Local Economic Stimulus Package Announced

Mayor Newsom Announces San Francisco's Local Economic Stimulus Package

02/11/09 - Today Mayor Gavin Newsom unveiled the details of his five-part plan for stimulating and supporting the local economy.

"Today we face extraordinary challenges, but among those challenges is the risk of being consumed solely by the crisis at hand," said Mayor Newsom. "We must continue to think strategically and continue to invest in the people, infrastructure and businesses that will pull our economy out of this decline."

The five-part economic plan includes: (i) accelerating capital spending, (ii) investing in local businesses, (iii) reducing the burdens local government places on local businesses, (iv) supporting our workforce and (v) attracting more foreign investment to San Francisco.

Since the initial announcement of the five-part plan in October, the City’s economic condition has worsened. The updated strategy details, and in some cases expands, the City’s efforts to implement those key strategies. These implementation strategies both build on existing economic development programs and launch a number of major new initiatives, including:

  • Granting local businesses a New Jobs Payroll Tax exemption for two years. Businesses will not have to pay payroll tax on any increase in non partnership payroll over 2008 levels for two years. This means new businesses coming to San Francisco in 2009 and 2010 will not pay any local payroll tax until 2011.
  • Amending the City’s Public Works Code to further expedite billions of dollars of already funded local infrastructure projects and to make it easier for local companies to work on those projects;
  • Directly providing over $23 million in no-interest loans to local businesses;
  • Granting local businesses a tax credit on new, locally purchased equipment;
  • Providing an offset for qualifying small businesses who are participating in Healthy SF;
  • Launching a business assistance strategy specifically directed to Spanish-speaking businesses;
  • Building on the success of "Homeless Connect" by launching a series of new "Job Connect" events that include job fairs and workforce assistance and counseling;
  • Opening the a "one-stop" workforce center for the unemployed in the Western Addition;
  • Expanding the City’s "Bank on San Francisco" program to include financial literacy;
  • Expanding the scope of the "Working Families Tax Credit" program;
  • Expanding the successful "Shop SF. Get More" and "Staycation" holiday marketing campaigns;
  • Expanding the City’s successful Neighborhood Marketplace Initiative ("NMI") and Community Benefit District ("CBD") programs to support even more neighborhood commercial corridors;
  • Expanding the scope and reach of existing state and federal tax credit programs; and
  • Providing free space to local artists in vacant storefronts.

Posted on February 11, 2009 | The comments to this entry are closed.