Supervisors approve amendment to phase out property transfer tax review board, send ordinance forward on first reading

The San Francisco Board of Supervisors approved an amendment and passed an ordinance on first reading to update the Business and Tax Regulations Code, including changes to the property transfer tax appeal process.

Supervisor Dufty explained the amendment after meetings with the city assessor and city attorney and said he anticipated revised language from the city attorneys office. The amendment, which was distributed to supervisors before the hearing, phases out the property transfer tax review board by creating a sunset provision and preserves an appeals mechanism through the city attorneys office for disputes of $25,000 or more to come before the board of supervisors.

Deputy City Attorney Cheryl Adams explained that the amendment phases out the transfer tax review board (the board would remain operative until a specified sunset date) and adds reporting and documentation requirements for taxpayers seeking refunds. Supervisor Dufty moved the amendment; a second was recorded from the dais and colleagues agreed to move the item as amended.

The ordinance as amended was placed on first reading and passed on a roll-call vote as amended. The clerk announced that the ordinance "passed on the first reading as amended." The planning and city attorneys offices expected to deliver the final ordinance language reflecting the discussions between assessor and city attorney.

The board had earlier deferred consideration while awaiting the city attorneys revised language. When the amendment was offered later in the meeting, supporters said the changes preserve administrative and judicial review pathways while providing an orderly phase-out and clearer documentation for refund claims.

The measure now moves forward on the legislative calendar for additional readings as required under city procedure.