City of San FranciscoProposition G Ordinance - Majority Approval Required
Shall the City collect an annual tax of $298 per parcel for investment in education, subject to certain exemptions including those for senior citizens?
What is this proposal?
Pros & Cons — Unbiased explanation with arguments for and against
The Question
The Situation
The San Francisco Unified School District educates approximately 57,000 students annually and receives state, federal and city funding. Previous parcel taxes that have been approved and are still in force are $198 per parcel expiring in 2038 and $32.20 per parcel expiring in 2030.
The Proposal
Proposition G would authorize the City to collect an annual parcel tax of $298 per parcel of taxable real property, adjusted annually for inflation, from July 1, 2018 to June 30, 2038.
The proceeds would be transferred to San Francisco Unified School District for use for the following only:
¡ Increase salaries of teachers and para-educators, and compensation and benefits of other School District employees,
¡ Increase funding and staffing at high-needs schools and community schools,
¡ Increase professional development for teachers and para-educators,
¡ Invest in technology supporting educators, students and families,
¡ Fund charter schools, and
¡ Provide oversight monitoring of the School District’s spending of these proceeds.
¡ Exemptions from the tax are provided for seniors of 65 or older who own and live at a property parcel and for any parcel used as a parking space that is adjacent to an exempt property.
A “YES” Vote Means: You want to authorize the City to collect an annual tax of $298 per parcel for investment in education, subject to certain exemptions including those for senior citizens.
A “NO” Vote Means: You do not approve of this parcel tax and do not want it collected.
Supporters say
¡ Prop G would allow San Francisco to attract, support, and retain high-quality teachers by paying fair wages.
¡ This would relieve the teacher shortage with new hires of high-quality teachers so all San Francisco students have the best teachers.
¡ The measure would strengthen computer science, technology, and digital learning to better prepare students for college and the global economy.
¡ Funds would be spent in San Francisco to benefit the City’s students and teachers.
¡ There would be a citizen oversight committee and annual audits.
Opponents say
¡ Parcel taxes avoid the Proposition 13 restrictions that apply to traditional property taxes, and are the most regressive form of taxation.
¡ This measure results from teachers’ union salary negotiations, which provided solid increases over three years; this tax would provide an additional 2% increase.
¡ Voter referendums are not the best way to resolve contractual issues.
¡ Funding would also be provided for “serving students including those who have been expelled from other schools or are on probation or parole.”
¡ SFUSD already receives $53 million in sales tax, $40 million from two parcel taxes, and $130 million from other special taxes.
Details — Official information
YES vote means
A “YES” Vote Means: If you vote "yes," you want to authorize the City to collect an annual tax of $298 per parcel for investment in education, subject to certain exemptions including those for senior citizens.
NO vote means
A “NO” Vote Means: If you vote "no," you do not approve this parcel tax.
Summary
Ballot Simplification Committee
The Way It Is Now: The San Francisco Unified School District educates approximately 57,000 students and employs approximately 6,200 teachers and para-educators. The School District receives funding from state and federal governments and the City of San Francisco.
The Proposal: Proposition G would authorize the City to collect an annual parcel tax of $298 per parcel of taxable property in the City beginning July 1, 2018 and ending June 30, 2038, adjusted annually for inflation.
Proposition G would require the City to transfer all parcel tax revenue to the School District. The School District could use the funds only for the following purposes:
• To increase the salaries and benefits of teachers and para-educators;
• To increase staffing and funding at high-needs schools and at community schools;
• To increase the salaries and/or benefits of other School District employees;
• To provide additional professional development to teachers and para-educators;
• To invest in technology, including digital learning; and
• To fund charter schools in the City.
Proposition G would provide two exemptions from the tax:
• The measure would exempt senior citizens who turn 65 years of age before July 1 of the tax year, own an interest in the property being taxed, and use the property as their principal residence.
• The measure would generally exempt property designated as a parking space, if the parking space and residential parcel are owned by the same persons.
Proposition G would require the City Controller to prepare an annual report on how these funds are spent. It would also require an independent committee to oversee how the School District is spending these funds.
Financial effect
City Controller Ben Rosenfield
City Controller Ben Rosenfield has issued the following statement on the fiscal impact of Proposition G:
Should the proposed measure be approved by the voters, in my opinion, it would generate new tax revenues of approximately $50 million annually at current rates. The measure sets a tax of $298 per parcel annually on real property in San Francisco. The tax and revenue amounts would increase over time as the per parcel rate is adjusted for inflation.
The funds generated would be dedicated to teacher salaries and training and other purposes of the San Francisco Unified School District (SFUSD) as specified in the measure. The measure specifies that the parcel tax will be collected beginning July 1, 2018 for a period of 20 years to July 1, 2038.
In June of 2008, San Francisco voters approved a similar tax to benefit SFUSD at the rate of $198 per parcel for a period of 20 years, expiring in July 2028. In June of 2010, San Francisco voters approved a school facilities special tax for SFUSD at the rate of $32.20 per parcel for a period of 20 years, expiring in July 2030.
The proposed measure has some administrative procedures that differ from the City’s existing parcel taxes for SFUSD which may result in a marginally increased cost of tax administration.
