California Rejected a Billionaire Tax. Health Bills Were Not Cut.

California voters rejected Proposition 40, and no health-care bill was cut. The BBC reported that projected result on Nov. 10, after nearly a week of counting from the midterm ballot. The measure would have imposed a one-time 5% tax on wealth above $1.1 billion, which backers said could raise about $100 billion for health care after federal funding cuts.

About 200 billionaires live in the state. The tax would have covered assets such as shares, not only income. Governor Gavin Newsom opposed it, warning that wealthy residents might leave and take income-tax revenue with them. Dave Regan, who leads the union that backed the measure, said he would try again in 2028. Two other propositions on the ballot could have reversed the tax even if it had passed.

The defeat means the levy is not in force. It also means the health-care money the campaign described was not raised by this vote. Nothing in the result lowers an insurance premium or a patient charge.

Does the failed wealth tax lower a California medical bill or tax a billionaire now? No. Proposition 40 was rejected, so the 5% levy was not imposed, and no premium or patient charge was reduced.