Property taxation: welfare exemption: leased property: City of San Diego: Redevelopment Agency of the City of San Diego.

Existing property tax law, in accordance with the California Constitution, provides for a "welfare exemption" for property that is 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. This bill would provide that property used exclusively for charitable purposes and located within the former Naval Training Center in San Diego and leased by the City of San Diego or the Redevelopment Agency of the City of San Diego to a nonprofit entity or to an entity controlled by the nonprofit entity shall be deemed to be included within the welfare exemption and shall be entitled to a partial exemption, as specified, in any year in which the development of the property is being financed with funds made available through specified federal tax credit programs. This bill would make legislative findings and declarations as to the necessity of a special statute. By imposing new duties upon local tax officials with respect to the welfare exemption, this 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 these statutory provisions. Section 2229 of the Revenue and Taxation Code requires the Legislature 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 Section 2229 of the Revenue and Taxation Code, 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.