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Small businesses could be burdened with transit fee

August 17, 2015

By  : sfexaminer – excerpt

f a 4,000-square-foot restaurant wants to expand to 8,000 square feet, a newly proposed city fee for transit funding could add an additional $16,000 onto the project costs.

That’s just one example of how a proposed Transportation Sustainability Fee would impact small businesses under San Francisco’s effort to have development generate more than $400 million for transit spending during the next 30 years.

The Small Business Commission was largely supportive of the proposed Transportation Sustainability Fee during a meeting this week.

But some expressed concerns for some of the ways that would trigger the fee. A small business that expands beyond 5,000 square feet would have to pay the fee on the expansion square footage…

The current transit impact fee only applies to nonresidential development and construction of production, distribution or repair space (PDR). Those fees are set at between $13.87 to $14.59 per gross square foot for nonresidential and $7.46 per gross square foot for PDR.

Under the proposed new fees, residential development would have to start paying into transit needs. The fee would be $7.74 per gross square foot for residential development. Nonresidential development would increase to a flat $18.04, and PDR would increase slightly to $7.61.

The fees can be triggered in cases where there is a change in space usage in excess of 5,000 square feet, such as from PDR to a restaurant… (more)

This is a questionable fee increase. We need a lot of information. Where is the money going? It all seems to go down a large hole that turns into higher number of city employees, most of whom commute in, and more crowded streets and Muni systems. No money ever goes to maintaining the systems, just planning and building them.

One Comment leave one →
  1. August 17, 2015 12:43 pm

    Reblogged this on Meter Madness.


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