California
Prop 3Provides Permanent Funding for Schools and Health Care by Extending Existing Tax on High Incomes
What your vote does
Both ovals are empty on purpose. The choice is yours.
Provides Permanent Funding for Schools and Health Care by Extending Existing Tax on High Incomes. Initiative Constitutional Amendment. Makes permanent existing voter-approved tax rates for individuals earning over $371,000 (adjusted annually for inflation). Allocates tax revenues to public education. Fiscal Impact: Maintains $5 billion to $15 billion of annual state income tax revenue by making a temporary tax increase on high-income earners permanent instead of letting it expire in 2031. Supporters: California Teachers Association; CA School Nurses Organization; California State PTA; Planned Parenthood Affiliates of CA Opponents: California Taxpayers Association; Family Business Association of California; California Hispanic Chambers of Commerce
This is the exact wording from the official voter guide.
If it fails
Why it’s on the ballot now
In 2012, voters approved Prop 30, which raised income tax rates on high earners for a limited time. 3
In 2016, voters approved Prop 55, which extended those higher rates through 2030. Under current law they expire in 2031. 3
The LAO says the top 2% of taxpayers who pay these rates pay about half of all state income taxes. 3
The measure's findings, which argue for it, say the tax raised over $104 billion since 2012. Ending it, they say, would cut state revenue by over $10 billion at once. 5
The money
The LAO estimates it keeps $5 billion–$15 billion a year. It goes into an Education Protection Account. The Attorney General's summary says 89% goes to K–12 schools and 11% to community colleges. The legal text applies that split to the money used for education. It also sends half of any amount beyond the school funding guarantee and workload budget, up to $2 billion a year, to health care for children and families through Medi-Cal; lawmakers may suspend that in a declared budget emergency. Across the budget, the LAO estimates roughly 40% would reach schools and community colleges, the rest other programs and reserves. See the money chart for the latest filed totals. 325
- Amount
- $5 billion to $15 billion a year (LAO estimate)
- How long
- Permanent (the higher rates now end after 2030)
Who bears the cost
High-income taxpayers (the top 2% of California taxpayers)
What they already pay
- The Legislative Analyst (LAO) says the top 2 percent of California taxpayers now pay these higher rates. It says these taxpayers pay about half of all state income taxes. 3
If it passes
- The Attorney General’s summary says Prop 3 makes the 2012 rates permanent. They apply to income over about $371,000 for single filers, $742,000 for joint filers and $505,000 for heads of household (2025 levels, adjusted yearly for inflation). 2
- The LAO’s fiscal effect: Prop 3 keeps $5 billion to $15 billion of state income tax revenue a year. The LAO says the amount will go up and down a lot because much of it is tied to the stock market. 23
Who’s behind it
How it got on the ballot: Citizen petition
It reached the ballot as a citizens' initiative, not through the Legislature. As a constitutional amendment, it changes the state constitution itself. 5
Where the support comes from
Placed by who endorsed it and who funded it, not by our opinion. How we place measures
The California Democratic Party recommends Yes on Prop 3, while the California Republican Party and the Howard Jarvis Taxpayers Association, a taxpayer group, recommend No. The California Teachers Association, a labor organization, and the League of Women Voters of California, a good-government group, also support it. The largest donors to committees supporting Prop 3 are California Teachers Association / Issues PAC and National Education Association (MPO). The largest donors to the committee opposing it are Family Business Association of California Issues Political Action Committee and Pacific Coast Companies, Inc. 6781091112
Endorsements
| Group | YES | NO | Neutral |
|---|---|---|---|
| Progressive slate | |||
| San Francisco League of Pissed Off Voters | Yes | ||
| Harvey Milk LGBTQ Democratic Club | Yes | ||
| Moderate slate | |||
| GrowSF | Yes | ||
| Political parties | |||
| San Francisco Democratic Party | Yes | ||
| San Francisco Green Party | Yes | ||
| California Democratic Party | Yes | ||
| California Republican Party | No | ||
| Labor | |||
| California Teachers Association | Yes | ||
| Other groups | |||
| SPUR | Yes | ||
| San Francisco Women's Political Committee | Yes | ||
| Alice B. Toklas LGBTQ Democratic Club | Yes | ||
| Edwin M. Lee Asian Pacific Democratic Club | Yes | ||
| Howard Jarvis Taxpayers Association | No | ||
| League of Women Voters of California | Yes | ||
Follow the money
YESTop donors
One donor gave more than half of this side’s money.
- California Teachers Association /
Issues PAC$60M Who is this?
Issues PAC of the California Teachers Association, a teachers' union based in Burlingame, California, with over 300,000 members. 1
What they’ve said
CTA's president signed the official argument for Prop 3. It says the tax revenue has helped fund programs families count on, from school lunches and smaller classes to children's healthcare. 2
- National Education Association (MPO)$7.5M
Who is this?
A group of educators. Its website says it has three million members and affiliates in every state and in more than 14,000 communities. 1
- California Federation of Teachers COPE Prop/
Ballot Committee$1.8M Who is this?
Ballot committee of COPE, the political action arm of the California Federation of Teachers (CFT). CFT's website says it represents 120,000 teachers, faculty and school employees. 12
What they’ve said
CFT said its members voted to support Prop 3. CFT President Jeff Freitas said, “we either give the wealthiest Californians a tax break or we keep funding public schools and other needed services.” 1
- PACE of California School Employees Association Issues$1.6M
Who is this?
PACE of CSEA – Issues is one of three committees for which the California School Employees Association is a primary funder. The union represents school staff who are not teachers, such as bus drivers and custodians. 1
- SEIU California State Council for Working People$1.5M
- Service Employees International Union - SEIU Local 2015 Issues PAC$994.9K
Who is this?
Issues PAC of SEIU Local 2015. The union's website says it represents more than half a million long-term care workers in California, in home care, nursing facilities and assisted living. 1
What they’ve said
The union says Prop 3 makes the current tax on the top 2% of earners permanent. It says the money funds schools, community colleges and public health. 2
- California School Employees Association$994.9K
Who is this?
The California School Employees Association's website says it represents more than 250,000 school support staff throughout California. 1
What they’ve said
Its president, Adam Weinberger, signed the official reply to the argument against Prop 3. The reply says Prop 3's funding goes straight to local schools and community colleges. 2
- California Democratic Party$834.1K
- No on 39 - Block Election Rigging Sponsored by Nurses, Teachers, and Nonprofit Labor and Community Health Clinic Organizations$798.7K
Who is this?
A committee named No on 39. Its name says nurses, teachers, and nonprofit labor and clinic groups sponsor it. 1
- United Domestic Workers of America Issues PAC$751.3K
Who is this?
- The top 5 donors gave 89% of this side’s money.
- 11% came from outside California.
- Independent spending (not controlled by the campaign): $131.8K
Committees: Black Californians for Thriving Communities-Yes on Prop 3, No on Props 39 & 43, Sponsored by California Black Power Network Action Fund; Californians for Yes on 3 and No on 39, Sponsored by California Immigrants in Action; Communities for an Affordable California, Yes on 3, No on 39 and 43 Sponsored by Million Voters Project Action Fund; Tax the Ultra-Rich Now, Yes on 3 & 40, No on 41 & 42; Working Families for a Better Central Coast- Yes on Prop 3, No on Prop 39, Sponsored by Unidos 805 Action Fund; Working People in Supporting of Prop 3 and in Opposition of Prop 39, 43 and 45, Sponsored by Los Angeles County Federation of Labor AFL-CIO; Yes on Prop 3, Sponsored by Education and Labor Organizations
NOTop donors
One donor gave more than half of this side’s money.
- Family Business Association of California Issues Political Action Committee$5,000
- Pacific Coast Companies, Inc.$500
- The top 5 donors gave 100% of this side’s money.
- 0% came from outside California.
- Independent spending (not controlled by the campaign): $60.7K
Committees: No on Proposition 3, Sponsored by California Taxpayers Association
- Communities for an Affordable California, Yes on 3, No on 39 and 43 Sponsored by Million Voters Project Action Fund (FPPC 1496598) supports or opposes several measures; the Secretary of State attributes $1,690,062 of its $2,412,491 to this one. Donor amounts here are scaled by that same share (70%).
- Working People in Supporting of Prop 3 and in Opposition of Prop 39, 43 and 45, Sponsored by Los Angeles County Federation of Labor AFL-CIO (FPPC 1497629) supports or opposes several measures; the Secretary of State attributes $0 of its $100,000 to this one. Donor amounts here are scaled by that same share (0%).
- Yes on Prop 3, Sponsored by Education and Labor Organizations (FPPC 1483562) supports or opposes several measures; the Secretary of State attributes $78,298,756 of its $78,702,751 to this one. Donor amounts here are scaled by that same share (99%).
- Yes on Prop 3, Sponsored by Education and Labor Organizations: added $325,000 of 24-hour late contributions dated after the Secretary of State's 2026-10-22 cutoff.
- YES side: $506,095 given by one committee on this side to another was counted once.
- YES side independent expenditures (Form 496) of $131,777, mostly by: Committee to Save Our Neighborhoods, Sponsored by Alliance of Californians for Community Empowerment Action $56,500; KIWA ACTION $11,500; ACLU California Action Issues Committee $8,989. Separate from total_raised.
- NO side independent expenditures (Form 496) of $60,693, mostly by: Reform California with Carl DeMaio - Ballot Measure Committee $53,500; Campaign for Children and Families $5,089; REPUBLICAN PARTY OF SAN DIEGO COUNTY $2,104. Separate from total_raised.
- Committee totals are the Secretary of State's per-measure 'Total Reported Contributions' through 2026-10-22 (secretary of state page), plus later 24-hour reports from the Cal-Access bulk export built 2026-10-28. Donors, geography and independent expenditures come from the itemized Cal-Access filings. Contributions to committees that back several measures are credited pro rata to the share the Secretary of State assigns to this measure.
- Source cutoff: the Cal-Access export used was built 2026-10-27 (UTC) and the Secretary of State's per-measure totals run through 2026-10-22. as_of is the latest filing from this measure's own committees, which can be earlier.
- Money given to a committee by another committee is shown as that committee, not the money's original source (e.g. a union's issues PAC, not its members). Donor type is inferred from the name; check the filing for sponsors.
Sources: CA Secretary of State: Proposition 3 contribution totals · Cal-Access raw campaign finance data export · FPPC Top 10 Contributors, November 2026 General Election
The strongest case for and against
Each side’s best argument, written as its supporters would make it. Neither is our view.
Strongest case for
Supporters include the California Teachers Association, the California School Nurses Organization and Planned Parenthood Affiliates of California. They say Prop 3 “does not raise your taxes.” It keeps the rates the top 2% have paid for 15 years, they say. They say letting the rates end would give the wealthiest a large tax cut. Others, they say, would face teacher layoffs, crowded classrooms and cuts to Medi-Cal, the state's health plan for people with low incomes. They say the money goes straight to local schools and community colleges. They add that it cannot pay for administration and is audited every year. By covering schools, they say, it frees state money for health care and fire protection. 4
Strongest case against
Opponents include the California Taxpayers Association, the Family Business Association of California and the California Hispanic Chambers of Commerce. They say voters were told these higher rates would be temporary, for seven years. Then, they say, the rates were extended 12 more. They say making the rates permanent is a tax increase: “the largest permanent state income tax increase in California history.” They say it would cost taxpayers “up to $15 billion every year.” They argue California has a spending problem, not a revenue problem. They say a $100 billion surplus became a $30 billion deficit in three years. They say high income taxes add to the nation's highest cost of living. And they say waste and overspending are no excuse to “raise our taxes even higher.” 4
Sources
Every fact on this page links to one of these sources.
- Ballot label: title (table of contents) and summary (Quick Reference Guide), Proposition 3 (en edition), CA Official Voter Information Guide, Nov 3, 2026, p. 3, 6
- Proposition 3: Official Title and Summary (prepared by the Attorney General), CA Official Voter Information Guide, Nov 3, 2026, p. 1
- Proposition 3: Analysis by the Legislative Analyst, CA Official Voter Information Guide, Nov 3, 2026, p. 1-2
- Proposition 3: Arguments and rebuttals, CA Official Voter Information Guide, Nov 3, 2026, p. 3-4
- Proposition 3: Text of Proposed Law, CA Official Voter Information Guide, Nov 3, 2026, p. 1-7
- California Democratic Party: recommendations for the November 3, 2026 election
- California Republican Party: recommendations for the November 3, 2026 election
- Howard Jarvis Taxpayers Association: recommendations for the November 3, 2026 election
- League of Women Voters of California: recommendations for the November 3, 2026 election
- California Teachers Association: recommendations for the November 3, 2026 election
- How endorsers line up on Prop 3: this guide's coalition groupings (endorsement method 1.0, data as of 2026-10-27)
- Campaign finance filings as of 2026-10-26 (compiled by this guide from CA Secretary of State: Proposition 3 contribution totals; data/money/ca-2026-11-p3.json, main@0dcbec8)