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California bills · 2025-2026 Regular Session

California SB 1172

Bradley-Burns Uniform Local Sales and Use Tax Law: tax sharing agreements.

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

Sponsors

Summary

Official abstract published by the California legislature· summary

Existing law prohibits a local agency from entering into any form of agreement that would result, directly or indirectly, in the payment, transfer, diversion, or rebate of any tax revenue resulting from the imposition of a sales and use tax under the Bradley-Burns Uniform Local Sales and Use Tax Law to any person for any purpose when the agreement results in a reduction in the amount of revenue under the Bradley-Burns Uniform Local Sales and Use Tax Law that, in the absence of the agreement, would be received by another local agency and the retailer continues to maintain a physical presence within the territorial jurisdiction of that other local agency. Existing law also requires a local agency entering into an agreement that results in a reduction of the amount of revenue under the Bradley-Burns Uniform Local Sales and Use Tax Law that, in the absence of the agreement, would be received by another local agency to take certain actions with respect to that agreement, including posting the proposed agreement on its internet website for at least 30 days prior to ratification or approval of that agreement by its governing body. This bill would prohibit a person from paying compensation to a consultant with respect to a specific tax sharing agreement, as defined, that exceeds the lower of 5% of the total tax revenues shared pursuant to the tax sharing agreement and $250,000. The bill would define a tax sharing agreement for this purpose to mean any agreement that would result, directly or indirectly, in the payment, transfer, diversion, or rebate of any tax revenue resulting from the imposition of a sales and use tax under the Bradley-Burns Uniform Local Sales and Use Tax Law to any person for any purpose. The bill would exclude from these provisions agreements between a local agency and a member of the agency's staff directly employed by the jurisdiction or technical consultants providing noncompensated advisory services. The bill would apply these provisions only to agreements entered into on and after January 1, 2027. The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

Text versions

Roll-call votes

State vote data last updated Oct 14, 2026, 12:15 PM.

DateVoteResultYour legislators
Aug 24, 2026
Senate		Unfinished Business SB1172 Hurtado ConcurrencepassSet your home in California to see
Aug 13, 2026
House		SB 1172 Hurtado Senate Third Reading By StefanipassSet your home in California to see
Jun 29, 2026
House		Do pass as amended.passSet your home in California to see
Jun 17, 2026
House		Do pass and be re-referred to the Committee on [Revenue and Taxation]passSet your home in California to see
May 19, 2026
Senate		3rd ReadingpassSet your home in California to see
Apr 22, 2026
Senate		Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations]passSet your home in California to see
Apr 15, 2026
Senate		Do pass, but first be re-referred to the Committee on [Revenue and Taxation]passSet your home in California to see

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