Earlier this year, San Francisco faced a tens of millions of dollars in homeless funding shortfalls with lower-than-expected new sales tax revenue designed to fund services. The slump in revenue forced the city to tap reserves to avoid spending cuts.
Voter-approved tax Proposition C promises hundreds of millions of dollars a year to tackle homelessness, and officials have used it to buy hotels, remodel housing and other efforts. plug. Over the next two fiscal years, C’s revenue accounted for more than a third of the homeless sector’s $1.3 billion budget, and it also increased health sector spending on addiction and mental health issues.