Ordinance amending the Planning Code to eliminate limits on Non-Residential Use Sizes in the Castro Street Neighborhood Commercial District (NCD), Pacific Avenue NCD, Polk Street NCD, West Portal Avenue NCD, North Beach NCD and North Beach Special Use District, Regional Commercial Districts, and Residential-Commercial District; allow specified Non-Residential Uses that exceed the Use Size limits to divide into smaller spaces that may continue to exceed the Use Size limits, without conditional use authorization; adjust the Use Size limit in all NCDs to a round number; affirming the Planning Department’s determination under the California Environmental Quality Act; making findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1; and making findings of public necessity, convenience, and welfare pursuant to Planning Code, Section 302.

The Controller’s Office released a report indicating that new business formation was significantly below pre-pandemic levels, particularly in retail and restaurant sectors, highlighting high vacancy rates in various neighborhoods.

Supervisor Melgar introduced an ordinance to amend the Planning Code to eliminate limits on Non-Residential Use Sizes in several Neighborhood Commercial Districts and allow specified uses to divide into smaller spaces without conditional use authorization.

The Planning Department determined that the proposed ordinance complies with the California Environmental Quality Act, which is necessary for the legislation to proceed.

The Planning Commission adopted Resolution No. 21782, finding that the proposed ordinance is consistent with the City’s General Plan and the eight priority policies of the Planning Code.

The Land Use and Transportation Committee reviewed the ordinance, which was duplicated for further consideration, indicating ongoing discussions and potential amendments.

The ordinance was filed as an inactive matter, indicating a pause in its legislative progress.