Prop 2: Tax revenue for homelessness prevention measure
November 1, 2020
What it does
Proposition 2 formalized the No Place Like Home Program, which funds permanent housing for people at risk of homelessness. It wanted to authorize the state to use $2 billion in bonds from Proposition 63 to provide housing for people in need of mental health services.
Under the No Place Like Home program, Prop 2 proposed building 20,000 permanent housing units. The units would have services such as medical support, case managers, teachers and job training.
Pros
Prop 2 supporters argue that California would need to spend the money from Prop 63 anyway, so Prop 2 allows it to be spent most efficiently. “This is a catalyst to do a lot more in the housing area for the homeless population,” said Sacramento mayor Darrell Steinberg. Supporters also argued that for years, California had neglected to properly address the homelessness issue, and Prop 2 would solve it for once and for all.
Cons
Detractors of Prop 2 believe that it doesn’t properly achieve its goals. Prop 2 only directs money to the cause of combating homelessness without providing real structure, they complain, and without considering factors such as local neighborhood hostility or restrictive zoning laws. “Bonds are not free money. Selling $2 billion in bonds requires the repayment of not only the $2 billion but interest as well. This means squandering over $1 billion that should have gone to mental health services on interest,” said The Orange County Register in an op-ed piece.
Voting Results
The proposition was approved by the electron on Nov 6, 2018, with a 63.43% majority voting yes. The decision was questioned in 2016, but did not pass due to litigation.