CaliforniaSB 212025-2026 Regular SessionSenateWALLET

Workforce development: poverty-reducing labor standards: funds, programs, reporting, and analyses.

Sponsored By: Maria Elena Durazo (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

9 provisions identified: 5 benefits, 2 costs, 2 mixed.

Relocation help and six-month notice

If you live in a protected unit and have a lower income, the developer must pay relocation benefits equal to what a public agency pays. You also get the first chance to rent a comparable, affordable unit in the new or replacement housing. Tenants can stay until six months before construction starts, and must get a written six‑month notice. If demolition does not happen and the unit returns to the market, you can move back at your prior rent.

Unit-for-unit replacement after demolition

Cities and counties cannot approve a project that demolishes homes unless the project builds at least the same number of homes. If protected affordable units were on the site, all of them must be replaced, including any demolished on or after January 1, 2020. The project must match the highest number of homes that existed on the site in the last five years. If the project is not housing, the replacement homes must be built before or at the same time, and can be offsite in the same jurisdiction or by contract with another builder.

Protections and rent caps for single-room renters

Converted single-room units must be rentals at affordable rents for at least 55 years. If you were displaced, you get the first chance to return unless a funder bans it; then you must be offered a comparable alternative. Your first rent back cannot be more than 5% above your prior rent, or no higher than your prior rent if you had paid 40% or more of your income. Later increases cannot push rent above 50% of your household income. Removing an SRO also triggers the higher of state or local relocation payments. If your SRO used department funds, you can be treated as homeless under set rules and cannot be forced to wait for a coordinated‑entry referral to get the unit.

Stronger local rules still apply

Your city or county can keep rules that protect renters more than state law. Stronger local limits on demolition, extra replacement units, or larger relocation payments still stand.

Preserving single-room units in conversions

A city can reduce required replacements when rehabbing SROs if it proves this is needed to create studios or larger units, add bathrooms or kitchens, improve access, or meet safety codes. But a project cannot lose more than 25% of SRO units unless each extra removed unit is replaced one‑for‑one offsite under strict affordability, location, and timing rules. Conversions must finish within four years, with one extra year only for delays outside the developer’s control. Before permits, owners must file a replacement housing plan; the city has 30 days to review. The law defines SROs, studios, bathrooms, and kitchens to apply these rules consistently.

Comparable unit rule for single-family homes

When protected single‑family homes are replaced in a project of two or more units, a comparable unit must match the bedroom count if the original had three or fewer bedrooms. If the original had four or more bedrooms, the comparable unit must have three bedrooms. The rule is about bedrooms, not square footage.

No replacement in some industrial zones

Replacement rules do not apply if all four are true: the project is industrial, the whole site is in a zone that bans homes, that zoning was adopted before January 1, 2022, and the existing homes are nonconforming. In these narrow cases, a city or county can approve the project without replacing protected units.

Market studies for replacement plans

If an agency requires a market study for a replacement‑housing plan, the borrower or developer pays for it. The study must follow California Tax Credit Allocation Committee guidelines. This adds a small cost and sets a common standard.

2019 small-city project exemption

Projects filed after January 1, 2019 and before January 1, 2020 in a city with under 31,000 people that has rent or price control are exempt from these state SRO rules. This is a narrow, one‑year filing window and small‑city carve‑out.

Sponsors & Cosponsors

Sponsor

  • Maria Elena Durazo

    Democratic • Senate

Cosponsors

  • Catherine Blakespear

    Democratic • Senate

  • Ash Kalra

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 213 • No: 0

Senate vote 9/9/2025

Item 27 — Senate SFLOOR

Yes: 40 • No: 0

House vote 9/8/2025

Item 109 — Assembly AFLOOR

Yes: 79 • No: 0

legislature vote 8/20/2025

Vote in CX25

Yes: 15 • No: 0

legislature vote 7/16/2025

Vote in CX15

Yes: 10 • No: 0

legislature vote 7/2/2025

Vote in CX10

Yes: 12 • No: 0

Senate vote 5/27/2025

Item 213 — Senate SFLOOR

Yes: 39 • No: 0

legislature vote 4/29/2025

Vote in CS75

Yes: 11 • No: 0

legislature vote 4/23/2025

Vote in CS82

Yes: 7 • No: 0

Actions Timeline

  1. Chaptered by Secretary of State. Chapter 511, Statutes of 2025.

    10/10/2025Senate
  2. Approved by the Governor.

    10/10/2025legislature
  3. Enrolled and presented to the Governor at 3 p.m.

    9/16/2025legislature
  4. Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2708.) Ordered to engrossing and enrolling.

    9/9/2025Senate
  5. In Senate. Concurrence in Assembly amendments pending.

    9/8/2025Senate
  6. Read third time. Passed. (Ayes 79. Noes 0. Page 2986.) Ordered to the Senate.

    9/8/2025House
  7. Ordered to third reading.

    9/4/2025House
  8. Read third time and amended.

    9/4/2025House
  9. Ordered to third reading.

    8/29/2025House
  10. Read third time and amended.

    8/29/2025House
  11. From consent calendar on motion of Assembly Member Garcia.

    8/25/2025House
  12. Ordered to third reading.

    8/25/2025House
  13. Read second time. Ordered to consent calendar.

    8/21/2025House
  14. From committee: Do pass. Ordered to consent calendar. (Ayes 15. Noes 0.) (August 20).

    8/20/2025House
  15. From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 10. Noes 0.) (July 16). Re-referred to Com. on APPR.

    7/17/2025House
  16. Read second time and amended. Re-referred to Com. on L. GOV.

    7/7/2025House
  17. From committee: Do pass as amended and re-refer to Com. on L. GOV. (Ayes 12. Noes 0.) (July 2).

    7/3/2025House
  18. Referred to Coms. on H. & C.D. and L. GOV.

    6/5/2025House
  19. In Assembly. Read first time. Held at Desk.

    5/28/2025House
  20. Read third time. Passed. (Ayes 39. Noes 0. Page 1248.) Ordered to the Assembly.

    5/27/2025Senate
  21. Read second time. Ordered to third reading.

    5/13/2025Senate
  22. From committee: Be ordered to second reading pursuant to Senate Rule 28.8.

    5/12/2025Senate
  23. Set for hearing May 12.

    5/2/2025Senate
  24. From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR.

    5/1/2025Senate
  25. From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 0. Page 936.) (April 29). Re-referred to Com. on APPR.

    4/30/2025Senate

Bill Text

  • Chaptered

    10/10/2025

  • Enrolled

    9/12/2025

  • Amended Assembly

    9/4/2025

  • Amended Assembly

    8/29/2025

  • Amended Assembly

    7/7/2025

  • Amended Senate

    5/1/2025

  • Amended Senate

    3/26/2025

  • Introduced

    12/2/2024

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