San Francisco – In a press conference this morning, Mayor Daniel Lurie and City Administrator Carmen Chu unveiled the inaugural application of Proposition E, the voter‑approved measure that gives the city administrator sole authority to rewrite how the city awards contracts. The new citywide standards are designed to bring clarity, accountability, and a depoliticized process to a $6 billion annual contracting program that funds everything from office supplies to essential public‑safety services.

Why new rules are needed

“Our current contracting guidelines are scattered across different sections of city law, and the rules can vary – leaving room for corruption and abuse,” Lurie said. The mayor emphasized that a single, transparent framework will protect San Franciscans’ tax dollars and restore public confidence in city procurement.

Key provisions of the new standards

• Prohibits giving any vendor an unfair advantage by sharing confidential information.
• Requires employees to disclose conflicts of interest and, when necessary, recuse themselves from contracting decisions.
• Mandates that all communication with potential contractors go through official city channels.
• Prevents the practice of splitting purchases or contracts into smaller amounts to avoid competitive bidding requirements.
• Sets clear disciplinary consequences, up to termination, for violations of the ethical standards.

Administrator Chu noted that these rules “will set the foundation for a new culture around how the city does business,” giving staff practical guidance and the confidence to speak up when something seems off.

Addressing past missteps

The administration’s move comes after criticism of a 2025 $5.9 million contract awarded to OpenGov for digitizing the city’s permit system. City staff had recommended a competitor and raised doubts about OpenGov’s capacity, yet the contract proceeded and later missed several key deadlines. By centralizing authority and tightening oversight, the new framework aims to prevent similar lapses.

How the law takes effect

Under Proposition E, any legislation introduced by the city administrator automatically becomes law after a 60‑day waiting period, unless the mayor or a majority of the Board of Supervisors blocks it. The Board cannot amend the legislation once introduced. Because the election results have yet to be certified, Chu will formally introduce the rules in late December or early January.

What this means for San Franciscans

With contracting representing a significant slice of the city’s $17 billion budget, the new standards promise more efficient use of resources for essential services, including the hiring of homelessness outreach workers and street‑maintenance staff. By reducing opportunities for insider deals and ensuring competitive bidding, the city hopes to deliver better value to taxpayers while safeguarding the integrity of public procurement.

Local residents and watchdog groups have welcomed the move, noting that clearer rules make it easier to hold officials accountable. The administration’s proactive stance reflects a broader commitment to transparent, faith‑aligned governance that puts families and communities first.

Original reporting: Mission Local — read the source article.