Flawed Property Tax Measure Undermines California’s Renewable Energy Goals, Raises Energy Costs For Families

SACRAMENTO, CA – As Californians celebrate Earth Day, backers of the $12.5 billion-a-year property tax hike are pushing forward despite the measure’s many flaws – including one that strikes at the heart of California’s renewable energy goals. Unless rejected by voters in November, the measure will eliminate an important incentive that encourages solar energy production, ultimately raising energy costs for California families.

“Our farm took on the added expense of installing solar panels under the assumption we would be able to provide a greener, more affordable product to consumers with lower future energy costs,” said Greg Van Dyke, a fifth-generation Sutter County rice farmer with a solar energy system on his property. “This flawed measure unfairly hurts farmers like me and other California businesses who strive to be sustainable and reduce our carbon footprint.”

In November 1980, California voters passed Prop 7, which exempted newly constructed solar energy systems from property taxes and created an incentive for solar energy production across the state. The property tax measure will eliminate this important incentive and subject all active solar energy systems to property taxes at their current market value as of January 1, 2022.

In addition to increasing property taxes on solar installed on farms and business properties, the measure will also impact solar energy facilities that sell their renewable energy to California utilities, leading to higher household utility bills for families.

“This massive property tax hike will not only hurt farmers but also make it even more difficult for communities like mine to produce solar energy and help California achieve its renewable energy goals,” said Daron McDaniel, Merced County Supervisor. “It’s clear that the measure’s proponents are willing to do whatever it takes – even at the expense of clean, renewable energy and higher utility costs for families – to pass their flawed measure.”

For a detailed description of how the property tax hike measure will undermine California’s renewable energy goals, view our “Flaws” page on our website.