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Council Packet

Hayward City Council
October 10, 2023

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Council Packet
Meeting
October 10, 2023
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Hayward City Council
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14
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Text extracted from the city's file for reading and search. Open the original on hayward.legistar.com. That file is the official record.

DATE: October 10, 2023

TO: Mayor and City Council

FROM: Assistant City Manager

SUBJECT: Adopt a Resolution Authorizing the Formation of the Hayward Economic Development Corporation as a Nonprofit Public Benefit Corporation; and Finding the Action is Exempt from CEQA Review

RECOMMENDATION

That the Council adopts a resolution (Attachment II) authorizing the formation of the Hayward Economic Development Corporation (Corporation) as a nonprofit public benefit corporation and finding the action is exempt from CEQA review.

SUMMARY

The Government Code enables cities, and other local jurisdictions, to perform economic development activities. (See Gov’t Code §52201, §52202 and §52203). Additionally, it is a public policy of the State to protect and promote sound development of economic opportunities (Gov’t. Code . §52200.4). Under Government Code §§52200-52203, public money may be spent and private property acquired for creating economic opportunity, which constitutes a public use.

Staff recommends the formation of the Corporation as a nonprofit public benefit corporation (the "Corporation”) organized under Section 509(a)(3)(A) as a supporting organization organized exclusively to benefit and support the City of Hayward in implementing the economic development activities throughout the city, along with other related objectives.

Staff also recommends that the Council authorize the formation of the Corporation and to authorize the City Manager to enter into and execute the Formation Documents, all in such forms as approved by City Attorney, and to take any other actions, necessary to enable the formation of the Corporation, as well as any and all other activities contemplated in the attached resolution.

DISCUSSION

The Government Code enables cities, and other local jurisdictions, to perform economic development activities. (See Gov’t Code §52201, §52202 and §52203). Additionally, it is a

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public policy of the State to protect and promote sound development of economic opportunities (Gov’t. Code . §52200.4 ) Whenever the creation of economic opportunities cannot be accomplished by private enterprise alone, without public participation and assistance, it is in the public interest to expend public funds to provide a means by which economic opportunity can be created.

Under Government Code §§52200-52203, public money may be spent and private property acquired for creating economic opportunity, which constitutes a public use. Furthermore, the provision of appropriate continuing land use and construction policies with respect to property acquired, in whole or in part, for economic opportunity constitutes a public use.

These activities are governmental functions of state concern in the interest of health, safety, and welfare of the people of the state and cities and counties.

After the dissolution of the Redevelopment Agency of the City of Hayward in 2012, the City has primarily performed the economic development activities and implemented the economic development goals of the City. The City recognizes the benefits associated with the creation of economic opportunity and community economic development in the city. Through the formation of the Corporation, the City intends to activate an entity that will play a more prominent role in local community economic development.

Staff recommends that the Council authorize the City Manager to form a nonprofit corporation organized to benefit and support the City which may lessen the burdens of the city government by: (1) utilizing private and public funding sources to combat community blight and deterioration in the city and contribute to the physical improvement of the city; (2) assisting in providing and expanding economic opportunities in the city; (3) encouraging and stimulating economic development within the city; (4) promoting social welfare by providing services, educational programs, and economic development opportunities; (5) implementing and assisting City redevelopment activities and programs that will eliminate discrimination and prejudice, and combat community deterioration; (6) expanding the opportunities of residents and groups to own, manage, and operate business enterprises; (7) assisting residents and groups to develop entrepreneurial and management skills necessary for the successful operation of business enterprises; (8) assisting residents and groups to obtain financial support from other sources; (9) acquiring, providing, developing, leasing, financing, rehabilitating, owning and operating property in support of the City's economic development goals; (10) acquiring, providing, developing, leasing, financing, rehabilitating, owning and operating decent, safe and sanitary housing affordable to persons and households of low income; and (11) carrying out such other activities as the board of directors of the Corporation determines will benefit and support the City (collectively, the "Corporate Activities").

The general purpose of this Corporation is to have and exercise all rights and powers conferred on nonprofit corporations under the laws of California and to perform the Corporate Activities, provided that this Corporation shall not, except to an insubstantial degree, engage in any activities or exercise any powers that are not in furtherance of the primary purposes identify in the Corporation's governing documents. The formation of the

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Corporation will allow the City to achieve these goals in a more efficient and streamlined manner.

A nonprofit public benefit corporation is not automatically exempt from federal or state income tax or from state property tax. To obtain exemption from federal and state income tax, a nonprofit public benefit corporation must apply for tax-exempt status with the IRS and the California Franchise Tax Board ("FTB"). Staff intends to apply for tax-exempt status with the IRS and the FTB.

The creation of the Corporation will allow for the City to continue to achieve its economic development activities and implement the economic development goals of the City, by delegating the responsibilities to the Corporation. Initially, the City Council will serve as the Board of Directors for the Corporation.

Environmental Review

The formation of the Corporation is not a project pursuant to 14 California Code of Regulations 15378(b)(5), as it is an organizational or administrative activity of governments that will not result in direct or indirect physical changes in the environment.

ECONOMIC IMPACT
The expectation is that through the conduct of its Corporate Activities, the Corporation will have a significant positive economic impact on the community.

FISCAL IMPACT
Staff will bring a subsequent item for City Council consideration and approval that will focus on the initial capitalization of the Corporation as well as other key formation tasks.

STRATEGIC ROADMAP

The proposed project supports the Strategic Priority of Grow the Economy. Specifically, this item relates to the implementation of the following project(s):

Q12 Engage owners of vacant building properties to encourage activation, starting in the downtown, and enforce against owners of empty storefronts

E1 Work with the CEDC to identify priority sites and review concept plans, including downtown sites and Southland Mall

E4 Continue to roll out the Downtown District Activation pilot program which includes performance art

E15 Study the options for disposing of Successor Agency parcels on Mission Boulevard

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SUSTAINABILITY FEATURES

The creation of the Hayward Economic Development Corporation does not have any known direct or identifiable sustainability features.

NEXT STEPS

Following Council approval, City staff will electronically file the formation documents and create the Corporation. Additional steps will be taken to apply for federal and state tax exemptions.

Prepared and Recommended by: Dustin Claussen, Assistant City Manager

Approved by:
________________________________________
Kelly McAdoo, City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. _______________

Introduced By Council Member _______________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAYWARD

AUTHORIZING THE FORMATION OF THE HAYWARD ECONOMIC

DEVELOPMENT CORPORATION AS A NONPROFIT PUBLIC BENEFIT

CORPORATION

WHEREAS, the City of Hayward ("City") recognizes the benefits associated with the creation of economic opportunity and community economic development in the city; and

WHEREAS, the City desires to form a nonprofit public benefit corporation to be known as Hayward Economic Development Corporation (the "Corporation"); and

WHEREAS, the City desires that the Corporation's specific charitable and public purpose be organized to benefit and support the City which may lessen the burdens of government of the City by: (1) utilizing private and public funding sources to combat community blight and deterioration in the city and contribute to the physical improvement of the city; (2) lessening the burdens of government by assisting in providing and expanding economic opportunities in the city; (3) encouraging and stimulating economic development within the city; (4) promoting social welfare by providing services, educational programs, and economic development opportunities; (5) implementing and assisting the City redevelopment activities and programs that will eliminate discrimination and prejudice, and combat community deterioration; (6) expanding the opportunities of city residents and groups to own, manage, and operate business enterprises; (7) assisting city residents and groups to develop entrepreneurial and management skills necessary for the successful operation of business enterprises; (8) assisting city residents and groups to obtain financial support from other sources; (9) acquiring, providing, developing, leasing, financing, rehabilitating, owning and operating property in support of the City's economic development goals; (10) acquiring, providing, developing, leasi ng, financing, rehabilitating, owning and operating decent, safe and sanitary housing affordable to persons and households of low income; and (11) carrying out such other activities as the board of directors of the Corporation determines will benefit and s upport the City (collectively, the "Corporate Activities"); and

WHEREAS, the general purpose of this Corporation is to have and exercise all rights and powers conferred on nonprofit corporations under the laws of California, provided that this Corporation shall not, except to an insubstantial degree, engage in any activities or exercise any powers that are not in furtherance of the primary purposes identify in the Corporation's governing documents; and

ATTACHMENT II

WHEREAS, the City Council desires to enter into any and all documents necessary to effectuate the formation of the Corporation including but not limited to any articles of incorporation and bylaws (the "Formation Documents"); and

WHEREAS, by staff report (the "Staff Report") accompanying this Resolution the City has been provided with additional information upon which the actions set forth in this Resolution are based; and

WHEREAS, the formation of the Corporation is not a project pursuant to 14 California Code of Regulations 15378(b)(5).

NOW, THEREFORE, BE IT RESOLVED that the City Council, finds the above recitals true and correct and by this reference makes them a part hereof.

BE IT FURTHER RESOLVED, that the City Council hereby authorizes the City to form the corporation.

BE IT FURTHER RES OLVED, that the City Council intends that the Corporation's specific charitable purpose be to support the economic development activities of the City by performing the Corporate Activities.

BE IT FURTHER RESOLVED, that the City Council hereby authorizes the City Manager (collectively, the "Authorized Officer") acting alone on behalf of the City, to enter into and execute the Formation Documents, all in such form as approved by City Attorney, such approval to be conclusively evidenced by the execution by a n Authorized Officer of such documents, and to take any other actions, necessary to enable the formation of the Corporation, and to do any and all other activities contemplated in this Resolution.

BE IT FURTHER RESOLVED, that the City Council hereby dir ects the City Manager to perform and complete any activities contemplated in this resolution and the Formation Documents, subject to any additional requirements which may be imposed by California law.

BE IT FURTHER RESOLVED, that the City Council hereby directs the City Manager to file a CEQA Notice of Exemption as required by law.

BE IT FURTHER RESOLVED, that this Resolution shall take immediate effect upon its adoption.

BE IT FURTHER RESOLVED, that to the extent that any actions authorized herein have already been performed, such actions are hereby ratified and approved.

ATTACHMENT II

IN COUNCIL, HAYWARD, CALIFORNIA, October _________, 2023

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ___
City Clerk of the City of Hayward

APPROVED AS TO FORM:

___________________________________________
City Attorney for the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: PH 23-038
DATE: October 3, 2023
TO: Mayor and City Council
FROM: Development Services Director

SUBJECT
Sidewalk Vendor Program: Introduce an Ordinance Related to Text Amendments to the Hayward Municipal Code and the Traffic Code and Adopt a Resolution Supporting the Proposed Text Amendments to Establish Regulations and Guidelines for Sidewalk Vendors in the City of Hayward, Consistent with SB 946, the “Safe Sidewalk Vending Act” of the State of California; and Finding that the Action is Exempt from CEQA Review

RECOMMENDATION
That the City Council adopts a resolution (Attachment II) supporting the proposed amendments to the Hayward Municipal Code and introduces an Ordinance (Attachment III) amending the Hayward Municipal Code regulating Sidewalk Vendors.

SUMMARY
The City currently does not have an ordinance regulating sidewalk vending activities consistent with SB 946 and the purpose of the 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.

Since late 2022, staff have been working with internal and external stakeholders, including the Council Economic Development Committee (CEDC) and City Council, to obtain input on the proposed sidewalk vendor program. Staff have reviewed Sidewalk Vending Ordinances from other cities in California to identify best practices for inclusion in City’s proposed program.

Staff is proposing to update the HMC to be consistent with SB 946 including the following four changes:

1. Repeal a requirement in the Municipal Code for City authorization in order to use the sidewalk to sell or prepare food (Section 3.5.13 of the HMC);

2. Amend the definitions in the Municipal Code that excludes sidewalk vending activities (Section 4-10.04 of the HMC);
CITY OF HAYWARD Printed on 10/5/2023Page 1 of 2
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File #:PH 23-038

3. Add a new Chapter 6, Article 16 “Sidewalk Vendors” to create regulations and guidelines for all sidewalk vendors, including the establishment of a new permitting program.

4. Amend Section 8-1.02 of the HMC to exclude sidewalk vending activities from being subject to criminal prosecution for operating without a business license.

Based on the feedback received from stakeholders and following review of best practices from other jurisdictions, staff believes the proposed sidewalk vending program with related text amendments are consistent with SB946 and recommends that Council make the required findings to approve the text amendments, as proposed.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Draft Ordinance
Attachment IV Online Survey Analysis
CITY OF HAYWARD Printed on 10/5/2023Page 2 of 2
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DATE: October 10, 2023

TO: Mayor and City Council

FROM: Development Services Director

SUBJECT: Sidewalk Vendor Program: Introduce an Ordinance Related to Text Amendments to the Hayward Municipal Code and the Traffic Code and Adopt a Resolution Supporting the Proposed Text Amendments to Establish Regulations and Guidelines for Sidewalk Vendors in the City of Hayward, Consistent with SB 946, the “Safe Sidewalk Vending Act” of the State of California; and Finding that the Action is Exempt from CEQA Review

RECOMMENDATION

That the City Council adopts a resolution (Attachment II) supporting the proposed amendments to the Hayward Municipal Code and introduces an Ordinance (Attachment III) amending the Hayward Municipal Code regulating Sidewalk Vendors.

SUMMARY

The City currently does not have an ordinance regulating sidewalk vending activities consistent with SB 946 and the purpose of the 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.

Since late 2022, staff have been working with internal and external stakeholders, including the Council Economic Development Committee (CEDC) and City Council, to obtain input on the proposed sidewalk vendor program. Staff have reviewed Sidewalk Vending Ordinances from other cities in California to identify best practices for inclusion in City’s proposed program.

Staff is proposing to update the HMC to be consistent with SB 946 including the following four changes:

1. Repeal a requirement in the Municipal Code for City authorization in order to use the sidewalk to sell or prepare food (Section 3.5.13 of the HMC);

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2. Amend the definitions in the Municipal Code that excludes sidewalk vending activities (Section 4-10.04 of the HMC);

3. Add a new Chapter 6, Article 16 “Sidewalk Vendors” to create regulations and guidelines for all sidewalk vendors, including the establishment of a new permitting program.

4. Amend Section 8-1.02 of the HMC to exclude sidewalk vending activities from being subject to criminal prosecution for operating without a business license.

Based on the feedback received from stakeholders and following review of best practices from other jurisdictions, staff believes the proposed sidewalk vending program with related text amendments are consistent with SB946 and recommends that Council make the required findings to approve the text amendments, as proposed.

BACKGROUND

Senate Bill (SB) 946 was signed into law on September 17, 2018, by former Governor Jerry Brown. Effective January 1, 2019, SB 946 decriminalized sidewalk vending statewide and limits 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. 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

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 have 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 Fall of 2022. Since that time, the Planning Division has conducted additional outreach and engagement with various community stakeholders and a summary of that outreach and feedback is provided in the “Public Contact” section below.

Council Economic Development Committee: In February 2020, the CEDC held a work session to obtain feedback and clarification on the City’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

1 SB 946, Section 1: https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB946&search_keywords=vendor 2 February 3, 2020 CEDC Meeting Minutes:
https://hayward.legistar.com/View.ashx?M=E3&ID=752549&GUID=55B8F6DC-4EB5-4A69-9DB3-ADD4E3C2B809

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guidelines that participants would be required to follow to ensure public safety such as obtaining a permit issued by the Alameda County Department of Environmental Health (ACDEH). 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.

On April 3, 2023, staff returned to the CEDC to obtain specific feedback on the some of the additional policy considerations being considered within the draft ordinance.3 Specifically, staff requested direction on whether the sidewalk vending ordinance should include some of the optional regulations allowed per State law, including limiting the hours of operation; establishing minimum performance standards; creating an integrated sidewalk vending permitting process; and establishing an enforcement framework based on either fines established by the State or a more collaborative approach focused on education and awareness.

During the meeting, the CEDC expressed overall support for a balanced regulatory framework that would decriminalize sidewalk vending and help integrate the businesses into the formal economy, while continuing to support existing businesses. The CEDC inquired whether the ordinance could include regulations to address sidewalk vending in areas with no parking and with high traffic volumes as well as asked whether the City could limit sidewalk vending activity to certain areas of the City. Staff responded that those regulations are generally permissible under State law, as long as the regulations are tied to objective health, safety, and welfare concerns. The CEDC also stated that it was in favor of limiting hours of operation for sidewalk vendors with the caveat that those hours cannot be more restrictive than the operating hours of surrounding businesses, as allowed per State law. Moreover, the CEDC supported establishing minimum performance standards for sidewalk vendors to ensure public safety and recommended that vendors should be required to obtain liability insurance that indemnifies the City in case of any life/safety issue. The CEDC also supported an approach focused more on education and awareness prior to any fines being assessed.

City Council Work Session: On June 6, 20234, the City Council held a Work Session to provide feedback and direction to staff regarding the recommended locational and operational requirements and the alternative enforcement approach proposed by staff. The Council discussed potential regulations for vending activities located within proximity of a driveway or alleyway; vending activities within 100 feet of an emergency facility; vending activities near brick-and-mortar restaurants; the requirement to obtain a Mobile Food Facility Permit from the Alameda County Department of Environmental Health (ACDEH); and the opportunity for sidewalk vendors to congregate on pre-identified spaces within the City to engage in sidewalk vending activities.

3 April 3, 2023 CEDC Meeting Minutes:
https://hayward.legistar.com/View.ashx?M=E3&ID=1085128&GUID=DDFF5144-F038-46E7-A732-57A85092FE31 4 June 6, 2023 City Council Meeting Minutes: https://hayward.legistar.com/View.ashx?M=E3&ID=1103460&GUID=352755C5-2843-4CB5- ABED-2718690DA72D

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The Council also supported a balanced regulatory approach that provides a pathway for sidewalk vendors to become entrepreneurs in the City and supported the City providing technical assistance for vendors in multiple languages.

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 Code5.

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.
 Cities may prohibit sidewalk vendors from locating 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 parks (including beaches or open space areas) if a city has an exclusive concessionaire agreement with another operator 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 nonresidential 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;

5 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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 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 cities from imposing the following:

 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 mechanism. 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
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.

Draft Ordinance and Amendments: Following feedback from various stakeholder groups through targeted outreach, the online survey, review of 18 other municipal ordinances throughout the State, and feedback from the CEDC and City Council, staff has prepared a draft Ordinance with related text amendments to the HMC to align with the provisions of SB 946.

Staff believes the proposed ordinance reflects a balanced approach to ensure public health,

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safety, and welfare concerns with sidewalk vending while creating a pathway for vendors to legally operate in the City, thus supporting new business growth and entrepreneurship. An overview of the proposed Ordinance and related text amendments are outlined below and proposes to update the HMC to accommodate the proposed Sidewalk Vendor Program.

 Amend Section 3-5.13 “Use of Sidewalks for Outdoor Dining, Sales, of Food Preparation”. This proposed amendment would eliminate the requirement for authorization from the City for sidewalk vendors to sell merchandise or prepare food along the sidewalk. Instead, regulations related to sidewalk vending will be governed by the new Chapter 6, Article 16 of the HMC.

 Add Section 3-5.14 “Sidewalk Vending”. This section is added to make permissible “[a] pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other nonmotorized conveyance used by a sidewalk vendor for vending activities” on a sidewalk. Further, this Section will refer to the new Chapter 6, Article 16 of the HMC for permissible locations for sidewalk vending.

 Amend Section 4-10.03 “Definitions” of the “Aggressive Solicitation Ordinance”.

Currently, the definition of “Solicit, ask, or beg” excludes peddling, as defined in Chapter 8, Article 1 of the HMC, from the definition. As this definition may extend to sidewalk vendors if left unchanged, language has been added to the definition to expressly exclude sidewalk vendors governed by Chapter 6, Article 16 of the HMC.

 Repeal Section 6-2.01 ”Hand Cart Sells Prohibited”. Currently, hand card activities are prohibited by the HMC; however, a hand cart is a type of “vehicle moved by human power”, which directly conflicts with SB 946. As such, staff is proposing to repeal this Section in its entirety.

 Add Chapter 6, Article 16 “Sidewalk Vendors”. In accordance with SB 946, this new Article will contain a comprehensive framework for the regulation of sidewalk vendors within the City, which includes the requirement to obtain a Sidewalk Vending Permit.

If selling food, vendors will also be required to obtain a Mobile Food Facility (MFF) Permit from ACDEH as a prerequisite to issuance of the Permit from the City of Hayward. The Ordinance establishes locational requirements from various public assets and facilities and includes operational requirements relating to the time and manner in which sidewalk vendors can operate. The Ordinance also differentiates between stationary sidewalk vendors, who vend from fixed locations, and roaming sidewalk vendors, who move from place to place and stop to complete a transaction.

The ordinance also outlines the application and permitting process and includes the proposed fine/penalty framework established by SB 946 as well as the proposed alternative enforcement approach proposed by staff.

 Amend Section 8-1.84 “Peddlers”. As presently written, the “Peddlers” section of the HMC could apply to sidewalk vendors. To exclude sidewalk vendors from

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consideration under this section, language has been added to state that this section does not apply to sidewalk vendors governed by Chapter 6, Article 16 of the HMC.

 Amend Section 10-1.2735(m)(3) of the Zoning Ordinance. Section 10-1.2735(m) of the Zoning Ordinance regulates food vendors, which are those that sell food from vending equipment on private property. Language has been added to Section 10-

1.2735(m)(3) to clarify that these regulations apply to vending on private property only and distinguish food vendors from sidewalk vendors. Further, language has been added to expressly exclude sidewalk vendors governed by Chapter 6, Article 16 from the food vendor regulations.

 Amend Section 6.24 of the Traffic Code “Selling Merchandise on City Property”. This section of the Traffic Code bars the selling, or offering for sale, “any solid or liquid food or beverage, or any type of goods or merchandise, or conduct any commercial activity upon any City street, municipal parking lot, or other off-street property possessed and used by the City” unless a permit for temporary commercial activity from the City is issued. The temporary permit allows commercial activity on a street, municipal parking lot, or other off-street City property for seven days. Language has been added that clarifies that permits for vending on a city sidewalk shall be exclusively issued pursuant to the Sidewalk Vending Ordinance in Chapter 6, Article 16 of the Hayward Municipal Code.

Sidewalk Vending Permit. Per the proposed program, a Sidewalk Vending Permit must be obtained prior to any vending on sidewalks. To obtain a Sidewalk Vending Permit, an applicant will be required to provide basic contact information such as their name, mailing address, and telephone number. Applicants will also be required to describe the food or merchandise to be sold, to indicate whether they are an agent of an individual, company, partnership, or corporation, and to indicate whether they are stationary or roaming vendors. If the applicant proposes to be a stationary sidewalk vendor, a description of the location and a site plan/map will also be required. If the sidewalk vendor proposes to sell food, a copy of the Mobile Food Facility Permit issued by ACDEH must also be provided. If applicable, a copy of a valid California Department of Tax and Fee Administration seller's permit must accompany the Sidewalk Vending Permit application.

Sidewalk Vending Permit applicants will also be required to provide a copy of the policy of comprehensive general liability insurance, in an amount to be determined by the City Attorney, and a copy of a City-issued business license. Applicants will be required to sign an agreement to indemnify and hold harmless the City, its officers, and employees, for any damage or injury arising from the sidewalk vending activities. As part of the application, the sidewalk vendor must certify that the information contained in the application is true.

Sidewalk Vending Permits are envisioned to be processed over counter at the Permit Center by the Planning Division. Similar to a Home Occupation Permit, applicants will furnish all the required documents at the counter and Planning Division staff will check that all required documents are received. If all required documents are received and complete, a Sidewalk

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Vending Permit will be issued in conjunction with needing a business license. Upon receipt of a Sidewalk Vending Permit, sidewalk vendors would be given additional materials and reference information to ensure they are properly educated on the rules and regulations associated with their operation. The Sidewalk Vending Permit will be valid for one calendar year from the date of issuance and must be renewed annually. In addition, sidewalk vendors are expected to visibly display their permit at all times when vending.

Staff will continue to work with community-based organizations and ACDEH to assist in providing information in various languages to work with the diverse group of vendors.

Permit Fees. Staff has researched the sidewalk vending permit fees of several Bay Area cities.

The fees, exclusive of business license, range from $0 to $622.13. If a sidewalk vendor is selling food, these fees are in addition to the fee for a Mobile Food Facility (MFF) permit issued by Alameda County Department of Environmental Health, which is $500 to $700.

Staff recognizes that sidewalk vendors are emerging entrepreneurs and presenting lower barriers to entry would encourage compliance with regulations and continue to expand business opportunities in the City of Hayward. As the permitting process entails a simple verification ensuring that the Sidewalk Vending Permit application is complete, including the MFF Permit is issued from ACDEH, staff does not believe there will be significant time needed to administer the program and as such, is recommending any potential fee be waived at the present time but staff will track the number of permits issued annually and the amount of staff time needed to administer the program and, if necessary, may propose a permit fee at some point in the future, if supported. Sidewalk vendors will still need to pay for the City’s business license fees, the cost of insurance, and any other applicable state, county, and local fees.

Proposed Enforcement. The sidewalk vendor ordinance proposes an alternative procedure to that of the administrative citation procedure set forth in Section 1-3.076 of the Hayward Municipal Code to enforce its provisions. The enforcement procedure of the sidewalk vending ordinance will allow the City to take a more inclusive and collaborative approach with the sidewalk vendor that focuses on education and awareness of the City’s regulations.

Enforcement will be conducted by the Code Enforcement Division. The enforcement procedure with the fine amounts adopted consistent with the maximum fine allowed per SB946 is described below:

 For the first incident, a verbal warning be given along with educational materials to the vendor which outlines the sidewalk vending regulations and permit process.  For the second incident, a written warning was issued, which specifies the regulation being violated along with educational materials and includes a timeline for compliance.  For the third incident, the following administrative citation procedures would apply:

6 Section 1-3.07 of the Hayward Municipal Code:
https://library.municode.com/ca/hayward/codes/municipal_code?nodeId=HAYWARD_MUNICIPAL_CODE_CH1GEPR_ART3PE_S1-

3.07ADCIPR

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If a vendor violates local regulations, other than operating without a permit, the following maximum fine amounts would apply:

First Violation Administrative Fine of $100
Second Violation Within One Year of First Administrative Fine of $200 Each Additional Violation Within One Year of the First Administrative Fine of $500

If a sidewalk vending permit is required and the vendor is operating without a permit, the following fine amounts would apply:

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

If selling food, the sidewalk vendor is also required to obtain a Mobile Food Facility Permit issued by ACDEH. If a complaint is received that a sidewalk food vendor is allegedly violating provisions of the California Health and Safety Code, an ACDEH 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.

Environmental Review. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15060(c)(2), the City Council can find that this ordinance will not have a direct or reasonably foreseeable indirect physical change in the environment and, therefore, is not subject to CEQA. Additionally, it can be seen with certainty that there is not a possibility that the activity in question may have a significant effect on the environment per Section 15061(c).

Additionally, pursuant to Section 15060(c)(3), the activity is not a “project” as defined in Section 15378 because it has no potential for resulting in physical change to the environment, directly or indirectly.

STRATEGIC ROADMAP

In January 2020, the City Council adopted six Strategic Priorities as part of its three-year Strategic Roadmap. The Strategic Roadmap was updated in June 2023. This agenda item supports the Strategic Priority of Grow the Economy. Specifically, this item relates to the implementation of the following:

Project E5: Final Sidewalk Vendor Ordinance and provide a training on how to apply for a business license

ECONOMIC IMPACT

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While the specific economic impact is unknown, as new businesses, sidewalk vendors will be required to obtain a business license and pay State and local taxes, akin to brick-and-mortar businesses.

FISCAL IMPACT

Staff anticipates that the sidewalk vendor program will have minimal fiscal impact. Staff resources will be primarily allocated to reviewing Sidewalk Vending Permit applications to ensure compliance with the adopted regulations and any related education and outreach efforts necessary to implement the Ordinance and promote the program. As previously mentioned, staff intends to monitor the staff time and materials needed to implement the program and if the actual costs for administrating the program are significant and greater than expected, staff can reevaluate the total costs and return to Council for consideration of a Sidewalk Vending Permit fee to cover the cost of program administration.

SUSTAINABILITY FEATURES

While the draft policies do not include any Sustainable Features, staff did include regulations that require the sidewalk vendor maintain the vending area clear of any trash or debris as well as a requirement that all vendors provide a trash receptacle. This will help mitigate any nuisance issues tied to public health and safety.

PUBLIC CONTACT

Public outreach efforts have entailed a series of targeted internal and external stakeholder meetings, face-to-face interviews with sidewalk vendors around the City, creating a project webpage to solicit feedback and provide project updates, and creating an online survey. In February, an article on the sidewalk vending ordinance was featured in the East Bay Times highlighting the outreach efforts and progress on the ordinance. Additional details on the extensive public outreach efforts are provided below:

Targeted Stakeholder Meetings. On December 19, 2022, staff held an informal listening session with several business owners that attended the City Council meetings. 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 as well as 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.

On February 2, 2023, staff held a stakeholder meeting 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. During the meeting, the sidewalk vendors expressed a willingness to obtain a permit and comply with all applicable regulations. However, they stated that a costly permit fee could be an obstacle to

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getting a permit. They also stated that workshops to guide sidewalk vendors through the permitting process would be helpful.

On February 6, 2023, staff held a stakeholder meeting with representatives of Hayward Unified School District (H.U.S.D.). While H.U.S.D. has not received recent complaints from parents about sidewalk vendors, H.U.S.D. is discussing whether there is interest in a buffer distance between schools and sidewalk vendors but recommended the City establish a buffer between school property and sidewalk vendors to protect school children from vending activities.

On February 9, 2023, staff held a stakeholder meeting with representatives of the Downtown Hayward Improvement Association (DHIA). While complaints about sidewalk vendors operating in close proximity to restaurants have not been received, DHIA did express a concern that sidewalk vendors undercut the profits of the brick-and-mortar restaurants downtown. The DHIA also mentioned that ADA accessibility and health and safety concerns should be addressed in the ordinance.

On February 15, 2023, staff held a stakeholder meeting with representatives of Hayward Area Recreation and Park District (H.A.R.D). Although HARD does have jurisdiction of park areas within its boundaries and have dealt with vendors, it has been observed that the vendors often 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. Included in the Ordinance is the recommended buffer distance of 100 feet from parks.

On February 16, 2023, staff held a stakeholder meeting with representatives of Alameda County Department of Environmental Health. Given that a County-issued Mobile Food Facility Permit is generally required for sidewalk vendors that sell food, the County did express interest in a partnership with the City to hold workshops after ordinance adoption to further educate the vendors about the permit process.

On February 28, 2023, staff held a stakeholder meeting with representatives of the Hayward Farmer’s Market. One of the challenges observed in other jurisdictions was that sidewalk vendors often operate in close proximity to a farmer’s market. Farmer’s markets are areas of high pedestrian traffic and sidewalk vendors located next to farmer’s markets can impede pedestrian access. The farmer’s market was interested in a buffer distance between sidewalk vendors and the market but also expressed a willingness to partner with sidewalk vendors to be included in the market.

Throughout March and April 2023, staff met with various City departments to discuss the potential components of a sidewalk vending ordinance. The departments/divisions consulted included Economic Development, Public Works -Transportation, Code Enforcement, Fire and Fire-Hazardous Materials, Finance, Public Works - Environmental Services and Solid Waste, Diversity and Inclusion, and Police. Much of the feedback provided by the City departments has been incorporated into the draft policy language document and additional feedback

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related to the administration and implementation of the ordinance will be part of the draft ordinance.

On April 7, 2023, staff held a stakeholder meeting with the Government Relations Committee (GRC) of the Chamber of Commerce. Staff gave a brief presentation to the GRC on the overview of SB 946 and explained the limits on the City’s authority. The GRC expressed support for requiring a sidewalk vending permit, establishing operational requirements, ensuring food safety, and creating an enforcement mechanism of the provisions of the sidewalk vending ordinance to ensure public health and safety are maintained.

On April 6 and 7, 2023, staff canvassed the City and interviewed four vendors at various locations throughout the City. Staff asked the vendors whether they were aware of any permit process for sidewalk vending, especially for the vending of food, and, if so, what was their experience with the permit process. All sidewalk vendors interviewed responded that they were not aware of a permit process but were willing to comply if the City adopts an ordinance regulating sidewalk vendors. Staff also asked whether they were aware of the State legislation that decriminalized sidewalk vending and all responded that they were not aware of the legislation. When asked about the incentives to apply for a permit, sidewalk vendors would apply for a permit if noncompliance would cause an interruption to their business.

Additionally, access to additional educational and financial resources would incentivize compliance with the permit requirement. When asked about the obstacles in applying for a permit, all four vendors mentioned costs. The vendors also requested they be provided time to obtain the necessary permits and recommended that the permit materials be expanded and provided in other languages to broaden the outreach, education, and awareness for those non-English speaking vendors. In addition, all the vendors interviewed expressed support and a willingness to participate in a training workshop to help guide new vendors through the permitting process.

Project Webpage. In mid-February, staff launched a webpage that provides regular project updates as well as information related to SB946. The webpage also contains staff contact information, provides key dates for future stakeholder meetings, work sessions and public hearings, indicates key project milestones, and provides members of the public access to the draft sidewalk vending ordinance when completed. Moreover, a dedicated email address for the project was created which allows members of the public the opportunity to sign up for project notifications and submit comments. To date, there have been 95 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. The webpage can be accessed at the following web address: https://www.hayward-ca.gov/content/sidewalk-vending- ordinance-update.

Online Survey. In addition to the stakeholder meetings, a broader public outreach effort took place through an online survey, which was developed 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 survey was active from March 28, 2023, to May 1, 2023, and made available on the project’s webpage, LinkedIn, and featured

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in a Stack Extra article published in late March. The online survey received a total of 1,565 responses, with 126 complete surveys and 1,439 partially complete surveys. The graph below is a breakdown of respondents’ connection to Hayward (responses total more than 100 percent because respondents could choose multiple options):

As for the community’s opinion on sidewalk vending overall, most of the survey respondents supported sidewalk vending and did not have any concerns. The graph below provides a breakdown of community opinion:

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A complete list of the survey results is included as Attachment IV.

East Bay Times Article. 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 new sidewalk vendor program established policies to ensure safe operation by sidewalk vendors and provide an equitable and inclusive approach.

NEXT STEPS

If the Council introduces the attached ordinance this evening, a second reading and adoption will be brought back during a regular meeting scheduled in October 2023. If approved, the proposed text amendments will be effective 30 days after adoption. Following adoption of the ordinance, staff will be working to create information handouts on the new program and coordinate training and education workshops with community-based organizations and ACDEH to assist vendors in understanding the new regulations and navigating the permit process.

Prepared by: Rozalynne Thompson, Senior Planner
Dulce Ochoa, Assistant Planner

Recommended by: Sara Buizer, Development Services Director

Approved by:

_________________________________
Kelly McAdoo, City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 23-_______

Introduced by Council Member _______________

RESOLUTION TO ADOPT AMENDMENTS TO THE HAYWARD MUNICIPAL CODE

AND TRAFFIC CODE TO REGULATE SIDEWALK VENDING IN HAYWARD, COMPLIANT WITH SENATE BILL (SB 946), THE “SAFE SIDEWALK VENDING ACT” AND FINDING THAT THE ACTION IS EXEMPT FROM CEQA REVIEW

WHEREAS, on September 17, 2018, California Governor Brown signed Senate Bill 946 ("SB 946") into law, which added Chapter 6.2 (commencing with Section 51036) to Part 1 of Division 1 of Title 5 of the California Government Code to regulate sidewalk vendors throughout the state, including within the City of Hayward; and

WHEREAS, SB 946 establishes requirements for local regulation of sidewalk vendors and authorizes such regulations to be adopted by resolution or ordinance; and

WHEREAS, the City seeks to implement sidewalk vending regulations to provide a permitting process and impose operational and locational requirements for sidewalk vendors in the City to comply with SB 946 and protect the health, safety, and welfare of the community; and

WHEREAS, on February 3, 2020, staff brought this item before the CEDC to report on the obtain feedback on the proposed sidewalk vending project and receive clarification on the recommended policy approach; and

WHEREAS, between December 2022 and May 2023, City staff conducted outreach to eighteen internal and external stakeholder groups, including sidewalk vendors, restaurant owners, and other agencies, which consisted of meetings with the various stakeholders; and

WHEREAS, a broader public outreach effort took place through an online survey from March 28, 2023, to May 1, 2023, which was developed 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; and

WHEREAS, on April 3, 2023, staff returned to the CEDC to obtain additional feedback on the proposed scope of the ordinance; and

WHEREAS, on June 6, 2023, the City Council held a public work session to provide feedback and guidance on the proposed locational and operational guidelines for the Sidewalk Vending Ordinance; and

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WHEREAS, the City Council finds that, unless properly regulated, sidewalk vending poses a unique risk to the health, safety, and welfare of the public, including, but not limited to, impacts to traffic, pedestrian safety, mobility, unsanitary conditions involving food preparation, risks to children, and consumer protection; and

WHEREAS, on September 22, 2023, notice of the hearing was published in the manner required by law and the hearing was duly held by the City Council on October 3, 2023.

NOW, THEREFORE, BE IT RESOLVED that the City Council hereby finds and determines as follows:

CALIFORNIA ENVIRONMENTAL QUALITY ACT

1. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15060(c)(2), the City Council finds that this ordinance will not have a direct or reasonably foreseeable indirect physical change in the environment and, therefore, is not subject to CEQA. Additionally, it can be seen with certainty that there is not possibility that the activity in question may have a significant effect on the environmental per Section 15061(c). Additionally, pursuant to Section 15060(c)(3), the activity is not a “project” as defined in Section 15378 because it has not potential for resulting in physical change to the environment, directly or indirectly.

FINDINGS FOR TEXT AMENDMENTS TO CHAPTER 10 OF THE HAYWARD MUNICIPAL CODE RELATED TO SIDEWALK VENDORS (REFERRED TO AS THE "TEXT AMENDMENTS")

1. Substantial proof exists that the proposed change will promote the public health, safety, convenience, and general welfare of the residents of Hayward;

The proposed text amendments will ensure public health, safety, convenience, and general welfare of the residents of Hayward by establishing a regulatory framework for sidewalk vendors to ensure that any impacts resulting from sidewalk vending activities are minimized. The text amendments set parameters relating to distance requirements from various facilities and establishes minimum distances in certain pedestrian areas to maintain accessibility. The proposed text amendments also outline the permit and enforcement processes, consistent with the provisions of SB 946.

Additionally, the proposed text amendments will promote additional employment and business opportunities for small businesses through the allowance of sidewalk vending in Hayward.

2. The proposed change is in conformance with all applicable, officially adopted policies and plans;

The proposed text amendments contained herein are consistent with the goals and policies of all elements of the Hayward 2040 General Plan and state law because the Text Amendments update the language to reflect the applicable polices and actions of the general plan and reflect the changes in state law pursuant to SB 946. The

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proposed Amendments are consistent with the following policies and actions of the Hayward 2040 General Plan:

 ED Policy 1.4: Emerging and Growing Sectors. The City shall establish business attraction efforts that focus on small and medium-sized businesses  within emerging and growing business sectors.
 ED Policy 1.9: Culturally Diverse Businesses. The City shall encourage the development of specialty businesses that reflect the diverse ethnic and cultural groups of the Hayward community.
 ED Policy 1.11: Local-Serving Retail. The City shall encourage the establishment and expansion of commercial businesses that increase local spending within Hayward and provide needed goods and services to local residents and businesses.
 ED Policy 1.12: Neighborhood Commercial. The City shall consider the integration of quality neighborhood commercial businesses and developments within residential areas to support the concept of “complete neighborhoods.”  ED Policy 2.1: Assist Entrepreneurs: The City shall support and assist local entrepreneurs who are starting businesses within the Hayward community.

Further, the proposed text amendments are consistent with other applicable provisions of Chapter 10 of the Municipal Code because applicable provisions of the Code will apply to sidewalk vending activities under the Ordinance.

3. Streets and public facilities existing or proposed are adequate to serve all uses permitted when the property is reclassified; and

As currently proposed, the streets and public facilities that currently serve the City are not expected to be significantly impacted by sidewalk vending activities as the proposed regulations will ensure pedestrian and vehicular access will be maintained. No properties are proposed to be reclassified or rezoned with the proposed text amendments. As such, the streets and public facilities, both existing and proposed, would remain adequate to serve all uses in the City.

4. All uses permitted when property is reclassified will be compatible with present and potential future uses, and, further, a beneficial effect will be achieved which is not obtainable under existing regulations.

No properties are proposed to be reclassified with the proposed text amendments that regulate sidewalk vending activities under this Ordinance. A beneficial effect will be achieved with the proposed revision to the HMC, as it will provide entrepreneurship opportunities for all residents in Hayward, including those classified as low-income and immigrant communities. By establishing a program for sidewalk vending in the City, it will help increase and expand access to a variety of foods and merchandise, contribute to enlivened public spaces, and protect the public health, safety, and welfare through a regulatory framework and permitting program established by the City of Hayward and the Alameda County Department of Environmental Health.

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NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward, based on the foregoing findings, hereby adopts the findings in support of the proposed Text Amendments to the Hayward Municipal Code , subject to the adoption of the companion Ordinance.

BE IT RESOLVED that this resolution shall become effective on the date that the companion Ordinance (Ordinance No. 23-___) becomes effective.

IN COUNCIL, HAYWARD, CALIFORNIA ____________________, 2023.

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

ATTACHMENT III

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ORDINANCE No. 23-______

ORDINANCE OF THE COUNCIL OF THE CITY OF HAYWARD A MENDING THE HAYWARD

MUNICIPAL CODE AND TRAFFIC CODE TO ESTABLISH REGULATIONS FOR

SIDEWALK VENDING

THE CITY COUNCIL OF HAYWARD DOES ENACT AS FOLLOWS:

Section 1. Provisions. The City Council incorporates by reference the findings contained in Resolution No. 23-___ approving the Text Amendments to the Hayward Municipal Code.

Section 2. Chapter 3, Article 5 of the Hayward Municipal Code is hereby amended to read as follows:

SEC. 3-5.13 - USE OF SIDEWALKS FOR OUTDOOR DINING. SALES, OR FOOD PREPARATION.

The City Manager is hereby authorized to grant the temporary use of any sidewalk for the purpose of outdoor dining, sales, or food preparation at such locations and under such conditions he or she deems appropriate. At a minimum, the City Manager shall require that applicants be subject to substantially the following requirements:

SEC. 3-5.14 - SIDEWALK VENDING.

A pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other nonmotorized conveyance used by a sidewalk vendor for vending activities may be placed on any sidewalk at locations in accordance with the provisions of Chapter 6, Article 16, of the Hayward Municipal Code.

Section 3. Chapter 4, Article 10 of the Hayward Municipal Code is hereby amended to read as follows:

SEC. 4-10.03 DEFINITIONS.

a. 'Solicit, ask, or beg' shall include using the spoken, written, or printed word, or bodily gestures, signs, or other means, with the purpose of obtaining an immediate donation of money or other thing of value, or soliciting the sale of goods or services. This article does not apply to sidewalk vending activities governed by Chapter 6, Article 16 or peddling and soliciting activities governed by Chapter 8, Article 1 of this code.

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Section 4. Chapter 6, Article 2 of the Hayward Municipal Code is hereby amended to read as follows:

SEC. 6-2.01 - HAND CART SALES PROHIBITED.

It shall be unlawful for any person to hawk, peddle, vend or sell any article, merchandise, edible foods of any kind, or any other thing of value from a hand cart or other vehicle moved by human power along or upon the streets of the City of Hayward .

Section 5. Chapter 6, Article 16, of the Hayward Municipal Code is hereby amended to read as follows:

ARTICLE 16 – SIDEWALK VENDORS

SEC. 6-16.10. TITLE.

This Article shall be known as the “Sidewalk Vendor Ordinance”.

SEC. 6-16.20. PURPOSE.

Article XI, §7 of the California Constitution confers local governments the authority to adopt ordinances and regulations designed to promote the public health, safety, and general welfare of their communities. The purpose of this Article is to protect against unsafe conditions and health, safety, or welfare concerns of the community that result from the operation of sidewalk vendors on public sidewalks or a pedestrian path, consistent with the provisions of Government Code §§ 51036 - 51039. The requirements set forth in this Article are intended to protect the public’s health, safety, and welfare by ensuring that vendors on public property provide safe and sanitary conditions for consumers and the general public, are adequately insured, and are properly permitted with the City and licensed with other agencies.

SEC. 6-16.30 DEFINITIONS.

For the purpose of this Article, certain words and phrases are defined, and certain provisions shall be construed as herein set out, unless it shall be apparent from their content that a different meaning is intended:

"Roaming sidewalk vendor" means a sidewalk vendor who moves from place to place and stops only to complete a transaction.

“Sidewalk vendor” means a person who sells food or merchandise from a pushcart, stand, display, pedal- driven cart, wagon, showcase, rack, or other non- motorized conveyance, or from one' s person, upon a public sidewalk or other pedestrian path.

"Stationary sidewalk vendor" means a sidewalk vendor who vends from a fixed location.

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SEC. 6-16.40 PERMIT REQUIRED.

(a) Only sidewalk vendors with valid sidewalk vending permit issued by the City Manager, or his or her designee, may vend within the City's public right-of-way.

(b) Applications shall include information required by the City including, but not limited to the following:

(1) The name, phone number, and mailing address of the applicant;

(2) Description of the merchandise and/or food offered for sale;

(3) If the sidewalk vendor is an agent of an individual, company, partnership, or corporation, the name and business address of the principal and any owners of the company, partnership, or corporation;

(4) Whether the vendor intends to operate as a stationary sidewalk vendor or a roaming sidewalk vendor;

(5) The location(s) in the City where the stationary sidewalk vendor intends to operate;

(a) lf the sidewalk vendor proposes to be a stationary sidewalk vendor, a description or site plan/map of the proposed location(s) where vending will take place; and

(b) Certification that the information is true to his or her knowledge and belief.

(6). A copy of a valid California Department of Tax and Fee Administration seller's permit, if applicable.

(7) A copy of a valid Mobile Food Facility Permit issued by the Alameda County Department of Environmental Health (ACDEH), if required.

(8) An agreement by the sidewalk vendor, in a form approved by the City Attorney, to indemnify and hold harmless the City, its officers, and employees, for any damage or injury arising from the sidewalk vending activities.

(9). Proof of a policy or policies of comprehensive general liability insurance, in an amount as approved by the City Attorney, against any injury, death, loss, or damage as a result of wrongful or negligent acts or omissions by the permittee, with an endorsement naming the City as an additional insured.

(10) Payment of a nonrefundable processing fee, if required, in an amount established by resolution of the City Council.

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(c) All sidewalk vendors are required to have a business license pursuant to Chapter 8 (Finance, Revenue and Taxation), Article 1 (Business Licenses) of the Hayward Municipal Code.

(d) A sidewalk vending permit shall be valid for a period of one (1) year from the date of issuance and shall be renewed annually.

SEC. 6-16.50 OPERATIONAL REGULATIONS.

(a) It shall be unlawful for any person to operate as a sidewalk vendor or to engage in sidewalk vending activities in the City without first obtaining a sidewalk vending permit pursuant to section 6-16.60 of this Article.

(b) All sidewalk vendors must display their City-issued sidewalk vending permit and any other licenses issued by other agencies on the street-side portion of their pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or other non-motorized conveyance when operating in the public right-of-way.

(c) Sidewalk vending activities in residential zoning districts may occur only between the hours of 9:00 a.m. and 7:00 p.m.

(d) Sidewalk vending activities in nonresidential zones will be as restrictive as any limitations on hours of operation imposed on other businesses or uses on the same street, excluding those permitted to operate 24 hours.

(e) If applicable, sidewalk vendors shall obtain and maintain a valid Mobile Food Facility (MFF) permit from the Alameda County Department of Environmental Health (ACDEH) during all sidewalk vending activities in the City. Sidewalk vendors shall display the MFF permit during vending operations and shall be made available to the City as part of the permit application or renewal process.

(f) Each sidewalk vendor shall provide a trash receptacle for use by its customers and shall ensure proper disposal of customer trash. The trash receptacle must be large enough to accommodate customer trash so that public trash receptacles for use by the general public do not have to be used by customers.

(g) Sidewalk vendors shall not dispose of customer or sidewalk vendor’s trash in trash receptacles for public use.

(h) All sidewalk vendors shall immediately clean up any food, grease, or other fluid or item related to their sidewalk vending activities that are spilled or discharged on public property.

Disposal of trash, food, grease or other materials to any storm drain, creek, or waterway is prohibited. Vendors shall not dump, drain, or discard any fouled, spoiled, or unused product, which includes draining ice coolers, drink containers and/or miscellaneous containers on the ground.

(i) All sidewalk vendors are responsible for ensuring that the surrounding sidewalk is kept clean and free of trash and debris associated with their vending operation.

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(j) No sidewalk vendor shall vend in a manner that blocks or obstructs the access required by Americans with Disabilities Act of 1990, access to designated loading zones, and access to public utilities. Sidewalk vendors must at all times provide a clearance of not less than four (4) feet on all sidewalks or pedestrian areas so as to enable persons to freely pass while walking, running, or using mobility assistance devices.

(k) A sidewalk vendor operating on any sidewalk or public right-of-way must ensure that no obstruction is placed impeding entry to and exit from a business or residence or access to a public facility.

(l) Sidewalk vending of the following is prohibited:

1. Alcoholic beverages;

2. Adult-oriented materials, as defined in Section 6-10.02 of the Hayward Municipal Code;

3. Tobacco, tobacco products, or electronic smoking devices;

4. Cannabis or cannabis products;

5. Weapons, including knives, guns, or explosive devices, as defined in Section 3-

4.00 of the Hayward Municipal Code;

6. Items that are not for immediate sale;

7. Selling or offer to sell services, or engage in or offer to engage in any type of rental activity, including the rental of any goods or services;

8. Pharmaceuticals; and

9. Any other merchandise prohibited by federal, state, or local law from being vended.

(m) Sidewalk vendors shall comply with the noise standards provided in Chapter 4, Article 1 of the Hayward Municipal Code, as it is most currently in effect and as may be amended.

(n) Consistent with the Alameda County Department of Environmental Health limitations, no pushcart, stand, display, pedal- driven cart, wagon, showcase, rack, or other non-motorized conveyance used for sidewalk vending shall contain or use propane, natural gas, batteries, or other explosive or hazardous materials. A sidewalk vendor may not use an open flame on or within any pushcart, stand, display, pedal- driven cart, wagon, showcase, rack, or other non- motorized conveyance used for sidewalk vending.

(o) Sidewalk vendors shall comply with all generally applicable federal, state, and local laws.

SEC. 6-16.50 LOCATION-SPECIFIC REGULATIONS.

(a) To protect pedestrian safety and accommodate public street access, including parking and traffic, sidewalk vending shall be prohibited:

(1) On any public property that does not meet the definition of a sidewalk, including, but not limited to, any street, roadway median, pedestrian islands, or bicycle lanes;

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(2) City owned property including, but not limited to, parking structures and parking lots, unless otherwise authorized by the City;

(3) In any area that constricts passageway for pedestrians or vehicles to less than minimum required or obstructs traffic signals or regulatory signs;

(4) On any median strip or dividing section within public right-of-way areas;

(5) Within 18 inches from the edge of a curb;

(6) Within 15 feet from any fire hydrant, driveway or alleyway, or door/emergency exit;

(7) Within 20 feet of any mid-block crosswalk or storm drain;

(8) Within 25 feet of any bus stop, street corner, or street intersection;

(9) Within 100 feet of any emergency facility (fire station, police station, hospital) or public or private school on days when school is in session;

(10) Within 200 feet of any farmer’s market or special event for the duration of the event;

(11) Within 200 feet of any freeway entrance or exit;

(12) Stationary sidewalk vendors shall not vend within 50 feet of another stationary sidewalk vendor;

(13) Stationary sidewalk vendors shall not vend within a park if the City has signed an agreement for concessions that exclusively permits the sale of food or merchandise by a concessionaire;

(14) Stationary vendors that have not signed an agreement for concessions shall not vend within 100 feet of a public park, unless otherwise permitted; and

(15) Sidewalk vendors are prohibited from entering or encroaching onto private property while engaged in sidewalk vending activities.

SEC. 6-16. 60 ENFORCEMENT.

(a) Persons found vending in violation of this Article are subject to the following enforcement procedure:

(1) For the first incident, a verbal warning will be given along with materials outlining the rules and regulations for sidewalk vending and the application process;

(2) For the second incident, a written warning will be issued specifying the provision of this Article that has been violated as well as materials outlining the rules and regulations for sidewalk vending and the application process;

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(3) For the third incident, persons found in violation of this Article shall be subject to the Administrative Citation procedures found in Chapter 1, Article 7. Administrative Citations, of the Hayward Municipal Code, subject to the fines below:

(a) Persons that violate local regulations, other than operating without a permit, are punishable by an administrative fine not to exceed:

(1) One hundred dollars ($100.00) for a first violation; or

(2) Two hundred dollars ($200.00) for a second violation within one year of the first violation; or

(3) Five hundred dollars ($500.00) for each additional violation within one year of the first violation.

(b) Persons vending without a sidewalk vending permit are punishable by an administrative fine not to exceed:

(1) Two hundred fifty dollars ($250.00) for the first violation; or

(2) Five hundred dollars ($500.00) for a second violation within one year of the first violation; or

(3) One thousand dollars ($1,000.00) for each additional violation within one year of the first violation.

(c) All administrative citations will be accompanied by a notice advising the person of their right to request an ability-to-pay determination and the process for requesting an ability-to-pay determination.

(b) Appeals. The appeals process contained in Chapter 1, Article 7 shall apply to citations issued under this Article as well as requests for an ability-to-pay determination. An administrative fine imposed pursuant to this Article need not be paid as a pre-requisite to requesting an appeal hearing or a hearing to determine ability-to-pay an administrative fine.

SEC. 6-16.800 CITY MANAGER AUTHORITY.

The City Manager, or their Designee, shall have the authority to establish administrative policies and regulations that may be necessary to implement the provisions of this Article.

Section 6. Chapter 8, Article 1 of the Hayward Municipal Code is hereby amended to read as follows:

SEC. 8-1.02 - CRIMINAL PROSECUTION. BUSINESS LICENSE.

The conviction and punishment of any person for transacting any trade, calling, profession or occupation without a license shall not excuse or exempt such person from the payment of any license due or unpaid at the time of such conviction, and nothing

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herein shall prevent a criminal prosecution for any violation of the provisions of this Article. This section does not apply to sidewalk vending activities governed by Chapter 6, Article 16 of the Hayward Municipal Code.

SEC. 8-1.84 - PEDDLERS.

For the purposes of this Section, a Peddler is defined to be a person not having a fixed place of business in the City, who travels from place to place, or has a stand upon any public street, alley or other public place, doorway of any room or building, or vacant lot or property, for the purpose of selling or offering to sell any goods, wares or merchandise in his possession. This Section does not apply to sidewalk vending activities governed by Chapter 6, Article 16 in the Hayward Municipal Code.

Section 7. Chapter 10, Article 1 of the Hayward Municipal Code is hereby amended to read as follows:

SEC. 10-1.2735 - SPECIAL STANDARDS AND CONDITIONS FOR CERTAIN USES.

(3) Definitions. This section shall apply to any mobile unit (as defined below) designed or used for the vending of food or food products from a fixed or stationary location on private property. This Section shall not apply to Catering Truck operations as defined in subsection (b) of this section or Sidewalk Vendors, as defined in Section 6-16.30(B) of the Hayward Municipal Code.

Section 8. Section 24 of Article 6 of the Hayward Traffic Code is hereby amended to read as follows:

SEC. 6.24 SELLING MERCHANDISE ON CITY PROPERTY.

b. Notwithstanding the prohibition of subsection (a), the City may issue a temporary permit for a period not to exceed seven (7) days that authorizes certain specified commercial activity upon a City street, municipal parking lot, or other off-street City property in conjunction with street fairs, parades, and other community events or in other special circumstances. Requests for a permit for such temporary activity shall be made in writing to the Director of Public Works at least two weeks in advance of the desired commencement of the temporary activity. The Director of Public Works, in consultation with the Chief of Police, shall deny the permit if the proposed activity would necessarily impair the public health, safety, or general welfare. If that determination is not made, the Director of Public Works, in consultation with the Chief of Police and Risk Manager shall have the authority to issue a permit upon such conditions as are considered appropriate by them to protect the public health, safety, and general welfare. Permits for vending on a city sidewalk shall be exclusively issued pursuant to the Sidewalk Vending Ordinance in Chapter 6, Article 16 of the Hayward Municipal Code.

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Section 9. This Ordinance shall become effective thirty (30) days after adoption by the City Council.

INTRODUCED at a regular meeting of the City Council of the City of Hayward, held the ___ day of __, 2023, by Council Member _______,

ADOPTED at a regular meeting of the City Council of the City of Hayward, held the ___ day of ______, 2023, by the following votes of members of said City Council.

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED: ___________________________________
Mayor of the City of Hayward

DATE: ___________________________________________

ATTEST: ________________________________________
City Clerk of the City of Hayward

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Survey Results
The survey received a total of 1,565 responses, with 126 complete surveys and 1,439 partially complete surveys. Eighty-seven percent (87%) of the respondents were Hayward residents, 9.07 percent of the respondents worked in Hayward, and 8.05 percent were business owners in Hayward (responses total more than 100 percent because respondents could choose multiple options). As for the community’s opinion on sidewalk vending overall, 38.66 percent supported sidewalk vending and did not have any concerns, 33.74 percent supported sidewalk vending and had some concerns, 24.53 percent opposed sidewalk vending, 1.6 percent had no opinion on sidewalk vending, and .58 percent of respondents were not comfortable sharing their opinion.

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As to familiarity with the Safe Sidewalk Vending Act (SB 946) (“the Act”), 40.70 percent of respondents never heard of the Act, 29.33 percent of respondents heard of the Act but where unfamiliar with it, 26.90 percent of respondents had a general understanding of the Act, and 3.07 percent of respondents had a deep understanding of the Act.

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As to the benefits of sidewalk vending, on a scale of strongly agree to strongly disagree,

47.5 percent strongly agreed that sidewalk vending provides entrepreneurial opportunities, 45.22 percent agreed that sidewalk vending contributes to cultural diversity,

42.27 percent strongly agreed that sidewalk vending creates more choices for consumers, and 36.1 percent strongly agreed that sidewalk vending enlivens public spaces. However, only 22.02 percent agreed that sidewalk vending provides access to affordable, healthy food, while 26.19 percent strongly disagree.

As to the concerns with sidewalk vending, 41.87 strongly agreed that sidewalk vending may not comply with health and safety regulations, 40.28 percent strongly agreed that the cleanliness of equipment and areas around the equipment may be a concern (ex. trash, food, waste, and debris left by sidewalk vendors and patrons), 35.21 percent of respondents strongly agreed with the statement that food sold from sidewalk vendors may not be safe to eat (ex. getting sick from foodborne illness), 31.86 percent strongly agreed that sidewalk vending may make it difficult to access the right-of-way, 30.96 percent strongly agreed that sidewalk vending may negatively impact residential areas, 27.6 percent of respondents strongly agreed that sidewalk vending could negatively impact public safety, and 23.67 percent strongly agreed that sidewalk vending could negatively impact vendor safety (ex. public response to sidewalk vendor). Of the respondents to the statement whether sidewalk vending may negatively impact brick-and-mortar businesses,

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29.28 percent of the respondents strongly disagreed, while 28.12 percent strongly agreed with that statement.

As to where sidewalk vendors have been seen, 70.99 percent of respondents have seen sidewalk vendors near parks, 69.78 percent of respondents have seen sidewalk vendors in residential areas, 63.64 percent of respondents have seen sidewalk vendors near shopping centers, 56.74 percent of respondents have seen sidewalk vendors near gas stations, 55.53 percent of respondents have seen sidewalk vendors by schools, 46.96 percent of respondents have seen sidewalk vendors near religious institutions/places of assembly,

43.51 percent of respondents have seen sidewalk vendors in front of brick-and-mortar businesses, 13.74 percent of respondents have seen sidewalk vendors at other locations, and 1.02 percent of respondents have not seen any sidewalk vendors. Responses total more than 100 percent because respondents could choose multiple options.

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As to the type of sidewalk vending seen in Hayward, 93.63 percent of respondents indicated seeing unpackaged/perishable foods (ex. cut fruit, tacos), 55.75 percent of respondents indicated seeing packaged/non-perishable foods (ex. chips, soda), 55.23 percent of respondents indicated seeing unpackaged/non-perishable foods (ex. pre-made churro, coffee), 45.61 percent of respondents indicated seeing merchandise, 43.01 percent of respondents indicated seeing packaged/perishable foods (ex. whole fish, ice cream),

11.76 percent of respondents indicated other and 2.53 of respondents indicated seeing services (ex. massages, haircuts). Responses total more than 100 percent because respondents could choose multiple options.

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As to how often sidewalk vendors are seen in Hayward, 60.06 percent of respondents see sidewalk vendors daily, 31.12 percent of respondents see sidewalk vendors at least once a week, 6.52 percent of respondents see sidewalk vendors at least once a month, 1.47 percent of respondents see sidewalk vendors at least once a year, and 0.83 percent of respondents have never seen a sidewalk vendor.

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As to the time-of-day sidewalk vendors are seen vending, 87.93 percent of respondents see sidewalk vending from 2 p.m. to 6 p.m., 74.11 percent of respondents see sidewalk vending from 10 a.m. to 2 p.m., 37.96 percent of respondents see sidewalk vending from 6 p.m. to 10 p.m., 25.83 percent of respondents see sidewalk vending from 6 a.m. to 10 a.m., and 5.19 percent of respondents see sidewalk vending from 10 p.m. to 2:00 a.m. Responses total more than 100 percent because respondents could choose multiple options.

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As for limits on the location of sidewalk vendors, 40.85 percent of respondents would prefer to limit sidewalk vendors in front of brick-and-mortar businesses, 41.32 percent of respondents favored limiting sidewalk vendors in residential areas, and 34.54 percent of respondents would prefer a limitation by schools. However, 46.67 percent of respondents favored encouraging sidewalk vendors near parks, 44.19 percent of respondents favored encouraging sidewalk vendors in industrial areas, 39.47 percent of respondents favored encouraging sidewalk vendors in Downtown Hayward, 30.97 percent of respondents favored encouraging sidewalk vendors near religious institutions/places of assembly,

30.23 percent of respondents favored encouraging sidewalk vendors near gas stations, and

29.74 percent of respondents favored encouraging sidewalk vendors near shopping centers. Responses total more than 100 percent because respondents could choose multiple options.

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94.46 percent of the respondents speak English the most, 23.86 percent of the respondents speak Spanish the most, 4.44 percent of the respondents speak Tagalog the most, and 1.91 percent of the respondents speak Mandarin the most. Responses total more than 100 percent because respondents could choose multiple options.

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37.07 percent of respondents describe themselves as White/Caucasian, 34.44 percent of respondents describe themselves as Hispanic/Latino, 20.41 percent of respondents describe themselves as Asian, 7.80 percent of respondents describe themselves as Black or African American, 6.87 percent of respondents describe themselves as multiple ethnicity/other, 5.74 percent of respondents describe themselves as Native Hawaiian/Pacific Islander, and 4.04 percent of respondents describe themselves as American Indian or Alaskan Native or Indigenous. Responses total more than 100 percent because respondents could choose multiple options.

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25.33 percent of respondents were 60 or older, 22.86 percent of respondents were between 40-49, 20.33 percent of respondents were 30-39, 16.63 percent of respondents were 50-59, 10.27 percent of respondents were 18-29, 4.38 percent of respondents preferred not to answer, and 0.21 percent of respondents were under 18 years of age.

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The online survey also enabled respondents to provide written input and feedback.

Common feedback received concerned compliance with health and safety standards, obtaining the necessary permits to operate, maintaining the cleanliness of sidewalks, protecting sidewalk vendors from potential criminal activity, the noise and smoke emanating from sidewalk vending operations, and operating in residential areas.

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: RPT 23-100
DATE: October 10, 2023
TO: Mayor and City Council
FROM: Council Members George Syrop and Francisco Zermeño

SUBJECT
City Council Referral: A Bench for Every Bus Stop

RECOMMENDATION
That Council reviews the attached Council referral memo (Attachment I) and provides direction to staff.

SUMMARY
A formal Council referral was received from Councilmembers Syrop and Zermeño on September 26, 2023, based on interest to explore the possibilities to install benches at bus stops to make public transportation more enjoyable and accessible to residents who ride the bus. The referral requests that Council direct staff to:

1. Collaborate with AC Transit to conduct an expedited Accessibility Study of Hayward's bus stops to determine which stops are suitable for the installation of street furniture before the end of FY23/24. This collaboration may include financial support from the City not to exceed $30,000.

2. Pilot five (5) low-cost Sim me Seats (https://simmeseat.corn/) at our highest priority, shelter-less bus stops according to AC Transit's Overall lndex Score for each stop (Attachment I) to determine the cost of maintenance while AC Transit conducts the Accessibility Study from Step 1.

3. Develop a staff report and project proposal that outlines the cost of installation and maintenance of bus benches across all bus stops in Hayward that currently do not have a shelter and meet the accessibility requirements determined by the Accessibility Study from Step 1. Installation of benches should be prioritized by AC Transit's Overall Index Score for each stop (Attachment I).

Staff's proposal should include a funding strategy to complete this initiative within five (5) years, utilizing dollars from our CIP budget, grants, Measure BB, support from local organizations to "adopt" or sponsor a bench, and/or any other relevant funding sources.

4. Present the project proposal and results of the pilot to the City Council for adoption before the end of 2024.

CITY OF HAYWARD Printed on 10/5/2023Page 1 of 2
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File #:RPT 23-100

ATTACHMENTS
Attachment I Council Referral
Attachment II Staff Analysis
CITY OF HAYWARD Printed on 10/5/2023Page 2 of 2
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DATE: October 10, 2023

TO: Mayor and City Council

FROM: Director of Public Works

SUBJECT: Response to Council Referral Memorandum: A Bench for Every Stop

SUMMARY

The City of Hayward has a total of 363 transit stops and only 63 stops of the total have bus shelter and seating available, leaving the remaining 300 stops without seating. To improve access and comfort for transit riders, the implementation of Simme Seats, which are small one to two-seater benches, was explored. The cost estimates for installation and maintenance are summarized below as informed by AC Transit:

Simme Seat Installation Cost
Material, Installation (including minor Concrete work): $2,000 per Unit Installation cost for all 300 transit stops without shelters: $600,000

The total cost for multiple installations may be less than $2,000 per unit due to economies of scale. The total cost will be determined after the total number of units is determined.

Simme Seat Maintenance Cost
Pressure washing: $30 per Unit
Cleaning/Trash Pickup/Graffiti Removal: $25 per Unit

Based on the maintenance cost of each Simme Seat, monthly and annual maintenance costs were calculated for the high-range scenario, which assumes bi-weekly cleaning and monthly pressure washing, and the low-range scenario, which involves cleaning and pressure washing once a month. The two cleaning frequency scenarios have been selected to give Council a sense for the annual ongoing costs. The actual required frequency can be determined in future discussions with AC Transit. The estimated costs of the two scenarios are shown in the table on page 2:

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Bus Shelter Installations Cost Estimated Cost
Material & Installation Cost per Unit
(One-Time Fee) $2,000
Material & Installation Cost for 300
Stops (One-Time Fee) $600,000 (or less, due to economies of scale) Bus Shelter Maintenance Cost
High-Range
(Weekly Cleaning
& Bi-weekly
Monthly Pressure
Washing)
Low-Range
(Monthly Cleaning
&
Monthly Pressure
Washing)
Monthly Maintenance Cost per Unit $84 $55
Annual Maintenance Cost per Unit $1,010 $660
Monthly Maintenance Cost for 300
Stops $25,250 $16,500
Annual Maintenance Cost for 300
Stops $303,000 $198,000

It is noted that the estimated maintenance costs assume Simme Seats are installed at all stops without seatings (300 stops). The actual cost and number of transit stops may be modified upon completion of the ongoing Accessibility Study conducted to determine stops suitable for street furniture installations.

NEXT STEPS

Below are the next steps as requested in the Council referral memorandum along with staff input:

1. Collaboration with AC Transit to conduct an expedited Accessibility Study of Hayward’s bus stops to determine which stops are suitable for the installation of street furniture before the end of FY23/24. The Referral memo suggests that this collaboration may include financial support from the City not to exceed $30,000, as stated in the referral memo.

2. Pilot five (5) low-cost Simme Seat at the highest priority shelter-less bus stops according to AC Transit’s Overall Index Score for each stop to determine the cost of maintenance while AC Transit conducts the Accessibility Study from Step 1. The pilot program is needed to help determine the suitable frequencies of maintenance and potential benefits of Simme Seats such as a rise in ridership.

3. Develop a staff report and project proposal that outlines the cost of installation and maintenance of bus benches across all bus stops in Hayward that currently do not have a shelter and meet the accessibility requirements determined by the Accessibility Study from Step 1. Installation of benches should be prioritized by AC

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Transit’s Overall Index Score for each stop. Staff’s proposal should include a funding strategy to complete this initiative within five (5) years, utilizing dollars from City CIP budgets, grants, Measure BB, support from local organizations to “adopt” or sponsor a bench, and/or any other relevant funding sources.

4. Present the project proposal and results of the pilot to the City Council for adoption before the end of 2024.

Prepared by: Jade Kim, Assistant Transportation Engineer Kathy Garcia, Deputy Director of Public Works

Recommended by: Alex Ameri, Director of Public Works

Approved by:

____________________________________
Kelly McAdoo, City Manager

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