2026 Virginia End of Legislative Session Report

Community Associations Institute (CAI) and the Virginia Legislative Action Committee spent the 2026 legislative session advocating on behalf of approximately 2,065,000 Virginians living in 815,000 homes in more than 9,200 community associations across Virginia.

Grassroots Advocacy Overview

Members of the Virginia Legislative Action Committee (VALAC) gathered in Richmond on February 20 to meet with state legislators and share information about CAI and the VALAC’s ongoing work. Advocates coordinated strategic meetings with newer lawmakers and key committee members to hold focused discussions on the community housing model. Several meetings centered on active legislation including the introduction of the Uniform Consumer Debt Default Judgments Act. However, most discussions served to educate legislators about common interest communities, the VALAC, and the broad range of resources offered by CAI. A total of 12 advocates, including VALAC members, the committee’s lobbyist, CAI Central Virginia’s executive director, and CAI national staff, participated in the annual event. Together, the group connected with 16 legislators who serve on critical committees driving most legislation affecting community associations.

Legislative Overview

The 2026 Virginia General Assembly convened on January 14 and adjourned sine die on March 14. Despite the requirement to pass a state budget, lawmakers adjourned without reaching an agreement, prompting a special session to be set for April 23. Budget proposals between caucuses differed by roughly $1 billion, reflecting ongoing disagreements over spending levels, revenue options, and how best to address affordability for Virginians.

In Virginia, a bill becomes law after being introduced by a Delegate or Senator, passing through a standing committee, and receiving three readings and a majority vote in both chambers of the legislature. Once passed by both chambers, the bill is sent to the Governor. The Governor may sign the bill, veto it, or propose amendments. The General Assembly can override a Governor veto with a two-thirds majority vote in both chambers. With the 2026 regular General Assembly session having just adjourned on March 14, 2026, bills that were not passed were formally carried over to 2027 by committee action. These bills could see further movement during next year’s legislative session. Learn more about how laws are created in Virginia.

During the 2026 legislative session, VA LAC tracked 128 pieces of legislation in Virginia and directly advocated on several with potential implications on the community association industry in Virginia and beyond. Below are the highlights:

Priority Legislation

HB 444 – Uniform Consumer Debt Default Judgements Act

The VALAC opposed this legislation as drafted, which establishes the Uniform Consumer Debt Default Judgments Act and imposes new requirements before a default judgment can be awarded in cases involving certain consumer debts. Coterminous with federal debt collection law, the bill defines consumer debts broadly as an obligation arising from a transaction primarily for personal, family, or household purposes – a definition that captures community association and condominium assessments. As a result, the legislation may create increased administrative burdens, delayed collection processes, and added legal costs for homeowners. This regulation contradicts CAI’s Public Policy on Government Regulation by overstepping the critical need for governance to occur at the lowest possible level.

VALAC members actively advocated for an exemption to this bill, providing testimony in committee and meeting with the bill sponsor and bill-proponent stakeholders to explain its real-world impacts on community associations. While unable to defeat or amend the bill this Session, the Act has a delayed enactment date of July 1, 2027, giving further opportunities to amend and improve the legislation before it becomes effective. The bill sponsor has committed to reevaluating the bill over the next year and will continue to seek input from the VALAC.

Status: Enrolled and sent to Governor on March 14. Governor’s action deadline is April 13.

SB 246 / HB 439 – Virginia Nonstock Corporation Act

VALAC successfully sought to amend this legislation, which provided a comprehensive overhaul to the Nonstock Corporation Act – the corporate statute that governs how most incorporated community associations operate in Virginia. Many of the new changes were technical, however several had operational implications for associations. Among many other changes, the bill authorizes new actions to arise from bylaws rather than solely from articles of incorporation and revises certain processes for amending both documents; authorizes members to bring derivative proceedings; and enables courts to remove directors in certain circumstances. VALAC proposed amendments to the language to preserve the superiority of community association covenants over potential inconsistencies that may arise from corporate documents and this proposed legislation. This amendment was successfully adopted.

Status: Successfully amended. Passed both House and Senate as amended on March 12.

Other Key Legislation

CAI LACs support legislation that aligns with CAI’s public policy positions and monitor legislation with the potential to impact those living and working in community associations across their state, as well as legislation that may indirectly or unintentionally impact community associations.

HB 621 – Property Owners Association Act, Disclosure Requirements

VALAC monitored this legislation which was carried over to 2027. This bill proposed amendments to the Property Owners’ Association Act, focusing on disclosure requirements during the period when a declarant/developer still has unexpired rights to control the association after lot owners elect a majority of the board. It would have required the declarant to disclose their continuing rights and the status of control in any contract for the sale of a lot other than development or resale. CAI’s public policy on Transition of Community Association Control from the Developer to Homeowners recognizes that a successful transition is the responsibility of the owner-controlled board charged with the fiduciary duty to investigate and assess both the finances and the physical development of the property after the developer has transferred title to the real property as well as association control.

Status: Carried over to 2027.

HB 1196 / SB 746 – Property Owners’ Association Act, Operation and Management of Associations, Condemnation of Common Area

VALAC monitored this legislation, which was introduced by a legislator in response to a complaint by a constituent in their district. This legislation would have amended the Property Owners’ Association Act regarding how common areas are treated during eminent domain proceedings. Under this legislation, the physical characteristics of association common area are required to be considered at the time of the condemnation when valuing the property.

Status: Carried over to 2027.

HB 395 & SB 250 – Portable Solar Generation Devices

VA LAC monitored this legislation, which pertains to an individual’s right to own and operate a portable solar generation device. CAI supports environmental and energy efficiency policies that recognize and respect the governance and contractual obligations of community association residents as the best mechanism to enact sustainable environmental policies. A community association must maintain the ability to reasonably regulate a homeowner’s ability to install and use solar panels on their property within communities. Both bills explicitly state that the provisions do not supersede or limit contracts or agreements between or among individuals or private entities related to the use of real property, including recorded declarations and covenants, condominium or cooperative instruments, the declaration of a common interest community, or any declaration of a property owners’ association. CAI tracked this legislation to ensure that the language preserving self-regulation by community associations was not amended out during the legislative process.

Status: HB 395 & SB 250 passed by both chambers of the legislature on March 14.

Get Involved with CAI’s Virginia Advocacy Work through Your Local Chapter!

In addition to strong and effective advocacy work in Richmond, CAI’s four chapters in Virginia provide information, resources, education programs, and best practices designed to help you and your communities thrive. The Washington Metropolitan Chapter, Central Virginia Chapter, Southeastern Virginia Chapter, and Southwest Virginia Chapter bring together community association residents and professionals from across the Commonwealth.

Not a member yet? Join a growing global network of more than 51,000 community managers, management company executives, homeowner leaders, and business partners, and open up a world of opportunities for professional growth, networking and industry knowledge.

Learn more and join today at https://www.caionline.org/find-a-chapter/