News & Press

November 2018 Voters Guide

Election day is November 6, 2018. This is your opportunity to help shape our industry. Make sure you are prepared to cast your vote and learn about the ballot measures that will have the most impact on the construction industry.

2018 Voters Guide

The AGC State Board of Directors and AGC District Boards have made the following recommendations for the November Ballot. Information about state measures can be accessed at the Secretary of State’s website at  www.voterguide.sos.ca.gov.  

Statewide Ballot Measures

PROPOSITION 1 - NEUTRAL

Authorizes Bonds to Fund Specified Housing Assistance Programs.

Proposition 1 would authorize $4 billion in general obligation bonds for housing-related programs, loans, grants, and projects and housing loans for veterans. This bond would supplement existing housing programs by $3B and dedicate $1B for purchase assistance. Because this bond focuses on loans, preservation, rehabilitation, and purchase assistance, there are very limited “new” construction/production dollars. The State Building Trade are among the largest contributors to the effort to pass the measure.

PROPOSITION 2 - SUPPORT

Authorizes Bonds to Fund Existing Housing Program for Individuals with Mental Illness.

This measure changes the law to add flexibility for the appropriation of current tax revenues for mental illness housing to homeless prevention housing. Some housing construction production may be expected as a result.

PROPOSITION 3 - NEUTRAL

Authorizes Bonds to Fund Projects for Water Supply and Quality, Watershed, Fish, Wildlife, Water Conveyance, and Ground Water Sustainability and Storage.

This bond would issue $8.8 billion in general obligation bonds for water-related infrastructure and environmental projects. The state fiscal analyst said the bond would generate about $8.4 billion in interest over a 40-year period, meaning the bond would cost the state a total of $17.3 billion. Proposition 1 of 2014 authorized $7 billion in bond authority which has not been completely exercised. This measure doesn’t offer any significant “new construction”.

PROPOSITION 4 - SUPPORT

Authorizes Bonds Funding Construction at Hospitals Providing Children's Health Care. Initiative Statute.

$1.5 billion in general obligation bonds to provide for grants to children’s hospitals for construction, expansion, renovation, and equipment projects. The state’s legislative analyst estimated that interest on the bond would be $1.4 billion over 35 years, bringing the total cost of the bond to $2.9 billion.

PROPOSITION 5 - OPPOSE

Changes Requirements for Certain Property Owners to Transfer their Property Tax Base to Replacement Property.

Proposition 5 would amend Proposition 13 (1978) to allow home-buyers who are age 55 or older or severely disabled to transfer the tax-assessed value from their prior home to their new home, no matter (a) the new home’s market value; (b) the new home’s location in the state; or (c) the number of moves.

In the short term, this will allow property owners to carry their property value into a new property so as not to reset their property tax exposure Annual property tax losses for cities, counties, and special districts of around $150 million. Over the long run, these property tax losses will grow over time to $1 billion or more per year (in today’s dollars) resulting in less money for public works projects.

PROPOSITION 6 - OPPOSE

Eliminates Certain Road Repair and Transportation Funding. Requires Certain Fuel Taxes and Vehicle Fees be Approved by the Electorate.

The Road Repair and Accountability Act of 2017 (RRAA), also known as Senate Bill 1, was enacted into law on April 28, 2017. The RRAA increase the gas tax by $0.12 per gallon, increased the diesel fuel tax by $0.20 per gallon, increased the sales tax on diesel fuels by an additional percentage points, created an annual transportation improvement fee, and created an annual zero-emission vehicles fee. The RRAA was designed to dedicate the revenue to transportation infrastructure. Proposition 6 would eliminate SB-1 funding, putting a halt to current and future projects.

PROPOSITION 10 - OPPOSE

Expands Local Governments' Authority to Enact Rent Control on Residential Property.

Proposition 10 that would repeal the Costa-Hawkins Rental Housing Act (Costa-Hawkins), thus allowing local governments to adopt rent control ordinances—regulations that govern how much landlords can charge tenants for renting apartments and houses. Proposition 10 would also state that a local government’s rent control ordinance shall not abridge a fair rate of return for landlords. The elimination of Costa-Hawkins would have a downward pressure on new rental housing development over time if local municipalities passed ordinances to limit rents. Mixed use and rental housing development projects will likely be more difficult to finance as a result.  


2018 Voters Guide


Not registered or need to make changes to your voter registration? You can register to vote online at RegisterToVote.ca.gov. The deadline to register to vote is October 22, 2018.