STOP
the JOBS
TAX
NOVEMBER 4TH
2:00 P.M.
SAN DIEGO CITY COUNCIL CONSIDERING 500-900%
TAX INCREASE ON JOBS
EMAIL THE COUNCIL – ATTEND THE
HEARING – MAKE YOUR VOICE HEARD
On Monday, November 4th, the San Diego City
Council will consider a massive increase in the
City’s existing Linkage Fee. The San Diego
Housing Commission is proposing to
immediately increase the Linkage Fee otherwise referred to as the Workforce
Housing Offset Fee - to 1.5 percent of total
development costs and automatically increase
the fee annually without Council approval.
If approved, this will add hundreds of
thousands – if not millions – of dollars to the
cost of doing business in San Diego.
The JOBS Coalition, originally created in 2011,
has reconvened and now represents more
than 50 companies and groups. Despite
meetings with the City Council, Mayor Gloria,
and the San Diego Housing Commission to
stress the drastic impact this proposal will have
on the regional economy, supporters are
determined to increase the fee.
Given the support expressed by members of
the City Council we need an even stronger and
more vocal presence this time around. Now is
the time for direct participation from you and
your employees.
“THIS IS A JOBS KILLER”
Background:

In 1990, the San Diego City Council created
a Commercial Housing Impact Fee,
commonly referred to as a “linkage fee.”
The fee is charged to new commercialindustrial construction on a per square foot
basis and is used to subsidize private
affordable housing units throughout the
City.

In theory, the fee is levied to cover the
perceived gap between income levels from
certain jobs created in commercialindustrial buildings and the cost of housing
in San Diego. The fee was cut in half in 1996
to spur economic development and remains
at that level today.

In 2011, the San Diego Housing Commission
proposed to double the fee, but it was
defeated by the City Council.

An Affordable Housing Task Force
identified a number of alternative funding
sources and regulatory reforms designed to
bring down the cost of constructing
affordable housing, yet the Housing
Commission has failed to act on nearly all of
those funding alternatives and regulatory
reforms.
Key Messages:
 This ‘tax’ directly targets businesses and job creation and should not be increased and puts San
Diego at a competitive disadvantage. San Diego is the ONLY jurisdiction in the County that
charges this fee. California already is the 49th worst business tax friendly state in the nation.
 The City Council should not increase fees when San Diego’s economy and job market are still
recovering from the recession. City Council needs to focus on job creation and removing
burdensome regulations that drive up the cost of housing.
 The City Council needs to consider the cumulative impact of other recent fee hikes on the
business community before considering this fee increase.
 This negatively impacts every business sector, including small businesses like restaurants and
retailers, who cannot afford another cost in this challenging economy.
 To solve the issue of affordable housing, the business community and City Council must work
together to develop a comprehensive affordable housing policy with a stable, broad-based
funding source that does not target small, medium, and large businesses.
 Historically, the
amount collected
from the Linkage Fee
is not enough to
significantly address
the City’s needs.
EMAIL THE COUNCIL – ATTEND THE HEARING – MAKE YOUR
VOICE HEARD
Interim Mayor Todd Gloria – toddgloria@sandiego.gov; (619) 236-6633
Councilmember Sherri Lightner – sherrilightner@sandiego.gov; (619) 236-6611
Councilmember Kevin Faulconer – kevinfaulconer@sandiego.gov; (619) 236-6622
Councilmember Myrtle Cole – myrtlecole@sandiego.gov; (619) 236-6644
Councilmember Mark Kersey – markkersey@sandiego.gov; (619) 236-6655
Councilmember Lorie Zapf – loriezapf@sandiego.gov; (619) 236-6616
Councilmember Scott Sherman – scottsherman@sandiego.gov; (619) 236-6677
Councilmember David Alvarez – davidalvarez@sandiego.gov; (619) 236-6688
Councilmember Marti Emerald – martiemerald@sandiego.gov; (619) 236-6699