Late-night budget deal restores millions in spending

Millions of dollars of spending will go to offset cuts to health, substance abuse and other social services championed by Board of Supervisors members under a budget deal hammered out Tuesday that will also save two of Mayor Gavin Newsom’s prized programs.

Last-minute budget discussions at City Hall lead to a deal about Newsom’s proposed $6.5 billion city and county annual budget, ending in a 10-1 approval of the fiscal plan.

“It was a monumental effort,” said Supervisor John Avalos, chair of the board’s Budget and Finance Committee who along with Board of Supervisors President David Chiu helped broker the deal with Newsom. “It’s actually about a $100 million less than last year’s budget so we actually have a shrinking budget. We also have a shrinking work force.”

Heading into the Board of Supervisors’ 2 p.m. meeting Tuesday, an agreement over the budget had yet to be reached, prompting a recess at 5 p.m. for budget talks to resume. The board returned to announce the deal at 9:50 p.m. The board members were working toward a budget agreement to ensure their funding priorities are honored by Newsom.

Prior to recessing the meeting, the board had postponed votes on proposed ballot measures that Newsom and the board were battling over. Those included charter amendments Newsom has taken a stand against that would take away his control over Muni, the Recreation and Park Department and the Rent Board.

A budget agreement had been outstanding since Newsom submitted his proposed $6.5 billion budget June 1 to the Board of Supervisors for review. The board’s Budget and Finance Committee failed to reach terms with Newsom, but voted July 1 to send the budget to the full board anyway, calling it a “work in progress.”

The committee made $32 million worth of cuts and also proposed spending an additional $7 million in unexpected revenue.

As per the agreement, the cuts the committee made to two programs Newsom had prioritized and championed were restored: $260,000 for a permanent site to operate “round-the-clock” Project Homeless Connect, which provides services to the homeless under one roof periodically, and $257,000 for a Kids 2 College Savings program, which is meant to ultimately provide every student who enters kindergarten with a college savings account contributed to by The City.

Members of the board have also criticized Newsom for not supporting tax measures for the Nov. 2 ballot, which they say should be part of the budgeting process since a $483 million deficit was closed for the current fiscal year and similarly sized deficits are projected in subsequent years. The board postponed a vote on the tax measures until July 27.


Bay Area NewsBoard of SupervisorsbudgetGovernment & PoliticsLocalPolitics

If you find our journalism valuable and relevant, please consider joining our Examiner membership program.
Find out more at

Just Posted

Salesforce Tower in San Francisco, which features a comprehensive water-recycling system, on July 30, 2021. Water recycling in office buildings is seen as a promising sustainability effort, as well as a smart hedge against rising costs and future shortages. (Jim Wilson/The New York Times)
Salesforce Tower is part of a nationwide water recycling trend: Here’s how it works

By Patrick Sisson New York Times When Salesforce Tower in San Francisco… Continue reading

Folks wave from the side of a Muni cable car as it heads down Powell Street after cable car service returns from a 16-month COVID absence on Monday, Aug. 2, 2021. (Kevin N. Hume/The Examiner)
San Francisco’s cable cars return after 16-month absence

San Francisco’s cable cars are back, and they’re free for passengers to… Continue reading

An East Palo Alto resident is inoculated during a COVID-19 vaccination clinic run by Ravenswood Family Health Network at Facebook headquarters in Menlo Park on April 10, 2021. (Photo by Anne Wernikoff, CalMatters)
COVID vaccinations lag for people on Medi-Cal

By Ana B. Ibarra CalMatters Low-income Californians enrolled in Medi-Cal have been… Continue reading

Blue California often is the target of criticism by conservative media, but now is receiving critical attention from liberal writers. Pictured: The State Capitol. (Photo by Anne Wernikoff for CalMatters)
Why is California now being criticized from the left?

California being what it is – a very large state with a… Continue reading

Most Read