Billionaires Face a One‑Time Tax to Help California Health Care

A new ballot measure in California would charge a one‑time 5 % tax on residents whose net worth exceeds $1 billion. The proposal, backed by the state’s largest health‑care workers union, aims to raise about $100 billion for a special fund. Ninety percent of the money would go to health‑care programs like Medi‑Cal, while ten percent would support education and food assistance. The union says the tax is needed because federal cuts to health care left California vulnerable. If the measure passes, lawmakers would control how much of the money is spent each year and could earmark up to $25 billion for specific services. The initiative needs a simple majority to win the November ballot.Supporters include notable figures such as Senator Bernie Sanders and former Labor Secretary Robert Reich, along with several local unions. Opponents argue that higher taxes would push wealthy residents and businesses out of the state, citing examples like Google co‑founder Sergey Brin’s move to Nevada. Tech leaders such as Eric Schmidt and John Doerr have poured millions into campaigns against the tax. Polling shows a split public opinion: about half of voters favor the measure, but many are worried that the tax could drive away wealthy individuals and businesses. Critics also point to provisions that would let lawmakers change the tax after it passes, potentially reducing its impact over time. The debate highlights a clash between those who want to protect California’s health‑care system with new revenue and those who fear economic outflows. The outcome will shape the state’s fiscal policy for years to come.