The Senate this week passed a “job killer bill” opposed by the Fullerton Chamber of Commerce and the California Chamber of Commerce that creates a split roll parcel tax at the local level.
SB 1021 (Wolk; D-Davis), passed by the Senate on May 5, authorizes school districts to impose a higher parcel tax on commercial property than residential property.
SB 1021 seeks to redefine the term “special taxes that apply uniformly” to mean special taxes that may be applied discriminatorily and unfairly.
Notably, there is nothing in SB 1021 that would prevent the school district from imposing both a parcel tax based upon use as well as a parcel tax based upon square footage, thereby allowing a district to impose layers of taxes against commercial versus residential property.
The risk of multiple, nonuniform, targeted taxes against unpopular taxpayers is exacerbated by the provision of SB 1021 that allows the district to treat multiple parcels the same if the parcels are contiguous or owned by the same owner(s). Under this provision, a school district could aggregate multiple, smaller parcels owned by one owner to capture all the properties under a square footage parcel tax. Additionally, a school district could impose a parcel …read more
Source: Fullerton Chamber of Commerce