But questions still remain about whether Governor Brown, who has been somewhat unpredictable in the past when it’s come to financial decisions, will actually sign the legislation.
AB 428 uses tax credits to provide 30% of the cost of retrofitting buildings that aren’t up to current seismic standards. Building owners would get the tax credits on a first-come, first-served basis, and would receive the money over a five year period after completing the retrofit. Every $100 spent on a retrofit would create a $30 tax break. The credit would cap at $12 million every year, in addition to any leftover money from the previous year that is rolled over.
Opponents of the bill aren’t against it on a fundamental ground, but a financial one. Their concern is that a first-come, first-served tax credit isn’t the smartest way to fund the retrofits.
Debra Carlton, senior vice president of public affairs for the California Apartment Association
Lenny Goldberg, executive director of the California Tax Reform Association