California voters will decide Proposition 43 on the November 2026 ballot, a legislatively referred constitutional amendment that would raise the approval threshold for citizen-initiated local special taxes from a simple majority to two-thirds while restricting certain property-related levies in charter cities. Recent PPIC statewide survey data showing only 39 percent support for such local tax limitations, amid deep partisan divisions, has shaped trader expectations that the measure will fail to secure majority approval. The proposal emerged from a June 2026 legislative compromise that led sponsors to withdraw a parallel citizen initiative, highlighting ongoing tensions between taxpayer protection groups and advocates for local government funding flexibility on services such as transit, education, and infrastructure.