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San Francisco Board approves ordinance for expanded retail flexibility to boost small businesses

October 30, 2023 | San Francisco County, California


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San Francisco Board approves ordinance for expanded retail flexibility to boost small businesses
The San Francisco County government meeting held on July 4, 2025, focused on a significant ordinance aimed at amending the planning code to support small businesses in the city. The ordinance, sponsored by Mayor Breed and co-sponsored by several supervisors, seeks to reduce barriers for new and existing businesses, particularly in light of challenges posed by the pandemic and changing consumer behaviors.

The meeting began with a detailed presentation of the ordinance, which includes twelve key amendments. These amendments aim to permit additional commercial retail and restaurant uses in neighborhood commercial districts and residential areas, create a new category for professional services, and establish distinct regulations for music and entertainment venues. Notably, the ordinance also proposes to allow limited corner commercial uses and conditionally permit formula retail and restaurant uses in specific districts.

Katie Tang, the director of the Office of Small Business, emphasized the ordinance's goals: to ease the process for businesses to open and adapt, reduce lengthy permitting processes, and fill vacant commercial spaces. The legislation aims to provide greater flexibility for businesses by allowing multiple uses in the same space and expanding the types of businesses that can operate on the ground floor.

Key changes include lifting restrictions on restaurants and bars in certain areas, increasing the cap on the number of limited restaurants and bars in the Mission District, and incorporating a new liquor license type for music venues that allows minors on the premises. Additionally, the ordinance proposes to streamline the permitting process by removing public notice requirements for changes of use in Eastern neighborhoods, expediting the transition for businesses changing their operations.

The meeting also highlighted the importance of community outreach, with Tang noting that the recommendations were informed by direct conversations with business owners and ongoing discussions with merchant associations. The ordinance aims to address the specific needs and challenges faced by small businesses, ensuring they have the support necessary to thrive in a competitive environment.

As the meeting progressed, supervisors expressed their support for the ordinance while acknowledging the complexities involved in zoning changes. The discussion underscored the need for a balance between facilitating business growth and maintaining predictable zoning regulations.

In conclusion, the ordinance represents a proactive step by San Francisco County to foster a more business-friendly environment, aiming to revitalize the local economy and support the diverse needs of its small business community. Further discussions and amendments are expected as the ordinance moves forward in the legislative process.

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