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CEDC April 2023 Regular Meeting Packet

Council Economic Development Committee
April 3, 2023

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CEDC April 2023 Regular Meeting Packet
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April 3, 2023
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Monday, April 3, 2023
5:00 PM

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
Conference Room 2A
Council Economic Development Committee
Agenda

April 3, 2023Council Economic Development
Committee
Agenda
NOTICE: The Council Economic Development Committee will hold a hybrid meeting in Conference Room 2A and virtually via Zoom.

PUBLIC PARTICIPATION
How to submit written Public Comment:

Send an email to [email protected] by 2:00 p.m. the day of the meeting. Please identify the Agenda Item Number in the subject line of your email. Emails will be compiled into one file, distributed to the Council Economic Development Committee and staff, and published on the City's Meeting & Agenda Center under Documents Received After Published Agenda. Written comments received after 2:00 p.m. that address an item on the agenda will still be included as part of the record.

How to provide live Public Comment during the meeting:

Participate at Hayward City Hall, Conference Room 2A or click the link below to join the meeting:
https://hayward.zoom.us/j/83943165361?pwd=NTEzQ1N1YmFSUEdiNHZQaFU0Q1FiUT09 Webinar ID: 839 4316 5361
Password: CEDC-4/03!
Or join by phone:

US: +1 669 900 6833 or +1 646 931 3860
Webinar ID: 839 4316 5361
Password: 7955717654
A Guide to attend virtual meetings is provided at this link: https://bit.ly/3jmaUxa

CALL TO ORDER
AB 2449 TELECONFERENCE NOTIFICATIONS AND CONSIDERATION

ROLL CALL

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April 3, 2023Council Economic Development
Committee
Agenda
PUBLIC COMMENTS:
(The Public Comment section provides an opportunity to
address the City Council Committee on items not listed on the agenda as well as items on the agenda. The Committee
welcomes your comments and requests that speakers present their remarks in a respectful manner, within established time limits, and focus on issues which directly affect the City or are within the jurisdiction of the City. As the Committee is prohibited by State law from discussing items not listed on the agenda, any comments on items not on the agenda will be taken under consideration without Committee discussion and may be referred to staff.)

APPROVAL OF MINUTES
Approval of the Feb. 23, 2023 CEDC Regular Meeting MinutesMIN 23-0331.

Attachments: Attachment I Draft Minutes from the Feb. 23, 2023 CEDC Meeting

REPORTS/ACTION ITEMS
Strategic Roadmap Priority: Sidewalk Vending OrdinanceRPT 23-0392.

Attachments: Attachment I Staff Report
Hayward Upward Economic Recovery Program Plan Update:

Tuition Assistance Program
RPT 23-0353.

Attachments: Attachment I Staff Report

FUTURE AGENDA ITEMS
Future Meeting Topics as of April 3, 2023RPT 23-0334.

Attachments: Attachment I Future Meeting Topics as of April 3, 2023

COMMITTEE MEMBER/STAFF ANNOUNCEMENTS AND REFERRALS

ADJOURNMENT

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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: MIN 23-033
DATE: April 3, 2023
TO: Council Economic Development Committee
FROM: Chief Economic Development Officer

SUBJECT
Approval of the Feb. 23, 2023 CEDC Regular Meeting Minutes

RECOMMENDATION
That Committee members review and approve the attached draft Minutes from the Feb. 23, 2023 Regular Meeting

ATTACHMENTS
Attachment I Draft Minutes from the Feb. 23, 2023 CEDC Meeting CITY OF HAYWARD Printed on 3/24/2023Page 1 of 1
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COUNCIL ECONOMIC DEVELOPMENT COMMITTEE

MEETING MINUTES – February 23, 2023

CALL TO ORDER: Vice Chair Andrews called t he Regular meeting to order at 5:07 p.m. (Mayor Salinas was traveling from another engagement and arrived late.)

ATTENDANCE (September 2022-July 2023):

Committee Member

Present
2/23/2023
All Meetings
Year to Date
Meetings Mandated
By Resolution
Present Absent Present Absent
Mayor Salinas  2 0 2 0
Council Member Andrews  2 0 2 0
Council Member Zermeño  1 1 1 1

OTHERS IN ATTENDANCE:

Kelly McAdoo, City Manager; Catherine Ralston, Economic Development Specialist; Daniel Mao, Economic Development Specialist; Leigha Schmidt, Principal Planner; Suzanne Philis, Senior Secretary; Elex Lopez, Senior Project Manager and Project Designer, Jordan Architects

PUBLIC COMMENTS

There were none.

1. APPROVAL OF MINUTES OF REGULAR MEETING JANUARY 26, 2022

A motion to approve the minutes from the January 26, 2023 Regular Meeting was made by Council Member Andrews and seconded by Council Member Ze rmeno. The minutes we re approved with Mayor Salinas absent.

2. APPROVAL OF REVISED REGULAR CEDC FY23 MEETING SCHEDULE

A motion to approve the Revised FY23 Regular Meeting Schedule with a start time of 5pm, rather than 4pm as proposed, was made by Council Member Andrews and seconded by Council Member Zermeno. The motion was approved with Mayor Salinas absent.

Because Mayor Salinas was traveling from another engagement but had yet to arrive , Committee Members skipped to Staff Announcements.

Hayward Council Economic Development Committee
Regular Meeting Minutes
February 23, 2023

Page 2 of 5 ends

3. PRELIMINARY CONCEPT REVIEW: ZONING TE XT AMENDMENT TO ALLOW SELF -STORAGE FLEX INDUSTRIAL DEVELOPMENT AT 29265 PACIFIC STREET

Principal Planner Schmidt gave the presentation asking for feedback on the three questions posed in the staff report and presentation.

Council Mem ber Andr ews asked for more information on what combinations of flex use could be considered. Planner Schmidt said flex could mean office space or light manufacturing or, in this case, that property owners didn’t know so they just wanted the flexibility to decide later.

Council Member Andrews asked for the square footage of the parcel and spaces and w as told 113,340SF overall wit h two flex tenan t spaces of 12,800SF each. Council Member Andr ews commented that the square footage proposed for the flex spaces w as a difficult size to fill and she asked to hear from the applicant on what tenants he was expecting.

Council Member Zermeno asked what possible revenues could be generated from the proposed mix noting storage units typically provided very little. Principal Planner Schmidt confirmed storage units did not generate revenue, but she pointed out the flex space tenants could.

Council Member Zermeno asked if the City could require a guarantee that the flex space wouldn ’t be used as warehouse space or additiona l storage space and was told no by P lanner Schmidt; the use was allowed by-right with the current zoning. Council Member Zermeno asked if any language could be added to guarantee that the flex spaces had revenue -generating tenants and was told no , not without changing zoning language for that designation City-wide.

Council Member Zermeno commented that he preferred industrial uses.

Council Member Andrews asked if the flex space could be used to sell boxes and packing tape and Principal Planner Schmidt said yes.

Regarding question one (would the CEDC support a Zoning Text Amen dment to allow self-storage as a conditionally permitted use in the IL [Light Industrial] District), Mayor Salinas said he was very leery about changing the zoning across the board. He asked if there was a tool the City could use to allow self-storage at just that site. Principal Planner Schmidt explained that because self-storage was allowed in the PD (Planned D evelopment) District , there was no tool to allow the use in other Districts and she commented that if the City allowed self-storage to come into an IL District, Planning would receive constant requests for self-storage in all other districts.

Mayor Salinas asked if this was an “all or nothing” situation. Principal Planner Schmidt explained that the only thing the City could do was create another zon ing district or amend the existing district to allow the use.

Mayor Salinas said he considered requiring ground-level retail, but the site didn’t lend itself to it.

Council Member Andrews asked if specific uses could be required in the flex space and was told the Hayward Council Economic Development Committee
Regular Meeting Minutes
February 23, 2023

Page 3 of 5 ends

designation of Light Industrial set which uses were allowed by-right.

Council Member Andrews questioned if a small g rocery store could fit into one of the flex spaces.

Economic Development Spec ialist Ralston mentioned that a small manufacturer c ould fit; a person working in their garage or an Etsy store o wner who was ready for a small brick and mortar location to make their goods. Council Member Andrews asked if th ose type s of spaces were currently available and was told no.

Council Member Zermeno said no to the project.

Council Member Andrews said she was n’t sure it was a no for her , but she expressed concern about losing the industrial space.

Mayor Salinas opened the floor for public comments. Elex Lopez, Senior Project Manager and Project Designer represen ting Jordan Architects, the developer for the pro posed project, said they hoped that the flex space could be used as office space for an architectural firm or independent contractor.

Mayor Salinas said based on feedback, City Council wasn’t ready to approve this project. The answer to the three questions was “No”, he said.

4. HAYWARD UPWARD ECONOMIC RECOVERY PLAN UPDATE: DOWNTOWN ACTIVATION

Economic Development Specialist Ralston gave the presentation noting if Members were supportive, the item would go to C ity Council on March 2 1 to approve the contract with the outside program manager.

Council Mem ber Zermeno praised the p roposal saying the ideas were excellent for weekends downtown, but to be really successful he suggested closing B and Main Streets to vehicular traffic.

Council Member Andrews said she was so excited to see t he presentation and the “Instagrammable” opportunities. She asked staff if a survey was do ne to determine the best hours to hold the activities to attract the most people. Economic Development Specialist Ralston said for s ix months program activities would take place every Friday from 4-8pm and Saturdays from 2-8pm to attract families.

Council Member Andrews said she would like to see something for teens and asked if staff could reach out to downtown record shops to have a DJ play music. She loved the sidewalk chalk art idea .

She asked if there would be any conf lict with local restaurants for the proposed pop-ups. Specialist Ralston explained that ven dors would not be a llowed to sell food and would inst ead focus on retail goods.

Council Member Andrew s com mented that she sa w food and al so clothing vendors around Mi a’s Dream park o ff of Tennyson and suggested using encroachment permit enforcement to corra l these vendors. Specialist Ralston said the project manager could reach out to pop-up vendors to help them get “legal” in terms of business licensing and permitting.

Council Member Andrews said she was excited about the Art in Action p roposal and asked if artists could engage the community at downtown hot spots to paint walls on buildings that consistently had Hayward Council Economic Development Committee
Regular Meeting Minutes
February 23, 2023

Page 4 of 5 ends

issues with tagging and graffiti to create lasting art. Spe cialist Ralston said she wou ld pass the suggestion on the program manager to start engaging property owners.

Mayor Salinas said “Yes” to all three programs and noted both HARD and HUSD were thinking about what Hayward could do to engage teens . He suggested dueling DJs and utiliz ing the Newson Park at Mission and B.

Mayor Salinas noted that because all of the activities were outside, it would also be appropriate and fun to close down B and Main so participants c ould bring their dogs. He suggested adding paw prints to program marketing m aterials so folks w ould know activities were pet friendly . He added that businesses would totally participate with water and treats for passing pooches.

5. FUTURE MEETING TOPICS AS OF FEBRUARY 23, 2023

Regarding the Update on City Fiber/Broadband Ini tiatives, Mayor Salinas sa id the more he spoke to folks, the grumpier they were about getting high-speed, high -quality internet d owntown. City Manager McAdoo reported that Adam Kostrzak, the City ’s Director of Information Technology, met with Comcast representatives and confirmed there were better options downtown and that staff was working to get the word out to business owners. Council Member Andrews said she he ard the same complaints from business owners in the industrial sector.

Regarding the Southland Mall U pdate, Council Member Andrews said she would love to hear what actions or partnerships Hayward Police had with management to keep the parking lots and mall safe.

COMMITTEE MEMBER/STAFF ANNOUNCEMENTS AND REFERRALS

Economic Development Specialist Ma o gave a slide presentatio n of the outcome of the A lameda County Small Business Recover y Grant program and how Hayward businesses fared. He also showed photos from ribbon cuttings at Vivoz and Virgelina.

Council Member Andrews thanked staff for organizing the ribbon cuttings and a sked if there were more grant opportunities coming up in the f uture. Specialist Ma o said he wasn ’t sure because the grants were offered by the County. Co uncil Member And rews asked staff to write a letter to the County encouraging them to offer more.

Council Member Andrews said Vivoz wanted to expand the patio seating and then commented that it looked like they already had. Specialis t Mao said an encroachment permit appli cation had been sent to the business owner.

Council Member A ndrews asked if downtown record shops co uld sell records and have amplified music from t he sidewalks in front of their shops and Principal Planner Schmidt said yes, but they would need an en croachment permit to do so and an event permit to play music. Council Member Andrews asked i f shop owners could apply for an on -going event permit li ke a Firs t Friday of the month kind of event and Planner Schmidt said yes, they could apply for an extended permit.

Hayward Council Economic Development Committee
Regular Meeting Minutes
February 23, 2023

Page 5 of 5 ends

Senior Secretary Philis announced her pending retirement and noted this would be h er last CEDC meeting. The Mayor and Council Members con gratulated her and praised h er work over her 20 years with the City.

ADJOURNMENT: The meeting was adjourned at 6:18 p.m.

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 23-039
DATE: April 3, 2023
TO: Council Economic Development Committee
FROM: Acting Development Services Director

SUBJECT
Strategic Roadmap Priority: Sidewalk Vending Ordinance

RECOMMENDATION
That the Council Economic Development Committee (CEDC) reviews the report and provides feedback and direction to staff regarding the proposed goals and policies of the proposed sidewalk vending ordinance.

SUMMARY
Senate Bill (SB) 946 was signed into law on September 17, 2018 by Governor Jerry Brown. Effective January 1, 2019, SB 946 decriminalized sidewalk vending statewide and limited local jurisdictions’ authority to regulate sidewalk vending. Further, SB 946 preempts any contrary local regulations, requiring any local regulation of sidewalk vending be consistent with SB 946. The City currently does not have an ordinance that regulates sidewalk vendors and the purpose of this proposed ordinance would be to establish a regulatory framework for all sidewalk vendors operating within the public right-of-way in order to maintain public health, safety and general welfare.

In 2019, the City Council adopted its Strategic Roadmap Priorities and one of the priorities identified was to develop a Sidewalk Vendor Ordinance that aligns with SB 946. The Planning Division is undertaking the effort to update the Municipal Code to be compliant with SB 946 and establish a set of guidelines to allow sidewalk vendors the ability to operate safely within public right-of-way. Further, congruent with the state legislation, the ordinance would promote entrepreneurship and economic empowerment among low-income and marginalized communities. As part of the update efforts, the Planning Division has conducted outreach and engagement with stakeholders in the community to receive input on a regulatory framework for sidewalk vending. City staff is seeking additional input and policy direction from the CEDC to be considered in the preparation of the ordinance.

ATTACHMENTS
Attachment I Staff Report
CITY OF HAYWARD Printed on 3/24/2023Page 1 of 1
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DATE: April 3, 2023

TO: Council Economic Development Committee

FROM: Acting Development Services Director

SUBJECT: Strategic Roadmap Priority: Sidewalk Vending Ordinance

RECOMMENDATION

That the Council Economic Development Committee (CEDC) reviews the report and provides feedback and direction to staff regarding the proposed goals and policies of the proposed sidewalk vending ordinance.

SUMMARY

Senate Bill (SB) 946 was signed into law on September 17, 2018 by Governor Jerry Brown.

Effective January 1, 2019, SB 946 decriminalized sidewalk vending statewide and limited local jurisdictions’ authority to regulate sidewalk vending. Further, SB 946 preempts any contrary local regulations, requiring any local regulation of sidewalk vending be consistent with SB 946. The City currently does not have an ordinance that regulates sidewalk vendors and the purpose of this proposed ordinance would be to establish a regulatory framework for all sidewalk vendors operating within the public right-of-way in order to maintain public health, safety and general welfare.

In 2019, the City Council adopted its Strategic Roadmap Priorities and one of the priorities identified was to develop a Sidewalk Vendor Ordinance that aligns with SB 946. The Planning Division is undertaking the effort to update the Municipal Code to be compliant with SB 946 and establish a set of guidelines to allow sidewalk vendors the ability to operate safely within public right-of-way. Further, congruent with the state legislation, the ordinance would promote entrepreneurship and economic empowerment among low-income and marginalized communities. As part of the update efforts, the Planning Division has conducted outreach and engagement with stakeholders in the community to receive input on a regulatory framework for sidewalk vending. City staff is seeking additional input and policy direction from the CEDC to be considered in the preparation of the ordinance.

BACKGROUND

The Safe Sidewalk Vending Act, also known as SB 946, was signed into law by then-Governor Jerry Brown on September 17, 2018, and became effective January 1, 2019. By

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decriminalizing sidewalk vending statewide and limiting local jurisdictions’ authority to regulate sidewalk vending, SB 946 aimed to provide “important entrepreneurship and economic development opportunities to low-income and immigrant communities,” increase access to “culturally significant foods and merchandise,” and contribute “to a safe and dynamic public space.”1 Most significantly, SB 946 preempts any local regulation that is inconsistent with State law and, absent consistent regulations, the legislation required local jurisdictions to develop and adopt regulations that align with SB 946.

Since the effective date of the statute in 2019, the City has been working to develop a regulatory framework that aligns with State law. City staff has convened on several occasions to discuss the implications of the statute on the City’s existing regulations related to sidewalk vending and the potential development of a regulatory program consistent with state law.

Moreover, in adopting its FY 2021-23 Strategic Roadmap, the City Council included the “Sidewalk Vendor Ordinance” as a priority in an effort to “invest in programs that support Hayward businesses and workers” under the “Grow the Economy” strategic priority.

Due to shifting priorities in response to the COVID-19 pandemic, the project was suspended until the fall of 2022. Since that time, the Planning Division has conducted additional outreach and engagement with stakeholders and a summary of that feedback is provided below.

Public Outreach. On December 19, 2022, City staff held an informal listening session with several of the business owners that had previously attended City Council meetings with concerns about the increase in street/sidewalk vendors throughout the City. Staff provided an overview of SB 946 and the business owners were given the opportunity to express their concerns, which focused on public safety and whether the City could initiate enforcement activity on sidewalk vendors. Staff also discussed the types of enforcement activities that the City could engage in. City staff followed up with each of these business owners and provided an update explaining the extent of the City’s enforcement authority regarding sidewalk vendors.

Following that initial stakeholder meeting, additional outreach efforts have continued through a series of targeted stakeholder meetings. On February 2, 2023, a stakeholder meeting was held with sidewalk vendors. The meeting had a total of 10 attendees, including five City staff, two sidewalk vendors, one potential sidewalk vendor, and two staff members of a community organization.

In February, staff also held additional meetings with the Hayward Unified School District (H.U.S.D.), Downtown Hayward Improvement Association (DHIA), Hayward Area Recreation and Park District (H.A.R.D.), Alameda County Department of Environmental Health, and the Agricultural Institute of Marin (Farmer’s Market). While H.U.S.D. had not received recent complaints from parents about sidewalk vendors, H.U.S.D. is researching whether this issue was raised and discussed with the executive team and is discussing whether there is interest in a buffer distance between schools and sidewalk vendors. As for the DHIA, complaints about sidewalk vendors operating near restaurants have not been received, but the concern that

1 SB 946, Section 1 - Bill Text - SB-946 Sidewalk vendors. (ca.gov)

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sidewalk vendors undercut into the profits of restaurants has been raised. DHIA also mentioned that ADA accessibility and health and safety concerns should be addressed in the ordinance.

As for H.A.R.D., although they have jurisdiction over parks within its system and have dealt with vendors, it has been observed that the vendors move from the park to the sidewalk and, at times, to the sidewalk across the street from the park, creating a hazardous condition for people crossing lanes of traffic outside of the crosswalk. To address this potential hazard, H.A.R.D. has expressed interest in a buffer distance between its parks and sidewalk vendors.

As for the Alameda County Department of Environmental Health, given that a county-issued Mobile Food Facility Permit is generally required for sidewalk vendors that sell food and that the county holds workshops to educate the public about the permitting process, interest in a partnership with the City in holding workshops after ordinance adoption was expressed. As for the Farmer’s Market, one of the challenges observed in other jurisdictions was sidewalk vendors near the farmer’s market. The farmer’s market was interested in a buffer distance between sidewalk vendors and the market but was also willing to partner with sidewalk vendors to be included in the market.

In mid-February, staff launched a webpage that provides regular project updates as well as information related to SB 946. The webpage also contains staff contact information, provides key dates for future stakeholder meetings, work sessions, and public hearings, indicates key project milestones, and will provide members of the public access to the draft sidewalk vending ordinance when completed. The webpage can be accessed at the following web address: https://www.hayward-ca.gov/content/sidewalk-vending-ordinance-update.

Moreover, a dedicated email address for the project ([email protected]) was created which allows members of the public the opportunity to sign up for project notifications and submit comments. To date, there have been 72 comments received from the public. The comments were related to the general comments of competition with brick-and- mortar businesses, permitting, public safety, food safety, cleanliness of area and equipment, traffic, and impact on neighborhood appearance.

Additionally, staff is currently working to develop an online survey to give the public an additional opportunity to give their opinions on sidewalk vending and get a better understanding of interests, opportunities, and concerns tied to the project. The online survey will be available on the project’s webpage and will be utilized to gather additional input to supplement the input collected at the stakeholder meetings. On February 23, 2023, an article was published in the East Bay Times that highlighted the City’s community outreach efforts and progress toward the development of a sidewalk vending ordinance. Staff emphasized taking a balanced approach to ensure that the new sidewalk vendor program established policies to ensure safe operation by sidewalk vendors and provide an equitable and inclusive approach.

In late March, staff performed additional canvassing throughout the City to meet sidewalk vendors and obtain additional feedback. Staff also anticipates holding a second stakeholder

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meeting with the business owners in early April to provide additional opportunities for public comment.

Additionally, staff plans to meet with the Government Relations Committee of the Chamber of Commerce in early April to obtain feedback and is also planning a work session with City Council in May 2023 to receive additional feedback on several key policy issues.

Council Economic Development Committee

In February 2020, staff brought this item before the CEDC to report on the progress of the project and receive clarification on the City Council’s recommended policy approach.2 The CEDC suggested that if either a permissive policy approach or a regulatory approach were undertaken, an entrepreneurial permitting program should be established, with rules and guidelines that participants would be required to follow to ensure public safety such as obtaining a County health permit. The CEDC also expressed concerns about businesses based outside of Hayward coordinating sidewalk vendors to sell products in the city and the impact of sidewalk vending on brick-and-mortar businesses. Other considerations included a requirement that sidewalk vendors carry insurance coverage, receipt of sales tax from the selling of merchandise, and inclusion of a list of conditions and best practices in the ordinance.

DISCUSSION

SB 946 Overview

The Safe Sidewalk Vending Act, or SB 946, applies to a “person who sells food or merchandise from a pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other nonmotorized conveyance, or from one’s person, upon a public sidewalk or other pedestrian path.” Under SB 946, a city cannot entirely prohibit or criminalize sidewalk vending. Further, the provisions of SB 946 preempt any contrary local ordinance related to sidewalk vending and requires local jurisdictions to adopt ordinances consistent with SB 946 to lawfully regulate sidewalk vending. SB 946 is codified in Sections 51036 to 51039 of the Government Code3.

Generally, SB 946 allows local jurisdictions to adopt a range of regulations as long as those regulations are directly related to objective health, safety, and welfare concerns. Expressly permitted regulations under the statute include the following:

 Cities may prohibit stationary vendors in residential zones outright, but not mobile vendors. Mobile vendors may be subject to reasonable regulations directly related to objective health, safety, or welfare concerns.

2 February 3, 2020 CEDC Meeting Minutes: https://hayward.legistar.com/View.ashx?M=E3&ID=752549&GUID=55B8F6DC-4EB5-4A69- 9DB3-ADD4E3C2B809
3 Government Code:
https://leginfo.legislature.ca.gov/faces/codes_displayText.xhtml?lawCode=GOV&division=1.&title=5.&part=1.&chapter=6.2.&article=

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 Cities may prohibit sidewalk vendors to locate near certified farmers’ markets, swap meets, or other specially permitted temporary events, but only for the duration of the event.
 Cities may prohibit all sidewalk vending in a park (including beaches or open space areas) if a city has an exclusive concessionaire agreement for that site.

SB 946 also enumerates a set of permissible optional regulations that a city may adopt. While the list is not exhaustive, the statute provides examples of reasonable time, place, and manner restrictions directly related to objective health, safety, and welfare concerns:

 Limitations on hours of operation that are not unduly restrictive. In non-residential areas, any limitations on the hours of operation for sidewalk vending shall not be more restrictive than any limitations on hours of operation imposed on other businesses or uses on the same street;
 Requirements to maintain sanitary conditions;
 Requirements necessary to ensure compliance with the federal Americans with Disabilities Act;
 Requiring the sidewalk vendor to obtain from the local authority a permit for sidewalk vending or a valid business license;
 Requiring the sidewalk vendor to possess a valid California Department of Tax and Fee Administration seller’s permit;
 Requiring additional licenses from other state or local agencies to the extent required by law (e.g. a Mobile Food Facility Permit issued by Alameda County);  Requiring compliance with other generally applicable laws (e.g. fire safety requirements); and
 Requiring a sidewalk vendor to submit information on his or her operations.

SB 946 also limits the regulations that cities may impose on sidewalk vendors. including:

 Prohibiting all sidewalk vending;
 Requiring a sidewalk vendor to operate only within specific parts of the public right- of-way or only within specific neighborhoods or areas – except for a restriction directly related to objective health, safety, or welfare concerns;  Restricting the overall number of sidewalk vendors permitted to operate within the City– except for a restriction directly related to objective health, safety, or welfare concerns; and
 Requiring a sidewalk vendor to first obtain the consent or approval of any nongovernmental entity or individual before he or she can sell food or merchandise

Additionally, SB 946 imposes limits on local jurisdictions’ enforcement mechanisms. After January 1, 2019, a city can no longer punish sidewalk vending by criminal infraction or misdemeanor. Instead, if a vendor violates local regulations, the State has established the following maximum fine amounts:

First Violation Administrative Fine of $100

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Second Violation Within One Year of First Administrative Fine of $200 Each Additional Violation Within One Year of the First Administrative Fine of $500 Fourth and Subsequent Violations Revocation of Permit

If a sidewalk vending permit is required, vending without a permit is punishable by the following fines:

First Violation Administrative Fine of $250
Second Violation Within One Year of First Administrative Fine of $500 Each Additional Violation Within One Year of the First Administrative Fine of $1,000

SB 946 also requires local jurisdictions to establish an administrative process to determine one’s ability to pay the administrative fine.

If selling food, the sidewalk vendor is also required to obtain a Mobile Food Facility Permit issued by Alameda County Department of Environmental Health. If a complaint is received that a sidewalk food vendor is allegedly violating provisions of the California Health and Safety Code, an Alameda County Department of Environmental Health Inspector will investigate in pairs and if the violation is found, will prepare a Notice of Violation. For a first violation, the Notice of Violation is sent that informs the vendor that they’re in violation of the state Health and Safety Code, cites the specific regulation that they’re violating, and provides outreach documents that contain instructions on how to become compliant. For a second violation, an Inspector from the Department of Environment Health will contact the vendor again to highlight the violation as well as provide the necessary documentation to be compliant with health and safety codes. In some instances, the cart/pushcart will be impounded.

Proposed Municipal Code Amendment

In order to be consistent with SB 946, the City will need to amend sections of the Hayward Municipal Code (HMC) that relate to sidewalk vending, including Section §8-1.84, which regulates peddling by foot or vehicle. The existing regulations that apply to food vending on private property will remain unchanged as SB 946 only addresses sidewalk vending in the public right-of-way. As previously stated, if the City would like to regulate sidewalk vending, the City will need to adopt new regulations and administer a program that complies with SB946. These regulations will replace regulations that do not substantially comply with SB 946.

Summary of Other Sidewalk Vending Regulations

As part of staff research, staff reviewed Ordinances of nearby cities that have adopted a similar sidewalk vending ordinance. These cities include Cupertino, Danville, Fremont, Oakland, Pleasanton, San Jose, South San Francisco, and Walnut Creek. Most of these cities maintain a registry for the sidewalk vendors operating in the city and all jurisdictions require sidewalk vendors to obtain a local permit in addition to any other health and safety permits required by their county. In addition, all jurisdictions surveyed do require minimum setback

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distances between sidewalk vendors and certified farmer’s markets and schools, require a minimum unobstructed area in compliance with the Americans with Disabilities Act, require that sidewalk vendors provide trash receptacles for food waste, and require that sidewalk vendors provide proof of general liability insurance.

Other Permits Required

Generally, sidewalk vendors that sell food are required to obtain a Mobile Food Facility Permit issued by Alameda County Department of Environmental Health. The Mobile Food Facility Permit program applies to a truck, trailer, cart, pushcart or another vehicle that meets California Retail Food Code requirements and operates in conjunction with an approved commissary or food facility. A commissary is a facility approved by the Alameda County Department of Environmental Health to provide required services for mobile food facilities, mobile support units, or vending machines. At the commissary, food is prepared or packaged, utensils are cleaned and sanitized, liquid waste and refuse are properly disposed of, and potable water is obtained.

However, recent State legislation exempts from the Mobile Food Facility Permit requirement any sidewalk vendor with 25 square feet or less of display area that sells only bagged snacks, cans of soda, bottled water, whole fruits and vegetables, canned goods that do not need to be refrigerated, and other similar foods. If the City elects to adopt a local permitting program, any regulation will also need to take into account the exemptions allowed per State law.

Feedback Requested from CEDC

Staff is in the process of obtaining stakeholder feedback prior to developing the draft Ordinance and specifically, staff would like feedback from the CEDC on the following:

1. Should the sidewalk vending ordinance include some of the optional regulations that are allowed per State law, such as establishing setback requirements from certain land uses, such as schools, parks, parking lots, public fixtures, and farmer’s markets?

2. Does the CEDC support limiting the hours of operation for sidewalk vendors?

3. Does the CEDC support the establishment of minimum performance standards for sidewalk vendors that includes maintaining sanitary conditions, maintaining sidewalk clearance in accordance with the ADA, providing trash receptacles to dispose of waste, and complying with noise regulations?

4. Does the CEDC support establishing a permit fee to cover the cost of administration and enforcement of the new sidewalk vendor program or does the CEDC recommend the permit fee be lowered as to not create an additional financial burden on the sidewalk vendor and create a barrier to entry for compliance?

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5. Does the CEDC support enforcement that is more focused on the maximum fines similar to the State or more focused on a collaborative means for compliance, focused on education and awareness?

NEXT STEPS

Following the CEDC meeting, staff will continue to obtain comments and feedback thru the end of April and plans to present those findings to the City Council a at work session, tentatively scheduled for late May 2023. Following the Council feedback, staff will prepare the draft ordinance for public review and feedback prior to finalizing the Ordinance and presenting it to Council, which is anticipated for late Summer 2023.

Prepared by: Rozalynne Thompson, Senior Planner

Recommended by: Sara Buizer, Acting Development Services Director Paul Nguyen, Chief Economic Development Officer

Approved by:

_______________________________________
Kelly McAdoo, City Manager

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 23-035
DATE: April 3, 2023
TO: Council Economic Development Committee
FROM: Chief Economic Development Officer

SUBJECT
Hayward Upward Economic Recovery Plan Update: Tuition Assistance Program

RECOMMENDATION
That the Council Economic Development Committee receives updates on the progress of the Hayward Upward Economic Recovery Plan: Tuition Assistance Program.

SUMMARY
The Tuition Assistance program is an ARPA-funded program within the City of Hayward’s COVID-19 economic recovery plan, which was reviewed by the Council Economic Development Committee in June 2021. This program seeks to provide financial assistance for Hayward residents that attend courses at Chabot College, California State University East Bay, and other accredited technical schools to obtain certificates and professional training that enhances their employment competitiveness in the marketplace. The program also creates a workforce pipeline to support businesses recovering from the pandemic’s negative impacts. The following report provides an update on the current program, next steps, and a proposed adjustment and expansion to meet the needs of residents and the business community.

ATTACHMENTS
Attachment I Staff Report
CITY OF HAYWARD Printed on 3/24/2023Page 1 of 1
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DATE: April 3, 2023

TO: Council Economic Development Committee

FROM: Chief Economic Development Officer

SUBJECT: Hayward Upward Economic Recovery Plan Update: Tuition Assistance Program

RECOMMENDATION

That the Council Economic Development Committee receives updates on the progress of the Hayward Upward Economic Recovery Plan: Tuition Assistance Program.

SUMMARY

The Tuition Assistance program is an ARPA-funded program within the City of Hayward’s COVID-19 economic recovery plan, which was reviewed by the Council Economic Development Committee in June 2021. This program seeks to provide financial assistance for Hayward residents that attend courses at Chabot College, California State University East Bay, and other accredited technical schools to obtain certificates and professional training that enhances their employment competitiveness in the marketplace. The program also creates a workforce pipeline to support businesses recovering from the pandemic’s negative impacts.

The following report provides an update on the current program, next steps, and a proposed adjustment and expansion to meet the needs of residents and the business community.

BACKGROUND

Prior to the COVID-19 pandemic, the San Francisco Bay Area had one of the tightest job markets in the country. Businesses across the region struggled to find enough qualified, trained workers to fill open positions. Many were forced to recruit from outside the immediate region. However, the high housing prices often forced those workers to endure long commutes to reach their place of employment. Hayward employers experienced even greater difficulties in employee retention and recruitment due to the COVID-19 pandemic.

With many business sectors forced to close due to State and County health mandates, employees were often placed on a furlough or released from their employment after the initial shelter-in-place order. Many employees took this opportunity to seek employment closer to their homes or find careers in industries that were open or allowing employees to work from home. As the economy entered the recovery period, businesses are now having to fill both

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previously filled positions and new positions. The competition for the skilled workforce continues to be a hurdle businesses face. While the Bay Area has seen some sizable layoffs in employment in the tech industry, there is still a lack of workforce available for many of the skilled technical or advanced manufacturing positions.

DISCUSSION

Tuition Assistance Program
The Tuition Assistance Program is designed to provide financial assistance to Hayward residents that have been affected by COVID-19 or those that wish to improve their skills to better their prospects in the job market. The program’s objective is to lower the barrier to educational opportunities and help individuals pursue higher skilled jobs that offer better pay and/or prepare the individual to pursue their entrepreneurial aspirations. Grantees must register and attend courses offered through Chabot Community College, Cal State East Bay or another accredited program.

Over the last three months, Economic Development staff has engaged potential partners and fiscal agents to develop a framework for this program. Staff is currently working on formalizing partnerships with Chabot College, California State University East Bay, and Eden Area Regional Occupational Program Center (Eden Area ROP). These partners will administer the microgrants, which will be between $500 to $2,000 depending on several factors such as:
program of study, program cost, length of the program, and other aid the resident has received. Each grant recipient may only accept funding once per fiscal year. Based on feedback from our potential partners, staff set the size range of the grant to be flexible. The amount may fluctuate on a case-by-case basis due to its potential negative impact on a grantee’s other financial aid, scholarship, or social benefits program eligibility.

FISCAL IMPACT

The Hayward Tuition Assistance Program is funded from the Economic Recovery allocation the City designated as part of the American Rescue Plan Act program dollars. The program initially was allocated $200,000. This amount will cover the cost of approximately 175 grants for Hayward residents’ educational expenses and one of the Workforce Development fairs.

Staff is exploring the reallocation of funds from two related economic recovery plan programs - Earn and Learn and the Get Digital Programs - which are launching at a larger scale by other partner agencies in the county. The reallocation of up to $200,000 to the Tuition Assistance Program could fund three proposed job fairs and an additional 175 grants. Final approval of the reallocation of funds will be reviewed by the City Council during the budget adoption process.

NEXT STEPS

Implementation of the Tuition Assistance Program
Staff is currently negotiating agreements with Chabot College, California State University East Bay, and Eden Area ROP. Chabot College and California State University East Bay will act as the fiscal agents of the program, with each receiving $75,000 for grant issuance. They will be

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responsible for accepting applications, approving them, and disbursing funds to grant recipients. Eden ROP, a provider of vocational training, will continue to work through their existing partnership with CSUEB to drive potential grant applicants into the Tuition Assistance programs. Upon execution of the agreements, staff anticipates Chabot College will issue the first tuition assistance grants in the Spring session with the CSUEB launching their grant program this Fall.

Proposed Program Adjustment: Connecting Grantees to Employers The Tuition Assistance Program is a workforce development program designed to upskill Hayward residents through education and training programs and make them more competitive for higher paying job opportunities. The City’s economic recovery plan also seeks to build a local workforce pipeline by connecting students from our local educational and training institutions to the Hayward employers. To connect the dots between upskilled jobseekers and Hayward employers, the Tuition Assistance program will now also feature a Workforce Development Fair hosted by the education partners and the City. The event will invite Hayward employers to host tables so that they may recruit from the pool of program recipients. There are three proposed job fairs contemplated for August 2023, May 2024, and August 2024. Specific dates and locations will be determined.

Prepared by: Daniel Mao, Economic Development Specialist

Recommended by: Paul Nguyen, Chief Economic Development Officer

Approved by:

________________________________________
Kelly McAdoo, City Manager

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 23-033
DATE: April 3, 2023
TO: Council Economic Development Committee
FROM: Chief Economic Development Officer

SUBJECT
Future Meeting Topics as of April 3, 2023

RECOMMENDATION
That Committee members review and comment on the attached Future Meeting Topics.

ATTACHMENTS
Attachment I Future Meeting Topics as of April 3, 2023
CITY OF HAYWARD Printed on 3/24/2023Page 1 of 1
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Council Economic Development Committee
Future Meeting Topics as of
April 3, 2023

RESPONSIBLE
STAFF

FUTURE MEETING AGENDA ITEMS

PRESENTATION
DATE*
Economic
Development Economic Impacts of COVID-19 & Trends Standing Item Economic
Development Tour of Downtown with Retail Expert Summer Economic
Development
Southland Mall Update and Report on
Partnerships with Police Summer
Public Works/
Information
Technology

Update on City Fiber/Broadband Initiatives
(Following update to CIC)

2023
Planning
Staff
Update on Status of Issued Cannabis
Permits

2023
*Subject to change and data availability

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