09/05/2025 | Press release | Archived content
Santa Fe's future depends on ensuring that working people can afford to live in the city in which they work. Housing costs have risen faster than wages, creating a widening gap. Since 2016, rents have increased by 74 percent, while home prices have risen by 80 percent, and median incomes have increased by only 36 percent. One-third of Santa Fe households are now rent-burdened, and many working families are being forced to relocate to lower-cost communities.
The city has made progress on housing, with thousands of new apartments built or in the pipeline, along with programs such as the Affordable Housing Trust Fund and updated zoning ordinances. However, leaders say wages must also be addressed to help close the affordability gap.
The proposed ordinance would:
• Raise the living wage to $17.50 an hour after a one-year evaluation period.
• Keep existing provisions for tipped workers, Medicaid-dependent nonprofits, and health and childcare benefits.
• Tie annual increases to both inflation (Western CPI) and local housing costs (HUD Fair Market Rent).
• Cap increases at 5 percent per year, with no decreases allowed.
• Establish Santa Fe as the first U.S. city to link a living wage directly to housing costs.
The proposal has been discussed with business, labor, nonprofit, and community leaders. Many employers already pay above $15 an hour, indicating the change is both timely and achievable.
"This proposal is vitally important to the future of Santa Fe. I hope everyone in the community will join in these dialogue sessions and make their views known. Speak up on our city's future," says Mayor Alan Webber.
Community members are encouraged to attend these events to share feedback and ask questions. The first public comment on the bill will be at the Governing Body meeting on September 24, 2025. A public hearing for final action is scheduled for the Governing Body meeting on October 29, 2025.
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