California Democrats back November billionaire tax ballot measure

California's Democratic Party endorsed Proposition 40, a November ballot measure that would impose a one-time 5% tax on billionaires' wealth, handing supporters a symbolic win despite opposition from Gavin Newsom, Democratic Candidate for Governor Xavier Becerra and several influential labor organizations. The executive board narrowly backed the proposal after earlier votes to endorse it and remain neutral both failed, with proponents later picking up enough support to clear the party's 60% threshold. Rep. Maxine Waters attended the San Diego meeting and encouraged key yes votes, according to people familiar with her efforts, adding to earlier support from Sen. Bernie Sanders and Rep. Ro Khanna. The party also voted to oppose two billionaire-backed measures aimed at undercutting Prop 40. Supporters, led by SEIU United Healthcare Workers West, say the tax would help offset federal health care funding cuts and point to polling showing strong Democratic voter support. Opponents, including the California Teachers Association and other groups, argue the levy could hurt the state budget and economy and complicate a separate measure to extend an income tax on the wealthy that funds schools.