San Francisco Planning Commission Hearing (Thursday, December 18, 2025)

The San Francisco Planning Commission held its final hearing of 2025 on Thursday, December 18, 2025. The Commission (6 members present; Commissioner Campbell absent) unanimously continued several items, approved prior minutes, recognized Planning Department Legislative Affairs Manager Aaron Starr upon retirement, received year-end and interagency reports, and heard two mandatory discretionary review (DR) matters: (1) a request to switch an inclusionary housing obligation from an on-site BMR ownership unit to an in-lieu fee at 2338 19th Avenue (approved 4–2), and (2) a request to eliminate public access to a long-required rooftop terrace at 1 Montgomery Street in exchange for free public downtown events (initial vote tied 3–3, followed by a recess and amended approval 5–1).

Consent Calendar

• Continuance calendar (approved unanimously, 6–0):
  • Item 1: 50 Quint St (Case 2024-010467 CUA) continued to Jan 8, 2026.
  • Item 2: 2785 San Bruno Ave (Case 2025-007500 CUA) continued to Jan 22, 2026.
  • Item 3: Westside Potable Emergency Firefighting Water System Project (Case 2023-005928 ENV) — appeal of preliminary mitigated negative declaration continued to Mar 26, 2026.
  • Item 11 (DR): 2620 20th St (Case 2025-006120 DRP) continued to Jan 22, 2026 (staff stated this was to allow both parties to reach an agreement).
• Adoption of minutes (approved unanimously, 6–0): Draft minutes for Dec 4, 2025.

Public Comments & Testimony

• General public comment: None.

Commission & Department Matters

• Land acknowledgment was read (Ramaytush Ohlone).
• Commission President comments: The President thanked participants in the “family zoning plan,” describing it as “almost… five years of work,” and recognized staff and commissioners.
• Recognition of Aaron Starr (retirement):
  • A proclamation recognized Aaron Starr for 20 years of service to the Planning Department. Multiple speakers (including Supervisor Myrna Melgar) praised his professionalism, legislative clarity, patience, and humor.
• 2025 workload statistics (stated by the Chair/Clerk at the dais): In 2025, the Commission held 43 hearings and considered 247 items, characterized as “a slow year.”
• Director’s announcements:
  • Planning leadership echoed appreciation for Starr and noted departmental “sense of loss.”
  • Fee-collection change (effective Jan 1–2, 2026): Deputy Director Rich Sucre reported that, starting Jan 1, 2026 (noting Jan 2 as when the public would see it), Planning will shift fee collection timing away from the building permit application and onto development applications (timing change; not a change to the fees themselves).

Review of External Bodies (Board/Commission Reports)

• Board of Supervisors / Land Use Committee report (Aaron Starr):
  • Prop O implementation ordinance (reproductive health clinics permitted citywide): Land Use advanced it; later at Full Board it passed first read.
  • Driveway parking ordinance: Continued to Jan 12 (next year) after several speakers opposed; continued for more outreach.
  • “Definition of family” ordinance (Supervisor Mahmood): Land Use heard it; Starr summarized Planning Commission’s prior recommended modifications (including reporting back 24 months after effective date on unintended consequences). Land Use forwarded with positive recommendation; Starr stated several speakers supported and no opposition.
  • Tenant Protection Ordinance (Supervisor Connie Chen): About ~7 speakers supported; advanced out of committee; at Full Board it passed first read.
  • Interim controls for laboratory uses in PDR-1-G (Supervisor Fielder): Adopted at Full Board; described as addressing perceived loss of PDR space and related community/labor concerns.
  • Other Full Board notes: Inclusionary housing waiver (Supervisor Melgar) passed second read; appeal surcharge ordinance passed first read; tentative map appeal for 333 Mission St continued to Feb 3.
  • Starr delivered personal retirement remarks; stated he is retiring at the end of the year.
• Board of Appeals report (Zoning Administrator Corey Teague):
  • Appeal related to 570 Market St hotel (downtown project authorization) was denied unanimously; Board found Planning Commission did not err/abuse discretion. Concerns raised included lack of loading/vehicular access and potential impacts on Sutter Street.
• Historic Preservation Commission report (Rich Sucre):
  • HPC issued a proclamation recognizing a retiring long-time Planning employee.
  • Adopted a resolution supporting a City Hall bust of Mayor Art Agnos.
  • Declined to recommend landmarking the Justice for Vicka mural (717 California St).
  • Adopted survey findings to expand surveys covering Castro, Noe Valley, Glen Park and commercial areas.

Discussion Items

Item 9 — 2338 19th Avenue (Case 2007.0178 DRM): Switch from on-site BMR unit to in-lieu fee

• Project description (staff): Mandatory DR to modify an earlier elected Inclusionary Affordable Housing compliance method for a four-story duplex (2 units) in RH-2, part of a larger proposal originally involving five two-family buildings later subdivided into five individual lots and converted to condos. The original approval required one on-site BMR unit; request sought to switch to payment of the in-lieu fee under Planning Code Section 415.5(g)(3).
• Sponsor statements (positions and claims):
  • Jeremy Schaub (architect): Stated the BMR unit is “almost 2,000 sq ft,” making it “very expensive, even as a below-market-rate unit,” and said they could not find qualified BMR buyers; requested paying the in-lieu fee so the city could build additional affordable units.
  • Cyril Hackett (builder): Stated the unit was “a little over 3,000 sq ft,” described delays including COVID, and said the unit was never marketed through MOHCD’s program; he met with a realtor recommended by the City who said it would be difficult to market.
• Key questions / disagreements surfaced:
  • MOHCD (Chaska Berger): Confirmed MOHCD did not conduct a site visit and that there has been no marketing through MOHCD.
  • Commissioners questioned unit size, bedroom count (3 bedrooms over two floors was stated), AMI target (90% AMI was stated by sponsor), and whether the unit was actually listed vs. only discussed with a realtor.
• Commissioner positions:
  • Commissioner Imperial: Expressed concern about undermining the integrity of the inclusionary program and emphasized the value of a family-sized BMR ownership unit; opposed the switch.
  • Commissioner Moore & Braun: Supported allowing the switch given changed conditions; Braun emphasized the in-lieu payment could be leveraged for deeper affordability.
  • Staff: Stated the in-lieu fee with interest was approximately $1 million.

Item 10 — 1 Montgomery Street (Case 2025-007116 DRM): Rooftop terrace public access elimination in exchange for free public events

• Proposal (staff): Modify historic conditions of approval (dating to a 1979 Commission approval for the Crocker Tower/Crocker Galleria) to eliminate public access to an approximately 7,500 sq ft rooftop terrace and instead require free public downtown events.
• Letters received (staff): 21 letters in opposition (primarily objecting to loss of outdoor public space) and 30 letters in support (plus one additional support letter received that morning).
• Enforcement background (staff): Three enforcement cases; in 2022 ZA issued a notice of violation and penalty decision but allowed continued closure until a new tenant occupied; case still open.
• Event program (as originally presented): Minimum 3 free public events annually; each event at least 1,000 attendees; 10,000 total annual attendance minimum; events within mapped downtown geography; annual reporting required; if requirements not met, the item returns for possible revocation.
• Additional option (as originally presented): After 5 years of hosting events, sponsor could pay a one-time in-lieu fee to permanently relieve the open space obligation; staff stated the in-lieu amount was about $19 million.
• Sponsor (Empire) positions and rationale:
  • Ghazi Shami (CEO/founder) and Empire counsel/staff: Described Empire as a San Francisco-based music company relocating HQ to 1 Montgomery; stated the rooftop closure request was driven by security and public safety concerns related to artists, employees, and visitors, and operational difficulty of securing elevator and stairwell routes that pass through office areas. They argued downtown events would be a broader community benefit than a rooftop terrace open only during typical business hours.
• OEWD position: Supported the proposal as aligned with downtown recovery through arts/culture activations; cited reported business impacts from entertainment zones (up to 1,500% benefit reported by businesses during some events) and event-driven economic vitality.
• Public testimony:
  • Strong support from many labor representatives and community/business organizations. Several union speakers cited commitments to 100% union labor and referenced a $40 million private investment and 100+ union jobs (as stated by a sprinkler fitters representative). Supporters emphasized downtown recovery, job creation, and broader access via free events.
  • Opposition/concern: At least two speakers urged compromise or opposed full closure; one suggested limited closure days (similar to other POPOS practices), and another argued “three events a year” was not an adequate trade for losing what they viewed as a premier POPOS.
• Commission deliberation and initial vote:
  • Motion to approve (as initially framed) resulted in a 3–3 tie (Ayes: McGarry, Braun, President So; Noes: Williams, Imperial, Moore), so the motion failed.
  • Commissioners’ key concerns included precedent, permanence, POPOS/public-space integrity, monitoring/enforcement practicality, and whether the exchange was commensurate.
• Recess and amended negotiated outcome:
  • After a 10-minute recess, the sponsor offered amendments: add a 4th public event annually and remove the in-lieu fee option.
  • Commissioners discussed the implications (including what happens if the building is sold; staff/sponsor indicated the obligation would remain: either events occur or rooftop access reverts).

Key Outcomes

• Continuances approved (6–0):
  • 50 Quint St to Jan 8, 2026; 2785 San Bruno Ave to Jan 22, 2026; Westside Potable Emergency Firefighting Water System Project appeal to Mar 26, 2026; 2620 20th St DR to Jan 22, 2026.
• Minutes approved (6–0): Dec 4, 2025 draft minutes.
• Item 9 (2338 19th Ave) — Inclusionary compliance switch approved (4–2):
  • Approved taking DR and allowing change from on-site BMR unit to in-lieu fee payment (staff stated total with interest approx. $1 million).
  • Vote: 4–2 (Ayes: McGarry, Braun, Moore, President So; Noes: Williams, Imperial).
• Item 10 (1 Montgomery) — Amended approval (5–1):
  • After initial 3–3 tie failure and a recess, the Commission approved with amended conditions: eliminate the in-lieu fee option and require a 4th free public downtown event annually (in addition to attendance/reporting requirements).
  • Final vote: 5–1 (Ayes: McGarry, Williams, Braun, Imperial, President So; No: Moore).
• Meeting adjourned following the final vote (last hearing of 2025).