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FILE NO. 240193 AMENDED IN COMMITTEE 3/4/2024 ORDINANCE NO. 113-24 [Planning Code - Parcel Delivery Service] Ordinance amending the Planning Code to require Conditional Use authorizations for establishing Parcel Delivery Service uses, prohibit Non-Cannabis Parcel Delivery Service as an accessory use, and revise zoning control tables to reflect these changes; affirming the Planning Department's determination under the California Environmental Quality Act; and making public necessity, convenience, and welfare findings under Planning Code, Section 302, and findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1. NOTE: Unchanged Code text and uncodified text are in plain Arial font. Additions to Codes are in single-underline italics Times New Roman font. Deletions to Codes are in strilcethrough italics Tinws New Romt1nfont. Board amendment additions are in double-underlined Arial font. Board amendment deletions are in strikethrough /\rial font. Asterisks (* * * *) indicate the omission of unchanged Code subsections or parts of tables. Be it ordained by the People of the City and County of San Francisco: Section 1. Findings. (a) The Planning Department has determined that the actions contemplated in this ordinance comply with the California Environmental Quality Act (California Public Resources Code Sections 21000 et seq.). Said determination is on file with the Clerk of the Board of Supervisors in File No. 240193 and is incorporated herein by reference. The Board affirms this determination. (b) On April 25, 2024, the Planning Commission, in Resolution No. 21549, adopted findings that the actions contemplated in this ordinance are consistent, on balance, with the City's General Plan and eight priority policies of Planning Code Section 101.1. The Board Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 1 ,, f' adopts these findings as its own. A copy of said Resolution is on file with the Clerk of the Board of Supervisors in File No. 240193, and is incorporated herein by reference. (c) Pursuant to Planning Code Section 302, this Board finds that these Planning Code amendments will serve the public necessity, convenience, and welfare for the reasons set forth in Planning Commission Resolution No. 21549, and the Board adopts such reasons as its own. A copy of said resolution is on file with the Clerk of the Board of Supervisors in File No. 240193 and is incorporated herein by reference. Section 2. The Planning Code is hereby amended by revising Sections 102, 204.3, 210.1, 210.2, 210.3, 210.4, 303, 703,712,803.2, 830,831,832,833,836,838,839, and 840, to read as follows: SEC. 102. DEFINITIONS. * * * * Service, Parcel Delivery. A Non-Retail Automotive Use limited to facilities for the unloading, sorting, and reloading of local retail merchandise for deliveries, including but not limited to cannabis and cannabis products, where the operation is conducted entirely within a completely enclosed building, including garage facilities for local delivery trucks, but excluding repair shop facilities. Within WJzere permitted i1q PDR Districts, this use is not required to be operated within a completely enclosed building. Parcel Delivery Service for merchandise or products other than cannabis and cannabis products use requires a Conditional Use authorization pursuant to Section 303(cc) and is not allowed as an accessory use to any other principal use. * * * * Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 2 SEC. 204.3. ACCESSORY USES FOR USES OTHER THAN DWELLINGS INC, RC, M, AND PDR DISTRICTS. * * * * (e) Accessory Storage in C Districts. Accessory storage on the second floor and above is permitted for stock and trade relating to retail uses with street level storefronts in the same building. There shall be no limitation on the square footage of accessory storage as long as the storage supports a ground floor use in the same building. (f} Prohibition of Non-Cannabis Parcel Delivery Service as Accessory Use. Parcel Delivery Service, as defined in Section 102 of the Planning Code, for merchandise or products other than cannabis and cannabis products is not allowed as an accessory use to any other principal use. SEC. 210.1. C-2 DISTRICTS: COMMUNITY BUSINESS. * * * * Table 210.1 ZONING CONTROL TABLE FOR C-2 DISTRICTS Zoning Category § References * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Service, Parcel Delivery §.§: 102, 30JCcc2 * * * * Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS C-2 C Page 3 * * * * SEC. 210.2. C-3 DISTRICTS: DOWNTOWN COMMERCIAL. * * * * Table 210.2 ZONING CONTROL TABLE FOR C-3 DISTRICTS Zoning C-3- § References C-3-0 C-3-R C-3-G Category O(SD) * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Service, Parcel §.§: 102, 303(cc) C C C C Delivery * * * * SEC. 210.3. PDR DISTRICTS. * * * * Table 210.3 ZONING CONTROL TABLE FOR PDR DISTRICTS Zoning § References PDR-1-B PDR-1-D Category * * * * NON-RESIDENTIAL STANDARDS AND USES Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS PDR-1-G C-3-S C.P. PDR-2 Page4 * * * * Automotive Use Category * * * * Service, Motor § 102 p p p Vehicle Tow Service, Parcel §§ 102, 303(cc) C C C Delivery_ * * * * * * * * SEC. 210.4. M DISTRICTS: INDUSTRIAL. * * * * Table 210.4 ZONING CONTROL TABLE FOR M DISTRICTS Zoning Category § References M-1 M-2 * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Parking Lot, Public §§ 102, 142, 156 C C Service, Parcel Delivery_ §§ 102, 303(cc) C C * * * * Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS p C Page 5 * * * * SEC. 303. CONDITIONAL USES. * * * * (bb) Social Service and Philanthropic Facilities in Chinatown Visitor Retail, Chinatown Residential Neighborhood Commercial, and Chinatown Community Business Districts. With regard to a Conditional Use application for a Social Service or Philanthropic Facility use pursuant to Section 121.4 of this Code, in addition to consideration of the criteria set forth in subsection (c) above, the Planning Commission shall, in order to grant a Conditional Use Authorization, find that the proposed use will primarily serve the Chinatown neighborhood. (cc) Parcel Delivery Services. (I) Criteria. With respect to a Conditional Use application for Parcel Delivery Service use as defined in Section 102 of the Planning Code that is less than 5.000 square feet in size. the Planning Commission shall consider the criteria in subsections (c) and (d) above. With respect to a Conditional Use application for Parcel Delivery Service use that is 5,000 square feet or larger. as defined in Section 102 of the Planning Code, in addition to the criteria in subsections (c) and (d) above, the Planning Commission shall consider the following: (A) The extent to which the use will adversely impact traffic patterns and queuing times and add total vehicle miles traveled, including by delivery drivers and couriers operating to and from the site; (B) The greenhouse gas emissions resulting from operating o(the site, including from indirect sources such as courier and delivery vehicles; (C) The impact that the use will have on public transit, public safety, and emergency response, with particular attention paid to the rate of workplace in;ury associated with the use and moving violations and traffic accidents requiring public safety or emergency service response,· Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 6 (D) The impact on educational institutions located near the site: and ~Q.) An economic impact study. The Planning Department shall prepare an economic impact study using City staff or shall, consistent with the Charter, select a consultant from a pool ofpre-quali[ied consultants to prepare the economic impact study required by this subsection (cc). The economic impact study shall be considered by the Planning Commission in its review of the application. In the event a consultant is used, the applicant shall bear the cost ofpaying the consultant for their work preparing the economic impact study, and any necessary documents prepared as part of that study. The study shall evaluate the potential economic impact of the applicant's proposed proiect, including: (i) Employment Analysis. The report shall include the following employment information: a proiection of both construction-related and permanent employment generated by the proposed proiect, and a discussion of whether the employer ofthe proposed proiect will pay a living wage, inclusive of non-salary benefits expected to be provided, relative to San Francisco's cost of!iving. The employment analysis shall also include a discussion of the past and current employment practices oft he proposed operator, if any, including but not limited to artificial intelligence utilization and autonomous vehicles driven in ratio of human-operated activities. (ii) Fiscal Impact. The report shall itemize public revenue created by the proposed proiect and public services needed because of the proposed proiect, relative to net fiscal impacts to the General Fund. The impacts to the City's public facilities and infrastructure shall be estimated using the City's current assumptions in existing nexus studies (including area plan, transit, open space in-lieu fee and other impact fees), and should account for any contributions the proposed proiect would make through such impact fee payments. (2) Required Additional Conditions. All Parcel Delivery Service facilities shall be subiect to at least the following conditions o(proiect approval: Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 7 (A) Electrification. Facilities shall include necessary infrastructure and electrical capacity to accommodate and charge electric vehicles-including electric heavy-duty delivery trucks, employee vehicles, and all other zero-emission vehicles accessing the facility; power refrigeration for refrigerated spaces; and serve any other processes that would otherwise rely upon fossil fuel combustion. Facilities shall install battery storage to address power disruption. Diesel back-up generators shall only be permitted if the facility demonstrates battery storage is infeasible and shall meet CARB 's Tier 4 emission standards or meet the most stringent in-use standard, whichever has the least emissions. (B) Idling of Vehicles. To reduce idling emissions from transport trucks, the facility shall have signage placed at truck access points, loading docks, and truck parking areas that clearly notes idling for more than three minutes is strictly prohibited on the subiect property. The .facility shall fund placement of similar signs installed by the City in the adiacent streets used for access. Each sign placed outside the property should note the California Air Resources Board idling prohibitions on the adiacent streets and include telephone numbers ofthe building facilities manager and the California Air Resources Board to report violations. All signage should be made of weather- proof materials. All site and architectural plans submitted to the City shall note the locations of these SEC. 703. NEIGHBORHOOD COMMERCIAL DISTRICT REQUIREMENTS. * * * * (d) Accessory Uses. Subject to the limitations set forth below and in Sections 204.1 (Accessory Uses for Dwellings in All Districts), 204.4 (Dwelling Units Accessory to Other Uses), and 204.5 (Parking and Loading as Accessory Uses) of this Code, Accessory Uses as defined in Section 102 shall be permitted when located on the same lot. Notwithstanding the foregoing, a Retail Workspace, as defined in Section 102, shall be permitted as an Accessory Use in connection with any Eating and Drinking Use regardless of the floor area occupied by Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 8 such Accessory Use, so long as (1) the hours of operation for the accessory Retail Workspace use are limited to 9 a.m. to 5 p.m. and (2) such Eating and Drinking Use is also open for business to the general public on each day during which the accessory Retail Workspace use is open. Any Use that does not qualify as an Accessory Use shall be classified as a Principal or Conditional Use unless it qualifies as a temporary use under Sections 205 through 205.4 of this Code. Parcel Delivery Service, as defined in Section 102 of the Planning Code, for merchandise or products other than cannabis and cannabis products is not allowed as an accessory use to any other principal use. * * * * SEC. 712. NC-3 - MODERATE-SCALE NEIGHBORHOOD COMMERCIAL DISTRICT. * * * * Table 712. MODERATE-SCALE NEIGHBORHOOD COMMERCIAL DISTRICT NC-3 ZONING CONTROL TABLE Zoning Category § References * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * NON-RESIDENTIAL USES * * * * Automotive Use Category Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS NC-3 Controls Controls by Story 1st / 2nd / 3rd+ Page 9 Automotive Uses* * * * * * * * * §§ 102, 187.1, 202.2(b},. 303(cc) C NP SEC. 803.2. USES PERMITTED IN CHINATOWN MIXED USE DISTRICTS. * * * * NP (d) Accessory Uses. Subject to the limitations set forth below and in Sections 204.1 (Accessory Uses for Dwelling Units in All Districts), 204.4 (Dwelling Units Accessory to Other Uses), and 204.5 (Parking and Loading as Accessory Uses) of this Code, an Accessory Use as defined in Section 102, shall be permitted in Chinatown Mixed Use Districts when located on the same lot. Any Use not qualified as an Accessory Use shall only be allowed as a Principal or Conditional Use, unless it qualifies as a temporary use under Sections 205 through 205.4 of this Code. Parcel Delivery Service, as defined in Section 102 of the Planning Code. for merchandise or products other than cannabis and cannabis products is not allowed as an accessory use to any other principal use. * * * * SEC. 830. CMUO-CENTRAL SOMA MIXED USE-OFFICE DISTRICT. * * * * Table 830 CMUO-CENTRAL SOMA MIXED USE-OFFICE DISTRICT ZONING CONTROL TABLE Central SoMa Mixed Use-Office District Controls Zoning Category § References j Controls NON-RESIDENTIAL STANDARDS & USES * * * * Automotive Use Category Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 10 * * * * Service, Motor Vehicle Tow § 102 C Service, Parcel Delivery_ ~~ 102, 303Ccc2 C * * * * * * * * SEC. 831. MUG - MIXED USE-GENERAL DISTRICT. * * * * Table 831 MUG - MIXED USE-GENERAL DISTRICT ZONING CONTROL TABLE Mixed Use-General District Zoning Category § References Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Service, Motor Vehicle Tow § 102 C(1) Service, Parcel Delivery_ ~~ 102, 303Ccc2 C * * * * * * * * SEC. 832. MUO - MIXED USE-OFFICE DISTRICT. * * * * Table 832 MUO - MIXED USE-OFFICE DISTRICT ZONING CONTROL TABLE Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 11 Mixed Use-Office District Zoning Category § References Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel DeliverY._ i§ 102, 303Ccc) C I* * * * * * * * SEC. 833. MUR - MIXED USE-RESIDENTIAL DISTRICT. * * * * Table 833 MUR - MIXED USE-RESIDENTIAL DISTRICT ZONING CONTROL TABLE Mixed Use-Residential Zoning Category § References District Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel DeliverY._ §§ 102, 303Ccc) C Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 12 * * * * I - * * * * SEC. 836. SALi - SERVICE/ARTS/LIGHT INDUSTRIAL DISTRICT. * * * * Table 836 SALi - SERVICE/ARTS/LIGHT INDUSTRIAL DISTRICT ZONING CONTROL TABLE Service/Arts/Light Zoning Category § References Industrial District Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel Delivery__ ff 102, 303Ccc2 C * * * * * * * * SEC. 838. UMU - URBAN MIXED USE DISTRICT. * * * * Table 838 UMU - URBAN MIXED USE DISTRICT ZONING CONTROL TABLE Urban Mixed Use District Zoning Category § References Controls * * * * Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 13 NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel Delivery_ {{ 102, 303Ccc2 C * * * * * * * * SEC. 839. WMUG - WSOMA MIXED USE-GENERAL DISTRICT. * * * * Table 839 WMUG - WSOMA MIXED USE-GENERAL DISTRICT ZONING CONTROL TABLE Western SoMa Mixed Use- Zoning Category § References General District Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel Delivery_ {{ 102, 303Ccc2 C * * * * * * * * Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 14 1 1 SEC. 840. WMUO - WSOMA MIXED USE-OFFICE DISTRICT. * * * * Table 840 WMUO-WSOMA MIXED USE-OFFICE DISTRICT ZONING CONTROL TABLE Western SoMa Mixed Use- Zoning Category § References Office District Controls * * * * NON-RESIDENTIAL STANDARDS AND USES * * * * Automotive Use Category * * * * Public Parking Lot § 102 NP Service, Parcel Deliver}!__ §_§_ 102, 303(ccl C * * * * * * * * Section 3. Effective Date: Retroactivity. (a) This ordinance shall become effective 30 days after enactment. Enactment occurs when the Mayor signs the ordinance, the Mayor returns the ordinance unsigned or does not sign the ordinance within ten days of receiving it, or the Board of Supervisors overrides the Mayor's veto of the ordinance. (bl It is the intent of this Board of Supervisors that the interim controls imposed by the resolution in Board of Supervisors File No. 230817, which will expire on March 308-, 2024, and which will be made permanent by this ordinance, continue without interruption. Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 15 Therefore, upon the effective date of this ordinance, the ordinance shall be retroactive to March 308, 2024. Section 4. Scope of Ordinance. In enacting this ordinance, the Board of Supervisors intends to amend only those words, phrases, paragraphs, subsections, sections, articles, numbers, punctuation marks, charts, diagrams, or any other constituent parts of the Municipal Code that are explicitly shown in this ordinance as additions, deletions, Board amendment additions, and Board amendment deletions in accordance with the "Note" that appears under the official title of the ordinance. APPROVED AS TO FORM: DAVID CHIU, City Attorney By: /s/ Robb Kapla ROBB KAPLA Deputy City Attorney n:\legana\as2024\2300343\017 41016.docx Supervisors Chan; Dorsey, Stefani, Mandelman, Preston, Melgar, Engardio BOARD OF SUPERVISORS Page 16 City and County of San Francisco Tails Ordinance City Hall I Dr. Carlton B. Goodlett Place San Francisco, CA 94102-4689 File Number: 240193 Date Passed: June 04, 2024 Ordinance amending the Planning Code to require Conditional Use authorizations for establishing Parcel Delivery Service uses, prohibit Non-Cannabis Parcel Delivery Service as an accessory use, and revise zoning control tables to reflect these changes; affirming the Planning Department's determination under the California Environmental Quality Act; and making public necessity, convenience, and welfare findings under Planning Code, Section 302, and findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1. March 04, 2024 Land Use and Transportation Committee - AMENDED, AN AMENDMENT OF THE WHOLE BEARING SAME TITLE March 04, 2024 Land Use and Transportation Committee - CONTINUED TO CALL OF THE CHAIR AS AMENDED May 20, 2024 Land Use and Transportation Committee - RECOMMENDED AS COMMITTEE REPORT May 21, 2024 Board of Supervisors - PASSED ON FIRST READING Ayes: 11 - Chan, Dorsey, Engardio, Mandelman, Melgar, Peskin, Preston, Ronen, Safai, Stefani and Walton June 04, 2024 Board of Supervisors - Fl NALLY PASSED City and County of San Francisco Ayes: 11 - Chan, Dorsey, Engardio, Mandelman, Melgar, Peskin, Preston, Ronen, Safai, Stefani and Walton Page I Printed at 9:03 am on 6/5124 File No. 240193 London N. Breed Mayor City and County of San Francisco Pagel I hereby certify that the foregoing Ordinance was FINALLY PASSED on 6/4/2024 by the Board of Supervisors of the City and County of San Francisco. Angela Calvillo Clerk of the Board Date Approved Printed at 9:03 am on 6/5124