Los Angeles Systematic Code Enforcement Program (SCEP) Fee Increase Update

n May, the Los Angeles City Council approved major increases to the SCEP fee. The fee increases institutes a mid-year fee adjustment of $24.62 per unit in 2021 to be paid entirely by rental housing providers within 30 days of the invoice date. In addition, the current annual fee of $43.32 per unit will be increased to $67.94 per unit on January 1, 2022, with an allowable 50% pass through to renters prorated by 1/12th on a monthly basis. Previously, housing providers were permitted to pass through 100% of the annual SCEP fee to renters on a monthly basis.

It was originally anticipated that the mid-year fee would be invoiced in June 2021 for payment in July 2021. As the final ordinance was not adopted by the City Council until June 23rd, the original timeline has been pushed back slightly. The ordinance is now pending the Mayor’s signature and publication. Generally, an ordinance becomes effective approximately 30 days after publication.

Once the ordinance goes into effect, we will provide additional updates on when members may expect to receive the mid-year bill.