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Prop 98 Hidden Agenda for California June Primary Is Not So Far Beneath the Surface

Major Supporter Insults Tenants; Calls Elected Officials “Terrorists”

Paul-Hogarth.gif By Paul Hogarth

To learn about Proposition 98’s agenda, look no further than Dan Faller, President and Founder of the American Owner’s Association (AOA) – the largest landlord group in California. In a nine-page essay published in the association’s magazine, Faller complains heatedly about rent control, calls pro-tenant elected officials “terrorists” and “suicide bombers,” compares the effort to pass Prop 98 with World War II, says that renters “choose not to provide for themselves,” and – with rhetoric that channels George Bush – tells landlords: “you are either for us or against us in this fight for your freedom and property rights.”

We cannot dismiss Faller as just another right-wing kook, for his organization has already contributed $325,000 to the “Yes on 98” cause – and the AOA has plans to raise even more money in the coming weeks. And with voter turnout in June expected to be very low, Faller's fringe beliefs might actually become public policy in California – if we don't act now.

While proponents want voters to think it’s about eminent domain reform, Prop 98 is the most dangerous right-wing initiative to hit the California ballot in years. It would abolish rent control, gut the most basic tenant protections, repeal sensible environmental laws and endanger public water projects. Another measure, Proposition 99, would reform eminent domain – which Faller opposes because it would “only protect owner-occupied homes.” In other words, the Prop 98 forces don’t really care about the middle-class homeowner who fears eminent domain. They just want to repeal all regulations of private property.

In the post-9/11 world, calling someone a “terrorist” is a serious accusation – but Faller refers to pro-tenant elected officials who oppose Prop 98 as “terrorists” or “suicide bombers” at least seven times. “The bombs and explosives they are throwing at us,” he writes, “are rent control, eminent domain, inspection laws, building codes, requiring 60-day notices so tenants can steal more time from you, eviction laws that allow tenants to live rent-free for several months, relocation fees, inclusionary zoning that drives up the price of housing so they have another excuse to justify even more laws. These elected officials are dangerous.”

Urging his fellow landlords to fight this “war” on the “terrorists,” Faller says the solution is to hit them with the “big bomb”: Proposition 98, which would invalidate all these existing laws and then some. “Help to permanently take away their weapons that allow unfair eminent domain and rent control,” he writes before asking for campaign contributions. “This is certainly one war that we all believe in and can hold our heads high as we fight to win! You are either for us or against us in this fight for your freedom and property rights.”

According to a Field Poll conducted in December, George Bush has a 28% approval rating in California – with 64% who disapprove. Yet, one of the top supporters of Prop 98 is using exactly the same rhetoric as our Commander in Chief to deride his opponents. If voters in June are educated about who’s behind this initiative, they will defeat it.

But it’s not just the “terrorist” politicians that Faller has a bone to pick with. He demeans people who can’t afford to buy California real estate as lazy and ineffectual. As he urges landlords to “join this war” to pass Prop 98, Faller says “you’ve worked hard providing housing for others who chose not to provide for themselves … You gave up a lot of weekends to make it possible – something others were not willing to do.” Apparently, it’s okay to berate the state’s 14 million tenants because they “obviously” did not work hard enough to buy property themselves. Hyperbole is one thing; personal insults are quite another.

Does the fight over Prop 98 match the battle against Nazis and fascists in World War II? Dan Faller seems to think that it does. Recalling his childhood memories in Los Angeles when he feared that “the enemy was going to land their troops in Long Beach and along our coast,” the AOA President puts the fight to pass Prop 98 on a similar plane. “There were big signs and advertisements that read ‘Uncle Sam Needs You!’ during WWII,” he writes. “There’s a big AOA sign today that says ‘Freedom Loving Americans Need You!’ We need your support to win this War to protect your property rights!”

It would be easy to laugh at these outlandish statements if Dan Faller was just your crazy uncle who makes offensive jokes that amuse only himself. But he’s the President and Founder of the American Owners Association – a national trade association of landlords that boasts more members in California than any other group. Faller is on the Board of Biopharma, the owner of a commercial brokerage firm, and used to be a Wall Street broker. The AOA’s monthly newsletter – which printed his “Yes on 98” screed – is the most widely read landlord publication in the country.

Under Faller’s watch, the AOA has provided crucial seed money for Prop 98 to get on the ballot – and they’re now aggressively fundraising to get it passed. The group has already put $325,000 towards the effort – and Faller has urged members to give even more. “Donate at least $1,000 with an additional minimum of $50 for every unit if you own over twenty apartments,” he wrote. “If you own less than 20 units, please donate the $1,000 minimum. If you own more, step up and invest according to all the benefits you’ll enjoy as a result of winning this campaign.”

With such a fundraising appeal, the “Yes on 98” campaign should have plenty of funds to hoodwink voters into thinking that their extreme ballot measure is about eminent domain. Opponents of Prop 98 must be vigilant, fundraise and get out the message to expose it as the Hidden Agendas Scheme that it really is. Only by doing so can we truly save such essential programs in California that 14 million renters rely on to live here. And with the June ballot garnering such low attention, there’s a serious chance that we could lose.

Was Faller joking when he called pro-tenant elected officials “suicide bombers,” accused tenants of being lazy, and compared the fight to pass Prop 98 with fighting the Axis powers in World War II? Apparently not. “Please take every word of this article more seriously,” he wrote in the preface, “than any other article you have ever read in this publication.” That should give us all pause about how dangerous Prop 98 really is ...

Paul Hogarth is the Managing Editor of Beyond Chron, an alternative online daily newspaper, with whose permission this article is republished.

Posted on March 18, 2008

Comments

If Faller actually did this it's disgusting! I have no defense for him, but a lot of what is said here is disgusting as well:

While proponents want voters to think it’s about eminent domain reform, Prop 98 is the most dangerous right-wing initiative to hit the California ballot in years.

NO IT'S NOT. PROP 73 AND 22 ARE TWO MORE EXTREME ONES. I COULD PROBABLY THINK OF MORE. MANY REASONABLE PEOPLE ACROSS THE POLITICAL SPECTRUM OPPOSE RENT CONTROLS, I'M ONE OF THEM

It would abolish rent control

GOOD

gut the most basic tenant protections

PROOF?

repeal sensible environmental laws and endanger public water projects.

BULLCRAP! THE COURTS HAVE SAID IT WON'T. http://yesprop98.com/modules/article/list/release.php?id=wyeynszn5msho7&done=index.php%3Fpi%3Dwynxywvh4iozo0%26chunkSize%3D10%26search%3D%26chunkNum%3D0&pi=wynxywvh4iozo0&_adctlid=v%7Cwynx8c5jjesxsb%7Cwzccafgri80252

Another measure, Proposition 99, would reform eminent domain – which Faller opposes because it would “only protect owner-occupied homes.”

TAKING AWAY THE ROOF OVER YOUR HEAD IS VERY MUCH LIKE TAKING AWAY WHAT PAYS FOR THE ROOF OVER YOUR HEAD

In other words, the Prop 98 forces don’t really care about the middle-class homeowner who fears eminent domain. They just want to repeal all regulations of private property.

FAULTY LOGIC! 99 SLIGHTLY PROTECTS OWNER-OCCUPIED HOMES THAT HAVE BEEN LIVED IN FOR OVER A YEAR.

WHAT WILL 99 DO TO PROTECT MOE MOHANNA'S BUSINESSES? http://www.theabuseofeminentdomain.com/

WHAT WOULD IT HAVE DONE TO PROTECT JOHN REVELLI'S TIRE SHOP? http://www.realclearpolitics.com/articles/2007/07/this_state_can_take_your_dream.html

WHAT WOULD IT HAVE DONE TO PROTECT AHMED MESDAQ'S BUSINESS? http://www.signonsandiego.com/news/metro/20050612-9999-1m12havana.html

WHAT WILL 99 DO TO PROTECT THE NON-PROFIT COMMUNITY YOUTH ATHLETIC CENTER? http://www.voiceofsandiego.org/articles/2007/06/22/government/710boxing062207.txt

WHAT WILL IT DO TO PROTECT EVERYONE ELSE WHO'S EXPERIENCED SIMILAR OPPRESSION?

THE ANSWERS: NOTHING! THE PROPONENTS ARE TRYING TO MAKE VOTERS BELIEVE REAL REFORM HAS TAKEN PLACE WHEN IT HASN'T, AND IF IT GETS ONE MORE VOTE THAN 98, WHICH WILL PROTECT THOSE KINDS OF TAKINGS JUST MENTIONED, ALL OF 98 IS INVALIDATED

Paul, I agree with your completely about Faller and would love for him to disappear from the campaign after saying all this. But your misrepresentations of 98 and 99 are way off as well. 98 will abolish rent control, and it will stop private eminent domain takings. It will not abolish all property regulations, THAT IS ABSURD!

Posted by: Ben at March 18, 2008 11:41 AM

More on Dan Faller and his WAR on California renters

Dan Faller is not shy about who he is and what he all about.

Dan Faller has declared WAR on California's renters, and the proof is in his own declaration called; How to End Rent Control Now!

>>>>>>>>>

Dan Faller
Founder and President
Apartment Owners Association (AOA)

Headquarters Address:
6445 Sepulveda Boulevard Suite 300
Van Nuys, CA 91411
USA

Website: 
www.apartmentownersassociation.com

Phone: 
(818) 988-9200

Fax: 
(818) 988-5921

***********
Dan Faller, CEO of; http://www.apartmentownersassociation.com/

Dan Faller and his his wife Danette reside in Chatsworth Caifornia.

Dan Faller's home telephone number is (818) 988-9200 and Fax number (818) 988-5921.

DANETTE S FALLER Born  1962   

Home Address
Dan Faller
10320 OSO AVE  
CHATSWORTH, CA  91311

Dan Faller and AOA has a local office in Alameda, CA, and protests should be held in Alameda at the the Northern California AOA office to take the battle to Dan Faller's doorstep...

AOA Northern California
Alison Karnes, Manager
Mon - Fri from 9 AM - 5 PM
(510) 769-7521 Phone
(510) 769-7485 Fax
1128 Lincoln Avenue
Alameda, CA 94501  

***************
(Dan Faller declares WAR on TENANTS)

How to End Rent Control Now! By Dan Faller, AOA President

http://tinyurl.com/yroxbg

File Format: PDF/Adobe Acrobat
By Dan Faller, AOA President. The following information is from “Californians for Property Rights Protection”. (CPRP), a Committee formed to qualify and ...

www.aoausa.com/Articles/2007/ 09_September/05_HowToEndRentControl.pdf

http://tinyurl.com/yroxbg

Posted by: Lynda Carson at March 19, 2008 04:09 AM

More on Dan Faller and his WAR on California renters

Dan Faller is not shy about who he is and what he all about.

Dan Faller has declared WAR on California's renters, and the proof is in his own declaration called; How to End Rent Control Now!

>>>>>>>>>

Dan Faller
Founder and President
Apartment Owners Association (AOA)

Headquarters Address:
6445 Sepulveda Boulevard Suite 300
Van Nuys, CA 91411
USA

Website: 
www.apartmentownersassociation.com

Phone: 
(818) 988-9200

Fax: 
(818) 988-5921

***********
Dan Faller, CEO of; http://www.apartmentownersassociation.com/

Dan Faller and his his wife Danette reside in Chatsworth Caifornia.

Dan Faller's home telephone number is (818) 988-9200 and Fax number (818) 988-5921.

DANETTE S FALLER Born  1962   

Home Address
Dan Faller
10320 OSO AVE  
CHATSWORTH, CA  91311

Dan Faller and AOA has a local office in Alameda, CA, and protests should be held in Alameda at the the Northern California AOA office to take the battle to Dan Faller's doorstep...

AOA Northern California
Alison Karnes, Manager
Mon - Fri from 9 AM - 5 PM
(510) 769-7521 Phone
(510) 769-7485 Fax
1128 Lincoln Avenue
Alameda, CA 94501  

***************
(Dan Faller declares WAR on TENANTS)

How to End Rent Control Now! By Dan Faller, AOA President

http://tinyurl.com/yroxbg

File Format: PDF/Adobe Acrobat
By Dan Faller, AOA President. The following information is from “Californians for Property Rights Protection”. (CPRP), a Committee formed to qualify and ...

www.aoausa.com/Articles/2007/ 09_September/05_HowToEndRentControl.pdf

http://tinyurl.com/yroxbg

Posted by: Lynda Carson at March 19, 2008 04:10 AM

Rent control is eminent domain....taking from one person and giving it to another without just compensation. It is an unfair tax on landlords. Not all rent controlled units are occupied by low income tenants! Prop 98 will not evict anyone. When units are vacated they will become non rent controlled. We have vacancy decontrol now on market rents, so what’s the big deal on eliminating rent control? Why should the burden of providing low income housing be placed on the private property owners? Shouldn’t the government pay for this? How about we all pay a “low rent tax” to help pay for the supposedly low income tenants? What, no volunteers ?Yes on 98 – No on 99

Posted by: jm at April 11, 2008 10:04 AM

This initiative was written by the Howard Jarvis Taxpayers Association, the folks who brought you Prop. 13 in 1978, effectively bankrupting our state's educational system by capping annual property tax increases at 2%. How ironic that these same people, and the many large apartment building owners who are backing the proposition, think that capping annual rental increases at more than 3% is unfair.

It is also ironic how often the call comes out for tort reform, when Prop. 98 will (among other things) open the door to tens of thousands of lawsuits by property owners against California cities and the state itself.

Why?

The language of Prop. 98 redefines "private" use and benefit to include municipal utilities like water. The language of Prop. 98 invalidates current laws and prohibits future laws that place any economic burden on a property owner--that can be interpreted to include compliance with environmental regulations and local zoning ordinances. And it does indeed jeopardize all kinds of other renter protections, like just cause for eviction ordinances and the 60-day notice requirement (which Faller refers to in his article as a "bomb" being thrown at owners); any law that transfers a benefit to a private party, in this case a tenant, is invalidated by 98, which leaves us all at the mercy of landlords interested in higher profits. They surely will take this to the courts, costing taxpayers millions of dollars.

While it is true that Prop. 99 only includes protection of owner-occupied single-family homes, those are those kinds of properties that the U.S. Supreme Court ruled on in 2005, not multi-unit buildings or commercial properties. Prop. 99 specifically responds to the ruling that sparked this fight to overhaul California's constitution.

Vote yes on 99 now if you believe tenants deserve any protection, and then pass another initiative with broader protections that doesn't attack renters. Throwing the baby out with the bathwater here--the baby being the more than 41% of all California households who are renters--is not the answer.

Posted by: Lola at April 22, 2008 06:39 PM

I just want to thank you for your RANT against prop. 98.
You had me scared for a minute. But then I realized that's how Liberals always try to manipulate people to do what they want.
Now I know just how to vote.

YES on 98

Thank You

Posted by: Frank Hubbard at May 2, 2008 01:29 PM

just want to thank you prop. 98.

YES on 98

NO ON 99

THANK YOU

Posted by: BOB NORUZ at May 9, 2008 08:43 AM

YES ON PROP. 98

NO ON PROP. 99

THANKS

Posted by: Z. SURUR at May 9, 2008 08:47 AM

The old "supply and demand" and "monopoly" are at play here with Prop 98!!! Just like the gas companies! A place to live and a way to get to work, both are necessities. They get a 4% increase every year! What do they want! Homeless??? All the homeowners now losing their homes will need a place to rent, and boy! oh boy! Those landlords just can't wait to stick it to those poor people who have already lost their home. It's because of these high rents in California that nobody can even think of ever saving for the "home of their dreams." Think this smells of GREED on the part of the landlords? Well..., you tell me.

Posted by: S. Taylor at May 13, 2008 08:29 AM

I have never heard of this guy Faller. But, with my limited knowledge of these propositions, here's what I think.

It is a well known fact that rent control will produce ghetto-like environments. Without funds to maintain and improve rental property the owners simply have to let it fall apart. They still must pay the mortgage, insurance, water bill, trash collection bill, sewer fee, paramedic fees, sanitation district fees, special school district fees, misquito abatement fees, fire ant abatement fees, etc., etc. As everything, except rent, gradually increases something must go and that is the living standard of the rental units. This results in a lowered properety value and an eventual blighted condition.

Some landlords with few rental properties, say one, two or three, do not raise the rent as often as they should and eventually come to realize the mistake that they have made. Soon they are using their own support money instead of the separate rental property funds, because there ain't any rental funds left. They are forced to eventually raise the rent or face bankruptcy. If, by this time, there is rent control in place, this will certainly be very bad for the owner. In this case, rent control would allow this owner, who did not raise his rents, to raise the rent to the controlled limit and not have a guilty conscience. But, by this time, will this increase be enough to save the property. Absolutely not.

As for the emminent domain issue, these cities, if they percieve a need, will also take privately owned apartments and other rented dwelings. This would likely affect all of the tenants in an adverse manner, not to mention the grief the owner is going to suffer. However, if the owner was looking to sell this large apartment complex and could not do this due to market conditions, he may very well welcome the city to take it. This would result in many residents being uprooted and looking for other living quarters, which would likely have higher rents.

So, who does Prop 98 hurt? If passed it appears it would benefit tenants and owners. If it fails, governments will continue to use redevelopment funds to close down people's rented homes, private businesses, any church, etc. Of course, if passed, this could spell an end to redevelopment. Many cities are in dire need of redevlopment. This is a two sided issue that is very complex. Perhaps a piece of legislation or initiative needs to be introduced that requires governments to pay more than the present market value of a property, say 125% to 150%, if taken by emminent domain for redevelopment. This would leave the owner with a feeling of not being ripped off. The funds for this "redevelopment" would come from the feds, right? Then the city would have to eat it when they sold the property for a lower 100% of the market value to the desired next business developer. But, would they really eat it if the feds were paying in the first place?

Of course tenants would also have to be compensated in some manner. Say all moving expenses and rent and utilities paid for one year by the government agency that is doing the evictions.

Posted by: Varn Ford at May 19, 2008 08:35 PM

No on 98
Yes on 99

Thank You!

Posted by: Edd at May 21, 2008 07:13 AM

Rent control is governemt taking.

Sure, there always are issues of fair treatment of tenants, i.e. due process in eviction procedures, assuing landlords live up to their obligations, providing reasonable time frames and notifications for any changes in rent, and so forth.

But none of that changes the simple fact that rent control, in and of itself, is nothing more than forcing someone to sell a product at an arbitrary price, defined outside of the market.

No group, not tenants, and not the government, has the right to tell a private owner what to charge for a good or service. That is, unless one feels that the US constitution has not actual meaning. If you don't believe in private property, then I have not argument. But, in that case, we're not talking about America as we know it.

Further, read California's own independent legislative analysis on prop 99. It say, in effect, that 99 has no actual "reform" qualities. All it really does is say thay a private home, owner occupied, can not be taken from one owner for development into a new home by another private entity.

That is rarely what happens in redevelopment schemes, so 99 has no tangible impact on current goverment/developer operations in the area of property takings.

Prop 98 is, indeed, the real deal. Prop 99 is nothing more than a decoy.

Posted by: D Bordelon at June 3, 2008 03:19 PM

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