Friday, 09 May 2008 02:15

Propositions 98 & 99

slide8.pngThe June 3rd vote quickly approaches, and Californians are divided over a controversial pair of opposing propositions on the ballot, Props 98 and 99. TSPN will focus on the details of these propositions in a two day series, beginning today with Proposition 98. Prop 98 is a California statutory ballot initiative that would limit the use of eminent domain and phase out rent control statewide. In the wake of the 2005 U.S. Supreme Court decision, Kelo v. City of New London, a number of states have enacted legislation to rein in what many voters in those states saw as a potential for eminent domain abuse. Proposition 98, if it passes, will prevent state and local governments from taking private property for private uses and will repeal rent control. As described by the supporters of Proposition 98, what the measure is intended to do is place additional restrictions on eminent domain seizures, meaning property may be taken by eminent domain only for public use, and the government may not set the price at which property owners sell or lease their property, among other similar restrictions.

According to the official legislative analysis report, "The measure’s fiscal effect is subject to considerable uncertainty and would depend on how the courts interpret its provisions. Because government would have an increased incentive to acquire property from willing sellers, property owners might charge government more for their properties…or government might buy less." The officialslide12.png group supporting Prop. 98 is the Howard Jarvis Taxpayers Association. Other supporters include controversial Sacramento property owner Moe Mohanna, who is engaged in a public battle with the city over the future of downtown properties. Mohanna said he'll be a champion of the statewide effort that he describes as a flesh and blood example of the heavy-handed use of eminent domain. Opponents are numerous, including the Governor, Senator Feinstein, and the League of Women Voters. “Prop. 98 eliminates rent control and jeopardizes affordable housing for thousands of seniors and widows on fixed incomes, single mothers and working families,” says another opponent, AARP.