Bonds: Yes on Calif. Prop 14, S.D. Prop. A

SAN DIEGO — Bond issues are the first measures on both the State of California ballot and on the City of San Diego ballot, asking respectively for the right to borrow $5.5 billion to finance stem cell research (Prop. 14) and up to $900 million to provide affordable housing (Prop. A). {See correction below}

Both draw similar arguments from opponents, who say in the time of the coronavirus pandemic, the measures are too expensive and create pots of money that are likely to be wasted or financially mismanaged.

So we are faced with either accepting those who argue we might be letting ourselves in for hypothetical problems or putting our trust in people who are trying to solve demonstrable problems that affect us in the here and now.

In the time of the coronavirus pandemic, it is hard to understand why anyone would find fault with the idea of investing in scientific research. Stem cells can help our bodies regenerate new cells, tissues and organs. Among the diseases that breakthroughs in research in this field could possibly help to cure are Alzheimer’s Disease, HIV/AIDS, stroke, diabetes, and cancer.

Who among us do not have friends, relatives, or ourselves are affected by these diseases? Yes, the cost is high. Over a 30 year period, the state will have to pay approximately $2.3 billion in interest, for a total of $7.8 billion. On a per capita basis, assuming the population of California is 40 million people, that is an investment of $195 per person.

There are no guarantees that cures will be found, of course. Do you consider $195 per person too much to help scientists try to find a cure for Alzeheimer’s, or cancer, stroke, HIV/AIDS, or diabetes? I certainly don’t. I consider it a very prudent investment in the future of my children and grandchildren.

Similarly, let’s break down the cost of a humane measure that is intended to help house homeless individuals, very low and low income families, veterans, seniors, disabled persons and youth. Housing and related infrastructure would include not only new real estate inventory, but, also “facilities for which assistance and services, such as mental health treatment, healthcare, drug and alcohol treatment, education, and job training may be provided by the City” as well as by other public entities and/or private entities.

The cost of issuing $900 million in general obligation bonds would start in 2022 at $3.14 per $100,000 of a home’s assessed valuation. The median cost of a home in San Diego is $486,000, according to the County Assessor, so for the ease of computation let’s round that up to $500,000. That would mean that in 2022, the additional tax burden on the median cost home would be $15.70.

The measure would permit the city to issue new series of general obligation bonds through the year 2068. The tax burden per $100,000 of assessed valuation could rise to as much as $21 or seven times as much. So instead of $15.70, the tax burden on a $500,000 house would grow to as much as $109.90 per year. Of course, it’s hard to know what the $500,000 home will be worth in 46 years, but whatever it will be, it seems a small price to pay to help our most vulnerable citizens to find decent shelter for themselves and their children, as well as treatment for drug and alcohol dependency for those who need it.

Giving our approval for both bonds clearly help to fulfill our obligations as Jews to engage in tikkun olam and tzedakah (charity as a form of justice.)

The California bond issue, to be paid off from yearly revenues, requires a majority vote. The San Diego bond issue, because it is based on an increase in property taxes, needs a two-thirds majority to be enacted.

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Donald H. Harrison is editor of San Diego Jewish World. He may be contacted via donald.harrison@sdjewishworld.com