Proposition C would create an additional tax on San Francisco businesses with gross receipts, or revenue, of more than $50 million a year to fund homeless services.
The City Controller estimates Proposition C to generate $300 million annually for a special fund called “ Our city our home”. This could almost double the city’s current homeless and housing budget. The fund would go towards services such as: rent subsidies, shelters, mental health and permanent housing.
Mostly large retailers are expected to be taxed under Proposition C.
A citizen petition drafted by a collective of homeless rights-advocates, small business owners, and former unhoused people put Proposition C on the ballot. Democrats widely support this measure. On average, businesses would be taxed at 0.5%. Companies with over $1 billion in annual revenue will pay a higher percentage.
Supporters say this is a small price for businesses to pay, after the big tax cuts corporations received under the Trump Administration.
Opponents of the measure include the San Francisco Chamber of Commerce and the Bay Area Council. They say large businesses currently pay 40% of the city’s taxes and that’s enough. Opponents also argue the measure could disproportionately impact middle class workers and drive affected companies out of town.
If you support San Francisco taxing big businesses to fund homelessness services, vote yes on Proposition C. If you don’t agree with an additional tax on these businesses, vote no.