Gas Price Hike, Minimum Wage Increases and Airbnb Changes: New Laws in California July 1st

A new fiscal year began on Tuesday in California. And, like every year, the first day in the second half of the year brought in a bunch of new laws, taxes, fees, and other changes coming to the average person in the state. Here’s a quick rundown of what has changed today, starting with the one most people have worried about…

Fuel Price Changes

Both gasoline and diesel are going up on Tuesday. The state gas tax is increasing, as it now does every year to adjust the rate for inflation. According to the California Department of Tax and Fee Administration, the state gas tax is climbing from 59.6 cents a gallon, to 61.2 cents a gallon. Likewise, the diesel tax is going up from 45.4 cents a gallon to 46.6 cents a gallon.

However, that isn’t it. Changes to the Low Carbon Fuel Standard (LCFS) Low-Carbon Fuel regulations that were adopted last year will also come into effect on July 1st. These new amendments specifically create a new blend of gasoline that is designed to help meet California’s emission goals in the coming decades. While the overall amount may start off low, at around 5 to 8 cents a gallon for gas, some projections have shown that it could climb as high as 65 cents per gallon. As of Tuesday, the LCFS price increase in July is currently estimated to be an additional 8 cents to 9 cents a gallon, with higher amounts still possible later this year.

Minimum Wage Changes

Several cities across California, mostly in the Bay Area and greater Los Angeles area, will see minimum wage increases on July 1st. While the state amount is set for $16.50 an hour for now, major city changes include the following:

• Alameda: $17.46 per hour
• Berkeley: $19.18 per hour
• Emeryville: $19.90 per hour
• Fremont: $17.75 per hour
• Los Angeles City: $17.87 per hour
• Milpitas: $18.20 per hour
• Pasadena: $18.04 per hour
• San Francisco: $19.18 per hour
• Santa Monica: $17.81 per hour

Unincorporated areas of Los Angeles County are also set for an increase to $17.81 an hour.

Some occupations will see significant increases as well. Workers at healthcare facilities with over 10,000 employees and dialysis clinic employees will see wage hikes from $23 an hour to $24 an hour. A similar increase is happening for employees who work at safety net hospitals, with wages going up from $18 an hour to $18.63 an hour.

Fertility Treatment Insurance Coverage

Fertility care in California expanded on Tuesday by requiring that most insurance plans include treatment for infertility and in vitro fertilization (IVF). SB 729  includes group plans of over 100 employees and makes sure coverage is extended to not only families, but single and LGBT individuals as well. The only exemption to the new law are religious employers like churches and religious non-profits, who are exempt from the law because of how SB 729 can clash with their beliefs.

Bars are seeing a big change on July 1st too. Thanks to AB 2375 being signed into law last year, all bars will now have to supply customers with lids for drinks when requested. The law is put into place to help cut down on foreign substances like “roofies” from being put into drinks. However, lids may not be free, with the new law allowing bars to charge a “reasonable price” for the lids.

Short-Term Rental Service Fee Disclosures

Short-term rental services, like Airbnb, saw a huge law change on Tuesday. All fees and charges are now required by law to be disclosed of up front, under the penalty of fines that could go up to as much as $10,000 per individual violation. AB 2202 specifically targets the infamous “cleaning fees” and other fees that some Airbnb hosts are known for doing to nickel and dime customers. In addition, all penalties for lodging agreement violations must also be disclosed up front and not hidden behind small text or shown after the fact.

Student ID Card Changes

Adults in California are not the only ones affected by the new laws on Tuesday – kids and teenagers will be seeing some changes too. SB 1063 is officially law, meaning that all students currently attending both public and private schools in grades 7-12 will have ID card changes. Specifically, all new cards are to have mental health resources printed on them. The number for the Suicide and Crisis Lifeline is required, while a QR code linking to mental health resources may also be placed on there. The changes are in place to help better address the growing youth mental health crisis.

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