In a move that has sparked considerable debate, San Francisco Mayor Daniel Lurie quietly endorsed an ordinance in December, establishing a reparations fund that could potentially offer up to $5 million to eligible black residents, despite acknowledging the city's lack of financial resources to support such payouts.
According to Conservative Daily News, the ordinance, which received unanimous approval from the San Francisco Board of Supervisors, is part of the city's 2023 reparations plan. While it sets up a framework to receive private or public donations, it neither allocates funds nor ensures any payments.
"As we go through the budget process, we are preparing to close a nearly $1 billion deficit that means identifying key priorities for funding so we can continue delivering those services well," Lurie stated, as reported by ABC 7. "Given these historic fiscal challenges, the city does not have resources to allocate to this fund."
San Francisco is grappling with a projected budget shortfall of up to $936 million over the next two years, as expenditures continue to surpass revenues in the city of approximately 800,000 residents.
"My administration has regularly supported the use of private funds to support our communities, and if there is private funding that can be legally dedicated to this fund, we stand ready to ensure that funding gets to those who are eligible for it," Lurie added, according to ABC 7.
The ordinance was introduced by Supervisor Shamann Walton, who views the fund as a transition from mere apologies to tangible actions. "For years, Black San Franciscans have been clear that recognition without resources is not enough.
Passing the reparations fund will now allow for individuals, foundations, businesses and communities to donate their own resources towards funding recommendations developed by the African American Reparations Advisory Committee here in San Francisco," Walton expressed in a statement.
The reparations plan, which the ordinance supports, includes over a hundred recommendations such as income subsidies, debt forgiveness, and up to 250 years of tax abatements for eligible individuals, potentially costing the city billions.
Despite the absence of funding, the ordinance has faced criticism, notably from Tesla CEO Elon Musk, who labeled the proposal as "deeply morally wrong." "California didnt even have slaves!" Musk remarked on X. "Why is it right for someone who escaped tyranny in other countries and happens to live in SF to pay reparations for something they had nothing to do with?"
Critics have also accused the city of establishing a reparations fund in name only. "Having a fund that remains empty while instituting a long-term planning process or continuing to debate the need for reparations is simply more delay and more injustice," Amos Brown, a former member of the citys reparations advisory committee, wrote for the San Francisco Chronicle. Luries office did not respond to the Daily Caller News Foundations request for comment.
Across the United States, other cities and states have adopted reparations resolutions, though many have limited their efforts to commissions or studies rather than direct payments.
At the state level, Governor Gavin Newsom signed legislation in October to create the Bureau for Descendants of American Slavery, which is responsible for implementing reparations policies. Additionally, funding was approved for the California State University system to research methods for verifying descendants of slaves seeking to access benefits.
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