|
Sacramento, CA — Yesterday, AB 1435 – The Business Clean-Up Relief Act of 2025 – was held in the Assembly Revenue and Taxation Committee pausing its advancement this legislative session.
The bill, introduced by Assemblymember Stephanie Nguyen (D-Elk Grove), aimed to provide targeted tax relief to businesses and commercial property owners burdened by the high costs of unauthorized encampment cleanup. Despite recent amendments that narrowed its scope and strengthened fiscal accountability, the measure was held on the committee’s suspense file due to the state’s uncertain fiscal outlook and projected budget deficit.
“I’m disappointed that AB 1435 didn’t move today, but the conversation it started is an important one,” said Assemblymember Nguyen. “We need real solutions for small businesses and property owners who are struggling with costs that are not of their own making. I remain committed to working with my colleagues to find a path forward.”
Sponsored by the California Business Properties Association (CBPA), the bill had garnered strong support from business leaders, local officials, and community advocates. It proposed a capped tax credit for documented cleanup expenses such as waste removal and minor property repairs related to unauthorized encampments. Recent amendments added tighter guardrails to ensure the bill remained narrowly focused and fiscally responsible.
“We appreciate the work of the author and the committee and recognize this is a tough budget year,” said Matthew Hargrove, President and CEO of CBPA. “But this is just the beginning of the conversation of how to address homeless encampment cleanup costs. We’re committed to continuing the effort to find meaningful relief for businesses impacted by major costs of cleanup.”
CBPA and its partners plan to continue advocating for policy solutions that address the growing challenges faced by commercial property owners due to homelessness and public space degradation.
| 
