Proposition 8

What is Proposition 8?

Proposition 8, passed in November 1978, amended Proposition 13 to reflect declines in property value. As a result, Revenue & Taxation Code Section 51 requires the Assessor to annually enroll the lesser of either a property's Proposition 13 base year value (factored for inflation), or its market value as of January 1st (taking into account any factors causing a decline in value).

What does Proposition 8 mean to me?

Reductions in assessed value under Prop 8 are temporary reductions which recognize the fact that the current market value of a property has fallen below its current (Prop 13) assessed value. Once a Prop 8 value has been enrolled, a property's value must be reviewed each year until the Prop 13 value is again lower than the market value and is reinstated. Prop 8 values can change from year to year as the market fluctuates up and down, but in no case may a value higher than the property's Prop 13 factored value be assigned.

Your assessed value can increase more than 2% in a single year if you have new construction (e.g. adding a room or swimming pool), had a temporary reduction due to Prop. 8, or had a qualifying change in ownership. Some Placer County property owners whose properties were in the Decline in Value Program may see an increase in their assessed value more than two percent (2%) when restoring to the factored base year value.

How do I request a Decline in Value Review?

The Assessor prepared the 2007-08 assessment roll. Due to market conditions, recently purchased properties are being reviewed to determine if they qualified for a decline in value assessment as of January 1, 2008. If you think your property is assessed at a value that is higher than the market value as of January 1, 2008, you may submit a "2008-09 Request for Decline in Value Review" form with the County Assessor's Department. The Assessor will review the property assessment as of January 1, 2008, for the 2008-2009 tax years. You will be notified by mail after a review has taken place.

Assessor forms are available by either contacting the Placer County Assessor's Department

or online at: www.placer.ca.gov/Departments/Assessor.aspx