San Francisco Free MUNI Act

Progressive Funding for Free, Clean, and Equitable Transit

Summary

This measure establishes Free MUNI for all riders in San Francisco by funding it through progressive taxes on high-end real estate, large corporations, ride-hail services, and downtown congestion — not on working people.

Purpose

To make MUNI free and accessible to all residents, workers, and visitors in San Francisco, while reducing traffic congestion, improving air quality, and addressing economic and climate injustice.

Revenue Sources (Progressive & Legally Viable)

1. High-Value Real Estate Transfer Surtax

• Adds a 1.5% surtax on property sales over $10 million.

• Builds on Prop I (2020); affects luxury towers, hotels, commercial buildings.

• Estimated revenue: $60–100 million/year

2. Tiered Parcel Tax on Commercial & Luxury Residential

• $0 for homes under $1.5M

• $200 for homes $1.5–3M

• $600 for homes over $3M

• $1,000+ for commercial parcels

• Fully exempt: Renters, seniors, SSI/SSDI recipients

• Estimated revenue: $80–120 million/year

3. Ride-Hail Congestion Surcharge

• Adds $1–$2 fee on all solo Uber/Lyft rides during peak hours

• Exempts pooled/shared rides, disabled rides

• Estimated revenue: $25–40 million/year

4. Downtown Congestion Pricing (Pilot Zone)

• $5 charge for private vehicles entering downtown SF (Market–Embarcadero–Van Ness triangle)

• Exemptions: Seniors, disabled, low-income drivers, taxis, paratransit

• Revenue dedicated 100% to transit operations

• Estimated revenue: $60–100 million/year

5. Big Business Transit Equity Tax

• 0.25% surtax on annual gross receipts over $50 million

• Applies to corporations in finance, tech, and real estate sectors

• Exempts small businesses, nonprofits

• Estimated revenue: $75–125 million/year

Program Goals

• Eliminate all fares on Muni buses, trains, and cable cars

• Expand service frequency and late-night service

• Create free youth and senior passes for BART within SF

• Improve accessibility for disabled riders

• Hire more operators and fix reliability

Equity & Oversight

• Equity Audit Board: Majority community members from low-income and transit-dependent communities

• Annual audits & public report cards

• Funds cannot be diverted to police, jails, or unrelated departments

Estimated Annual Revenue: $300–400 million

Sufficient to cover 100% of Muni operating budget required for Free Transit.

Ballot Language (Example)

“Shall the City and County of San Francisco eliminate all Muni fares and fund free public transit through taxes on high-value real estate sales, large corporations, ride-hailing companies, and downtown traffic fees — exempting low-income residents and small businesses — to improve clean transportation, reduce traffic, and ensure transit for all?”

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Optional Add-Ons (Future Consideration)

• Tax on IPO/stock-based compensation windfalls

• Climate change parcel tax