California Construction News staff writer
San Francisco has approved legislation to shorten environmental review timelines and reduce costs for housing projects, as the city looks to accelerate construction amid rising housing costs.
Mayor Daniel Lurie signed the Slashing Housing Appeals and Delays Everywhere (SHADE) Act, authored by District 5 Supervisor Bilal Mahmood. The legislation aligns the city’s environmental review requirements with the California Environmental Quality Act (CEQA) and state guidelines.
“Over the past 10 years, over 2000 units of housing have been blocked or delayed because NIMBYs said the housing would cast a “shadow”, Lurie wrote on social media following the signing. “So we’re done letting red tape cast shade over our housing future.
“The SHADE Act will no longer allow shadows be used as a basis for environmental appeals.”
Lurie says the city will save between 3 to 9 months on some environmental reviews and up to $25,000 per project in reduced staff, consultant, and administrative costs.
We can protect our parks, respect our environment, and welcome more neighbors. We don’t have to choose. It’s time to let housing projects see the light of day.The changes are expected to reduce environmental review timelines by three to nine months for some projects and cut staff, consultant and administrative costs by up to $25,000 per project.
The legislation maintains environmental protections while changing several aspects of the city’s review and appeals process.
Under the SHADE Act, shadow impact analysis will be removed from local CEQA reviews, although the Planning Department will continue to assess building shadow impacts on city parks.
Other changes include reducing the appeal period for local CEQA determinations from 30 days to 15 days and eliminating three categories of appeals involving Preliminary Negative Declarations, No Substantial Modifications determinations and updates to the Not a Project list.
The legislation also requires the Board of Supervisors to act on CEQA appeals within 14 days of a hearing and, in most cases, issue findings within 14 days if it reverses an environmental determination.
Other provisions eliminate the requirement for a Planning Commission hearing on a Draft Environmental Impact Report and reduce public notification requirements, allowing greater flexibility in how notices are issued.
“For decades, San Francisco has made it easier to block housing than to build it. Now, we are using every tool available to build more housing more quickly, and this is just the latest example,” Lurie said.
“By aligning local requirements with state law, we’re cutting red tape that has long delayed and driven up the cost of building new homes.”
Mahmood said the legislation is intended to make the approval process more predictable while maintaining environmental protections.
San Francisco Planning Director Sarah Dennis Phillips said aligning municipal requirements with state environmental review rules would help move housing projects forward.
The SHADE Act is part of Lurie’s broader Family Opportunity Agenda, which includes zoning changes, permit reforms and additional funding for affordable housing.
Through the city’s PermitSF initiative, 75 per cent of building permits are now available through an online portal, according to the mayor’s office.
Other housing initiatives include proposed legislation to unlock nearly 2,400 homes in the Fillmore neighbourhood and the start of construction on 7,200 homes at the former Candlestick Park site.
The administration has also announced measures aimed at protecting existing renters from evictions and sudden rent increases.
