AB-1983 • 2026

Continuing care retirement communities: repayable contracts.

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Blanca Rubio
Last action: 2026-06-03
Official status: Referred to Com. on HUMAN S.
Effective date: Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Repayable Contracts for Retirement Communities

This law changes how continuing care retirement communities handle repayable contracts, adding rules about sequential order repayments.

What This Bill Does

Defines a new type of repayable contract that includes repayment based on the order in which contracts are terminated.
Requires providers to assign each terminated contract a number and keep track of payments for reoccupied units.
Specifies that when there is enough money, providers must pay back entrance fees within 14 days.

Who It Names or Affects

Continuing care retirement communities
Residents who have repayable contracts

Terms To Know

Repayable contract: A type of continuing care contract that promises to return some or all of an entrance fee under certain conditions.
Sequential order repayment: A method where repayments are made based on the order in which contracts end.

Limits and Unknowns

The bill does not specify what happens if there is not enough money to make a repayment.
It's unclear how this will affect communities that already have different repayment methods.

Bill History

2026-06-03 California Legislative Information
Referred to Com. on HUMAN S.
2026-05-21 California Legislative Information
In Senate. Read first time. To Com. on RLS. for assignment.
2026-05-21 California Legislative Information
Read third time. Passed. Ordered to the Senate. (Ayes 72. Noes 0.)
2026-05-18 California Legislative Information
Read second time. Ordered to third reading.
2026-05-14 California Legislative Information
From committee: Do pass. (Ayes 15. Noes 0.) (May 14).
2026-05-14 California Legislative Information
Joint Rule 62(a), file notice suspended.
2026-05-13 California Legislative Information
In committee: Set, first hearing. Referred to APPR. suspense file.
2026-04-23 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 6. Noes 0.) (April 23). Re-referred to Com. on APPR.
2026-04-22 California Legislative Information
From committee: Do pass and re-refer to Com. on HUM. S. (Ayes 6. Noes 0.) (April 21). Re-referred to Com. on HUM. S.
2026-04-13 California Legislative Information
(Pending re-refer to Com. on HUM. S.)
2026-04-13 California Legislative Information
Assembly Rule 56 suspended. (Page 4580.)
2026-03-16 California Legislative Information
Referred to Coms. on AGING & L.T.C and HUM. S.
2026-02-14 California Legislative Information
From printer. May be heard in committee March 16.
2026-02-13 California Legislative Information
Read first time. To print.

Official Summary Text

AB 1983, as introduced, Blanca Rubio.
Continuing care retirement communities: repayable contracts.
Existing law establishes the State Department of Social Services and sets forth its powers and duties, including the certification and regulation of continuing care retirement communities. Existing law regulates different types of continuing care contracts, including, among others, a repayable contract. A repayable contract is a continuing care contract that includes a promise to repay all or a portion of an entrance fee that is conditioned upon reoccupancy or resale of the unit previously occupied by the resident.
This bill would additionally define a repayable contract to include a continuing care contract that includes a promise to repay all or a portion of an entrance fee based on the sequential order in which repayable contracts are terminated. To repay entrance fees using the sequential order method, the bill would require a provider to
assign each terminated contract a sequential repayment number, and each time entrance fees are paid for a reoccupied unit, a repayment account would be credited until funds are sufficient to repay the next terminated contract in sequential order. The bill would require a provider to issue this repayment within 14 days.

Current Bill Text

Read the full stored bill text

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