California Governor Newsom Expedites Temporary Housing for Wildfire Displaced Residents Amid Price Gouging Concerns

On Thursday, Governor Gavin Newsom, of California, took a significant step to address the challenges faced by the tens of thousands of residents of Los Angeles County who have been displaced by the wildfires in Southern California. He signed an executive order aimed at expediting the construction of temporary housing for those affected by the devastating fires. The initiative seeks to streamline the process of providing shelter to those in need and prevent price gouging in the process.

Governor Newsom's order aimed at alleviating the housing crisis for the displaced residents by removing bureaucratic obstacles and implementing stronger protections against exploitation. In his statement, he emphasized the urgency of the situation, stating, "Today, we are expediting the creation of new temporary housing by removing roadblocks and strengthening protections against exploitation.

The executive order introduces measures to ease restrictions on mobile homes and temporary housing, allowing emergency agencies to construct these structures more readily on burned lots, as per the governor's office. Furthermore, the order strengthens prohibitions on price gouging by property sellers, landlords, and hotel operators, in response to the heightened demand for temporary housing that has resulted in bidding wars and exorbitant price increases for real estate. Governor Newsom had previously issued an executive order that curtailed unsolicited offers, property speculation, and evictions in areas affected by the wildfires, while capping rental increases to 10% for the duration of the crisis.

The Red Cross and other disaster relief agencies have opened eight shelters in Los Angeles, with a cumulative capacity to house around 800 people. However, with the Palisades and Eaton fires, the two largest in the area, having destroyed or damaged over 10,000 structures, the magnitude of the housing crisis has been exacerbated. The situation has highlighted the existing inequalities in one of America's least affordable housing markets.