San Francisco’s Municipal Transportation Agency on Wednesday laid off a dozen employees, including the chief strategy officer, as it approaches a fiscal cliff that threatens to decimate public transit services, The Standard has learned.
All who were let go were members of the San Francisco Municipal Executive Association, a union for top managers, and were at-will employees. The layoffs are part of an ongoing SFMTA restructuring of operations while trying to address what sources called an “existential” budget crisis.
SFMTA was facing a $50 million shortfall for the upcoming fiscal year, which starts in July, and the deficit is projected to grow to $320 million for 2026-27. The SFMTA board this month approved cuts in bus service for several lines and a hike in parking meter fees to address the immediate deficit.
Jonathan Rewers, who has served as chief strategy officer since late 2020, confirmed in a text message that he was among those laid off. He started working for the agency in 2009 and steadily rose up the ladder, serving as chief financial officer for almost two years before moving to a role overseeing the design and management of major programs.
“As the chief financial officer during the pandemic years, I of all people understand that difficult decisions need to be made,” Rewers said in a statement. “It was an honor to serve as the SFMTA’s first chief strategy officer. I felt my team accomplished a lot in the areas of innovation, efficiency, and instituting best practices throughout the organization.”
The transit agency has experienced a significant shakeup since last year’s mayoral election.
Jeffrey Tumlin, who served as SFMTA chief for five years under former Mayor London Breed, announced he was stepping down in December. Mayor Daniel Lurie, who took office in January, appointed the acting director, Julie Kirschbaum, the following month.
Since taking over, Kirschbaum has reorganized the staff, including the division of the chief strategy officer, which was broken up and consolidated, according to sources.
SFMTA officials did not immediately respond to a request for comment, but Kirschbaum sent an email to staff Wednesday evening noting that the layoffs will “undoubtedly raise questions” for other agency employees.
“These changes are necessary to reduce duplicative roles and the confusion that comes from overlapping and unclear responsibilities,” Kirschbaum said. “The next step will be a reorganization to set us up to achieve our priorities. The initial phase of that work will be shared by the end of the week.”