San Francisco
Prop CContributions to the Housing Trust Fund
Watch the backstory
Read the transcript
In November 2012, San Francisco voters created the Housing Trust Fund.
This November, Prop C asks to raise the City's payments to it. Why now?
The Charter set the City's yearly payment at 20 million dollars in 2013, rising to 50.8 million in 2024.
Builders of new market-rate projects with 10 or more homes must include some affordable homes, build them elsewhere, or pay a fee. A 2026 Controller study found that, in the current market, none of the financial models it tested could support any.
In May 2026, Mayor Lurie and Supervisor Melgar announced this measure. City leaders also proposed changing those rules.
If Prop C fails, the rules voters passed in 2012 stay in place. The Housing Trust Fund keeps getting about 52 million dollars a year from the General Fund, an amount that moves up or down with City revenue.
Under those rules the Fund ends in 2043. We found no City plan listing housing cuts if Prop C fails.
Supporters say the Fund is set to expire. Opponents say it has failed, and that a new affordable home costs close to 1 million dollars.
Planning reports over 12,600 affordable units in 59 projects in pre-construction, waiting for funding. The Budget and Legislative Analyst counts 10,148 units in the City housing offices' pipeline, with 5,630 in pre-construction, counting only units highly likely to be built. No official source estimates how many homes Prop C's added money would fund.
The Controller projects payments would reach about 125 million dollars a year by 2034-35, about 60 million more than under current law. That assumes the City does not freeze or cut payments, which it could do in deficit years.
It passes if more than half of the votes are YES.
The Controller projects Prop C would increase the existing Housing Trust Fund spending mandate and extend it to 2058. A spending mandate is a voter rule that sets spending without naming a new source of money.
The Controller estimates it adds about 6 million dollars in General Fund costs in 2028-29, growing to about 60 million by 2034-35.
On July 14, 2026, supervisors voted 11 to 0 to put it on the ballot.
A YES vote, starting in 2028, grows payments with City revenue until they reach 125 million dollars a year, then by up to 3 percent a year, until 2058. The City could pause or cut payments in deficit years.
A NO vote changes nothing, and the Fund ends in 2043.
Sources and the full analysis are at ballotbackstory.org.
Ballot Backstory. Why is this on my ballot?
What your vote does
A YES vote means
Housing Trust Fund payments rise to $125 million, then up to 3% yearly until 2058, with pauses or cuts allowed. Downpayment loans reach higher incomes. 3
A NO vote means
No changes. The City contributed $50.8 million to the Fund last year, per the ballot digest. The Fund is set to expire in 2043. 3
Both ovals are empty on purpose. The choice is yours.
Shall the City amend the Charter to change how the City’s annual contributions to the Housing Trust Fund are set, increase funding and expand programs for affordable housing, and extend the Fund to 2058?
This is the exact wording from the official voter guide.
If it fails
Timing: from July 2028
If Prop C fails, the rules voters passed in 2012 stay in place. The Housing Trust Fund keeps getting about $52 million a year from the General Fund, moving up or down with City revenue. The Fund ends in 2043. 9168
- Under current law, the Controller says the Mayor's proposed budget meets required payments of $53.8 million in FY 2026-27 and $53.3 million in FY 2027-28. That is after a $3.52 million yearly repayment, made for five years from FY 2023-24. It projects about $65 million in FY 2034-35. 234
- In March 2026, the Controller and two City budget offices projected General Fund gaps. They were $741.7 million in FY 2028-29 and $1,088.6 million in FY 2029-30. The Controller's June 2026 preliminary review of the Mayor's proposed fixes found a likely FY 2028-29 gap of about $450 million. 211923
- This guide found no City plan listing housing cuts if Prop C fails. If the Controller's new revenue estimate falls below the budget, the Charter lets the Board of Supervisors lower the payment by ordinance, by no more than the same percentage as the revenue shortfall. 17
- Supporters argue the Fund that helps families is set to run out; the Controller says it now ends in 2043. Opponents argue the Fund has failed and a new affordable unit costs close to $1 million. Planning puts it near $1 million per two-bedroom unit. 6418
- Planning reports over 12,600 affordable units in 59 pre-construction projects awaiting funding. The Budget and Legislative Analyst reports 10,148 units in the City housing offices' pipeline as of February 2026, 5,630 in pre-construction. It says those offices count only units highly likely to be built; Planning's count is broader. 1816
- No official source estimates how many homes Prop C's added money would fund. Opponents argue nothing in Prop C requires a single new unit to be built. 6
- The Controller says Prop I would move about $120 million a year from the General Fund to a House SF Fund for specific affordable housing programs. It says J could average $100 million to $150 million a year over its first five years: unpredictable, foreclosure-driven, likely falling. 1922
- Not known: whether Prop I's stated intent to prevail over conflicting housing funding measures, as far as law allows, covers Prop C, or how C failing affects builders' on-site affordable housing rules. A Controller's advisory group urged 5% if a funding measure made the ballot by July 2026, else 10%. 2010
Why it’s on the ballot now
Voters created the Housing Trust Fund in November 2012. The City committed to a yearly payment of $20 million in 2013, rising to $50.8 million in 2024. 7
Under current law, the Fund ends in 2043. The Controller projects the required yearly payment would be about $65 million in 2034-35 without Prop C. 34
Builders of new market-rate housing projects with 10 or more homes must include some affordable homes, build them off-site, or pay a fee. An April 30, 2026, Controller study found none of the financial models it tested could support any. 10
The study's advisory committee urged a 5% on-site affordable requirement if a consensus measure creating a long-term, recurring affordable housing funding source reached the November 2026 ballot by July 2026, and 10% if not. 10
On May 19, 2026, Mayor Lurie and Supervisor Melgar announced this Charter amendment. City leaders also introduced a plan to change those affordable-housing requirements. 9
How we got here
Voters create the Housing Trust Fund
In November 2012, San Francisco voters passed Proposition C, a Charter amendment that created the Housing Trust Fund. 7
Yearly payments begin
The City committed to paying $20 million in 2013, adding $2.8 million each year until reaching $50.8 million in 2024. After that, payments move with General Fund revenue until 2043. 7
Affordable-housing rules for builders cut for now
After a 2022-23 study, the Board passed Ordinance 201-23. It temporarily lowered the affordable homes and fees required of projects, both those already approved and new ones. Those cuts are due to expire November 1, 2026. 10
Voters pass rental subsidy fund
In the November 5, 2024, election, voters passed Proposition G, a separate Charter amendment funding rental subsidies for affordable housing serving low-income seniors, families and people with disabilities. 11
Controller study on builders' affordable-housing rules
The Controller's study found none of the market-rate project models it tested could support any required affordable homes. Its Technical Advisory Committee unanimously urged a 5% requirement if a consensus measure for long-term, recurring housing funding reached the November 2026 ballot by July 2026, and 10% if not. 10
Mayor and Supervisor announce the measure
Mayor Lurie and Supervisor Melgar proposed raising the City's yearly payment, using part of future property tax growth, until it reaches $125 million. 9
Board places Prop C on the ballot
The Board of Supervisors voted 11 to 0 to place Proposition C on the ballot. 5
Prop C: Contributions to the Housing Trust Fund
The money
The Controller estimates extra General Fund costs of about $6 million in 2028-29, rising to about $60 million a year by 2034-35. Payments may be frozen if a projected deficit tops $250 million, or cut up to 10% in Rainy Day Reserve years. The estimates assume neither. Neighborhood improvement grants would be replaced by housing-related infrastructure spending. 43
- Amount
- About $125 million a year by 2034-35 (about $60 million more than current law)
- How long
- Higher payments start in 2028; the Fund lasts until July 1, 2058 (instead of 2043)
- Who pays
- No new tax or fee is named. The money comes from the City's General Fund, leaving less for the Mayor and Board of Supervisors to spend on other things in the yearly budget. Supporters say Prop C does not raise anyone's taxes because it reallocates money the City already collects. 46
- Vote needed to pass
- Needs a simple majority (50% + 1) to passSome measures need 55% or two-thirds of votes to pass. This one needs only a simple majority.
It passes if more than half of the votes are YES (50% plus 1). 2
Locked-in budget
Voter-required spending rules currently total about $2 billion, or 30%, of about $7 billion in General Fund sources. About $50 million was budgeted for the Fund in 2024-25. The Controller says Prop C does not follow a non-binding City policy that seeks to limit such rules. 4
Who bears the cost
Taxpayers (households and businesses)No new cost
If it passes
- The Controller projects Prop C would increase the existing Housing Trust Fund spending mandate and extend it to 2058. A spending mandate is a voter rule that sets spending without naming a new source of money. 4
- Supporters say it uses money the City already collects. Opponents call it taxpayer dollars spread across a broader mission. 6
The City's General Fund (money the Mayor and Board budget each year)
What they already pay
- The Controller says voter-required spending rules already take about $2 billion, or 30%, of about $7 billion in General Fund sources. The Housing Trust Fund payment is one of these rules. 4
- About $50 million was budgeted for the Housing Trust Fund in FY 2024-25, the Controller says. The Mayor's proposed FY 2026-27 budget has $7.6 billion in General Fund sources. 423
- The Charter counts Housing Trust Fund payments as less City revenue when setting other required budgets tied to that revenue. This guide found no estimate of how much a larger payment would lower them. 17
If it passes
- The Controller estimates Prop C adds about $6 million in General Fund costs in FY 2028-29 and $13 million in FY 2029-30. The added cost grows about $9 million a year, to about $60 million by FY 2034-35: a $125 million total versus about $65 million under current law. 4
- The City could freeze the payment when it projects a deficit over $250 million (a limit adjusted yearly), or cut it up to 10% in years it may use its Rainy Day Reserve. Each freeze or cut is a yearly budget choice by ordinance; the Controller's figures assume neither. 43
- Prop C also extends the payments by fifteen years, from 2043 to 2058. The Controller says this money would otherwise be available in the General Fund, and that Prop C does not follow a non-binding City policy meant to limit such spending rules. 4
Promised and delivered
SF Prop C (2012)
Promised
Payments of $20 million in 2013, growing to $50.8 million in 2024. Uses: affordable homes for households earning up to 120% of area median income; $15 million in down payment help for moderate-income buyers and first responders; help for eligible households to avoid foreclosure or eviction or make homes safer; and neighborhood improvements. 7
Delivered
The City housing office reports the Fund spent about $270 million through June 30, 2023. With other money, it supported 27 buildings with more than 2,295 homes from 2014 to 2018, and 32 buildings with more than 1,350 homes from July 2018 to June 2023. The neighborhood grant program has not been funded since 2019-20. 847
Who’s behind it
How it got on the ballot: Board of Supervisors
On July 14, 2026, the Board of Supervisors voted 11 to 0 to place Prop C on the ballot. 5
Where the support comes from
Placed by who endorsed it and who funded it, not by our opinion. How we place measures
Groups from both coalitions recommend Yes on Prop C: progressive coalition groups San Francisco League of Pissed Off Voters and Harvey Milk LGBTQ Democratic Club, and moderate coalition groups GrowSF and San Francisco Chamber of Commerce. The San Francisco Democratic Party, SPUR and YIMBY Action also recommend Yes, and the San Francisco Republican Party recommends No. The largest donors to committees supporting Prop C include NPH Action Fund Political Issues Committee and OpenAI OPCO, LLC. No committee opposing Prop C has reported contributions. 14121315
Endorsements
| Group | YES | NO | Neutral |
|---|---|---|---|
| Progressive slate | |||
| San Francisco League of Pissed Off Voters | Yes | ||
| Harvey Milk LGBTQ Democratic Club | Yes | ||
| Moderate slate | |||
| GrowSF | Yes | ||
| TogetherSF Action (now Blueprint SF) | No position | ||
| San Francisco Chamber of Commerce | Yes | ||
| Political parties | |||
| San Francisco Democratic Party | Yes | ||
| San Francisco Republican Party | No | ||
| San Francisco Green Party | No position | ||
| Other groups | |||
| SPUR | Yes | ||
| League of Women Voters of San Francisco | Yes | ||
| YIMBY Action | Yes | ||
| San Francisco Women's Political Committee | Yes | ||
| Alice B. Toklas LGBTQ Democratic Club | Yes | ||
| Edwin M. Lee Asian Pacific Democratic Club | Yes | ||
Follow the money
YESTop donors
- NPH Action Fund Political Issues Committee$719.7K
Who is this?
A committee of the NPH Action Fund. The Fund is affiliated with a group that says it has advocated for Bay Area affordable housing since 1979. 12
Their stake
A ballot committee sponsored by the NPH Action Fund paid to print arguments for Prop C. Prop C would add funds and programs for affordable housing. 34
From public records, not their own explanation.
- About Us – NPH
- NPH ACTION FUND PRESS RELEASE: AFFORDABLE HOMES TOP PRIORITY FOR BAY AREA VOTERS – NPH
- Ballot Simplification Council digest of Proposition C, SF Voter Information Pamphlet, Nov 3, 2026, p. 78
- Paid arguments on Proposition C (not checked for accuracy by any official body), SF Voter Information Pamphlet, Nov 3, 2026, p. 82-83
- OpenAI OPCO, LLC(Ann O'Leary)$250K
Who is this?
OpenAI is an AI company based in San Francisco. It makes AI models, such as the GPT series of language models. 1
- Michael Moritz$200K
- The Related Companies/
William Witte$200K - San Francisco Apartment Association Issues PAC$191K
- SF Forward Sponsored By San Francisco Chamber Of Commerce$185K
Who is this?
SF Forward is the PAC of the San Francisco Chamber of Commerce. The Chamber's website says SF Forward supports and opposes ballot measures and issue campaigns. 1
What they’ve said
- 555-575 Market Owner, LLC(Responsible Officer: Greg Flynn)$100K
- Kilroy Realty, LP & Affiliated Entities$100K
- The Prado Group, Inc.$75K
- Core Urban Holdings LLC And Affiliated Entities((Responsible Officer: Kevin Verdi) )$63.5K
- The top 5 donors gave 41% of this side’s money.
- 25% came from outside San Francisco.
- 6% came from outside California.
- Independent spending (not controlled by the campaign): $25K
Committees: Yes on C - San Franciscans for Affordable Homes, sponsored by the NPH Action Fund; Yes on C, No on I, SF for Accountability in Housing
- Yes on C - San Franciscans for Affordable Homes, sponsored by the NPH Action Fund: includes $60,000 of 24-hour late contributions (Form 497) dated after its latest Form 460 period ended 2026-10-17.
- Yes on C, No on I, SF for Accountability in Housing: includes $684,899 of 24-hour late contributions (Form 497) dated after its latest Form 460 period ended 2026-10-17.
- YES side independent expenditures (Form 496) of $24,976, mostly by: GrowSF Voter Guide $10,884; SPUR - San Francisco Bay Area Planning & Urban Research Association $5,823; Build Affordable Faster California, sponsored by Tenants and Owners Development Corp. $4,261. These are separate from, and not included in, total_raised.
- Yes on C, No on I, SF for Accountability in Housing is a multi-measure committee (also: No on I). Its filings don't divide money by measure, so its full total and donors are shown on every measure it covers; do not add the measures' totals together.
- No opposing committee has filed campaign statements for this measure as of this refresh.
- Totals are contributions reported on Form 460 (Schedule A monetary, C non-monetary, loans) plus Form 497 late reports, from Jan 2025 or the committee's 2026 start; amended filings replace the original. Unitemized gifts under $100 are in totals but not in donor lists or geography shares. Outside-SF/CA shares use itemized gifts only.
- Source cutoff: the SF Ethics Commission data on DataSF was loaded 2026-10-27 and includes filings received through 2026-10-26. as_of is the latest filing from this measure's own committees, which can be earlier.
- Committees from the June 2, 2026 election (Props A–D on business taxes, term limits and the earthquake bond) are not counted. See pipeline/config/money_committees.yaml for each exclusion.
Sources: SF Ethics Commission campaign finance transactions (DataSF pitq-e56w) · SF Ethics Commission campaign finance summary totals (DataSF 9ggq-m8hp) · SF Ethics Commission campaign filers (DataSF 4c8t-ngau)
The strongest case for and against
Each side’s best argument, written as its supporters would make it. Neither is our view.
Strongest case for
Supporters, including Mayor Daniel Lurie and Supervisor Myrna Melgar, say rents and home prices have climbed faster than paychecks, pricing out teachers, nurses and families. They call the Housing Trust Fund the City's foundation for affordable housing for over a decade. In a rebuttal, Melgar and others say it is set to run out. They say Prop C renews it through 2058 and raises yearly funding to $125 million without raising anyone's taxes. They say funding grows only when City revenue grows, and the City can pause or cut payments during a real budget deficit. They say the Board placed it on the ballot unanimously and that labor and housing advocates support it. 6
Strongest case against
The San Francisco Republican Party argues the Fund, created in 2012, has failed, while the cost to build one affordable unit has roughly doubled to close to $1 million. They say Prop C doubles the Fund, locks it in for 30 more years and stretches it thinner. It raises the homebuyer income limit from 120% to 200% of median income, which they say is up to $402,000 for a family of four. It also lets the Board change that limit by ordinance, which they say means it could be raised again anytime with no vote of the people. They say it sets no unit target, cost limit per unit or benchmark. 63
Sources
Every fact on this page links to one of these sources.
- Official ballot question, Proposition C (en edition), SF Voter Information Pamphlet, Nov 3, 2026, p. 78
- Vote threshold for Proposition C, SF Voter Information Pamphlet, Nov 3, 2026, p. 78
- Ballot Simplification Council digest of Proposition C, SF Voter Information Pamphlet, Nov 3, 2026, p. 78
- Controller's Statement on Proposition C, SF Voter Information Pamphlet, Nov 3, 2026, p. 79
- How Proposition C got on the ballot (Dept. of Elections), SF Voter Information Pamphlet, Nov 3, 2026, p. 79
- Proponent's and opponent's arguments and rebuttals on Proposition C, SF Voter Information Pamphlet, Nov 3, 2026, p. 80-81
- Housing Trust Fund Report (MOHCD, 2024)
- Housing Trust Fund Five-Year Report 2018-2023 (MOHCD)
- Mayor Lurie, Supervisor Melgar announce transformative funding for affordable housing (sf.gov)
- Inclusionary Housing Triennial Economic Feasibility Report 2026 (SF Controller)
- Board of Supervisors Resolution 612-24, declaration of Nov 5, 2024 election results
- SPUR: recommendations for the November 3, 2026 election
- YIMBY Action: recommendations for the November 3, 2026 election
- How endorsers line up on Prop C: this guide's coalition groupings (endorsement method 1.0, data as of 2026-10-27)
- Campaign finance filings as of 2026-10-26 (compiled by this guide from SF Ethics Commission campaign finance transactions (DataSF pitq-e56w); data/money/sf-2026-11-c.json, main@0dcbec8)
- Budget and Legislative Analyst: Financing Affordable Housing in San Francisco (June 5, 2026)
- SF Voter Information Pamphlet, Nov 3, 2026 (full text; Prop C legal text on printed pp. 187-190, which shows deleted and added Charter text without strike/underline formatting)
- SF Planning: Affordable Housing Sites Analysis and Strategies, Final Report (December 2025)
- Controller's Statement on Proposition I, SF Voter Information Pamphlet, Nov 3, 2026, p. 133
- Legal text of Proposition I, SF Voter Information Pamphlet, Nov 3, 2026, p. 233-239
- Five-Year Financial Plan Update FY 2026-27 through FY 2029-30 (March 2026), Controller/Mayor's Budget Office/BLA
- Controller's Statement on Proposition J, SF Voter Information Pamphlet, Nov 3, 2026, p. 144-145
- Controller's Revenue Letter, FY 2026-27 and FY 2027-28 Proposed Budget (June 9, 2026)