NOTICE OF INTENTION TO CIRCULATE INITIATIVE PETITION Notice is hereby given by the persons whose names appear hereon of their intention to circulate a petition within the City and County of San Francisco for the purpose of placing on the November 3, 2026, general election ballot a measure to prevent catastrophic Muni service cuts while investing in making Muni safer, more reliable and affordable. A statement of the reasons of the proposed action as contemplated in the petition is as follows: The Stronger Muni for All Measure reflects San Franciscans' long-standing commitment to a world-class transit system that gets seniors to their appointments, workers to their jobs, and kids to school. In the latest available customer satisfaction survey, Muni received its highest scores in 20 years while weekday ridership has rebounded to more than 75% of pre-pandemic levels. But the expiration of state and federal funds and lingering impacts of the Covid economic downturn has created a large budget shortfall. Without securing a reasonable and dedicated source of funding, Muni service will be severely cut, resulting in up to 20 bus routes canceled and doubled wait times. The economic rebound of the past year will be erased and our city will be far less affordable, pushing out more of our neighbors. Further, San Francisco already has the third worst traffic of any city in the United States. Without protecting Muni service, thousands of additional cars will fill the streets, further exacerbating traffic, gridlock, and commute times for transit riders, motorists and cyclists alike. Over the past year, Muni has demonstrated a new era of fiscal discipline and community engagement. Commonsense reforms have yielded ongoing annual savings of nearly $137 million by eliminating over 500 vacant positions, consolidating operations to eliminate management positions and implementing more efficient operations to get buses to their destinations faster. This measure proposes a progressively structured parcel tax on commercial and residential properties. 95% of San Francisco's single family residences are capped at $129 annually, with those in larger homes subject to progressively higher rates. The largest commercial properties pay up to $400,000 annually, making sure everyone pays their fair share. Funds generated by this measure will be subject to strict oversight and accountability requirements, including financial efficiency reviews and oversight by a citizens committee to ensure all revenues are spent on maintaining and improving Muni service. _______/s/_______ _______/s/_______ _______/s/_______ Kat Siegal Rodney Fong Tony Delorio Proponents of the Initiative The city attorney has prepared the following title and summary of the chief purpose and points of the proposed measure: PARCEL TAX TO FUND PUBLIC TRANSIT OPERATIONS The Way It is Now The San Francisco Municipal Transportation Agency (SFMTA) is a City department that manages Muni buses, light rail vehicles, streetcars, and cable cars. These services are funded by transit fares, and local, state and federal sources, but not through a parcel tax. Owners of rent-controlled residential property in the City are generally limited in what costs they can pass onto their tenants. State law limits the total revenue, including tax revenue, the City may spend each year. The voters may approve increases to this limit for up to four years. The Proposal The measure would impose an annual tax on parcels of real property in San Francisco beginning on July 1, 2027, and continuing until June 30, 2042. The tax would be adjusted annually for inflation. The proposed 2027 tax rates would be: * Single-Family Residential Parcels: Base tax of $129 for the first 3,000 square feet of building area, plus marginal rates of: $0.42 per square foot of building area between 3,001 and 5,000 square feet, and $1.99 per square foot of building area over 5,000 square feet. * Multifamily Residential Parcels: Base tax of $249 for the first 5,000 square feet of building area, plus a marginal rate of $0.195 per square foot of building area over 5,000 square feet, capped at $50,000 per parcel. * Non-Residential Parcels: Base tax of $799 for the first 5,000 square feet of building area, plus marginal rates of: $0.76 per square foot of building area between 5,001 and 50,000 square feet, $0.84 per square foot of building area between 50,001 and 250,000 square feet, and $0.99 per square foot of building area over 250,000 square feet, capped at $400,000 per parcel. * Mixed-Use Parcels: Base tax of $799, plus a combination of the marginal rates for residential and non-residential parcels above if the mixed-use parcel has more than 5,000 square feet of building area, capped at $400,000 per parcel. * Parcels with No Buildings: No tax if the land area is up to 2,000 square feet, or $392 if the land area is over 2,000 square feet. The tax would not apply to: 1. Properties or portions of properties not required to pay property taxes based on value; and 2. The building area of any single-room-occupancy unit and any shared facilities. Most properties owned and occupied as a primary residence by a person who is at least 65 years-old would either be exempt from the tax or entitled to a tax reduction. Owners of rent-controlled residential units could pass through up to 50% of the tax to their tenants, capped at $65 per unit, if the initial base rent was set before June 1, 2027. Revenues from the tax would be used exclusively for the costs of administering the tax and for SFMTA transit operations. This measure would increase the City's spending limit for four years.