California leaders advanced the Save for California’s Future Act through the Legislature in late June 2026 with strong majorities, placing Proposition 2 on the November ballot as a legislatively referred constitutional amendment. The measure would raise the Budget Stabilization Account cap from 10% to 20% of general fund revenues, boost deposits during high capital gains years, expand eligible debt payments including unemployment insurance obligations, and adjust Gann Limit treatment for reserves. Backed by Governor Newsom and Democratic majorities, the proposal addresses revenue volatility while protecting school funding formulas. Minimal Republican opposition in floor votes and the absence of major competing campaigns since placement have supported trader views of likely passage.