San Francisco Mayor Daniel Lurie this week marked his first six months in office, highlighting progress on public safety and fiscal management while acknowledging that visible street drug use and homelessness remain entrenched. Lurie, who campaigned on closing open-air drug markets, said overall crime has fallen 27% city-wide and 45% in Union Square and the Financial District, yet a shortage of about 500 police officers continues to limit enforcement in neighborhoods such as the Tenderloin and Mid-Market. The mayor conceded he is far behind on his headline pledge to add 1,500 shelter beds during his first half-year, with roughly 400 beds open to date. His administration is now pivoting from a numeric shelter target to expanding clinical care and permanent housing pathways, a change outlined by homelessness policy chief Kunal Modi. Advocates including Coalition on Homelessness executive director Jennifer Friedenbach and Homeless Oversight Commission co-chair Christin Evans welcomed the shift, arguing that wrap-around services and long-term housing are more effective than short-term shelters. Lurie’s revised approach comes as the city debates use of Proposition C’s “Our City, Our Home” fund, an estimated $850 million revenue stream from business taxes earmarked for homeless services. The mayor wants greater flexibility over unspent balances, while family-housing advocates warn that diverting money to additional adult shelters could undermine prevention efforts. Supervisors are expected to weigh his request in the coming weeks. Separately, the mayor’s budget closes an $800 million deficit and increases funding for law-enforcement hiring, drug-free transitional housing and downtown revitalization programs. Lurie maintains that San Francisco’s tourism numbers and convention bookings are rebounding, but says tackling open-air drug markets is critical to sustaining the city’s broader economic recovery.