SACRAMENTO, Calif. (AP) — A controversial proposal in California to temporarily increase taxes on billionaires has enough signatures to qualify for the November ballot, a labor union backing the measure said Monday.
The proposal, backed by the Service Employees International Union Healthcare Workers West, would impose a one-time, 5% tax on individuals whose net worth exceeds $1 billion and who were living in the state as of Jan. 1, 2026. The goal is to generate $100 billion in revenue, which would largely be used to offset federal funding cuts to healthcare for low-income people.
“California’s health is at stake,” said Liz Perlman, executive director of a chapter of the American Federation of State, County and Municipal Employees, a major labor union. “Hospitals are closing and people will die. Why? So billionaires can get another tax cut that they don’t need.”
The California Secretary of State still has to verify the signatures and officially place the measure on the ballot. Backers say they collected more than 1.5 million signatures, well over the roughly 875,000 they needed. California allows ballot initiative campaigns to pay people per signature they gather. The cost of gathering petition signatures can vary widely, but it typically runs around $15 for each signature.
If the measure goes before voters in November, it could prompt one of the costliest ballot fights ever and will draw national attention as a litmus test for voter attitudes on raising taxes on the rich. Vermont Sen. Bernie Sanders has campaigned in support of the idea. Meanwhile, Google founder Sergey Brin has already donated $57 million to a political committee called “Building a Better California” that’s backing a variety of initiatives designed to blunt the billionaires’ tax. It’s raised over $90 million, counting Brin’s contributions, from fewer than a dozen donors.
Democratic Gov. Gavin Newsom and Silicon Valley tech moguls are adamantly opposed. They warn it will drive California's wealthiest residents out of the state. Nearly half of California's personal income tax revenue comes from the top 1% of earners. Some have already purchased properties out of state in case it passes.
“After playing with matches since October, the SEIU has succeeded in lighting a ‘Tax the Rich’ wildfire by getting enough signatures,” said David Lesperance, a tax consultant who's advised some of his wealthy clients who left California because of the proposal. “The many billionaire targets of their efforts have already responded by executing fire escape plans by relocating to other states.”
Brian Brokaw, a longtime Newsom adviser who is leading a political committee opposing the tax, said the measure was poorly constructed and would deal a huge blow to the state’s budget.
“Enacting a so-called wealth tax in just one state wouldn’t target a small group -- it would impact all 40 million Californians,” he said in a statement. “This proposal trades a short-term revenue bump for long-term losses.”
At least 25 billionaires listed among Forbes magazine’s 2025 rankings of the world’s 500 wealthiest people either lived in California or had some significant ties to the state, based on a review by The Associated Press. But determining whether they were full-time residents or just frequent visitors could turn into a matter of dispute, since many of them own property elsewhere.
The big tax and spending cuts law President Donald Trump signed last year will cut more than $1 trillion nationwide over a decade from Medicaid and federal food assistance.
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Associated Press writer Michael R. Blood in Los Angeles contributed.
FILE - People visit the Billionaire Tax Now booth at the 2026 California Democratic Party State Convention in San Francisco, Feb. 21, 2026. (AP Photo/Jeff Chiu, File)
FILE - People supporting Billionaire Tax Now hold up signs at the 2026 California Democratic Party State Convention in San Francisco, Feb. 21, 2026. (AP Photo/Jeff Chiu, File)
NEW YORK (AP) — Oil giant Chevron confirmed that it will expand its operations in Venezuela, just days after President Donald Trump announced an ambitious deal to develop the nation’s oil reserves and give the Pentagon a stake in the profits.
Chevron, the only U.S. oil company that has a major presence in the country, said Wednesday that it has been assigned additional acreage in the Orinoco Belt, where the company has an established position. Joint venture plans include investing more than $7 billion over the next five years, more than doubling production to approximately 600,000 barrels a day compared with 2026.
“Chevron’s history in Venezuela spans more than a century, and our expanded position reflects our confidence in the country’s deep resource potential and its ability to compete for investment within our portfolio for decades,” CEO Mike Wirth said in a prepared statement. “With improved terms and additional acreage, we are strengthening a portfolio that we believe can deliver attractive low-cost oil growth, support energy supply and create differentiated long-term value.”
Venezuela holds the world's largest proven reserves, totaling more than 303 billion barrels of crude oil, according to OPEC's 2025 Annual Statistical Bulletin. Saudi Arabia is a distant second with 267 billion barrels.
The announcement comes a day after a U.S. official, who briefed reporters on the expected announcement, said that Chevron officials and Energy Secretary Chris Wright were expected to visit Venezuela on Wednesday when the new investment would be formally unveiled. The official spoke on condition of anonymity under ground rules set by the White House for the call.
Chevron is the second-largest U.S. oil company and the only one with a major presence in Venezuela. It has had a presence in the country since 1923. Its joint ventures Petroindependencia and Petropiar, S.A. operate extra-heavy oil projects in the Orinoco Oil Belt, while Petroboscan, S.A. is located in the Zulia State in western Venezuela.
The White House confirmed on Monday that it is partnering with North American Blue Energy Partners as part of Trump ’s push to tap into Venezuela’s oil industry.
The sweeping agreement has been met with skepticism from analysts who say it will take years to revive Venezuela’s oil industry, which is in disarray after years of neglect.
Energy experts also have questioned whether Venezuela’s acting President Delcy Rodríguez has the legal authority to give the company 100-year rights over 17 oil fields with reserves of 65 billion barrels — and whether future Venezuelan or American administrations would overturn the agreement.
Trump has had his eyes on Venezuela’s oil since the capture of Nicolás Maduro, and his aides call it a path away from reliance on oil from the Middle East. Trump has been pressing to get U.S. businesses to restore a presence in the country, and suggested Monday that other oil companies were readying for business in Venezuela. “We have Exxon going in, we have Chevron going in. We have our big oil companies going in,” he said. Trump in January said he was inclined to leave Exxon out of Venezuela after CEO Darren Woods called the country “uninvestable.”
A spokesman for Exxon said Tuesday, however, that “nothing has changed” on the company’s position regarding Venezuela.
Asked about Chevron’s announcement during an interview on Wednesday, Treasury Secretary Scott Bessent said, “No American firm knows how to operate in Venezuela better than Chevron.”
Bessent told Fox News Channel’s “Fox & Friends” that Trump is “creating assets for the American people” with the deal and that the arrangement “is going to push down oil prices, push up production” to benefit U.S. consumers and the Venezuelan economy.
Trump has said that the agreement with Venezuela would “substantially lower” gasoline prices in the U.S. However, experts have repeatedly warned that Venezuela’s dilapidated oil infrastructure will require years of restoration work and tens of billions of dollars to resuscitate.
Meanwhile, the national average price for a gallon of regular gasoline jumped overnight to $4.12, according to the motor club AAA. That's 93 cents more than it cost at this point last year.
Associated Press writers Aamer Madhani and Collin Binkley contributed to this report.
A woman covering a child from the rain walks along the shore of Lake Maracaibo in the oil-producing region of Cabimas, Venezuela, Tuesday, Sept. 1, 2026. (AP Photo/Ariana Cubillos)
A fisherman steers his boat on Lake Maracaibo in the oil-producing region of Cabimas, Venezuela, Tuesday, Sept. 1, 2026. (AP Photo/Ariana Cubillos)
A woman walks near of a oil storage tank of Venezuela's state-run oil company, PDVSA in Cabimas, Venezuela, Tuesday, Sep. 1, 2026. (AP Photo/Ariana Cubillos)
