URGENT: Sacramento Legislation Update – What You Need to Know About AB 246 and AB 1157
We’re tracking key legislation in Sacramento that could significantly affect rental housing operations across California. Two bills—AB 246 and AB 1157—are making their way through the State Assembly and deserve your attention.
AB 246 – Social Security Tenant Protection Act of 2025
Originally introduced in January during the Los Angeles wildfire emergency, AB 246 (Bryan) sought to impose a one-year rent freeze across Los Angeles County and levy civil penalties up to $10,000 per violation. The bill aimed to override local decision-making and create a precedent for state-mandated rent freezes following declared emergencies—posing major risks to housing providers.
However, AB 246 has been significantly amended. It has now shifted focus away from rent control and toward protecting tenants reliant on Social Security benefits during payment disruptions.
Under its current form, AB 246 would:
Prohibit courts from issuing eviction summonses for nonpayment of rent if the tenant's inability to pay stems from a declared interruption in Social Security disbursements.
Require landlords to include a declaration form with 3-day rent demand notices, allowing tenants to formally assert that their nonpayment is due to a Social Security-related income disruption.
While less extreme than its original version, the bill still imposes new compliance requirements for housing providers and may introduce uncertainty in eviction procedures during federal benefit interruptions. We will continue to monitor AB 246 closely and keep you updated.
AB 1157 – Tenancy: Just Cause Termination and Rent Increases
Authored by Assemblymember Kalra, AB 1157 proposes to strengthen tenant protections by:
Eliminating the exemption for single-family homes, meaning all rental units would fall under just cause eviction rules.
Lowering the annual rent increase cap from 5% + inflation (or 10%, whichever is lower) to 2% + inflation (or 5%, whichever is lower).
Making these restrictions permanent by removing the 2030 sunset clause.