A poison pill effort to cancel a proposed multi-billion dollar tax is hitting voters’ mailboxes

California voters are being urged to put a poison pill initiative on the November ballot that would end a controversial proposed tax on state billionaires.

No other proposal is still eligible for voting – supporters of each need to collect hundreds of thousands of verified signatures from voters. But petitions mailed and texted to California voters in recent days show the importance of a race that has drawn tens of millions of dollars in campaign spending.

“The government continues to waste billions of our tax dollars on homelessness and many other failed programs with little to show for it,” reads a new mail to voters. “We cannot afford more wasteful spending!”

The proposal is intended to counter a proposed one-time tax of 5% on billions in assets that would fund health care for the state’s neediest residents, but opponents say that would result in a loss of tax revenue as California’s wealthiest flee the state.

Mailers and documents recently sent to voters describe the new proposal as an effort to create a more accountable, transparent and efficient state government that would require auditing new state taxes and ensuring they are consistent with existing law.

A small-font explanation of the proposed plan included in the submission specifies that any new tax enacted after Jan. 1 must be included in the state’s general fund and be consistent with current state tax policy, which is a mandatory reference to a previously voter-approved ballot measure that requires a large portion of state tax revenue to be used for education.

If competing proposals come to a vote and succeed, the one with the most votes overrules the other. There are other ballot measure proposals aimed at blocking the multibillion-dollar tax.

The mailers and documents were sponsored by a committee called Californians for a More Transparent and Effective Government, which was sponsored by another group, called Building a Better California, according to the California secretary of state’s office.

Earlier this year, the latter group received a $20-million donation from Google founder Sergey Brin, $2 million from former Google Chief Executive Officer Eric Schmidt and $2 million from Stripe CEO Patrick Collison, among contributions from other Silicon Valley leaders, according to financial disclosure reports.

Efforts to reach spokesmen connected to the effort were unsuccessful Monday night.

Suzanne Jimenez, chief labor officer at SEIU-United Healthcare Workers West, the main union supporting the multibillion tax, denounced what she described as an attempt by a small number of wealthy citizens to avoid paying their fair share.

“So far, those few billions are failing,” he said in a statement. “Despite the costly and wasteful tactics of a small group of billionaires who aim to deny voters a multimillion tax choice in November, our growing coalition and volunteer base is on track with signature collection and growing. The public is making clear that keeping ERs and clinics open is more important than billionaires getting tax breaks.”

California’s budget is notoriously volatile because it relies heavily on taxes paid by its wealthiest citizens. Income depends on capital gains from investments, bonuses to executives and small outflows from new stock offerings, all of which are highly unpredictable.

The billionaire tax will cost more than 200 of the state’s wealthiest citizens nearly $100 billion if a majority of voters support it in the November election.

The proposed tax would apply to billionaires’ properties starting Jan. 1, and has already prompted some of California’s wealthiest residents to leave the state. It also created a divide among Democrats. Others argue that it is necessary to address tax inequities that benefit the wealthy and harm everyone else. Among the supporters are Sen. Bernie Sanders (Vt.), who launched a billionaire tax proposal in February.

But others, especially Gov. Gavin Newsom, opposes the effort, saying policies that vary by state will drive entrepreneurs and businesses out of California.