Part 5/11:
The backlog of pending appeals, including nearly 14,000 assessments from the pandemic period, threatens to overwhelm city resources. The city faces the risk of financial insolvency if they cannot process these appeals effectively, as unprocessed assessments could default to the taxpayer’s more favorable valuation, further eroding city revenues.
Revenue Shortfalls and Budgetary Crisis
The devaluation and the surge in appeals threaten San Francisco’s fiscal health. The city is projected to refund between $105 million and $189 million annually for at least six years, totaling around $817 million—a colossal blow to its budget. Because property taxes form a significant portion of the city’s revenue, the decline in assessed values is a critical concern.