By tf-lawyer.com As San Francisco prepares for a pivotal election, the city’s residents are faced with a critical question: Does Mayor London Breed deserve another term? Political analysts are keenly observing this fall’s race, which is shaping up to be the most expensive municipal election in history, as it may reveal the significant influence of the tech elite in local politics.
In recent years, wealthy financiers, including both established financial elites and emerging tech moguls, have invested millions to shift the political landscape in San Francisco, favoring moderate candidates and policies over their more progressive counterparts. Campaign finance records from the San Francisco Ethics Commission show that this trend continues in the current election cycle, with substantial financial resources flowing into the mayoral race as well as contests for several district supervisor seats and measures aimed at expanding the mayor’s power.
When it comes to who might lead the city next, the financial interests are divided. Some major donors are backing the incumbent, London Breed, who has increasingly adopted tough-on-crime strategies to tackle San Francisco’s ongoing issues, such as homelessness and drug overdoses. Others are backing Mark Farrell, a former supervisor and interim mayor with strong ties to law enforcement and business interests, while a significant portion of funds is flowing to Daniel Lurie, the philanthropist and heir to the Levi Strauss fortune, who has committed at least $8 million of his own money to his campaign.
Recent polling indicates Lurie is narrowly leading, and he has also been the most successful in fundraising, with nearly $9 million in contributions, in addition to $6.38 million controlled by a supportive political action committee. He has refrained from seeking public matching funds, allowing him to bypass individual donation limits, while other candidates are eligible for up to $1.2 million in public financing.
In contrast, Breed’s campaign has garnered $2.17 million and has received $1,094,430.09 in public matching funds. Farrell is trailing slightly behind with $1.95 million in contributions and $1,063,710 in public funds. On the progressive side, veteran city politician Aaron Peskin has raised $1.5 million, while fellow progressive Ahsha Safaí has secured $985,000.
Interestingly, a large part of the monetary contributions is flowing through a network of nonprofits and PACs largely influenced by individuals in tech, real estate, and venture capital. Notably, Neighbors for a Better San Francisco, described as the “800-pound gorilla” of local politics, has spent heavily on various political initiatives but has endorsed Farrell and Lurie as their preferred candidates for mayor without directly funding their campaigns.
Keally McBride, a politics professor at the University of San Francisco, suggests that the extensive financial involvement from the tech industry reflects its growing maturity as a political power in California. “Tech possesses more financial resources than any other sector except oil and gas, so it’s not surprising for a dominant industry to gain control over local politics,” she explains.
In this election cycle, Neighbors SF has committed $950,000 to a ballot measure aimed at reducing the number of oversight commissions and increasing the mayor’s authority over agency appointments—a central goal of the financial network’s political strategy. Additionally, factions within this network are actively working to remove progressive supervisors; for example, Grow SF has targeted supervisors like Connie Chan and Dean Preston, who have progressive leanings.
The allegiances among investors in the mayoral race are complex. Chris Larsen, founder of the cryptocurrency exchange Ripple, has donated $600,000 to Breed’s campaign, while William Oberndorf, a tech investor, and charter school advocate, directed $500,000 to Farrell’s efforts. Notably, investors from the real estate and finance sectors are heavily backing Farrell. Meanwhile, Michael Moritz, a prominent venture capitalist, has contributed about $3 million to Farrell’s campaign and another $500,000 to a measure aimed at enhancing the mayor’s power.
As the influence of these financial networks in local politics grows, local regulators appear to be responding. Recently, Neighbors SF faced a $54,000 fine for failing to disclose certain donors to the 2022 recall of Chesa Boudin, a progressive district attorney, highlighting the increasing scrutiny of political funding in the city.
