Gambling Ballot Measure Would Provide Funding for Homelessness
Two Statewide ballot measures to expand gambling in California have been declared eligible for the November 2022 ballot, with one that would specifically direct funding to housing and homeless programs. Sponsored by several large sports betting companies, Proposition 27 would legalize online and mobile sports wagering, which currently is prohibited by State law. By imposing a 10% tax on the resulting revenues and licensing fees, the measure is estimated to create “in the mid-hundreds of millions of dollars annually.” After paying for the cost of the program, 85% of the revenues would be directed to housing efforts.
Even though Proposition 27 is trumpeted as generating significant funding for housing and homelessness, several affordable housing organizations have expressed their opposition. According to the Non Profit Housing Association of Northern California, the bill has loopholes and deductions that would benefit online sports betting operators and harm the State’s Native American tribes.
Also on the ballot is Proposition 26, which is sponsored by Indian Tribes and allows new types of gambling. This measure does not have a connection to housing. Rather, 70% of the revenues would go to the State General Fund and 30% would be directed to programs that address problems associated with gambling.
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