Street Tree Fee Ordinance Sparks Sharp Canopy Debate at Board of Supervisors

The San Francisco Board of Supervisors plowed through a packed Sept. 1 agenda headlined by a contentious vote on whether developers can pay a fee instead of planting street trees — a measure that split the 11-member board 7-4 along environmental justice lines. The meeting also featured a unanimous denial of a Folsom Street condo conversion appeal, the introduction of sweeping new tenant and worker protections, and a coordinated public campaign demanding the city declare an AI emergency.

• Street tree in-lieu fee ordinance passes 7-4 on first reading, allowing developers to pay fees instead of planting trees and exempting ADU projects entirely; four supervisors dissent over canopy equity and lost appeal rights
• Eviction threshold bill introduced as SF evictions hit a 10-year high, barring landlords from evicting over non-payment unless arrears exceed HUD fair market rent
• BLA audit finds thousands of housing units possible on 44 vacant or underused publicly owned properties across 30 city agencies
• Board unanimously denies condo conversion appeal at 2722-2724 Folsom St., affirming city can condition approvals on violation abatement without a formal notice
• Chan introduces first-of-kind bills letting small commercial tenants unionize and giving workers a right of first offer when their employer sells
• Coordinated public campaign demands AI emergency declaration; Marine veteran announces hunger strike at City Hall

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Trees, Fees and the Fight Over San Francisco's Urban Canopy

The Board's sharpest debate centered on an ordinance amending four city codes to let development projects satisfy street tree planting requirements by paying an in-lieu fee or providing alternative landscaping. Accessory dwelling units — key to the city's family zoning plan — would be exempt from tree requirements entirely. The measure also eliminates most appeals to the Board of Appeals for hazardous tree removals by city departments, though an amendment preserved appeals to the Director of Public Works.

Why it matters: The legislation fundamentally restructures how new housing contributes to San Francisco's urban canopy. Proponents argue centralized government planting produces better outcomes than developer-by-developer compliance; opponents fear the city will collect fees and never plant the trees — widening a canopy gap that already falls heaviest on low-income neighborhoods.

Where things stand: Supervisor Myrna Melgar, the Land Use Committee chair who shepherded the bill, framed opposition as ideological. "I think the underpinning of that argument is the mistrust of government, that somehow government will not do the work as effectively as a private sector. And that, colleagues, is a conservative Republican talking point," she said. Melgar corrected media reports on cost, noting the city spends roughly $2,600 per tree, with about $2,000 of that going to three years of watering.

Supervisor Bilal Mahmood voted yes but only after securing what he called a critical safeguard. "That's why in committee I introduced an amendment to allow for hazard tree removals to still be appealed to the Director of Public Works, and this amendment was passed unanimously," he said. He cited a case in the Lower Haight/Duboce Triangle neighborhood where a second forester review saved four of seven ficus trees slated for removal.

The other side: Supervisor Danny Sauter voted no, warning about enforcement. "I'm worried about the fact that if we don't plant these trees at the time of construction development, that we may never get them planted again," he said.

Supervisor Jackie Fielder cast the most pointed dissent, invoking a 2018 case on Calle 24 — the Latino Cultural District's main corridor — where the existing appeals process proved decisive. "Call was slated to have up to 78 trees removed, and the right to appeal led to a negotiation and constructive settlement that saved approximately 45 mature trees on the Latino Cultural District's main corridor and added 100 more throughout the Cultural District," she said, arguing the ordinance would disproportionately harm environmental justice neighborhoods.

Board President Rafael Mandelman supported the measure but pressed David Moore, Superintendent of the Bureau of Urban Forestry, on whether the city is keeping pace. Mandelman noted that "in the last 10 years, as the city's assumed responsibility for street tree maintenance, we've seen more of them coming out than going in." Moore responded that the first round of citywide pruning under Street Tree SF will be completed by year's end, and pointed to new federal money: "We have a $12 million Inflation Reduction Act grant for tree planting" — enough for 3,500 new trees — plus a separate workforce development grant targeting 2,000 vacant planting sites over two years.

Decisions: The ordinance passed first reading 7-4. (For: Mandelman, Chen, Dorsey, Mahmood, Melgar, Sherrill, Wong. Against: Chan, Fielder, Sauter, Walton.) It returns for final passage at a future meeting.

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Fielder Sounds Alarm on Evictions, Introduces Rent Threshold Bill

Supervisor Jackie Fielder introduced legislation that would bar landlords from evicting tenants for non-payment of rent unless the arrears exceed the HUD fair market rent for the unit's bedroom size — a protection already in place in Los Angeles, Oakland and Berkeley.

Why it matters: San Francisco evictions hit a 10-year high last year and are on pace to climb higher in 2026. Over half of recent eviction proceedings are for non-payment of rent, and currently landlords can file over any shortfall amount, no matter how small.

Where things stand: Fielder cited data showing the problem is not limited to tenants who have stopped paying altogether. "In a representative sample of non-payment evictions in San Francisco last year, around 25% of tenants were evicted from less than one month of the fair market rent for their unit," she said. The legislation was developed with the Anti-Displacement Coalition and the Eviction Defense Collaborative. Co-sponsors include Supervisors Melgar, Walton, Chan, Chen, Mahmood and Sauter, and the Mayor supports the measure.

What's next: The ordinance heads to committee for hearing.

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BLA Audit: Thousands of Homes Possible on Vacant City Land

Supervisor Danny Sauter announced the results of a months-long Budget and Legislative Analyst inventory of publicly owned properties across 30 city departments, agencies and educational entities — including SFUSD and City College.

Why it matters: The review examined over 100 properties representing approximately 6.2 million square feet. Using screening criteria including poor condition, excess land and low site utilization, the BLA identified 44 vacant or soon-to-be-vacant properties warranting further evaluation for affordable housing or other development. The number of potential housing units, Sauter said, "quickly reaches many thousands."

The report also flagged inefficiencies: SFUSD has administrative functions spread across eight different properties, suggesting consolidation opportunities. Sauter highlighted SFMTA's Joint Development Program as a model for systematic portfolio evaluation but noted no coordinated citywide approach exists.

What's next: Sauter requested a hearing with the Department of Real Estate, Mayor's Office of Housing, OEWD and SFMTA.

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Board Denies Folsom Street Condo Conversion Appeal

The Board voted 11-0 to uphold conditions imposed by the Planning Department and Public Works on a two-unit condo conversion at 2722-2724 Folsom Street, denying the property owners' appeal and tabling two related items.

The basics: The property owners challenged a condition requiring abatement of all planning code violations before their final subdivision map could be recorded. An enforcement case for an unauthorized dwelling unit has been open since 2021, but no formal Notice of Violation was ever issued.

Where things stand: Attorney Samuel Ray, representing the appellants, argued the condition was legally and factually improper — no NOV had been issued, the referenced code sections did not apply to two-unit conversions, and a 2025 federal settlement agreement between the owners and the city explicitly prohibited conditioning the conversion on compliance with that settlement.

City staff pushed back. Zoning Administrator Corey Teague explained that "a notice of violation does not need to be issued to mean that there is a violation present," noting Planning typically holds referrals until violations are abated but issued this one at the owner's request. Elias French from Public Works' Bureau of Surveying and Mapping testified that code compliance requirements have always applied to all condo conversions regardless of certain exemptions intended only for the lottery process.

Decisions: Supervisor Fielder, who led questioning of both departments, moved to uphold the conditions. "I am persuaded that Public Works and Planning have the authority to impose the disputed condition on this tentative map approval and that they properly did so," she said. The Board approved 11-0.

What's next: The ruling establishes that the city can condition subdivision approvals on abatement of known violations even without a formal NOV — a precedent relevant to condo conversions across San Francisco.

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Chan Introduces Worker and Small Business Organizing Bills

Supervisor Connie Chan introduced two pieces of legislation that could reshape commercial tenant-landlord dynamics and create new pathways to worker-owned cooperatives.

The Small Business Tenants Union ordinance, modeled on residential "Union at Home" legislation and Japantown Mall merchant organizing, would allow small commercial tenants to unionize to bargain collectively with landlords, prohibit property owners from banning organizing in places of business, and allow the city to recognize these organizations. "The Small Business Tenants Unions is a legislation that model after the successful Union at Home legislation and Japantown Mall merchants organizing," Chan said.

The Workers Opportunity to Purchase Act, modeled on the landmark Community Opportunity to Purchase Act, requires advance notice to workers when an owner intends to sell a business, gives employees a period to form a worker co-op and express interest, provides additional time to finalize financing and submit an offer, and grants a right to match or counter other offers. Owners retain the right to reject.

Chan credited Japantown merchants, Hope Williams and Paula Eisner from the Sustainable Economies Law Center, and Benji Kaplan from UFCW Local 5.

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CalEnviroScreen Changes Could Cut Off SF From State Environmental Grants

In a separate introduction, Supervisor Chan sounded an alarm over proposed changes to the state's CalEnviroScreen scoring tool. "The July 2026 version of the CalEnviroScreen alters scoring thresholds in ways that would remove certain dense low-income urban neighborhoods from the list of disadvantaged communities," she said.

Why it matters: The "disadvantaged community" designation unlocks critical state funding streams including SB 535 Greenhouse Gas Reduction funds, environmental remediation grants, urban greening allocations and public health infrastructure investments. Neighborhoods at risk of losing eligibility include Bayview-Hunters Point, Chinatown, the Mission, South of Market and the Tenderloin — areas with the city's highest pollution burdens and lowest incomes.

Chan's resolution calls on the California Environmental Protection Agency and OEHHA to suspend the proposed changes until robust consultation with residents, community advocates and environmental justice organizations occurs.

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Public Commenters Demand AI Emergency Declaration

At least eight speakers used general public comment to deliver a coordinated message: San Francisco should declare an AI emergency and ban frontier AI development within its jurisdiction.

Wind Kaufman, a retired City College engineering teacher who served jail time for blocking OpenAI's doors, told the Board that UC Berkeley Professor Stuart Russell confirmed serious near-term harms from AI development. Phoebe Thomas cited 17 publicly reported AI-caused felonies. Derek Allen pointed to specific benchmarks showing AI coding abilities exceeding nearly all humans and referenced an autonomous hacking incident. Guido Reichstetter, a Marine veteran, announced he was beginning a hunger strike at City Hall until the Board recognizes an AI emergency, citing 16 novel AI-designed viruses and autonomous hacking swarms.

One dissenting voice, Richard Peterson, argued that San Francisco declaring an AI emergency would be futile and that litigation would determine the limits of AI development. No Board members responded to the comments.

San Francisco hosts the headquarters of both OpenAI and Anthropic, making the city a focal point for grassroots pressure over frontier AI regulation.

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Minor Items

• 22 historic landmark ordinances finally passed 11-0, permanently protecting homes, churches and firehouses across the Mission, Castro, Haight-Ashbury, Noe Valley and other neighborhoods.
• Hunters View Hope SF Phase 2 infrastructure ordinance finally passed, formalizing city acceptance of new streets, sidewalks and utilities in the Hunters Point public housing redevelopment.
• Board President Mandelman honored Vet Boats and founder Matt Gettleman for veteran suicide prevention work during September's recognition month.
• Supervisor Chan honored KTSF TV for 50 years of service as an Asian American media pioneer, declaring Sept. 4, 2026 as KTSF Day.
• Supervisor Mandelman introduced an ordinance to extend legalization of non-conforming rear yard structures to those built before 2010, motivated by elderly disabled constituents who built a Buddhist meditation room in 2018.
• Supervisor Wong introduced a resolution supporting the federal AV Emergency Response Coordination Act after autonomous vehicles were stranded during PG&E outages and July 4th events. "Autonomous vehicles are here to stay. We need to make sure innovation goes hand in hand with public safety," Wong said.
• Supervisor Wong also introduced support for AB 2540, extending medication abortion access to community college campuses, and asked the City Attorney to draft updated formula retail rules aimed at filling vacant storefronts.
• Two resolutions (Items 31-32) adopted 10-0 on consent (Melgar absent). The Board also declared September 2026 as National Service Dog Month.
• Jim McAfee raised concerns during public comment that the Inspector General's office has not published its required biannual report.
• Richard Johnson of HV Safe criticized the Hayes Street closure's impact on residents and merchants, arguing no administrative appeal mechanism exists for SFMTA-permitted street uses.
• Amelia, a District 9 peer counselor advocate, urged the Board to restore peer counselors on the Street Crisis Response Team, reporting 125 letters of support from every district.