Critical Revenue Measures
Posted March 6, 2026
Brothers and Sisters,
I recently joined a meeting with SFMTA/Muni leadership, the SF Labor Council, and other unions. SFMTA presented a sobering picture of the city’s transit budget: 77% of spending goes to transit services, yet transit generates only about 8% of revenue. Federal/state pandemic relief (16% of current funding) expires in June 2026, and rising costs are widening the gap. The agency faces a $307 million structural deficit starting July 2026, projected to grow to over $430 million by 2030.
To avoid disaster, two critical revenue measures will appear on the November 2026 ballot:
- Regional Sales Tax (Connect Bay Area Act / SB 63) — Authorized by the state legislature, this would place a 1% sales tax increase in San Francisco (0.5% in Alameda, Contra Costa, San Mateo, and Santa Clara counties). It would generate roughly $1 billion annually region-wide for transit operations (including BART, Muni, Caltrain, AC Transit, and others), with Muni expected to receive about $155–$170 million per year.
- Local Parcel Tax — A progressive measure to close the remaining gap and support service improvements. Most single-family residential parcels (0–3,000 sq ft) would pay $129 annually (with potential exemptions for eligible seniors). Larger homes, multifamily, and commercial properties pay higher rates based on square footage (with caps for the biggest properties). If passed, it would raise approximately $150–$187 million annually for Muni operations, plus funds for quality enhancements.
SFMTA is also pursuing other revenue ideas, like adjusting parking meter rates, increasing citation penalties, and adding small transaction fees for credit card/online payments.
If these measures fail? The impacts would be severe:
- Up to 20 Muni routes eliminated (especially lower-ridership lines, express, hilltop, and neighborhood connections).
- Wait times doubled on remaining service (Metro, Rapid, and frequent routes hit hardest).
- Regular service ending at 9 p.m. — Owl network (night service) would be the only option after that.
- Iconic cable cars suspended or mothballed.
- 25–35% staffing cuts across the agency, potentially eliminating 1,500–2,100 jobs.
No one loves higher taxes, but without this funding, public transit in San Francisco faces a bleak future—longer commutes, worse traffic, and lost jobs for transit workers and the communities we serve. Reliable Muni matters to our members, our families, and the entire city.
Let’s talk to our networks, stay informed, and support these measures in November. Our voices as working people can make the difference.
In Solidarity,
Trevor Long
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