Meta will give its investors free shares if Mark Zuckerberg hits certain "extraordinary" targets.
It will pay 1:1 share dividends each time Meta stock doubles and has compounded at over 10% a year.
Meta is rolling out Class C shares to address Zuckerberg's tax concerns and keep him in California.
Meta stockholders are set to receive free shares if Mark Zuckerberg absolutely crushes it as CEO.
The social-media giant revealed in a Wednesday filing that if its upcoming Class C shares double from a baseline price of $580.60 to just over $1,161, and their compound annualized return since September 10 has been at least 10%, shareholders will receive a dividend: a Class C share for every Meta share they own.
If Meta stock — specifically its 30-day volume-weighted average price — doubles again to around $2,322, and has risen by at least 10% on average per year, shareholders will receive the same dividend again, and so on.
Meta, which owns Facebook, WhatsApp, Instagram, and the AI agent Muse, acknowledged how difficult it will be to unlock those dividends, describing the stock price targets as "extraordinary" in its filing.
Its stock has already surged more than sevenfold from its November 2022 low, giving Meta a nearly $1.8 trillion market capitalization that ranks it among the 10 most valuable companies in the world.
The additional dividends would be paid on top of the initial dividend declared by Meta's board on Wednesday, which will see Class A and Class B shareholders receive Class C shares on a 1:1 basis, likely in late January.
Meta is rejigging its share structure in response to Zuckerberg's concerns about California's so-called billionaire tax: a one-off, 5% wealth tax on the roughly 250 billionaires living in the state.
Zuckerberg, who ranked fifth on the Bloomberg Billionaires Index with a $247 billion net worth at Wednesday's close, will be able to sell the Class C shares to access the liquidity needed to pay the tax, avoiding a sale of his existing shares that would erode his voting power.
Meta's board took action after Zuckerberg said he was considering moving out of California because of the potential tax, and cautioned that the steps involved in relocating, such as listing his home for sale, could spark questions from employees about the company's management, the filing says.
The main investigative unit of the United States Department of Homeland Security (DHS) has been vigorously promoting on social media an effort it considers crucial in the final weeks before the midterms: pursuing alleged large-scale election fraud by noncitizens — a claim that has obsessed President Donald Trump despite a lack of evidence.
Former San Jose State University (SJSU) volleyball coach Melissa Batie-Smoose alleges a school official told her transgender player Blaire Fleming could not compete at one point during the 2023 season because Flemingâs testosterone level exceeded the eligibility limit.
In a new interview with OutKick, Batie-Smoose, who is now the head volleyball coach at Cisco College, claimed SJSU associate athletics director Laura Alexander informed her of Fleming's failed test before the womenâs volleyball team left for its first conference match.
"So it was told to me by our associate AD, confirming to me that Fleming was not showing up for the test, the blood test," Batie-Smoose said.
"And that Fleming had one day left before we were going to leave for our first conference match, and that he needed to come in and test. And then, then she proceeded to tell me the next day that after the test, that the testosterone levels were too high, and Fleming is ineligible to play and will not be going on the trip that day."
The coach added that the alleged failed test was kept "a secret" from the rest of the team.
The allegation also appears in Batie-Smooseâs Oct. 13 federal lawsuit against the California State University (CSU) trustees and 11 SJSU employees.
Fleming then missed a long stretch of the 2023 season. SJSUâs athletics website claimed the player had not competed since Sept. 16 of that year "due to injuries," in a November 2023 game recap.
Batie-Smoose said, "The injury happened the day that Fleming went to go get tested, and it was very questionable."
Batie-Smoose believes the injury explanation helped keep the alleged eligibility issue secret. Her lawsuit also describes that conclusion as her belief.
"Around the same time the testosterone results were revealed, Fleming thereafter missed conference matches because of a reported hand injury, which Plaintiff believes was an excuse to hide his ineligibility to play because of his hormone level," the lawsuit states.
SJSU's own game records confirm that Fleming missed matches, but they do not establish whether a testosterone test result played a role in the absence.
In 2023, NCAA rules allowed transgender women to play on womenâs teams, but they had to meet requirements for hormone treatment and testosterone levels. The NCAA kept that policy, known as Phase Two, in place through the 2023â24 school year.
Under that framework, transgender women had to complete at least one year of testosterone suppression treatment before competing on a womenâs team. They also had to provide blood-test results that met the NCAAâs limit for their sport. For womenâs volleyball, the Phase Two limit was below 10 nanomoles per liter of total testosterone in the blood.
The requirements applied before an athleteâs first competition in each season segment, including nonconference games. Schools had to submit eligibility documents for an NCAA medical panel to review before the athlete competed. The requirement did not begin only when conference play started.
Schools also had to certify athletesâ eligibility before allowing them to compete. If an athlete became ineligible, NCAA rules required the school to immediately keep that athlete out of competition.
Batie-Smooseâs account does not establish that Fleming played while ineligible. Fleming did return in November of that season, missing 17 matches.
SJSU has declined to respond to a request for clarification.
"Due to pending litigation, San Jose State is unable to respond to your inquiry," a university spokesperson told OutKick.
OutKick also reached out to Fleming, the NCAA, the Mountain West and the CSU for comment, but did not receive a response.
Batie-Smooseâs allegations extend beyond Flemingâs eligibility. She also says her relationship with head coach Todd Kress unraveled as their political views grew apart â and accuses him of using her support for Trump to turn players against her.
She described Kress as a longtime friend who once shared her conservative beliefs.
"Todd was a conservative Republican, and we shared the same views on a lot of things. And thatâs why we were friends for so long," she said. "And then somewhere in the craziness, he went left and really extreme left."
Asked when she noticed that change, Batie-Smoose said it happened "before the first Trump election."
The two continued discussing politics, she said. But she alleges Kress began raising their differences in front of athletes, crossing a boundary she wanted to keep between their personal disagreements and their coaching jobs.
"Oh, yeah. We talked about politics all the time," she said. "You know, once he turned, it was more, um, he would bring it up in settings that I felt like it was very inappropriate."
"We can talk and debate on those subjects when weâre in a room together, but not in front of student athletes. I feel like that is not the time and the place to speak on that."
Batie-Smoose said the treatment intensified after they arrived at SJSU in 2023. She believes Kress brought up her political and religious views to mock her and weaken her relationships with the team.
"Especially once we arrived at San Jose State, and Iâve referred to this before, this man was unrecognizable," she said.
She alleged that Kress knew which players would object to her views and raised the subject in front of them to create division.
Asked whether Kress told those players that he had once held similar conservative beliefs, Batie-Smoose replied: "Oh, no way. No way. He would never state that."
She said she did not share his past political views with the athletes herself.
"I do not talk about those things in front of athletes ever," she said.
Her lawsuit alleges that Kress called her a "Trump lover." It also says she repeatedly expressed her religious belief that "God made man and woman," and that she believes his treatment reflected hostility toward her faith.
She further alleges that he cornered and berated her during an office confrontation in about August 2023, after a canceled recruiting visit. The complaint says he threatened that he could get her fired.
Batie-Smoose says she reported the encounter to administrators and human resources. She alleges they told her Kress was her boss and she needed to listen to him.
Her attorney, Vernadette Broyles, described what she sees as a broader effort to silence her client.
"There was a watchdog that was assigned to be at every practice and to travel with Melissa to watch what she said, to watch what she did," Broyles said.
The lawsuit identifies a university administrator in connection with that allegation. The complaint presents the claimed purpose as Batie-Smooseâs belief.
CSU has defended its handling of Batie-Smoose in its March lawsuit against the U.S. Department of Education.
The employment dispute grew as the volleyball controversy spread.
During the 2024 season, former SJSU co-captain Slusser publicly challenged Flemingâs participation, and several opponents refused to play against SJSU. Batie-Smoose filed a Title IX complaint Oct. 29 alleging unequal treatment and failures to address concerns inside the program.
SJSU placed Batie-Smoose on paid leave days later. Its suspension letter cited several grounds, including alleged disclosure of private student information, differential treatment of athletes and unprofessional conduct. Batie-Smoose disputes those grounds.
On Jan. 31, 2025, the university told her it would not renew her temporary appointment. Batie-Smoose then filed an employment lawsuit against SJSU last September.
Then, this year, on Sept. 4, Judge Noël Wise dismissed her second amended complaint in an earlier employment case. Wise found that her allegations did not adequately show that SJSU punished her because of her sex or for raising complaints protected by law. The judge emphasized the complaintâs account that SJSU acted after she shared student information with the media despite instructions to keep it confidential.
Wise allowed her to amend. The ruling addressed whether that complaint stated a valid legal claim. It did not decide the dispute after a trial.
The October filing accuses officials of violating her rights to speak, practice her faith and hold political beliefs. It also alleges unequal treatment under the law. Batie-Smoose seeks reinstatement or a comparable job, compensation and correction of adverse personnel records.
Federal investigators have separately challenged SJSUâs handling of the volleyball program.
In January, the Education Departmentâs Office for Civil Rights concluded that the school violated Title IX over athletic participation, facilities and its response to complaints. The agency also raised concerns about unequal treatment in employment, while acknowledging that incomplete records limited its conclusions.
CSU disputes the federal findings. The system sued the Education Department in March, arguing that SJSU followed the law and NCAA rules that governed the seasons under review.
Batie-Smoose says legal advice shaped how much she shared publicly as the dispute unfolded.
"When this all began, I did not have legal representation," she said.
Meta has struck a deal with Mark Zuckerberg to help him foot a possible California wealth tax targeting billionaires.
The social media company behind Facebook, Instagram and WhatsApp revealed on Wednesday night that the arrangement would keep its chief executive living in California, where Meta’s headquarters are located.
House Democrats' No. 3 leader is under fire for his opposition to voter ID in his home state of California.
House Democratic Caucus Chairman Pete Aguilar, D-Calif., spoke at a press conference earlier this month criticizing a measure on Californians' ballot this Election Day that, if passed, would mandate that voters show government-issued photo ID at the polls.
He made the comments just weeks before the Department of Justice (DOJ) announced a crime bust that saw several U.S. permanent residents accused of registering to vote despite not being citizens.
Rep. Ken Calvert, R-Calif., hammered Aguilar's opposition to voter ID and argued the DOJ's recent actions made it "obvious" that the ballot measure, called Proposition 39, was needed.
"Give me a break," Calvert told Fox News Digital. "You have to show an ID to board an airplane, cash a paycheck, rent an apartment or even buy cold medicine at the grocery store. Democrats claiming that requiring photo ID before casting a ballot is somehow 'racist' or 'voter suppression' is complete nonsense and an insult to every voter's intelligence."
Rep. Vince Fong, R-Calif., said voter ID "is basic election security that the vast majority of Americans support, and 36 states already require."
"While opponents are resorting to lies and fearmongering, Proposition 39 is commonsense reform in a world where you need an ID to rent a car, stay at a hotel, open a bank account or board a flight," Fong told Fox News Digital. "The DOJ's recent voter fraud bust in California is exactly why these safeguards matter."
Rep. Young Kim, R-Calif., similarly said showing photo ID is a "simple standard we already require to board a plane, purchase alcohol or pick up a prescription."
"This isn't controversial and it shouldn't be complicated. Our elections deserve at least as much consideration as a beer or a bottle of wine," Kim told Fox News Digital.
Aguilar, meanwhile, criticized Proposition 39 during a press conference with Democratic gubernatorial candidate and former Biden administration Cabinet Secretary Xavier Becerra earlier this month.
"We will not stand for this, because we will not stand for people to lose an opportunity to exercise their ability to vote. In Arizona, they tried this. They wanted folks to put their driver's license numbers on their ballots. Think about that. What if you miss one digit? Your vote doesn't count?" Aguilar proposed. "What if you're married in California? What if you're married, and you haven't changed your name and you go to vote? No longer will you be able to vote. That is what is at stake for Californians."
He called it a "voter suppression effort" pushed by Republicans.
"Republicans can win only when they suppress the vote. Donald Trump and MAGA Republicans know that they are bankrupt of ideas and solutions, and so they have to change the rules of the game," Aguilar said.
Meanwhile, the California government criticized the DOJ's operation while pointing to reports that said more of those charged were registered as Republicans rather than Democrats.
"For nearly a decade, Trump has baselessly alleged mass voter fraud rings were employed by Democrats and utilized 'illegal immigrants' to sway elections across the country â often pointing to California," a release on Gov. Gavin Newsom's state website read. "Courts at all levels have rejected the claims of vast voter fraud or that elections were rigged against the President."
Voter ID laws currently exist in 36 states and polls have shown they have a majority of Americans' support.
But in Congress, several efforts to pass federal voter ID legislation have been thwarted by Democrats in recent years.
EXCLUSIVE: Twenty-three years after Duane "Dog" Chapman chased fugitive Max Factor heir Andrew Luster to Mexico and tackled him on a Puerto Vallarta street, the convicted serial rapist is a free man â despite an initial sentence of 124 years.
"I hope he's smart enough â and he's smart â to never do anything like that again," Chapman told Fox News Digital Wednesday, more than two decades after the capture that helped make him a household name.
Chapman, his son Leland and several others went to Mexico after receiving a tip about Luster's whereabouts â months after he fled the U.S. in the middle of a California rape trial. They first identified him from the tipsters' photo, which showed a knee and a watch.
Chapman had been studying his face closely for weeks, but he also recognized the watch from a televised interview, he said. And he credits his son with first spotting Luster, who was speaking with a young woman in a bar on June 18, 2003.
"When I saw him, you talk about an adrenaline rush went through my body," Chapman told Fox News Digital Wednesday. "Tim got down . ..he snuck up behind him, and then I pushed him. He fell over. We all jumped on him, and I screamed, 'You're under arrest by the United States of America.'"
They pulled him into an SUV and drove off â only to be intercepted on the road outside town by Mexican authorities who arrested everyone amid the chaos.
Luster claimed he'd been kidnapped, Chapman said, so he handed the lead investigator what Chapman called a "bible" of information on the case.
Luster, the great-grandson of makeup mogul Max Factor, vanished during a recess in his trial and was convicted in absentia on 86 counts involving the drugging and raping of three women between 1996 and 2000 at his home in Mussel Shoals, California.
One of the victims, who asked not to be named out of concerns for her safety, said she's still struggling to comprehend Luster's release even though she knew it was
"Itâs very unsettling knowing that he is not behind bars, not in a closed facility," she told Fox News Digital Wednesday. "He is out in the public, in a community that just â it just doesnât feel very good at all."
She said she has concerns for her own safety, her family, Luster's other victims and even investigators after a notebook containing a "payback list" was recovered from his Mexican hotel room â with their names on it.
She said she dated Luster for five or six months without knowing she'd been drugged and raped the night they met â something detectives discovered years later, after they recovered videotapes from the home.
"It was me, comatose on his bed, wearing the clothes that I was wearing the first night I met him," she said. "Thatâs how I knew when it happened, because I had just bought that outfit, and I was wearing it the night that I met him. So thatâs how I figured out when it happened to me, which was absolutely horrifying."
Police found more than 100 videos, she said. Not all of them involved criminal activity, but those that did were "mortifying," she said, as Luster spoke to the camera like he were playing with "a toy."
"Theyâre pretty brutal," she added. "The things that he did to us while we were completely unconscious were things that, I mean, had we been able to feel anything, it would have been awful. He narrated the video and talked to the camera throughout and thoroughly enjoyed the whole entire thing."
He initially received consecutive sentences totaling 124 years â later reduced to 50, and he was released earlier this month after over two decades behind bars.
Prosecutors had opposed early release in 2024 and again in 2025. However, he was able to earn substantial early release credits under California's controversial Proposition 57 criminal justice reforms, and his prison term came to an end on Oct. 11.
"I did not know that [Prop 57] meant that it was gonna make Andrew Lusterâs crimes be deemed nonviolent," Doe No. 3 told Fox News Digital. "Thatâs just so baffling. I just feel like if anybody could watch these tapes of what he did to me and all of these other women, just to look at that and try to put the word nonviolent on it, that word could not come out of your mouth. It just would be impossible."
Doe was among those who successfully lobbied for changes to the law to close that nonviolent loophole.
Chapman said he never received the bounty for Luster and lost hundreds of thousands of dollars of his own money for the operation and ensuing legal fallout.
Mexican law did not allow bounty hunters to apprehend fugitives. Chapman said he was arrested alongside his son Leland, longtime friend and associate Tim Chapman, who is not a blood relative, and members of a camera crew.
"He told me, 'Iâm going to get him for you,' and he did," Doe said of Chapman. So to help him get out after he put Luster back behind bars, she kicked off a legal fundraiser that she said attracted donations from around the country.
As part of the series, he plans to help bail out certain inmates with a history of good behavior and positive reports â but not for people facing serious felonies or sex abuse charges, he said.
"We'll call out the ones that deserve a second chance, right, and you can't be perfect OK, so if they run, yeehaw," he said. "I don't wish they would, but if they do, then I'm going to catch them."
A coaster dares riders to be daring, with steep drops, high speeds and improbably tight curves. But safety has become a concern again after a man was thrown from his seat and died in Georgia.
The California High-Speed Rail Authority's board voted 7–2 to strip CEO Ian Choudri of his authority to independently approve and manage contracts worth less than $25 million after an investigation uncovered questionable taxpayer-funded expenses by four consulting firms. An audit found that $593,000 in travel expenses lacked proper justification or violated state rules, including premium airline tickets and rideshare trips to places like a cigar lounge and an escape room. Consultants also billed taxpayers for rides to and from Choudri's home, sometimes late at night. The authority paid the four consulting firms roughly $2 million in travel costs; the inspector general reviewed about $1.15 million of that total and found $680,500 had no prior approval.
A California mayor insisted that handing out monthly cash payments is an effective tool to combat the state's soaring cost of living, even as local leaders face steep hurdles in securing permanent taxpayer funding to keep guaranteed income programs alive.
"I believe that guaranteed income programs like our Rise Up Alameda (RUA) pilot program are a valuable and effective tool to address the affordability crisis, based on the documented experiences of program participants," Alameda Mayor Marilyn Ezzy Ashcraft told Fox News Digital.
"The average age of the 150 program participants was 49 years, with 26% being 62 years or older, and most participants were either employed or retired."
Ashcraft’s comments follow the completion of Rise Up Alameda, the city's first-ever guaranteed income pilot project. City staff presented the program's final 24-month evaluation report to the Alameda City Council on Oct. 6.
According to city documents, the pilot aimed to "reduce economic instability for program participants, help to change local narratives and perceptions surrounding poverty and the provision of public benefits and help to support and inform the national discussion regarding public benefits and anti-poverty policies."
The Alameda City Council previously allocated $4.6 million in federal pandemic relief funds from the American Rescue Plan Act (ARPA) to finance the initiative, which provided 150 low-income households with $1,000 per month in no-strings-attached cash over two years. However, city notices confirm that because ARPA was a one-time federal allocation, the pilot has officially concluded, and the city has no plans or budget allocated for a permanent continuation.
"As mayor, I believe our responsibility is to advance practical, compassionate and evidence-informed policies that help residents meet their basic needs, preserve their dignity and build a more stable future for themselves and their families," Ashcraft told Fox News Digital when asked whether she planned to implement a permanent program.
Ashcraft highlighted several personal accounts of local residents who received monthly payments through the pilot.
Among them was Andrea, a certified nursing assistant who used the funds to stay afloat following the death of her mother. The financial boost helped cover medical bills, rent, gas and Bay Area bridge tolls while allowing her to care for her father and ailing brother.
Another participant, Dolores, a retiree in her 70s living in affordable senior housing after a 41-year career at AT&T, used the extra $1,000 a month to pay off credit card debt and build an emergency savings account.
Other recipients included Haroon, a rideshare and transit driver; Julia, a woman with a disability who was able to buy new mattresses, groceries and a set of car tires after an eviction forced her to move in with her sister; and Tyronne, a Navy veteran and former truck driver at the decommissioned Alameda Naval Air Station who relied on the extra money to cover medical bills and stabilize his housing.
While Ashcraft praised these personal outcomes, she acknowledged that direct cash payments are not a full remedy for California's economic pressures.
"These stories demonstrate the value of direct, unrestricted cash in helping residents navigate financial hardship, maintain stability and improve their overall well-being," Ashcraft said.
"While guaranteed income is not a stand-alone solution to the affordability crisis, programs like Rise Up Alameda can provide meaningful support as we pursue longer-term solutions to the high cost of housing, health care, transportation and other basic needs."
Alameda's program underscores a funding challenge local governments face across the nation regarding how to sustain guaranteed income pilot programs now that temporary federal pandemic relief funding is ending.
Many local guaranteed income pilots were underwritten by temporary pandemic-era ARPA allocations. With federal deadlines requiring municipalities to spend remaining relief funds, mayors and advocacy groups are searching for ways to convert short-term experiments into permanent, taxpayer-funded government programs.
A major organization advocating for guaranteed income is the Economic Security Project (ESP). Founded in 2016 by a network of entrepreneurs, activists and researchers, ESP has helped support more than 100 guaranteed income pilots nationwide. California leads the country with more than 60 pilot launches.
ESP has urged governments to consider taxpayer-funded measures to establish permanent minimum-income guarantees.
When asked by Fox News Digital whether local pilots are transitioning into permanent public policies, ESP indicated that multiple municipalities are actively working on legislative proposals.
"We can say, however, that there’s an active and growing movement for cash in hundreds of communities across the country," Shafeka Hashash, director of cash initiatives at the Economic Security Project, told Fox News Digital.
"We regularly take calls from some of the 1,500 members of the Guaranteed Income Community of Practice — researchers, nonprofits, local government officials and community leaders all interested in bringing cash to their neighborhoods," Hashash added.
"We just can’t announce any pilots or policies before the localities do."
One pilot program has become permanent in Cook County, Illinois. To sustain the initiative without federal aid, the Cook County Board of Commissioners approved $7.5 million for guaranteed income in the county budget, signaling a shift toward long-term local funding.
Republican state officials and conservative policy groups have sought to block guaranteed income programs. Critics argue unconditional handouts discourage work, increase dependence on government assistance and misuse taxpayer funds.
"The affordability crisis is hitting Americans across backgrounds, geographies and party lines, and it's imperative that state and federal leaders adopt a solutions-focused approach," Mayors for Guaranteed Income founder Michael Tubbs told Fox News Digital.
"Banning policies that have proven effective at the local level is not only undemocratic, it is incredibly counterproductive to solving the key problem facing American families," he added.
"We should be unlocking innovation at the local level to boost economic security, stabilize households and restore faith in the American dream."
The billionaire told Meta’s board that he planned to list his Silicon Valley home for sale. The company remade its stock structure to help him pay the tax if voters pass it.
Mark Zuckerberg, the chief executive of Meta, at his home in Lake Tahoe, Calif. He has another California home in Palo Alto, close to Meta’s headquarters.
Meta CEO Mark Zuckerberg considered moving out of California because of a proposed billionaire tax.
Zuckerberg would get $20 billion in "immediate liquidity" if the billionaire tax passes.
Meta made the offer to Zuckerberg to help keep him in California after he considered leaving.
Meta CEO Mark Zuckerberg considered moving out of California because of its proposed billionaire tax, Meta disclosed in a new SEC filing on Wednesday.
Next month, Californians will vote on Proposition 40, a one-time tax on the assets of the state's billionaires.
The filing said that Zuckerberg told a special committee formed by Meta that he was considering moving.
In response, the committee concluded that it was "critically important" for Zuckerberg to keep running Meta close to its Silicon Valley headquarters — particularly to its AI division, Meta Superintelligence Labs.
The filing said the committee got Zuckerberg to agree to remain in California or any other jurisdiction where Meta has its corporate headquarters for eight years, barring unforeseen circumstances.
As part of its efforts to ensure he can remain in charge as it raises more cash for its AI initiatives, the company is granting the Meta CEO a new stock class.
The shares would give Zuckerberg $20 billion in "immediate liquidity" to cover the tax by selling stock without losing control of Meta, if the tax passes. The new shares wouldn't add to Zuckerberg's net worth or increase his percentage ownership of Meta.
"The goal is to keep Mr. Zuckerberg continuing to lead the Company from California," the filing says.
Meta declined to comment. A person familiar with the matter said that the new class of shares, which totals $150 billion, is also intended to raise capital, compensate employees, and keep Meta's stock price on the right track.
Meta's filing showcases how tech billionaires are responding to the tax proposal. Some, including Google cofounder Sergey Brin and former CEO Eric Schmidt, poured hundreds of millions of dollars into attack ads against the proposal.
While Zuckerberg has taken a lower-key approach, it's clear he's been taking the proposed tax seriously.
The Meta CEO, who is worth about $240 billion according to Forbes, has multiple residences in California, including in Palo Alto and Lake Tahoe.
He also has a sprawling property portfolio outside the state, including a doomsday bunker in Hawaii, a waterfront mansion in Miami, and a castle in Ireland.
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