Larry Klein
Mayor
Richard Mehlinger
Vice Mayor
Alysa Cisneros
Councilmember
Murali Srinivasan
Councilmember
Linda Sell
Councilmember
Charlsie Chang
Councilmember
Eileen Le
Councilmember
September 14, 2026
T
he Honorable Gavin Newsom
Governor of California
1021 O Street, Suite 9000
Sacramento, CA 95814
R
E: Senate Bill 1091 (Caballero): Community Anti-Displacement and Preservation Program – REQUEST FOR SIGNATURE
D
ear Governor Newsom,
O
n behalf of the City of Sunnyvale, we respectfully request that you sign SB 1091 into law. SB 1091 establishes the Community Anti -Displacement and Preservation Program (CAPP). This important legislation represents a critical step toward addressing California’s housing affordability crisis by preserving existing housing and protecting residents from displacement.
The Bay Area and Sunnyvale, like much of California, continue to face intense housing pressures, with rising rents and the ongoing loss of naturally occurring affordable housing, placing significant strain on low- and moderate-income residents. Unsubsidized affordable housing has long served as a vital resource for working families. However, these homes are increasingly at risk of acquisition and conversion to market - rate units, resulting in displacement and destabilization of entire neighborhoods.
SB 1091 provides a thoughtful and effective solution by creating a dedicated program to support the acquisition and rehabilitation of existing housing and convert it into long- term affordable housing. By enabling nonprofit and public entities to compete in the housing market, this bill ensures that more properties can be preserved for community benefit rather than speculative investment.
Importantly, SB 1091 also includes strong tenant protections that align with Sunnyvale’s commitment to tenant protections and housing stability. The bill safeguards current residents from displacement by prohibiting eviction based on income eligibility following acquisition and by applying just -cause eviction protections. These provisions are essential to ensuring that preservation efforts do not inadvertently harm the very residents they intend to support.
Attachment 5
The Honorable Gavin Newsom, Governor
September 14, 2026
The long-term affordability requirements: 55 years for rental housing and up to 99 years through community land trust models, will help secure lasting benefits for future generations. Additionally, by focusing on acquisition and preservation, SB 1091 offers a cost-effective and timely complement to new housing production, allowing the state to expand affordability more quickly and efficiently.
As identified in General Plan Policy H -3.3, Sunnyvale is committed to strengthening multi-family neighborhoods through the acquisition, rehabilitation, and preservation of aging residential properties as long- term affordable housing. Since 2015, the City has provided $2 million in rehabilitation funds to help preserve existing affordable housing projects. These funds have helped preserve 170 affordable homes, but without a dedicated source of funding for acquisition and preservation, naturally occurring affordable housing projects are much more challenging to preserve due to the high cost of acquisition.
A dedicated funding program like CAPP would enable the City to expand its preservation strategies to convert unsubsidized affordable housing into deed- restricted affordable housing. SB 1091 truly provides the scale and resources needed to stabilize communities, prevent homelessness, and advance equitable development statewide.
For these reasons, the City of Sunnyvale respectfully urges you to sign SB 1091 into law.
Thank you for your consideration of the City of Sunnyvale's position on this important legislation. Please do not hesitate to contact me or Trudi Ryan, Community Development Director at [email protected] if you have any questions.
Sincerely,
Larry Klein
Mayor
Cc: Assembly Member Patrick Ahrens
City Council
Tim Kirby, City Manager
Sarah Johnson-Rios, Assistant City Manager
Connie Verceles, Assistant City Manager
Trudi Ryan, Director of Community Development
Attachment 5