Eric Schmidt lashes out as billionaire coalition splinters over California tax fight

Inside Sergey Brin’s $100 million effort to block California’s proposed billionaire tax, former Google CEO Eric Schmidt expressed anger after the state Democratic Party endorsed the union-backed Proposition 40 and dismissed two alternative ballot measures the coalition funded. Schmidt, a $3 million donor to Building a Better California, joined other wealthy contributors who fear the group’s mission is being stretched thin by backing additional initiatives such as environmental reform and housing reforms.

The coalition, which has raised $118 million through June, originally aimed solely to defeat the tax, but its spending on Props 41, 42, 45, 37 and others has sparked concerns about effectiveness. A lobbying push by Hilltop Public Solutions failed to keep the party neutral, resulting in a 0-for-3 outcome at the San Diego executive board meeting. Despite internal friction, the group has earmarked nearly $87 million in TV ad time for the upcoming November ballot, hoping to secure a win before costs rise.