SF Muni Maintains Service with $1.5B Budget

SFMTA approves $1.5B budget maintaining Muni service despite $307M shortfall

SFMTA Approves $1.5B Budget to Maintain Muni Service

San Francisco's Muni service will continue without cuts after the SFMTA Board of Directors approved a two-year budget totaling $1.5 billion for fiscal year 2026-27 and $1.6 billion for 2027-28. The budget maintains current service levels despite the agency facing a $307 million shortfall when the fiscal year begins July 1. A $200 million state loan will help close the gap in the first year, transit officials said.

Financial Crisis Drives Budget Decisions

The SFMTA faces what officials called its most challenging financial crisis in history, forcing the agency to make difficult choices to preserve service. The budget eliminates 89 vacant positions and cuts $20 million in expenses through reductions to materials, supplies, and work orders. Officials developed the spending plan with extensive community input, including over 5,000 survey responses and three public open houses. The agency preserved free and discounted fares for youth, seniors, and people with disabilities despite the financial pressures.

Revenue Increases Target Parking and Fares

To balance the budget, the SFMTA will raise parking citation late penalties by 10% and increase meter rates by 25 cents in year two. A new Cable Car Plus fare of $18 launches in January 2027, offering unlimited travel for one adult and up to two youth. The capital budgets total $655 million for the first year and $546 million for the second year. Officials said various fare adjustments will help generate additional revenue, though specific details about all fare changes weren't provided.

Budget Takes Effect July 1

The new budget takes effect July 1, when the fiscal year begins and the immediate $307 million shortfall hits. The first year maintains all current Muni and paratransit service with no reductions. Officials said the Cable Car Plus fare will launch in January 2027, though they haven't announced specific implementation details for other revenue measures.

Long-Term Funding Concerns Remain

Without additional funding, the budget deficit could grow to $434 million by July 2030, potentially requiring what officials described as significant service cuts. Riders should monitor announcements about future budget decisions that could affect service levels in coming years. Moovit provides real-time updates and service alerts for all Muni routes, helping riders stay informed about any schedule changes or service adjustments.