Board adopts planning‑code changes on 1st reading after contentious debate and a rescinded vote

The Board considered Item 39, a comprehensive amendment to the planning code that reduces on‑site inclusionary affordable housing requirements for many projects, raises the project size threshold for inclusionary obligations from 10 to 25 units, permits land dedication as an alternative to fee payment, and reduces certain development impact fees.

Supporters said the package restores feasibility to projects stalled by rising costs and pairs with a charter amendment to expand the Housing Trust Fund. "We cannot collect affordable housing fees from projects that are never built," a backer said, urging pragmatism. Opponents warned the changes lower longstanding protections and urged caution in singling out neighborhoods.

Supervisor Fielder offered Mission‑specific amendments to require an 8% on‑site inclusionary rate in the Mission Area Plan (6% low income / 2% moderate). The amendment drew votes and a subsequent procedural motion to rescind and re‑call the vote before a final roll call. After the floor action and re‑call, the ordinance as amended passed on first reading (final roll call recorded 9 ayes, 2 nos with Walton and Chen voting no).

Speakers emphasized the package’s tradeoffs: supporters framed it as necessary to spur housing production; critics said it risks weakening affordability tools and questioned relying on future ballot approval of the housing trust fund. The item will return for a second reading and additional committee follow‑up.