California Supreme Court to rule on high-stakes battle over ballot measure restricting tax increases

The California Supreme Court in December held court for the first time in Los Angeles since before the pandemic, in the North Tower of the Ronald Reagan State Office Building. The battle between business and labor is headed for a high-stakes showdown at the California Supreme Court this week over a ballot measure that would tip the balance of power at the state Capitol. “I want to make it clear that the ‘Taxpayer Deception Act’ lets wealthy corporations, who can afford expensive campaigns, to block taxes on their industry while regular Californians, regular people, shoulder more of the cost of critical services,” said Tia Orr, executive director of Service Employees International Union California, which is leading the charge to defeat the measure on the ballot. Erin Mellon, a spokesperson for Newsom, said that in the event of a financial crisis the measure would require government to wait up to two years for the next ballot to raise taxes, “potentially putting lives and our economy at risk.” “The governor is not a proponent of tax increases and has fought against propositions seeking to add new taxes, but the recession 15 years ago — and the current budget challenges facing our state — underscore the need for government to use every tool in the toolbox to respond to crises,” Mellon said in a statement. “The California Supreme Court should keep this radical effort led by wealthy business interests off the ballot because it violates the Constitution by attempting to completely restructure our system of government in a way that will prevent government from protecting Californians from future crises.” The case elevates the ongoing fight between progressive labor unions and the business community from the halls of the state Capitol to California’s highest court.