California voters will decide Proposition 3 in November 2026, which would convert the high-income tax surcharge first approved in 2012 and extended in 2016 into a permanent rate applying above roughly $360,000 for single filers. The measure qualified for the ballot in June after education groups gathered more than the required signatures and directs the projected $5–15 billion in annual revenue primarily to K-12 schools and community colleges. Trader pricing at 74 percent for passage reflects the measure’s alignment with longstanding voter-approved funding streams, limited organized opposition relative to competing wealth-tax proposals, and institutional support from teachers’ unions ahead of the general election. No major legislative or court developments have altered its trajectory since qualification.