California voters reject proposed billionaire wealth tax

California voters rejected Proposition 40, a proposed one-time tax on billionaire wealth, with preliminary results showing about 52.8% to 52.9% opposed and 47.1% to 47.2% in favor. Election projections and calls reported the measure’s defeat on November 9, while vote counting was still underway in the preliminary figures cited by reports.

The measure would have imposed a 5% tax on qualifying wealth held by California residents worth more than $1 billion. The proposal set aside most of the revenue for health care, with allocations also intended for education and food assistance. Supporters said the tax could help address anticipated federal funding cuts to health programs.

Backers included Service Employees International Union-United Healthcare Workers West, as well as Sen. Bernie Sanders and Rep. Ro Khanna. The union’s president, Dave Regan, said California healthcare workers intend to pursue another ballot measure in 2028. Regan attributed the defeat to what he described as misinformation; that explanation was his assessment, not an established finding.

Opponents included Gov. Gavin Newsom and gubernatorial candidate Xavier Becerra, along with business and health care groups....