As of July 1, a new set of laws in California will reshape various aspects of life, from subscription services and short-term rentals to wages and student mental health. These measures, endorsed by Governor Gavin Newsom during the latest legislative session, aim to enhance transparency, expand health coverage, improve wage conditions, and boost access to legal and mental health support.
Below is a breakdown of these new laws.
Short-Term Rental Obligations
AB 2202 mandates that short-term rental hosts and platforms disclose all additional charges, including cleaning fees, that guests might incur for failing to complete end-of-stay chores. This law requires rental hosts to communicate these tasks clearly before any booking is confirmed. Platforms like Airbnb are also held accountable for ensuring compliance, with penalties of up to $10,000 for violations. This builds on a previous law aimed at ensuring upfront listing of mandatory costs.
Simplified Subscription Cancellations
AB 2863 requires subscription-based companies—think streaming services and membership programs—to make cancellation processes as simple as signing up. This law obligates companies to send annual reminders detailing pricing and cancellation specifics, complete with a direct “click-to-cancel” link. Any renewals following free trials will now also need explicit customer consent. This applies to contracts made or modified starting July 1.
Combating Retail Theft
SB 1144 addresses retail theft by compelling online marketplaces like eBay and Facebook Marketplace to verify the identities of high-volume sellers—those completing over 200 transactions of at least $5,000 worth of new or unused goods annually. The law also requires these platforms to alert law enforcement when they suspect sellers of dealing in stolen goods.
Drink Safety Measures
AB 2375 compels bars and nightclubs with Type 48 licenses to provide drink lids upon request, as well as to post signs about their availability. This initiative aims to mitigate drink spiking incidents and complements a prior law that requires venues to offer drug-testing kits to patrons. The law is applicable to over 2,500 establishments across the state.
Minimum Wage Adjustments
Effective July 1, several cities and counties will increase their minimum wage rates. The statewide minimum remains at $16.50, although certain industries—like hospitality and fast food—may see higher local minima.
Protection for Domestic Workers
SB 1350 extends workplace health and safety protections to domestic workers—house cleaners, caregivers, and cooks—regardless of their employment status, whether temporary or permanent.
Student Mental Health Resources
SB 1063 mandates that middle and high school identification cards display the 988 Suicide & Crisis Lifeline number, with schools encouraged to include QR codes that link to local mental health resources.
Early Special Education Planning
AB 438 accelerates the timeline for postsecondary planning for students with special needs, shifting the process to begin in high school instead of at age 16, contingent upon recommendations from their Individualized Education Program teams.
Updates to CARE Court Procedures
SB 42 requires that family members or caregivers be notified and kept informed about proceedings under the CARE Act, which allows them to petition for court-mandated treatment for individuals with specific mental health conditions.
New Fertility Coverage Requirements
SB 729 mandates that most employers offering health insurance include coverage for infertility diagnosis and treatment, including in vitro fertilization. While religious employers are exempt, the California Public Employees’ Retirement System (CalPERS) is not required to offer this coverage until July 1, 2027, due to a delay requested by Newsom to allow updates to California’s benchmark plan.
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