BILL NUMBER: AB 1790	CHAPTERED  09/01/00

	CHAPTER   272
	FILED WITH SECRETARY OF STATE   SEPTEMBER 1, 2000
	APPROVED BY GOVERNOR   AUGUST 31, 2000
	PASSED THE ASSEMBLY   AUGUST 22, 2000
	PASSED THE SENATE   AUGUST 18, 2000
	AMENDED IN SENATE   AUGUST 10, 2000
	AMENDED IN SENATE   JULY 5, 2000
	AMENDED IN SENATE   JUNE 1, 2000
	AMENDED IN ASSEMBLY   MARCH 20, 2000
	AMENDED IN ASSEMBLY   MARCH 13, 2000

INTRODUCED BY   Assembly Member Wiggins
   (Coauthors:  Assembly Members Rod Pacheco and Zettel)

                        JANUARY 26, 2000

   An act to amend Section 53 of the Revenue and Taxation Code,
relating to grapes.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1790, Wiggins.  Tax relief:  vineyards:  Pierce's Disease.
   The California Constitution exempts grapevines from property
taxation until 3 years after the season in which they were planted in
vineyard form.  Existing statutory provisions authorize a county
board of supervisors to provide by ordinance that, thereafter, the
property tax base year value of substantially equivalent grapevines
that are planted to replace certain grapevines that were removed
solely as a result of a phylloxera infestation or Pierce's Disease,
shall be the property tax base year value of the removed grapevines
factored to the lien date of the first taxable year of the
replacement grapevines.  In order to fall within this exemption, the
replacement grapevines must be substantially equivalent, as provided,
to the grapevines that were replaced.
   This bill would delete that portion of these substantial
equivalence restrictions limiting the type of the replacement
grapevines, and would revise and recast those portions of those
restrictions addressing planting density.
   This bill would incorporate additional changes in Section 53 of
the Revenue and Taxation Code, proposed by SB 1445, to be operative
only if SB 1445 and this bill are both chaptered and become effective
January 1, 2001, and this bill is chaptered last.


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


  SECTION 1.  Section 53 of the Revenue and Taxation Code is amended
to read:
   53.  (a) Except as provided in subdivision (b), the initial base
year value for fruit and nut trees and grapevines subject to
exemption pursuant to subdivision (i) of Section 3 of Article XIII of
the California Constitution shall be the full cash value of those
properties as of the lien date of their first taxable year.
   (b) A county board of supervisors may, after consulting with
affected local agencies within the county's boundaries, provide by
ordinance that the initial base year value for replacement grapevines
that are planted to replace grapevines less than 15 years of age
that were removed solely as a result of phylloxera infestation or
Pierce's Disease, and are planted on the same parcel as the replaced
grapevines, as certified in writing by the county agricultural
commissioner, shall be the base year value of the removed grapevines
factored to the lien date of the first taxable year of the
replacement grapevines.  The assignment of base year replacement
value shall be limited to that portion of the replacement grapevines
that are substantially equivalent to the grapevines that were
replaced, if the replacement grapevines are planted at a greater
density.
  SEC. 1.5.  Section 53 of the Revenue and Taxation Code is amended
to read:
   53.  (a) Except as provided in subdivision (b), the initial base
year value for fruit and nut trees and grapevines subject to
exemption pursuant to subdivision (i) of Section 3 of Article XIII of
the California Constitution shall be the full cash value of those
properties as of the lien date of their first taxable year.
   (b) A county board of supervisors may, after consulting with
affected local agencies within the county's boundaries, provide by
ordinance that the initial base year value for replacement grapevines
that are planted to replace grapevines that were removed solely as a
result of phylloxera infestation, or Pierce's disease (caused by the
bacterium xylella fastidiosa), and are planted on the same parcel as
the replaced grapevines, as certified in writing by the county
agricultural commissioner, shall be the base year value of the
removed grapevines factored to the lien date of the first taxable
year of the replacement grapevines.  The assignment of base year
replacement value shall be limited to that portion of the replacement
grapevines that are substantially equivalent to the grapevines that
were replaced, if the replacement grapevines are planted at a greater
density.
  SEC. 2.  Section 1.5 of this bill incorporates amendments to
Section 53 of the Revenue and Taxation Code proposed by both this
bill and SB 1445.  It shall only become operative if (1) both bills
are enacted and become effective on or before January 1, 2001, (2)
each bill amends Section 53 of the Revenue and Taxation Code, and (3)
this bill is enacted after SB 1445, in which case Section 1 of this
bill shall not become operative.