STUDY SESSION City Council
September 8, 2026
TO: Mayor and City Council
FROM: Jeff Boynton, City Manager
ORIGINATED BY: Manuel Muñoz, Community Development Director SUBJECT: REVIEW OF DISCOUNT STORE ORDINANCE FRAMEWORK
BACKGROUND
The City of La Mirada has experienced an increase in the number and concentration of discount stores within commercial shopping centers. Discount stores are not currently defined as a separate land use classification in the La Mirada Municipal Code (LMMC) and are generally classified under the broader "Retail Sales" category. As a result, these businesses may operate by-right in commercial zones where retail sales are permitted without regulations specifically addressing their concentration, operation, or maintenance.
On December 10, 2024, the City Council adopted Interim Ordinance No. 739-U, establishing a temporary moratorium on the establishment, operation, and expansion of discount stores. The moratorium was intended to provide the City sufficient time to evaluate the potential impacts of these establishments and determine whether permanent land use and operational regulations were warranted.
During in, discussion, the City Council identified several areas of concem for futher • Concentration and Clustering: The increased number of discount stores within individual shopping centers and the potential effect on the overall mix and diversity of commercial uses.
• Healthy Food and Food Access: The importance of ensuring that future regulations do not discourage grocery stores or other retailers that provide access to fresh and healthy food options.
• Definition of Discount Stores: The need to establish clear and objective criteria that distinguish discount stores from traditional retailers, grocery stores, thrift stores, and other specialized retail uses.
• Property and Business Owner Accountability: The need to establish clear responsibilities for business operators and property owners in maintaining code- compliant and well-managed commercial properties.
AGENDA NO. 4.3
Discount Store Ordinance Framework
Study Session Meeting of September 8, 2026
On January 14, 2025, the City Council adopted Interim Ordinance No. 740-U, extending the moratorium for an additional ten months and fifteen days. On November 25, 2025, the City Council approved the second and final extension through Interim Ordinance No. 745-U, extending the moratorium through December 8, 2026 and allowing additional time for staff to complete its evaluation and develop permanent regulations.
Staff has developed a preliminary regulatory framework for a permanent Discount Store Ordinance. The purpose of this Study Session is to present the proposed framework ordinance to the City Council, discuss key policy considerations, and receive direction prior to preparation of a formal Zoning Ordinance Amendment.
FINDINGS
During the moratorium period, staff conducted research to better understand the characteristics, concentration, operation, and maintenance of discount stores within La Mirada and to evaluate regulatory approaches used by other jurisdictions. This effort included a review of existing businesses, field observations, coordination between the Planning Division and Code Enforcement Division, and evaluation of potential standards that could be incorporated into a permanent ordinance.
Discount Store Definition
Staff made minor refinements to the definition originally developed for the interim ordinance to better align the proposed use with the City's existing Retail Sales land use classification. Rather than treating "Discount Store" solely as a business description, the proposed framework would establish "Discount Sales" as a distinct land use classification within the broader Retail Sales category, while continuing to use the term "Discount Store" to describe an individual establishment operating under that classification. The revised definition is as follows:
Discount Sales (Discount Store). A retail sales use consisting of an establishment that offers a broad range of new, outlet, close-out, discontinued, liquidation, overstock, or similar merchandise, primarily at discounted, low, or very low price points. An establishment classified as Discount Sales may also be referred to as a "Discount Store."
Existing Discount Store Inventory
The Planning Division conducted an inventory of existing discount stores to evaluate their location, size, and concentration within commercial shopping centers. Based on the current working definition, staff identified nine establishments ranging in size from approximately 3,690 to 54,900 square feet.
The inventory indicates that discount stores are primarily concentrated along Imperial Highway, where seven of the nine identified establishments are located. The greatest concentration occurs within Green Hills Plaza at the northwest intersection of Imperial Highway and Santa Gertrudes Avenue, with four establishments, followed by Imperial Plaza at the southwest intersection of Imperial Highway and Edwards Road/Meyer 2 Discount Store Ordinance Framework
Study Session Meeting of September 8, 2026
Roard, with two. These existing conditions have assisted staff in evaluating appropriate location and concentration standards for the proposed ordinance.
A summary of the existing discount stores identified by staff, including shopping center, cross streets, business name, business address, opening date and approximate tenant square feet, is provided in Attachment "A" ". A map is included as Attachment "B" Because these businesses were legally established prior to adoption of permanent regulations, staff is evaluating provisions for existing establishments. Under the preliminary framework, existing businesses would be required to comply with applicable operational and maintenance standards and other provisions within an established compliance period. The inventory may be refined as the final Discount Sales definition and applicable exceptions are established.
Research and Field Observations
Planning Division staff first reviewed discount store regulations adopted by other Southern California jurisdictions to identify common regulatory approaches. This research is summarized in Attachment "C" ", which compares discount store regulations in the Cities of Carson, Downey, Norwalk, and Pico Rivera, including land use classifications, definitions, approval requirements, and key development or operational standards.
Based on this research, staff conducted field observations of existing discount stores within La Mirada to better understand conditions not typically addressed through location-based regulations alone. Staff observed issues related to merchandise display, shopping carts, refuse and litter, storefront appearance, and general property maintenance.
These observations and coordination between the Planning and Code Enforcement Divisions helped shape standards addressing both the location and ongoing operation and maintenance of discount stores.
Preliminary Regulatory Framework
The framework is intended to maintain Discount Sales as an allowable retail use while establishing standards addressing concentration, daily operations, property maintenance, and accountability.
Section 1 - Purpose and Intent
Establish the overall purpose of the ordinance, including promoting a diverse and balanced commercial environment, limiting overconcentration, maintaining the appearance and vitality of commercial centers, minimizing impacts on surrounding properties, and protecting public health, safety, and welfare.
Section 2 - Definitions
Establish "Discount Sales" as a distinct retail land use classification and define related terms, including "Discount Store", "Shopping Centers, and other terms. 3 Discount Store Ordinance Framework
Study Session Meeting of September 8, 2026
Section 3 - Review and Approval Process
Allow Discount Sales establishments by-right in commercial zones where Retail Sales are permitted, subject to approval of a zoning clearance and submission of required information such as an operational statement, site plan, and floor plan.
Section 4 - Location and Concentration Requirements
Limit the number of Discount Sales establishments to a maximum of three within a shopping center, regardless of whether the businesses are located on separate parcels or under different ownership within the same center.
Section 5 - Operation Standards
Establish requirements addressing deliveries and loading, outdoor display and storage, shopping carts, temporary exterior storage, interior storage, merchandise display, table and bulk merchandise displays, organization of merchandise, maintenance of approved floor plan, public safety coordination and letter of agency, promotional activities, crowd management and cleanup, and entrance trash receptacle.
Section 6 - Maintenance Standards
Establish ongoing property maintenance requirements, including litter and debris, trash and recycling, graffiti, lighting, security cameras, windows and storefronts, landscaping, abandoned and obsolete signs, and overall code compliance.
Section 7 - Exceptions
Provide an exception from the three-store concentration limit for food-oriented discount stores that devote at least 75 percent of their merchandise display area to food and beverage products, in order to support access to affordable food options within the community.
Section 8 - Existing Discount Stores
Establish a compliance process for existing establishments, including City review, written notice of outstanding requirements, a corrective-action timeline, and a one-year compliance period for applicable operational and maintenance standards.
Section 9 - Enforcement
Apply the City's existing Zoning Ordinance enforcement, abatement, penalty, and cost- recovery procedures to violations of the proposed Discount Sales regulations.
The preliminary framework is intended to provide clear and consistent standards for both new and existing discount store establishments while maintaining an administrative, by-right approval process for businesses that comply with the applicable requirements.
4 Discount Store Ordinance Framework
Study Session Meeting of September 8, 2026
Next Steps
Following the Study Session, staff will incorporate City Council direction and finalize the proposed Zoning Ordinance Amendment with the City Attorney. The anticipated schedule is:
Public Hearing Schedule
Date Meeting
September 17, 2026 Planning Commission
October 13, 2026 City Council - 1st Reading
October 27, 2026 City Council - 2nd Reading
The proposed Zoning Ordinance Amendment would then proceed through the required public review process, including consideration by the Planning Commission at a duly noticed public hearing. The Planning Commission would provide a recommendation to the City Council, after which the City Council would introduce and consider the proposed ordinance at a separate noticed public hearing.
Following introduction, the ordinance would return for second reading and adoption at a subsequent meeting and would generally become effective 30 days following adoption.
This process would establish regulations for discount stores prior to the expiration of the existing moratorium.
RECOMMENDED ACTION
It is recommended the City Council review and discuss the preliminary framework for the proposed Discount Store Ordinance and provide direction to staff regarding the development of permanent regulations applicable to discount stores. 5 Attachment "A"
La Mirada Discount Stores Table
Discount Stores in La Mirada
Shopping Center Cross Streets Business Name Business Address Opening Date Approximate Tenant SF Telegraph & Leffingwell Telegraph Rd. - Leffingwell Score More Outlet 14540 Leffingwell Rd. 10/2/2024 18,300 Shopping Center Rd.
Imperial Plaza West Imperial Hwy. - Deal Hunterz 13910 Imperial Hwy. 4/3/2025 5,732 Edwards Rd.
Dollar Tree 13936 Imperial Hwy. 10/4/2013 7,550
Northgate Center West Imperial Hwy/Valley 97 Cent Plus 12719 Valley View Ave. 9/3/2015 3,690 View Ave.
Green Hills Plaza East Imperial Hwy - Santa Dollar Tree 15723 Imperial Hwy. 3/1/2019 9,618 Gertrudes Are.
Five Below 15743 Imperial Hwy. 7/23/2024 10,070
Ross Dress for Less 15745 Imperial Hwy. #A 9/18/2017 30,000 Grocery Outlet 15745 Imperial Hwy. #B 2/12/2018 30,000
Marshalls Center East Imperial Hwy - Santa Marshalls 15906 Imperial Hwy. 5/12/1977 54,900 Gertrudes Ave.
Attachment "B"
La Mirada Discount Stores Map
Telegraph & Leffingwell
Shopping Center
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Ross Dress for Less
Dollar Tree Marshalls
Grocery Outlet
Attachment "C"
Area Discount Store Regulations
City Land Use Definition By-Right or CUP Key Regulation Downey Single Price Retail store that sells individual items generally obtained Current Moratorium Overstock/Disc through outlet, close- out, discontinued, liquidation, or ount Stores overstock, primarily at a single discount price or in the low (SPODS) and very low-price ranges (e. g., $ 10. 00 or less); Carson Discount Stores Retail establishment that sell a broad range of outlet, By-Right Min. Lot Area: Not permitted less on lots less than 6 acres. close-out, discontinued, liquidation, or overstock and Min Separation: 1/2 miles from each discount store. general merchandise, primarily at single discount price Hours of Operation: 8:00 am to 9:00 pm and/or in the low and very low-price ranges. Parking: 1 stall for 250 SF Norwalk Discount Retail establishments less than 10,000 SF in floor area By-Right Min Lot Area - Existing shopping center with 3 tenants Stores, Small that sell a broad range of outlet, close-out, discontinued, Min Separation - 1 mile from each discount store Format liquidation, or overstock and general merchandise, Hours of Operation - 8:00 am to 9:00 primarily at a single discount price and/or in the low and Maintenance - Dumpsters with four sides with opening very low-price ranges Security - External surveillance cameras with access to Public Safety and LA County Sheriff Department
Illumination - Adequate lighting with lighting plan approved by PSD, CDD and LA County Sherriff Department.
Landscaping - Landscape and irrigation provided
Waste - One solid waste container in front of business
Pico Rivera Discount Stores Retail establishments that sell a broad range of outlet, CUP No additional regulations close-out, discontinued, liquidation, or overstock and
general merchandise, primarily at a single discount price and/or in the low and very low-price ranges.