Revenue Enhancement Analysis/Advisory Services

General work description: Advise the City of South San Francisco (City) on potential revenue enhancement options. For each option, prepare analysis of what the potential financial impact would be. Include in the analysis the tax rates for other local cities in the San Francisco Bay Area (with a focus on those located in San Mateo County) and how each of the potential revenue enhancement options have fared with other local government agencies in the area over the last 20 years of elections.

The City's General Fund has a growing structural deficit for the foreseeable future due to expenditures growing at a faster pace than revenues. While South San Francisco voters approved an amendment to the City's business license tax in November 2024, the projected additional revenue will not solely resolve the General Fund structural deficit.

In order to avoid service level reductions, the City will need to consider additional revenue enhancement. The options will include, but not be limited to, an additional transactions and use tax (which will require a legislative exemption), real property transfer tax (which will require the city to shift from a General Law city to a Charter City), utility users tax, and parcel tax.