Overview
- The union-backed measure is awaiting signature verification before it can reach the November ballot, where a simple majority would decide it.
- The proposal would charge a single 5% tax on net worth above $1 billion, measured on assets held as of January 1, 2026, with installment payments allowed.
- Organizers, led by SEIU–UHW, frame the tax as an emergency fix to replace lost federal health dollars and keep services from being cut.
- At a UC Berkeley forum, economist Emmanuel Saez said the plan taps a roughly $2 trillion billionaire asset base to match Medicaid shortfalls.
- Critics including Gov. Gavin Newsom and economist Arthur Laffer warn the tax could push wealthy residents to leave, and Forbes-based estimates point to multibillion-dollar bills for some, such as Larry Page and Mark Zuckerberg, with Democrat Tom Steyer facing a far smaller sum.