Palo Alto Voters Reject Billionaire Tax Proposition
Palo Alto voters opposed Proposition 40 as the city's fire department prepares to launch a single-role paramedic unit.
Updated on Nov. 8, 2026 in Civic Engagement
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Palo Alto voters rejected Proposition 40, a proposed billionaire tax, according to the ballot count available Wednesday evening, November 4, 2026. The vote came as the city's fire department prepares to launch a single-role paramedic unit in spring 2027.
Why it matters
The result shows strong local opposition to the measure, with 66% of voters in the two Crescent Park precincts saying no. The fire department's medical workload, which makes up more than 60% of its calls, is the context for the city's new paramedic plans.
The ballot count was unofficial as of Wednesday evening, with turnout at 37% in Crescent Park and 29 to 35% elsewhere in the city. Final certified results and the full scope of voter participation remain pending.
The players
Baiju Bhatt
Palo Alto-based billionaire who donated $1 million to a political action committee opposing Proposition 40.
Vlad Tenev
Palo Alto-based billionaire who donated $1 million to a political action committee opposing Proposition 40.
The details
Proposition 40 would have taxed about 20 billionaires in Palo Alto, and two local billionaires, Baiju Bhatt and Vlad Tenev, each donated $1 million to a political action committee opposing it. The City Council declined to take a position on the measure.
Timeline
2025: City Council agreed to launch a civilian medical response division.
Nov. 2, 2026: City Manager updated the City Council on paramedic hiring.
Wednesday evening, Nov. 4, 2026: Ballot count showed a majority voting against Proposition 40.
Spring 2027: The single-role EMS unit is expected to enter service.
Civic Context
The local vote on Proposition 40 reflects how Palo Alto's billionaire residents and their donations shaped the debate over the statewide tax measure. The result also comes as the city expands its fire department's medical response role.
Residents will see the city's fire department add a single-role paramedic unit in spring 2027, with the city extending offers to four full-time and three part-time paramedics. The Proposition 40 result leaves the city's tax structure unchanged for now.
The takeaway
Local ballot measures can draw significant participation and personal political spending, as seen in Palo Alto's Proposition 40 vote. Residents interested in the city's emergency services can track the paramedic unit's launch in the months ahead.
What happens next
The single-role EMS unit is expected to enter service in spring 2027, after completion of an internal academy.
Further reading
For more on local voting and ballot measures, see Civic Engagement coverage for Palo Alto.
Source note: This article includes information reported by Palo Alto Online.
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Should California tax billionaires' wealth to fund public services?
