Action item: San Diego proposal would cap housing-provider fees, tighten screening rules

San Diego housing providers could face new caps on fees for parking, pets, trash and other services, along with new restrictions on tenant screening and added disclosure requirements, under a proposal the City Council is scheduled to consider Tuesday, May 19.

The measure, listed as Item 330 on the council agenda, would cap additional fees at 5% of monthly rent, regardless of actual cost. It also would limit late fees to 2% of rent, require a seven-day grace period, restrict holding deposits, limit payment-processing charges to actual cost and require housing providers to accept tenant-provided screening reports.

The proposal also would ba fees for services such as pest control, valet trash and pet ownership, and would require housing providers to disclose total rent and all additional fees in advertising, online listings and rental documents.

California Apartment Association opposes the measure, saying it would reduce cost recovery, add compliance burdens and make rental housing harder to operate in the city.

The proposal continues a broader pattern of local requirements that falls heavily on independent owners and small housing providers already navigating growing compliance demands. The association contends San Diego should not move ahead while the Legislature is still debating similar policy questions, arguing that local action now could create confusion, inconsistency and unnecessary administrative burdens for both housing providers and tenants.

The City Council is scheduled to consider the proposal at 2 p.m. Tuesday, May 19, at City Council Chambers, 202 C St., 12th floor, San Diego. Housing providers may attend in person, join via Zoom or participate by phone at 1-669-254-5252 using Webinar ID 160 943 0466. Metered parking is available.