Proposition 19: Creates a Complicated Property Tax Scheme and Reinforces Racial Inequities in California

As one of the most complicated measures on the November 2020 state ballot, Proposition 19 would make significant changes to California’s residential property tax system. The proposition would expand a property tax loophole for older, mostly wealthier homeowners, while covering the cost by narrowing another special tax rule for inherited properties – and would then require state and local governments to track how much their tax revenues change as a result, requiring new administrative infrastructure. Altogether Prop. 19 would likely result in increased state and local revenues on net – but not for all counties – while most of the newly available state dollars would be restricted to a new special fund limited to use for supporting fire response.