Recently, the San Francisco City Hall announced that they will be reviewing the San Francisco Chinese Chamber of Commerce, the organizer of the Lunar New Year Parade, and its use of public funds. This comes after a former employee of the chamber filed a lawsuit alleging sexual harassment and assault by some directors, raising concerns about the future of the chamber’s involvement in this important Chinatown tradition.
However, the City Hall emphasized that the review will not impact the 2027 parade. The event is still scheduled to take place on February 20, 2027.
According to multiple reports, the San Francisco City Government has notified the Chinese Chamber of Commerce that they will be conducting a review of the organization’s acceptance and management of public subsidies. The City does not rule out the possibility of replacing the financial sponsors receiving parade subsidies in the future, but the 2027 event will proceed as planned.
Since 1953, the Chinese Chamber of Commerce has organized the San Francisco Lunar New Year Parade, receiving an annual arts grant of approximately $500,000 from the City in recent years. Based on the organization’s 2025 tax filings, parade expenses amount to around $1.3 million, generating about $2 million in revenue for the chamber.
This event is one of the most significant annual celebrations in San Francisco’s Chinatown, attracting tens of thousands of attendees each year and an estimated viewership of around 3 million on television, bringing substantial foot traffic and consumer spending to Chinatown businesses.
Mayor’s Office spokesperson Charles Lutvak expressed that the Lunar New Year Parade is a crucial symbol of the San Francisco Chinese community, and the City’s current focus is to ensure that the organization responsible for receiving subsidy funds can manage public finances properly.
The Chinese Chamber of Commerce has been embroiled in internal disputes recently. Former project director Judy Lee filed a lawsuit against the chamber in September demanding at least $1 million in compensation.
Lee alleges that she experienced prolonged harassment by some directors, including one accused of assault, from her time as a volunteer until she became a full-time employee in April 2025. She claims that after raising these issues with the chamber, she was retaliatorily dismissed in July of this year.
The controversy became public in June when over a dozen directors supporting Lee threatened to resign, calling for the removal of the current president, Donald Luu.
In July, Luu countersued Lee for defamation, alleging violation of confidentiality agreements and making false accusations. Shortly after, Luu stepped down from his leadership position in the chamber, stating that he had promised his family not to hold such a role for more than two years.
Since 2022, Alaska Airlines has been the primary corporate sponsor of the Lunar New Year Celebration and Parade.
The company has acknowledged the allegations against the chamber and is investigating the matter. A spokesperson emphasized that Alaska Airlines sponsors the Lunar New Year celebration and parade, not specifically the San Francisco Chinese Chamber of Commerce or individual members.
The Chinese Chamber of Commerce continues to plan the 2027 event and has announced that main platform tickets will go on sale starting from October 1.
Parade Director Tony Lau stated that preparations for the 2027 parade are progressing smoothly and expressed gratitude for the ongoing support from the City, corporate sponsors, and community partners.
Director of Grants for the Arts, Kristen Jacobson, informed the chamber that the City Hall will conduct an audit of the Chinese Chamber of Commerce in accordance with subsidy agreement procedures.
The audit, expected to be carried out by the San Francisco City Auditor’s Office, may take several months to complete.
However, shortly after notifying the chamber of the audit, the City Hall informed them of plans to provide a subsidy of $470,000 for the 2027 fiscal year, with the final amount subject to further contract negotiations.
Bill Lee, who served as San Francisco City Administrator from 1995 to 2005, expressed support for the City Hall’s review of parade subsidies but noted the practical challenges of transitioning complete oversight to another organization within a short timeframe.
The Chinese Chamber of Commerce announced that the 2027 San Francisco Lunar New Year Celebration and Parade is scheduled to take place on February 20 and will be broadcast on ABC7 KGO-TV and KTSF Channel 26 on television and online.
Established in 1917, the Chinese Chamber of Commerce is responsible for organizing some of the most important events in Chinatown, including the annual parade, the Miss Chinatown USA Pageant, and the Chinese New Year Flower Fair.
Donald Luu was elected president of the chamber in 2022 and was a protégé of the late Chamber advisor Rose Pak.