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California Proposition 53, Voter Approval Requirement for Revenue Bonds above $2 Billion (2016)

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California Proposition 53
Flag of California.png
Election date
November 8, 2016
Topic
State and local government budgets, spending and finance
Status
Defeatedd Defeated
Type
Constitutional amendment
Origin
Citizens

2016 measures
Seal of California.png
June 7
Proposition 50 Approveda
November 8
Proposition 51 Approveda
Proposition 52 Approveda
Proposition 53 Defeatedd
Proposition 54 Approveda
Proposition 55 Approveda
Proposition 56 Approveda
Proposition 57 Approveda
Proposition 58 Approveda
Proposition 59 Approveda
Proposition 60 Defeatedd
Proposition 61 Defeatedd
Proposition 62 Defeatedd
Proposition 63 Approveda
Proposition 64 Approveda
Proposition 65 Defeatedd
Proposition 66 Approveda
Proposition 67 Approveda
Polls
Voter guides
Campaign finance
Signature costs

The California Voter Approval Requirement for Revenue Bonds above $2 Billion Initiative, also known as Proposition 53, was on the November 8, 2016, ballot in California as an initiated constitutional amendment.[1][2] The measure was defeated.

A "yes" vote supported requiring voter approval before the state could issue more than $2 billion in public infrastructure bonds that would require an increase in taxes or fees for repayment.
A "no" vote opposed this measure requiring voter approval before the state could issue more than $2 billion in public infrastructure bonds that would require an increase in taxes or fees for repayment.

Supporters of Proposition 53 referred to it as the "No Blank Checks Initiative."

Election results

Proposition 53
ResultVotesPercentage
Defeatedd No6,660,55550.58%
Yes 6,508,909 49.42%
Election results from California Secretary of State

Overview

Voting on bonds in California

California sells two types of bonds. The first are general obligation bonds, which are repaid for using revenue in the General Fund. Revenue in the fund comes mostly from state taxes. The California Constitution requires voter approval before the state can issue general obligation bonds.[3]

The second type of bonds are revenue bonds, which are repaid using revenue from fees or other charges paid by the users of the project. For example, a revenue bond issued to build a highway could be repaid by mandating a toll for users of the highway. Under existing state law, revenue bonds do not require voter approval.

Initiative design

Proposition 53 would have required voter approval for infrastructure-related revenue bonds totaling $2 billion, adjusted for inflation, or more.

The state's legislative analyst noted, "It is unlikely there would be very many projects large enough to be affected by the measure’s requirement for voter approval.” The proposed tunnels to move water through the Sacramento to San Joaquin River Delta and California High-Speed Rail were two projects that would have required voter approval if Proposition 53 was approved.

Text of measure

Ballot title

The ballot title was as follows:[4]

Revenue Bonds. Infrastructure Projects. State Legislature and Voter Approval. Initiative Constitutional Amendment.[5]

Ballot summary

The long-form ballot summary was as follows:[3]

  • Requires statewide voter approval before any revenue bonds can be issued or sold by the state for certain projects if the bond amount exceeds $2 billion.
  • Applies to any projects that are financed, owned, operated, or managed by the state, or by a joint agency formed between the state and a federal government agency, another state, and/or a local government.
  • Prohibits dividing projects into multiple separate projects to avoid statewide voter approval requirement.[5]

The shorter ballot label summary was as follows:[3]

Requires statewide voter approval before any revenue bonds can be issued or sold by the state for certain projects if the bond amount exceeds $2 billion. Fiscal Impact: State and local fiscal effects are unknown and would depend on which projects are affected by the measure and what actions government agencies and voters take in response to the measure’s voting requirement. [5]

Petition summary

The long-form, official ballot summary for Proposition 53 was changed from the initial summary provided to initiative proponents for the purpose of circulating the initiative for signature collection. The original summary provided for inclusion on signature petition sheets was:

Requires State Legislature approve use of revenue bonds for public infrastructure projects funded, owned, or operated by the state or any joint agency that includes the state, if the bond amount exceeds $2 billion and repayment requires new, increased, or extended taxes, fees, or other charges. Requires that legislatively approved projects be presented on statewide ballot for voter approval. Applies to previously approved projects if remaining bond amount exceeds $2 billion. Requires that specified project information for all state bonds be included in voter ballot pamphlet.[5]

Fiscal impact statement

Note: The fiscal impact statement for a California ballot initiative authorized for circulation is jointly prepared by the state's legislative analyst and its director of finance.

The fiscal impact statement was as follows:[4]

Fiscal impact on state and local governments is unknown and would depend on which projects are affected by the measure, whether they are approved by voters, and whether any alternative projects or activities implemented by government agencies have higher or lower costs than the original project proposal. [5]

Constitutional changes

The proposed amendment was designed to add the following section to Article XVI of the California Constitution:

Section 1.6. (a) Notwithstanding any other provision of law, all revenue bonds issued or sold by the State in an amount either singly or in the aggregate over two billion dollars ($2,000,000,000) for any single project financed, owned, operated, or managed by the State must first be approved by the voters at a statewide election. "State" means the State of California, any agency or department thereof, and any joint powers agency or similar body created by the State or in which the State is a member. "State" as used herein does not include a city, county, city and county, school district, community college district, or special district. For purposes of this section, "special district" refers only to public entities formed for the performance of local governmental functions within limited boundaries.
(b) A single project for which state revenue bonds are issued or sold in an amount over two billion dollars ($2,000,000,000) may not be divided into, or deemed to be, multiple separate projects in order to avoid the voter approval requirements contained in this section. For purposes of this section, multiple allegedly separate projects shall be deemed to constitute a single project including, but not limited to, in the following circumstances: (1) where the allegedly separate projects will be physically or geographically proximate to each other; or (2) where the allegedly separate projects will be physically joined or connected to each other; or (3) where one allegedly separate project cannot accomplish its stated purpose without the completion of another allegedly separate project.
(c) The two billion dollar ($2,000,000,000) threshold contained in this section shall be adjusted annually to reflect any increase or decrease in inflation as measured by the Consumer Price Index for All Urban Consumers (CPI-U) published by the United States Bureau of Labor Statistics. The Treasurer's Office shall calculate and publish the adjustments required by this subdivision.
Section 5. Liberal Construction.
This act shall be liberally construed in order to effectuate its purposes.
Section 6. Conflicting Measures.
(a) In the event that this measure and another measure or measures relating to voter approval requirements for state bonds shall appear on the same statewide election ballot, the other measure or measures shall be deemed to be in conflict with this measure. In the event that this measure receives a greater number of affirmative votes, the provisions of this measure shall prevail in their entirety, and the provisions of the other measure or measures shall be null and void.
(b) If this measure is approved by the voters but superseded in whole or in part by any other conflicting initiative approved by the voters at the same election, and such conflicting initiative is later held invalid, this measure shall be self-executing and given full force and effect.
Section 7. Severability.
The provisions of this Act are severable. If any portion, section, subdivision, paragraph, clause, sentence, phrase, word, or application of this Act is for any reason held to be invalid by a decision of any court of competent jurisdiction, that decision shall not affect the validity of the remaining portions of this Act. The People of the State of California hereby declare that they would have adopted this Act and each and every portion, section, subdivision, paragraph, clause, sentence, phrase, word, and application not declared invalid or unconstitutional without regard to whether any portion of this Act or application thereof would be subsequently declared invalid.
Section 8. Legal Defense.
If this Act is approved by the voters of the State of California and thereafter subjected to a legal challenge alleging a violation of federal law, and both the Governor and Attorney General refuse to defend this Act, then the following actions shall be taken:
(a) Notwithstanding anything to the contrary contained in Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code or any other law, the Attorney General shall appoint independent counsel to faithfully and vigorously defend this Act on behalf of the State of California.
(b) Before appointing or thereafter substituting independent counsel, the Attorney General shall exercise due diligence in determining the qualifications of independent counsel and shall obtain written affirmation from independent counsel that independent counsel will faithfully and vigorously defend this Act. The written affirmation shall be made publicly available upon request.
(c) A continuous appropriation is hereby made from the General Fund to the Controller, without regard to fiscal years, in an amount necessary to cover the costs of retaining independent counsel to faithfully and vigorously defend this Act on behalf of the State of California.[5]

Full text

The full text of the initiative measure is available here.

Support

CAYesOn53-logo-sml.png

Yes on Proposition 53 led the campaign in support of Proposition 53.[6] The initiative was developed by Dean and Joan Cortopassi.

Supporters

Officials

Parties

Organizations

  • Alliance of Contra Costa Taxpayers[11]
  • Calaveras County Taxpayers Association
  • California Taxpayer Protection Committee
  • California Taxpayers Coalition
  • Central Coast Taxpayers Association
  • Contra Costa Taxpayers Association
  • Fullerton Association of Concerned Taxpayers
  • Howard Jarvis Taxpayers Association
  • Humboldt County Taxpayers League
  • Inland Empire Taxpayers Association
  • Monterey Peninsula Taxpayers Association
  • Napa County Taxpayers Association
  • Placer County Taxpayers Association
  • Sacramento Taxpayers Association
  • Salinas Taxpayers Association
  • San Diego Tax Fighters
  • San Joaquin County Taxpayers Association
  • Silicon Valley Taxpayers Association
  • Solano County Taxpayers Association
  • Sutter County Taxpayers Association
  • Tulare County Taxpayers Association
  • Yolo County Taxpayers Association

Arguments

Supporters made the following arguments in support of Proposition 53:[3]

  • Politicians and state agencies are allowed to borrow billions of dollars in state revenue bond debt without getting voters' approval.
  • Proposition 53 would hold politicians accountable and would induce them to provide accurate estimates of how much a project would cost.
  • Proposition 53 does not impact local projects, the University of California, freeway construction, or natural disaster response.

Yes on Proposition 53 claimed the measure would do five things:[12]

1. Close the loophole that allows politicians to issue massive new debt to pay for multi-billion dollar projects — without giving Californians the right to vote.

2. Require statewide voter approval for state revenue bond projects costing more than $2 billion.

3. Hold Sacramento politicians accountable by requiring all multi-billion dollar state bonds go to a vote of the people.

4. Give voters a say when state government wants to incur enormous new debt that the public will have to repay.

5. Ensure voters understand the full cost of future projects, including interest payments, that they are expected to pay.[5]

Official arguments

Dean "Dino" Cortopassi, a retired farmer and former CEO of Stanislaus Food Products Company, Jon Coupal, president of the Howard Jarvis Taxpayers Association, and John McGinness, a retired Sacramento County sheriff, wrote the official argument in support of Proposition 53 found in the state voters guide. Their argument was as follows:[3]

Proposition 53, the Stop Blank Checks initiative, is simple. It only does two things:

1) It requires California voter approval for STATE projects that would use over $2 billion in state revenue bonds.
2) BEFORE THAT VOTE, it ensures full disclosure of the TOTAL COST of any state revenue bond project greater than $2 billion.

Currently, other state bonds for water, school and transportation projects require voter approval. But a loophole in state law allows politicians and unaccountable state agencies to circumvent a public vote and borrow BILLIONS in state revenue bond debt for massive state projects WITHOUT VOTER APPROVAL,

Proposition 53 will STOP POLITICIANS FROM ISSUING BLANK CHECK DEBT to complete billion dollar state boondoggles. Take California's bullet train, They told us it would cost California taxpayers $10 billion. Now we know its going to cost more than $60 billion! Yet, you don't have a right to vote on that huge increase!

Right now, there is NO VOTE BY THE LEGISLATURE OR THE PEOPLE required to issue these massive state mega-bonds. Unelected and unaccountable state bureaucrats have all the power and you have to pay through higher water rates or increased fees!

Proposition 53 says IF YOU HAVE TO PAY, YOU SHOULD HAVE A SAY.

Proposition 53 just GIVES YOU A VOICE, A VOTE, added TRANSPARENCY, and it HOLDS POLITICIANS ACCOUNTABLE. That's it! Read the initiative for yourself.

Proposition 53 STOPS POLITICIANS FROM LYING about the real cost of state mega-projects. Willie Brown, once the state's most powerful politician, wrote that lowballing initial budgets is commonplace with public projects. He said, "The idea is to get going. Start digging a hole and make it so big, there's no alternative to coming up with the money to fill it in."

Despite the scare tactics of the politicians, bureaucrats and corporations that feed off of the state's public debt, Proposition 53 DOES NOT IMPACT LOCAL PROJECTS, the University of California, freeway construction or needed response after a natural disaster.

Proposition 53 SIMPLY APPLIES THE LONG-STANDING CONSTITUTIONAL PROTECTION against politicians imposing higher debt without voter approval to MASSIVE STATE REVENUE BONDS.

Proposition 53 just ENSURES FULL BUDGET DISCLOSURE AND VOTER APPROVAL of state revenue bonds for California's mega-bucks projects that will affect future generations.

Join California's leading state and local taxpayer organizations, small businesses, working families and nearly one million Californians who put Proposition 53 on the ballot. Vote YES on 53!

Opposition

CAlogo-noprop53-large.png

The campaign in opposition to Proposition 53 was led by No on Proposition 53.[13]

Opponents

Officials

Parties

Organizations

Civic organizations
  • California State NAACP[18]
  • California League of United Latin American Citizens (LULAC)
  • Mexican American Legal Defense and Education Fund (MALDEF)
  • Strategic Actions for a Just Economy (SAJE)
  • California Environmental Justice Alliance Action[19]
Environment and agriculture organizations
  • California League of Conservation Voters[18]
  • Natural Heritage Institute
  • California Latino Water Coalition
  • California Citrus Mutual
  • California Cotton Ginners Association
  • California Cotton Growers Association
  • Fresno County Farm Bureau
  • Western Agriculture Processors Association
  • Western Growers Association
Education organizations
  • California’s Coalition for Adequate School Housing[18]
Government organizations
  • California State Association of Counties[18]
  • League of California Cities
  • California Association of Councils of Governments
  • California Special Districts Assocation (CSDA)
  • Association of California Cities - Orange County
  • Los Angeles County Metropolitan Transportation Authority (LA Metro)
  • Rural County Representatives of California (RCRC)
  • San Diego Association of Governments
  • Self-Help Counties Coalition
  • Transportation Agency for Monterey County
  • Urban Counties of California
  • Santa Barbara County Association of Governments (SBCAG)
Public saftey organizations
  • California Professional Firefighters[18]
  • California State Sheriffs Association
  • California State Firefighters Association
  • Peace Officers Research Association of California (PORAC)
Healthcare organizations
  • AltaMed Action Fund State PAC
  • California Hospital Association[18]
  • California Medical Association
  • Hospital Association of San Diego and Imperial Counties
  • Hospital Council of Northern and Central California
  • Hospital Association of Southern California
Infrastructure organizations
  • American Council of Engineering Companies – California[18]
  • American Society of Civil Engineers Region IX
  • Associated General Contractors of California
  • California Alliance for Jobs
  • California Construction Industry Labor Management Cooperation Trust
  • California Chapters of the National Electrical Contractors Association (NECA)
  • Engineering Contractors Association
  • Northern California Mechanical Contractors Association
  • United Contractors
Taxpayer associations
  • Kern County Taxpayers Association[18]
  • California Tax Reform Association
  • Middle Class Taxpayers Assocation
  • Ventura County Taxpayers Association
Water districts
  • Association of California Water Agencies[18]
  • California Latino Water Coalition
  • Calleguas Municipal Water Disctrict
  • Coachella Valley Water District
  • Clean Water and Jobs Coalition for California
  • Eastern Municipal Water District
  • Helix Water District
  • Humboldt Bay Municipal Water District
  • Foothill Municipal Water District
  • Las Virgenes Municipal Water District
  • Metropolitan Water District of Southern California
  • Mojave Water Agency
  • Northern California Water Association
  • Rowland Water District
  • San Joaquin Valley Water Infrastructure Authority
  • Southern California Water Committee
  • State Water Contractors
  • Vista Irrigation District
Business associations
  • California Chamber of Commerce[18]
  • Anaheim Chamber of Commerce
  • Azusa Chamber of Commerce
  • Bay Area Council
  • Bay Planning Coalition
  • Building Owners and Managers Association California
  • Building Owners and Managers Association, Greater Los Angeles
  • Burbank Chamber of Commerce
  • California Building Industry Association
  • California Business Properties Association
  • California Business Roundtable
  • California Manufacturers & Technology Association
  • California Public Securities Association
  • California Small Business Association
  • Central City Association, Los Angeles
  • Cerritos Regional Chamber of Commerce
  • Chambers of Commerce Alliance of Ventura & Santa Barbara Counties
  • Dinuba Chamber of Commerce
  • East Bay Leadership Council
  • El Monte/South El Monte Chamber of Commerce
  • Fontana Chamber of Commerce
  • Greater Fresno Area Chamber of Commerce
  • Greater Riverside Chambers of Commerce
  • Greater San Fernando Valley Chamber of Commerce
  • Greater Stockton Chamber of Commerce
  • Hollywood Chamber of Commerce
  • Inland Empire Economic Partnership (IEEP)
  • Irvine Chamber of Commerce
  • Los Angeles Area Chamber of Commerce
  • Los Angeles County Business Federation (LA BizFed)
  • North Orange County Chamber of Commerce
  • Ontario Chamber of Commerce
  • Orange County Business Council (OCBC)
  • Oxnard Chamber of Commerce
  • Pacific Merchant Shipping Association
  • Pasadena Chamber of Commerce
  • Pomona Chamber of Commerce
  • Port Hueneme Chamber of Commerce
  • Regional Chamber of Commerce - San Gabriel Valley
  • Regional Chamber Alliance
  • Sacramento Metropolitan Chamber of Commerce (Metro Chamber)
  • San Diego Regional Chamber of Commerce
  • San Francisco Chamber of Commerce
  • San Gabriel Valley Economic Partnership
  • San Jose Silicon Valley Chamber of Commerce
  • San Ramon Chamber of Commerce
  • Santa Clarita Valley Chamber of Commerce
  • Silicon Valley Leadership Group
  • South Bay Association of Chambers of Commerce
  • Southwest California Legislative Council
  • Torrance Area Chamber of Commerce
  • Valley Industry & Commerce Association (VICA)
Unions
  • California Labor Federation, AFL-CIO[18]
  • California State Building and Construction Trades Council
  • Service Employees International Union California (SEIU)
  • AFSCME California PEOPLE
  • Los Angeles County Federation of Labor
  • Auto, Marine & Specialty Painters Local Union 1176
  • Boilermakers Local Unions 92, 549
  • California Conference of Machinists
  • California Federation of Teachers[20]
  • California Nurses Association[21]
  • California State Association of Electrical Workers
  • California State Council of Laborers
  • California Legislative Conference of the Plumbing, Heating & Piping Industry
  • California Teamsters Public Affairs Council
  • Carpet, Linoleum & Soft Tile Workers Local Unions 12, 1237
  • County Building and Construction Trades Councils: Alameda; Contra Costa; Imperial; Kern, Inyo, Mono; Los Angeles/Orange; Marin; Northeastern; Sacramento Sierra; San Diego; San Mateo; Sonoma, Mendocino & Lake Counties; Stanislaus, Merced, Mariposa & Tuolumne
  • County Labor Councils: North Bay; San Diego/Imperial; San Francisco; South Bay
  • District Council of Iron Workers
  • District Council 16 International Union of Painters and Allied Trades
  • Glaziers, Arch, Metal & Glass Workers Local Unions 169, 718, 767, 1621
  • Insulators & Allied Workers Local Union 16
  • Ironworkers Local Unions 118, 155, 229, 433, 844
  • International Brotherhood of Boilermakers
  • International Union of Operating Engineers Local Unions 3, 12
  • IBEW Local Unions 6, 11, 40, 47, 100, 180, 234, 302, 332, 340, 413, 428, 440, 441, 477, 551, 569, 595, 617, 684, 952, 1245
  • IUPAT Local Unions 294
  • Laborers’ Local Union 67
  • Painters and Drywall Finishers Local Union 3
  • Painters and Tapers Local Unions 83, 272, 376, 487, 507, 741, 913
  • Plasterers & Cement Masons Local Union 300
  • Plasterers Local Union 200
  • Sheet Metal, Air, Rail and Transportation Workers Western States Council
  • Sheet Metal, Air, Rail and Transportation Workers Local Unions 104, 105, 206
  • Southern California Pipe Trades District Council 16
  • Teamsters Joint Council 7
  • Teamsters Joint Council 42
  • Teamsters Local Union 431
  • UFCW Western States Council
  • United Association of Landscape & Irrigation, Sewer & Storm, Underground Industrial Piping Industry Local 345
  • United Association of Plumbers & Fitters Local 761
  • United Association of Plumbers & Pipefitters Local Unions 78, 114, 582
  • United Association of Plumbers, Pipefitters, Refrigeration UA Local 364
  • United Association of Plumbers & Steam Fitters Local Unions 398, 403, 460, 484
  • United Association of Plumbers, Steamfitters, Refigeration & HVAC Service Technicians Local 230
  • United Association of Sprinkler Fitters Local 709
  • United Association of Steam, Refrigeration, Air Conditioning, Pipefitters & Apprentices Local 250
  • United Union of Roofers, Waterproofers & Allied Workers Local Unions 27, 36, 40, 45, 81, 95, 220
  • Western Regional District Council of Roofers & Waterproofers

Individuals

  • Kevin Drum, political blogger for Mother Jones[22]

Arguments

Opponents made the following arguments in opposition to Proposition 53:[3]

  • The proposition would impact local control and community infrastructure improvements negatively.
  • The proposition would require a statewide vote for certain local projects.
  • The proposition does not contain an exemption for emergencies/natural disasters.
  • The proposition would negatively impact water supply and drought preparedness.
  • The proposition would inhibit California's ability to repair outdated infrastructure.
  • The proposition would serve the interests of the multi-millionaire funding the initiative.

Gary Toebben, president and CEO of the Los Angeles Chamber of Commerce, argued that Proposition 53 would give taxpayers less control over infrastructure decisions, rather than more, as proponents claimed. Toebben wrote:[23]

One of the little-known details of Proposition 53 is that it will force statewide votes on some local projects. It specifically requires cities and towns that want to come together with the state and form Joint Power Authorities to issue revenue bonds to put their measure on a statewide ballot.

That means that if residents in Los Angeles decide they want to make bridge safety repairs, then voters from Redding to Bakersfield would have the right to veto that decision. Crazy? You bet.[5]

Official arguments

Lou Paulson, president of the California Professional Firefighters, Tim Quinn, executive director of the Association of California Water Agencies, and Mark Ghilarducci, director of the California Office of Emergency Services, wrote the official argument against Proposition 53 found in the state voters guide. Their argument was as follows:[3]

PROP 53 ERODES LOCAL CONTROL AND CONTAINS NO EXEMPTION FOR EMERGENCIES / NATURAL DISASTERS
Prop 53 is opposed by a broad, bipartisan coalition of organizations including California Professional Firefighters, California Chamber of Commerce, California Hospital Association, firefighters, paramedics, family farmers, environmentalists, nurses, law enforcement, and local governments because it would erode local control and jeopardize vital infrastructure improvements in communities across California.

ERODES LOCAL CONTROL BY REQUIRING STATEWIDE VOTE FOR SOME LOCAL PROJECTS
Groups representing California's cities, counties and local water agencies, including League of California Cities and Association of California Water Agencies, all oppose Prop 53. Under this measure, cities and towns that come together to form a joint powers agency or similar body with the state to build needed infrastructure could have to put their local project on a statewide ballot. That means voters in faraway regions could veto some local projects your community needs and supports — like water storage or bridge safety repairs — even though those voters don't use or care about your local improvements.

NO EXEMPTION FOR EMERGENCIES OR NATURAL DISASTERS
California Professional Firefighters, representing 30,000 firefighters and paramedics, warns: "Prop 53 irresponsibly fails to contain an exemption for natural disasters or major emergencies. That flaw could delay our state's ability to rebuild critical infrastructure following earthquakes, wildfires, floods or other natural or man-made disasters."

THREATENS WATER SUPPLY AND DROUGHT PREPAREDNESS
The Association of California Water Agencies says: "Prop 53 could threaten a wide range of local water projects including storage, desalination, recycling and other vital projects to protect our water supply and access to clean, safe drinking water. Prop 53 will definitely impede our ability to prepare for future droughts."

JEOPARDIZES ABILITY TO REPAIR OUTDATED INFASTRUCTURE
Our communities already suffer from a massive backlog of local infrastructure needs, including improving water supply and delivery, making safety repairs to bridges, overpasses and freeways, and renovating community hospitals to make them earthquake safe. Prop 53 will jeopardize local communities' ability to repair aging infrastructure. The California State Sheriffs' Association says: "Reliable infrastructure is critical to public safety. This measure erodes local control and creates new hurdles that could block communities from upgrading critical infrastructure such as bridges, water systems and hospitals."

FINANCED AND PROMOTED BY MULTI-MILLIONAIRE WITH A PERSONAL AGENDA
This measure is financed entirely by one multi-millionaire and his family, who are spending millions in an attempt to disrupt a single water infrastructure project. Irrespective of one's position on that single project, his initiative has far-reaching, negative implications for other infrastructure projects throughout California. We cannot allow one multi-millionaire to abuse the initiative system to push his narrow personal agenda.

OPPOSED BY A BROAD BI-PARTISAN COALITION:

  • California Professional Firefighters
  • California State Sheriffs' Association
  • Association of California Water Agencies
  • League of California Cities
  • California Hospital Association
  • California Chamber of Commerce


Prop 53 is a misguided measure that:

  • Erodes local control by requiring a statewide vote on some local projects.
  • Disrupts our ability to build critically needed water storage and supply.
  • Contains no exemptions for emergencies/natural disasters.

Tactics and strategies

The California Democratic Party sent a fundraising letter to potential donors promising a dinner with Gov. Brown for those willing to contribute against the measure. Angie Tate, the party's financial chief, wrote in the letter, "The Governor will be hosting a series of small dinners in August and September to thank those that are able to help on his priorities." Dan Newman, a spokesperson for Brown, said no dinners were scheduled, however.[24]

Campaign finance

The campaign finance information on this page reflects the most recent scheduled reports that Ballotpedia has processed, which covered through June 30, 2017.


See also: Campaign finance requirements for California ballot measures

One committee registered in support of the measure—Stop Blank Checks. It reported over $5 million in contributions. Three committees registered in opposition to the measure—CA Business PAC, No on Prop 53 - Californians to Protect Local Control, and No on 53, Neighbors Defending Local Control. Together they reported over $22.3 million in contributions.[25]

Cash Contributions In-Kind Contributions Total Contributions Cash Expenditures Total Expenditures
Support $4,500,030.00 $539,575.42 $5,039,605.42 $4,500,070.77 $5,039,646.19
Oppose $21,590,500.00 $741,698.67 $22,042,198.67 $21,904,622.86 $22,646,321.53
Total $26,090,530.00 $1,281,274.09 $27,081,804.09 $26,404,693.63 $27,685,967.72

Support

The following table includes contribution and expenditure totals for the committee in support of the ballot measure.[25]

Committees in support of Proposition 53
Committee Cash Contributions In-Kind Contributions Total Contributions Cash Expenditures Total Expenditures
Stop Blank Checks $4,500,030.00 $539,575.42 $5,039,605.42 $4,500,070.77 $5,039,646.19
Total $4,500,030.00 $539,575.42 $5,039,605.42 $4,500,070.77 $5,039,646.19

Donors

The following table shows the top donors to the committee registered in support of the ballot measure.[25]

Donor Cash Contributions In-Kind Contributions Total Contributions
Dean A. Cortopassi $3,000,000.00 $539,575.42 $3,539,575.42
Joan Cortopassi $1,500,000.00 $0.00 $1,500,000.00

Opposition

The following table includes contribution and expenditure totals for the committees in opposition to the ballot measure.[25]

Committees in opposition to Proposition 53
Committee Cash Contributions In-Kind Contributions Total Contributions Cash Expenditures Total Expenditures
No on Prop 53 - Californians to Protect Local Control $21,290,500.00 $741,698.67 $22,032,198.67 $21,380,881.00 $22,122,579.67
CA Business PAC $290,000.00 $0.00 $290,000.00 $513,741.86 $513,741.86
No on 53, Neighbors Defending Local Control $10,000.00 $0.00 $10,000.00 $10,000.00 $10,000.00
Total $21,590,500.00 $741,698.67 $22,332,198.67 $21,904,622.86 $22,646,321.53

Donors

The following table shows the top donors to the committees registered in opposition to the ballot measure.[25]

Donor Cash Contributions In-Kind Contributions Total Contributions
Brown for Governor 2014 $6,500,000.00 $7,500.00 $6,507,500.00
California Democratic Party $1,250,000.00 $634,210.31 $1,884,210.31
Members' Voice of the State Building and Construction Trades Council of California $1,170,000.00 $26,814.19 $1,196,814.19
L. John Doerr, III $1,000,000.00 $0.00 $1,000,000.00
Laborers Pacific Southwest Regional Organizing Coalition - Issues PAC $800,000.00 $0.00 $800,000.00

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Media editorials

Support

  • The Orange County Register: "That doesn’t mean that no project could get built with revenue bonds. It simply means the case made for the project’s importance would have to be good enough that more people would vote for it than against it. The Editorial Board recommends a yes vote on Proposition 53."[26]
  • Victorville Daily Press: "Voting yes on Prop 53 will close that loophole and give Californians a say in how their taxpayer dollars are spent by requiring voter approval of state projects of $2 billion or more that use revenue bonds. ... We urge a yes vote on Prop 53 on Nov. 8."[27]

Opposition

  • The Bakersfield Californian: "California taxpayers should be concerned about an increasing state debt. But Prop. 53 is clearly not about controlling debt. It is about stopping California’s progress."[28]
  • Contra Costa Times, which was consolidated with The Oakland Tribune to form East Bay Times in March 2016: "Voters shouldn't lock into law any proposition leaving this much uncertainty, especially since it would require two-thirds approval to change or overturn it, even though it can pass initially with a simple majority. The governor is dead wrong about his $15 billion-and-counting Delta plan. But when he calls Cortopassi's ballot measure 'a really bad idea' -- that's an understatement."[29]
  • East Bay Express: "We elect lawmakers to execute smart decisions, which includes determining whether to initiate revenue bonds to pay for things such as roads or bridges. We don’t always need voters to weigh in on these decisions — and this sloppy initiative could even impact the formation of joint-power authorities, and their ability to improve transit or other programs. This is a dangerous one."[30]
  • East Bay Times: "But Cortopassi’s poorly constructed measure lacks clarity, making it impossible to determine which projects would need voter approval and which would not. That will be up to the courts, not voters."[31]
  • Los Angeles Times: "The problem that Proposition 53 aims to solve is speculative, but the potential damage to local control is real. Requiring state voters to approve large revenue bond issues would make it more difficult to make badly needed infrastructure improvements in this state, and could even discourage the public-private partnerships that could help fill the gap between what the state needs to build and what it can afford."[32]
  • The Mercury News: "Once ballot measures become law, they’re nearly impossible to fix. And this one’s likely to be a doozie. Vote no on Proposition 53."[33]
  • Monterey Herald: "California taxpayers should be concerned about increasing state debt. But Prop. 53 is clearly not about controlling debt. It’s about stopping California’s progress and would bring with it a host of unintended consequences. Vote 'no' on Prop. 53."[34]
  • The Record: “Vote no. While Cortopassi has some good intentions with this proposition and spending must be controlled, the $2 billion threshold for a public vote is restrictive.”[35]
  • The Sacramento Bee: "But in the guise of combating government debt, Proposition 53 could increase construction costs and add unnecessary layers of complexity and uncertainty to an already unwieldy state government. And voters have a solution if they conclude that legislators abuse revenue bonds: They can vote them out of office."[36]
  • San Diego City Beat: “ Although it sounds like a legitimate way to slow state spending, this prop is a no-go because all Californians would vote on local projects (like new toll roads or bridges) they probably know next to nothing about.”[37]
  • San Diego Free Press and OB Rag called for a "No" vote on Proposition 53.[38]
  • San Diego Union-Tribune: "But whatever his motive, his ballot measure is a mess. It is so poorly written that it doesn’t even define 'project,' according to a Legislative Analyst’s Office’s analysis. A local government that wanted to build a major infrastructure project might have to put its plan before all state voters if it got even limited state assistance. And Proposition 53 doesn’t exempt emergency repairs following earthquakes or disasters. We urge a no vote on Proposition 53. It must not become the latest flawed ballot initiative that makes the state more difficult to govern."[39]
  • San Francisco Chronicle: "It could get even more twisted. To avoid the need for a state vote, a public agency might seek private financing, which costs more than public borrowing. There’s also the fear factor. Instead of taking on a project to improve a port, widen a bridge or build a medical center, public agencies might do nothing to avoid the uncertainty of a statewide vote that might be two years away. The problems with initiatives like this one are almost too many to list."[40]
  • San Francisco Examiner: "This measure would require state votes to approve local projects — a bad idea."[41]
  • San Mateo Daily Journal recommended a "No" vote on Proposition 53.[42]
  • Santa Cruz Sentinel: "But practically every major player and organization in state politics is also opposed, including the California Chamber of Commerce and state labor leaders, who aren’t often in agreement."[43]
  • Ventura County Star: "One of the proposition's many problems is that once it is part of the constitution, it also could stop future worthwhile projects. It would require statewide votes on revenue bond projects that might benefit only a small area of the state and are supported by those residents. Why should someone in Ventura be voting on a revenue bond project for a big ticket item in Shasta County?"[44]

Other opinions

The Modesto Bee editorial board did not take a position on Proposition 53, but did say the following regarding its potential impact on Gov. Jerry Brown's plans:

Having been rebuked by the voters 33 years ago, the governor has been trying to remove the public from any decision regarding the Delta – leaving it up big water users instead. Cortopassi’s initiative has the potential to block this sneak attack on Northern California’s water. We’ll need to learn more about the No Blank Checks initiative before we take a position on whether it’s good for California’s future. Opponents include labor unions and others, and some of their arguments appear valid, while others are perhaps overstated; reading the Legislative Analyst’s review left it unclear. But we will say this much now: Brown deserves what he got.[5]

Polls

See also: Polls, 2016 ballot measures
  • The Public Policy Institute of California asked residents about their support for "requiring statewide voter approval for revenue bonds" in mid January 2016. Approximately 70 percent of respondents said they supported a voter-approval requirement. The issue was supported most strongly by Republicans in comparison to independents and Democrats.[45]
California Proposition 53 (2016)
Poll Support OpposeUndecidedMargin of errorSample size
The Public Policy Institute of California
1/10/2016 - 1/19/2016
70.0%22.0%8.0%+/-3.51,704
Note: The polls above may not reflect all polls that have been conducted in this race. Those displayed are a random sampling chosen by Ballotpedia staff. If you would like to nominate another poll for inclusion in the table, send an email to editor@ballotpedia.org.

Path to the ballot

See also: California signature requirements

15-0003 petition

Cost of signature collection:
Sponsors of the measure hired National Petition Management, Inc. to collect signatures for the petition to qualify this measure for the ballot. A total of $2,669,093.95 was spent to collect the 585,407 valid signatures required to put this measure before voters, resulting in a total cost per required signature (CPRS) of $4.56.

Failed 14-0009 version

There was a previous version of the Public Vote on Bonds initiative (#15-0003), Initiative #14-0009, submitted for the ballot in 2014, but it failed to qualify.[47] Business executive Dean Cortopassi backed both Initiative #14-0009 and Initiative #15-0003.[48][49][50]

  • Dean Cortopassi submitted a letter requesting a title and summary for Initiative #14-0009 on June 27, 2014.
  • A title and summary were issued for Initiative #14-0009 by the Attorney General of California's office on August 21, 2014.
  • Supporters had until January 20, 2015, to collect the required 807,615 valid signatures for Initiative #14-0009.
  • The initiative failed to qualify for the ballot on February 2, 2015.


State profile

Demographic data for California
 CaliforniaU.S.
Total population:38,993,940316,515,021
Land area (sq mi):155,7793,531,905
Race and ethnicity**
White:61.8%73.6%
Black/African American:5.9%12.6%
Asian:13.7%5.1%
Native American:0.7%0.8%
Pacific Islander:0.4%0.2%
Two or more:4.5%3%
Hispanic/Latino:38.4%17.1%
Education
High school graduation rate:81.8%86.7%
College graduation rate:31.4%29.8%
Income
Median household income:$61,818$53,889
Persons below poverty level:18.2%11.3%
Source: U.S. Census Bureau, "American Community Survey" (5-year estimates 2010-2015)
Click here for more information on the 2020 census and here for more on its impact on the redistricting process in California.
**Note: Percentages for race and ethnicity may add up to more than 100 percent because respondents may report more than one race and the Hispanic/Latino ethnicity may be selected in conjunction with any race. Read more about race and ethnicity in the census here.

Presidential voting pattern

See also: Presidential voting trends in California

California voted for the Democratic candidate in all seven presidential elections between 2000 and 2024.


More California coverage on Ballotpedia

Related measures

2016

Government finance measures on the ballot in 2016
StateMeasures
IllinoisIllinois Transportation Taxes and Fees Lockbox Amendment Approveda
AlabamaAlabama Approval of Budget Isolation Resolution Proposing a Local Law, Amendment 14 Approveda
ArizonaArizona Education Finance Amendment, Proposition 123 Approveda
New JerseyNew Jersey Dedication of All Gas Tax Revenue to Transportation, Public Question 2 (2016) Approveda
GeorgiaGeorgia Additional Penalties for Sex Crimes to Fund Services for Sexually Exploited Children, Amendment 2 Approveda
OregonOregon Public University Diversification of Investments, Measure 95 Approveda
UtahUtah School Funds Modification Amendment Approveda

Recent news

The link below is to the most recent stories in a Google news search for the terms California Proposition 53 Bonds. These results are automatically generated from Google. Ballotpedia does not curate or endorse these articles.


See also

External links

Basic information

Other resources

Footnotes

  1. California Attorney General, "Letter requesting a ballot title for Initiative 15-0003," January 7, 2015
  2. California Attorney General, "Letter requesting a ballot title for Initiative 14-0009," accessed November 17, 2014
  3. 3.0 3.1 3.2 3.3 3.4 3.5 3.6 California Secretary of State, "California General Election November 8, 2016, Official Voter Information Guide," accessed August 18, 2016
  4. 4.0 4.1 California Secretary of State, "Eligible Statewide Initiative Measures," accessed May 13, 2016
  5. 5.0 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.
  6. Yes on Proposition 53, "Homepage," accessed September 15, 2016
  7. Sierra Sun Times, “Congressman Tom McClintock Comments on California Ballot Propositions,” October 14, 2016
  8. The San Luis Obispo Tribune‎, "Vote yes on Proposition 53," August 31, 2016
  9. California Republican Party, "Ballot Measure Endorsements," accessed September 14, 2016
  10. Libertarian Party of California, "Measures," August 21, 2016
  11. Yes on Proposition 53, "About Us," accessed September 15, 2016
  12. Yes on Proposition 53, "Fact Sheet," accessed September 15, 2016
  13. No on Proposition 53, "Homepage," accessed September 15, 2016
  14. Green Party of California, “Green Party positions on Statewide Propositions - November 2016 General Election,” October 3, 2016
  15. Peace and Freedom Party, "Peace and Freedom Party recommends," accessed September 17, 2016
  16. Santa Monica Daily Press, “Endorsements surge as campaigns heat up,” September 17, 2016
  17. Harvey Milk Democratic Club, “Official Endorsements for the November 8, 2016 Election,” August 17, 2016
  18. 18.00 18.01 18.02 18.03 18.04 18.05 18.06 18.07 18.08 18.09 18.10 No on Proposition 53, "Who We Are," accessed September 15, 2016
  19. California Environmental Justice Alliance Action, “2016 Environmental Justice Voter Guide,” accessed October 5, 2016
  20. California Federation of Teachers, “Endorsements,” accessed October 3, 2016
  21. National Nurses United, “California Endorsements,” accessed October 3, 2016
  22. Mother Jones, “California Voters Were Hit With a Blizzard of Ballot Propositions. Here’s Your Cheat Sheet,” October 18, 2016
  23. Fox & Hounds, "Prop 53 Gives Taxpayers Less Say, Not More," July 26, 2016
  24. CBS Sacramento, "Democrats Promise Dinner With Governor For Donors Who Fight Proposition 53," September 1, 2016
  25. 25.0 25.1 25.2 25.3 25.4 Cal-Access, "Proposition 53," accessed February 19, 2025
  26. The Orange County Register, "Yes on Proposition 53," October 14, 2016
  27. Victorville Daily Press, "Our view: Prop 53 deserves yes vote in November," August 27, 2016
  28. The Bakersfield Californian, "Our View: Vote NO: Prop. 53 is not taxpayer ‘protection,’" August 25, 2016
  29. Contra Costa Times, "Contra Costa Times editorial: Cortopassi measure to scuttle Delta tunnels is a disaster," November 7, 2015
  30. East Bay Express, "Vote With Us! The East Bay Express' Endorsements for Election Day 2016," October 11, 2016
  31. East Bay Times, "East Bay Times editorial: Reject Prop 53, requiring statewide revenue bond approval," July 21, 2016
  32. Los Angeles Times, "The problem Proposition 53 aims to solve is speculative, but the damage it could inflict is very real," September 15, 2016
  33. The Mercury News, "Mercury News editorial: Reject Prop 53, requiring statewide revenue bond approval," August 11, 2016
  34. Monterey Herald, "Editorial, Sept. 4, 2016: Vote no on Proposition 53, which would just add new problems," September 4, 2016
  35. The Record, “Record endorsements: Voters faced with 17 state ballot measures,” October 15, 2016
  36. The Sacramento Bee, "Beware of quick fix offered by wealthy farmer’s initiative," September 6, 2016
  37. San Diego City Beat, “2016 Voter Guide: State measures,” October 12, 2016
  38. San Diego Free Press, "San Diego 2016 Progressive Voter Guide," October 13, 2016
  39. San Diego Union-Tribune, "No on Prop. 53: It’s a cumbersome mess," September 13, 2016
  40. San Francisco Chronicle, "A one-man crusade isn’t the way to run California’s finances," August 31, 2016
  41. San Francisco Examiner, "Examiner Endorsements: Statewide ballot measures," October 23, 2016
  42. San Mateo Daily Journal, "Editorial: Daily Journal proposition endorsements," October 28, 2016
  43. Santa Cruz Sentinel, "Editorial, Sept. 4, 2016: Vote no on Proposition 53, which would just add new problems," September 4, 2016
  44. Ventura County Star, "Editorial: Prop. 53 is bad idea that should be rejected," September 26, 2016
  45. The Public Policy Institute of California, "Californians & Their Government," January 2016
  46. California Secretary of State, "Eligible Statewide Initiative Measures," accessed November 18, 2015
  47. The Stockton Record, "Ad response gives Cortopassi hope for ballot measure," November 17, 2014
  48. California Office of the Attorney General, "14-0009 Re: Request for Title and Summary for Proposed Initiative Constitutional Amendment," June 27, 2014
  49. California Office of the Attorney General, "15-0003 Re: Request for Title and Summary for Proposed Initiative Constitutional Amendment," January 7, 2015
  50. Bloomberg Business, "Dean A. Cortopassi," accessed May 13, 2016