By Alice Mosley, HANC Board
A coalition of advocacy groups called “Muni Now Muni Forever (MNMF)” met on Oct. 30th to discuss the latest prospects for addressing the fiscal cliff faced by Muni.
Mayor Lurie convened a Muni Funding Working group to address the gaping hole in funds of $322 million beginning July 2026. (Members include the SF Board of Supervisors, Controller’s Office, SFMTA Board of Directors, Business, Labor, Community advocates and transit experts.)
In its report so far it has found that (surprise surprise!) there was little support for major cuts to services (including eliminating multiple bus lines and ending service at 9 pm, to name just a couple of ideas).
The most innovative revenue raising measure is an initiative adopted around the state known as a Variable Rate Parcel Tax. Rather than a flat rate parcel tax, whereby a small condo is levied the same tax as a mansion in Pacific Heights, or more flagrantly absurd, Salesforce Tower or Chase Center, the tax would be levied on a per square foot basis. It is seen as more equitable, and has proved successful as a ballot initiative in 17 out of 18 municipalities, in some cases getting more than 70% of ballots cast.
However, the details of the Mayor’s Working Group have not yet been released. The word on the block is that it will propose a modest flat rate for all properties under 3,000 feet, and a per square foot formula for properties above that size. The Mayor’s Office estimates it could generate around $180 million, though research by MNMF has been unable to confirm those figures.
Another potentially fruitful source of revenue, the “Overpaid CEO Tax,” is being proposed by SEIU1021 and organized labor. This would place a gross receipts tax on corporate heads who earn over 100 times as much as its average employees. This would be placed on the June 2026 ballot. This resurrects a successful initiative introduced by then Supervisor Matt Haney in 2020. Regrettably, it was reduced by 80% in 2024 as part of Prop M, included in a larger bill with some useful provisions. For further information and/or to volunteer, please contact This email address is being protected from spambots. You need JavaScript enabled to view it..
In addition to questions about the amount that the Mayor’s Working Group formula could raise, there’s uncertainty over the complementary ballot initiative. Senate Bill 63 proposes a sales tax to meet the equally yawning budget gaps faced by Bay Area Transit, and will go on the ballot next November. It would raise funds for AC Transit, Caltrain, BART and SF Muni. Outside of San Francisco the tax would be 1/2% and 1% in San Francisco. Should that measure not be passed, Muni’s needs would be even greater.
While it would be welcome if the Mayor’s Office does propose a sound way of addressing Muni’s budget crisis, we (HANC) hope that MNMF will stand firm on the basic requirements to fund a robust public transport system. To find our more or to volunteer for the Muni initiative, please write to me at This email address is being protected from spambots. You need JavaScript enabled to view it..
We have invited Muni Now Muni Forever to speak at our November meeting. Please join us on Thursday, November 13, at 7:00 pm at the Park Branch Library or online. See the accompanying “How to Join” article for further details.

