NAHB, Other Groups File Suit Against Southern California Gas Bans

Legal
Published

NAHB and nine other business and housing groups seeking to overturn a regulation that would ban gas appliances have filed a lawsuit against Southern California air regulators.

In their complaint filed in the U.S. District Court for the Central District of California, the groups contended that South Coast Air Quality Management District’s (SCAQMD) regulation violates the Energy Policy and Conservation Act (EPCA) of 1975.

NAHB and the other plaintiffs argued that SCAQMD’s effective ban on certain gas appliances will harm their members.

“Plaintiffs face significant costs in having to replace gas appliances with electric appliances in existing buildings, which may also necessitate building modifications, disrupt business operations, or require the temporary relocation of tenants,” the lawsuit stated. “The increased cost of retrofitting or building for electric appliances will raise the cost of housing and limit supply. Plaintiffs also have members that include plumbers and pipefitters who will see a decrease in the amount of gas plumbing work, affecting their hours, job opportunities, and hiring and training in the industry. In short, the District’s rule will impose enormous financial costs and disruption on businesses and individuals, including Plaintiffs.”

The lawsuit seeks to void the SCAQMD’s rule to ban certain gas appliances because it is pre-empted by federal law since it concerns the energy use of appliances covered by the EPCA. The suit cites an appellate court decision last year that stated the city of Berkeley’s ban on natural gas connections in new construction was prohibited by the EPCA, which forbids state and local governments from setting efficiency standards for appliances.

Therefore, the lawsuit asserts that SCAQMD’s regulation is “void and unenforceable.”

Subscribe to NAHBNow

Log in or create account to subscribe to notifications of new posts.

Log in to subscribe

Latest from NAHBNow

Economics | Advocacy
Oct 09, 2026
Podcast: 7.5% Mortgage Rates ‘New Normal’ Until Geopolitical Issues Resolved

On the latest episode of NAHB podcast Housing Developments, NAHB Chief Economist Dr. Robert Dietz joins CEO Jim Tobin and COO Paul Lopez to discuss the latest economic forecasts and how they have changed this year due to geopolitical turmoil.

IBS
Oct 08, 2026
IBS Remodeled Show Home Uses Holistic Approach to Boost Efficiency

The New American Remodel 2027 will be much more than a beautiful show home. It will highlight just how far building products and techniques have advanced in a relatively short period of time.

View all

Latest Economic News

Economics
Oct 09, 2026
Private Water and Sewer Systems in 2025 New Single-Family Homes

The share of new single-family homes built with individual wells and septic systems increased in 2025 compared to the previous year. According to NAHB’s analysis of the Census Bureau’s Survey of Construction (SOC), approximately 10% of single-family homes started in 2025 were served by individual (private) wells, and 17% relied on individual septic systems.

Economics
Oct 08, 2026
Remodeling Market Sentiment Remains Stable in Third Quarter Despite Headwinds

In the third quarter of 2026, the NAHB Remodeling Market Index (RMI) posted a reading of 62, up one point compared to the previous quarter. The RMI has remained within a narrow band between 59 and 70 for the past four years.

Economics
Oct 07, 2026
ARM Share Increased as Mortgage Rates Spiked

Mortgage application activity declined as the 30-year fixed mortgage rate rose sharply. The Mortgage Bankers Association’s (MBA) Market Composite Index, a measure of total mortgage application volume, decreased 7.7% month-over-month in September on a seasonally adjusted basis. Compared to a year ago, total mortgage applications were lower by 35.4%.