What Is Prop 1: Housing Bond Measure Explained

LOS ANGELES, CA — If voters approve Proposition 1, which polls indicate they are likely to do, it would authorize the sale of $4 billion in bonds aimed at easing the state's housing crisis. The money raised would help build and renovate rentals, construct housing near city transportation centers and for agricultural workers, and provide home loan and down payment assistance to vets and low- and moderate-income homebuyers.

The bonds would cost the state roughly $170 million annually over the next 35 years to repay. According to a SurveyUSA released in mid-October, about 62 percent of voters said they favored the measure.

The measure enjoys broad support from Democrats, cities up and down the state, and veteran, labor and business groups. There isn’t an organized opposition to the measure, and no money has been raised to fight the measure, according to Ballotpedia.

The official ballot argument against Proposition 1 encourages voters to question the wisdom of the measure.
“How far in debt is the government already?,” asks Gary Wesley, who wrote the official argument against the measure. “Are the proposed uses justified—given other things that may be needed or desired?"

The official argument in favor of the measure was written by former commander of California Disabled American Veterans Gerald G. Wilson, Sharon Ellis, chair of Habitat for Humanity California, and Gary Passmore, president of the Congress of California Seniors.

“YES on Prop. 1 means relief from the crushing housing crisis that is devastating Californians and taking its harshest toll on veterans, hardworking families, seniors, and people with disabilities,” they wrote. “Prop. 1 is the ONLY proposition that directly addresses the shortage of housing by building more affordable homes—WITHOUT RAISING TAXES.”

Specifically, the measure’s spending breakdown Includes:

• $1.5 billion for low-income housing
• $1 billion for veterans home loans
• $450 million for high-density transit hub housing projects
• $300 million for an agricultural workforce housing program
• $300 million for manufactured and mobile homes.
• $450 million for down payment help for low- and moderate-income homebuyers

(Photo by David McNew/Getty Images)