California voters rejected Proposition 40, a proposal to tax the net worth of billionaires, The Associated Press reported after calling the race Monday. The vote leaves the proposed levy and the spending tied to it off the books.
What the proposal would have funded
Most of the money would have gone toward offsetting federal health care cuts. The proposal also reserved 10% for education and food assistance, AP reported. Supporters argued that California needed another source of funding to protect coverage. Opponents argued that the tax could drive wealthy residents out of a state that already depends heavily on their income tax payments, CalMatters reported.
The race call came before certification. The California secretary of state’s election calendar gives counties until Dec. 3 to complete their official results and sets statewide certification for Dec. 11.