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Measure RTM Explained: The Sales Tax To Save Public Transit

The measure would introduce a one-cent sales tax in five counties for the next 14 years.

An illustration of public transit vehicles.
A proposed sales tax measure across five counties would provide about $1 billion for public transit over 14 years. | Alex Mullaney/Ingleside Light

Regional Measure RTM would introduce a sales tax across five Bay Area counties to fund public transit systems, including BART, Caltrain and Muni.

Support

Proponents of the measure include San Francisco’s, Alameda’s and Contra Costa's democratic parties, San Francisco Mayor Daniel Lurie and state Sen. Scott Wiener.

Supporters of the ballot initiative argue that if funding isn’t identified for the Bay Area’s robust transit systems, drastic cuts will need to be made.

Since the COVID-19 pandemic in 2020, local transit systems have found themselves in fiscal peril. Relief funding for transit from the state and federal government has run dry and the Bay Area’s transit agencies are preparing for the worst. Despite making their own cuts, systems like BART, Caltrain, SamTrans, VTA, AC Transit and Muni will need to cut service if additional funding isn’t identified.

"Without this measure, Muni could cut service by at least 30%, cancel at least 20 bus routes, end regular evening service, eliminate cable car service and reduce fare discounts for vulnerable populations. BART could close 15 stations, including Colma, San Bruno, and South San Francisco, and reduce service by 70%,” said Lurie in the measure’s official proponent argument.

That’s where Regional Measure RTM comes in. Authorized by state Senate Bill 63, the measure’s anticipated revenue would plug holes in the budget of the region’s transit agencies and ensure no further routes are cut.

Opposition

Seven cities in Alameda County would see tax on purchases climb above 11%, according to Fixes Before Funding, the leading organization against the ballot initiative.

Other opponents include the Silicon Valley Taxpayers Association and the Contra Costa Taxpayers Association. They argue a sales tax isn’t the way to tackle the problem at hand.

“Necessities like prepared food, clothing, pet food, and over-the-counter medicines are taxed. Seniors, students, the disabled, and low-income neighbors are hurt the most,” said Quentin L. Kopp, a former judge and San Francisco supervisor and member of the San Francisco Taxpayers Association, in the ballot’s official opponent argument.

What Would It Do

The measure would introduce a one-cent sales tax in San Francisco County and a half-cent sales tax in Alameda, Contra Costa, San Mateo and Santa Clara counties for the next 14 years.

The tax would generate an anticipated $980 million annually into a Public Transit Revenue Measure Fund.

Each of the 5 counties would use the funds generated within their own territories for the transit agencies within them. 62.87% of the revenue generated within San Francisco would go to Muni, 29.14% of revenue would go to BART, 3.97% would go to Caltrain and 0.97% would go to the San Francisco Bay Area Ferry.

The rest of the fund would be saved for additional transit programs, expenses and roadway repavement projects for streets used by fixed-route transit.

If passed, the measure would also create an independent advisory committee responsible for maintaining that funds are being distributed and used adequately. The committee would be made up of one or two residents of each county, appointed by each county’s respective board of supervisors.

Campaign Finance

Connect Bay Area Transit has raised $33,346,470.73 million in support of the measure, as of Oct. 1.

SEIU 1021 dumped $2,187,000 into the campaign for the measure. Billionaire Ripple Labs founder Chris Larsen contributed $2 million in support while $500,000 came from local AI powerhouse Anthropic.

The Contra Costa Taxpayers Association has raised just $25,943.01 in opposition to the measure.

History And Context

Voters in San Francisco are also considering Proposition H, a property and parcel tax aimed at covering the other half of Muni’s financial woes. Advocates of Proposition H and Proposition RTM argue both are necessary to keep the transit agency running.

Facing the largest budget shortfall in its history, Muni has warned its riders that service cuts are imminent. The transit service could cut up to 20 different lines, including hilltop and neighborhood routes, routes with nearby service, and downtown express routes.

San Francisco voters passed Proposition L in 2024, implementing additional taxes on ride-share companies such as Lyft, Uber and Waymo. The anticipated $25 million in revenue annually goes to Muni to boost service frequency and provide additional service to public schools, libraries and parks.

But local transit advocates and agencies still say more is needed so that Bay Area residents can avoid increased traffic, higher costs and increased emissions if cuts to transit occur. Nonprofit public-policy organization SPUR’s 35-page report published this month outlines the possible consequences of transit cuts, including an additional production of 184,000 metric tons of carbon dioxide annually.

Votes Needed To Pass

Regional Measure RTM was qualified through a signature petition of registered voters. A simple majority of affirmative votes in all five counties is required for the measure to pass.

Seamus Geoghegan

Seamus Geoghegan

Seamus Geoghegan is a writer and photographer who recently graduated with a journalism degree from San Francisco State University.

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