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The mayor of San Francisco signed an ordinance that creates a “Reparations Fund” that would at some point grant every of town’s eligible Black residents as much as $5 million in reparations for alleged historic discrimination and displacement.
The ordinance, which was handed by the Board of Supervisors earlier this month, was signed by Democrat Mayor Daniel Lurie two days earlier than Christmas. It establishes the authorized framework for the fund however doesn’t allocate funds or assure funds. The fund could be financed with non-public donations, foundations and different non-city sources.
Any taxpayer-funded reparations payouts would require separate laws, an recognized funding supply and mayoral approval. Lurie instructed Fox Information Digital that no taxpayer cash could be paid into the potential pot, given town’s $1 billion price range deficit.
“I used to be elected to drive San Francisco’s restoration, and that’s what I’m targeted on each day,” Lurie stated in an announcement to Fox Information Digital. “We’re not allocating cash to this fund — with a historic $1 billion price range deficit, we’re going to spend our cash on making town safer and cleaner.”
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Mayor Daniel Lurie speaks on steps of Metropolis Corridor in San Francisco, California earlier this 12 months. The ordinance was signed by Lurie two days earlier than Christmas with none public announcement from the mayor. (Photograph by Tayfun Coskun/Anadolu through Getty Pictures)
“The Reparations Plan outlines quite a lot of strategies to supply restitution, compensation and rehabilitation to people who’re Black and/or descendants of a chattel enslaved individual and have skilled a confirmed hurt in San Francisco,” the ordinance reads, partially.
The ordinance particularly cites a 2023 coverage report and suggestion doc produced by the San Francisco African American Reparations Advisory Committee (AARAC), a city-appointed advisory committee.
The report, which is nonbinding, studied harms to Black residents and proposed cures, together with a suggestion of a $5 million cost. Round 46,000 Black residents stay in San Francisco, in accordance with U.S. Census knowledge.
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San Francisco’s Metropolis Corridor in California. (iStock)
It argued that Black San Franciscans are victims of a long time of city-driven “residential displacement” and “racial discrimination,” significantly through the city renewal period — the interval from the mid-Forties by means of the Seventies.
“The Metropolis and County of San Francisco and its businesses ought to situation a proper apology for previous harms and commit to creating substantial ongoing, systemic and programmatic investments in Black communities to handle historic harms,” the report states in its govt abstract.
It proposed that town “[p]rovide a one-time, lump sum cost of $5 million to every eligible individual.”

Historic Victorian-style properties, a few of which have been as soon as owned by Black residents, stand in entrance of the San Francisco skyline, with the Metropolis Corridor rotunda seen. (PHILIP PACHECO/AFP through Getty Pictures)
The report additionally beneficial a assured annual earnings tied to space median earnings and the creation of latest metropolis businesses, together with an Workplace of Reparations, to manage packages. It additionally known as for main housing interventions, akin to rental help, homeownership help and city-backed funds to buy property alongside Black enterprise corridors, in addition to multi-million-dollar investments in Black-owned companies.
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The California Legislature has tried to go particular reparations payments however has thus far failed to take action. A number of proposals stalled or have been rejected after the state’s Reparations Activity Power, which was arrange in 2020 to review and suggest reparations proposals.