SB-723
Budget & Economy

Property taxation: exemption: low-value properties.

Engrossed
CA
2025-2026 Regular Session
0
0
Track

Key Takeaways

  • Increases the property tax exemption threshold from $10,000 to $25,000 for low-value properties through 2036.
  • Raises exemption limits to $50,000 for temporary uses of public facilities and fairgrounds.
  • Requires annual reporting on exemption impacts and beneficiaries starting June 2027.
  • Eliminates state reimbursement to local agencies for lost property tax revenue.

Summary

Senator Choi's property tax reform measure proposes raising the maximum exemption threshold for low-value properties from $10,000 to $25,000 between 2026 and 2036, allowing county boards of supervisors to exempt properties whose tax collection costs exceed potential revenue.

The legislation establishes distinct exemption categories, permitting up to $50,000 for possessory interests through 2030 and for temporary uses of public cultural facilities after 2030. County assessors may either remove qualifying properties from assessment rolls or apply the exemption while maintaining uniform standards across property classes. The State Board of Equalization must collect data on exempted values and affected taxpayers, reporting findings annually to the Legislature beginning June 2027.

Local agencies would not receive state reimbursement for revenue reductions resulting from the expanded exemptions. The measure requires a two-thirds vote in both legislative chambers and would take effect immediately upon enactment as a tax levy under the California Constitution.

Key Dates

Next Step
Referred to the Assembly Standing Committee on Revenue and Taxation
Next Step
Assembly Committee
Referred to the Assembly Standing Committee on Revenue and Taxation
Hearing has not been scheduled yet
Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Special Consent SB723 Choi et al
Senate Appropriations Hearing
Senate Committee
Senate Appropriations Hearing
Do pass
Senate Appropriations Hearing
Senate Committee
Senate Appropriations Hearing
Placed on suspense file
Senate Revenue and Taxation Hearing
Senate Committee
Senate Revenue and Taxation Hearing
Do pass, but first be re-referred to the Committee on [Appropriations]
Introduced
Senate Floor
Introduced
Introduced. To Com. on RLS. for assignment. To print.

Contacts

Profile
Sharon Quirk-SilvaD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Mike GipsonD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Steven ChoiR
Senator
Bill Author
Not Contacted
Not Contacted
Profile
Tina McKinnorD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Jasmeet BainsD
Assemblymember
Committee Member
Not Contacted
Not Contacted
0 of 9 row(s) selected.
Page 1 of 2
Select All Legislators
Profile
Sharon Quirk-SilvaD
Assemblymember
Committee Member
Profile
Mike GipsonD
Assemblymember
Committee Member
Profile
Steven ChoiR
Senator
Bill Author
Profile
Tina McKinnorD
Assemblymember
Committee Member
Profile
Jasmeet BainsD
Assemblymember
Committee Member
Profile
Joe PattersonR
Assemblymember
Bill Author
Profile
Tri TaR
Assemblymember
Committee Member
Profile
Carl DeMaioR
Assemblymember
Committee Member
Profile
Robert GarciaD
Assemblymember
Committee Member

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Steven Choi
Steven ChoiR
California State Senator
Co-Author
Joe Patterson
Joe PattersonR
California State Assembly Member
40% progression
Bill has passed all readings in its first house and is ready to move to the other house (5/29/2025)

Latest Voting History

May 29, 2025
PASS
Senate Floor
Vote on Senate Floor
AyesNoesNVRTotalResult
380240PASS

Key Takeaways

  • Increases the property tax exemption threshold from $10,000 to $25,000 for low-value properties through 2036.
  • Raises exemption limits to $50,000 for temporary uses of public facilities and fairgrounds.
  • Requires annual reporting on exemption impacts and beneficiaries starting June 2027.
  • Eliminates state reimbursement to local agencies for lost property tax revenue.

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Steven Choi
Steven ChoiR
California State Senator
Co-Author
Joe Patterson
Joe PattersonR
California State Assembly Member

Summary

Senator Choi's property tax reform measure proposes raising the maximum exemption threshold for low-value properties from $10,000 to $25,000 between 2026 and 2036, allowing county boards of supervisors to exempt properties whose tax collection costs exceed potential revenue.

The legislation establishes distinct exemption categories, permitting up to $50,000 for possessory interests through 2030 and for temporary uses of public cultural facilities after 2030. County assessors may either remove qualifying properties from assessment rolls or apply the exemption while maintaining uniform standards across property classes. The State Board of Equalization must collect data on exempted values and affected taxpayers, reporting findings annually to the Legislature beginning June 2027.

Local agencies would not receive state reimbursement for revenue reductions resulting from the expanded exemptions. The measure requires a two-thirds vote in both legislative chambers and would take effect immediately upon enactment as a tax levy under the California Constitution.

40% progression
Bill has passed all readings in its first house and is ready to move to the other house (5/29/2025)

Key Dates

Next Step
Referred to the Assembly Standing Committee on Revenue and Taxation
Next Step
Assembly Committee
Referred to the Assembly Standing Committee on Revenue and Taxation
Hearing has not been scheduled yet
Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Special Consent SB723 Choi et al
Senate Appropriations Hearing
Senate Committee
Senate Appropriations Hearing
Do pass
Senate Appropriations Hearing
Senate Committee
Senate Appropriations Hearing
Placed on suspense file
Senate Revenue and Taxation Hearing
Senate Committee
Senate Revenue and Taxation Hearing
Do pass, but first be re-referred to the Committee on [Appropriations]
Introduced
Senate Floor
Introduced
Introduced. To Com. on RLS. for assignment. To print.

Latest Voting History

May 29, 2025
PASS
Senate Floor
Vote on Senate Floor
AyesNoesNVRTotalResult
380240PASS

Contacts

Profile
Sharon Quirk-SilvaD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Mike GipsonD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Steven ChoiR
Senator
Bill Author
Not Contacted
Not Contacted
Profile
Tina McKinnorD
Assemblymember
Committee Member
Not Contacted
Not Contacted
Profile
Jasmeet BainsD
Assemblymember
Committee Member
Not Contacted
Not Contacted
0 of 9 row(s) selected.
Page 1 of 2
Select All Legislators
Profile
Sharon Quirk-SilvaD
Assemblymember
Committee Member
Profile
Mike GipsonD
Assemblymember
Committee Member
Profile
Steven ChoiR
Senator
Bill Author
Profile
Tina McKinnorD
Assemblymember
Committee Member
Profile
Jasmeet BainsD
Assemblymember
Committee Member
Profile
Joe PattersonR
Assemblymember
Bill Author
Profile
Tri TaR
Assemblymember
Committee Member
Profile
Carl DeMaioR
Assemblymember
Committee Member
Profile
Robert GarciaD
Assemblymember
Committee Member