Revenue Ballot Measures
January 27, 2024
1 Government Code
Section 54957.5
SB 343 Agenda:
01/27/2024
Special CC Item # 1
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Description 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Beginning
Fund Balance $38 $45 $38 $44 $47 $50 $52 $51 $50 $46 $40 Total
Revenues 147 142 138 140 143 146 149 152 155 159 162
Total
Expenditures 140 148 147 152 156 160 166 170 176 182 187 Net Reductions 15 15 15 16 16 16 17 17 18
Change in
Fund Balance 7 (6) 5 4 3 2 (1) (1) (4) (6) (8)
Ending Fund
Balance $45 $38 $44 $47 $50 $52 $51 $50 $46 $40 $32
2 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Description 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Beginning
Fund Balance $38 $45 $38 $44 $47 $50 $52 $51 $50 $46 $40 Total
Revenues 147 142 138 140 143 146 149 152 155 159 162
Total
Expenditures 140 148 147 152 156 160 166 170 176 182 187 Net
Reductions 15 15 15 16 16 16 17 17 18
Change in
Fund Balance 7 (6) 5 4 3 2 (1) (1) (4) (6) (8)
Ending Fund
Balance $45 $38 $44 $47 $50 $52 $51 $50 $46 $40 $32
Additional
Revenue
Expenditure
Reduction
Favorable
Budget
Variance
Net Reductions
3 INTRODUCTION
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
$223 $232
$251 $268 $272 $283 $294 $306 $318 $331 $344 $358 $372
$127
$200
$181
$154 $147 $132 $119 $107 $96 $87 $78 $70 $63
$-
$50
$100
$150
$200
$250
$300
$350
$400
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Millions
VLF Owed VLF Available 4
INTRODUCTION
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q&A
NEXT STEPS
$15
$15
$16
$16
$16
$16
$17
$17
$18
$4
$5
$5
$5
$5
$5
$5
$5
$5
2025 2026 2027 2028 2029 2030 2031 2032 2033
Net Reductions Net Reductions (No VLF/ERAF issues)
5 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
6 Established
in 1976
Last modified
by voters in
2008
Annual COLA
$-
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
$3.5
$4.0
$4.5
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Millions
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
7 Modernize
Structure
Protect Small
Businesses
Ensure
Businesses Pay
Their Fair Share
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
8 Range of Employees Base Rate Per Employee Rate
0 - 4 $150 $30
5 - 9 $270 $35
10 - 19 $445 $50
20 - 49 $945 $60
50 - 99 $2,745 $75
100 - 249 $6,495 $80
250 - 499 $18,495 $90
500 - 999 $40,995 $100
1000+ $90,995 $150
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
9 Actual Fees Collected in 2020 Proposed New Fee Structure Range of
Employees
2020 Fees
Collected
Percentage of
Total Fees
Range of
Employees Proposed Fees
Percentage of
Total Fees
0 - 4 $188,052 26% 0 - 4 $203,656 9%
5 - 9 $78,524 11% 5 - 9 $87,764 4%
10 - 19 $75,223 11% 10 - 19 $109,026 5%
20 - 49 $92,507 13% 20 - 49 $198,027 8%
50 - 99 $60,351 8% 50 - 99 $162,613 7%
100 - 249 $42,113 6% 100 - 249 $139,527 6%
250 - 499 $29,112 4% 250 - 499 $102,616 4%
500 - 999 $12,539 2% 500 - 999 $104,898 4%
1000+ $132,939 19% 1000+ $1,235,799 53%
Total $711,360 100% Total $2,343,926 100%
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
10 Range of Employees Less than $50 $50 - $99.99 $100 - $499.99 $500 - $24,999 $25,000 -
$99,999.99 > $100,000 Total Count
0 - 4 40.63% 33.21% 73.84%
5 - 9 1.64% 5.15% 3.91% 10.69%
10 - 19 1.74% 5.81% 7.55%
20 - 49 1.20% 4.11% 5.31%
50 - 99 0.33% 1.24% 1.57%
100 - 249 0.33% 0.03% 0.40% 0.77%
250 - 499 0.03% 0.13% 0.17%
500 - 999 0.07% 0.07%
1000+ 0.03% 0.03%
Total 45.91% 38.36% 15.10% 0.53% 0.07% 0.03% 100.00%
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
11 Current
• 930 businesses
• $200k per year
Proposed
• BLT rate of $1.80/$1,000 in
permitted construction value
• Could generate upwards of
$1M in additional BLT
revenue
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
12 Last analysis was done in 2021
Projected $2.2M in additional BLT
revenues with proposed changes
Voter approval: Simple majority for
general tax
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Measure W
0.50%
Current Sales
Tax Rate
9.875%
Who pays the
tax
$-
$2
$4
$6
$8
$10
$12
$14
20162017201820192020202120222023
Millions
13 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
9.875%
• Belmont
• Brisbane
• Daly City
• East Palo Alto
• Pacifica
• Redwood City
• San Bruno
• South San
Francisco
9.625%
• Burlingame
• San Mateo
9.375%
• Atherton
• Colma
• Foster City
• Half Moon
Bay
• Hillsborough
• Menlo Park
• Millbrae
• Portola Valley
• San Carlos
• Woodside
14 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Description Rate Subject to 2%
Limit Expiration Year
State 6.00% No
Local City/County (Bradley Burns) 1.00% No
Local Transportation 0.25% No
Total Statewide base rate 7.25%
Retail Transactions & Use Tax – Measure K 0.50% Yes 2043 Transit District – Measure A 0.50% Yes 2033
Transportation Authority – Measure A 0.50% Yes N/A
Transit District – Measure W 0.50% No 2049
Local Transactions & Use Tax – Measure W 0.50% Yes 2046 Rail service tax – Measure RR 0.125% No 2050
Local add on taxes subject to 2% limit 2.0%
Total add on tax 2.625%
Total Sales Tax Rate in South San Francisco 9.875% 15
FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Would require
approval from
4/5
Councilmembers
Legislative
Exemption
Required
1/2%: $15.5M
1/4%: $7.75M
1/8%: $3.88M
Voter approval:
Simple majority
for General Tax
16 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
17 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
18 FORECAST
KEY
ASSUMPTIONS
REVENUE
ENHANCEMENT
OPTIONS
Q & A
NEXT STEPS
Consensus Survey in Spring
2024
Present results in
April 2024
Adopt
resolution/ordinance
July 2024
No
Consensus
Short term: Use
reserves
Long term: Cut
operating budget by
10%
19