november 2022 VOTER GUIDE

NO ON PROP 30

Millionaire’s Tax for Electric Vehicles

This is a proposed tax on people who make more than $2 million annually to fund electric vehicle infrastructure. We love electric vehicles and think there should be more of them. What we don’t love is when corporations make California taxpayers—even wealthy taxpayers—foot the bill for things they should take responsibility for. Lyft is trying to get the taxpayers to pay for their charging infrastructure and vehicles for their drivers. Even Governor Gavin Newsom thinks this is "a cynical scheme." We’re voting no.

The Context

In 2021, the state’s clean air regulator, the California Air Resources Board (CARB) said that Lyft, Uber, and other rideshare companies must use zero-emission vehicles to drive 90 percent of their miles by 2030. However, CARB did not specify whether the drivers themselves or the companies had to foot the bill for all the electric cars and charging infrastructure. So Lyft started gathering signatures to get Prop 30 on the ballot, and here we are.

The Money

This measure would impose a new 1.75 percent tax on any individual’s income of more than $2 million/year to raise between $3 billion to $4.5 billion annually to fund a collection of greenhouse gas reducing initiatives. Most of the money would go toward new incentives for Californians to buy zero-emission vehicles and to build new electric charging or hydrogen fueling stations. A quarter of the new money would go toward wildfire fighting and prevention efforts.

The state auditor would be required to audit the program every two years, and in some categories, half of the funding would be required to be spent in low-income areas, which often have the highest air pollution levels.

Additional Details

The Teachers Association has spoken out against this measure because the funds raised from the millionaire’s tax would not go toward the state’s general fund. The bigger the general fund, the bigger the state funding pool for public education. That’s thanks to Prop 98, which sets aside a percentage of the general fund for schools.

Governor Gavin Newsom has decried this measure as "a cynical scheme" by Lyft to "funnel" taxpayer dollars to them, even though the state has already committed $10 billion towards electric vehicles and related infrastructure. 

Support & Opposition

This measure is supported by Lyft, the California State Association of Electrical Workers, and California Environmental Voters. It also has the backing of San Francisco Mayor London Breed, San Jose Mayor Sam Liccardo, Oakland Mayor Libby Schaaf and Los Angeles Mayor Eric Garcetti, along with various nurses groups and environmental organizations, like the Natural Resources Defense Council and the Union of Concerned Scientists.

This measure is opposed by Governor Gavin Newsom, the California Teachers Association (see above), and the Howard Jarvis Taxpayers Association.

In addition to Lyft, several high-profile very high net worth individuals who are connected to Lyft have contributed to the campaign supporting the measure.

Paid for by TogetherSF Action. Not authorized by any candidate or a committee controlled by a candidate. Financial disclosures are available at sfethics.org.

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