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California bills · 2025-2026 Regular Session

California AB 672

Real property tax: welfare exemption: community land trusts.

  1. Introduced
  2. In committee
  3. Passed House
  4. Passed Senate
  5. To Governor
  6. Became law

Sponsors

Summary

Official abstract published by the California legislature· summary

Existing property tax law, pursuant to constitutional authorization, provides for a "welfare exemption" for property used exclusively for religious, hospital, scientific, or charitable purposes and that is owned or operated by certain types of nonprofit entities, if certain qualifying criteria are met. Existing law also provides, until January 1, 2027, that property is within the welfare exemption if that property is owned by a community land trust, as defined, otherwise qualifying for the welfare exemption, and specified conditions are met, including that the property is being or will be developed or rehabilitated as housing, as specified. Existing law, however, makes community land trusts liable for property tax for the years for which the property was exempt from taxation if the property was not developed or rehabilitated, or if the development or rehabilitation is not in the course of construction, by January 1, 2027, for property acquired before January 1, 2022, or within 5 years of the lien date following acquisition of the property, for property acquired on and after January 1, 2022. This bill would extend the operation of these provisions until January 1, 2032. The bill would make various conforming changes, including with respect to the lien dates for which the exemption applies. Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements. This bill would state that it is the intent of the Legislature to apply those requirements to the above-described exemption and would set forth specified information relating to those requirements. In that regard, the bill would require the assessor to provide the State Board of Equalization with certain information and would require the assessor to retain that information, as specified. By imposing additional duties on local tax officials, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above. Existing law requires the state to reimburse local agencies annually for certain property tax revenues lost as a result of any exemption or classification of property for purposes of ad valorem property taxation. This bill would provide that, notwithstanding those provisions, no appropriation is made and the state shall not reimburse local agencies for property tax revenues lost by them pursuant to the bill. This bill would take effect immediately as a tax levy.

Text versions

Roll-call votes

State vote data last updated Oct 14, 2026, 8:13 PM.

DateVoteResultYour legislators
Aug 27, 2026
House		AB 672 Caloza Concurrence in Senate AmendmentspassSet your home in California to see
Aug 27, 2026
House		With recommendation: That Senate amendments be concurred in.passSet your home in California to see
Aug 25, 2026
Senate		3rd Reading AB672 Caloza By GraysonpassSet your home in California to see
Aug 13, 2026
Senate		Do passpassSet your home in California to see
Jun 22, 2026
Senate		Placed on suspense filepassSet your home in California to see
Jun 10, 2026
Senate		Do pass, but first be re-referred to the Committee on [Appropriations]passSet your home in California to see
Jul 15, 2025
Senate		Do pass, but first be re-referred to the Committee on [Appropriations]passSet your home in California to see
Jun 25, 2025
Senate		Do pass, but first be re-referred to the Committee on [Judiciary]passSet your home in California to see
May 15, 2025
House		AB 672 Caloza Assembly Third ReadingpassSet your home in California to see
May 7, 2025
House		Do pass.passSet your home in California to see
Apr 8, 2025
House		Do pass and be re-referred to the Committee on [Appropriations]passSet your home in California to see
Mar 19, 2025
House		Do pass and be re-referred to the Committee on [Judiciary]passSet your home in California to see

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