UPDATE: San Diego voters approved the Proposition H measure Tuesday.

Dive Brief:

• San Diego officials and local construction industry groups urged city voters to approve ballot measure Proposition H — a $3 billion infrastructure funding plan that would see sales tax revenue and pension savings pay for a backlog of city upgrades, according to the San Diego Union-Tribune.
• The measure will go into effect in summer 2017 and deliver a 25-year boost to the new Infrastructure Fund via pension savings ($1.3 billion) and sales tax growth above inflation ($1.4 billion), as well as a five-year influx of 50% of the property and hotel tax growth ($77 million).
• Critics of the proposal have said that it won’t raise adequate funds, could divert money away from higher priorities and doesn’t identify exact infrastructure projects to be undertaken, leaving the process open to wrongdoing.

Dive Insight:

Advocates of the measure have said it would guarantee money for essential overhauls without raising taxes by treating infrastructure as a "core" city function. Opponents have suggested alternatives to Proposition H, such as a bond issue, which they say could provide a reliable source of funding.

However, those in favor of the measure have raised more money and have been able to get their side of the issue out to far more voters than their opponents. According to the Union-Tribune, major donors include the Associated General Contractors ($25,000) and the San Diego Chamber of Commerce ($17,000).

The infrastructure proposal isn't the only construction-related measure that San Diego voters will see in the coming months. The San Diego Chargers also have a tax measure on the November ballot, which, if approved, would raise city hotel taxes to pay for a new stadium and convention center complex. The team released details of the $1.8 billion proposal earlier this year.

Several California municipalities and counties have found themselves running short on infrastructure money due to the state's gas-tax swap plan, which reduces the gas tax rate as sales decrease. With low oil prices, the state's coffers are dealing with a potential $1 billion gas-tax revenue loss. Sacramento County, CA, announced in March that it might seek a half-cent sales tax increase to help fund its $3.6 billion infrastructure plan, although it already has a half-cent sales tax in place to pay for transportation projects.

On a positive note, the Federal Highway Administration recently announced that it will disburse $2.1 billion in unused, previously earmarked "orphan" funds among several states, and California is in line for a $126.1 million piece of the pot.