California
What is the California Billionaire Tax Act? Is it actually happening?
How do billionaires avoid paying taxes? Here’s what we know now.
The super wealthy can afford to avoid paying taxes, but how? Here’s what we know now.
A major labor union is working to put a new wealth tax proposal in front of Californians in November. But the proposal would only actually impact a small few — billionaires.
The California Billionaire Tax Act is a one-time tax that, if realized, would unlock revenue from the wealthiest in the state to support a health care system that some elected officials and leaders have warned faces major strain due to federal funding cuts.
The statewide proposal, led by Service Employees International Union-United Healthcare Workers West, has been in the works for some time. Attorney General Rob Bonta issued the official title and summary for the tax act at the end of December, paving the way for proponents to collect the tens of thousands of signatures they’ll need to get this proposal on the ballot in November.
Vermont Sen. Bernie Sanders joined the proposal’s campaign kickoff in Los Angeles on Wednesday, Feb. 18, tossing out numerous figures that illustrated wealth disparities in the United States and likening billionaires having to pay a few billion dollars more in taxes as “pocket change.”
His clear support comes as Gov. Gavin Newsom has opposed it and as the proposal has generated fears it’d force California’s wealthiest residents to flee. Rep. Kevin Kiley of California’s 3rd Congressional District is set to introduce a bill fighting the tax proposal, saying it’s making California’s “leading job creators” leave preemptively.
Meanwhile, Los Angeles County leaders have turned to a proposed temporary sales tax increase to offset health care funding cuts. In June, county voters will decide whether to back it.
Here’s what to know about the California Billionaire Tax Act.
Who is taxed under the California Billionaire Tax Act?
Californians with a net worth of $1 billion or more and certain trusts would see a one-time 5% tax, according to a filing for the proposal. Proponents said this tax will apply to about 200 people in California.
How is health care changing for Californians under Trump?
President Donald Trump’s “One Big Beautiful Bill Act” implements changes in eligibility for both Medi-Cal, the state’s Medicaid program, and CalFresh, the state’s Supplemental Nutrition Assistance Program.
The changing work requirements, paired with “administrative burden,” could leave one to two million people without Medi-Cal, according to the nonpartisan Legislative Analyst’s Office. By 2028, up to three million people could lose Medi-Cal, both due to OBBA and changes made in California’s budget, Miranda Dietz, director of the Health Care Program at UC Berkley Labor Center, told California lawmakers in February.
Dietz, citing a previous look at the impact of OBBA, said that a projected $20 billion decrease in federal funding would mean 200,000 fewer jobs in the state, nearly two-thirds of which are “directly” in health care.
Also at risk: Hospitals will face lower margins due to fewer Medi-Cal enrollees and more uninsured patients, according to Jason Constantouros of the LAO, citing recent studies. Public hospital systems face $3.4 billion a year in federal funding cuts, the California State Association of Counties said in a report estimating the costs of OBBA.
What does this wealth tax in California do?
The revenue would be used to respond to “urgent, existing health care, education, and nutrition needs,” according to a filing for the initiative. Ninety percent of the revenue this tax generates would go to the Billionaire Tax Health Account, while 10% would go to the Billionaire Tax Education and Food Assistance Account.
Where would the money from the California Billionaire Tax Act go?
It’s supposed to create revenue to fund health care, education, and food assistance through a one-time tax.
Among what the money that goes into the Billionaire Tax Health Account could be used for, according to a filing, include:
- Spending to restore or address funding cuts or reductions
- Investments to protect or enhance Medi-Cal
- Prevention or mitigation of facility closures
- Other investments to support health care access, coverage and more
The money that goes into the Billionaire Tax Education and Food Assistance Account could be used for:
- Spending related to education and food assistance to restore or address funding cuts or reductions
- To make investments in the public education system or further investments in CalFresh, CalFAP, CalFood, or California’s Universal Meals Program
When would this wealth tax occur?
The tax would be due in 2027, although taxpayers could opt to spread the payments out over five years at a higher cost, according to the LAO.
The LAO said the wealth tax would “probably” collect tens of billions of dollars, but it’s hard to determine the exact figure. One reason is that it’s “hard to know what actions billionaires would take to reduce the amount of tax they pay.”
Paris Barraza is a reporter covering Los Angeles and Southern California for the USA TODAY Network. Reach her at pbarraza@usatodayco.com.
California
Suspect in Molotov attack at Sam Altman’s California home set to appear in court
SAN FRANCISCO — The man accused of trying to kill OpenAI CEO Sam Altman by throwing a Molotov cocktail at his San Francisco home is set to make an initial court appearance Tuesday.
Daniel Moreno-Gama, of Spring, Texas, traveled to San Francisco last week and hurled the incendiary device at Altman’s home Friday, setting an exterior gate on fire before fleeing on foot, authorities said. Less than an hour later, Moreno-Gama went to OpenAI’s headquarters about 3 miles (5 kilometers) away and threatened to burn down the building, they said.
No one was injured at Altman’s home or the company’s offices.
Authorities said Moreno-Gama, 20, expressed hatred of artificial intelligence in his writings, describing it as a danger to humanity and warning of “impending extinction,” according to court filings.
“This was not spontaneous. This was planned, targeted and extremely serious,” FBI San Francisco Acting Special Agent in Charge Matt Cobo said during a news conference Monday.
Moreno-Gama is charged in California state court with two counts of attempted murder and attempted arson, San Francisco District Attorney Brooke Jenkins said. He tried to kill both Altman and a security guard at Altman’s residence, she alleged. Officials have not said whether Altman was home at the time.
Online state court records do not yet show whether Moreno-Gama has an attorney who can speak on his behalf.
Craig Missakian, U.S. Attorney, Northern District of California, middle, speaks during a news conference Monday, April 13, 2026, in San Francisco. Credit: AP/Jeff Chiu
Jenkins said the state charges carry penalties ranging from 19 years to life in prison.
On Monday morning, FBI agents went to Moreno-Gama’s home in a Houston suburb where they spent several hours before leaving. He has also been charged by federal prosecutors with possession of an unregistered firearm and damage and destruction of property by means of explosives. Those charges carry respective penalties of up to 10 years and 20 years in prison.
“We will treat this as an act of domestic terrorism, and together with our partners, prosecute him to the fullest extent of the law,” U.S. Attorney Craig Missakian said when announcing the federal charges Monday.
The federal court documents do not list an attorney for Moreno-Gama, and he has not yet had his first appearance in federal court.
The document in which Moreno-Gama discussed his opposition to AI also made threats against Altman and executives at other AI companies, officials said.
“If I am going to advocate for others to kill and commit crimes, then I must lead by example and show that I am fully sincere in my message,” Moreno-Gama wrote, according to authorities.
Advocacy groups that have issued grave warnings about AI’s risks to society condemned the violence.
Anthony Aguirre, president and CEO of the Future of Life Institute, said in a written statement Friday that “violence and intimidation of any kind have no place in the conversation about the future of AI.”
Another group, PauseAI, said in a statement that the suspect had no role in the group but joined its forum on the social media platform Discord about two years ago and posted about 34 messages there, none containing explicit calls to violence but one that was flagged as “ambiguous.”
Discord said Monday that it has banned Moreno-Gama for “off-platform behavior.”
California
California dad charged with incest after allegedly assaulting daughter; DA may drop case
Dad charged with incest after allegedly assaulting daughter
Makayla Rene Settles moved to California to chase her dreams. Two days later, her family says her biological father sexually assaulted her. She was 18. She died five months later. Now her family is fighting to make sure her accused attacker faces trial.
VENTURA COUNTY, Calif. – When Makayla Rene Settles turned 18, she left Raleigh, North Carolina, for a fresh start. She moved to Moorpark, California, to live with her biological father, Stephen Vincent Chavez, with plans to attend college and build a new life. Two days after she arrived, her family says she called terrified and asking for help.
“It was just the fear in her voice, her crying. I didn’t need details. I knew something was wrong, and I said, ‘I’m on the way,’” said Carolina Sandoval, Makayla’s mother.
Carolina says she rushed to Chavez’s home. When she saw her daughter, she was devastated.
“She’s barely walking,” Carolina said. “My brother picks her up and hugs her.”
Makayla was taken to a hospital, where a rape kit was performed. According to the family, the results came back positive for Stephen Vincent Chavez’s DNA. He was arrested that same night and charged with incest, taking advantage of a position of trust, and providing alcohol to a minor.
Her cousin, Crystal Sandoval, was in disbelief. She said, “I was screaming, I was crying. I just kept thinking, why would he do that to her? This is something she could not come back from.”
Crystal was right. Five months later, Makayla Rene Settles died by suicide.
“If I’m being honest, it feels like I handed my daughter to the devil,” said Carolina.
On the night Makayla was taken to the hospital, Sandoval says Chavez sent her a text message. It read, “I’m never drinking liquor again. I don’t want that blackout to happen again.”
Now, the family says they’ve been dealt another devastating blow. According to Crystal Sandoval, the Ventura County DA’s Office has told them the case may not go to trial because Makayla is no longer alive to testify.
“The DA was essentially saying, ‘We don’t know if we have a case because she’s no longer here,’ and when she told me that, I immediately said, ‘No, we’re not going to let that slide,’” said Crystal.
Determined to get justice, Crystal took to social media. Her videos went viral, drawing widespread outrage and prompting hundreds to promise to show up to Chavez’s next court hearing, scheduled for April 21 at the Ventura County Courthouse.
“It was like he took her sunshine away and just kind of broke her soul,” Crystal said.
The Ventura County District Attorney’s Office issued the following statement:
“We have seen the posts online and want to let the public know that our Sexual Assault Unit continues to prosecute the defendant for this extremely serious crime. This case has been filed since July 2025, when the evidence supported the filing of felony charges. As with any case, prosecutors filed charges based on the evidence. The court sets bail. Our office successfully moved to increase bail to $250K in July 2025 when the case was filed. The defendant requested that bail be reduced, but we successfully argued against that. The defendant has since posted $250K bail and is out of custody. With respect to the upcoming hearing, the April 21 date is an early disposition conference. This is a standard pretrial proceeding where the court and parties address the status of the case and set future dates as appropriate.”
Despite that statement, the family says they have already been told a trial is not guaranteed, and they are not backing down. Chavez has pleaded not guilty. His next court hearing is April 21 at 8:30 a.m. in Courtroom 14 at the Ventura County Courthouse.
California
California’s leading GOP candidate for governor reacts to Swalwell’s exit from race | CNN Politics
California’s leading GOP candidate for governor reacts to Swalwell’s exit from race
Republican Gov. candidate Steve Hilton joins CNN’s Dana Bash after one of his opponents, Rep. Eric Swalwell, exited the California governor’s race amid sexual misconduct allegations. “We desperately need change. And no Democrat can provide that,” Hilton says.
-
Atlanta, GA1 week ago1 teenage girl killed, another injured in shooting at Piedmont Park, police say
-
Georgia1 week agoGeorgia House Special Runoff Election 2026 Live Results
-
Arkansas4 days agoArkansas TV meteorologist Melinda Mayo retires after nearly four decades on air
-
Pennsylvania1 week agoParents charged after toddler injured by wolf at Pennsylvania zoo
-
Milwaukee, WI1 week agoPotawatomi Casino Hotel evacuated after fire breaks out in rooftop HVAC system
-
Ohio9 hours ago‘Little Rascals’ star Bug Hall arrested in Ohio
-
Austin, TX7 days agoABC Kite Fest Returns to Austin for Annual Celebration – Austin Today
-
World1 week agoZelenskyy warns US-Iran war could divert critical aid from Ukraine