Five new laws went into effect this past July 1 in California that are expected to have an impact on residents' pockets. Gov. Gavin Newsom, who has gained some national notoriety in recent weeks thanks to his endorsement of President Biden ahead of the November elections following a disappointing first debate performance, signed the laws earlier this year.
From new taxes on firearms to a limit on security deposits for tenants, the laws are projected to change the ways in which Californians spend their money.
New laws in California
AB 12: Limit on security deposits for tenants
The new law dictates that starting July 1, landlords will be barred from requesting security deposits larger than one month of rent for incoming tenants.
Security deposits are often required by landlords to help cover the costs of possible damages to the property, services like cleaning, or if a tenant does not pay rent. Before this new law, some landlords would request a sum amounting two or three months of rent.
SB 478: Transparency of all required fees or charges for stores and restaurants
Under this new law, California consumers must know exactly how much they will pay for a product or service.
In the case of restaurants, Gov. Newsom signed a parallel law this Saturday, SB 1524, in which they must "clearly and visibly" detail certain charges on the menu. For example, they must show whether they will charge any additional fees for tips for service staff and kitchen staff, corkage fees, among others.
The law comes in response to a new popularized method by stores and restaurants in which they advertised low prices that turned out to be higher at checkout, known as "drip pricing."
SB 244: Right to repair act
Manufacturers of electronic products and appliances must ensure the supply of parts, tools and service documentation to both product owners and independent repair shops.
The Act broadly covers electronic products and devices, including desktop computers, laptops, tablets, cell phones and various home appliances. SB 244 does not cover equipment used in certain industries and limits repairs on video game consoles and alarm systems.
AB 28: Gun Violence Prevention and School Safety Act
In an attempt to mitigate the problems caused by the free carrying of weapons, the California government established AB 29, which will require manufacturers, sellers and distributors to pay an 11% tax on firearms and ammunition to fund violence prevention efforts in the state.
This new tax will be added to the 10-11% federal tax that gun and ammunition sellers already pay to fund wildlife conservation efforts.
SB 553: training for employees to prevent violence at work
With the new Senate Bill, employees will have to develop workplace violence prevention plans, such as training workers and managers in safety plans. They must also follow up on incident reports.
Workplace violence ranges from "threats and verbal abuse to physical assault and even homicide," according to the federal Occupational Safety and Health Administration, and it can affect and involve employees, customers and visitors.
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