Proposition 33: What California’s rent control ballot measure would do

California voters decided on only one proposition on the March primary ballot — narrowly approving Gov. Gavin Newsom’s mental health measure, Proposition 1.

In November, voters will determine the fate of 10 propositions — including whether to borrow a combined $20 billion for climate programs and school construction, whether to approve three amendments to the state constitution and what direction to take on crime, health care and taxes.

What’s next?

Stocktonia is committed to bringing you accurate, fair election coverage. We regularly will bring you news and information on local, regional and state measures and races that will impact our community.

Coming Saturday: Proposition 36

The 2024 ballot is still more crowded than in 2022, when there were only seven measures, the fewest in more than a century.

Of the 10 propositions on the ballot this year, Stockton voters are especially interested in Proposition 33, which allows local governments to impose rent controls.

The measure is the latest attempt to roll back a state law that generally prevents cities and counties from limiting rents in properties first occupied after Feb. 1, 1995.

Here’s what you need to know about Prop. 33:

What would it do?

Many cities, including Stockton, limit the amount a landlord can raise the rent each year — a policy known as rent control. But for nearly 30 years, California has imposed limits on those limits, via a law known as Costa-Hawkins. Cities cannot set rent control on single-family homes or apartments built after 1995. And landlords are free to set their own rental rates when new tenants move in. 

If Proposition 33 passes, that would change. Cities would be allowed to control rents on any type of housing — including single-family homes and new apartments, and for new tenants.

Why is it on the ballot?

Nearly 30% of California renters spend more than half their income on rent, higher than in any other state except Florida and Louisiana, according to the Public Policy Institute of California. 

To change that, tenant advocates have been fighting Costa-Hawkins for years, but so far, without success. They tried to overturn it with ballot measures in 2018 and 2020. Lawmakers also tried with legislation. While those efforts failed, Gov. Gavin Newsom in 2019 signed a law limiting annual rent increases statewide to 5% plus inflation.

Supporters of Prop. 33 say that doesn’t go far enough. They hope this finally is the year to upend the decades-old rules controlling rent control. But landlord groups opposing the idea tend to have deep pockets and have been willing to spend a small fortune to convince voters that rent control is not the answer to the state’s housing crisis.

Proponents

Arguments in support of Prop. 33 boil down to one basic point: The rent is too high. Teachers, police officers and firefighters starting their careers are paying half their salary to live in many California cities, while others on fixed incomes are one step away from homelessness. 

Supporters argue rent control works well in many cities to help keep people housed. And, they say, passing Prop. 33 will return decisions about rent control back to local governments, which can pass tailored policies that work for their residents.

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Opponents

Opponents say if cities adopt strict rent control ordinances, it will make California’s already dire housing shortage even worse. They argue property values will drop and developers will be less likely to build new housing, which, in turn, will drive up prices in existing rental units. 

Critics also point out the measure does not actually include protections for renters.

After all, opponents argue, California voters have shot down this proposal twice already.

Funders

A total of $118 million has been invested in Prop. 33, with $41.8 million raised in support of the ballot measure and $76.6 million raised to fight it.

More information

Additional information about California’s other propositions can be found here.