Golden State Today

California Attorney General Rob Bonta issued a statement today following Governor Gavin Newsom's signing of Senate Bill (SB) 1037 into law. The bill, authored by Senator Scott Wiener (D-San Francisco) and sponsored by Attorney General Bonta, aims to enhance the Attorney General’s ability to seek civil penalties against local governments that violate state housing laws.

“When it comes to addressing our housing crisis, there is no time to waste. Governor Newsom understands that at his core, and I’m grateful he’s signed SB 1037 into law. I also want to thank Senator Wiener for making this moment possible,” said Attorney General Rob Bonta. “With SB 1037, violating our state housing laws, and delaying or denying the homes that Californians desperately need, can lead to more serious consequences than ever before. And let me be clear: my office will not hesitate to pursue those consequences when appropriate. Critically, the additional penalties will be used to fund local affordable housing.”

Senator Scott Wiener added, “California has made great progress passing state laws that open the door to more housing. We need strong enforcement to back those laws up when cities flagrantly violate them. By providing the Attorney General better tools for swift accountability when cities engage in egregious violations, SB 1037 helps clear the path for California to meet its housing goals. I thank the Governor and the Attorney General for their focus on upholding our state housing laws and leading with innovative solutions to the crisis.”

SB 1037 targets local governments that refuse to adopt a compliant housing element or violate a law requiring a housing development application to be processed according to objective standards. Currently, monetary penalties can only be imposed after significant delays following a court order of compliance.

Effective January 1, 2025, SB 1037 will:

- Allow the Attorney General to seek additional penalties assessed from the date that the housing law violation began.

- Subject violators to a minimum civil penalty of $10,000 per month and not exceeding $50,000 per month for each violation calculated from the date it started.

- Impose maximum financial penalties and curtailment of local land use authority on cities and counties ignoring court orders for over 120 days.

- Allocate penalty funds towards developing affordable housing in affected jurisdictions.

A copy of the legislation is available here.