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Garcetti presses for proposed property tax measure in State of City
Measure EE would have disproportionate impact on multifamily landlords, critics say
Mayor Eric Garcetti continued his push for a controversial property tax measure that could impose additional financial burdens on landlords of large buildings.
In his annual State of City speech Wednesday, the mayor largely focused on ways to improve education in the city, the Los Angeles Times reported.
One of those ways, he says, is through the passage of proposed tax Measure EE, which will most affect large property owners.
On the June 4 ballot, the proposal is estimated to bring in about $500 million per year for the school district. But the tax is based on the square footage of enclosed space, meaning owners of large multifamily complexes or mansions would be taxed more heavily than others.
Opponents argue that the tax should be structured as a flat tax on every parcel — that way the burden would be spread out more evenly. It need two-thirds of the vote to pass, and could result in an additional $160 per year in assessed taxes on a 1,000-square-foot house, according to the Times.
Revenue from the proposed tax, which would expire in 12 years, would be dedicated to shrinking the budget deficit.
Separately, Garcetti — who was reelected in 2017 — mentioned that the first housing project funded through Proposition HHH is expected to open later this year. That statewide measure passed in 2016 as a way to address the homeless crisis, though the city has yet to complete one project with the funds collected. [LAT] — Natalie Hoberman