City of South San Francisco
Resolution 4-2026
P.O. Box 711 (City Hall, 400
Grand Avenue)
South San Francisco, CA
File #: 26-1629 Agenda Date: 4/16/2026
Version: 1 Item #: 3a.
Resolution making findings and recommending that the City Council approve proposed amendments to the existing Development Agreement for 1051 Mission Road (known as the "PUC Site") to revise the economic terms to provide support for the affordable housing portions of the project and extend the term of the Development Agreement, and determination that the amendments are consistent with the General Plan and with previously adopted environmental review.
WHEREAS, a development proposal by SSF Housing Partners, LLC (“Applicant”) on the PUC Site was approved by the City Council on November 13, 2019 for entitlements to construct a high-density mixed-use residential development, consisting of 800 rental units, including 158 affordable units, an approximately 8,307 SF childcare facility, approximately 12,992 SF of retail space (market hall), 1 acre of public open space, and 800 parking spaces over 5.9 acres on 1051 Mission Road (APNs: 093312050 and 093312060) collectively referred to as “the Project” in the City; and
WHEREAS, the Project (P18-0081) was located within the previously adopted El Camino Real/Chestnut Avenue Area Plan (“ECR/Ch Area Plan”) area; and
WHEREAS, the Applicant received approval of a Conditional Use Permit (UP19-0008), Design Review (DR19 -0028), Transportation Demand Management Plan (TDM19-0004), Density Bonus (DB19-0003), Waivers and Modifications Request (WM19-0002), Parking Management and Monitoring Plan (PMMP19-0001), Vesting Tentative Tract Map (SA19-0001) and Development Agreement (DA19-0002) for the Project; and WHEREAS, the applicant’s proposal was considered a “project” for purposes of the California Environmental Quality Act, Pub. Resources Code §21000, et seq. (“CEQA”); and WHEREAS, the City Council certified an Environmental Impact Report (“EIR”) on July 27, 2011 (State Clearinghouse #2010072015), in accordance with the provisions of the CEQA and CEQA Guidelines, which analyzed the potential environmental impacts of the development of the ECR/Ch Area Plan; and WHEREAS, the City Council also adopted a Statement of Overriding Considerations (“SOC”) on July 27, 2011, in accordance with the provisions of CEQA and CEQA Guidelines, which carefully considered each significant and unavoidable impact identified in the EIR and found that the significant environmental impacts are acceptable in light of the project’s economic, legal, social, technological and other benefits; and WHEREAS, the City Council certified a Supplemental Environmental Impact Report (“SEIR”) on December 13, 2017 (State Clearinghouse #2010072015), in accordance with the provisions of CEQA and CEQA Guidelines, which analyzed the potential environmental impacts of a new civic center that would include a City of South San Francisco Page 1 of 5 Printed on 4/10/2026 powered by Legistar™ 1
File #: 26-1629 Agenda Date: 4/16/2026
Version: 1 Item #: 3a.
Guidelines, which analyzed the potential environmental impacts of a new civic center that would include a library, recreation center, new police station, new fire station and make minor edits to the ECR/Ch Area Plan; and
WHEREAS, the City and applicant prepared an Environmental Consistency Analysis for the Project pursuant to CEQA Guidelines § 15162 and determined that the Project would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed and analyzed in the ECR/Ch EIR and SEIR certified by City Council nor would new mitigation be required; and
WHEREAS, on October 17, 2019, the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the proposed entitlements and environmental effects of the Project and take public testimony, determined that the proposed project is consistent with the City’s adopted General Plan pursuant to Government Code section 65402, and determined that the proposed project is consistent with the adopted ECR/Ch EIR as updated by the Community Civic Campus Project SEIR and, based on the Environmental Consistency Analysis, would not necessitate the need for preparing a subsequent environmental document pursuant to the criteria of CEQA Guidelines Section 15162; and
WHEREAS, on November 13, 2019, the City Council for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment, consider the proposed entitlements and environmental effects of the Project, and take public testimony and approved the project; and WHEREAS, since approval of the project seven years ago, the global COVID-19 pandemic, capital market realignment, and interest rate shock have rendered the Project financially infeasible without an influx of additional local and state dollars and revisions to the Project expectations detailed in the Development Agreement (DA19-0002); and
WHEREAS, on November 28, 2022, the City and Applicant executed the First Administrative Amendment to the Development Agreement, through City Manager approval, to make minor clarifications as authorized under Section 7.2 of the Development Agreement; and
WHEREAS, City staff and the Applicant have negotiated a First Major Amendment to the Development Agreement (DAA26-0002), requiring City Council approval, with revised economic terms to provide support for the affordable housing portions of the Project and extend the term of the Development Agreement; and WHEREAS, there are no proposed changes to the project under the terms of the First Major Amendment to the Development Agreement that alter the density, height, and land use requirements contemplated in the General Plan and Zoning Ordinance; and
WHEREAS, the First Amendment to the Development Agreement does not substantively change the project concept, footprint, or site planning and therefore remains consistent with previously adopted environmental City of South San Francisco Page 2 of 5 Printed on 4/10/2026 powered by Legistar™ 2
File #: 26-1629 Agenda Date: 4/16/2026
Version: 1 Item #: 3a.
concept, footprint, or site planning and therefore remains consistent with previously adopted environmental review; and
WHEREAS, the modifications contemplated in the First Amendment to the Development Agreement are minor in nature, the approval of which would not result in any new significant environmental effects or a substantial increase in the severity of any previously identified effects beyond those disclosed and analyzed in the ECR/Ch EIR as updated by the Community Civic Campus Project SEIR and the 2019 Environmental Consistency Analysis approved by City Council, nor does the First Major Amendment to the Development Agreement constitute a change in the Project or change in circumstances that would require additional environmental review; and
WHEREAS, on April 16, 2026 the Planning Commission for the City of South San Francisco held a lawfully noticed public hearing to solicit public comment and consider the First Major Amendment to the Development Agreement and related evidence and testimony.
NOW, THEREFORE, BE IT RESOLVED that based on the entirety of the record before it, which includes without limitation, the California Environmental Quality Act, Public Resources Code §21000, et seq. (“CEQA”) and the CEQA Guidelines, 14 California Code of Regulations §15000, et seq.; the South San Francisco General Plan and General Plan EIR; the El Camino Real/Chestnut Avenue Area Plan and associated EIR and SEIR; the South San Francisco Municipal Code; the Project applications; the Project Plans, as prepared by BAR Architects, dated September 17, 2019; the Environmental Consistency Analysis, as prepared by the Developer and City staff dated October 2019, including all appendices thereto; all site plans, and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly noticed October 17, 2019 meeting; all site plans, and all reports, minutes, and public testimony submitted as part of the City Council’s duly noticed November 13, 2019 meeting; all site plans, and all reports, minutes, and public testimony submitted as part of the Planning Commission’s duly noticed April 16, 2026 meeting and any other evidence (within the meaning of Public Resources Code §21080(e) and §21082.2), the Planning Commission of the City of South San Francisco hereby finds as follows:
SECTION 1 FINDINGS
General
1. The foregoing recitals are true and correct and made a part of this Resolution.
2. The Exhibits attached to this Resolution, including the First Major Amendment to the Development Agreement (DAA26-0002) Term Sheet (Exhibit A), are each incorporated by reference and made a part of this Resolution, as if set forth fully herein.
3. The documents and other material constituting the record for these proceedings are located at the Planning Division for the City of South San Francisco, 315 Maple Avenue, South San Francisco, CA 94080, and in the custody of the Chief Planner.
City of South San Francisco Page 3 of 5 Printed on 4/10/2026 powered by Legistar™ 3
File #: 26-1629 Agenda Date: 4/16/2026
Version: 1 Item #: 3a.
First Amendment to the Development Agreement (DAA26-0002)
1. The draft First Major Amendment to the Development Agreement is consistent with the objectives, policies, general land uses and programs specified in the general plan and any applicable specific plan as it conforms to all governing land use requirements and only alters the economic terms of the Project and does not substantively affect the land use, density or site planning of the previously entitled project; and
2. The draft First Major Amendment to the Development Agreement does not change the authorized land use, density or site planning and remains compatible with the uses authorized in, and the regulations prescribed for the land use district in which the real property is located; and
3. The draft First Major Amendment to the Development Agreement is in conformity with public convenience, general welfare and good land use practice given the revised economic terms will permit the project to proceed and provide affordable housing, public open space, and community amenities as envisioned under the original entitlement approval; and
4. The draft First Major Amendment to the Development Agreement will not be detrimental to the health, safety and general welfare given the revised economic terms will permit the project to proceed and provide affordable housing, public open space, and community amenities as envisioned under the original entitlement approval so that the PUC Site does not remain undeveloped land adjacent to the Bay Area Rapid Transit Station and the newly constructed Library and Parks and Recreation facility; and
5. The draft First Major Amendment to the Development Agreement will not adversely affect the orderly development of property or the preservation of property values and instead will contribute to economic vitality, new housing opportunities, and access to new public open space and amenities as envisioned under the original entitlement approval.
SECTION 2 DETERMINATION
NOW, THEREFORE, BE IT FURTHER RESOLVED that the Planning Commission of the City of South San Francisco hereby recommends that the City Council make the findings contained in this Resolution, approve the First Major Amendment to the Development Agreement (DAA26-0002) amending Development Agreement DA19-0002 to revise the economic terms to provide support for the affordable housing portions of the project, and make a determination that the amendments are consistent with the General Plan and with previously adopted environmental review and no further environmental review is necessary.
BE IT FURTHER RESOLVED that the resolution shall become effective immediately upon its passage and adoption.
City of South San Francisco Page 4 of 5 Printed on 4/10/2026 powered by Legistar™ 4
File #: 26-1629 Agenda Date: 4/16/2026
Version: 1 Item #: 3a.
Exhibits
A. First Major Amendment to the Development Agreement By and Between City of South San Francisco and SSF PUC Housing Partners, LLC (DAA26-0002) Term Sheet B. First Administrative Amendment to the Development Agreement By and Between City of South San Francisco and SSF PUC Housing Partners, LLC
C. Development Agreement By and Between City of South San Francisco and SSF PUC Housing Partners, LLC (DA19-0002)
City of South San Francisco Page 5 of 5 Printed on 4/10/2026 powered by Legistar™ 5
First Major Amendment to Development Agreement
Term Sheet
City and SSF PUC Housing Partners, LLC
Former PUC Sites B and C
Terms:
1. Add new Recital: affirm the Parties intent regarding Prevailing Wage as follows:
For the avoidance of doubt, and to reflect the Parties’ agreement, the Purchase and Sale Agreement and Joint Escrow Instructions (PSA), and specifically Recital O, entered into as of December 23, 2019, and the Development Agreement, Section 6.10 of Article 6, Standards, Laws and Procedures Governing the Project, effective January 10, 2020, simply provide, separately and when read together, for compliance with the requirements of the California Labor Code regarding the payment of Prevailing Wages. Accordingly, should Prevailing Wages be required by law for any portion of the construction work on the Project pursuant to California Labor Code section 1720 et. seq. and the implementing regulations, Developer (and where applicable its contractors and agents) will comply with such requirement to pay Prevailing Wages and will monitor that payments have been made in compliance with the law.
2. Amend Section 2.2 (Term): extend the current 10-year term from 2029 to 2032 to reflect COVID force majeure and align the Term with the PSA Phasing Plan.
3. Amend Sections 3.2 and 3.4:
a. Authorize the City to provide potential “last dollar” gap funding for the Affordable Housing Project, include the following language in DA Section 3.2 (additions in underline), and Section 3.4 as appropriate:
Section 3.2 (City Fees)
(a) Processing Fees and Charges. Developer shall pay those processing, building permit, inspection and plan checking fees and charges required by the City for processing applications and requests for Subsequent Approvals under the applicable non-discriminatory regulations in effect at the time such applications and requests are submitted to the City.
6 2
(b) Development Fees. Consistent with the terms of the Agreement, City shall have the right to impose only such development fees ("Development Fees") as have been adopted by City as of the Effective Date of this Agreement and at those rates in effect at the time of payment of the Development Fees, and which are identified and as set forth on Exhibit C. The Parties agree that the only increase in the Development Fees set forth in Section 2.2 of Exhibit C shall be the relevant index increase authorized by the enabling ordinance or resolution for each Development Fee set forth in Section 2.2 of Exhibit C as of the Effective Date of this Agreement. The Development Fees shall be paid at the time set forth on Exhibit C. This shall not prohibit City from imposing on Developer any fee or obligation that is imposed by a regional agency in accordance with state or federal obligations and required to be implemented by City.
(c) In lieu of such Development Fee payments as identified in Section
3.2(b) and set forth in Exhibit C, the Developer shall pay to the City the same amounts as community benefit payments. The Parties agree that such payments shall not be considered “Fees” as that term is defined under the Mitigation Fee Act (Gov. C. § 66000 – 66025.) (d) The Developer authorizes the City to, in its sole discretion, either redirect any or all of the following payments to the Affordable Housing Project or use any or all for the original purpose or for any public purpose:
i. $5,600,000 related to Oak Avenue Phase 2 (Section
3.4(b)),
ii. $200,000 related to the Mission Road Pedestrian
Connection (Section 3.4(c)),
iii. $1,500,000 Pedestrian Bridge Connection to
Centennial Trail (Section 3.4(d)),
iv. Approximately $6,772,997 (community benefit
payment in lieu of Park and Recreation Fees, Section
3.2(b) and Exhibit C),
v. Approximately $64,090 (community benefit payment in
lieu of Bicycle and Pedestrian Impact Fee, Section 3.2
(b) and Exhibit C), and
vi. Approximately $468,358 (community benefit payment
in lieu of Public Safety Fee, Section 3.2 (b) and Exhibit C).
Developer releases City from any contractual or legal obligation to use any or all of the payments listed immediately above for their 7 3
original purposes. The parties agree that any use of the funds to support the Affordable Housing Project shall be subject to compliance with all laws. In the event that City uses any or all of the payments listed immediately above to support the Affordable Housing Project, the City reserves all rights to require standard funding agreement conditions and terms for any payment from the Affordable Housing Developer, including but not limited to use of funds, indemnification and audit rights. Developer agrees that it shall cooperate, in accordance with the City’s requests, in the case of any claim or action taken against the City by a third party related to this section.
b. Confirm the increase of the Oak Avenue Phase 2 payment from $5.5M to $5.6M per the parties prior agreement reflected in the Third Phasing Plan to the Schedule of Performance.
c. Waive applicable impact fees for the Affordable Housing Project, only if necessary to close the funding gap for the Affordable Housing Project.
4. Add new Section 3.12 under Article 3 (Developer Obligations): add a new upside profit participation for the City as follows: A 20% share of all profits in excess of a 16% internal rate of return on Parcel B by SSF PUC not to exceed the greater of $2M or the actual amount of the gap funding paid by the City (using the Developer’s market rate payments actual impact fees (as outlined in the bullet above) paid by SSF PUC to the City and actually contributed by the City to the Affordable Project and provided that: 1) Building C-1 has commenced construction; and 2) the City’s profits interest is purely economic, i.e., no management, voting, participation in the entity.
5. Add a new Section 3.13 under Article 3 (Developer Obligations): add an obligation for a Project Labor Agreement for all sitework funded by the City’s Infill Infrastructure Grant award.
8 4
6. Add a new Section to the Default terms of Article 10 (Default; Remedy; Termination): add language to the Default terms that states any recitals related to clarification of repurchasing terms in the Phasing Plan to the Schedule of Performance in effect at the time of an event of default will control. 9 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 1 of 11 Order: 11 Comment:
10 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 2 of 11 Order: 11 Comment:
11 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 3 of 11 Order: 11 Comment:
12 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 4 of 11 Order: 11 Comment:
13 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 5 of 11 Order: 11 Comment:
14 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 6 of 11 Order: 11 Comment:
15 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 7 of 11 Order: 11 Comment:
16 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 8 of 11 Order: 11 Comment:
17 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 9 of 11 Order: 11 Comment:
18 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 10 of 11 Order: 11 Comment:
19 Description: San Mateo,CA Document - Year.DocID 2022.87478 Page: 11 of 11 Order: 11 Comment:
20 21
22 23
24 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 55
56 57
58 59
60 61
62 63
64 65
66 67
68 69
70 71
72 73
74 75
76 77
78 79
80 81
82 83
84 85
86 87
88 89
90 91
92 93
94 95
96 97
98 99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
* * * * * * *
City of South San Francisco Page 4 of 4
Attest:__________________________________
Adena Friedman
Secretary to the Planning Commission
I hereby certify that the foregoing resolution was adopted by the Planning Commission of the City of South San Francisco at a regular meeting held on the 16th day of April 2026 by the following:
vote:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Chair Pamukcu, Vice-Chair Baker, Faria, Shihadeh, Tzang_____________ _______
______________________________________________________________ Evans, Funes___________________________________________________