastal Commission must implement electronic application submissions by July 2027.

The measure introduces new protections against foreclosure by defining conditions under which mortgage debt is deemed abandoned and restricting servicers from foreclosing on such debt. For common interest developments, it caps violation penalties at $100 and requires opportunities to cure violations before imposing discipline.

To increase housing supply, the bill removes certain school district properties from exempt surplus land status, subjecting them to standard disposal requirements that promote affordable housing development. It also modifies housing element requirements, revising how regional housing needs are calculated and tightening timelines for methodology approval.