Business tax weighed to clear South City traffic

Councilmembers admired the bold nature of Futrell’s proposal during a study session Thursday, Feb. 28, but suggested more time is necessary to dissect the initiative blanketing the area where the city’s humming biotech sector calls home.

“I think I need to have a real discussion to get into the meat of this thing,” said Vice Mayor Rich Garbarino, according to video of the meeting, while also appreciating the work committed by city staffers into developing the plan.

Councilman Mark Addiego shared a similar perspective.

“I want another study to grill staff on this,” he said, while complimenting Futrell’s thorough presentation, which also served as the initial opportunity for officials to publicly discuss the matter.

The potential tax, which would require supermajority support from property owners inside district boundaries, could raise money for the $356 million worth of transportation improvements identified.

The work is badly needed to fix the gridlock which forms each work day throughout the Bayfront area generally spanning from San Francisco International Airport to Oyster Point Marina, said Futrell.

He said the proposed tax district is an innovative way to seek funding and accountability from the major employers which are attracting the nearly 28,000 workers commuting to South San Francisco.

“It is voluntary. We are asking them to put up their money to fix the problem caused by the jobs east of 101,” said Futrell.

Over the years, congestion grew worse as the life sciences industry continues to thrive, said Futrell, and with no sign of slowing on the horizon, officials expect another 30,000 workers to flock to the area by 2040.

Much of the problem stems from nearly 80 percent of the workers in the area commuting by driving alone, resulting in packed streets, overwhelmed intersections and a variety of other frustrations.

So many prefer to drive because, even with South San Francisco’s BART and Caltrain stations, a deficiency exists is connecting the city’s public transportation hubs to the job center along the Bayshore, said Futrell.

“We’ve heard about the last-mile problem for years. People talk about it all the time. This investment would solve it,” said Futrell, of the roughly $90 million proposed to improve connectivity to train stations and fix bicycle and pedestrian access issues. There’s an additional $35 million proposed in improvements to the east side of the city’s new Caltrain station as well.

The tax revenue would also finance projects designed to clear traffic congestion too, by creating a new $100 million overpass connecting to Highway 101 at Utah Avenue, adjacent to the Genentech campus.

The money raised could pay toward construction of a flyover connecting to Interstate 380 as well, which Futrell said could be help some commuters avoid needing to connect with Highway 101 or cut through city streets to reach the Bayshore.

Futrell noted the $130 million project would require substantial amounts of engineering and environmental clearances, but suggested it would go far to addressing significant traffic problems.

“There is a lot of promise with this,” he said. “It’s a very exciting project.”

To raise the capital needed, Futrell said property owners would be required to pay according to the amount of office space built on each site. On average, property owners would need to pay about 8 cents per month per square foot of development should the initiative pass. Such a contribution would raise about $20 million annually.

To build support for the initiative, Futrell said he has met with dozens of property owners in the area and an overwhelming majority suggested they would vote in favor of the tax.

Most notably, Futrell said Genentech, which owns about 20 percent of the land bounded in the proposed district, supported the proposal while helping design the vision for the tax as well as the capital improvements which could be financed.

He said a series of discussions will continue with property owners and city officials, in advance of a proposal before councilmembers this summer to float the tax.

“We are really in the early stages of this,” said Futrell.

Addiego though said he would need more information and discussion on the matter before making a decision.

“For me to sign on, I need to hear from my colleagues,” he said.

austin@smdailyjournal.com

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