San Francisco’s Board of Supervisors is preparing to provide newly elected Mayor Daniel Lurie with expanded powers to tackle the ongoing fentanyl crisis, which has transformed the city’s sidewalks into settings for widespread drug use and homelessness.
The legislation up for a vote on Tuesday aims to streamline the city’s operations by removing competitive bidding requirements for specific contracts and enabling the administration to seek private donations. This initiative seeks to quickly establish 1,500 additional shelter beds and hire an increased number of public safety and behavioral health specialists. This marks the first major legislative action from Lurie, a descendant of the Levi Strauss family and founder of an anti-poverty nonprofit organization, who won the mayoral seat last year after defeating incumbent Mayor London Breed.
The proposal appears to have secured the necessary six votes for passage and is expected to garner additional support in the upcoming vote.
The decision by the 11-member board to cede oversight for a project that lacks a definitive plan or clear metrics highlights the urgency officials feel regarding the crisis at hand. It also reflects a temporary acceptance of a political newcomer, Lurie, who has pledged a collaborative approach to finding practical solutions.
Supervisor Connie Chan, who chairs the budget and finance committee, remarked last week that board oversight is essential for responsible and transparent taxpayer spending. Despite this, she acknowledged that the current circumstances are “truly unprecedented,” necessitating out-of-the-ordinary solutions, and she expressed appreciation for the mayor’s willingness to negotiate. It is noteworthy that the previous relationship between Breed and the board’s more progressive members had been quite tense.
San Francisco, historically recognized for its progressive politics, has witnessed a significant increase in homeless encampments and public drug use following the COVID-19 pandemic. In 2023 alone, the city recorded over 800 overdose deaths linked to inexpensive and potent fentanyl, marking a record high.
In response to the growing crisis, community members have voiced strong support for enhancing police powers and have favored stricter measures against street homelessness. Additionally, moderate Democrats have gained positions on the board as residents seek change.
According to Lurie’s proposal, the city would be able to forgo the competitive bidding process for contracts, grants, and leases associated with issues like addiction, homelessness, and public safety staffing. City departments would have the ability to finalize new leases without board consent, and the proposal includes plans to establish a 24-hour drop-off center, designed to be amenable to police and function as a diversion from jail for offenders.
Supervisors would now have only 45 days to vote on contracts valued up to $25 million, a decrease from the initial $50 million limit suggested by the mayor. This expedited contracting process is set to be in effect for one year instead of five as originally proposed.
The San Francisco AIDS Foundation has expressed concerns about the proposal, citing a lack of specific metrics and details regarding how it would effectively reduce fentanyl use. Laura Thomas, an expert in drug policy with the foundation, has acknowledged Lurie’s intentions to improve housing and treatment services but has cautioned against endorsing policies that coerce individuals into treatment, as these have proven largely ineffective and can even produce adverse outcomes.
“We seek more clarity on the contents of the proposal,” Thomas stated on Monday. “We are voicing our concerns and wish to gather more details before we can consider supporting it.”
At a recent budget and finance committee meeting, legislative analyst Nicolas Menard raised the alarm that waiving competitive bids may lead to increased costs for services and create opportunities for waste, fraud, and abuse. While the precise fiscal impact remains uncertain, the affected departments manage a grants and contracts budget exceeding $1 billion.
“I want to emphasize the magnitude of what you’re conceding here,” Menard cautioned.
Nonetheless, the proposal advanced out of committee with unanimous support. Later that day, Mayor Lurie commented in a statement that the ordinance signals a shift in approach, stating, “We are no longer looking the other way — we are treating the fentanyl crisis like the emergency it is. This marks a new era for City Hall.”