Ever Wondered How the Rent Board Arrives at the Annual General Adjustment?

Every year, the Berkeley Rent Board announces the Annual General Adjustment (AGA); the maximum allowable rent increase for fully covered units. The announcement usually comes in October, but the calculation is based on data that’s already public. That means we can see where the 2026 AGA is headed right now.

How the Formula Works

• The Rent Board looks at the Bay Area Consumer Price Index (CPI) published by the U.S. Bureau of Labor Statistics.

• Specifically, they use the change in CPI from July 1 through June 30 of the prior year.

• That percentage change is then multiplied by 65%.

• Finally, the result is rounded to the nearest one-hundredth of a percent.

Crunching the Numbers for 2026

• The Bay Area CPI rose 1.5% between June 2024 and June 2025.

• 65% × 1.5% = 0.975%.

• Rounded, that comes to an AGA of 0.97%.

Why This Matters

While the Rent Board won’t formally announce the number until October, the result is already set: the 2026 AGA will be 0.97%.

Because the increase is so small, some housing providers may decide it’s not worth the administrative effort of preparing and serving legal notices for less than a one-percent change. Others may still choose to implement it to keep pace with inflation, even marginally. Knowing the number in advance lets you make that decision now, instead of waiting until fall.

Member Resources:

Visit the Rental Housing Forms Library, Lease Modification Notices & Addenda section, and select the 30/90-Day Notice of AGA Increase.