Is your city complying with California’s substandard housing investigation rules?
Matthew R. Silver is the founding partner of Civica Law Group APC, and can be reached at msilver@civicalaw.com. Lauren E. Brown is an associate attorney at Civica Law Group APC, and can be reached at lbrown@civicalaw.com.
While increasing affordable housing is typically at the forefront of most policymakers’ minds, remedying substandard conditions in existing homes is often overlooked. With approximately two million Californians living in substandard housing — and likely many more in blighted non-residential buildings — fixing substandard living conditions is a housing and safety issue that city leaders cannot afford to overlook.
In recent years, California has made huge leaps in tackling its substandard housing crisis by passing state initiatives that require local enforcement. The state recently enacted three laws that require local agencies to inspect multifamily housing and expand the definition of “housing.” These new laws are game changers but local leaders need to act quickly.
How did we get here?
Before these three laws, California’s public agencies had wide discretion when inspecting potentially blighted and substandard properties. Even if a tenant complained about substandard conditions, it was unclear what a local agency’s response and enforcement obligations were. This lack of statewide guidance led to undefined standards or procedures for determining when to respond to a complaint, how to inspect, and what violations demanded further enforcement.
As the substandard housing crisis became more apparent, legislators identified possible solutions, such as requiring local agencies to develop inspection and notification protocols for substandard housing and lead-based violation complaints. Lawmakers later expanded the mandate to include units in multifamily buildings that may be impacted by substandard conditions identified in another unit.
Simultaneously, discussions of what qualifies as “housing” came back in full force. In 2024, Gov. Gavin Newsom signed a law that expanded the meaning of substandard “housing” in the California Health and Safety Code to include any substandard buildings in any zone. This reflects the reality that people sometimes live in non-residential buildings and the dangers caused by substandard properties are not constrained by zoning designations.
Recent law targets inspections and reporting
Many cities are likely already familiar with AB 838 (Friedman, 2021), which became effective on July 1, 2022. Public agencies must now promptly perform housing inspections after receiving a complaint from a tenant about lead-related violations or other substandard conditions set forth in the California Health and Safety Code. This can include things like a lack of heat or running water, a rodent infestation, or unpermitted electrical, mechanical, or plumbing.
If an inspector confirms a substandard condition exists, public agencies must send a report documenting the violations and required corrections to the owner and complaining party. If other units could be affected by the observed violations, public agencies must provide free copies of the report to the tenants in these affected units. They can charge a fee to cover the cost of investigations, reports, and enforcement.
While AB 838 has other requirements, the thrust of its provisions relates to mandatory complaint-based inspections of the reported unit, prompt initial and follow-up investigations, and notice to other potentially affected tenants.
Expanded inspection requirements
Effective Jan. 1, 2025, AB 548 (Boerner, 2023) added a new section to the California Health and Safety Code. Under this new law, public agencies must examine other potentially affected units in a multifamily building if an inspector investigates one unit, identifies substandard conditions, and determines that other units could be affected by those conditions. Officials must examine all units if they find severe violations.
For a public agency to comply with AB 548, its policies and procedures must meet the following requirements:
- Include criteria needed to trigger additional inspections, accounting for the building’s type, age, size, and history of violations.
- Require inspectors to reasonably attempt to investigate other potentially affected units at the property, including at least units adjacent to, above, and below the affected unit.
- Allow for the inspection of all units if severe, building-wide violations are identified.
Public agencies then need to execute these policies. Since these rules can be burdensome, costly, and time-consuming, local agencies had until Jan. 1, 2025, to comply. Although the grace period has expired, many public agencies are still in the process of complying.
Jurisdictions should review their policies and procedures to ensure compliance. This may include training staff on implementation and evaluating fees to cover the required inspections and reports. To relieve some of this pressure, public agencies may consider outsourcing inspections, streamlining and digitizing reports, or developing a platform that can intake written complaints. Local agencies may also seek reimbursement from violating property owners and landlords for related costs.
The time to catch up to compliance is now, as California does not appear to be slowing down when it comes to dealing with substandard housing. In fact, 2025 is the brink of a new chapter.
A shift in the meaning of “housing”
Effective Jan. 1, 2025, SB 1465 (Archuleta, 2024) not only provides public agencies with broader enforcement tools for dealing with substandard housing: It redefines housing as it relates to enforcement of substandard housing to include any building regardless of zoning or designation for habitation.
The reality is people do not just live in areas zoned for residential. People live in all sorts of buildings — some safer than others. Public agencies will now have a clear framework for how to deal with and ensure buildings not otherwise zoned or permitted for occupancy but nonetheless used for housing or are otherwise substandard — occupied or not — meet building standards.
This change serves to protect occupants regardless of the building’s zoning and aims to prevent another tragedy like the Ghost Ship warehouse fire in Oakland. The 2016 fire broke out at the property that was illegally converted from a warehouse to an artist collective and living space. The blaze killed at least 36 people and was one of the deadliest structural fires in American history. The building had inadequate exits, noncompliant fire safety measures, electrical modifications, and highly flammable interior building components.
Where do we go from here?
Only the future will reveal if lawmakers will further expand local agencies’ obligations to proactively inspect and enforce substandard housing conditions. However, California clearly is making swift moves to combat its substandard housing crisis and expand housing availability wherever possible. These three new laws may only be the start.
Public agencies should continue to watch for changes in the law, proactively communicate their needs to legislators, and move quickly to update municipal codes, policies, and procedures to comply with such changes. Equally important is updated and routine staff training to ensure compliance, as well as effective enforcement of the law to ensure safe communities. Local agencies should consult with their city attorneys for specific guidance and assistance.