California Qualifies Anti-Tax Ballot Measure Aimed at L.A.’s ‘Mansion Tax’

Overview

• The California Secretary of State, who verified signatures Tuesday, placed the “Local Taxpayer Protection Act” on the November ballot.
• The proposal would cap local real estate transfer taxes far below Los Angeles’ Measure ULA and require two-thirds voter approval for many citizen-led tax increases.
• Measure ULA taxes sales above $5 million at 4% and above $10 million at 5.5%, has raised just over $1.1 billion in three years, and funds tenant aid and affordable housing projects that could lose support if the state measure passes.
• Nonpartisan analysts estimate cities would lose a couple of billion dollars each year, with heavy effects in places that rely on transfer taxes such as Berkeley, San Mateo, and Alameda.
• Los Angeles leaders are weighing local fixes, with a council committee meeting Friday and an end-of-April deadline to propose exemptions and administrative tweaks, while sponsors say they will not withdraw the statewide measure despite a June pullback window and polling that shows 57% opposition.