Camarillo City Council
AGENDA REPORT
Date: February 25, 2026
To: Honorable Mayor and City Councilmembers
From: Greg Ramirez, City Manager
Submitted by: Carmen Nichols, Assistant City Manager
Subject: Resolution Amending Home Occupation Permit Fees
BACKGROUND
Cities are authorized under Article XI, Sections 7 and 9 of the California Constitution to exercise local regulatory authority, including the establishment of user and regulatory fees. Under Article XIIIB, Section 8, such fees may not exceed the estimated reasonable cost of providing the service or performing the activity.
Home occupation permits are required to ensure that home-based businesses operate in compliance with the City’s zoning regulations and neighborhood compatibility standards.
These permits support entrepreneurial activity while preserving residential character.
The City periodically reviews permit fees to ensure alignment with the actual cost of service delivery.
DISCUSSION
The City is currently preparing for a comprehensive user fee study. However, given the importance of supporting small businesses and home-based entrepreneurs, staff conducted an early review of home occupation permit fees to determine whether adjustments were warranted.
The review evaluated:
Administrative processing time
OpenGov workflow efficiencies
Inspection requirements
Staff labor and overhead allocation
Amendment to Home Occupation Permit Fees
February 25, 2026
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The analysis determined that the actual administrative effort required to process home occupation permits is lower than initially projected when the prior fees were adopted. The implementation of the OpenGov permitting system has streamlined intake, review routing, communication, and record retention, resulting in measurable operational efficiencies.
As a result, staff recommends replacing the existing home occupation and cottage food permit fees with the following updated structure:
Fee Description Current Proposed
Home-Based Cottage Food $420 Eliminated
(restructured)
Home Occupation Permit – Apartment/Multi-Family Unit $150 $90 Home Occupation Permit – Single-Family $270 $110
Home Occupation Permit – Single Family/Apartment/Multi- Family – No Inspection N/A $25
The new “No Inspection Required” category reflects permits that can be approved administratively without field verification, further aligning fees with actual service delivery.
These revisions represent a meaningful reduction in costs for small, home-based businesses and demonstrate the City’s commitment to:
Supporting entrepreneurship
Removing unnecessary barriers to entry
Aligning fees with actual service delivery costs
Leveraging technology investments for community benefit This action reflects updated cost analysis and operational refinement. If approved by City Council, the fee reduction will be implemented immediately, and effective on February 26, 2025.
FISCAL IMPACT
Approval of the recommended action will reduce projected General Fund revenue associated with home occupation permits. However, the revised fees more accurately reflect the actual cost of service delivery and align with City policy limiting fees to no more than the reasonable cost of providing services.
Amendment to Home Occupation Permit Fees
February 25, 2026
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The fiscal impact is expected to be modest due to the relatively limited annual volume of these permits.
CEQA DETERMINATIONS
City staff has determined, in accordance with Section 15061(b)(3) of the California Environmental Quality Act (CEQA) Guidelines, that the amendment to fees is not subject to CEQA review because it can be seen with certainty that there is no possibility that the amendment to fees may have a significate effect on the environment.
RECOMMENDATION
Adopt a Resolution approving the Amendment to Home Occupation Fees.
ATTACHMENTS
1. Resolution
2. Exhibit A - Community Development Fees
REFERENCE MATERIALS – AVAILABLE FOR REVIEW AT CITY HALL None