SB 546 California Senate · 2025-2026 Regular Session

Collection Licensing Act: exceptions: billing agents.

Summary

The Debt Collection Licensing Act generally regulates the business of debt collection and prohibits a person from engaging in the business of debt collection in this state without first obtaining a license pursuant to the act. The act provides that it does not apply to certain institutions and persons. This bill would provide that the act does not apply to billing agents, except as specified.

Issues: ✓ Education

Bill status passed 3 of 5 stages cleared

Introduction

Feb 2025

Committee Review

Aug 2026

Senate Passage

Jan 2026

Assembly Passage

Governor

Introduced Feb 20, 2025 Last action Aug 17, 2026

Maddy AI version diff · 3 comparisons

What changed between versions

06/11/26 - Amended Assembly → SB546 · 1 edit

MINOR

No substantive policy changes were made between these two versions. The differences are entirely formatting and presentation: the 'from' version uses numbered-line legislative markup while the 'to' version is a clean web-rendered version of the same bill text. The actual statutory language, including the billing agent exemption and Division 22 repeal, is identical in both.

TECHNICAL

The bill text was reformatted from numbered-line legislative markup to a clean web page rendering. Line numbers were removed and web navigation elements (home, accessibility, FAQ, search, etc.) were added around the same statutory content.

01/05/26 - Amended Senate → 06/11/26 - Amended Assembly · 5 edits · Jun 11, 2026

MODERATE

SB 546 was fundamentally repurposed between chambers. The Senate version repealed the California Financial Literacy Fund and a common interest development accounting provision. The Assembly version dropped the common interest development change entirely, kept the Financial Literacy Fund repeal, and added a new exemption for billing agents under the Debt Collection Licensing Act. The bill now primarily creates a carve-out so that companies that calculate and deliver consolidated rent/utility statements are not required to obtain a debt collection license, unless they cross into actual collection activities.

Scope change

The bill shifted from a dual-purpose measure (financial literacy fund repeal plus common interest development accounting reform) to a primarily debt collection licensing measure that adds a billing agent exemption, with the financial literacy fund repeal retained as a secondary provision. The common interest development scope was dropped entirely.

SCOPE

Added a new exemption in Section 100001 of the Financial Code (Debt Collection Licensing Act) for billing agents who calculate, allocate, and deliver consolidated statements for rent, utility services, ancillary property services, amenities, or contractually authorized administrative billing fees arising from residential or commercial tenancy.

Removed the repeal of Section 5501 of the Civil Code, which had eliminated the provision allowing common interest development board members or subcommittees to review accounting documents outside of a formal board meeting.

REQUIREMENT

The billing agent exemption is lost if the person engages in any of eight specified activities: initiating calls or texts to demand payment, threatening legal action, reporting to consumer reporting agencies or tenant screening services, referring or selling debts for collection, representing that nonpayment may result in eviction or service termination, contacting third parties to induce payment, recording or enforcing liens, or repossessing/disabling/restricting access to property or services.

ENFORCEMENT

Added a provision allowing the commissioner to use enforcement authority under Section 100005 in connection with violations of the Rosenthal Fair Debt Collection Practices Act (Title 1.6C) by a billing agent who exceeds the scope of the exemption.

FISCAL

The bill still repeals Division 22 of the Financial Code (California Financial Literacy Fund), but this is now secondary to the debt collection licensing changes rather than being one of two co-equal purposes.

Floor votes · Senate Jan 26, 2026

How they voted

39–0

Passed · 1 other

Total votes 40

Jan 26, 2026

D Democratic30

29 Yea 1

96% Yea

R Republican10

10 Yea

100% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Aug 5, 2026

Lower · Passed

From committee: Do pass. (Ayes 15. Noes 0.) (August 5).

lower

Jun 23, 2026

Lower · Passed

From committee: Do pass and re-refer to Com. on APPR. (Ayes 8. Noes 0.) (June 22). Re-referred to Com. on APPR.

lower

Jun 11, 2026

Lower · Passed

From committee with author's amendments. Read second time and amended. Re-referred to Com. on B. & F.

lower

May 4, 2026

Committee

Referred to Com. on B. & F.

lower

Jan 26, 2026

Upper · Passed

Read third time. Passed. (Ayes 39. Noes 0. Page 3286.) Ordered to the Assembly.

upper

Jan 20, 2026

Upper · Passed

From committee: Be ordered to second reading pursuant to Senate Rule 28.8 and ordered to consent calendar.

upper

Jan 7, 2026

Upper · Passed

From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 5. Noes 0. Page 3187.) (January 7). Re-referred to Com. on APPR.

upper

Jan 5, 2026

Committee

Re-referred to Com. on B. & F.I.

upper

Jan 5, 2026

Committee

Re-referred to Com. on RLS.

upper

Jan 5, 2026

Upper · Passed

From committee with author's amendments. Read second time and amended. Re-referred to Com. on HOUSING.

upper

Mar 5, 2025

Committee

Referred to Coms. on HOUSING and JUD.

upper

Feb 20, 2025

Introduced

Introduced. Read first time. To Com. on RLS. for assignment. To print.

upper

1 primary · 0 co-sponsors