San Francisco will provide free childcare to families earning under $230,000 annually, with a 50% subsidy for those making up to $310,000. Mayor Daniel Lurie unveiled the plan as part of his "Family Opportunity Agenda," aiming to offset the city's staggering cost of living. The initiative uses unspent funds from the 2018 Proposition C.

The move addresses childcare costs that can consume 30% of a family's income in California. By targeting area median income, the policy expands eligibility significantly beyond previous limits. This aligns with broader Democratic efforts to tackle affordability, following similar programs in New Mexico and New York.

Families will access the subsidy through over 500 city providers. The Children's Council estimates average annual childcare costs between $20,000 and $30,000 per child. The program aims to bring costs closer to the federal guideline of 7% of income. Officials hope this will help retain families in the expensive Bay Area.