What is the total amount of the housing bond proposed by Proposition 1?

Proposition 1 proposes an $11.25 billion general obligation bond.

How will the state repay the funds from Proposition 1?

The state plans to repay the bond costs, estimated at $500 million to $600 million annually for 25 years, from its general fund, with the exception of veteran housing funds which will be repaid by participating veterans.

California Voters to Decide on $11.25 Billion Housing Bond Proposition 1

Proposition 1 aims to address the state's housing and homelessness crisis by funding various housing initiatives, including affordable units, veteran loans, and infrastructure.

2026-10-16 · Updated 2026-10-16

California voters will consider Proposition 1 in November, a ballot measure proposing an $11.25 billion general obligation bond to fund housing construction and address the state's homelessness and affordability crisis. Supporters argue the state desperately needs this funding to build more homes and alleviate the significant shortage of affordable housing, where over 180,000 Californians are currently homeless.

The proposition allocates funds to several key areas: $7.2 billion for acquiring, building, or renovating apartment buildings, with a portion reserved for low-income households and supportive housing for the homeless. This segment alone could help support up to 40,000 rental units. Additionally, $1.25 billion is earmarked for helping veterans secure home loans, and $1.1 billion for low and moderate-income households to purchase homes.

Further funding includes $500 million for infrastructure supporting new housing, such as water and transportation improvements. The bond also designates $450 million for farmworker housing, $350 million for student housing at UC and CSU campuses, and $200 million in grants for tribes to develop housing. Another $200 million will support pilot projects for low-cost housing developed by cities and counties.

Repayment of the bond is estimated to cost the state between $500 million and $600 million annually for approximately 25 years, funded by the state's general fund. The portion for veteran housing is designed to be self-repaid through loan payments from participating veterans. Critics, however, question the reliance on bond financing and argue that only a small fraction of the funds are directly allocated to veterans, despite the bond's name.

Supporters, including housing developers, veterans groups, and legislative leaders, emphasize the urgent need for investment, pointing to stalled projects that lack sufficient funding. Opponents, primarily Republican legislators, express concerns about increasing state debt and suggest alternative methods for housing development.

FAQ

What is the total amount of the housing bond proposed by Proposition 1?: Proposition 1 proposes an $11.25 billion general obligation bond.
How will the state repay the funds from Proposition 1?: The state plans to repay the bond costs, estimated at $500 million to $600 million annually for 25 years, from its general fund, with the exception of veteran housing funds which will be repaid by participating veterans.