California voters will decide Proposition 2 on November 3, 2026, a legislatively referred constitutional amendment that would raise the Budget Stabilization Account cap from 10% to 20% of general fund revenues, adjust Gann Limit treatment of deposits and withdrawals, boost mandatory savings during high capital gains years, and expand eligible debt repayments including unemployment insurance obligations. The measure advanced through the Legislature in late June 2026 with strong Democratic majorities and Governor Newsom’s backing after budget negotiations highlighted revenue volatility and the need for larger reserves. Trader consensus around 68% yes reflects broad appeal for expanded fiscal buffers during strong revenue periods, tempered by Republican warnings about added spending flexibility and the absence of major organized opposition or recent polling shifts in the two months since placement on the ballot.