welfare, in that certain existing zoning and subdivision standards are in conflict with Senate Bill No. 450, as amended by Assembly Bill No. 1061, and could create uncertainty for applicants, potential legal conflicts, and delays in implementing state-mandated housing solutions.
WHEREAS, Government Code Sections 65852.21(a)(5)(A) and 66411.7(a)(3)(F)(i), as amended by Assembly Bill No. 1061, refer to a “contributing structure” located within a historic district included on the California Register of Historical Resources or within a historic district listed or designated pursuant to a city or county ordinance; and although Chapter 21.33 (Historic Preservation) does not separately define the term “contributing structure,” the City Council finds that the principal structures located within the Alice Avenue Historic District that are not designated as landmarks fall within this category because the District was designated based on a shared historic context, reflected in its architectural character, integrity, and development pattern dating from 1917 to 1940, and such structures therefore contribute to the historic character and integrity for which the District was designated.
WHEREAS, on January 13, 2025, the City Council adopted Ordinance No. 2321 as an interim urgency ordinance, which has since been extended and remains in effect through January 1, 2027.
WHEREAS, the City Council now desires to adopt updated urgency measures to reflect subsequent changes in state law and implementation requirements, and this ordinance is intended to supersede and replace Ordinance No. 2321, as extended, in its entirety.
WHEREAS, based on the City’s application of the provisions of the prior interim ordinance and experience administering those requirements, the City Council has determined that it is appropriate and necessary to revise the standards applicable to single-family subdivisions and to eliminate the objective design standards previously applied to the singlefamily residential zoning district.
WHEREAS, pursuant to Section 65852.21(j) and Section 66411.7(n) of the California Government Code, a local agency may adopt an ordinance to implement the law.
WHEREAS, pursuant to Section 65858 of the California Government Code and Section 21.60.090 of the Campbell Municipal Code, the City Council may take appropriate action to adopt urgency measures as an interim ordinance.
WHEREAS, this interim ordinance establishes urgency measures to eliminate the imposition of non-uniform objective zoning, design, and subdivision standards, establish a 60- day timeline for local agency action, and modify requirements for demolition and environmental findings.
WHEREAS, it is not the intent of this interim ordinance to deny approvals needed for the development of projects with a significant component of multifamily housing.
WHEREAS, in light of the foregoing findings, the City Council further finds that there is a current and immediate threat to the public health, safety, or welfare, and that the approval of additional subdivisions, use permits, variances, building permits, or any other applicable Item 8.2
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entitlement for use which is in conflict with this ordinance would result in that threat to public health, safety, or welfare.
WHEREAS, adoption of this interim ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to California Government Code Section 65852.21(k), as it pertains to the implementation of Senate Bill No. 450.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAMPBELL DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1 (PURPOSE): This interim ordinance establishes temporary provisions to Title 21 (Zoning) and Title 20 (Subdivision and Land Development) of the Campbell Municipal Code to facilitate the construction of up to two residential units and the creation of urban lot splits, as specified by California Government Code Sections 66452.6, 65852.21, and 66411.7.
These provisions ensure compliance with state law by prohibiting the imposition of nonuniform objective zoning, design, and subdivision standards. The provisions of this interim ordinance shall supersede any conflicting provisions within Title 21 (Zoning) and Title 20 (Subdivision and Land Development). Zoning and design review standards in the Zoning Code that are not affected by this interim ordinance shall remain in full force and effect.
SECTION 2 (APPLICABILITY): This interim ordinance applies to the construction, alteration, and expansion of all structures, as well as to voluntary applications for urban lot splits, on all properties located within the R-1 (Single-Family Residential) Zoning District and certain properties within the P-D (Planned Development) Zoning District, with a Low Density Residential General Plan land use designation. Property owners or their authorized representatives may continue to exercise subdivision rights for conforming subdivisions in compliance with Title 20 (Subdivision and Land Development) of the Campbell Municipal Code and the California Subdivision Map Act.
SECTION 3 (GENERAL SUBDIVISION STANDARDS): This interim ordinance adopts by reference the addition of Chapter 20.13 (Subdivision Standards), the revisions to Section
20.16.030 (Action on tentative parcel maps), and the deletion of Section 20.16.035 (Exception to access requirements), as established by Interim Ordinance No. 2313 and extended by Interim Ordinance No. 2317. These changes shall remain in effect under the provisions of this interim ordinance, notwithstanding the expiration of Interim Ordinance No. 2317. Further, Section 20.36.110 (Lots—Size, shape, side lines, divisions and interior) is replaced as follows:
(a) Purpose. This section establishes objective subdivision standards related to the design of new lots and reconfiguration of existing lots.
(b) Applicability. This section applies to the creation of new lots through subdivision and to the reconfiguration of existing lots through a lot line adjustment. This section does not apply to lots created in conjunction with a housing development project subject to the Multi-Family Development Design Standards (MFDDS), as adopted pursuant to Chapter 21.07 (Housing Development Regulations).
(c) Zoning compliance. All lots created pursuant to this section shall comply with the applicable standards of Title 21 (Zoning), including minimum lot area, minimum lot Item 8.2
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width, and minimum public street frontage, except as otherwise provided by this interim ordinance.
(d) Definitions. For purposes of this section, the following terms shall have the meanings set forth below:
i. "Corner exclusion area" means the triangular area on a corner lot, as defined by Chapter 21.72 (Definitions), formed by (1) extending the two lot lines abutting the public right-of-way until they intersect; (2) measuring thirty (30) feet from that point of intersection along each such extended lot line; and (3) connecting the endpoints of those measurements with a straight line, as illustrated, below:
ii. "Existing lot line" means a lot line that existed immediately prior to the filing of a tentative map, parcel map, or lot line adjustment application. iii. "Newly created lot line" means a lot line that did not exist prior to the filing of a tentative map, parcel map, or lot line adjustment application, that extends between two points where the line meets another lot line or a public right-ofway line, or where the lot line changes direction or where curvature begins, ends, or changes. "Newly created lot line" does not include an existing lot line that forms the boundary of the parcel being subdivided solely because one or more newly created lot lines intersect that existing lot line. "Newly created lot line" also does not include a lot line created or modified by the dedication or vacation of public right-of-way.
(e) Number of lot lines resulting from a subdivision. The total number of newly created lot lines resulting from a subdivision shall not exceed the number of lots created. Each newly created lot line shall be a straight line.
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(f) Number of lot lines resulting from a lot line adjustment. The total number of newly created lot lines resulting from a lot line adjustment shall not exceed the number of parcels subject to the adjustment, even if the number of existing lot lines between the parcels is greater prior to the adjustment. Each newly created lot line shall be a straight line.
(g) Prohibited lot configurations. A subdivision or lot line adjustment shall not create or modify lot lines in a manner that results in any of the following:
i. A lot with frontage upon two public streets that is not located at the intersection of such streets.
ii. A lot divided by a city boundary line.
iii. A lot without frontage upon a public street or without independent access from a public street, including a lot with access solely across another lot. iv. A lot without sufficient emergency vehicle access from the public street, as specified by the applicable Standard Details and Specifications of the Santa Clara County Fire Department.
v. A lot where any portion of a newly created lot line is located within the corner exclusion area of the existing parcel subject to subdivision or lot line adjustment.
SECTION 4 (DEFINITIONS): The following terms shall have the meanings assigned to them in this interim ordinance and shall supersede or supplant the definitions provided in Chapter
21.72 (Definitions) of the Campbell Municipal Code.
An "attic" means that part of the interior of a building immediately below a roof, above the ceiling of a story, and within the roof framing, which is unheated and unfinished as to remain uninhabitable, and which is not accessible by a stairway or door (access may only be provided via a floor hatch with a drop-down ladder to the story below). A space not satisfying this definition shall instead be defined as a "story" or "half-story". “Completed application” means an application for a development project, including an application for a tentative parcel map or subdivision map, or a ministerial application for a Zoning Clearance, that has been deemed complete by the Community Development Director pursuant to Government Code Section 65943.
"Building separation distance" means the minimum distance between two building or structures on the same lot must be separated from each other as required by Title 21 (Zoning), including separations between accessory structures, separations between primary structures, separations between primary structures and accessory structures, and separations between accessory dwelling units and other structures. Where two buildings are diagonally situated from each other, the applicable building separation distances shall extend from the side and rear of the buildings to form a triangular "building separation area", as illustrated by Figure 1, which shall also be clear of any building or structure. The separation distance is measured as the shortest horizontal distance between the exterior walls of the two structures, except as provided in Section 21.18.040.B (Exceptions)
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Figure 1 – Building Separation Area
"Demolition" means any act or process that may cause partial or total razing, removal, destruction or dismantling of a structure, whether or not permitted by the City. Also includes construction of a new structure using portions of an existing structure pursuant to Section
18.32.010 (Definition of "New Structure Using Portions of the Original Structure"). "Dormer" means a roofed architectural projection that is set within and projects from a sloping roof plane and does not continue or extend upward from the exterior wall plane below.
A dormer may contain a window, door, louver, vent, or similar opening, as illustrated by Figure 2 (Dormer).
Figure 2 – Dormer
"Lot width" means the horizontal distance between the side lot lines, measured at right angles to the lot depth at a point midway between the front and rear lot lines. This measurement is illustrated as line B in Figure 3 (Lot Width Measurement), drawn perpendicular to the lot depth (line A) at its midpoint.
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Figure 3 – Lot Width Measurement
A= Line drawn from midpoint of front and
rear property line.
B= Line rotated 90° from (A) at midpoint.
"Open space, usable" means an area with minimum length and width dimensions of 10-feet, excluding the required front setback between the structure and the street property line, and any required landscaping area. The open space area may be occupied by recreation facilities (e.g., deck, patio, playground equipment, porch, swimming pool, etc.) provided it is open on at least two sides and not covered by a roof or canopy. When serving multiple-family dwelling units, a private open space area may be provided for each dwelling unit, or all the required space may be combined in one common area.
"Public right-of-way" means areas of land acquired by the City or other public entity by easement or fee title reserved exclusively for public use, including, but not limited to streets, street-parking, sidewalks, alleys, drainage works, landscaping, and stormwater management.
Public right-of-way shall not include areas of land encumbered by non-exclusive public easements nor by any private easements.
"Porch" means any covered entry landing where the covering extends further from the building than an allowable eave projection, as specified by Section 21.18.040.B.1 (Architectural features).
"Street, public" means a vehicular roadway identified as a "local," "collector," or "arterial" street as depicted on the General Plan Roadway Classifications Diagram (Figure T1) and defined by this Zoning Code, which is located within the public right-of-way. Does not include the "freeway" or "expressway" roadway classifications, public pedestrian/bicycle trails, or public alleyways.
"Story, half" means the uppermost story of a building located beneath a gable, hip or gambrel roof, or a combination thereof, where the wall plates on at least two opposite exterior walls are not more than four feet above the finished floor of the story for the full length of each such wall, and where exterior wall planes forming the perimeter of the story terminate at the wall plates, except for dormers, as illustrated in Figure 4 (Half Story).
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Figure 4 – Half Story
SECTION 5 (URBAN LOT SPLITS): Chapter 20.14 (Urban Lot Splits) is hereby amended in its entirety to read as set forth in the following revised Chapter 20.14 (Urban Lot Splits).
Chapter 20.14 URBAN LOT SPLITS
20.14.010 Purpose.
This Chapter implements the subdivision procedures of the California Housing Opportunity and More Efficiency (HOME) Act, originally enacted by Senate Bill No. 9 (2021), and amended by Senate Bill No. 450 (2024) and Assembly Bill No. 1061 (2025). These laws aim to streamline the subdivision processes, facilitate the creation of smaller residential lots, and encourage a diverse range of housing types, thereby expanding opportunities for affordable and efficient housing solutions.
20.14.020 Applicability.
This Chapter applies exclusively to voluntary applications for tentative parcel maps to facilitate urban lot splits in accordance with Government Code Sections 66452.6 and 66411.7.
20.14.030 Definitions.
In addition to the terms defined by Section 4 (Definitions) of this interim ordinance and Chapter 21.72 (Definitions) of the Campbell Municipal Code, the following terms shall have the following meanings as used in this Chapter. Where a conflict may exist, the definitions provided in this section shall prevail over any other definition. "Acting in concert" means persons, as defined by Section 82047 of the California Government Code as that section existed as of January 1, 2022, acting jointly to pursue development of real property whether or not pursuant to a written agreement and irrespective of individual financial interest.
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"Alteration" means any construction or physical change in the arrangement of rooms or the supporting members of a building or change in the relative position of buildings on a site, or substantial change in appearances of any building.
"Existing structure" means a lawfully constructed building that received final building permit clearance prior to January 1, 2022 and which has not been expanded on or after January 1, 2022.
"Urban lot split" means a ministerial application for a tentative parcel map to subdivide an existing parcel located within a single-family residential zone into two parcels, as authorized by Government Code Sections 66452 and 66411.7. "Nonconforming zoning condition" means a lawful physical improvement or use of land on a property that does not conform with current zoning standards as defined by Section
21.58.030 (Definitions). Also means unlawful physical improvements or use of land that may be subject to Chapter 21.70 (Enforcement).
20.14.035 Site eligibility.
A tentative parcel map for an urban lot split may only be created on parcels satisfying all of the following general requirements. Applications for parcels not satisfying these requirements shall not be accepted by the community development director pursuant to Section 21.38.040.E (Community Development Director’s determination):
A. Zoning district. A parcel that is located within the R-1 (Single-Family Residential) Zoning District, or within the P-D (Planned Development) Zoning District, provided that the parcel has a Low Density Residential General Plan land use designation, as specified in Section 21.04.020, Table 2-1 (Zoning Districts and General Plan Designations) and is not subject to a legacy permit.
B. Historic property. A parcel that is not listed on the City of Campbell Historic Resource Inventory as a Landmark, as defined by Chapter 21.33 (Historic Preservation).
C. Legal parcel. A parcel which has been legally created in compliance with this Title and the Subdivision Map Act (Government Code Section 66410 et seq.), as applicable at the time the parcel(s) was created. The City Engineer may require a certificate of compliance to verify conformance with this requirement.
D. Prior subdivision. A parcel that was not created by a parcel map approved pursuant to Government Code Section 66411.7 or by a parcel map or subdivision map pursuant to Government Code Section 66499.41.
E. Hazardous waste site. A parcel that is not identified as a hazardous waste site pursuant to Government Code Section 65962.5 or a hazardous waste site designated by the Department of Toxic Substances Control pursuant to Health and Safety Code Section 25356.
Exception: This restriction shall not apply where the parcel has been cleared for residential use or mixed-use development by the State Department of Public Health, State Water Resources Control Board, or Department of Toxic Substances Control.
F. Flood zone. A parcel that is not located within a special flood hazard area subject to inundation by the one percent annual chance flood (one hundred-year flood), as shown on official maps published by the Federal Emergency Management Agency (FEMA) Item 8.2
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Exception: This restriction shall not apply if FEMA has issued a Letter of Map Revision (LOMR) or Letter of Map Amendment (LOMA) for the parcel(s), or where a condition of tentative map approval can ensure that future dwellings constructed upon the new parcels may be made to comply with Chapter 21.22 (Flood Damage Prevention), as determined by the Floodplain Administrator.
G. Earthquake fault zone. A parcel that is not located within a delineated earthquake fault zone, as identified in official maps published by the State Geologist.
Exception: This restriction shall not apply where a condition of tentative map approval can ensure that future dwelling units constructed upon the new parcels resulting from the urban lot split will comply with the applicable seismic protection building code standards, including those adopted by the California Building Standards Commission under the California Building Standards Law (Part 2.5, commencing with Section 18901, of Division 13 of the Health and Safety Code) and Chapter 12.2 (commencing with Section 8875) of Division 1 of Title 2 of the Government Code, as determined by the Building Official.
H. Natural habitat. A parcel that is not recognized by the City as a habitat for protected species identified as candidate, sensitive, or species of special status by state or federal agencies, fully protected species, or species protected by the federal Endangered Species Act of 1973 (16 U.S.C. Section 1531 et seq.), the California Endangered Species Act (Chapter 1.5 (commencing with Section 2050) of Division 3 of the Fish and Game Code), or the Native Plant Protection Act (Chapter 10 (commencing with Section 1900) of Division 2 of the Fish and Game Code).
I. For a parcel where a prior dwelling unit(s) was demolished within the last three years, the demolished unit(s) must not have been occupied by a tenant at any time during the three years preceding the date of the tentative parcel map application for an urban lot split. The date of demolition shall be either the date a demolition permit was issued or the date the City documented that an unlawful demolition was performed without a permit.
Exception: This restriction shall not apply to housing that was destroyed by earthquake, fire, flood, wind, or other calamity or act of God or the public enemy, clearly beyond the control of the property owner.
20.14.040 Objective subdivision standards.
The new lots proposed by a tentative parcel map for an urban lot split shall comply with the minimum parcel size, minimum lot width, and minimum public frontage requirements specified by Section 6 (Objective Subdivision Standards), and all other applicable objective subdivision standards set forth in Section 3 (General Subdivision Standards), of the interim ordinance amending this Chapter.
20.14.050 General requirements and restrictions.
The following requirements and restrictions apply to all proposed urban lot splits allowed by this Chapter:
A. Adjacent parcels. Neither the owner of the parcel being subdivided nor any person acting in concert with the owner has previously conducted an urban lot split to create an adjacent parcel as provided for in this Chapter.
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B. Applicant eligibility. Notwithstanding Section 21.38.030.A (Eligibility for filing), an applicant for a tentative parcel map for an urban lot split shall be a natural person who intends to occupy one of the resulting parcels as their principal residence for a minimum of three years, as required by Government Code Section 66411.7(g)(1). The subject parcel may be owned by an individual, trust, or legal entity, including a limited liability company or corporation, provided that the owner authorizes the applicant to file the application and to sign the affidavit required by subsection E.
C. Dedication and easements. The community development director shall not require dedications of rights-of-way nor the construction of offsite improvements, however, may require recording of easements necessary for the provision of public services and facilities.
D. Existing structures. Existing structures located on a parcel subject to an urban lot split shall not be subject to a setback requirement. However, any such existing structures shall not be located across the shared property line resulting from an urban lot split, as specified by Section 21.18.040.A.5. This restriction shall not preclude the creation of adjacent or connected structures with walls meeting at a shared property line, provided that the structures meet building code safety standards sufficient to allow separate conveyance as individual dwelling units
E. Intent to occupy. Prior to recordation of a parcel map, the applicant shall sign an affidavit provided by the community development director attesting that the applicant intends to occupy one of the newly created parcels as their principal residence for a minimum of three years from the date of the approval of the urban lot split (or issuance of a certificate of occupancy for a new dwelling in the case of a vacant lot).
Exception: This requirement shall not apply to an applicant that is "community land trust," as defined in clause (ii) of subparagraph (C) of paragraph (11) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code, or a "qualified nonprofit corporation" as described in Section 214.15 of the Revenue and Taxation Code.
F. Nonconforming conditions. The City shall not require, as a condition of approval of the tentative parcel map application, the correction of nonconforming zoning conditions.
However, no new nonconforming conditions may result from the urban lot split other than as specified by Table 2 (General Development Standards – Single-Family Residential District). This provision shall not be construed as to prevent the City from taking enforcement action to remedy unlawful nonconforming zoning conditions pursuant to Chapter 21.70 (Enforcement) following tentative parcel map approval for an urban lot split.
G. Number of dwelling units. No parcel created through an urban lot split shall be allowed to include more than two existing dwelling units as defined by Government Code section 66411.7(j)(2). Any excess dwelling units that do not meet these requirements shall be relocated, demolished, or otherwise removed prior to recordation of a parcel map. As a condition of tentative parcel map approval, the community development director shall require recordation of a deed restriction on each new lot created by an urban lot split to document this restriction prior to, or concurrent with, recordation of the parcel map.
H. Park impact fee. A fee in-lieu of parkland dedication pursuant to Chapter 20.24 (Park Impact Fees and Park Land Dedication Subdivisions) is not required. However, construction of new dwelling units on lots created by an urban lot split may be subject Item 8.2
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to a park impact fee in accordance with Chapter 13.08 (Park Impact Fees and Park Land Dedication Developments).
I. Tree removal permits. Notwithstanding Section 21.32.050 (Protected trees), protected tree(s) may be removed in conjunction with an approved tentative parcel map application without a Tree Removal Permit when the tree(s) directly conflicts with emergency vehicle access to the lot or when removal is necessary to retain an existing dwelling unit, and the subdivision cannot feasibly be redesigned to preserve the tree(s).
Any approved tree removal shall occur after the City Engineer’s approval of the parcel map, but prior to its recordation. Any protected tree removed shall be subject to payment of an in-lieu fee pursuant to Section 21.32.110 (Site Limitations and In-Lieu Fee for Replacement Trees).
J. Subsequent subdivision. A parcel created through an urban lot split shall not be further subdivided pursuant to Government Code Sections 66411.7 or 66499.41. The subdivider shall sign a covenant provided by the community development director documenting this restriction. The covenant shall be recorded on the title of each parcel concurrent with recordation of the parcel map.
K. Restrictions on demolition. The proposed urban lot split shall not require the demolition or alteration of any of the following:
1. Housing that is subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of moderate, low, or very low income;
2. Housing that is subject to any form of rent or price control through a public entity's valid exercise of its police power;
3. Housing that has been occupied by a tenant in the last three years; or
4. A historic resource located on a property within a designated historic district, as defined in Chapter 21.33 (Historic Preservation).
L. Storm drain area fee. Prior to recordation of a parcel map, the applicant shall pay the required Storm Drain Area fee, as set by the City's Schedule of Fees and Charges.
M. Stormwater management. The subdivision shall comply with the requirements of the City's National Pollution Discharge Elimination System (NPDES) Permit as implemented by Chapter 14.02 (Stormwater Pollution Control), and as demonstrated by a grading and drainage plan prepared by a registered civil engineer.
N. Utilities. Utilities serving new parcels that cross property lines shall be placed in appropriate public or private easements. The requirements of the utility providers shall be satisfied prior to recordation of a parcel map.
O. Zoning and design standards. Construction of dwelling units upon the lots created by an urban lot split shall be subject to the objective zoning and design standards provided by Section 8 (Objective Zoning Standards) and Section 9 (Required Parking) of the interim ordinance adopting this provision that apply uniformly to properties in the R-1 (Single-Family Residential) Zoning District. If any such standard(s) would have the effect of physically precluding the construction of two units on either of the resulting parcels of the urban lot split or that would result in a unit size of less than 800 square feet, the provisions for an exception in Section 10 (Exceptions) of the interim ordinance adopting this provision shall be followed.
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20.14.060 Application process.
Applications for urban lot splits shall be submitted and processed in compliance with the following requirements:
A. Application type. An urban lot split shall be reviewed by the community development director as a ministerial application for a tentative parcel map, as required by Section 20.16.020 (Tentative parcel map).
B. Application filing. Applications for a tentative parcel map for an urban lot split, along with all required materials and fees, shall be filed with the community development department, in accordance with Chapter 21.38 (Application Filing, Processing, and Fees).
C. Review process. The community development director shall ministerially review tentative parcel map applications for urban lot splits in accordance with Chapter
20.16 (Parcel Map Procedures). If the community development director determines that the tentative parcel map is eligible for approval as an urban lot split and complies with the objective standards and general requirements of this Chapter, the tentative parcel map shall be approved. The community development director shall approve or deny a completed tentative parcel map application for an urban lot split within 60 days from the date the application is deemed complete. If no action is taken within the 60-day period, the application shall be deemed approved by operation of law.
D. Conditions of approval. Approval of a tentative parcel map for an urban lot split may include standard conditions of approval that are objective, non-discretionary, and broadly applicable to tentative parcel maps, as necessary to fulfill the requirements of this Chapter or any other applicable provision of the Campbell Municipal Code.
E. Approval expiration. Approval of a tentative parcel map shall be valid for a period of two years in accordance with Section 20.16.033 (Expiration of tentative parcel maps). Within this period, a parcel map must be recorded with the Office of the Santa Clara County Clerk Recorder, as specified by Section 21.56.030 (Permit time limits and extensions).
F. Final map. Following approval of a tentative parcel map, the applicant shall file for a parcel map with the public works department, including all required application materials and payment of required fees. The city engineer shall ministerially approve the parcel map if it is consistent with the community development director’s tentative parcel map approval, including any conditions of approval. Pursuant to Government Code Section 66463(b), the city engineer is authorized to accept, on behalf of the city, any easements necessary for the provision of public services and facilities, as shown on the parcel map, provided such easements are consistent with the tentative parcel map approval. City council approval of the parcel map shall not be required unless the subdivider voluntarily offers dedications of public rights-of-way.
G. Denial. The community development director may deny an application for a tentative parcel map for an urban lot split that meets the requirements of this section only if the building official makes a written finding, based upon a preponderance of the evidence, that dwelling units to be constructed upon the Item 8.2
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proposed new parcel(s) would have a specific, adverse impact, as defined and determined in paragraph (2) of subdivision (d) of California Government Code Section 65589.5, upon the public health and safety for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact. An adverse impact to the physical environment shall not be a basis for denial.
H. Appeals. A decision of the community development director on a tentative parcel map for an urban lot split is a ministerial action and not appealable.
SECTION 6 (OBJECTIVE SUBDIVISION STANDARDS): The minimum lot area, minimum lot width, and minimum public street frontage of parcels proposed in new conforming subdivisions, urban lot splits, or lot line adjustments in the R-1 (Single-Family Residential) Zoning District shall be as specified by Table 1 (Parcel Standards – Single-Family Zoning District), which shall supersede conflicting provisions in Section 21.08.040 (Residential subdivision standards).
Table 1
(Parcel Standards – Single-Family Residential Zoning District) Minimum Lot Area (1) Minimum Lot Width (2)
Zoning Map
Symbol Conforming
Subdivisions
Urban Lot Splits Conforming
Subdivisions
(3)
Urban Lot
Splits
Minimum Public
Street Frontage
R-1-6 6,000
square feet
60 feet
R-1-8 8,000
square feet
70 feet
R-1-9 9,000
square feet
70 feet
R-1-10 10,000
square feet
80 feet
R-1-16 16,000
square feet
1,200 square feet
AND
Each lot ≥ 40% of
the area of the
original parcel
80 feet
25 feet
• 25 feet (NonFlag Lots)
• 12 feet (Flag
Lots) (4)
Notes:
(1) The minimum lot area for a flag lot shall not include the access corridor portion of the lot. Further, for conforming subdivisions (i.e., those not created by an urban lot split), flag lots shall have a minimum lot area equal to ten percent (10%) greater than the minimum identified, excluding the access corridor portion of the lot.
(2) The minimum lot width for a flag (rear) lot shall not include the access corridor portion of the lot. (3) Except for lots created on the bulb of a cul-de-sac which shall be subject to a minimum lot width of 60 feet. (4) The access corridor of a flag lot shall be in fee as part of the parcel and not as an easement and shall be of a maximum width of fifteen (15) feet.
(5) Existing lots located within the boundaries of the Campbell Village Neighborhood Plan shall not be subdivided or reconfigured by a Lot Line Adjustment to create a flag lot configuration.
SECTION 7 (NUMBER OF UNITS): The number of primary dwelling units permitted on a property within the R-1 (Single-Family Residential) Zoning District shall be as follows in accordance with Government Code Sections 65852.21 and 66411.7:
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A. Minimum allowed. Up to two (2) primary dwelling units are permitted, irrespective of any conflict with the maximum density specified by the General Plan land use designation for the property, except for properties designated as a landmark or located within a historic district pursuant to Chapter 21.33 (Historic Preservation), which shall be limited to a maximum of one (1) primary dwelling unit.
B. Maximum allowed. More than two (2) primary dwelling units may be permitted if the total number does not exceed the maximum density specified by the General Plan land use designation for the property.
C. Exception. No parcel created through an urban lot split in accordance with Section 5 (Urban Lot Splits) of this interim ordinance shall be allowed to include more than two dwelling units as defined by California Government Code section 66411.7(j)(2).
D. Dwelling unit type. Primary dwelling units may take the form of detached single-family dwellings, attached townhomes, and/or duplexes. A duplex may consist of two dwelling units in a side-by-side or front-to-back configuration within the same structure or one dwelling unit located atop of another dwelling unit within the same structure.
SECTION 8 (OBJECTIVE ZONING STANDARDS): All land uses and structures, and alterations to existing land uses and structures in the R-1 (Single-Family Residential Zoning District), shall be designed, constructed, and/or established in compliance with the requirements in Table 2 (General Development Standards – Single Family Residential District), in addition to the development standards contained in Article 3 (e.g., landscaping, fences, parking and loading) and Article 4 (e.g., accessory structures), which shall supersede conflicting provisions in Section 21.08.050 (Residential development standard).
Table 2
General Development Standards – Single-Family Residential District Neighborhood Plan (1) | Zoning District Map Symbol
Not Within Within an Area Plan
an Area Plan CVNP STANP CVNP STANP (2)
Development
Standard
R-1-6 R-1-8 R-1-8 R-1-9 R-1-10 &
R-1-16
Main Structure
Maximum Height
(3)(4)
35 feet 28 feet
Main Structure
Maximum Stories 2 ½ stories 2 stories 2 ½ stories
Maximum Lot
Coverage (5) 40% 45% 35%
Maximum Floor
Area Ratio (FAR)
(5)
0.45 Minimum Useable
Open Space (6) 750 square feet (per lot)
Minimum Building
Separation
Distance (7) (8)
5 feet
Minimum Main Structure Property Line Setbacks (8) (9)
Front 20 feet 25 feet
Rear 4 feet
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Neighborhood Plan (1) | Zoning District Map Symbol
Not Within Within an Area Plan
an Area Plan CVNP STANP CVNP STANP (2)
Development
Standard
R-1-6 R-1-8 R-1-8 R-1-9 R-1-10 &
R-1-16
Interior Side (10) 4 feet
Street Side (where
applicable) 4 feet (11)
Parking Facilities
(12) 25 feet
Notes:
(1) The abbreviation "STANP" designates the San Tomas Area Neighborhood Plan and "CVNP" designates the Campbell Village Neighborhood Plan. The boundaries of both neighborhood plans are identified by Figure LU-2 (Special Planning Areas) of the General Plan. The standards and requirements provided in this table shall prevail over any conflict with a neighborhood plan, including any allowance for an exception to the maximum FAR or required setbacks. (2) Consistent with STANP Land Use Policy 'D', parcels that do not meet the minimum lot size requirement for the district in which it is located (e.g. a 6,000 square foot lot located in the R-1-10 Zoning District) may exercise the side and rear setbacks and lot coverage requirements of the zoning district in which the lot would be conforming (e.g. the setback and lot coverage requirement for a 6,000 square foot lot in an R-1-10 Zoning District would be based on the standards for the R-1-6 zoning district.) (3) See Section 21.18.050 (Exceptions to height provisions), for exceptions to the maximum height requirement.
(4) The height of main structures shall be measured from finished grade, irrespective of any neighborhood plan provision to the contrary.
(5) For properties subject to the STANP or CVNP, the maximum FAR and Lot Coverage shall be calculated excluding the access corridor of a flag lot from the net lot area. (6) See definition for "Open space, usable,” for specific standards for the required open space area. (7) This standard applies to the required separation between primary dwelling units, accessory dwelling units, and accessory structures, and any combination thereof. (8) See Section 21.18.040.B (Exceptions) for exceptions to setback and building separation distance requirements.
(9) No setback shall be required for an existing main structure, or a main structure constructed in the same location and to the same dimensions as an existing main structure. (10) No interior side setback shall be required between individual townhomes, provided that building code safety standards are satisfied as to allow conveyance as a separate fee parcel. (11) To ensure adequate site visibility for pedestrian and vehicular safety, in no circumstance shall a structure be constructed or placed within the triangular areas of a property as depicted in Figures 3-1 and 3-2 of Section 21.18.060 (Fences, walls, lattice and screens). (12) Applies to the vehicular entry to garages, carports, and uncovered parking stalls, measured perpendicularly from the public right-of-way to the nearest point of the garage door, the threshold to a carport or garage entry (without doors), or the outer edge of a parking stall, respectively. All other applicable setbacks continue to apply to these parking facilities. This setback does not apply to parking facilities with vehicular entries that are not perpendicular to the public right-of-way.
SECTION 9 (REQUIRED PARKING). The parking requirement contained in Table 3-1 (Parking Requirements by Land Use) Section 21.28.040, Table 3-1 (Parking Requirements by Land Use) is hereby amended to read as follows with strikethroughs (strikethroughs) indicating deleted text and underlining (underlining) indicating added text:
Properties in the R-1 (Single-family) dwelling
Zoning District
2 1 spaces for each unit, 1 of which shall
be covered.
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SECTION 10 (EXCEPTIONS). If any standard in this interim ordinance or the Campbell Municipal Code would physically preclude the construction of up to two primary dwelling units or prevent either unit from achieving a minimum floor area of eight hundred (800) square feet, the Community Development Director shall grant an exception to the applicable standard(s) to the minimum extent necessary to allow a unit of at least 800 square feet, as specified by this section.
A. Determination. The Community Development Director shall grant exceptions to development standards in the following priority order and only to the minimum extent necessary to resolve a physical constraint. Exceptions that do not remove a physical constraint shall not be granted.
1. Elimination of the rear setback (for parcels with a rear property line abutting a non-residentially zoned property or roadway);
2. Elimination of the interior-side setback (for parcels with a side property line abutting a non-residentially zoned property or street);
3. Reduction of the garage entry setback/minimum driveway depth to no less than 20 feet;
4. Required parking may be uncovered (rather than covered);
5. Elimination of the minimum parking requirement;
6. Increase to the maximum floor area ratio (FAR);
7. Increase to the maximum lot coverage;
8. Reduction to the minimum required private open space;
9. Increase to the number of allowable stories to three stories at a maximum height of 35 feet;
10. Allowance to remove a "protected tree(s)" pursuant to Chapter 21.32 (Tree Protection Regulations) without an otherwise required Tree Removal Permit; then
11. Reduction or elimination of any other standard not identified.
SECTION 11 (PROPERTY LINE ENCROACHMENTS): Section 21.18.040.A (Requirements) is hereby amended to add a new subsection ‘5,’ to read as follows:
5. No portion of any building, including eaves or roof overhangs, shall extend beyond a property line, or into an access easement or the public right-of-way.
SECTION 12 (CHAPTER 21.25): Chapter 21.25 (Two-Unit Housing Development) of the Campbell Municipal Code is hereby repealed.
SECTION 13 (ACCESSORY STRUCTURES). The following requirements shall prevail over any other provisions to the contrary in Section 21.36.020 (Accessory Structures):
A. Setbacks. Accessory structures shall meet all setback requirements for primary structures of the applicable zoning district in which they are located, irrespective of any conflicting requirement specified by an area or neighborhood plan.
B. Location. Accessory structures may be located anywhere on a lot, except for usable open space areas and required setbacks.
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C. Design criteria. Accessory structures shall not be subject to any design requirements.
SECTION 14 (HISTORIC PRESERVATION). Any requirement for a Historic Resource Alteration Permit to alter, expand by addition, or demolish a designated Structure of Merit pursuant to Chapter 21.33 (Historic Preservation), when proposed in association with an urban lot split or housing development pursuant to Government Code Sections 65852.21 and 66411.7, respectively, shall not apply.
SECTION 15 (LEGACY PERMITS). Notwithstanding the limitations of Section 21.56.060.E (Legacy permits), primary dwelling units constructed pursuant to a legacy permit on parcels with a General Plan land use designation that directly corresponds to the Single-Family (R-1) Residential Zoning District, as specified in Section 21.04.020, Table 2-1 (Zoning districts and General Plan designations), may be altered or expanded by addition, provided that such work complies with the development standards set forth in Section 8 (Objective zoning standards).
SECTION 16 (ZONING CLEARANCE APPROVAL): Notwithstanding Section 21.42.020 (Site and architectural review permit required) and Section 21.56.060 (Amendments to an approved project), construction of new primary dwelling unit or alteration or expansion of an existing primary dwelling in compliance with this interim ordinance shall be ministerially reviewed by consideration of a Zoning Clearance in compliance Chapter 21.40 (Zoning Clearances). If the Community Development Director determines that an application for a Zoning Clearance complies with the objective standards and general requirements of this interim ordinance and the Campbell Municipal Code and that the parcel satisfies the requirements specified in subparagraphs (B) to (K), inclusive, of paragraph (6) of subdivision (a) of California Government Code Section 65913.4, the Zoning Clearance shall be approved.
The Community Development Director shall render a decision on the Zoning Clearance application within 60 days from the date the application is deemed complete. If no action is taken within the 60-day period, the application shall be deemed approved.
SECTION 17 (ZONING CLEARANCE DENIAL): The Community Development Director may deny an application for Zoning Clearance that meets the requirements of this interim ordinance only if the Building Official issues a written finding—based on a preponderance of the evidence—that the proposed dwelling unit(s) would have a specific, adverse impact (as defined and determined in paragraph (2) of subdivision (d) of Section 65589.5) on the public health and safety, and that no feasible method exists to satisfactorily mitigate or avoid this impact. An adverse impact to the physical environment shall not be a basis for denial.
SECTION 18 (SEVERABILITY): If any section, subsection, sentence, clause, or phrase of this interim ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of the interim ordinance. The City Council hereby declares that it would have passed this interim ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional.
SECTION 19 (STATE LAW). Any provision of this interim ordinance which is inconsistent with Sections 66452.6, 65852.21, or 66411.7 of the California Government Code shall be Item 8.2
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interpreted in a manner which is the most limiting on the ability to allow construction of two units to effectuate an urban lot split, but which is consistent with State law. The provisions of this interim ordinance shall supersede and take precedence over any inconsistent provision of the Campbell Municipal Code to that extent necessary to effect the provisions of this interim ordinance for the duration of its effectiveness.
SECTION 20 (APPLICATIONS IN PROGRESS): Notwithstanding Section 21.01.050.E (Effect of Zoning Code Changes on Projects in Progress), this interim ordinance shall not apply to (1) a land use permit application that was filed with the Community Development Department and for which all required fees were paid before the effective date of this ordinance, regardless of whether the application has been deemed complete, or (2) any land use permit application submitted after that date if a related request for a determination of “new structure using portions of the original structure,” pursuant to Chapter 18.32 (Determination of Scope of Work), was filed with the Building Division before the effective date of this ordinance. Applicants may voluntarily withdraw such applications at any time and seek a partial refund of fees in compliance with Section 21.38.030.D (Refunds).
SECTION 21 (TERMINATION OF PRIOR INTERIM ORDINANCE): Interim Ordinance No. 2321, as extended by Interim Ordinance No. 2323 and No. 2339, shall no longer be in force or effect.
SECTION 22 (PUBLICATION): The City Clerk shall cause this interim ordinance or a summary thereof to be published at least once in a newspaper of general circulation within 15 days after its adoption in accordance with Government Code Section 36933.
SECTION 23 (EFFECTIVENESS): This interim ordinance shall become effective immediately upon adoption for a period of 45 days, unless extended by the City Council.
PASSED AND ADOPTED this _____ day of ____________, 2026 by the following roll call vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
APPROVED:
________________________
Daniel E. Furtado, Mayor
ATTEST:
_______________________________
Andrea Sanders, City Clerk
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Ordinance No. _____
BEING AN INTERIM ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL ADOPTING URGENCY MEASURES IMPLEMENTING SENATE BILL NO. 450, AS FURTHER MODIFIED BY ASSEMBLY BILL NO. 1061 (2025), SUPERSEDING
AND REPLACING PRIOR INTERIM REGULATIONS AND INCORPORATING REVISED
UNIFORM OBJECTIVE ZONING, SUBDIVISION, AND DESIGN STANDARDS FOR THE SINGLE-FAMILY RESIDENTIAL ZONING DISTRICT. BEING AN INTERIM ORDINANCE
OF THE CITY COUNCIL OF THE CITY OF CAMPBELL ADOPTING URGENCY MEASURES IMPLEMENTING SENATE BILL NO. 450 BY REMOVING SPECIAL
REQUIREMENTS AND PROCEDURES AND INCORPORATING UNIFORM OBJECTIVE
ZONING, SUBDIVISION, AND DESIGN STANDARDS FOR THE SINGLE-FAMILY RESIDENTIAL ZONING DISTRICT.
(FILE NO. PLN-2026-414-185)
WHEREAS, on September 16, 2021, the Governor of the State of California signed into law Senate Bill No. 9, "An act to amend Section 66452.6 of, and to add Sections 65852.21 and 66411.7 to, the California Government Code, relating to land use," which requires ministerial approval of a housing development of no more than two units in a single-family zone (proposed housing development), the subdivision of a parcel zoned for residential use into two parcels (urban lot split), or both.
WHEREAS, on September 19, 2024, the Governor of the State of California signed into law Senate Bill No. 450, "An act to amend Sections 65852.21 and 66411.7 of the California Government Code, relating to land use," which prohibits the imposition of nonuniform objective zoning, design, and subdivision standards on proposed housing developments and urban lot splits in single-family residential zones, establishes a 60-day timeline for local agency review and action, and updates requirements for demolition and environmental findings.
WHEREAS, Senate Bill No. 450 further specifies that objective zoning, design, and subdivision standards must relate to parcel design and improvements and allows local agencies to impose more permissive standards than the underlying zoning.
WHEREAS, Senate Bill No. 450 deems urban lot split and two-unit housing development applications approved if not acted upon within the 60-day period and requires agencies to provide detailed feedback for any denied applications to ensure applicants can address deficiencies.
WHEREAS, on October 10, 2025, the Governor of the State of California signed into law Assembly Bill No. 1061, "An act to amend Sections 65852.21 and 66411.7 of the California Government Code, relating to land use," which further modifies the statutory framework governing ministerial review and objective standards for certain housing developments and urban lot splits in single-family residential zones, including clarifications regarding historic resource exceptions and related procedural and applicability requirements.
WHEREAS, Government Code Sections 65852.21(a)(5)(A) and 66411.7(a)(3)(F)(i), as amended by Assembly Bill No. 1061, refer to a “contributing structure” located within a historic district included on the California Register of Historical Resources or within a historic district Item 8.2
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listed or designated pursuant to a city or county ordinance; and although Chapter 21.33 (Historic Preservation) does not separately define the term “contributing structure,” the City Council finds that the principal structures located within the Alice Avenue Historic District that are not designated as landmarks fall within this category because the District was designated based on a shared historic context, reflected in its architectural character, integrity, and development pattern dating from 1917 to 1940, and such structures therefore contribute to the historic character and integrity for which the District was designated.
WHEREAS, certain zoning and subdivision standards of the City of Campbell Zoning and Subdivision Codes, respectively, and their permitting procedures are inconsistent with Sections 65852.21 and 66411.7 of the California Government Code, as amended by Senate Bill No. 450.
WHEREAS, the provisions of Senate Bill No. 450 shall be in effect on January 1, 2025, and without locally codified objective design standards and implementation procedures, the law presents a current and immediate threat to the public peace, health, safety, and welfare, in that certain existing zoning and subdivision standards are in conflict with Senate Bill No. 450 and could create uncertainty for applicants, potential legal conflicts, and delays in implementing state-mandated housing solutions.
WHEREAS, the provisions of Senate Bill No. 450 and Assembly Bill No. 1061 went into effect on January 1, 2025 and January 1, 2026, respectively, and without locally codified objective design standards and implementation procedures consistent with these statutes, the law presents a current and immediate threat to the public peace, health, safety, and welfare, in that certain existing zoning and subdivision standards are in conflict with Senate Bill No. 450, as amended by Assembly Bill No. 1061, and could create uncertainty for applicants, potential legal conflicts, and delays in implementing state-mandated housing solutions.
WHEREAS, on January 13, 2025, the City Council adopted Ordinance No. 2321 as an interim urgency ordinance, which has since been extended and remains in effect through January 1, 2027.
WHEREAS, the City Council now desires to adopt updated urgency measures to reflect subsequent changes in state law and implementation requirements, and this ordinance is intended to supersede and replace Ordinance No. 2321, as extended, in its entirety.
WHEREAS, based on the City’s application of the provisions of the prior interim ordinance and experience administering those requirements, the City Council has determined that it is appropriate and necessary to revise the standards applicable to single-family subdivisions and to eliminate the objective design standards previously applied to the singlefamily residential zoning district.
WHEREAS, pursuant to Section 65852.21(j) and Section 66411.7(n) of the California Government Code, a local agency may adopt an ordinance to implement the law.
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WHEREAS, pursuant to Section 65858 of the California Government Code and Section 21.60.090 of the Campbell Municipal Code, the City Council may take appropriate action to adopt urgency measures as an interim ordinance.
WHEREAS, this interim ordinance establishes urgency measures to eliminate the imposition of non-uniform objective zoning, design, and subdivision standards, establish a 60- day timeline for local agency action, and modify requirements for demolition and environmental findings.
WHEREAS, it is not the intent of this interim ordinance to deny approvals needed for the development of projects with a significant component of multifamily housing.
WHEREAS, in light of the foregoing findings, the City Council further finds that there is a current and immediate threat to the public health, safety, or welfare, and that the approval of additional subdivisions, use permits, variances, building permits, or any other applicable entitlement for use which is in conflict with this ordinance would result in that threat to public health, safety, or welfare.
WHEREAS, adoption of this interim ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to California Government Code Section 65852.21(k), as it pertains to the implementation of Senate Bill No. 450.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAMPBELL DOES HEREBY ORDAIN AS FOLLOWS:
SECTION 1 (PURPOSE): This interim ordinance establishes temporary provisions to Title 21 (Zoning) and Title 20 (Subdivision and Land Development) of the Campbell Municipal Code to facilitate the construction of up to two residential units and the creation of urban lot splits, as specified by California Government Code Sections 66452.6, 65852.21, and 66411.7.
These provisions ensure compliance with state law by prohibiting the imposition of nonuniform objective zoning, design, and subdivision standards. The provisions of this interim ordinance shall supersede any conflicting provisions within Title 21 (Zoning) and Title 20 (Subdivision and Land Development). Zoning and design review standards in the Zoning Code that are not affected by this interim ordinance shall remain in full force and effect.
SECTION 2 (APPLICABILITY): This interim ordinance applies to the construction, alteration, and expansion of all structures, as well as to voluntary applications for urban lot splits, on all properties located within the R-1 (Single-Family Residential) Zoning District and certain properties within the P-D (Planned Development) Zoning District, with a Low Density Residential General Plan land use designation. Property owners or their authorized representatives may continue to exercise subdivision rights for conforming subdivisions in compliance with Title 20 (Subdivision and Land Development) of the Campbell Municipal Code and the California Subdivision Map Act.
SECTION 3 (GENERAL SUBDIVISION STANDARDS): This interim ordinance adopts by reference the addition of Chapter 20.13 (Subdivision Standards), the revisions to Section
20.16.030 (Action on tentative parcel maps), and the deletion of Section 20.16.035 (Exception to access requirements), as established by Interim Ordinance No. 2313 and extended by Interim Ordinance No. 2317. These changes shall remain in effect under the provisions of this Item 8.2
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interim ordinance, notwithstanding the expiration of Interim Ordinance No. 2317. Further, Section 20.36.110 (Lots—Size, shape, side lines, divisions and interior) is replaced as follows:
(a) Purpose. This section establishes objective subdivision standards related to the design of new lots and reconfiguration of existing lots.
(b) Applicability. This section applies to the creation of new lots through subdivision and to the reconfiguration of existing lots through a lot line adjustment. This section does not apply to lots created in conjunction with a housing development project subject to the Multi-Family Development Design Standards (MFDDS), as adopted pursuant to Chapter 21.07 (Housing Development Regulations).
(c) Zoning compliance. All lots created pursuant to this section shall comply with the applicable standards of Title 21 (Zoning), including minimum lot area, minimum lot width, and minimum public street frontage, except as otherwise provided by this interim ordinance.
(d) Definitions. For purposes of this section, the following terms shall have the meanings set forth below:
i. "Corner exclusion area" means the triangular area on a corner lot, as defined by Chapter 21.72 (Definitions), formed by (1) extending the two lot lines abutting the public right-of-way until they intersect; (2) measuring thirty (30) feet from that point of intersection along each such extended lot line; and (3) connecting the endpoints of those measurements with a straight line, as illustrated, below:
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ii. "Existing lot line" means a lot line that existed immediately prior to the filing of a tentative map, parcel map, or lot line adjustment application. iii. "Newly created lot line" means a lot line that did not exist prior to the filing of a tentative map, parcel map, or lot line adjustment application, that extends between two points where the line meets another lot line or a public right-ofway line, or where the lot line changes direction or where curvature begins, ends, or changes. "Newly created lot line" does not include an existing lot line that forms the boundary of the parcel being subdivided solely because one or more newly created lot lines intersect that existing lot line. "Newly created lot line" also does not include a lot line created or modified by the dedication or vacation of public right-of-way.
(e) Number of lot lines resulting from a subdivision. The total number of newly created lot lines resulting from a subdivision shall not exceed the number of lots created. Each newly created lot line shall be a straight line.
(f) Number of lot lines resulting from a lot line adjustment. The total number of newly created lot lines resulting from a lot line adjustment shall not exceed the number of parcels subject to the adjustment, even if the number of existing lot lines between the parcels is greater prior to the adjustment. Each newly created lot line shall be a straight line.
(g) Prohibited lot configurations. A subdivision or lot line adjustment shall not create or modify lot lines in a manner that results in any of the following:
i. A lot with frontage upon two public streets that is not located at the intersection of such streets.
ii. A lot divided by a city boundary line.
iii. A lot without frontage upon a public street or without independent access from a public street, including a lot with access solely across another lot. iv. A lot without sufficient emergency vehicle access from the public street, as specified by the applicable Standard Details and Specifications of the Santa Clara County Fire Department.
v. A lot where any portion of a newly created lot line is located within the corner exclusion area of the existing parcel subject to subdivision or lot line adjustment.
SECTION 4 (DEFINITIONS): The following terms shall have the meanings assigned to them in this interim ordinance and shall supersede or supplant the definitions provided in Chapter
21.72 (Definitions) of the Campbell Municipal Code.
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An "attic" means that part of the interior of a building immediately below a roof, above the ceiling of a story, and within the roof framing, which is unheated and unfinished as to remain uninhabitable, and which is not accessible by a stairway or door (access may only be provided via a floor hatch with a drop-down ladderlatter to the story below). A space not satisfying this definition shall instead be defined as a "story" or "half-story". “Completed application” means an application for a development project, including an application for a tentative parcel map or subdivision map, or a ministerial application for a Zoning Clearance, that has been deemed complete by the Community Development Director pursuant to Government Code Section 65943.
"Building separation distance" means the minimum distance between two building or structures on the same lot must be separated from each other as required by Title 21 (Zoning), including separations between accessory structures, separations between primary structures, separations between primary structures and accessory structures, and separations between accessory dwelling units and other structures. Where two buildings are diagonally situated from each other, the applicable building separation distances shall extend from the side and rear of the buildings to form a triangular "building separation area", as illustrated by Figure 1, which shall also be clear of any building or structure. The separation distance is measured as the shortest horizontal distance between the exterior walls of the two structures, except as provided in Section 21.18.040.B (Exceptions)
Figure 1 – Building Separation Area
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"Demolition" means any act or process that may cause partial or total razing, removal, destruction or dismantling of a structure, whether or not permitted by the City. Also includes construction of a new structure using portions of an existing structure pursuant to Section
18.32.010 (Definition of "New Structure Using Portions of the Original Structure"). "Frontage" means the portion of a lot that fronts on one side of a street, measured along the lot line between intersecting or intercepting streets, or between a street and a rightof-way, waterway, dead-end street, or city boundary. For lot types with multiple street frontages, frontage is measured along each applicable front or street-side lot line. An intercepting street shall determine only the boundary of the frontage on the side of the street that it intercepts.
"Lot types" means "corner lot," "double corner lot," "flag lot," "interior lot", "key lot," "reverse corner lot," and "through lot," as depicted in Figure 2-1 and further defined, below.
This also includes "cul-de-sac lot," and "pie-shaped lot" as depicted in Figures 1-2 and 1-3, respectively, and further defined, below, as well as a "landlocked lot" which is any lot that does not have direct access to a street. Any other lot type not defined herein shall be considered an "irregular lot".
1. "Corner Lot" means a lot located at the intersection of two streets, or upon two parts of the same street, forming an interior angle of less than 175 degrees at the corner, defined by side and rear lot lines that intersect at right angles and two lot lines that include a curved street frontage along the intersecting streets. A corner lot includes a front yard facing the street frontage with the shortest cumulative length, a street-side yard along the intersecting street, a rear yard opposite the front yard, and a side yard along the adjacent property line, as shown in Figure 2-1.
2. "Cul-de-Sac Lot" means a lot located along the curved terminus, or bulb, of a cul-desac street, with side property lines that extend radially from the center of the bulb, widening away from the street. A cul-de-sac lot includes a front yard facing the bulb of the cul-de-sac, side yards along each radial property line, and may include a rear yard opposite the front yard, as shown in Figure 2-2.
3. "Double Corner Lot" means a lot located along two parallel streets intersected by a third street, defined by street-side lot lines that intersect with the rear lot line at right Item 8.2
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angles and three street frontages. A double corner lot includes two front yards, each oriented along the ends of the lot that abut the intersecting streets, a street-side yard along the third street frontage between the front yards, and an interior side yard along the remaining property line opposite the street-side yard, as shown in Figure 2-1.
4. "Flag Lot" means a flag-shaped lot located behind another lot, with access provided by a rectangular-shaped corridor with parallel lot lines that is part of the flag lot and connects the lot to the street, defined by opposite sides that are parallel and intersecting the rear property line at right angles. A flag lot includes a front yard that is oriented along the lot line facing the access corridor, excluding the corridor itself, side yards along each parallel property line, and a rear yard opposite the front yard, as shown in Figure 2-1.
5. "Interior Lot" means a lot with a rectangular shape, defined by opposite sides that are parallel and intersecting the rear property line at right angles, with only one side abutting a street. The remaining sides share property lines with adjacent lots, with no additional street frontage. An interior lot includes a front yard facing the street, side yards along each adjacent property line, and a rear yard opposite the front yard, as shown in Figure 2-1.
6. "Key Lot" means a lot with a rectangular shape located directly behind a reversed corner lot, defined by opposite sides that are parallel and intersecting the rear property line at right angles, with only one side abutting a street and its rear property line abutting the side yard of the adjacent reversed corner lot. A key lot includes a front yard facing the street it abuts, side yards along each adjacent property line, and a rear yard opposite the front yard, as shown in Figure 2-1.
7. "Pie-Shaped Lot" means a lot fronting a curved street where the side lot lines are radial to the curve of the street, narrowing away from the street, resulting in a wedge or “pie” shape appearance. A pie-shaped lot includes a front yard along the curved street frontage, side yards along each radial property line, and a rear yard opposite the front yard, as shown in Figure 2-3.
8. "Reverse Corner Lot" means a corner lot where the rear property line abuts the side property line of an adjacent key lot. A reversed corner lot includes a front yard facing the street frontage with the shortest cumulative length, a street-side yard along the intersecting street, a rear yard opposite the front yard and abutting the adjacent key lot, and a side yard along the remaining property line, as shown in Figure 2-1.
9. "Through Lot" means any lot abutting two parallel or nearly parallel streets, with no contiguous sides abutting intersecting streets and no rear yard. A through lot includes a front yard along each street it abuts and side yards along the remaining property lines, as shown in Figure 2-1.
Figure 2-1 – Lot Types and
Yards
Figure 2-2 – Cul-de-Sac
Lots
Figure 2-3 – Pie-Shaped
Lot
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"Lot line” means the boundary that defines the limits of a lot, as classified by the applicable lot type, herein defined. Lot lines are categorized as front, side, rear, or street-side lot lines based on the configuration of the lot and its orientation to streets or adjacent lots, as defined for each lot type. Lot lines determine the application of setbacks, which in turn define the front yard, side yard, and rear yard, as illustrated by Figure 2-1, Figure 2-2, and Figure 2-
3. 1. "Front lot line" means the lot line that abuts a street and defines the front yard. For lot types with multiple street frontages or unique layouts, the front lot line is identified according to the following criteria:
• Corner Lots: The front lot line is the lot line with the shorter street frontage of the two intersecting streets or of two parts of the same street that form the corner.
• Flag Lots: The front lot line is the lot line that is parallel to the street and includes an imaginary line drawn at the interior terminus of the access corridor, extending from the edge of the access corridor to the adjacent side lot line. • Through Lots: The front lot lines are the lot lines with street frontage. • Double Corner Lots: The front lot lines are the lot lines with the shorter street frontages located at each end of the lot where it abuts intersecting streets. The lot line with the longer street frontage along the side of the lot is designated as the street-side lot line.
• Landlocked Lot: The front lot line is the lot line abutting the access easement or other access way that provides access to a street.
• Irregular Lot: The front lot line is the shortest lot line that directly abuts a street.
If the lot does not directly abut a street, the front lot line is the lot line closest to an access easement or other access way that provides access to a street.
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2. “Side lot line” means any lot line or combination of lot lines that is not otherwise defined as a front, rear, or street-side lot line.
3. “Street-side lot line" means any lot line or combination of lot lines abutting the same side of a street that is not designated as a front lot line.
4. “Rear lot line" means the lot line or combination of lot lines that opposite the front lot line. For irregularly shaped lots, the rear lot line is the lot line most distant and generally opposite the front lot line. If the lot has no clearly opposite line, the rear lot line is designated based on the line most parallel to the front lot line or, if no line is parallel, the line that provides the greatest setback area opposite the front lot line.
Exception: On a lot where the side lot lines converge to a single point at the rear of the lot, a line 10 feet long within the lot, most parallel to and at a maximum distance from the front lot line, shall be deemed to be the rear lot line for the purpose of determining the rear yard.
"Dormer" means a roofed architectural projection that is set within and projects from a sloping roof plane and does not continue or extend upward from the exterior wall plane below.
A dormer may contain a window, door, louver, vent, or similar opening, as illustrated by Figure 2 (Dormer).
Figure 2 – Dormer
"Lot width" means the horizontal distance between the side lot lines, measured at right angles to the lot depth at a point midway between the front and rear lot lines. This measurement is illustrated as line B in Figure 3 (Lot Width Measurement), drawn perpendicular to the lot depth (line A) at its midpoint.
Figure 3 – Lot Width Measurement
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A= Line drawn from midpoint of front and
rear property line.
B= Line rotated 90° from (A) at midpoint.
"Open space, usable" means an area with minimum length and width dimensions of 10-feet, excluding the required front setback between the structure and the street property line, and any required landscaping area. The open space area may be occupied by recreation facilities (e.g., deck, patio, playground equipment, porch, swimming pool, etc.) provided it is open on at least two sides and not covered by a roof or canopy. When serving multiple-family dwelling units, a private open space area may be provided for each dwelling unit, or all the required space may be combined in one common area.
"Public right-of-way" means areas of land acquired by the City or other public entity by easement or fee title reserved exclusively for public use, including, but not limited to streets, street-parking, sidewalks, alleys, drainage works, landscaping, and stormwater management.
Public right-of-way shall not include areas of land encumbered by non-exclusive public easements nor by any private easements.
"Porch" means any covered entry landing where the covering extends further from the building than an allowable eave projection, as specified by Section 21.18.040.B.1 (Architectural features).
"Setback" means the minimum distance by which a structure, parking area, or other development feature must be separated from a lot line, determined by the applicable lot type and yard orientation (e.g., front, side, street-side, or rear). Setbacks from private streets are measured from the edge of the easement. Refer to "Yard" for additional details. Figure 3 (Setbacks) illustrates the location of front, side, street-side, rear, and interior setbacks.
Figure 3 – Setbacks
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"Street, public" means a vehicular roadway identified as a "local," "collector," or "arterial" street as depicted on the General Plan Roadway Classifications Diagram (Figure T1) and defined by this Zoning Code, which is located within the public right-of-way. Does not include the "freeway" or "expressway" roadway classifications, public pedestrian/bicycle trails, or public alleyways.
"Story, half" means the uppermost story of a building located beneath a gable, hip or gambrel roof, or a combination thereof, where the wall plates on at least two opposite exterior walls are not more than four feet above the finished floor of the story for the full length of each such wall, and where exterior wall planes forming the perimeter of the story terminate at the wall plates, except for dormers, as illustrated in Figure 4 (Half Story).
Figure 4 – Half Story
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"Yards" means the open space formed by the required building setbacks, as illustrated by Figure 2-1, Figure 2-2, and Figure 2-3.
SECTION 5 (URBAN LOT SPLITS): Chapter 20.14 (Urban Lot Splits) is hereby amended in its entirety to read as set forth in the following revised Chapter 20.14 (Urban Lot Splits).
Chapter 20.14 URBAN LOT SPLITS
20.14.010 Purpose.
This Chapter implements the subdivision procedures of the California Housing Opportunity and More Efficiency (HOME) Act, originally enacted by Senate Bill No. 9 (2021), and amended by Senate Bill No. 450 (2024) and Assembly Bill No. 1061 (2025). These laws aim to streamline the subdivision processes, facilitate the creation of smaller residential lots, and encourage a diverse range of housing types, thereby expanding opportunities for affordable and efficient housing solutions.
20.14.020 Applicability.
This Chapter applies exclusively to voluntary applications for tentative parcel maps to facilitate urban lot splits in accordance with Government Code Sections 66452.6 and 66411.7.
20.14.030 Definitions.
In addition to the terms defined by Section 4 (Definitions) of this interim ordinance and Chapter 21.72 (Definitions) of the Campbell Municipal Code, the following terms shall have the following meanings as used in this Chapter. Where a conflict may exist, the definitions provided in this section shall prevail over any other definition. "Acting in concert" means persons, as defined by Section 82047 of the California Government Code as that section existed as of January 1, 2022, acting jointly to pursue development of real property whether or not pursuant to a written agreement and irrespective of individual financial interest.
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"Alteration" means any construction or physical change in the arrangement of rooms or the supporting members of a building or change in the relative position of buildings on a site, or substantial change in appearances of any building.
"Existing structure" means a lawfully constructed building that received final building permit clearance prior to January 1, 2022 and which has not been expanded on or after January 1, 2022.
"Urban lot split" means a ministerial application for a tentative parcel map to subdivide an existing parcel located within a single-family residential zone into two parcels, as authorized by Government Code Sections 66452 and 66411.7. "Nonconforming zoning condition" means a lawful physical improvement or use of land on a property that does not conform with current zoning standards as defined by Section
21.58.030 (Definitions). Also means unlawful physical improvements or use of land that may be subject to Chapter 21.70 (Enforcement).
201.1425.035 Site eligibility.
A tentative parcel map for an urban lot split may only be created on parcels satisfying all of the following general requirements. Applications for parcels not satisfying these requirements shall not be accepted by the community development director pursuant to Section 21.38.040.E (Community Development Director’s determination):
A. Zoning district. A parcel that is located within the R-1 (Single-Family Residential) Zoning District, or within the P-D (Planned Development) Zoning District, provided that the parcel has a Low Density Residential General Plan land use designation, as specified in Section 21.04.020, Table 2-1 (Zoning Districts and General Plan Designations) and is not subject to a legacy permit.
B. Historic property. A parcel that is not listed on the City of Campbell Historic Resource Inventory as a Landmark, as defined by Chapter 21.33 (Historic Preservation).
C. Legal parcel. A parcel which has been legally created in compliance with this Title and the Subdivision Map Act (Government Code Section 66410 et seq.), as applicable at the time the parcel(s) was created. The City Engineer may require a certificate of compliance to verify conformance with this requirement.
D. Prior subdivision. A parcel that was not created by a parcel map approved pursuant to Government Code Sections 66411.7 or by a parcel map or subdivision map pursuant to Government Code Section 66499.41.
E. Hazardous waste site. A parcel that is not identified as a hazardous waste site pursuant to Government Code Section 65962.5 or a hazardous waste site designated by the Department of Toxic Substances Control pursuant to Health and Safety Code Section 25356.
Exception: This restriction shall not apply where the parcel has been cleared for residential use or mixed-use development by the State Department of Public Health, State Water Resources Control Board, or Department of Toxic Substances Control.
F. Flood zone. A parcel that is not located within a special flood hazard area subject to inundation by the one percent annual chance flood (one hundred-year flood), as shown on official maps published by the Federal Emergency Management Agency (FEMA) Item 8.2
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Exception: This restriction shall not apply if FEMA has issued a Letter of Map Revision (LOMR) or Letter of Map Amendment (LOMA) for the parcel(s), or where a condition of tentative map approval can ensure that future dwellings constructed upon the new parcels may be made to comply with Chapter 21.22 (Flood Damage Prevention), as determined by the Floodplain Administrator.
G. Earthquake fault zone. A parcel that is not located within a delineated earthquake fault zone, as identified in official maps published by the State Geologist.
Exception: This restriction shall not apply where a condition of tentative map approval can ensure that future dwelling units constructed upon the new parcels resulting from the urban lot split will comply with the applicable seismic protection building code standards, including those adopted by the California Building Standards Commission under the California Building Standards Law (Part 2.5, commencing with Section 18901, of Division 13 of the Health and Safety Code) and Chapter 12.2 (commencing with Section 8875) of Division 1 of Title 2 of the Government Code, as determined by the Building Official.
H. Natural habitat. A parcel that is not recognized by the City as a habitat for protected species identified as candidate, sensitive, or species of special status by state or federal agencies, fully protected species, or species protected by the federal Endangered Species Act of 1973 (16 U.S.C. Section 1531 et seq.), the California Endangered Species Act (Chapter 1.5 (commencing with Section 2050) of Division 3 of the Fish and Game Code), or the Native Plant Protection Act (Chapter 10 (commencing with Section 1900) of Division 2 of the Fish and Game Code).
I. For a parcel where a prior dwelling unit(s) was demolished within the last three years, the demolished unit(s) must not have been occupied by a tenant at any time during the three years preceding the date of the tentative parcel map application for an urban lot split. The date of demolition shall be either the date a demolition permit was issued or the date the City documented that an unlawful demolition was performed without a permit.
Exception: This restriction shall not apply to housing that was destroyed by earthquake, fire, flood, wind, or other calamity or act of God or the public enemy, clearly beyond the control of the property owner.
20.14.040 Objective subdivision standards.
The new lots proposed by a tentative parcel map for an urban lot split shall comply with the allowable lot type, minimum parcel size, minimum lot width, and minimum public frontage requirements specified by Section 6 (Objective Subdivision Standards), and all other applicable objective subdivision standards set forth in Section 3 (General Subdivision Standards), of the interim ordinance amending this Chapter.
20.14.050 General requirements and restrictions.
The following requirements and restrictions apply to all proposed urban lot splits allowed by this Chapter:
A. Adjacent parcels. Neither the owner of the parcel being subdivided nor any person acting in concert with the owner has previously conducted an urban lot split to create an adjacent parcel as provided for in this Chapter.
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B. Applicant eligibility. Notwithstanding Section 21.38.030.A (Eligibility for filing), an applicant for a tentative parcel map for an urban lot split shall be a natural person who intends to occupy one of the resulting parcels as their principal residence for a minimum of three years, as required by Government Code Section 66411.7(g)(1). The subject parcel may be owned by an individual, trust, or legal entity, including a limited liability company or corporation, provided that the owner authorizes the applicant to file the application and to sign the affidavit required by subsection E.
B.C. Dedication and easements. The community development director shall not require dedications of rights-of-way nor the construction of offsite improvements, however, may require recording of easements necessary for the provision of public services and facilities.
C.D. Existing structures. Existing structures located on a parcel subject to an urban lot split shall not be subject to a setback requirement. However, any such existing structures shall not be located across the shared property line resulting from an urban lot split, as specified by Section 21.18.040.A.5. This restriction shall not preclude the creation of adjacent or connected structures with walls meeting at across a shared property line, provided that the structures meet building code safety standards sufficient to allow separate conveyance as individual dwelling units.
D.E. Intent to occupy. Prior to recordation of a parcel map, the applicant shall sign an affidavit provided by the community development director attesting that the applicant intends to occupy one of the newly created parcels as their principal residence for a minimum of three years from the date of the approval of the urban lot split (or issuance of a certificate of occupancy for a new dwelling in the case of a vacant lot). For applications submitted by legal entities, including but not limited to LLCs or corporations, the applicant shall designate a natural person who is a principal, member, or officer of the entity to sign the affidavit attesting that they will occupy one of the newly created parcels as their principal residence for a minimum of three years from the same date.
Exception: This requirement shall not apply to an applicant that is "community land trust," as defined in clause (ii) of subparagraph (C) of paragraph (11) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code, or a "qualified nonprofit corporation" as described in Section 214.15 of the Revenue and Taxation Code.
E.F. Nonconforming conditions. The City shall not require, as a condition of approval of the tentative parcel map application, the correction of nonconforming zoning conditions. However, no new nonconforming conditions may result from the urban lot split other than as specified by Table 2 (General Development Standards – SingleFamily Residential District). This provision shall not be construed as to prevent the City from taking enforcement action to remedy unlawful nonconforming zoning conditions pursuant to Chapter 21.70 (Enforcement) following tentative parcel map approval for an urban lot split.
F.G. Number of dwelling units. No parcel created through an urban lot split shall be allowed to include more than two existing dwelling units as defined by Government Code section 66411.7(j)(2). Any excess dwelling units that do not meet these requirements shall be relocated, demolished, or otherwise removed prior to recordation of a parcel map. As a condition of tentative parcel map approval, the community development director shall require recordation of a deed restriction on each new lot Item 8.2
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created by an urban lot split to document this restriction prior to, or concurrent with, recordation of thea parcel map.
G.H. Park impact fee. A fee in-lieu of parkland dedication pursuant to Chapter 20.24 (Park Impact Fees and Park Land Dedication Subdivisions) is not required shall be paid prior to recordation of the parcel map. However, construction of new dwelling units on lots created by an urban lot split may be subject to a park impact fee in accordance with Chapter 13.08 (Park Impact Fees and Park Land Dedication Developments).
H.I. Tree removal permits. Notwithstanding Section 21.32.050 (Protected trees), a protected tree(s) may be removed in connection conjunction with an approved tentative parcel map application without a Tree Removal Permit when the tree(s) directly conflicts with the emergency vehicle access corridor for a flag to the lot or when removal is necessary to retain an existing dwelling unit, and the subdivision cannot feasibly be redesigned to preserve the tree(s) while meeting access requirements or avoiding demolition or partial demolition of the existing dwelling unit. Any approved tree removal shall occur after the City Engineer’s approval prior to recordation of the parcel map, but prior to its recordation. Any protected tree removed shall be subject to payment of an in-lieu fee pursuant to Section 21.32.110 (Site Limitations and In-Lieu Fee for Replacement Trees).
I.J.Subsequent subdivision. A parcel created through an prior urban lot split may shall not be further subdivided pursuant to Government Code Sections 66411.7 or 66499.41 under the provisions of this Chapter. The subdivider shall sign a covenant provided by the community development director documenting this restriction. The covenant shall be recorded on the title of each parcel concurrent with recordation of the parcel map.
J.K. Restrictions on Ddemolition. The proposed urban lot split shall not require the demolition or alteration of any of the following types of housing:
1. Housing that is subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of moderate, low, or very low income;
2. Housing that is subject to any form of rent or price control through a public entity's valid exercise of its police power;
3. Housing that has been occupied by a tenant in the last three years; or.
4. A historic resource located on a property within a designated historic district, as defined in Chapter 21.33 (Historic Preservation).
G.L. Storm drain area fee. Prior to recordation of a parcel map, the applicant shall pay the required Storm Drain Area fee, as set by the City's Schedule of Fees and Charges.
H.M. Stormwater management. The subdivision shall comply with the requirements of the City's National Pollution Discharge Elimination System (NPDES) Permit as implemented by Chapter 14.02 (Stormwater Pollution Control), and as demonstrated by a grading and drainage plan prepared by a registered civil engineer.
N. Utilities. Utilities serving new parcels that cross property lines shall be placed in appropriate public or private easements. The requirements of the utility providers shall be satisfied prior to recordation of a parcel map.
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I.O. Zoning and design standards. Construction of dwelling units upon the lots created by an urban lot split shall be subject to the objective zoning and design standards provided by Section 8 (Objective Zoning Standards), and Section 9 (Required Parking), and Section 10 (Objective Design Standards) of the interim ordinance adopting this provision that apply uniformly to properties in the R-1 (SingleFamily Residential) Zoning District. If any such standard(s) would have the effect of physically precluding the construction of two units on either of the resulting parcels of the urban lot split or that would result in a unit size of less than 800 square feet, the provisions for an exception in Section 101 (Exceptions) of the interim ordinance adopting this provision shall be followed.
20.14.060 Application process.
Applications for urban lot splits shall be submitted and processed in compliance with the following requirements:
A. Application Ttype. An urban lot split shall be reviewed by the community development director as a ministerial application for a tentative parcel map, as required by Section 20.16.020 (Tentative parcel map).
B. Application Ffiling. Applications for a tentative parcel map for an urban lot split, along with all required materials and fees, shall be filed with the community development department, in accordance with Chapter 21.38 (Application Filing, Processing, and Fees). However, until such time that the City’s Schedule of Fees and Charges is updated to include a fee specific for tentative parcel maps for urban lots splits, a fee equal to fifty percent of a tentative parcel map shall be charged.
C. Review process. The community development director shall ministerially review tentative parcel map applications for urban lot splits in accordance with Chapter
20.16 (Parcel Map Procedures). If the community development director determines that the tentative parcel map is eligible for approval as an urban lot split and complies with the objective standards and general requirements of this Chapter, the tentative parcel map shall be approved. The community development director shall approve or deny a completed tentative parcel map application for an urban lot split within 60 days from the date the application is deemed complete. If no action is taken within the 60-day period, the application shall be deemed approved by operation of law.
D. Conditions of approval. Approval of a tentative parcel map for an urban lot split may include standard conditions of approval that are objective, non-discretionary, and broadly applicable to tentative parcel maps, as necessary to fulfill the requirements of this Chapter or any other applicable provision of the Campbell Municipal Code.
E. Approval expiration. Approval of a tentative parcel map shall be valid for a period of two years in accordance with Section 20.16.033 (Expiration of tentative parcel maps). Within this period, a parcel map must be recorded with the Office of the Santa Clara County Clerk Recorder, as specified by Section 21.56.030 (Permit time limits and extensions).
F. Final map. Following approval of a tentative parcel map, the applicant shall file for a parcel map with the public works department, including all required Item 8.2
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application materials and payment of required fees. The city engineer shall ministerially approve the parcel map if it is consistent with the community development director’s tentative parcel map approval, including any conditions of approval. Pursuant to Government Code Section 66463(b), the city engineer is authorized to accept, on behalf of the city, any easements necessary for the provision of public services and facilities, as shown on the parcel map, provided such easements are consistent with the tentative parcel map approval. City council approval of the parcel map shall not be required unless the subdivider voluntarily offers dedications of public rights-of-way.
G. Denial. The community development director may deny an application for a tentative parcel map for an urban lot split that meets the requirements of this section only if the building official makes a written finding, based upon a preponderance of the evidence, that dwelling units to be constructed upon the proposed new parcel(s) would have a specific, adverse impact, as defined and determined in paragraph (2) of subdivision (d) of California Government Code Section 65589.5, upon the public health and safety for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact. An adverse impact to the physical environment shall not be a basis for denial.
H. Appeals. A decision of the community development director on a tentative parcel map for an urban lot split is a ministerial action and not appealable.
SECTION 6 (OBJECTIVE SUBDIVISION STANDARDS): The minimum lot area, minimum lot width, and minimum public street frontage, and allowable lot types of parcels proposed in new conforming subdivisions, urban lot splits, or lot line adjustments in the R-1 (Single-Family Residential) Zoning District shall be as specified by Table 1 (Parcel Standards – Single-Family Zoning District), which shall supersede conflicting provisions in Section 21.08.040 (Residential subdivision standards).
Table 1
(Parcel Standards – Single-Family Residential Zoning District) Zoning
Map
Symbol
Minimum Lot Area (1) Minimum Lot Width
(2) Minimum
Public Street
Frontage
Lot Types (4)
Conforming
Subdivisions
Urban
Lot Splits
Conforming
Subdivisions
(3)
Urban
Lot
Splits
Allowed Prohibited
R-1-6 6,000
square feet
1,200
square
feet
AND
Each lot
≥ 40% of
the area
of the
original
parcel
60 feet
25 feet
• 25 feet (NonFlag Lots)
• 15 feet
(Conforming
Flag Lots) (5)
• 12 feet
(Urban Lot
Split Flag
Lots) (4)
• Interior
Lot
• Corner
Lot
• Reverse
Corner
Lot
• Flag Lot
(5) (6)
• Key Lot
• Cul-deSac Lot
• Double
Frontage
Lot
• Irregular Lot
• Landlocked
Lot
R-1-8 8,000
square feet
70 feet
R-1-9 9,000
square feet
70 feet
R-1-10 10,000
square feet
80 feet
R-1-16 16,000
square feet
80 feet
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• PieShaped
Lot
Notes:
(1) The minimum lot width area for a flag (rear) lot shall not include the access corridor portion of the lot. Further, for conforming subdivisions (i.e., those not created by an urban lot split), flag (rear) lots shall have a minimum lot area equal to ten percent (10%) greater than the minimum identified, excluding the access corridor portion of the lot.
(2) The minimum lot width for a flag (rear) lot shall not include the access corridor portion of the lot. (3) Except for lots created on the bulb of a cul-de-sac which shall be subject to a minimum lot width of 60 feet. (4) All newly created parcels and existing parcels proposed to be reconfigured by a Lot Line Adjustment shall only result in an allowed lot type. Prohibited lot types shall not be created. (5)(4) The access corridor of a flag lot shall be in fee as part of the parcel and not as an easement and shall be of a maximum width of fifteen (15) feet.
(6)(5) Existing lots located within the boundaries of the Campbell Village Neighborhood Plan shall not be subdivided or reconfigured by a Lot Line Adjustment to create a flag lot configuration.
SECTION 7 (NUMBER OF UNITS): The number of primary dwelling units permitted on a property within the R-1 (Single-Family Residential) Zoning District shall be as follows in accordance with Government Code Sections 65852.21 and 66411.7:
A. Minimum allowed. Up to two (2) primary dwelling units are permitted, irrespective of any conflict with the maximum density specified by the General Plan land use designation for the property, except for properties designated as a landmark or located within a historic district subject pursuant to Chapter 21.33 (Historic Preservation), which shall be limited to a maximum of one (1) primary dwelling unit.
B. Maximum allowed. More than two (2) primary dwelling units may be permitted if the total number does not exceed the maximum density specified by the General Plan land use designation for the property.
C. Exception. No parcel created through an urban lot split in accordance with Section 5 (Urban Lot Splits) of this interim ordinance shall be allowed to include more than two dwelling units as defined by California Government Code section 66411.7(j)(2).
D. Dwelling uUnit tType. Primary dwelling units may take the form of detached singlefamily dwellings, attached townhomes, and/or duplexes. A duplex may consist of two dwelling units in a side-by-side or front-to-back configuration within the same structure or one dwelling unit located atop of another dwelling unit within the same structure.
SECTION 8 (OBJECTIVE ZONING STANDARDS): All land uses and structures, and alterations to existing land uses and structures in the R-1 (Single-Family Residential Zoning District), shall be designeddesignated, constructed, and/or established in compliance with the requirements in Table 2 (General Development Standards – Single Family Residential District), in addition to the development standards contained in Article 3 (e.g., landscaping, fences, parking and loading) and Article 4 (e.g., accessory structures), which shall supersede conflicting provisions in Section 21.08.050 (Residential development standard).
Table 2
General Development Standards – Single-Family Residential District Item 8.2
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Development
Standard Neighborhood Plan (1) | Zoning District Map Symbol Not Within
an Area Plan
Conventional
(2)
Within an Area Plan
CVNP STANP
(3)
CVNP STANP (23)
R-1-6 R-1-8 R-1-8 R-1-9
R-1-10 &
R-1-16
Main Structure
Maximum Height
(34)(45)
35 feet 28 feet
Main Structure
Maximum Stories 2 ½ stories 2 stories 2 ½ stories
Maximum Lot
Coverage (56)
40% 45% 35%
Maximum Floor
Area Ratio (FAR)
(56)
0.45 Minimum Useable
Open Space (67)
750 square feet (per lot)
Minimum Building
Separation
Distance (7) (8)
5 feet
Minimum Main Structure Property Line Setbacks (8) (9)
Front 20 feet 25 feet
Rear 4 feet
Interior Side (10) 4 feet
Street Side (where
applicable) 4 feet (11)
Parking Facilities
(12)
25 feet
Minimum Separation Distance Between Main Structures on the Same Lot (8) For structures
located in front of or
behind each other
10 feet
For structures
located to the side
of each other
5 feet
Minimum Separation Distance Between Main Structures and Accessory Structures (8) Minimum
Separation
Required
See Section 21.36.020 (Accessory structures)
Minimum Separation Distance Between Main Structures and Accessory Dwelling Units (8) Minimum
Separation
Required
See Chapter 21.23 (Accessory Dwelling Units)
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Development
Standard Neighborhood Plan (1) | Zoning District Map Symbol Not Within
an Area Plan
Conventional
(2)
Within an Area Plan
CVNP STANP
(3)
CVNP STANP (23)
Notes:
(1) The abbreviation "STANP" designates the San Tomas Area Neighborhood Plan and "CVNP" designates the Campbell Village Neighborhood Plan. The boundaries of both neighborhood plans are identified by Figure LU-2 (Special Planning Areas) of the General Plan. The standards and requirements provided in this table shall prevail over any conflict with a neighborhood plan, including any allowance for an exception to the maximum FAR or required setbacks. (2) The term "Conventional" refers to any R-1 zoned property not subject to a neighborhood plan. (3)(2) Consistent with STANP Land Use Policy 'D', parcels that do not meet the minimum lot size requirement for the district in which it is located (e.g. a 6,000 square foot lot located in the R-1-10 Zoning District) may exercise the side and rear setbacks and lot coverage requirements of the zoning district in which the lot would be conforming (e.g. the setback and lot coverage requirement for a 6,000 square foot lot in an R-1-10 Zoning District would be based on the standards for the R-1-6 zoning district.) (4)(3) See Section 21.18.050 (Exceptions to height provisions), for exceptions to the maximum height requirement.
(5)(4) The height of main structures shall be measured from finished grade, irrespective of any neighborhood plan provision to the contrary.
(6)(5) For properties subject to the STANP or CVNP, the maximum FAR and Lot Coverage shall be calculated excluding the access corridor ("stem") portion of a flag (ear) lot from the net lot area. (7)(6) See definition for "Open space, usable,” for specific standards for the required open space area. (7) This standard applies to the required separation between primary dwelling units, accessory dwelling units, and accessory structures, and any combination thereof. (8) See Section 21.18.040.B (Exceptions) for exceptions to setback and building separation distance requirements.
(9) No setback shall be required for an existing main structure, or a main structure constructed in the same location and to the same dimensions as an existing main structure. (10) No interior side setback shall be required for between individual townhomesuses, provided that building code safety standards are satisfied as to allow conveyance as a separate fee parcel. (11) To ensure adequate site visibility for pedestrian and vehicular safety, in no circumstance shall a structure be constructed or placed within the triangular areas of a property as depicted in Figures 3-1 and 3-2 of Section 21.18.060 (Fences, walls, lattice and screens). (12) Applies to the vehicular entry to garages, carports, and uncovered parking stalls, as measured perpendicularly from the public right-of-way to the nearest point of the garage door, the threshold to a carport or garage entry (without doors), or the outer edge of a parking stall, respectively. All other applicable setbacks continue to apply to these parking facilities. This setback does not apply to parking facilities with vehicular entries that are not perpendicular to the public right-of-way.
SECTION 9 (REQUIRED PARKING). The parking requirement contained in Table 3-1 (Parking Requirements by Land Use) Section 21.28.040, Table 3-1 (Parking Requirements by Land Use) is hereby amended to read as follows with strikethroughs (strikethroughs) indicating deleted text and underlining (underlining) indicating added text:
Properties in the R-1 (Single-family) dwelling
Zoning District
2 1 spaces for each unit, 1 of which shall
be covered.
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SECTION 10 (OBJECTIVE DESIGN STANDARDS). The following objective design standards apply to the construction of new primary dwelling units, as well as to additions or alterations to existing primary dwelling units, on properties subject to the San Tomas Area Neighborhood Plan or the Campbell Village Neighborhood Plan, except for subsection O (Windows), which shall apply to all properties in the R-1 (Single-Family Residential) Zoning District.
A. Balconies and decks. Rooftop terraces and decks are prohibited. Balconies shall only be permitted on the front elevation and shall incorporate solid obscure side walls (i.e., open railing is prohibited). Further, for properties subject to the Campbell Village Neighborhood Plan, balconies and decks are prohibited along any elevation of a single-family dwelling that abuts a side property line adjoining an R-1 zoned property and within 20 feet of a rear property line adjoining a R-1 zoned property. Balconies or decks that are entirely inset behind a building wall such that there is no opening along a side or property line are not subject to this prohibition.
B. Building colors. No more than two paint colors may be applied per wall, excluding trim.
Additions to existing single-family dwellings shall incorporate the same building colors as the existing structure or otherwise comply with the requirements of this provision.
C. Columns and pillars. Exterior columns and/or pillars shall not exceed a height of 14 feet or the plate height of the first-story, whichever is less.
D. Finished floor. The finished floor of the first-story shall not exceed 18 inches in height as measured from finished grade.
E. Front entryway. A door-surround framing a front door shall not exceed 14 feet in height as measured from finished grade.
F. Front doors. Front door openings shall not exceed a width of 6 feet or a height of 9 feet.
G. Front porch. Porches shall have a minimum depth of 5 feet, if proposed.
H. Garage width. The following standard shall apply to the construction of new singlefamily dwellings with attached garages:
1. Standard. The linear width of an attached garage shall not exceed 50% or 40% of the linear width of a single-family dwelling, for properties subject to the San Tomas Area Neighborhood Plan or the Campbell Village Neighborhood Plan, respectively, unless the design features identified in subsection '2' are incorporated. For the purposes of this section, the linear width of the dwelling shall be measured as the full extent of the building's front elevation, including the attached garage, regardless of any variations in building wall planes, as illustrated in the graphic below. The linear width of the garage shall include the width of the garage door(s) and any additional wall area that is part of the garage structure, extending from the edge of the garage door to the outermost point of the garage wall.
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2. Alternative. In-lieu of the specified maximum garage width, the following alternative design elements may be incorporated:
a. The linear width of the garage, as described in subsection 1, shall be recessed from the remainer of the single-family dwelling by a minimum of five feet forming offset building walls; or
b. A trellis consisting of wood or metal attached to the single-family dwelling shall be installed over the entire extent of the garage door.
3. Exception. The requirements of this section shall not apply when the garage door is oriented away from the street (i.e., a "side entry").
I. Garage conversions. When an attached garage is converted to living area, the existing garage door shall be permanently removed. The opening left by the garage door shall be filled in with wall cladding, building color(s), and window frames that are identical to those used on the primary dwelling, matching the materials, colors, and dimensions of existing exterior walls and windows to remove any appearance of a garage J. Grading. Changes in elevation from the natural grade (AMSL) shall be limited to the minimum extent necessary to ensure that stormwater drains away from buildings and is retained on-site, preventing runoff onto adjacent properties, as demonstrated by a grading and drainage plan prepared by a registered civil engineer.
K. Plate height. The plate height of each story for a new single-family dwelling shall be limited to 12 feet as measured from finished floor. The plate height of an addition to an existing single-family dwelling shall match the plate height of the existing structure.
L. Roof forms. For new dwellings, roof designs shall be limited to cross-hipped or hipped and valley forms with a slope between 4:12 and 8:12. Gabled and dormer elements are permitted, but all other roof forms are prohibited. Additions to existing dwellings shall match the primary roof form and pitch of the existing structure.
M. Roof materials. For new dwellings, no more than two (2) roofing materials shall be used, limited to asphalt composite shingles, photovoltaic shingles, standing seam metal, clay tile, concrete tile, and slate shingles. All other roofing materials are prohibited. Additions shall incorporate the same roofing material as the existing dwelling or otherwise comply with the requirements of this provision.
N. Wall materials. For new dwellings, no more than two exterior wall materials shall be used, limited to stucco, horizontal or vertical fiber cement siding (in any profile), horizontal or vertical wood siding (in any profile), and horizontal or vertical engineered (composite) wood siding (in any profile). Stacked stone or brick veneer may be used Item 8.2
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as an accent material, limited to the lower half of the first story. Additions to existing dwellings shall incorporate the same combination materials as the existing structure or otherwise comply with the requirements of this provision.
O. Windows. Windows on stories above the first-story that are less than eight feet from rear or interior-side property lines shall have a sill height of six feet from finished floor.
SECTION 101 (EXCEPTIONS). If any standard in this interim ordinance or the Campbell Municipal Code would physically preclude the construction of up to two primary dwelling units or prevent either unit from achieving a minimum floor area of eight hundred (800) square feet, the Community Development Director shall grant an exception to the applicable standard(s) to the minimum extent necessary to allow a unit of at least 800 square feet, as specified by this section.
A. Determination. The Community Development Director shall grant exceptions to development standards in the following priority order and only to the minimum extent necessary to resolve a physical constraint. Exceptions that do not remove a physical constraint shall not be granted.
1. Elimination of the rear setback (for parcels with a rear property line abutting a non-residentially zoned property or roadway);
2. Elimination of the interior-side setback (for parcels with a side property line abutting a non-residentially zoned property or street);
3. Reduction of the front/rear building separation between structures to 5 feet;
4.3. Reduction of the garage entry setback/minimum driveway depth to no less than 20 feet;
5.4. Required parking may be uncovered (rather than covered);
6.5. Elimination of the minimum parking requirement;
7.6. Increase to the maximum floor area ratio (FAR);
8.7. Increase to the maximum lot coverage;
9.8. Reduction to the minimum required private open space;
10.9. Increase to the number of allowable stories to three stories at a maximum height of 35 feet;
11.10. Allowance to remove a "protected tree(s)" pursuant to Chapter 21.32 (Tree Protection Regulations) without an otherwise required Tree Removal Permit; then
12.11. Reduction or elimination of any other standard not identified.
SECTION 112 (PROPERTY LINE ENCROACHMENTS): Section 21.18.040.A (Requirements) is hereby amended to add a new subsection ‘5,’ to read as follows:
5. No portion of any building, including eaves or roof overhangs, shall extend beyond a property line, or into an access easement or the public right-of-way.
SECTION 123 (CHAPTER 21.25): Chapter 21.25 (Two-Unit Housing Development) of the Campbell Municipal Code is hereby repealed.
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SECTION 13 (ACCESSORY STRUCTURES). The following requirements shall prevail over any other provisions to the contrary in Section 21.36.020 (Accessory Structures):
A. Setbacks. Accessory structures shall meet all setback requirements for primary structures of the applicable zoning district in which they are located, irrespective of any conflicting requirement specified by an area or neighborhood plan.
B. Location. Accessory structures may be located anywhere on a lot, except for usable open space areas and required setbacks.
C. Design criteria. Accessory structures shall not be subject to any design requirements.
SECTION 14 (HISTORIC PRESERVATION). Any requirement for a Historic Resource Alteration Permit to alter, expand by addition, or demolish a designated Structure of Merit pursuant to Chapter 21.33 (Historic Preservation), when proposed in association with an urban lot split or housing development pursuant to Government Code Sections 65852.21 and 66411.7, respectively, shall not apply.
SECTION 15 (LEGACY PERMITS). Notwithstanding the limitations of Section 21.56.060.E (Legacy permits), primary dwelling units constructed pursuant to a legacy permit on parcels with a General Plan land use designation that directly corresponds to the Single-Family (R-1) Residential Zoning District, as specified in Section 21.04.020, Table 2-1 (Zoning districts and General Plan designations), may be altered or expanded by addition, provided that such work complies with the development standards set forth in Section 8 (Objective zoning standards).
SECTION 164 (ZONING CLEARANCE APPROVAL): Notwithstanding Section 21.42.020 (Site and architectural review permit required) and Section 21.56.060 (Amendments to an approved project), construction of new primary dwelling unit or alteration or expansion of an existing primary dwelling in compliance with this interim ordinance shall be ministerially reviewed by consideration of a Zoning Clearance in compliance Chapter 21.40 (Zoning Clearances). If the Community Development Director determines that an application for a Zoning Clearance complies with the objective standards and general requirements of this interim ordinance and the Campbell Municipal Code and that the parcel satisfies the requirements specified in subparagraphs (B) to (K), inclusive, of paragraph (6) of subdivision (a) of California Government Code Section 65913.4, the Zoning Clearance shall be approved.
The Community Development Director shall render a decision on the Zoning Clearance application within 60 days from the date the application is deemed complete. If no action is taken within the 60-day period, the application shall be deemed approved.
SECTION 175 (ZONING CLEARANCE DENIAL): The Community Development Director may deny an application for Zoning Clearance that meets the requirements of this interim ordinance only if the Building Official issues a written finding—based on a preponderance of the evidence—that the proposed dwelling unit(s) would have a specific, adverse impact (as defined and determined in paragraph (2) of subdivision (d) of Section 65589.5) on the public health and safety, and that no feasible method exists to satisfactorily mitigate or avoid this impact. An adverse impact to the physical environment shall not be a basis for denial.
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SECTION 186 (SEVERABILITY): If any section, subsection, sentence, clause, or phrase of this interim ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of the interim ordinance. The City Council hereby declares that it would have passed this interim ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional.
SECTION 197 (STATE LAW). Any provision of this interim ordinance which is inconsistent with Sections 66452.6, 65852.21, or 66411.7 of the California Government Code shall be interpreted in a manner which is the most limiting on the ability to allow construction of two units to effectuate an urban lot split, but which is consistent with State law. The provisions of this interim ordinance shall supersede and take precedence over any inconsistent provision of the Campbell Municipal Code to that extent necessary to effect the provisions of this interim ordinance for the duration of its effectiveness.
SECTION 18 20 (APPLICATIONS IN PROGRESS): Notwithstanding Section 21.01.050.E (Effect of Zoning Code Changes on Projects in Progress), this interim ordinance shall not apply to (1) a land use permit application that was filed with the Community Development Department and for which all required fees were paid before the effective date of this ordinance, regardless of whether the application has been deemed complete, or (2) any land use permit application submitted after that date if a related request for a determination of “new structure using portions of the original structure,” pursuant to Chapter 18.32 (Determination of Scope of Work), was filed with the Building Division before the effective date of this ordinance. Applicants may voluntarily withdraw such applications at any time and seek a partial refund of fees in compliance with Section 21.38.030.D (Refunds).
SECTION 21 (TERMINATION OF PRIOR INTERIM ORDINANCE): Interim Ordinance No. 2321, as extended by Interim Ordinance No. 2323 and No. 2339, shall no longer be in force or effect.
SECTION 19 22 (PUBLICATION): The City Clerk shall cause this interim ordinance or a summary thereof to be published at least once in a newspaper of general circulation within 15 days after its adoption in accordance with Government Code Section 36933.
SECTION 20 23 (EFFECTIVENESS): This interim ordinance shall become effective immediately upon adoption for a period of 45 days, unless extended by the City Council.
PASSED AND ADOPTED this _____ day of ____________, 2025 by the following roll call vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
APPROVED:
________________________
Daniel E. Furtado, Mayor
ATTEST:
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_______________________________
Andrea Sanders, City Clerk
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To: Historic Preservation Board Date: January 28, 2026
From: Daniel Fama, Senior Planner
Approved: Rob Eastwood, Community Development Director
Subject: Changes to State Law Regarding Historic Resources – Assembly Bill (AB) 1061
BACKGROUND
In 2021, the State adopted Senate Bill 9 (SB 9), which requires cities to allow any property in a single-family residential zone to be developed with up to two homes and/or be subdivided into two lots. These projects must be approved ministerially, meaning without public hearings or subjective architectural review. However, cities were allowed to exempt historic properties, including both individually designated landmarks and properties within a historic district.
In 2024, Senate Bill 450 (SB 450) amended SB 9 to strengthen and standardize the law’s implementation. It prohibits cities from applying special standards that do not also apply to all other homes in the same zone. This effectively removes a city’s ability to treat SB 9 / SB 450 projects as distinct from any other single-family development, except in the case of historic properties, which remained exempt from these requirements.
In 2025, the Legislature adopted Assembly Bill 1061 (AB 1061) to address concerns that some cities were using broad historic designations to avoid the ministerial requirements that now govern all single-family development. AB 1061 narrows the historic exemption so that it applies only to individually designated (state or local) landmarks and to contributing structures within a designated historic district. Properties with lesser historic designations are no longer exempt and must be treated in the same manner as any other single-family property. As a result, their designation no longer provides regulatory protection against alteration or demolition, as discussed below.
DISCUSSION
The following describes how these changes apply to each category of locally recognized historic resources within the City’s single-family zoning district. This excludes many of the properties in the broader Downtown Campbell area, which are not zoned single-family.
Individually Designated Landmarks:
Properties designated as local or state landmarks remain fully exempt from all provisions of SB 9 / SB 450. This includes parcels both within and outside of the Alice Avenue Historic District.
Proposed alterations or demolition of these structures continue to require a Historic Resource Alteration Permit and remain subject to discretionary review, public hearing, and conditions of approval consistent with current City practice. No changes to local authority apply to these properties.
MEMORANDUM
Community Development Department
Planning Division
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HPB Memorandum – January 28, 2025 Page 2
Contributing Structures in the Alice Avenue Historic District:
Properties within the Alice Avenue Historic District that are not individually designated as landmarks remain protected as "contributing structures." 1 Exterior alterations, additions, or
demolition continue to require a Historic Resource Alteration Permit, and the City retains full discretionary authority to review and condition such work. However, AB 1061 introduces one limited exception by allowing these properties to be subdivided, provided the urban lot split does not require demolition or alteration of the contributing structure. Aside from this narrow allowance, the City’s existing preservation authority over these buildings remains unchanged. This exception would apply to 35 non-landmark properties in the Alice Avenue Historic District.
Structures of Merit
Properties designated as Structures of Merit are no longer exempt from the ministerial provisions of SB 9 / SB 450. These properties must now be processed without discretionary review, including for demolition or substantial alteration, as any other single-family residential property. The City may not require a Historic Resource Alteration Permit or impose any design standards beyond those that apply to single-family properties generally. While these structures may still be eligible for incentive programs such as Mills Act contracts or zoning exceptions, their designation no longer provides any regulatory protection from physical alteration or demolition.
Of the 143 historic resources on the City’s Historic Resources Inventory (HRI), 89 are designated as Structures of Merit, and 27 of these are located within the single-family zoning district and are therefore directly affected by AB 1061. However, two of the properties are subject to existing Mills Act contracts, which remain valid notwithstanding AB 1061.
NEXT STEPS
In the immediate term, the forthcoming update to the City’s interim ordinance governing implementation of the SB 9 / SB 450 framework will treat Structures of Merit in single-family zones in the same manner as other single-family residences.
Looking ahead, the pending update to the City’s Historic Preservation Ordinance may need to be revisited, as its current approach was developed under a different understanding of state law. Any future discussion with the City Council may also need to address the role of the Mills Act program as a means to encourage voluntary preservation, given that the City now lacks regulatory authority over many Structures of Merit.2 Staff also no longer anticipates pursuing a separate set of objective design standards for historic residences, since the authority to adopt such standards applies only to historic districts listed in the California Register.3 These discussions will likely remain delayed while staff continues work on higher-priority state housing law implementation. 1 Government Code §§ 65852.21(a)(5)(A) and 66411.7(a)(3)(F)(i) refer to a “contributing structure located within either a historic district that is included on the California Register of Historical Resources or within a historic district listed or designated pursuant to a city or county ordinance.” In the Alice Avenue Historic District, all non-landmark properties fall within this category because they were identified as historically valuable based on a shared historic context, reflected in the district’s architectural character, integrity, and development pattern dating from 1917 to 1940. 2Relatedly, the City’s regulatory authority is further constrained by SB 79, which, for State-allowed high-density housing projects within one-half mile of a light-rail station, limits historic resource protections to properties designated on a local register as of January 1, 2025.
3 Government Code Section 65852.21(b)(4) allows cities to adopt objective standards to preserve the character of a historic district, but only if that district is listed in the California Register of Historical Resources. This provision appears to allow cities to impose compatible form and design standards on noncontributing properties within such districts. However, because the Alice Avenue Historic District is not listed in the California Register, this provision does not apply in Campbell.
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Prepared by Realty World SJR-Constantino Team with AI assistance, reviewed by the agent. As licensed real estate brokers, we do not provide legal, tax, financial, or insurance advice. Property owners and recipients are encouraged to consult a licensed attorney, CPA, or other qualified professional for advice specific to their circumstances. Parcel information sourced from the Santa Clara County Assessor (Book 412, Page 37, Effective Roll Year 2025-2026); please independently verify.
May 17, 2026
Mayor and Members of the City Council
City of Campbell
70 North First Street
Campbell, CA 95008
Re: Letter of Support – Irregular Lot Subdivision Ordinance Dear Mayor and Members of the City Council,
I am writing to express my support for the proposed ordinance that would modify the City’s subdivision standards for irregular lots. Please include this letter in the agenda packet and the public record for the Council’s consideration.
I am a licensed real estate broker and the listing agent for the property located at 715 Cambrian Drive, Campbell, CA (APN 412-37-014), zoned R-1-8 within the Campbell Village Neighborhood Plan. The parcel is approximately 19,000 square feet with roughly 80 feet of frontage and has been classified by the City as an irregular lot.
Updating Campbell’s subdivision standards to address irregular lots is a sensible, forward-looking step. It aligns the City’s code with state housing policy, provides clearer guidance for property owners and applicants, and supports thoughtful infill housing in established neighborhoods. I appreciate the time staff and the Council have devoted to this work.
In connection with this, I would respectfully ask the Council and staff to confirm that, once the ordinance is adopted, a parcel with the characteristics of 715 Cambrian Drive – irregular shape, approximately 19,000 square feet, and roughly 80 feet of public frontage – would be considered eligible for an SB 450 urban lot split, subject to survey and engineering confirmation of the 40/60 area ratio, minimum lot width, and other applicable standards. Clarity on this point in the staff report or Council’s discussion would be helpful to property owners and applicants throughout Campbell.
I am not seeking any approval, entitlement, or variance through this letter. I simply wish to add my voice in support of the measure. Thank you for your continued leadership on housing policy in Campbell.
Respectfully submitted,
Kristen Constantino
Licensed Real Estate Broker, DRE #00914309
Realty World SJR-Constantino Team
1911 Willow Street, San Jose, CA 95125
Phone: 408-489-7653 | Email: [email protected]
Listing Representative, 715 Cambrian Drive, Campbell, CA Item 8.2
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Prepared by Realty World SJR-Constantino Team with AI assistance, reviewed by the agent. As licensed real estate brokers, we do not provide legal, tax, financial, or insurance advice. Property owners and recipients are encouraged to consult a licensed attorney, CPA, or other qualified professional for advice specific to their circumstances. Parcel information sourced from the Santa Clara County Assessor (Book 412, Page 37, Effective Roll Year 2025-2026); please independently verify.
Exhibit A – Assessor Parcel Map, 715 Cambrian Drive
Santa Clara County Assessor – Book 412, Page 37 – Effective Roll Year 2025-2026.
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Prepared by Realty World SJR-Constantino Team with AI assistance, reviewed by the agent. As licensed real estate brokers, we do not provide legal, tax, financial, or insurance advice. Property owners and recipients are encouraged to consult a licensed attorney, CPA, or other qualified professional for advice specific to their circumstances. Parcel information sourced from the Santa Clara County Assessor (Book 412, Page 37, Effective Roll Year 2025-2026); please independently verify.
Exhibit B – Detail View: 715 Cambrian Drive (APN 412-37-014) Enlarged view of the subject parcel and its surroundings along Cambrian Drive, with APN 412-37-014 indicated. The view shows the irregular lot shape, Cambrian Drive frontage, and adjacent parcels.
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A Letter to the Campbell City Council
Raj Nolambur & Usha Gullapalli • 1273 Peggy Avenue, Campbell • May 2026 Dear Honorable Council Members,
My name is Raj Nolambur. My wife Usha and I live at 1273 Peggy Avenue — a quiet, family-friendly street lined with mature trees that we love and intend to call home for many years to come. We are writing because we need your help with something that should be straightforward but has been waiting 14 months.
We are applying for a lot split under SB 9. We meet every statutory condition the law requires, but cannot move forward because a narrow technical standard in the current Campbell ordinance has prevented our application from being processed — and we are asking the council to adopt the simple fix that the planning team has already designed.
Our Property and our proposal
Our ~20,000 sq ft lot has two fully permitted, independent structures that have always been there:
• Unit A — A 560 sq ft, 2-bed cottage at the front on Peggy Avenue with its own entrance and utilities • Unit B — A fully remodeled 2,750 sq ft, 4-bed/3-bath home at the rear — our primary residence We want to draw one straight dividing line between the two structures, creating two separate legal parcels. One line. Two parcels.
Parcel A (front, ~8,000 sf): For a future owner — or our out-of-state family who hope to live close to us.
Parcel B (rear, ~11,000 sf): Our home, where we stay as owner-occupants.
Tentative Parcel Map — 1273 Peggy Avenue ( March 2025) | Drexyl Ekparian, CE-PLS Item 8.2
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What We Have Done and the Wait We Have Endured
We paid approximately $20,000 for a professional survey in early 2025 and submitted our application in March 2025 and were told it is not feasible, referencing the Interior Lot right-angle requirement in Ordinance 2321. We acknowledged the city anticipated a code update — originally expected in August 2025. We have since waited patiently through successive deferrals of the new ordinance, with no solution in sight yet.
Throughout our ordeal, Campbell planning staff — Assistant Planner Larissa Lomen and Senior Planner Daniel Fama — have been professional, genuinely helpful, and clearly dedicated to this community despite navigating complex state housing law while short-staffed. We are deeply grateful for their assistance and patience.
The Only Thing Standing in the Way
When this part of Campbell was first surveyed in 1883, Peggy Avenue was laid out at a slight angle — about 11 degrees from true north. Every lot on this street inherited that tilt. The current ordinance requires a flag lot’s access corridor to intersect the rear property line at a perfect right angle. On our lot, that intersection measures approximately 78.5 degrees.
Per the planning team, it is caused entirely by fixed existing property boundaries and is mathematically impossible to correct.
The City of Campbell recognizes that the current ordinance language is flawed and has proposed a simple fix: require that new lot lines be straight — not curved. It removes a technicality that was never intended to block sensible, neighborfriendly subdivisions, and replaces it with a standard that reflects what actually matters: that lot lines be clear, straight, and unambiguous. Our lot lines have always been exactly that! The fix: require new lot lines to be straight — not curved. Our lot lines have always been straight. The solution is ready. The family is ready. We are simply asking the council to adopt it.
Our Plea to You
California’s SB 450 requires cities to process SB 9 applications ministerially and prohibits standards that physically preclude a qualifying lot split — with remedies available through HCD’s Housing Accountability Unit. We have not pursued those remedies. We have chosen to work cooperatively with Campbell, trusting this council. But fourteen months and $20,000 later, our family cannot wait indefinitely.
Please adopt the proposed ordinance on June 2 — or as soon as possible.
Doing so fulfills the very purpose SB 9 was enacted to serve. Every month of delay locks this housing opportunity — and others like it across Campbell — behind a technicality the planning team has already solved.
We would be honored to speak at the June 2 meeting. We welcome any questions, and we warmly invite any council member to visit 1273 Peggy Avenue and see the property for themselves.
Thank you for your service to this community, and for reading our letter. With deep respect and gratitude, Raj Nolambur
1273 Peggy Avenue, Campbell, CA 95008
[email protected]
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1 Daniel Fama
From:
Sent:
To:
Subject:
Attachments:
Akim Allen
Tuesday, May 19, 2026 11:45 PM
Daniel Fama
*Public Comment for June 2, 2026 City Council Meeting – Support for Restoring Subdivision Rights for Irregular Lots
Photo 2.pdf
Dear City of Campbell City Council and Planning Division, I am writing to respectfully request that the City of Campbell restore subdivision rights for irregular lots.
Property owners should retain the right to utilize qualifying land regardless of boundary configuration, provided a proposed subdivision complies with objective dimensional standards and does not constitute a specific adverse impact on public health or safety.
I have a direct and immediate stake in this matter as the owner of 1500 W. San Tomas Aquino Road. The current restrictions on irregularly shaped parcels create artificial barriers to achieving fair market value and maximizing land-use efficiency for an estate that has been in my family since 1960. The outcome of the upcoming June 2nd meeting bears a direct, material impact on the long-term planning, stability, and feasibility of developing this parcel.
The Disproportionate Impact of a One-Size-Fits-All Rule: My property encompasses 18,730 square feet—nearly half an acre. The irregular portion of the lot represents a relatively small section of an otherwise large, functional, and clearly subdividable parcel. Applying a blanket prohibition on subdivision solely due to a minor irregular boundary prevents the full development potential of the property from being realized based on an administrative technicality, rather than the actual physical feasibility of the site. Campbell’s own Urban Lot Split ordinance under Chapter 20.14 permits Flag Lots, Pie-Shaped Lots, Cul-de-Sac Lots, and Corner Lots—all of which involve non-standard geometric configurations. Singling out irregular lots for a blanket prohibition while permitting these other nonstandard configurations is inconsistent and inequitable.
This Restriction Was Not Always in Place: The irregular lot subdivision restriction was not part of Campbell’s original zoning framework; it was introduced as a policy adjustment rather than an immutable planning principle. What was altered by policy can and should be revisited when its practical application produces clearly inequitable outcomes for long-term property owners who acquired and maintained their land under different historical standards.
Larger Irregular Lots Should Not Be Held to the Same Standard as Smaller Ones: While a blanket restriction may have been intended to address genuine configuration and access challenges on smaller irregular parcels, applying that same rigid standard to larger parcels of 15,000 square feet or greater is counterproductive. On a smaller irregular lot, boundary lines may genuinely impact layout feasibility. On a larger parcel, the sheer lot size demonstrates that subdivision is entirely feasible while maintaining deep setbacks, standard compliance, and open space. My property at 18,730 square feet is a clear example—there is more than enough total land area to create 2–3 fully conforming fee-simple lots.
Larger irregular lots should not be penalized by an ordinance designed for minor, constrained parcels.
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2 Providing a Clear Threshold for Council Consideration: To remedy this unintended consequence without opening the door to substandard developments, I urge the City Council to consider establishing an objective size threshold. Exempting parcels of 15,000 square feet or greater from the irregular lot restriction ensures that only properties with more than enough physical scale to accommodate a standard, spacious subdivision are granted this right. This provides a balanced, objective framework for staff while protecting property rights.
Furthermore, removing the blanket prohibition for parcels at this threshold does not eliminate existing safeguards—every other objective subdivision standard still applies, including minimum lot size, minimum width, minimum frontage, equal lot sizing, and public safety requirements. The irregular lot prohibition is simply redundant for larger parcels that clearly satisfy all other requirements.
The Urban Lot Split Framework and Fiscal Benefits Already Support This Approach: Campbell’s Chapter 20.14 Urban Lot Split ordinance establishes an objective framework for lot splits that cannot be denied unless there is a specific, written adverse impact on public health or safety verified by the City Engineer. A minor irregular lot line on a parcel exceeding 15,000 square feet does not inherently constitute such an impact. Furthermore, allowing the orderly subdivision of underutilized infill parcels optimizes existing neighborhood infrastructure and strengthens Campbell’s local property tax base without requiring the city to absorb new public street maintenance costs.
Neighborhood Comparables Support Subdivision: The surrounding neighborhood along Lamont Court and Ginden Drive contains numerous properties valued between $1.8M and $2.7M. A properly configured 2–3 lot standard subdivision on this property would yield premium, low-density single-family homes that are entirely consistent with and complementary to the existing neighborhood character. This represents an appropriate, orderly utilization of underused infill land that protects local property rights.
I respectfully urge the City Council to restore subdivision rights for irregular lots all together, and to recognize that larger parcels of 15,000 square feet or greater should be exempted from restrictions that do not logically apply to them.
I request that these comments be included in the official public record for the June 2nd City Council meeting. Thank you to the Council members and Planning staff for your time and thoughtful consideration.
Sincerely,
Akim Ginden Allen
1500 W. San Tomas Aquino Road
Campbell, CA 95008
408-502-3166
[email protected]
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City Council Report
DATE: July 7, 2026
TITLE: Public Hearing to Consider Adoption of a Resolution revoking the Business License and Tobacco Retailer Permit for California Cigar and More #3 located at 2145 South Winchester Blvd, Campbell. (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a Resolution revoking the Business License and Tobacco Retailer Permit for California Cigar and More #3, located at 2145 South Winchester Boulevard, Campbell, CA; and deny the appeal.
EXECUTIVE SUMMARY
The City Council is being asked to consider revocation of the Business License and to deny the appeal and uphold the administrative decision to revoke the Tobacco Retailer Permit for California Cigar and More #3 based on documented criminal activity occurring at the business, as reported by the Campbell Police Department.
Under the Campbell Municipal Code, a business license may be revoked when continued operation is contrary to the public health, safety, peace, welfare, and morals of the community, or when the permittee violates applicable local, state, or federal law. A tobacco retailer permit may be revoked if the permit holder acts in contravention of any provision of law.
BACKGROUND
California Cigar and More #3 operates under a Business License and a Tobacco Retailer Permit issued on June 3, 2025 (BL#037159) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia.
DISCUSSION
Police Department Findings
On January 20, 2026, during an inspection, plainclothes Campbell Police officers were offered for sale products containing psilocybin and flavored tobacco. Subsequently, the officers identified a hidden room in the business and a large volume of products containing psilocybin (“magic mushrooms”), flavored tobacco, and products containing THC (cannabis). In total, the officers identified a total of 13 boxes containing a total of 2,274 Item 8.3
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flavored tobacco items and over 130 psilocybin and cannabis infused beverages and cocktails on site. Two employees of the business were arrested as a result. Separately, per a police report filed on January 12, 2026, multiple suspects forced entry into the business for burglary of goods, they were not identified and remain at large. The police reports for these two incidents are attached to this report. The Permittee concealed and did not disclose its intent to offer flavored tobacco products for sale during the permitting process.
Business License Revocation
Under Section 5.01.140 of the Campbell Municipal Code, any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance. A business license may be revoked based on the grounds listed under Section 5.01.145. Staff analysis documenting how the criminal violations recorded on January 20, 2026, meet these grounds for revocation are described below in italics:
5.01.145 - Grounds for revocation.
The following are the grounds which shall constitute the basis for the revocation of licenses:
(1) When the continuance of the operations of the licensee under such license shall be contrary to the public health, safety, peace, welfare and morals; Sales of psilocybin from the business is a violation of State and Federal Law.
Psilocybin is illegal at the federal level and classified as a Schedule I substance.
Psilocybin acts on serotonin receptors to produce hallucinogenic effects. In addition, sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The business has also been burglarized, which in combination with the onsite possession of illegal drugs, represents an attractive nuisance.
The combination of these activities (illegal drug and flavored tobacco sales, burglary) is contrary to public health, safety, peace, welfare and morals of the Campbell community.
(2) The violation of any of the penal provisions of this title, or any other applicable law; As noted, two employees of the business were arrested on January 20, 2026 for the illegal sales of Psilocybin.
(3) The misrepresentation of a material fact by any applicant in obtaining any license under this title;
The applicants obtained a Business License for the sale of Tobacco and Tobacco related products but have been documented by Campbell Police officers selling Item 8.3
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Psilocybin, an illegal drug, in addition to THC/cannabis products, that are not allowed to be sold in Campbell.
(4) The plea, verdict, or judgment of guilty to any public offense involving moral turpitude charges against the licensee;
Not applicable
(5) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Sales of psilocybin from the business is a violation of State and Federal Law.
Psilocybin is illegal at the federal level as a Schedule I substance. Psilocybin acts as a serotonin receptor to produce hallucinogenic effects. The business has also been documented as selling flavored tobacco, which is a violation of state law, and THC (Cannabis) products, which is a violation of the Campbell Municipal Code.
Onsite burglary in combination with the documented storage of illegal drugs onsite shows that the business is an attractive nuisance. The combination of these activities (illegal drug sales, burglary) constitutes a public nuisance.
Tobacco Retailer Permit Revocation Appeal
Under Section 5.58.110 of the Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws as described below. Municipal Code section 5.58.120 further provides that “[n]othing in this chapter shall be construed to vest in any person obtaining and maintaining a tobacco retailer's permit any status or right to act as a tobacco retailer in contravention of any provision of law;” and a permit issued contrary to the law may be revoked. Likewise, Municipal Code section 5.58.040(d) prohibits the issuance of a tobacco retailing permit for unlawful retailing.
Based on the documented sale of psilocybin, THC (Cannabis), and flavored tobacco at California Cigar and More #3 by Campbell Police Officers on January 20, 2026, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58. Per Section 5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice. California Cigar and More submitted this appeal request on June 16, 2026 (attached). The submitted appeal requests access to review the administrative record with the referenced police reports and states that the business has taken steps to ensure compliance with applicable laws and regulations.
Per Section 5.58.150 (d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence.
Staff recommends that the City Council deny the appeal and uphold the administrative decision to revoke the Tobacco Retailer Permit based on the documented violations of Item 8.3
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local, state and federal law, in accordance with Section 5.58.110 of the Municipal Code as follows:
5.58.110 - Penalties and enforcement.
In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a permit has been issued, it shall be a violation of this chapter for a permittee, or any of the permittee's agents or employees, to violate any local, state, or federal law applicable to tobacco products, tobacco paraphernalia, or tobacco retailing.
Police operations on January 20, 2026, documented the sale of psilocybin from the business in question which is a violation of state and federal law, the sales of flavored tobacco which is a violation of State Law, and THC (Cannabis), a violation of the Campbell Municipal Code. The officers identified a total of 13 boxes containing 2,274 flavored tobacco items and over 130 psilocybin and cannabis infused beverages and cocktails on site. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. Based on these violations, staff recommends that the City Council deny the appeal and uphold the decision to revoke the tobacco retailer permit for the business.
Effect of Revocation of Tobacco Retailer Permit
If the tobacco retailer permit for California Cigar and More #3 is revoked in accordance with CMC 5.58.140, the business will be prohibited from reestablishing tobacco retailing at that location for a period of one calendar year in accordance with CMC 5.58.160. In the event of a second or subsequent revocation at the same location within any sixty-month period, no new tobacco retailer permit may be issued for that location until five calendar years have elapsed from the date of the most recent revocation.
Further, because the City has adopted an interim moratorium on the establishment of new tobacco retailers on March 18, 2025, the business would also be prohibited from relocating to, or establishing operations at, a new location elsewhere in the City where a tobacco retailer permit had not been previously issued.
Effect of Revocation of Business License
If the business license for California Cigar and More #3 is revoked in accordance with CMC 5.01.120, no new or other business license may be issued to the same licensee for a period of six months from the date of revocation. In addition, upon revocation, all business license fees previously paid shall be forfeited to the City.
Public Notice
CMC sections 5.01.155 (relating to business license revocations) and 5.58.150 (relating to tobacco retailer permit revocations) require that the City mail notices to the business licensee and the subject property owner five and ten days (respectively) prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailer Permit. The City Clerk has mailed notices to the subject business licensee and Item 8.3
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property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements.
FISCAL IMPACT
The fiscal impact of revoking the business license of the business in question is expected to be nominal with the loss of business license fees and nominal sales tax revenue associated with the tobacco shop in question. On average, stand-alone tobacco retail businesses result in approximately $3,200 in revenue for the City per year.
ALTERNATIVES
If the City Council believes that the evidence presented does not support revocation, it may decline to revoke the Business License, Tobacco Retailer Permit, or both.
PREPARED BY: Rob Eastwood, Community Development Director Item 8.3
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Report Approval Details
Document Title: Revocation of Business License and Tobacco Retailer Permit for California Cigar and More.docx
Attachments: Resolution - Revocation Campbell Cigar and More.docx Incident Report 260120053-1 California Cigar and More.pdf Incident Report 260112014-1 (Stay Vaped) California Cigar and More.pdf
Appeal (2026.06.17) California Cigar and More.pdf
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann. City Attorney
Item 8.3
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RESOLUTION NO.
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL REVOKING THE BUSINESS LICENSE AND THE
TOBACCO RETAILER PERMIT FOR CALIFORNIA CIGAR AND
MORE #3 LOCATED AT 2145 SOUTH WINCHESTER BLVD,
CAMPBELL
WHEREAS, California Cigar and More #3, located at 2145 South Winchester Blvd., operates under a Business License and a Tobacco Retailer Permit issued on June 3, 2025, (BL#037159) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia; and
WHEREAS, pursuant to Section 5.01.140 (Revocation generally) of the Campbell Municipal Code (“CMC”), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and WHEREAS, pursuant to Section 5.58.110 (Penalties and enforcement.) of the Campbell Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws applicable to tobacco products, tobacco paraphernalia, or tobacco retailing; and WHEREAS, on January 20, 2026, during an inspection, plainclothes Campbell Police officers were offered products containing psilocybin and flavored tobacco for sale.
Subsequently, the officers identified a hidden room in the business and a large volume of products containing psilocybin (“magic mushrooms”), flavored tobacco, and products containing THC (cannabis). Two employees of the business were arrested as a result; and
WHEREAS, psilocybin is metabolized to psilocin, which acts on serotonin receptors to produce hallucinogenic effects, is illegal at the federal level and classified as a Schedule I substance under the Controlled Substances Act; and
WHEREAS, the sale, offer for sale, or possession with intent to sell prohibited flavored tobacco products is a violation of State law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers; and
WHEREAS, the actions of the business documented on January 20, 2026, by Campbell police officers constitute grounds for revocation of the business license under Section
5.01.145 (Grounds for revocation.) of the Campbell Municipal Code; and WHEREAS, the actions of the business documented on January 20, 2026, by Campbell police officers also constitute grounds for revocation for the Tobacco Retailer Permit per Section 5.58.120 (Penalties and enforcement.) of the Campbell Municipal Code; and WHEREAS, on June 3, 2026, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58; and Item 8.3
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City Council Resolution No. Page 2 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
WHEREAS, per Section 5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice; and WHEREAS, California Cigar and More submitted an appeal request on June 16, 2026 within the 15 days of the revocation notice; and
WHEREAS, Per Section 5.58.150(d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence; and
WHEREAS, the Campbell City Council finds that revocation of the Business License and Tobacco Retailer Permit for California Cigar and More #3 is not a “project” subject to the California Environmental Quality Act because the action is an administrative enforcement action that will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and because the action revokes City-issued authorization for the business to continue operating under the subject Business License and Tobacco Retailer Permit based on documented violations, and does not approve any construction, change in land use, physical development, or other activity that may cause a physical environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378; and
WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the Campbell City Council finds that the action is exempt from CEQA under the common sense exemption in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a business license and tobacco retailer permit for an existing business will not have a significant effect on the environment, as the action is regulatory and enforcement-related, does not authorize physical changes to the property, and does not commit the City to any future physical development or use of the site; and WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates to business license revocations, and Section 5.58.150 (Hearing.), which relates to tobacco retailer permit revocations) require that the City mail notices to the business licensee and the subject property owner at least five and ten days (respectively) prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailer Permit; and
WHEREAS, consistent with the requirements of Campbell Municipal Code Section
5.01.155 (Notice of hearing on revocation.), and 5.58.150 (Hearing.) the City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and Item 8.3
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City Council Resolution No. Page 3 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public hearing and has reviewed the entire administrative record including evidence presented by the business owner regarding the revocation of the Tobacco Retailer Permit prior to making a decision regarding this revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 – Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law; (3) The applicant misrepresented a material fact in obtaining a license under this title; (4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Tobacco Retailer Permit Revocation Findings (CMC Sec. 5.58.120 – Suspension or Revocation of Permit):
(a) The offering of flavored tobacco products for sale is a violation of State law, which would be a basis to deny the tobacco retail permit pursuant to Campbell Municipal Code section 5.58.040(d) California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers;
(b) The permittee did not disclose its intention to offer flavored tobacco products in its application, rendering its application false and inaccurate in violation of Campbell Municipal Code section 5.58.040(a);
(c) The revocation of a tobacco retailer permit as a penalty is cumulative and may be levied in addition to any other remedies available at law or in equity. (d) The permittee, or the permittee’s agents or employees, caused, permitted, aided, abetted, or concealed a violation of CMC Chapter 5.58 (Tobacco Retailer Permit), which also constitutes a violation of CMC Chapter 5.58 (Tobacco Retailer Permit). (e) The violations of CMC Chapter 5.58 (Tobacco Retailer Permit) constitute public nuisances pursuant to CMC Section 6.10.020(a)(6)(Q).
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, and, in the alternative, is Item 8.3
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City Council Resolution No. Page 4 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3); affirms that the grounds for revocation have been met under Sections 5.01.140 (Revocation generally.) and 5.58.120 (Suspension or Revocation of Permit) of the Campbell Municipal Code; and hereby revokes the Business License and Tobacco Retailer Permit for California Cigar and More #3, located at 2145 South Winchester Boulevard, Campbell and denies the appeal.
PASSED AND ADOPTED this __ day of ______, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
APPROVED:
___________________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Incident Report 260120053-1
Primary Officer: Palmer, Benjamin (133) Assisting Officer: Johnson, Cody (135) Assigned District: Investigations District, Beat, Beat: 3 Overview
Incident Overview
Report Purpose: General Incident Incident From Date: 01/20/2026 Incident From Time: 16:15 Incident To Date: 01/20/2026 Incident To Time: 19:27 Reported Date: 01/20/2026 Reported Time: 16:15 Location: S Winchester Blvd, Campbell, Santa Clara County, CA, 95008, USA Location Category: Specialty Store Does Date Indicate Report Date?: No ORI: CA0430200 ARRC Indicator: No Identity Theft Indicator: No Domestic Violence Indicator: No BWC Activated?: Yes Traffic Collision Involved?: No Organized Retail Theft?: No Was Flock Utilized?: No Was Fusus Involved?: No Hate Incident?: No Officer: FAVREAU, Jason (82) BWC Activated?: Yes Property/Evidence?: No Officer: RIBEIRO, Andre (89) BWC Activated?: Yes Property/Evidence?: No Officer: Alameda, Adam (108) BWC Activated?: Yes Property/Evidence?: No Officer: Johnson, Cody (135) BWC Activated?: Yes Property/Evidence?: No Case Factors
Distribution Requests: DA Resource Cards Provided: None Synopsis
(S1) and (S2) were contacted during a plain clothes tobacco buy operation and offered products containing psilocybin for sale and were later found to be in possession of those products.
Offenses
11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Author: Palmer, Benjamin Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL NIBRS UCR Code: Drug/Narcotic Violations Severity: FELONY Exclude From NIBRS: No Completion: Completed Additional Details
Offender is Suspected of Using?: No Was Criminal or Gang Activity Involved?: Yes Was Bias Motivation Involved?: No Type of Criminal Activity/Gang Involved: D - Distributing/Selling 148.9(A) - GIVE FALSE ID TO PO - MIS Author: Palmer, Benjamin Offense: 148.9(A) - GIVE FALSE ID TO PO - MIS NIBRS UCR Code: All Other Offenses Severity: MISDEMEANOR Exclude From NIBRS: Yes Completion: Completed
Additional Details
Offender is Suspected of Using?: No Was Bias Motivation Involved?: No Cargo Theft: No Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 1 of 10 (Page 1 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Offenses (continued)
148.9(A) - GIVE FALSE ID TO PO - MIS (continued) Author: Palmer, Benjamin Is society the victim?: Yes
104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Author: Palmer, Benjamin Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF NIBRS UCR Code: All Other Offenses Severity: INFRACTION Exclude From NIBRS: No Completion: Completed Is society the victim?: Yes 11359(B) - POSSESS MARIJUANA FOR SALE - MIS Author: Palmer, Benjamin Offense: 11359(B) - POSSESS MARIJUANA FOR SALE - MIS NIBRS UCR Code: Drug/Narcotic Violations Severity: MISDEMEANOR Exclude From NIBRS: Yes Completion: Completed Names
Offender/Suspect, Arrestee - Baktybekulu, Azamat Author: Palmer, Benjamin Involvement
Role: Offender/Suspect Report Identifier: (S1) Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Role: Arrestee Report Identifier: (S1) Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Role: Offender/Suspect Report Identifier: (S1) Offense: 11359(B) - POSSESS MARIJUANA FOR SALE - MIS Relationships
Name: Is:
Identity
Type: Known Last Name: Baktybekulu First Name: Azamat DOB: CII: PFN: EII875 Identifying Documents
ID Type: Driver's License Issuing State: California ID Number:
Description
Age: 22 Sex: Male Race: Other Ethnicity: Not Hispanic or Latino Height: 5' 10" Weight: 170 Eye Color: Blue Hair Color: Brown Build: Medium Complexion: Light/Fair Resident Status: Resides in County, but not in jurisdiction Contact
Address Type: Home Location:
Phone Number Type: Mobile Phone Number:
Suspect Status
Suspect Status: Booked
Arrest
Arrest Date: 01/20/2026 Arrest Time: 17:10 Arrest Type: On-View Arrest Does this arrest clear multiple Campbell PD Incidents?: No Multiple Arrestee Segments Indicator: Not Applicable Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 2 of 10 (Page 2 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Names (continued)
Offender/Suspect, Arrestee - Baktybekulu, Azamat (continued) Author: Palmer, Benjamin Arrest Location: S Winchester Blvd, Campbell, Santa Clara County, CA, 95008, USA Arresting Officer / Employee Number: Palmer, Benjamin (133) Agency: CPD Arrest Charges
Charge: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Severity: FELONY Counts: 1 Arrest Status: Booked
Arrestee Details
Arrestee Disposition: Complaint Sought
Primary Offense For Arrest: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL CEN: 26001817 Armed With: Unarmed Arrestee is suspected Of using: Yes Suspected Of Using: O - Other Drugs Offender/Suspect, Arrestee - Holonchenko , Anastasiia Author: Palmer, Benjamin Involvement
Role: Offender/Suspect Report Identifier: (S2) Offense: 11359(B) - POSSESS MARIJUANA FOR SALE - MIS Role: Arrestee Report Identifier: (S2) Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Role: Offender/Suspect Report Identifier: (S2) Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Role: Arrestee Report Identifier: (S2) Offense: 148.9(A) - GIVE FALSE ID TO PO - MIS Relationships
Name: Is:
Identity
Type: Known Last Name: Holonchenko First Name: Anastasiia DOB: CII: PFN: EII876 Identifying Documents
ID Type: Driver's License Issuing State: California ID Number:
Description
Age: Sex: Female Race: Other Ethnicity: Not Hispanic or Latino Height: 5' 4" Weight: 140 Eye Color: Brown Hair Color: Brown Hair Length: Long Build: Medium Complexion: Light/Fair Resident Status: Resides in County, but not in jurisdiction Contact
Address Type: Home Location:
Phone Number Type: Mobile Phone Number:
Suspect Status
Suspect Status: Booked
Arrest
Arrest Date: 01/20/2026 Arrest Time: 17:10 Arrest Type: On-View Arrest Multiple Arrestee Segments Indicator: Not Applicable
Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 3 of 10 (Page 3 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Names (continued)
Offender/Suspect, Arrestee - Holonchenko , Anastasiia (continued) Author: Palmer, Benjamin Arrest Location: S Winchester Blvd, Campbell, Santa Clara County, CA, 95008, USA Arresting Officer / Employee Number: Brown, Joshua (142) Agency: CPD Arrest Charges
Charge: 148.9(A) - GIVE FALSE ID TO PO - MIS Severity: MISDEMEANOR Counts: 1 Charge: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Severity: FELONY Counts: 1 Arrest Status: Booked
Arrestee Details
Arrestee Disposition: Complaint Sought
Primary Offense For Arrest: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL CEN: 26001814 Armed With: Unarmed Arrestee is suspected Of using: Yes Suspected Of Using: O - Other Drugs Property Resident - Author: Palmer, Benjamin
Involvement
Role: Property Resident Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Contact
Location Type: Name:
Relationships
Person: Relationship:
Other - Author: Palmer, Benjamin
Involvement
Role: Other
Relationships
Name: Is:
Name: Is:
Identity
Type: Known Last Name: First Name: Middle Name: DOB:
CII: PFN:
Identifying Documents
ID Type: Issuing State: ID Number:
Description
Age: Sex: Race: Ethnicity: Height: Weight: Eye Color:
Hair Color: Resident Status:
Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 4 of 10 (Page 4 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Names (continued)
Other - (continued) Author: Palmer, Benjamin
Contact
Address Type: Location:
Phone Number Type: Phone Number: (
Victim - STATE OF CALIFORNIA Author: Palmer, Benjamin
Involvement
Role: Victim Offense: 11359(B) - POSSESS MARIJUANA FOR SALE - MIS Role: Victim Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Role: Victim Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Role: Victim Offense: 148.9(A) - GIVE FALSE ID TO PO - MIS Contact
Address Type: Home Location Note: Description: || Unit Number: Type: Society / Public Name: STATE OF CALIFORNIA Vehicles
Parked Vehicle - 2014 TOYOTA Corolla - 7EZS624 (CA) Author: Johnson, Cody Vehicle Information
Role: Parked Vehicle Offense: 148.9(A) - GIVE FALSE ID TO PO - MIS Vehicle Details
Vehicle Type: Automobiles Year: 2014 Make: Toyota Model: Corolla Style: 4 Door Sedan; Truck / Pick-up 4 Door Color: Silver License Number: State: California VIN:
Related People
Person: Holonchenko , Anastasiia Relationship: Legal Owner Last Known Location
Date: 01/20/2026 Time: 19:30 Location: 2145 S Winchester Blvd, Campbell, Santa Clara County, CA, 95008, USA Location Note: Rear Parking Lot
Property
Evidence - OTHER Author: Palmer, Benjamin Property ID: PRO2600000459 Item Number: 1 Involvement
Role: Evidence Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Description
Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 5 of 10 (Page 5 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Property (continued)
Evidence - OTHER (continued) Author: Palmer, Benjamin Property ID: PRO2600000459 Item Number: 1 Type: Other Item Number: 133-1 Quantity: 2
Description
Peppermint Zyn 2 Cans
Related People
Relationship: Suspected of Being Involved With This Property Person: Holonchenko , Anastasiia Relationship: Suspected of Being Involved With This Property Person: Baktybekulu, Azamat Evidence - DRUGS Author: Palmer, Benjamin Property ID: PRO2600000460 Item Number: 2 Involvement
Role: Evidence Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Property Status: Seized Description
Type: Drugs/Narcotics Drug Type Suspected: Marijuana Quant. Units: Not Reported Quantity: 1 Description
Misc. THC infused products
Evidence - OTHER Author: Palmer, Benjamin Property ID: PRO2600000461 Item Number: 3 Involvement
Role: Evidence Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Property Status: Seized Description
Type: Other Item Number: 133-3
Description
Misc. Psilocybin Products
Safekeeping - OTHER Author: Palmer, Benjamin Property ID: PRO2600000584 Item Number: 4 Involvement
Role: Safekeeping Offense: 104559.5 (B)(1) - VIOL TOBACCO RETAILER REG - INF Description
Type: Other Item Number: 133-4
Description
Cashbox From Register (Empty)
Evidence - RECORDINGS_MEDIUM Author: Palmer, Benjamin Property ID: PRO2600000586 Item Number: 5 Involvement
Role: Evidence Offense: 11378 - POSSESS CONTROLLED SUBSTANCE FOR SALE - FEL Property Status: Seized Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 6 of 10 (Page 6 of 10 in Incident Report 260120053-1 (Report 1 of 1))
CAMPBELL POLICE DEPARTMENT
CONTROLLED DOCUMENT
RELEASED TO: COMMUNITY DEV
RELEASED BY : Y28
Item 8.3
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Property (continued)
Description
Type: Recordings–Audio/Visual Item Number: 133-5 Value: $1.00 Description
Store Surveillance DVR
Narrative by Palmer, Benjamin First Submitted: 02/04/2026 12:09 Attachments:
Property Sheet x 6
Booking Sheet x2
Probable Cause Affidavit x2
Asset Forfeiture Paperwork
Background:
Campbell PD has received a grant through the County of Santa Clara Public Health Department to conduct tobacco related enforcement.
Pursuant to HS 104559.5 No flavored tobacco products, or vape products are legal for retail sale.
B&P 22980 authorizes the inspection of any facility that retails tobacco or vape products.
Investigation:
On 1/20/2026, at approximately 1615 hours, I was working as a Detective for the Campbell Police Department Special Enforcement Division (SED). I was conducting a tobacco enforcement detail in plain clothes. I entered the located at S Winchester Blvd. I contacted (S1) Baktybekulu and (S2) Holonchenko who were both behind the sales counter counting money from the register. I asked if they sold Zyn, a (tobacco product), (S1) Baktybekulu responded by asking if I was looking for "European or regular." Based on my training and experience, I know that European nicotine pouches such as Zyn often are flavored products and available in higher strengths than the unflavored products that are legal for sale in California. I asked if I could see their selection and (S1) Baktybekulu and (S2) Holonchenko retrieved a box with a variety of flavored products from a back room just behind the register. (S1) Baktybekulu and (S2) Holonchenko both handled the box, cans of nicotine pouches, and discussed the products as well as pricing of single vs "Roll" (a package of 5 similar to carton pricing for cigarettes) with me. I agreed to purchase two cans of Peppermint Zyn.
As I proceeded to conduct the purchase, I noticed "Wonka" chocolate bars on display that advertised "Magic Mushrooms".- From my training and experience, I know that there are products marketed in similar fashion that contain psilocybin and that the term "Magic Mushrooms" is generally associated to mushrooms that contain psilocybin. I asked (S1) Baktybekulu and (S2) Holonchenko if the chocolate bars had real mushrooms in them. (S2) Holonchenko explained that the bars on display were "only a proprietary blend with mushrooms like lions mane" and not actual magic mushrooms. (S2) Holonchenko went on to discuss her experience using the gummy version of the "Wonka" brand products that were on display under the chocolate bars and how they affected her significantly enough to impair driving. (S1) Baktybekulu and (S2) Holonchenko then also both discussed the availability of other similar products that they did not have on display, stating that they were in the back room. I asked if the chocolate bars in the back were real mushrooms (meaning psilocybin containing mushrooms) and they replied that the ones not on display were real mushrooms. (S1) Baktybekulu and (S2) Holonchenko both discussed Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 7 of 10 (Page 7 of 10 in Incident Report 260120053-1 (Report 1 of 1))
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Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Narrative by Palmer, Benjamin (continued) First Submitted: 02/04/2026 12:09 pricing with me, offering the bars on display for $45 and the ones in the back room for $60. The price for the psilocybin products exceeded the allotted money that I had for the operation therefore, I responded that I would come another time to purchase it and I exited the store after completing the transaction for the flavored Zyn. During my conversation with (S1) Baktybekulu and (S2) Holonchenko, both parties were talking simultaneous at times and parroting each other when explaining the products and pricing which is why I refer to them collectively at times instead of individual quotes. They were both knowledgeable about the products, prices, and location of non displayed items and both attempted to broker a sale.
I returned to my vehicle and broadcast on the radio to CPD Detectives that there was a flavored tobacco sale made. CPD Detectives entered in uniform and detained (S1) Baktybekulu and (S2) Holonchenko. I entered the store as well now with my badge displayed.
Pursuant to B&P 22980, CPD Detectives conducted an inspection of the facility and began seizing a large amount of prohibited flavored products. Sgt. Ribeiro and I checked the room that (S1) Baktybekulu and (S2) Holonchenko retrieved the flavored Zyn products from and did not locate the aforementioned psilocybin products that (S1) Baktybekulu and (S2) Holonchenko had offered for sale.
Based on my training and experience, I know smoke shops and tobacco retailers often have hidden rooms on their premises. I have seen several stores that have had cut outs in the slatwall panels that hold retail shelves with no visible handles and even concealed electronic locks. These rooms have often contained a large quantity of prohibited items and are intended to conceal those items from discovery by law enforcement.
I asked (S1) Baktybekulu and (S2) Holonchenko about the location of any hidden rooms and told them that I knew there was another hidden room as they had mentioned a room with the items they offered for sale. (S1) Baktybekulu refused to respond and (S2) Holonchenko then responded and pointed out an area of the display wall on the north wall of the store where we later located two seperate hidden rooms. The first room had shelving surrounding the perimeter of the room that was stocked with various prohibited flavored vape items. In the center of the room there was a table that amongst other items was two tupperware style bins that were clear and I could see that there was a variety of mushroom products within, some being dried mushrooms in retail packaging and others being chocolate products. Based on the labels and my training and experience, I believed that the products in these bins contained psilocybin.
Based on the fact that (S1) Baktybekulu and (S2) Holonchenko both offered for sale and discussed items containing psilocybin and the fact that they were later located on the premises, I believed they were in violation of HS 11378. I requested two patrol officers to respond and when they arrived (S1) Baktybekulu and (S2) Holonchenko were placed under arrest. (S2) Holonchenko was also charged with PC 148.9 for providing false identification (See Det. Johnson's report for details).
Property receipts were provided for the seized flavored items. The items were later reconsolidated and packaged in accordance with CDTFA guidelines. A total of 13 boxes containing a total of 2,274 flavored tobacco items were packaged and are being forwarded to the CDTFA for administrative action against the owner (O1) as well as destruction. The flavored tobacco items consisted of flavored vapes, flavored nicotine pouches, and flavored e-liquids.
In the beverage cooler near the door amongst sodas and other beverages, we located a total of 119 "Vivana" brand Mushroom and Cannabis infused beverages as well as 27 "Amigos" cannabis cocktails. The cans were marked as containing between 10mg and 50 mg of THC each. The cans were seized, photographed, and the contents were disposed of in accordance with CPD Evidence policy which prohibits the storage of food or beverage items in the evidence room. In addition to the canned beverages, we also located 10 bottles of 7 each "Littles" THC Pre-roll cigarettes which were labeled as containing Delta 9 THC. California Code of Regulations Title 17 prohibits the sale of hemp- derived products that have any ammounto fo THC including Delta-9 products as of March 24, 2025.
Based on (S2) Holonchenko's statement that she was not an employee and was only visiting a friend, I took the store DVR as evidence with the intent to write a search warrant to review the footage to prove that (S2) Holonchenko was working at the store.
Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 8 of 10 (Page 8 of 10 in Incident Report 260120053-1 (Report 1 of 1))
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Item 8.3
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Item 8.3
Tuesday, July 07, 2026 243 of 492
Campbell Police Dept. - CA
70 N. 1st. Street
Campbell, CA, 95008
+1 408 866 2121 Incident Report 260120053-1 (Report 1 of 1) Narrative by Johnson, Cody (continued) First Submitted: 01/22/2026 13:35 to the room's location. The room was against the north side of the business where it blended into the wall. Inside, CPD Detectives located large amounts of flavored tobacco products as well as psylocibin mushroom products. As the items were collected and cataloged, (S2) Holonchenko continued to tell Det Alameda and I that she did not work for the business any longer and had only worked there for approximately one month during the time of opening. When asked why she was behind the counter manipulating equipment like an employee, (S2) Holonchenko would tell us something to the effect of, "I was just helping my friend."
Based on Det Palmer's interaction with both (S1) Bakybekulu and (S2) Holonchenko when he entered the store, both (S1) Bakybekulu and (S2) Holonchenko were determined to be equally involved in the possession of psilocybin mushrooms for sale (See his original report for further details). Based on the fact that (S2) Holonchenko lied about her identity because she was "scared" after having committed a felony along with my training and experience, I believe that (S2) Holonchenko was in violation of PC 148.9(a)-False ID to Peace Officer.
Officers Cabada (152) and Brown (142) responded to the scene where both (S1) Bakybekulu and (S2) Holonchenko were placed under arrest and later booked into the Santa Clara County Main Jail. I asked (S2) Holonchenko what she wanted me to do with her property and she requested I grab her wallet but leave her purse in the store. After she was transported back to CPD, I used my department issued radio to have Officer Brown ask (S2) Holonchenko if the keys I had located in the store were hers and if I could search her car. Officer Brown asked (S2) Holonchenko and advised she had said the keys were hers and that I could search her car. I located a silver Toyota Corolla bearing CA LIC 7EZS624 which was registered to (S2) Holonchenko that was parked to the rear of the business. I conducted a search of the vehicle and did not locate nay contraband. Additionally Ofc Brown requested (S2) Holonchenko's medication on her behalf. I placed (S2) Holonchenko's keys, prescription medication and personal items in a property bag which Det Palmer and Det Alameda took back to her while she remained at CPD. (S2) Holonchenko's purse was placed in the office behind the POS system.
I remained at the store while Sgt Ribeiro and Agt Favreau completed a search of the hidden rooms. I removed all money from the POS cash drawer as well as cash on the counter and in a grey lock box which was located on top of the counter.
My BWC was activated during this time and I provided the money to Sgt Ribeiro and Agt Favreau to count and maintain possession of. All contraband was later loaded into CPD vehicles and transported back to CPD where it was secured in evidence storage. I took photographs throughout my time in the store as well as the Toyota; all of which were later uploaded to Evidence.com.
Disposition:
To Original Report
Printed by Ren, Haruna (Y31) at 02/04/2026 13:15 Page 10 of 10 (Page 10 of 10 in Incident Report 260120053-1 (Report 1 of 1))
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Item 8.3
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Item 8.3
Tuesday, July 07, 2026 252 of 492
City Council Report
DATE: July 7, 2026
TITLE: Public Hearing to Consider Adoption of a Resolution revoking the Business License and Tobacco Retailer Permit for Haze Downtown Smoke Shop, located at 469 East Campbell, Campbell. (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a Resolution revoking the Tobacco Retailer Permit and Business License for Haze Downtown Smoke Shop, located at 469 East Campbell, CA; and deny the appeal.
EXECUTIVE SUMMARY
The City Council is being asked to consider revocation of the Business License and to deny the appeal and uphold the administrative decision to revoke the Tobacco Retailer Permit for Haze Downtown Smoke Shop based on documented criminal activity occurring at the business, as reported by the Campbell Police Department.
Under the Campbell Municipal Code, a business license may be revoked when continued operation is contrary to the public health, safety, peace, welfare, and morals of the community, or when the permittee violates applicable local, state, or federal law. A tobacco retailer permit may be revoked if the permit holder acts in contravention of any provision of law.
BACKGROUND
Haze Downtown Smoke Shop operates under a Business License and a Tobacco Retailer Permit issued on July 16, 2024 (BL#033097) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia.
DISCUSSION
Police Department Findings
During an inspection of the business on March 5, 2025, Campbell Police officers identified a large amount of flavored tobacco products available for sale and also discovered a hidden room with additional flavored tobacco products, which were seized. In total, police officers seized 4,904 tobacco flavored items. The Permittee concealed and did not disclose its intent to offer flavored tobacco products for sale during the permitting process.
Item 8.4
Tuesday, July 07, 2026 253 of 492
Business License Revocation
Under Section 5.01.140 of the Campbell Municipal Code, any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance. A business license may be revoked based on the grounds listed under Section 5.01.145. Staff analysis documenting how the criminal violations recorded on March 5, 2025, meet these grounds are described below in italics:
5.01.145 - Grounds for revocation.
The following are the grounds which shall constitute the basis for the revocation of licenses:
(1) When the continuance of the operations of the licensee under such license shall be contrary to the public health, safety, peace, welfare and morals; Police officers seized more than 4,900 tobacco flavored items from the business.
Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. The sale of illegal products that have been associated with underage smoking is contrary to public health, safety, peace, welfare and morals of the Campbell community (2) The violation of any of the penal provisions of this title, or any other applicable law; Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers.
(3) The misrepresentation of a material fact by any applicant in obtaining any license under this title;
Not applicable
(4) The plea, verdict, or judgment of guilty to any public offense involving moral turpitude charges against the licensee;
Not applicable
(5) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. The sale of illegal Item 8.4
Tuesday, July 07, 2026 254 of 492
products that have been associated with underage smoking constitutes a public nuisance.
Tobacco Retailer Permit Revocation Appeal
Under Section 5.58.110 of the Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws as described below. Municipal Code section 5.58.120 further provides that “[n]othing in this chapter shall be construed to vest in any person obtaining and maintaining a tobacco retailer's permit any status or right to act as a tobacco retailer in contravention of any provision of law;” and a permit issued contrary to the law may be revoked. Likewise, Municipal Code section 5.58.040(d) prohibits the issuance of a tobacco retailing permit for unlawful retailing.
Based on the documented sale of flavored tobacco at Haze Downtown Smoke Shop by Campbell Police Officers on March 5, 2025, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58. Per Section
5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice. Haze Downtown Smoke Shop submitted this appeal request on June 15th (attached). The submitted appeal states that the flavored tobacco products found onsite belonged to another business and were not intended for onsite sale.
Per Section 5.58.150 (d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence.
5.58.110 - Penalties and enforcement.
In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a permit has been issued, it shall be a violation of this chapter for a permittee, or any of the permittee's agents or employees, to violate any local, state, or federal law applicable to tobacco products, tobacco paraphernalia, or tobacco retailing.
As documented above, police operations on March 5, 2025 documented over 4,900 flavored tobacco products onsite which is a violation of state law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. Several of the flavored tobacco items were located at the store cashier area and thus available for sale.
Based on this violation, staff recommends that the City Council revoke the tobacco retailer permit for the business.
Effect of Revocation of Tobacco Retailer Permit
Item 8.4
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If the subject business license and tobacco retailer permit for Haze Downtown Smoke Shop is revoked in accordance with CMC 5.58.140, the business will be prohibited from reestablishing tobacco retailing at that location for a period of one calendar year in accordance with CMC 5.58.160. In the event of a second or subsequent revocation at the same location within any sixty-month period, no new tobacco retailer permit may be issued for that location until five calendar years have elapsed from the date of the most recent revocation.
Further, because the City has adopted an interim moratorium on the establishment of new tobacco retailers on March 18, 2025, the business would also be prohibited from relocating to, or establishing operations at, a new location elsewhere in the City where a tobacco retailer permit had not been previously issued.
Effect of Revocation of Business License
If the business license for Haze Downtown Smoke Shop is revoked in accordance with CMC 5.01.120, no new or other business license may be issued to the same licensee for a period of six months from the date of revocation. In addition, upon revocation, all business license fees previously paid shall be forfeited to the City Public Notice
CMC sections 5.01.155 (relating to business license revocations) and 5.58.150 (relating to tobacco retailer permit revocations) require that the City mail notices to the business licensee and the subject property owner five and ten days (respectively) prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailers Permit. The City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the May 19, 2026, Council meeting in accordance with these requirements.
FISCAL IMPACT
The fiscal impact of revoking the business license of the business in question is expected to be nominal with the loss of business license fees and nominal sales tax revenue associated with the tobacco shop in question. On average, stand-alone tobacco retail businesses result in approximately $3,200 in revenue for the city per year.
ALTERNATIVES
If the City Council believes that the evidence presented does not support revocation, it may decline to revoke the Business License, Tobacco Retailer Permit, or both.
PREPARED BY: Rob Eastwood, Community Development Director Item 8.4
Tuesday, July 07, 2026 256 of 492
Report Approval Details
Document Title: Revocation of Business License and Tobacco Retailer Permit for Haze Downtown Smoke Shop.docx
Attachments: Incident Report 250305016-1 (Haze Downtown).pdf Haze_469_E_Campbell_Appeal.pdf
Revocation resolution haze downtown smoke shop.docx
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann. City Attorney
Item 8.4
Tuesday, July 07, 2026 257 of 492
RESOLUTION NO.
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL REVOKING THE BUSINESS LICENSE AND THE
TOBACCO RETAILER PERMIT FOR HAZE DOWNTOWN SMOKE
SHOP AT 459 EAST CAMPBELL, CAMPBELL
WHEREAS, Haze Downtown Smoke Shop, located at 459 East Campbell., operates under a Business License and a Tobacco Retailer Permit issued on July 16, 2024 (BL#033097) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia; and
WHEREAS, pursuant to Section 5.01.140 (Revocation generally) of the Campbell Municipal Code (“CMC”), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and WHEREAS, pursuant to Section 5.58.110 (Penalties and enforcement) of the Campbell Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws applicable to tobacco products, tobacco paraphernalia, or tobacco retailing; and WHEREAS, during an inspection of the business on March 5, 2025, Campbell Police officers identified a large amount of flavored tobacco products available for sale and also discovered a hidden room with additional flavored tobacco products, which were seized; in total, police officers seized 4,904 tobacco flavored items; and WHEREAS, the sale, offer for sale, or possession with intent to sell prohibited flavored tobacco products is a violation of State law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers;
WHEREAS, the actions of the business documented on March 5, 2025, by Campbell police officers constitute grounds for revocation of the business license under Section
5.01.145 (Grounds for revocation) of the Campbell Municipal Code; and WHEREAS, the actions of the business documented on March 5, 2025, by Campbell police officers also constitute grounds for revocation for the Tobacco Retailer Permit per Section 5.58.120 (Penalties and enforcement) of the Campbell Municipal Code; and WHEREAS, on June 3, 2026, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58; and Item 8.4
Tuesday, July 07, 2026 258 of 492
City Council Resolution No. Page 2 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
WHEREAS, per Section 5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice; and WHEREAS, Haze Downtown Smoke Shop submitted an appeal request on June 15, 2026 within the 15 days of the revocation notice; and
WHEREAS, per Section 5.58.150(d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence; and
WHEREAS, the Campbell City Council finds that revocation of the Business License and Tobacco Retailer Permit for Haze Downtown Smoke Shop is not a “project” subject to the California Environmental Quality Act because the action is an administrative enforcement action that will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and because the action revokes City-issued authorization for the business to continue operating under the subject Business License and Tobacco Retailer Permit based on documented violations, and does not approve any construction, change in land use, physical development, or other activity that may cause a physical environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378; and
WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the Campbell City Council finds that the action is exempt from CEQA under the common sense exemption in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a business license and tobacco retailer permit for an existing business will not have a significant effect on the environment, as the action is regulatory and enforcement-related, does not authorize physical changes to the property, and does not commit the City to any future physical development or use of the site; and WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates to business license revocations, and Section 5.58.150 (Hearing.), which relates to tobacco retailer permit revocations) require that the City mail notices to the business licensee and the subject property owner at least five and ten days (respectively) prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailer Permit; and
WHEREAS, consistent with the requirements of Campbell Municipal Code Section
5.01.155 (Notice of hearing on revocation.), and 5.58.150 (Hearing.) the City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public hearing and has reviewed the entire administrative record including Item 8.4
Tuesday, July 07, 2026 259 of 492
City Council Resolution No. Page 3 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
evidence presented by the business owner regarding the revocation of the Tobacco Retailer Permit prior to making a decision regarding this revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 – Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law; (3) The applicant misrepresented a material fact in obtaining a license under this title; (4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Tobacco Retailer Permit Revocation Findings (CMC Sec. 5.58.120 – Suspension or Revocation of Permit):
(a) The offering of flavored tobacco products for sale is a violation of State law, which would be a basis to deny the tobacco retail permit pursuant to Campbell Municipal Code section 5.58.040(d). California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers;
(b) The permittee did not disclose its intention to offer flavored tobacco products in its application, rendering its application false and inaccurate in violation of Campbell Municipal Code section 5.58.040(a);
(c) The revocation of a tobacco retailer permit as a penalty is cumulative and may be levied in addition to any other remedies available at law or in equity. (d) The permittee, or the permittee’s agents or employees, caused, permitted, aided, abetted, or concealed a violation of CMC Chapter 5.58 (Tobacco Retailer Permit), which also constitutes a violation of CMC Chapter 5.58 (Tobacco Retailer Permit). (e) The violations of CMC Chapter 5.58 (Tobacco Retailer Permit) constitute public nuisances pursuant to CMC Section 6.10.020(a)(6)(Q).
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, and, in the alternative, is exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3); affirms that the Item 8.4
Tuesday, July 07, 2026 260 of 492
City Council Resolution No. Page 4 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
grounds for revocation have been met under Sections 5.01.140 (Revocation generally.) and 5.58.120 (Suspension or Revocation of Permit) of the Campbell Municipal Code; and hereby revokes the Business License and Tobacco Retailer Permit for Haze Downtown Smoke Shop, located at 459 East Campbell, Campbell and denies the appeal.
PASSED AND ADOPTED this __ day of ______, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
APPROVED:
___________________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 8.4
Tuesday, July 07, 2026 261 of 492
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Item 8.4
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Item 8.4
Tuesday, July 07, 2026 263 of 492
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Item 8.4
Tuesday, July 07, 2026 265 of 492
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Tuesday, July 07, 2026 266 of 492
Item 8.4
Tuesday, July 07, 2026 267 of 492
Item 8.4
Tuesday, July 07, 2026 268 of 492
City Council Report
DATE: July 7, 2026
TITLE: Public Hearing to Consider Adoption of a Resolution revoking the Business License and Tobacco Retailer Permit for Haze Smoke Shop, located at 2050 South Bascom, Campbell.
RECOMMENDED ACTION:
That the City Council adopt a Resolution revoking the Tobacco Retailer Permit and Business License for Haze Smoke Shop, located at 2050 South Bascom, Campbell and deny the appeal.
EXECUTIVE SUMMARY
The City Council is being asked to consider revocation of the Business License and to deny the appeal and uphold the administrative decision to revoke the Tobacco Retailer Permit for Haze Smoke Shop based on documented criminal activity occurring at the business, as reported by the Campbell Police Department.
Under the Campbell Municipal Code, a business license may be revoked when continued operation is contrary to the public health, safety, peace, welfare, and morals of the community, or when the permittee violates applicable local, state, or federal law. A tobacco retailer permit may be revoked if the permit holder acts in contravention of any provision of law.
BACKGROUND
Haze Smoke Shop operates under a Business License (BL#033097) and a Tobacco Retailer Permit issued on October 6, 2020, to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia.
DISCUSSION
During an inspection of the business on March 5, 2025, Campbell police officers identified a large amount of flavored tobacco products on display for sale as well as concealed in a hidden room. In total, police officers seized over 630 flavored tobacco items, including corresponding receipts of flavored tobacco sales. The Permittee concealed and did not disclose its intent to offer flavored tobacco products for sale during the permitting process.
Business License Revocation
Item 8.5
Tuesday, July 07, 2026 269 of 492
Under Section 5.01.140 of the Campbell Municipal Code, any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance. A business license may be revoked based on the grounds listed under Section 5.01.145. Staff analysis documenting how the criminal violations recorded on March 5, 2025 meet these grounds are described below in italics:
5.01.145 - Grounds for revocation.
The following are the grounds which shall constitute the basis for the revocation of licenses:
(1) When the continuance of the operations of the licensee under such license shall be contrary to the public health, safety, peace, welfare and morals; Campbell Police Officers seized over 620 flavored tobacco items displayed for sale at the business. Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens.
The sale of illegal products that have been associated with underage smoking is contrary to public health, safety, peace, welfare and morals of the Campbell community.
(2) The violation of any of the penal provisions of this title, or any other applicable law; Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers.
(3) The misrepresentation of a material fact by any applicant in obtaining any license under this title;
Not applicable
(4) The plea, verdict, or judgment of guilty to any public offense involving moral turpitude charges against the licensee;
Not applicable
(5) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. The sale of illegal products that have been associated with underage smoking constitutes a public nuisance
Item 8.5
Tuesday, July 07, 2026 270 of 492
Tobacco Retailer Permit Revocation Appeal
Under Section 5.58.110 of the Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws as described below. Municipal Code section 5.58.120 further provides that “[n]othing in this chapter shall be construed to vest in any person obtaining and maintaining a tobacco retailer's permit any status or right to act as a tobacco retailer in contravention of any provision of law;” and a permit issued contrary to the law may be revoked. Likewise, Municipal Code section 5.58.040(d) prohibits the issuance of a tobacco retailing permit for unlawful retailing.
Based on the documented sale of flavored tobacco at Haze Smoke Shop by Campbell Police Officers on March 5, 2025, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58. Per Section 5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice. Haze Smoke Shop submitted this appeal request on June 15 (attached). The submitted appeal states that the identified flavored tobacco products found onsite were owned by a separate business and not intended for onsite sale.
Per Section 5.58.150 (d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence.
Staff recommends that the City Council deny the appeal and uphold the administrative decision to revoke the Tobacco Retailer Permit based on the documented violations of local, state and federal law, in accordance with Section 5.58.110 of the Municipal Code as follows:
5.58.110 - Penalties and enforcement.
In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a permit has been issued, it shall be a violation of this chapter for a permittee, or any of the permittee's agents or employees, to violate any local, state, or federal law applicable to tobacco products, tobacco paraphernalia, or tobacco retailing.
As documented above, police operations on March 5, 2025 documented the sale of flavored tobacco from the business in question which is a violation of state law and seized more than 620 flavored tobacco items. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. As documented in the police reports, the flavored tobacco items were displayed for sale and the onsite business employees verbally acknowledged that the business sells flavored tobacco items. Based on this violation, staff recommends that the City Council revoke the tobacco retailer permit for the business.
Item 8.5
Tuesday, July 07, 2026 271 of 492
Effect of Revocation of Tobacco Retailer Permit
If the subject business license and tobacco retailer permit for Haze Smoke Shop is revoked in accordance with CMC 5.58.140, any tobacco business will be prohibited from reestablishing tobacco retailing at that location for a period of one calendar year in accordance with CMC 5.58.160. In the event of a second or subsequent revocation at the same location within any sixty-month period, no new tobacco retailer permit may be issued for that location until five calendar years have elapsed from the date of the most recent revocation.
Further, because the City has adopted an interim moratorium on the establishment of new tobacco retailers on March 18, 2025, the business would also be prohibited from relocating to, or establishing operations at, a new location elsewhere in the City where a tobacco retailer permit had not been previously issued.
Effect of Revocation of Business License
If the business license for Haze Smoke Shop is revoked in accordance with CMC
5.01.120, no new or other business license may be issued to the same licensee for a period of six months from the date of revocation. In addition, upon revocation, all business license fees previously paid shall be forfeited to the City Public Notice
Sections 5.01.155 and 5.58.150 of the Campbell Municipal Code require that the City mail notices to the licensee and the subject property owner five and days prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailers Permit. The City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7 Council meeting in accordance with these requirements.
FISCAL IMPACT
The fiscal impact of revoking the business license of the business in question is expected to be nominal with the loss of business license fees and nominal sales tax revenue associated with the tobacco shop in question. On average, stand-alone tobacco retail businesses result in approximately $3,200 in revenue for the city per year.
ALTERNATIVES
If the City Council believes that the evidence presented does not support revocation, it may decline to revoke the Business License, Tobacco Retailer Permit, or both.
PREPARED BY: Rob Eastwood, Community Development Director Item 8.5
Tuesday, July 07, 2026 272 of 492
Report Approval Details
Document Title: Revocation of Business License and Tobacco Retailer Permit for Haze Smoke Shop.docx
Attachments: Incident Report 250305044-1 (Haze Smoke).pdf Haze_2050_S_Bascom_Appeal.pdf
Revocation resolution haze smoke shop.docx
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann, City Attorney
Item 8.5
Tuesday, July 07, 2026 273 of 492
RESOLUTION NO.
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL REVOKING THE BUSINESS LICENSE AND THE
TOBACCO RETAILER PERMIT FOR HAZE SMOKE SHOP AT 2050
SOUTH BASCOM, CAMPBELL
WHEREAS, Haze Smoke Shop, located at 2050 South Bascom, operates under a Business License and a Tobacco Retailer Permit issued on October 6, 2020 (BL#033097) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia; and WHEREAS, pursuant to Section 5.01.140 (Revocation generally) of the Campbell Municipal Code (“CMC”), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and WHEREAS, pursuant to Section 5.58.110 (Penalties and enforcement.) of the Campbell Municipal Code, any business with a tobacco retailer permit shall be subject to penalties and enforcement if they violate any local, state, or federal laws applicable to tobacco products, tobacco paraphernalia, or tobacco retailing; and WHEREAS, during an inspection of the business on March 5, 2025, Campbell police officers identified a large amount of flavored tobacco products on display for sale as well as concealed in a hidden room; in total, police officers seized over 630 flavored tobacco items, including corresponding receipts of flavored tobacco sales; the Permittee concealed and did not disclose its intent to offer flavored tobacco products for sale during the permitting process; and
WHEREAS, the sale, offer for sale, or possession with intent to sell prohibited flavored tobacco products is a violation of State law; California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers; and
WHEREAS, the actions of the business documented on March 5, 2025, by Campbell police officers constitute grounds for revocation of the business license under Section
5.01.145 (Grounds for revocation.) of the Campbell Municipal Code; and WHEREAS, the actions of the business documented on March 5, 2025, by Campbell police officers also constitute grounds for revocation for the Tobacco Retailer Permit per Section 5.58.120 (Penalties and enforcement.) of the Campbell Municipal Code; WHEREAS, on June 3, 2026, the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58; and Item 8.5
Tuesday, July 07, 2026 274 of 492
City Council Resolution No. Page 2 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
WHEREAS, per Section 5.58.150 of the Municipal Code, the business can request an appeal hearing before the City Council concerning the decision to revoke the Tobacco Retailer Permit, if the request is submitted within 15 days of the revocation notice; and WHEREAS, Haze Downtown Smoke Shop submitted an appeal request on June 15, 2026 within the 15 days of the revocation notice; and
WHEREAS, Per Section 5.58.150(d) of the Campbell Municipal Code, the City Council shall conduct a de novo hearing to approve or deny the appeal of the administrative decision to revoke the Tobacco Retailer Permit, allowing the permittee an opportunity to present any relevant evidence; and
WHEREAS, the Campbell City Council finds that revocation of the Business License and Tobacco Retailer Permit for Haze Smoke Shop is not a “project” subject to the California Environmental Quality Act because the action is an administrative enforcement action that will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and because the action revokes City-issued authorization for the business to continue operating under the subject Business License and Tobacco Retailer Permit based on documented violations, and does not approve any construction, change in land use, physical development, or other activity that may cause a physical environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378; and
WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the Campbell City Council finds that the action is exempt from CEQA under the common sense exemption in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a business license and tobacco retailer permit for an existing business will not have a significant effect on the environment, as the action is regulatory and enforcement-related, does not authorize physical changes to the property, and does not commit the City to any future physical development or use of the site; and WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates to business license revocations, and Section 5.58.150 (Hearing.), which relates to tobacco retailer permit revocations) require that the City mail notices to the business licensee and the subject property owner at least five and ten days (respectively) prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailer Permit; and
WHEREAS, consistent with the requirements of Campbell Municipal Code Section
5.01.155 (Notice of hearing on revocation.), and 5.58.150 (Hearing.) the City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public hearing and has reviewed the entire administrative record including Item 8.5
Tuesday, July 07, 2026 275 of 492
City Council Resolution No. Page 3 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
evidence presented by the business owner regarding the revocation of the Tobacco Retailer Permit prior to making a decision regarding this revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 – Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law; (3) The applicant misrepresented a material fact in obtaining a license under this title; (4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Tobacco Retailer Permit Revocation Findings (CMC Sec. 5.58.120 – Suspension or Revocation of Permit):
(a) The offering of flavored tobacco products for sale is a violation of State law, which would be a basis to deny the tobacco retail permit pursuant to Campbell Municipal Code section 5.58.040(d). California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers;
(b) The permittee did not disclose its intention to offer flavored tobacco products in its application, rendering its application false and inaccurate in violation of Campbell Municipal Code section 5.58.040(a);
(c) The revocation of a tobacco retailer permit as a penalty is cumulative and may be levied in addition to any other remedies available at law or in equity. (d) The permittee, or the permittee’s agents or employees, caused, permitted, aided, abetted, or concealed a violation of CMC Chapter 5.58 (Tobacco Retailer Permit), which also constitutes a violation of CMC Chapter 5.58 (Tobacco Retailer Permit). (e) The violations of CMC Chapter 5.58 (Tobacco Retailer Permit) constitute public nuisances pursuant to CMC Section 6.10.020(a)(6)(Q).
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, and, in the alternative, is exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3); affirms that the grounds for revocation have been met under Sections 5.01.140 (Revocation generally.) and 5.58.120 (Suspension or Revocation of Permit) of the Campbell Municipal Code; and Item 8.5
Tuesday, July 07, 2026 276 of 492
City Council Resolution No. Page 4 of 4
Revocation of Business License and Tobacco Retailer Permit for California Cigar and More #3
hereby revokes the Business License and Tobacco Retailer Permit for Haze Smoke Shop, located at 2050 South Bascom, Campbell; and denies the appeal.
PASSED AND ADOPTED this __ day of ______, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
APPROVED:
______________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 8.5
Tuesday, July 07, 2026 277 of 492
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Item 8.5
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Item 8.5
Tuesday, July 07, 2026 281 of 492
Item 8.5
Tuesday, July 07, 2026 282 of 492
Item 8.5
Tuesday, July 07, 2026 283 of 492
Item 8.5
Tuesday, July 07, 2026 284 of 492
City Council Report
DATE: July 7, 2026
TITLE: Public Hearing to Consider Adoption of a Resolution revoking the Business License for Sage Smoke Shop, located at 484 West Hamilton Avenue, Campbell (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a Resolution revoking the Business License for Sage Smoke Shop, located at 484 West Hamilton Avenue, Campbell.
EXECUTIVE SUMMARY
The City Council is being asked to consider revocation of the Business License for Sage Smoke Shop based on documented criminal activity occurring at the business, as reported by the Campbell Police Department.
Under the Campbell Municipal Code, a business license and tobacco retailer permit may be revoked when continued operation is contrary to the public health, safety, peace, welfare, and morals of the community, or when the permittee violates applicable local, state, or federal law.
BACKGROUND
Sage Smoke Shop operates under a Business License (BL#036798) and a Tobacco Retailer Permit issued on January 27, 2025 to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia. The Business License expired on December 21, 2025, and the City has not received a renewal application to date. Businesses that do not act to renew their license within 10 months of expiration (with the payment of penalties) remain expired.
Based on the documented sale of flavored tobacco products as discussed under Police Department Findings (below), the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58.140. As no appeal of this Notice of Intent was received from the business owner within the required 15-day appeal period, the Tobacco Retailer Permit for the business has been revoked effective June 18, 2026.
DISCUSSION
Item 8.6
Tuesday, July 07, 2026 285 of 492
During an inspection of the business by Campbell police officers on March 5, 2025, a large amount of flavored tobacco products was found on display for sale. In total, police officers seized 959 flavored tobacco products. During a second inspection on January 20, 2026, plain clothes police officers were sold flavored tobacco products.
Business License Revocation
Under Section 5.01.140 of the Campbell Municipal Code (CMC), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance. A business license may be revoked based on the grounds listed under Section 5.01.145. Staff analysis documenting how the criminal violations recorded on March 5, 2025, and January 20, 2026, meet these grounds are described below in italics:
5.01.145 - Grounds for revocation.
The following are the grounds which shall constitute the basis for the revocation of licenses:
(1) When the continuance of the operations of the licensee under such license shall be contrary to the public health, safety, peace, welfare and morals; The business has been documented by Campbell Police as selling flavored tobacco twice within a year period and police officers seized over 950 tobacco flavored products. Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens.
The sale of illegal products that have been associated with underage smoking is contrary to public health, safety, peace, welfare and morals of the Campbell community.
(2) The violation of any of the penal provisions of this title, or any other applicable law; Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers.
(3) The misrepresentation of a material fact by any applicant in obtaining any license under this title;
Not applicable
(4) The plea, verdict, or judgment of guilty to any public offense involving moral turpitude charges against the licensee;
Not applicable
(5) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
Item 8.6
Tuesday, July 07, 2026 286 of 492
Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. The sale of illegal products that have been associated with underage smoking constitutes a public nuisance
Effect of Revocation of Tobacco Retailer Permit
As the Tobacco Retailer Permit for Sage Smoke Shop was revoked in accordance with CMC 5.58.140, the business will be prohibited from reestablishing tobacco retailing at that location for a period of one calendar year. In the event of a second or subsequent revocation at the same location within any sixty-month period, no new tobacco retailer permit may be issued for that location until five calendar years have elapsed from the date of the most recent revocation.
Further, because the City has adopted an interim moratorium on the establishment of new tobacco retailers on March 18, 2025, the business would also be prohibited from relocating to, or establishing operations at, a new location elsewhere in the City where a tobacco retailer permit had not been previously issued.
Effect of Revocation of Business License
If the business license for Sage Smoke Shop is revoked in accordance with CMC
5.01.120, no new or other business license may be issued to the same licensee for a period of six months from the date of revocation. In addition, upon revocation, all business license fees previously paid shall be forfeited to the City Public Notice
Sections 5.01.155 of the Campbell Municipal Code require that the City mail notices to the licensee and the subject property owner five days prior to the scheduled Council hearing to consider revocation of the Business License. The City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026 Council meeting in accordance with these requirements.
FISCAL IMPACT
The fiscal impact of revoking the business license of the business in question is expected to be nominal with the loss of business license fees and nominal sales tax revenue associated with the tobacco shop in question. On average, stand-alone tobacco retail businesses result in approximately $3,200 in revenue for the city per year.
ALTERNATIVES
Item 8.6
Tuesday, July 07, 2026 287 of 492
If the City Council believes that the evidence presented does not support revocation, it may decline to revoke the Business License.
PREPARED BY: Rob Eastwood, Community Development Director Item 8.6
Tuesday, July 07, 2026 288 of 492
Report Approval Details
Document Title: Revocation of Business License and Tobacco Retailer Permit for Sage Smoke Shop.docx
Attachments: Incident Report 250305049-1 (Sage Smoke Shop).pdf Incident Report 260120035-1 (Sage Smoke Shop).pdf
Revocation resolution sage smoke shop.docx
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann, City Attorney
Item 8.6
Tuesday, July 07, 2026 289 of 492
RESOLUTION NO.
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL REVOKING THE BUSINESS LICENSE FOR SAGE
SMOKE SHOP 484 WEST HAMILTON, CAMPBELL
WHEREAS, Sage Smoke Shop, located at 484 West Hamilton., operates under a Business License and a Tobacco Retailer Permit issued on January 27, 2025 (BL#036798) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia; and
WHEREAS, pursuant to Section 5.01.140 (Revocation generally.) of the Campbell’s Municipal Code (“CMC”), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and WHEREAS, during an inspection of the business by Campbell police officers on March 5, 2025, a large amount of flavored tobacco products was found on display for sale; in total, police officers seized 959 flavored tobacco products; during a second inspection on January 20, 2026, plain clothes police officers were sold flavored tobacco products; and
WHEREAS, sales of flavored nicotine from the business is a violation of State Law; California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers; and WHEREAS, the actions of the business documented on March 5, 2025 and January 20, 2026, by Campbell police officers constitute grounds for revocation of the business license under Section 5.01.145 (Grounds for revocation.) of the Campbell Municipal Code; and WHEREAS, the Campbell City Council finds that revocation of the Business License for Sage Smoke Shop is not a “project” subject to the California Environmental Quality Act because the action is an administrative enforcement action that will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and because the action revokes City-issued authorization for the business to continue operating under the subject Business License and Tobacco Retailer Permit based on documented violations, and does not approve any construction, change in land use, physical development, or other activity that may cause a physical environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378; and WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the Campbell City Council finds that the action is exempt from CEQA under the common sense exemption in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a business license and tobacco retailer permit for an existing business will not have a significant effect on the environment, as the action is Item 8.6
Tuesday, July 07, 2026 290 of 492
City Council Resolution No. Page 2 of 3
Revocation of Business License and Tobacco Retailer Permit for Sage Smoke Shop regulatory and enforcement-related, does not authorize physical changes to the property, and does not commit the City to any future physical development or use of the site; and WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates to business license revocations, requires that the City mail notices to the business licensee and the subject property owner at least five prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailers Permit;
WHEREAS, consistent with the requirements of Campbell Municipal Code Section
5.01.155 (Notice of hearing on revocation), the City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and
WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public hearing and has reviewed the entire administrative record prior to making a decision regarding this revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 – Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law; (3) The applicant misrepresented a material fact in obtaining a license under this tile; (4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, and, in the alternative, is exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3); affirms that the grounds for revocation have been met under Sections 5.01.140 (Revocation generally.) of the Campbell Municipal Code; and hereby revokes the Business License for Sage Smoke Shop located at 484 West Hamilton, Campbell.
PASSED AND ADOPTED this __ day of ______, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
Item 8.6
Tuesday, July 07, 2026 291 of 492
City Council Resolution No. Page 3 of 3
Revocation of Business License and Tobacco Retailer Permit for Sage Smoke Shop ABSENT: COUNCILMEMBERS:
APPROVED:
______________________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 8.6
Tuesday, July 07, 2026 292 of 492
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Tuesday, July 07, 2026 299 of 492
City Council Report
DATE: July 7, 2026
TITLE: Public Hearing to Consider Adoption of a Resolution revoking the Business License for Dreamy Exotics located at 835 Union Avenue, Campbell. (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a Resolution revoking the Business License for Dreamy Exotics located at 835 Union Avenue, Campbell.
EXECUTIVE SUMMARY
The City Council is being asked to consider revocation of the Business License for Dreamy Exotics based on documented criminal activity occurring at the business, as reported by the Campbell Police Department.
Under the Campbell Municipal Code, a business license may be revoked when continued operation is contrary to the public health, safety, peace, welfare, and morals of the community, constitutes a public nuisance, or when the permittee violates applicable local, state, or federal law.
BACKGROUND
Dreamy Exotics operates under a Business License and a Tobacco Retailer Permit issued on April 17, 2024 (BL#036058) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia. The Business License expired on March 31, 2026, and the city has not received a renewal application to date. Businesses that do not act to renew their license within 10 months of expiration (with the payment of penalties) remain expired.
Based on the documented sale of illegal drugs as discussed under Police Department Findings (below), the Community Development Director issued a Notice of Intent to Revoke the Tobacco Retailer Permit to the business in question on June 3, 2026, in accordance with Campbell Municipal Code Chapter 5.58.140 As no appeal of this Notice of Intent was received from the business owner within the required 15 day appeal period, the Tobacco Retailer Permit for the business has been revoked effective June 18, 2026.
DISCUSSION
Item 8.7
Tuesday, July 07, 2026 300 of 492
Police Department Findings
On March 5, 2025, during an inspection of the business, Campbell police officers identified a large amount of flavored tobacco products on display and officers also documented items labeled as containing Psilocybin and THC, the active ingredient in Marijuana. Officers also discovered a hidden room behind a false door. In total, the police officers seized 718 flavored tobacco products, 426 items containing THC, and 24 items containing Psilocybin. On February 10, 2026, during another inspection of the business, Campbell police officers found psilocybin and psilocybin edible products as well as flavored nicotine for sale. The Permittee concealed and did not disclose its intent to offer flavored tobacco products for sale during the permitting process.
Separately, the business has been subject to two separate burglary incidents. On February 22, 2025, four suspects driving stolen cars pulled down the security gate and entered the business and subsequently fled when officers arrived. On April 25, 2025, suspects entered the business by ripping off the metal security gate and breaking the glass window to steal merchandise.
Business License Revocation
Under Section 5.01.140 of the Campbell Municipal Code, any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance. A business license may be revoked based on the grounds listed under Section 5.01.145. Staff analysis documenting how the criminal violations recorded by Campbell Police meet these grounds are described below in italics :
5.01.145 - Grounds for revocation.
The following are the grounds which shall constitute the basis for the revocation of licenses:
(1) When the continuance of the operations of the licensee under such license shall be contrary to the public health, safety, peace, welfare and morals; Campbell Police Officers have documented during two separate inspections the sale of illegal drugs from the business, including psilocybin, THC, and flavored tobacco. Sales of psilocybin from the business is a violation of State and Federal Law. Psilocybin is illegal at the federal level as a Schedule I substance. Psilocybin acts as a serotonin receptor to produce hallucinogenic effects. Sales of flavored tobacco is a violation of State Law and sales of THC (Cannabis) is a violation of the Campbell Municipal Code. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. The business has also been burglarized, which in combination with the onsite possession of illegal drugs, represents an attractive nuisance. The combination of these activities (illegal drug Item 8.7
Tuesday, July 07, 2026 301 of 492
sales, burglary) is contrary to public health, safety, peace, welfare and morals of the Campbell community.
(2) The violation of any of the penal provisions of this title, or any other applicable law; The sale of psilocybin and flavored tobacco from the subject business is a violation of state and federal law.
(3) The misrepresentation of a material fact by any applicant in obtaining any license under this title;
The applicants obtained a Business License for the sale of Tobacco and Tobacco related products but have been documented by Campbell Police offices selling Psilocybin, an illegal drug, in addition to THC/ cannabis and flavored tobacco. (4) The plea, verdict, or judgment of guilty to any public offense involving moral turpitude charges against the licensee;
Not applicable
(5) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
The business has a documented history over two inspections approximately one year apart of illegal drug sales, constituting a public nuisance. Sales of psilocybin from the business is a violation of State and Federal Law. Psilocybin is illegal at the federal level as a Schedule I substance. Psilocybin acts as a serotonin receptor to produce hallucinogenic effects. Sales of flavored tobacco is a violation of State Law. California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers. The ban on sale of flavored tobacco is intended to keep flavored tobacco away from kids and teens. Multiple onsite burglary shows that the business is an attractive nuisance. The combination of these activities (illegal drug sales, burglary) constitutes a public nuisance.
Effect of Tobacco Retailer Permit
As the Tobacco Retailer Permit for Dreamy Exotics was revoked in accordance with CMC
5.58.140, the business will be prohibited from reestablishing tobacco retailing at that location for a period of one calendar year. In the event of a second or subsequent revocation at the same location within any sixty-month period, no new tobacco retailer permit may be issued for that location until five calendar years have elapsed from the date of the most recent revocation.
Further, because the City has adopted an interim moratorium on the establishment of new tobacco retailers on March 18, 2025, the business would also be prohibited from relocating to, or establishing operations at, a new location elsewhere in the City where a tobacco retailer permit had not been previously issued.
Item 8.7
Tuesday, July 07, 2026 302 of 492
Effect of Revocation of Business License
If the business license for Dreamy Exotics is revoked in accordance with CMC 5.01.120, no new or other business license may be issued to the same licensee for a period of six months from the date of revocation. In addition, upon revocation, all business license fees previously paid shall be forfeited to the City
Public Notice
Sections 5.01.155 of the Campbell Municipal Code require that the City mail notices to the licensee and the subject property owner five days prior to the scheduled Council hearing to consider revocation of the Business License. The City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7 Council meeting in accordance with these requirements.
FISCAL IMPACT
The fiscal impact of revoking the business license of the business in question is expected to be nominal with the loss of business license fees and nominal sales tax revenue associated with the tobacco shop in question. On average, stand-alone tobacco retail businesses result in approximately $3,200 in revenue for the city per year.
ALTERNATIVES
If the City Council believes that the evidence presented does not support revocation, it may decline to revoke the Business License.
PREPARED BY: Rob Eastwood, Community Development Director Item 8.7
Tuesday, July 07, 2026 303 of 492
Report Approval Details
Document Title: Revocation of Business License and Tobacco Retailer Permit for Dreamy Exotics.docx
Attachments: Resolution - Revocation Dreamy Exotics.docx Incident Report 250222021-1 (Dreamy Exotic Smoke Shop).pdf Incident Report 250305038-1 (Dreamy Exotic Smoke Shop).pdf Incident Report 250426010-1 (Dreamy Exotic Smoke Shop).pdf Incident Report 260210009-1 - (Dreamy Exotic Smoke Shop).pdf Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann, City Attorney
Item 8.7
Tuesday, July 07, 2026 304 of 492
RESOLUTION NO.
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL REVOKING THE BUSINESS LICENSE FOR DREAMY
EXOTICS AT 835 UNION AVENUE, CAMPBELL
WHEREAS, Dreamy Exotics, located at 835 Union Avenue., operates under a Business License and a Tobacco Retailer Permit issued on April 17, 2024 (BL#036058) to operate as a Tobacco Store and to sell tobacco and tobacco related paraphernalia; and
WHEREAS, pursuant to Section 5.01.140 (Revocation generally) of the Campbell Municipal Code (“CMC”), any business license is subject to revocation based on complaints received, including a written report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and WHEREAS, on March 5, 2025, during an inspection of the business, Campbell police officers identified a large amount of flavored tobacco products on display and officers also documented items labeled as containing Psilocybin and THC, the active ingredient in Marijuana; officers also discovered a hidden room behind a false door; on February 10, 2026, during an inspection of the business, Campbell police officers found psilocybin and psilocybin edible products as well as flavored nicotine for sale; and WHEREAS, psilocybin, which acts as a serotonin receptor to produce hallucinogenic effects, is illegal at the federal level and classified as a Schedule I substance; and WHEREAS, sales of flavored nicotine from the business are a violation of State Law; California Health and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and tobacco product flavor enhancers; and WHEREAS, the actions of the business documented on March 5, 2025 and February 10, 2026, by Campbell police officers constitute grounds for revocation of the business license under Section 5.01.145 (Grounds for revocation) of the Campbell Municipal Code; and WHEREAS, the Campbell City Council finds that revocation of the Business License for Dreamy Exotics is not a “project” subject to the California Environmental Quality Act because the action is an administrative enforcement action that will not result in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and because the action revokes City-issued authorization for the business to continue operating under the subject Business License and Tobacco Retailer Permit based on documented violations, and does not approve any construction, change in land use, physical development, or other activity that may cause a physical environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378; and Item 8.7
Tuesday, July 07, 2026 305 of 492
City Council Resolution No. Page 2 of 3
Revocation of Business License and Tobacco Retailer Permit for Dreamy Exotics WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the Campbell City Council finds that the action is exempt from CEQA under the common sense exemption in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a business license and tobacco retailer permit for an existing business will not have a significant effect on the environment, as the action is regulatory and enforcement-related, does not authorize physical changes to the property, and does not commit the City to any future physical development or use of the site; WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates to business license revocations, requires that the City mail notices to the business licensee and the subject property owner at least five prior to the scheduled Council hearing to consider revocation of the Business License and Tobacco Retailers Permit; and
WHEREAS, consistent with the requirements of Campbell Municipal Code Section
5.01.155 (Notice of hearing on revocation), the City Clerk has mailed notices to the subject business licensee and property owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and
WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public hearing and has reviewed the entire administrative record prior to making a decision regarding this revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 – Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law; (3) The applicant misrepresented a material fact in obtaining a license under this tile; (4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or disorderly.
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378, and, in the alternative, is exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3); affirms that the grounds for revocation have been met under Sections 5.01.140 (Revocation generally.) of the Campbell Municipal Code; and hereby revokes the Business License for Dreamy Exotics located at 835 Union Avenue, Campbell.
Item 8.7
Tuesday, July 07, 2026 306 of 492
City Council Resolution No. Page 3 of 3
Revocation of Business License and Tobacco Retailer Permit for Dreamy Exotics PASSED AND ADOPTED this __ day of ______, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
APPROVED:
______________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 8.7
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Item 8.7
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Item 8.7
Tuesday, July 07, 2026 337 of 492
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Item 8.7
Tuesday, July 07, 2026 339 of 492
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Item 8.7
Tuesday, July 07, 2026 340 of 492
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Item 8.7
Tuesday, July 07, 2026 341 of 492
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Tuesday, July 07, 2026 344 of 492
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Tuesday, July 07, 2026 351 of 492
City Council Report
DATE: July 7, 2026
TITLE: Placing the Cost of Abating Hazardous Vegetation on the Property Tax Assessment Roll (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a resolution placing the cost of abating hazardous vegetation on the property tax assessment roll.
DISCUSSION
Abatement of hazardous vegetation (weeds) in Campbell is managed through the Weed Abatement Division of the Santa Clara County Department of Agriculture and Environmental Management (County), upon action of the City to notice and authorize abatement.
On December 2, 2025, the City Council declared weeds to be a public nuisance, allowing the County to send notices to property owners whose properties were overgrown with weeds. The notice advised that the weeds must be voluntarily removed or that removal would be performed by the County at the owner’s expense.
On February 17, 2026, the City Council held a public hearing to receive protests from property owners whose properties were identified as having a weed problem and to direct the County to proceed with abatement on those properties where weeds were not voluntarily removed by the owners.
The final assessment report from County Weed Abatement staff is included as Exhibit A of the draft resolution. It identifies 75 properties that will be assessed a fee. Of these, 67 passed the initial inspection ($296 fee), and 8 failed the initial inspection. The list also incorporates City Council direction from the February 17, 2026, hearing. The assessments will be placed on the property tax roll as a lien and collected together with all other property taxes.
FISCAL IMPACT
No financial impact will be incurred by the City by placing the cost of inspection and weed abatement on the tax rolls. The County will assess a total of $34,428.53 in fees from the Item 9.1
Tuesday, July 07, 2026 352 of 492
75 property owners. Starting in Fiscal Year 2027, the cost to the city for the County’s services to manage the weed abatement program will be $27,000.
PREPARED BY: Randy Sweet, Code Enforcement Officer
Item 9.1
Tuesday, July 07, 2026 353 of 492
Report Approval Details
Document Title: Placing the Cost of Abating Hazardous Vegetation on the Property Tax Assessment Roll .docx
Attachments: CC Resolution 2026 Weed abatement .docx
Exhibit A - Campbell Assessment Report .pdf
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
Item 9.1
Tuesday, July 07, 2026 354 of 492
RESOLUTION NO. ____
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL
PLACING THE COST OF ABATING HAZARDOUS VEGETATION ON THE PROPERTY TAX ASSESSMENT ROLL.
WHEREAS, the City Council of the City of Campbell did on the 17th day of February 2026 hold a Public Hearing for the purpose of hearing any objections by any of the property owners liable to be assessed for the work of abating hazardous vegetation on their property; and
WHEREAS, the Santa Clara County Department of Agriculture and Environmental Management recommended that the cost of abating nuisance of hazardous vegetation on such property shall constitute special assessments against such property and shall constitute a lien on such property for the amount of such assessments, as outlined in Exhibit A and made a part hereof;
NOW, THEREFORE, BE IT RESOLVED that the Santa Clara County Department of Agriculture and Environmental Management shall cause the amount of assessment to be entered on the City assessment roll opposite the description of the particular property and the amount shall be collected together with all other taxes thereon upon the property.
Thereafter, such amounts shall be collected at the same time and in the same manner as general City taxes. All laws and ordinances applicable to the levy, collection and enforcement of City taxes are hereby made applicable to such special assessment.
BE IT FURTHER RESOLVED that the property owners have the option, if they so desire, of paying the assessment directly to the Santa Clara County Collector’s Office before said entry on said assessment roll as outlined in Exhibit A and attached hereto.
PASSED AND ADOPTED this __ day of ___, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSTAINED: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
APPROVED:
________________________
Daniel E. Furtado, Mayor
ATTEST:
______________________________
Andrea Sanders, City Clerk
Item 9.1
Tuesday, July 07, 2026 355 of 492
Situs APN Tax Roll Amount
1 95 E HAMILTON AV 279-27-096 $296.00
2 499 E HAMILTON AV 279-30-051 $592.00
3 1288 RIDGELEY DR 288-14-002 $296.00
4 430 QUEENS CT 305-18-031 $296.00
5 412 KINGS CT 305-18-046 $296.00
6 465 W CAMPBELL AV 305-24-021 $296.00
7 301 BUDD AV 305-35-018 $296.00
8 599 INWOOD DR 403-08-088 $296.00
9 1009 S SAN TOMAS AQUINO RD 403-10-124 $296.00
10 1410 WESTMONT AV 403-14-005 $296.00
11 1265 BURROWS RD 403-16-113 $296.00
12 1270 W HACIENDA AV 403-16-115 $296.00
13 1250 W HACIENDA AV 403-16-116 $296.00
14 1420 VAN DUSEN LN 403-19-025 $296.00
15 1615 WESTMONT AV 403-44-040 $296.00
16 4034 SADIE CT 404-17-023 $592.00
17 780 JEFFREY AV 404-23-001 $296.00
18 638 SOBRATO LN 404-23-024 $296.00
19 751 BUDD AV 404-24-041 $296.00
20 781 JEFFREY AV 404-24-070 $296.00
21 996 KENNETH AV 404-30-020 $296.00
22 912 SOBRATO DR 404-30-062 $296.00
23 800 SOBRATO DR 404-30-070 $296.00
24 611 LAURA DR 404-31-001 $296.00
25 621 LAURA DR 404-31-002 $296.00
26 629 LAURA DR 404-31-003 $296.00
27 775 W SUNNYOAKS AV 404-32-014 $296.00
28 803 W SUNNYOAKS AV 404-32-016 $296.00
29 817 W SUNNYOAKS AV 404-32-017 $296.00
30 772 MARILYN DR 404-32-045 $296.00
31 805 SHARMON PALMS LN 404-32-054 $296.00
32 817 SHARMON PALMS LN 404-32-055 $592.00
33 747 MARILYN DR 404-33-002 $296.00
34 905 MARILYN DR 404-33-031 $296.00
35 587 VIRGINIA AV 406-01-006 $296.00
36 625 VIRGINIA AV 406-01-009 $296.00
37 671 VIRGINIA AV 406-01-012 $296.00
38 1103 HAZEL AV 406-02-027 $296.00
39 1121 HAZELWOOD AV 406-02-034 $592.00
40 955 LINDA DR 406-05-017 $296.00
41 965 LINDA DR 406-05-018 $296.00
42 975 LINDA DR 406-05-019 $296.00
43 978 LINDA DR 406-05-037 $296.00
44 891 CONNIE DR 406-05-045 $6,493.53
45 920 S SAN TOMAS AQUINO RD 406-06-007 $296.00
46 1200 SMITH AV 406-06-009 $296.00
47 908 KARA WY 406-06-078 $296.00
48 865 BUCKNAM AV 406-07-004 $296.00
49 925 BUCKNAM AV 406-07-010 $296.00
50 1046 LOVELL AV 406-07-016 $592.00
51 1032 LOVELL AV 406-07-017 $296.00
52 1030 CONNIE DR 406-07-036 $296.00
53 1008 CONNIE DR 406-07-039 $296.00
54 976 CONNIE DR 406-07-042 $296.00
55 948 CONNIE DR 406-07-044 $296.00
ASSESSMENT REPORT
CITY OF CAMPBELL
2026 WEED ABATEMENT PROGRAM
Item 9.1
Tuesday, July 07, 2026 356 of 492
56 870 W SUNNYOAKS AV 406-12-047 $592.00
57 864 W SUNNYOAKS AV 406-12-048 $296.00
58 1236 HACIENDA AV 406-16-083 $4,551.00
59 1017 STEINWAY AV 406-17-035 $296.00
60 1021 STEINWAY AV 406-17-036 $296.00
61 1052 STEINWAY AV 406-17-042 $296.00
62 1217 VIRGINIA AV 406-18-051 $296.00
63 1231 VIRGINIA AV 406-18-052 $296.00
64 1200 THERESA AV 406-19-002 $296.00
65 1300 CORA CT 406-19-004 $296.00
66 700 HACIENDA AV 406-19-036 $296.00
67 1404 THERESA AV 406-23-024 $296.00
68 1429 THERESA AV 406-23-027 $296.00
69 1461 THERESA AV 406-23-029 $296.00
70 999 W PARR AV 406-23-038 $296.00
71 1560 VALE AV 406-23-039 $296.00
72 1080 AUDREY AV 406-24-023 $296.00
73 1420 BURROWS RD 406-25-039 $296.00
74 1246 BRACEBRIDGE CT 406-25-044 $296.00
75 1500 CAMDEN AV 414-04-005 $296.00
TOTAL $34,428.53
Item 9.1
Tuesday, July 07, 2026 357 of 492
City Council Report
DATE: July 7, 2026
TITLE: Authorization to Submit One Bay Area Grant (OBAG) Application (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a resolution authorizing the Public Works Director to submit One Bay Area Grant Cycle 4 (OBAG 4) Program grant application for the Campbell Priority Development Area (PDA) Enhancements Phase 3 Project (PDA Enhancements Phase 3 Project).
BACKGROUND
One Bay Area Grant Cycle 4 (OBAG 4) Call for Projects
In May 2012, the One Bay Area Grant (OBAG) program was created by the Metropolitan Transportation Commission (MTC) to better integrate the region's discretionary Federal Highway Administration's funding program with the Regional Transportation Plan and Sustainable Communities Strategy, now collectively known as Plan Bay Area 2050+.
The purpose of the OBAG program is to strategically advance Plan Bay Area 2050+ implementation through OBAG investments and policies that improve connectivity, equity, and sustainability for all road users.
There have been three previous OBAG cycles. The fourth cycle of OBAG (OBAG 4) covers the four-year period from federal fiscal year (FFY) 2026/27 to FFY 2029/30.
Recent Campbell projects receiving previous OBAG grants include the Campbell Avenue Portals Project, Winchester Boulevard Overlay Project, and the design phase of the Campbell PDA Enhancements Project (Project 22-NN).
On January 16, 2018, the City Council adopted Resolution No. 12274 accepting the final report for Transportation Improvement Plan for Campbell PDA Project (TIPC Study). This study identified infrastructure needs, recommended roadway cross-sections, and developed project concepts and cost estimates for projects in and around the Historic Downtown based on input from staff, the consultant (Community Design + Architecture (CD+A)), and various stakeholder groups (Downtown Campbell Neighborhood Association, Downtown Campbell Business Association (DCBA), Campbell Chamber of Commerce, Campbell City Library, and the Campbell Bicycle and Pedestrian Advisory Committee (BPAC)). The TIPC Study included the Campbell PDA Enhancements Project.
Item 9.2
Tuesday, July 07, 2026 358 of 492
On March 24, 2026, the City Council adopted Resolution No. 26-13375 to accept improvements for the Campbell Priority Development Area Enhancements on Civic Center Drive at Second and Third Streets Phase 1 Project No. 25-DD.
On May 8, 2026, the Santa Clara Valley Transportation Authority (VTA) issued a Call for Projects for Cycle 4 of OBAG. The OBAG 4 Program funds projects that meet the program’s eligibility requirements for projects that address safety and infrastructure improvements and complete streets projects.
On May 19, 2026, the City Council adopted Resolution No. 26-13385 to approve plans and specifications and authorize solicitation of bids for the Campbell PDA Enhancements Phase 2 on Orchard City Drive at South Central Avenue Project.
On June 2, 2026, the City Council reviewed the Proposed Fiscal Year (FY) 2027-2031 Capital Improvement Plan (CIP) as presented and provided direction to staff to proceed with finalizing the budget. The Campbell PDA Enhancements (Harrison Avenue and Civic Center Drive) Phase 3 Project was included among the unfunded projects listed in the FY 2027-2031 CIP.
DISCUSSION
Project types eligible for OBAG 4 funds include, but are not limited to:
Bicycle and pedestrian improvements and programs
Complete streets and sustainable streets improvements Streetscape projects to encourage biking, walking, and transit use Example project elements such as bulb-outs, sidewalk widening, crosswalk enhancements, audible signal modification, on-site stormwater management, and bus shelters.
OBAG 4 Fund Sources
OBAG 4 is funded by two Federal fund sources: Surface Transportation Block Grant Program (STBGP), and Congestion Mitigation and Air Quality Improvement (CMAQ).
STPBG is a flexible source of federal funding that considers a wide range of projects including pedestrian and bicycle facilities. CMAQ is a federal funding source that targets transportation projects that reduce emissions such as ozone, carbon monoxide, or particulate matter. Projects eligible for CMAQ funding include bicycle and pedestrian facilities.
Scoring Criteria
OBAG grant applications will be scored based on criteria including safety, improving access to key community amenities, gap closure and connectivity, multimodal benefits, prior planning efforts, demonstrated community support, equity, local match, and project readiness.
Item 9.2
Tuesday, July 07, 2026 359 of 492
Staff considered a number of candidate projects to submit for OBAG 4 funding. Several candidate projects are not ready for construction or face numerous project phases that cannot be completed within the four-year OBAG 4 grant cycle. Only the Campbell PDA Enhancements Phase 3 Project has design plans that are ready for construction.
Campbell PDA Enhancements Phase 3 Project
In 2024, the plans and specifications for Project 22-NN were divided into phases to allow the City the flexibility to construct the project in phases depending on funding availability.
The Campbell PDA Enhancements project phases included:
Phase 1 (Project No. 25-DD): Construction of pedestrian improvements on Civic Center Drive at Second and Third Streets. This project has been completed. Phase 2 (Project No. 26-NN): Construction of pedestrian improvements on Orchard City Drive at Central Avenue and bicycle improvements on Civic Center Drive, Orchard City Drive, and Campbell Avenue between Winchester Boulevard and Third Street. This project is funded and authorized to solicit bids. Phase 3 (unfunded CIP Project): Construction of pedestrian improvements on Civic Center Drive at Harrison Avenue. The Phase 3 project design is substantially completed and the project ready for construction.
Phase 3 Project Scope
The Phase 3 Project would reconfigure the intersection of Civic Center Drive and Harrison Avenue as follows.
Realign Harrison Avenue to intersect Civic Center Drive at a right angle (currently, Harrison Avenue intersects Civic Center Drive at a skew) Square off northeast and northwest corners of Civic Center Drive/Harrison Avenue intersection
Convert the two-stage Harrison Avenue crossing to a one-stage signalized crosswalk
Modify Civic Center Drive/Harrison Avenue traffic signal Install two high-visibility signalized crosswalks across Civic Center Drive Construct stormwater treatment areas on north side of Civic Center Drive.
This project is eligible for OBAG 4 CMAQ funds which rewards projects that fund pedestrian, bicycle, and signal systems projects designed to support dense development in Priority Development Areas (PDAs) and use of alternative transportation modes by installing complete streets elements. The project is located in the City’s Central Redevelopment Area PDA.
The Campbell Bicycle and Pedestrian Advisory Committee supports this project since the project supports the newly reopened Campbell Library, eliminates the confusing existing two-stage crossing of Harrison Avenue, and improves bicycle safety on Harrison Avenue by lowering speeds.
Staff recommends that the City Council authorize the Public Works Director to submit a grant application to construct the Phase 3 Project.
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OBAG 4 Grant Program Schedule
The OBAG 4 Program schedule is as follows.
OBAG 4 Applications Due Date July 27, 2026
VTA Committees/Working Groups Review Projects August 2026 VTA Board Approval of Project List October 1, 2026
VTA Draft Project List to MTC October 30, 2026
The OBAG 4 funds may become available by the summer of 2027. The construction phase may begin in the fall of 2027 at the earliest.
FISCAL IMPACT
The estimated project cost to construct the Campbell PDA Enhancements Phase 3 Project is $1,771,000. Congressman Sam Liccardo (CA-16) secured a $250,000 grant in federal Community Project Funding/Congressionally Directed Spending (CPFCDS) funds that was awarded to the City to construct this project with no local match required.
Therefore, to the OBAG 4 Program, the unfunded portion of the project cost would be $1,771,000 minus $250,000, or $1,521,000.
The OBAG 4 program requires a minimum local match of 11.47 percent. This match must be provided through local funds and may not include any federal funds. Based on the program’s scoring system, projects will score a maximum number of points for project funding if the local match is greater than or equal to 21 percent. Since the OBAG 4 grant application process will be highly competitive, staff recommends a local match of 21 percent of the net $1,521,000 or approximately $320,000 to improve the chances of a grant award.
Staff recommends the use of the City’s General Fund and/or Measure K funds to serve as funding sources for the City’s local match. Should the City be awarded an OBAG 4 grant, staff will return with an updated recommendation on the proposed source of funds for the local match. See the tables below for recommended sources and uses of funds.
Sources of Funds
Fund Description Budget
OBAG 4 Grant $1,521,000
Federal CPFCDS Funds Grant $250,000
City General Fund and/or Measure K Funds $320,000
Total $1,771,000
Uses of Funds
Task Description Budget
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Construction
Construction Cost Estimate $1,400,000
10% Construction Contingency $140,000
City Staff $231,000
Total $1,771,000
ALTERNATIVES
1. Do not submit an OBAG 4 grant application for the project. This alternative is not recommended since the project does not have sufficient funds. If successful, the City would pay only the local match for each project. In return, the City would be able to close the funding gaps for the projects.
2. Submit an OBAG 4 grant application providing only the minimum 11.47 percent local match. This alternative is not recommended since the OBAG 4 grant process is highly competitive and projects which do not score highly in local match are unlikely to be awarded grants.
PREPARED BY: Matthew Jue, Traffic Engineer
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Report Approval Details
Document Title: report-authorization to submit OBAG 4 grant applications 7-7-26 new business.docx
Attachments: Resolution-Authorization to submit OBAG 4 grant applications .docx
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
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RESOLUTION NO. ___________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL
AUTHORIZING THE PUBLIC WORKS DIRECTOR TO SUBMIT
ONE BAY AREA GRANT (OBAG) PROGRAM GRANT APPLICATIONS
WHEREAS, the Santa Clara Valley Transportation Authority (VTA) has issued a call for projects for the One Bay Area Grant Cycle 4 (OBAG 4) program; and WHEREAS, the One Bay Area Grant (OBAG) program funded by the Surface Transportation Block Grant Program (STBGP), and Congestion Mitigation and Air Quality Improvement (CMAQ); and
WHEREAS, the OBAG program requires a minimum 11.47 percent local match; and WHEREAS, staff recommends the Campbell Priority Development Area (PDA) Enhancements Phase 3 Project to be submitted as a Complete Streets Project to compete for CMAQ funds for the construction phase of this project; and WHEREAS, the estimated project cost to construct the Campbell PDA Enhancements Phase 3 Project is $1,771,000; and
WHEREAS, Congressman Sam Liccardo (CA-16) secured a $250,000 grant in federal Community Project Funding/Congressionally Directed Spending (CPFCDS) funds that was awarded to the City to construct this project with no local match required; and WHEREAS, staff recommends a 21% local match for the Campbell PDA Enhancements Phase 3 Project since the OBAG 4 grant application process will be highly competitive; and
WHEREAS, staff recommends that the City’s General Fund and/or Measure K funds be used to serve as a funding source for the City’s local match; and WHEREAS, staff will return with an updated recommendation on the proposed source of funds for the local match should the City be awarded an OBAG 4 grant.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Campbell that the Public Works Director is hereby authorized to submit an OBAG 4 grant application for the Campbell PDA Enhancements Phase 3 Project to compete for OBAG 4 CMAQ funds; and
BE IT FURTHER RESOLVED that the City of Campbell will provide a 21 percent local match for the construction phase of the PDA Enhancements Phase 3 Project should OBAG 4 funds be awarded to the City of Campbell; and
BE IT FURTHER RESOLVED that staff recommends that the City’s General Fund or Measure K funds be used to serve as a funding source for the City’s local match; and Item 9.2
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BE IT FURTHER RESOLVED that staff will return with an updated recommendation on the proposed source of funds for the local match should the City be awarded an OBAG 4 grant.
PASSED AND ADOPTED this ___day of _______2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS
ABSENT: COUNCILMEMBERS:
APPROVED:
_______________________
Daniel E. Furtado, Mayor
ATTEST:
___________________________
Andrea Sanders, City Clerk
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City Council Report
DATE: July 7, 2026
TITLE: Authorization of FY 2026-27 Measure O Tax Rate (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a resolution authorizing an ad valorem tax levy based on a debt service estimate to be provided to Santa Clara County regarding general obligation bonds for Fiscal Year 2026-27.
BACKGROUND
On November 6, 2018, City of Campbell voters approved Measure O with a ‘Yes’ vote of
69.5% by the citizens that voted in the General Election. Bonds issued pursuant to Measure O were authorized to be issued in the aggregate amount of up to $50 million to construct and/or renovate City facilities to house Police and Library services, as described in the Measure O ballot materials. On August 5, 2021, the City issued $20,000,000 in the first series of Measure O Bonds. On June 22, 2022, the City issued the second and final series of bonds ($30,000,000). Annual debt service for both bonds is approximately $2,600,000 per year.
DISCUSSION
The City has set ad valorem property tax levy rates necessary to support debt service payments on the Measure O bonds since tax year 2019-20; with historical rates shown in Table 1 below:
Table 1 – Measure O Tax Rate History
Year Tax Rate
2019-20 $10.00 per $100,000 (0.0100%)
2020-21 $10.00 per $100,000 (0.0100%)
2021-22 $17.50 per $100,000 (0.0175%)
2022-23 $20.00 per $100,000 (0.0200%)
2023-24 $17.50 per $100,000 (0.0175%)
2024-25 $17.00 per $100,000 (0.0170%)
2025-26 $17.00 per $100,000 (0.0170%)
As shown in Table 1, these rates increased slightly through the 2022-23 tax year, leveled off, and have decreased the past three years. And it is anticipated that as the City’s total Item 9.3
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assessed value continues to increase and given level debt service payments, the tax rate will slowly decrease over time until all the bonds are paid off (2049-50). The purpose of this report is to request Council authorization to establish a 2026-27 tax levy that is sufficient to pay for actual debt service for the Measure O general obligation bonds. Thus, staff requests Council authorization to place an ad valorem tax levy of $17.00 per $100,000 (0.0170%) of assessed valuation on taxable property within the City of Campbell on the 2026-27 tax roll for the purposes stated above. This is the same rate as 2025-26 and sufficient to pay Measure O debt service in full in 2026-27. Approval of the staff proposed actions will also allow City staff to communicate the approved ad valorem tax levy and associated debt service estimate to Santa Clara County by their enrollment deadline of August 5, 2026, for 2026-27 tax assessments.
Levying property tax in 2026-27 will help to ensure that the tax rate does not exceed the projected maximum tax rate of $27.33 per $100,000 (0.0273%) estimated in the Measure O Tax Rate Statement and tax revenues collected are able to fully support all debt service costs. As such, with guidance from the City’s municipal advisor, staff again requests and recommends that the ad valorem tax levy for 2026-27 be set at a rate of $17.00 per $100,000 (0.0170%). This rate is again sufficient to meet estimated debt service needs in 2026-27.
The original financing plan and Tax Rate Statement provided to City of Campbell voters again estimated an average tax rate of $19 per $100,000 of assessed valuation of all property to be taxed and a maximum tax rate of $27.33 per $100,000 of assessed valuation over the term of all Measure O bond issuances. Total debt service costs were estimated to be $90.5 million. Based on the final issuance of the entire Measure O general obligation bond authorization, the total net debt service is $77,658,020 (representing a reduction of $12,841,980 based on what was represented to the City voters). The average tax rate is now estimated to be $12.39 per $100,000 of assessed valuation and a maximum tax rate of $20.00 per $100,000 of assessed valuation. In Chart 1 below, Council will find a comparison of originally projected tax rates and currently projected tax rates given City staff and the financing team’s recommendations before Council:
Chart 1 – Campbell Measure O Tax Rate Projection
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Based on estimated projections by the County Assessor’s Office, the City should anticipate 3.50% growth for taxable property within the City of Campbell for 2026-27, generating a Measure O tax levy of approximately $2,700,000 in 2026-27. This is $100,000 more than what is needed to pay for debt service in FY 2026-27, but any excess tax collections if received will be set aside and used to decrease the tax rate in future years. For reference, tax revenues collected may only be used only to pay debt service due on Measure O general obligation bonds.
All tax revenues collected, and all bond proceeds received, have and will be placed into separate Measure O funds and will be segregated from the City’s General Fund. Tax revenues collected and debt service costs are shown in City Fund 348 (Measure O Bond).
Tax revenues can again only be used to pay for debt service costs and cannot pay for project costs. All bond proceeds and project costs are shown in City Fund 448 (Measure O Capital Projects). Project costs will be paid by bond proceeds as will City project costs incurred to date and in the future.
And lastly, per inquiry from the public when Measure O tax rates were set last year, staff has been working with its municipal advisor to determine whether keeping the tax rate the same at $17.00 per $100,000 (0.0170%) in all future years while assessed valuations continue to increase would allow the City to pay off its bonds earlier than their planned payoff in FY 2049-50. Based on preliminary analysis, such a strategy may be possible, but staff and its municipal advisor continue to analyze it. Should such a plan be viable and fiscally prudent, staff will return to Council at a later date for consideration. As of now, the Measure O tax rate is already estimated to stay the same two more fiscal years at least through FY 2027-28. Thus, the City has sufficient time to continue its analysis and act in a timely and appropriate manner.
FISCAL IMPACT
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If approved, a Measure O property tax levy of $17.00 per $100,000 (0.0170%) of assessed valuation within the City of Campbell in 2026-27 will generate approximately $2,700,000 and support debt service payments.
ALTERNATIVES
1. Do not adopt the resolution and provide alternate payment sources for the outstanding general obligation bonds and provide direction to staff.
PREPARED BY: Will Fuentes, Finance Director
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Report Approval Details
Document Title: Report - Authorization of FY 2026-27 Measure O Tax Rate.docx
Attachments: Attachment 1 - Resolution Measure O Tax Levy FY 2026-
27.docx
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
Will Fuentes
Andrea Sanders
Brian Loventhal
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1 RESOLUTION NO. ____
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL
AUTHORIZING AN AD VALOREM TAX LEVY BASED ON A DEBT
SERVICE ESTIMATE TO BE PROVIDED TO SANTA CLARA COUNTY
RESPECTING UNSOLD GENERAL OBLIGATION BONDS
FOR FISCAL YEAR 2026-27
WHEREAS, more than two-thirds of the electors voting at an election duly and regularly held in the City of Campbell (the “City”) on November 6, 2018, voted in favor of a bond measure known as Measure O (the “Bond Measure”), authorizing the issuance by the City of general obligation bonds in the aggregate principal amount of $50,000,000 for the purpose of providing funds for certain municipal improvements; and WHEREAS, on August 5, 2021, the City issued an initial series of bonds pursuant to the authority of the Bond Measure in an aggregate principal amount of $20,000,000 (the “Series A Bonds”); and
WHEREAS, on June 22, 2022, the City issued a subsequent and final series of the Bonds pursuant to the authority of the Bond Measure in an aggregate principal amount of $30,000,000 (the “Series B Bonds” and, together with the Series A Bonds, the “Bonds”); and
WHEREAS, the City requires a tax to be placed on the 2026-27 tax roll to provide for payments of any principal or interest coming due on the Bonds; and WHEREAS, the City Council of the City (the "City Council") wishes to inform the County of Santa Clara (the “County”) of the necessity to levy a tax for the Bonds; and WHEREAS, the City Council wishes at this time to separately authorize the City Manager and the Finance Director to make certain communications with the County respecting the foregoing.
THEREFORE, BE IT RESOLVED that the City Council hereby finds, determines, declares and resolves as follows:
Section 1. Recitals. The City Council hereby finds and determines that the foregoing recitals are true and correct.
Section 2. Information to County. The Mayor, the City Manager, the Finance Director and the City Clerk are each hereby separately authorized to (a) file a certified copy of this Resolution with the Clerk of the Board of Supervisors and such other County officials as the County shall require to facilitate such levy, and (b) provide, or cause to be provided, an estimate of debt service for the Bonds to the Auditor-Controller of the County.
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2 Section 3. Request to County to Levy Tax. The Board of Supervisors of the County is hereby requested to adopt a tax rate of $17.00 per $100,000 (0.0170%) with respect to the City, based upon the final debt service schedules for the Bonds, and to levy a tax in fiscal year 2026-27 on all taxable property in the City sufficient to pay the estimated debt service.
Section 4. Application of Tax. As provided in Section 43634 of the California Government Code, all taxes levied pursuant to this Resolution shall be used only for payment of the Bonds and the interest thereon.
Section 5. Effective Date. This resolution shall take effect immediately upon its adoption.
***************
I, Andrea Sanders, hereby certifies that the foregoing Resolution No. ___ was adopted at a regular meeting of the Campbell City Council on July 7, 2026, by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
APPROVED:
__________________________
Daniel E. Furtado, Mayor
ATTEST:
_______________________
Andrea Sanders, City Clerk
Item 9.3
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City Council Report
DATE: July 7, 2026
TITLE: Third Party Building Plan Check and Inspection – Approval & Award (Resolution/Roll Call Vote)
RECOMMENDED ACTION:
That the City Council adopt a resolution approving Consultant Service Agreements with True North, West Coast Code Consultants, O‘Brien Code Consulting, Shums Coda Associates, Urban 37, and NV5 for Building Plan Check and Inspection services; with a not to exceed contract amount of $500,000 for each service agreement for a maximum contract term of three (3) years; and authorizing the City Manager to amend, negotiate, and execute a service contract with the six firms.
BACKGROUND
The Building Division of the Community Development Department provides plan check of building permit applications and inspection of building construction to ensure applications are compliant with health and safety regulations as outlined in California Administrative Code and California Code of Regulations, Title 24, also referred to as the California Building Standards Code.
The city receives applications for development projects for which the available Building Division staff may not possess the certifications necessary to perform the plan examination required, or the volume and/or expedited timeline exceeds what can be provided by in-house staff. The city has recognized the need for third party assistance in performing services when these applications arise, in order to maintain the level of service, and ensure the safety of the residents in the community. This results in time and cost savings compared to diverting Building Division staff resources to conduct planchecks resulting in delays in other processes and impacting customer service to applicants and the public.
In addition, based on the size and complexity of the development project, the Building Division also obtains third party inspection services to conduct building inspection during project construction, ensuring compliance with applicable local and state construction standards. Third party inspection services are often used for focused services on larger Item 9.4
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projects, freeing up Building Inspection staff to provide better customer service to different building projects that need ongoing inspection services.
Third party plan check and inspection services are funded by building permit fees paid by applicants and thus do not affect the City’s General Fund.
On February 1, 2023, the City of Campbell entered into service agreements with four firms to provide third party plan check and inspection services for a contract term of three years, following a competitive Request for Qualifications (RFQ) procurement process. On January 14, 2026, the service agreements with the four firms were extended until June 30, 2026 to allow sufficient time for the City to conduct a new competitive RFQ process.
On February 11, 2026 the City released a new RFQ for third party Building Plan Check & Inspection services. The City received SOQ proposals from 15 firms and the proposals were subsequently reviewed and ranked by Building Division staff using the scoring rubric listed in the RFQ.
DISCUSSION
Following a review and scoring of the submitted SOQ proposals, the Building Division recommends the approval of service agreements with the six highest ranked firms, True North, West Coast Code Consultants, O‘Brien Code Consulting, Shums Coda Associates, Urban 37, and NV5 with a not to exceed amount $500,000 for each firm. The proposed contract period is for three years and includes the option for an extension, subject to Council approval. On a per year basis, this equates to an allotment of $166,666 for each of the six firms ($500,000 / 3 years) and total annual expenditure of $1 million across the six firms for the plan check and inspection services. Corresponding building permit revenue used to fund this service has been included in the adopted FY 27 budget and will be included in subsequent budgets, reflecting the increased development activity as described further below.
Higher Demand for Plan Check / Inspection Services
Over the past three years the Building Division has experienced consistently high levels of building permit activity under the adopted 2040 General Plan and 2023-2031 Housing Element that plans for the development of up to 6,000 new housing units in the city.
Campbell’s growth in building permit volume has been about 9% per year as shown in Figure 1 below.
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Figure 1 – Permit Volume Trends
Correspondingly, the permit revenue received by the Building Department for plan check and inspection services has increased by over 26% between FY 24 and FY 26.
Substantiating that these trends will continue, the Department is processing several large housing development applications that will produce an additional 900 housing units in the next few years as shown in Figure 2 below.
Figure-2: Pipeline of Large Housing Projects
PROJECT EXPECTED UNIT COUNT
700 E. HAMILTON AVE. 173
PARKVIEW 116
CAMPBELL TECH PARKWAY
700 W HAMILTON
300
324
Total 913
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In addition, several recent changes in state laws are expected to result in an increase in housing development activity in Campbell. As recently reviewed by Council, the adoption and implementation of SB 79 will increase Campbell's housing capacity by over 40,000 housing units by allowing higher density housing in areas within ½ mile of the City’s light rail stations. In addition, the passage and implementation of several new laws that allow for urban lot splits and starter home projects (up to 10 homes on one lot) in multiple zoning districts, including single family neighborhoods, has resulted in a significant increase in applications for these types of projects.
Taken together, the Department expects a continued growth in housing development activity over the next several years, increasing the need for third party plan check and inspection services. The per year cost for the third-party plan check and inspection services from the six identified firms is $1 million, and corresponding building permit revenue to fund the services has been included in the adopted FY 27 Budget. In total, the Building Department estimates its FY 27 permit revenue will be approximately $4.5 million, corresponding with resent and anticipated future development trends and building permit revenue.
The Department’s request for increase in the number of firms under contract to the City (increase from four to six) is intended to allow sufficient capacity and flexibility for the Building Division to provide seamless plan check and inspection services for applicants.
Based on surges in building permit activity or the need for unique or specialized plan check and inspection services, the Building staff can access a deeper pool of specialists by utilizing six on call firms.
FISCAL IMPACT
Plan Check and Inspection services, whether conducted by the Building Division staff or a third-party consultant, are funded by permit fees paid to the City, and thus do not have a negative impact the City’s General Fund. The Community Development Department has projected building permit revenue of approximately $4.5 million in FY 27, that would fund the plan check and inspection services. The Community Development Department works with the Finance Department during budget forecasting and mid-year adjustments to track Building Permit revenue, ensuring it corresponds with service costs, such as third-party plan check and inspection.
Correspondingly, should the city experience a decrease in future development activity and building permit revenue the Department would reduce its use of third party plan check and inspection services.
ALTERNATIVES
1. The city could reduce the not to exceed amount in the service agreements to a lower amount than the amount of $500,000 recommended by staff, if there are concerns on the monetary size of the agreements. However, based on the plan Item 9.4
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check and inspection needs that arise during the contract term, this may limit flexibility of the Building Division to utilize the services of the different consultants under contract. For example, if the Building Division needs to rely upon more specialized services of one consultant based on the types of development projects under review and the service demand would exceed the not to exceed amount, it could cause delays or a reduction in service delivery in the plan check review and inspection process.
2. Provide alternative direction to staff.
PREPARED BY: Ken Ramirez, Administrative Analyst
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Report Approval Details
Document Title: Building Plan Check and Building Inspection Service Provider Selection (RFQ - CSA Approval and Award).docx
Attachments: Attachment 1 - Draft Resolution (Plan Check and Building Inspection Services RFQ).docx
1.Consultant Agreement.NV5_R1.pdf
1.Consultant Agreement.OCC_R1.pdf
1.Consultant Agreement.SCA_R1.pdf
1.Consultant Agreement.TrueNorth_R1.pdf
1.Consultant Agreement.Urban37_R1.pdf
1.Consultant Agreement.WC3_R1.pdf
Final Approval
Date:
July 01, 2026
This document and all of its attachments were approved and signed as outlined below:
William Seligmann, City Attorney
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RESOLUTION NO. ______________
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CAMPBELL AUTHORIZING (A) APPROVAL OF CONTRACT SERVICE
AGREEMENTS TO SELECTED SERVICE PROVIDERS FROM THE ISSUED REQUEST FOR QUALIFICATIONS, (B) AWARD OF $500,000 TO EACH CONTRACT FOR A MAX CONTRACT TERM OF THREE (3) YEARS AND A TOTAL CONTRACT BUDGET NOT TO EXCEED $3.000.000 FOR THE SIX (6) SELECTED SERVICE PROVIDERS, AND (C) AUTHORIZING THE CITY
MANAGER TO AMEND, NEGOTIATE, AND EXECUTE THE CONTRACT
SERVICE AGREEMENTS FOR BUILDING PLAN CHECK AND BUILDING INSPECTION SERVICES.
WHEREAS, in order to maintain the level of service and ensure the safety of the residents in the community through the verification and assurances that applications are compliant with health and safety regulations as outlined in California Administrative Code and California Code of Regulations, Title 24; and
WHEREAS, the City seeks the special services, consultation or advice in building code plan check matters from persons specially trained, experienced and competent to perform the special services required; and
WHEREAS, the City has recognized the need for third party assistance in performing services which may require review and analysis when existing department staff due not possess the required technical certifications to conduct the review or analysis; and WHEREAS, the City authorized to issue a Request for Qualifications (RFQ) on October 4, 2022, for Building Plan Check Services; and
WHEREAS, the City entered into service agreements with four (4) firms on February 1, 2023 appropriating $1,000,000 for the duration of the contract term; and WHEREAS, the City released a Request for Qualifications (RFQ) on February 11, 2026, and received fifteen (15) proposals; and
WHEREAS, the City has selected six (6) firms that meet the qualifications and criteria to provide building plan check and building inspection services for the City of Campbell; and WHEREAS, the City Council has reviewed and approved the award of each contract service agreement for an amount not to exceed $499,998 for adopted contracts with a max contract term of three (3) years; and
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell hereby authorizes (A) approval of contract service agreements to selected service providers from the issued request for qualifications, (B) award of $500,000 to each contract for a max contract term of three (3) years and a total contract budget not to exceed $3,000,000 for the six (6) selected service providers, and (c) Item 9.4
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authorizing the City Manager to amend, negotiate, and execute the contract service agreements for building plan check and building inspection services.
PASSED AND ADOPTED this ____ day of June, 2026, by the following roll call vote:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ABSTAIN: COUNCILMEMBERS:
APPROVED: _____________________
Daniel E. Furtado, Mayor
ATTEST: _________________________
Andrea Sanders, City Clerk
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