SFMTA seeks faster spending of 2014 Geo Bond, proposes reallocating within program categories amid inflation

Jonathan Ruiz, acting chief financial officer for the San Francisco Municipal Transportation Agency, presented lessons learned from delivering the 2014 transportation (Geo) bond and described a proposal to reallocate funds within the bond's program categories so dollars can be spent more quickly amid inflationary pressure.

Ruiz said the Geo Bond was voter-approved in 2014 with more than 70% support. He reviewed spending patterns across multiple issuances, noted the agency has increasingly prioritized larger-dollar issuances for shovel-ready projects and said that, with two years remaining on the original 10-year spending commitment, the MTA proposes moving some allocations (reducing amounts in areas such as complete streets and some traffic signal categories) to facility upgrades that are shovel-ready so bond proceeds can be spent now and other funding sources can later replenish the reduced categories.

On ballot measures, Ruiz differentiated the failed June 2022 transportation bond (a second issuance that received about 65.1% of the vote and therefore did not reach the two-thirds requirement) from Prop L, the half-cent transportation sales-tax renewal on the November ballot. He said Prop L is not a tax increase but a renewal and that the sales-tax plan would allow borrowing against future receipts to aid cash flow; typically, 65–70% of the expenditure plan's dollars flow to SFMTA projects.

Ruiz emphasized that the proposed reallocations are within the legal scope of the bond program and aimed at getting improvements on the street more quickly in the face of cost escalation. He said staff are available to provide more detail and to work with committee liaisons on any adjustments.