413.9

SEC. 413.9. CITYWIDE AFFORDABLE HOUSING FUND. (a) Use of Fees. All monies contributed pursuant to the Jobs Housing Linkage Fee Program in Section 413.1 et seq. shall be deposited in the Citywide Affordable Housing Fund (“Fund”), established in Administrative Code Section 10.100-49. The receipts in the Fund collected under Section 413.1 et seq. shall be used solely to increase the supply of housing Affordable to Qualifying Households subject to the conditions of this Section 413.9. The fees collected under this Section may not be used, by way of loan or otherwise, to pay any administrative, general overhead, or similar expense of any entity. MOHCD shall develop procedures such that, for all projects funded by the Citywide Affordable Housing Fund, MOHCD requires the project sponsor or its successor in interest to give preference in occupying units as provided for in Administrative Code Chapter 47. (1) Preservation and Acquisition Funds. (A) Designation of Funds. MOHCD shall designate and separately account for 10% of all fees that it receives under Section 413.1 et seq. that are deposited into the Fund to support the acquisition and rehabilitation of rent restricted affordable rental housing. (B) Use of Preservation and Acquisition Funds. The funds shall be used exclusively to acquire and preserve existing housing with the goal of making such housing permanently affordable, including but not limited to acquisition of housing through the City’s Small Sites Program. Units supported by monies from the Fund shall be designated as housing affordable to qualified households for the life of the project. Properties supported by the Preservation and Acquisition Funds must be: (i) rental properties that will be maintained as rental properties; (ii) vacant properties that were formerly rental properties as long as those properties have been vacant for a minimum of two years prior to the effective date of the ordinance in Board File No. 190548, amending this Section 413.9; (iii) properties that have been the subject of foreclosure; or (iv) a Limited Equity Housing Cooperative as defined in Subdivision Code Sections 1399.1 et seq. or a property owned or leased by a non-profit entity modeled as a Community Land Trust. (C) Annual Report. At the end of each fiscal year, MOHCD shall issue a report to the Board of Supervisors regarding the total amount of Preservation and Acquisition Funds

received, and how those funds were used. (D) Intent. In establishing guidelines for Preservation and Acquisition Funds, the Board of Supervisors does not intend to preclude MOHCD from expending other eligible sources of funding on Preservation and Acquisition as described in this Section 413.9 1 (2) Permanent Supportive Housing. MOHCD shall designate and separately account for 30% of all fees that it receives under Section 413.1 et seq. that are deposited into the Fund to support the development of permanent supportive housing that meets the requirements of Section 413.1 et seq. (b) Accounting of Funds in Central SoMa Special Use District. Pursuant to Section 249.78(e)(1), all monies contributed pursuant to the Jobs-Housing Linkage Program and collected within the Central SoMa Special Use District shall be paid into the Citywide Affordable Housing Fund, but the funds shall be separately accounted for. Consistent with the allocations in subsection (a), such funds shall be expended within the area bounded by Market Street, the Embarcadero, King Street, Division Street, and South Van Ness Avenue. (Added as Sec. 413.10 by Ord. 108-10, File No. 091275, App. 5/25/2010; amended by Ord. 277-13, File No. 130968, App. 12/18/2013, Eff. 1/17/2014; Ord. 143-15, File No. 150568, App. 8/6/2015, Eff. 9/5/2015; Ord. 204-15, File No. 150622, App. 12/3/2015, Eff. 1/2/2016; Ord. 296-18, File No. 180184, App. 12/12/2018, Eff. 1/12/2019; redesignated and amended by Ord. 251-19, File No. 190548, App. 11/15/2019, Eff. 12/16/2019; amended by Ord. 210-21, File No. 210868, App. 11/19/2021, Eff. 12/20/2021) AMENDMENT HISTORY Section amended; Ord. 277-13, Eff. 1/17/2014. Section amended; Ord. 143-15, Eff. 9/5/2015. Section amended; Ord. 204-15, Eff. 1/2/2016. Second undesignated paragraph added; Ord. 296-18, Eff. 1/12/2019. Section redesignated; undesignated paragraphs amended and designated as divisions (a) and (b); new divisions (a)(1)-(a)(2) added; Ord. 251-19, Eff. 12/16/2019. Division (a) amended; Ord. 210-21, Eff. 12/20/2021. CODIFICATION NOTE 1. So in Ord. 251-19. SEC. 413.10. [REDESIGNATED.] SEC. 413.11. EVALUATION OF FEE. (a) If, in the discretion of the Director of Planning, there has been a substantial change in the San Francisco and/or regional economies since the effective date of the requirements of Section 413.1 et seq., the Director may recommend to the Commission, the Board of Supervisors, and the Mayor that Section 413.1 et seq. be amended or rescinded to alleviate any undue burden on commercial development in the City that Section 413.1 et seq. may impose. (b) At the next comprehensive evaluation of all development fees and development impact requirements, pursuant to Section 410, the Controller, in consultation with the Department, and MOHCD and any necessary consultants, consistent with the civil service provisions of the Charter, and every five years thereafter, shall commission an update to the Jobs-Housing Nexus Analysis. The comprehensive evaluation of the Jobs-Housing Linkage Fee, pursuant to Section 410, shall include an evaluation of office projects in a range of sizes and an assessment of the availability of office allocation. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010; amended by Ord. 251-19, File No. 190548, App. 11/15/2019, Eff. 12/16/2019) AMENDMENT HISTORY Section header amended; undesignated paragraph designated as division (a) and amended; division (b) added; Ord. 251-19, Eff. 12/16/2019. [CHILD CARE REQUIREMENTS FOR OFFICE AND HOTEL DEVELOPMENT PROJECTS] SEC. 414. CHILD-CARE REQUIREMENTS FOR OFFICE AND HOTEL DEVELOPMENT PROJECTS. Sections 414.1 through 414.15 (hereafter referred to as Section 414.1 et seq.) set forth the Child Care requirements for Office and Hotel Development Projects. The effective date of these requirements shall be either September 6, 1985, which is the date that the requirements originally became effective, or the date a subsequent modification, if any, became effective. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010) SEC. 414.1. PURPOSE AND FINDINGS SUPPORTING CHILDCARE REQUIREMENTS FOR OFFICE AND HOTEL DEVELOPMENT PROJECTS. (a) Purpose. Office, hotel, and other new commercial developments in the City are benefitted by the availability of childcare for persons employed in such developments close to their place of employment. However, the supply of childcare in the City has not kept pace with the demand for childcare created by new employees. Due to this shortage of childcare, employers will have difficulty in securing a labor force, and employees unable to find accessible and affordable quality childcare will be forced either to work where such services are available outside of San Francisco or leave the work force entirely, in some cases seeking public assistance to support their children. In either case, there will be a detrimental effect on San Francisco's economy and its quality of life. The San Francisco General Plan encourages "continued growth of prime downtown office activities so long as undesirable consequences of such growth can be avoided" and requires that there be the provision of "adequate amenities for those who live, work and use downtown." In light of these provisions, the City should impose requirements on developers of certain commercial projects designed to mitigate the adverse effects of the expanded employment facilitated by such projects. To that end, the Commission is authorized to promote affirmatively the policies of the General Plan through the imposition of special childcare development or assessment requirements. It is desirable to impose the costs of the increased burden of providing childcare necessitated by such commercial development projects directly upon the sponsors of new development generating the need. This is to be done through a requirement that the sponsor construct childcare facilities or pay a fee into a fund used to foster the expansion of and to ease access to affordable childcare as a condition of the privilege of development. (b) Findings. The Board of Supervisors has reviewed the San Francisco Citywide Nexus Analysis (“Nexus Analysis”), and the San Francisco Infrastructure Level of Service Analysis, both on file with the Clerk of the Board in File No. 230764 and, under Section 401A, adopts the findings and conclusions of those studies and the general and specific findings in that Section, specifically including the Childcare Findings, and incorporates those by reference herein to support the imposition of the fees under this Section. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010; amended by Ord. 50-15 , File No. 150149, App. 4/24/2015, Eff. 5/24/2015; Ord. 193-23, File No. 230764, App. 9/15/2023, Eff. 10/16/2023) AMENDMENT HISTORY Section header amended; section amended in its entirety; Ord. 50-15 , Eff. 5/24/2015. Division (b) amended; Ord. 193-23, Eff. 10/16/2023. SEC. 414.2. DEFINITIONS. See Section 401 of this Article. (Added by Ord. 108-10, File No. 091275, App. 5/25/2010) SEC. 414.3. APPLICATION. (a) Section 414.1 et seq. shall apply to office and hotel development projects proposing the net addition of 25,000 or more gross square feet of office or hotel space. (b) Section 414.1 et seq. shall not apply to: (1) Any development project other than an office or hotel development project, including that portion of an office or hotel development project consisting of a retail use; (2) That portion of an office or hotel development project located on property owned by the United States or any of its agencies; (3) That portion of an office or hotel development project located on property owned by the State of California or any of its agencies, with the exception of such property not used exclusively for a governmental purpose; (4) That portion of an office or hotel development project located on property under the jurisdiction of the Port of San Francisco or the San Francisco Redevelopment Agency where