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City of San Diego Rental Fees Policy

Chamber staff spoke in opposition to the proposed Rental Fees Ordinance being brought forward to San Diego City Council by Councilmember Sean Elo-Rivera.

The Ordinance was presented to the Council last month for an informational workshop ahead of an expected adoption vote this Fall. While the ordinance contains some commonsense transparency requirements, it also includes a number of onerous new mandates for rental housing providers that threaten their ability to operate. These include long late fee extensions, allowing applicants to provide their own screening reports, holding deposit caps, and overall fee caps that do not account for needed operating expenses.

Councilmembers expressed concerns with many of these provisions, noting the large new regulatory burden they would create as well as the fact they could disincentivize housing production in the region and potentially increase base rents for tenants. Additionally, the proposed ordinance goes far beyond what has been adopted in any other US municipality.

The Chamber will monitor any changes or developments with the ordinance and continue to oppose it if it moves forward in this current burdensome form.

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