San Francisco County Municipal Code Ch. 61 Waterfront Land Use

Sec. 61.1. Findings and Declaration of Policy. Sec. 61.2. Land Use Planning Process. Sec. 61.3. Maritime Land Uses. Sec. 61.4. Acceptable Non-Maritime Land Uses. Sec. 61.5. Unacceptable Non-Maritime Land Uses. Sec. 61.5.1. Waterfront Height Limit Right to Vote Requirement. Sec. 61.6. Definitions. Sec. 61.7. Implementation. Sec. 61.8. Severability. Sec. 61.9. Amendment and Repeal. Sec. 61.10. Chaptering of this Ordinance. Sec. 61.12. Port Pre-payment of Jobs-Housing Linkage Program Obligations.

The people of the City and County of San Francisco find and declare: (a) Whereas, the waterfront of San Francisco is an irreplaceable public resource of the highest value; (b) Whereas, the most beneficial and appropriate use of the waterfront is for purposes related to and dependent on their proximity to San Francisco Bay and the Pacific Ocean, such as maritime uses, public access to, and restoration of, San Francisco Bay; (c) Whereas, San Francisco holds the waterfront in trust for the People of California; (d) Whereas, maritime uses, public access to, and restoration of San Francisco Bay serve San Francisco residents, and provide significant economic, social and environmental benefits to San Francisco and its residents, including a diversity of employment opportunities and better access to a healthier San Francisco Bay; (e) Whereas, the waterfront contains structures of historical and architectural importance; (f) Whereas, it is poor planning to approve waterfront land uses on an ad hoc basis, rather than as part of a comprehensive waterfront land use plan; (g) Whereas, it is in the interest of San Francisco to develop a strong and economically vital waterfront with adequate public access to and restoration of San Francisco Bay; and (h) Whereas, changing conditions in the maritime industry such as deeper draft vessels and increased awareness of the negative environmental impacts of dredging and dredge-spoil dumping indicate that cargo handling at the Port of San Francisco could increase dramatically; Therefore the people of San Francisco declare that it is the policy of the City and County of San Francisco that: (a) The waterfront be reserved for maritime uses, public access, and projects which aid in the preservation and restoration of the environment; (b) Where such land uses are infeasible or impossible, only acceptable non-maritime land uses as set forth in this ordinance shall be allowed; (c) A waterfront land use plan shall be prepared (as set forth in Section 61.2 of this ordinance) to further define acceptable and unacceptable non-maritime land uses and to assign land uses for specific waterfront parcels.

(Added by Proposition H, 11/6/90)

(a) Upon adoption of this initiative, the Board of Supervisors shall within 30 days request the Port Commission to prepare a "Waterfront Use Land Plan" which is consistent with the terms of this initiative for waterfront lands as defined by this ordinance. Should the Port Commission not agree to this request within 30 days of the Board of Supervisors request, the Board of Supervisors shall have 30 days to designate a different City agency or department to prepare the "Waterfront Land Use Plan." (b) The agency drafting the “Waterfront Land Use Plan” shall consult the Planning Commission to ensure development of a plan consistent with the City’s General Plan. The final plan and any subsequent amendments thereto shall be subject to a public hearing conducted by the Planning Commission to ensure consistency between the plan and the City’s General Plan. (c) The "Waterfront Land Use Plan" shall define land uses in terms of the following categories: (1) Maritime land uses; (2) Acceptable non-maritime land uses; and (3) Unacceptable non-maritime land uses. Land uses included in these categories which are not part of the initial ordinance shall be added to Sections 61.3 through 61.5 of this ordinance as appropriate. No deletions from Sections 61.3 through 61.5 shall be allowed unless approved by the voters of San Francisco; (d) No City agency or officer may take, or permit to be taken, any action to permit the new development of any non-maritime land use (except those land uses set forth in Section 61.4 below) on the waterfront until the "Waterfront Land Use Plan" has been completed. Non-maritime land uses existing, or which have all their necessary permits, as of January 1, 1990, shall be exempt from this limitation. Non-maritime land uses included in the following projects shall be exempt from this limitation provided that the projects shall be subject to all other applicable laws and regulations and that hotels are not permitted: (1) A project to restore two buildings on the San Francisco waterfront that are listed on the federal National Registrar of Historic Places as of January 1, 1994, specifically the Ferry Building and the Agricultural Building, while continuing the role of the Ferry Building area as a transportation center, and to improve the adjacent pier areas including existing structures, up to but not including any portion of Pier 1 on the north and extending to include the pier area adjoining and south of the Agricultural Building, and (2) A project to improve the public boat launch and dock facility near Pier 52 if the non-maritime land use is limited to a retail and food service use of approximately 3,000 square feet to serve the recreational boating and water use community. (3) [Reserved.] (4) This provision shall not be applicable to any new development within the Candlestick Point Special Use District. (e) The "Waterfront Land Use Plan" shall be reviewed by the agency which prepared it or by such other agency designated by the Board of Supervisors at a minimum of every five years, with a view toward making any necessary amendments consistent with this initiative. (f) The "Waterfront Land Use Plan" shall be prepared with the maximum feasible public input. (Added by Proposition H, 11/6/90; amended by Proposition P, 11/8/94; Proposition B, 3/26/96; Proposition F, 6/3/97; Amended by Proposition G, 6/3/2008; Ord. 63-20, File No. 200077, App. 4/24/2020, Eff. 5/25/2020)

Maritime land uses include but are not limited to: (a) Maritime cargo handling and storage facilities; (b) Ship repair facilities; (c) Fish processing facilities; (d) Marinas and boat launch ramps; (e) Ferryboat terminals; (f) Cruise ship terminals; (g) Excursion and charter boat facilities and terminals;

(h) Ship berthing facilities; (i) Maritime construction and maritime supply facilities; (j) Marine equipment and supply facilities; (k) A list of additional maritime land uses developed as part of the Waterfront Land Use Planning process shall be included in the "Waterfront Land Use Plan" and added to this Section. Uses added to this list through the Waterfront Plan process include: (1) Cargo shipping; (2) Ship repair; (3) Fishing industry; (4) Recreational boating and water use; (5) Ferry and excursion boats and water taxis; (6) Passenger cruise ships; (7) Historic ships; (8) Maritime support services; (9) Maritime offices; and (10) Port-priority uses. (Added by Proposition H, 11/6/90; amended by Ord. 7-98, App. 1/16/98)

Acceptable non-maritime land uses include but are not limited to: (a) Parks; (b) Esplanades; (c) Wildlife habitat; (d) Recreational fishing piers; (e) Restoration of the ecology of San Francisco Bay and its shoreline; (f) Transit and traffic facilities; and (g) A list of additional acceptable non-maritime land uses developed as part of the Waterfront Land Use Planning process shall be included in the "Waterfront Land Use Plan" and added to this Section. Uses added to this list through the Waterfront Plan process include: (1) Public access; (2) Open space; (3) Commercial uses, i.e., artist/designer studios and galleries, assembly and entertainment general office, museums, parking, retail, recreational enterprises, visitor services, warehousing/storage, wholesale trade/promotion; (4) Other uses, i.e., academic institutions, community facilities, general industry, power plants, sports facilities, transportation services; (5) Interim uses consistent with the provisions of the Burton Act and Public Trust. (h) [Reserved.] (i) [Reserved.] (Added by Proposition H, 11/6/90; amended by Proposition B, 3/26/96; Proposition F, 6/3/97; Ord. 7-98, App. 1/16/98; Amended by Proposition G, 6/3/2008)

(a) "City agency or officer" means the Board of Supervisors, and all other city commissions, boards, officers, employees, departments or entities whose exercise of powers can be affected by initiative. (b) "Action" includes, but is not limited to: (1) Amendments to the Planning Code and General Plan; (2) Issuance of permits or entitlements for use by any City agency or officer; (3) Approval, modification or reversal of decisions or actions by subordinate City agencies or officers; (4) Approval of sales or leases pursuant to Sections 7.402 and 7.402-1 of the Charter of the City and County of San Francisco; (5) Approval of or amendments to Redevelopment Plans; and (6) Any other action, including but not limited to projects as defined in Public Resources Code Section 21065. (c) "Waterfront" means land transferred to the City and County of San Francisco pursuant to Chapter 1333 of the Statutes of 1968, as well as any other property which is owned by or under the control of the Port Commission of San Francisco, and which is also in any of the following areas: (1) Piers; (2) The shoreline band as defined in Government Code Section 66610(b), between the Golden Gate National Recreation Area and the intersection of The Embarcadero and Berry Street, except for the area south of Jefferson Street between Hyde Street and Powell Street; (3) The shoreline band as defined in Government Code Section 66610(b), in the area bounded by San Francisco Bay, Berry, Third, and Evans Streets, Hunter's Point Boulevard, and a straight line from the intersection of Hunter's Point Boulevard and Innis Avenue to the intersection of Carroll Avenue and Fitch Street; and (4) The area south of Pier 98 in which all new development is subject to the Shoreline Guidelines, as shown on Map 8 (Eastern Shoreline Plan) of the Recreation and Open Space Element of the San Francisco General Plan, in effect as of January 1, 1990. (d) "San Francisco Bay" means the area defined in Government Code Section 66610(a) which is the City and County of San Francisco, except for areas west of Third Street. (e) All references to public roads are to their alignment as of January 1, 1990. (f) “Hotel” means any use falling within the definition in Section 102 of the San Francisco Planning Code in effect as of January 1, 1990; any waterside hotel having docks to accommodate persons traveling by boat; or any facilities for providing temporary or transient occupancy. This shall not include boat berths which are provided for temporary moorage of boats. (g) All other terms identifying maritime, acceptable non-maritime, and unacceptable non-maritime land uses shall be as defined in the Waterfront Land Use Plan. (Added by Proposition H, 11/6/90; amended by Ord. 7-98, App. 1/16/98; amended by Ord. 7-98, App. 1/16/98; Ord. 63-20, File No. 200077, App. 4/24/2020, Eff. 5/25/2020)

Within 180 days of the effective date of this Chapter 61, the City and County shall: (a) Amend its General Plan, Planning Code, and other relevant plans and codes in a manner consistent with this Chapter; (b) Request and apply for conforming amendments to all applicable state and regional plans and regulations; and (c) Begin preparation of the “Waterfront Land Use Plan” required under Section 61.2 of this Chapter. (Added by Proposition H, 11/6/90; amended by Ord. 63-20, File No. 200077, App. 4/24/2020, Eff. 5/25/2020)

If any portion of this ordinance, or the application thereof, is hereafter determined to be invalid by a court of competent jurisdiction, all remaining portions of this ordinance, or application thereof, shall remain in full force and effect. Each section, subsection, sentence, phrase, part, or portion of this ordinance would have been adopted and passed irrespective of the fact that any one or more sections, subsections, sentences, phrases, parts or portions be declared invalid or unconstitutional. (Added by Proposition H, 11/6/90)

No part of this ordinance or the amendments made pursuant to Section 61.7 hereof may be amended or repealed except by a vote of the electors of the City and County of San Francisco, except for those additional listings provided herein in Sections 61.3, 61.4, and 61.5. (Added by Proposition H, 11/6/90)

After the adoption of this ordinance the Clerk of the Board of Supervisors shall assign a Chapter number to this ordinance and shall renumber the sections of this ordinance in an appropriate manner. (Added by Proposition H, 11/6/90)

(a) Purpose. The Jobs Housing Linkage Program, Planning Code Sections 413 et seq. ("JHLP"), imposes a fee on certain types of development in the City. By enacting this ordinance, the City intends to: create a mechanism to provide valuable resources for affordable housing in the City; give the Port flexibility in structuring JHLP obligations to mitigate financial hardships caused by economic cycles; and improve the financial feasibility of Port development. (b) Application. This section applies to any development on land under Port jurisdiction that is not subject to land use restrictions under the common law public trust for commerce, navigation, and fisheries and the statutory trust imposed by the Burton Act (Stats 1968, Ch 1333) ("non-trust Port lands"), for which the City would impose JHLP obligations. (c) Authorization to Create JHLP Credits Through MOU. (1) The Port and MOH are authorized to establish a system of credits by which the Port will "pre-pay" JHLP obligations that would otherwise be payable for future development on Port lands by the following procedures. (A) The Port may initiate the process by designating a site or sites on non-trust Port lands to the Mayor's Office of Housing ("MOH") or its designee that the Port believes would be suitable for development of affordable housing (each, an "affordable housing site") and that the Port would offer to ground lease to MOH at a negotiated below-market rental rate. After the Port's designation and proposed site dedication to MOH the Port and MOH will confer and agree on due diligence measures customarily and ordinarily incurred in a potential buyer's decision whether to purchase property, which MOH will use to evaluate the site's suitability for affordable housing development and determine whether the Port's offered site will be a priority site for development of affordable housing assisted by MOH. MOH shall only accept a site that would result in the development of 50 affordable units or more. In determining a site's suitability for affordable housing, MOH shall solicit and consider comments from the public and any other interested parties. MOH shall consider, among other things, whether the site is suitable from the perspective of size, configuration, physical characteristics, physical and environmental constraints, access, location, adjacent use, and other relevant planning criteria. (B) If MOH agrees that any designated site is suitable for development of affordable housing, and MOH and the Port agree on the below-market rental rate that would apply to the non-trust Port Lands, the Port will be entitled to "JHLP Credits" determined as provided in this Section. The Port and MOH will request jointly that the City's Director of Real Estate engage a real estate professional, at the Port's expense, to conduct an analysis of both the fair market rental value of the affordable housing site and the below-market rental value of the affordable housing site according to joint instructions from the Port and MOR which shall specify that each of the consultant's value conclusions must take into account and make appropriate deductions for: (1) customary and ordinary due diligence costs as agreed by MOH and the Port in accordance with Subsection (c); and (2) the cost of review under the California Environmental Quality Act for the transfer by ground lease, but not the specific development program for the site. The amount of JHLP Credits that the Port will receive to offset anticipated JHLP obligations on future development of Port lands will be equal to the difference between the

fair market rental value conclusion and the below-market rental value conclusion of the affordable housing site, as determined by the consultant, based on the JHLP requirements and schedule of in-lieu fees in effect on the date the Port and MOH enter into ground lease or other agreement for the non-trust Port land to be used as an affordable housing site. (C) In any case under which the affordable housing site is offered to MOH through a sublease to MOH of a portion of property held by a third party developer under a ground lease from the Port, MOH shall be entitled to recover from the developer all administrative costs MOH incurs, including attorneys' and consultants' fees and costs, in conducting its due diligence on the suitability of the proffered site for affordable housing. (D) The Port may allocate the JHLP Credits among the types of uses then subject to JHLP obligations. The Port will calculate the square footage of each type of anticipated development on non-trust Port lands that would be prepaid by the JHLP Credits and provide a schedule of the allocated JHLP Credits to MOR The following example shows a hypothetical allocation of JHLP Credits in the amount of $1 million allocated to offset JHLP obligations for development of new uses on Port lands based on JHLP fees in effect in May 2012.

Use 2012 Fee per Gross Square Foot ($) Anticipated Development (GSF) JHLP Credit Applied ($) Integrated PDR 15.69 10,000 156,900 Institutional 0.0 25,000 0 Office 19.96 15,000 299,400 R&D 13.30 30,000 399,000 Small Enterprise Workspace 15.69 9,280 145,600

(2) The Port and MOH are authorized to enter into a memorandum of understanding that provides for the Port to satisfy all or part of the JHLP obligations on any portion of development on non-trust Port lands through the use of JHLP Credits ("JHLP MOU"). The JHLP MOU shall reflect the establishment of JHLP Credits and develop accounting procedures to establish the basis for calculating JHLP Credits, including the assumptions regarding the uses and amount of development, and the value of the JHLP Credits credited to the Port's account. The Director of MOH and the Port Commission must each approve the execution of a JHLP MOU documenting the amount, form, and other terms for the Port's pre-payment of JHLP obligations for development on non-trust Port lands, including the manner in which terms applicable to any later JHLP MOUs between the Port and MOH will be applied. Following approval by the Mayor and the Board of Supervisors under Charter Section B7.320, the JHLP MOU will be recorded in the Official Records. The JHLP MOU also may provide for the attachment of schedules to reflect allocations of JHLP Credits arising from specific affordable housing sites subject to the JHLP MOO, which the Port and MOH are authorized to enter into without further approval by the Mayor and the Board of Supervisors. The recorded JHLP MOO, including any attached or amended schedules, will be conclusive evidence that JHLP obligations have been satisfied fully for any future applicable development on non-trust Port lands as provided in the JHLP MOU. (3) MOH and the Port shall forward a copy of the recorded JHLP MOU and any schedules to the Development Fee Collection Unit at the Department of Building Inspection. The Development Fee Collection Unit will waive the imposition of any additional JHLP obligations for actual development up to the amount of the Port's JHLP Credits. A development for which the Port has pre-paid JHLP obligations in accordance with a JHLP MOU meeting all the conditions of this Section will be exempt from any other procedures for the imposition and enforcement of JHLP exactions under the Municipal Code, as amended from time to time. (d) Neither this Section nor the JHLP MOU shall: (1) preclude any development on land under Port jurisdiction from satisfying the obligations of the JHLP, in part or in whole, through the mechanisms provided in the JHLP, Planning Code Sections 413 et seq., or any successor provisions; or (2) excuse the Port from compliance with Charter Section B7.320, when applicable to any JHLP MOU regarding JHLP Credits allocated to the Port under this Section; or (3) excuse the Port from compliance with Charter Section 9.118, when applicable to any Port lease to MOH or its designee for affordable housing development as provided in this Section. (Added by Ord. 232-12, File No. 120816, App. 11/20/2012, Eff. 12/20/2012)