San Francisco is a lovely place to visit, offering tons of charm and history, but if you want to live there it's going to cost you dearly. The laws and regulations that made the city a struggle for lowly working people and their families go back to its early days as a seaport enriched by the Gold Rush. It began with zoning restrictions on boarding houses and laundries, supposedly to set decent living standards, but the desired effect was to drive out Chinese workers. That kind of "local control" continued into the 20th century to favor landowners over various immigrants, minority groups, and the poor. City officials introduced urban renewal projects to fight "blight," the federal government contributed redlining through the FHA, and neighborhoods had their own discriminatory covenants. San Francisco refined its land use and building codes over time, with both intended and unintended consequences that marginalized longtime residents without money or clout. It continued with a rezoning effort in 1978.
It’s clear that many San Franciscans were well aware this rezoning would lead the city toward a housing crisis. The planning commissioners, however, were not moved. Their testimony throughout the hearings made it clear they valued maintaining the city’s predominately suburban layout over affordability. In response to a homeowner who was unhappy that his property would be downzoned to allow fewer units, commissioner Sue Bierman gave a quintessential anti-growth response—countering that San Franciscans were concerned about parking, traffic, and sunlight reaching their backyards, embracing a shift toward zoning that would preserve “more comfortable neighborhoods.” Instead of listening to those folks worried about becoming homeless, the commissioners focused on the single-family homeowners worried about shadows on their yards and parking for their cars.
In the final minutes of the June 27, 1978, meeting, San Francisco’s planning commissioners prepared to approve the EIR, along with its damning final clause, which explained that the project would reduce the amount of housing that could legally be built in San Francisco. “As a result the cost of housing may increase, and that with increasing housing costs, some population groups may find it difficult to live in San Francisco. The proposed zoning will affect the low- and moderate-income households more than any other group and mitigation measures are proposed to help alleviate this impact.”
But commissioner Bierman said she was “troubled” by this statement, and commissioner Nakashima agreed, complaining that it wasn’t the solely the planning department’s fault if housing prices continued to rise. Commissioner Rosenblatt suggested removing the clause entirely—and that’s exactly what they did, erasing their acknowledgement of the plan’s disastrous effects from the document moments before approving it.
Read a substantial history of city planning that led to today's housing crisis in San Francisco at Collectors Weekly.