CalRHA Public Policy Update - January 2026

Legislative Recap

CalRHA Executive Leadership had a series of legislative meetings in the Capitol on January 7th where we met with the newly sworn in Pro Tem of the Senate, Monique Limon (D-Santa Barbara), the two Housing Chairs, Chair of the Moderate Democrats, members of the Assembly Judiciary Committee and other relevant legislators.  We discussed the CalRHA Public Policy Priorities for the year, as well as advocated against AB 1157.  

CalRHA started off 2026 with a major win in the Assembly Judiciary Committee on January 13th where we were able to hold AB 1157, the rent control bill proposed by the Chair of Assembly Judiciary, Ash Kalra.  AB 1157 would have limited annual rent increases to 2% plus the change in the Consumer Price Index (CPI) or 5%, whichever is less, instead of the current 5% plus CPI or 10%.  This was a strong win for the rental housing industry.  

We are in the second year of the two-year legislative session, which means that any bill introduced last year that is still in its house of origin needs to pass to the second house by the end of the month.  An example of that is SB 417 (Cabaldon, D - West Sacramento), which would authorize $10 billion in general obligation bonds to fund the following programs:

• $5.25 billion to MHP.  At least 10% of units in a MHP development must be available for extremely low-income households;
• $1.75 billion to supportive housing administered through the MHP program. Requires HCD to offer capitalized operating subsidy reserves for supportive housing developments receiving funding;
• $800 million for the Portfolio Reinvestment Program, which provides funding to rehabilitate, fund short-term capitalized operating subsidy reserve, and extend the long-term affordability of HCD-funded rental multifamily housing projects that are at-risk of conversion to market-rate housing;
• $500 million for a program to be created by the Legislature that funds acquisition and rehabilitation of unrestricted housing units (i.e., unsubsidized housing that may naturally be affordable) and the attachment of long-term affordability restrictions to the units;
• $1 billion to the CalHOME Program and the My Home down payment assistance program administered by the California Housing Finance Agency (CalHFA); and
• $200 million for wildfire prevention, rental assistance, and affordable housing construction.

CalRHA will continue advocating for rent assistance in the state.

After our bill introduction deadline of February 20th, we will have a better understanding of all of the legislation that we will be facing this year.  Below, please find the deadlines for the year.

2026 Legislative Deadlines

February 20th - Bill Introduction Deadline

March 26th - Spring Recess

May 8th - Policy Committee Deadline

May 15th - Fiscal Committee Deadline

May 29th  - Floor Deadline

June 15th - Budget Bill Passage

June 25th - Last Day for a Legislative Measure to Qualify for the November 3rd General Election Ballot

July 2nd - Policy Committee Deadline in Second House and Start of Summer Recess

August 3rd - Legislature Reconvenes from Summer Recess

August 14th - Fiscal Committee Deadline in Second House

August 31st - Floor Committee Deadline in Second House/End of Session

September 30th - Last Day for Governor to Sign or Veto Legislation

State of the State/Budget Update

Governor Newsom gave his first (and final) State of the State in 5 years and released his budget proposal during the first week of January.  A link to the full summary of Housing and Homelessness may be found here.