Official Summary Text
SB 623, as amended, Archuleta.
Property taxation: homeowners’, veterans’, and disabled veterans’ exemptions.
Veterans’ Bond Act of 2026.
Under existing law, there are programs providing assistance for, among other things, emergency housing, multifamily housing, farmworker housing, home ownership for very low and low-income households, and downpayment assistance for first-time home buyers. Existing law also authorizes the issuance of bonds in specified amounts pursuant to the State General Obligation Bond Law and requires that proceeds from the sale of these bonds be used to finance various existing housing programs, capital outlay related to infill development, brownfield cleanup that promotes infill development, and housing-related parks. Existing law, the Veterans and Affordable Housing Bond Act of 2018, authorizes the issuance of bonds in the amount of $4,000,000,000 to finance, among other things, various existing housing programs,
infill infrastructure financing, and affordable housing matching grant programs, as provided, pursuant to the State General Obligation Bond Law.
This bill would enact the Veterans’ Bond Act of 2026, which, if adopted would authorize $1,250,000,000 pursuant to the State General Obligation Bond Law. The proceeds from the sale of these bonds would be used to create a fund to provide farm and home aid for veterans, as provided.
This bill would provide for submission of the bond act to the voters at the November 3, 2026, statewide general election in accordance with specified law.
The California Constitution declares that all property is taxable and establishes or authorizes various exemptions from tax for real property, including a homeowners’ exemption in the amount of $7,000 of the full value of a dwelling that may be applied unless the dwelling receives another real property exemption. The California Constitution and existing property tax law establish a veterans’ exemption in the amount of $4,000, as specified, for a veteran who meets certain military service requirements, and generally exempts from property taxation the same value of property of a deceased veteran’s unmarried spouse and parents. The California Constitution and existing property tax law establish a disabled veterans’ exemption in the amount of $100,000 or $150,000 for the principal place of residence of a veteran or a veteran’s spouse, as specified.
Existing property tax law establishing the homeowners’ exemption specifies that the exemption may not be applied to a property on which the owner receives the veterans’ exemption.
This bill would provide that if Senate Constitutional Amendment ____ is approved by the voters at the statewide general election scheduled for November 3, 2026, then commencing January 1, 2025, notwithstanding that prohibition, the homeowners’ exemption also applies to property on which an owner receives the veterans’ exemption or the disabled veterans’ exemption. 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 no reimbursement is required by this act for a specified reason.
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.
Existing law contains provisions related to elections and voting, including a requirement that a constitutional amendment submitted to the people by the Legislature appear on
the ballot of the first statewide election occurring at least 131 days after the adoption of the proposal by the Legislature and that the Secretary of State mail state voter information guides to voters.
This bill would require the Secretary of State, notwithstanding specified provisions of existing law relating to elections and voting, to submit Senate Constitutional Amendment ____ of the 2025–26 Regular Session to the voters for their approval at the statewide general election scheduled for November 3, 2026.