Downtown San Francisco Businesses Place Tax on Themselves to Help Pay for Clean Streets
Here’s some interesting news from San Francisco, businesses in some districts are actually taxing themselves. It’s something that is not often heard of, landlords and businesses embracing the idea of paying more taxes. What exactly are these self imposed taxes paying for? They’re paying for more street cleaning, trash collection, power washing, and all around street beautification. The landlords and businesses are doing this to help attract tenants and customers, which is difficult to do in parts of San Francisco due to the homelessness crisis.
In July, the San Francisco Board of Supervisors unanimously approved the city’s newest commercial benefit district (CBD) located in Downtown San Francisco. The CBDs are special zones where primarily commercial property owners elect to tax themselves to pay for additional services. These CBDs are essentially stepping in to fill the gaps in services that the city is failing to adequately provide. The Downtown Community Benefit District, covering 669 parcels on 43 blocks, is one of the largest in the city and it will raise almost $4 million annually. Maybe other cities in California will begin to implement CBDs to deal with their homelessness issues.