In the short term, the tax liability for affected residents would be re-evaluated to reflect damage to the property. Later on, affected residents would be able to repair or rebuild their homes without incurring higher property tax bills.
The legislation would also protect residents who choose to move instead of rebuild, according to Portantino's office.
The bill, which has already been approved by the Assembly, passed the Senate's Revenue & Taxation Committee this week. It will now go to the Appropriations Committee before a full Senate vote.
"I'm hoping the senators see the merit behind this," Portantino said.
The legislation was originally written in the wake of the Station fire, which burned 160,000 acres to become the largest fire in Los Angeles County history.
It was then amended to include the areas affected in the ensuing winter storms, including the February debris flows in La Cañada Flintridge that damaged dozens of homes and left nine inhabitable.
La Cañada City Councilman Stephen Del Guercio said the proposed tax relief would help keep affected residents from incurring even more financial difficulties.
Some affected residents had lived in their homes for decades and likely wouldn't be able to pay a higher property tax bill, he added.
"It could very well force them to move if this relief wasn't provided," Del Guercio said.
The proposed bill was also expanded to include eight other counties that Gov. Arnold Schwarzenegger also designated as natural disaster areas, including those in Los Angeles, Orange, Riverside and San Bernardino counties.
In addition to the help for homeowners, the legislation would provide a one-year reimbursement to the counties for any property tax losses related to natural disasters.