Proposition 2

Proposition 2 -- Homeless housing What it does: Lawmakers placed Proposition 2 on the ballot to get voters’ approval to alter the terms of Proposition 63, the “millionaires’ tax” surcharge on high-income earners approved at the 2004 election to pay for mental health services. Proposition 2 authorizes $2 billion in bonds to build permanent housing that would include a direct connection to social services for homeless people who are mentally ill. It also would allow the state to repay the bonds with up to $140 million a year of the funds raised by the Proposition 63 “millionaires’ tax,” thus lowering the amount that would go to counties to pay for mental health services. Both issues are in court. Voter approval of Proposition 2 would make those cases moot.How much it costs: The Legislative Analyst’s Office estimates that approval would shift $140 million a year from county mental health services to repaying the bonds for homeless housing.

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  • Yes - For the Measure

  • No - Against the Measure

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Statements for and against the measure:

Supporters: Construction trades unions and housing advocacy groups supporting Proposition 1; Mental Health America of California; Sacramento Mayor Darrell Steinberg, author of Proposition 63.

What they say: The measure tackles what has become a public health crisis – homelessness for the chronically mentally ill. The measure would not cost taxpayers any more money. A requirement to provide coordinated care would force police, mental health experts and housing advocates to work together.
Opponents: National Alliance on Mental Illness, Contra Costa

What they say: The measure would be too costly – housing could be built on a pay-as-you-go basis rather than spending extra on bond interest and administrative fees. It would not do anything to relax legal and zoning barriers to establishing housing for severely mentally ill people.