San Francisco pauses data centers; San Jose approves delivery robot rules

An ordinance changing how San Francisco handles the California Environmental Quality Act locally. It removes shadow analysis as a specific type of environmental impact, cuts the time to appeal CEQA determinations to the Board of Supervisors from 30 days to 15, removes procedures for environmental documents CEQA doesn't require, and puts recent state-law changes on CEQA timing into effect. The shorter window changes how quickly residents must file if they want to challenge a project's environmental review before the Board. It passed on first reading on a divided roll call. 00:12:15

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• Pass the ordinance on first reading, by roll call (requested from the dais). Result: passed, 10-1. No: Connie Chan (Supervisor, District 1). 00:12:54

A committee report and urgency ordinance putting a citywide interim zoning moratorium on data centers for 45 days. The Land Use and Transportation Committee heard it October 5 and recommended it as amended. State law required nine votes, and as an urgency ordinance it takes effect immediately once passed on first reading. While it lasts, city approvals of data centers are paused as the Board and the Planning Department study the effects on energy, water, air quality, land use and communities and write permanent rules. Planning must report back within 25 days, with a hearing within 35 days. 00:17:43

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• Pass the urgency ordinance on first reading, same house, same call. Result: passed, without objection. 00:20:33

• The clerk noted that state law requires a four-fifths vote, nine members, and that the urgency ordinance takes effect immediately if passed 00:17:43
• A speaker described the 45-day moratorium as an interim measure under state law to give the city time to study data centers' impacts 00:18:26
• A speaker listed energy, water, air quality, land use and community impacts as issues to study, along with a clearer definition of data centers 00:18:26
• A speaker said the ordinance pauses city approvals of data centers while the Board and Planning develop long-term rules 00:18:26
• A speaker explained that Planning must report to the Clerk within 25 days, with a hearing on the report within 35 days of the ordinance taking effect 00:19:29
• A speaker thanked co-sponsors Connie Chan (Supervisor, District 1), Jackie Fielder (Supervisor, District 9) and Chyanne Chen (Supervisor, District 11) 00:19:29

New legislation introduced at roll call, with no action taken today. The ordinance would require covered stores, grocery stores over 10,000 square feet and drugstores, to have one human attendant for every three self-checkout stations in operation. It would not ban self-checkout. The sponsor framed it as protecting union jobs and reducing retail theft. 00:21:01

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• A supervisor introduced an ordinance requiring one human attendant for every three self-checkout stations at covered stores 00:21:01
• A supervisor said the goal is to protect union jobs and keep human interaction in neighborhood stores 00:21:01
• A supervisor cited a 2023 industry analysis putting losses at self-checkout far above those at staffed lanes 00:21:01
• A supervisor stressed the bill does not ban self-checkout and applies only to grocery stores over 10,000 square feet and to drugstores 00:22:07
• A supervisor named early co-sponsors Stephen Sherrill (Supervisor, District 2), Chyanne Chen (Supervisor, District 11), Shamann Walton (Supervisor, District 10) and Jackie Fielder (Supervisor, District 9), and thanked the grocery workers' union UFCW Local 5 00:22:07

Certification of the Final Environmental Impact Report (EIR) for modernizing and replacing equipment at the marine sand processing plant at Pier 92, 480 Amador Street, on Port property in the northeast Bayview. The site is in a state-designated environmental justice community. The project adds covered conveyors, a 63-foot warehouse over the sand stockpile and truck loading area, paving and other dust controls, and expands the footprint from about 4.4 to 5.2 acres under a new Port lease. Certifying the EIR finds the environmental review adequate, accurate and complete. It does not approve the project, and the commission has no approval action on it. 00:24:21

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• Motion to certify the Final Environmental Impact Report for the Pier 92 Modernization and Plant Replacement Project (mover unclear; seconded by a commissioner). Result: passed, 6-0. 00:35:02

• City staff explained that certification means the EIR followed state and local environmental law, and is not an approval of the project 00:26:08
• City staff described the 4.4-acre site as zoned heavy industrial and used for offloading and processing marine sand since 1982 00:26:52
• City staff said about 65 percent of the finished sand goes to two neighboring ready-mix concrete plants, with most of the rest used in the city 00:28:10
• City staff said the dust controls include covering conveyors and building a 63-foot warehouse over the finished stockpile and truck loading areas 00:28:10
• City staff said the sponsor has applied to the air district to process up to 80,800 tons of sand in any 12-month period, though operations would still follow market demand 00:29:10
• City staff said construction would last up to seven months in 2027, with sand operations continuing where possible 00:29:10
• City staff said all impacts were found less than significant or none, with archaeological impacts less than significant after a discovery mitigation measure, and air quality impacts less than significant 00:30:56
• City staff said the draft EIR drew 10 comments, five of them spoken at the June 25 hearing, and none required changes or identified new significant impacts 00:30:56
• Elizabeth Macdonald (Commissioner) praised the analysis and noted that air quality would improve and the neighboring wetland and bird sanctuary would not be significantly affected 00:32:56
• Sean McGarry (Commissioner) called the upgrade long overdue, saying the site's infrastructure has been deteriorating since the 1980s and the concrete trucks that build the city come from there 00:33:47
• A commissioner said commissioners appeared to find the review adequate, accurate and complete, and invited a motion to certify 00:34:33

An ordinance adding Chapter 11.91 to the Municipal Code to regulate personal delivery devices (delivery robots) in the public right-of-way, along with new fees and fines. The agenda sets a $200-per-device annual permit fee for sidewalk robots and a $250-per-device fee for a pilot permit for robots that use roadways and bike lanes. Three operators, Coco, Serve and DoorDash, approached the city this spring. Coco and Serve already run sidewalk robots in San Jose. DoorDash, whose robot uses bikeways, travels up to 20 mph and stands five feet tall, was waiting on this action. Staff said no state or local law currently regulates these devices, so without the ordinance the city has no authority over them. The proposed rules include a 5 mph limit on sidewalks and in crosswalks, lights that stay on, identification shown in braille and raised letters, removal of a disabled robot within thirty minutes, and fines of $100, $200 and $500 for first, second and third offenses. The Transportation Director could change the rules or suspend operations. 00:36:40

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• A speaker moved approval of the staff recommendation. Result: passed. 01:32:09

• A speaker said three operators approached the city this spring, and with no regulations in place the city let them operate while it developed a framework 00:39:53
• A speaker described the proposed 5 mph limit on sidewalks, pedestrian paths and crosswalks 00:42:57
• A speaker said a disabled robot must be moved within thirty minutes or the operator faces a fine 00:42:57
• A speaker said that on the advice of the Bicycle and Pedestrian Advisory Committee, bikeway robots would match the pace of cyclists instead of having a fixed speed limit 00:43:58
• The meeting chair asked what the city is doing to limit its liability exposure in future accidents, noting past lawsuits involving scooters and e-bikes 00:52:12
• City staff said the ordinance has a robust indemnification provision modeled on lessons from the city's micromobility programs 00:52:54
• Pam Foley (Councilmember, District 9; Vice Mayor) said she is very concerned about congestion on sidewalks, and asked whether the companies have the financial strength to back their indemnification 00:53:16
• City staff said the ordinance requires the city to be named as an additional insured, with policy limits to be set in administrative regulations before permits are issued 00:55:04
• Pam Foley (Councilmember, District 9; Vice Mayor) criticized outreach to the disability community as limited to a few organization leaders, and asked how many people with disabilities staff had heard from 00:55:25
• A speaker said staff will work with the Independent Living Center to set up a focus group of San Jose residents with disabilities to give ongoing feedback 00:56:32
• A speaker said more than 50 people attended the outreach webinar, though she did not recall the exact number 00:58:06
• A speaker gave the fines for improperly parked devices as $100, $200 and $500 for first, second and third offenses 00:58:06
• Pam Foley (Councilmember, District 9; Vice Mayor) said the fines did not seem stiff compared with the harm to someone in a wheelchair blocked by a device 00:59:09
• Pam Foley (Councilmember, District 9; Vice Mayor) raised concern about robots sharing sidewalks with electric scooters and said she was not sure she could support the item 01:00:09
• A speaker urged a go-slow-to-go-fast approach and limits on the number of devices, warning that congestion builds quickly when many devices share limited space 01:03:16
• City staff said the regulations reserve the right to limit operators, device numbers and service areas, but staff is not proposing those limits yet 01:04:58
• A councilmember said that downtown has been the testing ground, and that robots replacing car trips and double-parked delivery drivers could be a net safety benefit 01:09:54
• City staff said no state or local law currently regulates these devices, so without the ordinance the city has no direct authority to stop or shape their operation 01:11:07
• A councilmember asked about the process for making property owners whole, citing reports of a dispute over repairing a window broken by a robot on the Paseo 01:11:56
• City staff said a Coco robot cracked the window while under human remote control, and that his understanding is the company quickly agreed with the owner on responsibility and cost 01:12:48
• A speaker asked whether the department has the staff to oversee the program, especially in the pilot phase 01:13:55
• City staff said a paid-for position to oversee the program has been filled, and the hire accepted last week 01:14:31
• City staff said operators are expected to indemnify the city for ordinary sidewalk irregularities, but the city cannot waive liability where it is the sole cause of negligence 01:15:27
• A speaker asked whether data from the robots could be used to find sidewalk trouble spots before they become problems 01:16:21
• City staff said staff will evaluate using operator data during the pilot, weighing liability and accuracy concerns 01:17:03
• A speaker urged the operators to maintain their devices so they do not add to sidewalk clutter and blight, as he said scooters have 01:19:55
• City staff said the plan is nine months of operation followed by about three months of analysis before returning to council, with operations continuing in the meantime 01:21:17
• The meeting chair noted the city has roughly a $2 billion deferred maintenance backlog, while saying the city should still push to fix sidewalk problems quickly 01:21:52
• A speaker argued that human delivery drivers stopping in traffic are a bigger problem than robots 01:23:00
• A speaker described seeing delivery robots move safely through crowds at Oregon State University 01:24:08
• City staff said the regulations can be changed on twenty-four hours' notice to the companies 01:25:32
• City staff said staff could recommend ending the bikeway pilot if it pushes cyclists into traffic, and will do both quantitative and qualitative outreach 01:26:44
• Pamela Campos (Councilmember, District 2) asked what fees Los Angeles and West Hollywood charge, since the staff report describes them as the highest 01:29:29
• A speaker said Los Angeles charges $10,000 for up to 50 devices and a flat $20,000 above that, and West Hollywood works out to about $250 per device 01:29:55
• Pamela Campos (Councilmember, District 2) asked whether the city could raise the fee after a year if warranted 01:30:57
• City staff said fees are reviewed every year for cost recovery and go back to council in the budget cycle 01:31:21

A construction-permanent loan commitment of up to $5,700,000 from the Low and Moderate Income Housing Asset Fund to the Santa Clara County Housing Authority to convert the former Comfort Suites hotel at 1510 North 1st Street (District 6) into 57 units for extremely low-income residents at 30% of area median income or below, with services. The item also moves $5,700,000 from the Housing Project Reserve to the Housing Loans and Grants appropriation (agenda). It is a Homekey project dating to 2022. The Housing Authority plans to move residents of the nearby SureStay interim housing site into the converted building. 01:32:18

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• A speaker moved to approve item 8.1; a councilmember seconded. Result: passed, unanimous. 01:40:21

• City staff said the conversion will create 57 units at 30% of area median income and below, with services 01:32:56
• City staff said the city is contributing a total of $5.7 million, and the Housing Authority is developing the site and fully project-basing its vouchers there to cover operating costs 01:34:01
• City staff said the cost per unit, excluding the $10 million acquisition cost, is about $366,000 01:34:56
• City staff said the Housing Authority's plan is to move the roughly 43 participants now living at the SureStay interim site into the converted building 01:35:57
• City staff described the financing as a 9% low-income housing tax credit project, with about $11 million in permanent financing from the Housing Authority and $5.7 million from the city 01:37:01
• A speaker said the area needs a lift and has been a challenge for the surrounding neighborhood, including Rosemary Gardens 01:38:28
• City staff said the official transfer of the neighboring SureStay property to the Housing Authority is expected around the end of October or November 01:39:10
• A speaker noted that a privately owned motel just south of the site, which had been a trouble spot, has been shut down and the owner plans to reinvest 01:39:30

The resolution authorizes a three-year exclusive negotiation agreement, with two six-month extensions, with Episcopal Community Services of San Francisco to convert the city-owned Arena Hotel in District 6 from interim to permanent housing, and possibly to build mixed-income housing for households at or below 120% of area median income on the site's parking lot. If ECS does not perform, the city can turn to the runner-up, Propertyworx LLC. It also authorizes amending the state Homekey agreement with HCD to remove the original developer and partners (A0729 San José L.P., Urban Housing Communities LLC, and HomeFirst) and make the city the sole grantee, and unwinding the original project agreements (agenda). Staff will ask HCD to let the city move the 30%-of-median-income units to another site. The motion added direction from a memo by Matt Mahan (Mayor) and Michael Mulcahy (Councilmember, District 6) for staff to report back in six months. 01:40:24

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• A speaker moved to approve the staff recommendation with additional direction to the city manager from the memorandum by Matt Mahan (Mayor) and Michael Mulcahy (Councilmember, District 6), to return to council in six months with an update on negotiations and to return with an amended Homekey standard agreement when ready; seconded by Rosemary Kamei (Councilmember, District 1). Result: passed, unanimous. 01:57:39

• City staff said the city bought the site in 2023 intending 30%-and-below permanent supportive housing with Urban Housing Communities, and is now recasting the project as mixed-income in two phases 01:40:43
• City staff said ECS was the highest-scoring respondent and has about forty years of experience, including converting eight hotels 01:43:12
• City staff said the parking lot phase is expected to hold around 200 or more units 01:43:12
• City staff said the city will ask HCD to move the 100% 30%-of-median-income occupancy requirement to other sites, giving the Arena property income flexibility 01:44:18
• City staff said the agreement includes a right to switch to a second developer if the first cannot move forward on time, a structure staff plans to use going forward 01:45:50
• A speaker said the city spent $46 million between Homekey and Measure E on the roughly acre-and-a-half site for 87 units, and that the BART tunnel's path now limits density there 01:47:46
• A speaker argued the community was promised new investment but got the opposite, and that the site was awarded to a developer that was not qualified 01:48:50
• A speaker described the memo's direction for staff to return in six months with an update on negotiations and, when ready, an amended Homekey agreement 01:51:59
• Pamela Campos (Councilmember, District 2) asked which parts of the transition from interim to permanent housing are in the city's control and which need approval from HCD, saying her district faces a similar situation at 1 Branham Lane 01:53:14
• City staff said all approvals go through HCD, and in early conversations HCD has been open to the city's requests, with no guarantees 01:55:07
• City staff said the conversion will need a fully funded financing plan, likely low-income housing tax credits, and the building is structurally suitable for permanent housing 01:55:33
• City staff said the city's 22 interim housing sites are too varied for one conversion approach, though the city wants a consistent policy framework 01:56:33