Bernie Sanders Backs Billionaire Tax for California Healthcare
- Los Angeles, CA – February 10, 2026 – Senator Bernie Sanders is set to launch a campaign next week to bring a one-time 5% tax on the assets...
- The proposal, championed by the Service Employees International Union-United Healthcare Workers West (SEIU-UHW), seeks to impose a tax on the state’s wealthiest residents.
- Sanders’ involvement underscores his continued influence in California politics.
Los Angeles, CA – – Senator Bernie Sanders is set to launch a campaign next week to bring a one-time 5% tax on the assets of California’s billionaires to the November ballot. The initiative, formally kicking off at the Wiltern in Los Angeles, aims to backfill federal cuts to healthcare funding, a move supporters say is critical for millions of Californians.
The proposal, championed by the Service Employees International Union-United Healthcare Workers West (SEIU-UHW), seeks to impose a tax on the state’s wealthiest residents. Sanders, speaking to the initiative’s core purpose, stated, “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 continued, “It should be common sense that the billionaires pay just slightly more so that entire communities can preserve access to life-saving medical care.”
Sanders’ involvement underscores his continued influence in California politics. He won the state’s 2020 presidential primary by eight points over Joe Biden, and narrowly lost the 2016 primary to Hillary Clinton. In both instances, California voters provided a significant portion of the small-dollar donations that powered his campaigns, with over 2 million Californians supporting him in each election.
The path to the ballot isn’t straightforward. Supporters need to gather nearly 875,000 registered voter signatures by to qualify the measure for the November election. Signature gathering began in January, signaling an aggressive timeline for the campaign.
The proposed tax has ignited a fierce debate, pitting healthcare advocates against those who fear economic repercussions. Opponents argue the tax could drive wealthy entrepreneurs and investment out of the state, stifling innovation and damaging California’s economic competitiveness. Governor Gavin Newsom has publicly voiced his opposition, emphasizing the need for California to remain “pragmatic.”
The potential impact extends beyond the immediate healthcare funding. The initiative is estimated to raise up to $100 billion, according to reports, a figure that has drawn both support and skepticism. The funds are intended to offset cuts to healthcare services resulting from actions taken by the Trump administration.
The debate is also playing out in the context of a shifting political landscape. San Jose Mayor Matt Mahan, a candidate vying to replace the termed-out Newsom, also opposes the proposal. He is one of a dozen candidates seeking the governorship in November, adding another layer of complexity to the discussion.
The proposal has already prompted reactions from some of the state’s wealthiest individuals. Several billionaires, including PayPal co-founder Peter Thiel and venture capitalist David Sacks, have reportedly considered leaving California, citing concerns about the tax environment. Both Thiel and Sacks are known supporters of former President Trump.
The situation highlights a growing tension between progressive policies aimed at addressing wealth inequality and the desire to maintain a business-friendly climate. Congressman Ro Khanna, representing much of Silicon Valley, has expressed support for a “modest wealth tax,” arguing it would be beneficial for American innovation. However, this view isn’t universally shared within the tech community.
The controversy surrounding the billionaire tax is also a reflection of broader national conversations about wealth distribution and the role of government in providing healthcare. As the campaign gains momentum, it’s likely to become a central issue in California’s political discourse, with implications that could extend far beyond the state’s borders. The outcome of the November vote will undoubtedly be closely watched by policymakers and advocates across the country.
The SEIU-UHW is leading the charge, framing the tax as an emergency measure to prevent a collapse of the state’s healthcare system. Renee Saldana, a spokesperson for the union, emphasized the urgency, stating the tax is needed to “keep ERs open, keep health care workers serving patients.” The union argues that the $100 billion cut to federal healthcare funding poses a significant threat to access to care for millions of Californians.