In California real estate sellers must disclose lead paint. It is considered like hazardous waste, if dislodged during remodeling, etc. The most common way to deal with it, is to not disturb it, and to encapsulate it by painting over it.
There are few enforcement mechanisms, however. In nearly 30 years of real estate experience I have never heard of an inspection or remediation of a property from 1-4 units.
But most likely vast sums are spent on government real estate.
A few years ago, rows and rows of WWII-Vietnam era barracks sat idle at Fort Ord; not torn down to prevent disturbing lead painted wood.
