The leading progressive candidate to replace longtime Democratic leader Nancy Pelosi in Congress is opposing a pair of wealth taxes on the ballot in his state and district: a one-time statewide tax on California billionaires and a local San Francisco tax on the city’s wealthiest businesses and corporations.
California state Sen. Scott Wiener’s opposition might seem uncharacteristic for someone running a progressive campaign, but it’s consistent with the priorities of two top donors to a super PAC backing his candidacy.
Crypto mogul Chris Larsen and venture capitalist Garry Tan — a pair of wealthy Bay Area tech executives funding a pro-Wiener super PAC called Abundant Future — have been outspoken advocates of stopping the taxes, both of which aim to help fill funding gaps in healthcare and social services after the Trump administration’s recent cuts to Medicaid. Larsen has poured millions of dollars into the fight.
The statewide tax, known as the Billionaire Tax Act, would levy a one-time 5 percent tax on the state’s billionaires’ wealth and assets. The local San Francisco proposition, colloquially known as the Overpaid CEO tax, would tax companies whose CEO makes 100 times more than their median worker, which mostly applies to companies with billionaire CEOs. Both will likely be on the ballot in November, as Wiener also hopes to be.
Larsen, the billionaire co-founder and executive chairman of the blockchain service Ripple Labs and now a mainstay in Bay Area political funding, has donated $100,000 to the PAC backing Wiener — the most of any individual donor — and $700,000 opposing the Overpaid CEO tax, according to federal and San Francisco city records. He’s spent far more fighting the statewide billionaires’ tax, sinking $5 million of his own wealth and another $5 million from Ripple into the Golden State Promise PAC, an anti-tax PAC he founded, per state records. Larsen gave an additional $2.5 million to a separate anti-billionaire tax group, Building a Better California, founded by Google co-founder Sergey Brin and former Google CEO Eric Schmidt. (Brin has reportedly already left the state to avoid the tax.)
Tan, the CEO of startup incubator Y Combinator, has less money to throw around, but he’s made vocal opposition to the tax measures a key part of his brand. He frequently invokes the specter of billionaires and startups fleeing the state and spreads claims that the statewide tax would mean Google’s founders would owe 50 percent of their stocks, which the tax’s backers have dismissed as false. He’s contributed $25,000 to Abundant Future.
Larsen and Tan likely see their support as “political investments that they expect a return on,” said Jeremy Mack, executive director of Phoenix Project, which tracks corporate spending in San Francisco politics. Wiener owes much of his political strength to the donors who have boosted his housing causes during his state Senate career, including Larsen and Tan. With those backers now animated against the wealth taxes, Mack said that supporting them would be “political suicide” for Wiener.
But Wiener’s opposition to the taxes positions him against the political currents now driving the Democratic Party’s progressive wing. California’s major labor unions, a supermajority of San Francisco’s board of supervisors, and national progressive leaders like Sen. Bernie Sanders, I-Vt., all support the pair of taxes. Even Pelosi, Wiener’s would-be predecessor and a known moderate, is in favor of the local San Francisco tax. SEIU California, one of the state’s largest labor unions, withdrew its endorsement of Wiener in early April over his opposition to the tax measures.
Both of Wiener’s opponents in the three-way June 2 primary — progressive member of San Francisco’s board of supervisors Connie Chan and Justice Democrats co-founder Saikat Chakrabarti — are in favor of the taxes. Most California voters support the statewide billionaire tax, according to a March poll, including 72 percent of Democratic voters.
“If you look at who is bankrolling [Wiener], he is doing the bidding of massive corporate interest,” Jerome Dolezal, a San Francisco bar owner and co-founder with Small Business Forward, an advocacy group that supports both wealth taxes, told The Intercept. “That’s what he’s looking out for, rather than the average, everyday working San Franciscans.”
Wiener’s campaign did not respond to The Intercept’s request for comment.
“He is doing the bidding of massive corporate interest. That’s what he’s looking out for, rather than the average, everyday working San Franciscans.”
While Wiener in the past has brushed off concerns of corporate backers influencing his policy, saying that he and his wealthiest donors “have agreements and disagreements,” their alignment in opposition against two popular wealth taxes has drawn concern from housing and homelessness advocates, who were already skeptical of Wiener for boosting housing development in the city that they argue favors real estate corporations. The real estate industry was consistently among his top donors during his state Senate elections.
Wiener is a proponent of the “Yes in My Backyard” movement that seeks to address the housing crisis by increasing the housing stock, while opponents criticize it for its emphasis on boosting development rather than redistributing wealth. The movement has morphed over the past several years with the growth of the abundance movement, which is popular among San Francisco’s powerful billionaires and aims to remove regulations and red tape to speed up development.
In addition to being top donors to Abundant Future, Tan and Larsen, along with Yelp CEO Jeremy Stoppleman, have been consistent supporters of Wiener’s YIMBY vision. During his decade in the state Senate, Wiener introduced a series of bills that cut regulations to accelerate housing development across the state, a core tenet of YIMBYism and abundance. Critics on the left dismissed his policies as rewards for corporate commercial real estate developers that failed to meet San Francisco and the state’s housing needs, as well as exacerbating gentrification and displacement of its low-income residents. Opponents instead argue for redistribution of wealth, using the housing that already exists and direct investment in services for low-income people.
Confronting challenges over his support from wealthy donors during his campaign for Congress, Wiener often refers to his track record of taking on corporations, such as introducing AI regulation bills, one of which drew the ire of some of his tech backers, including Tan. But earlier this year, Wiener and Tan partnered on a failed state bill that would have restricted Big Tech companies from self-preferencing their products over smaller companies. While Wiener touted the legislation as a way to rein in the likes of Apple and Google, Tan’s company, Y Combinator, likely would have benefited because it helps launch new startups.
Tan has also worked to insulate the tech sector from organized labor, accusing the state’s labor leaders of having the goal of “killing the tech golden goose and taking maximum waste into the budget … until CA ceases to work for everyday Californians.”
Larsen, meanwhile, railed against unions at a San Francisco business event in January, calling on his peers to “start fighting on par with the unions when they propose these absolutely stupid propositions like this crazy CEO tax.” Larsen echoed the message at a separate tech donor gathering Tan hosted months later.
Larsen did not respond to The Intercept’s request for comment. A spokesperson for Tan told The Intercept to “look at Mr. Tan’s posts on X/Twitter,” where Tan has called the billionaire tax “a destroy tech in California proposition” and the overpaid CEO tax “bad policy wrapped up in anti-billionaire bullshit.”
Wiener’s legislative record reveals an inconsistent history of supporting progressive taxation. In 2018, he opposed a successful local tax on big businesses to fund homelessness services. Two years later, Wiener supported the first iteration of the CEO tax, the first of its kind nationwide, before it was undone in 2024.
At a candidate forum in January, Wiener said he supported progressive taxes, but he would wait until the Billionaires Tax Act got on the ballot to decide. In April, Wiener said he opposed the local CEO tax, saying he didn’t want to interrupt San Francisco Mayor Daniel Lurie’s economic recovery agenda and that he would pursue similar progressive tax reform in Congress. And last week, after the state billionaire tax’s backers announced they had the necessary signatures to enter it on the ballot, Wiener said he was also against the statewide tax.
“California already has an unstable boom-bust tax system because of the devaluation of property taxes and reliance increasingly on income taxes on wealthy residents,” Wiener told the San Francisco Standard. He said he disagreed with the approach, especially given that it’s a one-time tax.
“It sounds like a person that’s in opposition, but doesn’t want to be seen as Republican,” said Paul Boden, a longtime advocate for people living unhoused. “It’s the neoliberal justification for continuing down the same neoliberal path since Reagan: that doing something that might impact some wealthy people is bad for all of us.”
“It’s the neoliberal justification for continuing down the same neoliberal path since Reagan: that doing something that might impact some wealthy people is bad for all of us.”
Boden, the executive director of the Western Regional Advocacy Project, has long sparred with Wiener on his housing and homelessness policy. In 2016, when Wiener was a San Francisco board supervisor, Boden spoke out against a letter Wiener wrote to the city’s police chief, which had called for a sweep of homeless encampments amid that year’s winter storms. He has criticized Wiener’s housing policies, arguing they prioritize middle-income San Franciscans over the city’s poor.
The results of Larsen and Tan’s ad spending can already be seen on the airwaves in and around San Francisco. Abundant Future has been running ads and sending mailers that paint Chakrabarti, who is advocating to nationalize AI by turning struggling AI companies into public utilities, as a carpetbagger amid his surge in recent polls. Larsen has said that he supports candidates promoting AI regulation, and he plans to spend millions backing Alex Bores, a New York congressional candidate facing heavy oppositional spending from a PAC backed by openAI.
Larsen-funded ads released by his Golden State Promises PAC aired during California’s recent gubernatorial debate, saying the billionaire tax would “backfire and hurt you.”
Supporters of the local and state wealth taxes argue that more revenue is needed to address California’s shortfall due to federal healthcare funding cuts, which is estimated at a $100 billion loss over the next five years. There are more than 200 billionaires who live in the state, according to Forbes data compiled by tax advocates. Most of the revenue from the one-time state tax would go to healthcare, with some set aside for food assistance at schools and other education programs.
Revenue from San Francisco’s local Overpaid CEO tax — which has been estimated to bring in $250 to $300 million each year — is designed to go to the city’s general fund, with its supporters hoping to invest in healthcare, mental health treatment, and housing support. Larsen and opponents are also funding support for a dueling “poison pill” measure, which would negate the Overpaid CEO tax if approved.
To Mack of the Phoenix Project, this kind of spending is par for the course in politics but should inspire voters to think critically about whom they support.
“The more politicians are in their pockets,” said Mack, referring to wealthy donors, “the less we can expect regular Californian/San Franciscan people’s voices to matter.”
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