San Francisco’s mayor is asking municipal departments to find significant savings as the embattled city braces for a $728 million budget deficit, predicted for the next two fiscal years.
With some of the lowest office occupancy rates in the country, thanks to the tech companies that make the city’s lifeblood retreating to remote work, San Francisco has seen residents move to the suburbs – pushed also by rising crime.
The city’s income from property taxes and office rates has plummeted, causing sleepless nights in City Hall.
London Breed, the mayor, on Thursday asked municipal departments to identify ways to reduce costs by 5 percent in the next fiscal year and by 8 percent in the year after that.
‘We know the challenges facing San Francisco are significant, and we have a lot of work ahead of us to maintain the city’s recovery efforts,’ Breed said in a statement.
‘As we work to close this deficit, it will require tough choices and real tradeoffs.’