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Committee advances SB 36 to strengthen price-gouging rules for housing after California wildfires
Summary
SB 36, aimed at expanding civil penalties and reporting duties for online rental platforms and enabling prosecutors to obtain warrants for housing-related price gouging, was advanced with committee amendments; supporters cited wildfire-driven exploitation of displaced residents.
Senate Bill 36, presented by Senator Tom Umberg, would strengthen California’s price-gouging laws by expanding enforcement and reporting duties, specifically addressing exploitative increases in housing and lodging prices after disaster events.
Savina Takar of the Consumer Attorneys of California told the committee that vulnerable residents displaced by wildfires are being charged “thousands of dollars” more for temporary housing, and that the bill expands civil penalties, allows victims to sue, brings online listing platforms into reporting requirements, and authorizes public prosecutors to obtain warrants related to housing and rental price-gouging violations. “SB 36 is a critical response,” Takah said, urging an Aye vote.
Committee members discussed whether the reporting duties and enforcement mechanisms will be sufficient to get relief to victims who often must accept overpriced offers while displaced. One member remarked that victims are sometimes forced to take overpriced housing because they need shelter immediately, and that further measures may be necessary to increase reporting and enforcement.
The committee accepted the author’s amendments and advanced SB 36; the motion was recorded and the matter was referred to the next committee specified in the roll call. The record shows supporters from consumer groups and at least one business group notifying they were late in filing an opposition letter.
The bill’s sponsors said the law aims to close loopholes used during recent fires and to provide more tools to prosecutors and individuals seeking redress following disasters.
