Prop 38 Immunology Research Bond, California 2026: Who's Paying and Why

On the November 3 Ballot

Prop 38: Immunology Research Bond

$8.4 billion in state borrowing for research

Who paid to put it on the ballot Gary Michelson, a billionaire surgeon and inventor, through a petition drive.

History No bill. It went straight to the ballot by petition, like 2004's $3B stem-cell research bond (Prop 71).⁷

A YES vote means: The state could borrow $8.4 billion for immunology and immunotherapy research.⁸
A NO vote means: The state could not borrow the money.⁸

Yes side $71.2M No side $0 Who gains, who pays

Who it helps if it passes

The California Institute for Immunology and Immunotherapy, which would get about $4.2 billion. The measure doesn't name it, but CalMatters found it is written so that only this institute qualifies.
Researchers at public universities and nonprofits who win grants from the other half
Patients, if new treatments result. Those drugs would be 20% cheaper for Californians.

Who pays or loses if it passes

State taxpayers, for about 20 years

What the funders get Gary Michelson, the main funder, co-founded the institute that would get half the money, chairs its board, and has given it at least $120 million. Meyer Luskin, the second-largest donor, is also a co-founder.^1,6

Cost to taxpayers $500 million to $600 million a year from the state budget for about 20 years. Some or all of it could be offset if the research makes money.⁸

Authorizes $8.4 billion in state bonds for immunology and immunotherapy research. Half would go to a single UC-affiliated nonprofit research institute, and half to selected public universities and nonprofits.⁸

Drugs developed with the money would have to be sold to Californians at a 20% discount, and 10% of drug revenue would go back to the state. Taxpayers would repay the bonds with interest.⁸

YES side special interest: High

✓ One funder dominates: Gary Michelson paid 93% of the YES money¹
✓ Funders profit: The main funder chairs the institute that would get $4.2B (our judgment)
✓ Narrow benefit: Half the money goes to one institute (our judgment)
✗ Outside money: All top YES donors are in California¹

NO side special interest: None

✗ One funder dominates: No major funders¹
✗ Funders profit: No major funders¹
✗ Narrow benefit: No major funders¹
✗ Outside money: No major funders¹

Endorsed by

Michelson Center for Public Policy
American Association of Immunologists
City of Hope
California Democratic Party

Opposed by

California Health Policy Strategies (No on 38)
League of Women Voters
Orange County Register editorial board

Funding the YES campaign

$71.2M¹

Name on its ads: "Yes on 38: Californians for Life-Saving Immunology Research and Cures, sponsored by the Michelson Center for Public Policy." 93% of this side's money is from Gary Michelson.¹

Gary Michelson

$66.2M

Directly ($45M) and through his Michelson Center for Public Policy ($21.2M)
Meyer Luskin

$5M

Businessman and philanthropist

Funding the NO campaign

No committee has raised $1M or more. That is the state's threshold for reporting top donors.

Sources for this measure: ^1,6,7,8,9