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Bill > AB1294


CA AB1294

CA AB1294
Real property tax: welfare exemption: moderate-income housing.


summary

Introduced
02/21/2025
In Committee
06/22/2026
Crossed Over
06/02/2025
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

An act to amend Section 214 of the Revenue and Taxation Code, relating to taxation, to take effect immediately, tax levy.

AI Summary

This bill expands the "welfare exemption," a property tax exemption for certain non-profit organizations, to include residential rental properties used for low- and moderate-income households. Specifically, for properties newly constructed or converted from commercial to residential use between January 1, 2027, and January 1, 2030, located in Alameda, Sacramento, or San Francisco counties, a partial exemption will be granted. This exemption will be equal to the value of the units designated for low- and moderate-income households, provided the owner certifies that these units will remain affordable for at least 55 years, with rents below fair market rates and adjusted annually based on median income increases. The exemption will be in effect for 15 years from its initial filing. The bill also includes provisions to streamline housing development applications by creating a standardized application form and clarifies that the state will not reimburse local agencies for any property tax revenue lost due to this exemption.

Committee Categories

Budget and Finance, Government Affairs, Housing and Urban Affairs

Sponsors (3)

Last Action

Re-referred to Com. on REV. & TAX. (on 06/22/2026)

Bill Topics

Community Development and Housing Issues
  • ‐ General Housing and Community Development
  • ‐ Housing and Community Development for Low and Middle Income Persons
Macroeconomics
  • ‐ Taxation, Tax Policy, and Tax Reform

bill text


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