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The Guardian - US
The Guardian - US
World
Lois Beckett

‘People don’t like to see poverty:’ inside San Francisco’s vicious race for mayor

Four men and a woman standing behind lecterns on a stage
San Francisco mayor hopefuls, from left: Ahsha Safaí, Mark Farrell, Daniel Lurie, mayor London Breed and Aaron Peskin. Photograph: Carlos Avila Gonzalez/AP

When the supreme court’s conservative majority ruled this summer that cities could fine and jail unhoused people for sleeping on the streets, London Breed, the Democratic mayor of famously liberal San Francisco, greeted the decision as a victory.

With more than 8,000 people in the city unhoused, Breed has increasingly embraced law-and-order policies. The supreme court’s ruling would “help cities like San Francisco manage our public spaces more effectively and efficiently”, she argued.

Homelessness has been an enduring challenge for San Francisco’s leaders, including for Breed. The relentless emergency is one of the top issues in this year’s elections in the city, and Breed’s re-election is uncertain. She’s facing a host of Democratic challengers – the most prominent of whom are echoing her law-and-order rhetoric.

Mark Farrell, a venture capitalist, former interim mayor and former member of the board of supervisors, has said he wants to call in armed national guard troops to deal with the city’s fentanyl crisis and would embrace “zero tolerance” and abstinence-focused responses to addiction as mayor. Daniel Lurie, a former non-profit executive and an heir to the Levi Strauss fortune, whose billionaire mother is backing his campaign, has proposed using ankle monitors and geolocation technology to ban people arrested for drug dealing from returning to certain city neighborhoods. “It’s basically Find My iPhone for drug dealers,” he explained. “It is time to end the perception that lawlessness is an acceptable part of life in San Francisco,” Lurie pledged on his campaign website.

The only progressive in the mayor’s race, the longtime city supervisor Aaron Peskin, was polling so far behind over the summer that the Los Angeles Times ran a story on it. His ratings have increased slightly since then, but he is still expected to lose the race.

The tough-on-crime mayoral rhetoric has fueled national headlines about San Francisco voters moving to the right. But local political experts point out that the city’s leadership has long been more centrist than its international reputation might suggest. Local residents and business owners have described a tension between wanting to fix the humanitarian crisis they see playing out around them, and worrying about the optics of the crisis for themselves and for the city, which has long been dependent on tourist dollars.

“People in San Francisco don’t like to see poverty. They can be very liberal at a distance,” said Tony Sparks, an urban policy expert at San Francisco State University. The city is built on “a very boom and bust economy, and during the boom times, people don’t want to see the leftovers of the bust times”.

What is new is the growing political engagement of a generation of tech executives and investors in the region, many of whom have come to believe that progressive policies that guided the city during the pandemic and in the wake of the 2020 George Floyd uprising have set the city on the wrong track. They’re using their wealth and their public social media platforms – both sizable – in an effort to reshape the city’s politics, spending millions on local races.

Money has always played a role in the city’s politics, but the mayor’s race is expected to be the most expensive in San Francisco history.

Slow pandemic recovery and flexing of money

Breed was elected in 2018 as the first Black woman to become mayor of San Francisco. She brought personal experience to many of the city’s struggles: she grew up in public housing, lost a younger sister to a drug overdose, and has a brother who is incarcerated.

A longtime community activist, she was known as a centrist, one with significant support from the city’s business and tech elite. She has long argued that her approach to the homelessness and addiction crises is shaped not by rich donors, but by the views of San Francisco’s middle-class and working-class residents.

Since the pandemic, those dual crises seem to only have grown, while yet others have appeared on the horizon. Most US cities bounced back quickly after the early pandemic: San Francisco did not.

The transition to remote work turned its downtown business district into a shadow of itself. The much emptier streets made homelessness and public drug use – including more than 3,000 people living unsheltered on the streets or in tents – more visible and more unsettling, giving way to a national debate over whether the city was caught in a “doom loop”, in which the struggling downtown area would never be able to attract back the office workers, shoppers, and tourists it desperately needed to survive. The city’s public schools’ pandemic closures lasted much longer than in other parts of the country, sparking frustration among some parents. Accidental drug overdose deaths have claimed between 600 and 810 lives a year since 2020.

Concerns about safety in the city were never supported by violent crime statistics, which have continued to show that San Francisco is relatively safe among large American cities. But they were confirmed by people’s visual experiences downtown, said Eric Jaye, a Democratic political consultant who has worked in San Francisco politics for decades. People are unlikely to feel safe when they see people injecting drugs on the street or living in tents in public spaces.

San Francisco’s pandemic-related crisis were a regular laughingstock on Fox News, where Donald Trump and Tucker Carlson railed that California’s ultra-left politicians were reaping what they sowed.

And while a caricature, the argument that progressive government was at least partly to blame for some of the problems resonated with many tech leaders and venture capitalists in the region, said Keally McBride, a professor of politics at the University of San Francisco.

Funneling money through a network of locally-focused “grey money” groups, tech, real estate and venture capitalist leaders bankrolled the successful recall of Chesa Boudin, San Francisco’s young, progressive district attorney. They backed the recall of several discredited members of the San Francisco school board. They threw their weight behind centrist candidates for board of supervisors seats. They weren’t always united in all their causes, but together, “they are spending insane amounts of money on local elections,” and they are “out to bring the hyper-progressive elements in San Francisco government down”, said McBride.

Several challengers, similar policies

Breed, too, has embraced law-and-order policies as a way out of the emergency. She supported the recall of Boudin – replacing him with a political ally – as well as the recall of the school board members.

This spring, she boosted ballot measures that gave the police department more power to use surveillance tools and that instituted drug tests for local welfare recipients. On her campaign website, she touts among her successes doubling drug arrests in 2023, and said she hopes to expand a program in which city officials buy homeless people bus tickets out of town, with a target of “1,000 people per year”.

Many observers say that Breed’s leading mayoral challengers are not suggesting substantially different policies – with all of them promising to clear away the unhoused people sleeping in tents on streets and in public parks, expand the number of city police officers and put an end to public drug use.

“The current mayor, and all of the prospective mayors, their aim right now is not to solve homelessness or fix homelessness or even shelter homeless people, it’s just to get them out of sight,” Sparks said. “We’re back in the 90s. Wide leg pants are in, Birkenstocks are in and so is law and order and mass incarceration.”

The number of people who are being evicted or losing access to shelter in San Francisco is constantly overwhelming the city’s ability to house them, Sparks said. An honest reckoning with California’s housing shortage, a massive problem that was decades in the making, would probably require both statewide and federal action, he argued.

But it’s not just tech billionaires who want a quicker fix, he said. “At the end of the day, it’s the average San Francisco voter that is really demanding that they don’t want to see people living on the streets.”

Asked about critics who said Breed’s law-and-order approach marked a return to 1990s policies, Joe Arellano, a Breed campaign spokesperson, said in a statement that “San Francisco is a city that believes in and offers second chances, but it is also a city of accountability”. He also noted that Breed had been endorsed by the San Francisco police union.

The conservative media’s depiction of San Francisco as a bastion of far-left policies has always been a fiction, said Jason McDaniel, a political scientist at San Francisco State University. Just look at the national politicians who have emerged from San Francisco: Dianne Feinstein, Nancy Pelosi, Gavin Newsom, and Kamala Harris, people “pretty close to the center of the Democratic party”, he said.

The city’s current debate is still “firmly liberal”, he argued. “San Francisco voters are still compassionate. They’re willing to spend a lot of money on government services,” McDaniel said. “It’s not a conservative approach, which is, ‘Let’s not “waste” money on people who don’t deserve it.’”

But having invested public money in city services for addiction, mental health treatment and other issues, many liberal voters are upset to still see so much public disorder in the streets, McDaniel said. “Politicians are saying part of the problem is people are rejecting those services – not going to homeless shelters,” for instance. Critics point at a crippling bureaucracy, inefficient local government and several corruption scandals.

Measured success and divided donors

Breed’s chances of re-election may have slightly improved over the past year, as she has appeared to make progress in some of her goals.

A recent analysis from the Associated Press found that many streets in San Francisco were now empty of tents and other makeshift encampments. The number of people sleeping outdoors dropped to under 3,000 in January, the lowest the city has recorded in a decade, according to a federal count. The number has likely dropped even lower as a result of ramped up enforcement of anti-camping laws following the supreme court decision in August, the AP said.

But even as tents have disappeared, the total number of unhoused people in San Francisco has grown by 7%, according to the same federal count.

Steven Burcell, who is living in a tiny cabin provided by the city, told the AP that unhoused friends of his had all of their possessions taken by the city in one of the encampment “sweeps”.

“Now they have nothing. They don’t have any shelter at all,” he said. “They just kind of wander around and take buses, like a lot of people do.”

The increased enforcement and intense political rhetoric about homelessness are taking a toll on the people at the heart of the debate, Sparks said.

“People living on the street are feeling embattled. They’re stressed. They’re having to constantly be on the move and on the lookout,” he said. “When sweeps go up, people hide.”

The tech donors are divided over who they want to see as mayor. The Ripple co-founder Chris Larsen has donated hundreds of thousands to Breed’s re-election campaign. The billionaire William Oberndorf gave $500,000 to Farrell’s campaign, and the former supervisor has won the backing of several other figures from the real estate and finance sectors. Lurie, the Levi Strauss heir, has poured more than $8m of his own money into his mayoral campaign. His mother also spent $1m to back his campaign.

As the race for that role enters its final weeks, allegations of improper financial behavior are shadowing both Breed and Farrell. A city official who led Breed’s “Dream Keepers Initiative” initiative went on leave in September, after investigations by the San Francisco Chronicle and the SF Standard raised questions about the official’s spending, including $1.5m in contracts she approved for a non-profit run by a man with whom she shared an address. It wasn’t the first time that close associates of the mayor have run into ethics problems: Breed was for a time in a relationship with the city’s former director of public works, who later pleaded guilty to fraud and public corruption charges.

Meanwhile, Farrell is facing accusations that his campaign is using a fund ostensibly dedicated to supporting a local ballot initiative to improperly funnel money to his mayoral campaign and dodge campaign finance limits.

None of the three leading campaigns made their candidates available for a phone interview with the Guardian, and Farrell’s campaign did not respond to questions.

Arellano, Breed’s campaign spokesperson, said in a statement that the mayor had led “the biggest anti-corruption clean-up in our city’s history” and that “nearly all the recent examples in the news were identified because of the process she initiated to root out waste, fraud and abuse”.

Breed had acted swiftly in response to the news about the “unfortunate events” at the Dream Keepers Initiative, including asking the director to resign, and “remains committed to the program”, he said.

In the wake of the investigation into Farrell and the Dream Keepers Initiative, the Chronicle’s editorial board announced that though Breed was a “safe choice” for mayor, it was endorsing Lurie as someone who could bring much-needed change to the city government.

The Chronicle’s endorsement was blunt: “Is Lurie’s inexperience concerning? Absolutely … We won’t sugarcoat the reality that supporting Lurie is a risk.”

Though Lurie’s plans offered “a welcome balance of compassion and toughness”, some of his promises for addressing the homelessness crisis were “hyperbolic” or even, frankly, “a fantasy”, the paper noted.

But the Chronicle argued that Lurie’s measured demeanour and extensive, if “unearned”, family connections, would likely enable him to hire and manage an impressive staff of city employees, who might be able to do a better job on day-to-day governance issues than Breed had done.

Lurie has been running a “very outsider, populist campaign”, arguing that his lack of experience in city hall “is a good thing, from his point of view”, McDaniel, the political scientist, said. That kind of message, from a “very rich person” who has spent more on his own campaign than all the other candidates combined, is not one that McDaniel expected would resonate with San Francisco voters. But, he said, Lurie “has done better than I thought, and he could still win”.

San Franciscans will use a ranked-choice voting process to select a mayor in November, meaning that candidates can pick up second and third-choice votes in the race from supporters of other candidates. Voters who support Peskin, the underdog progressive candidate, will probably be one of the key second choice vote swing groups. So far, influential local progressives have divided on who to endorse as their second choice, with some choosing Lurie, and others, Breed, McBride, the politics professor, said.

“It’s all just messy,” she said. The Chronicle’s latest poll, from mid-October, showed Lurie surging to first place.

Breed’s spokesperson accused Lurie and his family of trying to “buy the election”, and said: “Lurie would be at 1% if he wasn’t spending an unprecedented amount of money to cover up the fact that he has no experience to be mayor.”

A spokesperson for Lurie’s campaign responded that Breed and Farrell also had billionaire backers: “Their attempts to cry foul about a resource disadvantage are the result of bad strategy and tactical blunders – not an actual lack of resources.”

Jaye, the longtime Democratic consultant, said that he believed that some of the city’s ascendant tech donors are “well-meaning, but arrogant and naive”.

“They are telling themselves because they are successful in technology that they know a lot about government or crime or housing or homelessness.”

Their involvement has sometimes turned up the temperature of the campaign, with inflammatory late night tweets upping the ante. Elon Musk, whose political donations are playing an outsized role in the presidential race, has repeatedly tweeted that progressive city officials in San Francisco should be put in prison. Garry Tan, the CEO of startup accelerator Y Combinator and a prominent political donor, sparked a police investigation after he tweeted the names of seven city supervisors, including Peskin, saying they should “die slow motherfuckers”.

Local tech leaders have also been working for years to “remake” the city “so it’s their San Francisco, not the San Francisco of the people who live here now”, Jaye argued.

While Musk announced this summer that he would be moving the headquarters of X, his struggling social media platform, out of San Francisco, new, more ascendant tech startups are moving in. OpenAI, a major player in artificial intelligence, reportedly leased a second office space in San Francisco in September, part of a reported boom in AI businesses renting office space in the city.

You have to “follow the money”, Jaye said. “It’s probably five times more than has ever been spent in an election cycle in San Francisco, and we’re not done.”

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