San Francisco's Mayor Daniel Lurie finalized legislation on December 23, establishing a reparations fund aimed at the city's black residents, a move that has ignited widespread discussion throughout the community. This legislation came into effect just before the Christmas holiday, drawing attention to its timing and the implications for the city's budget.
The ordinance, born out of recommendations by the city’s African American Reparations Advisory Committee in their 2023 report, does not currently assign any public funds but lays the groundwork for future allocations from either municipal or private contributors. The city’s Board of Supervisors had previously given their unanimous approval for the measure about a week before the Mayor's signing.
The committee's report from 2023 suggested that every African American adult resident in San Francisco should receive a one-time payment of $5 million. This substantial figure is justified in the report as compensation for "decades of harms" endured by the community. In addition, the report contains over 100 other recommendations, ranging from debt forgiveness to guaranteed incomes and city-funded housing for the black population.
The financial feasibility of such a proposal is contentious. The conservative-leaning Hoover Institution evaluated the plan, estimating a considerable tax burden on non-African American households in the city, potentially averaging $600,000 each.
In a statement to the Daily Mail, Mayor Lurie acknowledged the extensive discussions and efforts by the city's communities and officials. He noted the extensive groundwork laid before his tenure and expressed his support for the Board's decision despite the city's challenging fiscal situation, including a forecasted $1 billion budget shortfall.
With San Francisco facing such a significant budgetary deficit, Mayor Lurie reiterated the absence of available municipal finances to support the fund. However, he remained optimistic about sourcing private donations to make the reparations a reality, provided it could be done legally.
The passage of the legislation has not been without its critics. Conservative activist Richie Greenberg voiced his dissent on social media, labeling the initiative as "ludicrously unlawful, irresponsible, illegal, and unconstitutional." Similarly, opinion journalist Erica Sandberg criticized both the decision's timing and its unilateral nature on her Substack, contrasting it with the anti-authoritarian sentiment expressed in the recent No Kings protests.
As the city grapples with the implications of this new legislation, the conversation around reparations - and how to fund them - continues to evolve, with substantial public attention on the practicality and legality of the initiative.
