The biggest problem facing Californians right now is that everything costs too much — and Proposition 5 would make things even worse.

Proposition 5 would make it easier for cities, counties and special districts to increase property taxes to pay for our already massive debt levels in California. That means higher rent, higher costs to own a home or business, and higher prices for groceries and other everyday items. 

Supporters claim Proposition 5 would make housing more affordable. That sounds great, but tax increases don’t make things more affordable, they make things more expensive. 

Proposition 5 would change the state Constitution to make it easier for local governments to incur more debt. Under the current Constitution, it takes a two-thirds vote of the public (66.7 percent) to authorize general obligation bonds. If Proposition 5 passes, the threshold will be much lower — 55 percent — so more debt will pile up and property taxes will increase to pay for it.

There is no reason for taxpayers to change the two-thirds vote, which has been required since California became a state. It is a reasonable threshold that has benefitted taxpayers. 

Bonds can be very expensive, and debt financing should be considered only when there is widespread community support, before the government commits taxpayers to years of debt repayments.

For each dollar borrowed through bonds, the taxpayers are forced to pay approximately $1.70 to $2 to repay the debt with interest (the amount is based on the interest rate, so it varies depending on when the bonds are issued). 

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