Prop. 43 explained: Two-thirds vote for local special taxes placed by voters

SAN JOSE - Proposition 43 would amend the state Constitution to make it harder to pass certain local taxes.  The Legislature placed it on the ballot as ACA 22, which passed the Senate 35-1 and the Assembly 68-2.

What it would do

A special tax is a local tax used for a specific purpose, such as parks or libraries.  According to the Legislative Analyst's Office (LAO), special taxes placed on the ballot by a city council or board of supervisors already need a two-thirds vote.  Recent court decisions, however, allowed special taxes placed on the ballot by citizen petition to pass with a simple majority.  Starting Jan. 1, 2027, Prop. 43 would require two-thirds approval for those too.

Who would be affected

Cities, counties, school and special districts, and residents who use citizen petitions to fund local services would be affected.  Local taxpayers would face fewer successful tax measures.

What it would cost

The LAO says local government revenues may be lower than they otherwise would be, because fewer tax measures would pass.

Supporters and why

Supporters include the California Taxpayers Association, the Family Business Association of California, the California Hispanic Chambers of Commerce and Jon Coupal of the Howard Jarvis Taxpayers Association.  They say court decisions created loopholes in Proposition 13, the 1978 tax limit.

"PROP. 43 RESTORES PROPOSITION 13 TAXPAYER PROTECTIONS" - Argument in favor

Opponents and why

Opponents include the California Professional Firefighters, the California Federation of Teachers and the Nurse Alliance of SEIU California.  They say it would make it harder to fund police, fire, roads and schools.

"Prop. 43 undermines the voice of voters and the majority vote by letting just one-third of voters (33.4%) block local voter decisions." - Argument against

Where the parties stand

Although the measure passed the Legislature with near-unanimous votes from both parties, the California Republican Party now supports it and the California Democratic Party opposes it.  In the IGS poll, 71% of Republicans and 15% of Democrats said yes.  PPIC found 68% of Republicans, 41% of independents and 28% of Democrats in support.

The money

The largest listed Yes contributions include $2.5 million and $1.45 million from the California Business Roundtable's Issues PAC and $500,000 each from Douglas Emmett and Kilroy, two real estate companies.  On the No side, the committee opposing Prop. 39 gave about $1.07 million, and SEIU California and SEIU 2015 gave $1 million each.

Polling

In a Public Policy Institute of California (PPIC) survey of 1,086 likely voters taken Oct. 16-22 (margin of error plus or minus 3.8 points), 42% said yes and 55% no.  In a Berkeley Institute of Governmental Studies (IGS) Poll of likely voters taken Oct. 19-25 and released Oct. 29, 36% said yes, 46% no and 18% were undecided.

What your vote means

A yes vote means all local special taxes, including those proposed by voters, would need two-thirds approval.  A no vote means citizen-proposed special taxes could still pass by majority vote.

Source:  Secretary of State, Voter Information Guide, Prop. 43; Legislative Analyst analysis, Prop. 43; Official arguments and rebuttals, Prop. 43; Secretary of State Quick Guide to Props, Prop. 43; California Democratic Party endorsements; California Republican Party endorsements; PPIC Statewide Survey, October 2026; Berkeley IGS Poll Release #2026-22