Rumford Fair Housing Act

California Proposition 14 was a November 1964 initiative ballot measure that amended the California state constitution to nullify the 1963 Rumford Fair Housing Act, thereby allowing property sellers, landlords and their agents to openly discriminate on ethnic grounds when selling or letting accommodations, as they had been permitted to before 1963. The proposition became law after receiving support from 65% of voters.Cal. Const. art. I, § 26 dopted November 3, 1964, and repealed November 5, 1974 In 1966, the California Supreme Court in a 5–2 split decision declared Proposition 14 unconstitutional under the equal protection clause of the United States Constitution ( Fourteenth Amendment). The U.S. Supreme Court affirmed that decision in 1967 in '' Reitman v. Mulkey''.

Political science research has tied white support for Proposition 14 to racial threat theory, which holds that an increase in the racial minority population triggers a fearful and discriminatory response by the dominating racial majority.

Circumstances Leading to Proposition 14

As early as 1927, the California Real Estate Association (the eventual sponsor of Proposition 14) began to advise its membership in ways to keep California communities all white. This was part of a decades-long campaign by real estate interests to undercut the rights of minority groups in regard to housing facilities in California. This also included the California Real Estate Association opposing the relocation of the evacuated Japanese (during World War II) in California or anywhere on the West Coast.

California Real Estate Association Race Restriction Committee

In 1942, in response to the success of some Negroes in moving out of the Los Angeles ghetto and into traditionally all white neighborhoods, the California Real Estate Association formed its Race Restriction Committee. The purpose of the Committee was to establish perpetual race restrictions on parcels of property.

U.S. Supreme Court Decision in ''Shelley v. Kraemer''

In 1948, the United States Supreme Court in '' Shelley v. Kraemer'' precluded judicial enforcement of racially restrictive housing covenants. Prior to 1948, the California Real Estate Association routinely promoted and enforced racially restrictive housing covenants to prevent family homes from ending up in the hands of minorities, particularly Negroes.

Support of Federal Constitutional Amendment Allowing Racially Restrictive Covenants

Shortly following the 1948 court decision in ''Shelley'', an item appeared in the ''California Real Estate'' magazine, a publication of the California Real Estate Association (the organization is currently named the California Association of Realtors) advocating an amendment to the United States Constitution that would overturn ''Shelley'' and constitutionally guarantee the legal enforcement of racially restrictive covenants throughout the United States.

In advocating support for a federal constitutional amendment guaranteeing the legal enforcement of racially restrictive covenants, the California Real Estate Association publication stated that "millions of home owners of the Caucasian race have constructed or acquired homes in areas restricted against occupancy by Negroes. The practice of surrounding homes in such areas with the security of such restrictions has become a traditional element of value in home ownership throughout this nation."

The publication further stated: "The recent decisions of the Supreme Court abovementioned have destroyed the values thus secured. The threat of occupancy by Negroes of property in such areas depreciates the value of all home properties and constitutes a direct deterrent to investment in the construction or acquisition of homes of superior quality whether large or small. The experience has been uniform that whenever and wherever Negroes have occupied homes in such areas this has not only depreciated values of the properties which they own, but has depreciated the values of all surrounding properties."

In further support of the constitutional amendment, the publication stated: "Moreover, the prices of homes in such areas are well within the purchasing power of vast numbers of Negroes. These circumstances greatly aggravate the hazard to which such home owners are exposed. ... Additionally, the insistence of some Negroes upon moving into areas previously restricted exclusively to the occupancy of Caucasians will necessarily create racial tensions and antagonisms and do much harm to our national social structure."

The federal constitutional amendment effort was unsuccessful, but the reasons for pursuing such an amendment provided insight into the underlying reasons for pursuing a future and similar protective state constitutional amendment in California.

California Real Estate Association Support of 1950 California Proposition 10

The California Real Estate Association also supported California Proposition 10 on the November 1950 election ballot (adding Article 34 to the California Constitution and known as the "Public Housing Project Law") which made it significantly more difficult to build low-rent housing projects in California communities. Proposition 10 had been described as a means of legally handcuffing public housing that may be greatly needed for low-income renters, including minorities.

Blockbusting

Despite the court decision in ''Shelley'', segregation in California continued. As an example, an insidious form of segregation known as blockbusting occurred in East Palo Alto. In 1954, a white resident sold his house to a black family. Almost immediately, agents of the California Real Estate Association, including the president of the statewide real estate Association himself, began warning of a "Negro invasion" and even staged burglaries to panic white homeowners to sell at below-market prices. Those properties were then sold to Negroes at higher-than-market prices with real estate interests handsomely profiting from the transactions. These East Palo Alto houses had been priced so much higher than similar properties for white homeowners that the black homeowners had difficulty making payments which created a slum in East Palo Alto.

Rumford Fair Housing Act

The tipping point for the California Real Estate Association to pursue an initiative for a state constitutional amendment in California was the enactment of the Rumford Fair Housing Act in 1963. The Rumford Fair Housing Act was passed by the California Legislature to help end racial discrimination by property owners and landlords who refused to rent or sell their property to "colored" people. It was drafted by William Byron Rumford, the first African American from Northern California to serve in the legislature. The Act provided that landlords could not deny people housing because of ethnicity, religion, or national origin (later the law would be extended to apply to sex, marital status, physical handicap, or familial status) Future Governor Ronald Reagan opposed this and other legislative attempts to enact fair housing, but the Rumford Fair Housing Act was signed into law by Governor Pat Brown.

The California Real Estate Association had fought the Rumford Fair Housing Act "every step of the way." In the minds of California Real Estate Association leaders, the Rumford Fair Housing Act directly threatened the financial interests of the real estate industry who came to see "the promotion, preservation, and manipulation of racial segregation as central – rather than incidental or residual – components of their profit generating strategies."

The California Real Estate Association also advised its member boards that speakers from the State Fair Employment Practice Commission, the agency which enforced the Rumford Fair Housing Act, should be prevented from talking to the general real estate membership about the new law. Instead, all questions about the interpretation of the new law would come from the real estate association itself.

Following the assassination of President John Kennedy on November 22, 1963, tremendous pressure was placed on the California Real Estate Association to call off their initiative campaign to repeal the Rumford Fair Housing Act. The Association instead decided to "delay a little while" to "let things simmer down."

Proposition 14

In 1964, the California Real Estate Association (currently named the California Association of Realtors) sponsored an initiative constitutional amendment to counteract the effects of the Rumford Act. A member of the State Fair Employment Practice Commission, the agency which enforced the Rumford Fair Housing Act, asserted that some members of the California Real Estate Association were promoting their initiative campaign to repeal the Rumford Fair Housing Act to continue blockbusting.

The initiative, numbered Proposition 14 when it was certified for the ballot, was to add an amendment (Cal. Const. art. I, § 26) to the constitution of California. This amendment would provide, in part, as follows:

In California, housing segregation was rampant as a result of decades of racially discriminatory housing policies explicitly aimed at keeping people of color confined to urban ghettos and out of the expanding suburbs. Proposition 14 attempted to re-legalize discrimination and associational privacy by landlords and property owners.

Ballot Arguments

The ballot argument in favor of Proposition 14 stated that the constitutional amendment "will guarantee the right of all home and apartment owners to choose buyers and renters of their property as they wish, without interference by State or local government." The argument further stated that "most owners of such property in California lost this right through the Rumford Act of 1963. It says they may not refuse to sell or rent their property to anyone for reasons of race, color, religion, national origin, or ancestry."

The ballot argument against Proposition 14 stated that Proposition 14 "would write hate and bigotry into the Constitution." The argument further stated that Proposition 14 "would legalize and incite bigotry. At a time when our nation is moving ahead on civil rights, it proposes to convert California into another Mississippi or Alabama and to create an atmosphere for violence and hate."

Endorsements

Following much publicity the proposition gained the endorsement of many large conservative political groups, including the John Birch Society and the California Republican Assembly. As these and other groups endorsed the proposal it became increasingly popular and the petition to have the proposition added to the ballot garnered over one million signatures. This was more than twice the 480,000 signatures that were required.

Endorsements by Racist Groups

Other supporters of Proposition 14 included the American Nazi Party and local branches of the White Citizens' Councils, a network of white supremacist, segregationist organizations. The National States' Rights Party, a white supremacist political party having the slogan "White Men Unite," also supported Proposition 14.

The statewide director of the campaign against Proposition 14 asked the California Real Estate Association to repudiate the White Citizens' Council's support of Proposition 14, but the California Real Estate Association, acting through its president, refused to do so. In response to this refusal, Rev. H. H. Brookins, chairman of the United Civil Rights Committee said: “It no longer is possible for proponents of Proposition 14 to hide their real intention, which is to legalize segregation in housing. By refusing to repudiate support of a local Mississippi-based racist group, the California Real Estate Association had admitted its concern is not with property rights – it is to destroy human rights.”

Other opponents of Proposition 14, including the AFL-CIO Los Angeles County Labor Federation, also demanded that the California Real Estate Association fire its Southern California publicity director who had written extensively for the White Citizens’ Council magazine, and who stated during a campaign Town Hall meeting in Los Angeles: “The people have the right to discriminate if they want to.” The president of the California Real Estate Association had recently claimed that realtors are against anything smacking of prejudice against minorities.

''Los Angeles Times'' Endorsement

In endorsing Proposition 14, the ''Los Angeles Times'' stated: “One of man’s most ancient rights in a free society is the privilege of using and disposing of his private property in whatever manner he deems appropriate.” The editorial further stated: “But we do feel, and strongly, that housing equality cannot safely be achieved at the expense of still another basic right.” According to the ''Los Angeles Times'', the ability to discriminate against home buyers or renters by race, color, and creed was considered a "basic property right."

In a letter-to-the-editor response to the ''Times endorsement of Proposition 14, then-California Attorney General Stanley Mosk stated: “I oppose the segregation initiative. I oppose it because it sugar-coats bigotry with an appeal to generalities we can accept, while ignoring the specific problem that confronts us.”

Heated campaign

The Proposition 14 campaign was heated and included several controversial comments from Edmund Brown who was the Governor of California at the time. Governor Brown stated that passage of Proposition 14 would put into California's Constitution "a provision for discrimination of which not even Mississippi or Alabama can boast." Previously, Governor Brown had likened the campaign for Proposition 14 to "another hate binge which began more than 30 years ago in a Munich beer hall." In a letter to the editor response to several items published in the ''Los Angeles Times'' relating to Proposition 14, Governor Brown wrote: “I submit that it is not the Governor who is inflammatory. It is Proposition 14. And I submit that it is not the opponents of Proposition 14 who encourage the racists and bigots in this state, but those who support Proposition 14.”

Martin Luther King Jr. visited California on multiple occasions to campaign against Proposition 14, saying its passage would be "one of the most shameful developments in our nation’s history."

Election results

Proposition 14 appeared on the November 3, 1964, general election ballot in California. The ballot proposition passed with 65.39% support, receiving 4,526,460 votes in support and 2,395,747 votes against.California Secretary of State, Statement of Vote November 3, 1964, General Election, p. 25.

Results by county

The final election results by county for Proposition 14 from the Statement of Vote were as follows:

Election aftermath

Shortly following the successful Proposition 14 election, the president of the National Association of Real Estate Boards declared that private property rights were more basic to human liberty than the civil rights of minority groups.

Election analysis

A 2018 study in the ''American Political Science Review'' found that white voters in areas which experienced massive African-American population growth between 1940 and 1960 were more likely to vote for Proposition 14. Political scientists have taken this as evidence for " racial threat theory", which holds that the rapid increase in a minority population triggers fears among the majority race population, leading the majority to impose higher levels of social control on the subordinate race.

Unconstitutionality

Soon after Proposition 14 was passed, the federal government cut off all housing funds to California. Many also cited the proposition as one of the causes of the Watts Riots of 1965.

With the federal housing funds cut off and with the support of Governor Pat Brown, the constitutionality of the measure was challenged soon afterward. In 1966, the California Supreme Court did not consider whether Proposition 14 was unconstitutional because it violated the equal protection and due process provisions of the California Constitution; instead, it held that Proposition 14 violated the equal protection clause of the Fourteenth Amendment to the federal Constitution. Gov. Brown's stance proved controversial; later in 1966, he was defeated in his bid for re-election by Ronald Reagan. However, Reagan opposed both Proposition 14 and the Rumford Act, and stated that Proposition 14 was "not a wise measure." Reagan labeled the Rumford Act as an attempt "to give one segment of our population a right at the expense of the basic rights of all our citizens."

However, the case continued. The U.S. Supreme Court affirmed the California Supreme Court's decision in '' Reitman v. Mulkey'' (1967), holding that Proposition 14 was invalid because it violated the equal protection clause. The proposition was repealed by Proposition 7 in the November 1974 election.

''Reitman'' established a significant precedent because it held that state assistance or encouragement of private discrimination violated the equal protection guarantee of the Fourteenth Amendment.

Even following the U.S. Supreme Court decision in ''Reitman'', the California Real Estate Association was looking for ways to continue engaging in housing discrimination by evading the high court decision.

Additional ballot measures by the real estate industry

Similar to Proposition 14, there have been subsequent efforts by the real estate industry to promote ballot measures in California to generate more profits at the alleged expense of minorities. Examples include the unsuccessful 2018 California Proposition 5 and 2020 California Proposition 19, which has been criticized for not helping first-time homeowners who are disproportionately minorities and for reinforcing racial inequity within California's tax system.

References

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Initiatives in the United States