The Move is Off
Emil Barr, a 23-year-old entrepreneur who founded the Columbus-based company Flashpass, has officially pulled the plug on his plans to relocate to San Francisco. Despite having already signed a personal lease in the city, Barr said the state's proposed Proposition 40—a wealth tax—made him feel unwelcome.
"I just didn’t feel welcomed as an entrepreneur," Barr told The California Post. He argues that the state is "villainizing" successful founders, and he’s worried that even though the tax currently targets billionaires, it sets a dangerous precedent that could eventually hit millionaires like him.
The Financial Stakes
Proposition 40 aims to levy a one-time 5% tax on the total accumulated wealth of billionaires living in California as of January 1, 2026. The funds are earmarked for the state's healthcare system. Supporters, including Debru Carthan of SEIU-United Healthcare Workers West, maintain that the tax is necessary to cover a projected $100 billion federal funding gap over the next five years. They have pushed back against claims that the measure will trigger a mass exodus of wealth.
Barr isn't the only one pushing back. California Governor Gavin Newsom has voiced opposition to the proposal, and Google cofounder Sergey Brin has reportedly contributed to efforts to defeat it.
Why it matters
Barr’s company, Flashpass, helps unemployed workers gain new skills—a service he thought would be highkey valuable in California, given the state’s massive concentration of AI firms and the inevitable job displacement they cause. Because Barr isn't making the move, he claims Californians might lose out on the efficiency of his platform, which helps people get back to work faster. Lowkey, the real concern isn't just one entrepreneur; it's the potential for a brain drain if other founders follow suit and decide that the political "vibes" in Silicon Valley are no longer worth the investment. For now, Flashpass remains in Ohio, and California is officially off the table.
