Measure P: Real Property Transfer Tax to Fund Homeless Services
Measure P provides funding for projects to improve homeless services in Berkeley.
About Measure P
Measure P provides around $10 million of funding annually from real property transfer taxes to pay for homeless services. Berkeley voters passed Measure P in November 2018 with 72.4% approval. The original ballot question read:
Shall ordinance raising funds for general municipal purposes such as navigation centers, mental health support, rehousing and other services for the homeless, including homeless seniors and youth; increasing the real property transfer tax for ten years from 1.5% to 2.5% for property sales and transfers over $1,500,000, adjusted annually to capture the top approximately 33% of transfers; generating an estimated $6,000,000 - $8,000,000 annually; and establishing Homeless Services Panel of Experts to recommend homeless services, be adopted?
Status
The City is using funding from Measure P to address immediate street conditions & hygiene, provide emergency shelter and temporary accommodation, establish new permanent housing, and maintain staffing and infrastructure.
In fiscal year 2024, the City spent approximately $35M on homelessness, with Measure P accounting for approximately 66 percent of that total (see graph on the left). State funds accounted for an additional 18 percent, while federal funds accounted for 4 percent more. Other local funds account for an additional 12 percent.
The City has funded 16 homeless services projects in fiscal year 2025 with approximately $9 million in Measure P funds.
Progress on homeless services projects
Homeless services projects funded by Measure P are providing support services for unhoused members of the Berkeley community. These services include:
Immediate Street Conditions & Hygiene
Measure P funds currently support six projects aimed at addressing immediate street conditions and hygiene. These projects address the immediate needs of persons currently living on the streets or in vehicles. The projects provide a range of services, including mental health crisis response, outreach workers, and portable toilets. The City anticipates spending $3.4 million in Measure P funding on the following services through June 2025.
Emergency Shelter
Measure P currently funds five projects that provide shelter beds and supportive services for adults seeking to move out of encampments and off the streets. Services include—but are not limited to—housing navigation, job training placement, and medical/legal assistance. The City anticipates spending $4.8 million in Measure P funding on the following emergency shelter services through June 2025.
Permanent Housing
Measure P currently funds one permanent housing project for individuals. This project provides immediate housing and supportive services for single adults that were formerly homeless. Services provided include housing retention services and mental health treatment. The City anticipates spending $61 thousand in Measure P funding on this permanent housing project in fiscal year 2025.
Homekey Housing
Measure P contributes one-time funding for two additional permanent supportive housing projects as part of the match requirement for State Homekey funding. The City’s Measure P contributions to these projects (over $15M) leveraged external Homekey funding (over $30M) on a 2:1 basis. The two projects are listed below:
- Bay Area Community Services – Project Homekey Golden Bear Inn: This project received $7.3 million in Measure P funding in FY22 to acquire the Golden Bear Inn as a new permanent supportive housing site with 44 units for formerly homeless adults.
- Housing Consortium of the East Bay – Project Homekey Rodeway Inn: This project will receive $8.5 million in local funding, likely including Measure P, to acquire the Rodeway Inn as a new permanent supportive housing site with 43 units for formerly homeless adults.
Staffing and Infrastructure
Measure P funds also support key infrastructure necessary to maintain and support homeless services. This category includes City staff working directly on homelessness programming, training, and evaluation. The City anticipates spending $704,000 dollars of Measure P funding on staffing and infrastructure through June 2025.
Management and oversight
Projects funded by Measure P are managed by the City Manager’s Office as well as the departments of Health, Housing, & Community Services, and Parks, Recreation and Waterfront.
The Homeless Services Panel of Experts recommends homeless services projects to City Council, which decides whether to funds the recommended projects.