Real-Time Election Results: Prop. 30

CALIFORNIA — The polls are closed in California, and voters will soon know the fate of Proposition 30.

If there are two things that California has a lot of, it’s cars and multimillionaires. As the Golden state embarks on an ambitious goal of banning the sale of new gas powered cars by 2035, lawmakers identified a source of revenue to help make it happen: California’s top earners. And that's where Proposition 30 comes in.

Proposition 30 would increase the tax on personal income above $2 million by 1.75% and dedicate the revenue to zero-emission vehicle subsidies, building charging stations and zero-emission vehicle infrastructure, reducing greenhouse gasses and hiring and training firefighters to help combat wildfires.

That would push the state tax burden of people earning more than $2 million to 13.3 percent in California starting Jan. 1, if the measure passes.

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The measure’s supporters argued that it would help California battle wildfires and pollution while investing in a greener infrastructure.

“Our air quality is the worst in the nation and among the worst in the world, and our consecutive years of devastating wildfires are poisoning our air, threatening lives and exhausting our brave firefighters,” said Assemblymember Kevin McCarthy told The Sentinel. “With Proposition 30, we have the opportunity to reduce air pollution, curb climate change, and build a bold, long-range plan to fund both our acceleration to EVs and firefighting resources.”

Proposition 30 critics, which included Gov. Gavin Newsom, argued that it’s a giveaway that caters to special interest groups while potentially hurting the economy.

“Prop. 30 is a special interest carve-out — a cynical scheme devised by a single corporation to funnel state income tax revenue to their company,” Newsom told CalMatters. “Californians should know that just this year our state committed $10 billion for electric vehicles and their infrastructure."

Others complained that even the wealthiest Californians can’t afford new taxes.

"California already has the highest personal income tax, gas tax, and sales tax rates in the country,” California Chamber of Commerce CEO Jennifer Barrera said. “We are dealing with record high inflation and economists are predicting a recession. The last thing California needs right now is a tax increase. Higher taxes—especially now—are off the table."

According to Ballotpedia, Proposition supporters raised more than $37 million through the end of September and spent more than $30 million. Opponents, on the other hand, $12 million and spent $13.4 million.