# California Homeowners Associations Require Greater Transparency and Public Accountability

Current state laws allow HOA boards to operate in secrecy, necessitating urgent legislative reform.

- **Source:** [CalMatters](https://calmatters.org)
- **Published:** 2026-11-12
- **Topic:** [politics](https://brifing.si/c/politics)
- **Original article:** <https://calmatters.org/commentary/2026/11/homeowners-association-transparency-laws-california/>
- **On Brifing:** https://brifing.si/s/ea8602dd-012d-4c27-96ba-94103ab10bcf

## The Transparency Gap

Homeowners associations in California frequently operate behind closed doors, leaving residents uninformed about critical financial decisions. William Fulton, a professor and condo owner, notes that boards often finalize budgets and contracts without member input. Current regulations fail to mandate the level of openness expected from entities managing significant personal investments.

## Limitations of Current Law

The Davis-Stirling Act governs California HOAs but provides insufficient transparency requirements compared to municipal standards. While intended to mirror the Brown Act, it lacks effective enforcement mechanisms. Consequently, board members often exploit loopholes regarding contract formation to conduct business in private, effectively shielding their actions from the dues-paying residents.

## The Role of Volunteers

HOA board members often defend their opaque practices by citing their status as volunteers on nonprofit boards. However, these organizations function as de facto local governments, providing essential services like security and maintenance. This dual nature creates a conflict where private management structures oversee public-like responsibilities without corresponding democratic accountability.

## Legislative Efforts Stalled

Assemblymember Joe Patterson introduced Assembly Bill 1184 to mandate greater disclosure, specifically regarding litigation discussed in closed sessions. Despite its potential to improve oversight, the bill failed to pass on the final day of the legislative session. This outcome highlights the ongoing struggle to reform existing homeowner association governance structures.

## Contractual Secrecy Concerns

HOAs frequently contract with third parties for nearly all operational tasks, yet these agreements remain hidden from members. Boards are not obligated to proactively share information, often requiring residents to request documents individually. This reactive approach forces homeowners to exert significant pressure just to access basic details about building operations.

## Legal Enforcement Challenges

Enforcing transparency is difficult because individual members are reluctant to sue the very organizations they belong to. The current legal framework effectively protects boards rather than the property owners they serve. Without mandatory public meeting requirements, the power imbalance between board leadership and rank-and-file members remains fundamentally skewed and problematic.

## Redefining HOA Governance

Policymakers must recognize that HOAs act as a form of local government and should be held to similar standards. Aligning the Davis-Stirling Act with the Brown Act would ensure that meetings are public and decisions are transparent. Such a shift is essential to protect the financial interests of millions of Californians.

## Future Legislative Outlook

The California Legislature is encouraged to revisit and pass Assembly Bill 1184 in the next session. Beyond this specific bill, broader reforms are necessary to mandate proactive information sharing. Ensuring that HOA boards operate with the same transparency as cities and counties is a vital step for community governance.

## Sources covering this story

- https://calmatters.org/commentary/2026/11/homeowners-association-transparency-laws-california/ — 

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_Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._
