Prop 33
Local Government Authority to Enact Rent Control
Expands Local Governments' Authority to Enact Rent Control on Residential Property
initiative statute
Official Summary
Repeals Costa-Hawkins Rental Housing Act of 1995, which currently prohibits local ordinances limiting initial residential rental rates for new tenants or rent increases for existing tenants in certain residential properties.
Fiscal Impact: Reduction in local property tax revenues of at least tens of millions of dollars annually due to likely expansion of rent control in some communities.
support: $47,664,137 - CA Nurses Assoc.; CA Alliance for Retired Americans; Mental Health Advocacy; Coalition for Economic Survival; TenantsTogether
oppose: $115,728,327 - CA Council for Affordable Housing; Women Veterans Alliance; CA Chamber of Commerce
Notes
About one-quarter of Californians currently live in communities with local rent control.
In addition to local rent control laws, a state law prevents most landlords from increasing a tenant’s rent by more than 5 percent plus inflation (up to a total of 10 percent) in a year. This law lasts until 2030.
Currently Costa-Hawkins Rental Housing Act (Costa-Hawkins), limits local rent control laws in three main ways.
rent control cannot apply to any single-family homes.
rent control cannot apply to any housing built on or after February 1, 1995
rent control laws rent control can only limit how much landlords increase rent for existing renters
Proposition 33 eliminates Costa-Hawkins so cities and counties can enact laws to control rents for any housing and can limit how much a landlord may increase rents when a new renter moves in.
Prop 34
Restricts Spending of Prescription Drug Revenues
Restricts Spending of Prescription Drug Revenues by Certain Health Care Providers
initiative statute
Official Summary
Requires certain providers to spend 98% of revenues from federal discount prescription drug program on direct patient care. Authorizes statewide negotiation of Medi-Cal drug prices.
Fiscal Impact: Increased state costs, likely in the millions of dollars annually, to enforce new rules on certain health care entities. Affected entities would pay fees to cover these costs.
support: $41,795,742 - The ALS Association; California Chronic Care Coalition; Latino Heritage Los Angeles
oppose: $15,741,006 - National Org. for Women; Consumer Watchdog; Coalition for Economic Survival; AIDS Healthcare Foundation; Dolores Huerta
Notes
Opponents of this proposition say it is a revenge proposition intent on punishing supporters of Prop 33, in particular it would affect AIDS Healthcare Foundation who sponsored Prop 33.
Affected health care entity:
participates in federal drug discount program
has/had a license to opwerate in CA as a health plan, pharmacy or clinic or has had certain contracts with Medi-Cal or Medicare
Has 10 year period where it spent more than $100 million on purposes other than direct patient care
owns & operates multifamily housing units with at least 500 severity level “high” violations
The affected entities would have to report how much revenue they earned in California and nationwide from the federal drug discount program and how they spent this revenue.
Providers tend to earn net revenue from the federal drug discount program. They do so by charging payors of health care (such as private health plans and government programs) more than the cost to provide the drugs. However, providers generally do not earn net revenue on these drugs in Medi-Cal. This is because state law bans providers from charging Medi-Cal more than the discounted price of the drug.
Penalties established would include (for 10 years):
entity loses CA tax exempt status
entity loses license
entity cannot receive state and local government contracts or grants
entity’s leaders cannot serve leadership roles in a California health plan, pharmacy or clinic
Prop 35
Permanent Funding for Medi-Cal
Provides Permanent Funding for Medi-Cal Health Care Services
initiative statute
Official Summary
Makes permanent the existing tax on managed health care insurance plans, which, if approved by the federal government, provides revenues to pay for Medi-Cal health care services.
Fiscal Impact: Short-term state costs between roughly $1 billion and $2 billion annually to increase funding for certain health programs. Total funding increase between roughly $2 billion to $5 billion annually. Unknown long-term fiscal effects.
support: $53,734,990 - Planned Parenthood Affiliates of CA; American College of Obstetricians & Gynecologists; American Academy of Pediatrics, CA
oppose: $0 - none
Notes
Expiring in 2026, there is currently a Managed Care Organization Provider Tax on certain health plans, resulting in $7 to $8 billion each year used for existing costs in the Medi-Cal program and increasing funding for Medi-Cal and other health programs.
This proposition makes the tax permanent, pending federal approval.
There are some changes to what expenses are eligible for increases. Currently eligible but would become ineligible: nonemergency medical transportation, private duty nursing, certain long term supports, continuous Medi-Cal coverage for children up to 5 yrs old. And currently ineligible but would become eligible: specified hospital services, outpatient facilities, behavioral health facilities, doctor postgraduate training programs.
Prop 36
Allows Felony Charges and Increased Sentences
Allows Felony Charges and Increases Sentences for Certain Drug and Theft Crimes
initiative statute
Official Summary
Allows felony charges for possessing certain drugs and for thefts under $950, if defendant has two prior drug or theft convictions.
Fiscal Impact: State criminal justice costs likely ranging from several tens of millions of dollars to the low hundreds of millions of dollars annually. Local criminal justice costs likely in the tens of millions of dollars annually.
support: $17,575,355 - Crime Victims United of CA; California District Attorneys Association; Family Business Association of CA
oppose: $7,436,047 - Diana Becton, District Attorney Contra Costa County; Crime Survivors for Safety and Justice
Notes
In 2014, Proposition 47 changed some theft and drug crimes from felonies to misdemeanors. For example, shoplifting (stealing items worth $950 or less from a store) and drug possession generally became misdemeanors.
This proposition:
increases punishment for some theft and drug crimes
theft of items worth $950 or less is a felony if the person has two or more past convictions for certain theft crimes (such as shoplifting, burglary, or carjacking). The sentence would be up to three years in county jail or state prison.
allows felony sentences for theft or damage of property to be lengthened by up to three years if three or more people committed the crime together
requires sentences for selling certain drugs (such as fentanyl, heroin, cocaine, or methamphetamine) be served in prison instead of county jail
allows people who possess illegal drugs to be charged with a “treatment-mandated felony,” instead of a misdemeanor for those that possess certain drugs (such as fentanyl, heroin, cocaine, or methamphetamine) and have two or more past convictions for some drug crimes. Those who finish treatment would have their charges dismissed. Those who do not finish treatment could serve up to three years in state prison.
requires courts to warn people that they could be charged with murder if they sell or provide illegal drugs that kill someone.
Proposition 1
Constitutional Right to Reproductive Freedom
legislative constitutional amendment
Official Summary
Existing California laws provide that every individual has a fundamental right to privacy in their personal reproductive decisions, which includes the fundamental right to choose to have an abortion and the fundamental right to choose or refuse contraceptives.
This measure would amend the California Constitution to expressly include these fundamental rights and prohibit the State from denying or interfering with an individual's reproductive freedom in their most intimate decisions.
This amendment is intended to further the existing California constitutional rights to privacy and equal protection, and does not narrow or limit these rights.
Fiscal Impact: No direct fiscal effect because reproductive rights already are protected by state law.
support: $9,180,211 - Planned Parenthood, Toni Atkins
oppose: $69,682
Notes
Proposition 26
Allows In-Person Roulette, Dice Games, Sports Wagering on Tribal Lands
initiative constitutional amendment and statute
Official Summary
Allows federally recognized Indian tribes to operate roulette, dice games, and sports wagering on-site on tribal lands, if authorized by gaming compacts approved by the State.
Allows sports wagering at certain licensed horseracing tracks in four counties for persons 21 years and older, and imposes 10% tax on sports-wagering profits at these tracks; directs revenues to state General Fund (70%), problem-gambling programs (15%), and enforcement (15%).
Prohibits marketing of sports wagering to persons under 21.
Allows private lawsuits to enforce certain gambling laws.
Fiscal Impact: Increased state revenues, possibly reaching the tens of millions of dollars annually, from racetrack and tribal casino sports betting payments and gambling penalties. Some of these revenues would be a shift from existing state revenues.
Increased state costs to regulate in-person sports betting, possibly reaching the low tens of millions of dollars annually. Some or all of these costs would be offset by the increase in state revenues.
Increased state costs to enforce gambling laws, not likely to exceed the low millions of dollars annually. Some of these costs could be offset by the increase in state revenues.
support: $123,398,220
oppose: $49,044,673
Notes
In
Proposition 27
Allows Online and Mobile Sports Wagering Outside Tribal Lands
initiative constitutional amendment and statute
Official Summary
Legalizes online and mobile sports wagering for persons 21 years and older.
Such wagering may be offered only by federally recognized Indian tribes and eligible businesses that contract with them.
Individuals placing bets must be in California and not located on tribal lands.
Requires licensing fees and imposes 10% tax on sports-wagering revenues.
Directs tax and licensing revenues first to regulatory costs, then remainder to homelessness programs (85%) and nonparticipating tribes (15%).
Specifies licensing, regulatory, consumer-protection, and betting-integrity standards for sports wagering.
Fiscal Impact: Increased state revenues, possibly in the hundreds of millions of dollars but likely not more than $500 million annually, from sports betting payments and penalties. Some of these revenues would be a shift from existing state revenues.
Increased state costs to regulate online sports betting, possibly reaching the mid-tens of millions of dollars annually. Some or all of these costs would be offset by the increased revenues.
support: $169,248,331
oppose: $214,617,866
Notes
Proposition 28
Provides Additional Funding for Arts and Music Education in Public Schools
initiative statute
Official Summary
Provides additional funding for arts and music education in all K–12 public schools (including charter schools) by annually allocating from state General Fund an amount equal to 1% of required state and local funding for public schools.
Allocates greater proportion of the additional funds to schools serving more economically disadvantaged students.
Schools with 500 or more students must spend at least 80% of the funding to employ teachers and remainder on training, supplies, and education partnerships.
Requires audits and limits administrative costs to 1% of the funding.
Fiscal Impact: Increased state costs of about $1 billion annually, beginning next year, for arts education in public schools.
support: $9,868,119
oppose: none
Notes
Proposition 29
Requires On-Site Licensed Medical Professional at Kidney Dialysis Clinics and Establishes Other State Requirements
initiative statute
Official Summary
Requires physician, nurse practitioner, or physician assistant, with six months’ relevant experience, on site during treatment at outpatient kidney dialysis clinics; authorizes exemption for staffing shortage if qualified medical professional is available through telehealth.
Requires clinics to disclose to patients all physicians with clinic ownership interests of five percent or more.
Requires clinics to report dialysis-related infection data to state.
Prohibits clinics from closing or substantially reducing services without state approval.
Prohibits clinics from refusing to treat patients based on source of payment.
Fiscal Impact: Increased state and local government costs likely in the tens of millions of dollars annually.
support: $7,509,562 - Unions
oppose: $86,333,867
Notes
Proposition 30
Provides Funding for Programs to Reduce Air Pollution and Prevent Wildfires by Increasing Tax on Personal Income Over $2 Million
initiative statute
Official Summary
Increases tax on personal income over $2 million by 1.75% for individuals and married couples and allocates new tax revenues as follows: (1) 45% for rebates and other incentives for zero-emission vehicle purchases and 35% for charging stations for zero-emission vehicles, with at least half of this funding directed to low-income households and communities; and (2) 20% for wildfire prevention and suppression programs, with priority given to hiring and training firefighters.
Requires audits of programs and expenditures.
Fiscal Impact: Increased state tax revenue ranging from $3.5 billion to $5 billion annually, with the new funding used to support zero-emission vehicle programs (80 percent) and wildfire response and prevention activities (20 percent).
support: $37,135,250
oppose: $12,004,944
Notes
Proposition 31
Referendum on 2020 Law That Would Prohibit the Retail Sale of Certain Flavored Tobacco Products
approval of law
Official Summary
A “Yes” vote approves (and allows to take effect) a law enacted by the State Legislature in 2020 that:
Prohibits the retail sale of certain flavored tobacco products (including, but not limited to, cigarettes, e-cigarettes, chewing tobacco, and snuff) and tobacco flavor enhancers.
Excludes from prohibition certain premium handmade cigars, loose leaf tobacco (not intended for making cigarettes), and shisha tobacco products (if sold by a hookah tobacco retailer meeting specified conditions).
A “No” vote rejects the law and prevents it from taking effect.
Fiscal Impact: Decreased state tobacco tax revenues ranging from tens of millions of dollars annually to around $100 million annually.
support: $6,268,438
oppose: $22,910,614
Notes
Proposition 14
Authorizes Bonds Continuing Stem Cell Research
Authorizes Bonds Continuing Stem Cell Research
initiative statute
Official Summary
Authorizes $5.5 billion state bonds for: stem cell and other medical research, including training; research facility construction; administrative costs. Dedicates $1.5 billion to brain-related diseases. Appropriates General Fund moneys for repayment. Expands related programs.
Fiscal Impact: Increased state costs to repay bonds estimated at about $260 million per year over the next roughly 30 years.
support: $12,810,328 - JDRF, ROBERT N. KLEIN
oppose: $250
Notes
In 2004, voters approved Proposition 71, which created CIRM and issued $3.00 billion in bonds to finance CIRM, and almost all of that money is gone. So this replenishes the funding source.
Repayment would amount to $260 million/yr.
Proposition 15
Changes Tax Assessment of Commercial and Industrial Property
Increases Funding Sources for Public Schools, Community Colleges, and Local Government Services by Changing Tax Assessment of Commercial and Industrial Property
initiative constitutional amendment
Official Summary
Taxes such properties based on current market value, instead of purchase price.
Fiscal Impact: Increased property taxes on commercial properties worth more than $3 million providing $6.5 billion to $11.5 billion in new funding to local governments and schools.
support: $56,320,926 - Mark Zuckerberg ($13M), CA Teachers
oppose: $60,905,901 - California Business Roundtable Issues PAC (half)
Notes
If the owner has more than $3 million of commercial land and buildings in California, tax on current market value, instead of purchase price. Reduces the taxable value of each business’s equipment by $500,000 starting in 2024. Businesses with less than $500,000 of equipment pay no taxes on those items. All property taxes on business equipment are eliminated for California businesses that meet certain rules and have 50 or fewer employees.
Proposition 16
Allows Diversity as a Factor in Public Employment, Education, and Contracting Decisions
Allows Diversity as a Factor in Public Employment, Education, and Contracting Decisions
legislative constitutional amendment
Official Summary
Permits government decision-making policies to consider race, sex, color, ethnicity, or national origin in order to address diversity by repealing constitutional provision prohibiting such policies.
Fiscal Impact: No direct fiscal effect on state and local entities. The effects of the measure depend on the future choices of state and local government entities and are highly uncertain.
support: $19,926,905 - CA Teachers Assn, M. Quinn Delaney, healthcare companies
oppose: $1,172,614
Notes
Essentially re-instates Affirmative Action based on race, sex, color , ethnicity or country of origin for schools and public agencies, which was banned in CA via proposition in 1996.
Proposition 17
Restores Right to Vote After Completion of Prison Term
Restores Right to Vote After Completion of Prison Term
legislative constitutional amendment
Official Summary
Restores voting rights upon completion of prison term to persons who have been disqualified from voting while serving a prison term.
Fiscal Impact: Annual county costs, likely in the hundreds of thousands of dollars statewide, for voter registration and ballot materials. One-time state costs, likely in the hundreds of thousands of dollars, for voter registration cards and systems.
support: $1,363,887 - Patty Quillin, Susan Pritzker, ACLU, CA Democratic Party
oppose: none
Notes
Allows People on State Parole to Register to Vote.
Proposition 18
Permits 17-Year-Olds to Vote in Primary and Special Elections if They Will Turn 18 by the Next General Election
Amends California Constitution to Permit 17-Year-Olds to Vote in Primary and Special Elections if They Will Turn 18 by the Next General Election and Be Otherwise Eligible to Vote
legislative constitutional amendment
Official Summary
Fiscal Impact: Increased statewide county costs likely between several hundreds of thousands of dollars and $1 million every two years. Increased one-time costs to the state of hundreds of thousands of dollars.
support: $835,064
oppose:
Notes
Proposition 19
Changes Certain Property Tax Rules about Transferral of Tax Basis
Changes Certain Property Tax Rules
legislative constitutional amendment
Official Summary
Allows homeowners who are over 55, disabled, or wildfire/disaster victims to transfer primary residence’s tax base to replacement residence. Changes taxation of family-property transfers. Establishes fire protection services fund.
Fiscal Impact: Local governments could gain tens of millions of dollars of property tax revenue per year, probably growing over time to a few hundred million dollars per year. Schools could receive similar property tax gains.
support: $37,794,775 - CA Assn of Realtors
oppose: $45,050
Notes
Currently, homeowners who are over 55 or severely disabled or whose property has been impacted by a natural disaster / contamination can move within the same county (or to certain other counties) and keep paying the same amount of property taxes if their new home is not more expensive than their existing home. Homeowners who are over 55 or severely disabled generally can use these special rules only once in their lifetime.
New:
Allows moves anywhere in the state, instead of just within the county or to a county that allows the transfer of cost basis.
Allows the purchase of a more expensive home - their property tax bill would still go up but not by as much as it would for other homebuyers.
Homeowners who are over 55 or severely disabled could use the special rules three times in their lifetime, instead of once.
Special rules also allow properties to pass between parents and children without an increase in the property tax bill. These rules also apply to grandparents and grandchildren if the grandchildren’s parents are deceased.
New:
The special inheritance rules would apply only to a primary home or farm, and would go up if the value of the property exceeds the property’s taxable value by more than $1 million (adjusted for inflation every two years). In this case, the tax bill would go up but not as much as it would if the property were sold to someone else.
Also creates California Fire Response Fund (CFRF) and County Revenue Protection Fund (CRPF).
Proposition 20
Restricts Parole for Certain Offenses Currently Considered to be Non-Violent. Authorizes Felony Sentences for Certain Offenses Currently Treated Only as Misdemeanors.
Restricts Parole for Certain Offenses Currently Considered to be Non-Violent. Authorizes Felony Sentences for Certain Offenses Currently Treated Only as Misdemeanors.
initiative statute
Official Summary
Limits access to parole program established for non-violent offenders who have completed the full term of their primary offense by eliminating eligibility for certain offenses.
Fiscal Impact: Increase in state and local correctional, court, and law enforcement costs likely in the tens of millions of dollars annually, depending on implementation.
support: $4,829,677 - Devin Nunes, Police organizations, CA Grocers Assn
oppose: $20,471,086 - Mark Zuckerberg, Patty Quillin, Brown for Governor 2014
Notes
Increases sentencing for some theft crimes
Increase supervision for some on parole for theft related crimes
Limits those who can be considered for release consideration
Adds some theft crimes to list of crimes to collect DNA
Proposition 21
Expands Local Governments' Authority to Enact Rent Control on Residential Property
Expands Local Governments' Authority to Enact Rent Control on Residential Property
initiative statute
Official Summary
Allows local governments to establish rent control on residential properties over 15 years old. Local limits on rate increases may differ from statewide limit.
Fiscal Impact: Overall, a potential reduction in state and local revenues in the high tens of millions of dollars per year over time. Depending on actions by local communities, revenue losses could be less or more.
support: $40,184,953 - AIDS Healthcare Foundation
oppose: $59,379,159 - CA Business Roundtable Issues PAC, real estate rental companies
Notes
Current rent control law is Costa-Hawkins Rental Housing Act which says rent control (limiting the increase in rent from one year to the next):
cannot apply to any single-family homes
can never apply to any newly built housing completed on or after February 1, 1995
cannot tell landlords what they can charge a new renter when first moving in
Change:
can apply to any property over 15 years old, not including single-family homes owned by people with two or fewer properties
cities and counties can limit how much a landlord can increase rents when a new renter moves in. Communities that do so must allow a landlord to increase rents by up to 15 percent during the first three years after a new renter moves in.
The measure requires that rent control laws allow landlords a fair rate of return.
Proposition 22
Exempts App-Based Transportation and Delivery Companies From Providing Employee Benefits to Certain Drivers
Exempts App-Based Transportation and Delivery Companies From Providing Employee Benefits to Certain Drivers
initiative statute
Official Summary
Classifies app-based drivers as "independent contractors," instead of "employees," and provides independent-contractor drivers other compensation, unless certain criteria are met.
Fiscal Impact: Minor increase in state income taxes paid by rideshare and delivery company drivers and investors.
support: $188,937,777 - Lyft, Uber, Doordash, Instacart, Postmates
oppose: $15,896,808 - unions
Notes
Recently the CA Legislature passed AB5 which requires companies and non profits to classify workers as employees instead of independent contractors, including paying employee benefits. To remain an independent contractor, an individual must pass the following 3 tests:
The worker is free to perform services without the control or direction of the company.
The worker is performing work tasks that are outside the usual course of the company’s business activities.
The worker is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.
It has a significant impact in a number of industries. This proposition is the rideshare industry’s answer to it. The proposition specifies that the rideshare gig workers are independent contractors and not employees. It also includes:
Earnings Minimum (120% of the local minimum wage), a Health Insurance Stipend for drivers who normally work more than 15 hours per week, companies will pay for medical costs and some lost income replacement when a driver gets hurt on the job, prohibits drivers from working more than 12 hours in a 24-hour period for a single rideshare or delivery company, prohibits workplace discrimination and requires that companies: (1) develop sexual harassment policies, (2) conduct criminal background checks, and (3) mandate safety training for drivers. Also, it limits the ability of local government to set additional rules.
AB 2257 was passed in Sept 2020 exempting certain workers from AB5, but not rideshare workers: still and video photographers and editors, freelance writers, content contributors, editors, translators, fine artists, and musicians under written contracts. Also, people who provide underwriting inspections and other services for the insurance industry, a manufactured housing salesperson, subject to certain obligations, people engaged by an international exchange visitor program, as specified, consulting services, animal services, competition judges with specialized skills, licensed landscape architects, specialized performers teaching master classes, registered professional foresters, real estate appraisers and home inspectors, and feedback aggregators.