my next item is a resolution that is in support of the city of richmond s control and [speaker not understood] reduction program. trying to support many households under water in that area. we have a part in san francisco where households are also under water. the city of richmond has been struggling to create their [speaker not understood] reduction program. they need a majority vote and that s not been able to do what some of the pressures of councilmember in city of richmond. the joint powers of authority is a pathway, in the state of california the pathway they are choosing. i asked the city attorney to draft legislation to [speaker not understood] powers of authority so we can join that partnership and support many of the households including san francisco who are struggling with even with the economy the way it is right now with under water mortgages. so, the resolution we have before us is for adoption [speaker not understood] reference calendar. i want to make sure we
estate transfer tax, short-term flip property. when a profit is being made off of the sale. if the resale is within the first year of purchase then the tax will be 24% of the retail price. within two years, 22%. three years, 20%. up to five years at 14%. if you buy property and hold onto it for five years or longer it doesn t impact you at all. the tax also focuses specifically on greedy speculators. it does not apply at all to six categories. single-family homes or condos, owner occupied tics or tenancy in commons, new construction, buildings over 30 units. when a property owner sells their property at a loss, and lastly, sales to create permanently affordable housing. we know that speculation leads to increased housing costs. there have been a number of studies showing that. also, we know that astronomical housing costs like we re facing today in san francisco is the greatest concern of many san franciscans throughout our city from the rich modxctionv to ~ richmonds and oth
units portfolio as it relates to construction, but i m just not convinced that we re there yet. imposing a ratio on construction solely on new construction of market rate and affordable housing means we will be ignoring the needs of already built affordable housing. in order to meet the ratio, all of the available funding in the voter approved housing trust fund will have to go towards new construction with nothing left for the preservation of existing affordable housing development and public housing developments. the housing authority and other hud housing developments will remain as neglected as they have for years, with no hope in sight for thousands of people who may lose their homes if the conditions persist. it is worth pointing out that 30% ratio in question is not even accurate now that the state has dissolved the san francisco redevelopment agency, meaning these consequences could be even worse especially in district 5 where the need is great for rehabilitation of e