People supporting California's proposed billionaire tax hold signs at the 2026 California Democratic Party State Convention in San Francisco on Feb. 21, 2026.
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Jeff Chiu
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AP Photo
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Topline:
The health care union behind the tax measure argues its plan is the only viable fix for federal funding cuts to Medi-Cal. But even some of the most liberal lawmakers and labor unions aren’t convinced yet.
Why it matters: Publicly, prominent labor and progressive players have largely kept quiet, unlike Gov. Gavin Newsom who has aired his disdain loud and clear. Yet in private, some union leaders and their allies in the Legislature rail against the measure. Of the critics who spoke with CalMatters for this story — three union leaders and five members of the Legislative Progressive Caucus — only one lawmaker would criticize the measure openly.
The backstory: The proposed initiative would levy a one-time tax of 5% on any resident of California whose net worth exceeds $1 billion, which applies to around 200 people, according to Forbes. That money would plug an estimated $100 billion hole left by federal cuts to Medi-Cal and other social service programs.
Taxing the rich to backfill Trump-induced federal funding cuts might sound like a no-brainer policy for the party’s left flank, which counts wealth inequality among its top issues.
But despite a strong show of support from prominent national figures, including Sen. Bernie Sanders of Vermont and liberal economist Robert Reich, the “2026 California Billionaire Tax Act” has become a hot potato for labor leaders.
The proposed initiative would levy a one-time tax of 5% on any resident of California whose net worth exceeds $1 billion, which applies to around 200 people, according to Forbes. That money would plug an estimated $100 billion hole left by federal cuts to Medi-Cal and other social service programs.
Publicly, prominent labor and progressive players have largely kept quiet, unlike Gov. Gavin Newsom who has aired his disdain loud and clear. Yet in private, some union leaders and their allies in the Legislature rail against the measure. Of the critics who spoke with CalMatters for this story — three union leaders and five members of the Legislative Progressive Caucus — only one lawmaker would criticize the measure openly.
Critics question its feasibility and whether the state even knows how to accurately appraise a billionaire’s total wealth, a crucial step to evaluating how much tax they would owe. They fear long-term revenue loss by driving wealthy people out of California. And some resent that the union sponsoring the initiative, SEIU-United Healthcare Workers West, designed the measure to predominantly benefit its members rather than boost the state’s general fund, where it could go to all budget needs.
“It's not that taxing billionaires in itself is wrong,” said Keely Martin Bosler, formerly the top state budget officer to Newsom and former Gov. Jerry Brown. She is now a Democratic consultant who has advised several of California’s most powerful labor groups, including the Service Employees International Union of California, the parent union of SEIU-UHW. “The way in which this tax specifically is constructed is problematic.”
Many progressive state lawmakers and Capitol heavyweights, such as Sen. Scott Wiener of San Francisco and the powerful California Labor Federation, have sidestepped the question of whether they’d support it, declining for now to take a position on an initiative that has yet to officially qualify for the ballot.
“The Labor Federation won’t take it up for an endorsement until July,” said Lorena Gonzalez, the organization’s president, in a text message.
Yet if the tax lands on the November ballot, as it appears on track to do, progressive critics will be saddled with the tricky optics of opposing — or at least not supporting — a measure that embodies one of their base’s core tenets: taxing the rich.
Even the mere threat the measure could qualify for the ballot has already spurred a torrent of opposition spending — more than $50 million in total so far — from billionaires such as Google co-founder Sergey Brin and cryptocurrency mogul Chris Larsen. Brin’s group, known as “Building a Better California,” has also spawned three new competing ballot measures designed to undermine the billionaires’ tax.
Critics fear that if billionaires like Brin become even bigger perennial spenders in California politics, they could neuter the progressive agenda by bankrolling more business-friendly candidates and ousting left-leaning, labor-aligned legislators.
But the measure’s proponents say they are undeterred by the secretive detractors and challenge their critics to put their names behind their words.
Dave Regan speaks to the SEIU-UHW Leadership Assembly in 2013.
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Steve Yeater
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Courtesy of SEIU-UHW
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“What we have is a group of so-called leaders who are not reflecting the attitudes of their own constituents,” said Dave Regan, president of SEIU-UHW and the de facto leader of the billionaire tax measure. “That’s why they want to be anonymous.”
Regan said he’s confident the initiative will amass enough signatures to qualify for the ballot before the end of April. Then, he said, “We believe a lot of those people are going to come around and change because this makes sense, because the public is supportive, because their own members are supportive.”
The case for, and against, the billionaires’ tax
So far, polling has shown the billionaire tax is relatively popular with voters. Recent surveys show just over half of Californians surveyed said they’re inclined to vote for it.
Critics point out that California’s existing state tax structure is entirely based on income, rather than net worth. The state would have to appraise each person’s assets, including real estate, art, automobiles and private and public businesses. The billionaires could pay in installments, handing over 1% of their wealth annually for five years.
Bosler said that with income tax filings, the Franchise Tax Board can use data from federal tax returns to verify its own analysis. Since there’s no federal wealth tax, California would be forging uncharted territory with no tax compliance support from any other source or agency — a risky move that could invite legal challenges.
“The state is not a miracle worker, like, they're not going to suddenly be able to do all of this like perfectly,” said Bosler. “I mean they will do their best, but I just think this is expertise that they have built up over 50-plus years. Like, none of this is in their wheelhouse at this point.”
But champions of the tax argue it is the only real solution on the table so far to save hospitals, health care jobs and, ultimately, patient lives they say are at risk due to federal funding cuts to Medi-Cal and food assistance programs.
Supporters note that the tax is not intended to solve California’s structural budget problems.
“It’s one-time funding to fill what we hope is a one-time hole,” said Brian Galle, a tax law professor at UC Berkeley who helped craft the measure. Galle said only around 200 people would be subjected to the tax, so the extra burden on the Franchise Tax Board wouldn’t be too great.
“It's not like FTB is going to get a blizzard of tens of thousands of new returns that they're going to have to figure out a whole new data system for cracking,” said Galle.
Why some progressives aren’t on board
Those who have qualms with the initiative have largely kept their criticisms private.
One liberal state legislator, who spoke on the condition of anonymity, said the infighting among the unions puts progressive lawmakers in a difficult position. While he empathizes with the urgency that health care workers feel, he and other Democrats are not convinced the policy could withstand legal challenges and worry about the wealthy employing savvy accounting maneuvers to skirt the tax altogether.
Some organizations that are synonymous with progressive politics in California, such as the Working Families Party, also haven’t taken a position, even as other unions such as the Teamsters and AFSCME California support it.
Even the powerhouse labor union SEIU California is choosing not to take a position on the measure, which is spearheaded by one of its local affiliates, SEIU-United Healthcare Workers West.
Assembly Speaker Robert Rivas, right, speaks with Assemblymember Chris Ward at the state Capitol in Sacramento on Sept. 12, 2025.
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Fred Greaves
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CalMatters
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Assemblymember Chris Ward, a member of the progressive caucus, called the measure a “well-meaning effort by UHW,” but criticized the proposal for being just a one-time tax primarily benefiting the health care sector rather than boosting the state’s overall revenues. Regan said SEIU-UHW made the tax one-time to nullify the argument that it would push billionaires out of the state.
Ward noted that he and his colleagues are considering “superior” bills, such as one that would close a corporate tax loop to generate $3 billion per year, and another that would create a new tax on corporations that pay workers so little that they qualify for Medi-Cal and nutrition assistance.
Regan argued these measures would only make California more unaffordable, since businesses would pass their increased costs along to consumers.
Ward, the sole state lawmaker who would candidly share his concerns about the initiative with CalMatters, said he and his colleagues have heard pushback from “a number of other labor organizations that don't support that initiative,” primarily because its members would not directly benefit from any of the revenue. Uniting labor, he said, is the key to any successful revenue solution.
“There's a need to look at a wealth tax for a more broad range, including health care workers but other purposes that are state priorities,” Ward said, “and that will be left off of the table if this is the only question we're seeing.”
CalMatters' Nadia Lathan contributed to this story.
Adolfo Guzman-Lopez
is an arts and general assignment reporter on LAist's Explore LA team.
Published April 9, 2026 4:39 PM
L.A. Councilmember Eunisses Hernandez (right) shakes hands with Thomas Stewart, who used to live in an encampment near the 110 Freeway behind them.
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Adolfo Guzman-Lopez/LAist
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Topline:
L.A. City Councilmember Eunisses Hernandez announced today that 59 unhoused people who used to live along the 110 Freeway are now in housing.
How it happened The effort was funded by a $6.3 million grant from the state that paid social workers and health professionals from various agencies to help those living in the encampments with paperwork, healthcare needs, and other hurdles that would normally slow their access to housing.
What's next: Hernandez’s office said the goal is to house 11 more people with the grant funds.
On Thursday morning, L.A. Councilmember Eunisse Hernandez stood at Lacy Street Neighborhood Park in the shadow of the 5 and 110 freeway interchange. Just last year, she said, the Lincoln Heights park and the areas near the freeway were filled with unhoused people. But now, thanks to a $6 million state grant awarded last fall, the park is clear and dozens of people are in temporary and permanent housing.
“Today we’re here to celebrate that 59 of our neighbors, human beings, finally have a roof over their heads,” she said.
The funds were secured by Hernandez from California’s Encampment Resolution Funds, which targeted a 4-mile stretch of the 110 Freeway.
A long to-do list before housing is secured
The grant helped pay health and social workers from public and private agencies and nonprofits, including employees with USC’s California Street Collaborative.
These workers helped people straighten things out before they moved into housing, like finding IDs, matching housing with disability needs and space for pets.
That kind of help requires building trust between the worker and the unhoused person, said Caitlin Schwan, director of the California Street Collaborative.
“And it takes an investment of resources and a lot of coalitions, a lot of partnerships across street medicine, housing providers, service providers,” she said.
Los Angeles Global Care has been as the primary interim housing provider. It also provides daily meals to those transitioning to housing, help with pets and case management.
Rigo Vega was unhoused and lived near the 110 Freeway for four years.
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Adolfo Guzman-Lopez
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LAist
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“I used to live right here under the bridge for like, four years,” said Rigo Vega, who attended the announcement at the park.
Outreach workers, he said, helped him get food and clothes, and the paperwork needed to get into housing last November. Now that’s settled him enough for him to set a goal for himself, “to work, to get a job,” he said.
Hernandez’s office said the goal is to house 11 more people with the grant funds.
Suzanne Levy
is a senior editor on the Explore LA team, where she oversees food, LA Explained and other feature stories.
Published April 9, 2026 3:22 PM
Wat Thai temple in North Hollywood hosts one of the biggest Songkran festivals in the U.S.
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Courtesy Wat Thai temple
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Topline:
Head to the Songkran festival, the Thai New Year, at Wat Thai in North Hollywood, the largest Buddhist temple in L.A. this weekend, Saturday and Sunday. (It's also one of the biggest Songkran festivals in the U.S.) Expect Thai music, Thai dancing, traditional water blessings, the building of sand pagodas and, of course, delicious food.
What's on offer: The temple's Thai food court is a must-visit for many during regular weekends, when a large collection of food vendors set up stalls around the temple, similar to what you'd see in Bangkok. Expect this and more at the festival. "Smells and tastes are amazing," say happy visitors on social media. (Try the Thai gelato). The temple itself is also beautiful to experience.
When and where: The temple is at 8225 Coldwater Canyon Ave., North Hollywood. There's additional parking at the Kaiser Permanente in Panorama City with a free shuttle to the festival. The temple is open from 6 a.m. to 8 p.m. each day. The opening ceremony starts at 1 p.m. Saturday.
Topline:
Head to the festival of Songkran, Thai New Year, at Wat Thai in North Hollywood this weekend, Saturday and Sunday. It's the largest Buddhist temple in L.A. and also one of the biggest Songkran festivals in the U.S. Expect Thai music, Thai dancing, traditional water blessings, the building of sand pagodas and, of course, delicious food.
What's on offer: The temple's Thai food court is a must-visit for many during regular weekends, when a large collection of food vendors set up stalls around the temple, similar to what you'd see in Bangkok. Expect this and more at the festival. We're told you should try the Thai gelato. The temple itself is also beautiful.
When and where: The temple is at 8225 Coldwater Canyon Ave., North Hollywood. There's additional parking at the Kaiser Permanente in Panorama City with a free shuttle to the festival. The temple is open from 6 a.m. to 8 p.m. each day. The opening ceremony starts at 1 p.m. Saturday.
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Robert Garrova
explores the weird and secret bits of SoCal that would excite even the most jaded Angelenos. He also covers mental health.
Published April 9, 2026 2:53 PM
An orange pockmarked and scarred by sweet orange scab, a fungal disease.
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U.S. Department of Agriculture
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Topline:
Sweet orange scab, a plant disease that can harm citrus trees, continues to expand in our region. The California Department of Food and Agriculture recently expanded a quarantine in parts of L.A. and Orange counties.
What is it? SOS is a fungal pathogen that causes young citrus fruit to look scarred. The disease can lead to premature fruit drop and stunt the growth of young trees. Tangerines, sweet oranges and other citrus are at risk.
Where is it? After it was previously found in L.A. and Ventura counties last year, sweet orange scab has expanded into both the Irvine and La Puente areas. Officials expanded the quarantine zone to include those areas, which means residents should not move plants.
What if your tree has it? There isn’t currently a treatment for SOS, but you don’t have to pull your tree out and can still eat the fruit. You can call the CDFA’s pest hotline at (800) 491-1899 to report any trees you suspect have the disease.
Why it matters: The CDFA said quarantine areas have expanded to try to keep the disease away from commercial growers. SOS can cause blemishes, lesions and other symptoms on citrus fruit, and no one wants to buy scabbed fruit.
Rows of vinyl records for sale at Sounds of Music store.
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Alma Lucia
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Boyle Heights Beat
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Topline:
Sounds of Music, an East L.A. record store which has specialized in Chicano soul, oldies and “souldies” since 1964, is now at risk of closing if sales don’t improve.
The backstory: Owner Mario Reyes inherited the store from his father, Carlos Reyes, who relocated to East L.A. from Montebello in 1967. Since then, it has been a destination for fans of soul, R&B, Chicano rap and oldies, offering vinyl records, cassettes, CDs and other merchandise. It’s something that other record stores in Southern California haven’t been able to emulate, Reyes’ wife, Adrianna, said.
Building alongside community: To raise funds for the longstanding store, Reyes and Lona recently organized a pop-up on the property. Artists sold custom clothing, vinyl records and other artworks while DJs played funk and oldies to a lively crowd in the parking lot behind the store.
Just a few blocks away from East L.A.’s Whittier Boulevard arch — a symbol of Chicano pride — Sounds of Music has served as a cultural hub for decades.
The record store, which has specialized in Chicano soul, oldies and “souldies” since 1964, is now at risk of closing if sales don’t improve.
“I was going to close up in January,” owner Mario Reyes said. “We’re kind of month to month right now.”
Reyes inherited the store from his father, Carlos Reyes, who relocated to East L.A. from Montebello in 1967. Since then, it has been a destination for fans of soul, R&B, Chicano rap and oldies, offering vinyl records, cassettes, CDs and other merchandise. It’s something that other record stores in Southern California haven’t been able to emulate, Reyes’ wife, Adrianna, said.
“It’s the vibe of our store,” she said. “We’re not like Amoeba Records. They’ll carry the regular Taylor Swift, Tupac, Sade and regular artists but they don’t carry oldies like the way we do.”
Preserving Chicano culture in East LA
Outside the store, a Felix the Cat standee sporting Nike Cortez, a flannel shirt and slacks, invites shoppers to explore East L.A. culture. Inside, Aztec warrior statuettes sit next to Homies figurines.
Bandanas emblazoned with “East Los” and shirts featuring characters from “Blood In, Blood Out” celebrate local heritage.
An original Silver Dollar Bar sign hangs in one corner, a nod to the building’s history as the site where Los Angeles Times journalist Ruben Salazar was killed by a tear gas projectile fired by an LA County sheriff’s deputy during the 1970 Chicano Moratorium. (Sounds of Music moved into the building from across the street in 2018)
A plaque outside and images inside honor his memory.
An original Silver Dollar Bar sign hangs in the store, referencing the site where Los Angeles Times journalist Ruben Salazar was killed during the 1970 Chicano Moratorium.
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Andrew Lopez
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The LA Local
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But for many longtime customers, the music is what kept them returning.
“Since 1993 I’ve been coming to Sounds of Music,” Ricardo “Ziggy” Lona said. “I was into oldies as a teenager in the 90s, and Sounds of Music was one of the only places you could get your Eastside Story, your Art Laboe… your favorite artists.”
Lona, who rode the bus from Commerce as a teenager, said he worries the store may follow the fate of other independent music stores.
“With the internet and music being the way it is, record stores just ain’t making it. Sounds of Music has made it this far from the support of the community. It’s more than just the music, it’s about what’s come out of it,” Lona said.
Building alongside community
To raise funds for the longstanding store, Reyes and Lona recently organized a pop-up on the property. Artists sold custom clothing, vinyl records and other artworks while DJs played funk and oldies to a lively crowd in the parking lot behind the store.
Boyle Heights resident Christina Fernandez said the store holds a special place in her heart.
“My brother’s nina, we called her ‘Guera.’ She’s the one that introduced me to all of this,” Fernandez said. “She brought out all her records when I was little so that’s how I learned about all of the Eastside Story Records and I just fell in love with all of that.”
Fernandez even honors her ‘Guera’ with a forearm tattoo of her name stylized like an Eastside Story album cover.
“It’s just a part of our culture. The familiar sounds bring back memories of people who are no longer here with us and bring us back to that time,” she said.
Records, cassettes, CDs and other merchandise are in stock at Sounds of Music. The store specializes in soul, oldies and Latin music over the decades.
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Andrew Lopez
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The LA Local
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Economic struggles as ICE raids shake East LA
Like many other Eastside small businesses, the Reyes family was affected by immigration raids.
“People weren’t buying at all because they didn’t want to shop because they were scared to come in,” Adrianna Reyes said. “It really affected our business and brought sales down.”
Reyes added that sales haven’t returned to the pre-raids levels and is afraid they may never return. Mario Reyes had said his father had to loan him cash to keep the store afloat at the start of the year.
To keep the store alive, Reyes urges patrons old and new to stop by.
“You don’t have to buy a lot, just buy something,” he said.
Sounds of Music is located near the arch in East LA.
