California billionaire tax proposal clears ballot fight, official says

California’s billionaire – California’s top elections official says a proposal to impose a one-time 5% tax on billionaires has enough signatures to appear on the November ballot, as supporters push it to offset federal healthcare cuts and opponents argue it will drive the wealthy away—d

Sacramento woke up to a familiar kind of fight: one side talking about hospitals and emergency rooms, the other warning of an exodus of the wealthiest. On Wednesday night, California’s top elections official delivered the kind of milestone that turns a legislative argument into a ballot war.

Secretary of State Shirley Weber, a Democrat, said petitioners have collected more than the roughly 875,000 signatures needed to place the proposal before voters. Weber said it will qualify for the November ballot unless proponents pull the measure, adding that it will qualify June 25.

Debru Carthan, a spokesperson for the group backing the tax, framed the moment as pressure building to protect care. “Now that California’s historic Billionaire Tax has surpassed the state’s signature requirement. we’re one step closer to saving the hospitals and emergency rooms that we all rely on. ” she said.

The plan would impose a one-time 5% tax on individuals whose net worth exceeds $1 billion and who were living in California as of Jan. 1, 2026. Supporters say the measure is designed to raise $100 billion in revenue—primarily to fund the state’s Medicaid system. with some money going to food assistance and education programs.

The proposal arrives as states grapple with how to respond to major tax breaks and spending cuts legislation President Donald Trump signed last year. including cuts to federal healthcare for low-income people. California’s own political debate over how to fill those gaps has already split Democrats and major labor unions and has triggered an expensive effort aimed at defeating it.

The campaign has drawn high-profile support from prominent progressives, including Vermont Sen. Bernie Sanders. It has also faced organized pushback from Silicon Valley tech moguls, Democratic Gov. Gavin Newsom, and prominent players across Sacramento.

Among the opponents is the California Medical Association. and the California School Boards Association. which helped launch a committee this week to oppose the measure. Newsom previously opposed a ballot measure in 2022 to increase taxes on the wealthy—an initiative that would have funded programs to help people buy electric cars or install more chargers. Voters rejected it.

Critics argue the math won’t hold up over time. Roger Salazar. a spokesperson for Golden State Promise. a political committee fighting the tax. said: “This flawed measure is the wrong approach for California’s small businesses and working families.” Opponents say the proposal would decrease state revenue over time by encouraging ultrawealthy residents to leave—taking with them income tax dollars that California’s budget depends on.

They point to the state’s reliance on its top 1% of earners for nearly half its personal income tax revenue.

Even as the measure advances toward the ballot. uncertainty remains about how much money it would raise—and how that revenue could change. The nonpartisan Legislative Analyst’s Office estimates the proposal would generate tens of billions of dollars in the first few years. but it also projects that income tax revenues could subsequently decline by hundreds of millions of dollars annually.

The political money behind the ballot fight is already visible. Since the proposal was announced in October. Google co-founder Sergey Brin has donated $82 million to a political committee called Building a Better California. That committee backs a variety of initiatives designed to blunt the billionaire tax proposal. Counting Brin’s contributions, it has raised more than $118 million from fewer than a dozen donors.

On the policy front, state leaders have been adjusting their plans in parallel. State lawmakers passed budget bills this week that aim to raise revenue in other ways, including by extending a tax on healthcare providers. Newsom and legislative leaders agree to this approach.

Senate President pro Tempore Monique Limón said the budget process reflects that separation. “The budget. as approved by the Legislature and now being negotiated with the Governor. does not include the billionaire’s tax. ” the Democrat said in a statement. “Instead, it reflects additional revenues to address our long-term structural deficit.”.

Taken together. the signature deadline and the budget strategy show a state bracing for a high-stakes choice: whether to solve a looming healthcare funding gap through a new. targeted tax on extreme wealth—or to lean on alternative revenue streams already moving through Sacramento. For California voters, the question is now set for the November ballot, with June 25 as the point of formal qualification.

California billionaire tax Shirley Weber November ballot Medicaid healthcare funding Gavin Newsom Bernie Sanders signatures Golden State Promise Legislative Analyst's Office Sergey Brin