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SB 395 · 2025-26

Allows extra restaurant liquor licenses in San Francisco

Official subject Alcoholic beverages: additional licenses: hospitality zone.

Became law Chapter 412, Statutes of 2025

Plain-language summary

Allows the state to issue up to 20 new on-sale general liquor licenses, beyond county limits, to restaurants in hospitality zones San Francisco designates by ordinance. The city may set a lower cap. The licenses can't move to another county, and no new ones may be issued after July 1, 2033.

How these summaries are written

Official summary · Legislative Counsel's Digest

Describes the final version (Chaptered, Oct. 6, 2025).

Read the official summary (3 paragraphs)

Existing law, the Alcoholic Beverage Control Act, administered by the Department of Alcoholic Beverage Control, regulates the sale and distribution of alcoholic beverages and the granting of licenses for the manufacture, distribution, and sale of alcoholic beverages within the state. Existing law limits the amount of on-sale general licenses that may be issued by the department based on the population of the county in which the licensed premises are located.

This bill would provide an exception to the limitation described above by authorizing the issuance of up to 20 additional new original on-sale general licenses, as specified, for bona fide public eating places located within a designated hospitality zone in the City and County of San Francisco, as defined. In order to authorize the issuance of additional licenses as described above, the bill would require an ordinance adopted by the local governing body of the City and County of San Francisco to designate or modify a hospitality zone to include specified information and findings. The bill would authorize the local governing body, in an ordinance designating or modifying a hospitality zone, to further limit, among other things, the maximum number of additional licenses to be issued within its hospitality zone. The bill would require the local governing body to submit the ordinance to the department upon the adoption of an ordinance to modify or repeal a hospitality zone. The bill would require any ordinance to establish, modify, or repeal a hospitality zone to be effective commencing the following July 1. The bill would require the department to follow specified procedures concerning the issuance of these licenses, and would authorize the department to designate these licenses as on-sale general for special use. The bill would prohibit licenses issued under its provisions from being, among other things, transferred from one county to another. If one of those licenses is canceled or revoked, the bill would authorize the department to issue an additional license. The bill would prohibit the department from issuing any license under these provisions after July 1, 2033.

This bill would make legislative findings and declarations as to the necessity of a special statute for the City and County of San Francisco.

Official title

An act to add Section 23826.22 to the Business and Professions Code, relating to alcoholic beverages.

Timeline

  1. Feb. 14, 2025 Introduced
  2. May 27, 2025 Passed Senate 39 yes, 0 no
  3. Aug. 28, 2025 Passed Assembly 74 yes, 0 no
  4. Sept. 9, 2025 Enrolled and sent to the Governor
  5. Oct. 6, 2025 Signed by the Governor
  6. Oct. 6, 2025 Chaptered (became law)
Full official history (24 actions)
  1. Feb. 14, 2025 Introduced: Introduced. Read first time. To Com. on RLS. for assignment. To print.
  2. Feb. 18, 2025 From printer. May be acted upon on or after March 17.
  3. Feb. 26, 2025 Referred to Com. on G.O.
  4. March 27, 2025 Set for hearing April 8.
  5. March 28, 2025 From committee with author's amendments. Read second time and amended. Re-referred to Com. on G.O.
  6. April 8, 2025 From committee: Do pass and re-refer to Com. on APPR. (Ayes 15. Noes 0. Page 703.) (April 8). Re-referred to Com. on APPR.
  7. April 9, 2025 Set for hearing April 21.
  8. April 21, 2025 From committee: Be ordered to second reading pursuant to Senate Rule 28.8.
  9. April 22, 2025 Read second time. Ordered to third reading.
  10. May 27, 2025 Passed Senate: Read third time. Passed. (Ayes 39. Noes 0. Page 1238.) Ordered to the Assembly.
  11. May 28, 2025 In Assembly. Read first time. Held at Desk.
  12. June 5, 2025 Referred to Com. on G.O.
  13. June 18, 2025 From committee with author's amendments. Read second time and amended. Re-referred to Com. on G.O.
  14. June 30, 2025 From committee with author's amendments. Read second time and amended. Re-referred to Com. on G.O.
  15. July 10, 2025 Coauthors revised.
  16. July 10, 2025 From committee: Do pass and re-refer to Com. on APPR. (Ayes 22. Noes 0.) (July 9). Re-referred to Com. on APPR.
  17. Aug. 20, 2025 From committee: Do pass. (Ayes 15. Noes 0.) (August 20).
  18. Aug. 21, 2025 Read second time. Ordered to third reading.
  19. Aug. 28, 2025 Passed Assembly: Read third time. Passed. (Ayes 74. Noes 0. Page 7277.) Ordered to the Senate.
  20. Aug. 28, 2025 In Senate. Concurrence in Assembly amendments pending.
  21. Sept. 2, 2025 Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2408.) Ordered to engrossing and enrolling.
  22. Sept. 9, 2025 Enrolled and sent to the Governor: Enrolled and presented to the Governor at 2 p.m.
  23. Oct. 6, 2025 Signed by the Governor: Approved by the Governor.
  24. Oct. 6, 2025 Chaptered (became law): Chaptered by Secretary of State. Chapter 412, Statutes of 2025.