SoMa Sales Tax Slump Will Influence District 6 Election
As remote work thins foot traffic, operators in San Francisco must navigate how local policy will address the district's revenue decline.
Updated on Oct. 7, 2026 in Remote Work
Live Poll
Do you believe local government policies are doing enough to support small businesses in your area?
With the November 2026 District 6 supervisorial election approaching, business owners face a local landscape where SoMa sales-tax revenue remains 49 percent below 2019 levels. This fiscal shortfall, largely driven by the decline in office-worker foot traffic, serves as a primary point of contention for candidates Matt Dorsey and Alex Behrend.
Why it matters
Business operators are grappling with diminished customer demand and localized crime, which local officials are attempting to manage through expanded police jurisdiction. The persistent sales-tax deficit complicates the fiscal outlook for public initiatives, including proposals that lack the funding required for implementation.
SoMa generated $9.4 million in sales-tax revenue during 2025, a 49 percent decline from the $18.5 million reported in 2019. In contrast, nearby Mission Bay saw revenue rise more than 20 percent over the same period, while police expect a 23 percent increase in calls for service at Southern Station.
The players
Matt Dorsey
Appointed District 6 supervisor in May 2022 who is seeking election to the seat in November 2026.
Alex Behrend
Candidate for the District 6 supervisorial seat in the November 2026 election.
The details
The shift to remote work has fundamentally altered the customer base for SoMa shops and restaurants, leading to a concentrated drop in daytime activity. While Mission Bay has experienced growth, SoMa struggles with a crime rate that was more than twice that of other city neighborhoods in 2025. To manage the area, the city expanded the jurisdiction of the Southern Station on October 1, 2026, adding personnel to address the increased service volume.
Timeline
May 9, 2022: Matt Dorsey was appointed as District 6 supervisor.
2019: Baseline year for SoMa sales-tax revenue comparison.
2025: Reported sales-tax and crime rate data year.
Q1 2026: Reported inflation-adjusted sales-tax revenue period.
October 1, 2026: Southern Station jurisdiction expanded.
Market Landscape
The fiscal instability in SoMa is being tested against the backdrop of Proposition B, which is on the November 3, 2026, ballot. This proposal highlights the tension between city-wide policy ambitions and the current inability to fund a $325 million public bank.
Operators in SoMa should monitor the upcoming election for signals on public safety resource allocation and future tax policy. Factor the ongoing 49 percent revenue deficit into 2027 fiscal planning as the area navigates a persistent shift in worker-driven foot traffic.
The takeaway
The decline in daytime commercial activity in SoMa is a long-term structural change that continues to challenge traditional business models in the district. Owners should track the 23 percent projected increase in police calls for service to gauge future operational safety costs.
What happens next
The District 6 supervisorial election is scheduled for November 3, 2026.
Further reading
For more on the economic shifts affecting local business districts, visit Remote Work.
More information
To review ballot information or verify local electoral status, visit the San Francisco voter registration portal.
Source note: This article includes information reported by Mission Local.
Live Poll
Do you believe local government policies are doing enough to support small businesses in your area?
