Jul 08, 2026
San Francisco is one step closer to allowing Amsterdam-style cannabis cafes after the Board of Supervisors advanced a measure Wednesday that would permit dispensaries to serve food, pour nonalcoholic drinks and host entertainment. In a 7-4 vote, supervisors passed the ordinance on its first readi ng. If approved during a final vote next Tuesday, the measure would allow existing cannabis consumption lounges to expand their business models. The city ordinance opts into a state law authored by state Assemblymember Matt Haney. Supporters argue the change is necessary to help the city’s legal cannabis industry survive. Supervisor Rafael Mandelman, who proposed the ordinance in the spring, said the new permits could also boost tourism. “Amsterdam does a lot of tourism business and has a lot of benefits from having the cannabis cafes,” Mandelman said. “San Francisco is not Amsterdam; there may be elements of that that we’re going to see out here, and again, that could be part of our recovery.” He added, “This will help them, we hope, some of them find a more competitive business model to help them sustain themselves over time.” For William Dolan, CEO of Hyrba dispensary in the Sunset District, the vote brings a nearly 10-year-old dream closer to reality. Dolan is waiting for the legislation to pass so he can secure a building permit for a boarded-up space on Valencia Street in the Mission District. “We’re looking to develop a space where people can socialize, relax, unwind, grab a bite to eat, have a snack, have a coffee and consume cannabis in a way where they’re doing it legally,” Dolan said. “They don’t have to do it in their apartment, or they don’t have to do it on the street.” However, the proposal faces opposition over health concerns. Supervisor Myrna Melgar, who voted against the measure, acknowledged that operators need support but criticized the public health implications. “What I don’t like about this legislation is that it permits indoor smoking, and I think that is going backward on our public health goals,” Melgar said. The Bay Area-based American Nonsmokers’ Rights Foundation called the proposal “outrageous” and a loss for workers. In a statement last month, the foundation warned that staff, musicians and comedians would be exposed to increased indoor air pollution, forcing them to make “the difficult choice between their health and their paycheck.” Mandelman said Wednesday’s successful vote is a strong indicator that the proposal will pass its final reading next week. ...read more read less
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