--- title: San Francisco Unveils First Citywide Ethics Rules for Contracting, Officials Say canonical: https://sanfranciscofeed.com/san-francisco-unveils-first-citywide-ethics-rules-for-contracting-officials-say/ published: '2026-11-10T12:25:08-08:00' updated: '2026-11-10T12:25:08-08:00' author: SanFranciscoFeed Staff section: City Hall tags: - Mayor - Board of Supervisors - Budget - District Attorney - Homelessness source: City and County of San Francisco source_url: https://www.sf.gov/news-mayor-lurie-city-administrator-chu-outline-first-ever-citywide-ethics-rules-to-strengthen-accountability-for-6-billion-in-annual-city-spending publisher: SanFranciscoFeed attribution: Copyright SanFranciscoFeed. Quote with credit to SanFranciscoFeed and a link to the canonical URL above. --- # San Francisco Unveils First Citywide Ethics Rules for Contracting, Officials Say On November 10, 2026, Mayor Daniel Lurie and City Administrator Carmen Chu announced plans for the city's first comprehensive ethics code for city contracting. The new rules aim to centralize and strengthen accountability for over $6 billion spent annually through city contracts, following the passage of Proposition E. The proposed legislation will establish clear expectations for ethical purchasing and guard against favoritism and self-dealing, according to the Mayor's office. --- ### Press Release: City and County of San Francisco *Published November 10, 2026. Reproduced in full from the [City and County of San Francisco](https://www.sf.gov/news-mayor-lurie-city-administrator-chu-outline-first-ever-citywide-ethics-rules-to-strengthen-accountability-for-6-billion-in-annual-city-spending).* #### Mayor Lurie, City Administrator Chu Outline First-Ever Citywide Ethics Rules to Strengthen Accountability for $6 Billion in Annual City Spending [Office of the Mayor](https://www.sf.gov/departments--office-mayor/) First Action Under Expected Prop. E Authority Will Help Depoliticize City Contracting With Transparent, Centralized Standards; Builds on Mayor Lurie’s Efforts to Deliver Effective, Responsive Services for San Franciscans **SAN FRANCISCO**, Mayor Daniel Lurie and City Administrator Carmen Chu today took steps to make city contracting more accountable and less political, unveiling plans for the city’s first comprehensive ethics code for city contracting. Through new legal authority expected under Proposition E, passed by voters last week, the City Administrator’s Office will introduce legislation to establish an entirely new chapter of the Administrative Code dedicated to ethical purchasing, centralizing standards that are currently spread across different sections of city law and strengthening accountability for the more than $6 billion spent annually through city contracts. This new code builds on Mayor Lurie’s work to deliver more effective, responsive services for San Franciscans. In his first two budgets, Mayor Lurie has worked to prioritize programs that are delivering results for San Franciscans while tackling the structural budget deficit, putting the city on a more sustainable fiscal path and reducing the need for difficult decisions and painful cuts in future budget cycles. Earlier this year, he launched a [sweeping effort to redo all city homelessness contracts](https://www.sf.gov/news-mayor-lurie-launches-sweeping-effort-to-redo-all-city-homelessness-contracts-with-focus-on-outcomes-accountability-for-results) to ensure that the city and its service providers are effectively serving clients and supporting all San Franciscans. And through [PermitSF](https://www.sf.gov/news-mayor-lurie-signs-permitsf-legislation-cutting-red-tape-for-small-businesses-driving-economic-recovery), he is delivering common-sense reforms that are helping small business owners and property owners secure the permits they need more easily and efficiently. “San Francisco spends billions of taxpayer dollars every year on contracts that support our city operations, and San Franciscans deserve to know that every one of those dollars is being spent wisely and in the public interest,” said **Mayor Lurie**. “But today, our ethics requirements are scattered across different sections of city law, and the rules can vary, leaving room for corruption and abuse. This is what voters set out to change with Proposition E, and now we’re taking the first step toward centralizing and depoliticizing contracting so it serves San Franciscans, not insiders.” “This new chapter of the city’s Administrative Code will set the foundation for a new culture around how the city does business. That starts with leadership setting the tone from the top,” said **City Administrator Chu**. “Every day dedicated public servants make decisions about how San Francisco spends taxpayer dollars. They deserve clear rules, practical guidance, and the confidence to speak up when something doesn’t seem right. Our responsibility as leaders is to make sure that doing the right thing is not only expected but supported.” The new proposed citywide ethical contracting rules will establish clear expectations for how the city spends taxpayer dollars, making the contracting process more predictable and guarding against favoritism and self-dealing while holding violators accountable. Subject to review by the Board of Supervisors and the mayor, they will be codified as a brand-new chapter of the city’s Administrative Code. The rules will: - Expand protections against splitting purchases or contracts to evade competitive bidding rules and other contracting requirements - Prohibit behavior that gives select vendors an unfair advantage, including sharing confidential or nonpublic information - Route all communications between city employees and prospective contractors through designated channels during active bidding - Strengthen safeguards by requiring employees to disclose conflicts of interest and step aside from contracting decisions when the law requires - Require that all city procurement decisions serve the public interest - Clarify that violations of the new code constitute serious misconduct and may result in discipline, up to and including termination The new proposed rules represent the first step in a broader effort led by City Administrator Chu, following the passage of Proposition E, to strengthen city services by improving contracting. Going forward, the City Administrator’s Office will conduct a review of city contracting rules to modernize and simplify outdated and inconsistent requirements. In partnership with the Controller’s Office, the City Administrator will focus on improving the experiences of businesses and nonprofits seeking to work with the city. The City Administrator will also work to improve guidance and management tools for city staff involved in contracting. “At its core, public contracting is about trust. Every contract awarded by a government agency represents public dollars entrusted to public servants,” said **City Attorney David Chiu**. “San Franciscans deserve to know their money is being spent responsibly through a transparent and competitive process, free from improper influence. By upholding strong ethical standards and leading by example, we can strengthen public confidence in government and ensure every procurement decision is in the public interest.” “Ethics, transparency, and accountability must be at the center of how our city government operates,” said **District Attorney Brooke Jenkins**. “San Franciscans deserve to know that their hard-earned tax dollars are being spent responsibly, that public funds are protected from waste and abuse, and that those entrusted with managing taxpayer resources are held to the highest standards. Proposition E represents an opportunity to strengthen accountability, promote greater transparency, and ensure that our city’s resources are managed responsibly.” “Contracting probably isn’t the first thing many people think about when it comes to public services, but strong, transparent contracting and purchasing systems are a cornerstone of what allows government to work for residents,” said **Controller Greg Wagner**. “These reforms are a welcome step toward ensuring that city employees and vendors manage public dollars with the highest ethical standards.” Proposition E creates a new process for legislation governing city contracting rules. Under the measure, the City Administrator, not city departments or the Board of Supervisors, with certain exceptions, has sole authority to introduce such legislation. Once introduced, the Board of Supervisors may not amend the legislation, and it takes effect after 60 days unless the Board passes a motion to disapprove it or the mayor issues a notice of disapproval. The legislation may take effect sooner if the Board approves it with a single vote and the mayor issues a notice of approval. “Every business deserves a fair shot, and San Franciscans deserve a competitive process. City contracts should go to the businesses with the best results, not the best connections,” said **Sharky Laguana, Former Small Business Commission President**. “Clear, consistent ethics standards prevent favoritism, strengthen public trust, and protect taxpayer dollars.” #### Partner agencies [City Administrator](https://www.sf.gov/departments--city-administrator/) [City Attorney](https://www.sf.gov/cityattorney/) [District Attorney](https://www.sf.gov/departments--district-attorney/) [Controller's Office](https://www.sf.gov/departments--controllers-office/) Source: [City and County of San Francisco](https://www.sf.gov/news-mayor-lurie-city-administrator-chu-outline-first-ever-citywide-ethics-rules-to-strengthen-accountability-for-6-billion-in-annual-city-spending)