San Francisco officials discuss rent control impacts of state ADU program

The San Francisco County government meeting on July 4, 2025, focused on the implications of local versus state regulations regarding Accessory Dwelling Units (ADUs) and rent control. Key discussions centered on how state mandates may preempt local laws, particularly in relation to rent control measures.

President Peskin initiated the conversation by referencing the historical context of rent control in San Francisco, noting that local regulations have been in place since 2003. He expressed concerns that state programs could undermine these local laws, specifically regarding the application of rent control when state-approved programs are utilized.

Natalia Fassi from the planning department provided data indicating that approximately 85% of ADUs constructed in San Francisco were approved under the local program, thus subject to rent control. In contrast, only 15% were approved under the state program, which has seen increased usage since amendments in 2020. Fassi noted that most of these state-approved ADUs are found in single-family homes, while multifamily properties predominantly utilize the local program.

The discussion also clarified that existing units, such as junior ADUs built within the existing structure, remain subject to rent control if they were constructed before 1979. This point was confirmed through collaboration with the rent board, emphasizing that legalizing previously unauthorized units through the state program does not affect their rent-controlled status.

Overall, the meeting underscored the ongoing tension between local and state regulations regarding housing, highlighting the importance of maintaining local control over rent policies to protect tenants in San Francisco. The next steps involve further clarifications and potential amendments to ensure that local regulations remain effective in the face of state interventions.