Californians across the state agree that we can’t afford to make housing more expensive. AB 1701 is a flawed measure that will drive up the cost of housing and decrease housing supply in California. AB 1701 creates a new scheme in which an innocent party who has already paid a subcontractor for the wages of their workers would now be responsible for the actions of unscrupulous subcontractors that fail to transmit those wages to their employees. As a result there will be increased litigation to hold bad actors accountable and housing costs will skyrocket – resulting in increased homelessness and significantly impacting hardworking Californians who are living paycheck to paycheck and already struggling with high housing costs.
Enter your address to directly email the Senator in your district and urge him or her to oppose AB 1701.
AB 1701 has unintended consequences that increase litigation and drive up the cost of new housing in California. This will further reduce the supply of affordable housing, increase the risk of homelessness, and significantly impact low-income families.
Government Mandated Prevailing Wage could increase the cost of new housing by 46% and reduce the number of homes and apartments built. It may drastically increase the cost of new homes, apartments and all rental housing.
The average California home already costs about 250% more than the national average. (Source: LAO Report, Mar 2015)
California’s average monthly rent is 50% higher than the rest of the country. (Source: LAO Report, Mar 2015)
Only 31% of Californians can afford the state’s median priced home ($511,000). (Source: KPBS, Feb 10, 2017)
The “Fair Market Rent” for a studio apartment in every county in California exceeds 50% of the maximum SSI/SSP grant for an individual. (Source: California Budget and Policy Center, Feb 2017)
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