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Committee recommends renewal and expansion of Tourism Improvement District, adds short‑term rental hosts
Summary
Supervisors voted to forward a package renewing the Tourism Improvement District for 15 years, expanding the assessment to include short‑term rental hosts and increasing zone assessment rates (Zone 1 to 1.25%, Zone 2 to 1.0%) to raise an estimated $10 million annually to support convention and visitor services.
The Government Audit & Oversight Committee on June 16 voted to forward a proposal to renew and expand the Tourism Improvement District (TID), including an assessment increase and a new class of payers.
Supervisor Aaron Peskin, who led the effort, said the renewal aims to bolster the city’s convention business and economic recovery. Joe D'Alessandro of the San Francisco Travel / San Francisco Bridal Association outlined proposed changes: an increase of a quarter percentage point on assessments to build an estimated fund of about $10 million annually, with Zone 1 assessment rising to 1.25% and Zone 2 to 1.0%. The plan also expands the TID to include short‑term residential rental hosts on platforms such as Airbnb, Booking.com and Expedia and modifies TID governance to add seats for the city administrator, the controller and a short‑term rental host representative.
Public comment included multiple hotel and lodging industry leaders who urged renewal and highlighted tourism’s prior contribution to city revenues and employment. Amy Arbuckle of the Hotel Council and general manager at the W Hotel said the TID is essential to attract conventions and recover jobs. "We need this TID to be renewed so that SF Bridal has the resources to go out and market our city and attract in this very competitive environment," she said.
The committee forwarded the renewal to the full Board with a positive recommendation; a plebiscite and public hearing process will follow as required by the TID formation and renewal rules.
