On December 18, 2017 a split roll tax initiative was filed by California Calls and the League of Women Voters. California Calls is a grassroots mobilization group typically funded by SEIU and the California Teachers Association.
The proposed initiative would amend Proposition 13 to provide for a split roll tax requiring that all business properties be reassessed to 2020 values and will be reassessed every three years thereafter. Residential properties will retain the benefits under Proposition 13. The proponents of this effort believe the tax will bring in almost $12 billion.
To gain a perspective on the California Calls group visit the following link and note that they are telling homeowners and renters that they will see no impacts if this initiative passes – they will only see improved pubic services!
A major hurdle for this group is that they will need one million raw signatures to qualify the measure for the ballot and they will only have approximately 70 – 75 days to get them, which equates to roughly 90,000 signatures per week. Such an effort requires a substantial amount of funding.
NAIOP will be working closely our Sacramento representative California Business Properties Association (CBPA) and other allied industry groups who will also be opposing this proposed initiative.
For more information on Split Roll and its impact on Commercial Real Estate, please read What Proposition 13 Did by CalTax.
Please feel free to contact Director of Legislative Affairs Vickie Talley with comments and suggestions.