Hermosa Beach City Council
March 10, 2026

Sun Mon Tue Wed Thu Fri Sat
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8 AAU Southern Pacific Grand Prix Series
North Volleyball Courts
9 10 11 Veterans Day
Wreath Laying
Ceremony
Community Center East Lawn
Impact Level II
12 13 14 IBVL Tournament Series
North Volleyball Courts
15 AAU Southern Pacific Grand Prix Series
North Volleyball Courts
16 17 18 19 Hermosa for the Holidays
Locations TBD
(Setup)
Impact Level III

PENDING
20 Hermosa for the Holidays
Locations TBD
(Setup)
Impact Level III

PENDING
21Hermosa for the Holidays
Locations TBD
Impact Level III

PENDING
22 Hermosa for the Holidays
Locations TBD
(Teardown)
Impact Level III

PENDING
23 24 25 26 27 28
29 AAU Southern Pacific Grand Prix Series
North Volleyball Courts
30 November 2026
Impact Level I
Impact Level II
Impact Level III
Long-term Agreement
City Hosted
City Contracted Event

Sun Mon Tue Wed Thu Fri Sat
1 2 3 4 5 Sand Snowman Contest
North of Pier
Impact Level I
AAU Southern Pacific Grand Prix Series
North Volleyball Courts
6 Community Chanukah Celebration*
Pier Plaza &
Greenwood Park
Impact Level II
7 8 9 10 11 12 California Great Santa Stroll
Strand North of Pier & Pier Plaza
Impact Level III
AAU Southern Pacific Grand Prix Series
North Volleyball Courts
13 IBVL Tournament Series
North Volleyball Courts
14 15 16 17 18 19
20 IBVL Tournament Series
North Volleyball Courts
21 22 23 24 25 26 AAU Southern Pacific
Grand Prix Series
North Volleyball Courts
27 28 29 30 IBVL Tournament Series
North Volleyball Courts
31 December 2026
*Menorah installation at Greenwood Park is Wednesday, December 2, 2026 and the Menorah is removed Monday, December 14, 2026 Impact Level I
Impact Level II
Impact Level III
Long-term Agreement
City Hosted
City Contracted Event

Off-Season Monthly Events
(Labor Day – Memorial Day) # of Special Event Days # of Days Available(out of 15) January 6 9
February 7 8
March 9 6
April 10 5
May (through May 24) 10 5
September (from September 8) 17 -2
October 9 6
November 9 6
December 7 8
Peak Season (Memorial Day through Labor Day) # of Special Event Days on the Beach/Strand/Pier Plaza Level I & II Event Days
(not on Level III Event Days)
& City Sponsored/Contracted
(not on Level III, II or I Event Days)
(Maximum of 25)
Level III Event Days
(Maximum of 45)
Total # of Event Days
(out of 70 total)
19 42 61
Peak Season Event Limits:

To balance coastal access with events, events on the Beach, Strand & Pier Plaza will be limited to the following number of events during the peak summer season (Memorial Day to Labor Day – approximately 100 days over the summer):
o Maximum of 45 days used by Level III Events
o Maximum of 25 days used by Level I & II Events, & City Sponsored/Contracted Events (on days not used by Level III Events) City Sponsored or City Contracted Events, & Long-term Agreement Events are categorized by their Impact Level

City of Hermosa Beach | Page 1 of 5
Meeting Date: March 10, 2026
Staff Report No. 26-CMO-009
Honorable Mayor and Members of the Hermosa Beach City Council INTRODUCE AN ORDINANCE TO AMEND HBMC SECTION 3.32 TITLED

TRANSIENT OCCUPANCY TAX
(Senior Management Analyst Ken Bales)
Recommended Action:

Staff recommends City Council introduce by title only and waive first reading of an ordinance updating the Hermosa Beach Municipal Code 3.32.020 Definitions, 3.32.030 Tax Imposed; and 3.32.100 Appeal (Attachment 5).

Executive Summary:

Hermosa Beach Municipal Code (“HBMC”) 3.32.030 is inconsistent with state law regarding the imposition and collection of Transient Occupancy Tax (“TOT”) from hotels as defined in HBMC 3.32.020. Currently, HBMC only imposes the collection of TOT on certain occupancies, including “permitted short-term rental as defined” which is not defined under HBMC 3.32.020. Similarly, voter approved increases in the TOT have not defined what type of occupancy the increase applied to, and state law allows the imposition of TOT on the occupancy, regardless of the type or whether the type is permitted or not. Therefore, Staff is recommending that Council adopt the code changes discussed below to be consistent with state law.

Additionally, HBMC 3.32.100 states that appeals regarding the imposition of TOT and any interest or penalties may be heard by the Council, which is burdensome, inefficient, and could create claims of actual or perceived bias. Therefore, Staff recommends that Council revise HBMC 3.32.100 so that any appeal is heard by the City Manager or their designee, so that appeals can be heard by a third-party administrative hearing officer.

Background:

HBMC 3.32.020 provides the following definitions, in relevant part:
 Hotel means any structure, which is occupied or intended or designed for occupancy by transients for dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location, or other similar structure or portion thereof.

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 Occupancy means the use or possession, or the right to the use or possession of any room or room or portion thereof, in any hotel for dwelling, lodging or sleeping purposes.
 Operator means the person who is the proprietor of the hotel, hostel, or any other permitted short-term rental, whether in the capacity of owner, lessee, sublessee, mortgagee in possession, licensee, and includes companies that arrange for reservations online. Though the operator performs his functions through a managing agent of any type or character other than an employee, the managing agent shall also be determined an operator for the purposes of this chapter and shall have the same duties and liabilities as his principal. Compliance with the provisions of this chapter by either the principal or the managing agent shall, however, be considered to be compliance by both.
 Transient means:
o Any person as defined in this section who exercises, for any period of time, occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement; or
o Any individual who personally exercises occupancy or is entitled to occupancy by reason of concession, permit, right of access, license or other agreement, for a period of thirty (30) consecutive calendar days or less.

HBMC 3.32.030 states:
 For occupancy of any hotel, motel, hostel, hospital or permitted short-term rental as defined, each transient is subject to and shall pay a tax in the amount of fourteen (14) percent of the rent or bill charged by the operator. Said tax constitutes a debt owed by the transient to the city which is extinguished only by payment to the operator of the hotel, motel, hostel, hospital, or other permitted short-term accommodation at the time the rent or bill is paid. If the rent or bill is paid in installments, a proportionate share of the tax shall be paid with each installment.

The unpaid tax shall be due upon the transient’s ceasing to occupy space in the hotel, motel, hostel, hospital or other permitted short-term accommodation. If for any reason the tax due is not paid to the operator, the tax administrator may require that such tax shall be paid directly to the tax administrator. (Emphasis added.)
Regarding TOT appeals, HBMC 3.32.100 allows any operator of a hotel who is aggrieved by the imposition of TOT may file an appeal to the Council through the City Manager’s office within a certain time period for an appeal hearing.

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Past Council Actions
Meeting Date Description
November 24, 2015 Certification of 2015 elections and Ordinance No. 15-1358 approved.

November 21, 2019 Certification of 2019 elections and Ordinance No. 19-1401 approved.

Analysis:

Definitions – HBMC 3.32.020
Under the definition of “Operator”, using the word “permitted” in describing any type of lodging is inconsistent with state law as discussed below, and should be removed. “Shortterm” rental, as it appears in HBMC 3.32.020 under the definition of “Operator” is one of several examples of lodging that falls under the broad definition of “Hotel.” Tax Imposed – HBMC 3.32.030
There are several reasons to remove the language referring to “permitted short term rental as defined” and “other permitted short-term accommodation”—this language is inconsistent with state law, it is inconsistent the definitions and application of HBMC 3.32 generally, and it is inconsistent with voter approved ballot measures regarding the imposition of TOT.

State Law
State law governs many of the functions of municipalities including taxation authority.

Specifically, California Revenue and Taxation Code 7280(a) states, in relevant part:
 The legislative body of any city, county, or city and county may levy a tax on the privilege of occupying a room or rooms, or other living space, in a hotel, inn, tourist home or house, motel, or other lodging unless the occupancy is for a period of more than 30 days.

The state’s definition of lodging regarding TOT is consistent with HBMC 3.32.020, but inconsistent with the language of HBMC 3.32.030. California Rev & Tax Code 7280(a) does not limit TOT to permitted or unpermitted uses, neither does it distinguish its application to short term rentals, which already fall under the broad definition of lodging therein. Removing “permitted short term rental” and “other permitted short-term accommodation” is consistent with the breadth of authority provided by state law.

HBMC and TOT Ballot Language
HBMC 3.32.030 refers to “permitted short term rental as defined,” however, no further definition is provided under HBMC 3.32. Rather, the definitions related to TOT are found under HBMC 3.32.020 as described above, which do not include any reference to “short term rentals” permitted or otherwise, as a separate type of lodging. Instead, HBMC

3.32.020 includes a broad definition of hotel which, similar to CA Rev & Tax Code 7280(a),

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covers what is commonly understood to be a short-term rental—a stay in any structure or portion thereof, intended or designed for occupancy by a transient.

Similarly, the anomalous language, “permitted short term rental,” is inconsistent with the TOT approved by city voters in 2015 and 2019. The plain language of both ballot measures asked voters to vote for or against an increase in the TOT. In 2015, the voters overwhelmingly approved a TOT increase from 10% to 12%, and then overwhelmingly approved a TOT increase from 12% to 14% in 2019 (Attachment 1 & Attachment 2).

Neither ballot measure included any stipulation on what type of occupancy they applied to, nor did either limit the imposition of TOT to permitted or unpermitted occupancies.

In adopting the results of each election, Council at the time decided to artificially narrow the application of each by ordinance only after the ballot measures were approved, resulting in the “permitted short term rental” language in HBMC 3.32.030 (Attachment 3 & Attachment 4). Again, this language is not found in the ballot language approved by the voters, and neither is it found in any other section of the HBMC related to TOT, nor is it defined therein.

Removing the aforementioned language will make HBMC 3.32.030 consistent with state law, consistent with the definitions of HBMC 3.32.020, and consistent with the ballot measures approved by the voters of Hermosa Beach. This is also consistent with court cases that have held that TOT is a tax on the occupant for the privilege of occupying a room or space in a hotel for less than 30 days, and it applies regardless of whether a hotel is properly permitted or in compliance with zoning codes.

It is important to note that this recommendation does not change the calculation of the TOT, nor is it expanding its application as it has always applied to what was approved by the voters—the imposition of the City’s TOT on the occupancy of transients at a hotel as defined by HBMC 3.32.020.

TOT Appeals – 3.32.100
As noted above, HBMC 3.32.100 currently requires that all appeals related to the imposition of the TOT be heard by the City Council. Most administrative violations of the HBMC are heard by an independent, third-party administrative hearing officer which offers a better alternative to an appeal before the Council for several reasons:
 Efficient Scheduling—it can be difficult to coordinate a meeting among all five councilmembers and staff to hear an appeal; using a single administrative hearing officer will be easier to schedule.
 Legal Knowledge—most administrative hearing officers are attorneys with an understanding of the law and how it can apply to the facts of each case.  Fairness—potential appellants may know some or all Councilmembers while others may not; using an independent, third-party administrative hearing officer will

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help protect the City from any accusations of real or perceived bias regarding the appeal process or outcomes.

For these reasons, staff recommends that the Council approve changing the language of HBMC 3.32.100 to remove the Council as the appeals hearing body and allow that all appeals of the TOT be heard by the City Manager or their designee, so that appeals can be heard by an independent, third-party administrative hearing officer.

Options:

Option 1:
 Introduce by title only and waive first reading of an ordinance updating Hermosa Beach Municipal Code 3.32.020 Definitions; 3.32.030 Tax Imposed; and 3.32.100 Appeal.
 At a future meeting, adopt by title only and waive second reading of an ordinance updating Hermosa Beach Municipal Code 3.32.020 Definitions; 3.32.030 Tax Imposed; and 3.32.100 Appeal.
 Following adoption of ordinance, direct the City Clerk to print and publish the summary ordinances in a newspaper of general circulation within 15 days following adoption and post it on the City’s bulletin for 30 days.

Option 2:
 Do not approve Staff’s recommended changes to the Transient Occupancy Tax code, and/or provide further direction to Staff as determined by Council.

Fiscal Impact:

There is no direct fiscal impact to updating HBMC sections 3.32.020 Definitions, 3.32.030 Tax Imposed or HBMC 3.32.100 Appeal.

Attachments:

1. Resolution No.15-6983 (Petition for Transient Occupancy Tax)

2. Resolution No.19-7199 (Increase of Transient Occupancy Tax)

3. Ordinance No. 15-1358 (TOT Results)

4. Ordinance No. 19-1401 (TOT Increase)

5. Draft Ordinance
Respectfully Submitted by: Ken Bales, Senior Management Analyst Noted for Fiscal Impact: Brandon Walker, Administrative Services Director Legal Review: Jason Baltimore, Interim City Attorney
Approved: Steve Napolitano, City Manager

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RESOLUTION NO. 15- 6983

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA

BEACH, CALIFORNIA, ORDERING THE SUBMISSION TO THE QUALIFIED

VOTERS OF A PROPOSED ORDINANCE, SUBMITTED BY PETITION AND

REGARDING AN INCREASE OF THE TRANSIENT OCCUPANCY TAX
HOTEL BED TAX) FROM 10% TO 12%, AT THE GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 3, 2015, AS CALLED BY CITY COUNCIL RESOLUTION NO. 15- 6973
WHEREAS, the City Council of the City of Hermosa Beach, at its meeting of June 23, 2015, adopted Resolution No. 15- 6973, calling for the holding of a General Municipal Election on Tuesday, November 3, 2015; and
WHEREAS, an initiative petition was filed June 9, 2015 with the City Clerk of the City of Hermosa Beach, California, signed by more than five ( 5) percent of the number of Hermosa Beach voters who cast votes at the gubernatorial election of November 4, 2014, pursuant to Proposition 218, to submit to the voters a proposed ordinance that would increase the Transient Occupancy Tax (Hotel Bed Tax) from 10% to 12% in Hermosa Beach; and WHEREAS, the City Clerk examined the records of registration and ascertained that the petition was signed by the requisite number of voters, and has so certified the results; and WHEREAS, the City Council did not vote in favor of the adoption of the ordinance or order a report pursuant to Section 9212 of the Elections Code of the State of California when the certified petition was presented at the meeting of July 14, 2015; and WHEREAS, the City Council is authorized and directed by California statute to submit the proposed ordinance to the voters.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HERMOSA

BEACH, CALIFORNIA, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. That pursuant to the requirements of the laws of the State of California, the City Council of the City of Hermosa Beach does order submitted to the voters at the General Municipal Election on Tuesday, November 3, 2015, the following question, which requires the approval of a majority ( 50% plus 1) of those casting votes:

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Shall an ordinance be adopted that would increase the Hermosa Beach transient occupancy tax ( hotel bed tax) from 10 percent to 12 percent of room revenue?
YES
NO
SECTION 2. That the text of the ordinance submitted to the voters is attached as Exhibit " A."
SECTION 3. That in all particulars not recited in this resolution, the election shall be held and conducted as provided in Resolution No. 15- 6973 and by law for holding municipal elections.

SECTION 4. That notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form and manner as required by law.

SECTION 5. That in the event the ordinance is approved by a majority vote of the electors, and upon certification of the results of the November 3, 2015 election, the Mayor and City Clerk are hereby authorized and directed to attest to said approval.

SECTION 9. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions, and shall make a minute of the passage and adoption thereof in the minutes of the meeting at which the Resolution is adopted.

PASSED, APPROVED and ADOPTED this 14th day of July, 2015.

PRESIDENT of the City Council, and MAYORo f the City of Hermosa Beach, California ATTEST:

City Clerk

APPROVED AS FORM:
15- 6983

STATE OF CALIFORNIA )

COUNTY OF LOS ANGELES )

CITY OF HERMOSA BEACH )
I, Elaine Doerfling, City Clerk of the City of Hermosa Beach, California, do hereby certify that the foregoing Resolution No. 15- 6983 was duly and regularly passed, approved and adopted by the City Council of the City of Hermosa Beach at a Regular Meeting of said Council at the regular place thereof on July 14, 2015.

The vote was as follows:

AYES: DiVirgilio, Fangary, Petty, Tucker, Mayor Barragan NOES: None
ABSENT: None
ABSTAIN: None
Dated: July 15, 2015
Elaine Doerfling, City Cler

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ORDINANCE NO. 15- 1358

AN ORDINANCE OF THE CITY OF HERMOSA BEACH,

CALIFORNIA, INCREASING THE TRANSIENT OCCUPANCY
TAX (HOTEL BED TAX) FROM 10% TO 12%
THE PEOPLE OF THE CITY OF HERMOSA BEACH DO ORDAIN AS FOLLOWS:

SECTION 1. Title. ( See above)
SECTION 2. Findings and Declarations. The people of Hermosa Beach find and declare all of the following:
a) The City of Hermosa Beach has overdue facility and infrastructure improvement needs that require more than the City' s available or projected revenues. b) Our City has not increased the Transient Occupancy Tax (TOT) rate (Hotel Bed Tax) since 1990, and in that time this rate has dropped below the average rate of taxation compared to neighboring municipalities.
c) The Hotel Bed Tax is a valuable source of revenue for our City' s General Fund. d) The proposed increase of two ( 2) percent is estimated by City Staff to generate an estimated additional $ 440, 000 in revenue per year from the currently permitted short- term occupancy operators ( hotels, motels, and hostels).
e) The additional two ( 2) percent Tax on those who stay overnight in our City is commensurate with the average Tax of neighboring cities and those in Southern California, and is not an undue or unfair burden to visitors to Hermosa Beach as this Tax is an expected expense that we all are accustomed to paying when traveling anywhere, but especially to desirable, unique, and beautiful locales.
f) A Hotel Bed Tax is not a new burden on the hotel or other permitted short-term accommodation operators as City code currently requires them to collect a bed tax from their guests.
g) The proposed Tax increase does not put the hotel or other permitted short-term accommodation operators at a competitive disadvantage since twelve ( 12) percent is the average

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Hotel Bed Tax by neighboring cities that do not provide the unique, wonderful ocean/ beachfront access, small town atmosphere, and clean, sparkling waters to enjoy while they are visiting. h) The overwhelming majority of those staying overnight in Hermosa Beach are tourists. Therefore, the majority of the Hotel Bed Tax will be paid by non-residents. i) Our current occupancy rate of 81 % is comprised mainly of pleasure and recreational travelers who do not decide where they are traveling based on the Hotel Bed Tax.

SECTION 3. Purpose and Intent. The people of the City of Hermosa Beach hereby declare their purpose and intent in enacting this ordinance to be as follows:
a) To protect our City infrastructure by enhancing and increasing a stable, reliable, and adequate funding source for it.
b) To generate incremental Hotel Bed Tax revenue to the City by adjusting the Tax on hotel operators and other short-term accommodations that may be permitted in the future.

SECTION 4. Section 3. 32. 020 of Title 5, Chapter 3. 32. 020 is amended as follows:

Operator" means the person who is the proprietor of the hotel, motel, hostel, or any other permitted short- term rental, whether in the capacity of owner, lessee, sublessee, mortgagee in possession, licensee, and includes companies that arrange for reservations online. Though the operator performs his functions through a managing agent of any type or character other than an employee, the managing agent shall also be determined an operator for the purposes of this chapter and shall have the same duties and liabilities as his principal. Compliance with the provisions of this chapter by either the principal or the managing agent shall, however, be considered to be compliance by both.

SECTION 5. Section 3. 32. 030 of Title 5, Chapter 3. 32. 030 is amended as follows:

For the occupancy of any hotel, motel, hostel, hospital, or permitted short term rental as defined, each transient is subject to and shall pay a tax in the amount of 12% of the rent of bill charged by the operator. Said tax constitutes a debt owed by the transient to the City which is extinguished only bypUanent to the operator of the hotel hospital, or other permitted short term accommodation at the time the rent or bill is 12aid. If the rent or bill is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient' s ceasing to occupy space in the hotel, hospital, or other permitted short term

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accommodation. If for any reason the tax due is not paid to the operator, the tax administrator may require that such tax shall be paid directly to the tax administrator.

SECTION 6. Effective Date. This ordinance shall become effective upon approval by the electorate in the manner provided by law on January 1, 2016.

SECTION 7. Severability. If any section, subsection, sentence, clause, phrase, part or portion of this ordinance is for any reason upheld to be invalid or unconstitutional by any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance.

SECTION 8. Amendment or Repeal. The provisions of this Act may be renumbered as to Group, but otherwise may not be amended or repealed by the City Council without a vote of the people.

SECTION 9. Clarification. The modifications to Section 3. 32. 02 set forth in Paragraph 4 of this ordinance are declarative of existing law and merely clarifying the existing code.

ORDINANCE NO. 15- 1358 - PASSED, APPROVED AND ADOPTED BY THE

ELECTORATE OF THE CITY OF HERMOSA BEACH AT THE GENERAL
MUNICIPAL ELECTION ON NOVEMBER 3, 2015, BY THE FOLLOWING VOTE:

ATTEST:

City Clerk
AYES - 3, 026 NOES — 537
oftheCity Council and MAYOR of the City of Hermosa Beach, California

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28 ORDINANCE NO. 19- 1401

AN ORDINANCE OF THE CITY OF HERMOSA BEACH, CALIFORNIA,

INCREASING THE TRANSIENT OCCUPANCY TAX (HOTEL TAX) BY
2% FROM 12% TO 14% AND AMENDING CHAPTER 3.32 OF THE

HERMOSA BEACH MUNICIPAL CODE
The People of the City of Hermosa Beach, California, do hereby ordain as follows:

Section 1. Recitals.

A. The purpose of this Ordinance is to increase the rate of the transient occupancy tax paid by hotel/motel and other short-term guests from its current rate of 12% to 14%.

B. The transient occupancy tax (" TOT/hotel tax") is paid only by guests who stay in local hotels and other lodgings and ensures that out-of-town visitors pay their fair share of their use of City roads, parks, the beach, public safety and other City services.

C. The revenues from the TOT/hotel tax remain entirely in the City, are controlled by the City, and are used for unrestricted general municipal purposes such as public safety, infrastructure, street repair and park improvements, and cannot be taken by the County or the State.

D. An increase of 2% in the transient occupancy tax is estimated to raise approximately $ 550, 000, which would be used by the City to protect the residents' quality of life and property values and continue to provide excellent quality services. By keeping the city safe, clean and well -maintained, updating the hotel tax protects the quality of life and property values for local residents while keeping Hermosa Beach a special place to live, work and play.

E. The City' s excellent public safety services continue to contribute to the quality of life residents have come to expect and deserve in Hermosa Beach. Public safety has consistently been a top priority for the City and residents. Updating the hotel tax helps maintain local public safety services such as 911 response, police, fire and paramedic services.

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Section 2. Section 3. 32.030 of Chapter 3. 32, Title 3 of the Hermosa Beach Municipal Code is amended to read:

A. For occupancy of any hotel, motel, hostel, hospital or permitted short term rental as defined, each transient is subject to and shall pay a tax in the amount of fourteen percent of the rent or bill charged by the operator. Said tax constitutes a debt owed by the transient to the City which is extinguished only by payment to the operator of the hotel, motel, hostel, hospital, or other permitted short term accommodation at the time the rent or bill is paid. If the rent or bill is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the transient's ceasing to occupy space in the hotel, motel, hostel, hospital or other permitted short term accommodation. If for any reason the tax due is not paid to the operator, the tax administrator may require that such tax shall be paid directly to the tax administrator."
ORDINANCE NO. 19- 1401 — PASSED, APPROVED AND ADOPTED BY

THE PEOPLE OF THE CITY OF HERMOSA BEACH, CALIFORNIA, AT THE GENERAL MUNICIPAL ELECTION OF NOVEMBER 5, 2019, BY
THE FOLLOWING VOTE:

PRESIDENT ofthe City
ATTEST:

City Clerk
AYES — 3067 NOES - 868
MAYOR of the City of Hermosa Beach, California

ORDINANCE NO. 26-XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

HERMOSA BEACH, CALIFORNIA, AMENDING CERTAIN
PROVISIONS TO CHAPTER 3.32 (TRANSIENT OCCUPANCY TAX)

OF THE HERMOSA BEACH MUNICIPAL CODE
WHEREAS, the City of Hermosa Beach (“City”) has the power to tax pursuant to California Government Code section 37100.5; and
WHEREAS, the City is authorized to impose a transient occupancy tax (“TOT”) and adopt administrative collection procedures to tax a person staying thirty (30) days or less in hotels, motels, and similar lodgings pursuant to California Revenue and Taxation Code section 7280 et seq.; and
WHEREAS, the City imposes TOTs pursuant to Chapter 3.32 of the Municipal Code (“Code”), and short-term rentals are subject to TOTs pursuant to Sections

3.32.020 and 3.32.030 of the Code; and
WHEREAS, the City Council (“Council”) desires to amend certain provisions of the Code related to short-term rentals for clarification purposes ensuring the TOT is administered according to the provisions approved by the voters.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH DOES HEREBY RESOLVE AND FIND AS FOLLOWS:

SECTION 1. Incorporation of Recitals. The above recitals are true and correct, and are incorporated herein by this reference.

SECTION 2. Findings. The Council hereby finds that the proposed amendments do not increase or otherwise expand the scope of the TOT beyond that approved by the voters.

SECTION 3. Amendment. The Council hereby amends Chapter 3.32 (TOT) of the Code as follows:
a. Section 3.32.020 (Definitions). The definition of Operator is amended by deleting the words “any other permitted” before the words “short term rental”.
b. Section 3.32.030 (Tax Imposed). Section 3.32.030 is
hereby amended by deleting the words “permitted” and “other permitted” before the words “short-term rental”.

c. Section 3.32.100 (Appeal). Section 3.32.100 is hereby amended by replacing the word “council” with the words “city manager or their designee”, and the words “city manager” with the words “city manager or their designee”.

SECTION 4. California Environmental Quality Act (“CEQA”). The City Council finds that this Ordinance is not subject to CEQA pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines (Chapter 3 to Title 14 of the California Code of Regulations) because it has no potential for resulting in physical change to the environment, directly or indirectly.

SECTION 5. Severability. If any part of this Ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications; and, to this end, the provisions of this Ordinance are severable.

SECTION 6. Certification. The City Clerk is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City’s book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within fifteen (15) days after the Ordinance’s passage and adoption, cause it to be published or posted in accordance with California law.

SECTION 7. Effective Date. This Ordinance shall become effective and be in full force and effect from and after thirty (30) days of its final passage and adoption.

PASSED, APPROVED, and ADOPTED on this 10th day of March 2026.

Mayor Mike Detoy
PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM:
________________________________ ________________________________ [________] Jason Baltimore
Interim City Clerk Interim City Attorney

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Meeting Date: March 10, 2026
Staff Report No. 26-CDD-025
Honorable Mayor and Members of the Hermosa Beach City Council INTRODUCE AN ORDINANCE REPEALING AND REPLACING CHAPTER 17.21 OF

THE HERMOSA BEACH MUNICIPAL CODE RELATING TO ACCESSORY

DWELLING UNITS AND JUNIOR ACCESSORY DWELLING UNITS
CEQA: Determine the action to be Statutorily Exempt from the California Environmental Quality Act (CEQA) under Public Resources Code § 21080.17. (Community Development Director Alison Becker)
Recommended Action:

Staff recommends City Council:

1. Determine the action to be Statutorily Exempt from the California Environmental Quality Act (CEQA) under Public Resources Code § 21080.17;

2. Conduct a public hearing to consider repealing and replacing Chapter 17.21 of the Hermosa Beach Municipal Code relating to Accessory (ADU) and Junior Accessory Dwelling Units (JADU); and

3. Introduce by title only and waive first reading of an ordinance (Attachment 1) approving Zone Text Amendment (TA 26-01) repealing and replacing Chapter

17.21 of the Hermosa Beach Municipal Code.

Executive Summary:

The proposed ordinance would repeal and replace Chapter 17.21 of the Hermosa Beach Municipal Code to comply with recent changes to state law that impose new limits on local authority to regulate Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs). Except as otherwise noted, these new laws took effect on January 1, 2026. The Planning Commission voted unanimously during their January 20, 2026 meeting to adopt a resolution advising City Council to adopt the proposed ordinance, and to find the action statutorily exempt from CEQA.

Background:

In recent years, the California Legislature has approved, and the Governor has signed into law, a number of bills that impose new limits on local authority to regulate ADUs and JADUs. In late 2025, four new bills were enacted that further amend state ADU law. Additionally, on December 29, 2025 the California Department of Housing and Community Development (HCD) sent the City of Hermosa Beach a letter indicating that the City’s ADU ordinance failed to comply with state ADU laws in various ways.

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(Attachment 2). The proposed ordinance would resolve the issues identified by HCD and bring the City’s ADU policies in compliance with state law as described below.

At its January 20, 2026 meeting, the Planning Commission, which serves as the advisor to the City Council on all land-use matters, reviewed the related Zone Text Amendment and unanimously recommended City Council’s approval amending Chapter 17.21 of the Hermosa Beach Municipal Code related to Accessory and Junior Accessory Dwelling Units in line with the staff recommendation, and in the interest of compliance with State law.

Past Commission Action
Meeting Date Description
January 20, 2026
Planning Commission holds a public hearing and unanimously votes to approve a resolution to recommend that the City Council repeal and replace Chapter 17.21 of the Hermosa Beach Municipal Code relating to Accessory and Junior
Accessory Dwelling Units.

Assembly Bill (AB) 462 – Coastal Development Permits; Disaster-Affected Areas Existing law requires most ADUs proposed in the Coastal Zone to obtain a Coastal Development Permit (CDP) in addition to other local ADU permit requirements.

Historically, the CDP for an ADU was not subject to the state ADU law’s 60-day shot clock to approve or deny a complete ADU application. Additionally, local permitting decisions on a CDP for an ADU could be appealed to the California Coastal Commission if the underlying property was subject to the Coastal Commission’s appeals jurisdiction (as set forth in Public Resources Code 30603).

AB 462 alters the status quo on numerous fronts. Most notably, local agencies with a certified local coastal program (LCP) must now approve or deny a CDP application for an ADU within 60 days of receiving a complete application. The local agency’s review of the CDP application must also take place “concurrently with the process to approve or deny” any other permit required to approve the ADU (i.e., an ADU permit and building permit). (Gov. Code, § 66329(a).) AB 462 also eliminates the ability to appeal a CDP for an ADU to the Coastal Commission. If a local agency does not have a certified LCP, then it now must “immediately notify” the Coastal Commission when an ADU application is submitted.

Subject to limited exceptions, the Coastal Commission’s review of the CDP application is subject to the same 60-day shot clock that applies to local agencies with a certified LCP. (Id., at (b)(1)–(5).) The City does not have a fully certified LCP, so City staff now immediately notifies the Coastal Commission when an ADU application is submitted.

Beyond changes to CDP processing, AB 462 modifies the rules governing the issuance of a certificate of occupancy (CofO) for an ADU. Historically, state law has prohibited a local agency from issuing a CofO for an ADU before one is issued for the primary dwelling (i.e., the primary dwelling must have a CofO before the ADU.)

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AB 462 creates a narrow exception to this prohibition for detached ADUs when all of the following conditions are satisfied: (1) the Governor has declared a state of emergency for the county on or after February 1, 2025; (2) the primary dwelling was substantially damaged or destroyed by an event referenced in the state of emergency proclamation; and (3) the ADU has been issued construction permits and passed all required inspections. (Gov. Code, § 66328(b).) If these conditions are satisfied, the detached ADU can receive a CofO before the primary dwelling. In all other scenarios, the primary dwelling still needs a CofO before one can be issued for an ADU.

AB 462 was enacted as an urgency measure that took effect immediately when signed by the Governor (on October 10, 2025).

The following three bills were enacted as non-urgency measures and took effect on January 1, 2026.

AB 1154 – JADU Owner-Occupancy; Short-Term Rental
When a JADU is developed, existing state law requires a property owner to reside in the JADU or remaining portion of the single-family dwelling. AB 1154 narrows this requirement to now only apply when a JADU shares sanitation facilities (bathroom) with the single-family dwelling. If the JADU has its own bathroom, then the property owner does not have to reside on the property at all. (See amended Gov. Code, § 66333(b).) AB 1154 also expressly prohibits JADUs from being used as short-term rentals (i.e., rented for a term shorter than 30 days). (See amended Gov. Code, § 66333(g).) The City’s ADU ordinance already included this prohibition, but it is now required by state law.

SB 9; SB 543 – ADU Ordinance Submittal to HCD; Approval Under existing law, local agencies are required to submit a copy of their ADU ordinance to the California Department of Housing and Community Development (HCD) within 60 days of adoption.

Last year’s SB 9
1 and SB 543 created a penalty for failing to do so by rendering null and void any local ordinance that is not submitted to HCD within 60 days of adoption. (See amended Gov. Code, § 66326(d); new Gov. Code, § 66333.5(d).) The bills further specify that a local ADU ordinance is null and void if HCD issues findings that the ordinance does not comply with state law and the local agency fails to respond to HCD within 30 days. (Id.)
SB 543 – ADU Size; Number of ADUs; Impact Fees; Application Timeline SB 543 makes numerous changes and clarifications to state ADU law, most notably as it pertains to how ADU and JADU size allowances are calculated.

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ADU & JADU Size
Existing state law as well as the current Hermosa Beach ADU ordinance establishes that the maximum size of a JADU may not exceed 500 square feet. It also prohibits enforcement of certain development standards that would have the effect of preventing the development of an ADU that is at least 800 square feet pursuant to Government Code section 66314 through 66322.

SB 543 amends state ADU law to specify that the allowable square footage of an ADU or JADU refers to “interior livable space” whereas previously the basis of measurement was left undefined and subject to local interpretation. (See amended Gov. Code, § 66313(d), 66321(b)(2).)
Impact Fees
Existing law exempts ADUS that are 750 square feet or smaller from development impacts fees (DIFs).

SB 543 clarifies that DIFs may not be imposed on an ADU that has 750 or fewer square feet of interior livable space or on a JADU with 500 or fewer square feet of interior livable space.

The bill also exempts an ADU or JADU with fewer than 500 square feet of interior livable space from school impact fees. (See amended Gov. Code, § 66311.5.) Quantity of ADUs Created Under Government Code Section 66323 Existing state law creates four categories of ADUs that must be approved if they comply with the limited standards provided in Government Code section 66323(a)(1)–(4). These are:

1. a converted ADU and JADU created on a lot with a proposed or existing singlefamily dwelling (Gov. Code, § 66323(a)(1));

2. a detached ADU created on a lot with a proposed or existing single-family dwelling (Gov. Code, § 66323(a)(2));

3. converted ADUs created in an existing multifamily dwelling (Gov. Code, § 66323(a)(3)); and

4. detached ADUs created on a lot with a proposed or existing multifamily dwelling.

For some time, there has been uncertainty as to whether ADUs created under Government Code section 66323 could be combined. While the City’s municipal code allows combinations, HCD initially took the position in its 2020 ADU Handbook that state law does not require local agencies to allow combinations. But for the last few years, HCD has taken the opposite position: that yes, combinations are permitted. (See HCD January 2025 ADU Handbook, at p.19 [“[Pursuant to Government Code section 66323, subdivision (a), local governments must allow units created pursuant to subparagraphs (1) and (2) together or (3) and (4) together”].)

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SB 543 codifies HCD’s most recent interpretation by amending Government Code section 66323 to specifically allow combinations. Thus, state law now requires local agencies to permit a lot with a multifamily dwelling to have a converted ADU or ADUs created under section 66323(a)(3) and detached ADUs created under section 66323(a)(4), and lot with a single family dwelling to have a converted ADU and a JADU created under section 66323(a)(1) and a detached ADU created under section 66323(a)(2).

ADU Permitting Process
Existing law has long required local agencies to approve or deny an ADU application within 60 days of receiving a complete application. However, state law was silent with respect to incompleteness determinations, subsequent resubmittals, and appealing local decisions on ADU applications.

SB 543 requires local agencies to now:

1. determine whether an ADU application is complete within 15 business days of submittal;

2. if the application is incomplete, within the same 15 days provide the applicant with a list of incomplete items and how to address them;

3. review a resubmitted application for completeness within 15 business days;

4. provide the applicant with a written appeal process for any incompleteness determination or denial (to the Planning Commission or City Council, or both); and

5. provide a final written determination on the appeal within 60 business days of receiving the appeal). (See amended Gov. Code, §§ 66317 [ADUs], 66335 [JADUs].)
Discussion & Recommendation:

AB 462 took effect immediately when signed, but it technically does not require any change to a local ADU ordinance; the City just needs to follow the new rules for CDP processing and issuance of a CofO, if applicable. The remaining bills took effect on January 1, 2026, and for the City’s ADU ordinance to remain valid and enforceable, it must comply with the new changes in state law. Adopting the proposed ordinance (Attachment 1) ensures that the City’s ADU ordinance would remain in compliance with state law in the manner identified by the letter from the California Department of Housing and Community Development dated December 29, 2025 (Attachment 2). For these reasons, staff, in line with the Planning Commission’s recommendation, recommend that City Council conduct a public hearing to approve an ordinance (Attachment 1) repealing and replacing Chapter 17.21 of the Hermosa Beach Municipal Code relating to Accessory and Junior Accessory Dwelling Units.

Environmental Determination:

Under California Public Resources Code Section 21080.17, CEQA does not apply to the adoption of an ordinance by a city or county implementing the provisions of Chapter 13

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of Division 1 of Title 7 of the California Government Code, which is California’s ADU law.

Therefore, the proposed ordinance is statutorily exempt from CEQA because it implements state ADU law.

Public Notification:

For the March 10, 2026, City Council hearing, a legal ad was published in the Easy Reader, a newspaper of general circulation, and posted in three locations.

Attachments:

1. Draft Ordinance

2. CA Housing and Community Development Department letter dated Dec 29, 2025 Respectfully Submitted by: Jake Whitney, Associate Planner and Aryan Ray, Intern Concur: Alexis Oropeza, Planning Manager
Concur: Alison Becker, AICP, Community Development Director Legal Review: Sarah Locklin, Interim Assistant City Attorney Approved: Steve Napolitano, City Manager

ORDINANCE NO. 26-XXXX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, REPEALING AND REPLACING CHAPTER 17.21 OF

THE HERMOSA BEACH MUNICIPAL CODE RELATING TO ACCESSORY

DWELLING UNITS AND JUNIOR ACCESSORY DWELLING UNITS
(CITYWIDE), AND FINDING THE ACTION STATUATORILY EXEMPT

FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, the City of Hermosa Beach (“City”) is authorized to adopt and amend zoning regulations by ordinance pursuant to the California Constitution (Section 7 to Article XI) and California Government Code section 65850; and WHEREAS, the City is required to provide for ministerial approval of an accessory dwelling unit (“ADU”) and junior accessory dwelling unit (“JADU”) pursuant to California Government Code sections 66310 through 66342, and the City is prohibited from enforcement of local ordinances that conflict with state ADU law pursuant to California Government Code section 66326; and
WHEREAS, California Government Code sections 66314 through 66324 and 66333 through 66339 establish mandatory processing standards, development standards, and limitations on local discretion applicable to ADUs and JADUs; and WHEREAS, amendments to California ADU law effective January 1, 2026, require conforming updates to local ordinances to maintain compliance with state law; and WHEREAS, the City is required to adopt programs that facilitate and encourage the development of ADUs to meet housing needs identified in the City’s General Plan Housing Element (6th Cycle 2021–2029), adopted by the City Council and certified by the California Department of Housing and Community Development, pursuant to California Government Code section 65583(c)(7); and
WHEREAS, the Planning Commission conducted a duly-noticed public hearing pursuant to California Government Code section 65090 on January 20, 2026, and recommended adoption of this Ordinance.

THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA DOES HEREBY ORDAIN AS FOLLOWS:

SECTION 1. Incorporation of Recitals. The above recitals are true and correct, and are incorporated herein by this reference.

SECTION 2. Repeal and Replace. The Hermosa Beach Municipal Code (“HBMC”) Chapter 17.21 is hereby repealed in its entirety and replaced with the zoning text document as set forth in Exhibit A, attached hereto and incorporated herein by reference.

SECTION 3. Finding. The City Council hereby finds that repealing and replacing HBMC Chapter 17.21 ensures consistency with current state law, maintains local standards to the extent authorized, and avoids statutory preemption.

SECTION 4. California Environmental Quality Act (“CEQA”). The City Council finds that this Ordinance is statutorily exempt from CEQA pursuant to California Public Resources Code section 21080.17, which provides that CEQA does not apply to the adoption of an ordinance implementing California Government Code sections 66310 through 66342 relating to ADUs. This Ordinance implements state ADU law and does not establish discretionary standards beyond those authorized by statute. Accordingly, no environmental review is required.

SECTION 5. Severability. If any part of this Ordinance or its application is deemed invalid by a court of competent jurisdiction, the City Council intends that such invalidity will not affect the effectiveness of the remaining provisions or applications; and, to this end, the provisions of this Ordinance are severable.

SECTION 6. Certification. The City Clerk is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City’s book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within fifteen (15) days after the Ordinance’s passage and adoption, cause it to be published or posted in accordance with California law.

SECTION 7. Effective Date. This Ordinance shall become effective and be in full force and effect from and after thirty (30) days of its final passage and adoption.

PASSED, APPROVED, and ADOPTED on this 10th day of March 2026.

AYES:

NOES:

ABSENT:

ABSTAINED:

Mike Detoy
PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM:
________________________________ ________________________________ Ann Yang Jason Baltimore
Interim City Clerk Interim City Attorney

EXHIBIT A
CHAPTER 17.21 “ACCESSORY DWELLING UNITS”
Contents:

17.21.010 Purpose.

17.21.020 Effect of Conforming.

17.21.030 Definitions.

17.21.040 Approval of ADUs and JADUs.

17.21.050 Classes of ADUs and JADUs.

17.21.060 General ADU and JADU Requirements and Development Standards.

17.21.070 Specific ADU Requirements.

17.21.080 Fees.

17.21.090 Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.

17.21.100 Nonconforming ADUs and Discretionary Approval.

17.21.010 Purpose.

The purpose of this section is to allow and regulate accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs) in compliance with Chapter 13 of Division 1 of Title 7 of the California Government Code.

17.21.020 Effect of Conforming.

An ADU or JADU that conforms to the standards in this section will not be:

A. Deemed to be inconsistent with the city’s general plan and zoning designation for the lot on which the ADU or JADU is located.

B. Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.

C. Considered in the application of any local ordinance, policy, or program to limit residential growth.

D. Required to correct a nonconforming zoning condition, as defined in section 17.21.030 below. This does not prevent the city from enforcing compliance with applicable building standards in accordance with Health and Safety Code section 17980.12.

17.21.030 Definitions.

As used in this section, terms are defined as follows:

“Accessory dwelling unit” or “ADU” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:

A. An efficiency unit, as defined by section 17958.1 of the California Health and Safety Code; and
B. A manufactured home, as defined by section 18007 of the California Health and Safety Code.
“Accessory structure” means a structure that is accessory and incidental to a dwelling located on the same lot.
“Complete independent living facilities” means permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will be situated.
“Efficiency kitchen” means a kitchen that includes all of the following:

A. A cooking facility with appliances.

B. A food preparation counter and storage cabinets that are of a reasonable size in relation to the size of the JADU.
“Junior accessory dwelling unit” or “JADU” means a residential unit that satisfies all of the following:

A. It is no more than 500 square feet of interior livable space in size.

B. It is contained entirely within an existing or proposed single-family structure. An enclosed use within the residence, such as an attached garage, is considered to be a part of and contained within the single-family structure.

C. It includes its own separate sanitation facilities or shares sanitation facilities with the existing or proposed single-family structure.

D. If the unit does not include its own separate bathroom, then it contains an interior entrance to the main living area of the existing or proposed single-family structure in addition to an exterior entrance that is separate from the main entrance to the primary dwelling.

E. It includes an efficiency kitchen, as defined in section 17.21.030. “Livable space” means a space in a dwelling intended for human habitation, including living, sleeping, eating, cooking, or sanitation.

“Living area” means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure. “Nonconforming zoning condition” means a physical improvement on a property that does not conform with current zoning standards.
“Passageway” means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU or JADU.
“Proposed dwelling” means a dwelling that is the subject of a permit application and that meets the requirements for permitting.
“Public transit” means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public. “Tandem parking” means that two or more automobiles are parked on a driveway or in any other location on a lot, lined up behind one another.

17.21.040 Approval of ADUs and JADUs.

The following approvals apply to ADUs and JADUs created under this section:

A. Ministerial ADU and Building Permits Required. Every ADU and JADU requires an ADU permit and a building permit. The city will review and approve permit applications in accordance with subsection 17.21.040(C) below.

B. Processing Fee. The city may charge a fee to reimburse it for costs incurred in processing ADU permits, including the costs of adopting or amending the city’s ADU ordinance. The ADU-permit processing fee is determined by the city council by resolution.

C. Process and Timing.

1. Completeness.
a) Determination in 15 days. The city will determine whether an application to create or serve an ADU or JADU is complete and will provide written notice of the determination to the applicant within 15 business days after the city receives the application submittal. b) Incomplete items. If the city’s determination under subsection (C)(1)(a) above is that the application is incomplete, the city’s notice must list the incomplete items and describe how the application can be made complete.

c) Cure. After receiving a notice that the application is incomplete, the applicant may cure and address the items that were deemed by the city to be incomplete.
d) Subsequent submittals. If the applicant submits additional information to address incomplete items, within 15 business days of the subsequent submittal the city will determine in writing whether the additional information remedies all the incomplete items that the city identified in its original notice. The city may not require the application to include an item that was not included in the original notice.
e) Deemed complete. If the city does not make a timely determination as required by this subsection (C), the application or resubmitted application is deemed complete for the purposes of subsection (C)(3) below.
f) Appeal of incompleteness. An applicant may appeal the city’s determination that the application is incomplete by submitting a written appeal to the city clerk. The planning commission will review the written appeal and affirm or reverse the completeness determination and provide a final written determination to the applicant within 60 business days after receipt of the appeal.

2. No discretion or hearing. Ministerial permits for an ADU or JADU are considered and approved without discretionary review or a hearing.

3. Deadline to approve or deny ministerial approvals. The city must approve or deny an application to create an ADU or JADU within 60 days from the date that the city receives a complete application. If the city has not approved or denied the complete application within 60 days, the application is deemed approved unless either:
a) The applicant requests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or
b) When an application to create an ADU or JADU is submitted with a permit application to create a new single-family or multifamily dwelling on the lot, the city may delay acting on the permit application for the ADU or JADU until the city acts on the permit application to create the new single-family or multifamily dwelling, but the application to create the ADU or JADU will still be considered ministerially without discretionary review or a hearing.

4. Denial. If the city denies an application to create an ADU or JADU, the city must provide the applicant with comments that include, among other things, a list of all the defective or deficient items and a description of how the application may be remedied by the applicant. Notice of the denial and

corresponding comments must be provided to the applicant within the 60-day time period established by subsection (C)(3) above.

5. Appeal of denial. An applicant may appeal the city’s denial of the application by submitting a written appeal to the city clerk. The planning commission will review the written appeal and affirm or reverse the denial and provide a final written determination to the applicant within 60 business days after receipt of the appeal.

6. Deadline to approve or deny CDP. Nothing in state ADU and JADU laws or this code supersedes or in any way alters or lessens the effect or application of the California Coastal Act of 1976, except that:
a) If a coastal development permit (CDP) is required for the ADU or JADU, a complete CDP application must be included for the ADU or JADU application to be complete; and
b) The CDP application must be approved or denied within 60 days of receiving the complete application.
c) If the city does not have a certified local coastal plan or program when the complete ADU or JADU application is received, the city will immediately notify the California Coastal Commission of the complete ADU or JADU application.

7. Concurrent review of demolition. A demolition permit for a detached garage that is to be replaced with an ADU is reviewed with the application for the ADU and issued at the same time.

17.21.050 Classes of ADUs and JADUs.

A. Class 1: Statutorily Regulated. Class 1 ADUs and JADUs are approved under Government Code section 66323. If an ADU or JADU complies with each of the general requirements in section 17.21.060 below, it is allowed in each of the scenarios provided in this subsection (A). An ADU and JADU approved under subsection (A)(1) may be combined with an ADU approved under subsection (A)(2), and ADUs approved under subsection (A)(3) may be combined with ADUs approved under subsection (A)(4).

1. Converted on Lot with Single-Family: One ADU as described in this subsection (A)(1) and one JADU on a lot with a proposed or existing singlefamily dwelling on it, where the ADU or JADU:
a) Is either: within the space of a proposed single-family dwelling; within the existing space of an existing single-family dwelling; or (in the case of an ADU only) within the existing space of an accessory structure, plus up to 150 additional square feet if the expansion is limited to accommodating ingress and egress; and

b) Has exterior access that is independent of that for the single-family dwelling; and
c) Has side and rear setbacks sufficient for fire and safety, as dictated by applicable building and fire codes.
d) The JADU complies with the requirements of Government Code sections 66333 through 66339.

2. Limited Detached on Lot with Single-Family: One detached, newconstruction ADU on a lot with a proposed or existing single-family dwelling, if the detached ADU satisfies each of the following limitations:
a) The side- and rear-yard setbacks are at least four feet. b) The total floor area is 800 square feet of livable space or smaller. c) The peak height above grade does not exceed the applicable height limit in section 17.21.060 below.

3. Converted on Lot with Multifamily: One or more ADUs within portions of existing multifamily dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each converted ADU complies with state building standards for dwellings. Under this subsection (A)(3), at least one converted ADU is allowed within an existing multifamily dwelling, up to a quantity equal to 25 percent of the existing multifamily dwelling units.

4. Limited Detached on Lot with Multifamily: No more than two detached ADUs on a lot with a proposed multifamily dwelling, or up to eight detached ADUs on a lot with an existing multifamily dwelling, if each detached ADU satisfies all of the following:
a) The side- and rear-yard setbacks are at least four feet. If the existing multifamily dwelling has a rear or side yard setback of less than four feet, the city will not require any modification to the multifamily dwelling as a condition of approving the ADU.
b) The peak height above grade does not exceed the applicable height limit provided in subsection 17.21.060(B) below.
c) If the lot has an existing multifamily dwelling, the quantity of detached ADUs does not exceed the number of primary dwelling units on the lot.

B. Class 2: Locally Regulated. Class 2 ADUs are approved under Government Code sections 66314–66322. Except for Class 1 ADUs approved under subsection (A) above, all ADUs are subject to the standards set forth in sections 17.21.060 and 17.21.070 below.

17.21.060 General ADU and JADU Requirements and Development Standards.

The following requirements apply to all Class 1 and Class 2 ADUs and JADUs:

A. Zoning.

1. A Class 1 ADU approved under subsection 17.21.050(A) above may be created on a lot in a residential or mixed-use zone.

2. A Class 2 ADU approved under subsection 17.21.050(B) above may be created on a lot that is zoned to allow single-family dwelling residential use or multifamily dwelling residential use.

3. In accordance with Government Code section 66333(a), a JADU may only be created on a lot zoned for single-family residences.

B. Height.

1. Except as otherwise provided by subsections (B)(2) and (B)(3) below, a detached ADU created on a lot with an existing or proposed single family or multifamily dwelling unit may not exceed 16 feet in height.

2. A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single family or multifamily dwelling unit that is located within one-half mile walking distance of a major transit stop or high quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to two additional feet in height (for a maximum of 20 feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit.

3. A detached ADU created on a lot with an existing or proposed multifamily dwelling that has more than one story above grade may not exceed 18 feet in height.

4. An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that applies to the primary dwelling, whichever is lower. Notwithstanding the foregoing, ADUs subject to this subsection (B)(4) may not exceed two stories.

5. For purposes of this subsection (B), height is measured from existing legal grade or the level of the lowest floor, whichever is lower, to the peak of the structure.

C. Fire Sprinklers.

1. Fire sprinklers are required in an ADU or JADU if sprinklers are required in the primary residence.

2. The construction of an ADU or JADU does not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling.

D. Rental Term. No ADU or JADU may be rented for a term that is shorter than 30 days.

This prohibition applies regardless of when the ADU or JADU was created.

E. No Separate Conveyance. An ADU or JADU may be rented, but, except as otherwise provided in Government Code section 66341, no ADU or JADU may be sold or otherwise conveyed separately from the lot and the primary dwelling (in the case of a single-family lot) or from the lot and all of the dwellings (in the case of a multifamily lot).

F. Septic System. If the ADU or JADU will connect to an onsite wastewater-treatment system, the owner must include with the application a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years.

G. Owner Occupancy.

1. ADUs. ADUs are not subject to an owner-occupancy requirement.

2. JADUs.
a) Generally. As required by state law, JADUs are generally subject to an owner-occupancy requirement. A natural person with legal or equitable title to the property must reside on the property, in either the primary dwelling or JADU, as the person’s legal domicile and permanent residence.
b) Exceptions. The owner-occupancy requirement in this subsection (G)(2) does not apply in either of the following situations:
(I) The JADU has separate sanitation facilities (i.e., does not share sanitation facilities with the existing primary dwelling unit structure).
(II) The property is entirely owned by another governmental agency, land trust, or housing organization.

H. Deed Restriction. Prior to issuance of a certificate of occupancy for an JADU, a deed restriction must be recorded against the title of the property in the County Recorder’s office and a copy filed with the community development director. The deed restriction must run with the land and bind all future owners. The form of the deed restriction will be provided by the city and must provide that:

1. The JADU may not be sold separately from the primary dwelling.

2. The JADU is restricted to the approved size and to other attributes allowed by this section.

3. The deed restriction runs with the land and may be enforced against future property owners.

4. The deed restriction may be removed if the owner eliminates the JADU, as evidenced by, for example, removal of the kitchen facilities. To remove the deed restriction, an owner may make a written request of the Director, providing evidence that the JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the JADU has been eliminated. Appeal may be taken from the Director’s determination consistent with other provisions of this Code. If the JADU is not entirely physically removed, but is only eliminated by virtue of having a necessary component of an JADU removed, the remaining structure and improvements must otherwise comply with applicable provisions of this Code.

5. The deed restriction is enforceable by the director or his or her designee for the benefit of the city. Failure of the property owner to comply with the deed restriction may result in legal action against the property owner, and the city is authorized to obtain any remedy available to it at law or equity, including, but not limited to, obtaining an injunction enjoining the use of the JADU in violation of the recorded restrictions or abatement of the illegal unit.

I. Building & Safety.

1. Must comply with building code. Subject to subsection (I)(2) below, all ADUs and JADUs must comply with all local building code requirements.

2. No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of the California Building Code, unless the Building Official makes a written finding based on substantial evidence in the record that the construction of the ADU could have a specific, adverse impact on public health and safety. Nothing in this section prevents the city from changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted for residential use in accordance with this section.

J. Certificate of Occupancy Timing.

1. Generally. No certificate of occupancy for an ADU or JADU may be issued before the certificate of occupancy is issued for the primary dwelling unit.

2. Limited Exception for State-declared Emergencies. Notwithstanding subsection (J)(1) above, a certificate of occupancy for an ADU may be issued

before a certificate of occupancy for the primary dwelling if each of the following requirements are met:
a) The county is subject to a proclamation of a state of emergency made by the California Governor on or after February 1, 2025. b) The primary dwelling was substantially damaged or destroyed by an event referenced in the Governor’s state of emergency proclamation. c) The ADU has been issued construction permits and has passed all required inspections.
d) The ADU is not attached to the primary dwelling.

17.21.070 Specific ADU Requirements.

The following requirements apply only to Class 2 ADUs approved under subsection

17.21.050(B) above. This section does not apply to Class 1 ADUs or JADUs approved under subsection 17.21.050(A) above.

A. Maximum Size.

1. The maximum size of a detached or attached ADU subject to this section is 850 square feet of interior livable space for a studio or one-bedroom unit and 1,000 square feet of interior livable space for a unit with two or more bedrooms.

2. An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50 percent of the floor area of the existing primary dwelling.

3. Application of other development standards in this section 17.21.070, such as FAR, minimum lot size, or lot coverage, might further limit the size of the ADU, but no application of the percent-based size limit in subsection (A)(2) above or of an FAR, front setback, minimum lot size, lot coverage limit, or open-space requirement may require the ADU have less than 800 square feet of interior livable space.

B. Floor Area Ratio (FAR). No ADU subject to this section may cause the total FAR of the lot to exceed 50 percent, subject to subsection (A)(3) above.

C. Setbacks.

1. ADUs that are subject to this section must conform to 4-foot side and rear setbacks. ADUs that are subject to this section must conform to 25-foot front setbacks, subject to subsection (A)(3) above.

2. No setback is required for an ADU that is subject to this section if the ADU is constructed in the same location and to the same dimensions as an existing structure.

D. Lot Coverage. No ADU subject to this section may cause the total lot coverage of the lot to exceed whatever applicable standard exists based on the zone in which it is was located subject to subsection (A)(3) above.

E. Minimum Open Space. Unless restricted pursuant to other state or local law, the property in which the ADU is located upon shall comply with the open space requirements of the base zone in which it is located subject to subsection (A)(3) above.

F. Passageway. No passageway, as defined by section 17.21.030 above, is required for an ADU.

G. Parking.

1. Generally. One off-street parking space is required for each ADU or bedroom, whichever is less. The parking space may be provided in setback areas or as tandem parking, as defined by section 17.21.030 above.

2. Exceptions. No parking under subsection (G)(1) is required in the following situations:
a) The ADU is located within one-half mile walking distance of public transit, as defined in section 17.21.030 above.
b) The ADU is located within an architecturally and historically significant historic district.
c) The ADU is part of the proposed or existing primary residence or an accessory structure.
d) When on-street parking permits are required but not offered to the occupant of the ADU.
e) When there is an established car share vehicle stop located within one block of the ADU.
f) When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamily dwelling on the same lot, provided that the ADU or the lot satisfies any other criteria listed in subsections (G)(2)(c) through (e) above.

3. No Replacement. When a garage, carport, covered parking structure, or uncovered parking space is demolished in conjunction with the construction of an ADU or converted to an ADU, those off-street parking spaces are not required to be replaced.

H. Architectural Requirements.

1. The materials and colors of the exterior walls, roof, and windows and doors must be the same as those of the primary dwelling.

2. The roof slope must match that of the dominant roof slope of the primary dwelling. The dominant roof slope is the slope shared by the largest portion of the roof.

3. The exterior lighting must be limited to down-lights or as otherwise required by the building or fire code.

4. The ADU must have an independent exterior entrance, apart from that of the primary dwelling.

5. The interior horizontal dimensions of an ADU must be at least 10 feet wide in every direction, with a minimum interior wall height of seven feet.

6. No window or door of the ADU may have a direct line of sight to an adjoining residential property. Each window and door must either be located where there is no direct line of sight or screened using fencing, landscaping, or privacy glass to prevent a direct line of sight.

7. All windows and doors in an ADU less than 30 feet from a property line that is not a public right-of-way line must either be (for windows) clerestory with the bottom of the glass at least six feet above the finished floor, or (for windows and for doors) utilize frosted or obscure glass.

8. Architectural requirements defined in this subsection shall not preclude any unit subject to Government Code section 66323.

I. Landscape Requirements. Evergreen landscape screening must be planted and maintained between the ADU and adjacent parcels as follows:

1. At least one 15-gallon size plant must be provided for every five linear feet of exterior ADU wall. Alternatively, at least one 24” box size plant must be provided for every ten linear feet of exterior ADU wall.

2. Plant specimens must be at least six feet tall when installed. As an alternative, a solid fence of at least six feet in height may be installed.

3. All landscaping must be drought-tolerant.

4. All landscaping must be from the city’s approved plant list.

5. Landscape requirements defined in this subsection shall not preclude any unit subject to Government Code section 66323.

J. Historical Protections. An ADU that is on or within 600 feet of real property that is listed in the California Register of Historic Resources must be located so as to not be visible from any public right-of-way.

K. Allowed Stories. No ADU subject to this section may have more than one story, except that an ADU that is attached to the primary dwelling may have the stories allowed under subsection 17.21.060(B) of this section.

17.21.080 Fees.

The following requirements apply to all Class 1 ADUs and JADUs and Class 2 ADUs that are approved under section 17.21.060 above.

A. Impact Fees.

1. No impact fee is required for a JADU or for an ADU that has less than 750 square feet of interior livable space. For purposes of this section, “impact fee” means a “fee” under the Mitigation Fee Act (Gov. Code § 66000(b)) and a fee under the Quimby Act (Gov. Code § 66477). “Impact fee” here does not include any connection fee or capacity charge for water or sewer service.

2. A JADU or ADU with less than 500 square feet of interior livable space does not increase assessable space by 500 square feet for purposes of Education Code section 17620(a)(1)(C), and is therefore not subject to school fees under Education Code section 17620.

3. Any impact fee that is required for an ADU that has 750 square feet or more of interior livable space must be charged proportionately in relation to the square footage of the primary dwelling unit. (E.g., the floor area of the ADU, divided by the floor area of the primary dwelling, times the typical fee amount charged for a new dwelling.)
B. Utility Fees.

1. If an ADU or JADU is constructed with a new single-family home, a separate utility connection directly between the ADU or JADU and the utility and payment of the normal connection fee and capacity charge for a new dwelling are required.

2. Except as described in subsection (B)(1), JADUs and converted ADUs on a single-family lot that are created under subsection 17.21.050(A)(1) above are not required to have a new or separate utility connection directly between the JADU or ADU and the utility. Nor is a connection fee or capacity charge required. Notwithstanding the rest of this paragraph, a direct utility connection is required for separate conveyance of an ADU when separate conveyance is allowed under this code.

3. Except as described in subsection (B)(1), all ADUs that are not covered by subsection (B)(2) require a new, separate utility connection directly between the ADU and the utility for any utility that is provided by the city. All utilities that are not provided by the city are subject to the connection and fee requirements of the utility provider.
a) The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainage-fixture units (DFU) values, as defined by the Uniform Plumbing Code, upon the water or sewer system. b) The portion of the fee or charge that is charged by the city may not exceed the reasonable cost of providing this service.

17.21.090 Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.

A. Generally. The city will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structure on the lot that does not present a threat to the public health and safety and that is not affected by the construction of the ADU or JADU.

B. Unpermitted ADUs and JADUs constructed before 2020.

1. Permit to Legalize. As required by state law, the city may not deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if denial is based on either of the following grounds:
a) The ADU or JADU violates applicable building standards, or b) The ADU or JADU does not comply with state ADU or JADU law or this ADU ordinance, Chapter 17.21.

2. Exceptions:
a) Notwithstanding subsection (B)(1) above, the city may deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if the city makes a finding that correcting a violation is necessary to comply with the standards specified in California Health and Safety Code section 17920.3.
b) Subsection (B)(2)(a) above does not apply to a building that is deemed to be substandard in accordance with California Health and Safety Code section 17920.3.

17.21.100 Nonconforming ADUs and Discretionary Approval.

Any proposed ADU or JADU that would otherwise be allowed under this Chapter but that does not conform to the objective design or development standards set forth in sections 17.21.010 through 17.21.090 of this section may be allowed by the city with a conditional use permit, in accordance with the other provisions of this title.

STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor

DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT

DIVISION OF HOUSING POLICY DEVELOPMENT
651 Bannon Street, Suite 400
Sacramento, CA 95811
(916) 263-2911 / FAX (916) 263-7453
www.hcd.ca.gov
December 29, 2025
Alexis Oropeza, Planning Manager
Community Development
City of Hermosa Beach
1315 Valley Dr.

Hermosa Beach, CA 90254
Dear Alexis Oropeza:

RE: Review of Hermosa Beach’s Accessory Dwelling Unit (ADU) Ordinance under State ADU Law (Gov. Code, §§ 66310 - 66342)
Thank you for submitting the City of Hermosa Beach (City) ADU Ordinance No. 1484 (Ordinance), adopted January 28, 2025, to the California Department of Housing and Community Development (HCD). HCD has reviewed the Ordinance and submits these written findings pursuant to Government Code section 66326, subdivision (a). HCD finds that the Ordinance fails to comply with State ADU Laws in the manner noted below. Pursuant to Government Code section 66326, subdivision (b)(1), the City has up to 30 days to respond to these findings. Accordingly, the City must provide a written response to these findings no later than January 30, 2026 with a plan to either amend the current ordinance or adopt a resolution with findings.1 Responses should be submitted formally on agency letterhead.

The Ordinance addresses many statutory requirements; however, HCD finds that the Ordinance does not comply with State ADU Law as follows:

1. Please note, there is recent legislation that amended State ADU Law.

Language relevant to these changes should be incorporated into the Ordinance as it is updated. The bills referenced below are relevant to State ADU Law:
• Assembly Bill (AB) 130 – Effective June 30, 2025
• AB 462 – Effective October 10, 2025
• AB 1154 – Effective January 1, 2026
• Senate Bill (SB) 9 – Effective January 1, 2026
• SB 543 – Effective January 1, 2026
1 Gov. Code, § 66326, subd. (b)(2)(B).

Alexis Oropeza, Planning Manager

2. Section 17.21.030 (A)(1) – Unit Allowances – The Ordinance allows “One ADU as described in this subsection (A) (1) and one JADU (or a second ADU in lieu of the JADU) on a lot with a proposed or existing single-family dwelling on it, where the ADU or JADU (or a second ADU in lieu of the JADU)…” Thus, the City limits ADU and JADU development to no more than two units on a lot with a single-family primary dwelling.

However, Government Code section 66323, subdivision (a), states, “Notwithstanding Sections 66314 to 66322, inclusive, a local agency shall ministerially approve an application for a building permit within a residential or mixed-use zone to create any of the following: (1) One accessory dwelling unit and one junior accessory dwelling unit per lot with a proposed or existing single-family dwelling…(A) The accessory dwelling unit or junior accessory dwelling unit is within the proposed space of a single-family dwelling or existing space of a single-family dwelling or accessory structure.” Paragraph (2) permits “[o]ne detached, new construction, accessory dwelling unit that does not exceed four-foot side and rear yard setbacks.” The use of the term “any combination” followed by an enumeration of ADU types permitted under Government Code section 66323 means that any of these ADU types can be combined on a lot zoned for single-family dwellings.

This permits a homeowner, who meets specified requirements, to create one converted ADU; one detached, new construction ADU; and one junior accessory dwelling (JADU). Thus, if the local agency approves an ADU that is created from existing (or proposed) space, and the owner subsequently applies for a detached ADU (or vice versa) that meets the size and setbacks pursuant to the subdivision, the local agency cannot deny the application, nor deny a permit for a JADU under this section.

Additionally, these allowances reflect only the units and formats described in Government Code section 66323, subdivision (a). Units created subject to Government Code section 66314 must also be reflected in the Ordinance to enable maximum unit allowances.

In summary, the City must amend the Ordinance to specifically include units subject to Government Code section 66314 as well as all combinations required by section 66323.

3. Section 17.21.030 (F)(2) – JADU Owner Occupancy – The Ordinance states, “As required by state law, all JADUs are subject to an owner-occupancy requirement. A natural person with legal or equitable title to the property must reside on the property, in either the primary dwelling or JADU, as the person's legal domicile and permanent residence.” However, Government Code section 66333, subdivision (b) was changed as of January 1, 2026 to require owner occupancy only “…If the junior accessory dwelling unit has shared sanitation facilities with the existing structure.” The City must amend the Ordinance to match current State JADU Law.

Alexis Oropeza, Planning Manager

4. Section 17.21.030 (G) – Deed Restriction – The Ordinance requires a deed restriction for ADUs. However, a deed restriction cannot be imposed on an ADU. Government Code section 66315 states, “No additional standards, other than those provided in Section 66314, shall be used or imposed, including an owner occupant requirement, except that a local agency may require that the property may be used for rentals of terms 30 days or longer.” Although deed restrictions are required for JADUs, they are prohibited for ADUs2. The City must amend the Ordinance to remove the deed requirement for an ADU.

5. Section 17.21.050 (A)(3) – Size Exceptions – The Ordinance states, “Application of other development standards in this section or any other section, might further limit the size of the ADU, but no application of the percent-based size limit in this section or other section or front setback, lot coverage limit, or open-space requirement may require the ADU to be less than 800 square feet.” This is an incomplete recreation of the exceptions required in Government Code section 66321, subdivision (b)(3); the City must add floor area ratio and minimum lot size as two other conditions that may not restrict a unit to be below 800 square feet to come into consistency with State ADU Law.

6. Section 17.21.050 (G) – Architectural Requirements – The Ordinance lists several architectural requirements to apply to ADUs; however, such requirements may not preclude any unit subject to Government Code section 66323. The City must note the exception.

The City has two options in response to this letter.3 The City can either 1) amend the Ordinance to comply with State ADU Law4 or 2) adopt the Ordinance without changes and include findings in its resolution accompanying the Ordinance that explain the reasons the City believes that the Ordinance complies with State ADU Law despite HCD’s findings.5 If the City fails to take either course of action, or if HCD finds that the newly adopted Ordinance remains out of compliance with State ADU Law despite the City ‘s findings and explanations, HCD must notify the City and may notify the California Office of the Attorney General that the City is in violation of State ADU Law.6 2 Local jurisdictions should eliminate all ADU and JADU deed restrictions unless expressly authorized by statute. Deed restrictions unnecessarily “lock in” current state and local requirements, even as the Legislature continues to update ADU and JADU statutes.
3 Gov. Code, § 66326, subd. (c)(1).
4 Gov. Code, § 66326, subd. (b)(2)(A).
5 Gov. Code, § 66326, subd. (b)(2)(B).
6 Gov. Code, § 66326, subd. (c)(1).

Alexis Oropeza, Planning Manager

HCD appreciates the City‘s efforts in the preparation and adoption of the Ordinance and welcomes the opportunity to assist the City in fully complying with State ADU Law.

Please feel free to contact Mike VanGorder at [email protected] if you have any questions or wish to discuss any of HCD’s findings.

Sincerely,
Jamie Candelaria
Section Chief, ADU Policy
Housing Accountability Unit

City of Hermosa Beach | Page 1 of 5
Meeting Date: March 10, 2026
Staff Report No. 26-CDD-028
Honorable Mayor and Members of the Hermosa Beach City Council

ADOPT A RESOLUTION APPROVING THE JOINT POWERS AGREEMENT TO JOIN THE SOUTH BAY REGIONAL HOUSING TRUST.

CEQA: Determine the action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines. (Community Development Director Alison Becker)
Recommended Action:

Staff recommends City Council:

1. Determine the action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines;

2. Adopt a resolution (Attachment 1) approving and authorizing the execution of the Joint Powers Authority Agreement joining the South Bay Regional Housing Trust (SBRHT);

3. Authorize the Mayor to execute the SBRHT Joint Powers Authority Agreement (JPA) (Attachment 2); and

4. Appoint a City Council member to represent the City on the South Bay Regional Housing Trust Board.

Executive Summary:

The South Bay Cities Council of Governments (SBCCOG) aims to create a South Bay Regional Housing Trust (“Trust”). The purpose of the Trust is to finance the creation of affordable housing and assist unhoused individuals. Establishing the Housing Trust would allow the SBCCOG to more effectively manage and disburse funding, primarily through lending power, in addition to allowing the issuance of housing-related bonds, which are powers that SBCCOG does not possess. The City’s continued participation in the South Bay Housing Trust Fund is contemplated in our certified 6th Cycle Housing Element. Staff recommend the City Council approve participation in the Trust and authorize the Joint Powers Authority (JPA) Agreement.

Background:

In September 2022, Governor Newsom signed Senate Bill 1444, allowing Los Angeles County and cities within the South Bay Cities Council of Governments’ jurisdiction to form the South Bay Regional Housing Trust (SBRHT) and enter into a Joint Powers Agreement to fund affordable housing and assist unhoused individuals.

City of Hermosa Beach | Page 2 of 5
As part of the Regional Early Action Planning Grants (REAP) 2.0, funded by the Southern California Association of Governments (SCAG), the South Bay Cities Council of Governments (SBCCOG) has been working to develop the South Bay Regional Housing Trust (SBRHT). The purpose of the trust is to fund the development and construction of affordable housing units in cities that are members of the trust and supported by the city in which they are proposed. Although the SBCCOG is leading the early feasibility work, the SBRHT would be a separate joint powers authority with its own Board of Directors. At least four member cities would have to approve the JPA for the SBRHT to form.

The City Council voted on August 8, 2023, in favor of adopting revisions to the City’s Housing Element. Included in these revisions was Program 8, where the City made a commitment to “investigate opportunities to either establish a new housing trust fund or participate in existing trust fund programs in order to expand the availability of financial assistance for affordable housing.” The metric established by the City Council for measuring progress in this program is the City’s contribution to the development of five affordable housing units in the region, with a focus on housing intended for special needs populations.

Past Commission and Council Actions
Meeting Date Description
November 16, 2021
Planning Commission votes in favor of adopting language endorsing Land Value Recapture and Housing Trust
participation in the City’s Housing Element.

December 21, 2021 City Council adopted a comprehensive amendment to the Housing Element for the 2021–2029 period.

August 8, 2023
City Council adopted revisions to the Housing Element for the 2021–2029 Housing Element which includes revisions to
Program 8 pertaining to the Housing Trust Fund.

February 25, 2025
City Council adopted Resolution No. 25-7475 approving
participation in the Urban Permanent Local Housing Allocation Form and designating funding to the Housing Trust if
approved.

At its February 25, 2025 meeting, City Council approved the City’s participation in the Permanent Local Housing Allocation Program (PLHA) and, in anticipation of the formation of the Trust, designated those grant funds towards the Housing Trust (Attachment 3).

The SBCCOG’s consultant, CivicHome, has prepared a SBRHT strategic plan, joint powers agreement, staffing plan, budget, and programs for the SBRHT Board to consider adopting when formed. A strategic plan advisory committee consisting of SBCCOG Board members, city staff, and housing experts/affordable housing developers provided input over a series of four meetings throughout the process. The consultant presented an update on the status of the Trust’s development to the SBCCOG Board in October 2025.

City of Hermosa Beach | Page 3 of 5
The same presentation was then given to the South Bay City Managers’ group on November 19, 2025 (Attachment 4 and 5).

At its meeting on November 20, 2025, the SBCCOG Board of Directors voted to recommend that member agencies move forward with the formation of the SBRHT. A minimum of four member cities would have to approve the JPA for the SBRHT to form. At the time this report was written, nine cities had already voted to participate: El Segundo, Hawthorne, Inglewood, Lawndale, Lomita, Manhattan Beach, Rancho Palos Verdes, Redondo Beach, and Torrance. The following four cities, Carson, Gardena, Palos Verdes Estates, and Rolling Hills, elected not to join the Trust at this time. The decision of two cities, Rolling Hills Estates and Hermosa Beach, is still pending. The first SBRHT meeting is expected to take place on Thursday, April 23, 2026.

Discussion:

Due to the influx of funds from Los Angeles County Measure A, the Los Angeles County Affordable Housing Solutions Agency (LACAHSA) will be giving the SBCCOG approximately $7.3 million per year in the interest of furthering affordable housing development in the South Bay through the “Production, Preservation, and Ownership” (PPO) program. LACAHSA also has agency matching funds available to it, meaning the potential revenue for affordable housing to SBCCOG could amount to $14 million annually. However, while SBCCOG staff were pursuing avenues to utilize this funding, a function roadblock was discovered. Specifically, SBCCOG is not allowed to originate loans, so all allocations of PPO funds would have to take the form of either grants or subsidies, meaning that those funds would never return for additional use.

The SBRHT, in contrast, will possess lending authority, and be capable of granting soft development loans, construction and pre-development loans, preservation and acquisition stakes, and master leasing, in addition to direct service/homebuyer assistance programs. Rather than only giving funds away, the SBRHT will be able to generate additional revenue with these funds, thereby increasing their usefulness to our community. For example, the San Gabriel Valley’s regional housing trust, which was formed several years ago, currently takes in $230,000 annually in interest and loan fee revenue.

While administrative costs may be significant, the impact will be offset by additional LACAHSA grants designated to cover such fees. One example is the need for consultants that will arise to evaluate housing developments seeking funding. The first year of SBRHT operations will carry no membership fees. After that period, the SBRHT Board will establish annual fees for administrative costs and future increases will be adjusted based on the Consumer Price Index.

City of Hermosa Beach | Page 4 of 5
Policy Considerations:

The proposed project has been reviewed for consistency with the City’s General Plan, Plan which includes the certified Housing Element. Approving the creation of a South Bay Regional Housing Trust is consistent with the following programs of the Housing Element:
o Affirmatively Furthering Fair Housing – As a SCAG-funded project, the Trust must Affirmatively Further Fair Housing in order to receive funds. This aligns with the goals set forth in Program 13 of our Housing Element Policy Plan.
o Funding Local Housing Projects – In Table 11-2 of the Housing Element Policy Plan, the City committed to pursuing funding available for affordable housing development. Funds from the SBCCOG relating to housing would not be made available to non-member cities once the Trust is established. o Establishing a Housing Trust Fund – In Program 8 of the Housing Element Policy Plan, the City committed to “continue participation in the South Bay Housing Trust Fund.”
Participation in the Housing Trust is consistent with the City's certified Housing Element.

The Element includes an established metric for progress made on the implementation of Program 8; the City must contribute to the development of five affordable housing units in the region.

Options for Council Consideration:

The following actions are available to City Council:
(1) Approve staff’s recommended action and direct the Mayor to execute all necessary agreements for Hermosa to join the Trust, or
(2) Do not approve the staff’s recommended action and decline for Hermosa’s participation in the Trust.

Legal Review:

The City Attorney has reviewed the Trust agreement and did not request modifications.

Environmental Determination:

Pursuant to the California Environmental Quality Act Guidelines Section 15061(b)(3), it can be seen with certainty that there is no possibility that the activity contemplated by this action may have a significant effect on the environment.

Fiscal Impact:

There is no immediate fiscal impact associated with approving the creation of the South Bay Regional Housing Trust Joint Powers Agreement. No fees will be assessed during the initial year of operations. After that, the SBRHT board will establish annual fees for

City of Hermosa Beach | Page 5 of 5
administrative expenses and future increases would be tied to the Consumer Price Index for Los Angeles County.

Attachments:

1. Draft South Bay Regional Housing Trust Adoption Resolution

2. Housing Trust JPA Agreement

3. City Resolution RES-25-7475: Participation in PLHA

4. South Bay Housing Trust Strategic Plan Summary

5. South Bay Housing Trust Funding Presentation
Respectfully Submitted by: Jake Whitney, Associate Planner and Aryan Ray, Intern Concur: Alexis Oropeza, Planning Manager
Concur: Alison Becker, AICP, Community Development Director Noted for Fiscal Impact: Henry Chao, Finance Manager
Concur: Brandon Walker, Administrative Services Director Legal Review: Sarah Locklin, Interim Assistant City Attorney Legal Review: Jason Baltimore, Interim City Attorney
Approved: Steve Napolitano, City Manager

CITY OF HERMOSA BEACH
RESOLUTION NO. 26-___

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA

BEACH, CALIFORNIA, APPROVING, AUTHORIZING, AND DIRECTING

CITY EXECUTION OF THE JOINT EXERCISE OF POWERS AGREEMENT

RELATING TO MEMBERSHIP IN THE SOUTH BAY REGIONAL HOUSING

TRUST AND FINDING THE ACTION EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
WHEREAS, California Government Code section 6539.9 authorizes the County of Los Angeles (“County”) and the cities within the jurisdiction of the South Bay Cities Council of Governments (“SBCCOG”) to enter into a joint powers agreement (“JPA”) to create and operate a joint powers agency to fund housing to assist the homeless population and persons and families of extremely low, very low, and low income (“Homeless Population”) as defined in Section 50093 of the California Health and Safety Code within the South Bay subregion of Los Angeles (“South Bay”); and
WHEREAS, SBCCOG aims to create the South Bay Regional Housing Trust (“SBRHT”) to fund the development and construction of affordable housing assisting the Homeless Population; and
WHEREAS, the SBRHT will be formed upon the approval of at least four qualified members as a joint powers authority between cities and the County throughout the South Bay; and
WHEREAS, the City of Hermosa Beach (“City”) is a member of SBCCOG and has determined through its 6th Cycle Certified Housing Element Update (“Housing Element”) that there is great need for more affordable housing in the City; and WHEREAS, the City has committed to participation in the SBRHT as outlined in Program 8 of the Housing Element with the goal of contributing to the development of at least five affordable housing units in the South Bay; and WHEREAS, the City Council (“Council”) adopted Resolution No. 25-7475 dated February 25, 2025, approving participation in the Urban Permanent Local Housing Allocation Form and designating funding to the SBRHT if created; and WHEREAS, the City has determined that there are limited financial resources for affordable and supportive housing development, and that additional local financing increases the competitiveness of individual projects for State and Federal resources; and

WHEREAS, the City has determined that it is in the public interest and for the public benefit that the City become a member of the SBRHT in order to further facilitate the development of affordable housing in the City and throughout the region, including the financing of projects by the SBRHT; and
WHEREAS, a draft version of SBRHT’s JPA has been filed with the City (attached hereto as Exhibit A and incorporated herein by reference), and the Council has reviewed said JPA; and
WHEREAS, the City anticipates that there will be affordable and supportive housing projects in need of SBRHT’s financing located in the City.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Recitals. The recitals above are true and correct, and are hereby incorporated herein by this reference.

SECTION 2. Approval. The Council hereby approves the JPA.

SECTION 3. Authorization. The City Manager is authorized to execute the JPA on behalf of the City as required by the SBRHT, and execute any amendments thereto and any required supplemental documentation to effectuate the Council’s approval.

SECTION 4. California Environmental Quality Act (“CEQA”). The Council finds that this Resolution is not subject to CEQA pursuant to CEQA Guidelines section 15061(b)(3) (“Common Sense Exemption”), which provides that an activity is not subject to CEQA where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. Participation in the Housing Trust does not identify or permit any specific future project or projects.

SECTION 5. Severability. If any section or provision of this Resolution is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Resolution shall remain valid. The Council hereby declares that it would have adopted this Resolution, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.

SECTION 6. Noticing. The City Clerk shall forward a certified copy of this Resolution and an originally executed Agreement to SBCCOG to the following:

South Bay Cities Council of Governments
357 Van Ness Way, #110
Torrance, California 90501
SECTION 7. Certification. The City Clerk shall certify to the passage and adoption of this Resolution; cause the same to be entered among the original resolutions of the City; and make a minute of the passage and adoption thereof in the records of the proceedings of the City Council in the minutes of the meeting at which time same is passed and adopted.

SECTION 8. Effective Date. This Resolution is effective immediately upon adoption.

PASSED, APPROVED and ADOPTED on this 10th day of March 2026. ____________________________________________________________________________ Mike Detoy
PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM:
________________________________ ________________________________ [________] Jason Baltimore
Interim City Clerk Interim City Attorney

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JOINT EXERCISE OF POWERS AGREEMENT
of the

SOUTH BAY REGIONAL HOUSING TRUST
THIS JOINT EXERCISE OF POWERS AGREEMENT (the “Agreement”) is made this ____ day of ________, 2026 (the “Effective Date”), by and between the public agencies listed in Exhibit A, attached hereto and incorporated herein by reference (each a “Party” and, collectively, the “Parties”).

RECITALS
A. The Parties are authorized to and have a strong interest in promoting the health, safety, and welfare of the residents within their geographic boundaries.

B. The Parties acknowledge that the State has declared the existence of a shortage of affordable housing.

C. The Parties find it in their mutual interest to increase the availability of affordable housing, workforce housing and supportive housing and to reduce homelessness in a coordinated manner on a regional level.

D. An adequate supply of housing throughout the South Bay subregion will provide social and economic benefits to residents and taxpayers of the Parties.

E. California Government Code section 6500 et seq. (“Joint Exercise of Powers Act” or “Act”) permits two or more public agencies to create joint powers authorities for the purposes cited herein and permits the agencies to exercise jointly any power that the public agencies could exercise separately, and further grants certain additional powers to such joint powers authorities.

F. The Parties find that each of them has the individual power to implement the housing projects contemplated by this Agreement making them eligible under the Act to enter into this Agreement.

G. In 2022, the Act was amended by the addition of California Government Code section 6539.9, which expressly authorizes the creation of a South Bay Regional Housing Trust by way of approval of this Agreement in order to promote public-private partnerships, nonprofit collaborations and otherwise to fund housing to assist the homeless population and persons and families of extremely low, very low, and low income as defined in Section 50093 of the California Health and Safety Code within the South Bay subregion.

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H. This Agreement shall not be interpreted to limit any Party’s authority over land use decision making or otherwise limit their respective sovereign powers within their respective jurisdictions.

NOW, THEREFORE, in consideration of the mutual promises set forth below, the Parties agree as follows:

Section 1. Creation and Purpose.
(a) Creation of SBRHT. Pursuant to the Joint Exercise of Powers Act, including Government Code section 6539.9, there is hereby created a public entity to be known as the “South Bay Regional Housing Trust” (“SBRHT”). Pursuant to Section 6503.5 of the California Government Code, SBRHT shall be a public entity separate and apart from the Parties and shall administer this Agreement.
(b) Purpose. This Agreement is made pursuant to the Joint Exercise of Powers Act for the purpose of creating the SBRHT as a public entity separate from the Parties to exercise common powers with respect to receiving and leveraging public and private financing and funds for the planning and construction of housing of all types and tenures for persons and families of extremely low-, very low-, and low- income, as defined in Section 50093 of the Health and Safety Code, including, but not limited to, permanent supportive housing. The purpose of this Agreement shall be accomplished, and common powers exercised in the manner set forth in this Agreement. Nothing contained in this Agreement shall preclude any Party from establishing, maintaining, or providing social programs or services to its respective residents as it deems proper and necessary.

Section 2. Term and Termination
(a) Term. This Agreement shall become effective, and SBRHT shall come into existence, upon the approval of this Agreement by the governing bodies of four eligible parties.

The Effective Date will be the date of approval by the fourth party. This Agreement shall thereafter continue in full force and effect until terminated pursuant to subdivision (b) of this section.
(b) Termination. This Agreement may be terminated by agreement of a majority vote of the Parties. Upon termination of this Agreement, SBRHT shall be dissolved and, after payment of or provision for payment of all liabilities, the assets of SBRHT shall be distributed to the Parties in proportion to the contributions of each Party to SBRHT and the amounts paid by each Party in connection with SBRHT’s activities.

Section 3. Powers and Duties of SBRHT.
(a) General Powers. SBRHT shall have all the powers common to the Parties to this Agreement necessary or convenient, specified, or implied, to accomplish the purpose of this Agreement as set forth in Section 1, subject to the restrictions set forth in this

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Section 3, subdivision (c) below. Said powers shall be exercised in the manner provided in the Joint Exercise of Powers Act, including without limitation all powers set forth in Government Code section 6539.9, and, except as expressly set forth herein, subject only to such restrictions upon the manner of exercising such powers as are imposed upon the City of ____________, a ___________ city, in the exercise of similar powers. (b) Specific Powers. Without limiting the generality of the powers conferred in subdivision (a) of this Section 3, SBRHT is hereby authorized, in its own name, to do all of the acts necessary or convenient to the accomplishment of the purposes of this Agreement and the full exercise of the powers conferred in subdivision (a) of this Section 3, including but not limited to the following:

1. to make and enter into contracts;

2. to hire employees or contract for staff assistance, including but not limited to contracting with other public agencies;

3. to sue and be sued in its own name;

4. to apply for, accept, receive and disburse grants, loans and other aids from any agency of the United States of America, the State of California, Los Angeles County, a Party to this Agreement, or any other agency providing funding related to the purposes of this Agreement;

5. to invest any money in the treasury pursuant to Section 6505.5 of the Joint Exercise of Powers Act that is not required for the immediate necessities of SBRHT, as SBRHT determines is advisable, in the same manner and upon the same conditions as local agencies, pursuant to Section 53601 of the California Government Code;

6. to apply for letters of credit or other forms of financial guarantees in order to enter into agreements in connection therewith;

7. to incur and discharge debts, liabilities, and obligations, subject to the limitations set forth in this Agreement and to the extent permitted by law;

8. to assume ownership of affordability covenants governing a property from another entity in order to preserve the units as affordable;

9. to engage the services of private consultants to render professional and technical assistance and advice in carrying out the purposes of this Agreement;

10. to employ and compensate legal counsel determined appropriate by SBRHT in carrying out the purposes of this Agreement;

11. to contract for engineering, construction, architectural, accounting, environmental, land use, or other services determined necessary or convenient by SBRHT in connection with the accomplishment of the purposes of this Agreement;

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12. for the purposes of enforcing affordable housing covenants or holding security interests for loans, to take title to, and transfer, sell by installment sale or otherwise, lands, structures, real or personal property, rights, rights-of-way, franchises, easements, and other interests in real or personal property which SBRHT determines are necessary or convenient in connection with the accomplishment of the purposes of this Agreement;

13. for the purposes of renting space for SBRHT to operate, to lease to, and to lease from, a Party or any other person or entity, lands, structures, real or personal property, rights, rights-of-way, franchises, easements, and other interests in real or personal property which SBRHT determines are necessary or convenient in connection with the accomplishment of the purposes of this Agreement;

14. to solicit charitable contributions from private sources;

15. to acquire, hold or dispose of property, contributions and donations of property, funds, services and other forms of assistance from persons, firms, corporations and government entities;

16. to partner with Parties on funding solicitations and other opportunities for the purposes set forth in this Agreement, including but not limited to jointly exercising powers with a Party pursuant to the Joint Exercise of Powers Act;

17. to authorize and issue bonds, certificates of participation, or any other debt instrument repayable from funds and financing received and pledged by the SBRHT.

18. to propose amendments to this Agreement;

19. to the extent not herein specifically provided for, to exercise any and all other powers as may be provided for SBRHT in the Joint Exercise of Powers Act or any other applicable law; and

20. to carry out and enforce all the provisions of this Agreement. (c) Limitation on Powers. This Agreement does not authorize SBRHT do any of the following:

1. Regulate land use within the jurisdiction of any of the Parties;

2. Levy, or advocate or incentivize the levying of, an exaction, including an impact fee, charge, dedication, reservation or tax assessment, as a condition of approving the funding for or approval of a development project;

3. Require or incentivize inclusionary zoning requirements;

4. Require the Parties to dedicate or assign funding for any SBRHT obligations or programs;

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5. Fund or approve a housing project or program that is not supported by the governing body of the jurisdiction (a city or the county) in which the proposed project is sited;

6. Require the Parties to accept or provide any number of housing units as a prerequisite to joining or remaining a member of SBRHT; and

7. Affect the individual power of each Party separately to implement affordable housing projects and programs generated within its jurisdictional boundaries.

Section 4. Members
The members of SBRHT shall be the Parties to this Agreement, and such other public agencies as may join SBRHT after execution of this Agreement. New members may join on the terms and conditions set forth in Section 10 hereof. Only the County of Los Angeles and cities within the jurisdiction of the South Bay Cities Council of Governments may be a party to this Agreement and a member of SBRHT. The SBRHT bylaws may provide for affiliate memberships or other categories of membership for eligible entities which do not want to be full members.

Section 5. Board of Directors
(a) Selection of Directors. SBRHT shall be governed by a Board of Directors selected as follows:

1. One elected official from each Party to this Agreement, appointed by that Party’s governing body and ratified by the governing board of the South Bay Cities Council of Governments. Each Party may also appoint one of its elected officials as an Alternate Director, who may serve in the absence of the Party’s appointed Director.

2. Two Directors that are experts in homelessness or housing policy appointed by the South Bay Cities Council of Governments City Managers Committee and ratified by the governing board of the South Bay Cities Council of Governments . (b) Board Powers. Subject to the limitations of this Agreement and the laws of the State of California, the powers of SBRHT shall be vested in and exercised by, and its property and its affairs administered by, the Board of Directors.
(c) Advisory Bodies. The Board of Directors may appoint advisory bodies that may include such persons as are designated by the Board of Directors. The Board of Directors shall adopt bylaws that govern the appointment of advisory bodies should it determine in its discretion to appoint such advisory bodies.
(d) Compensation. Members of the Board shall serve without compensation but shall be entitled to reimbursement for any expenses actually incurred in connection with serving as Director; provided such expenses have been previously approved by the Board of Directors and incurred in accordance with any SBRHT policies or procedures governing the same.

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(e) Term. Members of the Board shall serve for a two-year term. There is no limit to the number of consecutive terms members may serve. In the event of a vacancy, the Party whose appointee has vacated the position shall appoint a replacement within 60 days of the effective date of the vacancy, subject to ratification by the governing board of the South Bay Cities Council of Governments. The replacement will serve out the remainder of the term of the Director that they replaced. The two Directors that are experts in homelessness or housing policy may be removed with or without cause at any time by a majority vote of the Board of Directors.
(f) Meetings of the Board of Directors.

1. Call, Notice and Conduct of Meetings. All meetings of the Board of Directors, including without limitation, regular, adjourned regular, special meetings and adjourned special meetings, shall be called, noticed, held and conducted in accordance with the provisions of the Ralph M. Brown Act, Government Code sections 54950 et seq.

2. Regular Meetings. Regular meetings of the Board of Directors shall be held at such dates and times as the Board may fix by resolution from time to time. If any day so fixed for a regular meeting shall fall upon a legal holiday, then such regular meeting shall be held on the next succeeding business day at the same hour, unless otherwise determined by the Board. No notice of any regular meeting of the Board of Directors need be given to the individual Directors.

3. Special Meetings. Special meetings of the Board of Directors shall be held whenever called by the Chairperson of the Board or by a majority of the Directors. Notice of special meetings shall be provided to all Parties.

4. Quorum. A majority of the seated members of the Board of Directors shall constitute a quorum at any meeting of the Board except that less than a quorum may adjourn a meeting to another time and place. Unless otherwise provided in this Agreement, actions and decisions of the Board of Directors may be taken by a majority of the quorum present at any meeting.

5. Minutes. The Board of Directors shall cause minutes of all regular, adjourned regular, and special meetings to be kept and presented to the Board for approval at a subsequent meeting.

6. Officers. The Board of Directors shall elect a chairperson and a vice chairperson from among its Directors at the first meeting held in each calendar year. In the event that the chairperson or vice chairperson so elected ceases to be a Director, the resulting vacancy shall be filled at the next regular meeting of the Board of Directors held after such vacancy occurs or at a special meeting called for that purpose. In the absence or inability of the chairperson to act, the vice chairperson

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shall act as chairperson. The chairperson, or in the chairperson’s absence, the vice chairperson, shall preside at and conduct all Board of Director’s meetings.

7. Rules and Regulations. The Board of Directors may adopt, from time to time, by resolution, such rules, regulations, and bylaws for the conduct of its meetings and affairs as the Board determines is necessary or convenient.

Section 6. Staff and Treasurer
(a) Staff

1. SBRHT may contract with a Party or the SBCCOG for staff pursuant to Section 6(d), hire its own employees, or retain independent contractors, agents, or volunteers as the Board of Directors may deem necessary to carry out any of SBRHT’s powers, upon such terms and conditions as the Board may require, including the retaining of professional and technical assistance, provided that adequate funds are available in SBRHT’s budget and are appropriated by SBRHT therefor.

2. None of the officers, agents, or staff, if any, directly contracted by SBRHT shall be deemed, by reason of their roles or duties or contracted status, to be employed by the Parties.
(b) Treasurer and Auditor/Controller. Pursuant to Government Code Sections 6505.5 and 6505.6, the Board of Directors shall appoint an officer or employee of SBRHT, or an officer or employee of a public agency that is a Party, or a certified public accountant to hold the offices of treasurer and auditor for SBRHT. Such person or persons shall possess the powers of and shall perform the treasurer and auditor functions for SBRHT required by Sections 6505, 6505.5 and 6505.6 of the Government Code, including any subsequent amendments thereto. Pursuant to Government Code Section 6505.1, the auditor and treasurer shall have charge of certain property of SBRHT. The treasurer and auditor shall assure that there shall be strict accountability of all funds and reporting all receipts and disbursements of SBRHT.

The treasurer and auditor of SBRHT shall be required to file an official bond with the Board of Directors in an amount which shall be established by the Board. Should the existing bond or bonds or any such officer be extended to cover the obligations provided herein, said bond shall be the official bond required herein. The premiums on any such bonds attributable to the coverage required herein shall be an appropriate expense of SBRHT. (c) Attorney. The Board of Directors shall have the power to appoint one or more legal advisors to SBRHT who shall perform such duties as may be prescribed by the Board. (d) Administrative Services and Reimbursement of Costs.

1. The Board of Directors may contract with a Party to provide necessary administrative services to SBRHT, including the services described in Section 6(a), (b) and (c). The amount charged by the Party to provide such services to SBRHT shall be fixed by

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agreement between the Board of Directors and the governing body of the Party providing such services. In the absence of an agreement on costs, the Party providing services to SBRHT under this Section 6 may charge SBRHT the amounts necessary to recover the direct and indirect costs of such services.

2. If SBRHT contracts with a Party to provide SBRHT with administrative services through persons who are employees and officers of the Party, then any retirement liabilities associated with that Party’s employees and officers shall not constitute a liability of SBRHT or any other Party. This Section 6(d)(2) shall not preclude a Party providing administrative services to SBRHT pursuant to a contract with SBRHT from accounting for such salary and benefit costs when negotiating the rates that the Party will charge SBRHT for providing such services.

Section 7. Financial Provisions
(a) Fiscal Year. The Fiscal Year of SBRHT shall, unless and until changed by the Board of Directors, commence on the 1st day of July of each year and shall end on the 30th day of June of the next succeeding year except that the initial Fiscal Year of SBRHT shall commence on the Effective Date and end on the immediately following 30th day of June. (b) Budget.

1. General Budget. Within one hundred and twenty days (120) after the first meeting of the Board of Directors, a general budget for the first fiscal year shall be adopted by the vote of a majority of the total membership of the Board of Directors. The budget shall distinguish between administrative costs (i.e., the cost of operating SBRHT) and Program costs (i.e., the financing of the programs funded or sponsored by SBRHT). Thereafter, at or prior to the last meeting of the Board of Directors for each fiscal year, a general budget shall be adopted for the ensuing fiscal year or years by a vote of at least a majority of the total membership of the Board.

2. Expenditures for the Approved Budget. The payment of all SBRHT obligations is limited to the amount of appropriations allowed in SBRHT’s approved budget, except as it may be revised with the approval of a majority of the total membership of the Board of Directors.
(c) Contributions by the Parties.

1. Administrative Cost Contributions. In consideration of the mutual promises contained herein, the Parties agree that they shall make annual contributions (each a “Fee” and collectively the “Fees”) towards the budgeted administrative costs of SBRHT as set forth in a duly adopted Board resolution. The Fees shall be assessed annually. After the first fiscal year, the Fees shall increase annually in an amount equal to the U.S. Bureau of Labor Statistics consumer price index for all urban consumers in the Los Angeles-Long Beach-Anaheim area for the 12-month period preceding the year the Fees are assessed.

Payment of the Fees shall be due within 30 days of receipt of an invoice from the SBRHT.

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The invoice shall indicate how the Fees were calculated. A Party's contribution to SBRHT's administrative costs shall be in the form of money, unless the Board of Directors approves another form of contribution such as services, personal property or use of real or personal property, or other in-kind contributions. The acceptance and valuation of any such non-monetary contributions may be used to offset in whole or part a Party’s contribution as determined in the sole and absolute discretion of the Board of Directors. Notwithstanding the above, after the first fiscal year the Board of Directors may establish Fees in an amount the Board of Directors deems financially prudent.

2. Program Cost Contribution. The particular programs and program budget, funded, sponsored or operated by SBRHT, as well as the level of and mechanisms for the involvement of SBRHT and each Party, in such programs and program budget, shall be determined and approved by the Board of Directors.
(d) Accounts and Reports.

1. Books and Records. There shall be strict accountability of all SBRHT funds and accounts and report of all SBRHT receipts and disbursements. Without limiting the generality of the foregoing, SBRHT shall establish and maintain such funds and accounts as may be required by good government accounting practice. The books and records of SBRHT shall be open to inspection at all reasonable times by each Party and its duly authorized representatives.

2. Annual Audit. The person appointed by the Board of Directors to perform the auditor function for SBRHT shall cause an annual independent audit of the accounts and records of SBRHT and records to be made by a certified public accountant or firm of certified public accountants in accordance with Government Code section 6505. Such audits shall be delivered to each Party and shall be made available to the public.

3. Annual Financial Report. Pursuant to section 6539.9(d) of the Government Code, SBRHT shall publish an Annual Financial Report that shall describe the funds received by SBRHT and the use of such funds by SBRHT. The Annual Financial Report shall describe how the funds received by SBRHT have furthered the purposes of SBRHT. (e) Funds. Subject to the applicable provisions of any instrument or agreement which SBRHT may enter into, which may provide for a trustee or other fiscal agent to receive, have custody of and disburse SBRHT funds, the person appointed by the Board of Directors to perform the treasurer function for SBRHT shall receive, have the custody of and disburse SBRHT funds as nearly as possible in accordance with generally accepted accounting principles, shall make the disbursements required by this Agreement in order to carry out any of the provisions or purposes of this Agreement.

Section 8. Amendments.

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(a) This Agreement may be amended or modified with the approval of two-thirds of all the Parties through formal action approving such an amendment by the Parties’ respective governing bodies.
(b) No addition to, or alteration of, the terms of this Agreement, whether by written or oral understanding of the parties, their officers, employees or agents, shall be valid or effective unless made in the form of a written amendment which is formally adopted and executed by the Parties as provided in subparagraph (a) of this Section.

Section 9. Non-Liability for Obligations of SBRHT.
(a) The debts, liabilities, and obligations of SBRHT shall not be considered the debts, liabilities and obligations of any of the Parties or their respective officers, employees, agents or volunteers, or the personal debts, liabilities and obligations or the Directors, officers or employees of SBRHT.

1. Indemnification. The SBRHT shall defend, indemnify and hold harmless each Party, its officers, agents, employees, representatives and volunteers (the “Indemnitees”) from and against any loss, injury, claim, lawsuit, liability, expense, or damages of any kind or nature (collectively, “Claims”) brought by a third party which arises out of or in connection with SBRHT’s administration of this Agreement, including such third party claims arising out of or in connection with any Indemnitees acting within their authorized capacity as an officer, agent, employee, representative or volunteer of SBRHT. The SBRHT’s duty to defend and indemnify under this Section shall not extend to Claims otherwise arising out of the Indemnitees’ own active negligence, omissions or willful misconduct, whether in whole or part. The SBRHT shall finance its obligation pursuant to this Subsection by establishing a liability reserve fund, and/or by purchasing commercial insurance, and/or by joining a joint powers insurance authority (JPIA) as determined by the Board. In the event the SBRHT’s financial obligations to indemnify, defend and hold harmless, pursuant to this Subsection, exceed the liability reserve fund and/or the proceeds from any applicable insurance and/or JPIA coverage maintained by the SBRHT (hereinafter “Unfunded Liability”), a Party or Parties may meet and confer with SBRHT in good faith to negotiate alternative means or mechanisms by which SBRHT may fund such Unfunded Liability; however, in no event shall the event of an Unfunded Liability relieve, limit or waive SBRHT’s obligations of indemnity or defense to each Party as first set forth above in this Section. Nothing herein shall obligate any Party to indemnify or hold harmless SBRHT for any Unfunded Liability.

2. Assignment. Each Party shall assign to the SBRHT its rights, title, and interest to recover damages from any third party for Claims arising out of this Agreement, to the extent that the SBRHT has met its obligations to defend and indemnify such Party pursuant to this Section.

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3. Survival. SBRHT’s duty to defend, indemnify and hold harmless shall survive and continue in full force and effect after withdrawal of any Party from this Agreement, including as to the withdrawing Party, or termination of this Agreement for any reason with respect to any Claims that occurred before the date of such withdrawal or termination.

Section 10. Admission and Withdrawal of Parties.
(a) Admission of New Parties. It is recognized that additional public agencies other than the original Parties, may wish to join SBRHT after the Effective Date. The County of Los Angeles and any city within the SBCCOG may become a Party to SBRHT upon such terms and conditions as are established by the Board of Directors. As a condition precedent to becoming a Party more than six months after the Effective Date, an eligible entity may thereafter become a Party to this Agreement; provided that (1) this Agreement is adopted by its governing body and (2) the eligible entity pays a late joining fee. The late joining fee shall be calculated by totaling the annual fee the eligible entity would have paid under this Agreement had it been a Party in all years prior and up until the Effective Date.

Notwithstanding the foregoing, an eligible entity’s late joining fee shall not exceed two times the amount of the applicable annual administrative fee existing at the time it becomes a Party. Payment shall be due within 30 days of receipt of an invoice from SBRHT. (b) Withdrawal from SBRHT. A Party may withdraw from SBRHT at any time upon its governing body’s adoption of a resolution stating the Party’s intent to withdraw from SBRHT and written notice of withdrawal accompanied by an executed copy of the resolution of intent to the SBRHT. The withdrawal of any Party, unless otherwise provided by the Board of Directors, shall be subject to the following prerequisites and conditions:

1. The withdrawal shall be effective immediately upon receipt by the SBRHT of the written notice of withdrawal, subject to subsection (2) below.

2. If the withdrawal notice is received by the SBRHT less than ninety (90) days before the start of a fiscal year or after the commencement of a fiscal year but before payment of that year’s Section 7(c) contribution, the withdrawal shall not be effective unless and until the withdrawing Party has fully paid that fiscal year’s contribution; otherwise, the notice of withdrawal shall be null and void.

3. Unless otherwise provided by a unanimous vote of the Board of Directors, withdrawal shall result in the forfeiture of that Party’s rights and claims relating to distribution of property and funds upon termination of SBRHT as set forth in Section 2 above.

Withdrawn members shall not be entitled to any reimbursement of Fees.

4. Withdrawal of a Party will not relieve that Party of prior financial obligations of liabilities unless otherwise approved by the Board.

Section 11. Notices.

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(a) Notices required or permitted hereunder shall be sufficiently given if made in writing and delivered either personally or by registered or certified mail, postage prepaid, to the persons and entities listed at the addresses set forth in Exhibit A, or to such other address as may be designated in writing to SBRHT for formal notice.

Section 12. Miscellaneous.
(a) Section Headings. The section headings herein are for convenience only and are not to be construed as modifying or governing or in any manner affecting the scope, meaning or intent of the provisions or language of this Agreement. (b) Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original, but all together shall constitute but one and the same Agreement.
(c) Laws Governing. This Agreement is made in the State of California under the Constitution and laws of such State and shall be construed and enforced in accordance with the laws of California.
(d) Severability. Should any part, term, portion or provision of this Agreement, or the application thereof to any person or circumstance, be held to be illegal or in conflict with any law of the State of California, or otherwise be rendered unenforceable or ineffectual it shall be deemed severable, and the reminder of this Agreement or the application thereof to other persons or circumstances shall continue to constitute the Agreement the Parties intended to enter into in the first instance. (e) Successors. This Agreement shall be binding upon and shall inure to the benefit of the successors of the respective Parties. No Party may assign any right or obligation hereunder without the written consent of a majority of the other Parties.

Section 13. Sunset Date.

In the event that a source of funding is not identified and funding not obtained to cover SBRHT’s administrative costs on or before _____________, this Agreement will on that date expire automatically and be null and void without further action of the Parties.

IN WITNESS THEREOF, the Parties hereto have caused this Agreement to be executed and attested by their duly authorized officers as follows:

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(NAME OF CITY)
______________________________
BY: (NAME/TITLE OF CITY OFFICER)
Dated: ___________________________
ATTEST:
___________________________________________
(NAME) City Clerk Date
APPROVED AS TO FORM:

By: __________________________________________
(NAME) City Attorney Date

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EXHIBIT A
Parties to this Agreement and their Addresses for notice pursuant to Section 11 are as follows:

CITY OF HERMOSA BEACH
RESOLUTION NO. RES-25-7475

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH,

CALIFORNIA, APPROVING PARTICIPATION IN THE LOS ANGELES URBAN

COUNTY PERMANENT LOCAL HOUSING ALLOCATION PROGRAM (PLHA)

AND DESIGNATE FUNDING TO PROGRAMS ASSISTING FAMILIES AND INDIVIDUALS EXPERIENCING OR AT RISK OF HOMELESSNESS; AND

DETERMINING IT IS EXEMPT FROM THE CALIFORNIA ENVIRONEMNTAL QUALITY ACT (CEQA) PURSUANT TO SECTION 1501(B)(3).

SECTION 1. In 2017 Senate Bill 2, Building Homes and Job Act, created a source of funding for cities and counties to help meet the unmet need for affordable housing and increase the supply of affordable housing; SECTION 2. In December 2024, the City of Hermosa Beach was notified by the Los Angeles County Development Authority that the City could apply to receive $36,253 of PLHA funds.

SECTION 3. The City Council is desirous of participating in the in the Los Angeles Urban County Permanent Local Housing Allocation Program (PLHA).

SECTION 4. The City Council authorizes the City Manager or designee to execute all necessary contracts and agreements for participation in the Los Angeles Urban County PLHA program on behalf of the City of Hermosa Beach.

SECTION 5. The City Council designates the anticipated PLHA Grant Funds to the South Bay Housing Trust Fund, during implementation, should the City’s allocation be less or more than the funding amounts anticipated, the City Manager is authorized to modify each program up to 50 percent of the figure above.

SECTION 6. The City Council further authorizes the City Manager or designee to allocate the funds to the following alternative programs, if the South Bay Housing Trust Fund is unable to utilize the funds before the June 2028 deadline.

Funding may alternatively be allocated to the following programs: 1) $10,000 to Rapid Rehousing; and 2) $26,253 to Case Management Services for Unhoused.

During implementation, should the City’s allocation be less or more than the funding amounts anticipated or there is a greater funding needed in one of the programs, Docusign Envelope ID: 38CA2073-A8B6-463D-92EA-3E7623AA5F40

the City Manager is authorized to modify each program up to 50 percent of the figure above.

SECTION 7. The action approved via this Resolutions is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15061 (b)(3) which is the general rule that exempts certain actions from CEQA review because it can be seen with certainty that there is no possibility that the activities contemplated herein will have a significant effect on the environment.

SECTION 8. The City Clerk shall certify to the adoption of this Resolution and thenceforth and thereafter the same shall be in full force and effect.

PASSED, APPROVED, and ADOPTED on this 25th day of February, 2025.

Mayor Dean Francois
PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM:
______________________________ ____________________________ Myra Maravilla, Patrick Donegan,
City Clerk City Attorney
Docusign Envelope ID: 38CA2073-A8B6-463D-92EA-3E7623AA5F40

State of California )
County of Los Angeles ) ss
City of Hermosa Beach )
February 26, 2025
Certification of Council Action
RESOLUTION NO. RES-25-7475

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH,

CALIFORNIA, APPROVING PARTICIPATION IN THE LOS ANGELES URBAN

COUNTY PERMANENT LOCAL HOUSING ALLOCATION PROGRAM (PLHA)

AND DESIGNATE FUNDING TO PROGRAMS ASSISTING FAMILIES AND INDIVIDUALS EXPERIENCING OR AT RISK OF HOMELESSNESS; AND

DETERMINING IT IS EXEMPT FROM THE CALIFORNIA ENVIRONEMNTAL QUALITY ACT (CEQA) PURSUANT TO SECTION 1501(B)(3).

I, Myra Maravilla, City Clerk of the City of Hermosa Beach do hereby certify that the above and foregoing Resolution No. RES-25-7475 was duly approved and adopted by the City Council of said City at its regular meeting thereof held on the 25th day of February, 2025 and passed by the following vote:

AYES: MAYOR FRANCOIS, COUNCILMEMBERS DETOY, JACKSON, AND KEEGAN
NOES: MAYOR PRO TEMPORE SAEMANN
ABSTAIN: NONE
ABSENT: NONE
________________________________
Myra Maravilla,
City Clerk
Docusign Envelope ID: 38CA2073-A8B6-463D-92EA-3E7623AA5F40

SOUTH BAY REGIONAL HOUSING TRUST

STRATEGIC PLAN OVERVIEW
&

JPA SUMMARY

EXECUTIVE SUMMARY
• Mission Statement
• To empower South Bay cities with flexible funding,
strategic guidance, and technical assistance that advance local housing priorities, expand housing opportunity, and support the development and preservation of affordable
and supportive housing across the region.
• Vision Statement
• A South Bay region collaborating to expand housing
opportunities through innovation, strategic partnerships, and coordinated Trust resources—supporting access to
diverse housing choices that strengthen community
stability and economic vitality. Page 830 of 880
• Governance Board
• One Trust Board Director from each
member city + Two Trust Board
Directors representing housing experts.
• Trust Staff
• Option 1: SBCCOG Employees
• Option 2: Contracted Consulting Firm
• Organization Chart
• Advisory Committee Framework
• Purpose and Role
• Membership Composition
• Meeting frequency and output
• Benefits to the Trust

GOVERNANCE, TRUST STAFF, AND

ADVISORY COMMITTEE

TRUST FORMATION & IMPLEMENTATION
GOALS

1. Secure initial capital funding commitments.

2. Establish transparent, accountable, and sustainable governance.

3. Promote regional collaborative and shared solutions.

4. Strengthen local capacity through technical assistance.

5. Establish performance metrics and evaluation tools.

6. Building the Trust’s brand and demonstrating early impact.

7. Design and launch housing funding programs

SOUTH BAY REGIONAL HOUSING TRUST

DRAFT JOINT EXERCISE OF POWERS

AGREEMENT

INTRODUCTION
• 2022 Legislation added to the CA Government Code section 6539.9 authorizing the creation of the South Bay Regional Housing Trust.
• Purpose: Receive and leverage public and private funding for planning and construction of housing of all types and tenures for persons and families of Extremely-Low, Very-Low, and Low-Income.
• Term – The Effective Date of the JPA will be the date of approval by the fourth city to join the Trust.

LIMITATION ON POWERS
• Regulate land use within the jurisdiction of any of the Parties; • Levy, or advocate or incentivize the levying of, an exaction, including an impact fee, charge, dedication, reservation or tax assessment, as a condition of approving the funding for or approval of a development project;
• Require or incentivize inclusionary zoning requirements; • Require the Parties to dedicate or assign funding for any SBRHT obligations or programs; • Fund or approve a housing project or program that is not supported by the governing body of the jurisdiction (a city or the county) in which the proposed project is sited; • Require the Parties to accept or provide any number of housing units as a prerequisite to joining or remaining a member of SBRHT; and
• Affect the individual power of each Party separately to implement affordable housing projects and programs generated within its jurisdictional boundaries.

TERMS OF THE JPA
• One elected official from each Trust member City, appointed by that City Council + Two Housing Experts appointed by the City Managers Committee. • Withdrawal – anytime with written notice and executed copy of city resolution subject to notice received at least 90 days prior to start of fiscal year and payment of any administrative fees.

1 SOUTH BAY HOUSING TRUST
Why A South Bay Housing Trust?
• Voters approved Measure A in
2024; legislating ~$13 million
a year for Housing and
Prevention funding for
SBCCOG
• This presentation will talk
about the funds that are
dedicated to Production and
Preservation, and Ownership
of housing as those are the
funds we would be
considering for the proposed
Housing Trust Page 837 of 880
2 LACAHSA PPO FUNDS
Production, Preservation, and Ownership (PPO)
• SBCCOG mandated to
program $7.3 million of
LACAHSA PPO funds.
• LACAHSA agency
funds can also match
our funding – so
potentially +/- $14
million of funding for
our cities.
(allocations determined by
low income RHNA numbers)

3 SGV AND GATEWAY
SGV and Gateway Housing Trust Before LACAHSA
SGV and
Gateway
COGS
Housing
Trust
Housing
Trust +

LACAHSA

LACAHSA
• SGV and Gateway formed their Housing Trust first, and then incorporated LACAHSA funds into their Trust
2020/2023 2025

4 SBCCOG
SBCCOG Received LACAHSA Funding First

SBCCOG LACAHSA
• SBCCOG has received LACAHSA funding and is
contemplating a Housing Trust
2025

5 PROBLEM
SBCCOG May Need a Trust to Fulfill LACAHSA Portfolio
LACAHSA Product Portfolio:
• Grants
• Soft Development Loans (revenue generating)
• Construction/Pre-Development Loans (revenue generating) • Preservation Acquisition/Equity stakes (revenue generating) • Master Leasing
• Rental or Operating Subsidies
• Direct Service - Homebuyer Assistance (revenue generating) Activities in Red may not be possible under SBCCOG current authority – handicapping our ability to maximize our LACAHSA funding However, they would be possible under a Housing Trust

6 SGV REVENUE EXAMPLE
SGV Housing Trust Generating Revenue
• SGV Housing Trust is generating
over $230,000 a year in Interest and
Loan Fee Revenue
• Their Revolving Loan Fund will
receive its first loan repayment,
allowing their Trust to recycle those
funds to another project
• We can achieve similar results
with our LACAHSA funds, but
need a Housing Trust in order
to do it

7 ALL CITIES CAN BENEFIT
What about cities with no development opportunities?
If cities have no development opportunities, there are other ways to participate in LACAHSA PPO Funds + Housing Trust ▪ Preservation of existing affordable housing
▪ Master Leasing
▪ Rent or Operating Subsidies
▪ First Time Homebuyer Assistance

8 Evictions
• No city is immune to financial stress that
constituents face, whether they are renters
or homeowners
• Evictions are one pathway into
homelessness

9 SBCCOG LACAHSA
SBCCOG LACAHSA Activity FY25/26
• SBCCOG issued soft notice of funding
availability in September – sent to all cities
• Hawthorne and Inglewood may have viable
projects – currently being evaluated projects
totaling 120 units
• Other cities have reached out to discuss
interest in developing opportunities
• SBCCOG will be developing programs,
funding criteria, and documentation
requirements for the evaluation
This activity
is similar to a
housing trust

10 HOUSING TRUST SCENARIO
SBCCOG LACAHSA + Housing Trust Option
• Without a Housing Trust - Hawthorne and Inglewood – may be limited in how we can help them
• Will encourage those cities to also apply for LACAHSA agency funds • Option to wait for the Trust when a loan or other more complicated arrangement could be done – COG can only grant
• Recommendation to come back at a future meeting
• In order to maximize our LACAHSA funding – consider moving all LACAHSA Production, Preservation, and Ownership activities into the SBCCOG Housing Trust JPA

SBCCOG LACAHSA
2025 Housing
Trust
2026

11 SBCCOG LACAHSA
LACAHSA Production, Preservation, and Ownership
• IF HOUSING TRUST
• Housing Trust could work directly with developers on behalf of cities (pertinent for small cities)
• Developers would know to come to a Trust
• Cities must approve all projects funded by the Trust in their city • Benefits for all cities on LACAHSA projects
• Need to increase staffing and hire consultants
• NO HOUSING TRUST
• Cannot implement full LACAHSA Portfolio (Loans, Acquisitions, Ownership..) • Work directly with cities, but not work with developers on behalf of cities • LACAHSA would still benefit all cities
• Would still need to increase staffing and hire consultants

12 NEXT STEPS
Information You Need to Know to Decide
Questions?

City of Hermosa Beach | Page 1 of 4
Meeting Date: March 10, 2026
Staff Report No. 26-CMO-012
Honorable Mayor and Members of the Hermosa Beach City Council ADJUSTMENT OF FEES FOR COMMERCIAL ENCROACHMENT AREAS.
(Environmental Programs Manager Douglas Krauss)
Recommended Action:

Staff recommends City Council consider adjusting certain commercial encroachment fees.

Executive Summary:

At its January 13, 2026 meeting, Council requested staff bring back an item to consider adjusting fees for certain commercial encroachment areas.

Background:

The City has long supported and encouraged outdoor dining on private and public property to activate place-making strategies and supplement indoor operations. With the onset of the COVID-19 pandemic and related health orders, businesses were limited to conducting business outdoors. Recognizing this hardship, City Council approved a program to allow expanded outdoor dining and other commercial activity. The City also suspended zoning and parking requirements to allow outdoor dining on private property and established a temporary encroachment permit program to allow encroachments into sidewalks and public streets. The City further allowed existing permanent encroachments, such as those on Pier Plaza, to temporarily expand their encroachment areas.

The City has issued over 60 temporary outdoor dining permits in a variety of commercial locations. Though mostly on and around Pier Plaza, encroachments are spread throughout the City’s main commercial areas (Attachment 1). Initially, City Council allowed these uses without consideration of any encroachment area rents or reimbursement of lost parking meter revenue. At its January 25, 2022 meeting, Council discussed implementing new fees for the temporary outdoor dining encroachments and approved a fee of $1.50 per square foot per month.

At its November 3, 2022 meeting, Council extended the temporary program with direction to staff to return with an item to consider a permanent version of the temporary outdoor dining program for Council’s consideration, including an updated encroachment fee schedule.

City of Hermosa Beach | Page 2 of 4
On June 13, 2023, Council approved Resolution 23-7379 (Attachment 2), which established encroachment fees for the 2023-24 fiscal year through the current 2025-26 fiscal year. Fees for fiscal year 2025-26 went into effect July 1, 2025 and remain in place. There are no additional rate increases scheduled for the encroachment areas beyond these approved by Council in 2023:

Encroachment Area Category
Approved Fee
per square foot,
per month for
FY 23-24
Approved Fee
per square foot,
per month for
FY 24-25
Approved Fee
per square foot,
per month for
FY 25-26
Pier Plaza, closes encroachment
at 12:30am $4.00 $5.00 $6.00
Pier Plaza, closes encroachment
at 11pm $2.00 $3.00 $4.00
Pier Plaza, closes encroachment
before 11pm; off-Pier Plaza; onstreet; sidewalk; retail$1.00 $2.00 $2.50 Past Council Actions
Meeting Date Description
October 28, 2025 Councilmember Keegan and Mayor Saemann requested an information item concerning commercial encroachment fees January 13, 2026
Councilmember Keegan, Mayor Saemann, and Councilmember
Francois requested an action item to consider adjusting certain encroachment fees
Discussion:

In 2023, City Council considered various factors to help inform these fees. These included location (with Pier Plaza being most desirable), amount of staff resources needed to administer (enforcement, inspection, maintenance, etc.) and complexity of the encroachment areas (e.g., constructed on-street dining deck versus sidewalk tables and chairs that are movable).

Overall, the number of encroachment permittees has remained essentially the same during this time, although a few on-street dining areas (dining decks) have been removed.

Staff has not received notable amounts of comments or complaints about the current encroachment fees. The current fees are applied equally to each permittee and is not based on the revenue levels of the various business types using these encroachments.

On January 13, 2026, Council suggested creating a new category for commercial dining establishments outside of Pier Plaza that do not offer table service nor alcohol use in the encroachment areas. Council suggested the encroachment fee for these businesses be reduced from $2.50 to $2 per square foot. Per the current encroachment fee list, this

City of Hermosa Beach | Page 3 of 4
revised fee would apply to Mickey’s Deli and the Green Store as well as a number of other dining establishments off Pier Plaza such as: Brother’s Burritos, Java Man, Proudly Serving, and Tacos El Goloso. These six businesses occupy 1412 square feet of public right of way, cumulatively (Attachment 3). Additionally, Staff is investigating at least two businesses, Gitana and Granny’s Grocery, that are encroaching on public right-of-way but are not included in the encroachment permit process. Staff will work with these businesses to incorporate them into the program as appropriate.

Council also briefly discussed how the encroachment fees affect retail establishments.

Currently there are only six non-food, retail businesses using public encroachments. Four are located on Pier Plaza and two use sidewalk areas on Pier Avenue. Per the abovementioned fee schedule, these businesses also pay encroachment fees of $2.50 per square foot. Staff has received some community input suggesting a fee of $1 per square foot for retail encroachment permits. These retail businesses are listed in the table below:

Business Square Footage Current Quarterly Encroachment Fee Fundamental Coast 15 $112.50
Heavenly Couture 150 $1,125.00
Pier Surf 180 $1,350.00
Spyder 200 $1,500.00
Treasure Chest 156 $1,170.00
Waves 247 $1,852.50
For comparison, the City of Manhattan Beach charges $4.00 per square foot for all commercial encroachments. The City of Redondo Beach charges $2.00 for encroachments that serve alcohol and $1.00 for those that do not.

Fiscal Impact:

The City collects approximately $200,000 per quarter (approximately $800,000 annually) in commercial encroachment fees. A number of fee adjustment options are listed below along with a table illustrating approximate fiscal impacts:

Option 1: Approve a new category of encroachment permit for off Pier Plaza businesses conducting retail food sales without table service and without alcohol service with an encroachment fee of $2 per square foot. This includes six businesses at a total of 1412 square feet.

Option 2: Approve a new category of encroachment permit for off Pier Plaza businesses conducting retail food sales without table service and without alcohol service with an encroachment fee of $1 per square foot. This includes six businesses at a total of 1412 square feet.

City of Hermosa Beach | Page 4 of 4
Option 3: Approve a new category of encroachment permit for all businesses conducting retail food sales without table service and without alcohol service with an encroachment fee of $2 per square foot. This includes nine businesses at a total of 2201 square feet.

Option 4: Approve a new category of encroachment permit for all businesses conducting retail food sales without table service and without alcohol service with an encroachment fee of $1 per square foot. This includes nine businesses at a total of 2201 square feet.

Option 5: Maintain the current category of encroachment: “Pier Plaza, closes encroachment before 11pm; off-Pier Plaza; on-street; sidewalk; retail,” and reduce the encroachment fee for all businesses in this category to $2 per square foot. This includes thirty-five businesses at a total of 12,680 square feet.

Option 6: Maintain the current category of encroachment: “Pier Plaza, closes encroachment before 11pm; off-Pier Plaza; on-street; sidewalk; retail,” and reduce the encroachment fee for all businesses in this category to $1 per square foot. This includes thirty-five businesses at a total of 12,680 square feet.

Option #
Current Annual Fee
Revenue at $2.50 / sq.
ft.

Projected Annual
Fee Revenue
Total Annual
Revenue
Reduction
1 $42,360.00 $33,888.00 $8,472.00
2 $42,360.00 $16,944.00 $25,416.00
3 $66,030.00 $52,824.00 $13,206.00
4 $66,030.00 $26,412.00 $39,618.00
5 $380,400.00 $304,320.00 $76,080.00
6 $380,400.00 $152,160.00 $228,240.00
Attachments:

1. Map of encroachment areas

2. Resolution 23-7379

3. Log of fees per business
Respectfully Submitted by: Douglas Krauss, Environmental programs Manager Noted for Fiscal Impact: Henry Chao, Finance Manager
Reviewed by: Brandon Walker, Administrative Services Director Approved: Steve Napolitano, City Manager

H
e
r
m
o
s
a
Av
e
Pier Ave
M
a
n
h
a
t
tan Ave
Ardmore Ave
Manhatta
n
Av
e
Valley Dr
Monterey Blvd
Hermosa Ave
1st St
2nd St 22nd St
Hermosa
Ave
Hermosa Ave
27th St
Manhattan Ave
Hermosa Ave
Greenwich
Village
Off-Street
On-Street
Pier Plaza
Sidewalk
Commercial Encroachment Areas
(Formerly) Coastal
Barnacles
Brothers Burrito
Hennessey's Tavern
Panela's
Waterman's
The Lighthouse
Bonaparte Bistro
Treasure Chest
American Junkies
Baja Sharkeez
Patrick Malloy's
Playa Hermosa
Pier Surf
Oakberry Acai
Heavenly Couture
Palmilla's
Cafe Bonaparte
Spyder II
Tiki Kai
Juiced
Tacos El Galoso
Zane's
Paisano's Pizza
Uncorked
El Tarasco
Hook & PlowStecca Tavern
The Source Cafe
Rockefeller
Creme De La Crepe
Java Man
Japonica
Pedone's
Hermosa Brewing Co
Good Stuff
Beach House
La Playita
Mickey's Deli
Bottle Inn The Green
Store
North End Bar & Grill
Vinfolk
Proudly Serving Martha's
Fundamental Coast

CITY OF HERMOSA BEACH
RESOLUTION NO. 23-7379

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH

ESTABLISHING A FEE SCHEDULE FOR PERMANENT OUTDOOR DINING

AND RETAIL ENCROACHMENTS
WHEREAS, On June 9, 2020, the Hermosa Beach City Council adopted Ordinance No. 20-1410U, Implementing a Temporary Permit for Outdoor Dining/Seating and Outdoor Retail Display to Assist in the Reopening of Restaurants, Food, and Retail Establishments during COVID-19; and WHEREAS, In October 2021, City Council directed staff to develop permanent versions of the temporary extended outdoor dining and lane reconfiguration programs implemented during the COVID-19 pandemic; and WHEREAS, In January of 2022, City Council approved new fees for the temporary encroachment areas allowed during COVID-19; and WHEREAS, On January 24, 2023, City Council considered a new market rate appraisal of both existing and temporary encroachment areas citywide; and WHEREAS, On April 25, 2023, City Council considered a new proposed rate schedule from City staff and suggested numerous modifications; and WHEREAS, City staff has gathered input from the City Council, neighboring agencies, local businesses, and community stakeholders to develop a fee schedule that is reasonable and that captures the variety of encroachment uses in the City.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. The City Council does hereby declare that the recitals set forth above are true and correct and are incorporated herein by reference.

SECTION 2. The City Council hereby adopts the following encroachment fees to go into effect July 1, 2023, and directs City staff to incorporate these into the City’s Master Fee schedule:

DocuSign Envelope ID: 455AAA2F-83E4-4696-89E2-82B51186441D

Encroachment Area
Category
Proposed Fee
per square foot,
per month for
2023-24
Proposed
Fee per
square foot,
per month for
2024-25
Proposed
Fee per
square foot,
per month for
2025-26
Pier Plaza (business serves
alcohol), closes after
midnight
$4.00 $5.00 $6.00
Pier Plaza (business serves
alcohol), closes before
midnight
$2.00 $3.00 $4.00
Pier Plaza (business does not
serve alcohol), closes before
midnight; off-Pier Plaza; onstreet; sidewalk; retail
$1.00 $2.00 $2.50
SECTION 3. Severability. If any section, subsection, sentence, clause, phrase or word of this resolution is found to be unconstitutional or otherwise invalid by any court of competent jurisdiction, such decision shall not affect the remaining provisions of this Resolution.

SECTION 4. Environmental Review. The City Council’s adoption of the Resolution is not a project pursuant to State CEQA Guidelines, section 15378(b)(4).

The Resolution is a government funding mechanism and fiscal activity that does not commit to any specific project. As such, the City Council action on the proposed resolution is not a project under CEQA.

SECTION 5. The City Clerk shall certify the adoption of this Resolution which shall be effective upon its adoption. The City Manager may delay the implementation of this resolution to ensure continuity and effective and efficient execution of the Pier Plaza outdoor dining program.

PASSED, APPROVED and ADOPTED on this 13th day, June 2023.

Mayor Raymond A. Jackson
PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM:
________________________________ ________________________________ Myra Maravilla, MPA, CMC, Patrick Donegan,
City Clerk City Attorney
DocuSign Envelope ID: 455AAA2F-83E4-4696-89E2-82B51186441D

State of California )
County of Los Angeles ) ss
City of Hermosa Beach )
June 14, 2023
Certification of Council Action
RESOLUTION NO. 23-7379

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH

ESTABLISHING A FEE SCHEDULE FOR PERMANENT OUTDOOR DINING AND

RETAIL ENCROACHMENTS
I, Myra Maravilla, City Clerk of the City of Hermosa Beach do hereby certify that the above and foregoing Resolution No. 23-7379 was duly approved and adopted by the City Council of said City at its regular meeting thereof held on the 13th day of June 2023 and passed by the following vote:

AYES: MAYOR JACKSON, MAYOR PRO TEMPORE MASSEY, COUNCILMEMBERS SAEMANN, and DETOY
NOES: NONE
ABSTAIN: NONE
ABSENT: COUNCILMEMBER FRANCOIS
________________________________
Myra Maravilla, MPA, CMC,
City Clerk
DocuSign Envelope ID: 455AAA2F-83E4-4696-89E2-82B51186441D

Business Name Address Total
Area (s.f.)
2025-26 Billing
Rate (per sq ft)
1 American Junkie 60 Pier Ave 972 $6.00
2 Baja Sharkeez 52 Pier Ave 750 $6.00
3 Barnacles Bar & Grill 837 Hermosa Ave 300 $2.50
4 Bonaparte Bistro 36 Pier Ave 500 $4.00
5 Tiki Kai 73 Pier Ave 750 $4.00
6 Brother's Burrito 24 11th St 450 $2.50
7 Cafe Bonaparte 53 Pier Ave 750 $2.50
8 Intent Hospitality - Vinfolk 1501 Hermosa Ave 96 $2.50 9 Coastal Lobster & Beer 844 Hermosa Ave 692 $2.50
10 Creme de le Crepe 424 Pier Ave 224 $2.50
11 El Tarasco 337 Pier Ave 525 $2.50
12 Fundamental Coast 112 Pier Ave 15 $2.50
13 Good Stuff on the Strand 1286 The Strand 1000 $2.50
14 Heavenly Couture 31 Pier Ave 150 $2.50
15 Hennessey's Tavern 8 Pier Ave 1000 $6.00
16 Hermosa Breweing Co 1342 Hermosa Ave 372 $2.50
17 Hook and Plow 425 Pier Ave 417 $2.50
18 Japonica Sushi 1314 Hermosa Ave 441 $2.50
19 Java Man 157 Pier Ave 112 $2.50
20 Juiced 34 Pier Ave 239 $2.50
21 La Playita 37 14th St 480 $2.50
22 Martha's 22nd Street Grill 25 22nd St 730 $2.50
23 Mickey's Italian Deli 101 Hermosa Ave 384 $2.50
24 North End Bar & Grill 2626 Hermosa Ave 849 $2.50
25 Oakberry Acai 25 Pier Ave 50 $2.50
26 Paisano's Pizza 1132 Hermosa Ave 456 $2.50
27 Palmilla 37 & 39 Pier Ave 812 Special rate
28 Patrick Molloy's 50A Pier Ave 823 $6.00
29 Pedone's Pizza 1332 Hermosa Ave 372 $2.50
30 Pier Surf 21 Pier Ave 180 $2.50
31 Proudly Serving 110 2nd Street 63 $2.50
32 Playa Hermosa Fish & Oyster Co. 19 Pier Ave 572 $4.00 33 Pabelas Grill 20 Pier Ave 390 $4.00
34 Sosta 439 Pier Ave 72 $2.50
35 Spyder II Inc 65 & 59 Pier Ave 200 $2.50
36 Tacos El Goloso 118 Pier Ave 91 $2.50
37 The Beach House 1300 The Strand 570 $2.00
38 The Bottle Inn 26 22nd St 416 $2.50
39 The Green Store 2151 Hermosa Ave 312 $2.50
40 The Lighthouse 30 Pier Ave 678 $6.00
41 The Rockefeller 422 Pier Ave 301 $2.50
42 The Source Cafe 509 Pier Ave 620 $2.50
44 Treasure Chest 50 Pier Ave 156 $2.50
45 Uncorked 302 Pier Ave 360 $2.50
46 Waterman's 22 Pier Ave 625 Special rate
47 Waves 29 Pier Ave 247 $2.50
48 Zane's Resturaunt 1150 Hermosa Ave 558 $2.50
Commercial Encroachment Fee Log

City of Hermosa Beach | Page 1 of 1
Meeting Date: March 10, 2026
Staff Report No. 26-CMO-013
Honorable Mayor and Members of the Hermosa Beach City Council

TENTATIVE FUTURE AGENDA ITEMS
Attached is the current list of tentative future agenda items for Council’s information.

The tentative future agenda provides a preliminary preview of topics planned for discussion at upcoming City Council meetings over a specified period, typically the next three months. The items listed in this document are "tentatively" scheduled, meaning they are subject to change and should not be considered final until the official agenda for each meeting is posted. This document is a work in progress and offers a glimpse into the City's priorities and planned discussions, allowing stakeholders to anticipate and prepare for potential topics of interest.

Key Features of a Tentative Future Agenda Document:

1. Tentative Schedule: Each agenda item is assigned a tentative date, indicating when it is expected to be discussed. These dates are provisional and may be adjusted based on various factors.

2. Work in Progress: The document is continuously updated as new items emerge, priorities shift, or additional information becomes available. This flexibility ensures City Council can address the most pressing issues in a timely manner.

3. Transparency and Communication: By publishing a tentative future agenda, the City aims to maintain transparency with residents, businesses, and other stakeholders. It helps the community stay informed about potential topics of discussion and provides an opportunity for public engagement and preparation.

4. Fluid Scheduling: The scheduling of agenda items is fluid until the official agenda for a specific City Council meeting is posted. Changes can occur due to various reasons, such as new developments, additional preparatory work required, or changes in workload or priority.

Attachment:

Tentative Future Agenda Items

March 3, 2026
Honorable Mayor and Members Regular Meeting of
of the Hermosa Beach City Council March 10, 2026

TENTATIVE FUTURE AGENDA ITEMS
MARCH 24, 2026 @ 5:00 PM INITIAL

DATE CLOSED SESSION
MARCH 24, 2026 @ 6:00 PM

PRESENTATIONS
RECOGNIZING RESIDENT JEAN-PAUL LEBOSNOYANI’S ULTIMATE FIGHTING CHAMPIONSHIP WIN

CONSENT CALENDAR
City Council Minutes City Clerk Ongoing
Check Registers Administrative Services Director Ongoing City Treasurer’s Report for February 2026 City Treasurer Ongoing Capital Improvement Program Status Report Public Works Director Ongoing Approval of Long-Term Agreement for Hope Chapel Picnic Parks and Recreation Director Staff Request Feb. 5, 2026

MUNICIPAL MATTERS
CIP 623 Municipal Pier Structural Inspection and Evaluation Update Public Works Director Staff Request Feb. 3, 2026
Consideration of Request by Hermosa Beach Little League to Advance Improvements to Clark Field
Public Works Director Staff Request
Feb. 3, 2026
Mid-Year Budget Review Fiscal Year 2025-26 Administrative Services Director Annual Kelly Courts – Pickleball Courts Use Policy Revisions Parks and Recreation Director Staff Request Feb. 9, 2026
HCD Annual Progress Report on Housing Community Development Director (presented by Associate Planner
Jake Whitney)
Staff Request
Feb. 11, 2026
Approve the First Amendment to Agreement with Empire Pipe Cleaning and Equipment, Inc. for Sanitary Sewer Maintenance and CCTV Inspection Services
Public Works Director Staff Request
Feb. 9, 2026
Approve the First Amendment to Agreement with Merchants Landscape Services, Inc
Public Works Director Staff Request
Feb. 10, 2026
Informational Item:

Assessment of cost, staffing, operational requirements for PD to establish a more consistent/visible presence along the Strand, beach, and parks.

Designated officers focused on visibility, proactive engagement, education, and enforcement in our most heavily used public spaces. (supported by: Jackson and Detoy)
AND
Discussion of contract officers as discussed at the Safety Forum. (supported by: Saemann and Keegan)
AND
Discussion of PD resources that have been devoted to safety on The Strand and plan for future allocation of PD resources on The Strand. (supported by: Francois and Keegan)
Police Chief Council Direction
Oct. 28, 2025
and
Dec. 9, 2025
and
Jan. 27, 2026
FUTURE AGENDA ITEMS – CITY COUNCIL
Future Agenda Items City Manager Ongoing

INFORMATIONAL ITEMS
Action minutes of the Public Works Commission Meeting of January 21, 2026
Parks and Recreation Director Ongoing
Los Angeles County Fire and Ambulance Monthly Report for January 2026 Emergency Management Coordinator
Ongoing
Action minutes of the Planning Commission Meeting of February 17, 2026 Community Development Director Ongoing

2 APRIL 14, 2026 @ 5:00 PM INITIAL

DATE CLOSED SESSION
APRIL 14, 2026 @ 6:00 PM

PRESENTATIONS
RECOGNIZING APRIL AS EARTH MONTH AND APRIL 22 AS EARTH DAY

CONSENT CALENDAR
City Council Minutes City Clerk Ongoing
Check Registers Administrative Services Director Ongoing

PUBLIC HEARINGS
Resolution Adopting Fees from Fee Study Update Administrative Services Director Staff Request Feb. 17, 2026
Introduce an Ordinance to Amend Hermosa Beach Municipal Code Chapter

12.30 Special Events on Public Property and the Master Fee Schedule to Establish a Special Event Per-Vendor Daily Fee
Parks and Recreation Director Staff Request
Feb. 17, 2026

MUNICIPAL MATTERS
Dog Park Proposal Review (supported by City Council) Parks and Recreation Director Council Direction Mar 11, 2025
Award of Professional Services Agreements for Vehicle Upfitting Administrative Services Director Staff Request Feb. 17, 2026
Award of Professional Service Agreements for On-Call Environmental Monitoring and Testing Services
Public Works Director Staff Request
Feb. 25, 2026
Award of Professional Services Agreement for California Environmental Quality Control Act (CEQA) Project Analysis and other Environmental Services for the Public Works City Yard
Public Works Director Staff Request
Feb. 25, 2026
Consideration of Adding Another Accessible Beach Mat, Modifications to Existing Layout, and Potential for Outside Funding for a Permanent Installation (supported by: Francois, Saemann and Jackson) Public Works Director Council Direction
Aug. 26, 2025
Informational Item to consider bid package for St. Patrick’s Day Parade, Memorial Day weekend Fiesta, and Labor Day weekend Fiesta events. (supported by: Saemann and Keegan)
Parks and Recreation Director Council Direction
Feb. 3, 2026
Informational Item to discuss identification requirements for alcohol-serving establishments, and if feasible, include input from the Alcoholic Beverage Control, and include available technology that is available to combat fake identifications (supported by: Jackson and Detoy)
Community Development
Director/Planning Commission
Council Direction
Sept. 9, 2025
FUTURE AGENDA ITEMS – CITY COUNCIL
Future Agenda Items City Manager Ongoing

INFORMATIONAL ITEMS
Police Crime Statistics for February 2026 Police Chief Ongoing Action minutes of the Parks and Recreation Advisory Commission Meeting of March 3, 2026
Parks and Recreation Director Ongoing
Parking Citation and Revenue Report – March 2026 Senior Management Analyst Ongoing

3 APRIL 28, 2026 @ 5:00 PM INITIAL
DATE
STUDY SESSION: FISCAL YEAR 2026-2027 BUDGET
APRIL 28, 2026 @ 6:00 PM

PRESENTATIONS
RECOGNIZING U.S. WOMEN’S NATIONAL ICE HOCKEY TEAM HEAD COACH JOHN WROBLEWSKI

CONSENT CALENDAR
City Council Minutes City Clerk Ongoing
Check Registers Administrative Services Director Ongoing Cash Balance Report for January 2026 Administrative Services Director Ongoing Revenue Report, Expenditure Report, and CIP Report by Project for January 2026
Administrative Services Director Ongoing
City Treasurer’s Report for March 2026 City Treasurer Ongoing Capital Improvement Program Status Report Public Works Director Ongoing Adopt an Ordinance to Amend Hermosa Beach Municipal Code Chapter

12.30 Special Events on Public Property
Parks and Recreation Director Council Direction
Apr. 14, 2026

MUNICIPAL MATTERS
Calling and Giving Notice and Certain Other Resolutions Necessary for Holding the General Municipal Election to be held on Tuesday, November 3, 2026
City Clerk Election Years
(No later than
June)
FUTURE AGENDA ITEMS – CITY COUNCIL
Future Agenda Items City Manager Ongoing

INFORMATIONAL ITEMS
Los Angeles County Fire and Ambulance Monthly Report for February 2026 Emergency Management Coordinator
Ongoing

4 MAY 12, 2026 @ 5:00 PM INITIAL

DATE CLOSED SESSION
MAY 12, 2026 @ 6:00 PM

PRESENTATIONS

RECOGNIZING MENTAL HEALTH AWARENESS MONTH

CONSENT CALENDAR
City Council Minutes City Clerk Ongoing
Check Registers Administrative Services Director Ongoing

PUBLIC HEARINGS
Zoning Code Update - Administrative Procedures Community Development Director Staff Request Jul. 23, 2025

MUNICIPAL MATTERS
Fiscal Year 2026-2027 Budget - Department Presentations Administrative Services Director Annual FUTURE AGENDA ITEMS – CITY COUNCIL
Future Agenda Items City Manager Ongoing

INFORMATIONAL ITEMS
Police Crime Statistics for March 2026 Police Chief Ongoing Action minutes of the Planning Commission Meeting of March 17, 2026 Community Development Director Ongoing Action minutes of the Parks and Recreation Advisory Commission Meeting of April 16, 2026
Parks and Recreation Director Ongoing
Parking Citation and Revenue Report – April 2026 Senior Management Analyst Ongoing

5 MAY 26, 2026 @ 5:00 PM INITIAL

DATE CLOSED SESSION
MAY 26, 2026 @ 6:00 PM

CONSENT CALENDAR
City Council Minutes City Clerk Ongoing
Check Registers Administrative Services Director Ongoing Cash Balance Report for February 2026 Administrative Services Director Ongoing Revenue Report, Expenditure Report, and CIP Report by Project for February 2026
Administrative Services Director Ongoing
City Treasurer’s Report for April 2026 City Treasurer Ongoing Capital Improvement Program Status Report Public Works Director Ongoing

MUNICIPAL MATTERS
Adoption of resolutions regarding the Engineer’s Report and setting June 23, 2026, for the public hearing for the Hermosa Beach Landscaping and Street Lighting District FY 2026–2027.

Public Works Director Annual
Fiscal Year 2026-2027 Budget - Department Presentations (Continued from May 12, 2026 if needed)
Administrative Services Director Annual
FUTURE AGENDA ITEMS – CITY COUNCIL
Future Agenda Items City Manager Ongoing

INFORMATIONAL ITEMS
Los Angeles County Fire and Ambulance Monthly Report for March 2026 Emergency Management Coordinator
Ongoing
Action minutes of the Public Works Commission Meeting of March 18, 2026 Public Works Director Ongoing Action minutes of the Planning Commission Meeting of April 21, 2026 Community Development Director Ongoing THURSDAY, MAY 28, 2026 @ 6:00 PM
STUDY SESSION: FISCAL YEAR 2026-2027 CAPITAL IMPROVEMENT PROGRAM

6 PENDING NEW ITEMS

STATUS /

TENTATIVE MEETING DATE
(Updated 12/29/25)
Approval of the Municipal Lease Policy
Initiated by: Staff Request Jun. 12, 2018
Parks and Recreation
Director
Awaiting professional building
assessment of the Kiwanis
Building, Rotary Building, and
Lawn Bowling Club to
determine the level of
maintenance, repairs, and
future upgrades that may be
needed and required by the
City.

Landscape and Street Lighting District Assessment Adjustment (mail-in election authorization)
Initiated by: Council Direction Jul. 9, 2019
Public Works Director Pending staff availability. If
council agrees to advance the
adjustment, it will need to go to
a citywide ballot in compliance
with Proposition 218.

Emergency Services Municipal Code Chapter 2.56 Update Emergency Management
Coordinator
Waiting for State to review
proposed language changes
Consideration of licensing agreement/fees for use of City logo Initiated by: Council Direction Jun. 9, 2020
City Attorney The City will develop a
licensing agreement for
commercial uses of the City
logo as part of a comprehensive
Administrative Memorandum
(AM) on City Branding and
Logo Use by City Staff. City
staff will begin drafting the
AM after finalizing the City’s
style guide and filing its “Intent
to Use” trademark application
for the City logo with the
USPTO. As part of developing
a Licensing Agreement for the
Commercial Use of the City
Logo, staff will establish a
process for reviewing and
handling these requests. This
process will likely include the
negotiation of royalties and as
well as the preparation of a
staff report to obtain Council
approval to enter into the
agreement. Only after the City
receives the issuance of a
Notice of Allowance from the
USPTO can it begin approving
applications for commercial
uses of the logo.

Parks, Recreation, and Community Resources Advisory Commission Volleyball Court Use Subcommittee was formed to review all aspects of the beach volleyball courts located in the residential area Initiated: 2021
Parks and Recreation
Director To be completed in the first
quarter of 2026.

PLAN Hermosa 5-year check-in on milestones
(Supported by Massey, Campbell, Armato, Jackson)
Initiated by: Council Direction October 26, 2021
Community
Development
Director/Environmental
Program Manager
The next update to City
Council will be in 2026
Consideration of rules that would govern operation of off-sale alcohol establishments in downtown and consideration of queuing for on-sale alcohol establishments. (supported by Massey, Saemann and Detoy) Initiated by: Council Direction June 13, 2023
Community
Development/Police
Chief/Deputy City
Manager
Ordinance to be established to
address items.

Citywide Engineering and Traffic Survey and review of provisions in California Assembly Bill 43 that are anticipated to become effective on or about June 30, 2024.

Public Works Director Pending staffing availability
and completion of other
previously requested future

7 Initiated by: Unanimous Council Direction July 25, 2023 agenda items. Targeting Summer 2026.

Request Public Works Commission to review fines and other consequences involved with illegal tree removal and return to Council as an action item for discussion and deliberation. (supported by Saemann, Francois, Detoy) Initiated by: Council Direction August 13, 2024
Public Works Director Pending staffing availability
and completion of other
previously requested future
agenda items.

Explore Best Practices for Undergrounding. (supported by: Detoy, Saemann, and Jackson)
Initiated by: Council Direction November 12, 2024
Public Works Director Pending staffing availability
and completion of other
previously requested future
agenda items. Staff will also
need to request funding in the
future budget cycle to support
bringing in appropriate
consulting expertise on this
item.

Refer the public pool discussion to the Parks, Recreation, and Community Resources Advisory Commission for review prior to City Council. (supported by Saemann, Detoy, and Jackson)
Initiated by: Council Direction June 24, 2025
Parks and Recreation
Director Pending Commission Review
Hermosa Beach Lawn Bowling Club Operations
(supported by Jackson, Detoy, and Keegan)
Initiated by: Council Direction June 24, 2025
Parks and Recreation
Director Under Legal Review
Consider adding another accessible mat, extending the "T" to the water line, and seek grant funding to study a permanent solution to the current accessible mat setup.

Public Works Director Pending staffing availability
and completion of other
previously requested future
agenda items. Targeting early
Spring 2026.

Agendize discussion on Rosenberg’s Rules of Order and Robert’s Rules of Order at the next City Council Retreat
(supported by: Detoy and Jackson)
Initiated by: Council Direction September 9, 2025
City Manager The next City Council Retreat
will be scheduled once a
permanent City Manager is
appointed
Informational Item for Public Works Commission to study maximizing and expanding the street parking inventory through the analysis of the City's red curb standard to include studying golfcart parking spaces for reduced streets and studying the Driveway Parking Permit Program.
(supported by: Jackson and Saemann)
Initiated by: Council Direction September 9, 2025
Public Works Director Pending staffing availability
and completion of other
previously requested future
agenda items.

Informational Item to review the feasibility of collecting Transient Occupancy Tax (TOT) for short-term vacation rentals that are out of compliance, and of collecting unpaid fines from illegal short-term vacation rentals.
(supported by: Jackson and Saemann)
Initiated by: Council Direction September 9, 2025
Administrative Services
Director Staff will come back to Council
in the next few months for an
update.

Informational Item to delineate available options for licensing, registration, or other regulatory tools to support e-bike safety and compliance. (supported by: Jackson and Saemann)
Initiated by: Council Direction December 9, 2025
City Attorney/Police
Chief

CITY COUNCIL MEETING SCHEDULE FOR 2026
(Regular Meeting Times: Closed Sessions at 5:00 PM and Open Sessions at 6:00 PM)

JANUARY 13, 2026
JANUARY 27, 2026
FEBRUARY 3, 2026
FEBRUARY 24, 2026
(ELECTION OF MAYOR AND MAYOR PRO TEMPORE)
MARCH 10, 2026
MARCH 24, 2026
APRIL 14, 2026
APRIL 28, 2026
FY 2026–2027 CAPITAL IMPROVEMENT PROGRAM

STUDY SESSION
MAY 12, 2026
MAY 26, 2026
THURSDAY, MAY 28, 2026
FY 2026–2027 BUDGET STUDY SESSION
JUNE 9, 2026
(ADOPTION OF FISCAL YEAR 2026–2027 BUDGET)
JUNE 23, 2026
NO MEETING JULY 14, 2026
(DARK)
JULY 28, 2026
January 5–7, 2026:

CCCA Legislative Tour in Sacramento, CA
May 14–17, 2026 (Tentative Dates):

CCCA Annual Municipal Seminar
July 9–12, 2026: ICA Summer Seminar
June 4–7, 2026:

U.S. Conference of Mayors Annual Meeting in Long
Beach, CA
January 15, 2026: State of the City Address
January 21–23, 2026 (Sacramento):

League of California Cities New Mayors & Council
Members Academy
May 7–8, 2026:

SCAG Regional Conference and General Assembly
in Palm Desert, CA
February 9-13, 2026: HBCSD Ski Week
February 20-22, 2026:

ICA Winter Seminar in Santa Barbara, CA
January 28–30, 2026:

U.S. Conference of Mayors Winter Meeting in D.C.

February 20-22, 2026:

ICA Winter Seminar in Santa Barbara, CA
June 12, 2026: HBCSD Summer Break Begins
CIP Study Session in place of Regular Meeting
Summer Vacation Season
Passover begins at sunset on April 1, 2026 and
ends at nightfall on April 9, 2026
(No work permitted)
April 6–10, 2026: HBCSD Spring Break

CITY COUNCIL MEETING SCHEDULE FOR 2026
(Regular Meeting Times: Closed Sessions at 5:00 PM and Open Sessions at 6:00 PM)

NO MEETING AUGUST 11, 2026
(DARK)
AUGUST 25, 2026
SEPTEMBER 8, 2026
SEPTEMBER 22, 2026
OCTOBER 13, 2026
OCTOBER 27, 2026
NOVEMBER 10, 2026
NO MEETING NOVEMBER 24, 2026
(DARK)
THURSDAY, DECEMBER 3, 2026
CERTIFICATON OF NOVEMBER 2026 ELECTION,

INSTALLATION OF NEW OFFICERS, AND

ELECTION OF MAYOR AND MAYOR PRO TEMPORE
DECEMBER 8, 2026
NO MEETING DECEMBER 22, 2026
(DARK)
Rosh Hashanah begins at sunset on September 11,
2026 and ends at nightfall on September 13, 2026
(No work permitted)
Yom Kippur begins at sunset on September 20,
2026 and ends at nightfall on September 21, 2026
(No work permitted)
September 4–6, 2026 (Tentative Dates):

CCCA Annual Fall Educational Summit
Summer Vacation Season
Winter Holiday Season
Chanukah begins sunset of December 4, 2026 and
ends nightfall of December 12, 2026 (work
permitted, except Shabbat – Friday evening to
Saturday evening)
September 23–25, 2026:

League of California Cities Annual Conference at
Anaheim Convention Center
Thanksgiving Week
November 11, 2026: Veteran’s Day Holiday
November 3, 2026: General Election
(Three City Council Seats)

Power BI Desktop Hermosa Beach Police Department Monthly Crime Report (January 2025) Arrests and Infractions
0 10
20 Jan 04 Jan 11 Jan 18 Jan 25
7 3 3
5 6
17 5
22 2
5 5
14 3
9 11
3 14
5 9
6 5
1 2
23 4 3
5 10
21 20
4 4 4
6 19
15 18 14
8 8
7 7 5
12 4
5 8
5 4
5 Admin Cites Felony Arrests Misdemeanor Arrests Regular Citation Warning Citations Arrests and Infractions
252
Crime Incidents
110
Calls for Service
1,968
Crime Incidents
0 5
Jan 04 Jan 11 Jan 18 Jan 25
2 2
7 1
6 2 6 6
3 4
Type of Crime
0 20
Traffic
Found Property
Theft
Burglary
Disorderly Conduct
DUI
Fraud
Information Report
Public Nuisance
Lost Property
Miscellaneous
Narcotics
Assault
Stolen Vehicle
Vandalism
Weapons
Extortion
Forgery
ID Theft
Safekeeping
25 12 9 7 6 6 6 6 5 4 4 4 3 3 3 3 1 1 1 1
*Crime data is accurate at time of reporting.
**Includes crime incidents deemed appropriate for public release. 1/1/2026  1/31/2026 
Hermosa Beach Community Crime Map:
https://www.communitycrimemap.com/?address=HermosaBeach,CA&crimeTypes=true Calls for Service
0 100
Jan 04 Jan 11 Jan 18 Jan 25
45 103
32 103 44
89 81 88
35 49

Power BI Desktop
Monthly National Incident Based Reporting System (NIBRS) Data 0 10
20 30
40 2026 January
39 28
9 Offense Category Crimes Against Persons Crimes Against Property Crimes Against Society Year
2026


Month
All


National Incident Based Reporting System (NIBRS) Data - Category Totals by Month Crimes Against Persons
Crimes Against Property
Crimes Against Society
1 2
3 2
20 30
28 8
10 9
2026
Police Department - Crime Dashboard
Offense Category Breakdown
2 (5.13%)
(71.79%)
(23.08%)
28 9
FBI Definitions for
National IncidentBased Reporting
System (NIBRS):
https://ucr.fbi.gov/nibrs
/2018/resourcepages/nibrs_offense_de
finitions-2018.pdf
39 Total Crimes

Power BI Desktop
National Incident Based Reporting System (NIBRS) Data - Month over Month % Change 0 20
40 60
80 -50%
-40%
-30%
January
76 39
-42%
Prior Year Crimes
Current Year Crimes
MoM % Change
Year
2026


Month
January

Police Department - Crime Dashboard 
2026
Year
39 # of Crimes
National Incident Based Reporting System (NIBRS) Data - Month over Month % Change -40%
-30%
-20%
-10%
0%
2026 January
-41.79%

Offense Type Jan Dec '25 Diff % Change 2026 2025 Diff % Change 2026 2025 Diff % Change Kidnapping/Abduction 0 0 0 0.0% 0 1 -1 -100.0% 0 1 -1 -100.0% Forcible Rape 0 1 -1 -100.0% 0 0 0 0.0% 0 0 0 0.0%
Forcible Fondling 0 1 -1 -100.0% 0 1 -1 -100.0% 0 1 -1 -100.0% Aggravated Assault 1 2 -1 -50.0% 1 5 -4 -80.0% 1 5 -4 -80.0% Simple Assault 0 5 -5 -100.0% 0 6 -6 -100.0% 0 6 -6 -100.0% Intimidation 1 2 -1 -50.0% 1 0 1 N.C. 10 1 N.C.

Total Crimes Against Persons 2 11 -9 -81.8% 2 13 -11 -84.6% 2 13 -11 -84.6% Offense Type Jan Dec '25 Diff % Change 2026 2025 Diff % Change 2026 2025 Diff % Change Burglary/Breaking & Entering 3 6 -3 -50.0% 3 10 -7 -70.0% 3 10 -7 -70.0% Counterfeiting/Forgery 3 2 1 50.0% 3 4 -1 -25.0% 3 4 -1 -25.0% Destruction/Damage/Vandalism of Property 2 8 -6 -75.0% 2 3 -1 -33.3% 2 3 -1 -33.3% Extortion/Blackmail 1 1 0 0.0% 1 0 1 N.C. 10 1 0.0%
False Pretenses/Swindle/Confidence Game 6 4 2 50.0% 62 4 200.0% 62 4 200.0% Credit Card/Automatic Teller Fraud 0 0 0 0.0% 0 2 -2 -100.0% 0 2 -2 -100.0% Impersonation 1 0 1 N.C. 10 1 N.C. 10 1 N.C.

Identity Theft 1 4 -3 -75.0% 1 3 -2 -66.7% 1 3 -2 -66.7% Robbery 0 1 -1 -100.0% 0 3 -3 -100.0% 0 3 -3 -100.0%
Pocket-picking 0 0 0 0.0% 0 1 -1 -100.0% 0 1 -1 -100.0% Purse-snatching 0 0 0 0.0% 0 1 -1 -100.0% 0 1 -1 -100.0% Shoplifting 1 5 -4 -80.0% 1 2 -1 -50.0% 1 2 -1 -50.0%
Theft From Building 0 1 -1 -100.0% 0 1 -1 -100.0% 0 1 -1 -100.0% Theft From Motor Vehicle 1 2 -1 -50.0% 1 7 -6 -85.7% 1 7 -6 -85.7% Theft of Motor Vehicle Parts/Accessories 0 6 -6 -100.0% 0 3 -3 -100.0% 0 3 -3 -100.0% All Other Larceny 8 15 -7 -46.7% 8 16 -8 -50.0% 8 16 -8 -50.0% Motor Vehicle Theft 1 1 0 0.0% 1 4 -3 -75.0% 1 4 -3 -75.0% Stolen Property Offenses 0 2 -2 N.C. 0 3 -3 -100.0% 0 3 -3 -100.0% Total Crimes Against Property 28 58 -30 -51.7% 28 65 -37 -56.9% 28 65 -37 -56.9% Offense Type Jan Dec '25 Diff % Change 2026 2025 Diff % Change 2026 2025 Diff % Change Drug/Narcotic Violations 3 8 -5 -62.5% 3 8 -5 -62.5% 3 8 -5 -62.5% Drug Equipment Violations 3 7 -4 -57.1% 3 6 -3 -50.0% 3 6 -3 -50.0% Weapon Law Violations 3 2 1 50.0% 31 2 200.0% 31 2 200.0% Total Crimes Against Society 9 17 -8 -47.1% 9 15 -6 -40.0% 9 15 -6 -40.0% Total Crimes Against Persons 2 11 -9 -81.8% 2 13 -11 -84.6% 2 13 -11 -84.6% Total Crimes Against Property 28 58 -30 -51.7% 28 65 -37 -56.9% 28 65 -37 -56.9% Total Crimes Against Society 9 17 -8 -47.1% 9 15 -6 -40.0% 9 15 -6 -40.0% Total Group A Offenses 39 86 -47 -54.7% 39 93 -54 -58.1% 39 93 -54 -58.1% N.C. Not Calculable. To calculate the percentage change use Time 1-Time 2/Time 2 = a number x 100= % change. You cannot divide a number by 0 and receive a valid number.

HERMOSA BEACH POLICE DEPARTMENT
2025 National Incident Based Reporting System
Crimes Against Persons - Group A Offenses
Crimes Against Property - Group A Offenses
2026 January YTD
This report is PRELIMINARY and the counts may change as the formal report is completed.

Summary of Reported Offenses
January YTD
2026 January YTD
(*) Offenses are counted using the FBI Units of Count for Crime Crimes Against Society - Group A Offenses
2026
This report is valid as of 02/19/2026 and is subject to change

1 CITY OF HERMOSA BEACH
Parks and Recreation Advisory Commission
Meeting Minutes
February 10, 2026, 6:00 PM
Council Chambers
1315 Valley Drive
Hermosa Beach, CA 90254
Members Present: Chairperson Barbara Ellman, Commissioner Thomas Moroney, Vice Chairperson Traci Horowitz, Commissioner Todd Tullis, Commissioner Elka Worner
Staff Present: Senior Recreation Supervisor Brian Sousa, Lead Special Events and Filming Coordinator Kalyn Kaemerle, Special Events and Filming Coordinator Austin DeWeese, Senior Office Assistant Holly Honma, Recreation Specialist Peggy Magee Nolan
_____________________________________________________________________

1. CALL TO ORDER
Chairperson Ellman called the Open Session to order at 6:00 p.m.

2. PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by Commissioner Elka Worner.

3. ROLL CALL
Senior Office Assistant Holly Honma announced a quorum.

4. ANNOUNCEMENTS—UPCOMING CITY EVENTS
Special Events and Filming Coordinator Austin DeWeese and Senior Recreation Supervisor Brian Sousa provided the presentation.

5. PRESENTATIONS

6. PUBLIC COMMENT
In-Person Public Comment:

Mary Ann Benson
Virtual Public Comment:

Tony Higgins
Renee Siemak

2 Jesse Obrand
Maggie Bove-LaMonica
Elias Bove-LaMonica

7. COMMISSIONER COMMENTS
Commissioners may briefly respond to public comments, may ask a question for clarification or make a brief announcement or report on his or her own liaison or subcommittee roles, activities or meetings attended.

8. CONSENT CALENDAR
The following matters will be acted upon collectively with a single motion and vote to approve with the majority consent of the Parks and Recreation Commission. Commissioners may orally register a negative vote on any Consent Calendar item without pulling the item for separate consideration before the vote on the Consent Calendar. Items removed for separate discussion will be considered separately, with public comment permitted at that time.

Moved by: Commissioner Elka Worner
Seconded by: Vice Chairperson Traci Horowitz
To approve the Consent Calendar.

Ayes (5): Chairperson Barbara Ellman, Commissioner Thomas Moroney, Vice Chairperson Traci Horowitz, Commissioner Todd Tullis, and Commissioner Elka Worner
Motion Carried

8.a DECEMBER 2025 ACTIVITY REPORT

8.b JANUARY 2026 ACTIVITY REPORT

8.c ACTION MINUTES OF THE PARKS AND RECREATION ADVISORY COMMISSION MEETING OF JANUARY 6, 2026

9. PUBLIC HEARINGS
*Attachment 1. "SUPPLEMENTAL Updated After Dark Tour LA 2026 Event Overview" AND *Attachment 2. "SUPPLEMENTAL Updated 2026 Special Events Calendar" AND *Attachment 3. "SUPPLEMENTAL Updated After Dark Tour LA 2026 Slide Desk"

9.a APPROVAL OF IMPACT LEVEL III NEW 2026 SPECIAL EVENT - AFTER DARK TOUR LA 2026 - 26-CR-018
(Lead Special Events and Filming Coordinator Kalyn Kaemerle) Lead Special Events and Filming Coordinator Kalyn Kaemerle provided the presentation

3 In-Person Presentation:

Jake Wanamaker, After Dark Tour LA 2026 event representative Kellie Hawkins, After Dark Tour LA 2026 event representative Jim Heim, After Dark Tour LA 2026 event representative
Virtual Public Comment:

Tony Higgins
David Grethen
Laura Pena
Moved by: Commissioner Todd Tullis
Seconded by: Vice Chairperson Traci Horowitz
To recommend City Council hold a public hearing to consider approval of Impact Level III new special event, After Dark Tour LA 2026, on the 2026 Special Events Calendar.

Ayes (3): Chairperson Barbara Ellman, Vice Chairperson Traci Horowitz, and Commissioner Todd Tullis
Noes (2): Commissioner Thomas Moroney, and Commissioner Elka Worner
Motion Carried

10. MATTERS FOR COMMISSION CONSIDERATION

10.a UPDATE ON REMOVAL OF NON-STANDARD BASKETBALL COURTS – CLARK FIELD - 26-CR-016
(Acting Risk Program Manager, Boyd Horan)
Interim Risk Program Manager Boyd Horan provided the presentation.

Virtual Public Comment:

Michelle Goldbach-Johnson
Dan Madden
Moved by: Commissioner Thomas Moroney
Seconded by: Commissioner Elka Worner
To recommend staff consider the Commission's feedback to restore recreation hoops, with risk mitigation measures, on the west side of Clark Field, and return to the Commission in March 2026 with a formal update.

Ayes (5): Chairperson Barbara Ellman, Commissioner Thomas Moroney, Vice Chairperson Traci Horowitz, Commissioner Todd Tullis, and Commissioner Elka Worner
Motion Carried

4 10.b KELLY COURTS – PICKLEBALL COURTS POLICY REVISIONS - 26- CR-020
CEQA: Review of the Kelly Court use hours of operations would be exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines section 15304. The review of the hours of operations would have negligible or no permanent effect on the environment. (Senior Recreation Supervisor Brian Sousa)
Senior Recreation Supervisor Brian Sousa provided the presentation.

In-Person Public Comment:

Gail Rose
Geraldine Poon
Virtual Public Comment:

Anna Garcia
Moved by: Chairperson Barbara Ellman
Seconded by: Vice Chairperson Traci Horowitz
To recommend City Council approval of the court use policy revisions, except for modification of hours, for the Kelly Pickleball Courts and report back to the Commission in 120 days following the reopening of the courts with a formal report on the usage of the courts designated for open-play only and any feedback received regarding the courts.

Ayes (4): Chairperson Barbara Ellman, Commissioner Thomas Moroney, Vice Chairperson Traci Horowitz, and Commissioner Elka Worner Noes (1): Commissioner Todd Tullis
Motion Carried

11. FUTURE AGENDA ITEMS
Requests from Commissioners for possible future agenda items. No discussion or debate of these requests shall be undertaken; the sole action is whether to schedule the item for consideration on a future agenda. No public comment will be taken. Commissioners should consider the city’s work plan when considering new items.

Senior Recreation Supervisor Brian Sousa provided the presentation.

12. COMMUNITY RESOURCES DIRECTOR REPORT
Senior Recreation Supervisor Brian Sousa provided the presentation.

13. ADJOURNMENT
The meeting was adjourned at 10:25.

Power BI Desktop
Total Parking Meter Revenue
$0.0M
$0.2M
$0.4M
$0.6M
January February March April May June July August September October November December January February Qtr 1 Qtr 2 Qtr 3 Qtr 4 Qtr 1
2025 2026
$360,901 $342,457
$421,150 $411,743
$474,356
$576,958
$657,873
$623,067
$462,681
$404,907 $425,249
$315,836
$549,972
$515,630
$0.29M $0.28M $0.33M $0.33M $0.38M
$0.46M $0.50M $0.45M
$0.33M $0.29M $0.31M
$0.22M
$0.39M $0.35M
$0.06M $0.05M
$0.06M
$0.08M
$0.12M
$0.14M
$0.11M
$0.09M $0.10M
$0.09M
$0.13M
$0.14M
IPS Coin Revenue IPS Credit Card Revenue ParkMobile Revenue Citywide Percentage of Coin Revenue
0%
5%
Qtr 1 Qtr 2 Qtr 3 Qtr 4 Qtr 1
2025 2026

6.51% 6.48% 5.57% 4.73% 4.10%
ParkMobile Transaction Fees
$.25 Transaction Fee Paid by Customer
$2K
$4K
$6K
$8K
Jul 2023 Jan 2024 Jul 2024 Jan 2025 Jul 2025 Jan 2026
PM Pilot Launch - Lots A, B, C PM Citywide Meter Launch $2,313
$5,184
$6,420 $2,906 $2,890
$3,264
$4,024 $4,417
$2,362
$4,938 $3,111 $5,126
$4,270
ParkMobile Transaction
Fees
City Cost Savings
$56,617
Parking Revenue Breakdown by Payment Method Month
All


Year
Multiple select…

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Power BI Desktop
P 2026 2026 arking Citation Issuance Tracking
Total Citations Issued
0K
5K
January February March April May June July August September October November December 2026
4,328
3,958
4,379
3,747
5,254
5,401
4,843
4,275
3,446
4,064
3,294 3,202
3735
3362
Previous Year Citations Current Year Citiations
Violation Description
0K 1K 2K

EXPIRED METER

EXPIRED METER SPACE

POSTED NO PARKING
DISPLAY OF PLATES *SEE BACKSIDE

EXP METER YL POST
NO PKG WED 8AM-11AM
NO PKG TUES 8AM-11AM
TIME LIMIT 1 HOUR

NO PARKING ZONE
DISPLAY OF TABS *SEE BACKSIDE
NO PKG MON 8AM-11AM

PKG SPACE MARKINGS

WHEELS TURNED/HILL

RED CURB
NO PKG TUES 8AM-10AM
NO PKG THU 8AM-11AM
1766
965
862
767
300
244
170
162
161
152
149
144
127
124
112
102
Citation Issuance Location
0 500 1,000 1,500

HERMOSA AVE

PIER AVE
LOT A

MANHATTAN AVE

LOT C (STRUCTURE C)
11TH ST
LOT B

VALLEY DR

MONTEREY BLVD
10TH ST
14TH ST
2ND ST
6TH ST
LOT D
8TH ST

LONGFELLOW AVE
1701
824
727
330
310
282
268
184
181
180
103
89 83
83 74
63 Total Citations Issued
7,097
Total Citations Issued -
Trendline
3,200
3,400
3,600
3,800
Previous Year
Comparison
0K 7,097 50K

Power BI Desktop
2/1/2026 
2/28/2026 
Citation Issuance: Locations of Citations
Citations Issued
3,362
Total Citations Issued
0K
2K
4K
February
2026
3,362
Citation Violation Description
0 500
DISPLAY OF PLATES *SEE BACKSIDE

EXPIRED METER

EXPIRED METER SPACE

POSTED NO PARKING

EXP METER YL POST
NO PKG WED 8AM-11AM
NO PKG MON 8AM-11AM
NO PKG TUES 8AM-11AM

NO PARKING ZONE
DISPLAY OF TABS *SEE BACKSIDE

WHEELS TURNED/HILL
NO PKG TUES 8AM-10AM

RED CURB
TIME LIMIT 1 HOUR
NO PKG THU 8AM-11AM

PKG SPACE MARKINGS

RED ZONE
NO PKG THU 8AM-10AM
743
691
447
397
107
107
82 76
65 58
52 50
45 44
43 36
36 33
Violation Description
All


Violation Code
All


Citation Violation Description
© 2026 TPage 878 of 880 omTom, © 2026 Microsoft Corporation Power BI Desktop
Year 
2026 2026
Parking Citation Issuance: Fine Revenue
Total Citation Fine Amounts
$0K
$50K
$100K
$150K
$200K
January February
2026
$196,461
$208,270
$184,652
Total Citations Issued
7,097
Total Fine Amount
$392,922
Total Citations Issued
0K
2K
4K
Jan 01 Feb 01
3669 3301
66 61
Citation Warning
Total Citations Issued by Weekday
0 500 1,000
1 Monday
2 Tuesday
3 Wednesday
4 Thursday
5 Friday
6 Saturday
7 Sunday
1159
1142
1049
800
934
982
1031
Violation Description
All


Violation Code
All



Power BI Desktop Pa 1/1/2026  2/28/2026  rking Permit Issuance Breakdown fffff
Total Permits Issued
0K
1K
2K
January February
2026
98 2582
Total Citations Issued by Permit Type
0K 1K
Vehicle Sticker 2026 2026
Guest Permit 2026 2026
Employee Permit Q1 January-March 2026
Vehicle Sticker 2026
Guest Permit 2026
1337
1228
92 14
9 Monthly Permits Issued by Type
0K
1K
2K
January February
2026
98 2,582
1228
1337
Employee Permit Q1 Janu…
Guest Permit 2026
Guest Permit 2026 2026
Vehicle Sticker 2026
Vehicle Sticker 2026 2026
Total Permits Issued
2,680
Revenue Collected
$158,467
Breakdown of Permit Issuance Type
92 (3.43%)
1228 (45.82%)
14 (0.52%)
1337 (49.89%)
Employee Permit Q1 Janu…
Guest Permit 2026
Guest Permit 2026 2026
Vehicle Sticker 2026
Vehicle Sticker 2026 2026