Sen. Bernie Sanders to Kick Off California Billionaire Tax Campaign

Why It Matters

The tax could provide critical financing for California’s strained healthcare system and reshape state tax policy ahead of the 2026 gubernatorial race.

Key Takeaways

• One‑time 5% tax on California billionaires' assets
• Aims to fund healthcare after federal cuts
• Requires 875,000 signatures by June 24
• Opponents fear wealthy exodus, innovation loss
• Gov. Newsom and mayor oppose proposal

Pulse Analysis

Bernie Sanders’ push for a one‑time 5% levy on the assets of California’s roughly 200 billionaires taps into a growing national conversation about wealth‑based taxation. While similar proposals have surfaced in New York and Washington, Sanders brings a unique political brand that blends progressive advocacy with grassroots fundraising. His involvement signals a strategic effort to leverage his national profile to galvanize California’s liberal base, especially after his strong performance in the state’s 2020 Democratic primary.

The proposed tax is framed as a stopgap to replace federal healthcare funding slashed under the previous administration. Proponents argue that the infusion could preserve hospital services for more than three million working‑class Californians, a claim that resonates amid rising hospital closures. The signature drive, targeting 875,000 registered voters by June 24, underscores the logistical challenge of qualifying a statewide initiative. Early momentum suggests robust volunteer networks, yet the tight timeline leaves little margin for error, making every signature count.

Opposition coalesces around fears of capital flight and stifled innovation, citing recent departures of high‑profile billionaires like Peter Thiel. Democratic leaders such as Gov. Gavin Newsom and San Jose Mayor Matt Mahan have publicly balked, highlighting intra‑party splits that could influence the upcoming gubernatorial contest. If the measure reaches the ballot, its fate will test California’s appetite for aggressive wealth redistribution and could set a precedent for other states grappling with budget shortfalls and escalating healthcare costs.

Sen. Bernie Sanders to Kick Off California Billionaire Tax Campaign

By Seema Mehta, Los Angeles Times (TNS) · February 10, 2026

LOS ANGELES — Sen. Bernie Sanders, a political hero among liberals and populists, next week will formally kick off the campaign to place a new tax on billionaires on California’s November ballot.

The controversial proposal, which would impose a one‑time 5 % tax on the assets of the state’s wealthiest residents, is critical to backfilling federal funding cuts to healthcare enacted by the Trump administration, Sanders said in a statement.

“This initiative would provide the necessary funding to prevent over 3 million working‑class Californians from losing the healthcare they currently have — and would help prevent the closures of California hospitals and emergency rooms,” he said. “It should be common sense that the billionaires pay just slightly more so that entire communities can preserve access to life‑saving medical care. Our country needs access to hospitals and emergency rooms, not more tax breaks for billionaires.”

The independent senator from Vermont, who caucuses with Democrats in the nation’s Capitol, will appear Feb. 18 at the Wiltern in Los Angeles alongside prominent musical acts. Sanders has a deep base of support among California Democrats, winning the state’s 2020 presidential primary over Joe Biden by eight points, and narrowly losing the 2016 primary to Hillary Clinton. In both elections, he won the votes of more than 2 million Californians, who were also a major source of the small‑dollar donations that fueled his insurgent campaigns.

The tax proposal, which Sanders previously endorsed on social media, is proposed by the Service Employees International Union‑United Healthcare Workers West. The supporters need to gather the signatures of nearly 875,000 registered voters and submit them to county elections officials by June 24 for the measure to qualify for the November ballot. They began gathering signatures in January.

Supporters of the tax argue it is one of the few ways the state can backfill major federal cuts to healthcare services for California’s most vulnerable residents. Opponents warn it would kill the innovation that has made the state rich and prompt an exodus of wealthy entrepreneurs.

More than 200 billionaires in California would be affected if the proposal qualifies for the ballot and is approved. Some prominent billionaires have already left the state, notably PayPal co‑founder Peter Thiel and venture capitalist David Sacks. Both men were major supporters of President Donald Trump.

Democrats are divided about the issue. Notably, Gov. Gavin Newsom and San Jose Mayor Matt Mahan, who is among a dozen candidates running in November to replace the termed‑out governor, oppose the proposal.