Orange County Emergency Includes Price Gouging; CSSA Responds

Following a chemical incident in Garden Grove, California Governor Gavin Newsom issued a State of Emergency proclamation for Orange County on May 23, 2026. The declaration was followed by a consumer alert from California Attorney General Rob Bonta reminding businesses that the state’s anti-price gouging law, Penal Code Section 396, is now in effect throughout the affected area. Governor Newsom also secured a Presidential Emergency Declaration in response to the incident.

The Orange County Fire Authority (OCFA) later confirmed that the threat of a catastrophic explosion involving a damaged methyl methacrylate (MMA) tank has been reduced, marking a significant step toward stabilizing the situation. Despite that progress, officials cautioned that serious environmental and public health concerns remain, and evacuation orders are still in place. The State of Emergency and California’s anti-price gouging protections are expected to remain active for at least 30 days.

The California Self Storage Association (CSSA) issued guidance for self-storage operators regarding the emergency order and the enforcement of Penal Code Section 396. According to the association, the Attorney General’s consumer alert specifically references “storage services” among the categories covered under the anti-price gouging statute.

Under California law, businesses generally may not increase prices by more than 10% following the declaration of a state or local emergency. CSSA noted that the emergency proclamation itself does not directly affect self-storage operations or alter lien-sale procedures. However, operators should remain aware of pricing restrictions during the emergency period.

The association also noted that discounted introductory or move-in rates are typically not used as the baseline for determining allowable increases. Instead, operators are generally expected to compare pricing against their normal or “street” rates, though the law does not specifically define how those rates should be determined. CSSA advised facility owners to consult legal counsel when evaluating their pricing practices during the emergency period.

For most goods and services covered under the statute, the pricing restrictions remain in place for 30 days after the emergency declaration unless extended by state officials.