CBPA’s Business Cleanup Act Makes Headlines

Commercial Real Estate Leaders,

On Monday, CBPA, Sacramento Mayor Kevin McCarty, and Assemblymember Stephanie Nguyen formally announced our industry sponsored bill, AB 1435 - The Business Clean-Up Relief Act of 2025, which provides tax relief to businesses burdened with cleanup costs from encampments on private property.

Below you will find a press release with more information on the announcement. You can also view photos from the event here and the audio recording here. The announcement has garnered media attention with coverage from The Sacramento Bee, Fox40 News, and KFBK Radio.

This legislation is a strong first step toward addressing a critical issue affecting our members and businesses statewide, and we will continue to keep you updated as AB 1435 moves through the legislative process.

PRESS RELEASE

CBPA, Assemblymember Nguyen, and Mayor McCarty Unveil AB 1435 to Aid Businesses Impacted by Encampments

Press Conference Held in Sacramento on Monday Morning

Sacramento, CA — On Monday, April 21, California Business Properties Association (CBPA) joined Assemblymember Stephanie Nguyen (D-Elk Grove), Sacramento Mayor Kevin McCarty, over a dozen local business and property owners, and community supporters to unveil AB 1435 – The Business Clean-Up Relief Act of 2025. The legislation aims to provide tax relief to businesses burdened with cleanup costs from encampments on private property.

“I’m proud to support this measure on behalf of our City of Sacramento,” said Mayor McCarty. “We need to help small businesses deal with this issue that we as government should be addressing. Thank you Assemblymember Nguyen for addressing this issue – we stand in full support,” he added.

Held outside Pho Xe Lua on Stockton Boulevard, the press conference highlighted the impact of encampments on local businesses and the need for targeted support. AB 1435, sponsored by CBPA, proposes a five-year tax credit (2026–2030) covering 100% of expenses related to waste removal, vandalism repair, and security improvements.

“Business owners have had to clean up encampments that have surrounded their businesses,” said Assemblymember Nguyen. “This bill is not about blame, it’s about support. It’s about supporting many of these small businesses that stand with me up here,” she added.

The bill was introduced in response to rising encampment activity on commercial properties following the City of Grants Pass v. Johnson decision, which reaffirmed the ability of cities to enforce no-camping laws on public land.

“As a result of the Grants Pass v. Johnson decision, some encampments are moving from public property to private property,” stated Matthew Hargrove, President and CEO of CBPA. “We’re here to stand with small business owners and to get some resources to deal with these issues,” he added.

The event came ahead of Assemblymember Nguyen’s presentation of the bill later that day in the Assembly Revenue and Taxation Committee, where it was placed on the committee’s suspense file.