San Francisco weighs controversial budget cuts to close $634M deficit
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San Francisco is in the midst of a bruising budget season, with city departments cutting programs, laying off workers and scaling back essential services to close a growing deficit.
The big picture: The city faces a projected $634 million shortfall over the next two fiscal years, prompting Mayor Daniel Lurie to instruct departments to find at least $400 million in savings through layoffs, program cuts and reductions in personnel expenses.
State of play: The deepest cuts target public health, housing and workforce programs, with tens of millions slashed from community services and staffing across departments.
- The Department of Public Health faces roughly $62 million in reductions that could lead to the closure of three community health clinics: the Cole Street Youth Clinic, Michael Baxter Larkin Street Youth Clinic and Southeast Mission Geriatric Clinic.
- Other cuts include at least $13.9 million to nonprofits providing affordable housing, rental aid and homebuying assistance; $32.5 million from workforce development programs like job centers; and $3.1 million affecting senior and disability services.
- Environmental, legal aid and youth programs are also at risk.
Between the lines: At a press conference ahead of a committee hearing on Wednesday, a coalition of advocates warned the cuts would fall hardest on low-income families and immigrants, urging supervisors to restore funding.
- "The city does not have the capacity to meet the needs of low-income families without the programs now on the chopping block," Anya Worley-Ziegmann, a coordinator at The People's Budget Coalition, which represents 150 community-based groups, said in a statement.
The other side: Lurie has defended the cuts as necessary to address the deficit, calling them "incredibly painful" but required to avoid deeper financial problems in the future.
What's next: Lurie will release the proposed budget on June 1 and the Board of Supervisors will finalize it by June 30 before going into effect on July 1.