California ballot measure - property tax
Increases Funding Sources for Public Schools, Community Colleges, and Local Government Services by Changing Tax Assessment of Commercial and Industrial Property
Reccommended Position: Oppose
- Increased Tax on Properties - Property taxes on most commercial properties collectively worth more than $3 million would go up in order to provide new funding to local governments and schools.
- Increased Funding - Increase funding sources for K-12 public schools, community colleges, and local governments by requiring commercial and industrial real property to be taxed based on current market value, instead of purchase price.
- Additional Support to Schools - Any additional education funding will supplement existing school funding guarantees.
- Exemptions - Exempts from taxation changes: residential properties; agricultural land; and owners of commercial and industrial properties with combined value of $3 million or less. Exempts small businesses from personal property tax; for other businesses, provides more than $500,00 exemption.
- Largest Tax Increase - Will be the largest tax increase in California history - up to $12.5 billion per year.
- First Step in Ending Prop 13 - This is the first step in ending Prop 13 for everyone. Promoters made it clear they are going for homeowners next.
- Repeals Prop 13 Protections - Prop. 15 will repeal taxpayer protections in Prop. 13. Prop. 13 protections have kept property taxes affordable by capping property taxes and limiting increases annually, providing taxpayers certainty they can afford their property taxes now and into the future.
- Higher Rents - Higher taxes will raise rents for small businesses. At a time when small businesses are barely getting by due to the pandemic, promoters want to give them another reason to stress out.
- Small Businesses Are Not Protected - Nothing in Prop. 15 stops the tax from being passed on to small business tenants. This will make the current economic crisis worse by devastating and adding more pressure on neighborhood small businesses.
- No Immediate Resolution & Long-term Consequences -Does not solve the immediate crisis and will make the long-term crisis worse for many rural counties. Immediate relief is not provided for government budgets affected by COVID-19. Not all governments are guaranteed new money. Governments in rural areas can end up loosing money.
- Farmers - The increase in taxes for family farmers will result in higher costs for food.
- Increased Necessity Costs - Prop. 15 will raise the cost of living on everything people buy, including groceries, fuel, utilities, day care and health care.
- Low Priority on Schools - Promoters always love to title schools in front of a ballot, even though the revenue from Prop 15 will only be 30% to schools, with the remaining 70% going to state and local governments on whatever they want.
- There is no education reforms and zero requirements that any of the new tax money will be used to improve school performance, reduce class size, or expand after school programs. Instead it can be spent on administrative staff and outside consultants.
- Lacks Accountability - Prop. 15 lacks accountability. $1 billion each year will go in bureaucratic expenses, and politicians can spend the higher property tax revenue on anything they want, including administrative costs, outside consultants and pay raises.
- Revenue Can Be Spent on Anything - Allows politicians to drive its tax hike revenue to anything the special interest wants.
Read more about the proposition. Click Here