OAKLAND, Calif. (KTVU) - The battle over rent control is about to reach the ballot box. This November, California voters will decide on Proposition 10, which loosens state regulations on local rent control laws. The measure repeals the Costa-Hawkins Rental Housing Act, which currently prevents cities from regulating the rent on homes built after 1995.
In simpler terms, "Prop. 10 allows local cities to implement rent control again," said Yvonne Leow, co-founder of the non-partisan By the Bay voter guide.
The measure is backed by several groups, including the California Democratic Party, the American Civil Liberties Union, and several labor organizations. The "Yes on 10" campaign says the measure is limited and won't solve California's housing problems, but does provide local governments the ability to address the issue their way. "This would be a statewide mandate to implement rent control wherever [cities] see fit," said Leow.
The "No on 10" campaign argues that the measure does not include protections for homeowners and takes away incentives for landlords to maintain and improve their properties. Opponents also claim the measure would reduce home values for middle class families. "That's not necessarily true. That's presuming cities do implement rent control," said Leow "The caveat is that cities may or may not."
The Legislative Analyst's Office Predicts if cities choose to enforce rent control, Proposition 10 would likely reduce state and local revenues in the long term, but the amount of revenue lost would depend on how many cities take advantage of the option.