Relating to: levy increase limits in political subdivisions with qualifying parking lot redevelopment. (FE)

AB 985 adjusts how cities and towns calculate property tax increases when redeveloping parking lots into commercial or residential buildings. It specifically applies to political subdivisions (like cities) that convert at least 40% of a parcel's paved parking area into new construction, such as buildings. The key change adds a 50% boost (multiplying by 1.5) to the property tax value increase from these parking lot redevelopments when calculating annual tax growth limits. This adjustment applies to all qualifying projects, with separate rules for certain tax increment districts (TIDs) created after 2024.