Mark Zuckerberg Agrees to Stay in California for Eight Years

Meta CEO Mark Zuckerberg entered into a Founder Alignment Agreement with the company's board to maintain his residency in California for the next eight years. The deal follows Zuckerberg's consideration of moving to Florida to avoid Proposition 40, a proposed ballot measure that would impose a one-time 5 percent tax on assets held by billionaires in California as of January 2026.

To support this arrangement, Meta will create a new class of nonvoting shares. Zuckerberg may sell 20 percent of these shares immediately to cover potential tax obligations, while the remaining 80 percent will be available for sale over the eight-year period, contingent upon his continued residency in the state. The agreement allows Zuckerberg to relocate if Meta also moves its corporate headquarters.

The Meta board, including a special committee, negotiated the terms to prevent the management challenges that occurred during the COVID-19 pandemic when Zuckerberg was not physically present. While Zuckerberg had previously purchased a home in Florida in February, recent polling suggests Proposition 40 may fail following a 129 million dollar campaign against the measure.