San Francisco Leaders Unveil Plan to Lift Affordable Housing Fund to $125 Million a Year

Overview

• Supervisor Myrna Melgar and Mayor Daniel Lurie announced Tuesday a charter amendment that directs part of future property tax growth to the Housing Trust Fund, phasing annual support up to about $125 million and extending the program to 2058.
• The measure has four Board co-sponsors — Shamann Walton, Danny Sauter, Stephen Sherrill and Matt Dorsey — and needs a sixth vote to reach the November 2026 ballot.
• The package includes a $70 million revenue bond to be issued next year for preserving existing affordable housing and acquiring rental buildings through the Small Sites Program, which tenant groups say can prevent displacement.
• A companion ordinance would cut on-site affordable set-asides from 15% to 5% for projects with 25 or more homes, with options to pay an in-lieu fee, dedicate land, or build off-site units equal to 10% of a project.
• The plan keeps current funding levels during the budget crunch, starts increases in fiscal year 2029–30, and adds fiscal guardrails that allow the city to freeze or reduce payments during major deficits or a recession.