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Commission backs extension of 'First Year Free' fee-waiver program through June 2026

San Francisco Small Business Commission · March 24, 2025
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Summary

The commission supported Board of Supervisors file 250259 to extend the First Year Free program that waives first-year permit and registration fees for qualifying small businesses through June 30, 2026; staff reported nearly 9,500 enrollments and about $5 million in waived fees to date.

The Small Business Commission voted March 24 to support a Board of Supervisors ordinance to extend the First Year Free program through June 30, 2026, a program that waives initial business-registration, license and certain permit fees for qualifying small businesses.

Director Tang said First Year Free began in November 2021 and that nearly 9,500 businesses have enrolled, with roughly $5 million in fees waived so far. She described the program’s eligibility (commercial use, under $5 million in gross receipts, not home-based or short-term rental) and displayed department-level breakdowns showing most fee waivers are for building permits and related Department of Building Inspection fees. Tang said examples of beneficiaries include Casa Guadalupe, Running Wilder and several Polk and Castro businesses; she also said the Office of Economic and Workforce Development may apply commercial-vacancy tax revenue toward program funding in future budgets.

Commissioners supported the extension and asked about recourse for businesses that were eligible early in the program but were not initially granted fee waivers; Tang said staff will review those cases and seek refunds where appropriate. Commissioner Ortiz moved to support Board of Supervisors file 250259 and Commissioner Benitez seconded; roll call recorded unanimous yes votes (one commissioner absent). The motion passed.

Next steps: The commission’s recommendation will accompany the Board file; staff will continue outreach to ensure eligible businesses receive retroactive assistance where applicable and will monitor budget options to sustain the program.