California Proposition 1 housing bond proposal

Proposition 1, appearing on the November ballot, proposes the sale of $11.25 billion in general obligation bonds to address California's housing crisis. The initiative aims to fund various housing needs, including homes for veterans, students, farmworkers, tribes, and those experiencing homelessness.

If passed, $7.2 billion of the funds would be allocated to buying, building, or renovating apartment buildings, primarily through low-interest loans to developers. These projects would be required to reserve a specific number of units for low-income households, including supportive housing that provides additional services.

The proposal comes as California faces significant shortages; fewer than a third of cities and counties are meeting market-rate housing targets, and less than 6% are meeting very low-income housing targets. Additionally, an estimated 40,000 affordable units are currently stalled due to a lack of developer funding.