Media Contact: Gwen Oldham at SF Chamber, 415-352-8839 or goldham@SFChamber.com

SAN FRANCISCO CHAMBER OF COMMERCE STATEMENT ON HOTEL TAX

Hotel tax will kill over 2,000 jobs and eliminate $75.5 million in local wages

SAN FRANCISCO - The San Francisco Chamber of Commerce strongly opposes the San Francisco hotel tax increase measure [Hotel Fairness Initiative] submitted today by the Labor Council for the November General Election Ballot. The proposed tax will kill 2,026 jobs annually in San Francisco's hospitality related industries, eliminating $75.5 million in local wages according to a brief issued today by the Chamber to its Board of Directors based on national estimates from the American Economics Group.

"The Hotel Fairness Initiative is really the 'Hotel Job-Killing Initiative' if you do the math," said Steve Falk, President & CEO, San Francisco Chamber of Commerce. "This misguided effort will discourage travel to San Francisco, hurt our city's largest industry, and eliminate many of the union jobs the Labor Council seeks to protect. Travel and tourism are one of our city's best opportunities for economic recovery. Raising city revenue at the expense of hotels and hospitality workers is not the answer to the city's fiscal problems."

The hotel tax joins four new tax and fee measures that would harm business and jeopardize economic recovery proposed by the Board of Supervisors. Supervisor David Chiu has proposed a tax on commercial rents. Supervisor John Avalos has introduced a real estate transfer tax that would impact all San Francisco properties. Supervisor Ross Mirkarimi has sponsored legislation increasing the parking tax from 25% to 35%. Supervisor John Avalos has proposed a new alcohol fee that could impact every hotel, restaurant and retailer, as well as hundreds of thousands of San Franciscans.

The San Francisco Chamber is working with other business groups to ensure that the city does not balance its budget shortfall on the backs of business and private-sector employees. More information on the San Francisco Chamber of Commerce is available at www.sfchamber.com.

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About the Chamber
Founded in 1850, the San Francisco Chamber of Commerce is recognized as the pre-eminent business organization for advocacy, networking and economic growth. The Chamber delivers on its mission to attract, develop and retain business in San Francisco by representing companies and organizations that make San Francisco a preferred destination for businesses and visitors - a great place to live and work.