BILL NUMBER: SB 1562	CHAPTERED  09/26/08

	CHAPTER  356
	FILED WITH SECRETARY OF STATE  SEPTEMBER 26, 2008
	APPROVED BY GOVERNOR  SEPTEMBER 26, 2008
	PASSED THE SENATE  AUGUST 11, 2008
	PASSED THE ASSEMBLY  AUGUST 7, 2008
	AMENDED IN ASSEMBLY  JUNE 25, 2008
	AMENDED IN SENATE  MAY 27, 2008
	AMENDED IN SENATE  MAY 19, 2008

INTRODUCED BY   Senators Hollingsworth and Ducheny
   (Coauthors: Senators Battin, Denham, and Dutton)
   (Coauthors: Assembly Members Anderson, Blakeslee, Horton, La
Malfa, and Maze)

                        FEBRUARY 22, 2008

   An act to amend Section 211 of the Revenue and Taxation Code,
relating to disaster relief, to take effect immediately, tax levy.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1562, Hollingsworth. Property taxation: exemption:
fruit-bearing and nut-bearing trees and grapevines: freeze, wildfire,
and wind relief.
   The California Constitution exempts from property taxation fruit
and nut trees until 4 years after the season in which they were
planted in orchard form and grapevines until 3 years after the season
in which they were planted in vineyard form. Existing statutory law
implementing these exemptions specifies that any fruit-bearing or
nut-bearing tree or any grapevine that was severely damaged during
the exemption period by the December 1990 freeze, or any
fruit-bearing or nut-bearing tree that was severely damaged during
the exemption period by the December 1998 or January 2007 freeze so
as to require pruning to the trunk or bud union to establish a new
shoot as a replacement for the damaged tree or grapevine, is to be
considered a new planting in orchard form.
   This bill would modify this statutory provision to also apply to
any fruit-bearing or nut-bearing tree or any grapevine that was
similarly damaged by the extremely strong and damaging winds that
commenced on October 20, 2007, and by the wildfires that commenced on
October 21, 2007, that were the subject of the Governor's
proclamations of a state of emergency.
   Section 2229 of the Revenue and Taxation Code requires the
Legislature to reimburse local agencies annually for certain property
tax revenues lost as a result of any exemption or classification of
property for purposes of ad valorem property taxation.
   This bill would provide that, notwithstanding Section 2229 of the
Revenue and Taxation Code, no appropriation is made and the state
shall not reimburse local agencies for property tax revenues lost by
them pursuant to the bill.
   This bill would take effect immediately as a tax levy.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 211 of the Revenue and Taxation Code is amended
to read:
   211.  (a) (1) The exemption of fruit- and nut-bearing trees until
four years after the season in which they were planted in orchard
form and grapevines until three years after the season in which they
were planted in vineyard form is as specified in subdivision (i) of
Section 3 of Article XIII of the California Constitution.
   (2) For purposes of exemption pursuant to this subdivision, any
fruit- or nut-bearing tree, or any grapevine, severely damaged during
the exemption period by the December 1990 freeze so as to require
pruning to the trunk or bud union to establish a new shoot as a
replacement for the damaged tree or grapevine, shall be considered a
new planting in orchard or vineyard form.
   (3) For purposes of exemption pursuant to this subdivision, any
fruit- or nut-bearing tree severely damaged during the exemption
period by the December 1998 freeze or the January 2007 freeze so as
to require pruning to the trunk or bud union to establish a new shoot
as a replacement for the damaged tree shall be considered a new
planting in orchard form.
   (4) For purposes of exemption pursuant to this subdivision, any
fruit- or nut-bearing tree, or any grapevine, severely damaged during
the exemption period by the extremely strong and damaging winds that
commenced on October 20, 2007, that were the subject of the Governor'
s November 2, 2007, proclamation of a state of emergency so as to
require pruning to the trunk or bud union to establish a new shoot as
a replacement for the damaged tree or grapevine, shall be considered
a new planting in orchard form.
   (5) For purposes of exemption pursuant to this subdivision, any
fruit- or nut-bearing tree, or any grapevine, severely damaged during
the exemption period by the wildfires that commenced on October 21,
2007, that were the subject of the Governor's October 21, 2007,
proclamation of a state of emergency so as to require pruning to the
trunk or bud union to establish a new shoot as a replacement for the
damaged tree or grapevine, shall be considered a new planting in
orchard form.
   (b) The exemption of timber is as specified in subdivision (j) of
Section 3 of Article XIII of the California Constitution and Section
436.
  SEC. 2.  Notwithstanding Section 2229 of the Revenue and Taxation
Code, no appropriation is made by this act and the state shall not
reimburse any local agency for any property tax revenues lost by it
pursuant to this act.
  SEC. 3.  This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.