There’s a growing desire to tax billionaires more in the US, especially among Democrats. California is no exception where a 5% wealth tax could land on the November ballot.
SEIU United Healthcare Workers proposed the one-time 5% wealth tax to help backfill healthcare costs after congress cut Medicaid funding last year.
The initiative’s been touted as a labor-backed progressive effort to tax the rich. Liberal icon and US Senator Bernie Sanders is on board with the proposal.
But a large coalition of progressive groups, and organized labor, have come out in opposition. Many hope they can reach a deal to prevent it from making it to the ballot this week.
David Goldberg heads the California Teachers Association.
He said, "It doesn’t have long term solutions. It kind of intentionally leaves people out of the funding."
Planned Parenthood, pro-housing advocates, and business groups also oppose, not to mention the state’s top Democrat Governor Gavin Newsom.
Jason Elliott is a Democratic political consultant and a former Newsom advisor. He says the coalition opposing the wealth tax is broad and powerful.
"I have never seen the breadth of a coalition like this come together," Elliott added. "Across ideological differences, across industries, across traditional political stripes."
Opponents have tried to negotiate an off ramp to keep the measure off the ballot, but they’re running out of time. The deadline for initiatives to qualify for the ballot is Thursday.