. >> reporter: paul larson owns the funeral chapel across the street. says efforts to fight poverty should not impoverish small communities. >> having a way for the homeless or the people need help to get out of that situation is good, but the same time, look at the surrounding community, what are their needs? >> reporter: the city does not have the large businesses to generate tax revenues. but the la quinta inn is important because they charge transient occupancy tax which also contributes about hundred thousand dollars per year to city coffers. >> losing a hotel here is almost like cutting off a finger. >> reporter: there is the question of fairness. the councilmember, anders funk, says the city has worked hard to decrease it's on house population from over 100 down to about 20. filling a 99 room hotel would mean busting almost renaissance from other cities in the county. >> we need to meet the residence where they are. and we need to service and help these folks where they are. functional zero homelessness in san mateo county needs to stop with func

. >> reporter: paul larson owns the funeral chapel across the street from the hotel and says the efforts to fight poverty shouldn't impoverish the small communities. >> having a way for the homeless or the people who need help to get out of that situation is good, but at the same time, you have to look at the surrounding community, what are their needs? >> reporter: tay don't have any large businesses to generate the tax revenue. and which all told contributes about $600,000 per year. losing the hotel in millbrae is almost like cutting off a finger. >> reporter: and then the question of fairness. they say the city has worked hard to decrease the population down to about 20. and so filling a 99-room hotel means busing in homeless residents from the other cities in the county. >> we need to meet these residents where they are. and we need to surface and help these folks where they are. functional zero homelessness in san mateo county needs to start with functional zero homelessness in every city within the county. >> reporter: if it is a universal problem shared by every community, millbra