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(a) Applicable Projects. The Van Ness & Market Community Facilities Fee is applicable to any development project within the Van Ness & Market Residential Special Use District, described in Section 249.33, that:
(1) Includes new construction, or an addition of space, in excess of 800 gross square feet of residential use; or
(2) Converts 800 gross square feet or more of existing structure(s) from non-residential to residential use.
(b) Fee Calculation. For applicable projects, the fee is $1.16 per net additional gross square foot of residential use or gross square foot of space converted from non-residential to residential use.
(c) Option for In-Kind Provision of Community Improvements and Fee Credits. Project sponsors may propose to provide community improvements directly to the City. In such a case, the City may enter into an In-Kind Improvements Agreement with the sponsor and issue a partial or total fee waiver for the Van Ness & Market Community Facilities Fund from the Planning Commission, subject to the following rules and requirements:
(1) Approval Criteria. The City shall not enter into an In-Kind Improvements Agreement unless the proposed in-kind improvements meet an identified community need for cultural/arts facilities, social welfare facilities, or community health facilities, as described in the Nexus Study. In addition, the City may reject in-kind improvements if they are not consistent with the priorities identified in the Market & Octavia Area Plan; the priorities identified by the Interagency Plan Implementation Committee (see Section 36 of the Administrative Code), or the Market & Octavia Citizens Advisory Committee; or other prioritization processes related to the Market & Octavia Area Plan community improvements programming. No physical improvement or provision of space otherwise required by the Planning Code or any other City Code shall be eligible for consideration as part of an In-Kind Improvements Agreement.
(d) Timing of Fee Payments. The fee shall be due and payable to the Development Fee Collection Unit at DBI at the time of issuance of the first construction document for the development project. However, the project sponsor shall have the option to defer payment to prior to issuance of the first certificate of occupancy upon agreeing to pay a deferral surcharge as set forth in Section 107A.13.3 of the San Francisco Building Code.
(e) Waiver or Reduction of Fees. Development projects may be eligible for a waiver or reduction of impact fees, pursuant to Section 406.
(Added by Ord. 126-20, File No. 200559, App. 7/31/2020, Eff. 8/31/2020)
(a) Determination of Requirements. The Department shall determine the applicability of Section 425 et seq. to any residential development project requiring a first construction document and, if Section 425 et seq. is applicable, the Department shall determine the amount of the Van Ness & Market Community Facilities Fees required and shall impose these requirements as a condition of approval for issuance of the first construction document for the development project. The project sponsor shall supply any information necessary to assist the Department in this determination.
(b) Department Notice to Development Fee Collection Unit at DBI. Prior to the issuance of a building or site permit for a development project subject to the requirements of Section 425 et seq., the Department shall notify the Development Fee Collection Unit at DBI of its final determination of the amount of the Van Ness & Market Community Facilities Fees required, including any reductions calculated for an In-Kind Improvements Agreement, in addition to the other information required by Section 402(b) of this Article.
(c) Development Fee Collection Unit Notice to Department Prior to Issuance of the First Certificate of Occupancy. The Development Fee Collection Unit at DBI shall provide notice in writing or electronically to the Department prior to issuing the first certificate of occupancy for any development project subject to Section 425 et seq. that has elected to fulfill all or part of its Van Ness & Market Community Facilities Fee requirement with an In-Kind Improvements Agreement. If the Department notifies the Unit at such time that the sponsor has not fully satisfied all of the terms of the In-Kind Improvements Agreement, the Director of DBI shall deny any and all certificates of occupancy until the project complies with the requirements of Section 425 et seq., either through conformance with the In-Kind Improvements Agreement or payment of the remainder of the Van Ness & Market Community Facilities Fee that would otherwise have been required, plus a deferral surcharge as set forth in Section 107A
.13.3.1 of the San Francisco Building Code.
(d) Process for Revisions of Determination of Requirements. In the event that the Department or the Commission takes action affecting any development project subject to Section 425 et seq. and such action is subsequently modified, superseded, vacated, or reversed by the Department or the Commission, Board of Appeals, the Board of Supervisors, or by court action, the procedures of Section 402(c) of this Article shall be followed.
(Added by Ord. 126-20, File No. 200559, App. 7/31/2020, Eff. 8/31/2020)
(a) There is hereby established a separate fund set aside for a special purpose entitled the Van Ness & Market Community Facilities Fund (“Fund”). All monies collected by the Development Fee Collection Unit at DBI pursuant to this Section 425 shall be deposited in a special fund maintained by the Controller. The receipts in the Fund are to be used solely to fund community facilities subject to the conditions of this Section 425 et seq.
(b) Expenditures from the Fund shall be administered by the Mayor’s Office of Housing and Community Development, or its successor. The Mayor’s Office of Housing and Community Development or its successor shall have the authority to prescribe rules and regulations governing the Fund.
(1) All monies deposited in the Fund shall be used to design, engineer, and develop community facilities as described in the Nexus Study, including cultural/arts facilities, social welfare facilities, and community health facilities, in the Market and Octavia Plan Area or within 1,250 feet of the Plan Area.
(2) Funds may be used for administration and accounting of fund assets, for additional studies related to community facilities identified in the Market & Octavia Area Plan or Market & Octavia Area Plan Implementation Document, or by the Interagency Plan Implementation Committee or the Market & Octavia Citizens Advisory Committee, and to defend the Van Ness & Market Community Facilities Fee against legal challenge, including the legal costs and attorney’s fees incurred in the defense. Administration of this fund includes time and materials associated with reporting requirements, facilitating any necessary or required public meetings aside from Planning Commission hearings, and maintenance of the fund. Monies from the Fund may be used by the Planning Commission to commission economic analyses for the purpose of revising the fee, and/or to complete an updated nexus study to demonstrate the relationship between development and the need for public facilities and services if this is deemed necessary. Monies used for the purposes consistent with this subsection 425.4(b)(2) shall not exceed five percent of the total fees collected. All interest earned on this account shall be credited to the Van Ness & Market Community Facilities Fund.
(3) The Planning Department shall report quarterly to the Planning Commission on the current status of the fund, as well as annually as part of the Annual Progress Reports required by Administrative Code Section 36.4.
(4) All funds are justified and supported by the Nexus Study, adopted as part of the Market & Octavia Area Plan Amendments (Ordinance No. 125-20, on file with the Clerk of the Board of Supervisors in File No. 200557) and corresponding Planning Code Amendments (Ordinance No. 126-20 on file with the Clerk of the Board of Supervisors in File No. 200559). Implementation of the Fee and Fund shall be monitored according to the Market and Octavia Area Plan Monitoring Program required by Planning Code Section 341.
(Added by Ord. 126-20, File No. 200559, App. 7/31/2020, Eff. 8/31/2020)
[OPEN SPACE REQUIREMENTS]
(The effective date of these provisions shall be either December 19, 2008, the date that they originally became effective, or the date a subsequent modification, if any, became effective.)
(a) Eastern Neighborhoods Mixed Use Districts. In the Eastern Neighborhoods Mixed Use Districts, except for any parcels within the Central SoMa Special Use District, the usable open space requirement of Section 135.3 may be satisfied through payment of a fee of $76 for each square foot of usable open space not provided. In the Central SoMa Special Use District, the usable open space requirement of Section 135.3 may be satisfied through payment of a fee of $890 for each square foot of required usable open space not provided, and the POPOS requirement of Section 138 may be satisfied through a payment of a fee of $890 for each square foot of required open space not provided. Any square footage for which the Planning Commission grants an exception to design standards pursuant to Section 329(e) other than standards related to required square footage shall be considered as meeting the requirements of Sections 135.3 and 138 for purposes of this Section 426. These fees shall be adjusted in accordance with Section 423.3 of this Article. These fees shall be paid into the Recreation and Open Space subset of the Eastern Neighborhoods Community Improvements Fund, as described in Section 423 of this Article.
(b) C-3-O(SD) District. In the C-3-O(SD) District, if a project sponsor chooses to pay the in-lieu fee described in Section 138(j)(4), a fee of $1,410 shall be required for each square foot of usable open space not provided. This fee shall be adjusted in accordance with Section 409. This fee shall be paid into the Transit Center District Open Space Fund, as described in Sections 424.6 et seq. of this Article 4. Said fee shall be used for the purpose of acquiring, designing, and improving public open space, recreational facilities, and other open space resources, which are expected to be used solely or in substantial part by persons who live, work, shop, or otherwise do business in the Transit Center District.
(c) C-3-O District, C-3-S District, and C-3-G District. In the C-3-O, C-3-S, and C-3-G Districts, if a project sponsor chooses to pay the in-lieu fee described in Section 138(j)(4), a fee of $1,410 shall be required for each square foot of usable open space not provided. The amount of this fee shall equal the fee payable under this subsection (b)1
and shall be adjusted in accordance with Section 409. This fee shall be paid into the Downtown Park Fund, as described in Section 412 of this Article 4. Said fee shall be used for the purpose of acquiring, designing, and improving public open space, recreational facilities, and other open space resources, which are expected to be used solely or in substantial part by persons who live, work, shop, or otherwise do business Downtown.
(d) C-3-R District. In the C-3-R Districts, if a project sponsor chooses to pay the in-lieu fee described in Section 138(j)(4), a fee shall be required for each square foot of usable open space not provided. The amount of this fee shall equal the fee payable under this subsection (b)1
and shall be adjusted in accordance with Section 409. This fee shall be paid into the Union Square Park, Recreation, and Open Space Fee, as described in Sections 434 of this Article 4. Said fee shall be used for the purpose of acquiring, designing, and improving public open space, recreational facilities, and other open space resources, which are expected to be used solely or in substantial part by persons who live, work, shop, or otherwise do business Downtown.
(Added by Ord. 108-10, File No. 091275, App. 5/25/2010; amended by Ord. 296-18, File No. 180184, App. 12/12/2018, Eff. 1/12/2019; Ord. 47-21, File No. 201175, App. 4/16/2021, Eff. 5/17/2021; Ord. 122-23, File No. 230371, App. 7/5/2023, Eff. 8/5/2023; Ord. 159-23, File No. 230732, App. 7/28/2023, Eff. 8/28/2023)
AMENDMENT HISTORY
Section header and section amended; Ord. 296-18, Eff. 1/12/2019. Section header amended; formerly undesignated paragraph amended and designated as division (a); division (b) added; Ord. 47-21, Eff. 5/17/2021. Nonsubstantive amendment to division (b); divisions (c) and (d) added; Ord. 122-23, Eff. 8/5/2023, and Ord. 159-23, Eff. 8/28/2023.
CODIFICATION NOTE
(a) Eastern Neighborhoods Mixed Use Districts. In the Eastern Neighborhoods Mixed Use Districts, except for the Central SoMa Special Use District, any project that obtains a Variance pursuant to Section 305, or an exception pursuant to Section 329, to provide less usable open space than otherwise required by Section 135 shall pay a fee of $327 for each square foot of usable open space not provided. In the Central SoMa Special Use District, any project that obtains a Variance pursuant to Section 305, an exception pursuant to Section 329, or chooses the in-lieu option pursuant to Section 135(d)(5)(B)(ii) shall pay a fee of $890 for each square foot of required useable open space not provided. These fees shall be adjusted in accordance with Section 423.3 of this Article. These fees shall be paid into the Recreation and Open Space subset of the Eastern Neighborhoods Community Improvements Fund, as described in Section 423 of this Article.
(b) C-3-O(SD) District. In the C-3-O(SD) District, if a Variance or Planning Commission exception is granted to reduce the amount of open space required for any use pursuant to Section 135, a fee of $1,410 shall be required for each square foot of usable open space not provided. This fee shall be adjusted in accordance with Section 409. This fee shall be paid into the Transit Center District Open Space Fund, as described in Sections 424.6 et seq. of this Article. Said fee shall be used for the purpose of acquiring, designing, and improving public open space, recreational facilities, and other open space resources, which are expected to be used solely or in substantial part by persons who live, work, shop or otherwise do business in the Transit Center District.
AMENDMENT HISTORY
[DIVISADERO STREET NCT AFFORDABLE HOUSING FEE]
New Ordinance NoticePublisher's Note: This section has been AMENDED by new legislation (Ord. 187-23
, approved 9/14/2023, effective 10/15/2023, oper. 11/21/2026). The text of the amendment will be incorporated under the new section number when the amending legislation is effective.
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