
The mayor’s budget proposes reducing support for Free City College to fund tax cuts and increased policing. The plan would divert money approved by voters to different priorities and would conflict with a ten-year Memorandum of Understanding signed with City College in 2017. Free City College originated from a 2016 ballot measure that slightly raised a transfer tax on property sales above $5 million. Voters were told the revenue would provide free tuition for needy city residents and cash grants for books, food, rent, and other student expenses. State law requires a two-thirds vote for dedicated taxes, so supporters rely on general taxes when earmarks are not possible. Prior leaders redirected housing and City College funds, but Lee and Kim created a deal designating about $16 million for Free City College with oversight to ensure funds reach students. The program has enabled thousands of students to access tuition and support, and current full funding needs are estimated at about $11 million.
"The mayor wants to cut support for the Free City College program. It's yet another example of the city's chief executive diverting money that was approved by the voters to other priorities. It's also a violation of a ten-year Memorandum of Understanding that San Francisco signed with City College in 2017. Free City College has its roots in a 2016 ballot measure, spearheaded by then-Sup. Jane Kim, that slightly raised the transfer tax on properties selling for more than $5 million."
"Under state law, any tax that is dedicated to a specific purpose requires a two-thirds vote of the people. A general tax, with no earmarks, can pass with just a simple majority. So supporters of taxes for things like free City College tuition and affordable housing have no choice but to propose general taxes, and hope that the mayor abides by what the voters intended. Former Mayor London Breed refused to spend money the voters approved for affordable housing; she put that revenue elsewhere."
"But Lee and Kim cut a deal. The city would fund free tuition, and an oversight body would make sure it went to the right place (to the students, not to City College administration). Some $16 million in transfer tax money was designated for Free City College. That's worked miracles. Thousands of students have taken advantage of what many testified today was a life-changing program. It's really cheap: Full funding at this point requires only about $11 million, City College officials told the Budget and A"
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