Senate Bill 567 – Homelessness Prevention Act

 SB 567 builds on existing law to better protect California’s low-income renters from non-fault evictions and unpayable rent increases.

Although the Tenant Protection Act (AB 1482, Chiu, Chapter 597, Statutes of 2019) provided crucial safeguards for certain renters in California, numerous tenants still lack adequate protection. Furthermore, rents are permitted to rise above the means of many renters, and flaws in the current legislation have resulted in widespread exploitation, leaving numerous protected renters at risk of being displaced or evicted, even if they comply with the lease terms.

It is a logical conclusion that evictions and hikes in rent result in homelessness. According to a 2020 report from the U.S. Government Accountability Office, a median increase of $100 in rent led to a 9% rise in homelessness. As inflation escalates and state and local safeguards against eviction, which were put in place during the pandemic, expire, the inadequacies in existing state protections are increasingly affecting renters who face substantial rent hikes and “no-fault” evictions. The Homelessness Prevention Act will offer crucial protections for renters to prevent exploitation and ensure that they can remain in their homes.

SB 567 addresses the current circumstances confronted by millions of California renters and enhances housing security for a greater number of renting households through: 

• Eliminating the loopholes that enable widespread exploitation of no-fault just causes for eviction.
• Widening the range of protected tenants.
• Imposing a more rational cap on permissible rent hikes.
• Establishing channels for oversight and enforcement.