Cathedral City City Council
September 24, 2025

CITY COUNCIL
PACKET
Study Session 3:00 PM
Regular Meeting 5:30 PM
Wednesday, September 24, 2025
City Council Chambers
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234
MAYOR
Nancy Ross

CITY COUNCIL MEMBERS
Mayor Pro Tem
Raymond Gregory
Councilmember
Rita Lamb
Councilmember
Ernesto Gutierrez
Councilmember
Mark Carnevale
STUDY SESSION 3:00 PM
Normally no action is taken on Study Session Items, however, the City Council reserves the right to give specific policy direction and take specific action as necessary.

Presentations will be limited to 10 minutes unless other provisions are made in advance.

CALL TO ORDER

ROLL CALL

AGENDA FINALIZATION
At this time the City Council may announce any items being pulled from the agenda or continued to another date.

1. PUBLIC COMMENTS
This is the opportunity for members of the public to comment on any items not appearing on the regular agenda. Because of restrictions contained in California Law, the City Council may not discuss or act on any item not on the agenda but may briefly respond to statements made or ask a question for clarification. The Mayor may also request a brief response from staff to questions raised during public comment or may request a matter be agendized for a future meeting. Public 2 Comment will be limited to three (3) minutes.

2. STUDY SESSION
A. Riverside County Animal Control Field and Shelter Services Contract Recommendation: This is for review and discussion only.

At a subsequent meeting, approve a three-year contract with Riverside County Department of Animal Services for Field and Shelter Service (Option #1 or #2).

B. Regulations for the Operation of Food Trucks within Cathedral City Recommendation: To direct staff to introduce an ordinance for 1st reading for the adoption of an uncodified ordinance implementing a temporary food truck pilot program on private property.

3. CLOSED SESSION
A. Public Employee Appointment Pursuant to Government Code section 54957(b)
One (1) position:

Title: City Manager
Recommendation: There is no Staff Recommendation.

B. Conference With Legal Counsel – Initiation of Litigation Pursuant to Government Code section 54956.9(d)(4)
Matters: One (1)
Receivership regarding 68460 Estio Rd, Cathedral City, CA 92234 Recommendation: There is no Staff Recommendation.

RECESS
REGULAR MEETING - 5:30 PM

CALL TO ORDER

PLEDGE OF ALLEGIANCE

INVOCATION (MOMENT OF REFLECTION)

ROLL CALL

AGENDA FINALIZATION
At this time the City Council may announce any items being pulled from the agenda or continued to another date.

1. SPECIAL PRESENTATION
3 A. Special Recognition – Cathedral City Police Department Employees Recommendation: This is a Special Presentation only.

B. Award Presentation – APWA CV 2025 Project Merit Award Winners:

Recreational and Athletic Facilities Category: Esperanza Park, City of Cathedral City
Traffic, Mobility, and Beautification Category: The Downtown Cathedral City Connectors: Gap Closure and Compete Streets project (ATP Cycle 5)
Recommendation: This is a Special Presentation only.

2. PUBLIC COMMENTS
This is the opportunity for members of the public to comment on any items not appearing on the regular agenda. Because of restrictions contained in California Law, the City Council may not discuss or act on any item not on the agenda but may briefly respond to statements made or ask a question for clarification. The Mayor may also request a brief response from staff to questions raised during public comment or may request a matter be agendized for a future meeting. Public Comment will be limited to three (3) minutes.

3. COUNCIL REPORTS
This is an opportunity for each member of the City Council to report on any conferences they attend, local events or make any other comments they may have.

4. CONSENT AGENDA
The following Consent Calendar items are expected to be routine and noncontroversial. They will be acted upon by the City Council at one time without discussion. Any Council Member, Staff Member, or Citizen may request removal of an item from the Consent Calendar for discussion.

A. Waive Full Reading of Ordinances on Agenda
Recommendation: Waive Full Reading of Ordinances on Agenda B. Commissioner/Committee Member Attendance Record
Recommendation: Receive and File
C. Approve the September 10, 2025, Study Session and Regular City Council Meeting.

Recommendation: Approve the September 10, 2025, Study Session and Regular City Council Meeting Minutes.

D. Administrative Amendment to the CDBG FY 2023-24 Annual Action Plan
Recommendation: To approve an administrative amendment to the city’s FY 2023-24 Community Development Block Grant Annual Action Plan to 4 reallocate $43,124.76 in unused funds from the Via De Anza Street Improvement Phase III project to the Whitewater Neighborhood Road Improvement Phase II project; and authorize the City Engineer to execute the administrative amendment for submission to the U.S. Department of Housing and Urban Development.

E. Budget of $5,000 for the Inaugural Cathedral City Festival of the Arts Event in the Cathedral City Community Amphitheater.

Recommendation: To approve a not-to-exceed budget of $5,000 for the inaugural Cathedral City Festival of the Arts event as recommended by the Public Arts Commission.

5. PUBLIC HEARINGS
A. Ordinance Amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section

9.30.030 of the Cathedral City Municipal Code to Update the Cannabis Tax, Cannabis Licensing and Zoning Regulations, and Enforcement Provisions
Recommendation: Find that the Zoning Ordinance Amendment 25-0004 is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(B)(3) and introduce an ordinance amending Chapters 3.48,

5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to substantially update the cannabis tax, cannabis licensing and zoning regulations, and enforcement provisions.

6. LEGISLATIVE ACTIONS
A. Adoption of the Updated Cathedral City Local Hazard Mitigation Plan (LHMP)
Recommendation: To adopt the updated Cathedral City Local Hazard Mitigation Plan. This adoption aligns with state and federal requirements for formally adopting hazard mitigation plans.

B. 2025 Arts in California Parks - Implementation Grant Award Recommendation: To accept the 2025 Arts in California Parks - Implementation Grant in the amount of $98,167.00 and authorize the City Manager or designee to execute the grant agreement.

7. DISCUSSION ON FUTURE AGENDA ITEMS
This is an opportunity for members of the City Council to request that, and for the City Council to discuss whether, one or more items should be added to the agenda of a future regular or special City Council meeting. To comply with the Brown Act, discussion should be limited to whether to add the item(s), and direction given to the City Manager regarding scheduling and prioritization of the item(s).

8. CLOSED SESSION

ADJOURNMENT
5 NOTES TO THE PUBLIC
The City of Cathedral City complies with the Americans with Disabilities Act of 1990. If you require special assistance to participate in this meeting, please call the City Clerk’s Office at (760) 770-0322 at least 48 hours prior to the meeting.

If you desire to address the City Council during the meeting, please complete a Request to Speak Form available at the entrance and present it to the City Clerk. Speakers will be called upon at the appropriate time.

When providing public comment during a Council Meeting, California Law may require speakers to disclose a campaign contribution made to an elected or appointed City Councilmember if speaking on certain projects or contracts to be acted upon by the City Council. Please use the following link to determine whether you have a legal obligation to disclose your campaign contribution: https://www.cathedralcity.gov/transparency Written Comments will be accepted until 2:00 p.m. on the day of the meeting. Written comments may be submitted via email, letter, or other forms of written communication.

To email comments please email to [email protected].

Hard copies of written comments and any other document will be provided to the City Council and made available for the general public to review. All written comments received by the submission deadline will be made part of the official record. The meeting minutes will include: The name of the individual submitting the comment and a brief statement summarizing the content of the comment.

Submitted Written Comments will not be read into the record during the meeting.

Staff Report
City Council
Item No. 2.A
Meeting Date: September 24, 2025
From: Chief George Crum, Police Chief
Title: Riverside County Animal Control Field and Shelter Services Contract RECOMMENDATION:

This is for review and discussion only.

At a subsequent meeting, approve a three-year contract with Riverside County Department of Animal Services for Field and Shelter Service (Option #1 or #2).

BACKGROUND:

Since 2005, the City of Cathedral City has contracted Animal Control Field and Shelter Services through the Riverside County Department of Animal Services. We are currently pursuing a new three-year contract for the period July 1, 2025, through June 30, 2028. Staff were directed to investigate other local resources for animal services. Two local agencies were contacted, the City of Palm Springs and the City of Desert Hot Springs to see if they had capacity to contract with another city for services. The City of Palm Springs stated they could not offer us any services. The City of Desert Hot Springs said they do not offer field services outside of their city and their sheltering services are currently not able to assist us.

Soon, shelter services for the City of Desert Hot Springs will be taken over by a non-profit.

In coordinating with these two agencies, it was determined they cannot handle services for our city. Staff were directed to seek and compare contract options between a full and parttime (current) Animal Control Officer. Ultimately, the decision made will provide appropriate Animal Control Services for our community members.

DISCUSSION:

The Police Department has presented two viable options for consideration for FY 2025-2026 through FY 2027-2028.

Option One: Three-year contract for Full Time (100%) Field and Shelter Services FY 2025-2026
Field Services for $293,960 and Shelter Services for $313,360 totaling $607,320 FY 2026-2027
Field Services for $316,186 and Shelter Services for $396,658 totaling $712,844 FY 2027-2028
Field Services for $331,996 and Shelter Services for $452,190 totaling $784,186 Option Two: Three-year contract for Part-Time (50%) Field and Shelter Services FY 2025-2026
Field Services for $146,980 and Shelter Services for $313,360 totaling $460,340 FY 2026-2027
Field Services for $158,093 and Shelter Services for $396,658 totaling $554,751 FY 2027-2028
Field Services for $165,998 and Shelter Services for $452,190 totaling $618,188 The City is currently contracting with Riverside County Department of Animal Services for one part-time animal control officer for 20 hours of field service work, deployed MondayFriday 8am to 12pm.

If option one is chosen, the animal control officer will work M-F 8:00am to 5:00pm to include an hour lunch break. If Option two is chosen, the Animal Control Officer will work M-F from 8:00am -12:00pm to include a 30-minute break. Any hours before or after these contracted hours, to include holidays and weekends is billed at an overtime rate with a minimum of two hours callout pay at $206.03/hour July to December 2025 then the rate increases to 216.33/hour January to June 2026. Both options also have a requirement to host one (1) Spay and Neuter Clinic and one (1) Vaccine and Licensing Clinic per contract year. The cost for each clinic is $3,500.00.

FISCAL IMPACT:

Option one: Full-Time FY 2025-2026
Animal Control Officer (1) $293,960.00
Animal Sheltering $313,360.00
Overtime $206.03/hour (July-Dec)
$216.33/hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2025/2026 Total $614,320.00*
Option one: Full-Time FY 2026-2027
Animal Control Officer (1) $316,186.00
Animal Sheltering $396,658.00
Overtime $206.03/hour (July-Dec)
$216.33/hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2026-2027 Total $719,844.00*
Option one: Full-Time FY 2027-2028
Animal Control Officer (1) $331,996.00
Animal Sheltering $452,190.00
Overtime $206.03/hour (July-Dec)
$216.33/hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2027-2028 Total $ 791,186.00*
3 Year full time Total $2,125,350.00*

Option two: Part-Time FY 2025-2026
Animal Control Officer (.5) $146,980.00
Animal Sheltering $313,360.00
Overtime $206.03/hour (July-Dec)
$216.33/hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2025-2026 Total $467,340.00*
Option two: Part-Time FY 2026-2027
Animal Control Officer (.5) $158,093.00
Animal Sheltering $396,658.00
Overtime $206.03/hour (July-Dec)
$216.33/hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2026-2027 Total $561,751.00*
Option two: Part-Time FY 2027 to 2028
Animal Control Officer (.5) $165,998.00
Animal Sheltering $452,190.00
Overtime $206.03/ Hour (July-Dec)
$216.33/ Hour (Jan-June)
Spay and Neuter Clinic $3,500.00
Vaccine and Licensing Clinic $3,500.00
FY 2027-2028 Total $ 625,188.00*
3 Year part time Total $1,654,279.00*
*Estimates based without overtime rates being included. Overtime rate is subject to change based on the employee who responds.

The table below reflects the approved biennial budget for FY 2025-2026 and 2026-2027:

DESCRIPTION GENERAL
LEDGER

ACCOUNT
CODES

PROJECT
CODE

ORIGINAL
BUDGET
AMOUNT
ONE TIME or

ONGOING
2025-2026 Animal Control 100-300-310-
317-8600-8601 N/A $394,800 ON-GOING
2026-2027 Animal Control 100-300-310-
317-8600-8601 N/A $414,540 ON_GOING
FIVE-YEAR STRATEGIC PLAN:

Goal E: Safety
Action E-13: Review our animal control contract and options ATTACHMENTS:

1. Proposed Draft 3-year Contract with Riverside County Animal Services.

AGREEMENT FOR ANIMAL FIELD AND SHELTER SERVICES BETWEEN THE

CITY OF CATHEDRAL CITY AND THE COUNTY OF RIVERSIDE
THIS AGREEMENT FOR ANIMAL FIELD AND SHELTER SERVICES (“Agreement”) is made and entered into as of July 1, 2025, by and between the COUNTY OF RIVERSIDE, a political subdivision of the State of California (“COUNTY”), and the CITY OF CATHEDRAL CITY, a Charter City (“CITY”), together known as the “parties”, and individually as a “party”.

RECITALS
WHEREAS, CITY desires to contract with COUNTY to provide animal field and shelter services for the purpose of safeguarding the health and safety of the CITY’S population and the health and safety of its domestic animals pursuant to the provision of field and animal sheltering services, and described in this Agreement;
WHEREAS, CITY desires to promote the humane treatment of animals and remains a committed partner with the COUNTY; and
WHEREAS, COUNTY has the personnel and experience to provide such services and is willing to enter this Agreement with CITY for the provision of such services, subject to the terms and conditions for compensation as set forth herein.

NOW THEREFORE, in consideration of the mutual covenants contained in this Agreement, and for good and valuable consideration, the parties mutually agree as follows:

SECTION I. OBLIGATION OF PARTIES
A. RECITALS:
l. The aforementioned Recitals are true and correct and incorporated herein by this reference.

B. COUNTY Obligations:

1. COUNTY shall provide field and shelter services within the corporate limits of CITY as outlined in EXHIBITS A and B, attached hereto and incorporated herein by this reference, and more specifically as selected by CITY in ATTACHMENT A, attached hereto and incorporated herein by this reference.

C. CITY Obligations:

1. CITY shall reimburse COUNTY for the services performed and the expenses incurred as set forth in ATTACHMENTS A and B, using the Rates Methodology as set forth in ATTACHMENT C of this Agreement.

2. In order to harmonize the terms of this Agreement with the provisions of the CITY’s municipal code and for COUNTY to provide the full scope of services to CITY under this Agreement, within six months following the Effective Date of this

Agreement, CITY shall adopt the current verbatim language of the regulations, provisions, and rates found in Riverside County Ordinance Nos. 534, 560, 630, 716, 771, and 878 (“Animal Control Ordinances”), and shall amend its CITY municipal code when COUNTY amends its Animal Control Ordinances, from time to time. COUNTY shall provide the verbatim language to the CITY that shall be adopted into CITY’s municipal codes. Notwithstanding the foregoing, CITY retains all legislative authority pertaining to the regulation of animals within its jurisdiction and retains the right to exclude or modify the verbatim language of the County’s Animal Control Ordinances.

3. CITY shall agree to providing contract required clinics with COUNTY pursuant to ATTACHMENT A.

SECTION II. PERIOD OF PERFORMANCE
The Effective Date of this Agreement shall be from July 1, 2025, and shall terminate on June 30, 2028, unless terminated earlier as provided herein under SECTION IX of this agreement.

SECTION III. PERFORMANCE OF CONTRACT
A. In performing services under the Agreement, COUNTY will provide all necessary labor, supervision, equipment, communication facilities, and supplies necessary to maintain the agreed upon level of service.

B. Nothing in the Agreement prohibits CITY from providing, at CITY’s expense, additional resources for the COUNTY to utilize in its performance of the services.

C. Any use of special supplies, stationery, notices, or forms, other than standard COUNTY format, must be approved by the Director of the Department, or their designee, and supplied by CITY at its own cost.

D. If requested, the COUNTY will make its best efforts to attend one in-person meeting with CITY, up to three-hour duration per quarter at no charge to the CITY. Additional meetings may be scheduled under unusual or urgent circumstances as agreed upon by the COUNTY.

CITY will pay the hourly rate listed in ATTACHMENT B for any additional hours of the COUNTY’s contract management staff's time at meetings requested by CITY. Due to the lack of availability of meeting space in COUNTY facilities, the CITY will provide a mutually agreed upon meeting space and location, or virtual meeting link, for virtual meetings.

E. If requested, the COUNTY will make its best efforts to coordinate a virtual meeting once per month at no charge to CITY. Additional meetings may be scheduled under unusual or urgent circumstances as agreed upon by the COUNTY. The CITY will pay the hourly rate listed in ATTACHMENT B for any additional hours of COUNTY representatives’ time at meetings requested by the CITY.

F. If requested, COUNTY will make its best efforts to send representatives to the CITY’s Council meetings for proposed ordinance changes, contract revisions, or any related animal issues where input from the COUNTY is needed. The COUNTY will only attend these meetings to the extent that resources and capacity will allow.

G. The COUNTY will make available upon request, at no charge to the CITY, the reports pursuant to EXHIBIT B, at the intervals indicated in that attachment. For any additional reports that are not included in EXHIBIT B, or those requested at more frequent intervals, the COUNTY will account for the hours of staff time required to produce the reports. The COUNTY will provide, at no charge to the CITY, up to 12 hours of staff time annually for any additional requested reports. The CITY will be responsible for any excess hours at the current billing rate for staff time as listed in ATTACHMENT B.

SECTION IV. ADMINISTRATION OF PERSONNEL
A. The COUNTY will control all aspects of the services provided by the COUNTY including, but not limited to, standards of performance, discipline of officers and staff, and all employment-related matters.

B. In the event of a dispute between the parties regarding the duties and services to be provided, or the minimum level or manner of performance of such services, the CITY will be consulted and an agreement between the parties attempted. Each party must employ good-faith and best efforts to reach an agreement. If the COUNTY determination does not resolve the dispute to the satisfaction of both parties, the dispute resolution provision in SECTION XV shall apply.

C. All CITY employees who work with the COUNTY under the Agreement will remain employees of the CITY and will not have any claim or right to employment, civil service protection, salary, benefits, or claims of any kind from the COUNTY. No CITY employee will become an employee of the COUNTY unless by specific additional agreement which must be concurrently adopted by the CITY and COUNTY. Except as otherwise specifically set forth in the Agreement or in the attached Service Request in ATTACHMENT A, to the extent the COUNTY provides the CITY with animal licensing services, neither the CITY employees nor their agents will perform any function related to the licensing of animals, including the collection of license fees, penalties, or field enforcement fees. Field enforcement fees will only be collected by the COUNTY for services performed by employees of the COUNTY. The CITY shall distribute educational and outreach materials, reviewed and agreed upon by both the COUNTY and the CITY, as requested by the COUNTY.

D. For the purposes of performing services under the Agreement, and only for the purpose of giving authority for COUNTY staff to provide these services, every COUNTY officer and/or employee engaged in performing any service will be deemed to be a contracted officer while performing service for the CITY, provided the service is within the scope of the Agreement.

E. The CITY will not assume any liability for the direct payment of salaries, wages, or other compensation to COUNTY personnel performing services under the Agreement. Except as described under SECTION VI, the CITY will not be liable for compensation or indemnity to any COUNTY employee or agent of the COUNTY for injury or sickness arising out of his/her employment while providing services under the Agreement.

SECTION V. DEPLOYMENT OF PERSONNEL
A. The COUNTY will determine the minimum required field personnel required to provide the services requested by the CITY.

B. The CITY agrees to complete ATTACHMENT A, specifying the service to be provided, which will be signed and authorized by the CITY and the COUNTY representative and attached to the Agreement. In the event of a dispute between the Parties about the desired or approved content of the Service Level Request (“SLR”), such dispute will be handled in accordance with SECTION IV(B) of this Agreement.

C. The COUNTY will issue annual notifications of any change to the billing rate as stated in SECTION XVIII. Unless the CITY changes other provisions within the most recently executed SLR, it is not necessary to execute a revised service request to reflect a billing rate change.

D. The CITY may at any time request a change in the level of service by completing a revised service request and submitting the form to the COUNTY. The revised level of service to be provided and the current fiscal year billing rate will be signed and authorized by the CITY and the COUNTY representative and attached to the Agreement as an amendment.

Execution of such amendments shall be subject to each Party’s applicable internal approval processes, which may include, where required, approval by the City Council or Board of Supervisors. Changes requested at times other than the beginning of the fiscal year will be implemented as soon as practical, as determined in the sole discretion of the COUNTY.

The CITY is only required to submit a new service request if it wishes to revise its current services or update information listed on its existing service request. The COUNTY reserves the right to approve or disapprove requests on the service request in accordance with SECTION IV of this Agreement.

E. Regarding updates to contact information, the CITY is not required to submit a new service request. Email confirmation from the CITY will suffice, and the COUNTY will update the CITY's existing service request and share the revised copy with the CITY.

F. The CITY is not limited to the services indicated but may also request any other services in the field of public safety, animal welfare, or related fields within the legal power of the Director of the Department to provide. The COUNTY reserves the right to determine, in its sole discretion, whether the COUNTY can provide requested services not otherwise specified in this Agreement.

SECTION VI. HOLD HARMLESS/INDEMNIFICATION
A. CITY shall indemnify and hold harmless the County of Riverside, its Agencies, Districts, Special Districts and Departments, their respective directors, officers, Board of Supervisors, elected and appointed officials, employees, agents and representatives from any liability, claim, damage or action whatsoever, based or asserted upon any actions of CITY, its officers, employees, subcontractors, agents or representatives arising out of or in any way relating to this Agreement, including but not limited to property damage, bodily injury, or death or any other element of any kind or nature whatsoever and resulting from any reason whatsoever arising from the negligent or willful actions by CITY, its officers, agents, employees, subcontractors, agents or representatives of this Agreement. CITY shall defend, at its sole expense, all costs and fees including but not limited to attorney fees, cost of investigation, defense and settlements or awards of all Agencies, Districts, Special Districts and Departments of the County of Riverside, their respective directors, officers, Board of Supervisors, elected and appointed officials, employees, agents and representatives in any such action or claim or action based upon such alleged acts or omissions.

B. With respect to any action or claim subject to indemnification herein by CITY, CITY shall, at its sole cost, have the right to use counsel of its own choice and shall have the right to adjust, settle, or compromise any such action or claim without the prior consent of COUNTY; provided, however, that any such adjustment, settlement or compromise in no manner whatsoever limits or circumscribes CITY’s indemnification to COUNTY as set forth herein. The CITY’s obligation to defend, indemnify and hold COUNTY harmless shall be subject to COUNTY having given CITY written notice within a reasonable period of the claim or of the commencement of the related action and information and reasonable assistance, at CITY’s expense, for the defense or settlement thereof. CITY’s obligation hereunder shall be satisfied when CITY has provided to COUNTY with the appropriate form of dismissal relieving COUNTY from any liability for the action or claim involved.

C. COUNTY shall indemnify and hold harmless the CITY, its Agencies, Districts, Special Districts and Departments, their respective directors, officers, CITY Council, elected and appointed officials, employees, agents and representatives from any liability, claim, damage or action whatsoever, based or asserted upon any actions of COUNTY, its officers, employees, subcontractors, agents or representatives arising out of or in any way relating to this Agreement, including but not limited to property damage, bodily injury, or death or any other element of any kind or nature whatsoever and resulting from any reason whatsoever arising from the negligent or willful actions by COUNTY, its officers, agents, employees, subcontractors, agents or representatives of this Agreement. COUNTY shall defend, at its sole expense, all costs and fees including but not limited to attorney fees, cost of investigation, defense and settlements or awards of all Agencies, Districts, Special Districts and Departments of the CITY, their respective directors, officers, CITY Council, elected and appointed officials, employees, agents and representatives in any such action or claim or action based upon such alleged acts or omissions.

D. With respect to any action or claim subject to indemnification herein by COUNTY, COUNTY shall, at its sole cost, have the right to use counsel of its own choice and shall have the right to adjust, settle, or compromise any such action or claim without the prior consent of CITY; provided, however, that any such adjustment, settlement or compromise in no manner whatsoever limits or circumscribes COUNTY’s indemnification to CITY as set forth herein. COUNTY’S obligation to defend, indemnify and hold harmless CITY shall be subject to CITY having given COUNTY written notice within a reasonable period of the claim or of the commencement of the related action and information and reasonable assistance, at COUNTY’s expense, for the defense or settlement thereof. COUNTY’s obligation hereunder shall be satisfied when COUNTY has provided to CITY the appropriate form of dismissal relieving CITY from any liability for the action or claim involved.

E. The specified insurance limits required in this Agreement shall in no way limit the COUNTY’s obligations to indemnify and hold harmless CITY herein from third party claims.

F. This SECTION VI shall survive the termination of this Agreement.

SECTION VII. INSURANCE
COUNTY agrees to maintain the following insurance coverage during the term of this Agreement:

A. Workers’ Compensation:

COUNTY shall maintain Workers’ Compensation Insurance (Coverage A) as prescribed by the laws of the State of California. The policy shall include Employer Liability (Coverage B) including Occupational Disease with limits of not less than $1,000,000 per person per accident.

B. Commercial General Liability:

COUNTY shall maintain Commercial General Liability Insurance coverage for claims which may arise from or out of COUNTY’s performance of its obligations hereunder. This coverage shall have a limit of liability not less than $2,000,000 per occurrence combined single limit.

C. Vehicle Liability:

If vehicles or mobile equipment is used in the performance of the obligations under this Agreement, then COUNTY agrees to maintain automobile liability insurance for vehicles provided by the COUNTY for use under this Agreement. This coverage shall have a limit of liability of not less than $1,000,000 combined single limit.

SECTION VIII. RESERVED
RESERVED.

SECTION IX. TERMINATION

A. Either party may terminate this Agreement without cause upon no earlier than six (6) months advance written notice served on the other party stating the extent and effective date of termination.

B. If a six (6) month notice of termination is served on the other party, after receiving said notice of termination, COUNTY shall stop work under this Agreement on the termination date specified in the notice of termination; and after termination, CITY shall make payment to COUNTY for performance up to the date of termination in accordance with this Agreement.

C. In the event of termination, both parties shall fulfill all obligations owed to each other that have accrued before the date of termination. Additionally, except for SECTION VI, each party will be released from any obligations that would have accrued after the termination date had the Agreement continued. However, the CITY will remain responsible for payment to the COUNTY for any services provided under this Agreement prior to the termination date.

SECTION X. FORCE MAJEURE
If either Party is unable to comply with any provision of this Agreement due to causes beyond its reasonable control, and which could not have been reasonably anticipated, such as acts of God, acts of war, civil disorders, pandemics, or other similar acts, such party shall not be held liable for such failure to comply.

SECTION XI. AMENDMENTS
Any amendments, including but not limited to alterations, variations, or supplements, to the terms of this Agreement shall be in writing and signed by the parties hereto, and shall have the approval of the Board of Supervisors of COUNTY and CITY Council. Any amendments will be presented to CITY’s CITY Manager, or designee, prior to CITY’s CITY Council approval.

This Agreement, including any attachments, constitutes the entire Agreement of the Parties with respect to its subject matter and supersedes all prior and contemporaneous representations, proposals, discussions and communications, whether oral or in writing.

Except for changes to a CITY’s contact information, any changes, modifications, or amendments to the Agreement must be in writing and duly executed by the Director of the Department, or their designee, and an authorized representative of the CITY. The only exception to this requirement applies to updates to the CITY's contact information, which may be made through simple email confirmation from the CITY.

SECTION XII. SEVERABILITY
Each paragraph or provision of this AGREEMENT is severable from each other provision, and if any provision or part thereof is declared invalid, the remaining provisions shall nevertheless remain in full force and effect.

SECTION XIII. NO THIRD-PARTY BENEFICIARIES
This Agreement between the parties is intended for the mutual benefit of the two signing parties only. No rights are created under this Agreement in favor of any third party or any party who is not a direct signatory to this Agreement.

SECTION XIV. NONDISCRIMINATION
COUNTY shall not discriminate in the provision of services, allocation of benefits, accommodation in facilities, or employment of personnel on the basis of race, ethnicity, religious creed, color, national origin, ancestry, age, physical disability, mental disability, medical condition, marital status, sex, sexual orientation, or gender identity in the performance of this Agreement; and, to the extent they shall be found to be applicable hereto, shall comply with the provisions of the California Fair Employment and housing Act (Gov. Code 12900 et. seq.), the Federal Civil Rights Act of 1964 (Pub. L. 88-352) and the Americans with Disability Act of 1990 (42 U.S.C. 12101 et seq.).

SECTION XV. DISPUTE RESOLUTION AND VENUE
A. The parties shall attempt to resolve any disputes amicably at a working level as set forth in SECTION IV(B). If that is not successful, the dispute shall be referred to the senior management of the parties.

B. Prior to filing any legal action related to this Agreement, the parties shall be obligated to attend a mediation session in Riverside County before a neutral third-party mediator. A second mediation session shall be required if the first session is not successful. The parties shall share the cost of the mediations.

C. This Agreement shall be governed by the laws of the State of California. Any legal action related to the performance or interpretation of this Agreement shall be filed only in the Superior Court of the State of California located in Riverside, California, and the parties waive any and all provisions of law providing for a change of venue to another location.

SECTION XVI. ASSIGNMENT
This Agreement shall be binding upon COUNTY and its successors. Neither this Agreement nor any part thereof nor any moneys due or to become due hereunder may be assigned by the parties without the prior written consent of the other Party. CITY and COUNTY hereby agree with the full performance of the covenants contained herein.

SECTION XVII. CONTRACT PERFORMANCE
COUNTY’s Director of Department of Animal Services, or designated representative, shall meet as necessary to discuss contract performance with CITY’s CITY Manager, or designated representative.

SECTION XVIII. CONTRACT SUM
The CITY will pay for the services provided under the terms of the Agreement at the current fiscal year rate established by the COUNTY and set forth in the current ATTACHMENT B.

The rates indicated in the ATTACHMENT B form will be readjusted by the COUNTY annually, effective the first day of July each year, to reflect the cost of services in accordance with the policies and procedures for the determination of rates established by the COUNTY.

The CITY will be billed based on the current service level described in the latest ATTACHMENT A, FISCAL YEAR 25/26-27/28 SERVICE REQUEST FOR THE CITY OF CATHEDRAL CITY.

The cost of any additional services requested and provided under the Agreement and not set forth in ATTACHMENT B will be determined by the COUNTY in accordance with the policies and procedures established by the COUNTY.

SECTION XIX. PAYMENT PROCEDURES
The COUNTY, through the Department of Animal Services, will submit a summary invoice covering all services performed quarterly to the CITY within ten (10) calendar days after the closing of each quarter. The CITY will pay the COUNTY for all undisputed amounts within thirty (30) calendar days after the date of the invoice.

If payment is not delivered to the COUNTY office described on the invoice within sixty (60) days after the date of the invoice, the COUNTY is entitled to recover interest on the unpaid amount at the rate specified below in this Section XIX.

For all disputed amounts, the CITY will provide the COUNTY with written notice of the dispute including the invoice date, amount, and reason(s) for the dispute within twenty-one (21) calendar days after receipt of the invoice. The parties will confirm the resolution of the dispute in writing.

For any disputed amounts, interest will accrue if payment is not received within sixty (60) calendar days after the date of the written resolution.

Interest will be calculated at the rate of seven percent (7%) annually or any portion thereof, from the last day of the month for which the services were performed, or in the case of disputed amounts, from the date of the written resolution.

SECTION XX. NOTICES
Each Party shall designate a Primary Contact, as identified in ATTACHMENT A, Service Request, to facilitate the services covered by this Agreement. Routine communications necessary for the day-to-day facilitation of services may be conveyed through telephone, email, or in-person interactions. However, all correspondence and notices required or contemplated by this Agreement shall be delivered to the respective parties at the addresses set forth below and in ATTACHMENT A and are deemed submitted two (2) days after their deposit in the United States mail, postage prepaid.

Notices to the County of Riverside must be addressed as follows:

COUNTY
County of Riverside Department of Animal Services Director 6851 Van Buren Boulevard
Jurupa Valley, CA 92509
Notices to the CITY must be addressed to the contact person listed on the most recent SLR on file and/or the current CITY Official or CITY Manager.

SECTION XXI. DEFINITIONS
A. “Altered or Unaltered” An Altered animal has undergone a surgical sterilization procedure, spay (female) or neuter (male) for dogs or cats and is incapable of reproduction. An Unaltered animal has not been sterilized.

B. “Available” means an animal eight (8) weeks of age or older that at the time the animal is impounded or taken into possession, has manifested no sign of disease, injury, or congenital or hereditary condition that adversely affects the health or temperament of the animal, or that is likely to adversely affect the animal’s health in the future.

C. “Care” includes, but is not limited, to providing necessary and prompt veterinary care, adequate nutrition and water, shelter, and humane treatment, or transfer of animal to the appropriate agency as defined in Civil Code 1834 and 1846.

D. “Euthanasia” is a non-preferred option and is to be used as a last resort when deemed there is no other outcome for an animal. When the decision has been made to euthanize, it is done with the highest degree of respect, and with an emphasis on making the euthanasia process as painless and distress free as possible. Humane euthanasia services shall be provided as required for impounded animals held at the Shelter for the lawful number of days, if such an animal is not reclaimed by the animal’s owner and cannot be placed through adoption or rescue by COUNTY. Animals that are irremediably suffering from a serious illness or severe injury may not be held for owner redemption or adoption. Except as provided in Food and Agricultural Code, subdivision (b), Section 31108 and subdivision (c) of Section 31752, newborn animals that need maternal care and have been impounded without their mothers may be euthanized without being held for owner redemption or adoption. Further:
i. Only euthanasia methods approved by the Association of Shelter Veterinarians shall be used.
ii. Pre-euthanasia sedation or anesthesia shall be provided in the professional judgment of the veterinarian conducting or providing oversight. The interests of the animal

will be given equal consideration whether the animal is individually owned or not, regarding providing pre-euthanasia sedation or anesthesia. iii. The COUNTY will provide ongoing professional training on the latest methods and material available for euthanasia and effective management of compassion fatigue for all personnel as described within, but not limited to, the American Veterinary Medical Association’s Guidelines for the Euthanasia of Animals. iv. The COUNTY will conduct euthanasia in areas that are isolated from other activities, where possible, to minimize stress on animals and to provide staff with a professional and dedicated work area and incorporate the recommendations for a well-designed euthanasia space as recommended by the American Veterinary Medical Association. v. Records shall be kept for a period of not less than three (3) years on each euthanized animal shall include the following information: breed; sex; color; weight; other distinguishing characteristics; date, time and location where animal was found, method of euthanasia, and reason for use of method.

E. “Healthy” means and include all dogs and cats eight weeks of age or older that, at or subsequent to the time the animal is taken into possession, have manifested no sign of a behavioral or temperamental characteristic that could pose a health or safety risk or otherwise make the animal unsuitable for placement as a pet, and have manifested no sign of disease, injury, or a congenital or hereditary condition that adversely affects the health of the animal or that is likely to adversely affect the animal’s health in the future.

F. "Impounded." Having been received into custody of any animal control center, animal control officer, animal control vehicle, or peace officer duly authorized by the County of Riverside to receive such animal.

G. “Potentially Dangerous” Any animal which has once actively pursued, attacked, bitten, or otherwise caused a less severe injury than a "substantial injury" (as defined in this section), to another person engaged in a lawful activity. Any animal which has once attacked, bitten, or otherwise caused a less severe injury than a "substantial injury" (as defined in this section), to another animal. Any animal which is found actively pursuing livestock, poultry, dogs, cats or animals.

H. "Substantial injury" means a substantial impairment of the physical condition of a person or animal which requires professional medical treatment, including, but not limited to, loss of consciousness; concussion; bone fracture; protracted loss or impairment of function of any bodily member or organ; muscle tears, disfiguring lacerations, punctures, or a wound requiring multiple sutures; or any injury requiring corrective or cosmetic surgery.

I. “Dangerous” Any animal which has twice within a forty-eight (48) month period in two separate incidents has actively pursued, attacked, bitten or otherwise caused a less severe injury than a "substantial injury" (as defined in this section), to another person or animal

engaged in a lawful activity. Any animal which has once attacked, bitten, or otherwise caused injury to a person or animal engaged in lawful activity, resulting in death or substantial injury; Any animal which has been previously declared a potentially dangerous animal and the owner/custodian has failed to restrain the animal as so directed; or any dog which has been declared a "potentially dangerous dog" as defined by California State Law during any legal hearing process.

J. “Vicious” means any animal which, when unprovoked, in an aggressive manner, inflicts injury on or kills a human being or animal. Any animal previously determined to be and currently listed as a potentially dangerous dog which after its owner or keeper has been notified of this determination, continues that behavior described in Section 31062 of the Food and Agricultural Code or is maintained in violation of Section 31641, 31642, or 31643 of the Food and Agricultural Code.

SECTION XXII. HEADINGS
The Section and other headings contained in this Agreement are included for the purpose of convenient reference only and shall not restrict, amplify, modify or otherwise affect in any way the meaning or interpretation of this Agreement or the attachments and schedules hereto.

SECTION XXIII. COUNTERPARTS
This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement, binding on all Parties.

SECTION XXIV. WAIVER OF BREACH, RIGHT OR REMEDY
The waiver by any party of any breach or violation by another party of any provision of this Agreement or of any right or remedy permitted the waiving party in this Agreement (a) shall not waive or be construed to waive any subsequent breach or violation of the same provision, (b) shall not waive or be construed to waive a breach of violation of any other provision, and (c) shall be in writing and may not be presumed or inferred from any party’s conduct. Except as expressly provided otherwise in this Agreement, no remedy conferred by this Agreement is intended to be exclusive of any other remedy, and every remedy shall be in addition to every other remedy granting in this Agreement or now or hereafter existing at law or in equity, by statute or otherwise.

The election of any one or more remedies by a party shall not constitute a waiver of the right to pursue other available remedies.

SECTION XXV. INDEPENDENT CONTRACTOR
The COUNTY is acting as an independent contractor to the CITY under this Agreement. Each party to this Agreement shall have no power to incur any debt, obligation, or liability on behalf of another party to this Agreement.

SECTION XXVI. RESERVED.

SECTION XXVII. AUTHORIZATION WARRANTY
A. The CITY represents and warrants that the person executing the Agreement for the CITY is an authorized agent who has actual authority to bind the CITY to each term, condition, and obligation of the Agreement and that all requirements of the CITY have been fulfilled to provide such actual authority.

B. The COUNTY represents and warrants that the person executing the Agreement for the COUNTY is an authorized agent who has actual authority to bind the COUNTY to each term, condition, and obligation of the Agreement and that all requirements of the COUNTY have been fulfilled to provide such actual authority.

SECTION XXVIII. COOPERATION, FURTHER ACT
The parties shall cooperate fully with one another and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.
(Signature Provisions on Following Page]

IN WITNESS WHEREOF, the parties hereto have caused their duly authorized representatives to execute this Agreement.

COUNTY:

County of Riverside, on behalf of its
Department of Animal Services, a political
subdivision of the State of California
_______________________________
V. Manuel Perez, Chair
Board of Supervisors
Date:__________________________
CITY:

CITY OF CATHEDRAL CITY, a Charter
City
_____________________________
Anne Ambrose
Acting City Manager
Date:__________________________
ATTEST:

Kimberly Rector
Clerk of the Board
By:____________________________
ATTEST:

By:____________________________
Tracey R. Hermosillo
City Clerk
APPROVED AS TO FORM:

Minh C. Tran
County Counsel
By:____________________________
Amrit P. Dhillon
Deputy County Counsel
APPROVED AS TO FORM:

Eric S. Vail
City Attorney
By:____________________________

COUNTY OF RIVERSIDE

DEPARTMENT OF ANIMAL SERVICES

DESCRIPTION OF STANDARD FIELD SERVICES

EXHIBIT A
At the election of the CITY the County of Riverside, on behalf of its Department of Animal Services (“COUNTY”), agrees to provide the following animal field services for the CITY of CATHEDRAL CITY (“CITY”):

A. PROVISION OF FIELD SERVICES
The COUNTY will provide the services set forth below in accordance with regulations and provisions, found in Riverside County Ordinance Nos. 534, 560, 630, 716, 771, and 878 (“Animal Control Ordinances”), except as otherwise agreed to by the Parties in ATTACHMENT B, Service Request.

The COUNTY will inform the CITY of any proposed changes to Ordinance Nos. 534, 560, 630, 716, 771, and 878 with as much advance notice as practical, with the intention of providing the CITY with an opportunity to submit input to the COUNTY and the COUNTY related to the proposed changes. The COUNTY will notify the CITY of the passage of any change to Ordinance Nos. 534, 560, 630, 716, 771, and 878 by the County Board of Supervisors as soon as practical.

The COUNTY will provide the minimum required animal control resources and services for the CITY based on an average number of calls for service. Services consist of COUNTY personnel performing a variety of tasks utilizing appropriate equipment. The animal field services to be provided by COUNTY for CITY within the corporate limits of CITY shall include the following activities:

1. Field Service Assistance: Respond to all calls for field service assistance pursuant to the priority of calls as described in Section E below.

2. Impoundment: Impound dogs and livestock found at large and collect such impound fees as established in the appropriate CITY municipal code.

3. Proper Care and Treatment: Provide humane care and treatment to any stray or abandoned animal impounded by field personnel in accordance with State of California (“State”) laws and regulations.

4. Animal Bites: Investigate reported bites by animals. COUNTY shall respond to all reposed bites by dogs, cats, or by suspected rabid or wild animals. COUNTY will interview bite victims to the extent possible. COUNTY shall only be responsible for administrative proceedings resulting therefrom.

5. Quarantine: Quarantine all animals suspected to be rabid and/or that have bitten a person as prescribed by the California Compendium of Rabies Control and Prevention, the State law, and COUNTY policy. Shelter quarantine will be at the discretion of the COUNTY.

6. Stray and Barking Animal (Nuisance) Complaints:Respond to and process nuisance complaints, including stray and barking animal complaints. COUNTY shall only be responsible for administrative enforcement proceedings resulting therefrom.

7. Dead Animals: Remove dead animals from the public right-of-way except in such cases where an animal is on a state highway within CITY limits. In such cases, COUNTY shall immediately (or as soon as practicable) notify the State Department of Transportation by telephone, facsimile, email or other means.

8. Return of Animals in the Field: Field personnel, including officers employed by CITY, shall make a best effort to return any lost/stray animal impounded in the field to the rightful owner. Best effort includes but is not limited to:
i. Checking for identification
ii. Scanning the animals for a microchip
iii. Canvassing the area to attempt to find the owner
iv. Equipment necessary to fix common problems such as broken fences with permission from the resident
v. Post a minimum of three signs

9. Kennels and Catteries: COUNTY shall inspect and issue licenses to operate dog kennels and catteries within CITY pursuant to CITY’s municipal codes and collect fees in connection therewith. All fees for licenses to operate dog kennels and catteries shall be retained by COUNTY.

10. Issuance of Warnings and Citations: Enforce all appropriate provisions of CITY’s municipal code as necessary, including the issuance of warning notices or citations, for violations of the provisions of said municipal code. COUNTY shall only be responsible for administrative enforcement proceedings resulting therefrom.

11. Service to Public: Provide service to the public on matters covered in this Agreement consistent with established policies and procedures that promote courteous and efficient service and good public relations. Other policies and procedures notwithstanding COUNTY, in processing any type of complaint or request for service, shall indicate to the caller that a response can be expected as per Section E below.

12. Field Services Related to Canine Licenses: The COUNTY shall verify canine license status when responding to requests for service or when responding to complaints about animal behavior. The Animal Control Officer, as part of the officer's regular animal control duties as defined by, but not limited to, the terms of this Agreement, shall conduct license inspection activities during animal control

investigations to ascertain the number of unlicensed dogs, to license such dogs, and to foster compliance with CITY’s municipal code.

13. Wildlife: COUNTY will not impound free roaming wildlife unless it is a danger to the community, sick, injured, or part of an animal cruelty or animal bite case.

14. COUNTY will perform humane investigations of suspected animal neglect and cruelty and will be responsible for investigation, citation, and preparing materials for prosecution.

15. COUNTY and CITY will work together on educational outreach, promotion of spay/neuter and vaccination clinics, owner surrender assistance programs, responsible pet ownership, adoption programs and other activities to reduce impounds and increase live outcomes. CITY will provide one (1) vaccine clinic(s) at no charge to the resident per year, and one (1) spay/neuter clinic(s) at no charge to the resident per quarter, at CITY’S expense. CITY may decide to hire COUNTY to provide this service, if available, or seek a separate vendor.

16. In case of a disaster, COUNTY and CITY will work collaboratively on animal needs and communication as it is related to rescue, response and recovery efforts.

B. SHELTER CARE AND DISPOSITION SERVICES
The COUNTY shall house CITY’s animals at the Coachella Valley Animal Campus, or other COUNTY operated shelter at the COUNTY’s discretion, as set forth in EXHIBIT B.

C. PROVISION OF VEHICLES AND RADIO EQUIPMENT
COUNTY shall provide animal control vehicles and equip them with the appropriate animal control boxes mounted on the truck chassis and with an air conditioning unit mounted on the animal control truck boxes for use in the provision of services as set forth in this Agreement.

The COUNTY shall fuel and maintain said vehicles.

D. MISSING OR STOLEN ANIMALS
COUNTY shall file a report with the appropriate law enforcement agency within twentyfour (24) hours if an impounded animal is missing or suspected of having been stolen from an animal control vehicle or while in COUNTY’s custody. COUNTY shall indicate on the police report the circumstances of the animal's disappearance.

E. PRIORITY OF FIELD SERVICES
a. “Services” are those enforcement activities rendered by COUNTY pursuant to COUNTY Ordinance and/or the relevant sections of CITY’s municipal code, as indicated in ATTACHMENT B and related State law and are assembled for into two categories: emergency and non-emergency.

b. “Priority Ranking” refers to the order of priority with which a call will be handled.

All calls will go directly to the dispatcher or assigned clerical staff for a relay to the Animal Control Officer. If a call is exceptional,” as set forth in Section F below, it shall be referred to the supervisor for evaluation and response. c. The following definitions of “Regular Service Hours”, “Limited-Service Hours”, and “Holidays” are intended to identify the broad time frames during which specific levels of service will be provided.
d. "Regular-Service Hours” are between the hours of 7:30 am to 5:00 pm, Monday through Friday, Holidays excepted.
e. "Limited-Services Hours” are the between the hours of 5:00 pm to 7:30 am, Monday through Friday, all day Saturday, Sunday and on Holidays. f. “Holidays” are those days as established by the COUNTY and the CITY where the CITY or COUNTY is closed for service on a business day that would otherwise be a regular service day.
g. Field service activities shall be performed daily and generally based on both the Priority Ranking and the time a call for service is received in accordance with this Agreement. All calls involving imminent danger shall be responded to within sixty (60) minutes if reasonably possible, subject to considerations involving the time of day, traffic conditions, or other circumstances. An Animal Control Officer shall respond to animal medical emergencies and other emergencies involving danger to humans within thirty (30) minutes or less during Regular Service Hours, and within sixty (60) minutes or less during Limited-Service Hours and Holidays. CITY acknowledges that response time may be affected by traffic congestion or other hindering circumstances uncontrollable by COUNTY. COUNTY shall provide a means for responding to calls for service that take place during Limited-Service Periods which are of an urgent nature pursuant to this ATTACHMENT A, Field service personnel may be assigned to patrol and perform other service field tasks as defined by COUNTY and CITY.
h. The COUNTY shall respond to telephone calls for field services during Regular Service Hours. Calls shall be received by the COUNTY answering service during Limited-Service Hours and on Holidays, as noted above. Calls answered by the answering service will be handled on an emergency basis as outlined herein. The dispatcher and/or clerical support staff shall maintain a detailed record of all requests for service, both emergency and routine, received during Regular Service Hours and Limited-Service Hours, including time and date, when the calls were answered, and the disposition of those calls. Records of these calls shall be maintained for at least thirty (30) days.
i. The CITY and COUNTY agree that any incident reports to the COUNTY by residents

or through emergency services involving a dangerous, aggressive, wild, injured or sick animal constitute an emergency and require immediate action by the COUNTY pursuant to this Agreement. Calls for service received during Limited-Service Hours that are not of an urgent nature shall be answered by an answering service and referred to call-back on the next business day during phone center operational hours. These calls will then be scheduled for response in accordance with EXHIBIT A. j. Calls Considered Emergencies to be Handled Without Delay:

1. Animals endangering the health or safety of the community

2. Police Department requests for service

3. Sick or injured stray animals

4. Animals in distress

5. Humane investigations that are life threatening. (Depending on immediate circumstances)
k. Calls Considered Non-Emergency to be Handled during Regular Service Hours:

1. Pick-up confined, healthy- not sick or injured, stray-animals

2. Dead animal removal

3. Quarantine investigations

4. Leash law enforcement

5. Nuisance animal investigations

6. Permit investigations
F. EXCEPTIONS
The Director of the Department of Animal Services, or their designee, may, on a case-by-case basis, authorize variations of priority when circumstances require.

G. LICENSE FEES (Riverside COUNTY Ordinance No. 630, Section 2 - MANDATORY

DOG LICENSING AND VACCINATION)
Licenses shall be issued upon receipt of all licensing requirements including payment of the license fees at the same rate as established in Section 2 of Riverside County Ordinance No. 630 and are subject to change as amended by COUNTY’s Board of Supervisors, from time to time.

H. RABIES VACCINATION CERTIFICATE DATA
Rabies vaccination certificates shall be collected from area veterinarians and downloaded into COUNTY’s database after the data has been reviewed for inconsistencies. Reminders of licensing requirements shall be automatically generated and emailed or mailed to dog owners.

Those owners who fail to comply may be subsequently issued administrative citations.

Remittance options include on the COUNTY’s website www.rcdas.org or in person at a COUNTY shelter location. COUNTY shall verify dog license status when responding to requests for service or when responding to complaints. COUNTY owners can verify the status of their animal’s license by telephone or going to https://riversidecounty.docupet.com.

I. COLLECTION OF LICENSE FEES
CITY authorizes COUNTY to issue and collect the fees for canine licenses and retain eleven dollars and thirty-five cents ($11.35) per license on any and all canine license revenue generated by CITY residents during the term of the Agreement. All fees collected for canine licenses shall be accounted for by the COUNTY monthly and the COUNTY shall credit the net amount of license fees collected for each month. For purposes of this Agreement, the net amount of license fees shall mean the total amount of license fees collected in a month less the sum of $11.35 per each canine license issued and shall be separate and apart from the monthly compensation rate due and payable by the CITY as required in ATTACHMENT B, Billing Rates. CITY shall be responsible for a one-time conversion fee for new data entered into COUNTY’s licensing database.

J. SERVICE PLANS
CITY may elect one of two service plans for field services provided by the COUNTY. (ATTACHMENT A)

1. Standard Service Plan
The Standard Service Plan provides the number of Animal Control Officers, as determined by the County, to allow for the provision of field services to the CITY five (5) days/week – Monday through Friday- Nine (9) hrs./day – between the hours of 7:30am-5:00pm, with dispatching and after-hours emergency service 24 hours per day, seven days per week.

2. Extended Service Plan
The Extended Service Plan provides the number of Animal Control Officers to allow for providing field services to the CITY seven (7) days/week – Monday through Sunday – nine (9) hrs./day - between the hours of 7:30am-5:00pm, as indicated by the CITY in ATTACHMENT A, dispatching and after-hours emergency service 24 hours per day, seven days per week.

COUNTY OF RIVERSIDE

DEPARTMENT OF ANIMAL SERVICES

DESCRIPTION OF STANDARD SHELTER SERVICES

EXHIBIT B
At the election of the CITY, the County of Riverside, on behalf of its Department of Animal Services (“COUNTY"), agrees to provide the following Animal Shelter Services for the CITY of CATHEDRAL CITY (“CITY”).

A. PROVISION OF SHELTER SERVICES
All COUNTY shelters are open admission shelters and are required to accept all stray or abandoned animals from the COUNTY’s area(s) of responsibility. The COUNTY maintains four (4) animal care shelters that accept stray or abandoned animals. The COUNTY also receives and maintains animals that are victims of abuse or neglect, under a quarantine order, or that pose a risk to the public. Stray or abandoned animals are held for an initial period to give an owner the opportunity to reclaim them. Owner-relinquished animals are held for an initial period prior to requested euthanasia or adoption to a new home, pursuant to State law. The holding period may vary and may be extended to reunite the animal with an identified owner or for other reasons.

The COUNTY is committed to providing appropriate and safe housing for all animals accepted into the COUNTY’S care. The COUNTY is required by law to provide necessary and prompt veterinary care, nutrition, and shelter, and treat them kindly. Medical care may be provided by COUNTY staff or, at COUNTY’S sole discretion, outsourced to a contracted veterinarian.

B. COUNTY ANIMAL SHELTER

1. All animals collected in the field within the boundaries of the CITY or determined to have originated from within the boundaries of the CITY may be housed at a COUNTY animal shelter. Admitted animals will be vaccinated, microchipped, and provided necessary and prompt medical care, food, water, and shelter. The COUNTY may post an animal’s picture on the Department’s website to assist residents in reclaiming a lost or missing pet or finding a new one. Residents may also visit the associated animal shelter to find their lost or missing pet. The hours of operation of each animal care center may be found on the Department's website.

2. The COUNTY will make reasonable attempts to house animals from the CITY at the animal shelter closest to the CITY. The nearest animal shelter to the CITY will be designated as the primary animal shelter. There may be circumstances in which the Department will house animals collected from the CITY at an alternate location.

3. The COUNTY shall be responsible for the operation and maintenance of the COUNTY shelters and the care of the animals.

4. The COUNTY shall maintain hours of operation at the Shelter to provide maximum

public access to the animals, to the extent possible.

C. STANDARD SHELTER SERVICES
Riverside County Animal Services shelters shall include the following activities and services:

1. Impoundment, admittance, receipt of, care of, custody of and/or feeding of any and all stray animals.

2. Providing food, water, shelter, enrichment, and medical care for animals in the Department’s care.

3. Holding stray animals and attempting to reunite them with their owners.

4. Assisting pet owners with alternatives to relinquishment by connecting them with resources for pet retention. Accepting unwanted animals surrendered by their owners if there is no other alternative.

5. Making the best efforts to find new adoptive homes for domestic animals and livestock.

6. Quarantine and observation of animals for rabies and/or at the direction of the Department of Public Health.

7. Working with wildlife rehabilitators to rescue sick and injured wildlife.

8. Providing emergency care and housing to pets and livestock displaced by wildfires or other disasters.

9. Holding animals that are the subject of criminal investigations or other legal or administrative proceedings.

10. Ensuring that all dogs, four (4) months and older, released from the COUNTY to a resident of County of Riverside are licensed, microchipped, and spayed/neutered and, if not licensed, to sell license to the owner or other person taking custody of such dog. In accordance with COUNTY ordinances, require the micro-chipping of released animals.

11. Provide necessary and prompt veterinary care.

12. Humane euthanasia of animals as lawful and necessary, including the creation of a log detailing each animal that is euthanized and the reasons for such euthanasia.

13. Public services, including prevention of animal abuse, neglect, or abandonment through outreach and education, and intervention through finding alternatives to relinquishment and assisting at-risk populations.

14. Filing annual reports to the State of California as required by law.

15. Proper disposal of dead animals at the rate as set forth in ATTACHMENT B, Payment Provisions.

16. Maintaining a website with pictures of stray and surrendered animals to facilitate reuniting the animals with their owners or finding new adoptive homes.

17. Maintaining regular hours of operation for the public.

D. SCOPE OF ANIMAL SHELTER SERVICES

1. Treatment of Animals: COUNTY will provide adequate care and treatment of CITY’s animals whiles in custody of COUNTY to ensure that impounded animals are provided with humane and appropriate levels of care, including a clean environment, fresh water, adequate nutrition and appropriate medical care.

2. Level of Service Provided: COUNTY shall provide Animal Shelter Services as defined in this Agreement. COUNTY’s policies and procedures for Animal Shelter Services shall be based on standards and/or guidelines derived from reputable animal care organizations including, but not limited to, the Humane Society of the United States, American Humane Association, and American Veterinary Medical Association.

3. Feeding Protocols: All animals shall be fed in amounts appropriate to meet their nutritional needs.

4. Disease Control and Sanitation: COUNTY shall maintain the Shelter in a clean and sanitary condition. COUNTY’s policies and procedures may include beneficial standards and/or guidelines derived from reputable animal care organizations including, but not limited to, the Humane Society of the United States, American Humane Association, and American Veterinary Medical Association.

5. Provision of Personnel and Supplies: COUNTY shall provide personnel, supplies, materials, medication, pharmaceuticals, and equipment, including forms and reports, to perform all aspects of the animal shelter services described herein.

6. Holding Periods: COUNTY shall hold all stray-impounded animals, not otherwise own identifiable, for the holding periods as required by State law.

7. Euthanasia: Humane euthanasia services shall be provided as required for impounded animals held at the shelter for the lawful number of days, if such an animal is not reclaimed by the animal’s owner and is unable to be placed through adoption or rescue by COUNTY. Animals that are irremediably suffering from a

serious illness or severe injury may not be held for owner redemption or adoption.

Only euthanasia methods approved by the American Veterinary Medical Association shall be used. Records shall be kept for a period of not less than three (3) years on each euthanized animal and shall include the following information:
breed; sex; color; weight; other distinguishing characteristics; date, time and location where animal was found; method of euthanasia, and reason for use of method.

8. Quarantine: COUNTY shall quarantine, as prescribed by the California Compendium of Rabies Control and Prevention, State law, and COUNTY policy, all animals suspected of being rabid or involved in a bite investigation.

9. Impoundments and Quarantines: COUNTY shall house, feed and care for all animals impounded and/or quarantined at the Shelter. Quarantined animals may be quarantined at the owner’s home or an alternate location.

10. Animals Surrendered by their Owners: Owner surrenders will be impounded on a case-by-case basis. Pet Support or pet retention programs will be offered to assist the owner with keeping their pet. CITY shall direct their constituents to consult with COUNTY to surrender their pet. CITY shall not accept owner surrenders in the field prior to the constituent consulting with the COUNTY.

12. Wildlife: COUNTY and CITY Animal Control Officers will work with constituents to ensure public safety while maintaining wildlife in the wild.

COUNTY and CITY Animal Control Officers will triage wildlife reports to determine the appropriate response. Wildlife will be impounded if there is a public safety hazard, if the animal’s welfare is at risk, if the animal is injured or orphaned, if the animal has been involved in a bite, or involved in an animal cruelty investigation.

13. Vicious and Potentially Dangerous Dogs: Any dog declared or determined to be vicious or potentially dangerous and in custody of COUNTY either under impoundment or quarantine shall be deemed unsuitable for adoption and shall not be released except as required by State law or at the Director of Animal Services’ discretion.

14. Incoming Animal Identification: Incoming animals shall be checked immediately for collar tags, tattoos, and scanned for microchips by qualified Shelter staff within one (1) hour of arrival at the Shelter. Shelter staff shall make all attempts to notify owners within twenty- four (24) hours of an Impounded Animal delivered by CITY to COUNTY. Animal Control Officers shall attempt to return animals in the field prior to delivering the impounded animal to the shelter. Animal Control Officers shall scan animals in the field for microchips, call phone numbers on tags or research license numbers to reunite animals in the field.

15. Incoming Animal Examinations/Assessments: Examinations of impounded

animals shall be performed within twelve (12) hours, except during LimitedService Hours when the examination will be performed within twenty-four (24) hours. Incoming animal assessments shall include the following:
a. A physical examination to determine if a medical condition exists which requires a veterinarian’s attention
b. Routine vaccinations and de-worming, as needed
c. External parasite treatment, as needed
d. Document the animal’s incoming weight
e. Scan for microchip identification
f. Microchip administered if none found
g. Establish unique identifier for the animal
h. Document any identifying features or abnormalities. The COUNTY shall properly document on an animal-by-animal basis that an
examination/assessment has been performed.

16. Enforcement: Enforce all relevant provisions of CITY’s municipal code and State law as may be applicable to animals housed, kept or maintained at the Shelter.

17. Adoption: Animal identified as being available for adoption shall be up for adoption in the shelter or off-site locations or by posting online.

18. Spay and Neuter: COUNTY shall ensure that all dogs and cats adopted from the Shelter are spayed or neutered, or that adequate provisions are made for such spaying or neutering if COUNTY transfers any animals, or if an adopted animal is unable to receive spaying or neutering due to a medical condition. In accordance with California Food and Agricultural (“F & A”) Code Sections 30503 and 31751.3, if veterinarian employed at the Shelter certifies that a dog or cat is too sick or injured to be spayed or neutered, the COUNTY shall collect a spay/neuter deposit from the adopter or purchaser and this deposit shall be deposited into a segregated fund maintained by the COUNTY. The deposit shall be fully refunded to the adopter or purchaser if proof of sterility is provided within thirty (30) business days from the date of surgery, at which the deposit is forfeited in accordance with F & A Code Sections 30503 and 31751.3. Spay and neuter deposits shall only be used by the COUNTY for canine and feline spay and neuter programs.

19. Microchipping: In accordance with F & A Code Sections 31108.3 and 31752.1, COUNTY shall ensure that all dogs and cats being reclaimed, adopted, or transferred to a new owner are microchipped with current information prior to leaving the shelter.

18. Community Adoption Partners: COUNTY shall comply with F & A Code Sections 17006, 31108, and 31752 that provide (subject to Section 17006) that a stray dog or cat that is impounded shall, before the euthanasia of that animal, be released to a nonprofit, as defined in Section 501(c)(3) of the Internal Revenue Code, animal rescue, or adoption organization if requested by the organization

before the scheduled euthanasia of that animal. The public or private shelter may enter into cooperative agreements with an animal rescue or adoption organization.

The public or private shelter or organization must be approved by COUNTY prior to the transfer of any animals. In addition to the required spay or neuter deposit, the public or private shelter, at its discretion, may assess a fee, not to exceed the standard adoption fee, for animals adopted or released.

19. Foster Care Placement: Certain animals may be placed in COUNTY’s foster care placement program so to improve animal care, give certain animals a better chance of adoption, and lift the spirits and morale of staff and volunteers.

20. Community Cat Program (“CCP”): CCP COUNTY shall determine a cat’s eligibility for the CCP. If it is determined that a cat is eligible, the cat will be spayed/neutered, vaccinated, and ear tipped. Once the cat has recovered, it will be returned to place of origin.

21. Drug Enforcement Agency (DEA): COUNTY shall comply with all Drug Enforcement Agency (“DEA”) regulations regarding storage, record-keeping, inventory, use, and disposal of all controlled substances.

22. Staffing and Volunteers: COUNTY shall recruit and supervise all necessary personnel for the office, kennel, veterinary and other areas of the Shelter. Staff shall include all full or part-time personnel and shall include the recruitment, supervision and assignment of volunteers in suitable Shelter-related activities. Personnel employed at the Shelter in the performance of Shelter-related activities shall be designated as COUNTY employees and all volunteers engaged in Shelter activities shall participate in activities designated by COUNTY and shall be under the auspices of COUNTY. Use of volunteers at the Shelter shall be determined by COUNTY.

23. Missing Animals: COUNTY shall notify an appropriate law enforcement agency immediately of any animal missing from the Shelter that had previously been impounded and/or in protective custody.

24. CITY Access: COUNTY shall provide access to the entire Shelter to the authorized representatives of CITY during Regular Service Hours or at such other times upon written notice.

25. Livestock and Fowl Care: COUNTY shall provide food, care and shelter to livestock and fowl, either at the Shelter or at another location, when such animals cannot be cared for at the Shelter. Costs of housing any livestock or fowl, regardless of Shelter location shall be charged to the owner of the animal, if known. If the animal’s owner wishes to redeem the animal, the owner shall first pay all applicable fees and charges at the Shelter; except as otherwise required by law, then and only, will the COUNTY authorize release of the animal. COUNTY shall notify CITY in writing when said expenses reach the amount of $5,000 or greater per incident.

Such expenses shall not exceed the amount of $25,000 per incident unless authorized in writing by CITY.

26. R.E.A.R.S.: REARS is the system that has been developed to perform animal rescue, evacuation, sheltering, care and welfare of domestic and livestock animals within Riverside County during times of disaster or extraordinary emergencies. The REARS Team is dedicated to carrying out the operational tasks of rescuing, evacuating, sheltering and caring for animals during emergencies and is made up of local government animal welfare staff and volunteers trained in animal rescue and emergency animal care. This cadre of trained individuals is supervised, during incidents, by Riverside County Department of Animal Services management staff.

27. Animal Disposal: COUNTY shall prohibit any animal whether dead or alive, which has been impounded, in custody, or in quarantine at the Shelter to be given away, disposed of, traded, sold or in any manner given over to another person, organization or entity for experimentation, regardless of purpose. COUNTY shall be responsible for the disposal of animal remains in its custody or control, subject to applicable State laws.

28. Pet Support Services Program: The COUNTY's Pet Support Program services are activities that go beyond providing housing for dogs and cats and have the effect of keeping pets out of the Shelters and in homes and healthy environments. This strategy allows the COUNTY to manage and reduce the flow of both owned pets and stray animals into their care, which is accomplished by partnering with the community and providing resources and solutions. Through the COUNTY’s pet support services staff provides counseling to pet owners or connects them with resources such as free pet food and supplies, medical vouchers, and other critical resources all intended to help keep pets with their families. This human/pet assistance program is funded almost entirely through donations and grants received by the COUNTY.

This program has reduced the number of surrendered animals admitted to the COUNTY’s care centers to those who have no other opportunity for rehoming. This is reducing the costs that are associated with sheltering cats and dogs.

A. Components of Pet Support Services:
• Community Engagement is key to successfully employing this program, giving the community an opportunity to foster, network animals, facilitate adoptions, and to develop solutions to keep pets with their owners. • The COUNTY encourages people who have found stray animals to attempt to reunite the pets with their families. The COUNTY also encourages residents to allow free roaming cats to remain where they live, as these are often pets or community cats.

• To reduce the relinquishment of owned pets, the COUNTY will provide resources such as training, food, and supplies, or other support to help keep pets in their homes.
• Public safety and animal welfare are a priority. Animals that pose a safety threat will immediately and safely be admitted by the COUNTY, as will animals that are sick or injured.

29. Healthy Pet Zone: COUNTY aids the public in times of crisis on a case-by-case basis that includes access to veterinary care and temporary boarding. CITY must refer public to COUNTY for program assistance.

30. Individual Animal Licensing Services: Adult dogs four months of age and older are required by State law to have individual licenses. The CITY may request that the Department enforce licensing requirements in the CITY as described in ATTACHMENT A. The CITY may adopt the COUNTY’s fees for individual animal licenses or set its own fees as permitted in ATTACHMENT A.

License renewal notices are mailed or transmitted by the Department to the animal owner of record. The renewal and payment are received and processed on a feeper-license basis. A current license will be required before an animal will be released to a resident of the CITY. Fees from licenses collected will be credited to the CITY monthly in arrears.

The COUNTY’s animal licensing services include:
a. Issuing animal licenses for pets as requested by the CITY; b. Processing license applications, payments, and information changes; c. Issuing license renewal notices;
d. Assessing and collecting fees, penalties, and other financial remittances; e. Maintaining a database for animal licensing, records of calls for service, and actions taken; and
f. Maintaining the Rabies Vaccination Certificate tool database which scans rabies vaccination data reported by private veterinary clinics to identify unlicensed pets in our jurisdictions and generate compliance notices to pet owners.

31. Kennel and Cattery Licensing: The Department's Kennel and Cattery Licensing program provides staff to perform animal facility inspections and licensing to animal-related businesses or organizations that require a license under COUNTY Ordinance. Animal-related facilities are inspected annually to ensure the safety and well-being of the animals as well as the health and safety of the public.

The COUNTY retains kennel license fees to offset the cost of annual inspections and related

administrative costs. Staff time for licensing and inspections is not billed to the CITY. However, investigations in response to complaints about activities at a licensed location are conducted by Animal Control Officers based in the COUNTY’s animal shelters and are billed in accordance with ATTACHMENT B, City/County Service Rates.

This program includes:
a. Annual inspection of any premise used by an animal-related business or nonprofit organization, including grooming shops, pet shops, boarding facilities or breeding facilities, animal menageries, and all other places where animals are maintained for profit or business activities.
b. Follow-up inspections of animal facilities as necessary. c. Collection of license fees to offset the cost of services; and d. Documentation and maintenance of records as necessary.

E. CONTRACT CITY REQUIRED SERVICES

1. Vaccination and Microchip Clinics: California Health and Safety Code Section 121690(f) states that every city and county, "shall provide dog vaccination clinics, or arrange for dog vaccination at clinics." The Department holds periodic low-cost rabies vaccination and microchip clinics at its animal care centers and in the unincorporated areas of the County. Pursuant to this agreement and ATTACHMENT A, CITY shall fund one(1) vaccination and microchip clinics, within the CITY’s jurisdiction, per FY. The following services will be provided by the COUNTY:
a. Providing or assisting in arranging for low-cost vaccinations and microchips; b. Staffing low-cost vaccination and microchip clinics with medical personnel and necessary support staff, subject to availability;
c. Licensing animals vaccinated at the clinic; and
d. Assisting jurisdictions in promoting these community-based clinics.

2. Spay/Neuter Clinics: Pursuant to this agreement and ATTACHMENT A, the CITY shall fund one (1) Spay/Neuter clinic(s), within the CITY’s jurisdiction, per FY.
a. To help fund these events the CITY may elect to contribute $5.00 per altered and unaltered dog license to the Spay/Neuter Trust. Participation in the Spay/Neuter Trust will allow the CITY to offer low-cost or free spay/neuter programs for the CITY’s residents who wish to have their pets spayed or neutered. The COUNTY staff will work with the shelter and mobile clinics to assist qualified residents in obtaining spay/neuter services.

F. Records
Upon reasonable notice, the COUNTY will make available to authorized representatives of the

CITY, for examination, audit, excerpt, copy, or transcription, any pertinent transaction, activity, or other record relating to the Agreement. The CITY must ensure such records are handled in a manner consistent with all applicable privacy laws and all laws related to the Public Records Act (Government Code sections 7920.000 et. seq.).

Upon request, the following standard reports are available to the CITY from the COUNTY monthly:
a. Dogs and/or Cats Impounded
b. Animals Returned to Owners
c. Dogs and/or Cats Abandoned
d. Special Admission Dog & Cat
e. Other Animals Impounded
f. Quarantined Dogs and/or Cats
g. Special Admission of Other Animals
h. Private Veterinarian (Outside Medical Expense)
i. Dead Animal Pick Up Requests
j. Types of Calls for Service
k. Location of Admission
In accordance with SECTION III, the COUNTY will provide up to 12 hours of staff time annually for producing special reports to the CITY at no cost. Additional staff time will be charged to the CITY at the current reimbursement rate for applicable staff time.

ATTACHMENT A
FISCAL YEAR 25/26-27/28 SERVICE REQUEST

FOR THE CITY OF CATHEDRAL CITY

1. Services
The level of animal care center service that the CITY requests and the COUNTY agrees to is (select the options below):
 Field Services
 If CITY elects to provide CITY Animal Control Services, CITY shall agree to have CITY Animal Control Officers trained and implement the return in field program as described in EXHIBIT A – A.8 8. Return of Impounded Animals.

The CITY shall provide the tools necessary to perform these duties. COUNTY shall provide training to CITY personnel for this purpose.  Shelter Services

2. Field Services
The level of field service that the CITY requests and the COUNTY agrees to:
(select one of the three options below):
a. Standard Service Plan
b. Extended Service Plan (check all applicable boxes below) c. Administrative Compliance (Post Hearing compliance checks)

3. Animal Licensing
 The CITY agrees to have the COUNTY provide individual animal licensing and has adopted the COUNTY fees outlined Riverside County Ordinance No, 630.  The CITY agrees to have the COUNTY provide individual animal licensing and has adopted the following license fees (please provide a copy of the applicable ordinance or resolution):

Dog Licenses 1-Year Fee 2-Year Fee 3-Year Fee
Standard Service Plan
COUNTY provides service to the CITY five (5) days/week – Mon.-Fri. – Nine (9) hrs./day
7:30am-5:30pm
COUNTY provides after-hours emergency service.

Extended Service Plan
COUNTY provides service to the CITY five (5) days/week – Mon.-Fri. – Nine (9) hrs./day
7:30am-5:30pm
COUNTY provides after-hours emergency service.

Weekend days and holidays (please identify days and
hours):

Humane Investigations – as needed Included billed hourly.

Administrative Investigations – as needed
(Potentially dangerous/vicious Dogs)
Included billed hourly.

Administrative Compliance (Post Hearing compliance checks)

Altered Dog
Unaltered Dog
Senior Altered Dog
Cat Licenses (Voluntary) 1-Year Fee
Voluntary Cat
Current license fees adopted by the CITY on February 1, 2022

4. Outreach and Enforcement Services
Please make a selection for each of the options below:
i. Animal Facility Inspection and Licensing (Costs included in County costs - not billed)
 The CITY requests that the COUNTY license animal-related facilities (including inspection) in the CITY.
 No animal facility licensing services - the CITY will conduct its own licensing program for animal-related facilities. (Please provide contact information below.)
A.Vaccination/Microchip/Licensing Clinic(s)
Based on the CITY’s population, the CITY, at the CITY’s expense, shall provide for a minimum of one (1) vaccination/microchip/Licensing clinic(s) per fiscal year. The CITY requests that the COUNTY provide or assist in arranging for clinics in the CITY, utilizing Department personnel at the applicable rate for staff time.  The above requirement for CITY to fund Vaccination/Microchip/Licensing Clinic(s) is acknowledged by the CITY
B.Spay/Neuter Clinic(s)
Based on the CITY’s population, the CITY, at the CITY’s expense, shall provide for a minimum of one (1) Spay/Neuter clinic(s) per fiscal year. The CITY requests that the COUNTY provide or assist in arranging clinics in the CITY, utilizing Department personnel at the applicable rate for staff time.

 The requirement above to fund the number of Spay/Neuter Clinic(s) listed above is acknowledged by the CITY
 CITY elects to participate in the Spay/Neuter Trust to allow residents access to low-cost spay/neuter services.
 No participation in the Spay/Neuter Fund.

5. Enforcement of Ordinances/Municipal Codes
 The CITY agrees to the adoption of Ordinance No. 630 - Regulating the keeping and control of dogs, cats, and other animals and providing for the control and suppression of rabies with no exceptions.
 The CITY agrees to the adoption of Ordinance No. 630 - Regulating the keeping and control of dogs, cats, and other animals and providing for the control and suppression of rabies with the following pre-approved exception(s):
(please mark all that apply)
□ Ordinance No. 630 - SECTION 12. - Mandatory Spaying and Neutering. The CITY does not require the spay/neuter of:
o Dogs
o Cats
□ Ordinance No. 630 - SECTION 13. - Mandatory Microchipping. The CITY does not require microchipping of:
o Dogs
o Cats
□ Ordinance No. 630 - SECTION 5. – Number of dogs and cats. The CITY allows for the following maximum number of animals per household:

Dogs
Cats
Total Dogs/Cats
□ Ordinance No. 878 - SECTION 5. – Noisy Animal Complaints. The CITY will conduct CITY noise complaints.

6. Annual/Amended Service Request Approval (As Needed)

ATTACHMENT B

COUNTY OF RIVERSIDE DEPARTMENT OF ANIMAL SERVICES

CITY/COUNTY SERVICES RATES
A. Billing Period
These billing rates are effective from July 1, 2025, through June 30, 2028.

B. Billing Rates
Based on CITY’s needs and System Impact
Shelter Services:

FY 2025/2026
FY 2026/2027
FY 2027/2028
$313,360
$396,658
$452,190
Field Services:

FY 2025/2026
FY 2026/2027
FY 2027/2028
$146,980 half-time/$293,960 full-time
$158,093 half-time/$316,186 full-time
$165,998 half-time/$331,996 full-time
Additional Administrative Services
Leadership Attendance at meetings in
excess of contract allowance

1. Director = $185.03/Hour

2. Assistant Director =
$153.72/Hour

3. Deputy Director =
$142.43/Hour
Production of reports in excess of contract
allowance
Analyst = TBD/Hour
Animal Control Officer in excess of contract
allowance – Investigations/court
appearances

1. Commander =
$109.26/Hour

2. Lieutenant = $76.53/Hour

3. Sergeant = $68.62/hour

4. Animal Control Officer =
$56.62/Hour
Spay/Neuter Trust
Spay/Neuter Trust $5.00 per animal License

ATTACHMENT C
Rates Methodology
Cities are financially responsible for the care of animals impounded within the City’s jurisdiction and the County is responsible for the care of animals impounded within the County’s jurisdiction. When a city contracts for services, it can save by sharing resources with the County and other contracted cities.

The existing County/City contract rates model is complex, and administrative staff, county and city, are required to invest a significant amount of time preparing, reviewing, discussing and justifying billing for each of the contract cities, monthly. The current methodology also does not allow the agencies to budget for the cost of shelter services provided since they are based on the incoming animals and length of stay. The unpredictability of these shelter costs can cause a burden on contracting cities, making it hard for them to budget and pay timely. This can also cause a burden on the County in collecting these revenues. It also does not incentivize the agencies to promote animal licensing, spay or neutering of the animals, adoptions or other revenue generating activities within their jurisdictions.

The County has gone away from a per animal methodology for shelter services and developed a “Piece of the Pie” billing methodology, where each city’s contribution is based on its proportional impact to the County shelter system. The impact is calculated using a variety of factors. By distributing costs based on actual usage and demand, this approach ensures fair allocation of expenses while promoting engagement and efficient resource management. Animal Control and Sheltering costs are generally driven by:

Field Services Shelter Services
a. Calls for service a. Average Length of Stay
b. Time to complete a service call b. Number of Impounds c. Staff c. Staff
d. Administration d. Program expenses
e. Support Services e. Administration
f. Population f. Support Services
g. Facilities
h. Population
To simplify the methodology these drivers were categorized into three (3) cost pools:
a. Shelter Costs to house and care for the animals;
b. Animal Control Field Services Costs (as applicable); and c. Split costs that were allocated between the two primary categories are based on either the ratio of the shelter category costs to field category costs or based on statistics provided by Animal Services for its call center.

1. SHELTER COSTS DISTRIBUTION
The costs of providing Shelter Services were determined by using three different allocation areas, based on the RCDAS FY 24/25. These allocation areas were weighted based on the impact to shelter resources:
a. Average Impound numbers (number of animals that come into the shelter for each city and the unincorporated areas of the County – Animals/month based on 30 months or the length of the contract if less than 30 months). (30% impact weight)
b. Average Length of stay (LOS) for animals per city and the unincorporated areas of the County – LOS/month based on 30 months or the length of the contract if less than 30 months.
(50% impact weight)
c. On the human population of a city.
(20% impact weight)
Within each of the allocations, spilt costs are included. The cities and the County were assigned a percentage of the cost based on their statistic or number and the ratio to the total.

2. FIELD SERVICES DISTRIBUTION
The costs of providing field services were allocated based on the minimum number of officers required – Officer + Vehicle
a. Total field service costs are divided by the total number of officers to find the annual cost per unit.
b. Overtime, overtime holiday, and vehicle lease are excluded from the total field services costs for cities.
c. Vehicle charges are added per officer vehicle, field leadership vehicle and licensing vehicle.

Only those cities who opt for Animal Control Officer Services will be allocated their piece of the costs. Within each of the allocations, spilt costs are included.

3. SPLIT SERVICES DISTRIBUTION
These costs consist of Administration, Facilities, and Support, each uniquely supporting either shelter or field operations and were split between Shelter and Field based on the ratio of the budgeted amounts identified as either shelter or field.

By using the piece of pie methodology, with the three different allocation areas, and then weighted based on a city’s impact to shelter resources, cities will be charged for their proportion of the total County animal shelter costs incurred during the fiscal year as illustrated below.

EXAMPLE:

Hypothetical animal sheltering services budget to distribute: $20,000,000 Total Average Impounds weighted @ 30% of costs = $6,000,000 Total Average Kenneling Days weighted @ 50% of total costs = $10,000,000 Total Population weighted @ 20% of costs = $4,000,000
City A has 2.9% of the average total impounds/yr.

City A has 2.5% of the average of Kenneling days/yr.

City A has a population that is 7% of the total served pop. (County + all contract Cities) City A: (0.029 * $6,000,000) + (0.025 * $10,000,000) + (0.070 * $4,000,000) = $704,000 City A’s future FY cost = $704,000
Payments of $176,000 made quarterly which will be reduced by any licensing revenue For the contract term. City A’s animal shelter budget shall follow the following three (3) year 4% fixed-rate schedule:
$704,000.00 for fiscal year 2025-2026 (contract year 1) $732,160.00 for fiscal year 2026-2027 (contract year 2) $761,446.40 for fiscal year 2027-2028 (contract year 3)

4. OTHER CONSIDERATIONS
A. Medical Costs
Medical costs (excluding spay/neuter surgeries) provided by the County’s medical staff are included in shelter costs to establish each city and the County’s rate for sheltering and are not billed separately or in addition to that rate. The County reserves the right to send any animal to a private veterinary facility for examination,

treatment, and/or hospitalization as the County deems necessary in its sole and absolute discretion. All expenses incurred by the County for outside medical services, for animals from a City, will be billed to the City.

B. Billing for “Legal Hold” and Other Shelter Services:

Because the Piece of the Pie Methodology is based on average intakes, Dogs and cats that are housed for a “legal hold” and other shelter services are not billed separately. The length of stay data (from intake to disposition) for each animal will be collected for future contract negotiation purposes and can be available to a city, upon request. Legal hold animals are held in accordance with applicable statutory guidelines, and/or at the sole and absolute discretion of the County based on pending or anticipated criminal, civil, or administrative action.

C. Capital Improvements
Each year this contract is in effect, the County may submit to the contracted cities during the regular budget process a request for any needed capital improvements to the Shelter. Any such request shall include a description of the requested improvements and an estimate of their cost. Contracted cities shall give good faith consideration to each request; however, it is understood that capital improvements are subject to overall city budgetary priorities and funds availability, and a city shall in no event be obligated to contribute to such capital improvements. If an emergency arises relating to Shelter maintenance during the term of this contract, the County shall advise the contracted cities within fortyeight (48) hours so that the cities may decide whether to take appropriate action.

D. Level of Field Service
a. Level of Service Specified. The County shall provide all enforcement services at the minimum level based on an average number of calls to that city.
b. Variation in Level of Service. Variations in the level of service shall be made by amendment as provided for in Section XI of this Agreement, and under the following terms.
i. If City requests an increase in the level of service to be provided under this Agreement, County agrees to provide such increased level of Service as soon as practicable.
ii. The level of service, however, may not be reduced to below the minimum level, as determined by County, required to ensure public and officer safety.

E. Cost Offsets
A contracted city will receive credit from the County for all applicable redemption fees collected from or on behalf of the owner of an animal that is claimed from the custody of the Department, up to the maximum amount billed to the city for that animal. The Department reserves the right to waive fees when appropriate in the Department's sole and absolute discretion.

A city will not receive any credit for adoption fees (whether paid by an individual or an organization).

F. Revenues
Revenues are applied to reduce the costs for shelter and field services.

Staff Report
City Council
Item No. 2.B
Meeting Date: September 24, 2025
From: Andrew Firestine, Director of Community and Economic Development Title: Regulations for the Operation of Food Trucks within Cathedral City RECOMMENDATION:

To direct staff to introduce an ordinance for 1st reading for the adoption of an uncodified ordinance implementing a temporary food truck pilot program on private property.

BACKGROUND:

Adopted in 2014, Chapter 5.82 “Regulations for the Operation of Food Trucks” focuses on the operation of food trucks within the public right-of-way. The chapter sets specific location requirements, permit requirements, and trash control requirements. Chapter 5.82 does not address the operation of food trucks on private property.

In the past three years, Cathedral City Code Compliance received five complaints regarding a food truck vendor. Upon review of these five complaints, Code Compliance determined that four of them were unfounded reports of legally operating food trucks. This low volume of requests across a period of three years suggests food truck activity in the City is low and has remained low despite the ability to obtain a permit to operate within the public right-ofway.

Other cities within the Coachella Valley, including Indio, Palm Springs, Palm Desert, Coachella, Desert Hot Springs, and La Quinta have all adopted changes to their codes to allow food trucks to operate on private property under certain conditions.

On July 9, 2025, the City Council conducted a study session discussion on potential changes to Chapter 5.82 of the Cathedral City Municipal Code to allow the operation of food trucks on private property. Through the discussion, Council raised questions and concerns with the proximity of food trucks to brick-and-mortar restaurants, operating hours, and insurance requirements. It was the consensus of the City Council to direct staff to draft a pilot program allowing food truck vendors to obtain a temporary permit to operate on private property.

DISCUSSION:

The proposed ordinance is being introduced as an uncodified ordinance because it is temporary in nature, intended solely to evaluate the effects of operating food trucks on private property. The food truck pilot program is proposed for a period of 18 months, unless it is extended or rescinded by City Council. Permits to operate a food truck under the pilot program are valid for a period of 12 months. Under the pilot program, a maximum of 10 permits may be issued. At the conclusion of the pilot, the program will be evaluated for the purpose of considering amendments to Chapter 5.82 of the Cathedral City Municipal Code to allow food trucks to operate on private property with clear conditions.

Outline of Food Truck Pilot Program
To permit the operation of food trucks on private property and improve the health and safety of customers, the ordinance proposes the following requirements:
• Written permission from the property owner to operate on the property. • A valid permit from Riverside County Department of Environmental Health. • A valid grade card/decal health inspection sticker displayed. • A valid business license from Cathedral City displayed. • Food vending trucks may only operate within the hours of 9:00 a.m. and 10:00 p.m. unless stated otherwise through the special use permit.

In addition, health, litter, and security measures shall also be required:
• Site of operation is to be kept safe and clean at all times. • To remain parked, the food truck must operate within 200 feet travel distance of a legally approved and permitted toilet and handwashing station that the operator has the permission of the property owner to use.
• No exterior storage of equipment, trash, or material. • Any temporary site fixtures (chairs, tables, etc) are not to exceed 3 parking spaces or 600 square feet, including the food truck itself, and cannot block any pedestrian paths. • Vendor is responsible for the collection and disposal of site waste. • The serving or consumption of alcohol shall be prohibited at vending sites.

Limitations on where and when a food truck may operate under these conditions are also covered:
• A food truck vendor may not be parked within 500 feet of a school property line without the written permission of the school’s principal between the hours of 7 a.m. and 5 p.m. • A food truck vendor may not be parked within 750 feet of any eating or drinking establishment unless it is associated with a special use permit that is active at that time, or those establishments within 750 feet have authorized the vendor to park within a lesser distance.
• Any food truck vendor operating contrary to the provisions set within the ordinance may be declared unlawful and a public nuisance, resulting in the revocation of a food vendor permit.

Community Benefits
Setting clear and enforceable regulations for the operation of food trucks on private property may benefit the community in the following ways:
• Safety: Allowing food trucks to operate in a fixed location allows the business to consistently remove itself from the public right-of-way increasing traffic safety and giving customers a safer environment to purchase their food. • Growing Business: Adopting changes that allow for food trucks to operate more easily within Cathedral City may result in growth within this field of business and bring more commercial activity to Cathedral City.
• Inter-business Cooperation: Allowing food trucks to operate on private property with permission opens dialogue between mobile and static businesses in Cathedral City, potentially leading to new opportunities for both.
• Hygiene Requirements: Allowing food trucks to operate in a fixed location allows them to more easily and more safely address trash removal requirements and potentially allows access to regular bathrooms for both customers and operators.

Review of Other Cities
Other cities across the Coachella valley have identified the difficulties for food truck businesses within their own borders and have made the following changes to their municipal codes in an effort to permit food trucks to operate on private property with conditions:
• Indio and Desert Hot Springs, permit operation on private property with a permit and the consent of the property owner.
• Palm Springs, permits operation on private property with the consent of the property owner.
• Palm Desert, permits the operation of food trucks on private property but requires a minimum buffer of 750-ft from nearby restaurants.
• La Quinta, permits operation on specific private properties with a temporary use permit.
• Coachella, is currently running a pilot program at certain city parks and designated locations.

FISCAL IMPACT:

The food truck pilot program is expected to generate a modest positive fiscal impact to the City for the issuance of vendor permits and businesses licenses. The revenues generated by the program off-set costs to the City to administer the permits and licenses.

FIVE-YEAR STRATEGIC PLAN:

The food truck pilot program does not directly implement the Five-Year Strategic Plan.

ATTACHMENTS:

1. Draft ordinance

2. Copies of regulations from other Coachella Valley cities ORDINANCE NO. XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

CATHEDRAL CITY ESTABLISHING A PILOT PROGRAM FOR

FOOD TRUCK VENDOR PERMITS ON PRIVATE PROPERTY
(“FOOD TRUCK PILOT PROGRAM”)
WHEREAS, pursuant to the authority granted to the City of Cathedral City (“City”) by Article XI, Section 7 of the California Constitution, the City has the police power to regulate the use of land and property within the City in a manner designed to promote public convenience and general prosperity, as well as public health, welfare, and safety; and WHEREAS, pursuant to California Constitution, Article XI, Section 5 and Cathedral City City Charter Section 100, the City, as a charter city, has plenary authority to make and enforce within its limits all ordinances and regulations in respect to municipal affairs; and WHEREAS, the City Council adopted regulations concerning the operation of food trucks within the public right-of-way in 2014, located in Chapter 5.82 of the Cathedral City Municipal Code; and
WHEREAS, Chapter 5.82 includes, among other things, operational standards and requirements that vendors obtain a business license and vendor permit through the City and a valid permit or other required approval from the Riverside County of Department of Health; and WHEREAS, the existing regulations do not regulate the operation of food trucks on private property; and
WHEREAS, multiple food truck operators have expressed an interest in the operation of a food truck on private property; and
WHEREAS, the City Council has held study sessions on July 9, 2025, and September 10, 2025, to review the City’s existing regulations in comparison to other cities in the Coachella Valley in consideration of changes to the City’s regulations and through those study sessions discussed the potential parameters for a pilot program; and
WHEREAS, it is the desire of the City Council to support a pilot program allowing the operation of food trucks on commercially or industrially zoned property as an accessory use where there is an established principal use and subject to the provisions of this ordinance; and WHEREAS, to ensure an orderly rollout of the mobile food facility pilot and to prevent over-concentration while the City evaluates operational, parking, and enforcement impacts, the City Council finds it necessary to limit the number of active pilot permits to ten (10) during the term of the program; and
WHEREAS, on ___ the City Council reviewed the ordinance at which time during the hearing members of the public were given an opportunity to testify regarding the Food Truck Pilot Program.

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. Purpose
The purpose of this ordinance is to establish a pilot program for food truck vendor permits on property zoned Business Park (BP), Commercial Business Park (CBP-2), Commercial Tourist & Recreation (CTR), Mixed Use - Urban (MU-U), Mixed Use - Commercial (MX-C), Neighborhood Business Park (NBP), Planned Community Commercial (PCC), Planned Limited Commercial (PLC), Planned Professional Office (PPO), or Light Industrial (I-1) where the use is an accessory use to an established principal use. The Food Truck Pilot Program shall be temporary, lasting for a period of 18 months, unless otherwise rescinded or extended by City Council. Any vendor permit issued under the Food Truck Pilot Program shall be valid for the earlier date of one year or the cessation of the Food Truck Pilot Program.

A limit of ten (10) permits will be available for issuance during the pilot period to promote an equitable, data-driven pilot and to allow meaningful assessment of program metrics (including complaints, calls for service, parking and ADA compliance, and neighborhood compatibility).

SECTION 2. Definitions
For the purposes of this ordinance, the definitions in Section 5.82.010 of the Cathedral City Municipal Code shall apply together with the following definitions:
"Food" means items intended primarily for consumption by human beings. "Food vending truck" means any Category 1, 3, 4, or 5 mobile food facility as defined by Riverside County Ordinance No. 580.5 that is equipped or primarily used for the preparation and retail sale of.

The inventory of these vehicles need not be necessarily limited to produce, food, or confections. "Food vendor" means any person, as defined in this chapter, who:

1. Conducts or permits or causes the operation of food vending trucks;

2. Owns, operates, controls, manages or leases food vending trucks; or

3. Contracts with persons to drive and vend from food vending trucks. "Operator" means any person who drives, operates or vends from a food vending truck and shall include the driver and assistant on each food vending truck. "Person" means any natural person, firm, partnership, association, corporation, stockholder and includes, but is not limited to, owners, operators, drivers, lessors and lessees of food trucks. "Vend" or "vending" means offering food products of any kind for preparation or sale from a food vending truck as defined in this section and includes the movement or standing of a food vending truck for the purpose of preparing food for retail sale, or searching for, obtaining or soliciting retail sales of products.
"Vendor's permit" means a permit issued by the city authorizing the holder thereof to engage in the business of food vending.

SECTION 3. Mobile Food Vendors on Private Property
Any person desiring to operate or cause the operation of one or more food vending trucks shall obtain a business license and a vendor license from the City. As a condition precedent to the issuance of a vendor license, the city shall require a background check on the person making the application for a vendor license as well as anyone who will operate the mobile food facility.

Notwithstanding the above, no background check shall be required for any applicant for a vendor license in which the mobile food vendor shall solely be operating at an event for which a special use permit has been issued pursuant to Chapter 9.68 of the Cathedral City Municipal Code. In addition, the following shall also apply:

A. The mobile food vendor shall have written permission from the property owner to park a food vending truck on private property.

B. The mobile food vendor shall possess a valid permit, certificate or other required approval from the Riverside County Department of Environmental Health.

C. Each food vending truck shall have a current, valid county of Riverside grade card/decal health inspection sticker affixed to the lower right side of the windshield and a current, valid business license affixed from Cathedral City.

D. Condition/Appearance of Site.

1. The site where a food vending truck is parked shall be maintained in a safe and clean manner at all times.

2. No exterior storage of refuse, equipment or materials associated with the food vending.

3. While a food vending truck is in operation, the food vendor may place temporary site furniture, fixtures, lighting, or exterior equipment outside the mobile food facility, such as tables, chairs, benches, stand-up/cocktail tables, picnic tables, tents/canopies/umbrellas, string/portable lighting, barricades/rope lines, condiment bars, coolers/ice chests, or portable sinks, provided that the total area occupied by the food truck does not exceed the lesser of three parking spaces or 600 square feet and does not block any pedestrian path.

No extension cords, cables, or hoses may cross pedestrian routes or drive aisles, and no temporary utility runs may be installed.

4. The food vending truck shall maintain vehicular and pedestrian circulation and access consistent with the Americans with Disabilities Act and all local and state regulations.

5. Any food vending truck parked out of the public right-of-way to conduct business must have the written consent of the property owner to do so.

E. Litter Control.

1. Any food vending truck licensed by the County of Riverside as a Category 4 or Category 5 mobile food facility shall provide a minimum of two thirty-two-gallon litter receptacles within fifteen feet of the vehicle. The receptacles will serve both employees and customers.

2. The food vending truck vendor shall maintain the subject property and adjacent rightof-way free of litter on and within one hundred feet of the vending site.

3. All refuse shall be removed from the vending site and properly disposed of within thirty minutes of the close of vending for the day at that site.

F. Security.

1. The vendor shall install signage indicating that loitering is not permitted and customers may only remain on the lot for up to thirty minutes after receiving their food.

2. The vendor shall enforce the no-loitering rule.

3. The serving or consumption of alcohol shall be prohibited at vending sites.

G. Toilets and Handwashing Facilities. In order for a food vending truck to remain parked and conducting business in one location longer than one hour, it must be situated within two hundred feet travel distance of a legally approved and permitted toilet and handwashing facility, or as otherwise approved by the city, to ensure that restroom facilities are available to food vending truck employees. The food vending truck operator must have permission of the property owner to use the toilet and handwashing facility.

H. Food vending trucks operating as part of a special event permitted by the city shall follow the permissions and restrictions of the approved permit.

I. Insurance

1. Food vendor shall maintain a certificate of general liability insurance policy with the City of Cathedral City listed as an additional insured endorsement (minimum $1,000,000 per claim, $2,000,000 aggregate).

J. No person shall vend from a food vending truck in any parking lot when the following apply:

1. When the food vending truck is parked within five hundred feet of the nearest property line of any school property, unless that school principal has given written permission to park within such lesser distance. Said limitation shall be in force between the hours of 7:00 a.m. and 5:00 p.m. of any school day; or

2. When the food vending truck is parked within seven hundred fifty feet of any eating and drinking establishment unless the food vending truck is associated with a special use permit that is active at the time that the food vending truck is conducting business or where those eating and drinking establishments within 750 feet have authorized the food vending truck to park within such lesser distance.

K. Any food vending truck operated contrary to the provisions of this ordinance is declared to be unlawful and a public nuisance and may result in the revocation of a food vendor permit.

L. The provisions of this ordinance shall not apply to food vending trucks servicing construction sites.

M. Hours of Operation. Food vending trucks may only be operated between the hours of 9:00 a.m. and 10:00 p.m. except as may otherwise be set through a special event permit.

N. Amplified Sound Prohibited. Mobile food facilities shall not use any sound-amplifying equipment as defined in CCMC Chapter 5.68 and shall comply with CCMC § 11.96.040 (sound plainly audible from a motor vehicle at fifty feet or beyond the property line is prohibited). City-permitted special events remain subject to their event permit conditions.

SECTION 4. California Environmental Quality Act (CEQA)
Adoption of this ordinance is exempt from the requirements of the CEQA and is not considered a project under Division 13 (commencing with Section 21000) of the California Public Resources Code pursuant to Government Code Sections 65252.21(j) and 66411.7(n).

SECTION 5. Severability
If any chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion of this ordinance, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision will not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have adopted this ordinance, and each chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

SECTION 6. Publication
The City Clerk is directed to publish this ordinance in a manner required by law.

SECTION 7. Effective Date
This ordinance shall become effective upon the 30th day after final adoption.

SECTION 8. Certification
The foregoing Ordinance was approved and adopted at a meeting of the City Council held on the ____ day of _____________, 2025, by the following vote:

Ayes:

Noes:

Abstain:

Absent:
___________________________
Nancy Ross, Mayor
ATTEST:
____________________________
Tracey Hermosillo, City Clerk
APPROVED AS TO FORM:
____________________________
Eric S. Vail, City Attorney

Staff Report
City Council
Item No. 3.A
Meeting Date: September 24, 2025
From: Anne Ambrose, Interim City Manager
Title: Public Employee Appointment Pursuant to Government Code section 54957(b)
One (1) position:

Title: City Manager
Staff Report
City Council
Item No. 3.B
Meeting Date: September 24, 2025
From: Andrew Firestine, Community and Economic Development Director Title: Conference With Legal Counsel – Initiation of Litigation Pursuant to Government Code section 54956.9(d)(4)
Matters: One (1)
Receivership regarding 68460 Estio Rd, Cathedral City, CA 92234                     
                    
                    
                    
                    
         
         
         
         
         
         
         
         
         
         
           
           
           
           
           
                      
                      
                      
                      
                      
 
 
 
 
 
NAME 8/6 8/20 9/3 10/1 10/15 11/5 11/19 12/3 12/17 1/7 1/21 2/4 2/18 3/4 3/18 4/1 4/15 5/6 5/20 6/3 6/17 Roy MacPhail
Rich Malacoff
Peter Bedard
Danny Lee
Danielle Mead
NAME 9/9 10/14 11/11 12/9 1/13 2/10 3/10 4/14 5/12 6/9
Kara Robinson
Gregory Marks
Don Stouder
Rick Travis
Craig Liebelt
NAME 9/2 10/7 11/4 12/2 1/6 2/3 3/3 4/7 5/5 6/2
Ashley McGallum
Erin Hyland
Angel Herrera
Mario Jimenez
Antonio Baciu
NAME 7/15 8/19 9/16 10/21 11/18 12/16 1/20 2/17 3/17 4/21 5/19 6/16 Alexandra Heckman
Partick Evans
Charlotte Hunter-Copper
John Rivera
Eri Nox
NAME 7/2 7/16 8/6 9/3 9/17 10/1 10/15 11/5 11/19 12/3 12/17 1/7 1/21 2/4 2/18 3/4 3/18 4/1 4/15 5/6 5/20 6/3 6/17 Tanner Hoss
Dean Keefer
Stephen Burchard
John Rivera
Mitchell King
NAME 9/22 TBD % Attended
Antonio Baciu 0%
Rick Saldivar 0%
Danny Lee 0%
Teri Hargreaves 0%
David Leach 0%
Excused Absence
Unexcused Absence

FINANCE ADVISORY COMMITTEE
NOTES:

Canceled meetings not shown
Special Meeting
Inactive
22%
25%
17%
17%
25%
25%

ARCHITECTURAL REVIEW COMMITTEE
% Attended
13%
22%
17%
22%
% Attended
10%
10%
10%

PARKS AND COMMUNITY EVENTS COMMISSION
% Attended
10%
10%
10%
10%
10%

HISTORIC PRESERVATION
10%
COMMISSION/COMMITTEE ATTENDANCE LOG FY 2025/2026

PLANNING COMMISSION
% Attended
14%
14%
14%
14%
14%

PUBLIC ARTS COMMISSION
% Attended
10%

CITY COUNCIL

MINUTES
Study Session 3:00 PM
Regular Meeting 5:30 PM
Wednesday, September 10, 2025
City Council Chambers
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234

CALL TO ORDER
Mayor Nancy Ross called the Study Session portion of the meeting to order at 3:00 p.m.

ROLL CALL
Council Present:

Nancy Ross, Mayor
Raymond Gregory, Mayor Pro Tem
Ernesto Gutierrez, Councilmember
Rita Lamb, Councilmember
Mark Carnevale, Councilmember

AGENDA FINALIZATION
City Attorney Eric Vail announced that staff would like to add an item of subsequent need under Government Code 54954.2 to Closed Session related to the following:
• Conference with Legal Counsel regarding one matter of existing litigation, Cathedral City vs. Fantasy Balloon Flights case no. 5:25-cv-01490-SSS-DTB A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to add the following item under Closed Session:

Conference with Legal Counsel regarding one matter of existing litigation, Cathedral City vs. Fantasy Balloon Flights case no. 5:25-CV-01490-SSS-DTB.

RESULT: PASS
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale

1. PUBLIC COMMENTS
Robert McCormick, expressed his concern related to crimes committed against him.

2. STUDY SESSION
A. FIND Food Bank - Presentation - Debbie Espinosa, President and CEO Recommendation: This is a presentation only, no formal action will be taken.

Debbie Espinosa, President and CEO of FIND Food Bank, provided a presentation on FIND Food Bank’s Feeding America’s Annual Hunger Action Month Campaign and the state of hunger in Cathedral City.

This was a presentation only, there was no formal action taken by the City Council.

B. Palm Tree Maintenance
Recommendation: There is no specific recommendation, this staff report and presentation are intended to support a discussion on palm tree maintenance. City Council may elect to provide feedback and direction to staff.

Andrew Firestine, Director of Community and Economic Development, provided a presentation on the current Municipal Code related to tree maintenance and staff’s suggestions related to the maintenance of palm trees. The following points were presented:
• Background
• Maintenance
• Review of Other Cities’ Regulations and Policies
• Assessment
• Staff’s Recommendation
Sunshine Herrera, Cathedral City, expressed concern related to the culture references in the staff report and provided suggestions.

After discussion, it was the consensus of the City Council not to do a code amendment to include the requirement of annual palm tree maintenance at this time.

This item was a presentation for discussion only, there was no formal action taken by the City Council.

C. Fall 2025 Special Events Season Preview
Recommendation: This is for presentation purposes only. No formal action is required.

Ryan Hunt, Communications and Events Manager, provided a preview of fall events. The following points were presented:
• Coachella Valley’s Battle in the Desert
• Howl-O-Ween 2025
• Halloween Spooktacular
• Fall Tastes & Sounds Series
• Palm Springs Pride Parade
• Cathedral City International Hot Air Balloon Festival • SnowFest 2025
• Palm Springs International Film Festival
This was a presentation only, there was no formal action taken by the City Council.

3. CLOSED SESSION
A. Conference with Real Property Negotiations Pursuant to Government Code 54956.8
Property Location: 68010 Ramon Road, Cathedral City, CA 92234 A.P.N. 678-210-041
Under Negotiation: Price and Terms
Negotiating Parties: City of Cathedral City and Marwan Jizrawi Recommendation: There is no Staff Recommendation.

City Attorney Eric Vail announced that the City Council will meet in Closed Session to discuss the item listed on the agenda and the Conference with Legal Counsel regarding one matter of existing litigation, Cathedral City vs. Fantasy Balloon Flights case no. 5:25-CV-01490-SSS-DTB.

The City Council recessed into Closed Session at 4:06 p.m. and will reconvene at 5:30 p.m.

City Attorney Eric Vail announced that the City Council met in Closed session to discuss the item listed on the agenda ana a held a Conference with Legal Counsel regarding one matter of existing litigation, Cathedral City vs. Fantasy Balloon Flights case no. 5:25-CV-01490-SSS-DTB. He reported that direction was given and there was no reportable action taken on either item.

RECESS
REGULAR MEETING - 5:30 PM

CALL TO ORDER
Mayor Nancy Ross called the Regular meeting to order at 5:30 p.m.

PLEDGE OF ALLEGIANCE
Councilmember Ernesto Gutierrez led the Pledge of Allegiance.

INVOCATION (MOMENT OF REFLECTION)
Mayor Pro Tem Raymond Gregory offered a moment of reflection.

ROLL CALL
Council Present:

Nancy Ross, Mayor
Raymond Gregory, Mayor Pro Tem
Ernesto Gutierrez, Councilmember
Rita Lamb, Councilmember
Mark Carnevale, Councilmember

AGENDA FINALIZATION
There were no changes to the agenda.

1. SPECIAL PRESENTATION
A. Special Recognition – Charles P. McClendon, City Manager Recommendation: This is a presentation, there is no action required.

Ryan Hunt, Communications and Events Manager, presented a tribute video from staff to City Manager Charles McClendon.

The City Council presented City Manager McClendon with a ceremonial Key to the City in recognition of his exemplary leadership and in honor of his upcoming retirement.

The Cathedral City Senior Center recognized City Manager McClendon for his leadership and upcoming retirement.

Richard Altman recognized City Manager McClendon for his leadership and upcoming retirement.

Alan Carvalho provided comments related to City Manager Charles McClendon’s leadership.

Shelly Kaplan provided comments related to City Manager Charles McClendon’s leadership.

2. PUBLIC COMMENTS
Danny Lee, Cathedral City, provided comments related to the signage installed off of Landau Boulevard and questioned their purpose.

3. COUNCIL REPORTS
Councilmember Mark Carnevale discussed City Manager McClendon’s leadership and thanked him.

Councilmember Ernesto Gutierrez discussed City Manager McClendon’s leadership and thanked him.

Councilmember Rita Lamb discussed City Manager McClendon’s leadership and thanked him.

Mayor Pro Tem Raymond Gregory discussed City Manager McClendon’s leadership and thanked him.

Mayor Nancy Ross discussed City Manager McClendon’s leadership and thanked him.

4. CONSENT AGENDA
A. Waive Full Reading of Ordinances on Agenda
Recommendation: Waive Full Reading of Ordinances on Agenda M.O. 2025-144
B. Commissioner/Committee Member Attendance Record
Recommendation: Receive and File.

M.O. 2025-145
C. Approve the August 13, 2025, Study Session and Regular City Council Meeting Minutes
Recommendation: Approve the August 13, 2025, Study Session and Regular City Council Meeting Minutes.

M.O. 2025-146
D. Check Demand – August
Recommendation: Receive and File.

M.O. 2025-147
E. Employment Agreement for Interim City Manager
Recommendation: Approve employment agreement with Anne Ambrose for the position as Interim City Manager.

The following comment was received for the record:

Sunshine Herrera, expressed her support.

M.O. 2025-148
F. Resolution Designating Holidays Cathedral City Public Offices Shall be Closed for Calendar Year 2026
Recommendation: To adopt a resolution designating holidays on which the City shall be closed to the public for calendar year 2026.

Reso 2025-23
G. Designation of a Voting Delegate and Alternate for the League of California Cities Annual Business Meeting on October 10, 2025.

Recommendation: To adopt a resolution designating Mayor Nancy Ross as the Voting Delegate and Mayor Pro Tem Raymond Gregory as the Alternate Voting Delegate to represent Cathedral City at the League of California Cities Annual Business Meeting, which will be held on October 10, 2025.

The following comment was received for the record:

Sunshine Herrera expressed her support.

Reso 2025-24
H. Resolution Authorizing the City Manager and the Financial Services Director as the Official Designees for the Emergency Management Performance Grant (EPMG) and State Homeland Security Grant Program (SHSP).

Recommendation: To approve the resolution authorizing the City Manager and the Financial Services Director to act as the official designees for the Emergency Management Performance Grant (EPMG) and State Homeland Security Grant Program (SHSP) for program years Fiscal Year (FY) 2024, FY 2025, and FY 2026 and to execute and provide all forms, agreements, and other assurances as required.

Reso 2025-25
I. FY 2024-2025 Community Development Block Grant (CDBG) Consolidated Annual Performance Evaluation Report (CAPER) Recommendation: To approve the city’s Community Development Block Grant (CDBG) Fiscal Year (FY) 2024-2025 Consolidated Annual Performance Evaluation Report (CAPER) for submittal to the U.S. Department of Housing and Urban Development (HUD).

M.O. 2025-149
J. Amendment No. 2 to the Professional Services Agreement with Z&K Consultants, Inc. for the Highway Safety Improvement Program Cycle 9A Project: Traffic Signal Improvements at Twelve Intersection (CIP No.

C08752)
Recommendation: To approve Amendment No. 2 to the professional services agreement (agreement) with Z&K Consultants, Inc. (Z&K), for construction engineering services for the Highway Safety Improvement Program (HSIP) Cycle 9A Project: Traffic Signal Improvements at Twelve Intersections (CIP No. C08752), extending the term of the agreement by an additional twelve (12) months to complete the construction and closeout phases for the project; and authorize the City Manager to execute the amendment.

M.O. 2025-150
K. Amendment No. 1 to Professional Design Services Agreement with Verde Design, Inc. Inc. for the Esperanza Park Project (CIP No. C07021).

Recommendation: To approve Amendment No. 1 to the Agreement for Professional Design Services with Verde Design, Inc. to complete the record drawings for the Esperanza Park (formerly known as the Dream Homes Park) project (CIP No. C07021), extending the agreement term an additional six (6) months, and authorize the City Manager to execute the amendment.

M.O. 2025-151
L. Amendment No. 1 to the Professional Services Agreement with KimleyHorn and Associates, Inc. for Design of the Highway Safety Improvement Program (HSIP) Cycle 11A Project: 18 Unsignalized Intersection Upgrades (CIP No. C08754).

Recommendation: To approve Amendment No. 1 to the Professional Services Agreement with Kimley-Horn and Associates, Inc., for the design of the Highway Safety Improvement Program (HSIP) Cycle 11A Project: 18 Unsignalized Intersection Upgrades (CIP No. C08754), extending the term of the agreement by an additional six (6) months to allow for completion of project design activities; and authorize the City Manager to execute the amendment.

M.O. 2025-152
M. Amendment No. 1 to the Professional Services Agreements with STC Traffic, Inc. for Design of the Highway Safety Improvement Program Cycle 11B, 11C, and 11D Projects (CIP No. C08755, C08756, and C08757) Recommendation: To approve Amendment No. 1 to three (3) Professional Services Agreements with STC Traffic, Inc. (STC) for the design of the Highway Safety Improvement Program (HSIP) Cycle 11B, 11C, and 11D Projects (CIP No. C08755, C08756, and C08757, respectively), extending the term of each agreement by an additional twelve (12) months to allow for bidding assistance and construction support; and, authorize the City Manager to execute the amendments.

M.O. 2025-153
N. Service Agreement for REAS Improvements for the Cathedral Cove Center (PUD No. 21-001)
Recommendation: To approve a service agreement for the completion of offsite Rubberized Emulsion Aggregate Slurry (REAS) improvements with Cathedral Cove 1.0 LLC (Developer), for Planned Unit Development (PUD) No. 21-001 (Cathedral Cove Center); and authorize the City Manager and City Clerk to execute the service agreement, in a form approved by the City Attorney.

M.O. 2025-154
O. Service Agreement for REAS Improvements for the Grove Street Apartments (DR No. 23-001)
Recommendation: To approve a service agreement for the completion of offsite Rubberized Emulsion Aggregate Slurry (REAS) improvements with Silver Rock Development, Inc. (Developer), for Design Review (DR) No. 23-001 (Grove Street Apartments); and, authorize the City Manager and City Clerk to execute the service agreement, in a form approved by the City Attorney.

M.O. 2025-155
P. Purchase of One (1) 2025 Ford Mustang Mach-E Electric Vehicle from Ken Grody Ford Redlands, for $45,829.74
Recommendation: To authorize the purchase of one (1) 2025 Ford Mustang Mach-E electric vehicle from Ken Grody Ford Redlands for use by the Citizens on Patrol (COP) Program in the amount of $45,829.74, inclusive of vehicle purchase, upfitting, decals, and sales tax.

M.O. 2025-156
Q. Purchase of Four (4) 2025 Chevrolet Tahoe Police Pursuit Vehicles (PPV) for $396,402.12
Recommendation: To authorize the purchase of four (4) 2025 Chevrolet Tahoe Police Pursuit Vehicles (PPV) in the total amount of $396,402.12, inclusive of vehicle cost, upfitting, decals, in-car video systems and mobile computer.

M.O. 2025-157
R. Purchase of a 2026 Chevy Blazer PPV EV from Jessup Motors for the Police School Resource Officer
Recommendation: To approve the purchase of one (1) 2026 Chevy Blazer PPV EV from Jessup Motors and associated costs for unfitting for the Police Department, School Resource Officer, in the total amount of $82,376.67.

M.O. 2025-158
S. Resolution Accepting the California Highway Patrol California Traffic Safety Fund Grant Program (CTFGP) Award of $124.561.63
Recommendation: To adopt a resolution accepting the California Highway Patrol California Traffic Safety Fund Grant Program (CTFGP) award in the amount of $124,561.63,
Reso 2025-26
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to approve the Consent Agenda.

RESULT: PASS
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale

5. PUBLIC HEARINGS
There were no public hearings.

6. LEGISLATIVE ACTIONS
A. Interview Applicant for the Mobile Home Fair Practices Commission and Consider Making an Appointment to fill a Vacant Seat.

Recommendation: Interview the applicant, Mr. Erik Castillo, and consider making an appointment to fill the vacant seat on the Mobile Home Fair Practices Commission.

M.O. 2025-159
A motion was made by Councilmember Gutierrez and seconded by Mayor Pro Tem Gregory to appoint Erik Castillo to fill the vacant seat on the Mobile Home Fair Practices Commission.

RESULT: PASS
MOVER: Ernesto Gutierrez, Councilmember
SECONDER: Raymond Gregory, Mayor Pro Tem
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale
B. Updated Cathedral City Emergency Operations Plan (EOP) Recommendation: To adopt the updated Cathedral City Emergency Operations Plan (EOP).

M.O. 2025-160
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to adopt the updated Cathedral City Emergency Operations Plan (EOP).

RESULT: PASS
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale
C. Council Chambers and Study Session Conference Room Audio/Visual System Upgrades
Recommendation: To award a contract to Western Audio Visual & Security in the amount of $281,757.05 for the Council Chambers and Study Session Conference Room Audio/Visual System Upgrade project, approve a 10% contingency of $28,175 to address potential unforeseen conditions during the project, and authorize the expenditure of $20,000 for the construction of a projector wall remodel to be completed by the city’s Facilities division, for a total project cost of $329,932.05, and authorize the City Manager to execute all necessary documents.

M.O. 2025-161
A motion was made by Councilmember Lamb and seconded by Mayor Pro Tem Gregory to award a contract to Western Audio Visual & Security in the amount of $281,757.05 for the Council Chambers and Study Session Conference Room Audio/Visual System Upgrade project, approve a 10% contingency of $28,175 to address potential unforeseen conditions during the project, and authorize the expenditure of $20,000 for the construction of a projector wall remodel to be completed by the city’s Facilities division, for a total project cost of $329,932.05, and authorize the City Manager to execute all necessary documents.

RESULT: PASS
MOVER: Rita Lamb, Councilmember
SECONDER: Raymond Gregory, Mayor Pro Tem
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale
D. Riverside County Transportation Commission Agreement for SB 821 Bicycle and Pedestrian Facilities Program Funding: Avenida Maravilla Class III Bike Routes Project.

Recommendation: To approve an agreement with the Riverside County Transportation Commission (RCTC) for funding under Senate Bill 821 (SB 821) Bicycle and Pedestrian Facilities Program, for the design and construction of the Avenida Maravilla Class III Bike Routes project; and authorize the City Manager to execute the agreement.

M.O. 2025-162
A motion was made by Councilmember Gutierrez and seconded by Mayor Pro Tem Gregory to approve an agreement with the Riverside County Transportation Commission (RCTC) for funding under Senate Bill 821 (SB 821) Bicycle and Pedestrian Facilities Program, for the design and construction of the Avenida Maravilla Class III Bike Routes project; and authorize the City Manager to execute the agreement.

RESULT: PASS
MOVER: Ernesto Gutierrez, Councilmember
SECONDER: Raymond Gregory, Mayor Pro Tem
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale
E. Construction Contract Award to Union Pavement Services, Inc. and Procurement of K71 bollards for the SB 821 - Perez Road Class IV Separated Bikeway Project (C08673)
Recommendation:

To authorize a total construction budget of $379,250.68, comprised of:
• Award a construction contract to Union Pavement Services, Inc. in the amount of $249,590 for the SB 821 Bicycle and Pedestrian Facilities program (SB 821) for Perez Road Class IV Separated Bikeway project (C08673) and authorize a twenty-five percent (25%) contingency in the amount of $62,410.00 for unforeseeable construction costs. o Authorize the City Manager to execute the required contract documents.
o Authorize the City Engineer to request bonds and insurance for the project and issue the notice to proceed.
• Authorize the City Engineer to execute a purchase order and all necessary documents, in the amount of $67,250.68, for the procurement of three hundred thirty (330) K71 bollards to be used as the physical separation for the Perez Road Class IV Separated Bikeway project.

M.O. 2025-163
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to authorize a total construction budget of $379,250.68, comprised of:
• Award a construction contract to Union Pavement Services, Inc. in the amount of $249,590 for the SB 821 Bicycle and Pedestrian Facilities program (SB 821) for Perez Road Class IV Separated Bikeway project (C08673) and authorize a twenty-five percent (25%) contingency in the amount of $62,410.00 for unforeseeable construction costs. o Authorize the City Manager to execute the required contract documents.
o Authorize the City Engineer to request bonds and insurance for the project and issue the notice to proceed.
• Authorize the City Engineer to execute a purchase order and all necessary documents, in the amount of $67,250.68, for the procurement of three hundred thirty (330) K71 bollards to be used as the physical separation for the Perez Road Class IV Separated Bikeway project.

RESULT: PASS
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Ross, Gregory, Gutierrez, Lamb, Carnevale

7. DISCUSSION ON FUTURE AGENDA ITEMS
There was no discussion on future agenda items.

8. CLOSED SESSION

ADJOURNMENT
Mayor Nancy Ross adjourned the meeting at 7:30 p.m.

Mayor, City of Cathedral City City Clerk, City of Cathedral City Staff Report
City Council
Item No. 4.D
Meeting Date: September 24, 2025
From: John A. Corella, Director of Public Works
Title: Administrative Amendment to the CDBG FY 2023-24 Annual Action Plan
RECOMMENDATION:

To approve an administrative amendment to the city’s FY 2023-24 Community Development Block Grant Annual Action Plan to reallocate $43,124.76 in unused funds from the Via De Anza Street Improvement Phase III project to the Whitewater Neighborhood Road Improvement Phase II project; and authorize the City Engineer to execute the administrative amendment for submission to the U.S. Department of Housing and Urban Development.

BACKGROUND:

The Community Development Block Grant (CDBG) is a federal program administered by the U.S. Department of Housing and Urban Development (HUD). The city has received CDBG funding directly from HUD since becoming an entitlement grantee in 2012. These funds are used to address a variety of housing and community development needs, which are prioritized through the city’s Five-Year Consolidated Plan (ConPlan) and budgeted annually through the Annual Action Plan (AAP).

On May 24, 2023, the City Council approved the FY 2023-24 CDBG AAP, which allocated the city’s CDBG entitlement of $569,557 to a range of public improvement initiatives. Among the projects funded was the Via De Anza Street Improvement Phase III project.

As of the close of Fiscal Year 2024-25, a balance of $43,124.76 in allocated CDBG funds for this project remained unexpended. To ensure the effective utilization of federal resources and continued compliance with HUD regulations, these funds must be reprogrammed to an eligible activity.

On April 23, 2025, the City Council approved the Fiscal Year 2025–26 CDBG Annual Action Plan, which includes funding for the Whitewater Neighborhood Road Improvement Phase II Project. This project continues ongoing efforts to reconstruct residential streets within a designated low- and moderate-income area of the city. Phase I was successfully completed as part of the FY 2024–25 City Streets Pavement Reconstruction project. To support the timely implementation of Phase II, the proposed amendment reallocates unspent funds from the Via De Anza Street Improvement project to the Whitewater project.

DISCUSSION:

Each year, the city programs its CDBG funds in accordance with HUD requirements, prioritizing support for public services, administrative functions, and most notably, public infrastructure improvements that benefit low- and moderate-income residents. These allocations are documented in the AAP and may be administratively amended, provided that certain thresholds are not exceeded.

The proposed administrative amendment would reallocate $43,124.76 in unspent CDBG funds from the FY 2023-24 Via De Anza Street Improvement Phase III project to the FY 2025-26 Whitewater Neighborhood Road Improvement Phase II project.

In accordance with the City’s HUD-approved Community Participation Plan (CPP), this action qualifies as an administrative amendment because it involves less than $50,000 and does not exceed 10% of the total annual CDBG budget. Therefore, it does not require a substantial amendment, and it does not require a public comment period.

Whitewater Neighborhood Road Improvement Phase II Project:

The project is located within Census Tract 044907, a HUD-designated low- and moderateincome area serving approximately 2,500 residents. This phase builds upon the improvements completed in Phase I during FY 2024-25 and will include street reconstruction and resurfacing activities aimed at improving safety, accessibility, and quality of life for residents.

Phase II will focus on residential street reconstruction along the following roadway segments:
• Navajo Trail (33rd Avenue to Dinah Shore Drive)
• Pueblo Trail (33rd Avenue to Dinah Shore Drive)
• Ortega Road (Shifting Sands Trail to Cathedral Canyon Drive) The proposed reallocation of funds will allow the city to maximize its reimbursable costs related to this public improvement project, ensure accurate accounting of expenditures within their respective program years, and facilitate the continued advancement of this vital neighborhood revitalization effort.

City staff recommend City Council approve an administrative amendment to the city’s FY 2023-24 CDBG AAP to reallocate $43,124.76 in unspent funds from the Via De Anza Street Improvement Phase III project to the Whitewater Neighborhood Road Improvement Phase II project and authorize the City Engineer to execute the administrative amendment for submission to HUD.

FISCAL IMPACT:

The city proposes to reallocate $43,124.75 in unspent CDBG funds from FY 2023-24, to supplement the Whitewater Neighborhood Road Improvement Phase II project. This reallocation complies with all applicable HUD program regulations and does not affect the caps on administrative or public service expenditures. The approval of this administrative amendment will ensure the city’s financial records remain accurate and account for these programmatic changes.

Program Year Project (from) Project (to) Funding
FY 2023-24 Via De Anza Street
Improvement Phase III
Whitewater
Neighborhood Road
Improvement Phase II
$43,124.76
Total $43,124.76
The reallocation of funds will allow the city to maximize its reimbursable costs related to this public improvement project. Currently, as outlined in the FY 2025-26 AAP, $409,288 is budgeted for the Whitewater Neighborhood Street Reconstruction Phase II project. The reallocation of funds through this administrative amendment will bring the total CDBG funding for the project to $452,412.76.

FY 25-26 Whitewater Neighborhood Road Improvement Project Budget $409,288.00 FY 23-24 Reallocated Funding for Project $ 43,124.76
Total Budget for Whitewater Neighborhood Road Improvement Project $452,412.76 Following the construction bidding process, the Whitewater Neighborhood Road Improvement Phase II project will be brought before the City Council for final budget approval and award of the construction contract.

FIVE-YEAR STRATEGIC PLAN:

Goal B- Community Investment
Objective: Cathedral City roads, gateways, public spaces, and other infrastructure are well planned, designed, constructed and maintained.

ATTACHMENTS:

1. CDBG Administrative Amendment

ADMINISTRATIVE AMENDMENT

CITY OF CATHEDRAL CITY
FY 2023-24 ANNUAL ACTION PLAN
Jurisdiction: City of Cathedral City
Program: Community Development Block Grant (CDBG)
Grant: B-23-MC-06-0603
Contact Person: Elizabeth Medina
Telephone: 760-202-2478
Email: [email protected]
Address: 68700 Avenida Lalo Guerrero
Cathedral City, CA 92234
SUMMARY OF CHANGES:

The City of Cathedral City proposes an Administrative Amendment to its Fiscal Year (FY) 2023-2024 Community Development Block Grant (CDBG) Annual Action Plan (AAP) to reallocate unspent funds from the Via De Anza Street Improvement Phase III Project. These funds will be redirected to support the Whitewater Neighborhood Road Improvement Phase II Project, included in the FY 2025-2026 AAP.

This amendment ensures the unspent funds are appropriately recorded within the fiscal year they were allocated and used to enhance ongoing infrastructure improvements.

Specifically, the amendment will:
• Reallocate $43,124.76 in unused FY 2023-2024 CDBG funds from the Via De Anza Street Improvement Phase III Project to the Whitewater Neighborhood Road Improvement Phase II Project, as outlined in the FY 2025-2026 AAP.

Approval of this amendment allows the city to make full use of available CDBG funds, improve its federal spending ratio, and continue revitalization efforts in targeted neighborhoods. Per the city's Community Participation Plan (CPP), this qualifies as an Administrative Amendment because the reallocation is under $50,000 or 10% of the total annual budget, whichever is smaller, and therefore does not require a Substantial Amendment.

PROPOSED ACTIVITIES:

On April 23, 2025, the City Council approved the FY 2025-2026 CDBG Annual Action Plan for submission to the U.S. Department of Housing and Urban Development (HUD).

As of the close of FY 2024-2025 (June 30, 2025), $43,124.76 in prior-year CDBG funds remained unspent, as reported in the September 2025 Consolidated Annual Performance Evaluation Report (CAPER). These funds must now be reprogrammed.

City staff recommend allocating these remaining funds from the FY 2023-2024 Via De Anza project to the Whitewater Neighborhood Road Improvement Phase II Project. This project, described in the FY 2025-2026 AAP, will complete the neighborhood’s street reconstruction efforts.

Phase I, completed in FY 2024-2025, included:
• Shifting Sands Trail (33rd Avenue to Whispering Palms Trail) • Sky Blue Water Trail (33rd Avenue to Dinah Shore Drive) • 33rd Avenue (Shifting Sands Trail to Cathedral Canyon Drive) Phase II, to be completed in FY 2025-2026, will include:
• Navajo Trail (33rd Avenue to Dinah Shore Drive)
• Pueblo Trail (33rd Avenue to Dinah Shore Drive)
• Ortega Road (Shifting Sands Trail to Cathedral Canyon Drive) The reallocated funds will help ensure completion of Phase II within the current fiscal year.

OVERALL BUDGET:

For FY 2025-2026, Cathedral City received $511,608 in CDBG funds from HUD.

According to HUD guidelines:
• No more than 20% may be used for administrative costs • No more than 15% may be allocated to public services
• The remainder must be used for public improvements
While prior-year unallocated funds may be reprogrammed into any category, they must still comply with these caps. For FY 2025-2026, the city has already allocated the full 20% allowed for administrative activities. This amendment complies with HUD rules, as the reallocated $43,124.76 will support a public improvement project, which is not subject to a funding cap.

The following table summarizes the city’s proposed programming of the remaining CDBG funding:

Program Year Project (from) Project (to) Funding
FY 2023-2024 Via De Anza Street
Improvement Phase III
Whitewater
Neighborhood Road
Improvement Project
Phase II
$43,124.76
Total $43,124.76
Prepared by:
__________________________
Elizabeth Medina
Program Administrator
Reviewed and approved by:

__________________________
Armando J. Garcia Baldizzone, P.E.

City Engineer
Staff Report
City Council
Item No. 4.E
Meeting Date: September 24, 2025
From: Anne Ambrose, Interim City Manager
Title: Budget of $5,000 for the Inaugural Cathedral City Festival of the Arts Event in the Cathedral City Community Amphitheater.

RECOMMENDATION:

To approve a not-to-exceed budget of $5,000 for the inaugural Cathedral City Festival of the Arts event as recommended by the Public Arts Commission.

BACKGROUND:

Commissioner Stouder has presented at the past few Public Arts Commission meetings on plans for an arts festival in the City’s amphitheater. The event would focus on local and regional artists, charge a low admission fee to reduce barriers to entry, and not charge a commission to the artists to participate, allowing them to keep the full amount of any sales.

Commissioner Stouder has prepared an outline of the event and drafted rules for participation in the event. The Commission has been working in coordination with the City’s Communications and Events and Desert Recreation District staff to plan out the event activities. It is the commission’s hope that this can be a reoccurring event in the future.

DISCUSSION:

On September 9th, the Public Arts Commission discussed the proposed budget. Originally, the budget did not include any funding for entertainment and Commissioner Marks requested that budget be identified to allow some local performers to be able to participate in the event in order to promote performing art as well as fine art. The Commissioners voted to revise the initial proposed budget to include stipends for local performing artists and approved the not-to-exceed budget of $5,000 for the inaugural Cathedral City Festival of the Arts event.

The Public Arts Commission is seeking City Council approval of a not-to-exceed budget of $5,000 to cover direct expenditures for the event. Estimated expenditures include Item Cost
DJ/PA System $1,200
Promotional Materials/Banners $1,900
Food Trucks $300
Performing Artists $1,000
Total $4,400
The remaining $600 would be for incidentals, if needed.

The participating artists would be charged an entry fee of $100.00. It is anticipated there will be between 32 and 40 spaces for artists, depending on the number of tents available.

Potential revenue could be up to $4,000.

FISCAL IMPACT:

DESCRIPTION GENERAL
LEDGER

ACCOUNT
CODES

PROJECT
CODE
AMOUNT ONE TIME or

ONGOING
2025-2026 Festival of the
Arts
100-500-510-
513-8300-8301 M03513 $5,000 ONE TIME
2025-2026 Total $5,000
FIVE-YEAR STRATEGIC PLAN:

Goal F: Embracing, Inclusive Community
Action F-3: Promote additional community events and celebrations.

ATTACHMENTS:

1. PAC Staff Report

2. Event Outline

3. Draft Rules and Regulations
Staff Report
Public Arts Commission
Item No. 4.D
Meeting Date: September 9, 2025
From: Anne V. Ambrose, Assistant City Manager
Sponsors: Commissioner Don Stouder
Title: Approve a Not to Exceed Budget of $5,000 for the Inaugural Cathedral City Festival of the Arts event in the Cathedral City Community Amphitheater.

RECOMMENDATION:

To approve a not to exceed budget of $5,000 for the inaugural Cathedral City Festival of the Arts event and forward the funding recommendation to the City Council for approval.

BACKGROUND:

Commissioner Stouder has presented at the past few Public Arts Commission meetings on plans for an arts festival in the City’s amphitheater. The event would focus on local and regional artists, charge a low admission fee to reduce barriers to entry, and not charging a commission to the artists to participate, allowing them to keep the full amount of any sales.

Commissioner Stouder has prepared an outline of the event and drafted rules for participation in the event.

DISCUSSION:

Commissioner Sounder is seeking approval of a not to exceed budget of $5,000 to cover direct expenditures for the event. Estimated expenditures include:

Item Cost
DJ/PA System $1,200
Promotional Materials/Banners $900
Advertising $1,000
Rentals – tables $760
Food Truck Permit $300
Total $4,160
The participating artists would be charged an entry fee of $100.00. It is anticipated that there will be between 32 and 40 spaces for artists, depending on the number of tents available, which would bring in between $3,200 and $4,000 in offsetting revenue.

FUNDING SOURCE:

The proposed budget for this event would be expended from the Commission’s general fund budget which is $10,000 for FY 2025/2026. No funds have been expended yet for this fiscal year.

Attachments:

Event Outline
Draft Rules and Regulations
Art in the Amphitheater: March 28, 2026
First Annual Cathedral City Festival of the Arts
Date of the event will be March 28, 2026 from 11am to 4pm. City staff set-up at 0700, artist set up at 0900.

Approval by PAC in September, City Council following ASAP.

Project budget will be (not to exceed) $5000.00.

Two food trucks, one desert truck, chosen and booked/confirmed by Adam. We will make sure to name the vendors in our advertising materials so that their own followings will know to attend.

Stage performances: in the style of background music; Ryan to reach out to CCHS as well as other potential acts. Will budget for contribution/stipend.

DJ Services most likely provided by DJ Shawna.

Ryan to put on city communications calendar by fall 2025; Ryan to put together advertising plan list and provide to Don for PAC.

Don will make sure event gets put on RIVCO Arts Calendar.

Desert Recreation District to take responsibility for Children’s Play Area.

Tents: City owns and will supply 10 10x10 tents and 11 10x20 tents (32 artists). City to purchase more tents and this will meet our initial goal of 40 tents. EVENT IS BEING HELD AT A HIGH WIND TIME OF YEAR.

Don/Rick to put together the registration packet for artists using RIVCO event and library events as a template. (See attachments)
The packet will use the same waiver and rules used by Riverside Art Museum, which is given to the artist at registration and then again at an artist meeting a week prior to the event. The rules have a required equipment list and cover other areas important for the artists to know, including that we will ask them to leave if our requirements are not met. I attached the waiver and rules to this document.

City staff to talk with city finance about how we will accept payment from artists. The artist fee for the event will be $100.00 payable at the time of registration. Artist registration for the event will open on January 1, 2026 and close on February 16, 2026. There will be no commission fees on sales and their will be no admission fee to the event itself.

Don and Rick will develop a flyer for the event to distribute in person at art shows in the fall (West Coast Productions first show is at The River over Thanksgiving Weekend), as well as to distribute via email to our various lists and organizations to recruit artists. This will also include Desert Open Studios in mid-January, and our Quarterly Art Show contacts.

In addition to payment, we will need a registration link or other way for the artists to submit their registration.

Ryan to handle reaching out for city TV coverage, Eye on the Desert, etc.

See here for the full text of the Riverside Art Museum Waiver and Rules for Artists:
https://riversideartmuseum.org/wp-content/uploads/2023/11/RIVERSIDE-ART-MARKET-2024- Waiver-Instructions-Rules-.pdf
The next meeting of this group (city staff, commissioners, Desert Rec District) will take place following City Council approval.

Cathedral City Festival of the Arts 2025

ARTWORK VENDOR REGISTRATION INSTRUCTIONS

RULES AND PROCEDURES FOR ARTIST VENDORS
Below are instructions for completing the vendor application.

All registrations must be completed on-line at:

INSERT CAFE LINK HERE
Payment must be completed on-line using a credit card.
*Booth is not guaranteed until payment is made and your application has been accepted by the Cathedral City Public Arts Commission.

Goods acceptable to sell at festival:
• Fine Artists: Original art works or reproductions of original art work (I.e. photographs prints, giclée prints of original art work) • Artisans: Handcrafted work (such as leather work, pottery, etc.) • Galleries: original work and reproductions of original work by represented artists.

Additional Information Required:
• Please include your contact information (phone, e-mail). • Include only two (2) photos of some of the items you intend to sell o Save at 300 dpi resolution
o File name format should follow: last name, first initial_# (Example:

Smith_A_1)
o save as a .jpg format
o photos cannot be attached to the form and will need to be sent to the email account
o This information will be used to promote the festival. • Provide your artist website URL and/or any social media handles, if applicable. • Please let us know if you would like to be listed under your name or your business name. This will be used in our publications.

Vendor-supplied canopies and/or tents are not allowed at the art market. • All artwork vendors will have event canopies set up and installed for them and dismantled at the close of the art market.
• Easy load-in/load-out access will be provided.

VENDORS MUST SUPPLY TABLE, CHAIRS, TABLECLOTH, AND ALL
MATERIALS REQUIRED TO DISPLAY YOUR ART.

Vendors will choose their booth location on a first-come first-serve basis on the morning of the festival.

Booth pricing:
• Booth cost is $100.00 and is not refundable after acceptance to the festival. There will be no other costs or commissions. Vendors must accept purchase payments themselves and are responsible for any associated sales taxes or permits.

Festival Waiver:
• Prior to submitting the application, you will need to acknowledge that you have read and accept the terms of the 2026 Festival Waiver.

Do you plan to share the booth? If so :
• Submit only one application;
• We will email them an application and waiver to be acknowledged and accepted.

Cathedral City Festival of the Arts 2026

RULES AND PROCEDURES FOR ARTIST VENDORS
PLEASE READ.

The purpose of the festival is to promote artists and artisans, and provide them with a venue to display, sell, and share their handmade pieces. This event is designed to:
*provide opportunities for artists to show and sell their work; • create a positive image of the CC Public Art Commission; • support City goals of diversity, equity, inclusion, and access; • enhance the Cathedral City downtown area and community at large; • expose adults and children to a wide array of fine art, hand-made crafts, and education opportunities.

1. Read all of the rules. Any and all participants that are represented by employees or family members are responsible for explaining and interpreting these rules and regulations to their employees and/or family members.

2. The festival committee reserves the right to accept or reject vendors and/or items into the market based on availability of space and type of artwork. This includes the possibility of duplicating similar items in the market.

3. NO PERSONAL EZ UPS, CANOPIES, OR TENTS WILL BE ALLOWED.

EZ UPS (10 BY 10) WILL BE PROFESSIONALLY INSTALLED FOR ALL VENDORS.

4. There will be no electricity, tables, or chairs provided. No generators will be allowed.

5. All items available for sale must be hand crafted.

6. Set up may begin on Saturday morning at 0900. The show opens at 1100 and vendors may not take down their displays or leave until after 4pm.

7. This event is advertised as “rain or shine” and is treated as such. All participants are expected to participate during inclement weather.

8. Participants shall be ready to show and sell their work by 11a on Saturday, March 28. Please arrive early enough for you to unload and set up. Loading zones will be available.

9. Each vendor is responsible for space clean up.

10. Tables should be covered by a cloth. All products should be marked properly for sale and prices should be clearly posted.

11. This is a family-friendly event. Vendors shall not sell merchandise of an adult nature, alcohol or drug paraphernalia, nor any merchandise that may imply, suggest, or support this type of activity.

12. Vendors shall not sell sharp objects, such as knives, nor shall they engage in any activity that results in the creation of a sharp object, such as cut glass work.

13. Participants shall be responsible for the behavior of their children. For safety reasons, all children under 13 years of age must be confined to the participant’s space or have parental supervision while browsing the market.

14. The Festival committee reserves the right to ask any participant at any given time, for any reason, to leave the event.

15. There is no smoking at this event.

16. Vendors and market attendees will be subject to any county health policies in effect at the time of the event.

17. The Cathedral City Public Art Commission does NOT in any way guarantee sales or customer buying performance.

The City of Cathedral City has zero tolerance for harassment, discrimination, retaliation, and disrespectful or other unprofessional conduct based on: Race; Religion (including religious dress and grooming practices); Color; Sex/gender (including pregnancy, childbirth, breastfeeding or related medical conditions), sex stereotype, gender identity/gender expression/transgender (including whether or not you are transitioning or have transitioned) and sexual orientation; National origin (including language use restrictions and possession of a driver's license issued to persons unable to prove their presence in the United States is authorized under federal law [Vehicle Code section 12801.9]); Ancestry; Physical or mental disability; Medical condition; Genetic information/characteristics; Marital status/ registered domestic partner status; Age (40 and over); Sexual orientation; Military or veteran status; and, Any other basis protected by federal, state or local law or ordinance or regulation.

Prohibited harassment, disrespectful or unprofessional conduct includes, but is not limited to, the following behavior: verbal conduct such as epithets, derogatory jokes or comments, slurs or unwanted sexual advances, invitations, comments, posts, or messages; Visual displays such as derogatory and/or sexually-oriented posters, photography, cartoons, drawings or gestures; Physical conduct including assault, unwanted touching, intentionally blocking normal movement or interfering with work because of sex, race or any other protected basis; Threats and demands to submit to sexual requests or sexual advances as a condition of continued employment, or to avoid some other loss and offers of employment benefits in return for sexual favors; Retaliation for reporting or threatening to report harassment; and Communication via electronic media of any type that includes any conduct that is prohibited by state and/or federal law or by company policy. Sexual harassment does not need to be motivated by sexual desire to be unlawful or to violate this policy. For example, hostile acts toward an employee because of his/her gender can amount to sexual harassment, regardless of whether the treatment is motivated by sexual desire. Prohibited harassment is not just sexual harassment but harassment based on any protected category.

As confirmed by the signed waiver, I agree to abide by the official rules and regulations of the Cathedral City Festival of the Arts. As a vendor, I agree to indemnify, defend, and hold harmless the Cathedral City Public Art Commission and the City of Cathedral City from and against any and all loss, damage, claim for damage, liability, expense or cost, including attorney fees, which arises out of, or is related to, or is in any manner connected with my participation in the event. This indemnification provision shall apply to any acts or omissions, willful misconduct or negligent conduct, whether active or passive, on my part, my employees, or my family members.

Staff Report
City Council
Item No. 5.A
Meeting Date: September 24, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Ordinance Amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to Update the Cannabis Tax, Cannabis Licensing and Zoning Regulations, and Enforcement Provisions
RECOMMENDATION:

Find that the Zoning Ordinance Amendment 25-0004 is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(B)(3) and introduce an ordinance amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to substantially update the cannabis tax, cannabis licensing and zoning regulations, and enforcement provisions.

BACKGROUND:

On January 22, 2025, the Cathedral City Council enacted a 45-day initial moratorium on new cannabis conditional use permits and cannabis licenses in response to a large increase in cannabis odor complaints in 2024 and continuing into 2025. This moratorium was extended by 10 months and 15 days on February 26, 2025.

The January 22, 2025 and February 26, 2025 City Council staff reports supporting the moratorium include a thorough account of the cannabis odor complaints that led to the adoption of a moratorium; an account of the existing cannabis businesses within the City; and an overview and assessment of the City’s current cannabis regulations. The February 26, 2025 staff report began to identify those areas where further research was needed and the initial scope of an ordinance update, including:
 Definitions and standards in the cannabis regulations, including the thresholds for an odor violation;
 Requirements for a separate odor control plan to be submitted as part of a cannabis permit or license;
 Enforcement provisions, including the maintenance of an approved odor control plan and a well-articulated enforcement process for odor violations;  Fines and penalties for non-compliance with an approved odor control plan; and  An evaluation of the allowances for cultivation, manufacturing, and distribution sites as a conditional use in the PCC zoning district together with the locational requirements from the RR zoning district.

Both the January 22, 2025 and the February 26, 2025 staff reports and presentations are attached for reference.

An interim update was presented to the City Council on April 23, 2025, detailing the research performed up to that point and outlining the City’s next steps, including consultant support to identify those best practices and odor control requirements the City should model in an amendment to its cannabis regulations. The April 23, 2025 City Council staff report and presentation are attached.

The research included a continued review of the City’s current cannabis regulations. It also encompassed a review of all 84 California cities and counties that allow indoor cultivation, focusing on a subset of 15 cities and 3 counties, including those with licensed large indoor cultivation licenses through the Department of Cannabis Control (five are in Oakland, one is in Richmond, and one is in Cathedral City). The staff led research focused on a set of 11 questions:

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

3. Are there separation requirements between cannabis uses?

4. Are there limits on either the number or size of cannabis uses?

5. What is the definition of a nuisance cannabis odor?

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?

11.Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
The April 23, 2025 City Council staff report and attachments provide detailed analysis of these questions among the peer cities and counties. The initial research reveals that while there are some models for odor control permit processes and stronger enforcement, no city or county is at the forefront of cannabis regulation. No city or county has adopted objective cannabis odor standards and most rely on reactive and subjective odor measurements for enforcement.

Following the April 23, 2025 update to the City Council, a scope of work was released to four consulting firms with experience in the cannabis industry to support the development and implementation of an update to the cannabis ordinance, including:
 Regulatory review and best practices assessment
 Odor control technology evaluation
 Odor control permitting process
 Inspection and verification protocols
 Stakeholder engagement and presentations
 Training
The City contracted with SCS Engineers to provide additional support to staff. SCS Engineers prepared a comprehensive report for the City titled “Cathedral City – Regulatory Review – Cannabis Odor Control”, a report that provided substantial support for the creation of an odor control permitting process together with checklists and inspection forms. The SCS Engineers report is attached for reference.

Following the research performed by City staff and the development of a report by SCS Engineers, a comprehensive ordinance amending the Cathedral City Municipal Code, including the zoning ordinance, was prepared. This ordinance amends the licensing (chapter

5.88), permitting and zoning (chapter 9.108 and section 9.30.030), and enforcement (section

13.80.240) regulations related to cannabis uses and to amend various sections of the Municipal Code relating to administrative fines contained in titles 1, 3, 5, 8, 9, 11 and 14).

DISCUSSION:

Updated Cannabis Zoning Regulations
The proposed changes to Cathedral City’s zoning regulations affect the issuance of new conditional use permits for cannabis businesses within the City. The proposed changes would not affect existing businesses that already have an approved conditional use permit.

The proposed changes include:
 Cannabis cultivation is proposed to be removed as a conditional use within the Planned Community Commercial (PCC) zoning district (Section 9 of the draft ordinance). Existing cultivation businesses in the PCC zoning district would become legal non-conforming uses. Cultivation would remain a conditional use in the Commercial Business Park (CBP-2) and Light Industrial (I-1) zoning districts.  A 300-foot separation requirement is proposed to be added between cultivation, manufacturing, and distribution sites and any property zoned Resort Residential (RR) in the same manner that the uses are separated from residential zoning districts (Section 10 of the draft ordinance).
 The standard conditions of approval for a cannabis conditional use permit are proposed to be modified to require an odor control plan (Section 11 of the draft ordinance).

Odor Control Plan Requirements
The City does not currently require odor control plans and instead relies on a standard condition of approval through a conditional use permit requiring an odor absorbing ventilation and exhaust system be installed and maintained. The same condition is applied to all cannabis conditional use permits regardless of the type of business. The proposed changes require odor control plans for all cannabis business and incorporate a performance-based approach for their design and preparation such that cannabis odors are not detected off-site.

More specifically:
 Odor control plans are proposed as a new section of the cannabis licensing code (Section 8 of the draft ordinance). The implementation of this section is proposed to be based on the type of use, with varying submittal and content requirements for: 1) cultivation and manufacturing; 2) retail, distribution, and testing laboratories; and 3) lounges. Example submittal and content checklists are included in Appendix E of the SCS Engineers report. The review of an odor control plan is proposed to evaluate its effectiveness to mitigate cannabis odors.  The cannabis license renewal regulations are proposed to be modified to require existing cannabis businesses to obtain approval of an odor control plan as a requirement of their local license renewal beginning January 1, 2026. Should an odor control plan identify any additionally required odor control equipment, the equipment would need to be installed and operational within 6 months of the local license renewal application date and no later than December 31, 2026 (Section 4 of the draft ordinance).
 The operational requirements for cannabis businesses are proposed to be amended to require all required odor control equipment be installed and operational prior to the commencement of operations and to further require that it be maintained (Section 5 of the draft ordinance). The requirements are further proposed to be amended to require meteorological sensors for all cultivation and manufacturing sites to assist the City in the tracking of the source of nuisance odors.

Enforcement
The current enforcement provisions declare persistent cannabis odors offensive to individuals of normal sensitivity and odors which adversely impact or unreasonably interfere with the use and enjoyment of property and odors that emanate across a property line a public nuisance. The proposed changes maintain this enforcement standard while establishing an enforcement process centered on an odor control plan. More specifically:
 Following the initiation of enforcement action, cannabis businesses with an approved odor control plan are proposed to have a period of 10 days to take corrective action (Section 16 of the draft ordinance). This is further proposed to require a business to submit a statement documenting the corrective actions it has taken, including confirmation that the measures contained within its approved odor control plan are being followed. As part of the corrective actions, the proposed changes stipulate that the City may require a cannabis business to conduct a cannabis odor assessment. If a violation persists after corrective actions have been taken by a business and upon reinspection by the City, an administrative citation may be issued.
 The proposed changes outline a separate enforcement process for cannabis businesses with odor violations that have failed to obtain approval of, comply with, or maintain an odor control plan, which may lead directly to an administrative citation and may constitute a finding of good cause for denying a local license renewal or the suspension or revocation of a local license (Section 16 of the draft ordinance).
 Currently, the fines for an administrative citation for cannabis nuisance odors are set at $100 for a first violation, $250 for a second violation, and $500 for a third and any subsequent citation within a 12-month period. The proposed changes allow the City Council to set a greater administrative fine by resolution.

Provisions Not Included in Draft Ordinance
Nearly all the recommendations made by SCS Engineers through their report have been incorporated into the draft ordinance. The limited exceptions include increasing the buffer from residential areas to 1,000 feet (up from 300 feet) and a separation requirement of 500 feet between licensed businesses where there currently is no separation requirement.

Staff has analyzed the effect of these and found that they would create multiple nonconformities while not substantially improving the nuisance cannabis odor issue or the conflicts between cultivation and residential uses. A GIS map analyzing a 1,000-foot separation requirement between cultivation and manufacturing uses and residential areas is attached. While the analysis was analyzed from an address point and not actual building footprints, as the Cathedral City Municipal Code measures the separation requirements, it reveals that the Perez Road corridor is in close proximity to several residential zones, including chose comprising Cathedral Canyon Country Club, Date Palm Country Club, Cathedral Palms RV Resort, and Nirvana Estates (under construction).

The proposals to remove cultivation as a conditional use in the PCC zoning district and to further add a 300-foot separation requirement between cultivation and the RR zoning district more directly address the conflict between incompatible uses and would have the effect of restricting cultivation largely to the Perez Road corridor and the Bankside Drive and Sunair Plaza industrial park. These would both create non-conformities on their own, although significantly less than a 1,000-foot separation requirement.

GIS maps evaluating the impacts of these changes are also attached.

There are five existing cultivation businesses that would become legal non-conforming uses through the elimination of cultivation and manufacturing as a conditional use in the PCC zoning district, including businesses: in Canyon Plaza Shopping Center (Target); adjacent to the former Barracks Bar; across Date Palm Drive from the Cathedral City Market Place; in the same building as Palm Springs Lanes; and C4 Industry on Ramon Road.

An alternative to the complete removal of cultivation as a conditional use in the PCC zoning district is to restrict the size of total canopy of cultivation. Of the five cultivation businesses in the PCC zoning district, one is licensed by the state as a large indoor cultivation license, defined as a cultivation site with more than 22,000 square feet of total canopy; two are licensed as medium indoor cultivation licenses, defined as a cultivation site with between 10,001 and 22,000 square feet of total canopy; and two are licensed as specialty indoor cultivation licenses, defined as a cultivation site with between 501 and 5,000 square feet of total canopy.

A total canopy limit of 10,000 square feet as a conditional use in the PCC zoning district, for example, would permit small indoor cultivation (between 5,001 and 10,000 square feet of total canopy), specialty indoor cultivation, and specialty cottage indoor licenses, as defined by the Department of Cannabis Control and it may permit microbusinesses. The Department of Cannabis Control defines a cannabis microbusiness as a state license engaged in at least three commercial cannabis activities, including: cultivation, manufacturing, distribution, and retail sales. The City issues each of these licenses individually, not as a microbusiness license. The removal of cultivation and manufacturing as a conditional use in the PCC zoning district would not allow a state licensed cannabis microbusiness to operate in the PCC zoning district.

In the same way the City has seen conflict between cannabis odor and residential areas generated by cannabis cultivation, there remains a possibility that cannabis cultivation in a multi-tenant building in the PCC zoning district could generate complaints from other tenants within the building, particularly with larger canopies. Through the City’s research of cannabis regulations in other cities and counties, staff found that cultivation uses are typically restricted to industrial zones and are not permitted within commercial zoning districts. For these reasons, the proposed ordinance has been prepared to remove cultivation as a conditional use in the PCC zoning district.

The proposed ordinance does not address AB 1775, a new amendment to the state cannabis law, which took effect January 1, 2025. For jurisdictions that allow cannabis lounges, AB 1775 grants those jurisdictions the authority to allow retail food and beverage sales and live entertainment, including the sale of ticketed events. While the proposed ordinance makes comprehensive changes to the City’s cannabis regulations, there has been no policy discussion or direction on AB 1775. If there is a desire to evaluate expanded opportunities for cannabis lounges, staff recommends this be considered as a separate ordinance.

Updates Since the Public Release of the Draft Ordinance in July 2025 Based on additional staff review and feedback from the City’s cannabis consultant, the ordinance has been modified since it was released for public comment in July 2025. In addition to a reordering and renumbering of the sections, the changes include:
 The addition of sections to make changes to promote the efficient administration of Chapters 3.48 and 5.88 of the Cathedral City Municipal Code;  Minor corrections throughout the ordinance;
 The addition a requirement to bring local cannabis taxes current prior to renewing a local license and the addition of an operational requirement for the renewal of a dispensary license in Section 4;
 The deletion of specific references to a cannabis odor assessment performed by a field olfactometer and the revision of the same section to indicate the City may require a cannabis business to conduct a cannabis odor assessment using a method acceptable to the City in Section 16;
 The deletion of certain penalties and the addition of language clarifying a cannabis business’ responsibility for the payment of any additional banking fees or charges in Section 20; and
 The addition of a new section for the purpose of regulating tax payment arrangement agreements in Section 22.

Environmental Review:

The project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3), referred to as the commonsense exemption which states that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Public Notification:

This project was noticed in accordance with the Government Code statute requiring public notice to be provided a minimum of 10 days prior to the public hearing.

The draft ordinance was posted on the City’s website on July 17, 2025 and shared electronically with a cannabis odor update distribution list, the Coachella Valley Cannabis Alliance Network (CVCAN), and all email contacts on a local cannabis license. As a result of this outreach, comments received by the City are attached.

Cannabis Task Force:

The Cannabis Task Force met and discussed the proposed ordinance on August 18, 2025 and recommended its approval to City Council on a 5-1 vote. The draft Cannabis Task Force meeting minutes are provided as Attachment 9.

Planning Commission:

The Planning Commission met and discussed the proposed ordinance on August 20, 2025 and recommended its approval to City Council on a 4-1 vote. The Planning Commission discussed various alternatives, including increasing the separation requirements from residential zones and adding separation requirements between existing uses. While the City’s consultant has recommended these additional measures, the Planning Commission chose not to include them in their motion. The Planning Commission motion included the addition of Section 23 of the ordinance limiting the cannabis cultivation canopy area to a maximum of 22,000 square feet as a condition of approval on future conditional use permits.

Amendment To Fee Resolution:

On April 23, 2025, the City Council conducted a public hearing and adopted by resolution an update to the City’s master schedule of user and regulatory fees. As was established in the prior staff report, all fees should bear a fair and reasonable relationship to the payer’s burdens on, or benefits received from, the activities and/or services provided by the City.

The study prepared for the fee update examined multiple fee categories, including those for entitlement and post-entitlement application review and permitting review of new construction or modifications to existing structures, and analyzed the full cost of service against the City’s goals for cost recovery.

The review of an odor control plan was not contemplated when the fee update was prepared.

Nonetheless, a similar methodology can be applied to set the review fee for an odor control plan and the annual certification of an odor control plan. Any cost incurred by the City through a third-party review of an odor control plan together with the City staff time reviewing or administering the review of an odor control plan or performing related inspections on a cannabis business constitute the cost to the City to perform the review of an odor control plan.

Based on the complexity of the review and the specialized skillset and knowledge needed to determine whether an odor control plan appropriately and effectively proposes controls to mitigate cannabis odors, including a review of the odor emitting activities or processes and methods of odor control, staff recommends that odor control plans for cultivation, manufacturing, and consumption lounges, all of which have the potential for greater odor emissions, be reviewed by a third-party. City staff would still incur time processing and issuing approval of an application and would still conduct inspections to verify the installation of any required cannabis odor control equipment as part of an odor control plan application for a cultivation, manufacturing, or consumption lounges use. The anticipated City staff time is four hours per application.

SCS Engineers has provided the City a cost of $3,500 to review an odor control plan. The April 23, 2025 fee study set an hourly rate of $191 for an associate planner. While multiple staff are involved in the review of cannabis applications and licenses, the planning staff has a primary role because of their experience working an application through a conditional use permit process and establishing the conditions of approval. The anticipated City staff time is four hours per application for a cost of $764, covering the full review and processing of an odor control plan or annual certification and inspection. In total, the combined fee to review an odor control plan for a cultivation, manufacturing, or consumption lounge is $4,264.

Staff recommends the review of an odor control plan for a retail dispensary, distribution, or testing lab, uses that generate less odor emissions, be reviewed by City staff. Also, staff recommends the annual certification of an odor control plan be led by City staff, a process that includes a review and verification of information submitted by a cannabis business and an inspection. The fee to review an odor control plan for retail dispensary, distribution, or testing lab is $764.

Staff has prepared an amendment to the fee resolution, provided as Attachment 11, to establish fees for the review of an odor control plan and an annual certification of an odor control plan. The fees do not exceed the reasonable cost of review of an odor control plan or annual certification. For the meeting on September 24, 2025, the fee resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

Fine Resolution:

The proposed ordinance, while focused on cannabis issues and concerns, repeals and consolidates multiple sections of existing code into a single section, establishing a default fine for administrative fines and authorizing the City Council to establish different fines by resolution. Attachment 12 proposes an administrative fine schedule implementing the proposed provisions of Section 13.58.020 and listing those fines that are different than the default fine, including an administrative fine for cannabis odor violations under Cathedral City Municipal Code Section 12.80.240(J). It also includes the existing administrative fine for a violation of Section 5.94.030 on plastic beverage straws. Should the City set administrative fines in the future that are different than its default fines, those would be an amendment to the administrative fine schedule adopted by resolution.

Cathedral City’s fines for short-term vacation rentals were most recently established by Resolution No. 2022-14. The proposed resolution has no bearing or effect on Resolution No. 2022-14 and the City’s short-term vacation rental fines.

For the meeting on September 24, 2025, the fine resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

FISCAL IMPACT:

In order to renew a Cannabis license, the odor control plan will be required. It is anticipated the cost for city staff and third-party vendor time will be offset by the Cannabis odor control plan fees.

With 34 cultivation, manufacturing and consumption lounge operating licenses, the fiscal impact for the Planning’s professional services budget will be $59,500/year (100-100-150- 152-8600-8601).

FIVE-YEAR STRATEGIC PLAN:

F-17 – Review and update, as needed, our ordinances, policies, and practices regarding cannabis.

ATTACHMENTS:

1. Attachment 1 – Ordinance

2. Attachment 2 – January 22, 2025 City Council staff report with attachments

3. Attachment 2a – January 22, 2025 City Council presentation

4. Attachment 3 – February 26, 2025 City Council staff report with attachments

5. Attachment 3a – February 26, 2025 City Council presentation

6. Attachment 4 – April 23, 2025 City Council staff report with attachments

7. Attachment 4a – April 23, 2025 City Council presentation

8. Attachment 5 – SCS Engineers report “Cathedral City – Regulatory Review – Cannabis Odor Control

9. Attachment 6 – GIS analysis

10.Attachment 7 – Public hearing notice

11.Attachment 8 – Public comments

12.Attachment 9 – August 18, 2025 Cannabis Task Force meeting minutes

13.Attachment 10 – August 20, 2025 Planning Commission meeting minutes

14.Attachment 11 – Amendment to fee resolution

15.Attachment 12 – Consolidated fine resolution
8/26/2025 1
ORDINANCE NO. ____

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY CALIFORNIA AMENDING CHAPTERS 3.48, 5.88, 9.108, AND 13.240 AND SECTION 9.30.030 OF THE CATHEDRAL CITY MUNICIPAL CODE TO

SUBSTANTIALLY UPDATE THE CANNABIS TAX, CANNABIS LICENSING

AND ZONING REGULATIONS, AND ENFORCEMENT PROVISIONS,

INCLUDING THE ADDITION OF AN ODOR CONTROL PLAN AS A

CONDITION OF APPROVAL FOR A CANNABIS CONDITIONAL USE

PERMIT AND APPLYING THIS REQUIREMENT RETROACTIVELY TO

EXISTING CANNABIS BUSINESSES THROUGH THE ANNUAL RENEWAL

OF A CANNABIS LICENSE, THE DELETION OF CANNABIS CULTIVATION

AS A CONDITIONAL USE WITHIN THE PLANNED COMMUNITY
COMMERCIAL ZONING DISTRICT, THE ADDITION OF A 300 FOOT

SETBACK FROM ANY CULTIVATION, MANUFACTURING AND

DISTRIBUTION SITE TO A PROPERTY ZONED RESORT RESIDENTIAL,

AND THE MODIFICATION OF THE PUBLIC NUISANCE REGULATIONS TO

ESTABLISH A PROCESS FOR THE ENFORCEMENT OF CANNABIS

ODORS TOGETHER WITH MODIFICATIONS TO THE CANNABIS TAX AND

CANNABIS LICENSING REGULATIONS TO PROMOTE THE EFFICIENT

ADMINISTRATION OF THE CODE, TO REQUIRE LOCAL CANNABIS

TAXES BE MADE CURRENT PRIOR TO THE RENEWAL OF A LOCAL

LICENSE, TO ADD AN OPERATIONAL REQUIREMENT PRIOR TO THE

RENEWAL OF A DISPENSARY LICENSE, AND TO ALLOW TAX PAYMENT AGREEMENTS; AMENDING SECTION 13.58.020 TO ESTABLISH A

DEFAULT FINE FOR ADMINISTRATIVE FINES AND TO AUTHORIZE THE CITY COUNCIL TO ESTABLISH DIFFERENT FINES BY RESOLUTION; AND AMENDING SECTIONS 5.82 AND 5.94 AND REPEALING AND
RESERVING SECTIONS 1.04.080, 3.24.190, 3.28.990, 5.03.075, 5.08.110,

5.12.350, 5.18.240, 5.19.160, 5.20.200, 5.24.100, 5.30.160, 5.32.360,

5.33.480, 5.34.070, 5.35.130, 5.36.050, 5.38.140, 5.40.100, 5.44.090,

5.48.220, 5.52.220, 5.56.190, 5.60.380, 5.68.110, 5.70.210, 5.72.080,

5.74.060, 5.82.040, 5.94.030, 8.24.090(D), 8.26.190, 8.50.135, 8.57.090,

9.62.130(E), 9.89.160, 11.08.020(E)(5), 11.52.040(E), 11.74.140, 11.80.230,

11.97.190, 11.98.180, AND 14.28.160 TO CONSOLIDATE ADMINISTRATIVE

FINES THROUGHOUT THE CATHEDRAL CITY MUNICIPAL CODE IN A SINGLE SECTION.

WHEREAS, the City of Cathedral City (“City”) is a municipal corporation and charter city, duly organized under the constitution and laws of the State of California; and WHEREAS, the City is authorized by California Constitution, Article XI, Section 7 to make and enforce within its limits all local, police, sanitary, and other ordinances and regulations not in conflict with general laws; and
8/26/2025 2
WHEREAS, pursuant to California Constitution, Article XI, Section 5 and Cathedral City City Charter Section 100, the City, as a charter city, has plenary authority to make and enforce within its limits all ordinances and regulations in respect to municipal affairs; and WHEREAS, pursuant to Business and Professions Code Section 26200(a)(1)–(2), State cannabis laws do not supersede or limit the authority of a city to adopt and enforce local ordinances regulating commercial cannabis-related activities and cannabis-related businesses; and
WHEREAS, the City permits and regulates certain cannabis businesses pursuant to Chapters 5.88 and 9.108 of the Cathedral City Municipal Code and adopted administrative regulations (“Cannabis Regulations”); and
WHEREAS, the City declares persistent cannabis odors offensive to individuals of normal sensitivity and which adversely impact or unreasonably interfere with the use and enjoyment of property a public nuisance and enforces nuisance cannabis odors and other violations of Chapters 5.88 and 9.108 of the Cathedral City Municipal Code through Section

13.80.240 of the Cathedral City Municipal Code; and
WHEREAS, in April 2024, the City began experiencing a higher number of cannabis odor complaints. Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor reports. Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024. These complaints frequently cite the interference with the use and enjoyment of their property; and
WHEREAS, the above-mentioned complaints concerning cannabis odors were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road with the balance of complaints pertaining to businesses located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza; and WHEREAS, Government Code Section 65858 allows cities to protect the public health, safety and welfare by adopting interim emergency moratoria in order to allow time to study whether certain land uses should be allowed, prohibited, or regulated under the City’s municipal code; and
WHEREAS, on January 22, 2025, the City Council adopted Ordinance No. ______, which enacted a forty-five (45) day interim moratorium on the approval or issuance of new licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use to a cannabis business as more particularly described therein (“Ordinance No. ______”); and
WHEREAS, on February 26, 2025, the City Council extended the moratorium enacted by Ordinance No. ______ for an additional period of ten (10) months and fifteen (15) days pursuant to Government Code Section 65858; and WHEREAS, since the adoption of Ordinance No. _________, the City has evaluated amendments to the Cannabis Regulations, including those related to zoning, locational requirements, standards, and enforcement provisions, fines and penalties; and 8/26/2025 3
WHEREAS, pursuant to Chapter 2.32 of the Cathedral City Municipal Code, the Cannabis Task Force, as an advisory body to the City Council on cannabis issues, reviewed and discussed a draft ordinance amending the Cannabis Regulations on ___________; and
WHEREAS, the Planning Commission conducted a noticed public hearing on those amendments to Chapter 9.108 of the Cathedral City Municipal Code on __________; and WHEREAS, the City has complied with the notice and public hearing requirements of Government Code Sections 65858(a) and 65090; and
WHEREAS, the report required by Government Code Section 65858(d) has been prepared and made available to the public at the City Clerk’s Office. In addition, the agenda report accompanying this ordinance provides the information required under Government Code section 65858(d).

THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY DOES ORDAIN AS FOLLOWS:

SECTION 1. AMENDMENTS TO SECTION 5.88.025 OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 5.88.025 of the Cathedral City Municipal Code is amended to update the list of definitions applicable to the City’s cannabis regulations. Specifically, this section is amended to: 1) add new definitions describing odor control equipment and odor control plans; 2) add other new cannabis-related definitions; and 3) modify existing definitions, necessary for clarity and the efficient administration of the Cannabis Regulations. All added and revised definitions shall be inserted into Section 5.88.025 in proper alphabetical order.

The added and stricken definitions are as follows:
“Commercial cannabis activity” means any activity, recreational or medicinal, including the cultivation, possession, manufacturing, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery, or sale of cannabis and/or cannabis products as provided in this chapter.
“Cultivation” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.
“Delivery” means the commercial transfer of cannabis or cannabis products to a customer. "Distribution site" means a facility where cannabis and cannabis products are stored or inspected by a distributor for the purposes of distribution. “Distribution” means the procurement, wholesale, and transport of cannabis and cannabis products between licensees, and may include the storage of packaged goods, coordination of compliance testing, packaging, re-packaging, labeling, re-labeling, and preparation of pre-rolls using previously-processed plant material.
"Manufacturing site" means a premises where a manufacturer engages in the manufacture of cannabis products.
8/26/2025 4
“Manufacturing” means a cannabis operation that engages in extraction and/or infusion processes, including processing, preparing, holding, storing, packaging, or labeling of cannabis products. Manufacturing also includes any processing, preparing, holding, or storing of components and ingredients. Manufacturing operations may involve the use of chemical solvents, heating, mixing, or other processes. “Odor control equipment” means any equipment utilized to counteract the distinguishable odor of the cannabis plant.
“Odor control plan” means a written plan prepared by a licensed professional engineer or certified industrial hygienist that describes the odor emitting activities or processes specific to a cannabis business together with a description of the methods used for odor control to ensure that odors are not detected off-site.
"Owner" means any of the following:

1. A person with an aggregate ownership interest of twenty percent or more in the person applying for a license or a licensee, unless the interest is solely a security, lien, or encumbrance.

2. The chief executive officer of a nonprofit or other entity.

3. A member of the board of directors of a nonprofit.

4. An individual who will be participating in the direction, control, or management of a cannabis facility on behalf of the owner of the license the person applying for a license.
“Testing laboratory” means a facility, laboratory, entity, or site that (i) offers or performs tests of cannabis or cannabis products, (ii) offers no service other than such tests, (iii) sells no products, excepting only testing supplies and materials, (iv) is accredited by any necessary accrediting body that is independent from all other persons involved in the cannabis industry in the state, and (v) is registered with any necessary state agency required by law.

SECTION 2. AMENDMENTS TO SECTION 5.88.040(C)(2) OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 5.88.040(C)(2) of the Cathedral City Municipal Code is amended to strike an unnecessary reference to the community development director, as follows:

2. Authorization for the local licensing authority and community development director to seek verification of the information contained within the application and authorization for the chief of police to conduct background checks of the owner(s). 8/26/2025 5
SECTION 3. AMENDMENTS TO SECTION 5.88.050(A) OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 5.88.050(A) of the Cathedral City Municipal Code is amended to authorize the chief of police or designee to conduct a background check as part of a transfer or change to the ownership of a license, as follows:

A. Change of Ownership. Subsequent to the issuance of a local license, the licensee shall report any transfer of ownership in the cannabis business to the local licensing authority on forms prescribed by the local licensing authority and pay the processing fee established by resolution of the city council. A change of ownership that solely involves a previously approved owner no longer being an owner of the cannabis business shall be reported to the local licensing authority within thirty days of the change. A change in ownership that involves adding a new owner to the previously approved ownership must be approved by the local licensing authority in advance. All proposed new owners must submit to a background check conducted by the chief of police or designee. The local licensing authority shall approve the change in ownership unless there is good cause to deny the change.

SECTION 4. AMENDMENTS TO SECTION 5.88.055 OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 5.88.055 of the Cathedral City Municipal Code is amended to insert new subsections and to reorder the remaining sections to address the payment of local cannabis taxes and to incorporate an operational requirement for the renewal of a dispensary license and to require an odor control plan with the renewal of a local license beginning January 1, 2026, as follows:

A. A cannabis business that desires to renew its license shall apply for the renewal no less than thirty days prior to the local license's expiration date. If the cannabis business files a renewal application within thirty days prior to expiration, the cannabis business must provide a written explanation detailing the circumstances surrounding the late filing. The local licensing authority may accept or reject such late filing in its discretion. The local licensing authority may elect to administratively continue a local license past its expiration date, provided that the licensee has submitted a renewal application that is pending final action.

B. An application for renewal shall be submitted on forms provided by the local licensing authority, accompanied by the processing fee established by resolution of the city council. The following information shall be submitted as a part of the renewal application:

1. A current list of the employees, independent contractors, and volunteers working at the licensed premises.

2. Proof that no changes to the ownership of the licensee have occurred since last approved by the local licensing authority.
8/26/2025 6

3. Proof that the licensee is still entitled to the possession and use of the licensed premises.

4. For dispensaries, proof that commercial cannabis activity is occurring on the premises in accordance with the following:
a. For a first renewal application, proof that commercial cannabis activity permitted by the license has been occurring on the premises for the previous month. A tax return submitted pursuant to Section 3.48.080 of this code showing that taxable commercial cannabis activity occurred on the premises shall be sufficient proof.
b. For a second and subsequent renewal application, proof that commercial cannabis activity permitted by the license has been occurring on the premises for the previous twelve consecutive months. Tax returns submitted pursuant to Section
c. 3.48.080 of this code showing that taxable commercial cannabis activity occurred on the premises shall be sufficient proof.
d. The local licensing authority may renew a license not meeting the requirements of subparagraphs a or b above if the renewal application demonstrates unique or extraordinary circumstances that have impacted the ability of the cannabis business to conduct commercial cannabis activity on the premises, including, but not limited to, fire, flood or other act of God resulting in substantial damage to the premises, or a delay in the issuance of necessary licenses, permits or other approvals necessary to conduct the commercial cannabis activity at no fault of the applicant.

5. For licensees that have ten or more full-time equivalent non-supervisorial employees, proof that the licensee has entered into and abided by the terms of a labor peace agreement.

6. Proof that the cannabis business is not delinquent on the submission of any tax returns or the payment of any taxes due under Chapter 3.48 of this code.

7. Any other information that the local licensing authority deems necessary to determine whether to renew the local license.

C. All owners of the cannabis business must be fingerprinted each year at renewal if required in the discretion of the local licensing authority.

D. The local licensing authority shall renew a local license if the licensee has submitted a complete application and paid the application processing fee, unless the local licensing authority finds that good cause exists to deny the license renewal.

E. Local cannabis taxes must be current prior to renewing licensees’ local cannabis license. Should a licensee hold multiple licenses within Cathedral City, their taxes for all licenses must be current to renew any one of their licenses. 8/26/2025 7
F. Licensees must be able to prove they have been operational for at least one month prior to the first renewal for any dispensary license by providing a paid tax return and prove they have been operational for 12 months prior to a second and all subsequent renewals for any dispensary license.

G. Unless administratively continued pursuant to subsection A, a local license is immediately invalid upon expiration and the cannabis business shall cease operations.

If a local license expires, the local licensing authority may approve a renewal of the expired license at any time up to three months from the expiration date of the license.

After the license has been expired for three months, the license may not be renewed by the local licensing authority, and the holder of the expired license must apply for and obtain a new cannabis license to resume operations.

H. Licenses initially issued on or before January 22, 2025, shall obtain approval of an odor control plan conforming with the requirements of this Chapter and Chapter 9.108 of the Cathedral City Municipal Code as a requirement of local license renewal beginning on January 1, 2026. Any additionally required odor control equipment to meet the requirements of this Chapter shall be installed and operational within 6 months of the local license renewal application date and no later than December 31, 2026. Thereafter, the renewal of any local license shall annually certify the performance of its odor control plan to the requirements of this Chapter and Chapter 9.108 of the Cathedral City Municipal Code.

SECTION 5. AMENDMENTS TO SECTION 5.88.065 OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 5.88.065 of the Cathedral City Municipal Code is amended to strike reference to a cannabis industry worker identification card in subsection (E), to substitute local license authority for the community development director in subsection (O), and to add subsections (W) and (X) to require the submittal and approval of an odor control plan for all cannabis businesses and the installation and maintenance of any odor control systems required as part of an approved odor control plan and to require meteorological (MET) sensors, as follows:

E. Worker Register. Cannabis businesses must maintain a complete register of all persons that work at the licensed premises or have access to cannabis or cannabis products, whether as an employee, independent contractor, or volunteer. This register must include:

1. The individual's complete name, address, and last known telephone number;

2. The individual's hire date and, if applicable date of termination;

3. A copy of the individual's city-issued cannabis industry worker identification card.

The register and required records must be made available for inspection by any city officer or official for purposes of determining compliance with the requirements of this 8/26/2025 8
chapter during standard business hours of the licensed facility or at any other reasonable time.

O. Community Relations Designee. A cannabis business must provide the local license authority community development director with the name, phone number, facsimile number, and email address of an on-site community relations representative or staff member or other representative to whom the city can provide notice if there are operating problems associated with the cannabis business or refer members of the public who may have complaints or concerns regarding the cannabis business. The cannabis business shall also provide this contact information to all neighboring businesses located within one hundred feet of the cannabis business, as measured in a straight line without regard to intervening structures, between the front doors of each establishment.

W. Odor Control Plan. A cannabis business shall obtain approval of an odor control plan pursuant to the requirements of Section 5.88.125. All required odor control equipment shall be installed and operational prior to the commencement of operations and shall be maintained in good working order. The licensee shall certify the performance of an odor control plan to the requirements of this Chapter annually with the renewal of a cannabis license.

X. Meteorological Sensors. All cultivation and manufacturing cannabis businesses shall install and maintain an onsite meteorological (MET) system capable of recording wind direction and wind speed and with cloud based data logging made accessible to the City. The MET sensors shall be calibrated annually. All data collected by the MET system shall be maintained and accessible for two years.

SECTION 6. AMENDMENTS TO SECTION 5.88.070(J)(4) OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 5.88.070(J)(4) of the Cathedral City Municipal Code is amended to modify the odor control requirements for on-premises consumption on the licensed premises of a dispensary to be internally consistent with other sections of the Cathedral City Municipal Code, as follows:

4. The cannabis business shall specifically address odors caused by the consumption of cannabis in the odor control plan required in Section

5.88.125. The cannabis business must install and maintain in good working order an odor control system in accordance with Section 9.108.080(A)(1). Odors caused by the consumption of cannabis at the dispensary must not be detectable from any public place. The cannabis business shall submit and abide by a certified odor control plan approved by the local licensing authority as a part of the license application and approval process. The plan shall include the use of a Vapor Phase System utilizing an odor neutralizer, such as Cannabolish or a similarly effective technology.
8/26/2025 9
SECTION 7. AMENDMENTS TO SECTION 5.88.075(A) OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 5.88.075(A) of the Cathedral City Municipal Code is amended to include an additional operational requirement for the manufacturing of edible cannabis products, as follows:

5. All cannabis manufacturing facilities shall ensure that cannabis is obtained from permitted and licensed cultivation sources and shall implement best practices to ensure that all manufactured cannabis is properly stored, labeled, transported, and inspected prior to distribution at a legally permitted and licensed retailer.

SECTION 8. AMENDMENT TO CHAPTER 5.88 OF THE CATHEDRAL CITY MUNICIPAL CODE TO ADD A NEW SECTION 5.88.125
Chapter 5.88 of the Cathedral City Municipal Code is amended to add a new Section

5.88.125 to create an odor control plan review process. § 5.88.125. Odor Control Plan
A. Purpose and content. Odor control plans are intended to be prepared and designed as performance-based systems for each cannabis business such that cannabis odors are not detected off-site. The odor control plan must specifically identify any administrative controls, engineering controls, process parameters, maintenance requirements, and training necessary to control cannabis odor together with detailed information and specifications on odor control equipment incorporated within the plan.

B. Application. A cannabis business shall submit and obtain approval of an odor control plan in a form acceptable to the community development director.

C. Fee. A fee as determined by resolution of the city council to defray the costs and expenses of the city in processing the application shall be paid prior to accepting the application for filing, no part of which fee shall be refundable to applicant.

D. Decision process. Upon receipt of a completed application as determined by the community development director, an odor control plan shall be reviewed for its ability to effectively mitigate odors from odor generating sources or adequately explain why odor control is not warranted. The community development director may request revisions or modifications to an odor control plan prior to rendering a decision to approve an odor control plan or otherwise place conditions of approval on an application.

E. Appeals. Decisions of the community development director may be appealed by the applicant to the planning commission by filing a written request along with the established city fee within ten business days of the date of the staff determination. The planning commission shall consider the appeal as a public hearing item. The determination of the planning commission shall be effective ten calendar days after the date of decision unless appealed to the city council, by written appeal filed with the city clerk, whose decision shall be final.
8/26/2025 10
F. Annual certification. A cannabis business shall certify in a form acceptable to the community development director the performance of its odor control plan to the requirements of this Chapter at the time of its annual license renewal. This annual certification shall further confirm the maintenance of any required odor control equipment.

G. Amendments. Amendments to an odor control plan shall demonstrate continued system effectiveness and compliance with this Chapter and Chapter 9.108.

Amendments to an odor control plan may be required as a result of corrective action taken by a cannabis business in response to enforcement action as set forth in Chapter 13.80. Amendments to an odor control plan may also be required to reflect operational or facility changes, including:
a. Modifications to odor control equipment, including the addition or deletion of equipment and changes to the type of odor control equipment; and b. Facility expansions, process changes, tenant improvements, or other activities that alter the generation of cannabis odors.

H. Installation of odor control equipment. For cannabis businesses established after January 22, 2025, all required odor control equipment shall be installed and operational prior to the commencement of operations. Cannabis businesses established on or before January 22, 2025 shall follow the requirements of Section

5.88.085(H) for the installation of any additionally required odor control equipment.

I. Maintenance. All required odor control equipment shall maintained in good working order.

J. Enforcement. Should an odor control plan fail to adequately mitigate cannabis odors to the standards of this section, the cannabis business may be subject to enforcement action for public nuisance cannabis odors as set forth in Chapter 13.80. Failure to comply with, obtain approval of, or maintain an odor control plan as required by this Chapter may be subject to enforcement action.

K. Prohibition. Vapor phase and misting systems shall not be permitted odor control equipment.

SECTION 9. AMENDMENTS TO SECTION 9.30.030 OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Section 9.30.030 of the City of Cathedral City Municipal Code is amended to strike cannabis cultivation sites as a conditional use within the Planned Community Commercial (PCC) zoning district, as follows:
§ 9.30.030. Conditional uses.

The following uses may be permitted subject to the issuance of a conditional use permit pursuant to Chapter 9.72:
8/26/2025 11
Any use involving outdoor activity or storage except those permitted uses listed in Section 9.30.020, parking appurtenant to other permissible uses; Auctions;
Automobile repair shops;
Automobile service stations;
Carwashes, limited to self-serve and full-serve only;
Commercial recreation facilities;
Cannabis cultivation sites;
Cannabis dispensaries;
Cannabis distribution sites;
Cannabis testing laboratories;
Fast-food restaurants and drive-thrus;
Game arcades;
Private clubs and lodges;
Public service facilities and public utility structures; Retail store—used;
Tattooing establishments (as defined by Chapter 5.34 of this code); Vehicle rental establishments and used vehicle sales (except used vehicles sold in conjunction with the operation of a manufacturer licensed new vehicle sales dealership) subject to the provisions of Section 9.96.170 pertaining to special provisions applying to miscellaneous uses;
Vocational or trade schools;
Such other similar uses as are approved by the planning commission.

SECTION 10. AMENDMENTS TO SECTION 9.108.070 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 9.108.070 of the City of Cathedral City Municipal Code is amended to modify an existing locational requirement for dispensaries, to add an additional locational requirement for cultivation, manufacturing and distribution sites, and to define how the setback is measured from the Resort Residential zone, as follows:
8/26/2025 12
§ 9.108.070 Locational requirements.

A conditional use permit for a cannabis business shall not be approved unless the proposed cannabis business will be located in a zoning district in which cannabis businesses of the type proposed are conditionally permitted. In addition, a conditional use permit shall not be approved for a cannabis business unless all of the following locational requirements applicable to the type of cannabis business proposed are satisfied:

A. Dispensaries. No dispensary shall be located:
a. Within six hundred feet of a school, day-care center, or youth center; or b. Within two hundred fifty feet of a residential zone. c. Within two hundred fifty feet of the RR (Resort Residential) zone, if the dispensary includes an area for the outdoor consumption of cannabis and cannabis products pursuant to Section 5.88.070(J).

B. Cultivation, Manufacturing and Distribution Sites. No cultivation, manufacturing, or distribution site shall be located:
a. Within six hundred feet of a school, day-care center, or youth center; or b. Within three hundred feet of a residential zone; or
c. Within three hundred feet of the RR (Resort Residential) zone.

C. All distances specified in this section shall be measured in a straight line, without regard to intervening structures or topography, from the nearest point of the building or structure in which the cannabis business is, or will be located, to the following locations, or until the city limit is reached. If the cannabis business is, or will be located, in a multi-unit building, the distances shall be measured from the nearest point of the suite in which the cannabis business is or will be located. a. Setbacks from schools, day-care centers and youth centers, shall be measured to the nearest property line of the parcel where such use is located. b. Setbacks from residential zones shall be measured to:
i. The nearest point of any legally permitted structure located in a residential zone; or
ii. If there is land within a residential zone with no legally permitted structure, the measurement shall be to the nearest property line unless the nearest property line is within the public right-of-way, in which case the measurement shall be to the edge of the right-of-way furthest from the proposed cannabis business.
c. Setbacks from the Resort Residential zone shall be measured to the nearest property line of the parcel.
8/26/2025 13
SECTION 11. AMENDMENTS TO SECTION 9.108.080 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 9.108.080 of the City of Cathedral City Municipal Code is amended to modify the condition of approvals for all cannabis businesses to require an odor control plan and to eliminate redundant language, as follows:
§ 9.108.080. Conditions of approval.

A. All Cannabis Businesses. Every cannabis business conditional use permit shall include the following conditions of approval.

1. The cannabis business shall submit and obtain approval of an odor control plan meeting the requirements of Chapter 5.88 of the Cathedral City Municipal Code. When required by the odor control plan, the cannabis businesses must install and maintain an the following odor control equipment or any other equipment which local licensing authority determines has the same or better effectiveness:
a. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or
b. An air system that creates negative air pressure between the cannabis businesses' interior and exterior so that the odors generated inside the cannabis business are not detectable outside the cannabis business.

Should compliance with the odor control plan fail to properly control odor, the local licensing authority may impose additional or modified plan restrictions.

SECTION 12. AMENDMENTS TO SECTION 13.58.020 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 13.58.020 of the City of Cathedral City Municipal Code is amended to establish a default fine for administrative fines and to authorize the City Council to establish different fines by resolution. This revision consolidates various other sections of the Cathedral City Municipal Code that independently set administrative fine amounts while also referencing Chapter 13.58. The changes also set the default fine levels to equal those specified in Cal.

Gov. Code §36900.
§ 13.58.020. Administrative fines.

A. Any party to whom an administrative citation is issued, shall be responsible for payment of an administrative fine, the amount of which shall be set forth in the applicable chapter of the municipal code. Any person issued an administrative citation, under this chapter, for each separate violation shall be subject to: (1) an administrative fine in an amount not to exceed one hundred dollars for the first citation, or such amount as the city council may establish by resolution; (2) an administrative fine in an amount not to exceed two hundred dollars for a second 8/26/2025 14
citation issued for the same offense within a twelve-month period from the date of the first offense, or such amount as the city council may establish by resolution; and (3) an administrative fine in an amount not to exceed five hundred dollars for a third and any subsequent citation issued for the same offense within a twelve-month period from the date of the first offense, or such amount as the city council may establish by resolution.

B. If payment of an administrative fine is not paid by the applicable deadline as set forth in Section 13.58.150, the following late fees shall apply and shall be added to the total amount owed by the violator:

1. Zero to thirty days after deadline: no late fee.

2. Thirty-one to sixty days after deadline: late fee equal to fifty percent of the initial underlying administrative fine.

3. Over sixty days after deadline: late fee equal to one hundred percent of the initial underlying administrative fine.

C. Processing fees actually incurred by the city shall be added to the total amount due and payable on every administrative fine, in addition to the base amount of the fine.

SECTION 13. AMENDMENTS TO SECTIONS 1.04.080, 3.24.190, 3.28.990,

5.03.075, 5.08.110, 5.12.350, 5.18.240, 5.19.160, 5.20.200, 5.24.100,

5.30.160, 5.32.360, 5.33.480, 5.34.070, 5.35.130, 5.36.050, 5.38.140,

5.40.100, 5.44.090, 5.48.220, 5.52.220, 5.56.190, 5.60.380, 5.68.110,

5.70.210, 5.72.080, 5.74.060, 5.82.040, 5.94.030, 8.24.090(D), 8.26.190,

8.50.135, 8.57.090, 9.62.130(E), 9.89.160, 11.08.020(E)(5), 11.52.040(E),

11.74.140, 11.80.230, 11.97.190, 11.98.180, AND 14.28.160 OF THE CITY

OF CATHEDRAL CITY MUNICIPAL CODE
Sections 1.04.080, 3.24.190, 3.28.990, 5.03.075, 5.08.110, 5.12.350, 5.18.240, 5.19.160,

5.20.200, 5.24.100, 5.30.160, 5.32.360, 5.33.480, 5.34.070, 5.35.130, 5.36.050, 5.38.140,

5.40.100, 5.44.090, 5.48.220, 5.52.220, 5.56.190, 5.60.380, 5.68.110, 5.70.210, 5.72.080,

5.74.060, 8.24.090, 8.26.190, 8.50.135, 8.57.090, 9.62.130(E), 9.89.160, 11.08.020(E)(5),

11.52.040(E), 11.74.140, 11.80.230, 11.97.190, 11.98.180, and 14.28.160 of the Cathedral City Municipal Code are repealed and reserved for future use. Each of these sections stipulates administrative fines for administrative citations that are proposed to be consolidated in Section 13.58.020.

SECTION 14. AMENDMENTS TO SECTION 5.82.040 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 5.82.040 of the Cathedral City Municipal Code is amended to model the standard language used throughout the Code authorizing the issuance of an administrative citation pursuant to Chapter 13.58.

The city may issue an administrative citation, pursuant to Chapter 13.58, to any person responsible for committing, causing or maintaining a violation of Any person issued an 8/26/2025 15
administrative citation for violating Sections 5.82.010, 5.82.020 and/or 5.82.030 of this chapter. shall for each violation be subject to: (1) an administrative fine in an amount not to exceed one hundred dollars for the first citation; (2) an amount not to exceed two hundred fifty dollars for a second citation issued for the same offense within a twelve-month period of the date of the first offense; and (3) a fine in an amount not to exceed five hundred dollars for a third and any subsequent citations issued for the same offense within a twelvemonth period of the date of the first offense.

SECTION 15. AMENDMENTS TO SECTION 5.94.030 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 5.94.030 of the Cathedral City Municipal Code is amended is amended to model the standard language used throughout the Code authorizing the issuance of an administrative citation pursuant to Chapter 13.58
In addition to any other remedy provided for by this code, any violation of the provisions of this chapter by any beverage provider is subject to administrative citation pursuant to Chapter 13.58 of this code. The administrative fine for each violation shall be one thousand dollars or as is otherwise set by resolution of the city council.

SECTION 16. AMENDMENTS TO SECTION 13.80.240(J) OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 13.80.240(J) of the Cathedral City Municipal Code is amended to modify the definition of cannabis odors that constitute a public nuisance and to incorporate cannabis odor control plans into the response to a nuisance odor. For those cannabis businesses with an approved and compliant odor control plan, the response is a written warning and a requirement to make modifications to an odor control plan within 10 days. The modifications detail potential corrective actions, including the potential for a cannabis odor assessment at the property line. Upon reinspection, if cannabis odors persist, the City may issue an administrative citation and the business may be fined for each and every day a violation persists. The modifications also address businesses that are required to have an odor control plan and have not done so or have otherwise not complied with or maintained an odor control plan. The amendments also reference Chapter 5.88 of the Cathedral City Municipal Code and what constitutes good cause for denying a local license renewal or the suspension or revocation of a local license.

J. To cause or permit persistent cannabis odors that are offensive to individuals of normal sensitivity and which adversely impact or unreasonably interfere with the use and enjoyment of property, to:

1. Emanate across any property line.

2. Emanate across a common wall or otherwise be detectable within an adjacent or nearby unit in a multi-tenant building or in a multi-family residential building that is occupied by another.

For the purposes of this subsection J, cannabis odors shall be presumed to be persistent, offensive to individuals of normal sensitivity, and adversely impacting or 8/26/2025 16
unreasonably interfering with the use and enjoyment of property, if the city receives three or more verified complaints from individuals representing separate residences or places of business within the city of a persistent cannabis odor emanating from the subject property within a one- month time span. Nothing in this subsection shall be deemed to require three complaints before the city may initiate enforcement action. The city may determine that a public nuisance exists under this subsection J if less than three complaints are received or even if no complaints are received but city officials or employees notice odor conditions that violate this subsection J.

The City may initiate enforcement action either as a result of its direct observation of cannabis odors or in response to the receipt of three or more verified cannabis odor complaints within a one-month time span. Cannabis odor complaints may be verified by meteorological data, direct observation, or any other means that both: 1) establish the presence of nuisance cannabis odors in violation of this subsection; and 2) attribute the cannabis odors to a cannabis business or cannabis businesses. The city council shall establish fines, penalties, and other charges for violation of this subsection by resolution, which may be amended from time to time.

Notwithstanding any other provision of this Chapter, if a cannabis business with an approved odor control plan compliant with Sections 5.88 and 9.108 of the Cathedral City Municipal Code violates this subsection, the City may issue the business a written warning and the licensee shall take corrective action within ten days. The cannabis business shall submit a written statement at the end of the ten day period documenting the corrective actions taken. As part of the corrective action process, the cannabis business shall review and confirm the maintenance of its odor control equipment and shall review and confirm the measures contained within its approved odor control plan are being followed. As part of the corrective action process, the City may require a cannabis business to conduct a cannabis odor assessment using an odor assessment method acceptable to the City. The City may, at its discretion, grant a cannabis business additional time to implement additional corrective actions to mitigate nuisance cannabis odors, including the repair or replacement of cannabis odor control equipment or the installation of additional cannabis odor control equipment or other updates or modifications proposed through an amendment to a cannabis odor control plan. Upon reinspection, if a continued violation is observed, the City may issue the licensee an administrative citation for each day a violation continues.

If a cannabis business required to obtain approval of an odor control plan pursuant to Chapter 5.88 of the Cathedral City Municipal Code both violates this subsection J and fails to obtain approval of, comply with, or maintain an odor control plan, the City may issue an administrative citation. The cannabis business shall have 30 days to take corrective action to fully comply with all requirements of Chapters 5.88 and 9.108 of the Cathedral City Municipal Code.

The cannabis business shall be issued an administrative citation for each subsequent month the licensee fails to obtain approval of, comply with, or 8/26/2025 17
maintain an odor control plan. If a permittee receives three administrative citations under this paragraph within a 12-month period, those citations shall constitute good cause for denying a local license renewal or the suspension or revocation of a local license pursuant to Chapter 5.88 of the Cathedral City Municipal Code.

Prior to December 31, 2026, if a cannabis business violates this subsection and has not submitted or received approval of an odor control plan as required by Section 5.88.055(F), the cannabis business, regardless of its license renewal date, shall have 30 days to submit an odor control play complying with all requirements of Chapters 5.88 and 9.108 of the Cathedral City Municipal Code. The City may issue an administrative citation if a cannabis business in violation of this subsection fails to timely submit or obtain approval of an odor control plan. If a cannabis business violates this subsection based on engaging in cannabis activity that it is not licensed for, the City may issue an administrative citation and the citation shall constitute good cause for denying a local license renewal or the suspension or revocation of a local license pursuant to Section 5.88 of the Cathedral City Municipal Code.

Any person who violates any provision of this subsection is guilty of a misdemeanor.

SECTION 17. AMENDMENTS TO SECTION 3.48.020 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 3.48.020 of the Cathedral City Municipal Code is amended to update the list of definitions applicable to the City’s cannabis tax. All revised definitions shall be inserted into Section 3.48.020 in proper alphabetical order. The revised definitions are as follows:
"Cannabis" means all parts of the plant Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ru-deralis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. "Cannabis" also means the separated resin, whether crude or purified, obtained from marijuana. "Cannabis" also means marijuana as defined by Section 11018 of the Health and Safety Code as enacted by Chapter 1407 of the Statutes of 1972. "Cannabis" does not include the mature stalks of the plant, fiber pro-duced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination, nor paraphernalia used to consume cannabis products. For the purpose of this chapter, "cannabis" does not mean "industrial hemp" as defined by Section 81000 of the Food and Agricultural Code or Section 11018.5 of the Health and Safety Code.
"Cannabis business" means any person engaged in commercial cannabis activity, including cultivation, possession, manufacture, processing, storing, laboratory testing, labeling, transporting, distribution, or sale of cannabis or a product containing cannabis. A cannabis 8/26/2025 18
business does not include any business whose activities are limited exclusively to the production or sale of cannabis accessories.
"Cannabis concentrate" means cannabis that has undergone a process to concentrate the cannabinoid active ingredient, thereby increasing the product's potency. Types of cannabis concentrate include, but are not limited to, hash, butane hash oil, CO2 oil, kief, dry sift, Rick Simpson oil, and rosin. A cannabis concentrate is not considered food, as defined by Section 109935 of the Health and Safety Code, or a drug, as defined by Section 109925 of the Health and Safety Code.
"Cannabis cultivation space" means the gross square footage of any building, facility or site, including any limited access area, where cannabis cultivation and related activities occur. Cannabis cultivation space includes, without limitation, areas used for growing, planting, seeding, germinating, lighting, warming, cooling, aerating, fertilizing, watering, irrigating, tipping, pinching, cropping, curing or drying cannabis, and areas used for storing products, supplies or equipment related to any such activities. Cannabis cultivation space does not include any part of a building, facility or site where cannabis cultivation and related activities occurs that is used for cannabis business activities that are separately taxed under this chapter.
"Dispensary" means a facility where cannabis, cannabis concentrate, cannabis extracts, and cannabisinfused products are sold, or devices for the use of cannabis, cannabis concentrate, cannabis extracts, and cannabisinfused products are offered, either individually or in any combination, for retail sale, and may also include the sale of devices for the use of cannabis, cannabis concentrate, cannabis extracts, and cannabis-infused products, including an establishment that delivers cannabis and cannabis products as part of a retail sale.
"Gross receipts" except as otherwise specifically provided, means the total amount actually received or receivable from all sales; membership dues; reimbursements; the total amount or compensation actually received or receivable for the performance of any act or service, of whatever nature it may be, for which a charge is made or credit allowed, whether or not such act or service is done as a part of or in connection with the sale of cannabis and cannabis products; the monetary value of in-kind contributions; discounts, rents, royalties, fees, commissions, dividends, and gains realized from trading in stocks or bonds, however designated. Included in "gross receipts" shall be all receipts, cash, credits and property of any kind or nature, without any deduction therefrom on account of the cost of the property sold, the cost of materials used, labor or service costs, interest paid or payable, or losses or other expenses whatsoever, except that the following shall be excluded therefrom: (1) cash discounts allowed and taken on sales; (2) credit allowed on property accepted as part of the purchase price and which property may later be sold, at which time the sales price shall be included as gross receipts; (3) any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser; (4) such part of the sale price of any property returned by purchasers to the seller as refunded by the seller by way of cash or credit allowances or return of refundable deposits previously included in gross receipts; (5) receipts from investments where the holder of the investment receives only interest and/or dividends, royalties, annuities and gains from the sale or exchange of 8/26/2025 19
stock or securities, provided such items are directly derived exclusively from the investment of capital and not from the sale of property other than financial instruments, or from the provision of services, to any person; (6) receipts derived from the occasional sale of used, obsolete or surplus trade fixtures, machinery or other equipment used by the cannabis business in the regular course of the cannabis business' business; (7) whenever there are included within the gross receipts amounts which reflect sales for which credit is extended and such amount proved uncollectible in a subsequent year, those amounts may be excluded from the gross receipts in the year they prove to be uncollectible; provided, however, if the whole or portion of such amounts excluded as uncollectible are subsequently collected, they shall be included in the amount of gross receipts for the period when they are recovered; (8) receipts of refundable deposits, except that such deposits when forfeited and taken into income of the business shall not be excluded when in excess of one dollar; (9) amounts collected for others where the business is acting as an agent or trustee and to the extent that such amounts are paid to those for whom collected; (10) credit and debit card processing fees, provided such fees are separately stated and not retained by the cannabis business. These agents or trustees must provide the finance department with the names and the addresses of the others and the amounts paid to them. This exclusion shall not apply to any fees, percentages, or other payments retained by the agent or trustees.

SECTION 18. AMENDMENTS TO SECTION 3.48.070 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 3.48.070(C) of the Cathedral City Municipal Code is amended to increase the frequency of the requirement to review and report the total amount of revenue raised from the cannabis tax, as follows:

C. The city manager or the city manager's designee shall review the cannabis taxes imposed by this chapter on a quarterly basis and convene a meeting and/or publish a report/minutes detailing the total amount of revenue raised from the cannabis tax. The city manager or the city manager's designee shall annually review the cannabis taxes imposed by this chapter and publish a report detailing the total amount of revenue raised from the cannabis tax.

SECTION 19. AMENDMENTS TO SECTION 3.48.080 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 3.48.080 of the Cathedral City Municipal Code is amended to make minor modifications to the returns and remittance requirements for the purpose of clarifying existing requirements and creating internal consistency, as follows:

The tax shall be due and payable as follows:

A. All cannabis businesses subject to this chapter shall, on or before the last day of the month following the close of each calendar month, or such different reporting period as may be established by the city manager or the city manager's designee, file a tax return with the city manager or the city manager's designee on forms provided by the 8/26/2025 20
city manager or the city manager's designee, of the amount of tax owed for the reporting period preceding calendar month.

B. The return shall be filed whether or not taxes are owed during the month.

C. Each such return shall contain a declaration under penalty of perjury, executed by the cannabis business or authorized agent, that to the best of the signatory's knowledge, the statements in the return are true, correct and complete.

D. At the time the return is filed, the full amount of the tax owed for the reporting period preceding calendar month shall be remitted to the city manager or the city manager's designee.

E. Returns and accrued tax payments are due immediately upon cessation of business for any reason.

F. Returns and taxes not received by the city manager or the city manager's designee on or before the due date as provided in this section are delinquent and subject to the penalties imposed under Section 3.48.090.

G. Returns filed and taxes remitted by mail shall be deemed timely filed only if the envelope or similar container enclosing the returns and taxes is addressed to the city manager or the city manager's designee, has sufficient postage, and bears a United States postmark or a postage meter imprint prior to midnight on the last day for reporting and remitting without penalty. If the envelope or other container bears a postage meter imprint as well as a United States Post Office cancellation mark, the latter shall govern in determining whether the filing and remittance are timely. If the city manager is provided with credible evidence that a return or payment was deposited in the United States mail on or before the required due date, the city manager may, at their discretion, consider the filing or remittance to have been made on time.

H. The city manager or the city manager's designee is not required to send a delinquency or other notice or bill to any person subject to the provisions of this chapter; and failure to send such notice or bill shall not affect the validity of any tax or penalty due under the provisions of this chapter.

SECTION 20. AMENDMENTS TO SECTION 3.48.090 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 3.48.090 of the Cathedral City Municipal Code is amended to make minor modifications for the purpose of clarifying existing requirements, as follows:

A. Any person who fails or refuses to pay any tax required to be paid pursuant to this chapter on or before the due date shall pay penalties and interest as follows:

1. A penalty equal to twenty-five percent of the amount of the tax in addition to the amount of the tax, plus interest calculated from the due date on the total unpaid balance, including tax and penalty. 8/26/2025 21

1. A penalty equal to twenty-five percent of the amount of the tax in addition to the amount of the tax, plus interest on the unpaid tax calculated from the due date of the tax at a rate established by resolution of the city council. ; and

2. An additional penalty equal to twenty-five percent of the amount of the tax if the tax remains unpaid for a period exceeding one calendar month beyond the due date, plus interest on the unpaid tax and interest on the unpaid penalties calculated at the rate established by resolution of the city council.

B. Whenever a check is submitted in payment of a tax and the check is subsequently returned unpaid by the bank upon which the check is drawn, and the check is not redeemed prior to the due date, the cannabis business will be liable for the tax amount due plus penalties and interest as provided for in this section plus any additional banking fees or charges any amount allowed under state law.

C. The tax due shall be that amount due and payable from January 1, 2014 or the first date on which the cannabis business first operated in the city, whichever date occurred last, together with applicable penalties and interest calculated in accordance with subsection A of this section.

D. The city manager may waive the first penalty and second penalties of twenty-five percent each imposed upon any person if:

1. The person provides evidence satisfactory to the city manager that failure to pay timely was due to circumstances beyond the control of the person and occurred notwithstanding the exercise of ordinary care and the absence of willful neglect, and the person paid the delinquent business tax and accrued interest owed the city prior to applying to the city manager for a waiver.

2. The waiver provisions specified in this subsection shall not apply to interest accrued on the delinquent tax and a waiver shall be granted only once to the same person or entity during any twenty-four-month period.

SECTION 21. AMENDMENTS TO SECTION 3.48.100(D) OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE
Section 3.48.100(D) of the Cathedral City Municipal Code is amended to strike reference to a form, as follows:

D. Whenever the amount of any tax, penalty, or interest has been overpaid, paid more than once, or has been erroneously or improperly collected or received by the city under this chapter, the overpayment may be refunded as provided in subsections (E) and (F), provided a claim in writing under penalty of perjury stating the specific grounds upon which the claim is founded is filed with the city manager or the city manager's designee within three years of the date of payment. The claim shall be on forms available from the city manager or the city manager's designee. 8/26/2025 22
SECTION 22. AMENDMENTS TO CHAPTER 3.48 OF THE CITY OF CATHEDRAL

CITY MUNICIPAL CODE
Chapter 3.48 of the Cathedral City Municipal Code is amended to add a new Section

3.48.140 for the purpose of regulating tax payment arrangement agreements, as follows:
§ 3.48.140 Tax Payment Arrangements.

The City finds that authorizing tax payment arrangement agreements (“agreements”) with individuals or entities delinquent in cannabis-related tax payments serves the best interests of the City. These agreements offer a practical means of enhancing tax recovery efforts while also affording taxpayers a pathway to financial recovery and future compliance.

A. The City Manager, or designee, may offer tax payment arrangements to individuals or businesses with outstanding cannabis-related tax obligations.

B. The City Manager, or designee, shall have the sole authority to negotiate, execute and bind the City into a tax payment arrangement agreements, and any amendments thereto, for the full amount of the taxes owed.

C. The tax payment arrangement agreement shall be prepared to the satisfaction of the City Manager, or designee. The City Attorney shall review and approve the agreement and any amendments as to form.

D. Entering into a payment agreement does not prevent the City from pursuing any other methods it deems necessary to recover unpaid taxes.

E. A single tax payment arrangement agreement may be authorized and maintained per ownership associated with a cannabis license. In the event of a change in ownership, any existing agreement may be deemed void at the sole discretion of the City Manager, or designee.

SECTION 23. AMENDMENTS TO SECTION 9.108.080 OF THE CITY OF

CATHEDRAL CITY MUNICIPAL CODE TO LIMIT CANNABIS CULTIVATION CANOPY AREA
Section 9.108.080 of the City of Cathedral City Municipal Code is amended to add a new condition of approval (5) to subsection (C) to restrict the total canopy area to a maximum of 22,000 square feet, as follows:

5. The total area of the premises designated/used for the cultivation canopy shall not be more than 22,000 square feet for every conditional use permit application approved.

SECTION 24. CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) Adoption of this ordinance is exempt from the requirements of the CEQA and is not considered a project under Division 13 (commencing with Section 21000) of the California Public Resources Code.
8/26/2025 23
SECTION 25. SEVERABILITY
If any chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion of this ordinance, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision will not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have adopted this ordinance, and each chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

SECTION 26. POSTING
The City Clerk shall, within fifteen (15) days after passage of this Ordinance, cause it to be posted in at least three (3) designated public places; shall certify to the adoption and posting of this Ordinance; and shall cause this Ordinance and its certification, together with proof of posting, to be entered in the Book of Ordinances of this City.

SECTION 27. MORATORIUM
Urgency Ordinance No. ______________, imposing a temporary moratorium on the approval of licenses, permits, approvals, or other entitlements for use, including any modification thereof, for cannabis businesses, within the City of Cathedral City is hereby repealed as of the effective date of this Ordinance.

SECTION 28. CERTIFICATION
The foregoing Ordinance was approved and adopted at a meeting of the City Council held on the ____ day of _____________, 2025, by the following vote:

Ayes:

Noes:

Abstain:

Absent:
___________________________
Nancy Ross, Mayor
ATTEST:
____________________________
Tracey Hermosillo, City Clerk
8/26/2025 24
APPROVED AS TO FORM:
____________________________
Eric S. Vail, City Attorney
Staff Report
City Council
Item No. 5.A
Meeting Date: September 24, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Ordinance Amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to Update the Cannabis Tax, Cannabis Licensing and Zoning Regulations, and Enforcement Provisions
RECOMMENDATION:

Find that the Zoning Ordinance Amendment 25-0004 is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(B)(3) and introduce an ordinance amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to substantially update the cannabis tax, cannabis licensing and zoning regulations, and enforcement provisions.

BACKGROUND:

On January 22, 2025, the Cathedral City Council enacted a 45-day initial moratorium on new cannabis conditional use permits and cannabis licenses in response to a large increase in cannabis odor complaints in 2024 and continuing into 2025. This moratorium was extended by 10 months and 15 days on February 26, 2025.

The January 22, 2025 and February 26, 2025 City Council staff reports supporting the moratorium include a thorough account of the cannabis odor complaints that led to the adoption of a moratorium; an account of the existing cannabis businesses within the City; and an overview and assessment of the City’s current cannabis regulations. The February 26, 2025 staff report began to identify those areas where further research was needed and the initial scope of an ordinance update, including:
 Definitions and standards in the cannabis regulations, including the thresholds for an odor violation;
 Requirements for a separate odor control plan to be submitted as part of a cannabis permit or license;
 Enforcement provisions, including the maintenance of an approved odor control plan and a well-articulated enforcement process for odor violations;  Fines and penalties for non-compliance with an approved odor control plan; and  An evaluation of the allowances for cultivation, manufacturing, and distribution sites as a conditional use in the PCC zoning district together with the locational requirements from the RR zoning district.

Both the January 22, 2025 and the February 26, 2025 staff reports and presentations are attached for reference.

An interim update was presented to the City Council on April 23, 2025, detailing the research performed up to that point and outlining the City’s next steps, including consultant support to identify those best practices and odor control requirements the City should model in an amendment to its cannabis regulations. The April 23, 2025 City Council staff report and presentation are attached.

The research included a continued review of the City’s current cannabis regulations. It also encompassed a review of all 84 California cities and counties that allow indoor cultivation, focusing on a subset of 15 cities and 3 counties, including those with licensed large indoor cultivation licenses through the Department of Cannabis Control (five are in Oakland, one is in Richmond, and one is in Cathedral City). The staff led research focused on a set of 11 questions:

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

3. Are there separation requirements between cannabis uses?

4. Are there limits on either the number or size of cannabis uses?

5. What is the definition of a nuisance cannabis odor?

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?

11.Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
The April 23, 2025 City Council staff report and attachments provide detailed analysis of these questions among the peer cities and counties. The initial research reveals that while there are some models for odor control permit processes and stronger enforcement, no city or county is at the forefront of cannabis regulation. No city or county has adopted objective cannabis odor standards and most rely on reactive and subjective odor measurements for enforcement.

Following the April 23, 2025 update to the City Council, a scope of work was released to four consulting firms with experience in the cannabis industry to support the development and implementation of an update to the cannabis ordinance, including:
 Regulatory review and best practices assessment
 Odor control technology evaluation
 Odor control permitting process
 Inspection and verification protocols
 Stakeholder engagement and presentations
 Training
The City contracted with SCS Engineers to provide additional support to staff. SCS Engineers prepared a comprehensive report for the City titled “Cathedral City – Regulatory Review – Cannabis Odor Control”, a report that provided substantial support for the creation of an odor control permitting process together with checklists and inspection forms. The SCS Engineers report is attached for reference.

Following the research performed by City staff and the development of a report by SCS Engineers, a comprehensive ordinance amending the Cathedral City Municipal Code, including the zoning ordinance, was prepared. This ordinance amends the licensing (chapter

5.88), permitting and zoning (chapter 9.108 and section 9.30.030), and enforcement (section

13.80.240) regulations related to cannabis uses and to amend various sections of the Municipal Code relating to administrative fines contained in titles 1, 3, 5, 8, 9, 11 and 14).

DISCUSSION:

Updated Cannabis Zoning Regulations
The proposed changes to Cathedral City’s zoning regulations affect the issuance of new conditional use permits for cannabis businesses within the City. The proposed changes would not affect existing businesses that already have an approved conditional use permit.

The proposed changes include:
 Cannabis cultivation is proposed to be removed as a conditional use within the Planned Community Commercial (PCC) zoning district (Section 9 of the draft ordinance). Existing cultivation businesses in the PCC zoning district would become legal non-conforming uses. Cultivation would remain a conditional use in the Commercial Business Park (CBP-2) and Light Industrial (I-1) zoning districts.  A 300-foot separation requirement is proposed to be added between cultivation, manufacturing, and distribution sites and any property zoned Resort Residential (RR) in the same manner that the uses are separated from residential zoning districts (Section 10 of the draft ordinance).
 The standard conditions of approval for a cannabis conditional use permit are proposed to be modified to require an odor control plan (Section 11 of the draft ordinance).

Odor Control Plan Requirements
The City does not currently require odor control plans and instead relies on a standard condition of approval through a conditional use permit requiring an odor absorbing ventilation and exhaust system be installed and maintained. The same condition is applied to all cannabis conditional use permits regardless of the type of business. The proposed changes require odor control plans for all cannabis business and incorporate a performance-based approach for their design and preparation such that cannabis odors are not detected off-site.

More specifically:
 Odor control plans are proposed as a new section of the cannabis licensing code (Section 8 of the draft ordinance). The implementation of this section is proposed to be based on the type of use, with varying submittal and content requirements for: 1) cultivation and manufacturing; 2) retail, distribution, and testing laboratories; and 3) lounges. Example submittal and content checklists are included in Appendix E of the SCS Engineers report. The review of an odor control plan is proposed to evaluate its effectiveness to mitigate cannabis odors.  The cannabis license renewal regulations are proposed to be modified to require existing cannabis businesses to obtain approval of an odor control plan as a requirement of their local license renewal beginning January 1, 2026. Should an odor control plan identify any additionally required odor control equipment, the equipment would need to be installed and operational within 6 months of the local license renewal application date and no later than December 31, 2026 (Section 4 of the draft ordinance).
 The operational requirements for cannabis businesses are proposed to be amended to require all required odor control equipment be installed and operational prior to the commencement of operations and to further require that it be maintained (Section 5 of the draft ordinance). The requirements are further proposed to be amended to require meteorological sensors for all cultivation and manufacturing sites to assist the City in the tracking of the source of nuisance odors.

Enforcement
The current enforcement provisions declare persistent cannabis odors offensive to individuals of normal sensitivity and odors which adversely impact or unreasonably interfere with the use and enjoyment of property and odors that emanate across a property line a public nuisance. The proposed changes maintain this enforcement standard while establishing an enforcement process centered on an odor control plan. More specifically:
 Following the initiation of enforcement action, cannabis businesses with an approved odor control plan are proposed to have a period of 10 days to take corrective action (Section 16 of the draft ordinance). This is further proposed to require a business to submit a statement documenting the corrective actions it has taken, including confirmation that the measures contained within its approved odor control plan are being followed. As part of the corrective actions, the proposed changes stipulate that the City may require a cannabis business to conduct a cannabis odor assessment. If a violation persists after corrective actions have been taken by a business and upon reinspection by the City, an administrative citation may be issued.
 The proposed changes outline a separate enforcement process for cannabis businesses with odor violations that have failed to obtain approval of, comply with, or maintain an odor control plan, which may lead directly to an administrative citation and may constitute a finding of good cause for denying a local license renewal or the suspension or revocation of a local license (Section 16 of the draft ordinance).
 Currently, the fines for an administrative citation for cannabis nuisance odors are set at $100 for a first violation, $250 for a second violation, and $500 for a third and any subsequent citation within a 12-month period. The proposed changes allow the City Council to set a greater administrative fine by resolution.

Provisions Not Included in Draft Ordinance
Nearly all the recommendations made by SCS Engineers through their report have been incorporated into the draft ordinance. The limited exceptions include increasing the buffer from residential areas to 1,000 feet (up from 300 feet) and a separation requirement of 500 feet between licensed businesses where there currently is no separation requirement.

Staff has analyzed the effect of these and found that they would create multiple nonconformities while not substantially improving the nuisance cannabis odor issue or the conflicts between cultivation and residential uses. A GIS map analyzing a 1,000-foot separation requirement between cultivation and manufacturing uses and residential areas is attached. While the analysis was analyzed from an address point and not actual building footprints, as the Cathedral City Municipal Code measures the separation requirements, it reveals that the Perez Road corridor is in close proximity to several residential zones, including chose comprising Cathedral Canyon Country Club, Date Palm Country Club, Cathedral Palms RV Resort, and Nirvana Estates (under construction).

The proposals to remove cultivation as a conditional use in the PCC zoning district and to further add a 300-foot separation requirement between cultivation and the RR zoning district more directly address the conflict between incompatible uses and would have the effect of restricting cultivation largely to the Perez Road corridor and the Bankside Drive and Sunair Plaza industrial park. These would both create non-conformities on their own, although significantly less than a 1,000-foot separation requirement.

GIS maps evaluating the impacts of these changes are also attached.

There are five existing cultivation businesses that would become legal non-conforming uses through the elimination of cultivation and manufacturing as a conditional use in the PCC zoning district, including businesses: in Canyon Plaza Shopping Center (Target); adjacent to the former Barracks Bar; across Date Palm Drive from the Cathedral City Market Place; in the same building as Palm Springs Lanes; and C4 Industry on Ramon Road.

An alternative to the complete removal of cultivation as a conditional use in the PCC zoning district is to restrict the size of total canopy of cultivation. Of the five cultivation businesses in the PCC zoning district, one is licensed by the state as a large indoor cultivation license, defined as a cultivation site with more than 22,000 square feet of total canopy; two are licensed as medium indoor cultivation licenses, defined as a cultivation site with between 10,001 and 22,000 square feet of total canopy; and two are licensed as specialty indoor cultivation licenses, defined as a cultivation site with between 501 and 5,000 square feet of total canopy.

A total canopy limit of 10,000 square feet as a conditional use in the PCC zoning district, for example, would permit small indoor cultivation (between 5,001 and 10,000 square feet of total canopy), specialty indoor cultivation, and specialty cottage indoor licenses, as defined by the Department of Cannabis Control and it may permit microbusinesses. The Department of Cannabis Control defines a cannabis microbusiness as a state license engaged in at least three commercial cannabis activities, including: cultivation, manufacturing, distribution, and retail sales. The City issues each of these licenses individually, not as a microbusiness license. The removal of cultivation and manufacturing as a conditional use in the PCC zoning district would not allow a state licensed cannabis microbusiness to operate in the PCC zoning district.

In the same way the City has seen conflict between cannabis odor and residential areas generated by cannabis cultivation, there remains a possibility that cannabis cultivation in a multi-tenant building in the PCC zoning district could generate complaints from other tenants within the building, particularly with larger canopies. Through the City’s research of cannabis regulations in other cities and counties, staff found that cultivation uses are typically restricted to industrial zones and are not permitted within commercial zoning districts. For these reasons, the proposed ordinance has been prepared to remove cultivation as a conditional use in the PCC zoning district.

The proposed ordinance does not address AB 1775, a new amendment to the state cannabis law, which took effect January 1, 2025. For jurisdictions that allow cannabis lounges, AB 1775 grants those jurisdictions the authority to allow retail food and beverage sales and live entertainment, including the sale of ticketed events. While the proposed ordinance makes comprehensive changes to the City’s cannabis regulations, there has been no policy discussion or direction on AB 1775. If there is a desire to evaluate expanded opportunities for cannabis lounges, staff recommends this be considered as a separate ordinance.

Updates Since the Public Release of the Draft Ordinance in July 2025 Based on additional staff review and feedback from the City’s cannabis consultant, the ordinance has been modified since it was released for public comment in July 2025. In addition to a reordering and renumbering of the sections, the changes include:
 The addition of sections to make changes to promote the efficient administration of Chapters 3.48 and 5.88 of the Cathedral City Municipal Code;  Minor corrections throughout the ordinance;
 The addition a requirement to bring local cannabis taxes current prior to renewing a local license and the addition of an operational requirement for the renewal of a dispensary license in Section 4;
 The deletion of specific references to a cannabis odor assessment performed by a field olfactometer and the revision of the same section to indicate the City may require a cannabis business to conduct a cannabis odor assessment using a method acceptable to the City in Section 16;
 The deletion of certain penalties and the addition of language clarifying a cannabis business’ responsibility for the payment of any additional banking fees or charges in Section 20; and
 The addition of a new section for the purpose of regulating tax payment arrangement agreements in Section 22.

Environmental Review:

The project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3), referred to as the commonsense exemption which states that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Public Notification:

This project was noticed in accordance with the Government Code statute requiring public notice to be provided a minimum of 10 days prior to the public hearing.

The draft ordinance was posted on the City’s website on July 17, 2025 and shared electronically with a cannabis odor update distribution list, the Coachella Valley Cannabis Alliance Network (CVCAN), and all email contacts on a local cannabis license. As a result of this outreach, comments received by the City are attached.

Cannabis Task Force:

The Cannabis Task Force met and discussed the proposed ordinance on August 18, 2025 and recommended its approval to City Council on a 5-1 vote. The draft Cannabis Task Force meeting minutes are provided as Attachment 9.

Planning Commission:

The Planning Commission met and discussed the proposed ordinance on August 20, 2025 and recommended its approval to City Council on a 4-1 vote. The Planning Commission discussed various alternatives, including increasing the separation requirements from residential zones and adding separation requirements between existing uses. While the City’s consultant has recommended these additional measures, the Planning Commission chose not to include them in their motion. The Planning Commission motion included the addition of Section 23 of the ordinance limiting the cannabis cultivation canopy area to a maximum of 22,000 square feet as a condition of approval on future conditional use permits.

Amendment To Fee Resolution:

On April 23, 2025, the City Council conducted a public hearing and adopted by resolution an update to the City’s master schedule of user and regulatory fees. As was established in the prior staff report, all fees should bear a fair and reasonable relationship to the payer’s burdens on, or benefits received from, the activities and/or services provided by the City.

The study prepared for the fee update examined multiple fee categories, including those for entitlement and post-entitlement application review and permitting review of new construction or modifications to existing structures, and analyzed the full cost of service against the City’s goals for cost recovery.

The review of an odor control plan was not contemplated when the fee update was prepared.

Nonetheless, a similar methodology can be applied to set the review fee for an odor control plan and the annual certification of an odor control plan. Any cost incurred by the City through a third-party review of an odor control plan together with the City staff time reviewing or administering the review of an odor control plan or performing related inspections on a cannabis business constitute the cost to the City to perform the review of an odor control plan.

Based on the complexity of the review and the specialized skillset and knowledge needed to determine whether an odor control plan appropriately and effectively proposes controls to mitigate cannabis odors, including a review of the odor emitting activities or processes and methods of odor control, staff recommends that odor control plans for cultivation, manufacturing, and consumption lounges, all of which have the potential for greater odor emissions, be reviewed by a third-party. City staff would still incur time processing and issuing approval of an application and would still conduct inspections to verify the installation of any required cannabis odor control equipment as part of an odor control plan application for a cultivation, manufacturing, or consumption lounges use. The anticipated City staff time is four hours per application.

SCS Engineers has provided the City a cost of $3,500 to review an odor control plan. The April 23, 2025 fee study set an hourly rate of $191 for an associate planner. While multiple staff are involved in the review of cannabis applications and licenses, the planning staff has a primary role because of their experience working an application through a conditional use permit process and establishing the conditions of approval. The anticipated City staff time is four hours per application for a cost of $764, covering the full review and processing of an odor control plan or annual certification and inspection. In total, the combined fee to review an odor control plan for a cultivation, manufacturing, or consumption lounge is $4,264.

Staff recommends the review of an odor control plan for a retail dispensary, distribution, or testing lab, uses that generate less odor emissions, be reviewed by City staff. Also, staff recommends the annual certification of an odor control plan be led by City staff, a process that includes a review and verification of information submitted by a cannabis business and an inspection. The fee to review an odor control plan for retail dispensary, distribution, or testing lab is $764.

Staff has prepared an amendment to the fee resolution, provided as Attachment 11, to establish fees for the review of an odor control plan and an annual certification of an odor control plan. The fees do not exceed the reasonable cost of review of an odor control plan or annual certification. For the meeting on September 24, 2025, the fee resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

Fine Resolution:

The proposed ordinance, while focused on cannabis issues and concerns, repeals and consolidates multiple sections of existing code into a single section, establishing a default fine for administrative fines and authorizing the City Council to establish different fines by resolution. Attachment 12 proposes an administrative fine schedule implementing the proposed provisions of Section 13.58.020 and listing those fines that are different than the default fine, including an administrative fine for cannabis odor violations under Cathedral City Municipal Code Section 12.80.240(J). It also includes the existing administrative fine for a violation of Section 5.94.030 on plastic beverage straws. Should the City set administrative fines in the future that are different than its default fines, those would be an amendment to the administrative fine schedule adopted by resolution.

Cathedral City’s fines for short-term vacation rentals were most recently established by Resolution No. 2022-14. The proposed resolution has no bearing or effect on Resolution No. 2022-14 and the City’s short-term vacation rental fines.

For the meeting on September 24, 2025, the fine resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

FISCAL IMPACT:

In order to renew a Cannabis license, the odor control plan will be required. It is anticipated the cost for city staff and third-party vendor time will be offset by the Cannabis odor control plan fees.

With 34 cultivation, manufacturing and consumption lounge operating licenses, the fiscal impact for the Planning’s professional services budget will be $59,500/year (100-100-150- 152-8600-8601).

FIVE-YEAR STRATEGIC PLAN:

F-17 – Review and update, as needed, our ordinances, policies, and practices regarding cannabis.

ATTACHMENTS:

1. Attachment 1 – Ordinance

2. Attachment 2 – January 22, 2025 City Council staff report with attachments

3. Attachment 2a – January 22, 2025 City Council presentation

4. Attachment 3 – February 26, 2025 City Council staff report with attachments

5. Attachment 3a – February 26, 2025 City Council presentation

6. Attachment 4 – April 23, 2025 City Council staff report with attachments

7. Attachment 4a – April 23, 2025 City Council presentation

8. Attachment 5 – SCS Engineers report “Cathedral City – Regulatory Review – Cannabis Odor Control

9. Attachment 6 – GIS analysis

10.Attachment 7 – Public hearing notice

11.Attachment 8 – Public comments

12.Attachment 9 – August 18, 2025 Cannabis Task Force meeting minutes

13.Attachment 10 – August 20, 2025 Planning Commission meeting minutes

14.Attachment 11 – Amendment to fee resolution

15.Attachment 12 – Consolidated fine resolution
Staff Report
City Council
Item No. 5.A
Meeting Date: January 22, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Urgency Ordinance Adopting A 45-Day Interim Moratorium on the Approval of New Cannabis Licenses and New Cannabis Conditional Use Permits and the Issuance of Building Permits for the Build-out or Expansion of New Cannabis Businesses
RECOMMENDATION:

Staff recommends approval of the urgency ordinance adopting a 45-day initial moratorium on the approval of new cannabis licenses and conditional use permits and the issuance of building permits for the build-out or expansion of new cannabis businesses.

BACKGROUND:

On October 25, 2017, the City Council adopted Ordinance Nos. 800 and 801 establishing a set of regulations allowing adult-use cannabis businesses to operate within the City. These regulations were created to provide the public with a clear understanding of the process for obtaining City approval to operate a cannabis business within the City. These regulations were codified within the Cathedral City Municipal Code in chapters 5.88 and 9.108 and have been amended since their adoption, with the last amendment in 2022.

Chapter 5.88 provides for the regulation and licensing of medical and adult-use cannabis business throughout the City in conformance with applicable state and local laws and regulation pertaining to medicinal and adult use cannabis.

Chapter 9.108, as currently codified is contained in Title 9 of (Zoning Ordinance) of the Municipal Code, regulates cannabis business land uses, including the zone districts where cannabis uses are permitted, as authorized by section 26200 of the California Business and Professions Code, in a manner designed to minimize negative impacts on the City and neighboring uses, and to promote the health, safety, morals, and general welfare of residents and businesses within the City.

The City currently has 64 cannabis businesses with 105 licenses comprised of 46 operating businesses with 67 licenses and 16 non-operational businesses with 38 licenses.

DISCUSSION:

In April 2024, Cathedral City began experiencing a higher number of cannabis odor complaints. Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor reports. Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024. These complaints frequently cite the interference with the use and enjoyment of their property.

The complaints concerning cannabis odors were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road with the balance of complaints pertaining to businesses located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza.

Despite staff efforts to manage the complaints through additional inspections of cannabis businesses, increased proactive patrols, and specific actions by cannabis businesses to mitigate odors, the City has seen an increase in the number of cannabis odor complaints.

While there are likely multiple reasons for this, not all of which have been identified at this point, there are two explanatory factors that stand out: 1) a 325,000 square foot cannabis cultivation use started operations in 2024 in the vicinity of Date Palm Drive and Ramon Road; and 2) the City has a large concentration of cannabis businesses located off of located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza.

The large cannabis cultivation use was conditioned to provide an odor absorbing ventilation and exhaust system that prevents internal odor from being emitted externally. They have been required by the City to install additional odor mitigation, including a fogging system, which was installed on November 29, 2024. The City has continued to receive cannabis odor complaints related to this business since the installation of the fogging system.

The concentration of cannabis businesses off Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza has presented challenges with respect to identifying the source of a complaint. Collectively, the cumulative volume of complaints citing the interference with the use and enjoyment of property and the limited effect actions to date have had in mitigating these complaints necessitate a review of the City’s cannabis regulations, with particular emphasis on zoning, odor control, and enforcement.

California Government Code section 65858 provides statutory authority for interim ordinances prohibiting uses that may conflict with a contemplated general plan, specific plan or zoning proposal that the city is studying or plans to study. An interim ordinance, commonly called a moratorium, imposes temporary land use controls based on a documented, current and immediate threat to public health, safety, and welfare. An interim ordinance protects and promotes the planning process by prohibiting the introduction of potentially nonconforming land uses that could defeat or impair a later adopted general plan or zoning ordinance.

Procedurally, such an ordinance may be adopted initially without a public hearing following a 4/5 vote of the legislative body. The initial moratorium lasts for 45 days. After notice and a public hearing, the ordinance may be extended, again with a 4/5 vote, for an additional 10 months and 15 days.

Thereafter, the ordinance may be extended for one additional year, again with a 4/5 vote.

No more than two extensions may be adopted. The City Council cannot adopt or extend any interim ordinance unless the ordinance contains a finding that there is a current and immediate threat to the public health, safety or welfare, and that the approval of applicable land use entitlements would result in that threat to public health, safety or welfare. Ten (10) days prior to the expiration of such an ordinance or any extension, a written report is to be issued describing the measures taken to alleviate the condition that led to the adoption of the ordinance.

The adoption of the urgency ordinance would allow the City to begin an assessment of its cannabis regulations, including those on zoning, odor control, and enforcement. It is not expected that this full evaluation will occur within the initial moratorium period but rather the period will be used to develop a comprehensive strategy, including future public outreach and engagement with the cannabis industry and engagement with the Cannabis Task Force and the Planning Commission. This strategy will be presented at the February 26, 2025, City Council meeting together with an extension of the moratorium.

The urgency ordinance is written to prohibit new cannabis licenses and conditional use permit applications for all cannabis business types while the moratorium is in effect together with the issuance of new building permits that would permit the build-out and development of an approved cannabis license and conditional use permit where no building permit had been previously issued. The urgency ordinance excludes the renewal or transfer of existing cannabis licenses, except where the transfer is to a new location without an approved conditional use permit or where the transfer proposes an amendment or modification to an approved conditional use permit, such as for an expansion or a change in use. It also excludes the issuance of building permits to existing cannabis businesses with an approved cannabis license and conditional use permit where the building permit does not involve the build-out or expansion of the use but rather pertains to the ordinary use and maintenance of the business.

FISCAL IMPACT:

N/A
FIVE-YEAR STRATEGIC PLAN:

F-11 – Implement a code compliance program that proactively identifies and responds to code compliance complaints
ATTACHMENTS:

1. Interim Urgency Ordinance
1 4922-1190-7599 v5
ORDINANCE NO. _____

AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF THE

CITY OF CATHEDRAL CITY, CALIFORNIA, ADOPTING AND

IMPOSING A TEMPORARY MORATORIUM ON THE APPROVAL OF

LICENSES, PERMITS, APPROVALS, OR OTHER ENTITLEMENTS FOR

USE, INCLUDING ANY MODIFICATION THEREOF, FOR CANNABIS

BUSINESSES
WHEREAS, the City of Cathedral City has consistently worked to encourage economic development and to maintain the economic vitality of the community by encouraging development that provides significant tax revenue to the City and that provides significant employment opportunities for City residents wherever possible; and WHEREAS, the City of Cathedral City has attempted to balance various land uses to accomplish these goals; and
WHEREAS, On October 25, 2017, the City Council adopted Ordinance Nos. 800 and 801 establishing a set of regulations allowing adult-use cannabis businesses to operate within the City, and, further, the City established administrative rules and regulations dated December 28, 2017, that implement such ordinances (“Cannabis Regulations”).

The Cannabis Regulations were created to provide the public with a clear understanding of the process for obtaining City approval to operate a Cannabis Business within the City, and were codified within the Cathedral City Municipal Code (“Code”) in Chapters 5.88 and 9.108 and have been amended since their adoption, with the last amendment in 2022; and
WHEREAS, Chapter 5.88 provides for the regulation and licensing of medical and adultuse cannabis business throughout the City in conformance with applicable state and local laws and regulation pertaining to medicinal and adult use cannabis; and WHEREAS, Chapter 9.108, as currently codified is contained in Title 9 of (Zoning Ordinance) of the Code, regulates cannabis business land uses, including the zone districts where cannabis uses are permitted, as authorized by section 26200 of the California Business and Professions Code, in a manner designed to minimize negative impacts on the City and neighboring uses, and to promote the health, safety, morals, and general welfare of residents and businesses within the City; and WHEREAS, the City currently has 64 cannabis businesses with 105 licenses comprised of 46 operating businesses with 67 licenses and 16 non-operational businesses with 38 licenses; and
WHEREAS, in April 2024, the City began experiencing a higher number of cannabis odor complaints. Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor reports. Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024. These complaints frequently cite the interference with the use and 2 4922-1190-7599 v5
enjoyment of their property; and
WHEREAS, the above-mentioned complaints concerning cannabis odors were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road with the balance of complaints pertaining to businesses located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza; and WHEREAS, despite City staff’s efforts to manage the complaints through additional inspections of cannabis businesses, increased proactive patrols, and specific actions by cannabis businesses to mitigate odors, the City has seen an increase in the number of cannabis odor complaints; and
WHEREAS, while there are likely multiple reasons for this, not all of which have been identified at this point, there are two explanatory factors that stand out: 1) a 325,000 square foot cannabis cultivation use started operations in 2024 in the vicinity of Date Palm Drive and Ramon Road; and 2) the City has a large concentration of cannabis businesses located off of located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza; and
WHEREAS, the large cannabis cultivation use was conditioned to provide an odor absorbing ventilation and exhaust system that prevents internal odor from being emitted externally. They have been required by the City to install additional odor mitigation, including a fogging system, which was installed on November 29, 2024. However, the City has continued to receive cannabis odor complaints related to this business since the installation of the fogging system; and
WHEREAS, the concentration of cannabis businesses off Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza has presented challenges with respect to identifying the source of complaints; and
WHEREAS, the City is therefore concerned about the efficacy of the Cannabis Regulations in preventing/minimizing cannabis odors emanating from the City’s cannabis businesses and is concerned about the impact of such odors upon sensitive receptors (e.g., residential properties, schools, community centers, places of worship) and the effect thereof upon the public health, safety and welfare; and WHEREAS, collectively, the cumulative volume of complaints citing the interference with the use and enjoyment of property and the limited effect actions to date have had in mitigating these complaints necessitate a review of the City’s cannabis regulations, with particular emphasis on zoning, odor control, and enforcement.; and WHEREAS, given the number of cannabis odor complaints, the City desires to review the Cannabis Regulations (including, without limitation, zoning designations, building construction standards, odor mitigation requirements, enforcement mechanisms, and other cannabis regulations) to ensure that odors from cannabis businesses are effectively mitigated and cannabis businesses located in the appropriate zones with appropriate buffers and distance requirements from sensitive receptors (e.g., residential 3 4922-1190-7599 v5
properties, schools, community centers, places of worship); and WHEREAS, therefore, the City desires to study and analyze the Cannabis Regulations to ensure that they are up to date and effectively regulate cannabis businesses in the City.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY DOES HEREBY ORDAINS AS FOLLOWS:

Section 1. FINDINGS
The City Council finds and determines the following:
(a) The recitals set forth above are hereby adopted as findings of the City Council.
(b) Based upon the findings set forth above and all oral and written testimony and reports presented by members of the public and City staff to the City Council on January 22, 2025, the continuous approval, establishment, and operation of cannabis businesses in the limited areas where they are permitted in the City poses an immediate threat to the public health, safety and welfare because it will potentially increase cannabis odors within the City such that it could create a public nuisance and negatively impact the City’s residents, such as their quality of life, and, in particular, negatively impact the City’s sensitive receptors (e.g., residential properties, schools, community centers, places of worship). Therefore, the immediate threat of the impact of cannabis odors upon the City’s residents and its sensitive receptors (e.g., residential properties, schools, community centers, places of worship) within the City justifies adoption of an interim urgency moratorium ordinance; and (c) In order to allow the City appropriate time to study the impacts of cannabis businesses and to adopt, if necessary, amendments to the Cannabis Regulations so as to ensure that the Cannabis Regulations are up to date and effectively regulate cannabis businesses, a temporary moratorium on the approval of new cannabis businesses must be enacted.

Section 2. MORATORIUM
Pursuant to the authority granted to the City Council by California Government Code Section 65858 to protect the health, safety and general welfare of the residents of the City of Cathedral City, and based upon the findings set forth above and all oral and written testimony and reports presented by members of the public and City staff to the City Council on January 22, 2025, the City Council hereby enacts as an interim urgency measure a moratorium to take effect immediately upon the adoption of this Ordinance as follows:
4 4922-1190-7599 v5
(a) Definitions. Except as otherwise provided herein, all terms used in this Ordinance shall have the same definitions as provided for in Chapters 5.88 and

9.108 of the Code.
(b) Moratorium. Beginning on the effective date of this Ordinance, no licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use shall be approved for or issued to a cannabis business, including, without limitation, local licenses pursuant to Chapter 5.88 of the Code; conditional use permits pursuant to Chapter 9.108 of the Code; any permits for cannabis business lounges; and any permits for temporary cannabis events pursuant to Section 5.88.035 and Chapter

9.68 of the Code (“Permit”). In addition, no modification to any existing Permit shall be approved, including, without limitation, the following:
(i) Modifications that will result in an increase, intensification or expansion in the cannabis-related use or operations, or the square-footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business (“Increase in Operations”). An increase in sales volume based on increased demand and not on an Increase in Operations is not considered to be an Increase in Operations. (ii) Modifications to change the location of a cannabis business. (c) Exemptions. The following shall be exempt from the moratorium provided in this Ordinance:
(i) Any modification to an existing Permit solely for the purposes of changing ownership of a cannabis business, provided that such modification shall not result in an Increase in Operations or a change in location of the cannabis-related operations of the cannabis business.
(ii) Any Permit or modification thereof that that does not result in the Increase in Operations of the cannabis-related operations of the cannabis business, such as expansions to administrative office space, minor tenant improvements, and repairs.
(iii) Any Permit modification that decreases the cannabis-related use or operations, or square-footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business.
(iv) Any renewal of a Permit.
(v) If both applications for a local license pursuant to Chapter

5.88 of the Code and conditional use permit pursuant to Chapter 9.108 of the Code were received by City staff by 4:30 p.m. on January 22, 2025, and such applications were fully completed and accompanied by all of the required supporting documents and application deposits as required by the Cannabis Regulations, then Permits related to 5 4922-1190-7599 v5
such applications may be approved and/or issued, as applicable.

Section 3. REPORT
Pursuant to Government Code § 65858(d), ten (10) days prior to the expiration or any extension of this Ordinance, the City Council will issue a written report describing the measures taken to alleviate the conditions which led to the adoption of this Ordinance.

Section 4. CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (“CEQA”) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15061(b)(3) (there is no possibility the adoption of this Ordinance will have a significant effect on the environment) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly; rather it prevents changes in the environment pending the completion of the contemplated Municipal Code review.

Section 5. SEVERABILITY
If any chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion of this Ordinance, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision will not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

Section 6. EFFECTIVE DATE; EXPIRATION; EXTENSION
Pursuant to Government Code § 65858(a), this Ordinance shall take effect immediately but shall be of no further force and effect forty-five (45) days from its date of adoption, unless the City Council, after notice and public hearing as provided under Government Code § 65858(a) and adoption of the findings required by Government Code § 65858(c), subsequently extends this Ordinance.

Section 7. POSTING
The City Clerk shall cause this Ordinance to be posted in the manner as required by law.

Section 8. CERTIFICATION
The foregoing Ordinance was approved and adopted at a meeting of the City Council held on the 22 day of January, 2025, by the following vote:
6 4922-1190-7599 v5
Ayes:

Noes:

Abstain:

Absent:
___________________________
Nancy Ross, Mayor
ATTEST:
_____________________________
Tracey Hermosillo, City Clerk
APPROVED AS TO FORM:
_____________________________
Eric S. Vail, City Attorney
Staff Report
City Council
Item No. 5.A
Meeting Date: September 24, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Ordinance Amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to Update the Cannabis Tax, Cannabis Licensing and Zoning Regulations, and Enforcement Provisions
RECOMMENDATION:

Find that the Zoning Ordinance Amendment 25-0004 is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(B)(3) and introduce an ordinance amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to substantially update the cannabis tax, cannabis licensing and zoning regulations, and enforcement provisions.

BACKGROUND:

On January 22, 2025, the Cathedral City Council enacted a 45-day initial moratorium on new cannabis conditional use permits and cannabis licenses in response to a large increase in cannabis odor complaints in 2024 and continuing into 2025. This moratorium was extended by 10 months and 15 days on February 26, 2025.

The January 22, 2025 and February 26, 2025 City Council staff reports supporting the moratorium include a thorough account of the cannabis odor complaints that led to the adoption of a moratorium; an account of the existing cannabis businesses within the City; and an overview and assessment of the City’s current cannabis regulations. The February 26, 2025 staff report began to identify those areas where further research was needed and the initial scope of an ordinance update, including:
 Definitions and standards in the cannabis regulations, including the thresholds for an odor violation;
 Requirements for a separate odor control plan to be submitted as part of a cannabis permit or license;
 Enforcement provisions, including the maintenance of an approved odor control plan and a well-articulated enforcement process for odor violations;  Fines and penalties for non-compliance with an approved odor control plan; and  An evaluation of the allowances for cultivation, manufacturing, and distribution sites as a conditional use in the PCC zoning district together with the locational requirements from the RR zoning district.

Both the January 22, 2025 and the February 26, 2025 staff reports and presentations are attached for reference.

An interim update was presented to the City Council on April 23, 2025, detailing the research performed up to that point and outlining the City’s next steps, including consultant support to identify those best practices and odor control requirements the City should model in an amendment to its cannabis regulations. The April 23, 2025 City Council staff report and presentation are attached.

The research included a continued review of the City’s current cannabis regulations. It also encompassed a review of all 84 California cities and counties that allow indoor cultivation, focusing on a subset of 15 cities and 3 counties, including those with licensed large indoor cultivation licenses through the Department of Cannabis Control (five are in Oakland, one is in Richmond, and one is in Cathedral City). The staff led research focused on a set of 11 questions:

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

3. Are there separation requirements between cannabis uses?

4. Are there limits on either the number or size of cannabis uses?

5. What is the definition of a nuisance cannabis odor?

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?

11.Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
The April 23, 2025 City Council staff report and attachments provide detailed analysis of these questions among the peer cities and counties. The initial research reveals that while there are some models for odor control permit processes and stronger enforcement, no city or county is at the forefront of cannabis regulation. No city or county has adopted objective cannabis odor standards and most rely on reactive and subjective odor measurements for enforcement.

Following the April 23, 2025 update to the City Council, a scope of work was released to four consulting firms with experience in the cannabis industry to support the development and implementation of an update to the cannabis ordinance, including:
 Regulatory review and best practices assessment
 Odor control technology evaluation
 Odor control permitting process
 Inspection and verification protocols
 Stakeholder engagement and presentations
 Training
The City contracted with SCS Engineers to provide additional support to staff. SCS Engineers prepared a comprehensive report for the City titled “Cathedral City – Regulatory Review – Cannabis Odor Control”, a report that provided substantial support for the creation of an odor control permitting process together with checklists and inspection forms. The SCS Engineers report is attached for reference.

Following the research performed by City staff and the development of a report by SCS Engineers, a comprehensive ordinance amending the Cathedral City Municipal Code, including the zoning ordinance, was prepared. This ordinance amends the licensing (chapter

5.88), permitting and zoning (chapter 9.108 and section 9.30.030), and enforcement (section

13.80.240) regulations related to cannabis uses and to amend various sections of the Municipal Code relating to administrative fines contained in titles 1, 3, 5, 8, 9, 11 and 14).

DISCUSSION:

Updated Cannabis Zoning Regulations
The proposed changes to Cathedral City’s zoning regulations affect the issuance of new conditional use permits for cannabis businesses within the City. The proposed changes would not affect existing businesses that already have an approved conditional use permit.

The proposed changes include:
 Cannabis cultivation is proposed to be removed as a conditional use within the Planned Community Commercial (PCC) zoning district (Section 9 of the draft ordinance). Existing cultivation businesses in the PCC zoning district would become legal non-conforming uses. Cultivation would remain a conditional use in the Commercial Business Park (CBP-2) and Light Industrial (I-1) zoning districts.  A 300-foot separation requirement is proposed to be added between cultivation, manufacturing, and distribution sites and any property zoned Resort Residential (RR) in the same manner that the uses are separated from residential zoning districts (Section 10 of the draft ordinance).
 The standard conditions of approval for a cannabis conditional use permit are proposed to be modified to require an odor control plan (Section 11 of the draft ordinance).

Odor Control Plan Requirements
The City does not currently require odor control plans and instead relies on a standard condition of approval through a conditional use permit requiring an odor absorbing ventilation and exhaust system be installed and maintained. The same condition is applied to all cannabis conditional use permits regardless of the type of business. The proposed changes require odor control plans for all cannabis business and incorporate a performance-based approach for their design and preparation such that cannabis odors are not detected off-site.

More specifically:
 Odor control plans are proposed as a new section of the cannabis licensing code (Section 8 of the draft ordinance). The implementation of this section is proposed to be based on the type of use, with varying submittal and content requirements for: 1) cultivation and manufacturing; 2) retail, distribution, and testing laboratories; and 3) lounges. Example submittal and content checklists are included in Appendix E of the SCS Engineers report. The review of an odor control plan is proposed to evaluate its effectiveness to mitigate cannabis odors.  The cannabis license renewal regulations are proposed to be modified to require existing cannabis businesses to obtain approval of an odor control plan as a requirement of their local license renewal beginning January 1, 2026. Should an odor control plan identify any additionally required odor control equipment, the equipment would need to be installed and operational within 6 months of the local license renewal application date and no later than December 31, 2026 (Section 4 of the draft ordinance).
 The operational requirements for cannabis businesses are proposed to be amended to require all required odor control equipment be installed and operational prior to the commencement of operations and to further require that it be maintained (Section 5 of the draft ordinance). The requirements are further proposed to be amended to require meteorological sensors for all cultivation and manufacturing sites to assist the City in the tracking of the source of nuisance odors.

Enforcement
The current enforcement provisions declare persistent cannabis odors offensive to individuals of normal sensitivity and odors which adversely impact or unreasonably interfere with the use and enjoyment of property and odors that emanate across a property line a public nuisance. The proposed changes maintain this enforcement standard while establishing an enforcement process centered on an odor control plan. More specifically:
 Following the initiation of enforcement action, cannabis businesses with an approved odor control plan are proposed to have a period of 10 days to take corrective action (Section 16 of the draft ordinance). This is further proposed to require a business to submit a statement documenting the corrective actions it has taken, including confirmation that the measures contained within its approved odor control plan are being followed. As part of the corrective actions, the proposed changes stipulate that the City may require a cannabis business to conduct a cannabis odor assessment. If a violation persists after corrective actions have been taken by a business and upon reinspection by the City, an administrative citation may be issued.
 The proposed changes outline a separate enforcement process for cannabis businesses with odor violations that have failed to obtain approval of, comply with, or maintain an odor control plan, which may lead directly to an administrative citation and may constitute a finding of good cause for denying a local license renewal or the suspension or revocation of a local license (Section 16 of the draft ordinance).
 Currently, the fines for an administrative citation for cannabis nuisance odors are set at $100 for a first violation, $250 for a second violation, and $500 for a third and any subsequent citation within a 12-month period. The proposed changes allow the City Council to set a greater administrative fine by resolution.

Provisions Not Included in Draft Ordinance
Nearly all the recommendations made by SCS Engineers through their report have been incorporated into the draft ordinance. The limited exceptions include increasing the buffer from residential areas to 1,000 feet (up from 300 feet) and a separation requirement of 500 feet between licensed businesses where there currently is no separation requirement.

Staff has analyzed the effect of these and found that they would create multiple nonconformities while not substantially improving the nuisance cannabis odor issue or the conflicts between cultivation and residential uses. A GIS map analyzing a 1,000-foot separation requirement between cultivation and manufacturing uses and residential areas is attached. While the analysis was analyzed from an address point and not actual building footprints, as the Cathedral City Municipal Code measures the separation requirements, it reveals that the Perez Road corridor is in close proximity to several residential zones, including chose comprising Cathedral Canyon Country Club, Date Palm Country Club, Cathedral Palms RV Resort, and Nirvana Estates (under construction).

The proposals to remove cultivation as a conditional use in the PCC zoning district and to further add a 300-foot separation requirement between cultivation and the RR zoning district more directly address the conflict between incompatible uses and would have the effect of restricting cultivation largely to the Perez Road corridor and the Bankside Drive and Sunair Plaza industrial park. These would both create non-conformities on their own, although significantly less than a 1,000-foot separation requirement.

GIS maps evaluating the impacts of these changes are also attached.

There are five existing cultivation businesses that would become legal non-conforming uses through the elimination of cultivation and manufacturing as a conditional use in the PCC zoning district, including businesses: in Canyon Plaza Shopping Center (Target); adjacent to the former Barracks Bar; across Date Palm Drive from the Cathedral City Market Place; in the same building as Palm Springs Lanes; and C4 Industry on Ramon Road.

An alternative to the complete removal of cultivation as a conditional use in the PCC zoning district is to restrict the size of total canopy of cultivation. Of the five cultivation businesses in the PCC zoning district, one is licensed by the state as a large indoor cultivation license, defined as a cultivation site with more than 22,000 square feet of total canopy; two are licensed as medium indoor cultivation licenses, defined as a cultivation site with between 10,001 and 22,000 square feet of total canopy; and two are licensed as specialty indoor cultivation licenses, defined as a cultivation site with between 501 and 5,000 square feet of total canopy.

A total canopy limit of 10,000 square feet as a conditional use in the PCC zoning district, for example, would permit small indoor cultivation (between 5,001 and 10,000 square feet of total canopy), specialty indoor cultivation, and specialty cottage indoor licenses, as defined by the Department of Cannabis Control and it may permit microbusinesses. The Department of Cannabis Control defines a cannabis microbusiness as a state license engaged in at least three commercial cannabis activities, including: cultivation, manufacturing, distribution, and retail sales. The City issues each of these licenses individually, not as a microbusiness license. The removal of cultivation and manufacturing as a conditional use in the PCC zoning district would not allow a state licensed cannabis microbusiness to operate in the PCC zoning district.

In the same way the City has seen conflict between cannabis odor and residential areas generated by cannabis cultivation, there remains a possibility that cannabis cultivation in a multi-tenant building in the PCC zoning district could generate complaints from other tenants within the building, particularly with larger canopies. Through the City’s research of cannabis regulations in other cities and counties, staff found that cultivation uses are typically restricted to industrial zones and are not permitted within commercial zoning districts. For these reasons, the proposed ordinance has been prepared to remove cultivation as a conditional use in the PCC zoning district.

The proposed ordinance does not address AB 1775, a new amendment to the state cannabis law, which took effect January 1, 2025. For jurisdictions that allow cannabis lounges, AB 1775 grants those jurisdictions the authority to allow retail food and beverage sales and live entertainment, including the sale of ticketed events. While the proposed ordinance makes comprehensive changes to the City’s cannabis regulations, there has been no policy discussion or direction on AB 1775. If there is a desire to evaluate expanded opportunities for cannabis lounges, staff recommends this be considered as a separate ordinance.

Updates Since the Public Release of the Draft Ordinance in July 2025 Based on additional staff review and feedback from the City’s cannabis consultant, the ordinance has been modified since it was released for public comment in July 2025. In addition to a reordering and renumbering of the sections, the changes include:
 The addition of sections to make changes to promote the efficient administration of Chapters 3.48 and 5.88 of the Cathedral City Municipal Code;  Minor corrections throughout the ordinance;
 The addition a requirement to bring local cannabis taxes current prior to renewing a local license and the addition of an operational requirement for the renewal of a dispensary license in Section 4;
 The deletion of specific references to a cannabis odor assessment performed by a field olfactometer and the revision of the same section to indicate the City may require a cannabis business to conduct a cannabis odor assessment using a method acceptable to the City in Section 16;
 The deletion of certain penalties and the addition of language clarifying a cannabis business’ responsibility for the payment of any additional banking fees or charges in Section 20; and
 The addition of a new section for the purpose of regulating tax payment arrangement agreements in Section 22.

Environmental Review:

The project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3), referred to as the commonsense exemption which states that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Public Notification:

This project was noticed in accordance with the Government Code statute requiring public notice to be provided a minimum of 10 days prior to the public hearing.

The draft ordinance was posted on the City’s website on July 17, 2025 and shared electronically with a cannabis odor update distribution list, the Coachella Valley Cannabis Alliance Network (CVCAN), and all email contacts on a local cannabis license. As a result of this outreach, comments received by the City are attached.

Cannabis Task Force:

The Cannabis Task Force met and discussed the proposed ordinance on August 18, 2025 and recommended its approval to City Council on a 5-1 vote. The draft Cannabis Task Force meeting minutes are provided as Attachment 9.

Planning Commission:

The Planning Commission met and discussed the proposed ordinance on August 20, 2025 and recommended its approval to City Council on a 4-1 vote. The Planning Commission discussed various alternatives, including increasing the separation requirements from residential zones and adding separation requirements between existing uses. While the City’s consultant has recommended these additional measures, the Planning Commission chose not to include them in their motion. The Planning Commission motion included the addition of Section 23 of the ordinance limiting the cannabis cultivation canopy area to a maximum of 22,000 square feet as a condition of approval on future conditional use permits.

Amendment To Fee Resolution:

On April 23, 2025, the City Council conducted a public hearing and adopted by resolution an update to the City’s master schedule of user and regulatory fees. As was established in the prior staff report, all fees should bear a fair and reasonable relationship to the payer’s burdens on, or benefits received from, the activities and/or services provided by the City.

The study prepared for the fee update examined multiple fee categories, including those for entitlement and post-entitlement application review and permitting review of new construction or modifications to existing structures, and analyzed the full cost of service against the City’s goals for cost recovery.

The review of an odor control plan was not contemplated when the fee update was prepared.

Nonetheless, a similar methodology can be applied to set the review fee for an odor control plan and the annual certification of an odor control plan. Any cost incurred by the City through a third-party review of an odor control plan together with the City staff time reviewing or administering the review of an odor control plan or performing related inspections on a cannabis business constitute the cost to the City to perform the review of an odor control plan.

Based on the complexity of the review and the specialized skillset and knowledge needed to determine whether an odor control plan appropriately and effectively proposes controls to mitigate cannabis odors, including a review of the odor emitting activities or processes and methods of odor control, staff recommends that odor control plans for cultivation, manufacturing, and consumption lounges, all of which have the potential for greater odor emissions, be reviewed by a third-party. City staff would still incur time processing and issuing approval of an application and would still conduct inspections to verify the installation of any required cannabis odor control equipment as part of an odor control plan application for a cultivation, manufacturing, or consumption lounges use. The anticipated City staff time is four hours per application.

SCS Engineers has provided the City a cost of $3,500 to review an odor control plan. The April 23, 2025 fee study set an hourly rate of $191 for an associate planner. While multiple staff are involved in the review of cannabis applications and licenses, the planning staff has a primary role because of their experience working an application through a conditional use permit process and establishing the conditions of approval. The anticipated City staff time is four hours per application for a cost of $764, covering the full review and processing of an odor control plan or annual certification and inspection. In total, the combined fee to review an odor control plan for a cultivation, manufacturing, or consumption lounge is $4,264.

Staff recommends the review of an odor control plan for a retail dispensary, distribution, or testing lab, uses that generate less odor emissions, be reviewed by City staff. Also, staff recommends the annual certification of an odor control plan be led by City staff, a process that includes a review and verification of information submitted by a cannabis business and an inspection. The fee to review an odor control plan for retail dispensary, distribution, or testing lab is $764.

Staff has prepared an amendment to the fee resolution, provided as Attachment 11, to establish fees for the review of an odor control plan and an annual certification of an odor control plan. The fees do not exceed the reasonable cost of review of an odor control plan or annual certification. For the meeting on September 24, 2025, the fee resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

Fine Resolution:

The proposed ordinance, while focused on cannabis issues and concerns, repeals and consolidates multiple sections of existing code into a single section, establishing a default fine for administrative fines and authorizing the City Council to establish different fines by resolution. Attachment 12 proposes an administrative fine schedule implementing the proposed provisions of Section 13.58.020 and listing those fines that are different than the default fine, including an administrative fine for cannabis odor violations under Cathedral City Municipal Code Section 12.80.240(J). It also includes the existing administrative fine for a violation of Section 5.94.030 on plastic beverage straws. Should the City set administrative fines in the future that are different than its default fines, those would be an amendment to the administrative fine schedule adopted by resolution.

Cathedral City’s fines for short-term vacation rentals were most recently established by Resolution No. 2022-14. The proposed resolution has no bearing or effect on Resolution No. 2022-14 and the City’s short-term vacation rental fines.

For the meeting on September 24, 2025, the fine resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

FISCAL IMPACT:

In order to renew a Cannabis license, the odor control plan will be required. It is anticipated the cost for city staff and third-party vendor time will be offset by the Cannabis odor control plan fees.

With 34 cultivation, manufacturing and consumption lounge operating licenses, the fiscal impact for the Planning’s professional services budget will be $59,500/year (100-100-150- 152-8600-8601).

FIVE-YEAR STRATEGIC PLAN:

F-17 – Review and update, as needed, our ordinances, policies, and practices regarding cannabis.

ATTACHMENTS:

1. Attachment 1 – Ordinance

2. Attachment 2 – January 22, 2025 City Council staff report with attachments

3. Attachment 2a – January 22, 2025 City Council presentation

4. Attachment 3 – February 26, 2025 City Council staff report with attachments

5. Attachment 3a – February 26, 2025 City Council presentation

6. Attachment 4 – April 23, 2025 City Council staff report with attachments

7. Attachment 4a – April 23, 2025 City Council presentation

8. Attachment 5 – SCS Engineers report “Cathedral City – Regulatory Review – Cannabis Odor Control

9. Attachment 6 – GIS analysis

10.Attachment 7 – Public hearing notice

11.Attachment 8 – Public comments

12.Attachment 9 – August 18, 2025 Cannabis Task Force meeting minutes

13.Attachment 10 – August 20, 2025 Planning Commission meeting minutes

14.Attachment 11 – Amendment to fee resolution

15.Attachment 12 – Consolidated fine resolution
Cannabis Urgency
Ordinance
Andrew Firestine
Director of Community and Economic
Development
January 22, 2025
Background
• Ordinances regulating the licensing of medical and adult-use cannabis and establishing the zoning and land use requirements for cannabis business land uses were adopted in 2017 with the last amendment in 2022
• Cathedral City currently has 64 cannabis businesses with 105 licenses
• 47 operating businesses with 67 licenses
• 17 non-operating businesses with 38 licenses
Issues
• City has seen a large increase in the number of cannabis odor complaints
• Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor complaints
• Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024
• Complaints were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road
Response to Issues
• Engaged with cannabis enforcement staff in other Coachella Valley cities and with the Department of Cannabis Control
• Evaluated cannabis odor control regulations in other cities • Increased staff training and created cannabis enforcement guide • Initiated cannabis business inspections by code compliance staff • Developed patrol routes for cannabis odor detection
• Authorized overtime to permit evening patrols
• Partnered with Cathedral City Police Department to collect additional data
• Required additional cannabis odor mitigation
Ongoing Challenge
• Despite staff efforts to manage the complaints through additional inspections of cannabis businesses, increased proactive patrols, and specific actions by cannabis businesses to mitigate odors, the City has seen an increase in the number of cannabis odor complaints
Urgency Ordinance – Interim Moratorium
• Under California Government Code 65858(a), City Council may adopt a moratorium as an urgency measure where:
• It is supported by a 4/5 vote of Council;
• The ordinance contains legislative findings that there is a current and immediate threat to the public health, safety, or welfare; and
• The approval of additional entitlements and permits would result in that threat to public health, safety, or welfare.
• Initial moratorium lasts 45 days
• After notice and public hearing, the ordinance may be extended with a 4/5 vote for an additional 10 months and 15 days
• It may be extended for one additional year with a 4/5 vote Draft Urgency Ordinance – Interim
Moratorium
• As of the effective date of the ordinance, no licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use shall be approved for or issued to a cannabis business, including:
• Local licenses
• Conditional use permits
• Permits for cannabis lounges
• Permits for cannabis events
• No modifications that would result in an increase, intensification, or expansion in the cannabis-related use or operations, or the square- footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business
• No modifications to change the location of a cannabis business Draft Urgency Ordinance – Interim
Moratorium
• Exemptions include:
• Modifications for the purposes of changing ownership
• Permits or modifications that do not result in an increase in operations • Permits or modifications that decrease the cannabis-related use or operations or square-footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business
• Renewals
• Processing of existing applications for a local license or conditional use permit received by 4:30 p.m. on January 22, 2025, that were fully completed with all supporting documentation and fees, and permits related to those applications
Next Steps
• If adopted:
• Initial moratorium lasts 45 days
• Would be brought back to City Council on February 26, 2025 • For February 26, Council would see a more detailed strategy on an assessment of the City’s cannabis regulations, including those on zoning, odor control, and enforcement together with a plan for public engagement (e.g. residents and cannabis industry)
• City Council would need to take action on February 26 to extend the moratorium
• If extended beyond February 26, likely to include multiple meetings with the Cannabis Task Force, Planning Commission, and City Council Recommendation
• Staff recommends approval of the urgency ordinance adopting a 45-day initial moratorium on the approval of new cannabis licenses and conditional use permits and the issuance of building permits for the build-out or expansion of new cannabis businesses.

Staff Report
City Council
Item No. 5.A
Meeting Date: September 24, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Ordinance Amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to Update the Cannabis Tax, Cannabis Licensing and Zoning Regulations, and Enforcement Provisions
RECOMMENDATION:

Find that the Zoning Ordinance Amendment 25-0004 is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(B)(3) and introduce an ordinance amending Chapters 3.48, 5.88, 9.108, and 13.240 and Section 9.30.030 of the Cathedral City Municipal Code to substantially update the cannabis tax, cannabis licensing and zoning regulations, and enforcement provisions.

BACKGROUND:

On January 22, 2025, the Cathedral City Council enacted a 45-day initial moratorium on new cannabis conditional use permits and cannabis licenses in response to a large increase in cannabis odor complaints in 2024 and continuing into 2025. This moratorium was extended by 10 months and 15 days on February 26, 2025.

The January 22, 2025 and February 26, 2025 City Council staff reports supporting the moratorium include a thorough account of the cannabis odor complaints that led to the adoption of a moratorium; an account of the existing cannabis businesses within the City; and an overview and assessment of the City’s current cannabis regulations. The February 26, 2025 staff report began to identify those areas where further research was needed and the initial scope of an ordinance update, including:
 Definitions and standards in the cannabis regulations, including the thresholds for an odor violation;
 Requirements for a separate odor control plan to be submitted as part of a cannabis permit or license;
 Enforcement provisions, including the maintenance of an approved odor control plan and a well-articulated enforcement process for odor violations;  Fines and penalties for non-compliance with an approved odor control plan; and  An evaluation of the allowances for cultivation, manufacturing, and distribution sites as a conditional use in the PCC zoning district together with the locational requirements from the RR zoning district.

Both the January 22, 2025 and the February 26, 2025 staff reports and presentations are attached for reference.

An interim update was presented to the City Council on April 23, 2025, detailing the research performed up to that point and outlining the City’s next steps, including consultant support to identify those best practices and odor control requirements the City should model in an amendment to its cannabis regulations. The April 23, 2025 City Council staff report and presentation are attached.

The research included a continued review of the City’s current cannabis regulations. It also encompassed a review of all 84 California cities and counties that allow indoor cultivation, focusing on a subset of 15 cities and 3 counties, including those with licensed large indoor cultivation licenses through the Department of Cannabis Control (five are in Oakland, one is in Richmond, and one is in Cathedral City). The staff led research focused on a set of 11 questions:

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

3. Are there separation requirements between cannabis uses?

4. Are there limits on either the number or size of cannabis uses?

5. What is the definition of a nuisance cannabis odor?

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?

11.Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
The April 23, 2025 City Council staff report and attachments provide detailed analysis of these questions among the peer cities and counties. The initial research reveals that while there are some models for odor control permit processes and stronger enforcement, no city or county is at the forefront of cannabis regulation. No city or county has adopted objective cannabis odor standards and most rely on reactive and subjective odor measurements for enforcement.

Following the April 23, 2025 update to the City Council, a scope of work was released to four consulting firms with experience in the cannabis industry to support the development and implementation of an update to the cannabis ordinance, including:
 Regulatory review and best practices assessment
 Odor control technology evaluation
 Odor control permitting process
 Inspection and verification protocols
 Stakeholder engagement and presentations
 Training
The City contracted with SCS Engineers to provide additional support to staff. SCS Engineers prepared a comprehensive report for the City titled “Cathedral City – Regulatory Review – Cannabis Odor Control”, a report that provided substantial support for the creation of an odor control permitting process together with checklists and inspection forms. The SCS Engineers report is attached for reference.

Following the research performed by City staff and the development of a report by SCS Engineers, a comprehensive ordinance amending the Cathedral City Municipal Code, including the zoning ordinance, was prepared. This ordinance amends the licensing (chapter

5.88), permitting and zoning (chapter 9.108 and section 9.30.030), and enforcement (section

13.80.240) regulations related to cannabis uses and to amend various sections of the Municipal Code relating to administrative fines contained in titles 1, 3, 5, 8, 9, 11 and 14).

DISCUSSION:

Updated Cannabis Zoning Regulations
The proposed changes to Cathedral City’s zoning regulations affect the issuance of new conditional use permits for cannabis businesses within the City. The proposed changes would not affect existing businesses that already have an approved conditional use permit.

The proposed changes include:
 Cannabis cultivation is proposed to be removed as a conditional use within the Planned Community Commercial (PCC) zoning district (Section 9 of the draft ordinance). Existing cultivation businesses in the PCC zoning district would become legal non-conforming uses. Cultivation would remain a conditional use in the Commercial Business Park (CBP-2) and Light Industrial (I-1) zoning districts.  A 300-foot separation requirement is proposed to be added between cultivation, manufacturing, and distribution sites and any property zoned Resort Residential (RR) in the same manner that the uses are separated from residential zoning districts (Section 10 of the draft ordinance).
 The standard conditions of approval for a cannabis conditional use permit are proposed to be modified to require an odor control plan (Section 11 of the draft ordinance).

Odor Control Plan Requirements
The City does not currently require odor control plans and instead relies on a standard condition of approval through a conditional use permit requiring an odor absorbing ventilation and exhaust system be installed and maintained. The same condition is applied to all cannabis conditional use permits regardless of the type of business. The proposed changes require odor control plans for all cannabis business and incorporate a performance-based approach for their design and preparation such that cannabis odors are not detected off-site.

More specifically:
 Odor control plans are proposed as a new section of the cannabis licensing code (Section 8 of the draft ordinance). The implementation of this section is proposed to be based on the type of use, with varying submittal and content requirements for: 1) cultivation and manufacturing; 2) retail, distribution, and testing laboratories; and 3) lounges. Example submittal and content checklists are included in Appendix E of the SCS Engineers report. The review of an odor control plan is proposed to evaluate its effectiveness to mitigate cannabis odors.  The cannabis license renewal regulations are proposed to be modified to require existing cannabis businesses to obtain approval of an odor control plan as a requirement of their local license renewal beginning January 1, 2026. Should an odor control plan identify any additionally required odor control equipment, the equipment would need to be installed and operational within 6 months of the local license renewal application date and no later than December 31, 2026 (Section 4 of the draft ordinance).
 The operational requirements for cannabis businesses are proposed to be amended to require all required odor control equipment be installed and operational prior to the commencement of operations and to further require that it be maintained (Section 5 of the draft ordinance). The requirements are further proposed to be amended to require meteorological sensors for all cultivation and manufacturing sites to assist the City in the tracking of the source of nuisance odors.

Enforcement
The current enforcement provisions declare persistent cannabis odors offensive to individuals of normal sensitivity and odors which adversely impact or unreasonably interfere with the use and enjoyment of property and odors that emanate across a property line a public nuisance. The proposed changes maintain this enforcement standard while establishing an enforcement process centered on an odor control plan. More specifically:
 Following the initiation of enforcement action, cannabis businesses with an approved odor control plan are proposed to have a period of 10 days to take corrective action (Section 16 of the draft ordinance). This is further proposed to require a business to submit a statement documenting the corrective actions it has taken, including confirmation that the measures contained within its approved odor control plan are being followed. As part of the corrective actions, the proposed changes stipulate that the City may require a cannabis business to conduct a cannabis odor assessment. If a violation persists after corrective actions have been taken by a business and upon reinspection by the City, an administrative citation may be issued.
 The proposed changes outline a separate enforcement process for cannabis businesses with odor violations that have failed to obtain approval of, comply with, or maintain an odor control plan, which may lead directly to an administrative citation and may constitute a finding of good cause for denying a local license renewal or the suspension or revocation of a local license (Section 16 of the draft ordinance).
 Currently, the fines for an administrative citation for cannabis nuisance odors are set at $100 for a first violation, $250 for a second violation, and $500 for a third and any subsequent citation within a 12-month period. The proposed changes allow the City Council to set a greater administrative fine by resolution.

Provisions Not Included in Draft Ordinance
Nearly all the recommendations made by SCS Engineers through their report have been incorporated into the draft ordinance. The limited exceptions include increasing the buffer from residential areas to 1,000 feet (up from 300 feet) and a separation requirement of 500 feet between licensed businesses where there currently is no separation requirement.

Staff has analyzed the effect of these and found that they would create multiple nonconformities while not substantially improving the nuisance cannabis odor issue or the conflicts between cultivation and residential uses. A GIS map analyzing a 1,000-foot separation requirement between cultivation and manufacturing uses and residential areas is attached. While the analysis was analyzed from an address point and not actual building footprints, as the Cathedral City Municipal Code measures the separation requirements, it reveals that the Perez Road corridor is in close proximity to several residential zones, including chose comprising Cathedral Canyon Country Club, Date Palm Country Club, Cathedral Palms RV Resort, and Nirvana Estates (under construction).

The proposals to remove cultivation as a conditional use in the PCC zoning district and to further add a 300-foot separation requirement between cultivation and the RR zoning district more directly address the conflict between incompatible uses and would have the effect of restricting cultivation largely to the Perez Road corridor and the Bankside Drive and Sunair Plaza industrial park. These would both create non-conformities on their own, although significantly less than a 1,000-foot separation requirement.

GIS maps evaluating the impacts of these changes are also attached.

There are five existing cultivation businesses that would become legal non-conforming uses through the elimination of cultivation and manufacturing as a conditional use in the PCC zoning district, including businesses: in Canyon Plaza Shopping Center (Target); adjacent to the former Barracks Bar; across Date Palm Drive from the Cathedral City Market Place; in the same building as Palm Springs Lanes; and C4 Industry on Ramon Road.

An alternative to the complete removal of cultivation as a conditional use in the PCC zoning district is to restrict the size of total canopy of cultivation. Of the five cultivation businesses in the PCC zoning district, one is licensed by the state as a large indoor cultivation license, defined as a cultivation site with more than 22,000 square feet of total canopy; two are licensed as medium indoor cultivation licenses, defined as a cultivation site with between 10,001 and 22,000 square feet of total canopy; and two are licensed as specialty indoor cultivation licenses, defined as a cultivation site with between 501 and 5,000 square feet of total canopy.

A total canopy limit of 10,000 square feet as a conditional use in the PCC zoning district, for example, would permit small indoor cultivation (between 5,001 and 10,000 square feet of total canopy), specialty indoor cultivation, and specialty cottage indoor licenses, as defined by the Department of Cannabis Control and it may permit microbusinesses. The Department of Cannabis Control defines a cannabis microbusiness as a state license engaged in at least three commercial cannabis activities, including: cultivation, manufacturing, distribution, and retail sales. The City issues each of these licenses individually, not as a microbusiness license. The removal of cultivation and manufacturing as a conditional use in the PCC zoning district would not allow a state licensed cannabis microbusiness to operate in the PCC zoning district.

In the same way the City has seen conflict between cannabis odor and residential areas generated by cannabis cultivation, there remains a possibility that cannabis cultivation in a multi-tenant building in the PCC zoning district could generate complaints from other tenants within the building, particularly with larger canopies. Through the City’s research of cannabis regulations in other cities and counties, staff found that cultivation uses are typically restricted to industrial zones and are not permitted within commercial zoning districts. For these reasons, the proposed ordinance has been prepared to remove cultivation as a conditional use in the PCC zoning district.

The proposed ordinance does not address AB 1775, a new amendment to the state cannabis law, which took effect January 1, 2025. For jurisdictions that allow cannabis lounges, AB 1775 grants those jurisdictions the authority to allow retail food and beverage sales and live entertainment, including the sale of ticketed events. While the proposed ordinance makes comprehensive changes to the City’s cannabis regulations, there has been no policy discussion or direction on AB 1775. If there is a desire to evaluate expanded opportunities for cannabis lounges, staff recommends this be considered as a separate ordinance.

Updates Since the Public Release of the Draft Ordinance in July 2025 Based on additional staff review and feedback from the City’s cannabis consultant, the ordinance has been modified since it was released for public comment in July 2025. In addition to a reordering and renumbering of the sections, the changes include:
 The addition of sections to make changes to promote the efficient administration of Chapters 3.48 and 5.88 of the Cathedral City Municipal Code;  Minor corrections throughout the ordinance;
 The addition a requirement to bring local cannabis taxes current prior to renewing a local license and the addition of an operational requirement for the renewal of a dispensary license in Section 4;
 The deletion of specific references to a cannabis odor assessment performed by a field olfactometer and the revision of the same section to indicate the City may require a cannabis business to conduct a cannabis odor assessment using a method acceptable to the City in Section 16;
 The deletion of certain penalties and the addition of language clarifying a cannabis business’ responsibility for the payment of any additional banking fees or charges in Section 20; and
 The addition of a new section for the purpose of regulating tax payment arrangement agreements in Section 22.

Environmental Review:

The project is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3), referred to as the commonsense exemption which states that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.

Public Notification:

This project was noticed in accordance with the Government Code statute requiring public notice to be provided a minimum of 10 days prior to the public hearing.

The draft ordinance was posted on the City’s website on July 17, 2025 and shared electronically with a cannabis odor update distribution list, the Coachella Valley Cannabis Alliance Network (CVCAN), and all email contacts on a local cannabis license. As a result of this outreach, comments received by the City are attached.

Cannabis Task Force:

The Cannabis Task Force met and discussed the proposed ordinance on August 18, 2025 and recommended its approval to City Council on a 5-1 vote. The draft Cannabis Task Force meeting minutes are provided as Attachment 9.

Planning Commission:

The Planning Commission met and discussed the proposed ordinance on August 20, 2025 and recommended its approval to City Council on a 4-1 vote. The Planning Commission discussed various alternatives, including increasing the separation requirements from residential zones and adding separation requirements between existing uses. While the City’s consultant has recommended these additional measures, the Planning Commission chose not to include them in their motion. The Planning Commission motion included the addition of Section 23 of the ordinance limiting the cannabis cultivation canopy area to a maximum of 22,000 square feet as a condition of approval on future conditional use permits.

Amendment To Fee Resolution:

On April 23, 2025, the City Council conducted a public hearing and adopted by resolution an update to the City’s master schedule of user and regulatory fees. As was established in the prior staff report, all fees should bear a fair and reasonable relationship to the payer’s burdens on, or benefits received from, the activities and/or services provided by the City.

The study prepared for the fee update examined multiple fee categories, including those for entitlement and post-entitlement application review and permitting review of new construction or modifications to existing structures, and analyzed the full cost of service against the City’s goals for cost recovery.

The review of an odor control plan was not contemplated when the fee update was prepared.

Nonetheless, a similar methodology can be applied to set the review fee for an odor control plan and the annual certification of an odor control plan. Any cost incurred by the City through a third-party review of an odor control plan together with the City staff time reviewing or administering the review of an odor control plan or performing related inspections on a cannabis business constitute the cost to the City to perform the review of an odor control plan.

Based on the complexity of the review and the specialized skillset and knowledge needed to determine whether an odor control plan appropriately and effectively proposes controls to mitigate cannabis odors, including a review of the odor emitting activities or processes and methods of odor control, staff recommends that odor control plans for cultivation, manufacturing, and consumption lounges, all of which have the potential for greater odor emissions, be reviewed by a third-party. City staff would still incur time processing and issuing approval of an application and would still conduct inspections to verify the installation of any required cannabis odor control equipment as part of an odor control plan application for a cultivation, manufacturing, or consumption lounges use. The anticipated City staff time is four hours per application.

SCS Engineers has provided the City a cost of $3,500 to review an odor control plan. The April 23, 2025 fee study set an hourly rate of $191 for an associate planner. While multiple staff are involved in the review of cannabis applications and licenses, the planning staff has a primary role because of their experience working an application through a conditional use permit process and establishing the conditions of approval. The anticipated City staff time is four hours per application for a cost of $764, covering the full review and processing of an odor control plan or annual certification and inspection. In total, the combined fee to review an odor control plan for a cultivation, manufacturing, or consumption lounge is $4,264.

Staff recommends the review of an odor control plan for a retail dispensary, distribution, or testing lab, uses that generate less odor emissions, be reviewed by City staff. Also, staff recommends the annual certification of an odor control plan be led by City staff, a process that includes a review and verification of information submitted by a cannabis business and an inspection. The fee to review an odor control plan for retail dispensary, distribution, or testing lab is $764.

Staff has prepared an amendment to the fee resolution, provided as Attachment 11, to establish fees for the review of an odor control plan and an annual certification of an odor control plan. The fees do not exceed the reasonable cost of review of an odor control plan or annual certification. For the meeting on September 24, 2025, the fee resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

Fine Resolution:

The proposed ordinance, while focused on cannabis issues and concerns, repeals and consolidates multiple sections of existing code into a single section, establishing a default fine for administrative fines and authorizing the City Council to establish different fines by resolution. Attachment 12 proposes an administrative fine schedule implementing the proposed provisions of Section 13.58.020 and listing those fines that are different than the default fine, including an administrative fine for cannabis odor violations under Cathedral City Municipal Code Section 12.80.240(J). It also includes the existing administrative fine for a violation of Section 5.94.030 on plastic beverage straws. Should the City set administrative fines in the future that are different than its default fines, those would be an amendment to the administrative fine schedule adopted by resolution.

Cathedral City’s fines for short-term vacation rentals were most recently established by Resolution No. 2022-14. The proposed resolution has no bearing or effect on Resolution No. 2022-14 and the City’s short-term vacation rental fines.

For the meeting on September 24, 2025, the fine resolution is advisory only. It will be presented to City Council for adoption when the ordinance amending the Cathedral City Municipal Code is presented for 2nd reading.

FISCAL IMPACT:

In order to renew a Cannabis license, the odor control plan will be required. It is anticipated the cost for city staff and third-party vendor time will be offset by the Cannabis odor control plan fees.

With 34 cultivation, manufacturing and consumption lounge operating licenses, the fiscal impact for the Planning’s professional services budget will be $59,500/year (100-100-150- 152-8600-8601).

FIVE-YEAR STRATEGIC PLAN:

F-17 – Review and update, as needed, our ordinances, policies, and practices regarding cannabis.

ATTACHMENTS:

1. Attachment 1 – Ordinance

2. Attachment 2 – January 22, 2025 City Council staff report with attachments

3. Attachment 2a – January 22, 2025 City Council presentation

4. Attachment 3 – February 26, 2025 City Council staff report with attachments

5. Attachment 3a – February 26, 2025 City Council presentation

6. Attachment 4 – April 23, 2025 City Council staff report with attachments

7. Attachment 4a – April 23, 2025 City Council presentation

8. Attachment 5 – SCS Engineers report “Cathedral City – Regulatory Review – Cannabis Odor Control

9. Attachment 6 – GIS analysis

10.Attachment 7 – Public hearing notice

11.Attachment 8 – Public comments

12.Attachment 9 – August 18, 2025 Cannabis Task Force meeting minutes

13.Attachment 10 – August 20, 2025 Planning Commission meeting minutes

14.Attachment 11 – Amendment to fee resolution

15.Attachment 12 – Consolidated fine resolution
Staff Report
City Council
Item No. 5.A
Meeting Date: February 26, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Extension of Cannabis Moratorium
RECOMMENDATION:

Staff recommends approval of the ordinance extending the cannabis moratorium on the approval of new cannabis licenses and conditional use permits and the issuance of building permits for the build-out or expansion of new cannabis businesses.

BACKGROUND:

On October 25, 2017, the City Council adopted Ordinance Nos. 800 and 801 establishing a set of regulations allowing adult-use cannabis businesses to operate within the City.

Ordinance No. 802 established enforcement provisions for cannabis. These regulations were created to provide the public with a clear understanding of the process for obtaining City approval to operate a Cannabis Business within the City. These regulations were codified within the Cathedral City Municipal Code in chapters 5.88 and 9.108, and Section 13.80.240, which have been amended since their adoption, with the last amendment in 2022.

Chapter 5.88 provides for the regulation and licensing of medical and adult-use cannabis business throughout the City in conformance with applicable state and local laws and regulation pertaining to medicinal and adult-use cannabis.

Chapter 9.108, as currently codified is contained in Title 9 of (Zoning Ordinance) of the Municipal Code, regulates cannabis business land uses, including the zone districts where cannabis uses are permitted, as authorized by section 26200 of the California Business and Professions Code, in a manner designed to minimize negative impacts on the City and neighboring uses, and to promote the health, safety, morals, and general welfare of residents and businesses within the City.

Section 13.80.240 defines a range of cannabis related public nuisances.

The City currently has 64 cannabis businesses with 105 licenses comprised of 47 operating businesses with 67 licenses and 17 non-operational businesses with 38 licenses.

On January 22, 2025, the City Council adopted an urgency ordinance enacting a 45-day interim moratorium on new licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use shall be approved for or issued to a cannabis business, including, without limitation, local licenses pursuant to Chapter 5.88 of the Code; conditional use permits pursuant to Chapter 9.108 of the Code; any permits for cannabis business lounges; and any permits for temporary cannabis events pursuant to Section 5.88.035 and Chapter 9.68 of the Code (“Permit”). In addition, no modification to any existing Permit shall be approved, including, without limitation: 1) modifications resulting in an increase, intensification or expansion in the cannabis-related use or operations, or the square-footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business (“Increase in Operations”); or 2) modifications changing the location of a cannabis business. The interim moratorium included several exemptions, including:

1. Any modification to an existing Permit solely for the purposes of changing ownership of a cannabis business, provided that such modification shall not result in an Increase in Operations or a change in location of the cannabis-related operations of the cannabis business.

2. Any Permit or modification thereof that does not result in the Increase in Operations of the cannabis-related operations of the cannabis business, such as expansions to administrative office space, minor tenant improvements, and repairs.

3. Any Permit modification that decreases the cannabis-related use or operations, or square-footage utilized for cannabis cultivation, manufacturing, processing, distribution, storage, sales, display, or similar cannabis-related activity, of a cannabis business.

4. Any renewal of a Permit.

5. If both applications for a local license pursuant to Chapter 5.88 of the Code and conditional use permit pursuant to Chapter 9.108 of the Code were received by City staff by 4:30 p.m. on January 22, 2025, and such applications were fully completed and accompanied by all of the required supporting documents and application deposits as required by the Cannabis Regulations, then Permits related to such applications may be approved and/or issued, as applicable.

The January 22, 2025 staff report to the City Council acknowledged that 10 days prior to the expiration of such an ordinance or any extension, a written report is to be issued describing the measures taken to alleviate the condition that led to the adoption of the ordinance. As well, the staff report also acknowledged that the moratorium may be extended twice, initially by a period of 10 months and 15 days and again by an additional year with the same findings as the interim moratorium that there is a current and immediate threat to the public health, safety or welfare, and that the approval of applicable land use entitlements would result in that threat to public health, safety or welfare and a 4/5 vote of City Council. This staff report constitutes both the written report required under California Government Code section 65858 as part of the interim ordinance imposing a 45-day moratorium and as support for an extension of the moratorium.

DISCUSSION:

Odor Complaints
As described in the January 22, 2025, staff report, the City has received an increasing number of odor complaints over the course of 2024, which supported the interim ordinance imposing a moratorium. The City continues to receive odor complaints. In response to the complaints, the City has increased its resources dedicated to cannabis odor detection. The Code Compliance Division created and distributed a cannabis odor reporting memorandum and implemented a proactive patrol system with a schedule for collecting data on cannabis odor within the community. These patrols have included overtime shifts through the Code Compliance Division and overnight patrols by the Cathedral City Police Department with an emphasis on the areas in proximity to the large cannabis cultivation facility near Date Palm Drive and Ramon Road.

Between December 1, 2024, and February 12, 2025, the City has conducted 59 patrols and collected 227 observation points, identifying odor 37 percent of the time. The frequency of the cannabis odor detections has declined since repairs were made to an exhaust fan at the large cannabis cultivation facility near Date Palm Drive and Ramon Road in mid-January and are now detected intermittently by City staff. The intensity of these observations has ranged from light to strong. The patrols and observations reveal there are still odors, although they are most appropriately classified as nuisance odors under section 13.80.240 of the Cathedral City Municipal Code.

Both the Riverside County Department of Environmental Health and the South Coast Air Quality Management District (AQMD) have inspected the business near Date Palm Drive and Ramon Road. The Riverside County Department of Environmental Health is responsible for administering the hazardous materials programs within Riverside County and has found the facility to be compliant with County and State requirements following their inspection.

AQMD required a permitting process for their boilers and chillers, which the business is in the process of completing. There are no public health concerns identified by either agency.

Cannabis Regulations
The City of Cathedral City cannabis regulations are codified within the Cathedral City Municipal Code in chapters 5.88 and 9.108. Enforcement provisions are adopted as chapter

13.80.240 of the Cathedral City Municipal Code. Together, these regulations were initially adopted through Ordinance Nos. 800, 801, and 802. While the regulations have been amended several times since their initial adoption, including through Ordinance Nos. 807, 817, 827, 841, 848, 863, and 870, as described in further detail in the table below, many of the regulations remain as they were adopted in 2017, particularly those in chapters 9.108 and 13.80.240.

Ordinance No. Date Subject
807 March 14, 2018 Amendment to Chapter 5.88 to permit on-site consumption at licensed dispensaries and to provide
a grace period for employee background checks
817 December 12,
2018
Amendment to Chapter 5.88 to require cannabis
businesses to enter into labor peace agreements as
a condition of licensure renewal
827 September 25,
2019
Amendment to Chapter 5.88 to establish a cannabis
industry employee identification card program
848 January 27,
2021
Amendment to Chapter 5.88 to repeal the Cathedral
City Task Force regulations contained in Section

5.88.125 and to replace those with new regulations
in Chapter 2.32, recognizing the Cannabis Task
Force in a consistent manner with other commissions
and committees
863 September 14,
2022
Amendment to Chapter 5.88 to update local
regulations to address new concerns and ensure
consistency with State requirements
870 June 28, 2023 Amendment to Chapter 5.88 to address cannabis business license expiration and renewals
Cannabis uses may be permitted as a conditional use in the Planned Community Commercial (PCC), Commercial Business Park (CBP-2), and Light Industrial (I-1) zoning districts subject to chapter 9.72 of the Cathedral City Municipal Code. The table below identifies the City’s commercial and industrial zoning districts and those districts that allow cannabis uses:

PCC CBP-2 I-1
Cannabis cultivation sites CUP CUP CUP
Cannabis dispensaries CUP CUP CUP
Cannabis distribution sites CUP CUP CUP
Cannabis testing
laboratories

CUP CUP CUP
The PCC zoning district is the most common commercial zoning district in the City and is typified by retail uses and shopping centers throughout the City. The CBP-2 and I-1 zoning districts are generally clustered around Perez Road.

Through the conditional use permit process, a cannabis use must demonstrate it meets the locational requirements set in section 9.108.070 of the Cathedral City Municipal Code, which are summarized in the following table:

Minimum Separation Requirement from Use
School, Day-Care
Center, or Youth
Center1
Residential Zone2 Resort Residential
Zone
Dispensaries 600-feet. 250-feet 250-feet, if the
dispensary allows for
outdoor consumption
Cultivation,
Manufacturing, and
Distribution Sites
600-feet 300-feet -
1 Setbacks from schools, day-care centers and youth centers, shall be measured to the nearest property line of the parcel where such use is located 2 Setbacks from residential zones shall be measured to: the nearest point of any legally permitted structure located in a residential zone; or if there is land within a residential zone with no legally permitted structure, the measurement shall be to the nearest property line unless the nearest property line is within the public right-of-way, in which case the measurement shall be to the edge of the right-of-way furthest from the proposed cannabis business.

The Resort Residential (RR) zoning district is separately identified in section 9.108.070 and the locational requirements only apply to dispensaries with outdoor consumption, not to other dispensaries or cultivation, manufacturing, and distribution sites.

Across the City, the RR zoning district includes Desert Princess, Outdoor Resort Palm Springs, Desert Shadows RV Resort, Cathedral Canyon Country Club, Canyon Shores, Date Palm Country Club, Cathedral Palms RV Resort, and the District. Any of the cannabis uses could propose a conditional use permit on a property zoned PCC, CBP-2, or I-1 adjacent to one of these properties and it would not be subject to any locational restriction from the RR zoning district, and there are examples of that, including on Kieley Road adjacent to the Cathedral Palms RV Resort and on Ramon Road adjacent to the Outdoor Resort Palm Springs. Most of the odor complaints received in 2024 were received from residents in Outdoor Resort Palm Springs concerning the adjacent cultivation site.

The City’s odor control regulations are contained primarily in chapter 9.108 of the Cathedral City Municipal Code. Section 9.108.080 requires as a condition of approval:

A. All Cannabis Businesses. Every cannabis business conditional use permit shall include the following conditions of approval.

1. The premises must be equipped with an odor absorbing ventilation and exhaust system so that odor generated inside the cannabis business that is distinctive to its operation is not detected outside the cannabis business, anywhere on adjacent property or public rights-of-way, on or about any exterior or interior common area walkways, hallways, breeze-ways, foyers, lobby areas, or any other areas available for common use by tenants or the visiting public, or within any other unit located within the same building as the cannabis business. As such, cannabis businesses must install and maintain the following equipment or any other equipment which local licensing authority determines has the same or better effectiveness:
a. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or
b. An air system that creates negative air pressure between the cannabis businesses' interior and exterior so that the odors generated inside the cannabis business are not detectable outside the cannabis business.

This has been applied consistently to cannabis conditional use permits as a condition of approval and sets a “no odor” standard. This is further addressed in section 13.80.240.J of the Cathedral City Municipal Code, which declares a public nuisance:

J. To cause or permit persistent cannabis odors that are offensive to individuals of normal sensitivity, and which adversely impact or unreasonably interfere with the use and enjoyment of property, to:

1. Emanate across any property line.

2. Emanate across a common wall or otherwise be detectable within an adjacent or nearby unit in a multi-tenant building or in a multi-family residential building that is occupied by another.

This section continues by establishing that “cannabis odors shall be presumed to be persistent, offensive to individuals of normal sensitivity, and adversely impacting or unreasonably interfering with the use and enjoyment of property, if the City receives three or more verified complaints from individuals representing separate residences or places of business within the City of a persistent cannabis odor emanating from the subject property within a one-month time span” while also qualifying that the City may determine that a public nuisance exists if less than complaints are received or even if no complaints are received but City detects odor conditions that violate this section of code.” The process of cannabis cultivation and manufacturing produces odor. The requirements of chapter 9.108 are intended to mitigate these odors but practical experience in the years since the code was adopted reveal that cannabis odor persists and that it doesn’t take much for cannabis odors to be released from a building, including through open doors or HVAC exhaust points. The presence of cannabis businesses is likely to produce cannabis odor.

While it declares it a public nuisance, the code lacks sufficient detail in section 13.80.240.J of the Cathedral City Municipal Code on how violations should be resolved. Section

13.80.240.J of the Cathedral City Municipal Code references chapter 13.90 for enforcement, subjecting cannabis violations to fines of $100 for a first violation, $200 for a second violation within a 12-month period, and $500 for a third and every subsequent violation within a 12- month period from the first violation.

The cannabis odor mitigation requirements in chapter 9.108 are applied as a condition of approval to cannabis conditional use permits. While this is the case for all cannabis conditional use permits, the means and methods of achieving compliance and how it is maintained once the entitlements are in place are not clear. Typically, these systems are incorporated into the mechanical heating, ventilation, and air conditioning (HVAC) plans submitted as part of a building permit application and consist of carbon filters, including activated carbon filters, that trap the odor causing compounds in the filter media. The filter media becomes less effective over time as it absorbs the odor causing compounds and requires maintenance to replace it with new filter media.

Currently, however, this is not a separate plan or document and there are no standards or minimum requirements for its contents or preparation. Questions such as what type of filtration should be installed, how much is required, and how often the filters should be changed out are not sufficiently addressed. While there are building code requirements for HVAC systems, they are not sufficient to address cannabis odor mitigation techniques, and the building permit plan check and inspection process is not calibrated to gauge the type and quantity of mitigation needed to adequately control cannabis odor.

Assessment
Other communities have required odor control plans as part of a permitting or licensing process, requiring the identification of specific odor control systems and detailed information on how a business is mitigating cannabis odor. The City of La Mesa, as an example, requires an odor control and air filtration concept plan as part of a conditional use permit and cannabis business license, defined as:

An odor control and air filtration concept plan designed by a California licensed engineer shall be submitted with the Conditional Use Permit application and/or the Adult Use Cannabis Business License application for cultivation and/or manufacturing. The air filtration concept plan shall include:
• An odor control and air filtration concept plan narrative, prepared by a California licensed mechanical engineer, an environmental engineer, or a similar professional discipline acceptable to the Building Division, that describes the approach and equipment to be utilized to contain, absorb, and neutralize all odors emanating from the property, and the field testing methodology to be utilized to determine the effectiveness of the odor containment, absorption, and/or neutralization design.
• An odor control and air filtration concept plan design that clearly shows the location of proposed equipment and appurtenances on site and floor plans. • Building section(s) and elevation(s) to clearly illustrate all equipment located on the exterior of the building, including all ducting and conduits, and the proposed method of achieving required screening.

This requirement is similar to what is required in the City of Palm Springs, which requires a written plan describing specific odor mitigation technologies and techniques incorporated to ensure that odors are not detected off-site. This odor control plan is required as part of a cannabis permit application and is also reinforced in their enforcement provisions which reference compliance with an approved odor control plan and direct enforcement staff to start with a written warning and directs a permittee to work with the City of Palm Springs to modify an approved odor control plan to mitigate odor issues within seven days. Following this period, if a permittee cannot mitigate the odor issues, the use must cease until effective odor control measures are in place. The City of Palm Springs code also contains fines of $10,000 for failure to comply with an approved odor control plan and $25,000 for odor violations related to an unpermitted activity.

The preceding examples are not exclusive of the range of potential solutions, although they provide important context for the gaps identified in the Cathedral City Municipal Code and what should continue to be studied as part of a potential code amendment, including an evaluation of:
• Definitions and standards in the cannabis regulations, including the thresholds for an odor violation;
• Requirements for a separate odor control plan to be submitted as part of a cannabis permit or license;
• Enforcement provisions, including the maintenance of an approved odor control plan and a well-articulated enforcement process for odor violations; and • Fines and penalties for non-compliance with an approved odor control plan.

Additionally, the allowances for cultivation, manufacturing, and distribution sites as a conditional use in the PCC zoning district should be assessed together with the locational requirements from the RR zoning district.

Next Steps
California Government Code section 65858 provides statutory authority for interim ordinances prohibiting uses that may conflict with a contemplated general plan, specific plan or zoning proposal that the City is studying or plans to study. An interim ordinance, commonly called a moratorium, imposes temporary land use controls based on a documented, current and immediate threat to public health, safety, and welfare. An interim ordinance protects and promotes the planning process by prohibiting the introduction of potentially nonconforming land uses that could defeat or impair a later adopted general plan or zoning ordinance.

Procedurally, such an ordinance may be adopted initially without a public hearing following a 4/5 vote of the legislative body, which describes the actions taken by the City Council on January 22, 2025. The initial moratorium lasts for 45 days. After notice and a public hearing, the ordinance may be extended, again with a 4/5 vote, for an additional 10 months and 15 days. The cannabis moratorium has been noticed as a public hearing for February 26, 2025 to allow the City Council to consider an extension of the moratorium for an additional 10 months and 15 days.

Thereafter, the ordinance can be extended twice: the first extension is for a period of 10 months and 15 days and the second extension is for a period of 1 year. Both extensions must be approved by the City Council with a 4/5 vote. No more than two extensions may be adopted.

The City Council cannot adopt or extend any interim ordinance unless the ordinance contains a finding that there is a current and immediate threat to the public health, safety or welfare, and that the approval of applicable land use entitlements would result in that threat to public health, safety or welfare.

The attached ordinance provides the necessary findings to support an extension of the cannabis moratorium and the staff report. The urgency ordinance is written to prohibit new cannabis licenses and conditional use permit applications for all cannabis business types while the moratorium is in effect together with the issuance of new building permits that would permit the build-out and development of an approved cannabis license and conditional use permit where no building permit had been previously issued. The urgency ordinance excludes the renewal or transfer of existing cannabis licenses, except where the transfer is to a new location without an approved conditional use permit or where the transfer proposes an amendment or modification to an approved conditional use permit, such as for an expansion or a change in use. It also excludes the issuance of building permits to existing cannabis businesses with an approved cannabis license and conditional use permit where the building permit does not involve the build-out or expansion of the use but rather pertains to the ordinary use and maintenance of the business.

Should the City Council extend the cannabis moratorium, it is staff’s recommendation that specific recommendations be presented to the Planning Commission and Cannabis Task Force to address the zoning, locational requirements, definitions, standards, and enforcement provisions, fines, and penalties identified in this staff report while building out an odor control plan to implement the required conditions of approval. Following recommendations from the Planning Commission and Cannabis Task Force, an ordinance proposing code amendments can be prepared and scheduled for public hearings within the moratorium period.

FISCAL IMPACT:

None at this time.

FIVE-YEAR STRATEGIC PLAN:

F-11 – Implement a code compliance program that proactively identifies and responds to code compliance complaints
ATTACHMENTS:

1. Cannabis Moratorium Extension Ordinance
1 4904-6342-8124 v1
ORDINANCE NO. _____

AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF THE

CITY OF CATHEDRAL CITY, CALIFORNIA, CONTINUING THE
PROVISIONS OF ORDINANCE NO. ____ ADOPTING AND IMPOSING

A TEMPORARY MORATORIUM ON THE APPROVAL OF LICENSES,

PERMITS, APPROVALS, OR OTHER ENTITLEMENTS FOR USE,

INCLUDING ANY MODIFICATION THEREOF, FOR CANNABIS

BUSINESSES, WITHIN THE CITY OF CATHEDRAL CITY FOR A
ADDITIONAL PERIOD OF TEN (10) MONTHS AND FIFTEEN (15) DAYS WHEREAS, the City of Cathedral City (“City”) permits and regulates certain cannabis businesses pursuant to Chapters 5.88 and 9.68 of the Cathedral City Municipal Code and adopted administrative regulations (“Cannabis Regulations”); and WHEREAS, in April 2024, the City began experiencing a higher number of cannabis odor complaints. Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor reports. Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024. These complaints frequently cite the interference with the use and enjoyment of their property; and
WHEREAS, the above-mentioned complaints concerning cannabis odors were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road with the balance of complaints pertaining to businesses located off of Perez Road, Kieley Road, Bankside Drive, and Sunair Plaza; and WHEREAS, Government Code Section 65858 allows cities to protect the public health, safety and welfare by adopting interim emergency moratoria in order to allow time to study whether certain land uses should be allowed, prohibited, or regulated under the City’s municipal code; and
WHEREAS, on January 22, 2025, the City Council adopted Ordinance No. 884, which enacted a forty five (45) day interim moratorium on the approval or issuance of new licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use to a cannabis business as more particularly described therein (“Ordinance No. 884”); and
WHEREAS, Government Code Section 65858 authorizes the City Council to extend the moratorium enacted by Ordinance No. 884 for an additional period of ten (10) months and fifteen (15) days; and
WHEREAS, since adoption of Ordinance No. 884 on January 22, 2025, the City continues to receive odor complaints and, in response to such complaints, the City has increased its resources dedicated to cannabis odor detection. The City’s Code Compliance Division created and distributed a cannabis odor reporting memorandum and implemented a proactive patrol system with a schedule for collecting data on 2 4904-6342-8124 v1
cannabis odor within the community. These patrols have included overtime shifts through the Code Compliance Division and overtime patrols by the Cathedral City Police Department with an emphasis on the areas in proximity to the large cannabis cultivation facility near Date Palm Drive and Ramon Road, which potentially qualify as nuisance odors under Section 13.80.240 of the Cathedral City Municipal Code; and WHEREAS, between December 1, 2024, and February 12, 2025, the City has conducted 59 patrols and collected 227 observation points, identifying odor approximately 37 percent of the time; and
WHEREAS, the City therefore continues to be concerned about the efficacy of the Cannabis Regulations in preventing/minimizing cannabis odors emanating from the City’s cannabis businesses and about the impact of such odors upon sensitive receptors (e.g., residential properties, schools, community centers, places of worship) and the effect thereof upon the public health, safety and welfare; and WHEREAS, since the adoption of Ordinance No. 884, the City requires additional time to study what legislative steps might be appropriate to amend the Cannabis Regulations within the City in order to protect the public health, safety, and welfare of the public; and WHEREAS, pursuant to Government Code Section 65858, the City may, after notice and a public hearing, extend the moratorium enacted by Ordinance No. 884 for up to ten (10) months and fifteen (15) days; and
WHEREAS, as described in this Ordinance, the City Council continues to find that there is a current and immediate threat to the public health, safety, and welfare based on the findings herein and the findings contained in Ordinance No. 884, and upon that basis has determined that an extension of the moratorium enacted in Ordinance No. 884 is warranted; and
WHEREAS, the City has complied with the notice and public hearing requirements of Government Code Sections 65858(a) and 65090; and
WHEREAS, the report required by Government Code Section 65858(d) has been prepared and made available to the public at the City Clerk’s Office. In addition, the agenda report accompanying this ordinance provides the information required under Government Code section 65858(d).

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY DOES HEREBY ORDAINS AS FOLLOWS:

Section 1. FINDINGS
The City Council finds and determines the following:
(a) The recitals set forth above are hereby adopted as findings of the City Council.
3 4904-6342-8124 v1
(b) The factual basis for extending the moratorium enacted by Ordinance No. 884 also includes the recitals and findings set forth in Ordinance No. 884, which are adopted and incorporated herein by this reference. (c) Pursuant to Government Code Section 65858(d), the City has issued the report relative to the steps taken to alleviate the conditions that necessitated the adoption of Ordinance No. 884.
(d) Based upon the above and all oral and written testimony and reports presented by members of the public and City staff to the City Council on February 26, 2025, there continues to be an immediate threat of harm to the public, health, safety, and welfare that may occur if licenses, permits, approvals, or other entitlements for grading, building, improvements, and/or use are approved for or issued to cannabis businesses pursuant to the current Cannabis Regulations. (e) In order to appropriately respond to this immediate threat of harm to public health, safety, and welfare, the City needs more time to do the following: (1) assess whether there is an over concentration of cannabis business within the City such that it would impact the public health, safety, and welfare of the City’s residents, or cause excessive or chronic nuisance conditions that may impact the health, safety, and welfare of the City’s residents; (2) study the impacts of cannabis businesses upon the City and its residents; (3) study potential new or amended regulatory requirements for cannabis businesses, including, without limitation, appropriate distancing requirements and maximum number and concentration of business within areas of the City and the City as a whole; and (4) assess any other impacts that cannabis businesses may have upon the City that jeopardize the public health, safety, and welfare. (f) Based upon the forgoing, the City desires to extend the moratorium described in Ordinance No. 884 by ten (10) months and fifteen (15) days.

Section 2. EXTENSION OF MORATORIUM
Pursuant to the authority granted to the City Council by California Government Code Section 65858 to protect the health, safety and general welfare of the residents of the City of Cathedral City, and based upon the findings set forth above and all oral and written testimony and reports presented by members of the public and City staff to the City Council on February 26, 2025, the City Council hereby extends the term of Ordinance No. 884 for a period of ten (10) months and fifteen (15) days from the expiration date of March 8, 2025, for a new expiration date of January 23, 2026.

Section 3. REPORT
Pursuant to Government Code Section 65858(d), ten (10) days prior to the expiration or any extension of this Ordinance, the City Council will issue a written report describing the measures taken to alleviate the conditions which led to the adoption of this Ordinance.
4 4904-6342-8124 v1
Section 4. CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (“CEQA”) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15061(b)(3) (there is no possibility the adoption of this Ordinance will have a significant effect on the environment) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly; rather it prevents changes in the environment pending the completion of the contemplated Municipal Code review.

Section 5. SEVERABILITY
If any chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion of this Ordinance, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision will not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each chapter, sections, subsections, subdivisions, sentences, clauses, phrases, or portion thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

Section 6. EFFECTIVE DATE
This Ordinance is declared to be an urgency ordinance by authority conferred on the City Council of the City of Cathedral City by Government Code Section 65858, and shall be in full force and effect immediately upon its adoption by a four-fifths vote of the City Council.

Section 7. POSTING
The City Clerk shall cause this Ordinance to be posted in the manner as required by law.

Section 8. CERTIFICATION
The foregoing Ordinance was approved and adopted at a meeting of the City Council held on the 26th day of February, 2025, by the following vote:

Ayes:

Noes:

Abstain:

Absent:
5 4904-6342-8124 v1
___________________________
Nancy Ross, Mayor
ATTEST:
_____________________________
Tracey Hermosillo, City Clerk
APPROVED AS TO FORM:
_____________________________
Eric S. Vail, City Attorney
Cannabis Update
Andrew Firestine
Director of Community and Economic
Development
April 23, 2025
Background
• On February 26, 2025, the City Council extended the cannabis moratorium by 10 months and 15 days
• Council requested routine updates
• Prior report focused on an evaluation of the City’s zoning, locational requirements, definitions, standards, and enforcement provisions, fines, and penalties
Presentation Objectives
• Provide updates on:
• Cannabis research conducted in other cities and counties • Consultant support to set standards and to support the development of an odor control permitting process
• Consultant support to the City related to cannabis odors at C4 Industry • Cannabis odor control reporting and monitoring pilot program Review of Cannabis Regulations – Zoning
• Cannabis uses may be permitted as a conditional use in the Planned Community Commercial (PCC), Commercial Business Park (CBP-2), and Light Industrial (I-1) zoning districts • The PCC zoning district is the most common commercial zoning district in the City and is typified by retail uses and shopping centers throughout the City
• The CBP-2 and I-1 zoning districts are generally clustered around Perez Road
Review of Cannabis Regulations –
Separation Requirements
Minimum Separation Requirement from Use
School, Day-Care Center, or
Youth Center1
Residential Zone2 Resort Residential Zone
Dispensaries 600-feet 250-feet 250-feet, if the dispensary allows for outdoor
consumption
Cultivation, Manufacturing,
and Distribution Sites
600-feet 300-feet -
1 Setbacks from schools, day-care centers and youth centers, shall be measured to the nearest property line of the parcel where such use is located
2 Setbacks from residential zones shall be measured to: the nearest point of any legally permitted structure located in a residential zone; or if there is land within a residential zone with no legally permitted structure, the measurement shall be to the nearest property line unless the nearest property line is within the public right-of-way, in which case the measurement shall be to the edge of the right-of-way furthest from the proposed cannabis business.

Review of Cannabis Regulations – Odor
Control
• Section 9.108.080 requires as a condition of approval:

A. All Cannabis Businesses. Every cannabis business conditional use permit shall include the following conditions of approval.

1. The premises must be equipped with an odor absorbing ventilation and exhaust system so that odor generated inside the cannabis business that is distinctive to its operation is not detected outside the cannabis business, anywhere on adjacent property or public rights-ofway, on or about any exterior or interior common area walkways, hallways, breeze-ways, foyers, lobby areas, or any other areas available for common use by tenants or the visiting public, or within any other unit located within the same building as the cannabis business. As such, cannabis businesses must install and maintain the following equipment or any other equipment which local licensing authority determines has the same or better effectiveness:
a. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or
b. An air system that creates negative air pressure between the cannabis businesses' interior and exterior so that the odors generated inside the cannabis business are not detectable outside the cannabis business.

Review of Cannabis Regulations – Odor
Enforcement
• Section 13.80.240.J of the Cathedral City Municipal Code declares a public nuisance:

J. To cause or permit persistent cannabis odors that are offensive to individuals of normal sensitivity, and which adversely impact or unreasonably interfere with the use and enjoyment of property, to:

1. Emanate across any property line.

2. Emanate across a common wall or otherwise be detectable within an adjacent or nearby unit in a multi-tenant building or in a multi-family residential building that is occupied by another.

Cannabis Research – Other Cities and
Counties
• Department of Cannabis Control defines large indoor cultivation licenses as licenses that are 22,000 square feet in size or greater • There are 7 of these across the State, 5 in Oakland,1 in Richmond, and 1 in Cathedral City
• Only the location in Cathedral City was purpose built, all the others were conversions of industrial warehouses
• Except for the Tinnery in Oakland, none of the other licenses are comparable in size to C4 Industry and none are good comparisons
• 84 California cities and counties allow indoor cultivation • Staff conducted an initial review of the cannabis zoning regulations, licensing, and enforcement provisions for each of these cities and counties and identified 15 cities and 3 counties to research further Cannabis Research – Other Cities and
Counties
El Dorado County Hayward Long Beach Desert Hot
Springs
Palm Springs Grover Beach
Santa Barbara
County
Richmond Pasadena Moreno Valley La Mesa Santa Cruz
Stanislaus
County
Lancaster Coachella Palm Desert National City Oakland
Zoning Questions

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

3. Are there separation requirements between cannabis uses?

4. Are there limits on either the number or size of cannabis uses?

5. What is the definition of a nuisance cannabis odor?

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?
Enforcement Questions

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?

11. Are there any unique provisions, such as a hearing officer, that warrant further evaluation? Zoning - Question #1
• What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?
• Cannabis uses such as cultivation, manufacturing, distribution, and testing labs uses are restricted to industrial zone districts • Dispensaries are permitted in both industrial and retail zones Zoning - Question #2
• What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.
• Under the California Business and Professions Code (BPC) Section 26054(b), cannabis businesses shall not be located within a 600-foot radius of a school providing K-12 instruction, a daycare center, or a youth center • Separation requirements from residential uses vary significantly • Palm Springs established a 1,000-foot separation requirement between cannabis cultivation and manufacturing and a residential zoning district • Coachella, Lancaster, and Pasadena each have a 600-foot separation requirement from commercial cannabis uses and residentially zoned property • Grover Beach requires a 100-foot setback between retailers and residential zones
Zoning - Question #3
• Are there separation requirements between cannabis uses? • Palm Desert requires that cannabis retailers be 1,500 feet apart and similarly requires cannabis businesses within their service industrial zoning district to be separated by 1,500 feet
• With some exceptions, Palm Springs requires cannabis businesses be separated by 500 feet
• Long Beach has a 1,000-foot separation requirement between dispensaries
Zoning - Question #4
• Are there limits on either the number or size of cannabis uses? • Other cities place limits on the number of cannabis dispensaries allowed, often setting the cap between three and 10
• Most do not impose limits on other types of cannabis operations, including cultivation, manufacturing, distribution, and testing laboratories • Santa Cruz and Moreno Valley are two cities that have additional requirements for cultivation facilities
• Santa Cruz restricts indoor cultivation to a maximum of 10,000 square feet • Moreno Valley restricts the total area of the premises designated/used for the cultivation canopy to no more than 22,000 square feet
• Pasadena limits cultivation to four licensed facilities Zoning - Question #5
• What is the definition of a
nuisance cannabis odor?
• Nuisance cannabis odor is
not consistently defined
across all city zoning codes
• No objective standard
• Palm Springs and Coachella
• Odor Detection Threshold /
Odor Threshold
Concentration
• Olfactometer
Zoning - Question #6
• What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses?
• Consistent standard requiring odor absorbing ventilation and exhaust system
• Exhaust air filtration system with odor control
• Air system that creates negative air pressure between the interior and exterior Zoning - Question #7
• Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it?
• Common requirement, including Coachella, Desert Hot Springs, and Palm Springs
• Includes detailed information about the proposed ventilation system, including technical specifications indicating that the system can prevent the release of cannabis odors into the atmosphere from the cultivation or manufacturing operation
• Prepared by a license mechanical engineer
• Post-entitlement submittal
• Annual certification through license renewal
Enforcement – Question #8
• What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?
• National City, La Mesa, and Desert Hot Springs require that odor not be detectable at the property line
• El Dorado County uses the St. Croix Sensory Nasal Ranger Field Olfactometer and Santa Barbara County’s new regulations incorporate a nuisance threshold relying on an olfactometer
• Desert Hot Spring and Palm Springs report that they have discontinued use of the Nasal Ranger
Enforcement – Question #9
• When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long? • Multiple cities and counties require cannabis businesses to respond to cannabis odor complaints, including Santa Barbara County, Long Beach, and Desert Hot Springs
• Palm Springs allows cannabis businesses with a compliant odor control plan seven days to correct an odor issue
Enforcement – Question #10
• What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?
• Palm Springs has an escalating enforcement process
• Compliant odor control plan
• Written warning
• 7 days to correct
• After 7 days, if the odor cannot be mitigated, the use must cease until effective odor control measures are in place
• Non-compliant odor control plan
• Subject to $10,000 administrative citation
• 30 days to remedy
• Additional $10,000 administrative citations every 30 days • After three administrative citations, the permit is automatically revoked • Desert Hot Springs code allows fines up to $1,000 per day Enforcement – Question #11
• Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
• Stanislaus County established a hearing officer process • Desert Hot Springs contracts with a third-party for all cannabis ordinance and enforcement
• Palm Springs contracts for the review of odor control plans Consultant Support - General
• Scope of work issued on April 14 to four firms with a due date of April 28
• Builds on the city and county research performed by City staff and seeks specific subject matter expertise on cannabis odor control • Focus is on six areas:

1. Regulatory review and best practices assessment

2. Odor control technology evaluation

3. Odor control permitting process

4. Inspection and verification protocols

5. Stakeholder engagement and presentations

6. Training
Consultant Support – Odor Analysis
• Contract has been executed with Hartman Environmental Geoscience for the review of the odor control systems at C4 Industry, both existing and proposed
• They are tasked with providing the City a qualified opinion on the effectiveness of both the current and proposed odor mitigation plans and make specific recommendations to improve the
effectiveness of the existing and any additionally proposed odor mitigation
Envirosuite Pilot Program
• Envirosuite is a leader in environmental intelligence and offers a technology driven, real-time reporting and monitoring service • 6-month pilot program to be launched in May 2025 in the vicinity of C4 Industry
• Improved data collection and reporting
• Environmental monitoring
• Accountability and response timelines
Envirosuite Pilot Program
• Time and date
• Location
• Description
• Contact info
Complaint
Submitted
• Routed to
City
• “New –
Unvalidated”
Initial Routing
• Weather
info from
weather
station
• Sensor data
Environmental
Validation
• Complaint
assigned to
business for
response
• 30-minutes to
initial response
during business
hours (8-6)
• 90 minutes to
initial response
after-hours
Routing to
Business • Led by business
• Investigation
summary within 24-
hours
Investigation
• City reviews
the
investigation
City Oversight
Next Steps
• Training
October
• City Council
September
• Cannabis
Task Force
• Planning
Commission
August
• Review of
Draft
Ordinance
July
• Draft
Ordinance
• Develop
Odor Control
Permitting
Process and
Checklists
June
• Award
contract to
cannabis
consultant
• Assessment
and
Evaluation
May
Staff Report
City Council
Item No. 1.A
Meeting Date: April 23, 2025
From: Andrew Firestine, AICP, Director of Community and Economic Development
Title: Cannabis Moratorium Update
RECOMMENDATION:

This item is for discussion purposes to serve as an update on the cannabis moratorium. No action is requested.

BACKGROUND:

On February 26, 2025, the City Council extended the cannabis moratorium by 10 months and 15 days. Through the discussion, the City Council requested routine updates as staff conducts additional research and initiates updates to the City’s cannabis regulations and processes. The prior report focused on an evaluation of the City’s zoning, locational requirements, definitions, standards, and enforcement provisions, fines, and penalties while building out an odor control plan to implement the required conditions of approval. This report provides a synopsis of cannabis research conducted in other cities and counties and efforts to engage consultant support to set standards and to support the development of an odor control permitting process. It also provides updates on consultant support to the city specifically on C4 Industry and an odor control reporting and monitoring pilot program.

DISCUSSION:

Staff has commenced research in these areas, first by identifying all the California cities and counties that allow for cannabis cultivation in some manner, a list of 84 cities and counties, and conducted an initial review of the cannabis zoning regulations, licensing, and enforcement provisions for each of these cities and counties. This initial review was narrowed down to a smaller list of 15 cities and 3 counties that potentially offer insight into one or more of the areas of focus. A review of these city and county regulations, with an emphasis on zoning and enforcement, is summarized in the sections below with additional text contained in the attachments
Staff also initiated a records request through the Department of Cannabis Control (DCC) for the purpose of understanding how many large indoor cannabis cultivation facilities are licensed in the State of California. The DCC defines large indoor cannabis cultivation as those with more than 22,000 square feet of total canopy. For comparison, C4 Industry, the existing large cannabis cultivation facility near Date Palm Drive and Ramon Road has a gross floor area of 326,000 square feet and each of its 9 bays has a canopy area of 21,504 square feet together with an 8,760 square foot mother room, totaling over 200,000 square feet of total canopy area. While the DCC began accepting applications for large indoor cultivation licenses in 2020, there are only 6 other large indoor cultivation facilities licensed by the DCC, all of which are located in Richmond and Oakland. None of these are a good comparison to C4 Industry – most are substantially smaller in size and are older warehouses in industrial areas converted to cannabis cultivation.

The initial research of other city and county regulations, together with the additional information from the DCC, reveals that while there are some models for odor control permit processes and stronger enforcement, no city or county is at the forefront of cannabis regulation. No city or county has adopted objective cannabis odor standards and most rely on reactive and subjective odor measurements for enforcement. These preliminary findings raise the importance of the city’s existing condition of approval on cannabis conditional use permits requiring odor mitigation.

As was identified in previous staff reports, there is no separate plan or document and there are no standards or minimum requirements to demonstrate how the City’s odor mitigation requirements are to be met. Other cities and counties have established odor mitigation requirements through an odor control plan and permitting process, which is captured in the summary below. To ensure the City is setting the right standards, including the evaluation of technologies and the establishment of odor control requirements, the development of content and submittal requirements for an odor control plan, and the preparation of inspection checklists, consultant support is needed. To date, staff has met and engaged with five companies with significant experience in cannabis odor control and monitoring and has prepared a scope of work specific to the City’s needs. This scope of work was issued for informal bid on April 14 with bids requested by April 28. A summary of the expected scope of work is provided below.

Through the process of identifying prospective consultants to engage with on an update of the City’s cannabis regulations, staff identified a nationally recognized expert on soil vapor sampling, soil vapor analysis, and vapor intrusion for environmental and exploration applications who has extended his work into the cannabis industry through the monitoring of cannabis odor causing compounds by similar analysis. Dr. Blayne Hartman, with Hartman Environmental Geoscience, has analyzed cannabis odor control systems and offers the ability to provide the City a qualified opinion on the effectiveness of both the current and any additionally proposed odor mitigation at C4 Industry. The business remains responsible for designing, implementing, and maintaining their odor control solutions. Dr. Hartman’s work is to validate their effectiveness through an objective analysis and to make specific recommendations to the City. Dr. Hartman does not represent any equipment manufacturer and does not design cannabis odor control systems – he has no conflict of interest with C4 Industry or any other cannabis business operating in Cathedral City. Staff has negotiated a contract and scope of work with Dr. Hartman to evaluate the performance of the odor control systems at C4 Industry, both existing and proposed.

Finally, staff has also met with Envirosuite on several occasions. Envirosuite is a leader in environmental intelligence and offers a technology driven, real-time reporting and monitoring service that provides benefits to the City and to cannabis operators. C4 Industry has contracted with Envirosuite to implement a pilot program at their facility, a program that can potentially be expanded citywide. Under the pilot program, cannabis odor reports in the vicinity of C4 Industry would be reported through the Envirosuite platform embedded on the City’s website, collecting information on the location and strength and intensity of the odor.

Envirosuite’s monitors would also collect data on weather, volatile organic compounds (VOCs), and other compounds. All of this data would be made available to the City and the operator in real-time, which is intended to better correlate odor complaints with objective data, informing both City actions and operational changes at C4 Industry. Additional details on this pilot program and partnership are outlined below.

Cannabis Regulations
In its review of cannabis regulations from 15 cities and 3 counties, City staff evaluated seven zoning questions, including questions directed to odor mitigation and odor mitigation plans.

Staff further assessed four questions related to enforcement of odor violations. The complete data collected from this research is attached to the staff report. The zoning and enforcement research is summarized for Coachella, Palm Desert, Palm Springs, Desert Hot Springs, Oakland, and Richmond for each question below.

Zoning

1. What zoning districts are cannabis cultivation, manufacturing, and lab uses permitted?
Upon reviewing neighboring cities in the Coachella Valley such as Coachella, Palm Desert, Palm Springs, and Desert Hot Springs, as well as Oakland and Richmond, it is evident that cannabis uses such as cultivation, manufacturing, distribution, and testing labs uses are typically restricted to industrial zone districts, while dispensaries are permitted in both industrial and retail zones. Cultivation, manufacturing, distribution, and testing labs uses are generally not permitted within commercial or residential zones, reflecting a common zoning practice aimed at minimizing potential impacts on retail areas and neighborhoods.

2. What separation requirements existing between cannabis uses and either residential zones or uses and other sensitive uses? Identify both the use and the separation requirement.

The separation requirements from residential uses vary significantly. Under the California Business and Professions Code (BPC) Section 26054(b), cannabis businesses shall not be located within a 600-foot radius of a school providing K-12 instruction, a daycare center, or a youth center. Cities and counties, at a minimum, must implement this standard, although they may adopt more stringent standards, including other separation requirements.

As an illustration, Palm Springs established a 1,000-foot separation requirement between cannabis cultivation and manufacturing and a residential zoning district.

Coachella, Lancaster, and Pasadena each have a 600-foot separation requirement from commercial cannabis uses and residentially zoned property. Grover Beach requires a 100-foot setback between retailers and residential zones.

The other cities studied as part of this evaluation do not have an explicit separation from cannabis uses and residential zones or uses. Cathedral City is the only city evaluated that allows cultivation, manufacturing, and distribution in a commercial zoning district. The other cities limit those uses to industrial zones, which are generally separated from residential zones.

3. Are there separation requirements between cannabis uses? Palm Desert requires that cannabis retailers be 1,500 feet apart and similarly requires cannabis businesses within their service industrial zoning district to be separated by 1,500 feet. With some exceptions, Palm Springs requires cannabis businesses be separated by 500 feet. Among the other cities studied, Long Beach has a 1,000 foot separation requirement between dispensaries.

4. Are there limits on either the number or size of cannabis uses? A review of other city regulations shows that other cities place limits on the number of cannabis dispensaries allowed, often setting the cap between three and 10. In contrast, most do not impose limits on other types of cannabis operations, including cultivation, manufacturing, distribution, and testing laboratories. This reflects a regulatory trend aimed at controlling the retail presence of cannabis while allowing more flexibility for non-retail sectors of the industry. Santa Cruz and Moreno Valley are two cities that have additional requirements for cultivation facilities. Santa Cruz restricts indoor cultivation to a maximum of 10,000 square feet. Moreno Valley restricts the total area of the premises designated/used for the cultivation canopy to no more than 22,000 square feet, effectively prohibiting large indoor cultivation facilities, as defined by the DCC. Pasadena limits cultivation to four licensed facilities.

5. What is the definition of a nuisance cannabis odor?
Nuisance cannabis odor is not consistently defined across all city zoning codes.

However, some cities have established specific standards to address this issue. For example, the City of Palm Springs defines “Odor Detection Threshold” as the threshold for the detection of odorous contaminants when one volume of the odorous air has been diluted with seven or more volumes of odor free air as measured by any instrument, device, or any other method designated by the City.

Similarly, the City of Coachella defines "Odor Threshold Concentration" as the lowest concentration of Odorous matter that produces an olfactory response in normal human beings. Odor thresholds shall be determined in accordance with the American Society for Testing and Materials Test Method D1391-57 (reconfirmed to 1967) or in an equivalent manner acceptable to the zoning administrator.

These definitions require measurement through an olfactometer, such as the St.

Croix Sensory Nasal Ranger Field Olfactometer. The specialized device uses a combination of human nose and an instrument to detect and measure odors. While the definition has been adopted by some cities and counties, including Santa Barbara County most recently, it remains a subjective measurement and is not widely accepted as an effective way of detecting cannabis odor.

6. What are the odor mitigation requirements, either through a CUP or cannabis license? Are there specific requirements or standards for cultivation and manufacturing uses? Odor mitigation requirements are standard among the cities researched and are consistent with Cathedral City’s requirements that a business install odor absorbing ventilation and exhaust system so that odor generated inside the cannabis business are not detected outside. The systems include an exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or an air system that creates negative air pressure between the interior and exterior so that the odors generated inside the cannabis business are not detectable outside.

7. Does the city or county require an odor mitigation plan or permit? If so, who is authorized to prepare and submit it? What are the submission requirements? Does it need to be renewed annually as part of the license? Who approves it? A common requirement found in the cities researched is the requirement to develop and implement a ventilation or odor control plan. These plans are required to include detailed information about the proposed ventilation system, including technical specifications indicating that the system can prevent the release of cannabis odors into the atmosphere from the cultivation or manufacturing operation. Coachella, Desert Hot Springs, and Palm Springs all require odor control plans. These are most often prepared by a licensed mechanical engineer. While Palm Springs requires an odor control plan to be prepared as part of a conditional use permit, other cities require it as a post-entitlement permit reviewed administratively and concurrent with a building permit. Some cities, including Palm Springs, use a third-party contractor to review odor control plans. Among the other cities, Grover Beach requires odor control systems to be certified annually.

Code Enforcement

8. What constitutes an odor violation? Are there thresholds or measurements for cannabis odor, either for the concentration of odor or the time period over which it is detected?
National City, La Mesa, and Desert Hot Springs require that odor not be detectable at the property line. El Dorado County uses the St. Croix Sensory Nasal Ranger Field Olfactometer, and Santa Barbara County established a nuisance threshold relying on an olfactometer as part of its recent cannabis code updates. Desert Hot Springs reported that it discontinued its use of the Nasal Ranger.

9. When there is an odor complaint, how is it investigated? Does the cannabis business have a period of time to correct a violation before a citation or further action is taken? If so, how long?
Several cities and counties require cannabis businesses to respond to cannabis odor complaints, including Santa Barbara County, Long Beach, and Desert Hot Springs.

Palm Springs allows cannabis businesses with a compliant odor control plan seven days to correct an odor issue.

10.What are the fines for a violation of the cannabis ordinance? Are there penalties beyond fines? If so, what?
Palm Springs has an escalating enforcement process. For odor violations related to a cannabis business with a compliant odor control plan, a cannabis business is first issued a written warning and given seven days to modify their odor control plan to mitigate odor issues. If the odor cannot be mitigated within seven days, the use must cease until effective odor control measures are in place. For odor violations with a non-compliant odor control plan, the business can be subject to a $10,000 administrative violation and have 30 days to remedy the odor issue and comply with their odor control plan before they’re issued another administrative citation of $10,000.

After three administrative citations, the permit shall automatically be revoked.

Desert Hot Springs code allows fines up to $1,000 per day, although their staff indicates that they have never needed to issue this fine.

11.Are there any unique provisions, such as a hearing officer, that warrant further evaluation?
Stanislaus County established a hearing officer process to conduct administrative hearings to determine whether the conditions described in the notice of violation, administrative citation and order to abate, and notice of hearing constitute a nuisance.

The hearing officer also considers the suspension, revocation, or non-renewal of cannabis permits.

Desert Hot Springs contracts with a third-party for all cannabis ordinance enforcement. Palm Springs contracts for the review of odor control plans.

Cannabis Consultant Support
On April 14, a scope of work for consultant support related to cannabis odor control was issued to four companies. This scope of work builds on the city and county research performed by City staff and seeks specific subject matter expertise on cannabis odor control.

It divides the work into six areas:

1. Regulatory review and best practices assessment

2. Odor control technology evaluation

3. Odor control permitting process

4. Inspection and verification protocols

5. Stakeholder engagement and presentations

6. Training
The full scope of work is attached for reference. It also included a timeline prepared by City staff leading to the presentation of an ordinance to the Cannabis Task Force and Planning Commission in August 2025 and the City Council in September 2025. Staff would be responsible for preparing the ordinance, but with input from the consultant to ensure the City is setting clear and appropriate standards and that the ordinance is accompanied by checklists and supporting documentation for any new processes.

In addition to this scope of work, a contract has been executed with Hartman Environmental Geoscience, the fifth consultant staff met with, specifically for the review of the odor control systems at C4 Industry, both existing and proposed. This contract allows up to 50 hours of consultant time and accounts for two site visits. Through the scope of work, they are tasked with providing the City a qualified opinion on the effectiveness of both the current and proposed odor mitigation plans and make specific recommendations to improve the effectiveness of the existing and any additionally proposed odor mitigation. This contract is not to support C4 Industry but rather to support the City in its review and assessment of the odor problem at C4 Industry using objective analysis and data.

Envirosuite
The City’s current process to report cannabis odors is inefficient and relies upon a platform that was not designed or intended for odor reporting. While it has been used to aggregate complaints, the information reported through the platform is not shared with a cannabis business in real-time. The auto-generated responses to a reporting party when a complaint is made are the same as any other code compliance case, which sets an expectation with the reporting party that the City will respond to their complaint individually. The volume of cannabis odor complaints has precluded staff from investigating and responding to each individual complaint. When the complaints are closed out by City staff, residents feel they are being ignored as the underlying issue has not been addressed. To address this, staff created an email distribution group that it has been sending weekly updates to both in response to cannabis odor complaints at C4 Industry and with respect to the cannabis moratorium.

Through the pilot program with Envirosuite, the City has an opportunity to substantially improve cannabis odor reporting for the area around C4 Industry. This could potentially be expanded to other areas of the City, but beginning in May 2025 an online form will be made available on the City’s website similar to what has been deployed in Des Moines, IA:
https://www.dsm.city/departments/neighborhood_services/odor.php.

The form will document the time and date of the complaint, location, description, and optional contact information for follow-up. Once submitted, City code compliance staff would be notified of a new complaint. Envirosuite would validate the plausibility of the complaint based on atmospheric conditions, including wind direction and speed, and the location of the complaint. Envirosuite also collects time-aligned sensor data and meteorological data. The sensors will be monitoring VOC, H2S and NH3 and can be programmed to monitor two additional compounds as may be directed by the City and its consultants.

Validated complaints are assigned to the business operator, in this case C4 Industry, for investigation and response. While the City does not presently have a response timeline for cannabis businesses to address odor complaints, the pilot program establishes an initial response time of 30 minutes during business hours and 90 minutes after hours, which would include an acknowledgement of the complaint, time of receipt, and immediate investigative steps. Under the pilot program, C4 Industry would be required to post a detailed investigation summary within 24 hours, including on-site observations, source identification (if any), and mitigation actions. Code compliance staff would be responsible for reviewing the investigation conducted by the business in response to a complaint, including its resolution.

The City’s role in the pilot program would be to support its implementation through the City website and to maintain oversight of it for the purpose of regulatory compliance, the tracking of complaints, and community engagement. The pilot program is proposed for a period of six-months, through which Envirosuite, C4 Industry, and the City will evaluate its effectiveness. The pilot program can be extended for an additional six-months upon mutual agreement.

Beyond its application in the area around C4 Industry, City staff are exploring the potential deployment of additional Envirosuite sensors and weather stations elsewhere in the City to permit cannabis odor reporting and monitoring through the Envirosuite platform. There is no estimated cost for these additional services at this point. They will be assessed and evaluated under the cannabis moratorium.

Next Steps
Staff anticipates that it will award a professional services contract to a cannabis consultant in the beginning of May and that staff and the consultant will immediately begin to identify those best practices the City should model in its updated cannabis regulations, including any new odor control requirements. The consultant is expected to produce an odor control permitting process for the City, including submittal and inspection checklists. While a substantial amount of work remains, staff has developed a timeline that would result in the presentation of an ordinance to the Cannabis Task Force and Planning Commission in August 2025 and City Council in September 2025.

FISCAL IMPACT:

The contract with Hartman Environmental Geoscience is not to exceed $12,500 and will be accommodated within the existing budget. The scope of work for the other consultant support was issued on April 14, 2025, for an informal bid with the expectation that it will be within the city manager’s signature authority. This contract is expected to be split between two fiscal years and will be accommodated within the existing and proposed budget.

FIVE-YEAR STRATEGIC PLAN:

F-17 – Review and update, as needed, our ordinances, policies, and practices regarding cannabis.

ATTACHMENTS:

1. City and County Cannabis Analysis

2. Cannabis Consultant Support Scope of Work

Cannabis Urgency
Ordinance Extension
Andrew Firestine
Director of Community and Economic
Development
February 26, 2025
Background
• Ordinances regulating the licensing of medical and adult-use cannabis and establishing the zoning and land use requirements for cannabis business land uses were adopted in 2017 with the last amendment in 2022
• Cathedral City currently has 64 cannabis businesses with 105 licenses
• 47 operating businesses with 67 licenses
• 17 non-operating businesses with 38 licenses
Issues
• City has seen a large increase in the number of cannabis odor complaints
• Between January 1 and March 30, 2024, the City received a total of 38 cannabis odor complaints
• Between April 1 and December 31, 2024, the City received an additional 904 cannabis odor complaints, including 220 in November 2024 and 501 in December 2024
• Complaints were reported across the City with a large number of complaints occurring in the vicinity of Date Palm Drive and Ramon Road
Response to Issues
• Engaged with cannabis enforcement staff in other Coachella Valley cities and with the Department of Cannabis Control
• Evaluated cannabis odor control regulations in other cities • Increased staff training and creation of cannabis enforcement guide • Initiated cannabis business inspections by code compliance staff • Developed patrol routes for cannabis odor detection
• Authorized overtime to permit evening patrols
• Partnered with Cathedral City Police Department to collect additional data
• Required additional cannabis odor mitigation
Ongoing Challenge
• Despite staff efforts to manage the complaints through additional inspections of cannabis businesses, increased proactive patrols, and specific actions by cannabis businesses to mitigate odors, the City has seen an increase in the number of cannabis odor complaints
Initial Moratorium
• On January 22, 2025, Council adopted a 45-day initial moratorium on the approval of new cannabis licenses and conditional use permits and the issuance of building permits for the build-out or expansion of new cannabis businesses
Initial Moratorium
• Since the adoption of the initial moratorium, the City has continued to conduct proactive cannabis odor patrols
• The frequency of the cannabis odor detections by staff has declined since repairs were made to an exhaust fan at the large cannabis cultivation facility near Date Palm Drive and Ramon Road in mid-January
• Odor is detected intermittently by City staff, with an intensity ranging from light to strong
• There are no public health concerns identified by either the Riverside County Department of Environmental Health or the South Coast Air Quality Air Management District
• Odors are most appropriately classified as nuisance odors under section

13.80.240 of the Cathedral City Municipal Code
Review of Cannabis Regulations
• Cannabis regulations are codified within the Cathedral City Municipal Code in chapters 5.88 and 9.108
• Enforcement provisions are adopted as chapter 13.80.240 of the Cathedral City Municipal Code
• These regulations were initially adopted through Ordinance Nos. 800, 801, and 802
• Many of the regulations remain as they were adopted in 2017, particularly those in chapters 9.108 and 13.80.240
Review of Cannabis Regulations – Zoning
• Cannabis uses may be permitted as a conditional use in the Planned Community Commercial (PCC), Commercial Business Park (CBP-2), and Light Industrial (I-1) zoning districts • The PCC zoning district is the most common commercial zoning district in the City and is typified by retail uses and shopping centers throughout the City
• The CBP-2 and I-1 zoning districts are generally clustered around Perez Road
Review of Cannabis Regulations –
Separation Requirements
Minimum Separation Requirement from Use
School, Day-Care Center, or
Youth Center1
Residential Zone2 Resort Residential Zone
Dispensaries 600-feet 250-feet 250-feet, if the dispensary allows for outdoor
consumption
Cultivation, Manufacturing,
and Distribution Sites
600-feet 300-feet -
1 Setbacks from schools, day-care centers and youth centers, shall be measured to the nearest property line of the parcel where such use is located
2 Setbacks from residential zones shall be measured to: the nearest point of any legally permitted structure located in a residential zone; or if there is land within a residential zone with no legally permitted structure, the measurement shall be to the nearest property line unless the nearest property line is within the public right-of-way, in which case the measurement shall be to the edge of the right-of-way furthest from the proposed cannabis business.

Review of Cannabis Regulations – Odor
Control
• Section 9.108.080 requires as a condition of approval:

A. All Cannabis Businesses. Every cannabis business conditional use permit shall include the following conditions of approval.

1. The premises must be equipped with an odor absorbing ventilation and exhaust system so that odor generated inside the cannabis business that is distinctive to its operation is not detected outside the cannabis business, anywhere on adjacent property or public rights-ofway, on or about any exterior or interior common area walkways, hallways, breeze-ways, foyers, lobby areas, or any other areas available for common use by tenants or the visiting public, or within any other unit located within the same building as the cannabis business. As such, cannabis businesses must install and maintain the following equipment or any other equipment which local licensing authority determines has the same or better effectiveness:
a. An exhaust air filtration system with odor control that prevents internal odors from being emitted externally; or
b. An air system that creates negative air pressure between the cannabis businesses' interior and exterior so that the odors generated inside the cannabis business are not detectable outside the cannabis business.

Review of Cannabis Regulations – Odor
Enforcement
• Section 13.80.240.J of the Cathedral City Municipal Code declares a public nuisance:

J. To cause or permit persistent cannabis odors that are offensive to individuals of normal sensitivity, and which adversely impact or unreasonably interfere with the use and enjoyment of property, to:

1. Emanate across any property line.

2. Emanate across a common wall or otherwise be detectable within an adjacent or nearby unit in a multi-tenant building or in a multi-family residential building that is occupied by another.

Assessment of Cannabis Regulations
• Process of cannabis cultivation and manufacturing produces odor and the presence of cannabis businesses is likely to produce cannabis odor • No clear method to ensure conditions of approval are met or maintained • While the code requires filtration systems, it may not be current technology • Code lacks sufficient detail in section 13.80.240.J of the Cathedral City Municipal Code on how violations should be resolved
• Section 13.80.240.J of the Cathedral City Municipal Code references chapter 13.90 for enforcement subjecting cannabis violations to fines of $100 for a first violation, $200 for a second violation within a 12-month period, and $500 for a third and every subsequent violation within a 12-month period from the first violation
Potential Solutions
• Modify the zoning code to remove cultivation and manufacturing from the PCC zoning district and evaluate the separation requirements in other zones
• Develop an odor control plan to be required as part of a conditional use permit and cannabis license
• Review and update definitions and standards, including those setting the standard for odor thresholds and what constitutes a public nuisance
• Enhance code enforcement provisions for maintenance of an odor control plan and the resolution of odor violations, including fine schedule
Interim Moratorium
• Under California Government Code 65858(a), City Council may adopt a moratorium as an urgency measure where:
• It is supported by a 4/5 vote of Council;
• The ordinance contains legislative findings that there is a current and immediate threat to the public health, safety, or welfare; and
• The approval of additional entitlements and permits would result in that threat to public health, safety, or welfare.
• Initial moratorium lasts 45 days
• After notice and public hearing, the ordinance may be extended with a 4/5 vote for an additional 10 months and 15 days
• It may be extended for one additional year with a 4/5 vote Next Steps
• With an extension of the moratorium, staff would perform additional research to identify the current best practices for odor control and enforcement, focusing on communities with a large presence of indoor cannabis cultivation
• Staff would prepare a draft ordinance for presentation to the Cannabis Task Force and the Planning Commission (Title 9) • Ordinance would be presented at public hearings before the Planning Commission (Title 9) and the City Council
Recommendation
• Staff recommends approval of the moratorium extension.

Regulatory Review &
Cannabis Odor Management Tool
July 11th, 2025
1601 N. Imperial Ave.

El Centro, CA 92243
760-339-4969
Section Page
Cathedral City – Regulatory Review - Cannabis Odor Control Page i www.scsengineers.com
Table of Contents
Introduction...................................................................................................................................2 Regulatory Review and Best Practices Assessment.....................................................................3 Regulatory Review Summary....................................................................................3 Background...........................................................................................................3 Research Process .................................................................................................3 Findings.................................................................................................................3 Case Studies & Relevance to the City of Cathedral City .......................................5 Regulatory Review Summary Conclusion..............................................................5 Odor Control Plan Development...............................................................................6 Cannabis Facility Type, Odor Generating Potential & OAP Requirement..............6 Odor Abatement Plan Outline ...............................................................................7 Facility Description and Location..........................................................................7 Odor-Emitting Sources ..........................................................................................8 Odor Control Strategies and Best Management Practices (BMPs).......................8 Complaint Management System...........................................................................8 Section 2.0 Summary and Recommendations.............................................................................9 Odor Control Technology Evaluation.......................................................................................... 10 Odor Control Technologies .....................................................................................10 Change Chemical Structure................................................................................10 Remove or Filter Odor.........................................................................................11 Neutralize or Mask Odor.....................................................................................11 Dispersion and Dilution.......................................................................................11 Section 3.0 Summary and Recommendations...........................................................................14 Odor Control Permitting Process................................................................................................ 21

4.0.1 Conditional Use Permit Requirements for Nearby Jurisdictions ........................21 Performance-Based Standards ..............................................................................21 Standardized Submittal Elements..........................................................................22 Submittal Requirements ........................................................................................22 Review & Verification Protocols..............................................................................22 Section 4.0 Summary and Recommendations...........................................................................23 Inspection and Verification Protocols ........................................................................................ 24 Protocols and Continued Compliance....................................................................24 Section Page
Cathedral City – Regulatory Review - Cannabis Odor Control Page ii www.scsengineers.com
Table of Contents
Inspection Protocols............................................................................................24 Demonstration of Compliance ............................................................................24 Enforcement Triggers and Subsequent Process.................................................25 Section 5.1 Summary and Recommendations...........................................................................27 Odor Identification and Monitoring.........................................................................28 Odor Source Identification ..................................................................................28 Odor Monitoring Options.....................................................................................30 Section 5.2 Summary and Recommendations...........................................................................36 Bibliography ............................................................................................................................... 37 Figures
Figure 1: Behavior of Odor Plume as Function of Climatic Conditions (Douglas Hamilton, 2019) .... 13 Figure 2: Examples of Field Olfactometers (Nasal Ranger, Facial Mask, Box Scentometer)............. 33 Tables
Table 1: Odor Control Technologies Summary Table.......................................................................... 15 Table 2: Odor Control Options Relative to Source Type...................................................................... 19 Table 3: Summary of Odor Perception Methods Via Humans ............................................................ 31 Table 4: Summary of Odor Assessment Via Chemical Surrogate....................................................... 33 Appendices
Appendix A What is Odor?
Appendix B Example Forms
Appendix C Communication and Public Outreach
Appendix D Cathedral City Council Staff Report: Cannabis Moratorium Update Appendix E Odor Abatement Plan Template Checklists for Various Cannabis Facility Types Appendix F City of Cathedral City Licensed Cannabis Business Type and Zoning Maps Cathedral City – Regulatory Review - Cannabis Odor Control