Bill > AB698

This bill requires city legislative bodies to develop and publicly post a comprehensive analysis on their websites before adopting any new transfer tax on real property sales. The analysis must specifically examine the proposed tax's potential impacts on three key areas: (1) affordable housing production, including affordable units within market-rate housing projects, (2) market-rate housing unit production, and (3) property tax revenues for the city, county, state, and relevant special districts. The bill explicitly states that these requirements apply to all cities, including charter cities, and are considered a matter of statewide concern rather than a municipal affair. This requirement aims to provide transparency and encourage careful consideration of the broader economic and housing implications before implementing a new real property transfer tax, particularly in light of California's ongoing housing shortage. By mandating this analysis, the bill seeks to help local governments understand the potential consequences of such taxes on housing development and municipal revenues before implementation.

Government Affairs

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB698