BOMA/GLA Advocates for Industrywide Solutions to Measure ULA 

In the final week of the session, Sacramento lawmakers floated a deal on SB 423 that would have eased Measure ULA taxes for some apartments but left commercial properties with no relief. The bill ultimately did not move forward, but the effort signals what may return next year. 

Here’s What Happened:

Lawmakers proposed a limited exemption from Measure ULA, but it only applied to apartment buildings constructed in the last 15 years. 

Commercial buildings were not included—even though owners and managers are also significantly impacted by ULA’s costs. 

Sacramento lawmakers worked closely with Mayor Karen Bass and her appointed negotiator, former Assembly Speaker Bob Hertzberg, to push the proposal forward before it was pulled. 

Why It Matters:

This proposal missed an opportunity for a more comprehensive solution. ULA isn’t just a challenge for housing developers—it affects the broader real estate industry. Addressing it piecemeal fails to reflect the real burdens faced across the sector. 

BOMA/GLA led the opposition and emphasized that any reform to ULA must consider the entire industry, not just one segment. At the same time, we are encouraged to see the Mayor’s office begin exploring reforms and would welcome the opportunity to be part of the conversation.  

What’s Next:

Although SB 423 did not pass, exemptions will likely come up again next year. BOMA/GLA will continue to be at the table to ensure commercial real estate is represented and that lawmakers pursue comprehensive and balanced solutions.