Southern California Leadership Council Issues Statement On their Opposition to Proposition 10

November 3rd, 2018


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Southern California Leadership Council Issues Statement   

on their Opposition to Proposition 10


Prop 10 only worsens California housing crisis



LOS ANGELES— November 3, 2018Today, the Southern California Leadership Council (SCLC), a group of regional leaders comprised of two former California Governors and three dozen Presidents and CEOs of major Southern California companies and agencies, announced their public opposition to Proposition 10. Although Prop 10 is titled the “Affordable Housing Act”, SCLC has found that this initiative only compounds California’s housing crisis, and will make housing even less affordable.


Economists and housing experts agree that California’s high housing costs are the result of our state’s significant undersupply of housing. “We simply don’t have enough ‘for-sale’ and ‘rental’ housing to accommodate our growing population. Considering this, the only long-term solution to housing affordability in our state and region is through increased housing production and, unfortunately, Prop 10 will have the opposite effect.” said Richard Lambros, Managing Director of SCLC.


Proposition 10 is an initiative that would repeal the Costa-Hawkins Rental Housing Act (Costa-Hawkins), thus allowing local governments to adopt broader and more restrictive forms of rent control. In particular, it allows local rent control ordinances to include “vacancy control” and other severe measures, which are known to have a chilling effect on capital investment in, and the construction of, new rental housing. By passing this proposition, the construction of affordable housing will diminish, only making housing more expensive. Because of this, SCLC believes that Prop 10 is a flawed measure that would worsen California’s housing affordability crisis.


SCLC is also concerned that Prop 10 allows for the application of strict rent control on single-family homes, thus affecting every California homeowner who might one day want to rent out their home. Because of this, Prop 10’s flaws will incentivize homeowners to either sell their homes or use them as short-term rentals, rather than putting them on the rental market. In this way, Prop 10 again has the effect of reducing the supply of long-term rental housing.


About Southern California Leadership Council

SCLC is a nonprofit, nonpartisan organization formed to provide leadership on major public policies critical to economic vitality, job growth and the quality of life in Southern California. SCLC is led in its work by two former Governors (Wilson and Davis) and its Board is comprised of three dozen Presidents and CEOs of major Southern California companies and agencies.



For more information:

Richard Lambros, Managing Director




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