CAI’s California Legislative Action Committee (CLAC) needs continued help to oppose Senate Bill 1007 which caps annual assessment increases at the rate of inflation, unless authorized by a member vote.  This legislation will financially harm California’s community associations and will shift increased costs onto homeowners. The bill is now on the Senate floor and may soon be voted on. CLAC asks all advocates to contact your state senator via BOTH email and phone call to urge opposition to the bill.

To call your State Senator, follow these steps:

1. Click here to find your elected officials, then input your address. Click “Continue.”
2. On the Directory page, click the State button.
3. Click on your Senator where you’ll find contact information, including the phone number.
4. The staff who answer the phone may ask your name, if you are a constituent, and the bill number you are calling about (SB 1007).
5. State CAI-CLAC’s position is that we oppose SB 1007.
6. The office will log the call, and the legislator will have the information as to where constituents stand and how many have weighed in when they take action on the bill.
7. If you are provided with an opportunity to discuss reasons for your opposition, use the talking points below.

When calling, use these talking points:

• I am calling today as a constituent to ask you to oppose Senate Bill 1007.
• SB 1007 caps common interest community annual assessment increases at the rate of inflation, unless authorized by a member vote.
• Inflation caps ignore real costs like insurance, utilities, and repairs that rise faster than inflation.
• Community associations are mandated by state law to address these issues. Under California statute, associations are only allowed to budget for actual operating costs.
• SB 1007 shifts cost onto homeowners and will force deferred maintenance that will lead to large unpredictable special assessments.
• Mandating a membership vote to increase assessments is ineffective. Elections are costly and votes involving finances are hard to pass because homeowners often reject necessary budget increases, creating safety risks.
• Existing law prohibits an association from increasing regular assessments by more than twenty percent, without the approval of a majority of a quorum of members.
• Please vote to oppose SB 1007 when it comes before the Senate to avoid financial harm to California’s community associations.

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More About SB 1007 and Why CAI Opposes the Bill

SB 1007 caps assessment increases at the rate of inflation. Inflation caps ignore real costs like insurance, utilities, and repairs that rise faster than inflation. Community associations are mandated by state law to address these issues. Under California statute, associations are only allowed to budget for actual operating costs.  There is no profit or fluff built into the budget. 

SB 1007 shifts cost onto homeowners and will force deferred maintenance that will lead to large unpredictable special assessments. Mandating a membership vote to increase assessments is ineffective. Elections are costly and votes involving finances are hard to pass because homeowners often reject necessary budget increases, creating safety risks.

Existing law prohibits an association from increasing regular assessments by more than twenty percent, without the approval of a majority of a quorum of members. SB 1007 disrupts this proven framework, which has worked through multiple economic cycles without driving unaffordability. 

SB 1007 passed out of the Senate Housing and Judiciary Committees and is pending third reading and a final vote in the Senate. Act now and tell your Senator to oppose this bill.

Thank you for your commitment to advocate on behalf of the approximately 14.5 million Californians living in 5,056,000 homes in more than 51,250 community associations across the state. We couldn’t do this work without you.

Thank you,

CAI California Legislative Action Committee

government@caionline.org 

To stay in the loop on all the bills CAI-CLAC is monitoring this session, visit our 2026 Legislative Session Hot Bills page.