City Hall
City gave up $3.5 million in community benefits before passing Twitter tax deal
The April tax break for social media giant Twitter was supposed to include sweeteners to help community organizations, small businesses and the arts in the blighted mid-Market neighborhood. But just before the Board of Supervisors approved a tax exemption, which is projected to save Twitter $70 million, it abandoned a draft community benefits agreement worth at least $3.5 million, plus 1 percent of the company’s pre-tax income and myriad other community service projects. These included improvements to public parks, the opening of a neighborhood grocery store, a local hiring provision and free Wi-Fi for neighbors, the Public Press has learned. The board now has a chance to retroactively approve a committee to come up with such an agreement, but neighborhood activists say the city is in a worse bargaining position now that Twitter has its tax break.