Bill > SB789

This bill requires owners of commercial real property in California to register with the California Department of Tax and Fee Administration (CDTFA) and file an annual information return detailing their property's vacancy status. The return must include specifics about each commercial property, such as its address, buildings, number of days vacant in the previous calendar year, and reasons for vacancy. Owners must specify if vacancies are due to active renovation, legal/regulatory barriers, or natural disasters. The bill imposes a $100 penalty per commercial property for failing to submit a timely information return, with potential extensions granted for good cause or during state emergencies. The CDTFA will be required to collect this information and annually publish aggregated data by ZIP code, including the percentage of vacant commercial properties and reasons for vacancy. The legislation aims to understand prolonged commercial property vacancies' impact on local economic vitality and potentially develop future policies to incentivize property activation. The provisions will be in effect until January 1, 2031, and the Director of Finance may authorize a loan from the General Fund to implement the bill's requirements, with penalties collected used to repay the loan.

Budget and Finance

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260SB789