Powell Street ‘Golden Lantern’ Rebuild Cleared to Start Construction

San Francisco's Public Works Commission gave the green light Oct. 8, 2026, for the $34.15M Powell Street rebuild at Union Square's front door, with construction possible as soon as November. Three commissioners, the bare minimum for a quorum, approved the item by voice vote and adopted an annual report showing fewer contracts, bigger dollars and far less public input. No member of the public spoke on any item.

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• Powell Street rebuild approved for construction: $800,000 and 60 days added to preconstruction, with the $34,153,810 cap unchanged.
• Commissioner questions the approval process: Why did a sub-$1M amendment need a commission vote?
• Streetscape program has no dedicated annual funding, and a commissioner urged defending the department's indirect fee before budget season.
• Storm prep ramps up with "Sandbag Saturdays," while an earthquake drill exposed FEMA paperwork gaps.
• New prevailing-wage rule covers city-funded street cleaning, but a workforce carve-out limits the cost impact.
• Annual report adopted showing more power delegated to the director and sharply lower public participation.

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Powell Street Moves From Drawings to Dirt

1 big thing: The commission authorized the Powell Street Improvement Project, which covers Powell between Market and Geary in District 3, to move into construction. The design is the "Golden Lantern" vision from Field Operations, the firm behind New York's High Line.

The basics: In February, the commission hired Clark under a construction manager/general contractor (CMGC) contract. Under that model, the builder joins during design and then builds the project. Full construction funding couldn't be requested until the project cleared the California Environmental Quality Act (CEQA) review, and that clearance has now arrived.

Where things stand: Project and Streetscape Program Manager Michelle Wu requested two things:

• An extra $800,000 and 60 calendar days for preconstruction, so early work packages can proceed while cable car operations and trade packages are finalized.
• Authorization to start construction, with no change to the $34,153,810 total.

"Clark has started working on bidding out different subcontractor trade packages, and we hope to start construction as soon as November, December of this year," said Wu.

The scope includes:

• Full sidewalk replacement on three blocks
• Wider sidewalks and bulb-outs
• New lighting, including the golden lantern feature
• Landscaping and street furnishings
• Changes to loading zones and cable car service

Crews must work around more than 20 subsurface basements. Wu said the project will aim to keep every building accessible at all times. Outreach is running block by block with merchants and residents through the Union Square Alliance. The project traces back to a 2023 Alliance grant from the city's Office of Economic and Workforce Development (OEWD).

The schedule: Vice Chair Eleanor Blume asked whether the extension still allows completion by the end of 2027. Wu confirmed the team is still aiming for November 2027, a goal she called "very aggressive" and set jointly with the mayor's office.

The other side: Commissioner Gerald Turner questioned the process rather than the project. "This contract amendment is under $1 million. Why is this not just delegated to your authority to approve?" he asked.

Public Works Director Carla Short said the vote also approves the roughly $34M construction contract, which is above her delegated authority. "We were anticipating the full project cost at that time, but we can't actually ask for the full project until we have the CEQA clearances," she said. Turner suggested structuring future CMGC contracts so the director can act faster.

One question raised during the discussion involved a separate Powell item on the consent calendar with a $555,000 contingency. Short explained that item is an already-under-construction pedestrian safety project covering bulb-outs, signals and curb ramps. She called it the precursor to "our beautiful streetscape project coming behind."

Decisions and stakeholder impacts: The item passed by voice vote. The likely tally is For: 3 (Chair Fady Zoubi, Vice Chair Blume, Commissioner Turner), Against: 0, Absent: 1 (Commissioner Paul Woolford). Blume seconded, and the mover wasn't identified. A single "nay" was heard right after the chair asked for opposition. It may have been part of the chair's standard phrasing, but the official minutes should confirm whether anyone dissented.

The impacts fall on several groups:

• Union Square merchants and residents face roughly a year of construction in a district the city wants revived.
• Cable car riders should expect service changes.
• Clark now moves from planning to building.
• Harvey Milk Plaza may follow the same model, which Turner praised.

What's next: Clark is bidding subcontractor packages now, and construction could start in November or December 2026.

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Streetscapes Win Awards, but the Funding Is Patchwork

Why it matters: The city's showcase street projects are assembled one at a time from scattered pots of money. That leaves them exposed whenever budgets tighten.

"Our streetscape projects are not funded with a standing annually funded program, not an evergreen program," Wu said in the department's first consolidated streetscape update. Each project is stitched together from bonds, grants and general fund dollars across agencies.

Where things stand:

• Completed: Potrero Gateway, built with the Potrero Hill Neighborhood Association and Caltrans, won the American Public Works Association's (APWA) Project of the Year. The 6th Street pedestrian project with SFMTA won a Complete Streets award.
• In construction: Folsom Street from 2nd to 11th, shaped with SOMA Pilipinas and the leather and LGBTQ communities, with a ribbon cutting expected within weeks. Transbay Howard is also underway, coordinated with Moscone Center.
• In design: Japantown's Buchanan Mall–Osaka Way with the Japantown CBD. Also in design is the 2.5-acre Transbay Underramp Park with OCII, Caltrans and the East Cut CBD, which is set to go out to bid next year. Powell Street rounds out the list.

Turner asked about philanthropic partners such as the Downtown Development Corporation and the Embarcadero park redo. Director Short said Public Works landscape architects are refining Rec and Park's design and will likely manage construction. More philanthropy-backed downtown projects are under discussion. "Our vision for the department is to be valued as a driver of San Francisco's comeback," she said.

Asked how multi-agency projects are coordinated, Wu cited design checklists, the notice-of-intent process with sister agencies and informal communication. "Because everything happens so fast, almost too fast," she said.

The other side: Turner turned the update into a budget warning. "Just in case anything happens in November, this is one of the arguments why we have to stand by our indirect fee," he said. The indirect fee is the overhead charge that funds the department's technology, infrastructure and staff development.

What's next: This was an informational item, so no vote was taken. Expect the indirect fee to resurface during budget season.

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Sandbags, Trees and a New Wage Rule

Director Short's report covered three topics with real consequences for neighborhoods.

Storm prep: Vice Chair Blume asked about readiness for an expected El Niño season. Short described the department's preparations:

• Weekly planning meetings with key managers
• Expanded emergency tree-pruning contracts
• Procurement lined up in advance

"We have already ordered significant number of additional sandbags, and we're working with other city departments to have Sandbag Saturdays where we will move into the neighborhoods and allow people to pick up sandbags closer to home," she said.

Earthquake drill: A three-hour simulated earthquake exercise exposed weaknesses. Short said the department struggled with "the technical filling out of the necessary forms" needed for FEMA reimbursement. All task forces deployed, but she said the department would have liked to get them out faster. An after-action review is underway.

Trees and water: Mayor Lurie signed an Oct. 2 resolution accepting up to $1M in state funding, secured by State Sen. Scott Wiener, for the Sunset Boulevard Recycled Water Project. The project will irrigate about 60 acres of medians and is expected to save up to 40 million gallons of drinking water a year.

Public Works also launched its first street tree inventory in 10 years and its first using LiDAR, a laser-based mapping technology. The count should take two to four months instead of a year or more. Separately, a $6.7M grant to Friends of the Urban Forest will plant and water 2,000 replacement trees in empty basins over two years.

Short also referenced a Sept. 24 hearing called by Supervisor Matt Dorsey, District 6, on tree canopy equity in his district. Turner noted that District 6 hosts the city's tree nursery.

Prevailing wage: On Sept. 29, the Board of Supervisors gave final approval to File 260084. It requires prevailing wages on city contracts and grants awarded primarily for street cleaning, including power washing, steam cleaning and litter abatement.

The rule covers city-funded agreements with community benefit districts (CBDs), but not work CBDs pay for with their own assessments. The department's main worry was its workforce grants, which fund trash can steam cleaning, power washing in Chinatown and the Tenderloin, and Pit Stop toilets. Short said those concerns "were resolved when the supervisor agreed to essentially carve out workforce development from this legislation." What remains is added reporting but no major financial hit.

"I'm really glad to hear that we were able to strike that compromise," Turner said.

Stakeholder impacts: CBDs and contractors with city-funded cleaning contracts face higher labor costs. Workforce nonprofits avoid the new mandate but take on more paperwork.

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Annual Report: Bigger Contracts, Emptier Rooms

Where things stand: The commission adopted its Charter-required 2025-26 annual report, which covers its work since July 2022. Contract values have grown even as more approval authority has shifted to the director. Commission Secretary Fuller was blunt: "We've had far less public participation in the past year."

Vice Chair Blume argued that shorter meetings reflect "not a decreasing need for the work, but rather that the work is being done faster and better."

The other side: Turner asked about Mr. Pilpil, a once-frequent public commenter whom Turner said mostly raised procedural points. Short said he remains active at other commissions, but she hasn't asked why he engages less with this one.

Chair Fady Zoubi asked whether the report's $1.52 billion in approved contracts includes the high-speed rail connection from Transbay to Townsend. His question got no clear answer before the vote. Fuller also described the commission's roster as in good shape "should the Commission continue," a phrase that echoed Turner's November caution.

Decisions and stakeholder impacts: The report passed by voice vote: For: 3, Against: 0, Absent: 1 (Woolford). Turner moved and Blume seconded. The report now goes to the Board of Supervisors. Anyone tracking Public Works spending should note that oversight increasingly happens at the staff level.

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Minor Items

• Mission SoMa repaving: The contract award was approved on consent and serves as a Chapter 31 environmental action.
• Powell Street Safety Project: A contract modification for the separate bulb-out, signal and curb-ramp work was approved on consent.
• Harvey Milk Plaza: A sole-source design award went to the original architects to avoid restarting design. Public Works will deliver the project.
• New commissioner: Controller Greg Wagner nominated Anthony Rivera to fill Loren Post's vacant seat. The full Board is expected to vote Oct. 20.
• 2027 calendar: Meetings stay on the 2nd and 4th Thursdays at 11 a.m. The calendar was adopted by voice vote, For: 3, Absent: 1.

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Looking Ahead

The commission next meets Thursday, Oct. 22, 2026, at noon in City Hall Room 416. If the Board confirms him, Rivera could be seated that day.