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Assemblywoman Wendy Carrillo Advances Legislation that will Unbundle Parking Fees from Rent Costs, Promoting Housing Equity & Affordability

For immediate release:
Wendy Carrillo (AD-52)

SACRAMENTO, CA - On Tuesday, April 25th, Assemblywoman Wendy Carrillo advanced AB 1317 through the Assembly Judiciary Committee, marking a critical milestone for the legislature’s efforts to address housing affordability. The bill, AB 1317 would require parking to be leased separately from the price of rent. This measure would allow tenants in qualifying residential properties to purchase parking only when needed, increasing housing affordability while reducing traffic congestion, car dependency, and carbon emissions.

“Unbundled parking separates housing costs from parking costs, allowing residents to only pay for the number of parking spots they need. This would give renters the freedom to choose whether or not to incur the costs of parking, while promoting alternative modes of transportation” said Assemblywoman Carrillo. “If our goal is to increase the availability of housing, we must work to encourage developers and property owners to develop land for new housing projects in place of parking areas, especially where parking demand is low.”

“In line with our climate goals, given the fact that the transportation sector accounts for about 50 percent of the State’s greenhouse gas emissions, we must pursue cost effective solutions that simultaneously address other policy priorities. This bill is a well-tailored and cost-effective approach to alleviating the State’s dual housing and climate crisis, all while giving tenants greater flexibility and promoting equity.” 

A 2013 study investigating the effects of bundled rent found that mandated parking inclusion as part of a lease increases rent costs by an average of $200, and is also correlated with decreased use of public transit. 

In recent years, state policies have gradually moved to eliminate or lessen parking requirements, especially in regards to housing. However, despite this move, many tenants are still forced to pay for parking that they don't require due to the prevalence of bundled parking. In California, around 6.9% of households don't own a vehicle while 30% have just one vehicle.

When parking is ‘free,’ people bear the cost regardless of whether they use the parking, since building owners often provide ‘free parking’ as part of a lease. Bundling parking with a lease drives up the price, making the property less accessible to those who cannot afford or need the parking spot. 

“Streets For All also believes that it is imperative to lower greenhouse gas emissions and VMT, vehicle miles traveled,” said Marc Vukcevich, State Policy Director of Streets for All, the bill's sponsor. “Research shows that bundled parking households drive 3,800 more miles. Those are miles that pollute 40% more than bundled households and are miles that add to our worsening traffic congestion.”

After passing through the Assembly Judiciary Committee, AB 1317 is now pending on the Assembly Floor for further action.

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Assemblywoman Wendy Carrillo was elected to the California State Assembly in December 2017. She represents the 52nd District of California, encompassing large parts of East and North Los Angeles. She has served as the Chair of Budget Sub-Committee #4 on State Administration, and a member of the Appropriations, Health, Housing and Community Development, and Utilities and Energy Committees, as well as Chair of the Select Committee on Latina Inequities