If you are able to buy a home in San Diego these days, you are one of the lucky ones. Prices have exploded in recent years. But thanks to a decades-old initiative in California, newer and often younger homeowners are paying significantly more in property taxes that help fund utilities.
For this week’s Fine City, Jesse Marx and Catherine Allen uncover the complexity and legacy of Proposition 13 in the San Diego real estate market. They highlight a recent study showing that new homeowners spend an average of $3,400 more per year than their longtime counterparts who live in identical structures.
“Rating limits,” as one researcher put it, “create a lot of winners and losers.”
Proposition 13 was introduced to California voters as a way to keep people at risk of displacement, especially seniors on fixed incomes, in their homes. But as other research shows, property tax caps and rising property values generated more wealth for whiter communities than for communities of color, while forcing the public sector to look elsewhere for revenue.
Despite these problems and inequities, Proposition 13 has proven difficult to reform or abolish and one reason is that the longer a person stays in their home, the less incentive they have to give it up. Some end up passing the houses – and the tax benefit – on to their children, who turn the properties into investments.
The group that produced the study came up with other ideas, including a program that limits property tax bills to a percentage of annual income rather than the value of the home at the time of purchase.
Read the rest of the piece here.
Mayor’s Office: Receiver, Creditor’s Pledge Action in California Theater
Mayor Todd Gloria’s office said the parties now responsible for the ruined California Theater have agreed to take immediate action to secure the long-closed downtown site as they prepare to demolish it.
Gloria spokeswoman Rachel Laing said the receiver and creditor who took over after an Australia-based developer liquidated and abandoned a city-approved site redesign told city officials during of a meeting on Thursday that they would take quick action.
Receiver McGrathNicol and creditor OCP Asia Hong Kong met with city development officials just over a week after the city sent a letter to developer Caydon Property Group describing an ‘alarming lack of action’ about impending safety concerns and pointing out the company‘s failure to submit a demolition plan for the theater as requested by the city.
“They’ve been told the mayor wants (the theatre) to do a demonstration immediately, but until then they need a fire watch of four people to watch the building 24/7 and [to] note who comes in and out,” Laing wrote in a text message. “Every time someone comes out, they have to ask if there is anyone else inside.
Once they are sure the building is empty, they will secure it and expand the perimeter fence while preparing for the demonstration. »
The city had previously asked the owner to adjust the fencing around the theater to establish a fall-hazard zone to ensure building ornaments and other items do not fall on people walking through it. surround.
Laing said she could not immediately share a specific timeline for the city-ordered demolition.
At this time, an investigation is still ongoing into the failure of building owners to address concerns reported by the city.
City Attorney’s Office spokeswoman Leslie Wolf Branscomb confirmed that the office’s Nuisance Abatement Unit is digging following a recommendation from the city’s code enforcement division.
McGrathNicol and OCP Asia Hong Kong did not immediately respond to questions from Voice of San Diego on Thursday.
US and Mexico sign pledges to limit cross-border sewage spills
San Diegans knew Congress would send $300 million to help stop Tijuana’s sewage from overflowing the border. But it was unclear to what extent Mexico was ready or expected to contribute to the problem until now.
On Thursday, Mexico pledged to spend $142 million to repair pipes, pumps and sewage treatment plants on its side. That’s a lot of money for Mexico. For context, Mexico’s entire federal budget this year was $380 million.
Importantly, the signed pledge lists the pots of money that Mexico plans to use on its share of the projects. Much of it would come from something called MECAPLAN. It’s a mechanism by which the federal government prioritizes municipal projects for federal funding, said José Dolores Gutierrez Ramirez, CONAGUA, Mexico’s federal water commission.
The two countries have dedicated these projects and who is responsible for financing them under another agreement, a little more biting than the signed promise, it’s minute 328. They are sort of addenda to treaties, which are legally binding agreements that settle international disputes as threatening as war.
Learn more here.
A small plane crashed in El Cajon on Thursday morning, as reported by NBC 7 San Diego. The Cessna crashed into a railing on Interstate 8 before coming to a stop under an overpass. Bystanders pulled the pilot, who was visibly injured, from the plane before he was tied to a stretcher and taken to hospital.
Hours later, Terminal 2 at San Diego International Airport was evacuated and flights were grounded following a security breach. as reported by the Union-Tribune. A TSA agent identified a passenger’s bag for further screening after passing through security, but the passenger exited the security area without undergoing further screening. Officials evacuated the terminal to locate the passenger, which they were unable to do immediately.
In other news
- The price per room for hotels sold across California hit a new high in the first six months of the year, but in San Diego, prices actually fell 12% during this time. (Union-Tribune)
- The price of homes sold in San Diego in July, meanwhile, slipped 2.5% from its June level — although that’s still 50% above what they were in July 2019, before house prices soared alongside low interest rates during the pandemic. (Fox 5 San Diego)
- Seventy percent of young adults who grew up in San Diego have stayed here, according to the 2020 census, but the best destinations of the 30 percent of residents who left were Phoenix, Seattle, Las Vegas, New York and San Jose. (NBC 7 San Diego)
- A federal judge has rejected a verdict of 85 million dollars against San Diego County following the death of Lucky Phounsy at the hands of San Diego County sheriff’s deputies in 2015. The judge ordered a new trial, arguing that the amount of the reward did not match the evidence presented At the trial. (San Diego Union-Tribune)
The morning report was written by Jess Marx, MacKenzie Elmer, Lisa Halverstadt and Andrew Keatts. It was edited by Andrea Lopez-Villafaña.