SB 184: State government.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

(1)Existing property tax law requires the county auditor, in each fiscal year, to allocate property tax revenue to local jurisdictions in accordance with specified formulas and procedures, and generally provides that each jurisdiction be allocated an amount equal to the total of the amount of revenue allocated to that jurisdiction in the prior fiscal year, subject to certain modifications, and that jurisdiction’s portion of the annual tax increment, as defined.

Existing property tax law also requires that, for purposes of determining property tax revenue allocations in each county for the 1992–93 and 1993–94 fiscal years, the amounts of property tax revenue deemed allocated in the prior fiscal year to the county, cities, and special districts be reduced in accordance with certain formulas. It requires that the revenues not allocated to the county, cities, and special districts as a result of these reductions be transferred to the Educational Revenue Augmentation Fund in that county for allocation to school districts, community college districts, and the county office of education.

The Vehicle License Fee Law imposes a license fee for the privilege of operating upon the public highways in this state of specified vehicles, including any vehicle of a type that is subject to registration under the Vehicle Code. Beginning with the 2004–05 fiscal year and for each fiscal year thereafter, existing law requires that each city, county, and city and county receive additional property tax revenues in the form of a vehicle license fee adjustment amount, as defined, from a Vehicle License Fee Property Tax Compensation Fund that exists in each county treasury. Existing law requires that these additional allocations be funded from ad valorem property tax revenues otherwise required to be allocated to educational entities.

This bill would state the intent of the Legislature for the state to work collaboratively with the representatives of the County of Alpine, the County of Mono, and the County of San Mateo, representatives of cities within those counties, and representatives of other potentially impacted cities and counties to develop mutually agreeable legislative and fiscal solutions to the revenue shortfall from the vehicle license fee that the counties and cities are experiencing due to the operation of the above-described provisions relating to additional property tax revenues and vehicle license fees. The bill would further state the intent of the Legislature that any solution be operative beginning in the 2027–28 fiscal year and apply to all state counties and cities to the extent those counties and cities experience revenue shortfall from the vehicle license fee in any fiscal year beginning with the 2027–28 fiscal year.

(2)Existing law establishes the Victims of Corporate Fraud Compensation Fund, a continuously appropriated fund, within the State Treasury administered by the Secretary of State, the sole purpose of which is to provide restitution to victims of corporate fraud. Existing law provides that an aggrieved person who obtains a final judgment, as specified, against a corporation based upon the corporation’s fraud, misrepresentation, or deceit, made with intent to defraud, may file an application with the Secretary of State for payment from the fund for the amount unpaid on the judgment that represents the awarded actual and direct loss to the claimant in the final judgment.

This bill would prohibit the Secretary of State from accepting any new applications from claimants for payment from the fund. The bill would require the Secretary of State to wind down the activities of the fund in accordance with certain procedures. The bill would provide that funding for purposes other than those described in those provisions after all outstanding claims are paid is contingent upon an appropriation of funds by the Legislature in the annual Budget Act.

Sponsors

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. August 30, 2026Ordered to third reading.
2. August 30, 2026(Ayes 56. Noes 19. Page 6855.)
3. August 30, 2026Withdrawn from committee pursuant to Assembly Rule 96.
4. August 28, 2026From committee with author's amendments. Read second time and amended. Re-referred to Com. on BUDGET.
5. March 24, 2025Referred to Com. on BUDGET.
6. March 20, 2025In Assembly. Read first time. Held at Desk.
7. March 20, 2025Read third time. Passed. (Ayes 28. Noes 10. Page 458.) Ordered to the Assembly.
8. March 18, 2025Read second time. Ordered to third reading.
9. March 17, 2025Ordered to second reading.
10. March 17, 2025Withdrawn from committee. (Ayes 27. Noes 10. Page 384.)
11. February 5, 2025Referred to Com. on B. & F. R.
12. January 24, 2025From printer. May be acted upon on or after February 23.