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HomeMy WebLinkAbout2/24/2026 Item 4a, Babbar 876 February 20, 2026 Mayor Erica A. Stewart Members of the San Luis Obispo City Council 990 Palm Street San Luis Obispo, CA 93401 Re: February 24 Study Session – Opposition to Rental Registry Proposal Dear Mayor Stewart and Members of the City Council: On behalf of the California Apartment Association (CAA) and our local rental housing provider members, we respectfully express our opposition to the proposed rental registry being evaluated at your February 24 study session. While we share the City’s commitment to safe and well-maintained housing, a rental registry presents significant fiscal, operational, and privacy concerns without clear evidence that it will improve housing conditions or affordability. Costs and Administrative Burden A registry imposes avoidable costs on both the City and housing providers. City staff would be saddled with an administrative and fiscal burden to ensure compliance, troubleshoot technical issues and pursuing enforcement. The city would need to cover the costs incurred at program launch without any guarantee of recovering that cost. There is the burden on the owner since cities typically pass on the cost of managing a registry onto housing providers in form of fees. This burden also extends onto operations because a property owner would have to dedicate staff to maintain compliance with a registry. Other jurisdictions have found these programs to be resource-intensive. Those jurisdictions have identified significant startup costs, ongoing annual expenditures, and the need for multiple full-time employees to manage and enforce registry programs. In some cases, cities ultimately declined to proceed due to budgetary and staffing impacts. The State Legislature in California have rejected a statewide rental registry on three separate occasions due to the cost and burden of creating a registry and enforcing it. Privacy and Legal Risks A rental registry would create a centralized government database containing tenant names, addresses, and rent amounts—often submitted without tenant consent. This raises significant privacy concerns. How will the City respond if tenants object to having their personal information included in a municipal database? Public disclosure of rental data, whether through public records requests or other legal mechanisms, could also disadvantage housing providers by exposing proprietary rent information. In addition, unresolved questions remain regarding liability for the compelled submission of tenant information over a tenant’s objection. Finally, no municipal system is immune from cybersecurity breaches. A centralized database containing confidential or proprietary information presents ongoing fiscal and data security risks. Existing Tools Are Sufficient The City already possesses robust code enforcement authority to address substandard housing. A registry duplicates existing mechanisms while expanding bureaucracy. Even San Jose’s City Auditor raised concerns that registries create significant burdens and that complaint-based systems may be more efficient and cost-effective. Alternatives Rather than creating a new regulatory program, the City could enhance existing property contact databases to ensure accurate points of contact. Provide educational materials to tenants outlining applicable state and local protections. And focus resources on targeted enforcement where complaints or violations occur. These approaches advance accountability without imposing sweeping new mandates. For these reasons, CAA respectfully urges the Council to decline the creation of a rental registry and instead prioritize policies that support housing production, effective enforcement, and long-term affordability. Thank you for your consideration. Sincerely, Anil Babbar Senior Vice President of Public Affairs California Apartment Association