Thurmond endorses commonsense measure that will keep local emergency rooms open, increase food security, and help fund public education through one-time tax on billionaires 

SACRAMENTO, CALIFORNIA – California’s billionaires pay taxes at far lower rates than working families do out of each paycheck. And soon, massive federal healthcare funding cuts will push key parts of the California healthcare system to the brink of collapse, or worse. Local hospitals and emergency rooms will shut their doors forever because billionaires insist on paying less than the rest of us. Now, California Superintendent of Public Instruction and gubernatorial candidate Tony Thurmond is endorsing the California Billionaire Tax Act in order to save the state from these dire consequences — and to ensure billionaires begin to pay closer to their fair share.

“This emergency measure to save our hospitals, clinics, and healthcare facilities is critical. Without the billionaire tax, California hospitals and ERs will close, healthcare costs will skyrocket, and patients will be forced to drive further, and wait longer, for medical care. That’s not a sacrifice anyone should be asked to make,” said Tony Thurmond, California Superintendent of Public Instruction and gubernatorial candidate. “I’m proud to join with doctors and healthcare workers to support a commonsense one-time tax on our state’s wealthiest 200 billionaires so everyone has access to care when they need it most.” 

As federal healthcare cuts from HR1 begin to rip healthcare away from millions of Californians, Thurmond is joining with a growing list of lawmakers supporting a one-time 5% emergency tax on the state’s roughly 200 billionaires in direct response to the massive cuts. The commonsense measure is designed to ensure that billionaires pay their fair share to stabilize and protect the state’s vast healthcare system, including hospitals, nursing homes, community health centers, and home care services. 

As a social worker, Thurmond oversaw school-based mental health programs that utilized Medi-Cal funding, and as an Assemblymember championed legislation to expand Medi-Cal access across California. Without revenue from the California Billionaire Tax, federal healthcare cuts will force hospitals and ERs to close. Healthcare costs will increase, and insurance premiums will skyrocket. All Californians will feel the effects of these cuts, but they will hit seniors, children, veterans, and people with disabilities especially hard. 

“Every day I see patients who are one crisis away from financial ruin because premiums and out-of-pocket costs keep climbing. Our hospitals are already struggling to stay open; without new revenue from a billionaire tax, federal cuts will strain ERs and leave families with even fewer places to get care,” said Mayra Castaneda, Ultrasound Technologist at St. Francis Medical Center. “Healthcare workers are grateful for Superintendent Thurmond’s support for the Billionaire Tax, and we look forward to working together to save our community’s hospitals and clinics.” 

Growing up in poverty, Thurmond and his brother faced food insecurity and financial hardship, with the family often living on public assistance and food stamps to get by.

Thurmond, a longtime champion of programs to counter food insecurity, sponsored a state law that currently funds universal school meals for every California student. Today, Thurmond praised the Billionaire Tax for helping children and families when they need it most, by funding food, supporting K-14 public education, and protecting healthcare for all Californians. 

“Billionaires have a unique opportunity to save healthcare for Californians, feed hungry families, and reinvest in our public schools,” Thurmond said. “Growing up in poverty, having access to healthcare and food aid kept me and my brother alive, and public education offered us a ladder to the middle class. At a time of unprecedented wealth and income inequality, now is the time to strengthen that ladder for the next generation, not pull it up behind us.”

Supporters of the Billionaire Tax note how successful other wealth taxes have been in states across the country. Measures such as the Massachusetts Fair Share Amendment and Washington State’s capital gains tax have generated billions in new revenue for public services, and the number of high-income residents AND their cumulative wealth in both states have increased since the policies went into effect.

In addition, tax experts have underscored that what makes the billionaire tax unique is how it’s designed to be fair and enforceable — so billionaires can’t avoid responsibility by moving their assets or claiming residency elsewhere after the now-passed January 1, 2026 deadline for residency changes. 

The Billionaire Tax ballot measure will give Californians the opportunity to vote “yes” to save their healthcare, with 90% of funds raised going toward stabilizing the state’s healthcare system and protecting healthcare for all Californians, and 10% funding food aid and supporting K-14 public education. 

Impact of federal healthcare cuts 

• Dozens of hospitals and ERs will close; dozens more will be forced to cut back services and lay off healthcare workers. The patient care crisis will worsen as patients are forced to wait longer and drive further for medical care. 

• Up to 3.4 million Californians could lose their healthcare coverage under Medicaid, including many seniors, children, veterans, and people with disabilities 

• The state could lose about $30 billion in federal healthcare funding every year — destabilizing the health care system and driving up health care costs for everyone.

• Insurance premiums for Californians who purchase Affordable Care Act plans could rise as much as 97%, and an estimated 400,000 Californians could be priced out of healthcare altogether. 

Impact of food assistance cuts

• Currently, 5.5 million Californians benefit from food aid. 3.5 million are senior citizens and children.
  
• At least 754,000 people could lose their entire monthly benefit, with over 3 million households facing reductions.
  
• The estimated funding loss is $2.5 to $4.5 billion annually.
  
• The SNAP/Cal-Fresh cuts, if not backfilled by other funding mechanisms, are expected to cost California approximately 400,000 jobs over the next nine years.

About the California Billionaire Tax Act

The California Billionaire Tax Act proposes a one-time emergency tax on the wealth of the state’s ultra-high-net-worth individuals to safeguard Medi-Cal, keep hospitals and emergency rooms open, expand food assistance, and support public education. The initiative is a direct response to federal healthcare cuts under HR1 that threaten healthcare access and economic stability for millions of Californians.

Paid for by Save California Health Care and Public Education, Sponsored by Service Employees International Union – United Healthcare Workers West.  Committee’s Top Funder  Service Employees International Union – United Healthcare Workers West

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