California Voters Defeat Proposed Billionaire Wealth Tax

California voters defeated Proposition 40, a proposed one-time 5% tax on billionaires, with 52.4% voting no and 47.6% voting yes in a later tally. The measure would have applied to California residents and trusts with wealth above $1 billion and directed most of the proceeds to health care, with the remainder for education and food assistance. The reported count was 3,966,849 no votes and 3,598,679 yes votes. Early returns on election night showed a wider margin against the measure, but the later tally narrowed the gap as more ballots were counted. The final figures were reported in statewide results. Proposition 40 was sponsored by SEIU-United Healthcare Workers West. Supporters projected that it could raise about $100 billion over five years and said the revenue could help sustain health services amid federal funding cuts. The measure’s provisions allocated 90% of its proceeds to health care. Opponents argued that taxing billionaire wealth could prompt residents or investment to leave California and weaken future state revenues. They also raised concerns about a provision allowing a two-thirds legislative majority to amend the measure, warning that it could open the door to...