Amid a massive deficit, the SFMTA Board of Directors yesterday unanimously approved a two-year operating budget, but whether it holds depends on voters this November.

The big picture: The agency's budget for the next two fiscal years staves off immediate service cuts and bridges a major deficit, yet long term financial stability hinges on whether two crucial funding proposals pass in the fall.

• Those ballot measures include a local parcel tax and a regional five-county half-cent sales tax that could both generate about $300 million for Muni annually.

Driving the news: The SFMTA Board of Directors approved a $1.5 billion operating budget for fiscal year 2026–27 and $1.6 billion for 2027–28.

• The plan closes deficits of $307 million in the first fiscal year beginning this July and $344 million in the second.

Yes, but: SFMTA's financial problems are far from resolved, with the structural deficit still expected to grow to $434 million by 2030.

• If voters reject the proposed tax measures, transit officials warn the system could face major service reductions, including the elimination of up to 20 Muni lines, longer wait times and regular service ending at 9pm.

Threat level: "Everyone... who lives or works in San Francisco will be impacted without new transportation funding," SFMTA spokesperson Parisa Safarzadeh said in a statement. "Traffic will increase, parking will be more difficult and commutes will be longer."

Between the lines: The agency will also cut operational costs, eliminate vacant positions and implement higher transit fares and parking rates to help close the gap.

• The plan keeps paratransit service running and maintains free and discounted Muni fares for youth, seniors and people with disabilities.

What they're saying: "While we do not agree with every decision, we appreciate that this budget protects the core of what riders depend on," Dylan Fabris, community and policy manager at the advocacy group San Francisco Transit Riders, said in a statement.

• "Preserving Muni service, maintaining discount programs for those who need them most and introducing fare capping are meaningful wins in a very difficult financial moment."

What's next: Mayor Daniel Lurie is expected to include the SFMTA budget in his May 1 budget proposal to the Board of Supervisors.

Tell a Muni rider

Seeing "The Two Towers" — my favorite Lord of the Rings film — on the big screen as Symphony San Jose played the soundtrack live remains one of my all-time favorite musical experiences.

• You too can experience that same kind of magic with the San Francisco Symphony and Chorus, which is set to perform composer Howard Shore's Oscar-winning score to a screening of "Return of the King."

If you go: Shows are at 7:30pm on April 30 and May 1, with a 2pm matinee on May 2. Tickets start at $375.

• Grab your spot before it sells out. One does not simply wait until the last minute.

💔 Festa — our favorite karaoke bar in Japantown — is closing at the end of the year after two decades due to the landlord deciding not to extend the lease. (SF Standard)

• 😢 Where else can we go sing karaoke until 2am on a random Tuesday?

🚫 Alcatraz will be closed to visitors for the rest of the week to undergo repairs at its dock. (SFGATE)

🫖 The SF Standard is launching a new gossip column about the city's high society. (KTVU)

🏥 Kaiser Permanente has proposed converting its medical center at 2425 Geary Blvd. into a brand new hospital by 2033. (SF Chronicle)

🚍 Four people were hospitalized with non-life threatening injuries after a Muni bus and vehicle collided near 17th and Mission streets this week. (KRON 4)

🍎 Tim Cook will step down as Apple's CEO in September after 15 years. John Ternus, the company's senior vice president of hardware engineering, will succeed him. (SF Chronicle)

I felt like I was transported back in time when I recently stepped inside High Horse in Jackson Square.

• This cocktail bar takes its name from the horse stable that once stood on its grounds.

👏 Shoutout to readers Evan G. and Michelle A. for being the first ones to get it right!

Fun fact: Head downstairs to the lounge and see a piece of San Francisco's maritime history — the original Yerba Buena Cove seawall.

What to try: The Vagabond ($12), made with El Silencio Mezcal and Montenegro amaro, has a spicy-sweet finish and was a hit among my friends.

• The Pisco Punch ($14), a signature San Francisco drink dating back to the heyday of the historic Bank Exchange bar, is also a crowd favorite.

If you go: Hours vary. Open Monday-Saturday at 582 Washington St.