California Union Pushes Billionaire Tax Proposal

SEIU-UHW union leader Dave Regan has a history of using ballot initiatives to pressure lawmakers.

Published on Feb. 11, 2026

The Service Employees International Union-United Health Care Workers West (SEIU-UHW), led by President Dave Regan, is championing a controversial ballot measure to levy a one-time 5% tax on California billionaires. The union says the $100 billion in revenue over five years would help make up for a multibillion-dollar hole in state medical programs created by federal funding cuts. However, the proposal faces opposition from Governor Gavin Newsom and some in Silicon Valley, who argue it will drive away top earners.

Why it matters

The proposed billionaire tax is part of a broader effort by SEIU-UHW to address healthcare funding shortfalls in California. The union has a history of using ballot initiatives to pressure lawmakers, which has at times led to confrontations. The tax proposal highlights the political tensions around wealth inequality and the role of unions in shaping state policy.

The details

SEIU-UHW and Regan are pushing the tax as a solution to prevent hospital closures and millions of Californians from losing health insurance. The union has previously floated and withdrawn ballot initiatives to advance its agenda, including efforts to regulate the kidney dialysis industry. Critics have accused Regan of using aggressive tactics, such as threatening to call immigration officials on undocumented members during a union organizing campaign. The union denies these allegations.

  • The proposed tax would retroactively apply to any in-state billionaire assets as of January 1.
  • An October 1 deadline looms that would freeze new enrollment to undocumented residents and institute work requirements starting next year.

The players

Dave Regan

President of the SEIU-UHW union, who has a history of using ballot initiatives to pressure lawmakers.

Gavin Newsom

The Governor of California, who opposes the billionaire tax proposal.

Sergey Brin and Larry Page

Google founders and Newsom allies who reportedly moved some businesses out of California to avoid the proposed tax.

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What they’re saying

“There's no solution out there to figure out this hole of $20 billion per year. That kind of cut to a state of 39 million, that's significant, and it's only going to lead us to one place: a crisis of health care.”

— Suzanne Jimenez, SEIU-UHW Chief of Staff (fresnobee.com)

“If it's true that anyone used the threat of immigration status to coerce, it would be akin to treason.”

— Chris Newman, Legal Director, National Day Laborer Organizing Network (fresnobee.com)

What’s next

The proposed billionaire tax will need to gather enough signatures to qualify for the state ballot, and then face a public vote. Governor Newsom has not indicated whether he would support the measure.

The takeaway

The SEIU-UHW's push for a billionaire tax highlights the growing political tensions around wealth inequality in California. The union's history of using aggressive tactics has drawn criticism, but the proposal reflects broader concerns about the state's healthcare funding shortfalls and the role of the wealthy in addressing societal challenges.