AVALON CITY COUNCIL MEETING WILL ALSO INCLUDE
A MEETING OF THE CITY COUNCIL ACTING AS
THE HOUSING AUTHORITY
TUESDAY, OCTOBER 21, 2025— 5:00 PM
410 AVALON CANYON ROAD
AGENDA
In compliance with the Americans with Disability Act, if you need special assistance to participate in this meeting,please contact the City Clerk’s Office (310) 510-0220. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. (28 CFR 35. 102-35.104 ADA Title II). All public records relating to an agenda item on this agenda are available for the public inspection at the time the records are distributed to all, or a majority of all, members of the City Council. Such records shall be available at City Hall located at 410 Avalon Canyon Rd.
For the public’s convenience, but not participation, the meeting can be viewed:
On local cable: Catalina Broadband Solutions channel 3
Streaming on YouTube: https://www.youtube.com/CityofAvalonCA
CALL TO ORDER I PLEDGE OF ALLEGIANCE I INVOCATION I ROLL CALL
ANNOUNCEMENTS I WRITTEN COMMUNICATIONS
DEPARTMENT HEAD REPORTS
CITY MANAGER REPORT I CITY ATTORNEY REPORT
COUNCILMEMBER REPORTSIREQUESTS I MAYOR REPORT
PRESENTATION — A representative from Townsend Public Affairs will provide an overview oflegislative advocacy efforts.
ORAL COMMUNICATION
Members of the public may address the City Council at this time. No action will be taken onnon- agenda items at this meeting. Speakers should limit comments to two (2) minutes each.
CONSENT CALENDAR
1. Warrants
Expenditures Submitted for Approval:
• US Bank General Account totaling $205,180.75.• One payroll totaling $324,892.68.• Four electronic fund transfers totaling $160,339.37.
Recommended Action
Approve the disbursements for September 29, 2025 through October 10, 2025 totaling $690,412.80.
CITY COUNCILIHOUSING AUTHORITY AGENDA
OCTOBER 21, 2025PAGE 2
3. Adopt an Ordinance Amending Chapter 9-5, Article 5 (L/M - Low and Moderate Income Housing) and Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing programs 14 and 15 as set forth in the 6th Cycle General Plan Housing Element and Adoption of Exemption Findings Under the California Environmental Quality Act
This ordinance was introduced and all further readings were waived during the September 16, 2025 City Council Meeting. In September 2022, the City Council adopted the 2021- 2029/6th Cycle General Plan Housing Element. The Housing Plan section of the Housing Element further sets forth the City’s goals, policies and programs to address Avalon’s identified housing needs. Some programs require one-time code amendments, while others have ongoing review schedules that require monitoring legislative actions and regular updates to the Avalon Municipal Code.
Recommended Action
Adopt an ordinance of the City of Avalon amending Chapter 9-5, Article 5 (L/M - Low and Moderate Income Housing) and Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing programs 14 and 15 as set forth in the 6th Cycle General Plan Housing Element and adoption of exemption findings under theCalifornia Environmental Quality Act.
GENERAL BUSINESS
4. Fire Department Mobile Incident Command Vehicle Replacement The City of Avalon was awarded a grant of $59,120 through Area F EMPG FY24 for a command vehicle replacement for an Emergency Operations Center (EOC). The goal ofthe funding is to upgrade mobile EOC capabilities so the City may be better prepared to receive and relay information during emergency situations.
Recommended Action
1. Per the City’s Procurement Policy, authorize the City Manager or his designee to execute an agreement with Watson Fleet Group for the purchase of a 2026 Chevrolet Silverado 2500HD, 4WD Crew Cab with 159” custom 6.9’ box by cooperative purchasing procedures. 2. Amend the Fiscal Year 25-26 Budget allocating $65,000 to fund 10245- 6871, CIP Project Number 234501.
5. Change Order #2 for Cultural Resources Consultation Agreement with Montrose Environmental Services
The City entered into a professional services agreement with Montrose Environmental Solutions, Inc. (Montrose) to provide on-call cultural resources consultation services for the Five Corners Site Improvement Project. Montrose requested the City authorize Change Order #2 expanding monitoring efforts through December 2025 to coincide with the completion of the excavation phases of the project.
CITY COUNCILIHOUSING AUTHORITY AGENDA
OCTOBER 21, 2025
PAGE 3
Recommended Action
Authorize the City Manager to execute Changer Order #2 for the professional services agreement with Montrose Environmental Solutions, Inc., to continue to provide cultural resource consulting for the Five Corner Site Improvement Project, for an additional sum of $50,000 and a new total contract sum of $216,128.00.
6. Options for City Council in Considering Tenant Protection and Rent Control Measures The purpose of this staff report is to provide the City Council with information on State law as it relates to tenant protections and rent control, and provide examples of what other cities have codified locally so the City Council may consider what policy options it is interested in exploring for Avalon.
Recommended Action
Consider and discuss tenant protections and rent control options available under State law, and provide direction to City of Avalon (“City”) staff to evaluate and report back on any desired local options available to the City.
7. Adult-Use/Recreational Cannabis Discussion
A member of the City Council requested City Staff pursue expansion of the Avalon Municipal Code to allow for the sale of adult-use/recreational cannabis in Avalon.
Recommended Action
Provide direction to Staff regarding City Council’s desire to pursue legalization of adultuse/recreational cannabis in Avalon.
The following General Business item is the City Council acting as the Housing Authority.
8. 206 E. Whittley Retaining Wall Change Order
Jordahl Construction, Inc. has been working diligently to build a retaining wall at the 206 E. Whittley Housing Project. However, while working on the lower extent of the westerly side of the property it was determined the existing lower retaining wall at the property line did not have the required structural support for the proposed MSE retaining wall. A redesign effort has resulted in Change Order #1 from Jordahi Construction, Inc.
Recommended Action
1. Authorize the City Manager or his designee to execute a first amendment to the construction contract between the City of Avalon and Jordahl Construction Inc. incorporating Change Order #1 and increasing the contract sum by $270,000 for a totalnot to exceed amount of $987,255. 2. Amend the Fiscal Year 25-26 Budget by allocating an additional $170,000 to Capital Improvement Project #205015, Fund #15325-6547.
CITY COUNCILIHOUSING AUTHORITY AGENDA
OCTOBER 21, 2025
PAGE 4
CLOSED SESSION
1. REAL PROPERTY NEGOTIATIONS
Properties: APN #7480001028 and 113 Catalina Avenue and 423 Crescent Avenue Agency Negotiator: City Manager
Negotiating Parties: Catalina Island CompanyUnder Negotiation: Price and Terms of Payment
2. REAL PROPERTY NEGOTIATIONS
Properties: APN #7480018909 and APN #7480051004
Agency Negotiator: City Manager
Negotiating Parties: Catalina Island CompanyUnder Negotiation: Price and Terms of Payment
3. REAL PROPERTY NEGOTIATIONS
Negotiating Party and Property Address:
Avalon Boat Stand — 7 Pleasure Pier
Avalon Grille — 423 Crescent Avenue
Avalon Kid’s Baseball — 1000 Avalon Canyon Road
Avalon Seafood — 18 Pleasure Pier
Catalina Diver Supply — 15 Pleasure Pier
Beach Stand — Pleasure Pier
Catalina Island Chamber of Commerce — Pleasure Pier
Catalina Island Mortuary — 558 Cemetery Road
Catalina Kid Ventures — 430 Avalon Canyon RoadCatalina Photobooth — Crescent Avenue/Pebbly Beach Road Catalina Vending — 401 Avalon Canyon RoadCatalina Vending — 302-I Pebbly Beah RoadCatalina Vending — 302-J2 Pebbly Beach Road The Pancake Cottage —615 Crescent Avenue
Wet Spot Rental — 120 Pebbly Beach Road
Coyote Joe’s Bar & Restaurant LLC — 113 Catalina Avenue Eric’s on the Pier — 4 Pleasure Pier
Fish Feeder — Cabrillo Mole, Pleasure Pier and Lover’s Cove Fox Television Stations, Inc — 391 Wrigley Road
Island Enterprises — 12 Pleasure PierIsland Water Charters — 18-A Pleasure Pier Llyod’s of Avalon - 315 Crescent AvenueNaughty Fox — 111 Crescent Avenue Catalina Island Resort Services, Inc. — 9 Pleasure Pier US Bank National Association — St. Catherine Salt Water Intake Plaza Yoshi’s — 2 Pleasure Pier
Agency Negotiator: City Manager
Under Negotiation: Price and Terms of Payment
CITY COUNCILIHOUSING AUTHORITY AGENDA
OCTOBER 21, 2025
PAGE 5
ADJOURN
NOTICE OF POSTING
I, Devin EIis Hart, declare that the City Council Agenda for Tuesday, October 21, 2025 was posted on Thursday, October 16, 2025 on the City’s website, www.cityofavalon.gov/agendacenter, and at City HaIl, 410 Avalon Canyon Road. a
Devin Elise Hart, Senior Management Analyst
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM: I
ORIGINATING DEP: Finance CITY MANAGER: _______ PREPARED BY: Matthew Baker, Finance Director SUBJECT: Warrants
RECOMMENDED ACTION(S): Approve the disbursements for September 29, 2025 through October 10, 2025 totaling $690,412.80.
REPORT SUMMARY: These disbursements through October 10th are comprised of warrants from the US Bank General Account totaling $205,180.75, one payroll totaling $324,892.68, and other electronic fund transfers totaling $160,339.37.
ITEM DESCRIPTION AMOUNT DATE
GF US BANK WARRANTS CK# 40859 20000.00 09/30/25
GF US BANK WARRANTS CK# 40860 9,357.91 10/03/25GF US BANK WARRANTS CK# 40861-40910 175,822.84 10/10/25 PAYROLL 324,892.68 10/03/25EFT -CALPERS MEDICAL 98,469.62 10/02/25EFT -CALPERS RETIREMENT 48,168.69 10/06/25 EFT - SUCCESSOR AGENCY US BANK FEES 6,100.00 10/10/25EFT - HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 7,601.06 10/10/25 TOTAL DISBURSEMENTS $690,412.80
GOAL ALIGNMENT: Ongoing meeting of City obligations.
FISCAL IMPACTS: There are sufficient funds available, and the expenditures are included in the FY25-26 Budget.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: N/A
FOLLOW UP ACTION: N/A
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.
ATTACHMENTS: Audit Certificate, Warrant Lists, US Bank Credit Card Detail
CITY OF AVALON
SEPTEMBER 29TH, 2025 -OCTOBER 10TH, 2025 DISBURSEMENTS
October 21, 2025
ITEM DESCRIPTION AMOUNT DATE
OF US BANK WARRANTS CK# 40859 20,000.00 09/30/25GF US BANK WARRANTS CK# 40860 9,357.91 10/03/25OF US BANK WARRANTS CK# 40861-40910 175,822.84 10/10/25PAYROLL 324,892.68 10/03/25EFT - CALPERS MEDICAL 98,469.62 10/02/25EFT -CALPERS RETIREMENT 48,168.69 10/06/25EFT - SUCCESSOR AGENCY US BANK FEES 6,100.00 10/10/25EFT - HARBOR/REC CREDIT CARD AND BANK SERVICE FEES 7,601.06 10/10/25 TOTAL DISBURSEMENTS $ 690,412.80
CERTIFICATE
IN ACCORDANCE WITH SECTION 32702
OF THE GOVERNMENT CODE, I CERTIFY
THAT THE ABOVE DEMANDS ARE ACCURATEAND THAT FUNDS ARE AVAILABLE FOR PAYMENT.
APPROVED AND AUDITED THIS
21TH DAY OF OCTOBER 2025 I CERTIFY UNDER PENALTY OF PERJURY
THAT THE FOREGOING IS TRUE AND
CORRECT.
AUDIT COMMITEEE -MICHAEL PONCE EXECUTED THIS 21TH DAY OF OCTOBER 2025AUDIT COMMITTEE - MARY SCHICKLING FINANCE DIRECTOR - MATTHEW BAKER
CITY OF AVALON
WARRANT DISBURSEMENTS
October 21ST
CHECK DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
40859 09/30/2025 20000.00 SOTO, FRANCISCO SERVICE: CII’ 254510 $ 20,000.00
CITY OF AVALON
WARRANT DISBURSEMENTS
October 21ST
CHECK DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
40860 10/3/2025 $ 9,357.91 SIRIA’S CLEANING SERVICE 2ND HALF 09/2025 $ 9,357.91
$ 175,822.84
CITY OF AVALON
WARRANT DISBURSEMENTS
October 21ST
CHECK DATE
NUMBER ISSUED AMOUNT NAME DESCRIPTION
40861 10/10/2025 $ 2,532.79 AAA OIL, INC FUEL: ALL DEPTS40862 10/10/2025 $ 962.00 ADVANCED PROBLEM SOLVING LLC TRAINING: FIRE 40863 10/10/2025 $ - AMAZON CAPITAL SERVICES, INC. VOID: MULTI-STUB CHECK40864 10/20/2025 $ 6,033.96 AMAZON CAPITAL SERVICES, INC. SUPPLIES: ALL OEPTS 40865 10/10/2025 $ 947.68 AVALON FREIGHT SERVICES, LLC FREIGHT: ALL DEPTS 40866 20/10/2025 $ 3,718.61 AVALON MOORING & DIVING SERVICE: HARBOR40867 10/10/2025 $ 240.00 CAFE METROPOLE SENIOR MEALS:0O/2S40868 10/10/2025 $ 2,480.84 CATALINA BEVERAGE CO SUPPLIES: ALL DEPTS 40869 10/10/2025 $ 39.38 CATALINA BROADBAND SOLUTIONS INTERNET: ALL DEPTS 40870 10/10/2025 $ 58.00 CATALINA COFFEE & COOKIE CO. SUPPLIES: ALL DLPTS40871 10/10/2025 $ 19,179.00 CATALINA ISLAND COMPANY RENT: 10/2025 40872 10/10/2025 $ 900.00 CATALINA ISLAND JANITORIAL SERVICE: ALL DEPTS40873 10/10/2025 $ 360.00 CATALINA ISLANDER ADVERTISING:ALL DEPTS40874 10/10/202S $ 387.03 CDW GOVERNMENT SUPPLIES: IT 40875 10/10/2025 S 679.65 CICCS/EAP SERVICE: ADMIN40876 10/10/2025 $ 55,132.06 CIRCUITTRANSIT, INC. CONTRACT SVCS:09/2540877 10/10/2025 $ 61.38 COLONIAL LIFE PAYROLL LIABILITIES40878 10/10/2025 $ 1,164.39 COOK, AMANDA RETIREE INS: AUGUST-OCTOBER 202540879 10/10/2025 $ 635.28 DEPT. OF CONSERVATION MAPPING FEE: PLANN 40880 10/10/2025 $ 2,100.42 OION & SONS MARINE FUELS INC FUEL: HARBOR 40881 10/10/2025 $ 375.00 ESPRY, INC. SERVICE: IT40882 10/10/2025 $ 4S0.00 ANGELA TORRES PHILIPS SERVICE: RECREATION40883 10/10/2025 $ 240.00 GE SOFTWARE, INC. SERVICE:PUBLIC WORK 40884 10/10/202S $ 35,063.35 GEO-LOGIC ASSOCIATES, LLC. PBL EXPANSION CIP4088S 10/10/2025 $ 1,069.93 GRAINGER SUPPLIES:PUBLIC WORKS40886 i0/10/202S $ 2,391.07 HDL COREN & CONE SERVICE: FINANCE40887 10/10/2025 $ 5,609.14 HOME DEPOT CREDIT SERVICES SUPPLIES:PUBLIC WORKS40888 10/10/2025 $ 337.80 HSI EMERGENCY CARE SOLUTIONS, INC TRAINING: FIRE 40889 10/10/202S $ 1,195.00 ICC GENERAL CODE, INC. SERVICE: ADMIN40890 10/10/2025 $ 588.67 JORDAHL CONSTRUCTION SERVICE:PUBLIC WORKS 40891 10/10/2025 $ 587.76 KEELINE, RYAN REIMR: 0/P COSTS 40892 10/10/2025 $ 493.72 LINDE GAS & EQUIPMENT INC. SUPPLIES: WELDING40893 10/10/2025 $ 2,697.60 MARTINEZ, CARLOS REIMB: 0/P COSTS40894 10/10/2025 $ 1,427.16 MCMASTER-CARR SUPPLIE5:PUBLIC WORKS40895 10/10/202S $ 344.10 MM INTERNET, INC. SERVICE: IT40896 10/101202S $ 290.00 NETMOORING SERVICE: HARBOR 40897 10/10/2025 $ 500.00 NICK MORROW PHOTOGRAPHY SERVICF.RECREATION40898 10/10/202S $ 500.00 PARTNER ASSESSMENT CORPORATION SERVICE: ADMIN 40899 10/10/2025 $ 60.00 PEDROZA, RIGO REIMB: 0/P COSTS40900 10/10/2025 $ 348.70 QUILL CORP SUPPLIES: ALL DEPTS40901 10/10/2025 $ 298.24 RICOH USA, INC. COPIER LEASE: PLANNING40902 10/10/2025 $ 1,215.00 SAND TRAP SENIOR MEAL: 3/25-6/2025- REPLACEMENT 40903 10/10/2025 $ 245.26 SEC HOLDINGS, LLC UNIFORMS: HAR8OR40904 10/10/2025 $ 9,3S7.91 SIRIAS CLEANING SERVICE 2ND HALF 09/202540905 10/10/2025 $ 232.00 VERONICA BRAVO SENIOR MEALS: 09/2IJ2S 40906 10/10/2025 $ 5,000.00 TOWNSEND PUBLIC AFFAIRS, INC CONTRACT SVCS:ADMIN40907 10/10/2025 $ 288.01 ULINE, INC. SUPPLIES: PLANNING40908 10/10/2025 $ 30.00 UNDERGROUND SERVICE ALERT/SC SERVICE: PUBLIC WORKS40909 10/10/2025 $ - CORPORATE PAYMENT SYSTEMS VOID: MULTI-STUB CHECK40910 10/10/2025 $ 7,974.9S CORPORATE PAYMENT SYSTEMS SEE A11ACHED DETAIL
CITY OF AVALON
US BANK CREDIT CARD CHARGES PAID OCTOBER 10TH, 2025
October 21, 2025
$ 7,974.95 CHECK 4R910
LAST NAME POST DATE AMT USO VENDOR DESCRIPTION DEPARTMENT GILBERT R/IR/2025 $ 16.S3 CHEF’S HARDWARE SUPPLIES PUBLIC WORKS PUBLIC WORKSGILBERT R/20/202S S 26.3R CHETS HARDWARE SUPPLIES: PUBLIC WORKS PUBLIC SVUBKSGILBERT R/20/2T25 $ 335.38 PEBBLY REACH RUILOING SUPPLY MAINTENANCE OF PREMISIES HRRROR PUBLIC WORKSGILBERT 0/21/7025 $ (71.6S) CHESS HAROWARE REFUND PUBLIC SVORKSGILBERT R/21/202S $ 71.RS CHET’S HAROWARE SUPPLIES: JME PUREIC WORKS GILBERT 9/4/202S $ IOS.14 SCCA POLICY SUMMIT TRAINING & TRAVEL PUBEIC WORKS GILBERT 9/S/202S $ SR.23 PEBBLY REACH BUILDING SUPPLY SUPPLIES. JME PUBLIC WORKSGILBERT 9/9/202S $ SORT CHETS HARUWARE MAINTENANCE OF PREMISIES: HARBOR PUBLIC WORKSGILBERT 9/9/2025 $ 17.70 PERRLT REACH BUILDING SUPPLY SUPPLIES: PURLIC WORKS PUBLIC WORKSGREENLAW B/2R/2025 $ 42.40 CHETS HAROWARE SUPPLIES PUBLIC WORKS PUBLIC WORKS D.W. HABY R/TS/2025 $ 4R.R3 VONS PROGRAM SUPPLIES: DAY CAMP RECREATIONOW HART R/TR/202S $ 0.75 CHET’S HAROWARE SUPPLIES. SMALL YOOLS RECREATIONO.W. HART 9/20/2025 $ 39S.00 SWANK MOTION PICTURES PROGRAM SUPPLIES: FISHING 01885 RECREATIONO.SV HART 9/22/2025 $ SiRS USPS PROGRAM SUPPLIES ADULTS RECREATION OW. HART B/22/202S $ 11.90 VONS OPERATING SUPPLIES RECREATIONO.W. HART 0/22/2025 $ lOIS CATALIONACOPPEE & CO OPERATING SUPPLIES RECREATIONOW. HARC R/22/2D2S $ 25.32 VONS OPERATING SUPPLIES RECREATIONG.W HART 9/25/2025 $ TR.74 VONS OPERATING SUPPLIES RECREATIONOW. HART B/2S/202S $ 92.25 VONS OPERATING SUPPLIES RECREATIONOW. HARC B/2R/2025 $ 276.00 CATALINA EXPRESS TRAVEL: SPECIAL EVENTS RECREATIONOW. HARC R/30/2025 $ RR.RR VONS PROGRAM SUPPLIES FISHING OERRT RECREATION OW. HART R/3/202S $ T4.40 AVALON LAUNORT OPERATING SUPPLIES RECREATION OW. HART 9/9/2025 $ 13R.R4 ESIGNS.COM SIGNS: PARK FACILITIES RECREATION O.W. HART 9/51/202S $ T57.S0 CATALINA EXPRESS TRAVEL: SPECIAL EVENTS RECREATIONOW. HART 9/12/2025 $ 519.40 CANVA ADVERTISING RECREATION JEFF H. 8/55/202S $ RSR.41 PEBRLY BEACH RUILOING SUPPLT SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSJEFF H 8/20/2025 $ (307.58) LESLIE’S POOL SUPPLT REFUNG PUBLIC WORKSJEFF H R/20/202S $ 777.07 GLOXCO COM SUPPLIES: SOMBRERO FOUNTAIN PUBLIC WORESJEFF H 8/22/2025 $ 323.22 LESLIE’S POOL SUPPLY SUPPLIES: SOMBRERO FOUNTAIN PUBLIC WORKSJEFE H. 8/29/202S $ 873.98 LESLIE’S POOL SUPPLT SUPPLIES: SOMBRERO FOUNTAIN PUBLIC WORKSJEFF H. R/29/202S $ 17010 LESLIE’S POOL SUPPLY SUPPLIES: SOMBRERO FOUNTAIN PUBLIC WORKS ROGELIG R/24/2025 $ 9.91 CHET’S HAROWARE SUPPLIES:MAINTENANCE UP PREMISES PUBLIC WORKS RGOLLID R/25/202S $ 67.21 CHET’S HAROWARE SUPPLIES SOMBRERO FOUNTAIN PUBLIC WORKSROGELID 8/25/2025 $ 71.07 PEBRLT BEACH RUILUING SUPPLY SUPPLIES:MAINTENANCE UP PREMISES PUBLIC WORKSRUGELID 0/26/2025 $ 66.08 PEBBLY REACH BUILDING SUPPLT SUPPLIESMAINTENANCE OF PREMISES PUBLIC WORKSRGGELIG B/27/2025 $ 193.24 PEBRLT BEACH BUILDING SUPPLY SUPPLIES SEWER PUBLIC WORKSRUGEEIU R/27/JO2S $ J9R.47 PEBBLY BEACH BUILOING SUPPLT SUPPLIES SEWER PUBLIC WORKSBUGELIG 8/29/2075 $ T3.0S CHET’S HARDWARE SUPPLIES MAINTENANCE OF PREMISES PUBLIC WORKSROGEEID R/29/2025 $ TI OR CHET’S HAROWARE SUPPLIESMAINTENANCE GE PREMISES PURLIC WORKSRUGELID 9/4/202S $ 4847 CHET’S HAROWARE SUPPLIES HARBOR MAINTENANCE PUBLIC WORKSBUGE EIU 6/S/202S $ 212.47 PFBBLT BEACH RUILOING SUPPLY SUPPLILS.MAINTENANCE OF PREMISES PUBLIC WORKSRUGELIG 9/B/2025 $ 12207 CHET’S HARUWARE SUPPLIES:MAINTENANCE OF PREMISES PUBLIC WORKSRGGELID 9/B/2025 $ R2.6B CHET’S HARDWARE SUPPLIES:MAINTLNANCI OF PREMISES PUBLIC WORKS BGGELIO 9/R/2D25 $ JR.4B CHET’S HABDSVARE SUPPLIES:MAINTENANCE OP PREMISES PUBLIC WORKSRGGELIO 9/10/2025 $ 25 BO PERRLT BEACH BUILDING SUPPLS SUPPLIES:MAINTENANCE OF PREMISES PURLIC WORKSROGELID 9/10/202S 147 21 PERRLT REACH BUILDING SUPPLY MAINTENANCE SUPPLIES: BURMA TRAIL PUBLIC WORKSRUGELID 9/12/2025 $ 5563 CHET’S HABOSVABE SUPPLIES:MAINTENANCE OF PREMISES PUBLIC WORKSRGGELIO 9/12/2025 $ 1590 CHET’S HARDWARE SUPPLIES:MAINTKNANCE OF PREMISES PUBLIC WORKSROGELID 9/12/2025 5 2755 CHET’S HARDWARE SGPPLIES:MAINTENANCE OP PREMISES PURLIC WORKS PHIL H. 9/4/2025 $ 143.25 CHET’S HAROWABE SUPPLIES: HARBOR MAINTENANCE GARAGE PHIL H 9/4/2025 $ 41 BR CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE GARAGE PHIL H 9/9/2025 $ 17.10 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE GARAGEPHIL H 9/10/2025 $ 2776 CHET’S HARDWARE SUPPLIES: HARBOR MAINTENANCE GARAGEHMIELAK R/14/2025 $ (272 29) JIM GREEN FOOTWEAR UNIFORMS: PUBLIC WORKS PUBLIC WORKSHMIELAK R/IS/2025 $ (201 S2) PERRLT REACH BUILDING SUPPLT SUPPLIES: HARBOR MAINTENANCE PUBLIC WORKSHMIELAK 8/14/2025 $ 15538 RED WING SHOES UNIFORMS PUBLIC WORKS PUBLIC WORKSHMIELAK 8/19/2025 $ 285 lB WESTERN WELDER SUPPLIES: WELDING PURLIC WORKSHMIELAK B/21/2025 $ 15399 CHETS HARDWARE SUPPLIES:MAINTENANCE OF PREMISES PUBLIC WORKSHMIFEAK 0/21/2025 $ 68.14 CHET’S HARDWARE SUPPLIESMAINTENANCE GE PREMISES PUBLIC WORKS HMIELAK R/25/202S $ 120.06 CHET’S HARDWARE PUBLIC WORKS SMALL TOOLS PUBLIC WORKSHMIELAK 8/27/2025 $ 15193 DPP PARTS DIRECT SUPPLIES: VEHICLE MAINTENANCE PUBLIC WORKSHMIELAK 9/5/2025 $ 44990 HARBOR FREIGHT SUPPLIES: VEHICLE MAINTENANCE PURLIC WORKSHMIELAK 9/5/202S $ 19B 32 CHET’S HARDWARE SUPPLIES:MAINTENANCE OF PREMISES PUBLIC WORKSHMIELAK 9/9/7025 $ (77.14) DICKILS UNIPORMS PUBLIC WORKS PUBLIC WORKSHMIELAK 9/0/2025 $ 2204 CHET’S HARDWARE SUPPLIES’ RESTROOM MAINTENANCE PUBLIC WORKSHMIELAK 9/10/2025 $ 2T5.R0 BRIMAR INDUSTRIES AVALON TRANSIT ADVERTISING PUBLIC WORKSHMIELAK B/13/202S $ B56.TT AUDIMUTE SUPPLIESMAINTENANCE OF PREMISES PUBLIC WORKSL RUBID B/14/J025 $ 8759 CHET’S HARDWARE SUPPLIES VEHICLE MAINTENANCE GARAGEL 80810 8/18/71225 $ 77 50 CHIT’S HARDWARE SUPPLIES VEHICLE MAINTENANCE GARAGE POOP I of 1
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM: _______ ORIGINATING DEP: Planning and Building CITY MANAGER: _______ PREPARED BY: Kelly Ribuffo, Contract Planner SUBJECT: Adopt an Ordinance Amending Chapter 9-5, Article 5 (L/M -Low and Moderate Income Housing) and Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing programs 14 and 15 as set forth in the 6th Cycle General Plan Housing Element and Adoption of Exemption Findings Under the California Environmental Quality Act
RECOMMENDED ACTION(S): Adopt an ordinance of the City of Avalon amending Chapter 9-5, Article 5 (LIM -Low and Moderate Income Housing) and Article 6 (Accessory Dwelling Units) of Title 9 of the Avalon Municipal Code, implementing housing programs 14 and 15 as set forthin the 6th Cycle General Plan Housing Element and adoption of exemption findings under the California Environmental Quality Act.
BACKGROUND: This ordinance was introduced and all further readings were waived during the September 16, 2025 City Council Meeting.
On September 20, 2022, the City Council adopted the 2021-2029/6th Cycle General Plan Housing Element. The Housing Element is a state-mandated section of the General Plan whichidentifies the housing needs, opportunities, and constraints in the City of Avalon. The HousingPlan section of the Housing Element further sets forth the City’s goals, policies and programs to address Avalon’s identified housing needs, including production of 27 new housing units as allocated by the Southern California Association of Governments (SCAG) Regional Housing Needs Assessment (RHNA) for the 6th review cycle.
The Housing Plan contains 26 programs adopted to implement the goals and policies of the Housing Element. Some programs require one-time code amendments, while others have ongoing review schedules that require monitoring legislative actions and regular updates to the Avalon Municipal Code (AMC). Over the next several months, the Planning and Building Department will bring forth a series of code amendments for consideration to implement all of the housing programs to ensure the City continues to be compliant with State law. The amendments proposed at this time are intended to address the requirements of Program #14 (Accessory Dwelling Units) and Program #15 (Adequate Sites for Lower Income Households on Nonvacant and Vacant Sites Previously Identified).
PROGRAM #14—ACCESSORY DWELLING UNITS: Accessory dwelling units (ADU5) and junior accessory dwelling units (JADU5) help meet the City’s housing needs for all income levels and also provide a housing resource for seniors and low- and moderate-income households throughout the entire community. In accordance with State law, accessory units (also known as second units or granny flats) are allowed by right in all residential zones within the city. Chapter 9-5, Article 6, Accessory Dwelling Units, provides specific development standards and processing requirements for ADUs.
Program #14 requires that the City continue to amend the ordinance based on future changes to State law and work with the California Department of Housing and Community Development (HCD) to ensure continued compliance with State law. The City will also continue to monitor the extent of ADU production to ensure that the ordinance modifications are successful and that the Housing Element goals can be met.
SB 1211 and AB 2553, adopted in 2024 and effective as of January 1, 2025, are the most recent legislative acts that include multiple updates to State ADU law which clarify the development requirements for ADUs. Below is a summary of the amendments proposed tocomply with current State law requirements:
• Update Government Code and Health and Safety Code legal references throughout.• Add definition for “livable space”. (Section 9-5.603)• Clarify the number of detached ADUs permitted on a lot with proposed multi-family development. (Section 9-5.604.a.4)
• Clarify that JADUs are only permitted on lots zoned for single-family residences. (Section 9-5.605.a.3)
• Clarify the method of measuring the height of an ADU. (Section 9-5.605.b.5) • Remove owner-occupancy requirement for ADUs constructed after January 1, 2025. (Section 9-5.605.g.1 and 2)
• Clarify that uncovered parking spaces are included in the types of off-street parking that do not need to be replaced when an ADU is constructed (Section 9-5.606.g.3) • Add clarification of the number of allowed stories for an ADU. (Section 9-6.606.j) In addition, Staff has reviewed the objective architectural design standards for ADU5 to identify opportunities to clarify requirements and reduce impediments forADU development.
The following amendments are proposed to update the design standards for ADUs:
• Clarify the architectural requirements for window and door placement and privacy screening. (Section 9-5.606.h.5)
• Add architectural requirement that roof slope must match that of the dominant roof slope of the primary dwelling on a lot. (Section 9-5.606.h.7) • Revise the requirements for site landscaping to require compliance with the objective standards of the underlying zone. (Section 9-5.606.i)
Complete amendment language is included in the draft ordinance (Attachment 1). It is the opinion of staff that the proposed amendments comply with existing State law concerning ADUsand fully implements Program #14 of the Cycle Housing Element.
PROGRAM #15 - ADEQUATE SITES FOR LOWER INCOME HOUSEHOLDS ON NONVACANT AND VACANT SITES PREVIOUSLY IDENTIFIED: As part of the Housing Element development process, local governments are required to prepare an inventory of land suitable for residential development, including vacant sites and sites having the potential for redevelopment. During the preparation of the 6th Cycle Housing Element, one site on Tremont Street (APN 7480-002-072) was identified as a housing opportunity site with potential to accommodate the number of units required to meet the city’s RHNA unit allocation.
Program #15 of the Housing Element is intended to provide streamlined review of high-density housing projects on the Tremont Street property which include affordable housing units. Program #15 states:
‘The City of Avalon will rezone to allow developments by right pursuant to Government Code section 65583.2(i) when 20 percent or more of the units are affordable to lowerincome households on sites identified in Appendix A to accommodate the lower income RHNA that was previously identified in past housing elements. Specifically, the City will rezone the 1.52-acre nonvacant site located at Tremont Street (APN 7480-002-072) previously identified in the 5th cycle housing element.” The Tremont Street property is currently zoned Low and Moderate Income Housing (L/M) and is designated High Density Residential — Community Housing in the General Plan Land Use Element. Pursuant to AMC Section 9-5.502, low and moderate income housing as defined in AMC Chapter 9-1 1 is permitted by right in the L/M zone, and the maximum permitted density is 40 dwelling units per acre. Therefore, the property is already appropriately zoned for compliance with Program 15.
To further clarify implementation of Program #15, Staff proposed that a new AMC Section 9-
5.505 be added to Chapter 9-5, Article 5 of Title 9 (L/M - Low and Moderate Income Housing), which states that residential development on the Tremont Street property shall be considered a by-right use, and may be processed without discretionary review, when at least 20 percent ormore of units are reserved for affordable to low and very low income households and the project has a density of at least 30 dwelling units per acre. Complete amendment language is includedin the draft ordinance (Attachment 1).
It is the opinion of staff that the proposed amendments L/M zone fully implement Program #15 of the Housing Element.The Tremont Street property is owned by the Santa Catalina Island Company and is already partially developed with residential units. In compliance Program #15, if the City receives an application for a housing development project during this cycle, the City will notify HCD and process the application consistent with State law.
PLANNING COMMISSION RECOMMENDATIONS: On September 3, 2025, the Planning Commission held a duly noticed public hearing at which time written and oral evidence wasconsidered regarding the proposed amendments. The Planning Commission adopted Planning Commission Resolution No. 25-49, which recommends adoption of the proposed ordinance by the City Council, with the following additional recommendations regarding off-street parking requirements for ADUs and JADUs:
• Access to the City of Avalon Seaside Transit (COAST) transit system shall be considered as public transit for the purpose of applying exemption criteria from providing off-street parking spaces for ADU5 and JADU5.
AMC Section 9-5.606.g provides several possible exemptions from providing off-street parkingfor ADUs and JADUs, as provided by State law. Specifically, AMC Section 9-5.606.g.a statesthat no off-street parking space is required when the ADU is located within one-half mile walking distance of public transit, as defined by AMC Section 9-5.603.
The definition of “public transit” in AMC Section 9-5.603 is based on the Government Codedefinition for public transit as set forth in Gov Code Section 66313(m), which defines public transit as “a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public”. COAST does not meet the State definition ofpublic transit, as it operates as an on-demand service and does not run on a fixed route.
The Planning Commission recommends that due to the unique nature of COAST as an ondemand transit system, that the applicable AMC section be amended to incorporate COAST as a qualifier for the ADU parking exemption criteria.
It is the opinion of staff that expanding the definition of “public transit” to include COAST ondemand transit system does not conflict with State law, as the City is expanding opportunities to eliminate off-street parking requirements. This is consistent with the intent of applicable State law for ADU parking regulations that intend to decrease barriers to the construction of ADUs.
Therefore, staff has updated the definition of “public transit” in AMC Section 9-5.603, and the amended language is reflected in the draft ordinance and strike-through amendment text. As proposed, nearly all residential properties within the city will qualify for a parking exemption aslong as they have access to the public right-of-way. • Should a property owner wish to acquire an autoette vehicle permit for the ADU/JADU, then the property would be required to provide off-street parking to be eligible for an autoette vehicle permit.
At this time, ADUs and JADU5 are not eligible for autoette permits pursuant to AMC Section 4.4- 1703.g.9. However, the ADU regulations currently require that an off-street parking space be provided regardless, unless one of the parking space exemption criteria are met. To bring theparking space requirements and vehicle permit qualifications into alignment, PlanningCommission recommended that if the residents of an ADU wished to have a vehicle permit, then appropriate off-street parking should be required to reduce on-street parking congestion.
Otherwise, off-street parking should not be required in order to lessen the development constraints for new ADUs.
At the March 4, 2025, regular meeting, the City Council provided direction to staff to consider revisions to the vehicle code to allow ADUs to be granted autoette permits, so long as appropriate off-street parking is provided for the vehicle. Therefore, the Planning Commission’s recommendation is in line with previous direction provided by the City Council.
Staff has added the recommended off-street parking exemption language as AMC Section 9-5.606.g.2.g in both the draft ordinance and strike-through amendment text. Ad proposed, ADUs shall be exempt from providing off-street parking unless the resident or owner maintains a valid autoette permit for the unit. However, a separate text amendment to AMC Section 4.4-1703.g.9 is required before any ADU or JADU resident may apply for an autoette permit, which City Council may undertake as a separate action.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The Avalon MunicipalCode will not be amended, and the City will be out of compliance with the mandated implementation programs set forth in the 6th Cycle General Plan Housing Element.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS:
1. Ordinance
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OFAVALON AMENDING CHAPTER 9-5 RESIDENTIALZONES, ARTICLE 5 “LOW AND MODERATE INCOMING HOUSING” AND ARTICLE 6 “ACCESSORY DWELLING
UNITS” OF TITLE 9 OF THE AVALON MUNICIPAL CODE
AND ADOPTION OF EXEMPTION FINDINGS UNDER THE
CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, pursuant to the authority granted to the City of Avalon (‘City”) by Article XI, Section 7 of the California Constitution, the City has the police power to regulate the use of land and property within the City in a manner designated to promote public convenience and general prosperity, as well as public health, welfare, and safety; and WHEREAS, the City of Avalon is committed to implementation of the housing programs adopted as part of the 202 1-2029 6” Cycle General Plan Housing Element,including Program #14 (Accessory Dwelling Units) and Program #15 (Adequate Sites forLower Income Households on Nonvacant and Vacant Sites Previously Identified); and WHEREAS, the City Council reviewed the proposed Ordinance, attached as Exhibits A and B, and the effects and demands of such regulations and other development on the City’s resources; and
WHEREAS, on September 3, 2025, the Planning Commission held a duly-noticed public hearing, at which time written and oral evidence was considered regarding the amendments to the development regulations for accessory dwelling units within residential zones of the City and for high-density affordable housing projects on the Tremont Street property (APN 7480-002-072) in the L/M zone; and WHEREAS, the Planning Commission adopted Planning Commission Resolution No. 25-49 with recommendations to the City Council regarding adoption of the aforementioned amendments; and
WHEREAS, on September 16, 2025, the City Council held a duly-noticed public meeting and considered the recommendations of the Planning Commission, staff report,other supporting documents, and any public testimony concerning this ordinance; and WHEREAS, the City Council finds that the proposed Ordinance is consistent with the City’s General Plan because the proposed amendments to the AMC will implement Program #14 and Program #15 of the City’s 2021-2029 6th Cycle General Plan HousingElement, and the proposed amendments implement Policy 11-9 of the Land Use Element, which provides for infill of the City Center area and increasing the intensity of development on vacant and underutilized properties, in lieu of outward development, whereappropriate; and WHEREAS, all legal prerequisites to the adoption of this ordinance have occurred.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF AVALON DOES ORDAIN AS FOLLOWS:Section 1. Incorporation of Recitals. The City Council hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings.
Section 2. Code Amendment. The City Council hereby adopts the proposed ordinance amending Article 5 of Chapter 9-5 of Title 9 of the Avalon Municipal Code to read as proposed in Exhibit A, entitled “Article 5 - (L/M) Low and Moderate IncomeHousing” and amending Article 6 of Chapter 9-5 of Title 9 of the Avalon Municipal Code to read as proposed in Exhibit B, entitled “Article 6 -Accessory Dwelling Units”.
Section 3. Severability. If any section, subsection, subdivision, sentence, clause, or phrase of this Ordinance, or any part thereof is for any reason held to be unconstitutional, void, or invalid, such decisions shall not affect the validity of the remaining portion of this Resolution or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, clause, or phrase be declared unconstitutional, void, or invalid.
Section 4. CEQA Exemptions.
The ordinance is exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines Sections 15183(a) and 15601(b)(3) because it has no potential to have a significant effect on the environment and is not subject to CEQA.
The General Plan is a long-term policy guide for the development of the City but does not propose specific development that can be analyzed at a project-specific level. Therefore, the General Plan EIR is a Program EIR (State Clearinghouse No. 2011091042). A Program EIR provides a more general analysis of the General Plan that focuses on the overall effects of implementation of the General Plan. The Cycle General Plan Housing Element was adopted in September 2022. An addendum to the Program EIR was prepared which concluded that the Housing Element updates do not result in any new or greater environmental impacts than were previously analyzed, disclosed, and mitigated.
Pursuant to Public Resources Code section 21083.3 and CEQA Guideline 15183(a), a project that is consistent with the development densities established in a General Plan for which an EIR was certified is not required to undergo additional environmental review “except as might be necessary to examine whether there are project-specific significanteffects which are peculiar to the project or its site.” As noted above, an EIR was certified for the General Plan. The amendments contained in the ordinance do not authorize construction and make minor changes to existing standards and land use limitations thatapply to existing uses permitted in residential zones in the City and allow uses that areconsistent with the residential uses currently permitted in such zones.
In addition, Guideline 1 5061(b)(3) states that a project is exempt from CEQA if the activity covered by the common sense exemption that CEQA only applies to projects which have the potential for causing a significant effect on the environment. The amendments provide standards for the approval of allowed growth within the parameters of existing General Plan and municipal code regulations. It does not authorize any changes to land use limitations or approve any new development project. Therefore, there is no reasonable possibility that the activity in question may have a significant effect on the environment.
Further, California Public Resources Code section 21080.17 provides that the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance by a city or county implementing the provisions of Section 65852.1 or Section 65852.2 of theGovernment Code, which is California’s ADU law and which also regulates JADUs, as defined by section 66313. Therefore, the component of the ordinance which implementsstate ADU law is statutorily exempt from CEQA.
Therefore, it can be seen with certainty that the ordinance has no potential to cause a significant effect on the environment, and the amendments themselves are categorically exempt from further review under CEQA pursuant to Sections 15183(a) and 15061 (b)(3) of the California Code of Regulations.
Section 5. Certification. The City Clerk of the City of Avalon shall certify the passageand adoption of this Ordinance and shall cause the same, or a summary thereof, to be published and/or posted in the manner required by law.
Section 6. Effective Date. This Ordinance shall become effective thirty days from its adoption.
INTRODUCED at a regular meeting of the City Council of the City of Avalon on the l6t day of September, 2025, by the following vote:
AYES:
NAYS:
ABSENT:ABSTAIN:
PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Avalon on this 21st day of October, 2025, by the following vote:
AYES:
NAYS:
ABSENT:
ABSTAIN:
Ann H. Marshall, Mayor
ATTEST:
Gabrielle Morones, Deputy City Clerk
APPROVED AS TO FORM:
Scott Campbell
Best Best
& Krieger, LLP
EXHIBIT A
Avalon Municipal Code Title 9, Chapter 9-5,
Article 5 - (LIM) Low and Moderate Income Housing
§ 9-5.501. Intent and Purpose.
The L/M zone is established to provide residential areas where multiple family dwelling units can be provided to meet the housing needs of the City’s low and moderate income residents. This zone is also intended to meet the City’s share of the Regional HousingNeeds Assessment (RH NA). § 9-5.502. Principal Uses Permitted.
ç) Low and moderate income housing as defined in Chapter 9-11.(i2) Parks. ) Mobile home parks.
§ 9-5.503. Accessory Uses Permitted.
Premises in the L/M zone may be used for accessory uses provided such uses are established on the same lot or parcel of land, are incidental to, and do not substantially alter the character of any permitted use, including, but not limited to:
(a) Accessory buildings or structures, including private garages. (b) Domestic animals, not to exceed three over three months old. § 9-5.504. Uses Permitted by Conditional Use Permit.
(a) Low and moderate income housing with density bonus. (b) Single room occupancies.
§ 9-5.504. Standards of Development.
Premises in this zone shall be subject to the development standards contained in this section, Chapter 9-7 (General Standards of Development) and, in the case ofcongregate housing construction or conversion, the standards of development, procedures and findings set forth in Chapter 9-13 of this title. (a) Maximum Permitted Density. The maximum permitted density shall be 40 units per acre.
(b) Minimum Lot Area. None.(c) Minimum Lot Width. None. (d) Required Setbacks. No building shall be located closer than 10 feet from any street or project boundary line, nor closer than six feet to any other building. (e) Building Bulk.
(1) Maximum Permitted Heights.
(i) For lots of 10° average slope or less: No portion of the building may exceed a height greater than 28 feet above the lot’s natural surface and shall not be more than two stories;
(ii) For lots of 20° or greater: No portion of the building may exceed a height greater than 14 feet above the upper lot line and 40 feet on any part of the lot’s natural surface;
(iii) For lots of 11° to and including 19° average slope: measurement of the applicable height envelope may be pursuant to (i) or (ii). (t) Off-Street Parking. To be determined by the Commission. (g) Trash Storage. Sufficient, enclosed off-street trash storage areas shall be required to serve the project, not less than the equivalent of 30 gallons per residence. (h) Affordable Housing Contract. For new construction within this district (low/moderate), the provisions of this article shall be secured by a contract between the developer and the City.
§ 9-5.505. Housing Opportunity Site — Tremont Street Property (APN 7480-002-072). (a) It is the purpose pf this section to facilitate the development of qualifying affordable housing units by implementing Program 15 of the 6th Cycle City of Avalon Housing Element and codifying the statutory requirements found in California Government Code section 65583.2(c) governing the same.
(b) The 1.52-acre nonvacant site located on Tremont Street (APN 7480-002-072) has been identified as a housing element opportunity site intended to meet the City’s share of the Regional Housing Needs Assessment (RHNA) in the 6th Cycle General Plan Housing Element.
(c) Residential development upon the Tremont Street (APN 7480-002-072) site shall be considered a by-right use and shall be processed pursuant to Government Code section 65583.2(i), without discretionary review, if all of the following requirementsare met:
(1) The project site is located on a site that is listed in the 6th Cycle Housing Element pursuant to Government Code section 66583.2(a). (2) At least 20 percent of the total units provided on-site (including all base density and density bonus units) shall be reserved for low or very low income households.
(3) Residential development shall have a minimum density of 30 units per acre. (d) Residential developments approved pursuant to this section shall not be considered a project for purposes of Division 13 (commencing with Section 21000) of the Public Resources Code, also known as the California Environmental Quality Act. (e) The project complies with all applicable objective City policies, development standards, and design standards established in the General Plan or Development Code. Where there is
a conflict between other City requirements and this section, the provisions of this section shall apply.
EXHIBIT B
Avalon Municipal Code Title 9, Chapter 9-5,
Article 6 -Accessory Dwelling Units
§ 9-5.601 Purpose.
The purpose of this section is to allow and regulate accessory dwelling units (ADU5) and junior accessory dwelling units (JADU5) in compliance with Chapter 13 of Division 1 of Title 7 of the California Government Code.§ 9-5.602 Effect of Conforming.
An ADU or JADU that conforms to the standards in this section will not be:
(a) Deemed to be inconsistent with the City’s general plan and zoning designation for the lot on which the ADU or JADU is located.
(b) Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.
(c) Considered in the application of any local ordinance, policy, or program to limitresidential growth. (d) Required to correct a nonconforming zoning condition, as defined in subsection 9-5.603 below. This does not prevent the City from enforcing compliance with applicablebuilding standards in accordance with Health and Safety Code section 17980.12. § 9-5.603 Definitions.
As used in this section, terms are defined as follows:ACCESSORY DWELLING UNIT or ADU Means an attached or a detached residential dwelling unit that provides completeindependent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:
(a) An efficiency unit, as defined by section 17958.1 of the California Health andSafety Code; and (b) A manufactured home, as defined by section 18007 of the California Healthand Safety Code.
ACCESSORY STRUCTURE
Means a structure that is accessory and incidental to a dwelling located on the same lot.
COMPLETE INDEPENDENT LIVING FACILITIES
Means permanent provisions for Hying, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will besituated.
EFFICIENCY KITCHEN
Means a kitchen that includes all of the following:
(a) A cooking facility with appliances.(b) A food preparation counter and storage cabinets that are of a reasonable size in relation to the size of the JADU.
JUNIOR ACCESSORY DWELLING UNIT or JADU
Means a residential unit that satisfies all of the following:
(a) It is no more than 500 square feet in size.(b) It is contained entirely within an existing or proposed single-family structure.
An enclosed use within the residence, such as an attached garage, is considered to be a part of and contained within the single-family structure. (c) It includes its own separate sanitation facilities or shares sanitation facilities with the existing or proposed single-family structure.
(d) If the unit does not include its own separate bathroom, then it contains an interior entrance to the main living area of the existing or proposed single-family structure in addition to an exterior entrance that is separate from the mainentrance to the primary dwelling. (e) It includes an efficiency kitchen, as defined in this subsection above.
LIVABLE SPACE
Means a space in a dwelling intended for human habitation, including living, sleeping, eating, cooking, or sanitation.
LIVING AREA
Means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure.
NONCONFORMING ZONING CONDITION
Means a physical improvement on a property that does not conform with current zoning standards.
PASSAGEWAY
Means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU or JADU.
PROPOSED DWELLING
Means a dwelling that is the subject of a permit application and that meets the requirements for permitting.
PUBLIC TRANSIT
Means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportationthat charge set fares, run on fixed routes, and are available to the public. Accessto the City of Avalon Seaside Transit (COAST) on-demand transit system shall also qualify as public transit for the purposes of this article.
TANDEM PARKING
Means that two or more automobiles are parked on a driveway or in any otherlocation on a lot, lined up behind one another. § 9-5.604 Approvals.
The following approvals apply to ADUs and JADUs under this section:
(a) Building-permit Only. If an ADU or JADU complies with each of the general requirements in subsection 9-5.605 below, it is allowed with only a building permit in the following scenarios:
(1) Converted on Single-family Lot: One ADU as described in this subsection 9-5.604(a)(1) and one JADU on a lot with a proposed or existing single-family dwelling on it, where the ADU or JADU:
a. Is either: within the space of a proposed single-family dwelling; withinthe existing space of an existing single-family dwelling; or (in the case of an ADU only) within the existing space of an accessory structure, plus up to 150 additional square feet if the expansion is limited to accommodating ingress and egress; andb. Has exterior access that is independent of that for the single-family dwelling; andc. Has side and rear setbacks sufficient for fire and safety, as dictated byapplicable building and fire codes.d. The JADU complies with the requirements of Government Codesections 66333 through 66339. (2) Limited Detached on Single-family Lot: One detached, new-construction ADUon a lot with a proposed or existing single-family dwelling (in addition to any JADU that might otherwise be established on the lot under subsection 9-
5.604(a)(1) above), if the detached ADU satisfies each of the following limitations:
a. The side- and rear-yard setbacks are at least three feet. b. The total floor area is 800 square feet or smaller.
c. The peak height above grade does not exceed the applicable height limit in subsection 9-5.605(b) below.
(3) Converted on Multifamily Lot: One or more ADUs within portions of existingmultifamily dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each converted ADU complies with state building standards for dwellings. Under this subsection 9-5.604(a)(3), at least one converted ADU is allowed within an existing multifamily dwelling, up to a quantity equal to 25% of the existing multifamily dwelling units.
(4) Limited Detached on Multifamily Lot: No more than two detached ADUs on a lot with a proposed multifamily dwelling, or up to eight detached ADUs on a lot with an existing multifamily dwelling, if each detached ADU satisfies all of thefollowing limitations:
a. The side- and rear-yard setbacks are at least three feet. If the existing multifamily dwelling has a rear or side yard setback of less than four feet, the City will not require any modification to the multifamily dwelling as a condition of approving the ADU.
b. The peak height above grade does not exceed the applicable heightlimit provided in subsection 9-5.605(b) below. c. If the lot has an existing multifamily dwelling, the quantity of detached ADUs does not exceed the number of primary dwelling units on the lot. (b) ADU Permit.
(1) Except as allowed under subsection 9-5.604(a) above, no ADU may be created without a building permit and an ADU permit in compliance with thestandards set forth in subsections 9-5.605 and 9-5.606 below. (2) The City may charge a fee to reimburse it for costs incurred in processing ADUpermits, including the costs of adopting or amending the City’s ADU ordinance.
The ADU-permit processing fee is determined by the Director of Community Development and approved by the City Council by resolution. (c) Process and Timing.
(1) An ADU permit is considered and approved ministerially, without discretionary review or a hearing.
(2) The City must approve or deny an application to create an ADU or JADU within 60 days from the date that the City receives a completed application. If the City has not approved or denied the completed application within 60 days, the application is deemed approved unless either:
a. The applicant requests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or
b. When an application to create an ADU or JADU is submitted with a permit application to create a new single-family or multifamily dwelling on the lot, the City may delay acting on the permit application for the ADU or JADU until the City acts on the permit application to create the new singlefamily or multifamily dwelling, but the application to create the ADU orJADU will still be considered ministerially without discretionary review or a hearing.
(3) If the City denies an application to create an ADU or JADU, the City mustprovide the applicant with comments that include, among other things, a list of all the defective or deficient items and a description of how the application may be remedied by the applicant. Notice of the denial and corresponding comments must be provided to the applicant within the 60-day time period established by subsection 9-5.604(c)(2) above.(4) A demolition permit for a detached garage that is to be replaced with an ADU is reviewed with the application for the ADU and issued at the same time. § 9-5.605 General ADU and JADU Requirements.
The following requirements apply to all ADUs and JADUs that are approved undersubsections 9-5.604(a) or 9-5.604(b) above:
(a) Zoning.
(1) An ADU or JADU subject only to a building permit under subsection 9-604(a) above may be created on a lot in a residential or mixed-use zone. (2) An ADU or JADU subject to an ADU permit under subsection 9-5.604(b) above may be created on a lot that is zoned to allow single-family dwelling residential use or multifamily dwelling residential use. (3) In accordance with Government Code section 66333(a), a JADU may only becreated on a lot zoned for single-family residences. (b) Height.
(1) Except as otherwise provided by subsections 9-5.605(b)(2) and 9-5.605(b)(3) below, a detached ADU created on a lot with an existing or proposed single family or multifamily dwelling unit may not exceed 16 feet in height. (2) A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single family or multifamily dwelling unit that is located withinone-half mile walking distance of a major transit stop or a high quality transitcorridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to two additional feet in height (for a maximum of 20 feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit.
(3) A detached ADU created on a lot with an existing or proposed multifamily dwelling that has more than one story above grade may not exceed 18 feet in height.
(4) An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that applies to the primary dwelling, whichever is lower. Notwithstanding the foregoing, ADUs subject to this subsection 9-5.605(b)(4) may not exceed two stories.(5) For purposes of this subsection 9-5.605(b), height is measured from existing legal grade or the level of the lowest floor, whichever is lower, to the peak of the structure.
(c) Fire Sprinklers.
(1) Fire sprinklers are required in an ADU if sprinklers are required in the primaryresidence. (2) The construction of an ADU does not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling.
(d) Rental Term. No ADU or JADU may be rented for a term that is shorter than 30 days.
This prohibition applies regardless of when the ADU or JADU was created. (e) No Separate Conveyance. An ADU or JADU may be rented, but, except as otherwise provided in Government Code Section 66341, no ADU or JADU may be sold or otherwise conveyed separately from the lot and the primary dwelling (in the case of asingle-family lot) or from the lot and all of the dwellings (in the case of a multifamily lot).(f) Septic System. If the ADU or JADU will connect to an onsite wastewater-treatmentsystem, the owner must include with the application a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years. (g) Owner Occupancy.
(1) ADUs created under this section on or after January 1, 2020 are not subject to any owner-occupancy requirement.
(2) As required by state law, all JADUs are subject to an owner-occupancy requirement. A natural person with legal or equitable title to the property mustreside on the property, in either the primary dwelling or JADU, as the person’slegal domicile and permanent residence. However, the owner-occupancy requirement in this subsection 9-5.605(g)(3) does not apply if the property is entirely owned by another governmental agency, land trust, or housing organization.
(h) Deed Restriction. Prior to issuance of a building permit for an ADU or JADU, a deed restriction must be recorded against the title of the property in the County Recorder’s office and a copy filed with the Director (or their designee) and filed with the Planning Department. The deed restriction must run with the land and bind all future owners. The form of the deed restriction will be provided by the City and must provide that:
(1) Except as otherwise provided in Government Code Section 66341, the ADUor JADU may not be sold separately from the primary dwelling. (2) The ADU or JADU is restricted to the approved size and to other attributes allowed by this section.(3) The deed restriction runs with the land and may be enforced against futureproperty owners. (4) The deed restriction may be removed if the owner ehminates the ADU or JADU, as evidenced by, for example, removal of the kitchen facilities. To remove the deed restriction, an owner may make a written request of the Director, providing evidence that the ADU or JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the ADU or JADU has been eliminated. Appeal may be taken from the Director’s determination consistent with other provisions of this Code. If the ADU or JADU is not entirely physicaHy removed, but is only eliminated by virtue of having anecessary component of an ADU or JADU removed, the remaining structure andimprovements must otherwise comply with applicable provisions of this Code. (5) The deed restriction is enforceable by the Director or his or her designee for the benefit of the City. Failure of the property owner to comply with the deed restriction may result in legal action against the property owner, and the City is authorized to obtain any remedy available to it at law or equity, including, but not limited to, obtaining an injunction enjoining the use of the ADU or JADU in violation of the recorded restrictions or abatement of the illegal unit. (i) Income Reporting. In order to facilitate the City’s obligation to identify adequate sites for housing in accordance with Government Code sections 65583.1 and 66330, thefollowing requirements must be satisfied:
(1) With the building-permit application, the applicant must provide the City withan estimate of the projected annualized rent that will be charged for the ADU orJADU.(2) Within 90 days after each January lof the issuance of the building permit, theowner must report the actual rent charged for the ADU or JADU during the prior year. If the City does not receive the report within the 90-day period, the owner is in violation of this Code, and the City may send the owner a notice of violation and allow the owner another 30 days to submit the report. If the owner fails tosubmit the report within the 30-day period, the City may enforce this provision inaccordance with applicable law.
U) Building & Safety.
(1) Must comply with building code. Subject to subsection 9-5.605(j)(2) below, all ADUs and JADUs must comply with all local building code requirements. (2) No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of the California Building Code, unless the building official or Code EnforcementOfficer makes a written finding based on substantial evidence in the record that the construction of the ADU could have a specific, adverse impact on public health and safety. Nothing in this subsection 9-5.605(j)(2) prevents the City from changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted for residential use in accordance with this section.
§ 9-5.606 Specific ADU Requirements.
The following requirements apply only to ADUs that require an ADU permit under subsection 9-5.604(b) above.(a) Maximum Size.
(1) The maximum size of a detached or attached ADU subject to thissubsection 9-5.606 is 850 square feet for a studio or one-bedroom unit and 1,000square feet for a unit with two or more bedrooms.(2) An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50% of the floor area of the existing primary dwelling. (3) Application of other development standards in this subsection 9-5.606, suchas FAR or lot coverage, might further limit the size of the ADU, but no application of the percent-based size limit in subsection 9-5.606(a)(2) above or of an FAR, front setback, lot coverage limit, or open-space requirement may require the ADUto be less than 800 square feet. (b) Floor Area Ratio (FAR). No ADU subject to this subsection 9-5.606 may cause the total FAR of the lot to exceed 45%, subject to subsection 9-5.606(a)(3) above. (c) Setbacks.
(1) An ADU that is subject to this subsection 9-5.606 must conform to a 3-foot front-yard setback, subject to subsection 9-5.606(a)(3) above. (2) An ADU that is subject to this subsection 9-5.606 must conform to 3-foot sideand rear-yard setbacks.(3) No setback is required for an ADU that is subject to this subsection 9-5.606 if the ADU is constructed in the same location and to the same dimensions as an existing structure.
(d) Lot Coverage. No ADU subject to this subsection 9-5.606 may cause the total lotcoverage of the lot to exceed 50%, subject to subsection 9-5.606(a)(3) above.(e) Minimum Open Space. No ADU subject to this subsection 9-5.606 may cause the total percentage of open space of the lot to fall below 50%, subject to subsection 9-
5.606(a)(3) above.(f) Passageway. No passageway, as defined by subsection 9-5.603 above, is required for an ADU.
(g) Parking.
(1) Generally. One off-street parking space is required for each ADU. The parking space may be provided in setback areas or as tandem parking, as defined bysubsection 9-5.603 above.(2) Exceptions. No parking under subsection 9-5.606(g)(1) is required in the following situations:
a. The ADU is located within one-half mile walking distance of public transit, as defined in subsection 9-5.603 above.
b. The ADU is located within an architecturally and historically significanthistoric district. c. The ADU is part of the proposed or existing primary residence or anaccessory structure under subsection 9-5.604(a)(1) above.d. When on-street parking permits are required but not offered to the occupant of the ADU.e. When there is an established car share vehicle stop located within one block of the ADU.
f. When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamily dwelling on thesame lot, provided that the ADU or the lot satisfies any other criteria listed in subsections 9-5.606(g)(2)a through e above.
g. When the resident or owner of an ADU does not operate or maintain anautoette pursuant to a valid resident vehicle permit, also referred to interchangeably as an autoette permit, pursuant to AMC Title 4, Chapter 4-4 Traffic, Article 17 Registration of Vehicles.
(3) No Replacement. When a garage, carport, or covered parking structure, or uncovered parking space is demolished in conjunction with the construction of an ADU or converted to an ADU, those off-street parking spaces are not required to be replaced.
(h) Architectural Requirements.
(1) The materials and colors of the exterior walls, roof, and windows and doorsmust match the appearance and architectural design of those of the primary dwelling.
(2) The exterior lighting must be limited to down-lights or as otherwise required by the building or fire code.(3) The ADU must have an independent exterior entrance, apart from that of theprimary dwelling.(4) The interior horizontal dimensions of an ADU must be at least 10 feet wide in every direction, with a minimum interior wall height of seven feet. (5) No window or door of the ADU may have a direct line of sight to an adjoining residential property. Each window and door must either be located where there is no direct line of sight or screened using fencing, landscaping, or privacy glass to prevent a direct line of sight.
(6) All windows and doors in an ADU are less than 30 feet from a property line that is not a public right-of-way line must either be (for windows) clerestory withthe bottom of the glass at least six feet above the finished floor, or (for windows and for doors) utilize frosted or obscure glass.(7) The roof slope must match that of the dominant roof slope of the primary dwelling. The dominant roof slope is the slope shared by the largest portion of the roof.
(i) Landscape Requirements. Landscaping shall comply with the objective requirements of the underlying zone.(j) Allowed Stories. No ADU subject to this subsection 9-5.606 may have more than one story, except that an ADU that is attached to the primary dwelling may have the storiesallowed under subsection 9-5.605(b)(4).§ 9-5.607 Fees.
The following requirements apply to all ADU5 that are approved under subsections 9-
5.604(a) or 9-5.604(b) above.(a) Impact Fees.
(1) No impact fee is required for an ADU that is less than 750 square feet in size.
For purposes of this subsection 9-5.607(a), “impact fee” means a “fee” under theMitigation Fee Act (Gov. Code § 66000(b)) and a fee under the Quimby Act (Gov.
Code § 66477). “Impact fee” here does not include any connection fee or capacity charge for water or sewer service.(2) Any impact fee that is required for an ADU that is 750 square feet or larger insize must be charged proportionately in relation to the square footage of the primary dwelling unit. (E.g., the floor area of the ADU, divided by the floor area of the primary dwelling, times the typical fee amount charged for a new dwelling.) (b) Utility Fees.
(1) If an ADU is constructed with a new single-family home, a separate utility connection directly between the ADU and the utility and payment of the normalconnection fee and capacity charge for a new dwelling are required. (2) Except as described in subsection 9-5.607(b)(1), converted ADUs on a single family lot that are created under subsection 9-5.607(a)(1) above are not requiredto have a new or separate utility connection directly between the ADU and the utility. Nor is a connection fee or capacity charge required. (3) Except as described in subsection 9-5.607(b)(1), all ADU5 that are not covered by subsection 9-5.607(b)(2) require a new, separate utility connection directly between the ADU and the utility for any utility that is provided by the city.
All utilities that are not provided by the city are subject to the connection and fee requirements of the utility provider.
a. The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainage-fixture units (DFU) values, as defined by the Uniform Plumbing Code, upon the water or sewer system. b. The portion of the fee or charge that is charged by the City may not exceed the reasonable cost of providing this service.
§ 9-5.608 Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.
(a) Generally. The city will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structure on the lot that does not present a threat to the public health and safety and that is not affected by the construction oftheADU 0rJADU.
(b) Unpermitted ADU5 constructed before 2020.
(1) Permit to Legalize. As required by state law, the city may not deny a permit tolegalize an existing but unpermitted ADU that was constructed before January 1, 2020, if denial is based on either of the following grounds:
a. The ADU violates applicable building standards, or
b. The ADU does not comply with the state ADU law (Government Code section 65852.2) or this ADU ordinance (AMC 9-5.6). (2) Exceptions:
a. Notwithstanding subsection 9-5.608(b)(1) above, the City may deny a permit to legalize an existing but unpermitted ADU that was constructedbefore January 1, 2020, if the City makes a finding that correcting a violation is necessary to comply with the standards specified in California Health and Safety Code section 17920.3.
b. Subsection 9-5.608(b)(1) above does not apply to a building that is deemed to be substandard in accordance with California Health and Safety Code section 17920.3.
§ 9-5.609 Nonconforming ADUs and Discretionary Approval.
Any proposed ADU or JADU that would otherwise be allowed under this this section but does not conform to the objective standards set forth in subsections 9-5.601 through 9-
5.608 of this section may be allowed by the City with a conditional use permit, inaccordance with the other provisions of this title.
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM: _______ ORIGINATING DEP: Fire CITY MANAGER: _______ PREPARED BY: Michael Alegria, Fire Chief Devin Hart, Senior Management Analyst
SUBJECT: Fire Department Mobile Incident Command Vehicle Replacement RECOMMENDED ACTION(S): 1. Per the City’s Procurement Policy, authorize the City Manager or his designee to execute an agreement with Watson Fleet Group for the purchase of a 2026 Chevrolet Silverado 2500HD, 4WD Crew Cab with 159” custom 6.9’ box by cooperativepurchasing procedures. 2. Amend the Fiscal Year 25-26 Budget allocating $65,000 to fund 10245-6871, CIP Project Number 234501.
REPORT SUMMARY: The City of Avalon was awarded a grant of $59,120 through Area FEMPG FY24 for a command vehicle replacement for an Emergency Operations Center (EOC).
The goal of the funding is to upgrade mobile EOC capabilities so the City may be better prepared to receive and relay information during emergency situations.
The Avalon Fire Department (AFD) is an “All Hazard” response agency which responds to allcalls for public assistance including emergency medical service, fires, technical rescues andother hazards. The incident command vehicle is staffed daily by the Chief, and Captains in hisabsence. The Chief’s responsibilities include managing daily operations of fire crews, ensuringall areas of the city are provided with adequate emergency response coverage, and functioningas the incident commander of large incidents. The incident command vehicle will be equipped with a state-of-the-art mobile communications terminal that allows the battalion chief to receive real-time incident information and maintain communications with Avalon Sheriffs dispatch center and local law enforcement. Additionally, the vehicle is equipped with a large storage areacontaining items pertinent to managing a large-scale incident, including any natural or man made disaster. On frequent occasions, the vehicle has been used to respond to wildfires in Los Angeles County and across the Island to lead strike team engines to assist other agencies and protect life, property, and the environment.
Avalon Municipal Code Section 3-4.111(d) exempts the City from bidding or other competitive procedures if it utilizing cooperative purchasing practices. Sourcewell, formerly known as the National Joint Powers Alliance, is a public government agency created specifically by the Minnesota legislature as a local unit of government (under Minnesota Constitution, article XII, section 3). Sourcewell operates as a service cooperative and acts as a national municipal contracting agency which establishes and provides nationally leveraged and competitivelysolicited purchasing contracts that can be utilized by member agencies such as the City of Avalon.
City Staff researched multiple types of Chevrolet Silverado Trucks, including the Silverado 1 500HD, Silverado 2500HD Work Truck and Silverado 2500HD Custom Box through Sourcewell as well as in person at dealerships and 911 Vehicles in Anaheim. 911 Vehicles is a dealership that specializes in state-of-the-art emergency vehicles and associated communications accessories. After consideration of the City’s needs, it was determined the larger vehicle - Chevrolet Silverado 2500HD with custom box — would be suited to accommodate the weight of necessary radio and emergency equipment.
This project is not budgeted in the City’s Fiscal Year 2025-26 Capital Improvement Plan; however, grant revenues will offset the majority of the expenses.
City Staff recommend that the City Council authorize the City Manager or his designee to execute an agreement with Watson Fleet Group for the purchase of a 2026 Chevrolet Silverado2500HD, 4WD Crew Cab with 159” custom 6.9’ box by cooperative purchasing procedures. City Staff also recommends the City Council amends the Fiscal Year 25-26 Budget allocating $65,000 to fund 10245-6871, CIP Project Number 234501.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City will not receive the grant funding or purchase a new emergency vehicle.
FOLLOW UP ACTION: Implementation of City Council direction.
FISCAL IMPACTS: This project is not budgeted in the Fiscal Year 2024-25 Capital ImprovementPlan. Staff recommend a budget amendment allocating $65,000 to CIP Project #234501, fund #10245-6871. Grant revenues will offset $59,120 of the expense.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: Quotes.
National Auto Fleet Group
A t Wo
4O AuL Cnr Ora, Wt i1I, CA O)5
[855) 289-B572(a31j 48OS49? F
F e e t N n t n A u a F e t ir up. a a m
9/24/2025 Quote ID: 33091
Order Cut Off Date: TBA
Mr Michael Alegria
City of Avalon Fire
420 Ava Ion Canyon Rd
Avalon, California, 90704
Dear Michael Alegria,
National Auto Fleet Group is pleased to quote the following vehicle(s) for your consideration.
One (1) NewlUnused (2026 Chevrolet Silverado 2500HD (CK20743) 4WD Crew Cab 159” Custom 6.9’ Box, ) anddelivered to your specified location, each for One Unit One Unit Total % Total Savings
(MSRP) Savings
Contract Price $60240.00 $58,629.52 2.673 % $1,610.48Tax (10.2500 %) $6,009.53Tire fee $8.75 Transportation $150.00
Total $64,797.80
- per the attached specifications.This vehicle(s) is available under the Sourcewell Contract 091521-NAF . Please reference this Contract number on all purchase orders to National Auto Fleet Group. Payment terms are Net 20 days after receipt of vehicle.
Thank you in advance for your consideration. Should you have any questions, please do not hesitate to call.
Sincerely,
Kevin Buzzard
Account Manager
Email: buzzard515Ogmail,com
Office: (626) 457-5590
Fax: (831) 480-8497
j...
CHEVROlET TOYOTA
National Auto Fleet Group
4Q CA C5O7
(855 2SS857 1831) 48O8487 Fx
F Au Fl tO up.cnm
9/24/2025 Quote ID: 33089
Order Cut Off Date: TBA
Mr Michael Alegria
City of Avalon Fire - 420 Avalon Canyon Rd
Avalon, California, 90704
Dear Michael Alegria,
National Auto Fleet Group is pleased to quote the following vehicle(s) for your consideration.
One (1) NewiUnused (2026 Chevrolet Silverado 2500110 (CK20743) 4WD Crew Cab 159” Work Truck 6,9’ Box,)and delivered to your specified location, each for One Unit One Unit Total % Total Savings
(MSRP) Savings
Contract Price $58,780.00 $57,191.62 2.702 % $1,588.38Tax (10.2500 %) $5,862.14 Tire fee $8.75
Transportation $150.00
Total $63,212.51
per the attached specifications.
This vehicle(s) is available under the Sourcewell Contract 091 521-NAF . Please reference this Contract number on all purchase orders to National Auto Fleet Group. Payment terms are Net 20 days after receipt of vehicle.Thank you in advance for your consideration. Should you have any questions, please do not hesitate to call.Sincerely, Kevin Buzzard
Account Manager
Email: buzzard5l 50gmaiLcom
Office: (626) 457-5590
Fax: (831 ) 480-8497
CHEVROI.ET
National Auto Fleet Group o w
490 Auto Cntr 0rv. W uouflo, CA 9SQ7
(85) 289-65?’ (831) 88O8497 Fx
F t 8 N I A u t F t 6 r a u p a
9/26/2025 Quote ID: 33113
Order Cut Off Date: TBA
Mr Michael Alegria
City of Ava Ion Fire
420 Avalon Canyon Rd
Avalon, California, 90704
Dear Michael Alegria,
National Auto Fleet Group is pleased to quote the following vehicle(s) for your consideration.
One (1) New/Unused (2026 Chevrolet Sllverado 1500 (CK10543) 4W0 Crew Cab 147” Work Truck 5.8’ Box, ) and delivered to your specified location, each for One Unit One Unit Total % Total Savings
(MSRP) Savings
Contract Price $59,142.00 $575O5.62 2.767 % $1,636.38
Tax (10.2500 %) $5,894.33
Tire fee $8.75
Transportation $175.00
Total $63,583.69
- per the attached specifications.This vehicle(s) is available under the Sourcewell Contract 091521-NAF . Please reference this Contract number on all purchase orders to National Auto Fleet Group. Payment terms are Net 20 days after receipt of vehicle.
Thank you in advance for your consideration Should you have any questions, please do not hesitate to call Sincerely,
Kevin Suzzard
Account Manager
Email: buzzardS150gmail.com
Office: (626) 457-5590
Fax: (831) 480-8497
/
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM:
_______
ORIGINATING DEP: Administration CITY MANAGER:__________ PREPARED BY: Devin Hart, Senior Management Analyst
Robert Green law, City Engineer
SUBJECT: Change Order #2 for Cultural Resources Consultation Agreement with Montrose Environmental Services
RECOMMENDED ACTION(S): Authorize the City Manager to execute Changer Order #2 for the professional services agreement with Montrose Environmental Solutions, Inc., to continue to provide cultural resource consulting for the Five Corner Site Improvement Project, for an additional sum of $50,000 and a new total contract sum of $216,128.00.
REPORT SUMMARY: On November 25, 2024 the City of Avalon issued a notice toproceed to Jordahl Construction, Inc. to complete the Five Corners Site Improvement Project (CIP Project #180003).
Knowing a portion of the scope of work essential for this project was being completed in a designated culturally sensitive area, the City planned to contract with a cultural resourceconsultant to provide on call oversight. On December 16, 2024, the City entered into a professional services agreement with Montrose Environmental Solutions, Inc. (Montrose) to provide on-call cultural resources consultation services for a not to exceed sum of $24,000.
Shortly after contracting with Montrose, archeologists on site noted potentially culturally significant items being excavated through the eastern edge of Tremont Street between Catalina and Clarissa Avenues. After an initial assessment of the site, Montrose provideda revised proposal outlining a scope of services to provide cultural resource monitoring services and sediment screening as well as a final monitoring report for a total of $117,889.
On January 21, 2025, the City Council authorized the City Manager to negotiate and enter into a professional services agreement with Montrose Environmental Services, Inc. to provide cultural resource consulting for the Five Corners Site Improvement Project for a not to exceed sum of $118,000.
On April 17,2025, Montrose provided City Staff with Change Order #1. This change order expanded Montrose’s monitoring time on site until September 2025. Initially, monitoring efforts were projected to continue from December 2024 through the end of March 2025.
However, due to an expanded project schedule as well as the discovery of cultural findings within the project area, Montrose and City Staff saw the need to expand the monitoring timeline.
On October 10, 2025, Montrose requested the City authorize Change Order #2 authorizing an additional $50,000 to the contract sum. This change order will expand Montrose’s monitoring efforts through December 2025 to coincide with the completion of the excavation phases of the project. Additionally, the change order provides additional scope to support the coordination of repatriation of cultural resources discovered throughout the project.
If approved, the total contract sum for Montrose to provide Cultural Resources Consultation will increase to $216,128. The costs of this contractwill be allocated to Fiscal Year 25-26 Capital Improvement Program — Project #180003, account #10575-6547.
FISCAL IMPACTS: These contracted services will be allocated to Fiscal Year 2024-25 Capital Improvement Program — Project #180003, account #10575-6547.
GOAL ALIGNMENT: Infrastructure upgrades.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City will not be in compliance with cultural monitoring required for the Five Corners Site Improvement Project and may incur cost overruns associated with the construction project.
FOLLOW UP ACTION: Execute contract amendment.
ADVERTISING, NOTICE AND PUBLIC CONTACT: The item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: None.
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM: ________ ORIGINATING DEP: City Attorney CITY MANAGER: MJt PREPARED BY: Scott Campbell, City Attorney
SUBJECT: Options for City Council in Considering Tenant Protection and Rent Control Measures
RECOMMENDED ACTION(S): Consider and discuss tenant protections and rent control options available under State law, and provide direction to City of Avalon (‘City”) staff to evaluate and report back on any desired local options available to the City.
REPORT SUMMARY: The purpose of this staff report is to provide the City Council withinformation on State law as it relates to tenant protections and rent control, and provide examples of what other cities have codified locally so the City Council may consider what policy options it is interested in exploring for Avalon. The Tenant Protection Act of 2019provides the statewide baseline for tenant protections. That baseline can be raised by the City, as long as it is done in compliance with Costa-Hawkins, which places limits on the kinds of tenant protections a locality may adopt.
I. City of Avalon’s Municipal Code and Existing Tenant Protections The City currently has no specific provisions in the Avalon Municipal Code (“AMC”) that impose City-created rent control (also known as “rent stabilization”). Chapter 9-1 1 of the AMC includes City-specific Affordable Housing requirements. The purpose of Chapter 9-1 1 is meant to “[e]ncourage the availability of dignified, safe, and affordable workforce housing within the City of Avalon by promoting development of decent living environments and removing unnecessary barriers to such development.” (AMC 9-11.101(c).) This includes a City inclusionary housingrequirement to construct a percentage of affordable housing as part of any new residential development. Specifically, for any new residential development creating five or more for-sale or rental units, developers are required to set aside at least 20% of those units at an affordable rent or cost (pursuant to State income limits). However, these City requirements are only applicable to new commercial or residential development, and do not provide tenant protectionsor affordability controls for existing housing stock.
II. State Law: The Tenant Protection Act of 2019 and Its Subsequent Changes A. 2019 Framework, the Tenant Protection Act
In 2019, the State Legislature approved and the Governor signed Assembly Bill 1482, the Tenant Protection Act (the “Act”). The Act set the “floor” with a series of new tenant protection measures that must be followed by all California landlords. However, cities can go above that “floor” in setting more protective local controls for its tenants.
The Act broadly prevents landlords from terminating or declining to renew leases with tenants of at least a year without ‘just cause,” as defined under California Civil Code section 1946.2. “Just cause” is divided into two categories, “no-fault” termination and “at-fault” termination, which each have their own eligibility criteria and protections for tenants. The information below is meant to provide a non-exhaustive summary of the provisions under the Act. Importantly, when a landlord evicts a tenant under no-fault just cause, the landlord must pay relocation assistance equal to one-month’s rent, regardless of tenant income1. As described in additional detail below, a number of cities have required more significant relocation benefits than onemonth, and expanded the types of evictions eligible for relocation benefits. • No-Fault Termination: includes but is not limited to, withdrawal of the unit from the rental market; or an intent to demolish or “substantially remodel” the residential property.
a The definition of a “substantial remodel” that qualifies as a no-fault termination includes:
when the remodel “cannot be reasonably accomplished in a safe manner”with the tenant present, and requires the tenant to vacate for at least 30 consecutive days, and either:
• (1) replacement or substantial modification of any structural, electrical, plumbing, or mechanical system that requires a permit; or • (2) the abatement of hazardous materials.
• At-Fault Termination: includes but is not limited to, instances where tenant is in default on rent; breach of any material term of the lease (generally after landlord issues a written notice to correct); and a nuisance as defined under State law (including unlawful possession of weapons and the manufacture, cultivation, or possession for sale of controlled substances).
The Act also includes a statewide “floor” of rent control. Specifically, State law limits rent increases over a 12-month period, with a maximum increase of no more than 5% plus the percentage change in the Consumer Price Index (“CPI”), or 10% percent, whichever is lower.
It is important to note there are a series of exemptions from the applicability of the Act written into State law. Specifically, certain housing types that are not subject to State law tenant protections, which include: affordable housing restricted by deed or subject to existing rent or price controls; dormitories; single-family, owner-occupied residences; housing less than 15 years old; and some mobilehomes.
B. State Law Amendments Strengthening the Act (SB 567)
1 To be eligible, a tenant must have continuously and lawfully occupied a residential real property for 12 months or more.
Senate Bill 567, which became operative on April 1, 2024, tightened the rules for no-fault just cause evictions, substantial remodels and rent increases. SB 567 created stricter enforcement rules to reduce the ability of landlords to evict tenants and then rent out the unit at market rate.
For an eviction by the landlord because the landlord or their family member will be moving into a dwelling unit with an existing tenant (a type of no-fault just cause eviction), the landlord or family member must not already live on the property or have access to another vacant unit on the property. The landlord or family member also must move in within 90 days of the tenant moving out, and stay in the unit for at least a year. Tenants have the right to know the relationship of any family member who is moving in, and can request proof. A vacating tenant is also given the opportunity to move back in at the same rent rate, along with moving expenses, if the landlord or family member does not move in within the specified timeframe or fails to stay for the full year.
For substantial remodels, landlords must provide a detailed notice outlining the work to be done, any necessary permits, and inform tenants that they can return to their units if the work is not completed or if they do not need to vacate during certain days.
Regarding the Act’s rent control provisions, SB 567 introduced penalties for landlords who collect rent above the maximum allowed, based on the rent amount that was overcharged, that may also include attorneys’ fees and court costs. A landlord may also be penalized up to three times the amount of charged rent, if they acted willfully or with malice. They may also be liable for damages. These new laws did not change the existing law on rent control orallowable rent increases under the Act.
It is important to note that as a general rule, the State-adopted Costa-Hawkins Rental Housing Act (“Costa-Hawkins”) limits the extent to which cities and counties can enact rent control or rent stabilization ordinances. Specifically, the City of Avalon could only adopt a rent control measure that applies to apartments that received their certificate of occupancy before February 1, 1995. Tenant protections therefore generally cannot be applied to single family homes or condominiums unless a limited exception to Costa-Hawkins applies (e.g. owned by a corporation, real estate investment trust, or an LLC with corporate ownership). Costa Hawkins allows only the owner/landlord, and not local government, to set the rental rates for units that received certificates of occupancy after February 1, j9952 Additionally, cities and counties can legislate only on the allowed percentage of rental increases as to existing tenants,and may not limit the initial rental rate to new tenants except under limited circumstances.
Cities and counties can regulate initial rental rates if (1) the tenancy was terminated with 30 or 60-day notice or due to a change in the terms of the tenancy other than those permitted by law, (2) the landlord terminates or fails to renew a contract or recorded agreement for a rent limitation with a government agency, or (3) the regulation is to permit tenants with permanentphysical disabilities to move to accessible units and the property being regulated is already subject to the local rent control ordinance.3 For those reasons, in all the cities and counties with rent control ordinances that are described below, any time a tenant voluntarily moves out, the landlord is permitted to set the new rent without restriction, based on the new tenancy. 2 See California Civil Code section 1954.52.
See California Civil Code section 1954.53.
On November 5th, 2024, California voters rejected Proposition 33, which would have eliminated Costa-Hawkins and given cities and counties more rent control authority while also preventing the State from taking future actions that limit local rent control.
C. New California Laws with Additional Tenant Protections There are two, additional new laws aimed at improving housing security and protecting tenants from unfair evictions and rent increases that are described briefly below. • AB 12 and AB 2801: Limits the security deposit landlords can collect after July 1, 2024, to a maximum of one month’s rent, regardless of whether the rental property is furnished or unfurnished. An exception is made for “small property” owners that are natural persons or limited liability companies where all membersare natural persons and own no more than two residential rental properties comprising of four or fewer units. This exception does not apply to security deposits for active service members.
• AB 1418: Prevents local governments from adopting regulations that encourage evicting tenants based on calls to law enforcement, alleged criminal activity, orother alleged nuisances. AB 1418 also prohibits local governments from requiring or encouraging landlords to conduct criminal background checks when screening tenants. Additionally, local governments are prohibited from enacting an ordinance that defines a nuisance as contact with law enforcement. • AB 2347: Gives tenants five additional days to respond to a notice of unlawful detainer (eviction notice).
• AB 2493: Prohibits landlords from charging application screening fees when they know or should know that no rental units are available. A landlord can only charge an application screening fee if the landlord uses an application screeningprocess that complies with certain statutory requirements. • AB 2801: Limits the claims that a landlord can bring against a tenant for restoring a property to what is necessary to return the property to its pre-tenancy condition.
Beginning on July 1, 2025, landlords must take photographs of a rental unit at the beginning and end of the tenancy to show the need for any repairs or cleanings that the tenant is charged for.
• SB 267: Prohibits the use of an applicant’s credit history as part of the application process for a rental housing accommodation without offering alternative options for verifying the applicant’s ability to pay rent.
• SB 611: Prohibits charging tenants fees for using checks to pay rent or security deposits or for delivering a notice of termination. If a tenant is a military service member and is charged a higher than standard amount for a security deposit, thelandlord must provide a written explanation of the need for a higher amount and return the additional amount to the tenant after 6 months if the tenant is not in arrears for any rent.
Ill. Examples of Tenant Protection and Rent Control Actions Taken by Other Cities The City Council may provide direction to codify requirements set out under State law so Avalon may take local, administrative enforcement action, including issuing administrative citations that include City approved penalty amounts, or adding local civil or criminal remedies.
The City Council may also provide direction for City staff to evaluate — for possible future review and adoption — more protective local tenant protection and rent control actions. Below are examples of what a number of other cities have done, that can serve as a reference point for what may be of interest to Avalon. All tenant protections listed below are permissible under the Costa-Hawkins Act.
A majority of the cities cited below are charter cities. Charter cities have greater authority to govern themselves than a general law city, like Avalon. However, and as described above, the Tenant Protection Act and related State laws provide the “floor,” not the ceiling. State law allows local tenant protection and/or rent control ordinances so long as they provide the sameor better protections for tenants, with corresponding findings that the local ordinance is both consistent and “more protective” than State law. This is true for both charter cities and general law cities.
Accordingly, should Council provide direction to evaluate rent control in the City of Avalon, the City’s ordinance can be more protective than the “floor” set out under the Act, should ensure aprocess by which landlords can petition (appeal) the City to increase the otherwise allowablerent increase for a fair return of investment, and finally, upon direction, our office will ensure the proposed local ordinance is otherwise consistent and not preempted by any State or Federal law (including Costa-Hawkins) . Any adopted ordinance should also evidence the City’s interest in promoting long-term stability and certainty for renters, in addition to any other Avalon-specific public purposes.
Whatever direction the City Council provides, City staff will work with the City Attorney’s Office to ensure any proposed policy change on tenant protections and/or rent control that come backto the City Council are vetted consistent with State law.A. Examples of Locally-adopted Rent ControllRent Stabilization Ordinances • Culver City. Culver City has adopted a series of more expansive rent control and tenant protections than under State law. For relocation assistance, Culver City requires a relocation fee to be the greater of three times the tenant’s current monthly rent or an amount established U.S. Department of Housing and Urban Development (“HUD”) formula that is based on fair market rent.
Culver City does not allow no-fault just cause eviction when the tenant is 62 years or older, is disabled or terminally ill, is a qualifying low-income tenant under State income limits, or when the tenant has school-aged children who are protected from eviction during the school year term.
Culver City caps annual rent increases at no more than 5% annually. However, if thepercentage change to the consumer price index (‘CPI”) on an annual basis is less than 2%, rent increases in Culver City may not exceed 2% that year. If CPI is greater than 5%, the annual 5% cap still applies and no increase may exceed that percentage.
There are exemptions, including but not limited to, when State or Federal law expresslyexempts the unit from price control and when the landlord receives governmentsubsidies for the unit. Importantly, Culver City’s rent control measures apply only to otherwise eligible units that received their certificate of occupancy before February 1, 1995. This threshold date is within local rent control measures, since it is controlled under State law (see discussion above on Costa-Hawkins).
Similar to other cities and regulations discussed in additional detail below, landlords may petition the city if they believe the rent control regulations prevent them from earning a fair return on their property investment.
For no-fault terminations, such as property demolition or when a landlord or their relative is moving in, Culver City requires landlords to pay relocation assistance. This amount is typically three times the monthly rent plus an additional $1,000. Small landlords, defined as those owning three or fewer units, are required to pay less.Landlords can deduct any past due rent from the relocation payment.
Landlords in Culver City must also register their rental units annually with the city, and pay an annual fee per rental unit. Culver City’s annual fee is established by City Council resolution, meant to recover the City’s reasonable costs managing the program (similar to other cities with annual registration fees, described below). A penalty isimposed for late registration, and Culver City has enforcement mechanisms in place to ensure compliance. This includes issuing administrative citations with fines of up to$1,000 per day. Culver City may also bring civil actions against landlords who violate these regulations.
City of Los Angeles. In 2021, the City of Los Angeles enacted an ordinanceprohibiting landlords of all rental units, regardless of rent control status under CostaHawkins, from engaging in abusive or harassing behavior towards tenants including removing housing services provided in the lease, threatening to disclose a tenant’s citizen status, withholding repairs, refusing to accept rent payment, and other bad faith behavior. The ordinance includes a private right of action for tenants to enforce violations against their landlords and mandatory damages. • County of Los Angeles. The County of Los Angeles imposed rent control on units in unincorporated areas of the county via an ordinance in 2018, and have been expanding and refining its codified provisions since that time. The County’s Department ofConsumer and Business Affairs (‘County Department”) is responsible for the calculationof the annual, allowable rent increase, for evaluating landlord petitions seeking a higher increase based on a fair return of investment theory, and also runs the County registry.
The County Department promulgates the necessary procedures and guidelines for how the program is run.
The County of Los Angeles has rent control limits for qualifying rental units, andseparately for “luxury units” as defined. A “luxury unit” has 2-bedrooms or less, is located in a complex with at least 25 dwelling units, and, as of September 11, 2018, charges more than $4,000 per month in rent. Over calendar year 2023, an annual rent increase was limited to 5% for luxury units. Currently, the annual rent increase shall not exceed 10% for luxury units, though the County Department retains the ability to amend that percentage in the future.
Only one rent increase is allowed over a 12-month period, and any rent paid in excess of the local ordinance must be reimbursed to the tenant. Units subject to the county’s rent control are required to be within buildings with two or more units, and for thereasons discussed above, must have received their Certificate of Occupancy (or equivalent) on or before February 1, 1995.
For all non-luxury units” subject to rent control, the formula is calculated by the CountyDepartment annually based on the following evaluation of the Consumer Price Index (‘CPI”) for the Los Angeles-Riverside-Orange County, California area:
o 1. If the change in CPI is eight percent (8%) or higher, the maximum allowable annual rent increase will be eight percent (8%);
o 2. If the change in CPI is between three percent (3%) and eight percent (8%), the maximum allowable annual rent increase will be equal to the change in CPI; o 3. If the change in CPI is between one percent (1%) and three percent (3%), the maximum allowable annual rent increase will be equal to three percent (3%); o 4. If the change in CPI is between negative two percent (-2%) and one percent (1%), the maximum allowable annual rent increase will be equal to the change in CPI plus two percent (2%); and
o 5. If the change in CPI is less than negative two percent (-2%), no annual rent increase is permitted.
However, for calendar year 2024, the county’s ordinance limits the maximum allowable rent increase permitted to 4%. Additionally, the Board of Supervisors, by a 3-2 vote this past June, provided additional direction for staff to evaluate a more tenantprotective rent cap of 3% for qualifying rental unit, with 4% permitted for smallerproperty owners, and 5% for luxury units4.
Landlords may file an application with the County Department if they do not believe they are receiving a fair and reasonable return on their investment based on the allowable rent increase. The Los Angeles County Code includes a rebuttal presumption that the “See h (June 5,2024).
rent increase is fair and reasonable, and the landlord has the burden to prove the necessity of any additional rent increase to earn a fair and reasonable return. The county evaluates a number of factors to determine whether the landlord has proven the burden to increase rent above the set formula, including but not limited to: rental history; changes in property taxes; improvements made to the rental property and its overall physical condition; and decreases in net operating income. The landlord must provide notice to its tenant(s) when they file a request with the county to increase above the applicable rent cap. Tenants may also file an application with the county if they believe they are owed in an adjustment in their monthly rent obligation.
A landlord must register each rental unit with the county annually, and the county may require the landlord to also register all housing services available to the tenant at that time. The landlord must pay an annual registration fee adopted by the Board of Supervisors sufficient to cover operating costs to the county to implement, administer and enforce its rent stabilization and tenant protection laws. Currently, that amount is $90 per rent stabilized unit, with a 10% late penalty. Landlords are permitted to recover up to 50% of those costs from their tenants, provided they provide timely notice and otherwise compliant.
• Santa Ana. Beginning in 2021, Santa Ana limited annual rent increases to no more than 3% of the current rent, or 80% of the change in the Consumer Price Index, whichever is less. If the change in the CPI is negative, no rent increase is allowed.
Currently, 3% is the maximum allowable rent increase “for the period of September 1, 2024 through August 31, 2025,” based on applicable CPI.5 The City announces theallowable rent increase amount no later than June 30 of each year. Like other jurisdictions described herein, Santa Ana’s rent control provisions do not apply to units exempt under Costa-Hawkins (including units that received a certificate of occupancy after February 1, 1995).
Santa Ana included findings within its adopted ordinance that a CPI-based increaseprovides a just and reasonable return on landlord’s property, adopted to: “encourage good management, reward efficiency, and discourage the flight of capital, as well as to be commensurate with returns on comparable investments, but not so high as to defeat the purpose of curtailing excessive Rents and rental increases.” Santa Ana does allow a landlord to submit a petition to the Rent Stabilization Program Administrator (a role selected by the City Manager), requesting a rent increase in excess of what is otherwise allowed. In evaluating a petition, the Program Administrator appoints an impartial hearing officer, who looks to many of the same factors utilized in other jurisdictions (rental history; changes in property taxes; the need for repairs, etc.).
In addition, a Santa Ana hearing officer may evaluate changes in utility charges, reasonable operating expenses, and compare the rent lawfully charged to comparablerental units in the City of Santa Ana in making their determination. 5httpsi!wwwsanta—ana. orpartments/rent-stabflizationf.
Landlords may also submit a “Capital Improvement Petition’ to the Program Administrator seeking a pass-through of certain costs to tenants to construct capital improvements in the unit. Such capital improvements include but are not limited to structural, electrical, plumbing, or mechanism systems; roofing; carpeting; and air conditioning systems. Santa Ana requires that pass-through costs must be calculatedby looking at the amortization over the useful life of the improvement, but in no instancemay the cost exceed 10% of the current rent. • Santa Barbara. The City of Santa Barbara has an ordinance that provides in the case of a no-fault eviction based on substantial remodel, the tenant must receive a written, independent opinion from a licensed construction expert that the remodel cannot be completed safely with the tenant in the unit and would require the tenant to vacate the unit for at least 30 consecutive days. The ordinance also prohibits a landlord thatrecently purchased a property with five or more rental units from issuing no-fault evictions notices within a year of acquiring the property. • Ojai. The City of Ojai’s ordinance limits annual rent increases to 4%, which the City finds provides a just and reasonable return on a landlord’s property, and includes the same public purpose as Santa Ana (e.g. the rent cap encourage good management, rewards efficiency, and discourage the flight of capital). Ojai, like other jurisdictions described above, allows landlords to petition the city for an additional increase as necessary for their reasonable return on investment. The landlord must provide notice to the tenant of their petition, and the landlord is responsible for all costs associated with Ojai’s review of that rent adjustment petition. In Ojai, the Community Development Director holds a noticed public hearing within 60 days following the submittal of a complete petition, and the Director’s decision is ultimately appealable to the Planning Commission.
• Sacramento. The City of Sacramento follows the Act and applicable State law as it relates to rent control: an annual increase can be 5% plus the percentage change in the annual cost of living. Similar to other jurisdictions, Sacramento also includes the right ofa landlord to petition for a higher amount than the annual rent adjustment. In Sacramento, the landlord must demonstrate by a preponderance of the evidence that such an adjustment is necessary to provide the landlord a fair rate of return. A hearing examiner looks at a series of factors in considering the petition, some of which overlap with other jurisdictions, including but not limited to: change in property taxes; unavoidable increases or decreases in maintenance and operating expenses; planned improvements or deterioration of the unit; and (specific to Sacramento) any change innumber of tenants and compliance with Sacramento’s Housing Services.
Sacramento, similar to other jurisdictions, sets the annual tenant protection program fee, as established by the city council an annual basis to fund the city’s costs. In Sacramento, the City Manager is empowered to adopt administrative procedures to implement the rent control obligations.
B. Examples of Other Tenant Protections, Adopted Locally:
• Long Beach. The City of Long Beach offers increased relocation payments for any tenants displaced due to City’s code enforcement activities; for instance, when the Building Official issues a notice to vacate for necessary repairs of the unit. Finding thatlow income tenants were most at risk of being displaced for substantial repairs, remodels or demolition, Long Beach requires relocation benefits in the amount of $3,366.00 per household, with additional payments due when the tenant is disabled.
Additionally, Long Beach imposes a penalty, in an amount not to exceed $10,000, for failure to make timely, required relocation payments on a specific property with a displaced tenant.
• Pasadena. Pasadena includes heightened relocation benefits for tenants that are in “good standing” (generally meaning the tenant is not in breach of their rental agreement) in households at or below 140% of the median income. In that instance, landlords are required to provide two and half months in fair market rents as established by the U.S. Department of Housing and Urban Development (“HUD”), for a rental unit of a similar size. Pasadena also requires landlords pay a $1,306.00 moving expense foradult households, or $3,935.00 for households with dependents, disabled, or senior members6. There are exceptions from these relocation requirements for single familyhomes and condominium units.Pasadena also offers temporary relocation benefits if a landlord is required to temporarily (less than 120 days) recover possession of a rental unit. In those instances, the tenant should be paid an amount based on a daily rate equal to two (2) times thedaily pro-rata portion of the rental rate. The landlord must also pay actual costs associated with moving and storage.
FISCAL IMPACTS: None.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City will still follow the requirements of State law, including the Tenant Protection Act, and its existing Municipal Code requirements, but will not provide direction to explore additional tenant protections.FOLLOW UP ACTION: That the City Council provide City staff with direction regarding what, if any, tenant protections and/or rent control measures that are permissible under State lawshould be explored for the City of Avalon.
ADVERTISING, NOTICE AND PUBLIC CONTACT: Pursuant to the Brown Act.
ATTACHMENTS: Prior presentations to the City Council regarding tenant protections.6 These figures have automatically increased annually since the time Pasadena’s ordinance was adopted.
BBKLAW.COM © 2023 Best Best & Krieger LLP October 16, 2025 Tenant Protections: Avalon’s Statutory
Authority and Local Options
Presented By: Isaac Rosen
August 15, 2023 City Council Meeting
Agenda
1. Local Code, Tenant Protection Act of 2019
1. At-fault vs. No-fault terminations; relocation requirements
2. Rent Control until 2030
2. Possible Next Steps for Avalon
A. Potential Local Provisions
B. What has been done elsewhere
2 Local Code, State Authority for Tenant Protections
• Avalon Municipal Code: Rental Inclusionary Housing requirements (AMC 9-11.104); but no local protections for renters not covered by those provisions. • Tenant Protection Act of 2019 (AB 1482):
Restrictions on Termination (At-fault vs. No-fault termination); and Relocation Benefits for No-Fault: 1-month rent
Broad Exemptions (existing income-restricted housing; transient housing; units < 15 years; condos)
Sets Statewide Rent Control (until 2030):
Once a year: Only one rent increase in any 12-month period; or multiple increases that do not exceed the maximum allowable annual rent increase;
Maximum rent increase based on changes to Consumer Price Index (“CPI”): between 5-10% with CPI change. 3 Tenant Protection Act of 2019
Termination Obligations at eviction: No-fault termination requires 1-month’s rent owed as relocation assistance (At-fault termination: no relocation, follows procedure to evict), when tenants have occupied for 1-year or more (or one or more tenant has occupied for 2-years or more):
No-fault termination: (e.g. intent to owner-occupy; withdrawal of the unit from the rental market; law or order that requires vacating the parcel; intent to demolish or substantially remodel the residential real property; etc.)
o Substantial remodel (Civil Code 1946.2 (a)(2)(D)(ii)): replacement or substantial modification … that requires a permit; abatement of hazardous materials … that requires tenant to vacate for > 30 days (not cosmetic improvements alone)
At-fault termination: (e.g. rent default, material breach, nuisance, waste, unwillingness to execute a written extension, criminal activity, assigning or subletting, refusing to allow the owner to enter the residential property)
4 Tenant Protection Act of 2019
Relocation Benefits: Owner must notify tenant of their relocation rights for no-fault termination Exemptions (not covered by the Act):
Transient and tourist hotel occupancies;
Housing accommodations within: nonprofit hospitals; religious facilities; extended care facilities; licensed residential care facilities for elderly/adults;
Dormitories;
Housing where tenant shares bathroom or kitchen facilities with the owner-occupied primary residence; Single-family owner-occupied residences;
Duplexes (w/ owner’s principal place of residency);
Housing less than 15 years old;
Residential real property (including a mobilehome) that is separate from title to any other dwelling unit, so long as owner is not: a real estate investment trust; corporation; LLC 5 Tenant Protection Act of 2019
Rent Increase: Over a 12-month period, maximum increase is no more than 5% plus the percentage change of the Consumer Price Index, or 10%, whichever is lower. Exemptions (not covered by the Act):
Affordable housing restricted by deed or housing subject to existing rent or price controls; Dormitories;
Single-family owner-occupied residences;
Housing less than 15 years old;
Residential real property (including a mobilehome) that is separate from title to any other dwelling unit, so long as owner is not: a real estate investment trust; corporation; LLC 6 City’s Options to Craft Local Tenant Protections
• Tenant Protection Act is the floor, not ceiling: City can provide the same or better protections for tenants with findings that local ordinance is more protective. • Examples from other jurisdictions:
1. Long Beach;
2. Culver City;
3. Pasadena;
4. Palm Springs;
5. West Hollywood.
7 City’s Options to Craft Local Tenant Protections
• Common/Potential Local Tenant Protections:
Narrow no-fault termination, including eliminating the substantial-remodel basis for nofault just cause; Expand tenant protections to other types of dwelling units (i.e. newer units); Increase the amount of relocation assistance (e.g. 3 or 4 months’ worth of rent); Impose rent control (limit the amount that could be charged in 12-month period); and Form a rental board to hear evidence and consider rent control issues.
In other jurisdictions, retains the right to evict a tenant based on at-fault terminations.
Local, enhanced measures could be limited to certain multi-family dwellings with a minimum or maximum number of units.
8 Other Jurisdictions: What has been
adopted?
Long Beach:
City Council adopted an urgency ordinance that temporarily removed a no-fault termination based on a substantial remodel.
Higher relocation assistance for substantial remodel: Owner can choose to waive last month’s rent; or, for relocation “the greater of $4,500 or two months of the tenant's rent that was in effect when the owner issued the notice to terminate the tenancy.” 9 Other Jurisdictions: What has been
adopted?
Culver City (rent control):
Only one increase in 12-month increase (or cumulative rent increases) that cannot exceed annual changes to Consumer Price Index (CPI): If CPI change is less than 2%, rent increases may not exceed 2%; If CPI change is greater than 5%, maximum rent increase permitted is 5%.
Exemptions: State or Federal law expressly exempt the unit; units was certified for occupancy after 2/1/1995; units that can be separately owned (single-family home; townhomes; condos); unit is part of a subdivision; landlord received government subsidy. Rates may be re-established when tenant voluntarily vacates, evictions are for just cause (atfault or some no-fault grounds) 10 Other Jurisdictions: What has been
adopted?
Culver City (tenant protections):
• Relocation payment owed for “no fault” terminations: three times (3x) monthly rent or market rate of unit, plus $1,000, with limited exceptions.
Landlord may deduct past due rent.
“Small landlords” (defined as those owning 3 units or less within and outside of Culver City) shall only pay 50% of the amount of relocation assistance otherwise due. • No fault terminations: demolish; remove from rental market; move-in landlord or landlord’s relative, provided they must continue to occupy property for at least 3 years; comply with deed or regulatory restriction; comply with government or other order necessitating the vacancy. • Tenants protected from eviction: long-term tenants who are 62 years old or disabled; terminally ill tenants; low-income tenants; tenants with school-aged children protected during the school year. 11 Other Jurisdictions: What has been
adopted?
Culver City (Penalties & Petitions):
• Rent registry: $167 per unit, per year. $15 fee for change in ownership. Penalty:
20% late fee first day of each month following annual due date, up to a maximum of 100% (identical penalty for complete failure to register a unit) • Petitions: Landlords can seek to petition against applicability of City’s ordinances to receive a “fair and reasonable return” on their property investment. • City can issue administrative citations (up to $1,000 a day), bring civil actions against offending property owners.
12 Other Jurisdictions: What has been
adopted?
Pasadena: heightened relocation benefits
• Tenants “in good standing” at or below 140% of median income receive (unless exception applies):
relocation allowance equal to 2 ½ months’ Fair Market Rents as determined by HUD based on rental units of a similar size;
Moving expense allowance in the amount of $1,449 for adult households or $4,372 for households with dependents, disabled, or senior members (amounts increase automatically). Receive enhanced relocation allowance and moving expenses when tenant has been in unit more than 10-years • Relocation triggered: demolition; permanent removal of unit from the rental market; occupancy by landlord or landlord’s family member; government order to vacate; change of ownership of the rental unit that results in a rent increase exceeding annual CPI increase plus 5% in a year. • Temporary relocation (not to exceed 120 days): Daily pro rata rent amount, doubled, plus moving and storage fees.
13 Other Jurisdictions: What has been
adopted?
Palm Springs:
• Maximum Rent Increase: ballot measure approved in 1980 (expanded in 1990): rents are limited to 75% of the increase in the Consumer Price Index for the City of Los Angeles over a 12-month period
Exceptions: units built after 1979; commercial units; 4-units or less where owner occupies 1 unit; transient rentals; nonprofits; units with subsidized rent; RV parks; etc. “Base Rent”: what the unit was charging on September 1, 1979. Hardship waivers: landlords can seek a hardship waiver from the Rent Review Commission • Rent Stabilization: units not subject to above approved ballot measures: rent increases shall not exceed 10% or 5% plus Consumer Price Index change, whichever is lower over 12- month period (landlord can file a fair return petition for rent increase) 14 Other Jurisdictions: What has been
adopted?
Palm Springs:
• Rent Review Commission: 5-member Rent Review Commission appointed by, and serving at the pleasure of, the City Council. Residents of the City, cannot have landlords or tenants of rental units subject to the voter-approved rent control ordinance. • Powers and duties: to consider administratively requests of tenants, landlords, or other interested parties re: interpretations of City’s rent control measures; alleged violations by landlords; hardship adjustments/reasonable rate of return requests by landlords (can authorize rent increases)
• Reports & Standards: semiannual written reports and recommendations to the City Council, adopt administrative rules of procedure regarding the hearings. 15 Other Jurisdictions: What has been
adopted?
West Hollywood:
• Rent Stabilization Ordinance (RSO), complicated calculations on Maximum Allowable Rent:
Move in before 1979: either multi-family (more than 1-unit w/ Certificate of Occupancy before 7/1/1979); or 1 unit w/ CoO before 7/1/79 and occupant moved in before 1/1/1996. Maximum Allowable Rent (MAR) is based on the move-in date with a 10% total increase that can be charged for any vacancy. Tenants moved in between 1/1/96-12/31/18: Annual general adjustment allowed, established by Rent Stabilization Commission once annually, and MAR can only be increased if unit in substantial compliance with RSO (proper registration, re-registration with new tenants; fees paid by landlord) Post 1/1/1999: MAR established with the beginning of the tenancy, MAR can only be increased once a year by the amount determined by the Commission.
Notice: Municipal Code requires a 30 or 60 day notice from landlord to tenant if increasing rent subject to the amount determined by the Commission. For 2023, the total rent increase was 2.50% (with a $6 registration fee).
16 Other Jurisdictions: What has been
adopted?
West Hollywood:
• Just Cause Eviction: nearly all residential units subject to eviction provisions, not just RSO, for only the following reasons: Nonpayment of rent; substantial violation of lease terms; nuisance (causing damage to the unit); illegal uses (including short-term rental); refusal to provide access; subtenants; owner intends to live in unit; etc. Landlord cannot evict if a comparable unit in the building is already vacant and available. • Rent Stabilization Commission: Empowered to promulgate regulations; publish allowable increases; verify eligibility; hold hearings for a rent adjustment application in a rental complex (landlord or tenants); landlord can petition Commission for a rent adjustment to “permit a just and reasonable return.”
17 BBKLAW.COM © 2023 Best Best & Krieger LLP
DISCLAIMER: BB&K presentations and webinars are not intended as legal advice. Additional facts, facts specific to your situation or future developments may affect subjects contained herein.
Seek the advice of an attorney before acting or relying upon any information herein. Audio or video recording of presentation and webinar content is prohibited without express prior consent.
Questions?
Isaac Rosen
[email protected]
CITY OF AVALON CITY COUNCIL
MEETING DATE: October21, 2025 AGENDA ITEM: I
ORIGINATING DEP: Administration CITY MANAGER: ________ PREPARED BY: Devin Hart, Senior Management Analyst SUBJECT: Adult-Use/Recreational Cannabis Discussion
RECOMMENDED ACTION(S): Provide direction to Staff regarding City Council’s desire to pursue legalization of adult-use/recreational cannabis in Avalon.REPORT SUMMARY: A member of the City Council requested City Staff pursue expansion of the Avalon Municipal Code to allow for the sale of adult-use/recreational cannabis in Avalon.
During the September 17, 2024 City Council Meeting, City Staff provided a feasibility analysis regarding a store front adult-use/recreational facility, the community’s desire/interest in the facility, and projected economic and other impacts. Included in that staff report were the pervious election results on this issue reflecting 58% of the residents opposed expanding the existing medical delivery to allow for adult use/recreational and over 65% opposed allowingstorefront location or dispensary in the City.On August 7, 2025, the City Council adopted Resolution No. 25-27 issuing a commercialcannabis permit to Catalina Cannabis, LLC for Medical Delivery Business. Prior to this issuance, the only available medical cannabis delivery permit had not been utilized for an approximate four-year period.
FISCAL IMPACTS: Undetermined.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: Unknown.
FOLLOW UP ACTION: Implement Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda in compliance with the Brown Act.
ATTACHMENTS: September 17, 2024 Staff Report.
CITY OF AVALON CITY COUNCIL
MEETING DATE: October 21, 2025 AGENDA ITEM:
ORIGINATING DEP: Administration CITY MANAGER:
PREPARED BY: Devin Hart, Senior Management Analyst
SUBJECT: Adult-Use Cannabis Discussion
RECOMMENDED ACTION(S): Provide direction to Staff regarding City Council’s desire to pursue legalization of adult-use cannabis in Avalon.REPORT SUMMARY: A member of the City Council requested City Staff pursue expansion of the Avalon Municipal Code to allow for the sale of adult-use cannabis in Avalon.
During the September 17, 2024 City Council Meeting, City Staff provided a feasibility analysisregarding a store front adult-use facility, the community’s desire/interest in the facility, and projected economic and other impacts.
On August 7, 2025, the City Council adopted Resolution No. 25-27 issuing a commercialcannabis permit to Catalina Cannabis, LLC for Medical Delivery Business.
Prior to August 2025, the City’s only available medical cannabis delivery permit had been suspended for an approximate four-year period.
FISCAL IMPACTS: Undetermined.
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: Unknown.
FOLLOW UP ACTION: Implement Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda in compliance with the Brown Act.
ATTACHMENTS: September 17, 2024 Staff Report.
CITY OF AVALON CITY COUNCIL
MEETING DATE: September 17, 2024 AGENDA ITEM:
ORIGINATING DEP: Administration CITY MANAGER:
_____
PREPARED BY: Devin Hart, Management Analyst
SUBJECT: Adult Use Cannabis Feasibility Discussion
RECOMMENDED ACTION(S): Hear presentation. If consensus is reached, provide direction to Staff.
REPORT SUMMARY: A member of the City Council requested City Staff bring a report before the City Council considering expansion of the Avalon Municipal Code to include Adult-Use Cannabis. Specifically, the Councilmember requested Staff research and provide an analysis regarding a store front adult-use facility, the community’s desire/interest in the facility, and projected economic and other impacts.
Legal Framework
Though the use of medical cannabis was legalized in the State of California in 1996, adult-use or recreational cannabis was prohibited until adoption of Proposition 64 on November 8, 2016.
On June 27, 2017, Governor Jerry Brown signed into law a single comprehensive legislative document that took the existing regulatory framework established for medical cannabis and incorporated non-medical cannabis regulations. This legislation is known as the Medicinal and Adult-Use Cannabis Regulation and Safety Act (‘MAUCRSA”). The legislation specifically preserved local jurisdictional authority to adopt and enforce local ordinances that limit or completely prohibit the establishment or operation of medical and non-medical cannabis business operations within their purview. The state licensing authority will not approve an application for a state cannabis business license if the state license will violate a local ordinance in the jurisdiction it will operate.
The Department of Cannabis Control Medicinal and Adult-Use Commercial Cannabis Regulations — California Code of Regulations Title 4 Division 19 Section §15311, ‘Requirements for the Transportation of Cannabis and Cannabis ProdLicts” — establishes the requirements for transporting cannabis and cannabis products between licensees or licensed premises.
Though regulation §153111 (e) expressly prohibits transportation of cannabis and cannabis products “by means of aircraft, watercraft, drone, rail, human-powered vehicle, or unstaffed vehicle,” a carve out exits for Catalina within Section (p):
Notwithstanding subsection (e), transportation of cannabis and cannabis products may be conducted via wate,way to licensees located on Catalina Island. The provisions of this section and other sections regarding vehicle requirements also apply to vessels used to transport cannabis and cannabis products via waterway pursuant to this section
Cannabis is an illegal substance under the Federal Controlled Substances Act, 21 USC et. seq., (“Act”) which makes it unlawful for any person to cultivate, manufacture, distribute or dispense, or possess with intent to manufacture, distribute or dispense cannabis. The Act does not contain any exemption for cannabis used for medical purposes. Additionally, per federallaw, cannabis is listed as a Schedule 1 drug. Federal penalties for possession of cannabis include:
- First Offense — Misdemeanor with potential for up to one year of incarceration and $1 000 in fines.
- Second Offense — Misdemeanor punishable by 15 days to two years of incarceration and $2,500 in fines. - Third and subsequent Offenses — Misdemeanor or felony punishable by 90 days to 3 years of incarceration and fines up to $2,500.
Federal penalties increase significantly for selling or attempting to sell cannabis based on the amount: - Less than 50 kilograms — Felony punishable by up to five years in prison and a $250,000 fine - 50 to 99 kilograms — Felony punishable by up to 20 years in prison and fines of up to$1,000,000. - 100 to 999 kilograms — Felony punishable by five to 40 years in prison and possible fines of up to $2,000,000.
- 1000 kg and up — Felony punishable by ten years to life in prison and $4,000,000 in fines.
However, it should be noted, federal law enforcement agencies have issued guidelines allowing for state regulatory policies that include cannabis for medical purposes. Specifically, the Rohrabaher-Farr Amendment, first introduced to the U.S. House of Representatives in 2001 and adopted in an omnibus spending bill in December 2014, prohibits the U.S. Justice Department from spending any funds on actions designed to interfere with the state medical cannabis laws. To date, this provision has been included in every subsequent spending bill.
Rohrabacher-Farr Amendment states:
None of the funds made available in this Act to the Department of Justice may be used, with respect to the States of Alabama, Alaska, Arizona, California, Colorado,Connecticut, Delaware, District of Columbia, Florida, Hawaii, Illinois, Iowa, Kentucky, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Jersey, New Mexico, Oregon, Rhode Island, South Carolina, Tennessee, Utah, Vermont, Washington, and Wisconsin, to prevent such States from implementing their own State laws that authorize the use, distribution, possession, or cultivation of medical manjuana.
The Rohrabacher-Farr Amendment is vitally important for the City of Avalon’s medical cannabis program as the surrounding Pacific Ocean falls within the jurisdictional authority of the United States Coast Guard (‘USCG”).
The City has received reports of medical cannabis delivery vessels being boarded by USCG.
As the vessel, medical cannabis and medical cannabis products have had all of the required documentation for certified medical use, no action was taken by the USCG. The Harbormastercontacted the USCG who confirmed, adult-use cannabis transportation in federal waterways is illegal.
Though, state regulation §153111 (p) does not distinguish between medical or adult-use cannabis in is regulatory carve out for Catalina Island, the Rohrahacher-Farr Amendment is specific in its guidance to restrict funding for interference with State permitted medical cannabis operations. No federal protections, exemptions or guidelines exist for adultuse/recreational cannabis. When state law and federal law conflict, federal law displaces or preempts state law. Therefore, City Staff interpret there is no viable way to transport adult-use cannabis to Catalina Island without violating federal law (transportation of a controlled
substance) and/or risking the federal penalties as described within this report.
The Department of Justice has proposed
a rule change to move cannabis from Schedule I to
Schedule Ill controlled substance. The rule change emphasizes the currently accepted medical use of cannabis, but, again, does not address adult use. If the rule change occurs, transportation of cannabis across federal waterways will still be prohibited.
Development of Local Cannabis Regulations and Public Interest in Adult-Use Cannabis After the establishment of state-wide legislation regarding cannabis, acting in accordance with its local jurisdictional authority under MAUCRSA, the Avalon City Council began the process to develop its local ordinance. After discussions and code revisions at four City Council meetings, the current cannabis ordinance (Ordinance #1163-17, Chapter 5-20 of the AMC) was adopted on November 7, 2017.
In development of Ordinance #1163-17, the City Council worked to provide a means for public
access to medical cannabis by supporting
a medical cannabis business delivery process, while protecting the City’s neighborhoods, residents and businesses from potential negative impacts. Additionally, the City Council took steps to minimize the potential impact of cannabis business in Avalon by:
- Requiring any medical cannabis delivery service business to locate their brick and mortar place of business within the City’s commercial or special commercial zones. - Prohibiting signage on the exterior of the brick and mortar facility identifying it as a
commercial cannabis business.
- Requiring extensive odor control devices and techniques be implemented. - Requiring extensive security measures including 24 hour video surveillance, and uniformed personnel on site.
- Limiting medical cannabis delivery services permits to just one in the first year of operation.
At the request of the City Council, the City of Avalon added two advisory measures to the March 3, 2020 General Municipal Election ballot,
Measure
E asked: “Should the City of Avalon expand its current commercial cannabis ordinance from medical delivery only to allow for adLilt-use/recreational delivery sales within the City of Avalon city limits?”
- 58.45% or 612 voters voted “No” against expansion of the ordinance to allow adultuse/recreational delivery. 41 .55% or 435 voters voted ‘Yes’ in favor of expansion of the ordinance to allow adultuse/recreational delivery.
Measure
F asked: “Should the City of Avalon expand its current commercial cannabis ordinance to allow for
a cannabis storefront location or dispensary within the City of Avalon city limits?” - 65.14% or 682 voters voted “No” against expansion of the ordnance to allow a cannabis
storefront.
- 34.86% or 365 voters voted “Yes” in favor of expansion of the ordinance to allow for a
cannabis storefront.
Since the advisory measures, City Staff have not received any request or call from expansion of the cannabis ordinance from the public at large. Additionally, the medical cannabis delivery permit was suspended in September 2021. From that time to date City Staff have not received any inquiries, outcry or requests from the community at large for medical cannabis.
Community and Economic Impact
To accurately determine the potential economic impact of expansion of the City’s cannabis ordinance, a number of factors must be determined, including:
- Federal regulations regarding transport adult-use cannabis to the Island. - Type of commercial cannabis facility -storefront dispensary vs adult-use delivery, - Locations for consumption. (Currently, smoking cannabis is prohibited in public places.) This is a significant factor to determine as approximately 75% of the island’s visitors are day trippers or from
a cruise ship. These visitors would he limited in their options if they wanted to consume the product while in the City. - Geographic isolation.
- Locations for brick-and-mortar commercial cannabis facilities. With limited properties, limited pool of property owners and currently no known vacancies in the City’s commercial and special commercial zones, finding an appropriate location may be difficult. - Additional cost of enhanced enforcement and additional administrative support to manage commercial cannabis regulations as well as additional enforcement for regulation of illicit cannabis market.
- Rate of taxation. Adult-use cannabis and cannabis products are subject to sales tax. in addition, the state requires
a 15% excise tax on cannabis sale gross receipts to support environmental cleanup, law enforcement and drug prevention programs. The City is able to add an additional local cannabis business tax not to exceed 15%, However, the rate of tax may be prohibitive to creating
a thriving legal, commercial cannabis market.
- Other visitor driven revenue areas that may be impacted by an expanded cannabis ordinance. Further, any City imposed cannabis tax would have to be approved by the voters.
Not accounting for the above-listed factors, City Staff conducted a survey of California cities to provide some framework to understand and project potential cannabis revenues for Avalon.
The City’s Staff typically look to for comparison -Monterrey, Morro Bay, Solvang, Oceanside, Redondo Beach, Manhattan Beach, Del Mar — prohibit all cannabis operations in their jurisdictions. Therefore, Staff determined the cities of Santa Barbara, Napa, West Hollywood, and South Lake Tahoe, may be the best comparable cities due to their size, visitor driven economy, etc.City of Santa Barbara
- Population: 87,533 Annual Visitors: 6.5 million
- Approximate size: 43.09 square miles
Limit of 3 Retail Storefront Commercial Cannabis Businesses Per Capita Cannabis Sales: $61 .77
Local Cannabis Business Tax: 6% - Taxable Revenue — Cannabis: $21,065,247 Total Local Taxes: $1,265714.82 - Taxable Revenue Food Services and Drinking Places: $568,980,534 City of Napa
- Population: 78,315 Annual Visitors: 3.7 million
- Approximate size: 18.1 square miles
Currently 9 Retail Storefront Commercial Cannabis Businesses, with no cap on number of storefronts. - Per Capita Cannabis Sales: $54.53- Local Cannabis Business Tax: 0% Taxable Revenue— Cannabis: $16,813,458.00 Total Local Taxes: $0 - Taxable Revenue Food Services and Drinking Places: $352,100,181 city ,pf W,t Hollywood
- Population: 34,514 Annual Visitors: 22 million
- Approximate size: 1 .9 square miles
- No limit. Currently more than 70 Commercial Cannabis Businesses including adult-use, medical, consumption areas for smoking, vaping and edibles, consumption areas for edibles only, and delivery services. - Per Capita Cannabis Sales: $183.22
- Local Cannabis Business Tax: 7.5%
Taxable Revenue — Cannabis: $25,818,717 Total Taxes: $1,936,403.78 - Taxable Revenue — Food Services and Drinking Places: $604,883,880 City of South Lake Tahoe - Population: 21,175 Annual Visitors: 15 million - Approximate size: 16.6 square miles
Limit of 3 Retail Storefront Commercial Cannabis Businesses. - Per Capita Cannabis Sales (2023): $201.47
- Local Business Tax: 6%
- Taxable Revenue: $16,684,269 Total Taxes: $1,001,056.00 - Taxable Revenue — Food Services and Drinking Places: $174,879,862 Cfty of Avalon
Population: 4,000 Annual Visitors: 1 million
- Approximate size: 2.9 square miles
- Commercial cannabis businesses TBD
- Taxable Revenue—Food Services and Drinking Places: $48,041,561 Revenue Analysis #1 — Food and Beverage Sales Comparison City Staff compared the taxable revenue from Adult-Use Cannabis to the taxable revenue from Food Services and Drinking Places for the selected cities to estimate the amount of taxable revenue that could he generated from Adult-Use Cannabis sales in Avalon. For calendar year 2023, businesses in the City reported $48 million in taxable sales from Food Services and Drinking Places. For the cities selected above, taxable sales from Adult-Use Cannabis ranged from 37 % to 9.5% of the taxable sales generated from Food Services and Drinking Places in the same city. Santa Barbara, Napa, and West Hollywood ranged from 3.7% to 4.8%; whereas South Lake Tahoe appears to be an outlier at 9.5%. This is likely due to increased sales activity resulting from its proximity to Nevada, which did not legalize Adult-Use Cannabis until January 2024. Using 5.0% as the basis of estimate-, Avalon would generate an estimated $2.4 million in taxable sales from Adult-Use Cannabis. Depending on the tax rate, Adult-Use Cannabis could generate the following revenue (not accounting for the increased administrative and code enforcement costs):
I Tax Rate Potential Revenue
-
I
10% $240,000
15% $360,000
Revenue Analysis #2 — Per Capita Sales Comparison
Statewide, the per capita average in cannabis purchases is $158.00. In an attempt to provide an accurate estimate of the City’s per capita potential, Staff took the daily average of 1 million annual visitors — 2,700 — and added it to the rounded up number of residents — 4,000. Staffrounded up again to the nearest thousand 7,000. ______
Per Capita Sales Estimated_Avalon Sales
Santa Barbara
_______
$61.77 $432,390
Napa
_____
$5453 $$381 710
West Hollywood $183.22 $1,282,540
South_Lake Tahoe
________
$201.47 $1,410,290
StatewideAverage
____
$158.00 — _PPP Twice Statewide Average $316.00 $2,212,000 Revenue Analysis # 3 — Annual Cannabis Sales to Achieve Tax Revenue Benchmarks:
Cannabis Sales J 5% Tax Rate 10% Tax Rate 15% Tax Rate — $1,000,000.00 $50,000.00 ______ $100,000.00 $150,000.00. $5000000.00 $250,000.00 $500000.00 $750.000.00
$10,000,000.00 $500,000.00 $1,000,000.00 $1,500,000.00
$18,00000.00:
______$900,000.00
$1,8O0,0000 $2,7Oo,O0O.O0
FISCAL IMPACTS: Undetermined
CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: Unknown.
FOLLOW UP ACTION: Implement Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This tern was properly listed on the posted agenda in compliance with the Brown Act.
ATTACHMENTS: - State list of cities participating in cannabis business.
Ava Ion Municipal Code — Chapter 5-20
iiiJIiIiIIiiiiIiiiIIIhhIiiiJJiIiJiIhiiJiJJI!Ihiihi S
S
IiiIIiIiiiJIiiiJiiiIIiJiIIiiiiIiIihIiiiiiIiIiiIi1Iil
1111111 iJ1IIflhI1I 1111 iiIIiilHIii ill! 11111 II
IiiIhiiiilhiilJulliiiilulullluJuluuuuJuJuJJilulJul
S
illiiulIllIlilullillliiiJulJuuuluhlllhu liii8
ii 111111 Ii uullu uulluullllullu fillIluliluulIliiilllluuiiii I
Iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiuuiiiiiiii I
I”I’Ijjj’111111111 iII”“liiiI1iiiIIIIiIIIIIII liii,lb ii I IIJIIIJIbIIIIiIiIiIJjiJIIIiIIIIIiiIjiiiiiiiIIJIIIIuI iihIuIhIi IIIIHI?J!nn&niJIJJiIIIhifl jII1IJIIIjiJIJJIhIiJII1IIIiII1HhiJijiIiIIIIJ1JjiIHN
IhilililIlilullhIllillllllliHillillII 111Th ilhhl
Iiihuh hihI hilhhihi ill!!whuh iiiihhllhhi
JhihihlililhhhiuhIllllihllhiiihlulhlhuhlhihlhhiiii
g
IiiihhihlsIhlhiHhhlhhlIlih” i’ fliiluiihhiIiihi1JI
IiiihhlshihhIhiIiIhlhiiIHihilhhlIilhIhlhllhini
I IIIInggggsgg 888186
IIIIiIiIIiIllhIIIll
iJ;JillllllllllllflJllhJJffIIJI!!!uflhI ilIIIillhIIllIlIIIIiJ!ulw!wiIu!HHHJ IIiII1.hnJIiJJiIll1iIiniiIiiIiiHIIIIiuiiIHIIhL
uiIiIIIiIziIiIIiiJiIIiI1iiIIiJIiiillhII1JIIniiIiII1
IiIiJI1ihJIIIJ1iIiIhIhJ1IIIIiIiIIIIiIIIiJiiuiIIIII
JiihIJhIiIIIiJJiJiIIiIIiIIJIIJiIiIIIIJII1IIitiiJlli
iiihIlIihIIIiJIihIIiIiiIilIIhiiIIJiIlIJIiuuJIiifl8
liiiiii!ilillilliihlb
I
I ililibIIiiIiIiIJIb iiiIiIiIll
I
I
,I11h1
I1JIJIllThW”1IiJt11IIllIlli&m&ntu:nhnn a au.a xx
I
I I
111111111111111111111111 11111 lIhihilib
I tiiiIiIiIIi
I
S
S 3
illhJiJJIIiIIiIiiiIIIiIIJiiiJIHhIIllhIIiIIiiIiiHhi S
S
iIiIIi1JIhIJiIIIdIJiIJIHi1JiJIIJI1I1Ii11iiIiihIIJJ S
S
Jill
I illililliuI lIb11111 illdiiIIIIllillin”i”
*
S
IhihliIIzIliIIldIIiIIIIIiIIIIIIIiIIIIiIhiiIihIIiI S
iilIhiiuuiuiuih IlliiIIIiiIhIIIIIlIIIiIIunIIiIII
I
IIiJiiIIiIIIIIIiIiIlliIIHhillhIIIiIiIiIiihihiiI19jj
I
IiiIIIIiiIIIiIIIIIIIiiIIIIIIIiIIIIIiIiIIiIIiIiIiI dIIIIIIJIiIIIIIIIJIIIIIIIIIiIIIIIIiiIllIIIIIIiIIiiii1i ii I I
I
6mm ii s is
IiIiIIJiIIIii1II1IJIIJiIIIIJIJiiJIBiIhIItiilliJih
IlliiIlilii!iillIiIlliiJiJ1IllllJ!liI1ilIuiii!hIt
IiihiilIlIi!lllIlIlllIlIiillliii 1111111 fllun
hih
I
S
S
IhhHIllhlIllIlIlillhllIii
H hiIiIhihihIwl 11th
S
I1i1iIihIiI1I11Ii1Ii11i1IIIi11hII1hh11hhI1uui1ih1ii
sun””
IIIIllhIIIIIIIiuIIIIllhIIIIll, #iIuhIIIIIJIIJJuhJIIIIIIIIIIiIIIi1IIiIH i’IIIIlllllli !flflfl!IiI1IiIIiIiiIIiiiiIIIlb ii iF iiniiiiiinJJIinJIIIIiIllhi!!IJBuH!IhJi
iIiIiidihIiIJIIiiIIIIIiIIIJIJii1IIIIIJIJllhJIIiIiII
Ii!IIIJIIIIJIillhIHhIIIIIiIIIIillhIlIIllhJIJIIJJIJIiII
IhIiiIJiIiIiIiIIiiiIIIIiIHhiiIIIIIiHhIIII1IiiiI1II
IJi1iiiJiiiJiIJIJnIIII!IIJIJihIiIiiIJiIIIllhIiJ!JI
IhhiiiJihIihIiiiiIIlliIIIHhJiI1IIIiIiiIIIJI1iIiii
I
IiIiIII!IIIIiiiiiIllhIIIIIIIIIIIIIiIIIllIIII1111 11111 iIIIIh IIIIIIlluhIIIlluIIIIIIIiIIIiIIIIIIIllhIIIIiiiII q Ii ithiiiIiiliiiII1IiiililililiiI•t
I IIIIIhhiii 1111 II
iiililllillliiilillililliiiliilillililiiiililliiiil
IitllilliJllJJlJlillilihilJJillJhillIliJni111”
11111111 iii!! 1111111 liiilillii11111 JIll!iiiwIllillil I
111111S
(hi 111111111 iiiilihilihiliiiliiiillililun!lIIii!!
IlJiiIIIJIJlIJiJJiIlJiIJhIIJJJlJihIIlIJIJJJJIJillhII
I
I gg
uIIII;IllllIllhIllhIllhIIItIllllhIhluhlhhti IJH?HJllillhIIIIJJJIIiIIIJiiIIIIiIiIlliPhhhhui”uI’t E jg ‘1iiill
I
[
I
a
IJflhIIiiIiiIIIIHiIiIt 0 siIIiidi3iIIiIIiIIuiiiI
ill! 11111 iii!!IJilIllIJili 1111111 1111111 ilillhlillIi ill IIiIiiI1IiiIIIIhJIIiIhiiiJihJIiHJ1IiiIhIIJIIJiIll
IIIIiIIiiiiIIiIIiII!iIhiiiiiIiIiiIlIIhiiIiIiIiIIiiill
iilliIJIIiIIIIIJiiIiiiiIiiiIiIJii 11111 11 hiii!iihull
I
11111111111111 k1,llllhII.
p
r j;iuiisisIIIIIIIIIIIhIIIII1jjjjjjIhI8a ,LIIIIJIIIIIIIillfllluIHllllllhJ)JJHIninnJIIJIII I&J&JJIIi&I&IflA&&1I&flhIIIIflfl&flIfl3&Iiii3&fl&1UI I ji
I
I llhI1IihIiIItiIiiIIiII!iIiiI!tiiIll1iiht1iiIiI1IIIll
iiIll 1111111111 iiiiilIi iiiiiiiiii
H liiiiliiJill!!iBli
IhHllllJihIlhHilIIlJJl!HHhHuJiilhJiIIJiJiJIlI S
S
III!IliiiJiIiIJiiiiilIlIll!IHJiliJJiii!iiiH:JliiilIi S
S
IiIJiIi1iIliIiiiuilIillIIlHhJiJ!ih!ih!JlllIiiJi
IJJJllililllIIlhiiilIll!lJJiIJiiiJlJiiJihiJliliDliii
It
I
iIIIIIllhIIIIIhhhlhIIIiIiIIIIiIiJJiiifJjJs;ill;JI;I jjjjjjjjjjjiIiIIIIhHHHSHUS Iini&nnnnIIJJIJIiiJJJJJJHhJJ!J!JiI!JJhhIIiIIiiII 1$
Ihilill
11111 iii!!Hilnilliii! 11111
IIJIIIIJJJIIIIIIIIIIJIIIIIJIIIIIJIJIIIIIJIIHIIJIIIIIIJ
I
IIIIiHhIIJIIHIHIIIIHIHibIiJiiiIiiiJiIiJiJJbn
A
I 4 IiI!iJ;IiIiIiIIIiIIIiIIJi!iiIiiiIIIidiIJhi;iIIJdiII City of Awiioii, CA
Hdm Stpwribor 13, 21)24
Chapter 5-20. Medical Cannabis Delivery Service Businesses arid Other Cannabis Businesses and Activity
Prior Ordinance History: Ord. 112313, Ord. 1146-16
§ 5-20.010. General Provisions.
[Orct. 1163-17, off. December 7. 2017]
(a) Purpose and Intent. It is the purpose and intent of this chapter to accommodate the needs of medically-ill persons in need of cannabis for medical purposes, as advised and recommended by Iheir health care provider(s), while imposing regulations to protect the City’s neighhorhoods. residents, and businesses from negative impacts. It is a further purpose and intent of this chapter to regulate the cultivation, rnanufactunng, processing, lusting, transporting, delivery, and distribution of medical cannabis and medical cannabis—related products in a rnaruier which is responsible, which protects the health, safety, and welfare of the residents of Avalon, and to enforce rules and regulations consistent with slate law.
In furtherance of these objectives, an annual permit shall be required in order to own arid/or to operate a medical cannabis delivery service business within the City of Avaton. Nothing in this Chapter is intended to authorize the possession, use, or provision of medical cannabis for purposes which violate state or federal law. The provisions of this Chapter are in addition to any other permits, licenses and approvals which may be required to conduct business in the City. and are in addition to any permits, licenses and approval required under state, county, or other law. (ti) Legal Authority. Pursuant to
§ 5 and 7 of Article Xl of the California Constitution, arid the provisions of the Medical Cannabis Regulation and Safety Act (hereinafter “MCRSA”) as amended by the Medicinal and Adult-Use Cannabis Regulation and Safety Act (“MAUCRSA”), the City of Avalon is authorized to adopt ordinances that establish standards, requirements and regulations for local licenses and permits for cannabis anrl cannabis—related activity. Any standards, requirements, r3Ild regulations regarding health and safely, security, 8nd worker protections established by the State of California, or any of its departments or divisions, shalt be the minimum standards applicable in the City of Avalon to medical cannabis, and/or medical cannabis-related activity. (c) Compliance with Laws. It is the responsibility of the owners and operators of the medical cannabis delivery sci-vico business to ensure that it is, at all times, operating in a manner compliant with alt applicable state and local laws, and any regulations promulgated thereunder. Nothing in this chapter shall be construed as authorizing any actions which violate federal, state law or local law with respect to the operation of a medical cannabis delivery service business. It shall he the responsibility of the owners and the operators of the medical cannabis delivery service business to ensure Ihat the medical cannabis delivery service business is, at alt times, operating in a manner compliant with all applicable federal, state and local laws, the 2008 Attorney General Guidelines, any subsequently enacted state law or regulatory, licensing, or certification requirements, and any specific, additional operating procedures or requirements which may he imposed as conditions of approval of the medical cannabis delivery service business permit, Nothing fri this chapter shalt be construed as authorizing any actions which violate federal or state law with regard to the operation of a medical cannabis delivery service business, § 5-20.020. Definitions.
[Ord. 1163-17, off. December 7, 2017]
When used in this chapter, the following words shall have the meanings ascribed to them as set forth herein. Any reference to Cahiornia statutes includes any regulations promulgated thereunder, and is deemed to include any successor or amended version of the referenced statute or regulatory provision.
CANNABIS
Means all parts of the Cannabis sativa Linnaeus, Cannabis indica, or Cannabis rucleralis, whether growing or not; the seeds thereof; the resin, whether crude or pmirilied, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from marijuana. “Cannabis” also means marijuana as defined by § 11018 of the California Health and Safety Code as enacted by Chapter 14017 of the Statutes of 1012. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake macic from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), liber, oil, or coke, or the sterilized seed of the plant which is incapuhle ot germinalion. For the purpose of this Chapter, “cannabis” does not moan industrial hemp as that term is defined by § 81000 of the California Food and Agricultural Code or § 11018.5 of the California Health and Safety Code.
CANNABIS CONCENTRATE
Means manufactured cannabis that has undergone a process to concentrate the cannabinoid active ingredient, thereby increasing the product’s potency. An edible medical cannabis product is not onsideid food, us defined by § 109935 of the California Health and Safety Code, or a drug, as defined by § 109925 of the California Health and Safety Code.
CAREGIVER OR PRIMARY CAREGIVER
Has the same meaning as that term is defined in § 11362.7 of the California Health and Safety Code.
CITY OR CITY OF AVALON
Moans the City of Avaton, a California general law City.
COMMERCIAL
Cannabis activity includes the cultivation, possession, manufacture, distrihulion, processing, storing, laboratory testing. labeling, transportation, distribution, delivery or sale of marijuana and mariluana products.
CULTIVATION
Means any activity, whether occurring indoors or outdoors, involving the propagation, planting, growing harvesting, drying, curing, grading, and/or trimming of cannabis plants or any part thereof for any purpose, including medicalmarijuana.
CULTIVATION SITE
Means a facility where medical cannabis is cultivated, propagated, planted, grown, harvested, dried, cured, graded, or trimmed, or that does alt on any combination of those activitios.
DELIVERY
Means the commercial transfer of medical cannabis or medical cannabis products from a dispensary, up to an amountdetermined to he authorized by the State of California, or any of its departments or divisions, to anyone for any medical purpose. ‘Delivery” also includes the use by a dispensary of any technology platform owned, controlled, and/or licensed by the dispensary, or independently licensed by the State of California under the MAUCRSA (as the same may he amended from time—to—time), that enables anyone to arrange for or Facilitate the commercial transfer by a licensed dispensary of medical cannabis or medical cannabis products.
DISPENSARY
Means a medical cannabis business facility where cannabis, medical cannabis products, on devices bar the use ofmedical cannabis or medical cannabis products are offered, either individually or in any combination, for retail sale,including an establishment (whether tixed or mobile) that delivers. pLii’suent to express authorization, medical cannabis and medical cannabis products as part of a retail sale.
DISPENSING
Means any activity involving the retail sale of medical cannabis or medical cannabis prodi mIs from a dispensary via delivery.
DISTRIBUTION
Means the procurement, sale, and transport of medical cannabis or medical cannabis products between entities licensed pnrsuant to the MAUCRSA and any subsequent State of California legislation regarding the same.
DISTRIBUTOR
Means a person engaged in the business of purchasing medical cannabis 1mm a licensed cultivator, or medical cannabis products from a licensed manufacturer, for sale to a licensed dispensary.
DRIED FLOWER
Means all dead medical cannabis that has been harvested, dried, cured, or otherwise processed, excluding leaves and stems.
EDIBLE CANNABIS PRODUCT
Means manufactured cannabis that is intended to he used, in whole on in part, for human consumption, An ediblemedical cannabis product is not considered loon as defined by § 109935 of ihe Calilornia Health and Safety Code or a drug as defined by § 109925 of the California Health and Safety Code.
LIVE PLANTS
Means living medical cannabis flowers and plants, including seeds, sprouts. inunature plants (including nnmnoted clones),and vegetative stage plants.
MAfJUFACTURED CANNABIS
tvteans raw cannabis that has undergone a process whereby the raw agncultural product has been transformed into a concentrate or manufactured product intended for internal consumption or topical application
MANU FACTURER
Means a person that conducts the production, preparation, propagation, or compounding of manufactured medical cannabis, as defined in this section, or medical cannabis products either directly or indirectly or by extrnmctmon methods, or independently by means of chemical synthesis at a fixed location that packages or repackages medical cannabis or medical cannabis products or labels or relabels its container.
MANUFACTURING SITE
Means a location that produces, prepares, propagates, or compounds medical cannabis or medical cannabis products, directly or indirectly, by extraction methods, independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis.
MARIJUANA
Means ‘Cannabis,” as that term is defined in this chapter.
MEDICAL CANNABIS ACTIVITY
Includes cultivation, manufacture, processing, laboratory testing, transporting, delivery, distmibutiorm, or sale of medical cannabis or a medical cannabis product, within the meaning of California Business and Professions Code 19300 ci seq.
MEDICAL CANNABIS BUSINESS
Means any business or operation which engages in medical cannabis activity.
MEDICAL CANNABIS DELIVERY SERVICE BUSINESS PERMIT
Means a regulatory permit issued by the City of Avalon pursuant to this chapter to a medical cannabis delivery service business, and is required before any medical cannabis delivery service business activity may be conducted in the City. The initial permit and annual renewal of a medical cannabis delivery service business permit is made expressly contingent upon the business’ ongoing compliance with all of the requirements of this chapter, any regulations adopted by the City governing the medical cannabis delivery service activity at issue, and any other state or local laws.
MEDICAL CANNABIS, MEDICAL MARIJUANA, MEDICAL CANNABIS PRODUCT OR CANNABIS PRODUCT Means a product containing cannabis. including, but not limited to, concentrates anrl extractions, intended 10 he sold for use by medical cannabis patients in California pursuant to the Compassionate Use Act of 1996 (Proposition 215), found al § 11362.5 of the California Health and Safety Code (as the same may be amended from time-to-time). For purposes of this Chapter, ‘medical cannabis” does not include industrial hemp as defined by § 81000 of the California Food and Agricultural Code or § 11018.5 of the California Health and Safety Code.
PATIENT OR QUALIFIED PATIENT
Shall have the same definition as California Health and Safety Code § 11362.7 et seq., as it may be amended, and which means a person who is entitled to the protections of California Health and Safety Code § 11362.5, For purposes of this chapter, qualified patient shall also refer to qualified patients who have obtained an identification card frolTi the StateDepartment of Health Services, as that term is defined by California I-Iealth and Safely Code § 11362,7 et seq.
PERSON
Means an individual, firm, partnership, joint venture, association, corporation, limited liability company, eslato, trust, bosines trust, receiver, syndicate, or any other group or combination acting as a unit and includes the plural as well as the singular number.
PERSON WITH AN IDENTIFICATION CARD
Shall have the meaning given that term by California Health and Safety Code § 11362.7.
STATE LICENSE
Means a permit or license issued by the State of California, or one of its departments or divisions, under MAUCRSA to engage in medical cannabis activity.
TOPICAL CANNABIS
Means a product intended for external use. A topical cannabis product is riot considered a drug as defined by § 109925 of the California Health and Safety Code.
TRANSPORT
Means the transfer of medical cannabis or medical cannabis products from the permitted business location of une licensee to the permitted business location of another licensee, for the purposes of conducting medical cannabis activity authorized by the MAUCRSA.
TRANSPORTER
Means a person authorized to transport medical cannabis or medical cannabis products in amounts authorized by the State of California, or by one of its departments oi divisions under the MAUCRSA § 5-20.03O. Medical Cannabis Delivery Service Business Permit Required for Owner/Operator; Requirements for Medical Cannabis Delivery Service Business Employees.
[Ord. 1163-17, off. December 7, 2017]
(a) Medical Cannabis Delivery Service Business Permit Required to Engage in Medical Cannabis Business. (1) No person may engage in any iriedical cannabis delivery service business unless the person (1) has a valid medical cannabis delivery service business permit from the City of Avalon and (2) is currently in compliance with all applicable state and local laws and regulations pertaining to the medical cannabis delivery service business and the medical cannabis delivery service business activities, including the duly to obtdirr airy required stale licenses (2) If and until Health and Safety Code § 11362.775, subdivision (a), is repealed, the City intends that persons eligible to operate collectives or cooperatives under that subdivision shall he aligiblo to apply for a City permit to conduct medical cannabis activities, but only to the degree those activities are authorized under state law for collectives and cooperatives. If and when the Health and Safety Code § 11362.775, subdivision (a), is repealed, or as soon as collectives anti cooperatives are no longer permitted under state law, any City medical cannabis delivery service business permit holder operating as a collective or cooperative who has riot already obtained a state licorice for the medical cannabis delivery service business activities they are engaged in shall automatically lorfeit his or her City medical cannabis delivery service business permit. At that point they shall no longer he authorized to engage in any medical cannabis delivery service activities in the City until they obtain both a City issued medical cannabis delivery service business permit and a state license for that medical cannabis activity. (Ii) Medical Cannabis Delivery Service Business Employee Qualifications anc Training; Eniployer Obligations to Monitor Employee Compliance. (1) The owner or operator of a medical cannabis delivery service business shall ensure that all employees comply with all the requirements of this chapter. (2) Medical cannabis delivery service bLisiness owners or operators shall e’isure that employees i’ire educated as to all the requirements of this chapler and applicable state law requirements (or medical cannabis delivery service businesses and that they adhere to all applicable requirements, (3) Failure of the owner or operator to comply with these requirements shall he grounds Icr permit revocation. § 5-20.040. Medical Cannabis Businesses.
[Ord. 1163-17, eff. December 7,2017]
(a) Medical Cannabis Delivery Service Businesses.
(1) Initial Maximum Amount of Medical Cannabis Delivery Service Business Permits. Upon the effective dale of this provision, the City Council may issue a maximum of one merlical cannabis delivery service business permit to one qualified medical cannabis delivery service business at any one given time. The permit shall be issued in accordance with the application and permit approval process contained in this chapter and resolutions and policies adopted pursuant to this chapter. The medical cannabis delivery service business must obtain a medical cannabis delivery service business permit from the City before commencing operations, must be in compliance with all applicable state and federal laws pertaining to its operation, including obtaining alt necessary licenses from the slate, and shall comply with all applicable operational and zoning requirements set forth in the Avalon Municipal Code. Nothing in this chapter creates a mandate that the City Council must issue any medical cannabis business permits to medical cannabis delivery service businesses if the City Council determines that there are no qualified applicants, the proposed locations for medical cannabis rlelivcry service business is incompatible with neighboring land uses, or if the City Council determines that the issuance of a medical cannabis delivery service business permit would have a negative effect on the health, safety, or welfare of ttie citizens or businesses of Avalon, or for any other reason allowed by law.
(2) City Council Review and Increased Maximum Number of Medical Cannabis Delivery Service Business Permits to be Issued. Twelve months after the initial medical cannabis delivery service business permit has been issued, the City Manager shall deliver a report to the City Council during a regular meeting which examines the positive and negative impacts that the medical cannabis delivery service business has had on the community during the preceding 12 months. The report shall include, among other things, an analysis of how the modical cannabis delivery service business has complied with state and local regulations, any positive or negative curnuiunity ann law enforcement impacts, and any revenue generated. If after hearing the report the City Council makes a detnrniinrtion that there are no significant consequences of allowing a medical marijuana delivery service business to operate in the City, the City Council at its sole discretion may vote to expand the number of authorized medical cannabis delivery services permits to he issued up to a maximum of two. If the City Council takes no action, or finds that the impacts are unacceptable, then the maximum number of medical cannabis delivery service businesses authorized shall continue to he timiled to one as provided in suhsection(a) above. (b) All Other Medical Cannabis Businesses. Until further action by the City Council to amend this chapter has been taken, medical cannabis businesses other than medical cannabis delivery services are riot permitted to operate within the City. (c) Non-Medical Cannabis Businesses. Non-medical or personal cannabis businesses including cultivation, manufacturing. distribLition, dispensing, testing laboratories, and transporting businesses are not permitted within the City. § 5-20.050. Application for Medical Cannabis Delivery Service Business Permit:
Renewal Applications; and Effect of Revocation or Suspension of State License.
[Ord. 1163-17, off. December 7, 201 ij
(a) Initial Application Procedure.
(1) The City Council shall adopt by resolution the procedures which will govern the application process, and the manner In which the decision will ultimately be made regarding the issuance of any medical cannabis delivery service business permit(s). The resolution shalt authorize the City Manager or his or her desigmien to prepare the nax.tssaryforms, adopt any necessary rules, regulations and processes, solicit applications, conduct initial evaluations of the applicants, and ultimately provide a final recommendation to the City Council regarding the applicants for consideration.
(2) At the time of liling, each applicant shall pay an appticalion fee established by resolution of the City Council, in cnver alt costs incurred by the City in the application process. (3) After the initial review the City Manager or his designee will matce a recommendation to the City Council, and the City Council shalt make a final determination in accordance with the selection procedure set fodli in the resolution adopted by the City Council,
(b) The City’s Reservation of Rights. The City reserves the right to reject any or alt applications. The City may also modify, postpone, or cancel any request for applications, or the entire program under this chapter, at any time without liability, obligation, or commitment to any party, firm, or organization. Persons submitting applications assume the risk that alt or any part of the program, or any particular category of permit potentially authorized tinder this chapter, may ho cancelledat any time prior to permit issuance. The City further reserves the right to request and oblain additional information fromany candidate submitting an application. In addition to any other justification provided a failure to cumply with other requirements in this chapter, an application risks being rejected for any or the following reasons:
(1) Proposal received after designated time and date.
(2) Proposal not containing the required eleinients, exhibits, nor organized in the required format. (3) Proposal considered not fully responsive to this request for permit application (4) Proposal contains excess or extraneous material not called for in the request for permit application. (C) Expiration of Medical Cannabis Delivery Service l3usiness Permits. A medical cannabis delivery service business permit issued pursuant to this Chapter shalt expire 12 months after the date of its issuance. Medical cannabis delivery servicebusiness permits may be renewed as provided 0 subsection (e) below. (d) Revocation of Permits. Medical cannabis delivery service business permits may be revoked for any violation of any standard adopted pursuant to ibis Chapter, law and/or any rule, regulation. (C) Renewal Applications.
(1) An application for renewal of a medical cannabis delivery service business permit shall ho filed at least 60 calendar days prior to the expiration date of the current permit. (2) The renewal application shall contain alt the information rertuired for new applications. (3) The applicant shall pay a fee in an amount to be set by the City Council to cover the costs of processing the renewal permit application, together with any costs incurred by the City to administer the program created under this chapter. (4) An application for renewal of a medical cannabis delivery service business permit shall he ‘ejected ii any of the following exists:
a. application is fitert toss than 61) days before its expiration. h. The medical cannabis delivery service business permit is suspended or revoked at the time of the application. c. The medical cannabis delivery service business has riot been in regular and continuous operation in the four months prior to the renewal application.
d. The medical cannabis delivery service business has failed to conform to the requirements of this chapter. or of any regulations adopted pursuant to this chapter.
e. The permittee fails or is unable to renew its State of California license. f. It the City or state has determined, based on substantial evidence, that the permittee or applicant is in violation of the requirements of this chapter, ol the City’s Municipal Code, or of the state rules and regulations, and the City or state has determined that the violation is grounds for termination or revocation of the medical cannabisdelivery service business permit. (5) The City Manager or his designee is authorized to make all decisions concerning the issuance of a renewal permit.
In making the decision, the City Manager or his designee is authorized to impose additional conditions to a renewalpermit, if it is determined to be necessary to ensure compliance with statu or local laws and regulations or to preserve the public health, safety or welfare. Appeals from the decision of the City Manager or his designee shall be handled pursuant to § 5-20,06 entitled “Appeals.”
(6) If a renewal application is rejected, a person may file a new application pursuant to this Chapter no sooner than one year from the date of the rejection.
(f) Effect of State License Suspension. Revocation, or Terrninahon. Suspension of a license issued by the State of California, or by any of its departrrients or divisions, shall immediately suspend the ability of a medical cannabis deliveryservice business to operate within the City, until the State of California, or its respective dupartmeiit or division, reinstates or miscues the State license. Should the State of California. or ally of its departments or divisions, revoke or terminate the license of a medical cannabis delivery service business, such revocation or termination shall aIo revoke or terminate the ability of a medical cannabis rlelivery service business to operate within the City of Avalon, § 5-20.060. Appeals.
[Ord. 1163-17, eff. December 7, 2017]
(a) Appeals from Decisions of the City Manager or His Designee Under 7his Chapter. Unless specifically provided elsewhere to tile contrary, whenever an appeal is provided for in this chapter from a decision of the City Manager or his or her designee, the appeal shall he conducted as prescribed in this section. (h) Written Request for Appeal.
(1) Within 10 calendar days after the date of a decision of the City Manager or his designee(s) to revoke. suspend or deny a permit, or to add conditions to a permit, an aggrieved party may appeal such action by filing a written appeal with the City Clerk setting forth the reasons why the decision was not proper. (2) At the time of filing the appellant shall pay the designated appeal fee, established by resolution of the City Council as may be amended from time to time.
(c) Appeal Hearing.
(1) upon receipt of the written appeal, the City Clerk shall set tile matter for a hearing before the City Council. The City Council shall hear the matter de novo. and shall conduct the hearing pursuant to the procedures set forth by theCity. (2) The appeal shall be held within a reasonable tinie after the filing the appeal, bul in 110 event later than go days from the date of such filinìg. The City shalt notify the appellant of tile time and location at least 10 days prior In the nato of tlle hearing.
(3) At tile hearing, the appellant may present any information they deem relevant to the decision appealed. The formal rules of evidence arid procedure applicable in a court of law shall riot apply to the bearing. (4) At tile conclusion of the hearing, the City Council may affirm, reverse or modify the decision appealed. The decision of tile Cily Council shall be final.
§ 5-2ft070. Permittee Selection Process.
[Ord. 1163-17, elf. December 7. 20171
(a) Selection and Review of’ Finalists.
(1) The City Council shall adopt by resolution a procedure by which the applicants applying for a medical caimab; delivery service business permit will be presented to the City Council for a linal determination at a public hearing. (2) The applicants shall be invited to attend the City Council meeting. where they will be expected to make a public presentation introducing their team and providing an overview of their proposal. In order to provide adequate time, presentations may he divided over more than one meeting over multiple days as determined to be necessary. (3) At least 10 days prior to the hearing, notice of the hearing shall he sent to all property owners located within 300 feet of the proposed business locations of each of the finalists to be considered by the City Council. (4) The City Council shall rank the applicants in order of preference based on criteria listed in the relevant resolution and shall select one candidate to be issued a medical cannabis delivery services business permit. The CityCouncils decision as to the selection of the candidate to receive the permit shall he final. (5) Official issuance of a medical cannabis delivery service business permit, however, is conditioned upon the prevailing candidate obtaining all required land use approvals. Following the City Councils selection, the prevailino candidate shall apply to the City’s planning depaitment to obtain any required land use approvals or entitlements for theperrnittee’s location, if any. Land use approvals shall include complance with all applicable provisions 01 the California Environmental Quality Act. The City Manager shall formally issue a medical cannabis delivery 5cr-vice business permit once tho City Manager and Sheriff have both affirmed that all of the required land use approvals have been obtained.
(6) lithe selected permittee is unable to fulfill all the requirements of obtaining the medical cannabis delivery service business permit. the City Council, in its sole discretion, nay award the permit to the next highest ranked finalist, ui may begin the application process again to allow for selection of a new set of finalists. (7) Issuance of a rriedical cannabis delivery service business permit does riot create a land use entitlement. A medical cannabis delivery service business permit shall only be for a term of 12 months, and shall expire at the end of the twelve-month period unless it is renewed as provided herein. Furthermore, no permittee may begin operations, notwithstanding the issuance of a permit, unless all of the state and local laws and regulations, including hut not limited to the requirements of this chapter and of the permit, have been complied with. (8) Notwithstanding anything in this chapter to the contrary, the City Council reserves the right to reject any or all applications if it determines it would be in the best interest of the City, taking into account any health, safety and welfare impacts err the community. Applicants shall have no right to a medical cannabis delivery service business permit until a permit is actually issued, and then only for the duration of the permit’s term. Each applicant assumes the risk that, at any time prior to the issuance of a permit, the City Council may terminate or delay the program created under this chapter.
(9) If an appticahiorr is denied, a new application may not be filed for one year from the dale of Ihe denial. (10) A person or entity granted a medical cannabis delivery service business permit shall be required ho pay the permit fee established by resolution of the City Council, to cover the costs of administering the medical cannabis delivery service business permit program created in this chapter. (b) Prohibition on Transfer of Medical Cannabis Delivery Service Business Permits. (1) No person may transfer ownership or control of a medical cannabis delivery service business or transfer any medical cannabis delivery service business permit issued under this Chapter. Medical cannabis delivery service business permits are not a property right, and perniittees have no economic interest in any permit issued to thenr.
Permittees have no right to sell or transfer a medical cannabis delivery service business permit to another party, or to have the City Council consider whether they should authorize the transfer of a medical cannabis delivery servicebusiness permit to another party. Any attempt to transfer ownership of a medical cannabis delivery service business or of a medical cannabis delivery service business permit shall render Ihe medical cannabis delivery service business permit void,
(2) Any attempt to transfer a medical cannabis delivery service business permit or a medical cannabis delivery service business shall result in the medical cannabis delivery service business permit being declared immediately revoked andlor it is void and no longer of any effect.
(3) In any situation where a permit has been lost as a result of an attempted transfer of the medical cannabis delivery service business permit or of the medical cannabis delivery service business, or as a result of the abandonment or revocation of the permit, any new permit shall he issued using the standard process for the issuance of permits iii the first instance. No preference shall be given to any person proposed as new owner or assignee by the fannerpermit holder. In such case, prior to accepting any new applications, the City shall post the availability of the medical cannabis delivery service business permit at issue on the City’s website. The City Manager or his/her designee may take other actions to help ensure the broadest pool of applicants for the new permit. § 5-20.080. Requirements Before Permittee May Commence Operations, [Ord. 1163”17, off. December 7. 2017]
(a) City Business License. Prior to commencing operations, a medical cannabis delivery service business shall obtain a City of Avaton businesS license.
(b) Building Permits and Inspection. Prior to commencing operations, a medical cannabis delivery servicu business shall be subject to a mandatory building inspection, and must obtain all required permits and approvals which would otherwise he required for any business of the same size and intensity operating in that zone. This includes but is not limited to obtaining any required building permit(s), fire department approvals, Health Department approvals, and other zoning and and use permit(s) and approvals.
(c) Certification from Planning Director, Prior to commencing operations, a medical cannabis delivery service business must obtain a certification from the Planning Director certifying that the business is located on a site that meets all of the requirements of the Citys Municipal Code.
(d) Right to Occupy and to Use Property. As a condition precedent to the City’s issuance of a medical cannabis delivery service bUsiness permit pursuant to this Chapter, any person intending to open and to operate a medical cannabis delivery service business shall provide suflicient evidence of the legal right to occupy and to use the proposect location.
In the event the proposed location will be leased from another person, the applicant shalt he required to provide a signed and notarized statement from the owner of the property, acknowlodging that the property owner hs road this Chapterand consents to the operation of tho medical cannabis delivery service business on the owner’s propurty. (e) Limitations on City’s Liability. To the fullest extent permitted by law, the City of Avalon shall riot assume any liability whatsoever with respect to having issued a iriedical cannabis delivery service business permit pursuant to this chapter orotherwise approving the operation of any medical cannabis business. As a condition to the approval of any medicalcannabis delivery service business permit, the applicant shall he requirerl to meet all of the following conditions before they can receive the medical cannabis delivery service business permit;(1) They must execute an agreement, in a form approved by the City Attorney, agreeing to indemnify, defend (at applicant’s sole cost and expense), and hold the City of Avalon, arid its officers, officials, employees, representatives, and agents, harmless, from any and all claims, losses. daniages, injuries, liabilities or losses which arise out of, or which are in any way related to, the City’s issuance of the medical cannabis delivery servicebusiness permit, the City’s decision to approve the operation of the medical cannabis delivery service business oractivity, to process used by the City in making its decision, or the alleged violation of any federal, state or local laws by the medical cannabis delivery service business or any of its officers, employees or agents. (2) Maintain insurance at coverage limits established by § 1-6.01 of the Municipal Code and with conditions thereon determined necessary and appropriate from time to time by the City Attorney. (3) Reimburse the City of Avalon for all costs and expenses, including but not limited to attorney lees and costs and court costs, which the City of Avalon may be required to pay as a result of any legal challenge related to the City’s approval of the applicant’s medical cannabis delivery services business permit, or related to the City’s approval of a medical cannabis delivery service activity. The City of Avaton may, at its sole discretion, participate at it uwn expense in the defense of any such action, but such participation shall not relieve any of the obligations imposed hercu rider.
§ 5-20.090. Operating Requirements for Medical Cannabis Delivery Service Businesses,
[Ord, 1163-17, elI. December 7, 2017]
(a) Compliance with Laws. It is the responsibility of the owners arid operators of thu medical cannabis delivery service husiness to ensure that it is, ci all times, operating in a manner compliant with all applicable state and local laws, and any regulations promulgated thereunder. Nothing in this chapter shall be construed as authorizing any actions whichviolate state law or local law with respect to the operation of a medical cannabis delivery service business. It shall be t[ie responsibility of the owners and the operators of the medical cannabis delivery service business to ensure that liii, medical cannabis delivery service business is, at all times, operating in a manner compliant with all applicable state and local laws, the 2008 Attorney General Guidelines, any subsequently enacted state law or regulatory, licensing, orcertification requirements, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of the medical cannabis delivery service business permit. Nothing in this chapter shall hoconstrued as authorizing any actions which violate state law with regard to the operation of a medical cannabis deliveryservice business. (b) Fees, Charges, and Taxes.
(1) No person may commence or continue any medical caimabis delivery service activity iii the City, without timely paying in full all fees, charges, and any applicable taxes required for the operation of a medical cannabis deliverysetvice business, F’ees and charges associated with the operation of a medical cannabis delivery survice activityshall be established by resolution of the City Council which may he anierided from time to time. (2) A medical cannabis delivery SU[ViCO business authorized to operate jnder this chapter shall pay all sales. use, business and other applicable taxes, and all license, registration, and other fees required under federal, state, and local law. Medical cannabis delivery service busrnesses shall cooperate with the City with respect to any reasonable request to audit the medical cannabis delivery service businesses hooks anti records [or the purpose of verifying compliance with this section, including hut not limited to a verification of the amount of taxes required to he paidduring any period. (C) Operating Requirements for All Medical Cannabis Delivery Service Businesses.
Hours of Operation. Medical cannabis delivery service businesses may conduct business between the hours of 10:00 AM. and 10:00 P.M. Monday through Sunday.
No in person on-site sales of medical cannabis shall be permitted. Alt medical cannabis sales must be conducted via delivery.
(d) Restriction on Consumption. Cannabis shall not be consumed on the premises of any medical cannabis delivery service business.
(e) No Outdoor Storage of Cannabis or Cannabis Prociucts Is Permitted at Any ‘firne. (f) Reporting and Tracking of Product and of Gross Sales. Each medical cannabis delivery servic.e business shall have in place a pont—of—sale tracking system to track and report on all aspects of the medical cannabis delivery service business including, but not limited to, such mailers as cannahis tracking, inventory data, and gross sales (by weight and by sale).
The medical cannabis delivery service business shall ensure that such information is compatible with the City’s recorrlkeeping systems. The system must have the capability to produce historical transactional data for review by the City Manager or his/her designee.
(g) Licensed Facilities. All cannabis and cannabis products sold, or distributed in the City shall be cultivated. manufactured, and transported by licensed facilities that maintain operations in full conformance with the State and local regulations. (h) Emergency Contact. Each medical cannabis delivery service business shall provide the City Manager or his/tier designee(s) with the name, telephone number (mobile preferred, if available) of an owner and or manager to whom emergency notice can he provided at any hour of the day. (i) Minors. Persons under the age of 21 years of age shall not he allowed to serve as a rlriver for a medical cannabis delivery service business. It shall he unlawful and a violation of this Chapter for any person to employ any person at a medical cannabis delivery service business who is not 21 years of age or older’. (j) Odor Control. Odor control devices and techniques shall be incorporated in all medical cannabis (lelivory service businesses to ensure that odors from cannabis are not detectable off-site, Medical cannabis delivery service businesses shall provide a sufficient odor absorbing ventilation and exhaust system so that odor generated inside the niedical cannabis delivery services business that is distinctive to its operation is not detected outside of the facility, anywhere onadjacent property or public rights—of—way, nfl or aboLit the exterior or interior common area walkways, hallways. brrrezeways, fnyers, lobby areas, or any other areas available for rise by common tenants or the visiting public, or within any other unit located inside the same building as the medical cannabis delvery services business. As such, a medical cannabis delivery service business must install and maintain the following equipment, or any other equipment which the City Manager or his/her designee(s) determine is a more effective method or technology:
(1) An exhaust air filtration system with odor control that prevents internal odors from being emitted externally. ‘l’he medical cannabis delivery seivices business applicant shall provide a statement from (he exhaust air filtration manufacturer that the system has been designed to achieve the above standard based on the specific hitilding sizeand layout. (2) An air system that creates negative air pressure between the medical cannabis delivery service business interior and exterior, so that (lie odors generated inside the medical cannabis delivery service business are not detectable on the outside of the rrrodical cannabis delivery service business. The medical cannabis delivery service business applicant shall provide a statement from the air system manufacturer that the system has been designed to achieve the above standard based on the specific building size and layout. (k) Display of Medical Cannabis Delivery Service Business Permit and City Business License. The original copy of the medical cannabis delivery service business permit issued by the City pursuant to this chapter arid the City issued business license shall he posted inside the medical cannabis delivery service business in a location not readily-visible tothe public. (I) Background Check. Pursuant to California Penal Code § 11105(b)(1i) and 13300(b)(11), which authoriLes City authorities to access state and local summary criminal history information for employment, licensing, or certification purposes, and authorizes access to federal level criminal history information by transmitting fingerpnnt images aridrelated information to the Department of Justice to be transmitted to the Federal Bureau of Investigation, every person listed as an owner, manager, or supervisor of the medical cannabis delivery service business must submit fingerprints and other information deemed necessary by the City Manager or his/her designee(s) for a hackgrounrl check by the Avaton City Sheriffs Department. Pursuant to California Penal Code § It 105(h)(i 1) and 13300(b)( 11), which requires that there be a requirement or exclusion from employment, licensing, or certification based on specific criminal conduct on the part of the subject of the record, no person shall be issued a permit to operate a medical cannabis delivery services business unless they have first cleared the background check, as cetermined by the Sheriff, as required by this section. A fee for the cost of the background investigation, which shall be the actual cost to the City of Avalon to conduct the background investigation as it deems necessary and appropriate, shall be paid at the time the application for a medical cannabis delivery serviced business permit is submitted. The applicant(s) shall provide an initial deposit in an amount the City Manager or hislher designee(s) estimates will cover the cost of the background investigation, which shall be used and drawn upon as a relainor to cover Ihe actual costs of such investigation If this amount is not sufficient, the applicant shall provide additional amounts that are necessary and if tlie applicant is unable to provide the additional amounts necessary to complete the investigation, the investigation shall cease and shall not continue until such additional amounts are paid. Upon completion of the investigation or in the event the applicant withdraws their application, any fees paid for this process will be deemed non-refLindabte.
The City shaft not disseminate background check results infonnation to any rnauthorized or private party.
When reviewing background check results, the Sheriff shall verily that applicants have not been convicted of any crimes listed in Business and Professions Code § 19323. Applicants found to have committed any crimes listed in Business and Professions Code § 19323 may fail the background, and may he ineligible for a City medical cannabis delivery service business permit. (m) Loitering. The owner andior operator of a medical cannabis business shall prohibit loitering by persons outside the facility both on the premises arid within 50 feet of the premises of the business. (ii) Zoning Requirements. Medical cannabis deliveiy service businesses must locate their brick and rnoitar place of business within the City’s comrriercial or special commercial zones. (o) Permits and Other Approvals. Prior to the establishment of any medical cannabis delivery service or the operation of any such business, the person(s) intending to establish a medical cannabis delivery services business must first obtain all applicable planning, zoning, building, and other applicable permits from the relevant governmental agency which may be applicable to the zoning district in which such medical cannabis delivery servco intends to establish and to operate. § 5-20.100. Additional Operating Requirements for Medical Cannabis Delivery Service Businesses.
fOrd. 1163-17, eli. December 7, 2017j
(a) Records and Recordkeeping.
(1) Each owner anrl Operator of a medical cannabis delivery service business shall maintain accurate hooks and records, detailing all ci the revenues and expenses of the rlelivery services, and all of its assets and liabilities. On no less than an annual basis (at or before the time of the renewal of a medical cannabis delivery service business permit issued pursuant to this chapter), or at any time upon reasonable request of the City, cacti medical cannabis delivery service business shall file a sworn statement detailing the number of sales by the medical cannabis delivery service business during the previois twelve—month period (or shorter period based upon the timing of the request), provided on a monthly basis. The statement shall also include gross sales for each month, and all applicable taxes paid or due to he paid. (2) Each owner and operator of a medical cannabis delivery service hi.isinoss shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding an interest in the medical cannabis delivery service business, and separately of all the officers, muriaqers. employees, agents and volunteers currently employed or otherwise engaged by the medical cannabis delivery service business. The register required by this paragraph shall b provided to the City Manager or his/her designee(s) upon a reasonable request. (3) Each medical cannabis delivery service business shall maintain a record of all persons, patients, collectives and primary caregivers served by the medical cannabis delivery service business, for a period of no less than four years.(4) Medical cannabis delivery service businesses shall maintain records of their inventory acquired, including the lame and address of each supplier, the date of acquisition and the quantity acquired from each supplier, and the location of the cultivation of the supplier, and shall maintain a copy of the supplier’s state license to cultivate (if required). (5) Subject to any restrictions under state or federal law, each medical cannabis delivery service business shall allow City of Avalon officials to have access to the medical cannabis delivery service business’s hooks, records, accounts, together with any other data or documents relevant to its permitted medical cannabis delivery service activities, for the purpose of conducting an audit or examination. Books, records, accounts. and any and all relevant data or documents will be produced no later than 24 hours after receipt of the City’s request. unless otherwise stipulated by the City. (b) Security Measures.
(1) A permitted medical cannabis delivery service business shall implement sufficient security measures to deter and prevent the unauthorized entrance into areas containing medical cannabis or medical cannabis products, and to deter and prevent the theft of medical cannabis or medical cannabis products at the medical cannabis delivery service business. Except as may otherwise be determined by the City Manager or his/her designee(s), these security measures shall include, hut shall not he limited to. all of the following:
a. Preventing individuals from remaining on the premises of the medical cannabis delivery services business if they are not engaging in an activity directly related to the permitted operations of the medical cannabis delivery services business. b. Establishing limited access areas accessible only to authorized medical cannabis delivery service business personnel.
c. All medical cannabis and medical cannabis products, shall be kept in a manner as to prevent diversion, theft, and loss. ci. Installing twenty-four-hour security surveillance cameras of at least HD-quality to monitor all entrances and exits to and from the premises, all interior spaces within the medical cannabis delivery service business, nnd all interior spaces where cannabis, cash or currency, is being stored for any period of time on a regular basis. The medical cannabis delivery service business shall be responsible for ensuring that the security surveillance camera’s footage is remotely accessible by the City Manager or ins/her designee(s), and the City’s Sheriff’s Department, and that it is compatible with the City’s software and hardware. In addition, remote and real-time, live access to the video footage from the cameras shall be provided to the City Manager or his/her designee(s) and to the City’s Sheriff’s Department. Video recordings shall be rnaiirtained for a minimum of 45 clays, arid shall be made available to the City Manager or his designee upon request. e. Installing sensors to detect entry to and exit from the premises. f. Installing panic buttons.
g. Having a professionally installed, maintained, and monitored alarm system. h. Any bars installed ocr the windows or the doors of the medical cannabis delivery service business shall he installed only on the interior of the building.
i. Each medical cannabis delivery service business shall have the capability to remain secure and operational during a power outage and shall ensure that all access doors are riot solely controlled by an electronic access panel to ensure that locks are not released during a power outage. j. Entrances into the medical cannabis delivery services business shall be locked at all times with entry strictly controlled.k. Uniformed state-licensed security personnel shall be employed to monitor site activity, control loitering and site accuss, and to serve as a visual deterrent to unlawful activities, Security personnel nuist be licensed by t[re State of California Bureau of Security and Investigative Services personnel and shall be suhjcrr:t to the prior review and approval of the City Manager or his/her designee(s), with such approval not to be unreasonably withheld. (2) A medical cannabis delivery service business shall identify a designated security representative/liaision to tIre City Manager, who shall be reasonably available to r’neet with the City Avalon or his/her designee regarding any security related measures or and operational isslres. (3) As part of the application and permitting process, a medical cannabis ctelivery service business shall [rave a storage and trarrspor’tation plan, which describes in detail the procedures for safely and securely storing and transporting all cannabis, cannabis products, and any currency. (4) The medical cannabis delivery service business shall cooperate with the City whenever the City Manager or Iris/her designee makes a request, upon reasonable notice to the medical cannabis delivery service business, to inspect or audit the effectiveness of any security plan or of any other requirement o this Chapter. (5) A medical cannabis delivery services bLrsiness shall notify the Sheriff or his/her designee(s) within 24 hours after discovering any of the following:
a. Significant discrepancies identified during inventory. The level of significance shall be determined by the regulations promulgated by the City Manager or his/tier designee.b. Diversion, theft, loss, or any criminal activity involving the medical cannabis delivery scrvrce business or airy agent or employee of the medical cannabis delivery service business, c. The loss or unauthorized alteration of records related to cannabis, registering qualifying patients, priroary caregivers, or employees or’ agents of the medical cannabis delivery service business. d. Any other broach of security.
(c) Restriction on Alcohol S8los and Consumption. No person shall cause or permit the sale, dispensing, or consumption 01 alcoholic beverages on or about the premises of the medical cannabis delivery service business. (d) If a medical cannabis delivery service business permittec is operating as a collective or ccioprrrahvo under Health and Safety Code § 11362.775, subdivision (a), members of the applicant authorized to possess cannabis shall sign an agreement with the medical cannabis delivery service business which states that members shall not distribute cannabisor cannabis products to non-members or in violation of the ‘Memorandum for all United States Attorneys,’ issued by the United States Department of Justice, from James M. Cole, Deputy Attorney General and any other applicable state and federal laws, regulations, or guidelines.
(e) If the medical cannabis delivery service business permittee is operating as a collective or cooperative under Health and Safety Code § 11362.775, subdivision (a), the medical cannabis delivery service business shall terminate the membership of any member violating any of the provisions of this Chapter. (1) Owners and Operators are required to verify the age and the necessary documentation of each medical cannabis delivery services business customer to ensure the customer is not under the age of 18 years, and to verity that the potential customer has a valid doctor’s recommendation. (g) There shall not be a physician located in or on the grounds ol any medical cannabis delivery services business at any time for the purpose of evaluating patents for the issuance of a medical cannabis prescription or card. (h) Prior to delivenng medical cannabis or medical cannabis products to any person, the medical cannabis delivery service bLisiness shall obtain verification from the recommending physician that the person requesting medical cannabis or medical cannabis products is a qualified patient or primary careqiver. (i) All cannabis and products containing cannabis shall be dispensed in child—proof packaging and shell remain in such packaging until delivered and shall comply with other packaging requirements requirerl by state law. § 5-20.110. Delivery by Medical Cannabis Delivery Service Businesses Permitted.
[Ord. 1163-17, eff. December 7, 2017]
Legally permitted medical cannabis delivery service business arc authorized to make deliveries within the City subject to following requirements:
(a) The owner, operator, and delivery personnel shall comply with all applicable state law requirements. (h) Delivery services shall be provided using commercial vehicles or commercial autoetles duly permitted under § 4—4,1702 of Title 4, Chapter 4—4, Article 17 of the Avalon Municipal Code. Any commercial vehicles or commercial nuloettes used by a cannabis delivery service shall comply with any applicable state or local regLilations. (c) The delivery personnel must be an employee of the medical cannabis delivery services business.(d) Before dispensing any products to persons requesting delivery, the delivery personnel mud verify that the roquestor is an authorized customer (either a qualified patient or a primary caregiver) by inspecting the documents required by § 5- 20,100, subsection (f). § 5-20.120. Application of Chapter’; Other Legal Duties. fOrd. 1163-17, eff. December 7, 20171
(a) Promulgation of Regulations and Standards.
(1) In addition to any regulations adopted by the City Council, the City Manager or hislher designee is authorized In establish any additional rules, regulations, and standards governing the issuance. denial, or renewal of medicalcannabis delivery service business permits, the ongoing operation of a medical cannabis delivery service busiress and the City’s oversight, or concerning any other subject determined to be necessary to carry out the purposes ofthis chapter. (2) Regulations shall be published on the City’s website. (3) Regulations prumulgated by the City Manager shall become effective ripen date of publication. A medical cannabis delivery service business shall be required to comply with all state and local laws and regulations, including hut not limited to any rules, regulations, or standards adopted by the City Manager or his designee. (h) Community Relations Requirements for Medical Cannabis Delivery Service Businesses. (1) Each medical cannabis delivery service business shall provide tIle name, telephone number, and email address of em community relations contact to whom notice of problems associated with the medical cannabis delivery service business can be provided. Each medical cannabis delivery service bLisiflesS shall also provide the above iifonnation to all businesses and residences located within 100 feet of the medical cannabis delivery service business property.
(2> During the first year of operation pursuant to this chapter, the owner, manager, and community relations representative from the medical cannabis delivery service business holding a permit issued pursuant to this chapter shall attend a quarterly meeting with the City Manager or his/her designee(s) to discuss costs, benefits, and other community issues arising as a result of implementation of this chapter. After the first year of operation, the owner, manager, and community relations representative from each medical cannabis delivery service business shall meet with the City Manager or his/her designee(s) when and as requested by the City Manager or his/her designee(s). (3) The medical cannabis delivery service businesses to which a permit is issued pursuant to this chapter shall develop and make available to youth organizations and educational institutions a public education plan that outlines the risksof youth abuse of cannabis, and that identifies resources available to youth related to drugs and drug addiction. (c) Fees Deemed Debt to City of Avalon. The amount of any fee, cost or charoe imposed pursuant to this chapter shall he deemed a debt to the City of Avalon that is recoverable via an authorized administrative process as set forth in the Municipal Code, or in any court of competent jurisdichon. (d) Permit Holder Responsible for Violations. The person or members of a business entity to whom a medical cannabis delivery service business permit is issued pursuant to this Chapter shall be responsible for all violations of the laws of the State of California or of the regulations arid/or the ordinances of the City of Avalon, whether committed by the permitted)or any employee or agent of the permittee, which violations occur in or about the premises of the rriedical cannabis delivery service business whether or not said violations occur within the perrriit holders presence. (e) Inspection arid Enforcement,
(1) The City Manager or his/her designee(s) are charged with enforcing the provisions of the Avalon City Municipal Code, or any provision thereof, may enter the location of a medical cannabis delivery service business at any time during the hours of operation without notice, and inspect the location of any medical cannabis delivery servicebusiness as well as any recordings arid records required to be maintained pursuant to this chapter or under applicable provisions of State law.
(2) It is unlawful for any person having responsibility over the operation of a medical cannabis delivery service business, to impede, obstruct, interfere with, or otherwise not to allow, the City to conduct an inspection, review or copyrecords, recordings or other documents required to be maintainect by a medical cannabis delivery service business under this chapter or under state or local law. It is also unlawful for a person to conceal, destroy, deface, damage, orfalsify any records, recordings or other documents required to he maintained by a medical cannabis delivery service business under this chapter or under state or local law. (3) The City Manager or his/her designee(s) charged with orifurcing the provisions of this Chapter nray enter the location of a medical cannabis delivery service business at any time during the hours of operation and without notice to obtain samples of the cannabis to test (or public safety purposes. Any samples obtained by the City of Avalorishall be logged, recorded, and maintained in accordance with Avalon Sheriffs Department standards for evidence. (4) Concurrent Regulation with State. It is the stated intent of this chapter to regulate medical cannabis activity in the City of Avalon concurrently with the State of California. § 5-20.130. Srnokinq in Public Places Prohibited.
[Ord. 1163”17, off. December 7, 2017]Smoking of cannabis or cannabis products is prohibited in any public place. § 5-20.140. Violations and Enforcement.
[Ord. 1l6317, off. December 7, 2017]
(a) Violations Declared a Putjhic Nuisance, Each arid every violation of the provisions of this Chapter is hereby deemed unlawful and a public nuisance.
(b) Each Violation a Separate Offense. Each and every violation of this chapter shall constitute a separate violation and shall be subject to all remedies and enforcement measures authorized by the Avalon Municipal Code. Additionally, as a nuisance per se, any violation of this chapter shall he subject to injunctive relief, any permit issued pursuant to this chapter being deemed null and void, disgorgement and payment to the City of any monies unlawfully obtained, cosls of abatement, costs of investigation, attorney fees, and any other relief or remedy available at law or in equily, The City of Avalon may also pursue any and alt remedies and actions available arid applicable under state and local laws for anyviolations committed by the medical cannabis delivery service business or persons related to, or associated with, the medical cannabis delivery service activity. Additionally, when there is determined to be an imminent threat to public hoalth, safety or wel(are, the City Manaei, hs/hec dcsiynoo, or the Sheriff, may take itvieditc action to temporarily suspend a medical cannabis delivery seivice business permit issued by the City, pending a hearing beforu the City Council.
(C) Remedies Cumulative and Not Exclusive. The remedies provided herein are not to be construed as exclusive remedies.
The City is authorized to pursue any proceedings or remedies provicied by law.
CITY OF AVALON CITY COUNCIL
ACTING AS THE HOUSING AUTHORITY
MEETING DATE: October 21, 2025 AGENDA ITEM: ______ ORIGINATING DEP: Administration CITY MANAGER: c4i PREPARED BY: Devin Hart, Senior Management Analyst
Robert Greenlaw, City Engineer
SUBJECT: 206 E. Whittley Retaining Wall Change Order
RECOMMENDED ACTION(S): 1. Authorize the City Manager or his designee to execute a first amendment to the construction contract between the City of Avalon and Jordahi Construction Inc. incorporating Change Order #1 and increasing the contract sum by $270,000 for a total not to exceed amount of $987,255. 2. Amend the Fiscal Year 25-26 Budget by allocating an additional $170,000 to Capital Improvement Project #205015, Fund #15325-6547.
REPORT SUMMARY: A multi-family property at 206 E. Whittley was purchased by the ACIA in 2008 with the intent to provide affordable housing units. In July 2019, the City Council, acting as the Housing Authority, approved final construction plans to renovate the structure.
In preparation of the total construction project, local contractors completed improvements to the sewer lateral and water lines from East Whittley to the property. As a result of this effort all utilities are onsite and at the needed capacity for the existing and the proposed additional building.
In developing the plan for a potential second building, geotechnical engineers determined the existing retaining walls at the property’s boundaries need remediation to extend their service life in the case of the existing building or replacement in the case of the new building, due to corrosion on the existing tiebacks and age of the concrete.
In order to ensure the opportunity for highest and best use of the property, Staff proposed remediation of the existing retaining wall, and additionally leveling and backfilling of an adjacent area that will widen and recapture areas of the southern portion of the East Whittley public rightof-way at the 90-degree curve. The elevation and further frontage improvements of the right-ofway will allow for on-site parking for all nine (9) future housing units (four in the original building and up to five in the new structure) and also provide three additional public parking spaces on East Whittley. Additionally, the new site plan will repurpose the existing on-street parking area and provide a convenient stopping/loading/unloading area for large delivery or trash vehicles in the roadway, as well as provide better emergency access/staging. While this widening will reduce one informal unmaintained access to the back of the Hermosa Hotel, the primary access point at the “Museum” public stairway will continue to provide a safe direct connection to the upper rear walkway of the Hermosa complex. This access point will be further improved with theproject.
A Request for Proposals to perform necessary site preparation work as well as construct the a retaining wall was issued on May 2, 2023.
Due to the complexity of the project and the formal bid requirements the project bid opening was extended until June 27, 2023. On June 27, 2023, the City Council, acting as the Housing Authority, held a Special Meeting to adopt a resolution rejecting the bids received and authorizing the City Manager to negotiate a contract with Jordahl Construction, Inc. A contract with Jordahl Construction, Inc. was executed on June 29, 2023 for a total not to exceed sum of $717,255.00.
Jordahl Construction, Inc. has been working diligently on this project. However, while working on the lower extent of the westerly side of the property it was determined the existing lower retaining wall at the property line did not have the required structural support for the proposedMSE retaining wall. In order to move forward, without impacting the Hermosa Hotel property, City Staff and Jordahl Construction, Inc. have redesigned the footing of the wall to stay well within the property boundaries. This redesign effort has resulted in Change Order #1 from Jordahl Construction, Inc. This change order proposes a modification in contract scope of $441 ,240; however, the net result to the contract is offset by portions of work not completed due to this change in condition. This offset will result in an approximate contract savings of $171,318.
If approved, Change Order #1 will increase the contract with Jordahl Construction, Inc., by $270,000 resulting in a final contract sum of $987,255.GOAL ALIGNMENT: Infrastructure reliability and safety. Affordable housing availability.
FISCAL IMPACTS: Amend the Fiscal Year 25-26 Budget will be amended by allocating an additional $170,000 to Capital Improvement Project #20515, Fund #15325-6547.CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: The City will not be able to utilize the entire parcel at its highest and best use. The expenditure of these funds will directly impact the availability of affordable housing.FOLLOW UP ACTION: Implement City Council direction.
ADVERTISING, NOTICE AND PUBLIC CONTACT: This item was properly listed on the posted agenda pursuant to the Brown Act.
ATTACHMENTS: None.