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29 rejected California households now qualify for renter cash aid after city eases eligibility rules

The expanded assistance comes as some residents face substantial rent increases.

A green house adjacent to an alleyway with a gray building and utility poles in the background.

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New eligibility rules have put rental assistance within reach of 29 Santa Monica households whose applications were previously rejected. Housing and Human Services Director Aileen Reynolds said those households now qualify.

Millions of dollars for affordable housing are part of the City Council's broader affordability package, alongside expanded support for older renters with low incomes.

Here's what to know

Residents of deed-restricted affordable housing are newly eligible for the Preserving Our Diversity program, according to the Santa Monica Daily Press. The changes also shorten the required residency in a rent-controlled home to 10 years from 15 and lower the program's minimum age to 62 from 65.

Staff will contact the previously rejected households, Reynolds said. Benefits will also rise each year with inflation, as measured by Los Angeles County's Consumer Price Index.

A study of whether to extend assistance to families and households with disabilities will receive up to $100,000 under a $360,000 budget amendment supporting the expansion. The amendment also sets aside $10,000 for outreach and $250,000 for benefit increases through fiscal year 2027-28.

More background

The expanded assistance comes as some residents face substantial rent increases, even in housing designated as affordable.

Checking rents against mandated limits is among the additional protections Councilmember Natalya Zernitskaya asked staff to explore. She cited reports of annual rent increases of at least 8% for people in deed-restricted housing.

Affordable-housing developers can apply for Santa Monica funding again in January 2027 after the council approves revised Housing Trust Fund guidelines. Those revisions cover up to $23.5 million in Measure GS housing production revenue.

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An additional $300,000 annually for the Human Services Grants Program's food and childcare assistance will be a staff priority in the 2027-29 budget.

Reynolds said roughly five children can receive childcare subsidies for each additional $100,000. The annual cost per child is $18,000–$20,000.

What's being done?

Santa Monica also approved work on proposed changes to its Tenant Harassment Ordinance, along with outreach, to expressly prohibit landlord interference in tenant organizing.

To improve access to food, staff are in talks to bring an affordable grocery retailer to 1318 Fourth Street, a city-owned affordable housing property, rather than recommending a city-run grocery store.

The city attorney was directed to present options in a return report and incorporate final-paycheck rights into the new internal wage-enforcement initiative. All six council members present backed that approach; Mayor Pro Tem Jesse Zwick was absent. The council declined to introduce a separate final-paycheck ordinance.

Mayor Caroline Torosis also questioned the city's wage-recovery results, challenging a staff report showing that local enforcement by the city and county had recouped only around $115,000 in unpaid wages since 2020.

"Let's do better," she said.

Where can I learn more?

Santa Monica's rental aid expansion comes as renters across California struggle with housing costs. These stories cover expiring rental assistance, housing programs, rising rents, and local limits on rent increases.

• California renters displaced by fires face a housing assistance cliff as FEMA aid ends.

• California's housing pilot program boosted attendance and eased discipline issues for 64 students.

• California tenants faced rising rental costs as median rent climbed from $452 to $2,036.

• Santa Barbara's rent stabilization rules cap increases at 3% or less after split votes.

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