Mayor Lurie Celebrates New State Law to Expand Drug-Free Housing in San Francisco

SAN FRANCISCO – Mayor Daniel Lurie today celebrated the signing of AB 1556, unlocking state funding to support the city’s recovery-focused housing work. The new law, authored by Assemblymember Matt Haney and co-sponsored by Mayor Lurie and the Bay Area Council, will help San Francisco expand drug-free housing options as part of the city’s homeless and behavioral health response—closing a longstanding gap created by the state’s prohibition.

The new law builds on more than a year of progress under Mayor Lurie’s Breaking the Cycle plan. Earlier this year, Mayor Lurie announced that unsheltered homelessness in San Francisco had reached its lowest level in 15 years, while the city set a new record-low number of tent encampments in March. Under his Large Vehicle Program, nearly 240 families have moved from vehicles into stable housing, and the number of RVs on city streets has dropped 56% since May 2025. Under Mayor Lurie’s leadership, the city has consolidated street outreach, established a new 24/7 police-friendly crisis stabilization center and the RESET Center, ended a policy that allowed for the distribution of fentanyl smoking supplies without connection to counseling or treatment, and stood up hundreds of new treatment-focused beds.

“Every day is an opportunity for someone struggling with addiction to get on the path to recovery, and we need to be prepared to support them as soon as they’re ready,” said Mayor Lurie. “As we’ve transformed the city’s homelessness and behavioral health work over the last year and a half, it’s become clear that we need more resources for sober, recovery-focused housing. This new law will unlock some of those resources so we can build a system that supports people who are, or want to be, in recovery. I want to thank Assemblymember Haney for his years of work to finally get this critical legislation done and Governor Newsom for signing it into law.”

“People working hard to stay sober deserve the choice to live in a home that supports their recovery,” said Assemblymember Haney. “I’m incredibly grateful to Governor Newsom for signing AB 1556 and for working with us to get this right. This law will finally give Californians in recovery access to safe, stable, drug-free housing while making sure that if someone relapses, they are supported and stay connected to housing and services. This has been years in the making, and I’m proud that California is expanding the options available to people who are ready to get clean and stay clean.”

AB 1556 establishes a clear, statewide framework allowing recovery housing providers to maintain drug and alcohol-free environments while requiring a non-punitive “warm handoff” to alternative housing and services for residents who return to use. Under the new law, providers are required to adopt a written “Return to Use” policy that outlines how they will respond to relapse in a supportive, non-punitive way, including connecting individuals to treatment, services, and alternative housing placements.

The new law ensures recovery housing is a viable and supported option within San Francisco’s homelessness response, giving people the choice to pursue sobriety in a stable environment without risking a return to homelessness.

“This marks a major and long-needed shift in how we support residents working to escape the grip of homelessness and addiction,” said Libby Schaaf, President and CEO of the Bay Area Council. “For too long, state law unintentionally removed drug-free housing from California’s homeless policy toolbox. This new law restores that tool, allowing local governments to meet more Californians where they are by expanding access to drug-free recovery housing. I want to thank Assemblymember Haney for his years of dedication to solving this problem, to Governor Newsom for signing AB 1556 into law, and for San Francisco Mayor Daniel Lurie for his years of partnership and support.”

“AB 1556 is an important recognition that recovery housing belongs at the center of our response to addiction and homelessness, not on the margins,” said District 6 Supervisor Matt Dorsey. “People who choose recovery deserve a safe, drug-free place where that choice is supported, while those who relapse deserve a compassionate path to appropriate housing and care. I’m grateful to Assemblymember Haney, Mayor Lurie, and Governor Newsom for helping move California toward a system that makes recovery possible and supports people every step of the way.”

“AB 1556 gives us another critical tool to help people move from homelessness toward stability and recovery,” said Mike Levine, San Francisco Department of Homelessness and Supportive Housing Executive Director. “People struggling with homelessness and substance use disorder need a range of housing options that meet them where they are and support their goals—and for some people, that means a recovery-focused environment. This legislation allows us to invest state homelessness resources in those settings while maintaining important protections so that a relapse does not become a return to homelessness.”

“Supportive housing should be a place where people can stabilize, heal, and rebuild their lives, not an environment where open drug use and chaos make recovery nearly impossible,” said Steve Adami, Executive Director of The Salvation Army’s “The Way Out” Program. “Assemblymember Haney’s AB 1556 recognizes that recovery housing must be a meaningful option within California’s homelessness response. For people choosing recovery, having a community built around accountability, support, connection, and freedom from drugs can make the difference between continuing the cycle of addiction and building a healthy, independent life. I’m grateful to Assemblymember Haney for his leadership in advancing recovery residences and ensuring that people experiencing homelessness and addiction have access to housing environments that support their individual path to recovery.”