Saturday, September 19, 2020

Propositions! November 2020 (Second Batch)

 

There are a bunch of propositions on the November ballot, and some of them are pretty dense, so I had to break them down into two batches - here is the second batch.  The first batch is here: https://peterallenforag.blogspot.com/2020/09/propositions-november-2020-first-batch.html

Proposition 19 - Maybe no?  This one is a bit tricky to figure out what to do with, as it has some good parts and some less good parts. Under Proposition 13's limits on property taxes, properties are reassessed at market value (usually a significant increase) when they are bought/sold/transferred, but there are some exceptions/exemptions, and Proposition 19 tweaks those exemptions.

Under current law, certain people (over 55, disabled, fire and disaster victims) can take their (low) Prop 13 tax assessment with them when they buy a new house, but only to certain counties, and only if they buy a new house that is cheaper than their old one. (This is because the purpose of the exception was to allow old people who wanted to downsize to do so without getting hit with a big increase in their property taxes.) Proposition 19 would allow these sellers to take their tax assessment anywhere else in the state (a good thing, as the county-by-county limitation is bizarrely arbitrary), but would also allow the Prop 13 assessment to be used to reduce the assessment on a more expensive house (this is not so good - essentially a tax subsidy for someone who likely has plenty of money and is upgrading rather than downsizing).

Under current law, transfers from a parent to child do not trigger a reassessment - in other words, the children get to keep the parents' Prop 13 assessment.  This is true whether the children live in the house or not - they could rent it out or use it as a vacation home. Proposition 19 narrows this exemption, and only allows the children to keep the Prop 13 assessment if they live in the house. This seems like a good thing to me, as it reduces the tax subsidy granted by Proposition 13, and would likely result in increased property tax revenue.

Proposition 19 would earmark the increased proceeds for a California Fire Response Fund. I don't have a problem with the state spending money on fire response - I think that is a good thing. But budgeting-by-initiative that locks in funding for things, no matter how good, makes it harder for the state to adjust its budget. The legislature and the governor (no matter what you think of them) can no longer re-prioritize spending to meet the state's changing needs.

Overall, it is a close call, but I think we are a bit better off without Proposition 19, so I would lean towards a no vote.

Proposition 20 - No. This proposition goes deep into the weeds of criminal sentencing and parole, but its intent is clear - longer prison sentences for criminal convictions (including non-violent ones), make it harder to qualify for parole, and require many more DNA samples to be taken and maintained by the government. And it would reverse prior propositions approved by the voters. It is basically trying to turn the clock back to an earlier "tough-on-crime" approach that failed in everything but ballooning California's prison population. It was a bad idea then, and is a bad idea to repeat now. Vote no.

Proposition 22 - No. This is the Uber/Lyft/DoorDash sponsored measure to undo a state law (AB 5) that categorized their drivers as employees, rather than independent contractors. Under Proposition 22, app-based drivers would be considered independent contractors rather than employees. (Proposition 22 does not affect other businesses covered by AB 5.) It also requires that app-based drivers get certain benefits, such as insurance coverage.

I tend to dislike initiatives like this one that are put on the ballot by deep-pocketed companies for their own benefit. This is an attempt by corporations to protect their profits at the expense of their workers by overturning legislation passed to protect those workers. (Who will all probably be out of work anyway once autonomous cars become feasible, so it is not clear how long the impact of this will last.) Slimy. Vote no.

Proposition 23 - No. This is sort of like a proposition that we voted "no" on a few years ago, and would impose more regulations on kidney dialysis clinics, such as having a physician on duty all the time. I can't say that I'm a fan of corporate dialysis clinics, but this one is weird, and appears to be the latest manifestation of a fight we don't have a dog in rather than a response to a specific need to have these particular regulations imposed on dialysis clinics.  Looks to me like another abuse of the initiative process. Vote no.

Proposition 24 - No. Proposition 24 tweaks another recently-passed law on data privacy.  This one is really complicated and detailed, and has some decent stuff in it, but it has a couple of things that give me pause.  One, it creates a new state agency for data protection, rather than just having the attorney general's office address it.  Creating a new state agency when one is not needed is a bad (and expensive) idea. Second, it allows for "paying for privacy" schemes, where businesses could offer discounts to those who waive privacy rights.  For more details, EFF has a nice analysis here: https://www.eff.org/deeplinks/2020/07/why-eff-doesnt-support-cal-prop-24

My inclination is to vote no.

Proposition 25 - Yes. The legislature recently passed a bill, SB 10, that replaces cash bail for criminal suspects with a risk-based assessment that considers risk of not showing up and risk to public safety. (Low risk suspects get released, high risk suspects stay locked up, medium risk suspects could go either way.) Not surprisingly, the bail bond industry does not like this, and have sponsored a "veto referendum" (which I didn't even know was a thing).

The way the veto referendum works is like you are voting anew on SB 10, so voting yes means to approve SB 10's shift from cash bail to a risk-based assessment system. Voting no would repeal SB 10.

There are some valid criticisms of SB10's risk-based assessment system, including that it would likely incorporate racially-biased criteria. But overall it seems like a step in the right direction. Additionally, Proposition 25 (like Proposition 22) is another attempt by an industry to use the ballot box to protect its bottom line, regardless of the public's interest. My inclination is to vote yes.

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