Holy politics batman.
Anyways, I sort of like this law after I discover a local mom and pop trying to put API SJ in my dad's car, thinking that no one would notice. Yeah it happens more often than you think.
Regarding to Californians moving out and the illegals and welfare people moving in, that depends on the location. People moving in tends to be high income people driving up real estate prices instead of welfare people (hint: welfare money is insufficient to live here).
As to why people always vote for tax increases: because traffic jam sucks and bad school reduces property value. A few hundred dollars a year beats spending an extra 30 mins a day in traffic, or sending your kids to a private school that "if you are lucky" will accept you for a bargain of $20k a year.
It really is a choice: you either make less money elsewhere and pay less for cost of living, or the opposite. A typical job that pays $70k a year may end up being $120k in some area here, and you tends to not worry about unemployment because you can always find a job, starting 2 weeks after a layoff, for equal or more in salary.