No, it's not "no true Scotsman," because when you look at commonly held progressive values, little of them line up with how San Fran actually is. Again: massive wealth inequality, the housing crisis, gentrification, concentration of capital in VCs who gamble by funding unethical and scantily regulated tech companies. None of that is progressive!

The only thing about it that's progressive is its social culture, in some ways, such as how it's a very LGBT-friendly city. That's all that comes to mind.