(1) The California Constitution generally limits the maximum rate of ad valorem tax on real property to 1% of the full cash value of the property and defines "full cash value" for these purposes as the appraised value of real property when purchased, newly constructed, or a change in ownership has occurred after the 1975 assessment. Pursuant to constitutional authorization, existing property tax law excludes from the definition of "newly constructed" for these purposes the construction or addition of any active solar energy system, as defined, through the 2025–26 fiscal year, as provided. Existing law provides the exclusion for an active solar energy system applies to the initial purchaser of a new building, as provided, and requires the initial purchaser to file a claim with the assessor.
California AB 1516 (20252026) — Real property taxation.
(1) The California Constitution generally limits the maximum rate of ad valorem tax on real property to 1% of the full cash value of the property and defines "full cash value" for these purposes as the appraised value of real property when purchased, newly constructed, or a change in ownership has occurred after the 1975 assessment. Pursuant to constitutional authorization, existing property tax law excludes from the definition of "newly constructed" for these purposes the construction or addition of any active solar energy system, as defined, through the 2025–26 fiscal year, as provided. Existing law provides the exclusion for an active solar energy system applies to the initial purchaser of a new building, as provided, and requires the initial purchaser to file a claim with the assessor.
Version chain
The bill's text revisions, in order — the diff chain from filing to enrollment.
AB 1516 REV. & TAX. Consent Calendar Second Day — 69–0 (pass) · lower
Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar — 5–0 (pass) · upper
Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar — 7–0 (pass) · lower
Sponsors
Committee on Revenue and Taxation — primary (person)
Timeline
The legislative action history — every referral, reading, and vote.
2025-03-13 Read first time. To print. reading-1
2025-03-14 From printer. May be heard in committee April 13.
2025-03-24 Referred to Com. on REV. & TAX. referral-committee
2025-04-22 From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (April 21). Re-referred to Com. on APPR. committee-passage, committee-passage-favorable, referral-committee
2025-05-07 From committee: Do pass. To Consent Calendar. (Ayes 15. Noes 0.) (May 7). committee-passage, committee-passage-favorable
2025-05-08 Read second time. Ordered to Consent Calendar. reading-1, reading-2
2025-05-15 Read third time. Passed. Ordered to the Senate. (Ayes 69. Noes 0. Page 1570.) passage, reading-1, reading-3
2025-05-15 In Senate. Read first time. To Com. on RLS. for assignment. reading-1
2025-05-28 Referred to Com. on REV. & TAX. referral-committee
2025-06-25 From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 5. Noes 0.) (June 25). Re-referred to Com. on APPR. committee-passage, committee-passage-favorable, referral-committee
2025-07-07 From committee: Be ordered to second reading file pursuant to Senate Rule 28.8 and ordered to Consent Calendar. committee-passage, reading-2
2025-07-08 Read second time. Ordered to Consent Calendar. reading-1, reading-2
2025-07-10 Read third time. Passed. Ordered to the Assembly. (Ayes 37. Noes 0. Page 2044.). passage, reading-1, reading-3
2025-07-10 In Assembly. Ordered to Engrossing and Enrolling. committee-passage
2025-07-15 Enrolled and presented to the Governor at 3:30 p.m.
2025-07-28 Approved by the Governor. executive-signature
2025-07-28 Chaptered by Secretary of State - Chapter 72, Statutes of 2025. became-law
Source
OpenStates / OpenCivicData bulk snapshot 2026-07-01; origin ocd-bill/5eb53bb2-09c7-4bf6-a09a-e623f8e0ca2b. Confidence: reported (aggregated from official California legislature records).