Nov. 12, 2024
Unlike market-rate homes, affordable housing takes a village to finance and build. The federal government chips in with tax credits, and depending on the budget that year, the state might subsidize projects it deems worthy.
Neither are enough on their own, so it’s up to local governments to fill in the rest.
But in California, cities need approval from more than two-thirds of voters to raise property taxes in order to borrow money for projects. In 2000, voters were OK with lowering that threshold to a simple majority to pass bonds for public school improvements. This week, they rejected a similar measure, Proposition 5, which would have set the same threshold for affordable housing construction and public infrastructure bonds.