Citizen Portal
Sign In

Get Full Government Meeting Transcripts, Videos, & Alerts Forever!

Get email alerts on the Transportation Fees topic

No spam. Unsubscribe anytime.

Supervisors split over higher transportation sustainability fee; duplicate ordinance sent back to committee

3006114 · April 16, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Board members debated raising the city's Transportation Sustainability Fee (TSF) on very large nonresidential projects. Supervisor Avalos proposed increasing the fee and grandfathering some projects; the Board voted to duplicate the file and send the debated amendments back to committee for further study.

Supervisors spent hours debating a proposed citywide Transportation Sustainability Fee to replace the prior Transit Impact Development Fee. At the Dec. 8 board meeting Supervisor John Avalos asked that the board duplicate the TSF file so amendments could be considered that would increase the fee for large nonresidential properties and include a one-time grandfathering formula for certain projects already in the pipeline.

Avalos argued the city's nexus study showed the fee levels in the draft TSF left money "on the table" and that a $2-per-square-foot increase on nonresidential properties greater than 99,999 square feet would still keep projects below a planning commission'tested feasibility threshold. Avalos's proposal included a transition rule to require qualifying nonresidential projects submitted before July 1, 2015 but not yet approved to pay 50 percent of the difference between the old fee and the new TSF.

Supporters, including Supervisor Campos, said further study by the full board would be appropriate and would give the new District 3 supervisor (Aaron Peskin) an opportunity to engage on the issue. Opponents said the Draft TSF package had been through a lengthy process and the city had already negotiated changes to protect hospitals and other important uses.

Outcome: The Board voted to duplicate the file and send the amended draft back to committee for additional review (motion adopted 7-4). Members said the duplicated file would be debated as a committee of the whole in January so the board could consider proposed amendments and any impacts to project feasibility.

Why it matters: The TSF would become a key ongoing local revenue source for transportation projects and is intended to replace the prior transit impact fee. Even small increases in per-square-foot fees on very large developments can raise millions in additional revenue for the city's transit network and capital investments. The board's decision to send a duplicated file back to committee sets up a follow-on process in January where more detailed fee levels and grandfathering rules will be considered.

Speakers: Supervisor John Avalos proposed the duplicated-file amendment; Housing and Planning staff and multiple supervisors debated technical cost- and feasibility-related analysis prepared for the planning department.