SAN DIEGO, CA — The University of Southern California (USC) released a report showing that every county in California stands to benefit from ensuring commercial and industrial properties are assessed at fair market value, with San Diego among cities to gain the most.
The report also found that an estimated 78% of the revenue would come from only 6% of commercial and industrial properties, and estimates that California stands to reclaim $10.3 and $12.6 billion every year.
The details of the report validate the Schools & Communities First initiative, showing that Californians can bring back resources to their communities for schools and local services while protecting homeowners and small businesses by closing corporate property tax loopholes.
The Schools & Communities First initiative would reclaim $12 billion every year for schools and local communities by closing corporate property tax loopholes, while protecting all residential property and small business property worth $3 million or less. The initiative would also maintain the 1% property tax cap across the board, ensuring businesses in California continue paying some of the lowest property tax rates in the entire country.
This report comes as recent polling has shown the Schools & Communities First initiative to be supported by 58% of likely California voters.
Nathan Fletcher, San Diego County supervisor, issued the following statement:
“This measure will close an egregious loophole and begin to restore basic fairness in our tax system. Corporations in California have been using loopholes to avoid paying their fair share for far too long while our schools and communities have suffered as a result. This funding will go a long way in ensuring that our communities have what they need to thrive. This is money that can be invested into tackling issues of housing affordability and homelessness, mental health, parks, ensuring we have clean water, creating job training programs, and meet the needs of our most vulnerable community members. Reclaiming this funding will have a positive impact across San Diego—and California—into perpetuity without raising taxes while protecting homeowners.