AB-739 • 2026

Common interest developments: managing agent fees.

Education

Passed Legislature

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

Sponsor: Jackson
Last action: 2026-01-29
Official status: In Senate. Read first time. To Com. on RLS. for assignment.
Effective date: Not listed

Plain English Breakdown

The bill text does not explicitly state that the board must review managing agent fees annually, only that they must include a statement of all fees charged by the managing agent in their annual policy statement and deliver these upon written request by a member.

Managing Agent Fees and Training for Common Interest Developments

This law requires common interest developments to include managing agent fees in their annual policy statements, mandates training for executive officers, and sets rules for reviewing these fees.

What This Bill Does

Requires the association of a common interest development to list all fees charged by the managing agent in its annual policy statement.
Mandates that the Department of Real Estate create an education course for executive officers of associations, focusing on their duties and responsibilities under the Davis-Stirling Common Interest Development Act.
Requires executive officers to complete 12 hours of this training within a set timeframe after it is developed.

Who It Names or Affects

Associations that manage common interest developments
Executive officers of these associations

Terms To Know

Common Interest Development: A type of property ownership where multiple people own individual units but share common areas, like a condominium complex.
Managing Agent: A person hired by the association to manage the day-to-day operations and finances of a common interest development for compensation.

Limits and Unknowns

The bill does not specify how long after the course is developed executive officers must complete their training.
It's unclear if there are penalties for failing to comply with these requirements.

Bill History

2026-01-29 California Legislative Information
In Senate. Read first time. To Com. on RLS. for assignment.
2026-01-29 California Legislative Information
Read third time. Passed. Ordered to the Senate. (Ayes 75. Noes 0. Page 3873.)
2026-01-26 California Legislative Information
Read second time. Ordered to third reading.
2026-01-22 California Legislative Information
Ordered to second reading.
2026-01-22 California Legislative Information
Withdrawn from committee.
2026-01-16 California Legislative Information
Re-referred to Com. on APPR.
2026-01-15 California Legislative Information
Read second time and amended.
2026-01-14 California Legislative Information
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 11. Noes 0.) (January 14).
2026-01-13 California Legislative Information
From committee: Do pass and re-refer to Com. on H. & C.D. (Ayes 17. Noes 0.) (January 13). Re-referred to Com. on H. & C.D.
2026-01-08 California Legislative Information
(Pending re-refer to Com. on H. & C. D.)
2026-01-08 California Legislative Information
Assembly Rule 56 suspended. (Page 3717.)
2026-01-05 California Legislative Information
Re-referred to Coms. on B. & P. and H. & C.D. pursuant to Assembly Rule 96.
2026-01-05 California Legislative Information
Re-referred to Com. on H. & C.D.
2026-01-05 California Legislative Information
From committee chair, with author's amendments: Amend, and re-refer to Com. on H. & C.D. Read second time and amended.
2025-03-17 California Legislative Information
Referred to Coms. on H. & C.D. and B. & P.
2025-02-19 California Legislative Information
From printer. May be heard in committee March 21.
2025-02-18 California Legislative Information
Read first time. To print.

Official Summary Text

AB 739, as amended, Jackson.
Common interest developments: managing agent
fees: executive officer training.
fees.
(1)
Existing
Existing
law, the Davis-Stirling Common Interest Development Act, governs the formation and operation of common interest developments, and requires a common interest development to be managed by an association, as specified. Existing law, unless otherwise provided by the governing documents, authorizes the board of directors of the association to hire a managing agent, defined as a person who, for compensation or in expectation of compensation, exercises control over the assets of a
common interest development.
Existing law requires the association to distribute an annual policy statement, containing certain information, to the members within 30 to 90 days before the end of the fiscal year.
Existing law requires, unless the governing documents impose more stringent requirements, the board of directors of the association to review various financial documents and statements on a monthly basis.
This bill would require the annual policy statement to include a statement of all fees charged by the managing agent.
(2)
Existing law requires the Department of Consumer
Affairs and the Department of Real Estate, to the extent existing funds are available, to develop an online education course for the board of directors of an association regarding the role, duties, laws, and responsibilities of directors and prospective directors, and the nonjudicial foreclosure process.
This bill would require the Department of Real Estate to develop an education course for executive officers, as defined, of the association that is validated by the Secretary of State on specified review requirements, fiduciary duties, management duties, and the fine details of the Davis-Stirling Common Interest Development Act. Commencing on the date of the development of the education course, the bill would require an executive officer to complete 12 hours of the education course within a specified timeframe.
This bill would require the board of directors of the association to review, on an annual basis, fees charged by the managing agent, as specified. The bill would require the association to deliver through electronic means a statement of these fees upon written request by a member.

Current Bill Text

Read the full stored bill text

Download Bill PDF