Agenda packet — Pacifica City Council, April 14, 2025 (part 2 of 2)

outstanding fees (and window modification requirement as discussed above), informed the Applicant that the annual report was upcoming, and encouraged resolution of these items before the report to Planning Commission. The Applicant responded with a written request for a payment plan. On April 20, 2022, staff denied the Applicant’s request for the payment plan, and informed the Applicant the annual report had been scheduled for August 15, 2022 and further encouraged the Applicant to pay the outstanding fees by July 27, 2022 so staff would have time to note satisfaction of the COA in the annual report. No payment for the outstanding fees was made before July 27, 2022.

Condition of Approval No. 20
This condition was initially included in Resolution No. 2019-031 in response to concerns that the Police Chief had regarding the Applicant’s ability to comply with all PMC requirements and conditions of approval imposed on this permit, in particular the lack of completion of the storefront window modifications. The Planning Commission included this condition to require:
i) The Applicant to permit inspection of its cannabis operation by City officials during normal operating hours without advanced notice;
ii) The Applicant to submit quarterly compliance reports to the Chief of Police outlining how the operation is complying with all applicable laws and conditions of approval; and iii) The Applicant to provide a live stream of the Applicant’s video surveillance system which is accessible to the Chief of Police via remote access 24 hours per day.

There have been no compliance issues with the Applicant permitting inspection of its cannabis operation by City officials during normal operating hours without advance notice or providing access to the Applicant’s live stream video surveillance system 24 hours per as day. The Applicant did inform Planning staff that they have not submitted the quarterly compliance reports to the Chief of Police since March 2021.

3. Code Enforcement and Police Calls for Service
In addition to its analysis of the conditions of approval applicable to Cannabis Activity Permit CAP-8-18 (Section 2.B, above), Planning Department staff consulted with the Police Department and Code Enforcement Officer to determine if, pursuant to PMC 9-4.4806(b), violations of Article 48, the security plan or any violations which constitute a nuisance have occurred, which could be a basis for revocation of CAP 8-18. Captain Bill Glasgo found, based on an address search of 450 Dondee Way, Suite 2 of reported calls for service, that there were no calls of concern between September 2020 through July 28, 2022. Calls of concern include illegal activity or activity that can be identified as a nuisance. The City’s Code Enforcement Officer also did not identify any code enforcement complaints related to the subject site.

4. Business License and Tax Filings
Planning Department staff also consulted with the City’s Finance Department to determine if the subject cannabis operation has complied with all recordkeeping requirements of Article 48 including business license and cannabis operation tax obligations. The Finance Department confirmed that Seaweed Holistics, LLC is in good standing with all business license and cannabis operation tax filings.

II. STAFF ANALYSIS

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Packet Pg. 242 Attachment: ATT C. Planning Commission Staff Report_August 15, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Seaweed Holistics Annual Report
August 15, 2022

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As demonstrated in Section 2 of this report, the operator of the cannabis retail operation has maintained a cannabis retail operation that has not caused calls of concern from the Police Department or public nuisance complaints from the Code Enforcement Officer. The cannabis retail operation is in good standing with the state license, business license, and local tax filings. The operator has also complied with several conditions of the cannabis activity permit, however there are notable and continuing non-compliance issues related to COA No. 9, COA No. 18, and COA No. 20. Because of the compliance status of COA No. 9, COA No. 18, and COA No. 20, the operation is also not compliant with COA No. 1, COA No. 5 and COA No. 6.

The City has provided several accommodations to this Applicant to assist with achieving compliance related to COA No. 9 and COA No. 18, including establishment of a payment plan, an agreement to defer conditions, providing additional time to due to personal matters, and scheduling the annual report at the latest meeting opportunity. These accommodations are in addition to the several email reminders and extra guidance that staff has provided the Applicant. Staff has provided this assistance with the intention of helping the Applicant succeed and to be a business-friendly resource. However, the Applicant’s lack of progress on COA Nos 9 and 18 and has left staff with no indication that further extensions for compliance would result in completion of the applicable requirements by the Applicant.

Furthermore, it was the Applicant’s responsibility to submit the quarterly reports to Chief of Police in accordance with COA No. 20
Per PMC sec. 9-4.4806(e) as the result of the noncompliance finding of this annual report, staff may initiate a permit suspension or revocation proceeding against the cannabis operation if, upon completion of an annual review, the business is found to not be in compliance with Article 48 or is operating in a manner which constitutes a public nuisance.

For all the reasons provided in this staff report, staff recommends that the Planning Commission find the operation of the cannabis retail operation at 450 Dondee Way, Suite 2 to not be in compliance with the requirements of Article 48 of Title 9, Chapter 4 of the PMC or the requirements of Planning Commission Resolution Nos. 2019-031 and 2021-001, to find that the cannabis retail operation is operating in a manner which constitutes a public nuisance, and to initiate suspension or revocation proceedings and direct staff to return within 60 days to conduct a public hearing regarding suspension or revocation of CAP 8-18.

III. COMMISSION ACTION
Move to ADOPT the attached resolution to FIND that the annual review of the cannabis retail operation is exempt from the California Environmental Quality Act; to FIND that the operation of the cannabis retail operation at 450 Dondee Way, Suite 2 (APN 022-021-640) authorized by Cannabis Activity Permit CAP-8-18 (File No. 2018-029) is not in compliance with the requirements of Article 48 of Chapter 4 of Title 9 of the PMC or the requirements of Planning Commission Resolution Nos. 2019-031 and 2021-001; and taking other actions pertaining to a public hearing to consider suspension or revocation of CAP-8-18.

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Packet Pg. 243 Attachment: ATT C. Planning Commission Staff Report_August 15, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal)

PLANNING COMMISSION
Staff Report
Scenic Pacifica
Incorporated Nov. 22, 1957
DATE: October 3, 2022 FILE: CAP-8-18
ITEM: 1
PUBLIC NOTICE: Notice of Public Hearing was published in the San Mateo Daily Journal on September 22, 2022 and mailed to approximately 120 surrounding property owners and occupants.

APPLICANT/
OPERATOR:

Ana Leaño Williams
Seaweed Holistics, LLC
450 Dondee Way, Suite 2
Pacifica, CA 94044

PROPERTY
OWNER:

Ronald E. Grindrod Trust
450 Dondee Way, Suite 15
Pacifica, CA 94044
PROJECT LOCATION: 450 Dondee Way, Suite 2 (APN 022-021-640) – Rockaway Beach PROJECT DESCRIPTION:File Nos. 2018-029 and 2020-020 – Consideration of revocation of Cannabis Activity Permit CAP-8-18 which authorizes the operation of a cannabis retail operation, Seaweed Holistics, LLC, for the sale of medicinal and adult use cannabis.

SITE DESIGNATIONS: General Plan/Local Coastal Plan: Commercial Zoning: C-1 (Neighborhood Commercial) / C-Z (Coastal Zone Combining District) / CO-RB (Cannabis Operation, Rockaway Beach Overlay District) Rockaway Beach Specific Plan: Mixed Use
RECOMMENDED CEQA STATUS: Exempt under the “Common Sense” exemption per CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

ADDITIONAL REQUIRED APPROVALS: Subject to appeal to the City Council.

RECOMMENDED ACTION: Adopt the attached Resolution.

PREPARED BY: Bonny O’Connor, AICP, Senior Planner
1 Packet Pg. 48

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Packet Pg. 244 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Revocation of Seaweed Holistic CAP
October 3, 2022

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A. BACKGROUND
On September 16, 2019, the Planning Commission approved Cannabis Activity Permit CAP-8-18 with the adoption of Planning Commission Resolution No. 2019-031 (Attachment B) to establish and operate a Cannabis Retail Operation with adult use and medicinal cannabis sales at 450 Dondee Way, Suite 2 (“Seaweed Holistics”) (File No. 2018-029). Exhibit A to Resolution No. 2019-031 included conditions of the approval (“COAs”) applicable to CAP-8-18. Many of these COAs were required to be met prior to the commencement of operations. While the Applicant made progress towards completion of some of the COAs, the Applicant indicated that two COAs were infeasible to satisfy prior to commencement of operations. The Applicant explained that they had to commence operations to generate revenue through cannabis retail sales to be able to satisfy COA No. 9 and COA No. 18 (Attachment B).

Given the Applicant’s request, the City temporarily deferred compliance with COA No. 9 and COA No. 18 through the Agreement Regarding Deferral of Specified Conditions of Approval Relating to the Operation of Seaweed Holistics (“Agreement”) executed on September 21, 2020 (Attachment C), to allow the Applicant to commence operations to generate the revenue necessary to satisfy COA No. 9 and COA No. 18 provided that the Applicant expeditiously process an application to modify these COAs. On February 16, 2021, the Planning Commission approved Resolution No. 2021-001 which amended COA No. 9 and COA No. 18 of CAP-8-18 to defer the timing of compliance with those conditions until after commencement of operations (File No. 2020-020) (Attachment D).

In accordance with Pacifica Municipal Code (PMC) Section 9-4.4806(e) and COA No. 19, the Planning Commission conducted an annual review of the cannabis retail operation at the August 15, 2022, Planning Commission meeting. After receiving a report prepared by staff and testimony, the Planning Commission found that operation of Seaweed Holistics is being conducted in a manner that is not in compliance the requirements of Article 48 of Title 9, Chapter 4 of the PMC and the requirements of Planning Commission Resolution Nos. 2019-031 and 2021-001 and therefore constitutes a public nuisance in accordance with PMC sec. 9-4.4806 and PMC sec. 9-4.48071. The Planning Commission also directed staff to schedule a public hearing within 60 days2to consider suspension or revocation of Cannabis Activity Permit CAP-8-18 in accordance with PMC sec. 9- 4.4806.

B. DISCUSSION

1. Compliance Status
As presented during the annual report to the Planning Commission on August 15, 2022, staff found that the applicant was out of compliance with COA No. 9 (as amended by Resolution No. 2021-001), COA No. 18 (as amended by Resolution No. 2021-001) and COA No. 20 of Resolution No. 2019-031. Status of each of these conditions are discussed below.
1 Planning Commission Resolution No. 2022-016 (Attachment E) 2 The October 3, 2022 Planning Commission Meeting is the last regularly scheduled Planning Commission meeting that occurs within the prescribed 60 day timeline which ends on October 14, 2022. 1 Packet Pg. 49

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Packet Pg. 245 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Revocation of Seaweed Holistic CAP
October 3, 2022

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Condition of Approval No. 9
This condition was initially included in Resolution No. 2019-031 to bring the existing storefront window into the glazing requirements for the Security Plan standards of PMC sec. 4-16.03(c)(1)(ii), which states, “Windows and window coverings. Storefronts (front facade of the cannabis operation) shall be primarily glass with glass occupying at least forty-five (45%) percent of the entire store front and sixty (60%) percent of the horizontal length of the store. Window and door areas shall not be covered, tinted, or made opaque in any way, or obscured in any way by landscaping, floor displays, equipment, or the like.” Planning Commission’s findings in Resolution No. 2019-031 detail “The first floor of the proposed storefront is 24’ wide and 8‘ high for a total of 192 sf. The first floor of the existing storefront currently has a 10’ by 6’ window and a door with a 2’ by 5’-6” glass panel for a total of 71 sf of glass. Therefore, the existing glass along the first story storefront does not occupy at least 45 percent (86.4 sf minimum) of the storefront nor does the 10’ wide window plus the 2’ wide glass panel door meet the 60 percent of horizontal length of the store (14’-3” minimum). A COA would require modification of the front window to comply with the Security Plan standards of PMC Section 4-16.03(c)(1)(ii).” COA No. 9 initially required the Applicant to modify the storefront window prior to commencement of operations. However, in response to the Applicant’s claims that revenue from the operation of the cannabis operation was necessary to generate the funds for the window modifications, the City worked with the Applicant to establish a mutually agreed upon schedule that would delay the window modifications until after the commencement of operations. The City entered into a deferral agreement with the applicant and the Planning Commission later amended the condition to be consistent with the deferral agreement. The Applicant’s progress on this condition, and the associated milestone deadlines contained in the condition, is detailed in Table 1.

Table 1. Applicant’s Progress with COA No. 9, as revised by Resolution No. 2021-001 Summary of Milestone Deadlines Applicant’s progress
The Applicant shall apply for a building permit within
two weeks of approval of Resolution No. 2021-001
(March 2, 2021) to modify the first-floor storefront to increase the horizontal and overall measurements of
the glass on the first floor storefront to meet or exceed the requirements of PMC sec. 4-16.03(c)(1)(ii).

Applicant submitted building permit application
materials on March 1, 2021. Engineering, Building and
Planning had comments on the submittal, which were
provided to the Applicant by March 29, 2021. The
applicant has not resubmitted a response to the City’s
plan check comments issued in March 2021.

Within three working days of notice from City that
building permit is ready to be issued, the Applicant shall pay all building permit fees.

The City has been unable to provide notice that the
building permit is ready to be issued because the
applicant has not made diligent efforts to process the
building permit application in response to City plan
check comments, as noted above.

Within two weeks of building permit issuance, Applicant shall complete the store front modification and window
installation and request a building final inspection.

Additional time may be granted by Planning Director
due to a special order of materials.

The applicant has not completed a final building permit inspection because the applicant has not obtained the
building permit as required.

On April 26, 2021, the Applicant requested additional time from the City due to a personal loss related to COVID-19. In response, staff did suspend its regular reminders and check-ins to the applicant for 1 Packet Pg. 50

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Packet Pg. 246 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Revocation of Seaweed Holistic CAP
October 3, 2022

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approximately one year, other than an email to update the Applicant on the total of outstanding funds as discussed under COA No. 18, below. Staff was unable to grant additional time to comply with the requirements of this COA because it was enacted by the Planning Commission. Thereafter, staff followed up with the Applicant in March 2022 to remind the Applicant of the outstanding window modification requirement (and outstanding fees as further discussed below), informed the Applicant that the annual report was upcoming, and encouraged resolution of these items before the report to Planning Commission. The Applicant responded stating that they were working with their landlord on next steps. On April 20, 2022, staff informed the Applicant the annual report has been scheduled for August 15, 2022 and further encouraged the Applicant to complete the window modification by July 27, 2022, so staff would have time to note satisfaction of the COA in the annual report. No progress was made on the window modification before July 27, 2022. Since the annual report to the Planning Commission on August 15, 2022, no progress has been made on the window modification. Therefore, the Applicant is not compliant with COA No. 9.

Condition of Approval No. 18
This condition in Resolution No. 2019-031 is standard language that is generally included in all Planning Commission resolutions. The condition required that all outstanding and applicable fees associated with the processing of this project shall be paid within 30 days of the approval of Cannabis Activity Permit CAP-8-18 and that cannabis retail operations shall not commence operation until such fees are paid.

The City’s master fee schedule establishes a time and materials billing system for planning applications.

While staff collects an initial lump sum deposit and requires the Applicant to sign a reimbursement agreement form as part of the application, this standard condition provides an additional layer of authority for the City to collect any outstanding fees or payments prior to the commencement of the project.

The City calculated the outstanding fees associated with the permit to be $4,080.56. On January 31, 2020, the City sent the Applicant a written request for the funds within 30 days consistent with the payment terms in the reimbursement agreement. In February 2020, the Applicant requested to pay the amount in $1,000 monthly installments, which staff agreed to and established a payment plan over the next four months. The first payment was due March 31, 2020, however no payments for the outstanding fees were made.

In June 2020, staff began conversations with the Applicant of the option to enter a deferral agreement.

The Applicant agreed to pay the cost of preparing the deferral agreement and processing the amendments to the conditions of approval. Staff worked with the Applicant to establish a mutually agreed upon payment deadline that would occur after the commencement of operations. The Planning Commission amended the condition to incorporate the deadline as established in the deferral agreement by adopting Resolution No. 2021-001 on February 16, 2021. The revised condition required the permittee to pay all outstanding fees within 60 days of Planning Commission approval of the revised conditions (i.e., April 17, 2021). Staff calculated costs at the time and informed the Applicant of the outstanding fees of to be paid by March 10, 2021. No payment for the outstanding fees was made.

On April 26, 2021, the Applicant requested additional time from the City due to a personal loss related to COVID-19. Staff followed-up again with the Applicant on June 10, 2021 and informed the Applicant that the final invoice for the processing of the amendment was received and updated the final total outstanding costs for the processing of the CAP, preparation and execution of the deferral agreement 1 Packet Pg. 51

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Packet Pg. 247 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Revocation of Seaweed Holistic CAP
October 3, 2022

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and processing the amendments of the CAP to $25,952.893. The City received no response from the Applicant. Staff followed up with the Applicant again in March 2022 to remind the Applicant of the outstanding fees (and window modification requirement as discussed above), informed the Applicant that the annual report was upcoming, and encouraged resolution of these items before the report to Planning Commission. The Applicant responded with a written request for a payment plan. On April 20, 2022, staff denied the Applicant’s request for the payment plan, and informed the Applicant the annual report had been scheduled for August 15, 2022 and further encouraged the Applicant to pay the outstanding fees by July 27, 2022, so staff would have time to note satisfaction of the COA in the annual report. No payment for the outstanding fees was made before July 27, 2022. Since the annual report to the Planning Commission on August 15, 2022, no progress has been made on the outstanding fees before publication of this report. Therefore, the Applicant is not compliant with COA No. 18.

At the time of the annual review on August 15, 2022, it was presented that the Applicant did inform Planning staff that they have not submitted the quarterly compliance reports to the Chief of Police since March 2021. Since that time, the applicant has submitted the missing reports and Police staff have found the reports adequate. At the time of the writing of this report the applicant is now considered to be in compliance with this condition of approval. The next quarterly report is due September 30, 2022, which is after the publication deadline for this report and prior to the hearing.

Because staff finds that the operation remains out of compliance with COA No. 9 and COA No. 18, staff also finds that the operation is also not compliant with COA No. 1 (requiring development to be substantially in accordance with approved plans modified by the conditions of approval), COA No. 5 (requiring compliance with all conditions of approval and all standards and regulations in Article 48 and applicable state laws) and COA No. 6 (requiring the operation to refrain from creating a public nuisance) as further detailed in the August 15, 2022 annual report to the Planning Commission (Attachment F). 3 This amount is the sum of the outstanding $4,080.56 for the original processing of CAP-8-18 and the outstanding $21,872.33 for the processing of the deferral agreement and the amendment to CAP-8-18. 1 Packet Pg. 52

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Packet Pg. 248 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) PC Staff Report
Revocation of Seaweed Holistic CAP
October 3, 2022

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2. Criteria for Suspension or Revocation
In accordance with PMC sec. 9-4.4806, the Planning Commission may suspend or revoke a Cannabis Activity Permit if any of the following are found to apply:
(i) If any of the conditions or terms of such permit are violated4; (ii) If any law is violated in connection there with5;
(iii) If it appears to the Commission that the cannabis operation has violated any of the requirements of Article 48;
(iv) If the cannabis operation is being operated in a manner which violates the operational requirements or security plan required by the Code;
(v) If the cannabis operation is being operated in a manner which constitutes a nuisance; (vi) If the cannabis operation has ceased to operate for thirty (30) days or more; or (vii)If the cannabis operation is being operated in a manner which conflicts with or violates state cannabis law.

The Planning Commission found in Resolution No. 2022-016 (Attachment E), that Cannabis Activity Permit CAP-8-18 was in violation of conditions of the permit [Criterion (i)], that the cannabis retail operation is being conducted in a manner that is not in full compliance with the requirements of Article 48 of Title 9, Chapter 4 of the PMC [Criteria (ii) and (iii)]and that the cannabis retail operation is being operated in a manner which constitutes a nuisance [Criterion (v)]. Staff finds that the Compliance Status updates noted in the Section A.1 of this staff report does not change the non-compliant finding the Planning Commission made during the annual review process when it adopted Resolution No. 2022-016 on August 15, 2022. Therefore, staff has identified at least four criteria that justify suspension or revocation of Cannabis Activity Permit CAP-8-18 pursuant to PMC sec. 9-4.4806.

C. STAFF ANALYSIS
As detailed in this staff report, the Applicant’s cannabis retail operation has notable and continuing areas of non-compliance with COA No. 9 and COA No. 18. Because of the compliance status of COA No. 9 and COA No. 18, the operation is also not compliant with COA No. 1, COA No. 5 and COA No. 6.

As discussed above, PMC sec. 9-4.4806 provides that the Planning Commission may suspend or revoke a Cannabis Activity Permit. Although there is no specific requirements regarding when a suspension should be utilized rather than revocation, generally suspensions are used when a suspension is likely to allow the applicant time to achieve compliance in a particular case. In this case, the City has provided several accommodations to this Applicant to assist with achieving compliance related to COA No. 9 and COA No. 18 and the Applicant remains non-complaint. Some of these accommodations include establishment of a payment plan, an agreement to defer conditions, providing additional time due to personal matters, and scheduling the annual report at the latest meeting opportunity to confirm compliance status. These accommodations are in addition to the several email reminders and extra guidance that staff has provided the Applicant. Staff has provided this assistance with the intention of helping the Applicant succeed and to be a business-friendly resource. However, the Applicant’s lack of progress on COA Nos. 9 and 18 and has left staff with no indication that further extensions for compliance, such as a temporary suspension of their permit would result in completion of the applicable 4 As detailed in PMC sec. 9-4.3309(a) per PMC sec. 9-4.4806(a). 5 ibid.
1 Packet Pg. 53

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Revocation of Seaweed Holistic CAP
October 3, 2022

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requirements by the Applicant.

For all the reasons provided in this staff report, staff recommends that the Planning Commission revoke CAP-8-18 to be effective immediately upon final determination of this action (i.e., expiration of the 10- day City Council appeal period). Revocation of CAP-8-18 would remove the Applicant’s ability to operate, engage in, conduct or carry out any cannabis operation at 450 Dondee Way, Suite 2, and prevent the Applicant from dispensing, selling, and/or delivering cannabis and/or cannabis products.

Staff notes that the Applicant’s Cannabis Public Safety License (CPSL) is set to expire on October 16, 2022 and actions that the Application must take before their CPSL expires includes payment of $23,577 for the Cannabis Public Safety License yearly license renewal fee.

D. COMMISSION ACTION
Move to ADOPT the attached resolution to FIND that action is exempt from the California Environmental Quality Act; REVOKE Cannabis Activity Permit CAP-8-18 (File Nos. 2018-029 and 2020- 020) associated with the cannabis retail operation at 450 Dondee Way, Suite 2 (APN 022-021-640); and, incorporate all maps and testimony into the record by reference.

ATTACHMENT LIST:

Attachment A - Draft Resolution (DOCX)
Attachment B - Planning Commission Resolution No. 2019-031 (PDF) Attachment C - Agreement Regarding Deferral of Specified Conditions (PDF) Attachment D - Planning Commission Resolution No. 2021-001 (PDF) Attachment E - Planning Commission Resolution No. 2022-016 (PDF) Attachment F - Planning Commission agenda packet, August 15, 2022 (PDF) 1 Packet Pg. 54

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Packet Pg. 250 Attachment: ATT D. Planning Commission Staff Report_October 3, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal)

CITY OF PACIFICA

COUNCIL AGENDA SUMMARY REPORT
11/14/2022
1 SUBJECT:

Council call-up and consideration of an appeal of the Planning Commission’s revocation of Cannabis Activity Permit CAP-8-18 which authorizes the operation of a cannabis retail operation known as Seaweed Holistics, LLC at 450 Dondee Way, Suite 2 (APN 022-021-640), for the sale of medicinal and adult use cannabis.

RECOMMENDED ACTION:

Move to adopt the attached Resolution to DENY the appeal and UPHOLD the Planning Commission’s revocation of Cannabis Activity Permit CAP-8-18 (File Nos. 2018-029 and 2020- 020), which authorizes operation of a cannabis retail operation known as Seaweed Holistics at 450 Dondee Way, Suite 2 (APN 022-021-640), and finding the project exempt from the California Environmental Quality Act (CEQA) by adopting the resolution included as Attachment A.

STAFF CONTACT:

Bonny O’Connor, AICP, Senior Planner
(650) 738-7341
[email protected]
BACKGROUND:

The City of Pacifica’s “Cannabis Regulations” are contained in Article 48 of Chapter 4 of Title 9 of the
Pacifica Municipal Code (PMC)1. The Cannabis Public Safety License (CPSL) requirements are contained in Chapter 16 of Title 4 of the PMC.2 As the City processed applications for cannabis retail operations, all operators have been required to comply with the standards set forth in those Cannabis Regulations.

A. INITIAL APPROVAL OF CAP-8-18
On September 16, 2019, the Planning Commission approved Cannabis Activity Permit CAP-8- 18 with the adoption of Planning Commission Resolution No. 2019-031 (Attachment B) to authorize Seaweed Holistics, LLC (“Permittee”) to establish and operate a Cannabis Retail Operation (“CRO”) with adult use and medicinal cannabis sales at 450 Dondee Way, Suite 2 (File No. 2018-029). Exhibit A to Resolution No. 2019-031 included conditions of the approval (“COAs”) applicable to CAP-8-18. Many of these COAs were required to be met prior to the commencement of operations. The Permittee did not contest or appeal any of the COAs imposed as part of CAP-8-18.
1 City of Pacifica Cannabis Regulations:
https://library.municode.com/ca/pacifica/codes/code_of_ordinances?nodeId=TIT9PLZO_CH4ZO_ART48CARE 2 City of Pacifica Cannabis Public Safety License Requirements:
https://library.municode.com/ca/pacifica/codes/code_of_ordinances?nodeId=TIT4PUSA_CH16CAPUSALI 10 Packet Pg. 163

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While the Permittee made progress towards completion of some of the COAs, the Permittee indicated that two COAs were infeasible to satisfy prior to commencement of operations. Those two COAs primarily at issue are the following:
• COA No. 9 - “Prior to commencement of operations, the Permittee shall obtain a building permit to modify the first floor storefront to increase the horizontal and overall measurements of the glass on the first floor storefront to meet or exceed the requirements of PMC Section 4-16.03(c)(1)(ii), to the satisfaction of the Planning Director. New windows or doors proposed on the storefront shall be architectural compatible with the remainder of the building, to the satisfaction of the Planning Director.”
• COA No. 18 - “All outstanding and applicable fees associated with the processing of this project shall be paid within 30 days of the approval of Cannabis Use Permit CAP-8-18.

The Cannabis Retail Operation shall not commence operations until such fees are paid.” The Permittee explained that they had to commence operations in order to generate revenue through cannabis retail sales to be able to satisfy COA No. 9 (requirement to implement storefront window modification to meet Pacifica Municipal Code (“PMC”) sec. 4-16.03(c)(1)(ii)) and COA No. 18 (payment of outstanding fees) and requested that those COAs be modified to allow commencement of operations before compliance with COA No. 9 and COA No. 18.

B. DEFERRAL AGREEMENT AND AMENDMENT TO CAP-8-18
Given the Permittee’s request, the City temporarily deferred compliance with COA No. 9 and COA No. 18 through the Agreement Regarding Deferral of Specified Conditions of Approval Relating to the Operation of Seaweed Holistics (“Deferral Agreement”) executed on September 21, 2020 (Attachment C), to allow the Permittee to commence operations to generate the revenue necessary to satisfy COA No. 9 and COA No. 18 provided that the Permittee expeditiously process an application to modify these COAs. The Agreement also provided that the Permittee was responsible for paying for City costs associated with preparing and processing the Deferral Agreement and modifying the COAs. The Permittee agreed to the terms of the Deferral Agreement.

On February 16, 2021, the Planning Commission approved Resolution No. 2021-001 which amended COA No. 9 and COA No. 18 of CAP-8-18 to defer the timing of compliance with those conditions until after commencement of operations (File No. 2020-020), consistent with the aforementioned Deferral Agreement (Attachment D).

C. ANNUAL REPORT TO PLANNING COMMISSION
In accordance with PMC Sec 9-4.4806(e) and COA No. 19 of Resolution No. 2019-031 (Attachment B), the Planning Commission conducted an annual review of the CRO at its meeting on August 15, 2022. As part of the annual review, staff reported that the Permittee was still not in compliance with COA No. 9 and No. 18. Additionally, because the Permittee had not complied with the COAs imposed by the Planning Commission, the Permittee was also out of compliance with PMC sec. 9-4.4803(d)(5) and Conditions of Approval No. 1, No. 5, and No. 6, which are summarized as follows:
• COA No. 1 - This condition requires the development to be substantially in accordance with the approved plans modified by the conditions of approval. As further discussed below for COA No. 9, the Permittee has not complied with COA No. 9 which requires the modification of the storefront window. Therefore, the development is out of compliance 10 Packet Pg. 164

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Packet Pg. 252 Attachment: ATT E. City Council Staff Report_November 14, 2022 (5902 : Revocation of Seaweed Holistics LLC Appeal) Pacifica City Council 3
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COA No. 1.
• COA No. 5 - This condition incorporates all the requirements of Article 48 of Chapter 4 of Title 9 of the PMC applicable to the cannabis retail operation. PMC Section 9-

4.4803(d)(5) states, “The Planning Commission may impose additional conditions which it deems necessary to ensure that operation of the cannabis operation will be in accordance with the findings provided in Section 9-4.4805(a) and with the standards and regulations provided in this article and applicable state laws.” As further discussed below for COA No. 9, and No. 18, the Permittee has not complied with these conditions imposed by the Planning Commission and therefore is out of compliance with PMC Section 9-4.4803(d)(5) and, therefore, COA No. 5.
• COA No. 6 - This condition prohibits the operation of the cannabis retail operation from creating a public nuisance. As established in PMC sec 9-4.4807, “[a]ny use or condition caused or permitted to exist in violation of any provision of this article shall be and hereby is declared a public nuisance and may be summarily abated by the City pursuant to Code of Civil Procedure, section 731 or any other remedy available to the City.” The cannabis retail operation is in violation of provision of Article 48 as demonstrated in this annual report because there are Conditions of Approval that have not been complied with and, as a result, the cannabis retail operation is considered a public nuisance, as defined in the PMC. Therefore, the Permittee is not in compliance with COA No. 6.

After receiving a report prepared by staff and testimony, the Planning Commission adopted Resolution No. 2022-016, finding that operation of Seaweed Holistics is being conducted in a manner that is not in compliance the requirements of Article 48 of Title 9, Chapter 4 of the PMC and the requirements of Planning Commission Resolution Nos. 2019-031 and 2021-001 and therefore constitutes a public nuisance in accordance with PMC sec. 9-4.4806 and PMC sec. 9-

4.4807 (Attachment E). The Planning Commission also directed staff to schedule a public hearing within 60 days to consider suspension or revocation of Cannabis Activity Permit CAP-8- 18 in accordance with PMC sec. 9-4.4806. The Planning Commission staff report for August 15, 2022, is included in this staff report as Attachment F3.

D. PLANNING COMMISSION CONSIDERATION OF REVOCATION OR SUSPENSION During the Planning Commission’s regular meeting on October 3, 2022, the Planning Commission reviewed the compliance status of the operation of Seaweed Holistics and considered the criteria for suspension or revocation pursuant to PMC sec. 9-4.4806.

PMC sec. 9-4.4806 provides that the Planning Commission may suspend or revoke a Cannabis Activity Permit. Although there are no specific requirements regarding when a suspension should be utilized rather than revocation, staff explained to the Planning Commission that generally suspensions are used when a suspension is likely to allow the permittee time to achieve compliance in a particular case.

Ultimately, a majority of the Planning Commission supported revocation rather than suspension.

The Planning Commission adopted Resolution No. 2022-021, finding the cannabis retail operation authorized by CAP-8-18 was out of compliance with COA No. 9 (requirement to implement storefront window modification) and COA No. 18 (payment of outstanding fees), as well as COA No. 1 (requiring development to be substantially in accordance with approved plans modified by the conditions of approval), COA No. 5 (requiring compliance with all 3 A recording of the August 15, 2022 Planning Commission Meeting is available online here:
https://youtu.be/fI5mI-4fv0Q?t=704
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conditions of approval and all standards), and COA No. 6 (prohibits the operation of the CRO from creating a public nuisance) and approved revocation of Cannabis Activity Permit CAP-8-18 by a vote of 3 to 2 with two absences (Attachment G). The Planning Commission staff report for October 3, 2022, is included as Attachment H 4.

DISCUSSION:

A. CITY COUNCIL CALL-UP
On October 10, 2022, the City Clerk received a written request from Councilmember O’Neill to call up the Planning Commission’s action on the subject item for City Council review pursuant to PMC sec. 2-1.105, which does not require a Councilmember to cite the basis for the call-up.

B. APPEAL BY ANA LEAÑO-WILLIAMS OF SEAWEED HOLISTICS
On October 13, Ana Leaño-Williams of Seaweed Holistics (hereafter “Appellant”) timely submitted a City of Pacifica Appeal form and applicable fee to the City Clerk’s office to appeal the Planning Commission’s revocation of the CAP for the Project (Attachment I). The Appellant cited two reasons for the appeal in the appeal form, which are summarized and addressed below.

Basis 1. “[D]ecision to revoke the Cannabis Activity Permit was based on a misapplication of the City’s storefront window glazing ordinance/requirements.

The project’s existing window glazing is compliant with the ordinance.” Staff Response: Staff disagrees with this basis. PMC Section 4-16.03(c)(1)(ii) details a quantitative standard CPSL condition for cannabis operations, which states, “Windows and window coverings. Storefronts (front facade of the cannabis operation) shall be primarily glass with glass occupying at least forty-five (45%) percent of the entire store front and sixty (60%) percent of the horizontal length of the store. Window and door areas shall not be covered, tinted, or made opaque in any way, or obscured in any way by landscaping, floor displays, equipment, or the like.” This window provision of the CPSL is a provision that was included in the initial adoption of the CPSL ordinance in 2017 5. This requirement was included in the Conditions of Operation for requirements for cannabis operations to address the Police Department’s concerns at the time that CROs are largely a cash-based business and are a high potential target for robbery. The window provisions ensure a consistent means of visibility into a CRO from the front exterior. This provision was also in effect when the Appellant submitted an application for a CAP for this commercial space in 2018.

In the September 16, 2019 Planning Commission staff report for the initial consideration of the approval of CAP-8-18, the storefront elevation was analyzed based on the Appellant’s provided project plans and dimensions (see Figure 1).
4 A recording of the October 3, 2022 Planning Commission Meeting is available online here:
https://youtu.be/5tAlcBy_Vo8?t=499
5 City of Pacifica Ordinance No. 818-C.S., adopted July 2017. Initially adopted with the title “Marijuana Public Safety Licenses”, which was subsequently changed to “Cannabis Public Safety Licenses” in City of Pacifica Ordinance No. 843-C.S., adopted in May 2019.
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Figure 1. Excerpt of Attachment C – Project Plans from the September 16, 2019 Planning Commission Staff Report
Staff identified that the existing windows along the front facade did not meet the window requirements of PMC sec. 4-16.03(c)(1)(ii). Furthermore, staff’s recommended findings for approval of CAP-8-18 identified the use of the second floor as only for employee access and therefore recommended that the second-story portion of the front elevation not be calculated as part of the storefront for the purposes of calculating the window requirements of PMC sec. 4-

16.03(c)(1)(ii). While “storefront” is not defined in the PMC, staff recognized a reasonable interpretation of storefront to include only the retail space along the front facade as “office” or “employee only” space is not typically located along the storefront. Staff also recognized that this interpretation would be beneficial to the Appellant as it would reduce the scale of window modifications that would be necessary to meet PMC sec. 4-16.03(c)(1)(ii).

The recommended Planning Commission findings for Resolution No. 2019-031 found that the existing windows along the first floor of the storefront did not meet PMC sec. 4-16.03(c)(1)(ii).

However, with the inclusion of COA No. 9, which required modification of the front window to comply with PMC Section 4-16.03(c)(1)(ii), staff recommended approval of the CAP-8-18 6. The 6 Planning Commission’s findings in Resolution No. 2019-031 (Attachment B) state: “The first floor of the proposed storefront is 24’ wide and 8‘ high for a total of 192 sf. The first floor of the existing storefront currently has a 10’ by 6’ window and a door with a 2’ by 5’-6” glass panel for a total of 71 sf of glass. Therefore, the existing glass along the first story storefront does not occupy at least 45 percent (86.4 sf minimum) of the storefront nor does the 10’ wide window plus the 2’ wide glass panel door meet the 60 percent of horizontal length of the store (14’-3” minimum). A COA would require modification of the front window to comply with the Security Plan standards of PMC Section 4-16.03(c)(1)(ii).”
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Planning Commission adopted the staff’s recommended findings in Resolution No. 2019-031.

No appeal was filed to challenge this action.

During execution of the Deferral Agreement to defer COA No. 9 and the processing of the amendment of CAP-8-18 to incorporate the deferral amendments to COA No. 9 (File No. 2020- 020, Resolution No. 2021-001), the Appellant did not present any position that there was a misapplication of the City’s storefront window glazing ordinance or requirements and no timely appeal was filed on Planning Commission’s action.

Since no window modifications have been made to the first-story storefront, staff and the Planning Commission 7finds that Seaweed Holistics storefront remains out of compliance with PMC sec. 4-16.03(c)(1)(ii) and with COA No. 9 as revised by Resolution No. 2021-001, which sets a schedule to defer the installation of the window modification after commencement of operation of the CRO in accordance with the Deferral Agreement. Table 1 in Attachment H details the Appellant’s progress with this condition.

Finally, the Appellant did not provide additional details supporting their claim that the project’s existing window glazing is compliant with the ordinance in their appeal materials. However, as part of the Appellant’s presentation to Planning Commission at the October 3, 2022 public hearing, the Appellant claimed that the City miscalculated the storefront area. The Appellant’s presentation suggested that a portion of the first-story storefront should not be counted as storefront because the stairs that lead to the second floor are not a part of the customer area.

Additionally, the Appellant claimed that the width of the perpendicular walls against the front façade should also be removed from the storefront area calculation. Staff would not be supportive of this new and different interpretation of the calculation of the “storefront” area for the following reasons:

1. Based on August 1, 2022 staff site visit, staff understands that there is an ATM for customer use in front of the stairs as well as an area at the stairway landing that is accessible to customers. Therefore, the claim that first-story storefront area in front of the stairs is an employee only area is not accurate as it may be accessed by customers who wish to use the ATM.

2. The reduction of the storefront based on perpendicular wall area is also not consistent with the Code nor is it consistent with the plain meaning of the words in the Code. PMC sec. 4-16.03(c)(1)(ii) clarifies the term “Storefronts” by including in parenthesis “front facade of the cannabis operation”; therefore it is appropriate to use measurements from the exterior side of the wall which is considered the front façade rather than the interior area along the storefront. Furthermore, The City has not reduced the storefront area in any CAP application instance due to wall width as the front. Additionally, based on the figures provided by the Appellant the northern wall width is not counted as part of the current storefront as that wall continues past the storefront as part of the project perpendicular wall.

3. The interpretation that was suggested by the Appellant is not consistent with the manner that staff interpreted the requirement for other cannabis operations. Other cannabis operations have made modifications to their storefront to meet this requirement in the manner interpreted by staff. Furthermore, the only other two-story cannabis retailer (403 Dondee) has included areas where stairs/elevators occur along their front elevation as part of their storefront even though the second story is non-customer area as well as included the second story of the front elevation as “storefront.” For all the reasons provided above, staff recommends that the Council deny this basis of the appeal.
7 See Planning Commission Resolution Nos. 2022-016 and 2022-021 (Attachments E and G, respectively) 10 Packet Pg. 168

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Basis 2. “Disputes the $25,962.89 in assessed fees largely and inappropriately incurred by the City to address the window glazing non-issue” Staff Response: As discussed above, Seaweed Holistics storefront remains out of compliance with PMC sec. 4-16.03(c)(1)(ii) and with COA No. 9 as revised by Resolution No. 2021-001.

Additionally, as further discussed below, the outstanding fees are not associated with the “window glazing non-issue,” but are associated with the City’s cost processing the Appellant’s CAP-8-18. As the Appellant was made aware of the requirement to pay for all costs associated with processing its CAP application and agreed to such by signing an Agreement for Reimbursement of City Costs (“Reimbursement Agreement”) as part of her initial application submittal. Because the City operates on a deposit system, an initial deposit is required with the submittal of an application, in this case $10,000 was provided and staff, including legal counsel, against which the actual costs to cover the time and expenses associated with processing the application are billed. By signing the Application 8 and the Reimbursement Agreement, the Appellant understood that the initial deposit may not be sufficient to cover the City’s costs processing the application and agreed to make one or more additional deposits within 30 days of being notified that additional funds are required. Additionally, staff included COA No. 18 in Resolution No. 2019-031 (Attachment B), which is a standard condition of approval for all development permits, to require the Appellant to pay all outstanding fees associated with the processing of the project within 30 days of the approval of the permit and prior to commencement of operation.

In January 2020, the City sent the Appellant a letter to inform her that City costs to process CAP-8-18 had exceeded the initial deposit and that an additional $4,080.56 was requested. At the Appellant’s request, staff began working on the Deferral Agreement to defer COA No. 9 and COA No. 18. As captured in the Deferral Agreement, the Appellant had indicated that she needed to commence operation of the cannabis retail to generate revenue to satisfy COA No.

18. The Appellant voluntarily entered the Deferral Agreement, which in addition to establishing a payment deadline for outstanding fees until after commencement of operation, included a provision that the Appellant would pay the outstanding $4,080.56, as well as, “all costs, including but not limited to, staff time, administrative costs, legal fees and any other cost incurred by the City (“City Costs”) associated with preparing this Agreement and all City Costs and associated fees relating to the Planning Commission hearing to consider the Application for Amendments and appeal(s) of the Planning Commission decision, if any.” The Planning Commission adopted Resolution No. 2021-001 on February 16, 2021 to incorporate the deferral amendments to COA No. 18. The revised condition required the Appellant to pay all outstanding fees within 60 days of Planning Commission approval of the revised conditions (i.e., April 17, 2021). By March 10, 2021 staff calculated costs known at the time and informed the Appellant of the outstanding fees. No payment for the outstanding fees was made. On June 10, 2021 the City provided written notice to the Appellant that the final invoices for the processing of the amendment were received and the final total outstanding costs for the processing of the CAP, preparation and execution of the Deferral Agreement, and processing the amendments of the CAP was $25,952.899. This amount remains outstanding.

For all the reasons provided above, staff recommends that the Council deny this basis of the 8 Subsection B of Section II. Acknowledgement and Agreement by Applicant and Owner of the signed Marijuana Use Permit Application (subsequently retitled Cannabis Activity Permit) states, in summary, that the undersigned agrees to pay any and all City costs incurred in connection with the application, enter into a reimbursement agreement with the City for the payment of such fees, and satisfy requests for further deposit of funds within 30 days of a City request.
9 This amount is the sum of the outstanding $4,080.56 for the original processing of CAP-8-18 and the outstanding $21,872.33 for the processing of the Deferral Agreement and the amendment to CAP-8-18. 10 Packet Pg. 169

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appeal.

C. CITY COUNCIL’S ROLE
Pursuant to PMC Section 2-1.105 and PMC Section 9-4.3208, the Council may approve, deny or modify the Planning Commission’s decision on Cannabis Activity Permit CAP-8-18, after considering the call-up and appeal. With respect to the appeal specifically, the City Council may also refer the matter back to the Planning Commission pursuant to PMC Section 9-4.3208(b)(2).

In the event that the Council determines that there is substantial evidence in the record to support the Planning Commission’s revocation of the Cannabis Activity Permit CAP-8-18, the Council should deny the appeal by adopting the attached Resolution.

If the Council decides to modify Planning Commission’s action to a suspension, the Council should provide staff with conditions and criteria for the suspension which would be inserted into a Resolution upholding the appeal, and modifying the decision of the Planning Commission to reflect a suspension, which would be brought back to Council at a later date. In the event that the Council decides to uphold the appeal and deny the revocation, Council will need to provide staff with the basis for those findings that are supported by substantial evidence which would be inserted into a Resolution upholding the appeal by staff and brought back to Council at a later date.

D. STAFF SUMMARY
As detailed in this staff report, the claims of the Appellant’s appeal are unfounded and inaccurate. The Appellant has been aware of her requirement to bring her storefront window into compliance with PMC sec. 4-16.03(c)(1)(ii) and her requirements to pay all outstanding fees to the City since at least the initial approval of CAP-8-18 on September 16, 2019. These appeal claims are untimely efforts by the Appellant to delay or avoid the responsibilities that are codified in the Pacifica Municipal Code for cannabis retail operations and which the Appellant has agreed to and that have been consistently applied to all other cannabis retail operators. The City has provided the Appellant more than generous support, accommodations, and time to address these continuing compliance issues, without receiving any notable response from the Appellant. Some of these accommodations include establishment of a payment plan, an agreement to defer conditions, providing additional time due to personal matters, and scheduling the annual report at the latest meeting opportunity to confirm compliance status.

These accommodations are in addition to the several email reminders and extra guidance that staff has provided the Appellant. Staff has provided this assistance with the intention of helping the Appellant succeed and to be a business-friendly resource.

Despite these significant efforts by staff, the Appellant has failed to satisfy COA Nos. 9 and 18 and is therefore also not in compliance with COA Nos. 1, 5 and 6. The Planning Commission agreed with staff that the Appellant’s lack of progress on COA Nos. 9 and 18 has provided no indication that further extensions for compliance through a temporary suspension of their permit would result in completion of the applicable requirements by the Appellant.

For all the reasons provided in this staff report, staff recommends that the City Council deny the appeal and uphold the Planning Commission’s revocation of CAP-8-18 to be effective immediately. Revocation of CAP-8-18 would remove the Appellant’s ability to operate, engage in, conduct or carry out any cannabis operation at 450 Dondee Way, Suite 2, and prevent the Appellant from dispensing, selling, and/or delivering cannabis and/or cannabis products.

Additionally, staff will continue to work to obtain the outstanding fees owed to the City of Pacifica.
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Staff notes that the Appellant timely paid the $23,577 CPSL yearly license renewal fee before its due date on October 16, 2022. Should Council support revocation of CAP-8-18, staff will prepare a reimbursement of the Appellant’s recent payment for the CPSL.

ALTERNATIVE ACTIONS:

The City Council may move to continue the appeal hearing in order to allow staff to prepare a resolution and associated findings to uphold the appeal and deny the Planning Commission revocation of the Coastal Development Permit, or to modify the revocation to be a temporary suspension. The City Council may also refer the matter back to the Planning Commission for reconsideration.

RELATION TO CITY COUNCIL GOALS AND WORK PLAN:

The proposed project is not directly associated with an item on the City Council’s Work Plan. It is the City Council’s normal governance process to hear and determine appeals of Planning Commission actions under the PMC.

FISCAL IMPACT:

The revocation of CAP-8-18 could result in reduced cannabis tax revenues collected by the City in the near term. However, purchases could shift to another existing or future permitted cannabis retail operation in the Rockaway Beach district or to another permitted cannabis retail operation elsewhere in Pacifica. Therefore, the potential fiscal impact of this permit revocation is unknown but has the potential to be negligible. Individual cannabis tax payment amounts are confidential.

ORIGINATED BY:

Planning Department
Police
ATTACHMENT LIST:

Attachment A - Draft Resolution (DOCX)
Attachment B - Planning Commission Resolution 2019-031(PDF) Attachment C - Agreement re: Deferral of Specified Conditions (PDF) Attachment D - Planning Commission Resolution 2021-001(PDF) Attachment E - Planning Commission Resolution 2022-016(PDF) Attachment F - August 15, 2022 Planning Commission (PDF) Attachment G - Planning Commission Resolution 2022-021(PDF) Attachment H - October 3, 2022 Planning Commission Staff Report (PDF) Attachment I - Appeal Form (PDF)
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Packet Pg. 260 Attachment: ATT F. Seaweed Holistics-Permit Termination 3.19.2025 (5902 : Revocation of Seaweed Holistics LLC Appeal)

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Packet Pg. 261 Attachment: ATT F. Seaweed Holistics-Permit Termination 3.19.2025 (5902 : Revocation of Seaweed Holistics LLC Appeal)

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Packet Pg. 262 Attachment: ATT G. Appeal_20250325_Leano-Williams_SeaweedHolistics_CPSL_CAP (5902 : Revocation of Seaweed Holistics LLC Appeal)

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Packet Pg. 263 Attachment: ATT G. Appeal_20250325_Leano-Williams_SeaweedHolistics_CPSL_CAP (5902 : Revocation of Seaweed Holistics LLC Appeal)

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Packet Pg. 264 Attachment: ATT G. Appeal_20250325_Leano-Williams_SeaweedHolistics_CPSL_CAP (5902 : Revocation of Seaweed Holistics LLC Appeal)

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Packet Pg. 265 Attachment: ATT G. Appeal_20250325_Leano-Williams_SeaweedHolistics_CPSL_CAP (5902 : Revocation of Seaweed Holistics LLC Appeal)

CITY OF PACIFICA

COUNCIL AGENDA SUMMARY REPORT
4/14/2025
1 SUBJECT:

Continuation of deliberations following the February 24, 2025, Public Hearing on a proposed ordinance repealing and replacing Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“Short-Term Rentals”); making certain amendments to Article 29 of Title 9, Chapter 4, Section 9-4.2904 (“Exempted Signs”) of the Pacifica Municipal Code; and finding the adoption of the Ordinance exempt from the California Environmental Quality Act (CEQA).

RECOMMENDED ACTION:

Continue deliberations from the adjourned Public Hearing held on February 24, 2025, provide final direction to the City Manager for revisions to the draft Ordinance, and direct the City Manager to refer revisions back to the Planning Commission for review and a recommendation.

STAFF CONTACT:

Samantha Updegrave, Community Development Director
(650) 738-7341
[email protected]
BACKGROUND/DISCUSSION:

For a detailed discussion of the background and history of the Short-Term Rental Ordinance in Pacifica, please see the staff report provided with the City Council meeting agenda for February 24, 2025:
<https://pacificacityca.iqm2.com/Citizens/FileOpen.aspx?Type=1&ID=1571&Inline=True> Background:

The term Short-Term Rental (STR) refers to the use of all or a portion of a residential dwelling unit for a rental of less than 30 consecutive days. The popularity of STRs has increased steadily over the past decade due in part to the convenience of booking provided by companies such as Airbnb and VRBO and the increased availability of STRs as an alternative to a traditional hotel or motel. STRs can also provide a source of income for owners and occupants of the residential dwelling units offered for rent as STRs.

At the public hearing on February 24, 2025, staff presented a draft ordinance that would repeal and replace Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“ShortTerm Rentals”) and make certain amendments to Article 29 of Title 9, Chapter 4, Section 9-

4.2904 (“Exempted Signs”) of the Pacifica Municipal Code. The changes were based on direction provided to the City Manager by the majority of City Council members over the course of four in-depth study sessions held between June - December 2024. The draft ordinance also included additional recommendations made by the Planning Commission. At the hearing, Council received a presentation from staff, followed by questions, opened the public hearing and received comments from 35 speakers, and closed the public hearing. 6 Packet Pg. 266
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Direction Given on Revisions to Ordinance at February 24, 2025 Meeting During Council deliberations during the February 24, 2025 meeting on the proposed ordinance, the City Council provided direction to the City Manager for additional changes to the draft ordinance, which include the following:
• STR Inspections: Include life-safety issues, inspections for all STRs (hosted and unhosted) and add certain items to inspection of STR units: pools/spas, legal bedrooms, lighted ingress and egress. Create a separate fee for inspections of STRs • Platform Accountability: Use model of Santa Monica’s ordinance • STR Parking: Planning Commission recommended different parking requirements within the Coastal Zone and outside of the Coastal Zones; however, Council direction was to require one off-street space per legally permitted bedroom rented as an STR both within the Coastal Zone and outside of the Coastal Zone Because some of the changes that were already directed by the Council are substantive, the draft ordinance must go back to the Planning Commission for consideration and a recommendation, and then be brought back to the City Council for a new public hearing.

Remaining Issues for Deliberations
The deliberations were not concluded on February 24, 2025 due to the late hour of the meeting and thus the Council adjourned the meeting to a future date to be determined to continue deliberations. Council also directed that since public comment was received on this item on February 24, 2025, the continuation meeting would not include public comment on this item.

Per Council direction, the remaining issues on which the Council needs to provide final direction to the City Manager during the continuation hearing include:
• Maximum Rental Nights (unhosted): Prior direction from Council was 90-night maximum stay.
• Accessory Dwelling Units (ADU): Should the "hosted STR" arrangement be allowed in which a host's primary residence is an ADU and the main house is the STR? • Occupancy Limits: Prior direction from Council was to exclude children under the age of 12.
• Complaint response time: Prior direction from Council was to require a 24/7 responsible party who must respond to complaints within 30 minutes by phone or in person.

ALTERNATIVE ACTION:

The Council may decline to discuss or direct further modifications to the provisions included in the Ordinance.

RELATION TO CITY COUNCIL GOALS AND WORK PLAN:

The Public Hearing introducing the Draft Ordinance is consistent with the following item in the Council adopted Strategic Plan and Priority Work Plan for FY2024-25:
• Goal 3: Prioritize protection and development of affordable housing. o Strategy B: Update the Short-Term Rental Ordinance.
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FISCAL IMPACT:

Refer to the staff report provided with the City Council meeting agenda for February 24, 2025:
<https://pacificacityca.iqm2.com/Citizens/FileOpen.aspx?Type=1&ID=1571&Inline=True> ORIGINATED BY:

Community Development Department
ATTACHMENT LIST:

Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (PDF) Attachment B - City Council - Full Minutes (February 24, 2025) (PDF) 6 Packet Pg. 268
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April 14, 2025
ORDINANCE NO. (ID # 5900)
A ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PACIFICA << >> ORDINANCE NO. ___________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PACIFICA REPEALING AND REPLACING ARTICLE 49 (SHORT TERM RENTALS) OF CHAPTER 4 OF TITLE 9 OF THE

PACIFICA MUNICIPAL CODE RELATING TO THE REGULATION AND PERMITTING OF

SHORT-TERM RENTALS AND ESTABLISHING FINES AND PENALTIES FOR VIOLATIONS CONSISTENT WITH GOVERNMENT CODE SECTION 25132(E); AMENDING PACIFICA MUNICIPAL CODE SECTION 9-4.2904 (EXEMPTED SIGNS) (TEXT AMENDMENT TA-157- 25); AND FINDING ADOPTION OF THE ORDINANCE EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) (FILE NO. 2025-001)
WHEREAS, on June 24, 2024, August 26, 2024, September 9, 2024, and December 5, 2024, the City Council of the City of Pacifica considered and provided input on ordinance revisions to the City’s Short-Term Rental Ordinance enacted on February 27, 2023; and WHEREAS, since enactment of the Short-Term Ordinance, residents have commented to the City Council about impacts of Short-term Rentals, including the loss of parking, excessive noise, disruptions to the community, loss of neighborhood integrity and other deleterious impacts; and
WHEREAS, the City Council has also received public comments relating to the sale of residential property in Pacifica for the singular purpose of using the property as a Short-term Rental, which can negatively impact the community by reducing housing units available for longterm residential use; and WHEREAS, Short-term Rentals can provide benefits to the community by providing economical options for transient lodging as well as income generating opportunities for property owners in Pacifica; and
WHEREAS, it is in the public interest to minimize the adverse impact of Short-term Rental activity on the health and safety of residents and visitors and to ensure such activity is conducted in a manner that preserves existing housing, communities and neighborhood integrity; and
WHEREAS, regulations that balance the benefits to the community from Short-term Rentals and address the negative impacts from Short-term Rentals are important to provide assurances to the community and long-term stability to Short-term Rental operators and guests; and
WHEREAS, the Planning Commission of the City of Pacifica held a duly noticed public hearing on the proposed amendments contained in Text Amendment TA-157-25 (File No. 2025- 001) on January 21, 2025, and adopted Resolution No. 2025-001 by a vote of 6-0 initiating and recommending to the City Council adoption of Text Amendment TA-157-25 (File No. 2025-001); and
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WHEREAS, the City Council held a duly noticed public hearing on the proposed ordinance on February 24, 2025 and introduced Ordinance No. ### on the same date; and NOW, THEREFORE, the City Council of the City of Pacifica does ordain as follows:

Section 1. Recitals. The City Council of the City of Pacifica does hereby find that the above referenced recitals are true and correct and material to the adoption of this Ordinance.

Section 2. Amendment. Article 49, “Short-Term Rentals” of Chapter 4, “Zoning” within Title 9, “Planning and Zoning” is repealed and replaced in its entirety to read as follows:
“Sec. 9-4.4900. Purpose and intent.

The purpose of this article is to establish regulations governing the Short-term Rental of residential property within the City of Pacifica in order to ensure the health, safety, and welfare of the residents of the City of Pacifica, and to allow for the short-term rental of single-family and multi-family dwelling units for less than thirty (30) consecutive days, while still preserving the residential character of neighborhoods, and preventing Shortterm Rental activities from becoming a nuisance or a threat to public health, safety or welfare.

Sec. 9-4.4901. Definitions.

For the purposes of this article, unless otherwise apparent from the context, the following words and phrases are defined as set forth below:
(a) "Administrator" means the Assistant City Manager or designee. (b) "Advertising platform" means a marketplace in whatever form or format which facilitates Short-term Rentals through advertising, matchmaking, or any other means, using any medium of facilitation, and from which the operator of the platform derives revenues, including booking fees or advertising revenues, from providing or maintaining the marketplace.
(c) “Condominium” or “Condominiums” means an estate in real property consisting of an undivided interest in common in a portion of a parcel of real property, together with a separate interest in space in a residential, industrial, or commercial building on such real property, such as an apartment house, office, or store. "Condominium" may include, in addition, a separate interest in any other portion of such real property.
(d) “Events” mean weddings, conferences, retreats, commercial events, loud or disruptive gatherings of any kind, parties or any other similar gatherings which have the potential to cause traffic, parking, noise, or other impacts to the neighborhood.
(e) “Legally Permitted Bedroom” means the number of bedrooms that are officially approved for occupancy within a dwelling unit, as reflected in the building permit records of the City of Pacifica.
(f) “Multi-family development” means a building, or portion thereof, used and designed as a residence for two (2) or more families living independently of each other and doing their own cooking in such building, including duplex, triplex, and attached product (inclusive of attached single-family dwellings), apartment houses, apartment hotels, and flats, but not including automobile courts, motels, hotels, or boardinghouses.
(g) “Noise Monitor” means a noise detecting alarm sensor device with a call-assist feature that is located on the exterior of the rental property or other noise detecting device/sensor with features that do not have a camera, record conversations, nor store any personal data. The Noise Monitor shall have the capability of detecting noise at levels established by the operator in order to 6 Packet Pg. 270
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comply with the regulations found in the Pacifica Municipal Code. A Noise Monitor is not a Type I or II Sound Level Meter (SLM).
(h) "Operate" means the operation of a Short-term Rental, and includes the acts of establishing, offering, maintaining, or listing for rent a Short-term Rental with an Advertising platform.
(i) “Operator” means the Person who has applied for a Short-term Rental Permit or has been issued a Short-term Rental Permit by the City. (j) “Person” means natural person, corporation, business trust, estate, trust, partnership, limited liability company, association, or other entity. (k) “Permit” or “Short-term Rental Permit” means a permit issued by the City pursuant to this Article to allow the use of a single Short-term Rental on a single Site.
(l) “Primary residence” means a residence where a Person resides, full-time, for more than six months out of the year.
(m) "Rental" means the occupancy or use of a dwelling unit property, in exchange for any form of rent that may be valued in money, including cash, credit, goods, labor, or property, regardless of whether such rent is actually received. (n) “Responsible party" shall mean a natural person Person, over the age of eighteen (18), who shall be responsible for ensuring compliance with all applicable provisions of the Pacifica Municipal Code by all Short-term Renters and visitors of a Site for a Short-term Rental, twenty-four (24) hours per day, seven (7) days per week when the Operator is not available. (o) “Single-family dwelling unit” means a building designed for, or used to house, not more than one family, including all necessary employees of such family. Singlefamily attached homes are not included in this definition. (p) “Site” shall mean the assessor’s parcel upon which the Short-term Rental is located.
(q) "Short-term Rental" means the use of a dwelling unit, or portion of it, for a Rental of less than thirty (30) consecutive days. A “Short-term Rental” can be either Unhosted or Hosted.
i. “Hosted Short-term Rental” means a Short-term Rental use where a resident, who is the operator and acting as a host, occupies one or more bedrooms in a dwelling unit or an accessory dwelling unit on the same Site as the Short-term Rental while other areas of the dwelling unit or main residence on the Site are rented for the purpose of transient overnight lodging.
ii. “Unhosted Short-term Rental” means a Short-term Rental use where no Operator is present on the Site during the course of the Rental. (r) “Short-term Rental Permit cap” means the maximum number of Short-term Rental permits that may be issued at any given time by the City. (s) Short-term Renter. A person who exercises occupancy or is entitled to occupancy by reason of a booking transaction, concession, permit, right of access, contract, license, or other agreement for a period of less than 30 consecutive days, counting portions of days as full days in a Short-term Renal.

Short-Term Renters also include all Persons who occupy the Short-Term Rental during the overnight hours of 10:00 p.m. to 8:00 a.m.

In the event of a conflict between the words and phrases defined in this article and the words and phrases defined Title 9 “Planning and Zoning, Chapter 4 “Zoning”, Article 2 “Definitions”, the definitions in this article shall prevail.

Sec. 9-4.4902. Permits required for Short-term Rentals – Permit Cap. 6 Packet Pg. 271
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(a) The Short-term Rental of residential dwelling units is a prohibited use in every zoning district in the City, with the exception of permitted Short-term Rentals approved pursuant to the requirements of this article.
(b) Subject to the requirements of this article, including the Short-term Rental Permit cap, Short-term Rentals are allowed as accessory uses to residential dwelling units in all zoning districts where residential dwelling units are allowed as a permitted or conditional use.
(c) Permit Cap. The Short-term Rental Permit cap shall be one hundred fifty (150) Short-term Rental Permits at any given time. The Administrator shall not approve any applications for Short-term Rental Permits once the Administrator has determined that the Short-term Rental Permit cap has been reached. (d) The Administrator shall create a waiting list where the number of Short-term Rental applicants exceeds the total number of available Short-term Rental Permits. Pursuant to Section 9-4.4904(g) of this article, Short-term Rental applications for qualifying properties on the wait list shall be processed in the order applications were received.

Sec. 9-4.4903. Standards applicable to Short-term Rental Sites.

The following standards shall apply to any Site offered as a Short-term Rental. No Shortterm Rental Permit shall be issued if the Site is not compliant with the following:
(a) In accordance with Section 9-4.453(a)(6) and 9-4.454(a)(6), no Person may operate a Short-term Rental in any accessory dwelling unit or junior accessory dwelling unit. However, the Operator of a Hosted Short-term Rental may reside in an accessory dwelling unit or junior accessory dwelling unit on the Site and Operate the Hosted Short-term Rental in the primary residence on the Site; (b) No Person shall Operate or allow a Short-term Rental in any location not approved for use as a permanent dwelling unit (received Certificate of Occupancy or equivalent final inspection), including, but not limited to, any vehicle, trailer, tent, storage shed or garage;
(c) Each Person Operating a Short-term Rental shall have their Primary Residence at the Site of the Short-term Rental. If the Person is a corporation, business trust, estate, trust, partnership, limited liability company, association, or other entity, the managing member of the limited liability company, officer of the corporation, or trustee of the business trust or estate or a partner must have their Primary Residency on the Site. To prove Primary Residency, the Person must provide at least three forms of documentation to the Administrator evidencing that the Site of the Short-term Rental is their Primary Residence for more than six months of the year. Documentation can include, but is not limited to, proof of homeowner's tax exemption, voter registration card or certificate, or proof of vehicle registration.
(d) An Operator shall Operate only one Short-term Rental at any given time; (e) For a single-family residential unit or a residential condominium dwelling unit, one Short-term Rental may Operate as an accessory use on the Site; and 6 Packet Pg. 272
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(f) For a Multi-family development, only Hosted Short-term Rentals may be Operated as an accessory use to an individual unit within the Multi-family development.

Sec. 9-4.4904. - Short-term Rental Permit required.

Subject to those requirements in Section 9-4.4903 and subject to the Short-term Rental Permit cap specified in Section 9-4.4902, a Short-term Rental Permit along with a ShortTerm Rental Permit number may be approved and issued by the Administrator, provided that the Administrator determines the applicant has met the following requirements:
(a) Application. Any Person seeking to operate a Short-term Rental must complete an application on a form provided by the City, accompanied the fees established by resolution of the City Council. The application form will include, at a minimum, the following information:
i. Name and contact information of the Operator.
ii. All adults for whom the property is a permanent residence shall be listed; ii.iii. The name and contact information of the authorized Responsible Party.

Any change in the Responsible Party’s address or telephone number shall be promptly furnished to the City within 48 hours of such change; iii.iv. Site plan showing location, dimensions, and use of all existing buildings on the Site, and on-Site parking;
iv.v. Floor plan showing the use of all rooms per the California Building Code, and identifying Legally Permitted Bedrooms Rooms, rooms and doors to be used for the Short-term Rental;
v.vi. If the Operator is not the property owner, the property owner’s written consent to the Short-term Rental use;
vi.vii. The Operator shall provide documentation required by section 9-

4.4903(c) that the Site is the Operator’s Primary Residence; vii.viii. Identification of whether the Short-term Rental shall be a Hosted or Unhosted Short-term Rental or combination of both, and the estimated number of nights per year the Short-term Rental will be rented; viii.ix. Advertising platform(s) used by the Operator to advertise the Short-term Rental;
ix.x. Proof that the Operator has installed a Noise Monitor on the exterior of the Short-term Rental in a location to ensure that accurate noise levels can be taken by the Noise Monitor;
x. Any other information the Administrator deems reasonably necessary to administer this article; and
xi. The permit application and any associated business licenses shall include an affidavit signed by the owner under penalty of perjury stating that all the information in the application is correct and that the owner maintains full responsibility that the Short-term Rental shall be advertised, rented, operated, and maintained in compliance with this article and all other relevant municipal codes. Failure to sign the affidavit shall be grounds for denial of a Short-term Rental Permit.
(b) The permit application shall be accompanied by an application fee in an amount established by City Council resolution. Applications for a Short-term Rental Permit shall not be deemed complete until all information required by this article is provided and the Short-term Rental application fee, as set by City Council resolution, is paid to the City.
(c) The permit application shall be accompanied by a signed safety declaration, under penalty of perjury, in a form prepared by the Administrator, to be kept in the property file at the City, self-certifying that the Short -term Rental is in a safe and habitable condition and contains working smoke detector(s), carbon monoxide detector(s), and fire extinguishers have been installed and maintained 6 Packet Pg. 273
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consistent with the requirements of and in compliance with the California Fire Code, as adopted by the City in Title 4, Chapter 3, Article 1 of this Code and the California Building Code, International Property Maintenance Code and Residential Code, as adopted by the City in Title 8 of this Code. (d) Inspection of Unhosted Short-term Rentals. For Unhosted Short-term Rentals, the City shall conduct a health and safety inspection of the proposed Short-term Rental unit prior to issuing a Short-term Rental Permit. A health and safety inspection shall include verification of the number of Legally Permitted Bedrooms, the presence and operation of working smoke detector(s), carbon monoxide detector(s), and fire extinguishers. The City shall also verify that no space has been converted into a bedroom or living space without permits required by the California Building Code, International Property Maintenance Code and Residential Code, as adopted by the City in Title 8, or any other provision of this Code.
(e) Consent to Inspection and Production of Records. For all Short-term Rentals, the permit application shall be accompanied by a consent to inspection in a form prepared by the Administrator, which shall be signed by the Operator and if the Operator is not the owner of the Site, the owner of the Site consenting to (i) physical inspection(s) by city staff, contractors, or representatives for the purpose of verifying compliance with this article during regular business hours (7:30 a.m. to 5:30 p.m.) upon forty-eight (48) hours’ notice and (ii) that if said inspection is deemed necessary by the Administrator because of complaints received by the City of non-compliance, the Operator will produce records demonstrating compliance with all provisions of this article within seven (7) calendar days of the request.
(f) Compliance with the Municipal Code. No Short-term Rental Permit shall be issued if there are any unresolved or outstanding building, electrical, plumbing, fire, health, housing, police, or planning violations or enforcement actions issued by the City or other enforcement agency, including but not limited to, any administrative citations, notices of violation, notices to cure, orders of abatement, cease and desist orders, or correction notices related to the Site. (g) Compliance with Operation Requirements. No Short-term Rental Permit shall be issued if the Site has had two or more violations of this article within twelve months prior to application submittal. No Short-term Rental Permit shall be issued if the Operator has had a Short-term Rental Permit revoked within twelve months of the application date by the City of Pacifica. (h) Waitlist. The Administrator will maintain a waiting list when the number of Shortterm Rental applicants exceeds the Short-term Rental Permit cap identified in Section 9-4.4902. The Administrator will continually maintain the Short-term Rental Permit cap inventory as Permits are not renewed or revoked. Persons wishing to be placed on the waitlist shall submit a waitlist application on a form provided by the City accompanied by the completed Short-term Rental Permit application required by Section 9-4.904(a). A nonrefundable waitlist application fee in an amount established by resolution of the City Council shall be remitted with the application. Short-term Rental applications for qualifying properties on the waitlist will be processed bi-annually between October 31 and November 30 of each year and between April 30 and May 31 of each year based on the date of receipt of the application, starting with the oldest date. The Administrator, in their discretion, may require an Applicant placed on the waitlist to provide updated information at the time a Short-Term Rental Permit becomes available, in accordance with requirements in place at the time the application is being considered.
(i) Appeals of Determination of Administrator. Any decision of an Administrator relating to an application or the waitlist may be appealed within ten (10) days of 6 Packet Pg. 274
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the decision of the Administrator to an administrative hearing officer, pursuant to the process specified in section 9-4.4908(d).

Sec. 9-4.4905. Operation Requirements.

A Short-term Rental must comply with the following operation requirements at all times that the Short-term Rental Permit is issued:
(a) Permit required. The Short-term Rental must be operated under a valid Shortterm Rental Permit issued by the City in accordance with Section 9-4.4904; (b) The Operator shall, during the term of the Short-term Rental Permit, promptly inform the Administrator regarding any changes to the information provided in the application, including contact information and Advertising platform(s) used by the Operator to advertise the Short-term Rental;
(c) The Operator shall, at all times while the Site is being used as a Short-term Rental, maintain a Responsible Party that can be reached via telephone twentyfour (24) hours a day, seven (7) days a week, to respond to complaints regarding the use of the Short-term Rental. The Responsible Party shall respond, either in person, or by return telephone call, within thirty (30) minutes of a complaint. The Responsible party shall make all reasonable efforts to address the complaint.

The Operator can be identified as the Responsible Party if they can satisfy these requirements;
(d) The Operator must provide the following materials electronically to any Shortterm Renters before arrival and make available printed materials on-site for the guest with the following information:
i. A diagram of exits, fire extinguisher locations, and fire and police contact numbers;
ii. The Short-term Rental Operator’s contact information; iii The Responsible Party’s contact information;
iv. Information on the maximum allowed number of occupants, parking capacity and location of parking spaces, noise regulations, disclosure that the property is equipped with a noise monitoring device, quiet hours, and trash and recycling disposal requirements;
v. The City's noise regulations (Chapter 10 of Title 5 of this Code); and vi. The City's Social Host Liability Ordinance (Chapter 28 of Title 5 of this Code);
(e) The Operator shall include the City-issued Short-term Rental Permit number in any Advertising platform or any other advertisement appearing in any newspaper, magazine, brochure, television trade paper, internet website, etc., that promotes the availability or existence of a Short-term Rental on the Site. The Short-term Rental Permit number must also be prominently and legibly included in the first line of the property description text in any advertisement in the following format: “City of Pacifica Short-term Rental Permit No. #### ”; (f) Each Short-term Rental Site shall be identified with a single, weatherproof exterior sign, not more than two (2) square feet in total area, posted either at the front of the Site and visible from the right-of-way for single family dwellings, or on the door if it is a hosted Multi-family dwelling unit or condominium, indicating the Site is being utilized as a Short-term Rental. The sign shall include the Shortterm Rental Permit number and a Quick Response (QR) code that is a minimum of 3-by-3 inches with both the Operator’s name and contact information and the 6 Packet Pg. 275
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Responsible Party’s name and contact information, if different, and a link to the City’s code enforcement website. The sign shall be in a form approved by the Administrator. At a minimum, the sign shall be posted while the Site is being utilized as a Short-term Rental;
(g) A Short-term Rental shall not create pedestrian, automobile, or truck traffic detrimental to property in the vicinity or neighborhood parking impacts. The property address shall be clearly marked;
(h) A Short-term Rental shall comply with all provisions of the Pacifica Municipal Code, including, but not limited to the City’s noise regulations (Chapter 10 of Title 5 of this Code) and the Loud and Unruly Gatherings and Social Host Liability Ordinance (Chapter 28 of Title 5 of this Code), Garbage, Collection and Recycling (Chapter 5 of Title 6 of this Code), and the Building Regulations (Chapters 1-17 of Title 8 of this Code);
(i) A Short-term Rental shall comply with all applicable state and local laws and orders, including any public health order;
(j) Each Person Operating a Short-term Rental shall comply with the transient occupancy tax requirements set forth in Chapter 7 of Title 3 (Transient Occupancy Tax) of this Code, and shall obtain a Transient Occupancy Registration Certificate pursuant to the Section 3.7-06 for the entire period of time the Site is used as a Short-term Rental;
(k) Each Person Operating a Short-term Rental shall obtain a business license and pay the business license tax required pursuant to Chapter 1 of Title 3 (Business Licenses) of this Code for the entire period of time the Site is used as a Shortterm Rental; (l) Maximum overnight occupancy for all Short-term Rentals shall not exceed two (2) Short-term Renters per Legally Permitted Bedroom. Children under the age of twelve (12) shall not count towards these occupancy limits; (m) In addition to the maximum number of Short-term Renters allowed, the number of guests and visitors allowed at any time in a Short-term Rental shall not exceed one half of the maximum Short-term Renters allowed;
(n) Use of all outdoor pools, spas and hot tubs shall be prohibited between the hours of 10:00 p.m. and 7:00 a.m.;
(o) In addition to the noise standards identified in Chapter 10 of Title 5 and Chapter 28 of Title 5 of this Code, no radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any s Short-term Rental. Any machine, device or equipment that amplifies music inside any Short-term Rental shall not be heard beyond the property line of the Short-term Rental at all times; (p) Each Operator shall install and maintain in continuous operation a Noise Monitor on the exterior of the Short-term Rental to ensure compliance with the City’s noise regulations (Chapter 10 of Title 5 of this Code). The Operator shall retain a record of the Noise Monitor readings for a period of thirty (30) days after each Rental of the Short-term Rental;
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(q) Within the Coastal Zone, the The Short-term Rental must provide at least one offstreet parking space per Legally Permitted Bedroom that is being utilized as a Short-term Rental, which shall be dedicated and available to Short-term Renters during the period of the Rental. Outside the Coastal Zone, Short-term Rentals shall require two (2) off-street parking spaces;
(r) Short-term Rentals shall not be concurrently used for any commercial Event (such as a corporate retreat or conference), and shall not be used for any noncommercial Event that is likely to result in a violation of traffic, parking, noise, or other standards regulating the residential use and character of the neighborhood.

Home occupations conducted by the primary resident compliant with the City’s home occupation ordinance are allowed; provided that parking and all other requirements for both the Short-term Rental and the home occupation are met; (s) Short-term Rental use shall comply with trash and recycling requirements and scheduled solid waste pick-up days at least once per week. Trash and recycling containers shall be located to be readily accessible for servicing, but shall not be placed within the limits of any street, road, avenue, way, alley, public place, or any other places as to constitute a nuisance; and
(t) Unhosted Short-Term Rentals. The following additional operation requirements shall apply only to Unhosted Short-term Rentals:
i. An Unhosted Short-term Rental shall be Operated no more than ninety (90) nights per year, commencing on October 31st of each year and ending October 30th of each year.
ii. Minimum Stay. Unhosted Short-term Rentals shall have a minimum two consecutive night stay for Short-term Renters.
iii. Unhosted Short-term Rentals are prohibited in Multi-family development units.

Sec. 9-4.4906. Record Keeping.

The Operator shall retain records documenting the compliance with this article for a period of three years after any Short-term Rental, including, but not limited to, records indicating the history of all Short-term Rental reservations on the subject property from the Advertising platform or otherwise, records indicating the payment of any and all transient occupancy taxes, length of stay per reservation, and number of Persons per reservation. The Operator shall provide any such documentation to the City within thirty (30) days of the City’s request. Notwithstanding the foregoing, readings from the Noise Monitor shall be retained for a period of thirty (30) days after the Rental of the Short-term Rental.

Sec. 9-4.4907. Permit term and renewal.
(a) Term. A Short-term Rental Permit is valid for one year from the date of issuance until October 31st of each year, unless suspended or revoked by the Administrator prior to October 31st.
(b) Renewal. The Short-term Rental Permittee may renew the permit annually by submitting a renewal application, in a form prepared by the Administrator, and applicable fee between October 1st and October 31st of each year, regardless of 6 Packet Pg. 277
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when the Short-term Rental permit was issued. If a renewal application and fee are not filed prior to the October 31st deadline, the Short-term Rental Permit shall expire automatically. Under such conditions, the Operator shall be required to apply for and obtain a new Short-term Rental Permit, subject to the requirements in effect at the time an application is submitted.
i. Renewal applications shall be reviewed for compliance with this article. If a Short-term Rental Operator is not in compliance with this article, the Short-term Rental shall not be renewed.
ii. Proof of Rental Nights. For any renewal, the Operator shall provide documentation of the number of nights the unit was rented during the prior year, including whether the unit was used as a Hosted Short-term Rental or an Unhosted Short-term Rental.

Sec. 9-4.4908. Permit Suspension and Revocation
(a) Permit suspension. The Administrator may suspend a Short-term Rental Permit, at the Administrator’s sole discretion, after making a determination that the Operator has violated any provisions of this article if the Administrator determines that the nature of the violation may be corrected within a reasonable period of time.
(b) Permit revocation. The Administrator may revoke a Short-term Rental Permit, at the Administrator’s sole discretion, after making a determination that the Operator has violated any of the provisions of this article or is operating the Short-term Rental in a manner that is detrimental to the public health, welfare or safety or constitutes a nuisance. A Short-term Rental Permit may also be revoked for the following reasons:
i. That the Short-term Rental Permit was obtained by misrepresentation, false statement, or fraud;
ii. That the Short-term Rental activity is being conducted in violation of local or state or federal law;
iii. That two violations of this article have occurred on the Site within the preceding twelve months;
iv. That the Short-term Rental is being operated in a manner that is detrimental to the public health, welfare or safety;
v. That consent to an inspection has not been provided; or vi. That records documenting the compliance with this article, including, but not limited to, records indicating the history of all Short-term Rental reservations on the Site from the Advertising Platform or otherwise, records indicating the payment of any and all transient occupancy taxes, length of stay per reservation, number of Persons per reservation and were not provided to the City within thirty (30) days of the City’s request. (c) The Administrator shall provide the Short-term Rental Operator with written notice stating the supporting factual basis for the decision. The notice shall 6 Packet Pg. 278
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contain an advisement of the right to request an appeal before a hearing officer by filing a written appeal.
(d) Appeal to Hearing Officer. Suspension or revocation issued by the Administrator pursuant to paragraph (a) or (b) will be effective ten (10) days from the date appearing on the notice, unless a timely appeal is filed before such date along with the deposit of an appeal fee established by resolution of City Council. A hearing shall be scheduled before the hearing officer within thirty (30) days. The decision of the hearing officer shall be a final administrative order, with no further administrative right of appeal or reconsideration. The hearing officer may sustain a denial, suspension, or revocation, overrule a denial, suspension, or revocation, reduce a revocation to a suspension and/or reduce the length of a suspension. (e) Reapplication. No application for a Short-term Rental Permit will be accepted within one year after a Short-term Rental Permit is revoked.

Sec. 9-4.4909. Violations and enforcement.
(a) The City may issue a notice of violation or administrative citation for any violation of this article, to any occupant, invitee, renter, lessee, owner of the property, Operator, Responsible Party, managing agency or agent, and/or Advertising platform for a violation of any provision of this article or other provisions of the Code pursuant to Title 1 of this Code.
(b) Each and every day, or portion thereof, that a violation of this article and/or Code exists constitutes a separate and distinct violation for which a notice of violation or administrative citation may be issued. Such notice of violation or administrative citation shall be issued, notice given, and any appeals heard in the manner and by the process described in Title 1 of this Code.
(c) A violation of any provision of this article, or failing to comply with any mandatory requirement hereof, shall constitute a misdemeanor. The fine amount for each violation shall be one thousand dollars ($1,000.00). Notwithstanding the preceding sentence or any other section of this article, a violation of this article may, in the discretion of the enforcement officer be charged and prosecuted as an infraction. In addition, the City may enforce this article by any means permitted by law, including, but not limited to, those penalty provisions set forth in Title 1 of this Code.
(d)Pursuant to Government Code Section 36900(d), for infractions that pose a threat to public health or safety, the fine shall be, at a minimum, one thousand five hundred dollars ($1,500.00) for an initial violation of this chapter, three thousand dollars ($3,000.00) for a second violation of the same provision within one (1) year, and five thousand dollars ($5,000.00) for each subsequent violation of the same provision within one (1) year. Operation of a Short-term Rental without a permit or violations of the any of the provisions of this article shall be deemed to pose a threat to public health or safety.
i. For fines imposed under this subsection, the Administrator may grant a hardship waiver to reduce the amount of the fine upon a showing by the Short-term Rental permittee that the Short-term Rental permittee has made a bona fide effort to comply after the first violation and that payment of the full amount of the fine would impose an undue financial burden on 6 Packet Pg. 279
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the responsible party. No such waiver shall be granted for subsequent violations.
ii The fines set forth in this subsection shall not apply to a first-time offense of failure to register or pay a business license fee.
(e) Revocation. In addition to the fines and penalties imposed by this section, upon a second violation of this article within a twelve (12) consecutive month period, the Administrator shall revoke the Short-term Rental Permit. (f) Cost Recovery. The City’s costs to enforce this section are the responsibility of the Operator. The costs may be recovered pursuant to Chapter 2 of Title 1 of this Code, Government Code Section 38773 et seq. and any other legal method. (g) Administrative Subpoenas. The city manager, or designee, shall have the authority to request the city attorney to subpoena witnesses to compel their attendance and testimony at hearings and to require the production of books, papers, records or other relevant items regarding Short-term Rental listings located in the City, including, but not limited to, the names of the Persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay, to determine whether the Short-term Rental listings comply with this article. Any subpoena issued pursuant to this Section shall not require the production of information sooner than thirty (30) days from the date of service. A Person, Advertising platform, or Short-term Rental operator that has been served with an administrative subpoena may seek judicial review during that thirty (30) day period.

Sec. 9-4.4910. Administrative Regulations. The Administrator is authorized to promulgate any policies or procedures necessary to implement and enforce this article, including, but not limited to administering the waitlist set forth in Section 9-4.4904(g) and a process for accepting and prioritizing applications received after the Short-term Rental permit cap set forth in Section 9-4.4902 is reached.

Sec. 9-4.4911 Application of Ordinance to Issued Short-term Rental Permits. (a) Areas outside the Coastal Zone. Upon the Effective Date of this Ordinance, the following provisions of this Ordinance shall be immediately applicable to all Short-term Rentals in areas outside the Coastal Zone: Sections 9-4.4900, 9-4.4901, 9-4.4902, 9-4.4903(a) and (b), 9-4.4904, 9-4.4905(a) through (k), 9-4.4906, 9-4.4907, 9-4.4908, 9-4.4909 and 9-4.4910. All other provisions of this Ordinance (Sections 9-4.4903(c) through (f) and 9-4.4905(l) through (t)) shall not apply to Short-term Rentals that have been issued a Short-term Rental Permit prior to the Effective Date of this Ordinance until that Short-term Rental Permit is renewed, terminated, or revoked.
(b) Areas within the Coastal Zone: Upon certification by the California Coastal Commission of an amendment to the City’s local coastal program relating to the adoption of this Ordinance, the following provisions of this Ordinance shall be immediately applicable to all Short-term Rentals in areas within the Coastal Zone: Sections 9-4.4900, 9-4.4901, 9-4.4902, 9-

4.4903(a) and (b), 9-4.4904, 9-4.4905(a) through (k), 9-4.4906, 9-4.4907, 9-4.4908, 9-4.4909, and 9-4.4910. All other provisions of this Ordinance (Sections 9-4.4903(c) through (f), 9-

4.4905(l) through (t)) shall not apply to Short-term Rentals that have been issued a Short-term Rental Permit prior to the date of Coastal Commission Certification until the Short-term Rental Permit is renewed, terminated or revoked; or two years from the date of adoption of the Ordinance, whichever is earlier.

Section 3. Amendment. Article 29 of Chapter 4 of Title 9 is amended by adding subsection (t) to Section 9-4.2904. Exempted signs which shall be read as follows:
6 Packet Pg. 280
Pacifica City Council 16 April 14, 2025
“Sec. 9-4.2904. - Exempted signs.
…
(t) Short-Term Rental signs required pursuant to, and in compliance with, Section Sec. 9-4.4905 Operation Requirements” Are exempt from the permit requirements and provisions of this Article.”
All other subsections within Section 9-4.2904 shall remain unchanged.

Section 4. Compliance with CEQA. The City Council hereby finds that the action to adopt this Ordinance is exempt from the provisions of the California Environmental Quality Act (CEQA), pursuant to the CEQA Guidelines (14 Cal. Code Regs. 15000 et seq.), including without limitation under Section 15061(b)(3) of the CEQA Guidelines because it can be seen with certainty that there is no possibility the adoption of this Ordinance may have a significant effect on the environment. The City Clerk shall file a Notice of Exemption with the San Mateo County Clerk.

Section 5. Severability. If any section, subsection, sentence, clause, or phase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it should have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, sentence, clauses or phrases be declared unconstitutional.

Section 6. Publication. The City Clerk is hereby ordered and directed to certify to the passage of this Ordinance by the City Council of the City of Pacifica, California, and cause the same to be published in accordance with State law.

Section 7. Effective Date. This Ordinance shall be in full force and effective thirty (30) days after its adoption and shall be published and posted as required by law. For areas within the Coastal Zone, this Ordinance shall not become effective until the California Coastal Commission certifies an amendment to the City’s local coastal program pursuant to Section 30514 of the Public Resources Code as set forth in Section 2 of this Ordinance.

Section 8. PASSED AND ADOPTED this day of , 2025 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
____________________________
Sue Beckmeyer, Mayor
6 Packet Pg. 281
Pacifica City Council 17 April 14, 2025
ATTEST: APPROVED AS TO FORM:
____________________________ ____________________________ Sarah Coffey, City Clerk Michelle Kenyon, City Attorney 6 Packet Pg. 282
Pacifica City Council 18 April 14, 2025
* * * * *
(ID # 5900) at 4/14/2025 5:30 PM City Council Regular Meeting 6 Packet Pg. 283

CITY OF PACIFICA

COUNCIL AGENDA SUMMARY REPORT
2/24/2025
1 SUBJECT:

Public Hearing on a proposed ordinance repealing and replacing Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“Short-Term Rentals”); making certain amendments to Article 29 of Title 9, Chapter 4, Section 9-4.2904 (“Exempted Signs”) of the Pacifica Municipal Code; and finding the adoption of the Ordinance exempt from the California Environmental Quality Act (CEQA).

RECOMMENDED ACTION:

Conduct a public hearing and introduce an Ordinance of the City Council of the City of Pacifica repealing and replacing Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“Short-Term Rentals”); amending Article 29 of Title 9, Chapter 4, Section 9-4.2904 (“Exempted Signs”) of the Pacifica Municipal Code; and finding adoption of the Ordinance exempt from the California Environmental Quality Act (CEQA).

STAFF CONTACT:

Samantha Updegrave – Community Development Director
(650) 738-7341
[email protected]
BACKGROUND/DISCUSSION:

Background:

On June 11, 2018, following a recommendation by the Planning Commission (Resolution No. 994), the City Council adopted Ordinance No. 835 - C.S.,1 establishing regulations for STRs within the City. Generally, the Ordinance established operating, permit application, permit revocation, and enforcement processes within Article 49 of Title 9, Chapter 4 of the Pacifica Municipal Code (“PMC”)(“STR Ordinance”). STRs are also required to comply with other applicable provisions of the City’s Municipal Code including but not limited to the transient occupancy tax (“TOT”) requirements and business license tax obligations in Title 3 of the Municipal Code. The application of all of these Municipal Code requirements by the City to permit and regulate STRs is often referred to as the City’s “STR Program.” On June 13, 2022, approximately four years after adoption and implementation of Article 49, at the Council’s request, City staff provided a comprehensive update to the Council on implementation, including information on STR locations, TOT collections, impacts on the City’s housing stock, unpermitted operations, and City enforcement activities.2 Based on a comprehensive review, the City Manager recommended maintaining the STR Program and 1 City Council Ordinance No. 835-C.S.
2 City Council June 13, 2022 Agenda Report, Item No. 14.

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continuing data gathering to (1) gain a greater understanding of the number and types of STRs, (2) provide opportunities to identify unregistered operations and (3) bring any Accessory Dwelling Units (“ADUs”) being utilized for STR purposes into compliance with City Ordinances that prohibit ADUs from being rented as STRs. Ultimately, the City Council directed that any revisions to the STR Ordinance be revisited during the Council goal setting in 2023.3 On October 10, 2022, at the request of a Councilmember, City staff presented additional information to the City Council regarding residential property sales resulting in subsequent STR use and asked for direction on whether amendments to the STR Ordinance in the near term were warranted.4In response to community concerns that increasing the number of STRs would impact the City’s housing stock, a majority of the Council directed that the STR Ordinance be amended to impose a cap of 150 active STR Permits issued in Pacifica at any given time, and that further revisions to the STR Ordinance, beyond the Permit cap, be revisited during the Council goal setting in 2023.5
On February 27, 2023, following a recommendation by the Planning Commission (Resolution 2023-001), the City Council adopted Ordinance 888 - C.S. amending the City’s STR Ordinance to establish a cap of 150 active STR Permits that can be issued at any given time in residential districts citywide. Amendments also included clarifying the prohibition on utilizing Junior Accessory Dwelling Units (“JADU”) as STRs and modifying the expiration date of STR Permits to align with business license expiration timelines. Following Council adoption of the amended STR Ordinance, the City submitted an amendment to the City’s Local Coastal Program (LCP) Implementation Plan (IP) to the California Coastal Commission (CCC). In June 2024, the CCC certified Implementation Amendment Number LCP-2-PAC-23-0023-1.

City Council Study Sessions
From June to December 2024, the Council conducted four in-depth study sessions to discuss further amendments to the City’s STR ordinance, with a primary focus on addressing potential and reported community impacts associated with short-term transient uses within existing residential uses. The amendments proposed in the Draft Ordinance (attached) reflect the key goals and priorities identified by the City Council and direction given to staff on potential revisions and additions to the City’s existing STR ordinance at the four prior study sessions.

On June 24, 2024, City staff provided a report and presentation to the City Council to initiate discussion of updates to the City’s STR Program. Information presented to the City Council included an overview of current regulations and enforcement processes, outlined staff coordination efforts with the CCC, and summarized information gleaned from researching ShortTerm Rental provisions in eight jurisdictions. After receiving the staff report, presentation, and public comments and feedback, the City Council directed the City Manager to evaluate and research various policy and regulatory compliance topics.

On August 26, 2024, and at continued deliberations on September 9, 2024, staff presented detailed information, including implementation impacts and considerations, for each policy and regulatory compliance topic discussed at the June Study Session. The Council provided direction to the City Manager related to policy, regulatory compliance, and streamlining procedures for inclusion in the draft ordinance.

On December 5, 2024, staff provided updates to the Council on communications between City and CCC staff and requested that the Council discuss topics related to parking, STR density, 3 City Council Minutes June 13, 2022
4 City Council October 10, 2022 Agenda Report, Item No. 10 5 City Council Minutes October 10, 2022

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multi-family dwellings, and minimum rental duration in light of CCC staff feedback provided. The City Council provided specific policy direction on these topics for inclusion in the Ordinance.

Additionally, the Council discussed regulations and provided clarification on policy and regulatory compliance provisions to include in the draft ordinance.

Discussion:

Proposed Text Amendment
The attached Draft Ordinance would repeal and replace Article 49 “Short-Term Rentals” of Title 9, Chapter 4 of the PMC. The Draft Ordinance incorporates the direction provided by the Council to the City Manager at the study sessions described above. The following provides a detailed discussion of how the proposed text amendments address potential impacts and concerns within the City of Pacifica. The Draft Ordinance is attached.

Neighborhood Impacts
Impacts of STRs on neighborhoods, such as increased noise, garbage, traffic, and decreased availability of parking, were discussed by the City Council. To address community concerns and ensure STRs operate in a compatible manner with existing residential uses, the Draft Ordinance significantly changes STR operation requirements, including differentiating operational requirements for hosted and unhosted rentals. Operational requirements established for purposes of addressing community concerns and potential issues associated with operation of STRs include the following:
• Requires STRs to be a primary residence.
• Prohibits unhosted STRs in multifamily dwellings, which are defined for this purpose as buildings containing two or more units.
• Establishes advertising and signage obligations, including a requirement that the Cityissued STR Permit number be displayed on all mediums offering the availability or listing the STR and requiring the installation of an exterior sign with the STR permit details and a QR code with the operator and responsible party’s contact information. • Mandates a 24/7 responsible party who must respond to complaints within 30 minutes by phone or in person.
• Limits occupancy to two persons per legally permitted bedroom (excluding children under the age of 12).
• Requires one off-street parking space per bedroom that will be used as STR. • Restricts the use of outdoor pools/spas after 10 p.m. • Requires the operator to provide specific information to guests (e.g. occupancy limits, parking locations, refuse disposal requirements, the City’s noise regulations and social host liability ordinance).
• Explicitly states that STRs are subject to all applicable Pacifica Municipal Code regulations, including but not limited to the City’s noise regulations • Requires the installation of a noise monitor on the exterior of the property • Prohibits the use of any sound amplification device outside the building and restricts the use inside the STR where sound levels can be heard at the STR property line • Establishes a maximum of 90 rental nights per permit year and a two-night minimum stay for unhosted rentals (no maximum or minimums apply to hosted rentals). Permit year is measured from October 31 through October 30th to align with the permit expiration and renewal period.
• Includes requirements for a business license and compliance with TOT regulations Housing Availability
During City Council study sessions on the STR amendments in 2024, the potential impacts on housing availability and affordability, including the risk of displacement, were discussed. To address these concerns, the Draft Ordinance includes a provision to prohibit unhosted STRs in

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multi-family developments (specifically defined as two or more units for this purpose), whereas hosted STRs in multi-family developments as an accessory use of individual units is permitted.

By prohibiting the use of an entire multi-family dwelling building as an STR, the Draft Ordinance helps to ensure the continued availability of an important source of affordable housing.

Furthermore, by allowing hosted STR operations within multi-family developments, the Draft Ordinance provides opportunities for residents to supplement their income, potentially improving housing affordability for those who operate such businesses.

In addition to regulating STRs in multi-family dwellings, the Draft Ordinance continues to protect ADUs as a valuable housing resource. The Draft Ordinance continues to prohibit the use of ADUs and JADUs as STRs. However, the Draft Ordinance would allow the Operator of a Hosted Short-term Rental to reside in an ADU or JADU and operate the STR in the main residence on the site where the STR is located. These regulations discourage the development of ADUs solely for STRs, ensuring they primarily serve as long- term housing solutions for Pacifica residents and contribute to the City’s overall housing stock. By clarifying regulations, the Draft Ordinance supports the continued availability of ADUs and JADUs as a housing option while allowing residents to potentially supplement their income by operating a STR within their primary residence.

Other Regulations
In addition to the topics discussed above, the Draft Ordinance also establishes new definitions; regulations related to compliance checks such as proof of rental activity; permit renewal and expiration; grounds for suspension and revocation of permits; penalties and fines consistent with Government Code section 36900(d), enforcement procedures, and investigative tools for addressing violations of the STR regulations; and establishes that the cost of enforcement actions are the responsibility of the STR operator. These include, but are not limited to:
• Definitions for hosted and unhotsed STRs
• Required inspections for all unhosted STRs
• Allows the City to administratively subpoena records from operators and any advertising platforms compelling their attendance at hearings and requiring the production of books and records related to the operation of any short-term rental in the City, including the address of each such listing, the length of stay for each such listing, and the price paid for each stay.
• Establishes that in the event of two violations within a 12-month period, or if misrepresentation or false statements were used to obtain the permit, or if a request for inspection is denied, the Permit may be revoked.

At the December 5, 2024, meeting there was a lack of consensus among members of the Council on whether the City should include provisions directly imposing penalties and fines against platforms who list properties on their site that were not in compliance with the City’s STR Ordinance. The revised Ordinance does promote transparency by allowing the City to subpoena records directly from the advertising platforms on those properties, allowing for stepped up tax enforcement. It also allows the City to cite and fine advertising platforms for violating the information disclosure provisions of the Ordinance.

The Ordinance’s primary focus is on mitigating the health and safety impacts caused by the owners and operators of the STRs. The most efficient way to address those health and safety impacts is through direct regulation and enforcement against the owners and operators. Indirect regulation and enforcement measures will likely be met with practical and legal challenges.

And, they may also be unnecessary, given that the main hosting platforms have voluntarily agreed to hold customers accountable for violation of the Ordinance. The revised Ordinance’s

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focus is on the root cause of any negative health or safety impacts and not the constantly shifting marketplaces that facilitate some of the transactions. Accordingly, staff is not recommending including any provisions directly imposing penalties and fines against platforms who list properties on their site that were not in compliance with the City’s STR Ordinance.

Revisions to Section 9-4.2904 (Exempted Signs)
As indicated above, one of the operational requirements proposed in the Draft Ordinance would be to establish signage obligations for STRs to require an exterior sign with permit details and a QR code with operator and responsible party contact information. Staff had initially proposed a maximum size of 6 square feet, the size of a moveable sandwich board, however, both public commenters and the majority of Planning Commissioners felt that size was too large and could be used as an advertisement. Since the City Council did not provide direction on the size or design of the signage, the Draft Ordinance incorporates the recommendation of the Planning Commission.

Based on their recommendation, the sign requirement in section 9-4.4905(f) of the Draft Ordinance is proposed to be a maximum size of 2 square feet in area with a QR code of at least 3-by-3 inches, include contact information and a link to the City’s website for complaints, and be visible from the public right-of-way. The City would provide a template design for uniformity of appearance. In addition to the revisions to Article 49, the Draft Ordinance would amend section 9-4.2904 of Article 29 of the Chapter 4 of Title 9 (“Sign Ordinance”) to add an exemption to specifically exempt STR signs erected in compliance with section 9-4.4905 from the City’s sign permit requirements in the Sign Ordinance.

Program Administration
Process Enforcement Improvements
Although outside the scope of the proposed ordinance, City Council also directed the City Manager to improve the permitting and enforcement processes for STRs. Staff has been, and will continue to improve the process including, but not limited to:
• Updated application forms with additional information • Permit cap and waitlist management
• Activity monitoring, enforcement, and reporting
• Revocation process
STR Location Map
The City Council also requested that the City Manager research and address a variety of topics, including ongoing maintenance of a STR Location Map. Specifically, the City Council expressed interest in an interactive, web-based map allowing residents to identify legally operating STRs thereby allowing the public to identify those STRs that may be operating without the proper permits. Staff is researching how this could be done, and the staff and resources that would be required. Staff will report back to City Council at a future time if the City Manager determines this to be infeasible.

Consistency Analysis
General Plan
The proposed amendments to the City’s STR Ordinance and Sign Ordinance align with the Pacifica General Plan 2040 in that the amendments maintain some of the economic benefits of STRs while effectively addressing community concerns. The Draft Ordinance is consistent with the following General Plan policies and programs.

Program HE-I-7 Preserve Existing Affordable Housing Units: The Draft Ordinance specifically addresses preservation of existing affordable housing as it includes provisions limiting the use of multi-family units as STRs to hosed STRs only. It also clarifies that Junior ADUs cannot be

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used as STRs. These help to ensure the continued availability of an important source of affordable housing, and also provides opportunities for residents to supplement their income, potentially improving housing affordability.

Policy ES-G-1 Leverage Assets. Leverage Pacifica’s coastal location and unique assets as a primary means to strengthen the local economy, focusing on increasing tourism facilities, including shops, hotels, restaurants, and hiking trails: STRs increase tourism by providing a diverse range of accommodation options and contribute to the City’s local economy in several ways. First, STRs generate revenue for the City in the form of business license tax (approximately $15,000 collected in 2023) and TOT (approximately $1.5 million in TOT from STRs projected for FY 24-25). Revenue streams from both business license and TOT can be used to fund essential city services such as infrastructure and recreation facility improvements, benefiting the tourist and local economies, as well as residents. As detailed in the June 24, 2024 City Council Staff Report6, the City assumes there are uncollected TOTs from Short-Term Rentals operating within the City of Pacifica. As part of the ongoing review of the Program, the City hired HdL Companies, an auditing, operations, and revenue solutions company, who is assisting the City with tracing these rentals and requiring the STR operators to register with TOT to report their gross receipts so the City may assess the outstanding tax liability. STRs attract a diverse tourist base to the city, introducing new customers to local shops and restaurants.

Tourists who patronize these local businesses directly strengthen the local economy by generating revenue for local businesses and contributing to the City’s sales tax base. Finally, STRs provide supplemental income opportunities for Pacifica residents, fostering economic empowerment and enabling contribution to the local economy through increased spending at local businesses, or by pursuing their own local business. By establishing additional STR regulations and improving enforcement actions, amendments to the STR Ordinance continues to leverage the City's unique assets.

Policy ES-I-7 Mixed Land Uses. Promote development of a broader mix of revenue-generating land uses, including hotels, to increase the City’s fiscal benefits: The proposed Draft Ordinance continues to promote a broader mix of revenue-generating transient occupancy uses. By offering a diverse range of accommodation options catering to different budgets and travel styles, STRs attract a diverse range of tourists to the City of Pacifica. This increased diversity continues to provide revenue generated from business license, TOT, and sales taxes.

Policy CD-G-3 Neighborhood Conservation. Preserve the unique qualities of each of Pacifica’s residential neighborhoods. Incorporate neighborhood narratives into the General Plan to reflect these unique qualities and inform appropriate development standards and other policies: By limiting the total number of STRs in the City, distinguishing between hosted and unhosted rentals and expanding operating regulations that address potential neighborhood impacts such as noise, litter, and parking, the Draft Ordinance preserves the unique qualities of residential neighborhoods, consistent with this General Plan Policy.

Policy CD-I-6 Accessory Dwelling Units. Facilitate the creation of accessory dwelling units that contribute to the variety of available housing and do not disrupt neighborhood character. Update the Zoning Ordinance and Design Guidelines to address the integration of accessory dwelling units into the neighborhood fabric: The Draft Ordinance directly supports the General Plan’s objective to facilitate the creation of accessory dwelling units (ADUs) that contribute to the variety of available housing, in that it maintains prohibitions on the use of ADUs and Junior ADUs as STRs and permits the use of ADUs and Junior ADUs as part of a hosted STR operation where the operator occupies the ADU or Junior ADU and the primary dwelling is rented on a short-term basis. The Draft Ordinance ensures that accessory dwellings continue to 6 Staff Report available online at
https://pacificacityca.iqm2.com/Citizens/Calendar.aspx?From=1/1/2024&To=12/31/2024

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contribute to the variety of available housing and discourages the construction of accessory dwellings for the sole purpose of use as STRs. The Draft Ordinance effectively integrates ADUs and Junior ADUs and STRs into the neighborhood fabric and enables homeowners to supplement their income by offering their primary residence as a STR, while maintaining their ADU or JADU for personal use.

Local Coastal Program
Pursuant to Section 30514 of the California Public Resources Code, the Draft Ordinance would not be effective in the Coastal Zone until the CCC certifies an amendment to the City's Local Coastal Program (LCP). The CCC has found that outright bans or undue restrictions on STRs are inconsistent with Coastal Act policies prioritizing public access and visitor-serving uses.

As detailed in the December 5, 2024, City Council Study Session Staff Report,7 City staff consulted with CCC staff on November 5, 2024, to discuss the feasibility of the proposed text amendments. CCC staff provided preliminary comments to staff, noting four areas of potential concern, including parking requirements, STR density limitations, use of multi-family dwellings as STRs, and minimum rental duration requirements. The City Council discussed these four topics at the December 5th study session and directed staff to amend the Ordinance to reflect CCC staff direction.

Following the adoption of the Draft Ordinance, a Local Coastal Program Amendment (LCPA) will be submitted to the CCC, who will determine whether to certify, certify with modifications, or deny the LCPA. Until such time as the CCC certifies the LCPA, existing STR regulations for areas located within the coastal zone will apply.

Coastal Act Policy No. 5 in Pacifica’s Local Coastal Land Use Plan8 states that “Lower cost visitor and recreational facilities and housing opportunities for persons of low and moderate income shall be protected, encouraged, and, where feasible, provided. […].” Removing housing units from the Coastal Zone, even temporarily, through their rapid conversion to STRs at a greater pace than development of new long-term housing conflicts with this policy and will significantly impact the availability of housing in the Coastal Zone on a long-term basis. The proposed amendments would maintain allowances for STRs within the Coastal Zone, while providing additional regulatory and permitting requirements to address operational impacts on residential uses.

Planning Commission Review
At the January 21, 2025, Planning Commission meeting, the Planning Commission held a public hearing and passed Resolution 2025-001 recommending approval of the text amendment to the City Council by a vote of 6-0. The staff report and resolution are included as Attachments A & B.

The Planning Commission had additional recommendations for changes and/or clarifications to the Draft Ordinance for City Council consideration as part of the ordinance update. Those revisions to the Draft Ordinance are included in the Draft Ordinance (attached) in red and are set forth in the chart below.

While most of the recommendations from the Planning Commission clarified or expanded existing language in the Draft Ordinance, the recommendation relating to parking deviated from the City Council’s prior direction. The City Council had previously directed staff to include a 7 Staff Report available online at
https://pacificacityca.iqm2.com/Citizens/Calendar.aspx?From=1/1/2024&To=12/31/2024 8 Pacifica Local Coastal Land Use Plan, March 1980 as amended

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requirement that an STR provide at least one off-street parking space per Legally Permitted Bedroom that is being utilized as an STR based on comments from the Coastal Commission.

The City Council did not direct staff to distinguish between Coastal Zone and non-Coastal Zone STRs. The Planning Commission recommended that the Council consider a parking restriction that distinguishes between Coastal Zone and non-Coastal Zone STRs. In the Coastal Zone, the Planning Commission recommended requiring at least one off-street parking space per Legally Permitted Bedroom. However, in the non-Coastal Zone, the Planning Commission recommended a maximum of two off-street parking spaces. # Draft Ordinance - Pacifica
Municipal Code Section
PC Recommendation
Table key: Underlined text = add / Strikethrough = delete Definitions, PMC Sec. 9-4.4901
1 Sec. 9-4.4901(f)
“Multi-family development”
For avoidance of doubt, add “duplex, triplex, and attached product (inclusive of attached single-family dwellings) are included in the definition of multifamily development” to the list of uses considered a multi-family use under this definition.
2 Sec. 9-4.4901(k)
“Permit” or “Short-Term
Rental Permit”
… means a permit issued by the City pursuant to this
Article to allow the use of a single Short-Term Rental on a single Site.
3 Definitions 9-4.4901(n)
“Responsible Party”
“Responsible party" shall mean a natural person Person, over the age of eighteen (18) ….
4 Definitions 9-4.4901(o)
“Single-family dwelling unit”
For avoidance of doubt, add “Single-family attached
homes are not included in this definition.”
Standards applicable to Short-Term Rentals, PMC Sec. 9-4.4903 5 Sec. 9-4.4903(b)
(location standards)
Clarify what is meant by “approved” in this context.

No Person shall Operate or allow a Short-term Rental in any location not approved (received Certificate of
Occupancy or equivalent final inspection) for use as a
permanent dwelling unit including, but not limited to, any vehicle, trailer, tent, storage shed or garage;
Short-term Rental Permit required 9-4.4904

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6 Sec. 9-4.4904(a)(i)
Application
For clarity and to protect privacy, separate name and
contact of operate from list of adults who reside onsite, and renumber section.
i. Name and contact information of the Operator.
ii. All adults for whom the property is a permanent
residence shall be listed;
iii. ii. The name and contact information of the authorized Responsible Party. Any change in the Responsible
Party’s address or telephone number shall be promptly
furnished
to the City within 48 hours of such change;
(renumber remainder)
iv. iii. Floor plan showing the use of all rooms per the California Building Code and identifying Legally Permitted Bedrooms, rooms and doors to be used for the Short-term Rental.
…
7 Sec. 9-4.4904(a)(x)
Application
Remove: Any other information the Administrator deems
reasonably necessary to administer this article;
8 Sec. 9-4.4904(c) Application Add: The permit application shall be accompanied by a signed safety declaration, under penalty of perjury, in a form prepared by the Administrator….

Operational Requirements. PMC Sec. 9-4.4905
9 Sec. 9-4905(c)
(responsible party)
Add: Responsible party shall make all reasonable efforts to address the complaint.
10 Sec. 9-4.4905(f) (signage) Add “hosted” before multi-family to clarify/reinforce requirement
11 Sec. 9-4.4905(f) (signage) Revise sign allowances to include the following design standards:
• Max size: 2 square feet
• Min QR Code size: 3 inches-by-3 inches
• Visible from right-of-way
• Weatherproof
• QR Code should also have a link to City’s Code
Enforcement page or email where public can
make a complaint about the STR
• Sign in a form approved by the Administrator
12 Sec. 9-4.4905(h)
(other PMC provisions)
Add reference to garbage requirements to list of
applicable PMC Sections.
“A Short-term Rental shall comply with all provisions of the Pacifica Municipal Code, including, but not limited to the City’s noise regulations… Garbage, Collection and
Recycling (Chapter 5 of Title 6 of this Code);”

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13 Sec. 9-4.4905(q) (parking) Differentiate requirements for Coastal Zones and establish a different standard for STRs outside of the
Coastal Zones:
“Within the Coastal Zone the The Short-term Rental must provide at least one off-street parking space per Legally Permitted Bedroom that is being utilized as a Short-term Rental, which shall be dedicated and available to Shortterm Renters during the period of the Rental. Outside the Coastal Zone, STRs shall require two (2) off-street
parking spaces;”
City staff recommends that the City Council consider whether the revisions recommended by the Planning Commission should be incorporated into the Draft Ordinance.

CALIFORNIA ENVIRONMENTAL QUALITY ACT
The Draft Ordinance is exempt from the California Environmental Quality Act (CEQA). The text amendment would be exempt from CEQA pursuant to the “General Rule” exemption in CEQA Guidelines Section 15061(b)(3)). The General Rule exemption provides that, “the activity is covered by the commonsense exemption that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.”
The text amendment would make amendments to the existing STR Program to, among other things, establish definitions and operational requirements for hosted and unhosted STRs within the City. These changes would not have a significant effect on the environment.

PUBLIC COMMENT:

At the time of writing this report, staff had not received any public comment related to this City Council action.

However, staff received 19 public comment letters about STRs between the publication of the Planning Commission staff report and hearing (Attachment C). In the letters, the public expressed both support and opposition to the primary residence requirements. Opposition letters fell into two camps. One stating that the requirements for unhosted STRs were too limiting and the other stating that the new requirements would not go far enough. There was overall support for measures such as designation of a responsible party and the installation of external noise meters.

ALTERNATIVE ACTION:

The Council may decline to adopt the Draft Ordinance or direct modifications to the provisions included in the Ordinance.

RELATION TO CITY COUNCIL GOALS AND WORK PLAN:

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FISCAL IMPACT:

The proposed amendments in the Draft Ordinance are anticipated to have significant fiscal implications for the City of Pacifica due to reduced Transient Occupancy Tax (TOT) collections and increased administrative costs. Estimating the precise fiscal impact is challenging and depends on various factors discussed below. However, the implementation of these ordinance amendments will require close monitoring of fiscal impacts over the coming years and prudent financial planning to attempt to mitigate effects on the General Fund.

During the Planning Commission meeting, staff communicated a potential worst-case impact to the General Fund of up to $1.3 million, combining revenue losses and increased administrative costs. However, since that meeting, staff received updated statistical information from HdL, allowing for more refined estimates of revenue losses based on specific provisions of the new ordinance. These refinements indicate that the total fiscal impact from revenue losses is projected to range between $1.4 million and $1.5 million once the new ordinance is fully implemented across coastal and non-coastal zones, as detailed below.

As of January 2025, there were 139 tax-compliant STRs operating in Pacifica (Attachment D). In evaluating revenue losses, staff assumed that all current operators would prefer to continue operating as STRs and only assessed losses from those who would no longer qualify for permit renewal under the new ordinance. Therefore, these estimates do not factor in market fluctuations, such as operators converting to long-term rentals, selling their properties, or the emergence of new hosted STRs that comply with the ordinance.

Historically, STRs have been a major revenue source for the City, generating approximately $1.3–$1.5 million annually in TOT collections. This TOT revenue from STRs was projected to grow to $1.6–$1.8 million following the November 2024 voter-approved TOT rate increase from 12% to 15%. Additionally, STR permit fees and business license taxes collectively contribute approximately $300,000 per year. However, the Draft Ordinance’s stricter regulations and expanded enforcement requirements are expected to significantly reduce the number of STR operators, leading to a substantial decline in TOT, business license, and permit revenue.

Based on the new ordinance requirements:
• 37 STR units (29 in coastal and 8 in non-coastal zones) will not be eligible for renewal due to the prohibition of STRs in multi-family buildings, resulting in a projected revenue reduction of approximately $367,000.
• 36 units (9 in coastal and 27 in non-coastal zones) will not meet new parking requirements, resulting in an estimated revenue reduction of at least $639,000. This number may increase by 20-30 additional units pending the completion of onsite inspections, further reducing revenues.
• As a result of these two provisions, the number of STRs in Pacifica could decrease to between 35 and 65 units.
• Assuming that the remaining units continue operating under the 90-day rental cap condition, TOT revenues would be further reduced by approximately $370,000.

However, given the expected attrition of operators due to these restrictions, this scenario is unlikely.

Although it is not possible to predict the exact market response or its timing—particularly as the new STR Ordinance cannot take effect in the Coastal Zone until approved by the Coastal Commission—the total annual revenue losses could range from $1.4 million to $1.5 million once implemented citywide. Assuming the ordinance takes effect 30 days after adoption and is fully implemented in the non-coastal zone during the annual renewal in October 2025, the prorated revenue reductions in TOT, business license tax, and STR permit fees are projected at $580,500 for the FY 2025-26 budget, increasing to $775,000 for FY 2026-27 (full-year impact).

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Packet Pg. 294 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 12 February 24, 2025
These estimates assume that the ordinance will not be in effect in the Coastal Zone throughout the next fiscal year.

This estimate excludes the broader economic implications of the Draft Ordinance on Pacifica’s local economy, such as sales tax revenues and impacts on visitor-serving businesses, including restaurants, cafes, and retail establishments that rely heavily on the hospitality sector. A comprehensive economic impact study, conducted by a qualified consulting firm, would be necessary to assess potential shifts in spending patterns, the impact of STR renters versus long-term renters on local businesses, and whether tourists would opt to stay in Pacifica’s limited hotel inventory or utilize STRs outside the city. The City Council has not requested such a study prior to its deliberation and direction on the STR Ordinance.

Administrative Cost Implications
The implementation and enforcement of the proposed Draft Ordinance will likely result in substantial increases in administrative costs. New operational requirements, such as permit cap management, monitoring STR activities, and ensuring compliance, will require additional staff time and resources. Specific provisions, including noise monitoring and regular inspections, will further escalate code enforcement costs and operational burdens.

The added complexities of the new regulations—including tracking rental activities, identifying violations, bringing non-compliant accounts into compliance, initiating permit revocation processes, and compiling evidentiary packets for hearings—are expected to significantly increase third-party administrative expenses. Staff is currently working with CSG, a consulting firm that may provide the necessary building inspection services for STR units, and HdL, the City's STR third-party administrator, to outline the expanded scope of work and estimate additional costs for implementing the new STR ordinance. Preliminary estimates suggest these third-party costs could increase by $50,000–$100,000 annually, not including additional staff capacity that may be required to manage the program’s increased complexity.

The City’s strategic plan includes a comprehensive review of the fee schedule to ensure adequate cost recovery for STR permit processing and enforcement. STR permit processing fees will be reassessed as part of a broader master fee schedule review, requiring a future City Council decision regarding the extent to which costs can be recovered through permit fees imposed on STR operators.

ORIGINATED BY:

Planning Department
ORIGINATED BY:

Community Development Department
ATTACHMENT LIST:

Attachment A: Planning Commission Staff Report + Attachments dated January 21, 2025 (PDF)
Attachment B: Planning Commission Final Resolution 2025-001 - signed (PDF) Attachment C: Public Comments to Planning Commission (PDF) Attachment D: Status and Count of Short Term Rental Properties FY2024-25_Q2_Pacifica (PDF)

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Packet Pg. 295 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 13 February 24, 2025
ORDINANCE NO. (ID # 5860)
ORDINANCE NO. ___________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PACIFICA REPEALING AND REPLACING ARTICLE 49 (SHORT TERM RENTALS) OF CHAPTER 4 OF TITLE 9 OF THE

PACIFICA MUNICIPAL CODE RELATING TO THE REGULATION AND PERMITTING OF

SHORT-TERM RENTALS AND ESTABLISHING FINES AND PENALTIES FOR VIOLATIONS CONSISTENT WITH GOVERNMENT CODE SECTION 25132(E); AMENDING PACIFICA MUNICIPAL CODE SECTION 9-4.2904 (EXEMPTED SIGNS) (TEXT AMENDMENT TA-157- 25); AND FINDING ADOPTION OF THE ORDINANCE EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) (FILE NO. 2025-001)
WHEREAS, on June 24, 2024, August 26, 2024, September 9, 2024, and December 5, 2024, the City Council of the City of Pacifica considered and provided input on ordinance revisions to the City’s Short-Term Rental Ordinance enacted on February 27, 2023; and WHEREAS, since enactment of the Short-Term Ordinance, residents have commented to the City Council about impacts of Short-term Rentals, including the loss of parking, excessive noise, disruptions to the community, loss of neighborhood integrity and other deleterious impacts; and
WHEREAS, the City Council has also received public comments relating to the sale of residential property in Pacifica for the singular purpose of using the property as a Short-term Rental, which can negatively impact the community by reducing housing units available for longterm residential use; and WHEREAS, Short-term Rentals can provide benefits to the community by providing economical options for transient lodging as well as income generating opportunities for property owners in Pacifica; and
WHEREAS, it is in the public interest to minimize the adverse impact of Short-term Rental activity on the health and safety of residents and visitors and to ensure such activity is conducted in a manner that preserves existing housing, communities and neighborhood integrity; and
WHEREAS, regulations that balance the benefits to the community from Short-term Rentals and address the negative impacts from Short-term Rentals are important to provide assurances to the community and long-term stability to Short-term Rental operators and guests; and
WHEREAS, the Planning Commission of the City of Pacifica held a duly noticed public hearing on the proposed amendments contained in Text Amendment TA-157-25 (File No. 2025- 001) on January 21, 2025, and adopted Resolution No. 2025-001 by a vote of 6-0 initiating and recommending to the City Council adoption of Text Amendment TA-157-25 (File No. 2025-001); and
WHEREAS, the City Council held a duly noticed public hearing on the proposed ordinance on February 24, 2025 and introduced Ordinance No. ### on the same date; and NOW, THEREFORE, the City Council of the City of Pacifica does ordain as follows:

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Section 1. Recitals. The City Council of the City of Pacifica does hereby find that the above referenced recitals are true and correct and material to the adoption of this Ordinance.

Sec. 9-4.4901. Definitions.

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(i) “Operator” means the Person who has applied for a Short-term Rental Permit or has been issued a Short-term Rental Permit by the City. (j) “Person” means natural person, corporation, business trust, estate, trust, partnership, limited liability company, association, or other entity. (k) “Permit” or “Short-term Rental Permit” means a permit issued by the City pursuant to this Article to allow the use of a single Short-term Rental on a single Site.
(l) “Primary residence” means a residence where a Person resides, full-time, for more than six months out of the year.
(m) "Rental" means the occupancy or use of a dwelling unit property, in exchange for any form of rent that may be valued in money, including cash, credit, goods, labor, or property, regardless of whether such rent is actually received. (n) “Responsible party" shall mean a natural person Person, over the age of eighteen (18), who shall be responsible for ensuring compliance with all applicable provisions of the Pacifica Municipal Code by all Short-term Renters and visitors of a Site for a Short-term Rental, twenty-four (24) hours per day, seven (7) days per week when the Operator is not available. (o) “Single-family dwelling unit” means a building designed for, or used to house, not more than one family, including all necessary employees of such family. Singlefamily attached homes are not included in this definition. (p) “Site” shall mean the assessor’s parcel upon which the Short-term Rental is located.
(q) "Short-term Rental" means the use of a dwelling unit, or portion of it, for a Rental of less than thirty (30) consecutive days. A “Short-term Rental” can be either Unhosted or Hosted.
i. “Hosted Short-term Rental” means a Short-term Rental use where a resident, who is the operator and acting as a host, occupies one or more bedrooms in a dwelling unit or an accessory dwelling unit on the same Site as the Short-term Rental while other areas of the dwelling unit or main residence on the Site are rented for the purpose of transient overnight lodging.
ii. “Unhosted Short-term Rental” means a Short-term Rental use where no Operator is present on the Site during the course of the Rental. (r) “Short-term Rental Permit cap” means the maximum number of Short-term Rental permits that may be issued at any given time by the City. (s) Short-term Renter. A person who exercises occupancy or is entitled to occupancy by reason of a booking transaction, concession, permit, right of access, contract, license, or other agreement for a period of less than 30 consecutive days, counting portions of days as full days in a Short-term Renal.

Short-Term Renters also include all Persons who occupy the Short-Term Rental during the overnight hours of 10:00 p.m. to 8:00 a.m.

Sec. 9-4.4902. Permits required for Short-term Rentals – Permit Cap. (a) The Short-term Rental of residential dwelling units is a prohibited use in every zoning district in the City, with the exception of permitted Short-term Rentals approved pursuant to the requirements of this article.

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Packet Pg. 298 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 16 February 24, 2025
(b) Subject to the requirements of this article, including the Short-term Rental Permit cap, Short-term Rentals are allowed as accessory uses to residential dwelling units in all zoning districts where residential dwelling units are allowed as a permitted or conditional use.
(c) Permit Cap. The Short-term Rental Permit cap shall be one hundred fifty (150) Short-term Rental Permits at any given time. The Administrator shall not approve any applications for Short-term Rental Permits once the Administrator has determined that the Short-term Rental Permit cap has been reached. (d) The Administrator shall create a waiting list where the number of Short-term Rental applicants exceeds the total number of available Short-term Rental Permits. Pursuant to Section 9-4.4904(g) of this article, Short-term Rental applications for qualifying properties on the wait list shall be processed in the order applications were received.

Sec. 9-4.4903. Standards applicable to Short-term Rental Sites.

The following standards shall apply to any Site offered as a Short-term Rental. No Shortterm Rental Permit shall be issued if the Site is not compliant with the following:
(a) In accordance with Section 9-4.453(a)(6) and 9-4.454(a)(6), no Person may operate a Short-term Rental in any accessory dwelling unit or junior accessory dwelling unit. However, the Operator of a Hosted Short-term Rental may reside in an accessory dwelling unit or junior accessory dwelling unit on the Site and Operate the Hosted Short-term Rental in the primary residence on the Site; (b) No Person shall Operate or allow a Short-term Rental in any location not approved for use as a permanent dwelling unit (received Certificate of Occupancy or equivalent final inspection), including, but not limited to, any vehicle, trailer, tent, storage shed or garage;
(c) Each Person Operating a Short-term Rental shall have their Primary Residence at the Site of the Short-term Rental. If the Person is a corporation, business trust, estate, trust, partnership, limited liability company, association, or other entity, the managing member of the limited liability company, officer of the corporation, or trustee of the business trust or estate or a partner must have their Primary Residency on the Site. To prove Primary Residency, the Person must provide at least three forms of documentation to the Administrator evidencing that the Site of the Short-term Rental is their Primary Residence for more than six months of the year. Documentation can include, but is not limited to, proof of homeowner's tax exemption, voter registration card or certificate, or proof of vehicle registration.
(d) An Operator shall Operate only one Short-term Rental at any given time; (e) For a single-family residential unit or a residential condominium dwelling unit, one Short-term Rental may Operate as an accessory use on the Site; and (f) For a Multi-family development, only Hosted Short-term Rentals may be Operated as an accessory use to an individual unit within the Multi-family development.

Sec. 9-4.4904. - Short-term Rental Permit required.

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Packet Pg. 299 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 17 February 24, 2025
Subject to those requirements in Section 9-4.4903 and subject to the Short-term Rental Permit cap specified in Section 9-4.4902, a Short-term Rental Permit along with a ShortTerm Rental Permit number may be approved and issued by the Administrator, provided that the Administrator determines the applicant has met the following requirements:
(a) Application. Any Person seeking to operate a Short-term Rental must complete an application on a form provided by the City, accompanied the fees established by resolution of the City Council. The application form will include, at a minimum, the following information:
i. Name and contact information of the Operator.
ii. All adults for whom the property is a permanent residence shall be listed; ii.iii. The name and contact information of the authorized Responsible Party.

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Packet Pg. 300 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 18 February 24, 2025
(d) Inspection of Unhosted Short-term Rentals. For Unhosted Short-term Rentals, the City shall conduct a health and safety inspection of the proposed Short-term Rental unit prior to issuing a Short-term Rental Permit. A health and safety inspection shall include verification of the number of Legally Permitted Bedrooms, the presence and operation of working smoke detector(s), carbon monoxide detector(s), and fire extinguishers. The City shall also verify that no space has been converted into a bedroom or living space without permits required by the California Building Code, International Property Maintenance Code and Residential Code, as adopted by the City in Title 8, or any other provision of this Code.
(e) Consent to Inspection and Production of Records. For all Short-term Rentals, the permit application shall be accompanied by a consent to inspection in a form prepared by the Administrator, which shall be signed by the Operator and if the Operator is not the owner of the Site, the owner of the Site consenting to (i) physical inspection(s) by city staff, contractors, or representatives for the purpose of verifying compliance with this article during regular business hours (7:30 a.m. to 5:30 p.m.) upon forty-eight (48) hours’ notice and (ii) that if said inspection is deemed necessary by the Administrator because of complaints received by the City of non-compliance, the Operator will produce records demonstrating compliance with all provisions of this article within seven (7) calendar days of the request.
(f) Compliance with the Municipal Code. No Short-term Rental Permit shall be issued if there are any unresolved or outstanding building, electrical, plumbing, fire, health, housing, police, or planning violations or enforcement actions issued by the City or other enforcement agency, including but not limited to, any administrative citations, notices of violation, notices to cure, orders of abatement, cease and desist orders, or correction notices related to the Site. (g) Compliance with Operation Requirements. No Short-term Rental Permit shall be issued if the Site has had two or more violations of this article within twelve months prior to application submittal. No Short-term Rental Permit shall be issued if the Operator has had a Short-term Rental Permit revoked within twelve months of the application date by the City of Pacifica. (h) Waitlist. The Administrator will maintain a waiting list when the number of Shortterm Rental applicants exceeds the Short-term Rental Permit cap identified in Section 9-4.4902. The Administrator will continually maintain the Short-term Rental Permit cap inventory as Permits are not renewed or revoked. Persons wishing to be placed on the waitlist shall submit a waitlist application on a form provided by the City accompanied by the completed Short-term Rental Permit application required by Section 9-4.904(a). A nonrefundable waitlist application fee in an amount established by resolution of the City Council shall be remitted with the application. Short-term Rental applications for qualifying properties on the waitlist will be processed bi-annually between October 31 and November 30 of each year and between April 30 and May 31 of each year based on the date of receipt of the application, starting with the oldest date. The Administrator, in their discretion, may require an Applicant placed on the waitlist to provide updated information at the time a Short-Term Rental Permit becomes available, in accordance with requirements in place at the time the application is being considered.
(i) Appeals of Determination of Administrator. Any decision of an Administrator relating to an application or the waitlist may be appealed within ten (10) days of the decision of the Administrator to an administrative hearing officer, pursuant to the process specified in section 9-4.4908(d).

Sec. 9-4.4905. Operation Requirements.

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Packet Pg. 301 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 19 February 24, 2025
A Short-term Rental must comply with the following operation requirements at all times that the Short-term Rental Permit is issued:
(a) Permit required. The Short-term Rental must be operated under a valid Shortterm Rental Permit issued by the City in accordance with Section 9-4.4904; (b) The Operator shall, during the term of the Short-term Rental Permit, promptly inform the Administrator regarding any changes to the information provided in the application, including contact information and Advertising platform(s) used by the Operator to advertise the Short-term Rental;
(c) The Operator shall, at all times while the Site is being used as a Short-term Rental, maintain a Responsible Party that can be reached via telephone twentyfour (24) hours a day, seven (7) days a week, to respond to complaints regarding the use of the Short-term Rental. The Responsible Party shall respond, either in person, or by return telephone call, within thirty (30) minutes of a complaint. The Responsible party shall make all reasonable efforts to address the complaint.

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Packet Pg. 302 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 20 February 24, 2025
(g) A Short-term Rental shall not create pedestrian, automobile, or truck traffic detrimental to property in the vicinity or neighborhood parking impacts. The property address shall be clearly marked;
(h) A Short-term Rental shall comply with all provisions of the Pacifica Municipal Code, including, but not limited to the City’s noise regulations (Chapter 10 of Title 5 of this Code) and the Loud and Unruly Gatherings and Social Host Liability Ordinance (Chapter 28 of Title 5 of this Code), Garbage, Collection and Recycling (Chapter 5 of Title 6 of this Code), and the Building Regulations (Chapters 1-17 of Title 8 of this Code);
(i) A Short-term Rental shall comply with all applicable state and local laws and orders, including any public health order;
(j) Each Person Operating a Short-term Rental shall comply with the transient occupancy tax requirements set forth in Chapter 7 of Title 3 (Transient Occupancy Tax) of this Code, and shall obtain a Transient Occupancy Registration Certificate pursuant to the Section 3.7-06 for the entire period of time the Site is used as a Short-term Rental;
(k) Each Person Operating a Short-term Rental shall obtain a business license and pay the business license tax required pursuant to Chapter 1 of Title 3 (Business Licenses) of this Code for the entire period of time the Site is used as a Shortterm Rental; (l) Maximum overnight occupancy for all Short-term Rentals shall not exceed two (2) Short-term Renters per Legally Permitted Bedroom. Children under the age of twelve (12) shall not count towards these occupancy limits; (m) In addition to the maximum number of Short-term Renters allowed, the number of guests and visitors allowed at any time in a Short-term Rental shall not exceed one half of the maximum Short-term Renters allowed;
(n) Use of all outdoor pools, spas and hot tubs shall be prohibited between the hours of 10:00 p.m. and 7:00 a.m.;
(o) In addition to the noise standards identified in Chapter 10 of Title 5 and Chapter 28 of Title 5 of this Code, no radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any s Short-term Rental. Any machine, device or equipment that amplifies music inside any Short-term Rental shall not be heard beyond the property line of the Short-term Rental at all times; (p) Each Operator shall install and maintain in continuous operation a Noise Monitor on the exterior of the Short-term Rental to ensure compliance with the City’s noise regulations (Chapter 10 of Title 5 of this Code). The Operator shall retain a record of the Noise Monitor readings for a period of thirty (30) days after each Rental of the Short-term Rental;
(q) Within the Coastal Zone, the The Short-term Rental must provide at least one offstreet parking space per Legally Permitted Bedroom that is being utilized as a Short-term Rental, which shall be dedicated and available to Short-term Renters

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Packet Pg. 303 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 21 February 24, 2025
during the period of the Rental. Outside the Coastal Zone, Short-term Rentals shall require two (2) off-street parking spaces;
(r) Short-term Rentals shall not be concurrently used for any commercial Event (such as a corporate retreat or conference), and shall not be used for any noncommercial Event that is likely to result in a violation of traffic, parking, noise, or other standards regulating the residential use and character of the neighborhood.

Sec. 9-4.4906. Record Keeping.

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Packet Pg. 304 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 22 February 24, 2025
obtain a new Short-term Rental Permit, subject to the requirements in effect at the time an application is submitted.
i. Renewal applications shall be reviewed for compliance with this article. If a Short-term Rental Operator is not in compliance with this article, the Short-term Rental shall not be renewed.
ii. Proof of Rental Nights. For any renewal, the Operator shall provide documentation of the number of nights the unit was rented during the prior year, including whether the unit was used as a Hosted Short-term Rental or an Unhosted Short-term Rental.

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Packet Pg. 305 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 23 February 24, 2025
(d) Appeal to Hearing Officer. Suspension or revocation issued by the Administrator pursuant to paragraph (a) or (b) will be effective ten (10) days from the date appearing on the notice, unless a timely appeal is filed before such date along with the deposit of an appeal fee established by resolution of City Council. A hearing shall be scheduled before the hearing officer within thirty (30) days. The decision of the hearing officer shall be a final administrative order, with no further administrative right of appeal or reconsideration. The hearing officer may sustain a denial, suspension, or revocation, overrule a denial, suspension, or revocation, reduce a revocation to a suspension and/or reduce the length of a suspension. (e) Reapplication. No application for a Short-term Rental Permit will be accepted within one year after a Short-term Rental Permit is revoked.

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ii The fines set forth in this subsection shall not apply to a first-time offense of failure to register or pay a business license fee.
(e) Revocation. In addition to the fines and penalties imposed by this section, upon a second violation of this article within a twelve (12) consecutive month period, the Administrator shall revoke the Short-term Rental Permit. (f) Cost Recovery. The City’s costs to enforce this section are the responsibility of the Operator. The costs may be recovered pursuant to Chapter 2 of Title 1 of this Code, Government Code Section 38773 et seq. and any other legal method. (g) Administrative Subpoenas. The city manager, or designee, shall have the authority to request the city attorney to subpoena witnesses to compel their attendance and testimony at hearings and to require the production of books, papers, records or other relevant items regarding Short-term Rental listings located in the City, including, but not limited to, the names of the Persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay, to determine whether the Short-term Rental listings comply with this article. Any subpoena issued pursuant to this Section shall not require the production of information sooner than thirty (30) days from the date of service. A Person, Advertising platform, or Short-term Rental operator that has been served with an administrative subpoena may seek judicial review during that thirty (30) day period.

4.4903(a) and (b), 9-4.4904, 9-4.4905(a) through (k), 9-4.4906, 9-4.4907, 9-4.4908, 9-4.4909, and 9-4.4910. All other provisions of this Ordinance (Sections 9-4.4903(c) through (f), 9-

Section 3. Amendment. Article 29 of Chapter 4 of Title 9 is amended by adding subsection (t) to Section 9-4.2904. Exempted signs which shall be read as follows:
“Sec. 9-4.2904. - Exempted signs.
…

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Packet Pg. 307 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 25 February 24, 2025
(t) Short-Term Rental signs required pursuant to, and in compliance with, Section Sec. 9-4.4905 Operation Requirements” Are exempt from the permit requirements and provisions of this Article.”
All other subsections within Section 9-4.2904 shall remain unchanged.

Section 8. PASSED AND ADOPTED this day of , 2025 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
____________________________
Sue Beckmeyer, Mayor
ATTEST: APPROVED AS TO FORM:

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Packet Pg. 308 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 26 February 24, 2025
____________________________ ____________________________ Sarah Coffey, City Clerk Michelle Kenyon, City Attorney

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Packet Pg. 309 Attachment: Attachment A - City Council STR Ordinance Staff Report (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) Pacifica City Council 27 February 24, 2025
* * * * *
(ID # 5860) at 2/24/2025 7:00 PM City Council Regular Meeting

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CITY OF PACIFICA

CITY COUNCIL REGULAR MEETING
February 24, 2025 (MONDAY) – 7:00 PM
www.cityofpacifica.org
Mayor Sue Beckmeyer called the meeting to order on February 24, 2025 at 7:30 PM 7:00 PM REGULAR MEETING - OPEN SESSION
Call to Order
Mayor Beckmeyer reconvened the regular meeting at 7:30 p.m.

Attendee Name Title Status Arrived
Sue Beckmeyer Mayor Present
Christine Boles Mayor pro Tem Present
Mary Bier Councilmember Present
Mayra Espinosa Councilmember Present
Greg Wright Councilmember Present
City Clerk Coffey took a verbal roll call.

Staff Present: Kevin Woodhouse, City Manager; Denise Bazzano, Asst. City Attorney; Yulia Carter, Asst. City Manager (Zoom); Maria Sarasua, Police Chief; Scott Leslie, PB&R Director; Samantha Updegrave, Community Development Director; Marisol Gómez, Finance & Administrative Services Director; Louis Sun, Interim PW Director; Roland Yip, PW Dep. Director (Field Services/Engineering); Daniel Patten, Wastewater Engineering Manager; Sarah Coffey, City Clerk; Emily La, Dep. City Clerk.

Reading of Land Acknowledgment
Mayor Beckmeyer read the Land Acknowledgment.

Salute to the Flag led by Councilmember Espinosa

CONSENT CALENDAR
Mayor Beckmeyer asked Council and staff to move Council and Staff Communications to the end of the meeting.

Mayor pro Tem Boles asked the City Manager to announce Strategic Planning meeting details

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and give an approximate time for public comments for that all-day session.

Mayor Beckmeyer asked if any Councilmembers wished to pull any items from Consent. Seeing none, she opened public comments for the Consent Calendar. There were no public comments.

Councilmember Bier moved to approve the consent calendar; seconded by Mayor pro Tem Boles.

RESULT: ADOPTED [UNANIMOUS]
MOVER: Mary Bier, Councilmember
SECONDER: Christine Boles, Mayor pro Tem
AYES: Beckmeyer, Boles, Bier, Espinosa, Wright

1. 2024 Mandated Fire and Life Safety Inspections Compliance Report PROPOSED ACTION: Receive and acknowledge the 2024 Mandated Fire and Life Safety Inspections Compliance Report of the North County Fire Authority’s mandated fire and life safety inspections performed within the City of Pacifica pursuant to Sections 13146.2 and 13146.3 of the Health and Safety Code.

2. Notice of Completion for the FY 2024-25 Resurfacing Project PROPOSED ACTION: Move to Adopt the Resolution of the City Council of the City of Pacifica accepting completion and directing the City Manager to file Notice of Completion for the FY 2024-25 Resurfacing Project; and authorize the City Manager to release the retention funds to the contractor.

3. Primary Grant Agreement with the San Mateo County Transportation Authority for future Measures A and W Funding
PROPOSED ACTION: Adopt the resolution entitled "A Resolution of the City Council of the City of Pacifica Authorizing Execution of a Primary Grant Agreement with the San Mateo County Transportation Authority for future Measures A and W Funding.”

4. Resolution Authorizing Master Agreement for Consultant Services and Task Order No. 1 with Hazen and Sawyer for Engineering Design Services for the Headworks Rehabilitation and Improvement Project (P040)
PROPOSED ACTION: Move to Approve a Resolution Authorizing a Master Agreement for Consultant Services and Task Order No. 1 with Hazen and Sawyer for engineering design services in the amount of $1,346,500 for the Headworks Rehabilitation and Repair Project (P040); Approve budget authority in the amount of $1,548,475 which includes 15% contingency in the amount of $201,975; and Authorize the City Manager to execute all documents related to the project; and Authorize the City Manager to execute all documents related to the project.

PUBLIC COMMENTS ON ITEMS NOT ON THE POSTED AGENDA
Aren Clark, Pacifica, mentioned the increase in trees on the hills and there being an increase in fire hazards. He asked about a plan to protect the open space and address the fire hazards.

Dan Stegink, Pacifica, contacted elected officials regarding instating an anti-bribery ordinance in response to one of his appeals to a Pacifica development and stated Sheriff Christina Corpus was one of two respondents who would push for it. He explained that he opposed the Measure

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A, which would allow the Board of Supervisors to remove her.

Amanda Kraft, Pacifica, stated they are present on behalf of a situation at the Seacliff Apartments on Palmetto Avenue regarding discrimination and illegal evictions, and she requested that the City have a dialogue and work out the situation with Code Enforcement.

Frankie Burton, San Francisco, shared her concerns about the illegal, racist, classist, and inhumane activities at Seacliff Apartments and requested that the City communicate with the advocates regarding this issue and help the community against discriminatory practices.

Natalie Hopner, Pacifica, stated she lives in Seacliff Apartments and highlighted the concerns on the predatory practices in the complex for the residents especially on subsidies and asked Council to address the issue as well as accountability.

Ken Miles, Pacifica, shared his concerns on possible wildfires in Pacifica and suggested options to mitigate the situation. He warned of the likelihood of a burnt out community.

Joaquin Jiminez, Half Moon Bay, shared his concerns about Measure A taking away our power to vote and opposed the Measure A, which would allow the Board of Supervisors to remove Sheriff Christina Corpus.

Andromeda Garcelon, San Mateo County, shared her concerns and thoughts on the issues at Seacliff Apartments. She asked the City Council to enforce tenant and renter laws in response to the predatory and retaliatory practices done by management.

Jen Hansen, Pacifica, shared a quote (“Quiet women rarely make history”) and she thinks of Sheriff Corpus when she hears about Measure A. She then expressed concerns about fire safety and encouraged a defensible space ordinance.

Erin Macias, Pacifica, spoke of the RVs coming from San Francisco and emphasized the transition of the existing homeless population into housing stability and not accepting other cities’. She also spoke on concerns regarding fire safety issues with possible strategies regarding defensible space to address it.

Mark Macias, Pacifica, stated he is a retired Fire Department Lieutenant and asked if there has been any progress made on defensible space issues on Crespi, Alma Heights, etc. He also expressed concern about the homeless panhandlers on the Linda Mar Mall exit and asked why the law is not being enforced.

COUNCIL COMMUNICATIONS

STAFF COMMUNICATIONS
City Manager Woodhouse stated the Strategic Planning meeting would take place on March 1 regarding the annual Strategic Plan Update Workshop with City Council, facilitated by Greg Larson. It will occur in the City Council Chambers and in-person only. The published agenda specified that public comment will not occur earlier than 10:15 am. The day is expected to run into the afternoon, perhaps to 4:00 p.m.

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PUBLIC HEARINGS

5. Public Hearing on a proposed ordinance repealing and replacing Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“Short-Term Rentals”); making certain amendments to Article 29 of Title 9, Chapter 4, Section 9-4.2904 (“Exempted Signs”) of the Pacifica Municipal Code; and finding the adoption of the Ordinance exempt from the California Environmental Quality Act (CEQA).

PROPOSED ACTION: Conduct a public hearing and introduce an Ordinance of the City Council of the City of Pacifica repealing and replacing Article 49 of Title 9, Chapter 4 of the City of the Pacifica Municipal Code (“Short-Term Rentals”); amending Article 29 of Title 9, Chapter 4, Section 9-4.2904 (“Exempted Signs”) of the Pacifica Municipal Code; and finding adoption of the Ordinance exempt from the California Environmental Quality Act (CEQA).

Community Development Director Samantha Updegrave presented the staff report.

City Manager Woodhouse stated that Asst. City Manager Carter is on Zoom and there are HdL consultants Alex Terrazas and Bret Harmon on Zoom.

Mayor Beckmeyer asked if Council had any questions.

Mayor pro Tem Boles stated there were 139 compliant STRs now and asked for a rough number of how many are non-compliant. She also heard that staff is recommending against platform accountability and would like to understand how that is working out in more detail, where it is well, and where we are having trouble with enforcement, how helpful it is, etc. She is trying to understand how valuable that is and if we have been able to reduce the number of noncompliant with their help.

Community Development Director Updegrave stated, according to HdL records, there are 8 non-compliant STRs in the coastal areas and 6 in the non-coastal for a total of 14.

Mayor pro Tem Boles asked what date that is from.

Asst. City Manager Carter stated that the latest data from HdL was from Quarter 2, ending December 31, 2024.

City Manager Woodhouse stated he will start on platform accountability. He stated that the compliance work that the City has been doing is mostly through HdL as our monitor to make sure we have all the appropriate permits, so the platforms are not helpful in that compliance.

Previously the City had worked over years to develop the relationship with AirBnB in terms of putting permit numbers on sites. Once we started this process, Airbnb was less responsive to our dialogue. They are still responding and we are working on that relationship and hope to continue to encourage that.

Asst. City Attorney Bazzano stated, as indicated in the staff report, staff is not recommending including provisions about platform accountability. There are practical and legal limitations on what the City can do in terms of holding platforms accountable. In terms of practical limitations, some of the platforms are located in Europe, as well as United States. Holding a platform that is located in Europe accountable would be extremely difficult for the City. In terms of legal limitations in the United States, the City would be limited or preempted from imposing certain regulations under the Communications Decency Act, which generally regulates the content

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users post on the website. She stated, as indicated in the staff report, staff’s recommended focus is on operators and responsible persons that are located locally that are more practical and achievable in terms of enforcement.

Mayor pro Tem Boles asked about staff’s reasoning for the language around the ADUs in allowing someone living in their ADU to rent their house as a full-time unhosted STR. She understands that STRs cannot be an ADU by State law but what are we hoping to achieve.

Community Development Director Updegrave stated that it was a clarification as, under state law, the presence of an ADU cannot change the nature of the residential use. If you have a single-family house with an ADU, you cannot regulate that ADU like a duplex or a multi-family unit so the residential status of the unit itself is unaffected. What that provision does is that it clarifies and reiterates that ADUs cannot be used as the STR, but the property owner or tenant is not required to reside in the primary residence.

Mayor pro Tem Boles stated it seems like a specific allowance of use of the home as what is a full time “hosted” with someone on the site but no one in the building.

Community Development Director Updegrave does not believe it allows something that is not already allowed but, in making the distinction between hosted and unhosted, that clarification becomes necessary.

City Manager Woodhouse stated that his recollection is that Council discussed this issue in the December hearing and there were comments made about the situation where that might benefit someone to live in their ADU and rent out their house as a hosted. Staff did not receive direction differently from Council on that.

Mayor Beckmeyer recalled a Council majority indicating they did not favor that practice.

Mayor pro Tem Boles stated that is her recollection also. She understood that the Planning Commission had other suggestions for not requiring one parking space per bedroom in the noncoastal zone but she has not heard why they thought that was important.

Community Development Director Updegrave stated her recollection was, because the recommendation had come from the Coastal Commission, the requirement for one parking space per legally rented STR bedroom related more directly to the parking needs within the coastal zone; and outside of the coastal zone, the parking demands would not be quite as high.

Thus, it was to allow existing residential dwellings to also use STR and keeping the parking requirements potentially lower and more in line with the residential zoning parking standards.

Mayor Beckmeyer referred to “detrimental impact to traffic” and asked what it means.

Community Development Director Updegrave stated it is one of the operational requirements in Section 9-4.4905.

Councilmember Espinosa referred to inspections and stated the owner-occupied STR does not need the home inspection. She stated that we do not know what the house looks like; if the owner lives in the house, it does not mean that the house has the requirements like smoke detectors or a carbon monoxide detector and other issues that should be checked out.

Community Development Director Updegrave stated that, in the ordinance, for the hosted STRs,

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the operator would be required to self-certify that those things are present.

Councilmember Espinosa asked if they have to do it themselves or hire somebody.

Community Development Director Updegrave stated it is a self-certification so they would sign an attestation as part of the application.

Councilmember Espinosa asked if they would say they have the smoke detectors and they will certify themselves.

Community Development Director Updegrave stated it is a self-certification, subject to all of the applications.

Asst. City Attorney Bazzano stated “detrimental” was in Section 9-4.4908: “permit revocation can occur when the STR is operated in a manner detrimental to the public health welfare or safety or constitutes a nuisance”.

Mayor Beckmeyer asked what detrimental impact to traffic means.

Community Development Director Updegrave stated that it is in section 9-4.905(g): “not create pedestrian, automobile or truck traffic detrimental to property in the vicinity or neighborhood parking impacts. The property address shall be clearly marked.” Mayor Beckmeyer opened the public hearing.

Suzanne Moore, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, having a local operator available to respond to incidents within 30 minutes, stating that the maximum two violations are within a 12-month period and may result in revocation, clarifying that hosted rentals have hosts residing in the property during the rental, removing the provision allowing STR operators to live in their ADU, requiring inspection of all STRs, and investigating platform accountability, if useful.

Sophia Chang, Pacifica, stated she was present as a resident and STR host, and she shared her thoughts in support of STRs and its benefits to Pacifica. She agreed with tighter enforcement but stressed that the funds generated from STRs are essential for public services.

Stephanie Robbins, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, implementing platform accountability, and maintaining the same parking standards for coastal and non-coastal areas in Pacifica.

Patrick Beatty, Pacifica, shared his experience with problematic STRs and thought the fiscal impact in the staff report was very limited. He also spoke in support of inspections of all STRs.

Don Creasman, Pacifica, stated he has been a host for eight years with no complaints and emphasized the difference between hosted and unhosted STRs. He asked that Council keep the difference in mind while crafting the ordinance.

Margaret Coles, Pacifica, stated she was representing the Seaside Merchants Association and shared their position on this issue. She stated it may be advantageous to have a carve-out area for STRs, emphasized how weekend visitors generated business and tax revenue, and encouraged a more nuanced look at how STRs are regulated.

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Jen Hansen, Pacifica, emphasized the need for platform accountability, submitting listings with STR applications, local responsible parties, limiting unhosted STRs to 60 nights, inspections of all STRs, defining non-commercial events, and requiring fire ladders for multi-story buildings.

Andy Meiman, Pacifica, spoke in support of limiting unhosted STRs to 60 nights and implementing platform accountability. He asked Council to be skeptical of the fiscal impact in the staff report.

Dian Emerson, Pacifica, spoke in support of limiting unhosted STRs to 60 nights and keeping one parking space per bedroom per STR in all of Pacifica. She described issues with no limit on children under 12 years old in STRs.

Bryan Reinero, Pacifica, expressed concern with the fact that STR operators can remain in an ADU while renting out their main property and spoke in support of platform accountability.

Gary Furlong, Pacifica, expressed concerns with the fiscal impact in the staff report, including statistics about parking, renting for 60 days vs. 90 days, and multi-family rentals.

Gary Chinca, Pacifica, spoke in favor of maintaining the same parking standards for coastal and non-coastal areas in Pacifica, inspections of all STRs, and a maximum occupancy on children. He also would like an expedited timeline for implementation.

Rebecca Smith-Coggins, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, inspections of all STRs, a maximum occupancy on children, and viewing violations within a 24- month period.

Danny Estrella, Pacifica, stated that long-term residents that make up the rich culture of the community and expressed concerns about STRs taking up housing availability for potential residents. He opposed STRs in a residential neighborhood and especially unhosted STRs.

Bob O’Donnell, Pacifica, described the consequences of the original STR ordinance and stated improvements needed to be made to the new ordinance, such as limiting unhosted STRs to 60 nights, an expedited timeline for implementation, and inspections for all STRs.

Leo Leon, Pacifica, spoke in favor of inspections for all STRs, removing the provision allowing STR operators to live in their ADU, and emphasized the importance of the health, safety, and welfare of the people.

Lyla Reinero, Pacifica, spoke in favor of platform accountability and described the multitude of issues she has experienced with the STR on their neighborhood with both guests and the operator. She stated she would like to see families reside in the STRs like they used to.

Kathy Moresco, Pacifica, asked for Council to look into converting STRs that come off the market to become housing. She also stated that some STRs only rent out through the summer and then are vacant for the rest of the year.

Joanne Gold, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, removing the provision allowing STR operators to live in their ADU, and implementing platform accountability.

Albert Zhang, Pacifica, spoke in opposition to the nightly cap, primary residence requirement,

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and public QR code requirement and stated they were economically damaging and unfair to responsible STR operators. He also described ways STRs benefit Pacifica’s economy.

Connie Menefee, Pacifica, described the multitude of issues she has experienced with the STR on their neighborhood and asked Council to strengthen the ordinance. She spoke in favor of increasing the permit, violation, and inspection fees and building more hotels in Pacifica.

Alan Hyland, Pacifica, shared the positive experiences he has had as an STR operator and described ways STRs benefit Pacifica’s economy. He emphasized the need for weeding out the bad actors.

Abselam, Pacifica, emphasized the need for weeding out the bad actors and stated building restrictions and code have restricted the housing availability more than STRs. He stated that restricting STRs will not solve the problem of housing availability and affordability.

Russell Jones, Pacifica, emphasized the need for weeding out the bad actors and stated the draft ordinance revisions were economically damaging and unfair to responsible STR operators.

He emphasized the need to focus on addressing problematic STRs and to maintain the economic benefit of STRs generally.

Mark Stechbart, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, a maximum occupancy on children, parking enforcement, making calls for service and other data available online, implementing platform accountability, and an oversight committee for STRs.

Kimberly Finale, Pacifica, shared her concerns for STRs causing a shortage of homes. She spoke in support of limiting unhosted STRs to 60 nights, having a local operator available to respond to incidents within 30 minutes, removing the provision allowing STR operators to live in their ADU, inspections for all STRs, and enforcement with platform accountability.

Caitlin Quinn, Pacifica, spoke in support of limiting unhosted STRs to 60 nights, clarifying that hosted rentals have hosts residing in the property during the rental, implementing platform accountability, and an expedited timeline for implementation for certain provisions.

Arlene Zhao, Pacifica, stated that enforcement of the ordinance is the issue with the four problematic properties and that the majority of compliant STRs should not be penalized for their conduct. She also spoke in favor of the economic benefit of STRs generally.

Alex Vardekostas, Pacifica, stated STRs make up 1% of the housing stock so removing or restricting STRs may not lead to significant changes in school enrollment and rental prices. He stated STRs may not return under this ordinance and that others were in support of Half Moon Bay’s ordinance but it allowed for STRs in commercial zones. He emphasized the need for weeding out the bad actors and spoke in favor of the economic benefit of STRs generally.

Cindy Abbott, Pacifica, emphasized that Pacifica is a community and spoke in favor of maintaining the same parking standards for coastal and non-coastal areas in Pacifica, implementing platform accountability, removing the provision allowing STR operators to live in their ADU, and having a local operator available to respond to incidents within 30 minutes.

Elda Kong, Pacifica, stated there are four problematic properties and that the majority of STRs are compliant. She encouraged Council to redefine “hosted” STR operator to include being reachable by phone within 10 minutes, being available at the property within 30 minutes, and

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providing contact information to the neighbors and the City. She also raised privacy concerns and opposed the QR code and primary residence requirement.

Tor Neilands, Pacifica, described the health and safety issues experienced with the STR on their neighborhood. He preferred removing all unhosted STRs but spoke in support of limiting unhosted STRs to 60 nights and having a local operator available to respond to incidents within 30 minutes.

Jessica Lu, Pacifica, shared the positive experiences she has had as an STR operator and described ways STRs benefit Pacifica’s economy. She emphasized the need to focus on addressing problematic STRs and for stricter regulations.

Sam Casillas, Pacifica, stated that he considers unhosted STRs as hotels operating in residential units and were impacting the housing stock and school enrollment and closures.

Erin Macias, Pacifica, spoke in favor of implementing platform accountability, limiting unhosted STRs to 60 nights, and removing the provision allowing STR operators to live in their ADU.

Mayor Beckmeyer closed the public hearing. She called for a break and then reconvened the meeting.

Councilmember Bier referred to inspections and the number of children.

Mayor pro Tem Boles suggested Council make clear when there is consensus on each issue.

Councilmember Wright asked about what inspections besides smoke and C02 detectors.

Councilmember Espinosa stated for the property.

Mayor pro Tem Boles stated that there could be a lot of things that they inspect. The draft ordinance has inspections for unhosted but the question is inspections for hosted. She stated that the point of an inspection is catching anything illegal that they might not see.

Councilmember Wright mentioned numbers of bedrooms and egress windows.

Mayor pro Tem Boles mentioned having egress windows, rooms that are bedrooms or have heat, basic building codes, and life safety issues. She thought pools and spas should be inspected as well.

Councilmember Wright stated he would concur with the pools.

Mayor pro Tem Boles agreed, adding smoke detectors, fire extinguishers, etc.

Councilmember Wright asked if fire extinguishers required for residential properties.

Mayor pro Tem Boles it is a requirement in part of their application for businesses like this. She thinks the City will work out what the list is for what is inspected, but the question is if we are requiring inspections for both hosted and unhosted.

Mayor Beckmeyer added how is it paid for.

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Mayor pro Tem Boles thought the applicant should pay and reimburse the City for the cost.

Councilmember Bier agreed.

Mayor Beckmeyer stated she does not understand where that happens.

Councilmember Wright stated he would need to know exactly what they are inspecting before he can decide whether he is in favor of inspections or not.

Mayor Beckmeyer stated that we have a list of things, i.e. fire extinguishers, windows, pools and spas, heat, legal bedrooms, and beds in hallways.

Mayor pro Tem Boles stated she has seen some that have bedrooms that open off a garage and that is a building code violation.

Councilmember Wright asked about hotels needing two means of egress.

Mayor pro Tem Boles stated that hotels do but houses do not.

Councilmember Wright stated that is why it gets tricky.

Mayor Beckmeyer stated she is hearing inspections for life safety issues, inspections on all STRs, and the applicant pays the cost for the inspection.

City Manager Woodhouse stated in the current ordinance drafted for unhosted STRs there is a scope for the inspection. He stated that staff can read that and Council can decide to expand or take that same scope and apply it to hosted STRs.

Asst. City Attorney Bazzano stated that it is section 9-4.4904(d), inspection of unhosted STRs.

Mayor Beckmeyer stated packet pages 18 and 62. She stated that pools and heat were not included in the inspections currently.

Mayor pro Tem Boles stated that heat and light are basic building code requirements and bedrooms cannot open off of a garage or a room with a water heater.

Councilmember Espinosa mentioned windows in bedrooms.

Mayor pro Tem Boles thinks that is part of a legally permitted bedroom, but compliant windows have to be of a certain size.

Councilmember Wright mentioned lighted ingress and egress.

Asst. City Attorney Bazzano asked if a majority of Council agrees with those additions.

There was Council consensus to see the language to make the final decision.

City Manager Woodhouse stated, for process, any substantive changes to the ordinance will need to go back to the Planning Commission and it will be a while before it gets back to Council for review and adoption.

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Councilmember Wright asked, regarding the process, what signifies a significant change and would this change necessitate going back to the Planning Commission.

Asst. City Attorney Bazzano answered affirmatively, stating that anytime Council changes the ordinance to something not contemplated or discussed by the Planning Commission, that would be a substantive change.

Councilmember Wright asked if it was possible to pass the ordinance as it is written and instruct staff to amend the ordinance that has been passed to include this.

Asst. City Attorney Bazzano stated that Council would not adopt anything at this meeting, only introducing the ordinance. If Council wants to make changes, they can make changes prior to introduction that have been considered by the Planning Commission in areas that are nonsubstantive changes, but for substantive changes it has to go back to the Planning Commission before it is introduced.

Councilmember Wright asked whether we can do both at the same time or does it need to be re-agendized. He was concerned about the waiting period for the ordinance to go into effect.

Mayor Beckmeyer stated we need to discuss the waiting period.

Councilmember Wright preferred that the operator to be able to show up within 30 minutes.

Mayor Beckmeyer asked about the designated responsible party.

Councilmember Wright stated that somebody needs to be able to show up within 30 minutes.

Mayor Beckmeyer stated someone local.

Councilmember Wright agreed. He then asked the City Manager if the license fee covers all the costs for processing those applications.

City Manager Woodhouse stated no. He stated that the license fee helps cover the cost, as the program costs more to administer than what the fees are.

Councilmember Wright asked if we are allowed to raise the license fee or is there a cap on how much the license fee can be.

City Manager Woodhouse stated that Council could consider that when we bring back the fee schedule during budget and make adjustments to what the permit fees cost at that time.

Councilmember Wright asked for the total amount of TOT revenue generated solely by STRs.

Asst. City Manager Carter stated that, in the past in the last two years, STRs generated approximately $1.3 million to $1.5 million in TOT only. She stated to keep in mind that, in November, Pacifica voters voted for Measure M, raising TOT to 15%. If we were talking about increase for the upcoming year, not considering the changes in the ordinance, we would be looking at roughly $1.8 million to $1.9 million in TOT generated solely by STRs.

Councilmember Wright asked for the cost for administrating the STR permits and regulations.

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City Manager Woodhouse stated the overall cost of administering the program is not something that we have calculated. Over the last couple of years, it would be much higher than we would hope on a normal basis. He stated that there were some public comments made about HdL getting paid several hundred thousand dollars, but that might be a number that relates to all the services that HdL provides to the City, including property tax, sales tax, cannabis audits, business tax administration, other audits as well as TOT compliance and STR audits; thus, the STR component is a very small piece of that.

Councilmember Wright asked if he had any estimate.

City Manager Woodhouse stated we would have to run those numbers. Staff have been having conversations with HdL about what future costs would be to administer this complex program as it would go up significantly.

Councilmember Wright thought he saw a number like $100,000 increase in that cost.

Asst. City Manager Carter stated that we do not have a hard cost yet, as we just started communications with HdL about what those new provisions would be.

Councilmember Wright thought estimated revenue from STRs are $1.8 million, subtracting the $1.4 million we would be potentially losing and the increased cost from HdL of $100,000, not to mention staff time and money lost on the revenue on processing the applications, etc. He thought the actual benefit to the city is minuscule compared to the amount of staff time put in to this and amount of time Council put into it. He is questioning the reasonableness of even trying to do an STR policy. He asked what the real benefit is to the City of having STRs at all.

Councilmember Espinosa added what people are going through.

Councilmember Wright asked staff about whether this policy gives Police sufficient ammunition to enforce this if there are problems as Code Enforcement does not work 24 hours a day.

City Manager Woodhouse stated that there are different enforcement mechanisms and processes involved in this program, such as compliance with tax aspects, business licenses, and permitting. Code Enforcement enforces property matters, and Police enforces public safety matters. He stated that the enforcement provisions in this ordinance will help but enforcement will always be complicated and difficult for private property matters, whether STR or other Code Enforcement matters. He stated that this ordinance, as drafted, helps with the enforcement means. The amount of fines that would be applied would hopefully be an incentive to bring a non-compliant operator into compliance but it will be a learning curve.

Councilmember Wright knows when some multi-unit buildings in the City have a fire alarm event SFFD sends a bill to the property owner for their response. He wondered if it would be possible to have the same ability for fining the STR operator for the cost of the Police response.

Asst. City Attorney Bazzano stated that we currently have that type of recovery process through the loud and unruly gatherings ordinance but that is specifically allowed by State law. Typically, fines for violations are set by the State for general law cities, such as Pacifica, and fines are very specific in what can be charged. Typically, we would try to recoup the cost related to the Code Enforcement action, but that is dependent upon the City succeeding in the Code Enforcement action and being able to recover the cost of enforcement; thus, it is not easy to receive that recovery back.

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Councilmember Wright asked if it was more work than it is worth.

Asst. City Attorney Bazzano thinks it depends on the case. For some cases, it is vital to recover what the City has lost. In other cases, there may not be much recovery because the person may not have funds or there is no property at issue that we can lien and it would not be worth the City’s time in most of those instances to try to recover those costs.

Councilmember Wright asked if we can see any benefit on the application to have them sign that it is okay for the sites to share information with us and that we reserve the right to amend our ordinance on 30 days’ notice.

Asst. City Attorney Bazzano stated the fact that the host or operator signs that type of agreement would not necessarily bind the platforms to anything; that does not obligate the platform to share anything, even though the operator has signed that document. In addition, the City does not have a signed document from an applicant to say the City can change its ordinance. She stated that Council, in its discretion, may legislate as it sees fit. She stated that the question is whether or not the applicant would be able to raise legal arguments about the applicability of those new ordinances, and she did not think we could have that person sign away any legal arguments that they could make in the future.

Councilmember Wright referred to the signage, and there was some concern that, in the event there was a disruption, neighbors might feel awkward about walking up to get that signage. He asked about mailing that same QR code to neighbors within 500 feet.

Asst. City Attorney Bazzano stated that Council can include some type of notice provision to adjacent neighbors, although it can be something other than a QR code that indicated that an STR will be conducted at that location.

Councilmember Wright asked how much time has staff dedicated to dealing with the STR issue, both in support of STR operators and our citizens.

City Manager Woodhouse does not have an hour estimate on that, but these last two years it has occupied a significant amount of time in the City Manager’s Office, Finance Department, Planning Department (including Code Enforcement and planners), the Police Department, and the City Attorney’s Office.

Councilmember Wright asked for the reason for the 90-day cap as opposed to the 60-day cap.

City Manager Woodhouse stated that Council discussed the cap and decided 90 days.

Councilmember Wright asked staff why the implementation is slower and why we cannot offer relief sooner.

Asst. City Attorney Bazzano stated staff have tried to come up with timelines that would fit within the City’s permit process but also reasonably address the requirements of the ordinance. She stated that we cannot control the Coastal Commission’s certification of the ordinance in the coastal zone; it is dependent on when the City submits the application for the amendment and when they are able to schedule it and make a determination.

Councilmember Wright asked the City Manager of any unintended impacts related to this or the

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lost revenue piece or what potential other decisions this would affect.

City Manager Woodhouse stated the fiscal impact is very real. He stated it is his responsibility as the City Manager to present Council with what the budget realistically will be and what the fiscal impact of program decisions will be and, in August 2024, he presented the same analysis.

Staff did more detail and came out with a similar number now, based on much more facts about what we know, given the ordinance that Council has directed. He stated that the fiscal impact is real and when we enter into budget development this year, we will be building in a $500,000 deficit for the next fiscal year related to TOT revenue directly. He stated that he cannot speak specifically to the policy implications of that as it will depend on how Council prioritizes where and how the budget should be balanced.

Councilmember Wright asked if this ordinance will protect good operators.

City Manager Woodhouse thinks we heard comments from operators that this ordinance will put good operators out of business in Pacifica and there might be other good operators that then can operate but he cannot answer that question directly.

Councilmember Wright asked how soon are we entitled to amend it once we see unforeseen, unintended consequences.

City Manager Woodhouse stated that Council can amend an ordinance whenever they would like. What would be administratively challenging is if we have an ordinance application pending to the Coastal Commission and then Council amends it in that intervening year or however long the Coastal Commission would take.

Councilmember Wright asked how quickly Coastal Commission may respond to these changes.

City Manager Woodhouse stated, from the December report, it is not unusual for Coastal Commission to take at least a year to review this kind of an LCP ordinance amendment.

Mayor Beckmeyer stated that Councilmember Bier mentioned talking about inspections and children and she would like to address the issue of tonight’s meeting closure time. She prefers 11:00 p.m. but they may want to discuss at a continued meeting on this topic.

Mayor pro Tem Boles thinks there are changes that will be needed to this ordinance. She asked if it would be helpful to staff to stay longer and give an idea of some of the issues that Council wants to revisit or should we reschedule it for another meeting as it is already late.

City Manager Woodhouse thought it would be more time-efficient to get all Council’s direction about what additional staff work or research would be necessary to come back if there was staff work to be done for those particular issues. Otherwise, this conversation would continue, and staff would need to do the work on the revisions to the ordinance and take it to the Planning Commission before it comes back to Council if it were ready at that point. In terms of timing, he was not sure if we have agenda capacity in either of the March meetings to take this up.

Mayor pro Tem Boles asked if we could have a special meeting.

City Manager Woodhouse agreed that we could have a special meeting, but those are very difficult to schedule.

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Packet Pg. 324 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 15 February 24, 2025
Councilmember Espinosa asked if we can name what we are supposed to discuss.

Councilmember Bier agreed.

Councilmember Bier moved to extend the meeting to 11:30 p.m.; seconded by Mayor pro Tem Boles.

EXTEND MEETING TO 11:30 PM
RESULT: ADOPTED [4-1]
MOVER: Mary Bier, Councilmember
SECONDER: Christine Boles, Mayor pro Tem
AYES: Beckmeyer, Boles, Bier, Espinosa
NOES: Wright
Councilmember Bier suggested talking about the parking first. She thought that parking should be the same in both zones.

There was Council consensus for the coastal zone and non-coastal zone to have one off-street parking space per legal bedroom.

Mayor pro Tem Boles stated that is also what Council directed previously. She stated that there has been discussion about platform accountability, which will save us money and enforcement because, if a unit does not have a City permit, they should take it off of their platforms and this applies to all platforms. She stated that the City Attorney gave Council language from the City of Santa Monica ordinance and she likes all of them. She thought that is something Council can talk about next time. Included in the Santa Monica ordinance is hosting platforms shall be responsible for collecting all applicable TOTs.

Asst. City Attorney Bazzano stated that our transient occupancy tax code requires the operator to collect the tax and she did not think that specific provision will work but there are other provisions in City of Santa Monica’s ordinance that may be agreeable to Council.

Mayor pro Tem Boles also read from the City of Santa Monica ordinance that, “subject to applicable laws, hosting platform shall disclose to the city on a regular basis, each homesharing and vacation rental listing located in the city, the names of the persons responsible for such listing, the address, the length of stay for each such listing, and the price paid per stay”.

She concluded we could get reporting on a regular basis so platforms can confirm who is staying, how much is rented, etc. and that will help us with our hosted versus unhosted.

Mayor Beckmeyer stated that the language “vacation rentals” is not a term that we have identified in our ordinance.

Asst. City Attorney Bazzano anticipated the language would have to be massaged to conform to our current ordinance.

Mayor pro Tem Boles continued, “Hosting platforms shall not complete any booking transactions for any residential property or unit unless it is listed on the City’s registry at the time the hosting platform receives a fee for the booking transaction.” She stated, to the point about the law, we are not controlling the content of what they are putting on their website, but the way they do transactions. She stated that it is helping them take illegal properties off of their website.

6.b
Packet Pg. 325 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 16 February 24, 2025
Mayor Beckmeyer asked if the list of our permitted STRs constitute a registry.

Asst. City Attorney Bazzano stated that we would need to massage it to conform but the City would essentially have to create a registry that could be cross-checked by a platform.

Mayor pro Tem Boles added from the City of Santa Monica ordinance “shall not collect or receive a fee, directly or indirectly during agent or intermediary for facilitating or providing services ancillary to the vacation rental, including insurance, concierge service, catering restaurant bookings,” etc. She mentioned safe harbor as well.

Mayor Beckmeyer asked if it says anything about a field where they put the permit number.

Asst. City Attorney Bazzano stated that it does not. She stated that City of Santa Monica’s ordinance is somewhat similar to the City and County San Francisco’s ordinance.

Mayor Beckmeyer was unsure how we compel the platform to do that if we do not say anything about it.

Mayor pro Tem Boles thinks that is the question, i.e., whether asking them to make that information available constitutes asking them to make content on their website. She stated it is a verification of a number, not content. She stated that it is easy for them and then it is always in the same place.

Asst. City Attorney Bazzano stated the City of Santa Monica’s provisions were reviewed by a court and upheld; thus, if Council would like to direct the City Attorney’s Office to massage those provisions and include them, that can be a change that can be made.

Mayor pro Tem Boles stated that one thing that is not on there and is in the City and County of San Francisco’s are fines. She asked if we can fine them if we find that they are advertising something that does not have our permit number.

Asst. City Attorney Bazzano responded affirmatively.

Mayor pro Tem Boles would like that to be considered too.

Asst. City Attorney Bazzano stated that they become subject to the ordinance and the fines are not necessarily the larger STR fines as those deal with public safety but other general fines.

Mayor Beckmeyer asked about the number of nights.

Mayor pro Tem Boles stated that she suggested 90 and the majority of Council at the time suggested 60 and former Councilmember Sue Vaterlaus was questioning whether we should have limits at all so 90 days was a compromise. She stated, when she was thinking 90, she was thinking someone taking a summer break and going on sabbatical and renting their home for that amount of time. She did not think about it in terms of 45 weekends of people visiting.

She thought there was some difference in revenue generation to the City but she is okay going to 60 if that is still what Council desires.

Councilmember Bier stated she was having a hard time with it.

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Packet Pg. 326 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 17 February 24, 2025
Mayor pro Tem Boles stated we can revisit that if she wants to.

Mayor Beckmeyer stated put it on the list of things we want to talk about when we come back.

She stated that the issue of a natural person came up multiple times and, on packet page 52, we talk about defining a responsible party as a natural person over the age of 18. She stated that somewhere else in the ordinance we define a person as a corporation, LLC, etc. She thinks that was because it was the definition of the owner versus the operator.

Community Development Director Updegrave stated that the Planning Commission recommended adding “natural person” for the designation of the responsible party. That is also in the red line copy of the ordinance.

Mayor Beckmeyer stated that there is another place in the definition section.

Community Development Director Updegrave asked definition of “person”.

Mayor Beckmeyer read, “Operator means a person who has applied for a short term rental” and “Person means natural person, corporation business trust, estate trust, partnership limited liability company, association or other entities”.

Councilmember Bier stated that there has been language which says “require that STR operators must all prove primary residency, be natural persons, not corporations, Trust, LLCs , estates and partnerships”.

Asst. City Attorney Bazzano stated that the responsible party change from “person” to “natural person” was by the Planning Commission, and she understood that the Planning Commission felt it needed to be a natural person as there was an obligation where someone would need to respond personally to a complaint through phone call or in person. She added that the definition of person includes corporate entities and other business entities and those types of entities can be an operator.

Councilmember Bier thought we did not want that.

Mayor pro Tem Boles agreed, stating that is what we were trying to avoid.

Councilmember Bier stated that we do not want big corporations coming in.

Mayor Beckmeyer stated that operator means the person who applied for the short-term rental permit and then we define person as a corporation. She stated that the operator could be the corporation.

Asst. City Attorney Bazzano responded affirmatively.

Councilmember Wright asked how the operator or corporation could live there.

Asst. City Attorney Bazzano stated it was discussed in the primary residence section, i.e. an allowance for how a corporate entity can establish that it is a primary residence. She explained that there are entities that hold properties. She stated that is allowed in California. She stated that it is very common to have a trust or LLC hold a property. That is something that will happen in the ownership of property and we have provided a way that the officers of the corporate entity or partners can establish the residence as a primary residency.

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Packet Pg. 327 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 18 February 24, 2025
Mayor pro Tem Boles thinks we need to bring this back one more time. She stated that we may need a definition of natural person separately. She stated that Marin County has one where they define a natural person as a human being, and the term natural person does not include legal entities of any kind. She knows corporations have certain rights but are they natural persons and do they count for the person who has to respond and do they count for ownership and have to count for operator.

Councilmember Bier agreed, adding the difference between ownership and operators.

Councilmember Espinosa thought the operator is the person who will be taking the phone call, not necessarily the owner.

Councilmember Bier agreed, adding the natural person.

Councilmember Espinosa stated that person might be a local and we want them to be a local person.

Councilmember Wright stated not just taking a phone call but wanting them to show up.

Councilmember Espinosa agreed if they have to.

Mayor Beckmeyer stated that the way the definitions are linked to each other is that a person who takes the phone call and the person who shows up in 30 minutes. It also says it means the person who has applied for the short-term rental. She stated that the next line down is the definition of a person is not a human being but potentially a corporation. She stated that we have to work on that. She likes what Mayor pro Tem Boles said about the Marin County definition and perhaps there is a way for us to add clarity.

Councilmember Bier agreed so there is a difference between an owner and an operator.

Councilmember Espinosa stated, if the company does not live here, they can hire someone to be the operator.

Mayor pro Tem Boles stated that it is supposed to be a primary residence.

Mayor Beckmeyer agreed, stating that is the issue.

Mayor pro Tem Boles thinks we need to come back as it is complicated. She stated that was always our intention to not have corporations who own multiple ones. She also had a concern with the ADU policy.

Asst. City Attorney Bazzano asked if we have direction from the majority of Council to add a definition of natural person or does Council want to do something different.

Councilmember Wright thought Council wanted to bring it back and discuss it more later.

Councilmember Espinosa stated that giving the definition is important.

Councilmember Bier added like not including an LLC as an operator.

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Packet Pg. 328 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 19 February 24, 2025
Councilmember Wright agreed that an operator has to be a natural person but owner did not.

Mayor Beckmeyer asked, if Council gives a more specific definition to natural person, how do we define and relate that person or the operator to the residency.

Asst. City Attorney Bazzano stated that the ordinance currently does not define owner. It regulates a person who operates a short-term rental and a person can be a corporate entity.

The operator has to show proof of primary residency and, if not the owner of the property, they have to show permission by the owner. The owner may not factor into the STR operation.

Mayor Beckmeyer referred to Councilmember Espinosa saying they can hire someone.

Asst. City Attorney Bazzano agreed.

Mayor Beckmeyer stated the reason she is concerned about this is because it feels like there is opportunity for a loophole. She wants to figure out how to tighten our definition.

Councilmember Espinosa stated that, if we are going to have un-hosted, we would like them to hire an operator who is local and someone can call them and show up in 30 minutes.

Asst. City Attorney Bazzano heard that there is a desire to have the operator morphed into the responsible party obligation. Right now we have an operator who can operate an STR but sometimes that operator is not going to be available and a responsible party is also required to be designated; the responsible party has to be available when the STR is in operation and an operator is not available. She stated that it sounds like Council wants just one obligation for the operator to be constantly available.

Mayor pro Tem Boles does not think that is realistic.

Asst. City Attorney Bazzano stated that is why the responsible party was created, as there could be situations where the operator is unavailable and the responsible party is a fall back.

Mayor pro Tem Boles stated that we still do not like the corporate language for being able to apply for STRs and having seen it stated so clearly that they are allowed is troubling.

Mayor Beckmeyer agreed. However, because corporations and trusts own property, we cannot legislate that away, regardless of our definition.

Asst. City Attorney Bazzano stated Council gets to decide how they want to legislate. She stated that Council ultimately gets to make the decisions and she will make recommendations as the City Attorney and the City Manager can make recommendations.

Mayor Beckmeyer understands and stated she wants to look at the Marin County definition, but not at this time. She would like to look at that definition in terms of how it relates or does not to our section 9-4.4901 (j).

Asst. City Attorney Bazzano stated section 9-4.4903 (c) that talks about how primary residency needs to be shown if the person is a corporation, business trust, etc.; the managing member of the company, the officer, the corporation, the trustee, etc., would have to have the site as their primary residency.

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Packet Pg. 329 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 20 February 24, 2025
Mayor pro Tem Boles would like to remove the ADU option, where someone can live in their ADU and rent out their house. She stated that it encourages people to buy properties with ADUs and not necessarily live there but rent out the house all year long as it counts as hosted.

Mayor Beckmeyer stated that, the way it is defined here, it does, but she does not consider that as hosted; her intent of hosted STR is that you are within the four walls of the building that is being rented out on a short-term basis. If you are in the ADU in the backyard, you are not in the same structure. She stated that, when Director Updegrave brought that forward, she thought something about how the ADU law is defined is where this came from. She stated that we did not ask for it, but it is clarifying that.

Mayor pro Tem Boles stated that, otherwise, we banned STRs in ADUs. She was not sure what we were gaining by having this particular language.

Mayor Beckmeyer stated that the real question is do we need it and are we required under the state ADU law.

Community Development Director Updegrave thought that is how we will have to implement it.

Anytime we can be clear about what is allowed, particularly around ADUs, it benefits the public, decision makers, and people implementing it. She stated that the concern is that we cannot add additional restrictions to the residential use based on the presence of an ADU.

Mayor Beckmeyer thought that would be helpful. She stated on looking at the ordinance, we have not made a “whereas” clause about the impacts to residential neighborhood character resulting from the operation of lodging businesses in areas zoned for residential uses. She stated that we have talked about the benefits we can provide but have not talked about the problems they can create. Since this ordinance is becoming so restrictive, it feels that we need to have “whereas” clauses that explain why it needs to be restricted.

Councilmember Bier agreed.

She then referred to packet page 59, item 0: “Single-family dwelling unit means a building designated for or used to house not more than one family, including all necessary employees of such family. Single family attached homes are not included in this definition.” She asked if this is a townhome or a condo and why that was inserted.

Community Development Director Updegrave stated the Planning Commission added that in conjunction with the previous page under line F. Within the zoning ordinance itself, multi-family development is defined currently as 3 or more units so it does not include attached single-family homes. Within the STR ordinance, the direction was to regulate 2 or more for the purposes of STRs only as multi-family dwellings or multi-family development. The Planning Commission wanted to add the example of including duplex, triplex and attached units, inclusive of attached single family dwellings. Because they made that change there, they also made the change under the single-family definition so that they match. She stated that these differ from the definition of multi-family and single-family that are applicable in the rest of the zoning ordinance or other provisions.

Councilmember Espinosa stated that a complex with four units can be considered single-family.

If more, it would be multi-family.

Mayor Beckmeyer stated that it is townhomes or condos.

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Packet Pg. 330 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 21 February 24, 2025
Councilmember Espinosa thought that condos and townhomes are multi-family. She is talking about a four-plex.

Mayor pro Tem Boles stated that we decided that condos and townhouses were single-family even though they are connected.

Mayor Beckmeyer stated that clarifies it.

Mayor pro Tem Boles stated that we can talk about children under 12.

Councilmember Wright mentioned two per adult.

Mayor Beckmeyer stated two children per adult.

Councilmember Espinosa wanted to say 3 children per adult.

Councilmember Espinosa stated two adults and three kids.

Councilmember Wright asked for how many bedrooms.

Mayor pro Tem Boles stated that each unit can have eight adults. She stated you have to think about the number of two people per bedroom and she thinks you have to think about the totals and not just a family with a certain number of members.

Community Development Director Updegrave thinks there should be care taken to not be regulating family size. There have been State law changes about what constitutes family and a household in the last two years to help prevent discrimination against different family types.

Mayor Beckmeyer stated we need to put it on our list and come back to the number of children.

Councilmember Espinosa stated that it could be a health and safety issue to have too many people in one room.

Mayor pro Tem Boles agreed that we need to talk about it some more.

Mayor Beckmeyer agreed to put that on our list to talk about at our next meeting which is a date uncertain at this point.

Mayor pro Tem Boles added a continuation so we can continue on the business and not necessarily have to take public comment again.

Mayor Beckmeyer agreed that was her understanding.

City Clerk Coffey added to make sure to get Asst. City Attorney Bazzano’s input on that because of the changes to the ordinance of this magnitude that are being considered.

Mayor pro Tem Boles stated that we are not necessarily bringing back a draft ordinance.

Asst. City Attorney Bazzano stated that we are going to continue the hearing to a date uncertain. Council has conducted the public comment portion of the hearing so Council can

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Packet Pg. 331 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals) City Council Regular Meeting 22 February 24, 2025
continue deliberations at that meeting. It is always within the Council’s discretion to make a different decision but Council has taken public comment on this particular public hearing and that would not need to be done at that meeting. They need to continue it to a date uncertain.

Mayor Beckmeyer also wanted to acknowledge the passing of Luigi who was so meaningful for so many families, including her family. She hopes we will have an opportunity to have a fuller discussion and appropriate acknowledgement, but she would like to adjourn the meeting in his honor and memory.

Mayor Beckmeyer moved to continue the public hearing to a date uncertain; seconded by Councilmember Bier.

CONTINUE MEETING TO A DATE UNCERTAIN
RESULT: ADOPTED [UNANIMOUS]
MOVER: Sue Beckmeyer, Mayor
SECONDER: Mary Bier, Councilmember
AYES: Beckmeyer, Boles, Bier, Espinosa, Wright
CONSIDERATION – NONE.

ADJOURN
Mayor Beckmeyer adjourned the meeting at 11:29 p.m. in memory of Luigi.

Transcribed by Barbara Medina, Public Meeting Stenographer.

Respectfully Submitted,
Sarah Coffey, City Clerk
APPROVED: 5 - 0; 3/24/2025
__________________________
Sue Beckmeyer, Mayor

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Packet Pg. 332 Attachment: Attachment B - City Council - Full Minutes (February 24, 2025) (5900 : Ordinance - Short-Term Rentals)

CITY OF PACIFICA

COUNCIL AGENDA SUMMARY REPORT
4/14/2025
1 SUBJECT:

Approve the updated City of Pacifica 2023 to 2030 Strategic Plan Mission, Vision, Values, Goals and Strategies
RECOMMENDED ACTION:

Approve the updated City of Pacifica 2023 to 2030 Strategic Plan Mission, Vision, Values, Goals and Strategies (Attachment A).

STAFF CONTACT:

Kevin Woodhouse, City Manager
(650) 738-7409
[email protected]
Yulia Carter, Assistant City Manager
(650) 501-6004
[email protected]
BACKGROUND:

Since at least 2017 the City Council has convened annually to identify and review the key priorities to be considered during the development of the City’s next annual budget. This process has ensured that the City’s most important issues are addressed within the context of changing priorities, emergencies, and limited staffing and financial resources.

In 2023 the City Council elevated the prior annual priority setting process into a comprehensive Strategic Plan, which is a best practice for high functioning organizations. The Strategic Plan includes a Mission, Vision, Values, and Goals to be focused on and achieved through 2030.

The Strategic Plan also includes the top Strategies necessary for achieving each Goal, with the Strategies subject to review, clarification and prioritization during each annual process prior to the development of the City’s annual budget. This annual prioritization process to achieve longer term Goals helps focus and manage the City’s scarce resources.

A definition of each of the Strategic Plan elements is provided below:

Mission - The City’s Mission is a statement of what the City does and strives to do on an ongoing basis. It sets the boundaries and expectations for the City and its work.

Vision - The Vision statement is aspirational, identifying the desired outcome of the City’s efforts and changes over a long period of time. 7 Packet Pg. 333
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Values - The listed Values for the City reflect how the City does its work, from the City Council through front-line staff. Values typically embody both current and desired approaches for internal and external performance.

Goals - The City’s Goal statements capture the primary focus for the City to achieve its Vision over the next seven years. Each Goal statement is ambitious, encompassing an aspirational set of work to be done, especially given that most City operations, funding, staffing, and time is devoted to day-to-day services and other non-discretionary work.

Strategies - The City Council has selected a limited set of top Strategies to achieve each Goal. Some Strategies may be accomplished over one to two years, while others may persist throughout the life of the Strategic Plan.

The Pacifica Strategic Plan, as adopted on May 8, 2023 and modified on May 13, 2024, is on the City website at https://www.cityofpacifica.org/government/city-council-strategic-plan.

DISCUSSION:

This year the City Council convened in a public workshop format on Saturday, March 1, to review progress on and possible changes to the Strategic Plan. The PowerPoint used to guide the Council workshop is provided as Attachment B and the draft minutes of the meeting as Attachment C.

Following a review and highlighting of the City’s many accomplishments this past year as detailed in the PowerPoint, the Council, City Manager, and City Attorney identified the following factors which have led to the City’s success over the past year:
• Collaboration between Council, staff, volunteers and the public • Regional relationship building
• “Listening to hear,” (without responding defensively) • Willingness to tackle difficult issues and tasks
• Cohesion of the City Council, focused on moving ahead • Commitment, energy and professionalism of the staff and Council • Community engagement, including boards and commissions • This annual Council Strategic Plan prioritization process The City Manager provided an overview of the fiscal challenges facing the City of Pacifica as presented in the PowerPoint. The Council appreciated the additional information and analysis provided by staff and discussed the need for continued focus on the City’s financial sustainability, as well as the benefits and impacts of increased housing as required by the State.

The Council then received extensive public comment, as detailed in Attachment C, with the most comments received related to housing, climate action/sustainability, and infrastructure needs.

The City Council reviewed the Mission, Vision, Values and Goals adopted in 2023. The only changes requested by Council were to ensure that the City’s Values are structurally and grammatically uniform.

The bulk of the Council workshop was spent reviewing the Strategies necessary to achieve each Goal as well as the staff work plan and progress to date. Given the City’s ongoing 7 Packet Pg. 334
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resource constraints and existing priorities as reflected in the Strategic Plan, few substantive additions to the Strategic Plan were directed by Council at this time, although specific comments were provided on most of the Strategies and work plan items for staff’s consideration.

Most of the requested changes to the adopted Strategies could be summarized in two categories:
• Updating the work required in the future based on the accomplishments of the past two years; and
• Broadening the work required to reflect additional possible solutions and needs.

All of the proposed changes to the Strategic Plan Misson, Vision, Values, Goals and Strategies are provided as a red-line document in Attachment D. The City Manager recommends Council adoption of the updated City of Pacifica 2023 to 2030 Strategic Plan.

FY 2025-26 Staff Workplan
Based on the Council workshop, City staff has also updated the staff workplans for each Strategy under each Goal, as summarized in Attachment E using the City’s AchieveIt software package. These draft workplans reflect staff’s understanding of the Council’s direction for each Goal and Strategy and the work and timelines possible given existing and anticipated resources and current priorities.

In preparing the FY 2025-26 staff workplan, staff conducted a comprehensive review and cleanup of all departmental tasks and subtasks to ensure accuracy, relevance, and alignment with current priorities. This effort included categorizing tasks based on their status, updating timelines, refining descriptions, and removing outdated or completed items. This process involved adding new items that address emerging priorities and anticipated mandates, carrying forward relevant tasks that were not completed in prior years, and updating recurring items that appear annually due to regulatory or operational needs. Existing tasks were reviewed for accuracy, with edits made to clarify scope and revise language.

As part of the FY 2025-26 staff workplan development, a number of new tasks and subtasks were added under each Strategic Goal. These additions reflect emerging priorities, state and local mandates, and internal capacity-building initiatives that align with the City Council's longterm objectives. Below is a summary of the new tasks:

Goal 1: Enhance Organizational and Fiscal Stability
New tasks under this goal focus on strengthening internal operations, supporting workforce development, and improving long-term fiscal sustainability. These include initiatives to enhance recruitment strategies and continue filling vacancies, deliver an employee engagement survey, develop coordinated department-level follow-up plans, and establish ongoing training programs for executive, managerial, and supervisory staff. The City also plans to implement a new Performance Management Program and continue exploring low-cost plus high-impact enhancements to the employee benefits package. On the fiscal side, new items include promoting housing as economic infrastructure and selection and implementation of a new community development and permit tracking software system for building, planning, and public works, tools that will improve efficiency and support compliance with state regulations.

Goal 2: Improve and Steward City Infrastructure, Streets, and Facilities This goal includes new efforts related to capital project advancement. Specifically, staff will 7 Packet Pg. 335
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pursue funding opportunities for Phase 2c of the Beach Boulevard Infrastructure Resiliency Project (BBIRP). If successful, the project will proceed with planning and implementation of this critical phase following completion of Phase 2b.

Goal 3: Prioritize Protection and Development of Affordable Housing New items in this category support the City's commitment to housing affordability and Housing Element implementation. Tasks include developing an Inclusionary Zoning Ordinance (HE-1-6) and continuing work on policies and actions aligned with the adopted Housing Element. These efforts contribute to meeting RHNA targets and ensuring that housing development in Pacifica remains accessible and inclusive.

Goal 4: Pursue Climate Change Adaptation and Mitigation A number of new tasks are tied to the implementation of the Local Coastal Land Use Plan (LCLUP) and broader climate resilience goals. These include securing Coastal Commission certification of the Sharp Park Specific Plan, updating coastal hazard mapping through a new LCP amendment, and developing and adopting an Implementation Plan for coastal zoning and development regulations. The workplan also includes launching the Shoreline Adaptation Plan and the Coastal Access and Resilience Program, both vital for long-term coastal planning and hazard mitigation.

Goal 5: Broaden Public Communications and Collaboration New initiatives under this goal aim to expand community engagement and transparency. These include growing the CERT Leadership Team with trained community volunteers, developing public engagement plans for major wastewater capital improvement projects, and launching public-facing dashboards on the Police Department website to increase transparency around technology use.

The staff workplan continues to be extremely robust given the City’s staffing levels. Notably, it is worth elaborating on the Community Development Department’s (CDD) full slate of tasks related to certification and implementation of the Housing Element and implementation of the Local Coastal Land Use Plan (LCLUP) once it is certified by the Coastal Commission.

Following completion of the rezoning for the Housing Element opportunity sites that is required for certification, CDD will begin the process of modernizing and streamlining Pacifica’s Zoning Ordinance, permit processes, and technology. This includes a two-step approach to modernizing the Zoning Ordinance. The first step is reorganization of the code, without making substantive changes, so that it is easier to use, understand, and update moving forward. For example, this would include grouping all of the zoning and overlay districts together and using standard tables to convey permit requirements and development standards. The second is a comprehensive update, including public engagement, that would include citywide objective standards and design guidelines, revised permit findings, and other changes identified in the Housing Element. CDD will also begin work on other implementation items such as exploring changes to the Inclusionary Housing Ordinance and analyzing public sites.

Another critical CDD workplan item is to procure and implement community development software for building, planning, and public works permits. Such software will allow the City to track compliance with State laws, generate data for State-mandated reporting, increase efficiency of reviews, provide excellent customer service, and increase transparency for decision makers, applicants and the public. As with any major software implementation, this project will require significant CDD staff time and coordination across departments to successfully bring it to life. While the long-term benefits will be substantial, the implementation 7 Packet Pg. 336
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phase will certainly reduce staff capacity to advance other workplan items, making prioritization of workplan initiatives essential.

With the updated LCLUP scheduled for a Coastal Commission hearing on May 8, 2025, CDD’s and the Public Works Department’s workplans include an aggressive schedule for initiating processes to develop the Shoreline Adaptation Plan and the Coastal Access and Resilience Plan. Both efforts must be started and meet certain thresholds before the Special Shoreline Resiliency Areas established in the updated LCLUP can take effect. The LCLUP also includes starting work on updating the Implementation Plan - the Coastal Zone and development regulations in the Pacifica Municipal Code.

The annual budget process serves as the primary mechanism for the community and City Council to consider how resources are allocated to sustain ongoing services and support a limited number of new initiatives. As the City Council reviews the proposed budget in the coming months, the availability of resources will ultimately define the level of progress that can be achieved on the Strategic Plan and other identified priorities. It is important to note that “resources” extend beyond funding, as they also include staff time and organizational capacity. In Pacifica, where staffing levels remain limited and recruitment and retention continue to pose challenges, the ability to advance new strategic initiatives must be balanced with maintaining core services. Therefore, the Strategic Plan implementation must be aligned with both fiscal and operational realities to ensure that progress remains meaningful and manageable.

Strategic Planning “Bike Rack” Items:

During the Strategic Planning workshop on March 1, 2025, numerous new potential workplan items were identified by the Council, with direction for staff to evaluate these items for potential inclusion in the Strategic Plan by identifying required resources such as staff time, budget, timelines, additional studies, and community outreach and education. These new potential workplan items, parked in the “bike rack” flipchart to capture them as potential add-ons to the higher priority strategic plan workplan items already directed by Council, are the following:

1. Council Chambers Art Program

2. Council Pay

3. E-bikes and Bike/Ped Conflicts

4. Arbor Day/Adopt-a-Tree Program

5. Food Truck Ordinance

6. Sustainability Commission
In summary, it is the City Manager’s assessment that the City does not have staff capacity, nor does the City Council have agenda capacity, to fully undertake these add-on workplan items for FY2025-26, without removing or delaying other higher priority items on the workplan. However, it is also the City Manager’s assessment that two of the six items, and part of a third item, would require much less staff resources than the other 3.5 items, and therefore could potentially be added to the workplan as lower-priority items to be pursued if and when staff resources are available. The six items are briefly summarized below, categorized from lower to higher resources required, with more analysis provided in Attachment F.

Potentially Feasible:

1. Council Chambers Art Program: The Council Chambers has wall space to set up a small rotating art gallery. However, art displayed in public buildings requires developing policies and guidelines, plus management/curation/promotion of the program. The program description in Attachment F summarizes the many components of a program 7 Packet Pg. 337
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that would need to be addressed if the program were City led and administered.

However, if the City’s role was minimal and limited to policy and guidelines development, and the program was managed and curated by the Sanchez Art Center, then this workplan item would be potentially feasible to accomplish.

2. Council Pay: The purpose of this effort would be to evaluate and potentially increase the low stipend that Councilmembers receive for their significant time commitment in serving as Councilmembers. A modest increase in stipend could make a difference in the future for garnering interest from community members in wanting to serve as a Councilmember. However, this item would require staff research and analysis, legal review, potentially a consultant, and public input. The entirety of the process, as described in Attachment F, would be somewhat time consuming, and potentially controversial, but is potentially feasible to begin during FY2025-26.

Partially Feasible:

3. Arbor Day/Adopt A Tree Program: The purpose of this item, as staff understands from the discussion at the Strategic Plan workshop, would be for the City to take over lead of the annual Arbor Day event from Tree City Pacifica, and for the City to create and manage a citywide adopt-a-tree program. As described in Attachment F, the Public Works and Parks, Beaches, and Recreation Departments currently lend substantial support to Tree City Pacifica in this annual event. Continuing this level of support is feasible for these departments. Taking on the lead in planning and carrying out this event may be feasible for these departments as long as Tree City Pacifica continues to operate as a strong City partner. However, creating and implementing an adopt-a-tree program would require additional staff capacity in the Public Works Department and is not feasible unless other Public Works projects or maintenance activities were reduced.

Infeasible Unless Other Workplan Items are Replaced or Delayed:

4. E-bikes and Bike/Ped Conflicts: The purpose of this item would be to assess what problems exist and, if necessary, evaluate E-bike and trail usage policies, laws, and enforcement. This is a major policy issue in some communities, and is a difficult and controversial topic with passionate stakeholders on all sides of the issue. Work on this topic would require significant staff time for the Parks, Beaches, & Recreation Department, Police Department, Public Works Department, Community Development Department, City Attorney’s Office and the City Manager’s Office. It would also require significant public engagement efforts and City Council and Planning Commission agenda capacity. Considering the extensive impact to all city departments’ workloads, extensive public engagement, and regulatory complexities, City staff does not currently have the capacity to undertake the development of a community e-bike program in the upcoming fiscal year unless another major priority workplan item was delayed or replaced.

5. Food Truck Ordinance: Adopting a food truck ordinance is a significant undertaking and would primarily impact the Community Development Department, City Manager’s Office, and City Attorney’s Office. It would also impact Planning Commission and City Council agenda capacity, and is a difficult and controversial topic with passionate stakeholders on all sides of the issue. For the reasons summarized more extensively in Attachment F, City staff does not currently have the capacity to undertake this item in the upcoming fiscal year unless another major priority workplan item was delayed or replaced.

6. Sustainability Commission Formation: Beginning implementation of the Climate Action and Adaptation Plan is a major goal for the City Council. Related, the Council expressed 7 Packet Pg. 338
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interest in considering the feasibility of replacing the Climate Action and Adaptation Task Force with a new and permanent Sustainability Commission charged with overseeing implementation of the City’s Climate Action and Adaptation Plan (CAAP). Establishing a new Sustainability Commission would represent a significant and ongoing cost to the City in terms of staff time, legal resources, and administrative support. While a Sustainability Commission may provide structure and visibility for environmental initiatives, it comes with a high cost for the City, particularly in a time of constrained staffing and competing strategic priorities. The significant challenges with this item are enumerated in Attachment F.

However, there may be more streamlined alternatives the Council could consider, described more thoroughly in the attachment, such as:
a. Repurpose an existing Commission/Committee with this charge; b. Distribute CAAP implementation tasks amongst existing Commissions/Committees;
d. Continue the CAAP Task Force, assigning it a broader role in supporting implementation of CAAP actions.

Strategic Plan Best Practices
Best practices from other local government agencies suggest several effective steps to ensure continued progress and visibility of the Strategic Plan, including:
• Posting the Mission, Vision, Values, Goals and Strategies on the City’s web page, around City Hall and other City facilities open to the public, and in the City Council Chambers.
• Incorporating the Strategic Plan in the City’s budget and other guiding documents. • Refer to the Strategic Plan Goals and Strategies as appropriate in Council staff reports. • Provide periodic updates on the Strategic Plan at Council meetings or in semiannual staff reports. • Council consideration of which Strategies to delay or drop when providing midcycle direction on new or emerging priorities. • Conduct annual reviews and updates to the Strategic Plan, focusing on achievements and changes related to the Strategies for each Goal. It is not uncommon in other agencies to drop and add Strategies each year in furtherance of the Strategic Plan.

The City Council’s action on proposed updates to the Strategic Plan will be the culmination of a thorough and thoughtful consideration of the challenges and opportunities facing the City of Pacifica and will provide a guide for achieving the Council’s Vision and Goals for the City.

FISCAL IMPACT:

There is no direct or immediate fiscal impact associated with the City Council’s adoption of the Strategic Plan. However, the Strategic Plan will serve as the Council’s guide for allocation of resources in the budget process and for staff’s prioritization of work given limited resources.

ORIGINATED BY:

City Manager's Office
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ATTACHMENT LIST:

AttA-PacificaStrategicPlanSummaryUPDATED2025 (PDF)
AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (PDF) AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (PDF)
AttD-PacificaStrategicPlanSummaryUPDATED2025 - REDLINE (PDF) AttE-FY2025-26 Workplan (PDF)
AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (PDF)
7 Packet Pg. 340
STRATEGIC PLAN - 2023 TO 2030
City of Pacifica
(adopted on May 8, 2023 and updated on May 13, 2024 and April 14, 2025 ) MISSION - What Do We Do?
The City of Pacifica provides exceptional services,
maintains the small-town feel and safety of its unique community, and stewards its environment, coastal beauty, and recreational opportunities.

VISION - What Are We Becoming?
Pacifica strives to be an inclusive and sustainable community:
environmentally, economically, socially, and holistically.

VALUES - How Do We Approach Our Work?
We are committed to:
 Collaborative Teamwork
 A Healthy Workplace
 Heartfelt Service
 Resource Stewardship
 Transparency and Responsiveness
 Visionary Planning
GOALS - How Will We Achieve Our Vision?

1. Enhance organizational and fiscal stability.

2. Improve and steward City infrastructure, streets, and facilities.

3. Prioritize protection and development of aƯordable housing.

4. Pursue climate change adaptation and mitigation.

5. Broaden public communications and collaboration.

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Packet Pg. 341 Attachment: AttA-PacificaStrategicPlanSummaryUPDATED2025 (5906 : Strategic Plan Update)

GOALS AND STRATEGIES
Pacifica Strategic Plan – 2023 to 2030
(adopted on May 8, 2023 and updated May 13, 2024 and April 14, 2025) The Strategies listed under each Goal below are the City Council’s priorities to ensure progress on achieving the Strategic Plan while recognizing the ongoing services, management and
non-discretionary work that consume most City resources.

1. Enhance organizational and fiscal stability.

A. Improve staƯ retention, recruitment, mental health and wellness resources, and increase staƯing for rising workloads.

B. Pursue possible tax, bond and other revenue opportunities.

C. Prioritize implementation of the Economic Opportunities Study.

D. Prepare the Cost Allocation Plan and Conduct the Development Impact Fee and Master Fee Studies

2. Improve and steward City infrastructure, streets, and facilities.

A. Complete selected stormwater and flooding improvements citywide.

B. Advance the Beach Boulevard Resiliency Project, Esplanade Protection and the Pier.

C. Broaden community awareness of the Library projects.

D. Complete a Facilities Assessment and prioritize the City’s facilities and equipment needs, including public safety, the Community Center, and other parks and recreation resources.

3. Prioritize protection and development of aƯordable housing.

A. Complete the Housing Element Update.

B. Update and implement the Short-Term Rental Ordinance.

C. Prioritize Housing Element program implementation.

4. Pursue climate change adaptation and mitigation.

A. Adopt and begin implementation of the Climate Action and Adaptation Plan.

B. Continue the urban forestry plan, tree canopy goals, inventory, and projects.

C. Certify Pacifica’s Local Coastal Plan and continue collaborations with the California Coastal Commission.

5. Broaden public communications and collaboration.

A. Creatively harness community
expertise, advocates and volunteers to advance City priorities.

B. Increase communications, education, and connections
for community wellness resources.

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Packet Pg. 342 Attachment: AttA-PacificaStrategicPlanSummaryUPDATED2025 (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 1
City Council
Workshop
Strategic Plan Update
and Priority Setting
Greg Larson,
Facilitator March 1, 2025
A. Welcome
2 Councilmember
Mayra Espinosa
Councilmember
Greg Wright
Mayor pro Tem
Christine Boles
Councilmember
Mary Bier
Mayor
Sue Beckmeyer
City Manager
Kevin Woodhouse
1 2

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Packet Pg. 343 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 2
3 B. Workshop
Overview
Objectives
Align the Leadership Team
Celebrate Accomplishments
Review Adopted Strategic Plan
Identify Priorities through 2026
4 Workshop
Outline
A. Welcome
B. Workshop Overview
C. Celebrate Recent Accomplishments
D. Background Information
E. Public Comment
F. Review of Strategic Plan prior Work Program status
G. Update Priorities through 2026 (by Goals and Strategies) H. Next Steps and Wrap-Up
3 4

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Packet Pg. 344 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 3
5 Ground Rules
Listen to understand
Assume good intent
Pursue consensus
Speak up if we need course correction
All devices off or silent
• Time management tool
• Things to discuss at another time will be tracked separately Bike Rack
5 6

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Packet Pg. 345 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 4
C. Celebrate Recent Accomplishments
7 8
• Street repaving, Index improvement • LCLUP submitted to CA Coastal Comm. • Relationship with CA Coastal Comm. • Measure M TOT increase passed • “Final” Housing Element submitted
• Draft EIR for HE Rezonings, etc. • Increased public engagement • Management Team strong • Successful recruitments for vacancies
• Doing so much with so little
Top Recent Accomplishments - Council • Lots of planning done for the future • Linda Mar flood improvements
• Anza pump station construction
• Geographic Information System “done”
• Implemented crime reduction strategies
• Improved perception of public safety
• Housing Fellow hired for 2 years
• Quarry Reclamation Plan Council action
• Civic Center re-opened
7 8

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Packet Pg. 346 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 5
9 • ERP Implementation
• Finance & Budgeting state & national awards
• CALED Award for Vision 2025
• Field renovations at Fairway and Sanchez
• Programming ramped up at Community Cntr. • Successful recruitments in most departments • Photovoltaic and EV charger grants • Began UV System Replacement project • Completion of numerous time-consuming PRA requests
• Transitioning to new Agenda Mgnt. System
• Successfully managed the 2024 election cycle
Other Recent Accomplishments - Staff • Enhanced emergency preparedness outreach and trainings • IT solutions for cybersecurity and enhanced collaboration
• Fuel pump management system launched • Enhanced Police communications/transparency • AB 1937 Coastal trail parking lot progress
• Began headlands transfer process to NPS
• Executive Team Rebuilding and Onboarding
• Progress on Bike/Ped improvement projects
• Awarded impaired driving safety grants
• And no doubt many, many more
10 What factors have helped
Pacifica accomplish so much?
9 10

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Packet Pg. 347 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 6
11 D. Background
Information
12 1. Financial & Operational Sustainability Challenge

2. Pacifica’s Reality

3. Financial Sustainability Path Forward
Pacifica At a Turning Point
11 12

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Packet Pg. 348 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 7
13 Without a significant increase in operating revenue, service delivery is at risk:  City has decreased and contained expenditures to maximum extent feasible over recent decades;  Low staffing levels and compensation levels are an existential threat to the organization;  To raise staffing and compensation levels to the average of peer agencies would require approximately $8 million more in annual operating revenue • 30 new staff = $4.5 million
• Average 10% compensation increase = $3.5 million
 Without significant capital program funding, infrastructure is at risk:  More than $200 million in capital funding needed  Streets, sidewalks, storm drainage, coastal infrastructure, pier & facility improvements Financial & Operational Sustainability Challenge
14 Pacifica’s Reality
Anticipated challenges for FY2025-26 budget balancing:  Sales/TUT Tax revenue trends are down  VLF In-lieu funding from state is uncertain ($1.5 Million)  TOT revenues will be lower than prior years (approx. $600 k reduction for FY25-26)  Labor negotiations will likely result in increased expenses If we cannot remain competitive in staff compensation:  Staff turnover rates will likely increase  Resulting in decreased staff capacity, efficiency and service delivery, and  Less ability to make significant progress on Council’s Strategic Plan 13 14

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Packet Pg. 349 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 8
15 Financial Sustainability Path Forward
 Retain the primacy of the Council’s Top Strategic Plan Goal:

1. Enhance Organizational and Fiscal Stability
 Prioritize strategies that support new/re-development:  Achieving our RHNA allocation translates to over $3.5 M/yr in additional property tax revenues  Adding 100 new hotel rooms translates to roughly $1 M/yr in additional TOT revenue
 Continue efforts to improve Sales Tax/TUT revenue:  However, small business tax revenue increases are small given the work needed and compared to property and TOT taxes  Average sales tax revenue per retail business is $4 k/year; It would take 250 new average retailers to generate $1 M/yr  Seek increased capital funding
(grants, voter approved revenue and/or bond measures)
 Minimize unrealistic organizational burdens
16 BREAK
15 16

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Packet Pg. 350 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 9
17 E. Public Comment
F. Review of Strategic Plan prior
18 Mission
Vision
Values
Goals
Strategies
Implementation
Action Plan
How will we achieve Our Goals?
How will we achieve our Vision?
Staff Work Program (AchieveIt)
How do we approach our work?
What are we becoming?
What do we do?
17 18

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Packet Pg. 351 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 10
Strategic Plan Framework - METRICS
19 Mission
Vision
Values
Goals
Strategies
Implementation
Action Plan
Short enough
to remember or
visually post
3 to 5 for each Goal
3 to 5 total
10 to 25 Work Programs
20 Adopted Mission – What do we do?
The City of Pacifica provides
exceptional services,
maintains the small-town feel and
safety of its unique community,
and stewards its environment,
coastal beauty, and recreational
opportunities.
19 20

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Packet Pg. 352 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 11
21 Adopted Vision - What are we becoming?
Pacifica strives to be an inclusive
and sustainable community:
environmentally,
economically,
socially, and
holistically.
22 Adopted Values – How do we do our work?
(original)
 Collaborative Teamwork
 Healthy Workplace
 Heartfelt Service
 Resource Stewardship
 Transparent and Responsive
 Visionary Planning
21 22

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Packet Pg. 353 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 12
23 Adopted Values – How do we do our work?
(grammatical correction)
WE ARE COMMITTED TO:
 Collaborative Teamwork
 A Healthy Workplace
 Heartfelt Service
 Resource Stewardship
 Transparency & Responsiveness
 Visionary Planning
Strategic Plan Work Program Status
24 Mission
Vision
Values
Goals
Strategies
Implementation
Action Plan Staff Work Program (AchieveIT)
23 24

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Packet Pg. 354 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 13

1. First full year using the new AchieveIT work management system

2. The Tasks and Sub-Tasks are the staff Work Program to fulfill Council direction

3. The staff Work Program will be updated to reflect Council direction & funding

4. Council feedback welcome to inform work prioritization; no action required

5. Out of 308 Work Program items (Goals, Strategies, Tasks, and Sub-Tasks): • Achieved 120 39% • On Track 84 27%
• Not Started 56 18% (Note: these items were not scheduled to start yet) • Canceled 3 1% • Off Track 43 14%
• At Risk 2 1%

6. Similar data provided for each separate Goal as well 25 Staff Work Program Update
Purpose: Understand the status of staff work on prior Council Goals and Strategies

1. Organized by Council-adopted Goals and Strategies

2. Staff Tasks, Sub-Tasks and Due Dates are as presented for information last May

3. The Status, Comment and Assigned Staff columns reflect progress as of Dec. 31, 2024

4. An Ongoing, Non-Discretionary and Previously Initiated Strategy added for each Goal • These are additional relevant work items identified by staff for the Council’s information • Most of these entail substantial necessary staff work that directly utilize some of the available staff resources • Not included are all of the day-to-day services that consume approximately 85% of staff time and City resources

5. Discussion of substantive new items or changing direction to occur after lunch

6. On Friday, staff answered most questions raised earlier by Council members.

7. Can further discuss answers as necessary or answer new questions. 26 Staff Work Program Discussion
25 26

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Packet Pg. 355 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 14
27 Top Council Priorities – Interview Results
(Existing Goals/Strategies/Work Program; Potential Work Program Items)

1. Local Coastal Land Use Plan approved, and implementation begins

2. Housing Element certified and Phase 1 Rezonings; implementation begins

3. Climate Action Plan implementation, focused as resources allow

4. Tangible progress on new affordable housing; Non-profit engagement

5. Focus on Economic Vitality opportunities

6. Progress on 2212 Beach Boulevard property, following LCLUP approval

7. Development fees review launched and completed

8. Progress on Highway 1 overcrossing, working with CalTrans

9. Fire mitigation measures (e.g., Eucalyptus removal, evacuation)

10. Park improvements, maintenance and new facilities

11. Council training and governance improvements
28 Other Staff-Identified Priorities
(Existing Goals/Strategies/Work Program; Potential New Work Program Items)

1. Short Term Rental ordinance implementation

2. Surplus Land Act process for 2212 Beach Boulevard

3. Continued work on the Library Modernization Project through increased public awareness

4. Explore tax increment financing district options

5. Complete the Cost Allocation Plan and Master Fee Study (including Impact Fees)

6. Implement a variety of new technologies and systems for improved efficiency and service

7. Charter review for Beautification Advisory Comm. and Emerg. Prep. & Safety Comm.

8. Labor Negotiations

9. Procure and implement new Community Development Software, including permit tracking

10. Develop a City AI policy

11. Employee Relations: employee survey, performance management system

12. Begin transition to new One Meeting Agenda Management System with video integration.

13. Next round of REACH Codes with Building Code cycle

14. Priority Parks projects scaled back and going out to bid and construction

15. Vallemar & Rockaway Sewer Rehabilitation Project coordinated with annual repaving

16. Police focus on youth outreach and engagement, partnering with community organizations 27 28

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Packet Pg. 356 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 15
29 1. Enhance Organizational and Fiscal Stability
A. Improve staff retention and recruitment and
increase staffing for rising workloads.

Preparation for and follow through on pending labor negotiations Continue work on new technologies for improved services and efficiency B. Consider possible tax and bond measures for 2024.

Change to: “Pursue tax, bond and other revenue opportunities.” C. Prioritize implementation of the Economic Opportunities Study Highest priority – move to top?
Focus on new hotel and mixed-use development
Complete the development fee study
Small and local business outreach, support and improvements 30 2. Improve and Steward City
Infrastructure, Streets and Facilities
A. Complete selected stormwater and flooding improvements citywide.

Look at long-term alternatives and impact of sea level rise B. Advance the Beach Boulevard Resiliency and Esplanade Protection Projects (including the Pier, as feasible).

Interim Pier opportunities?
C. Broaden community awareness of the Library projects
Progressing
D. Develop a Facilities/Equip. Plan for Public Safety/Comm. Cntr.

Broaden to all parks and recreation facilities
Include Public Works equipment and vehicles
29 30

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Packet Pg. 357 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 16
31 BREAK
32 3. Prioritize Protection and Development
of Affordable Housing
A. Complete the Housing Element Update.

Highest priority, including Phase 1 Rezonings
B. Update the short-term rental ordinance.

Prepare for implementation work
C. Prioritize Housing Element program implementation.

Advance an affordable housing project working with non-profits Consider increases or additions to inclusionary housing requirements Accelerate work on “Objective Standards”
31 32

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Packet Pg. 358 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 17
33 4. Pursue Climate Change
Adaptation and Mitigation
A. Update the Climate Action and Adaptation Plan,
including performance targets.

Show tangible commitment for implementing this work
Consolidate or leverage this direction with other plans and implementation Focus on short term wins and needs to gain time for longer term strategies Green Building Codes update forthcoming
B. Continue the urban forestry/tree canopy inventory and projects.

C. Update Pacifica’s Local Coastal Plan and improve communications and collaboration with the Coastal Commission.

Update language to certify and “continue” work with Coastal Commission Launch Shoreline Adaptation Program extensive work program 34 5. Broaden Public Communications
and Collaboration
A. Creatively and appropriately leverage community expertise and volunteers to advance City priorities.

Continue the same approach with ongoing Climate Action engagement Look at other opportunities for more substantive citizen engagement, not just input Facilitate sharing of accurate and documented information; correct misinformation Evaluate benefits and costs of various community engagement approaches B. Increase communications, education, and connections for community mental health resources.

Rebranding to behavioral health more broadly
Regional focus with San Mateo County Leadership Council and Stanford 33 34

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Packet Pg. 359 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 18
35 Other Possible Work Program Additions
A. Upcoming Council governance and team building workshop B. Advance the Manor overpass project working with CalTrans 36 Strategic Plan back to Council
for adoption of changes
Staff will revise Work Program
based on direction & resources
Headline of the Future
(based on the work today)
H. Next Steps
and Wrap-Up
35 36

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Packet Pg. 360 Attachment: AttB - PacificaSP2025_UpdateStaffReport-POWERPOINT (5906 : Strategic Plan Update) City of Pacifica Strategic Plan Update & Priority Setting Workshop March 1, 2025 Greg Larson, Facilitator 19
Thank you!
Greg Larson, Facilitator
[email protected]
408-761-1326
Except as noted, all photographs provided
by the City of Pacifica from photographers
Chris Campo. Stephen Johnson and staff
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CITY OF PACIFICA

CITY COUNCIL MINUTES
Council Chambers
2212 Beach Blvd
Pacifica, CA 94044
Mayor Sue Beckmeyer
Mayor pro Tem Christine Boles
Councilmember Mary Bier
Councilmember Mayra Espinosa
Councilmember Greg Wright
City Council Study Session 1 March 01, 2025
SPECIAL MEETING – STUDY SESSION
March 01, 2025 (SATURDAY) – 9:30 AM
www.cityofpacifica.org
Mayor Sue Beckmeyer called the special meeting / study session to order on March 1, 2025 at 9:37 AM.
9:00 AM - OPEN SESSION
Call to Order
Mayor Sue Beckmeyer convened the special meeting at 9:37 AM.

Staff Present: Kevin Woodhouse, City Manager; Michelle Kenyon, City Attorney; Yulia Carter, Asst. City Manager; Maria Sarasua, Police Chief; Ron Myers, Fire Chief; Scott Leslie, PB&R Director; Samantha Updegrave, Community Development Director; Marisol Gómez, Finance & Administrative Services Director; Louis Sun, Interim PW Director; Roland Yip, PW Dep. Director (Field Services/Engineering; John Mullins, PW Special Projects Consultant; Sarah Coffey, City Clerk; Elizabeth Brooks, Mgmt. Analyst.

Reading of Land Acknowledgment
Mayor Beckmeyer read the Land Acknowledgment.

Salute to the Flag led by Mayor Beckmeyer

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DISCUSSION OUTLINE - CITY OF PACIFICA PRIORITY SETTING

1. City Council Strategic Plan Update and Priority Setting through 2026 PROPOSED ACTION: Undertake a facilitated strategic planning workshop to review the adopted Strategic Plan and to provide direction on key priorities through 2026.

RESULT: NO VOTE REQUIRED
A. Welcome
City Manager Woodhouse provided introductory information and introduced members of the Executive Team present and the meeting facilitator, Greg Larson.

B. Overview
City Manager Woodhouse provided an overview of the agenda and purpose of the study session.

C. Accomplishments
Greg Larson presented an overview of the agenda for the meeting, identifying Ground Rules for the strategic planning study session and identified the top recent accomplishments that City Councilmembers identified in individual interviews in preparation for the study session. All Councilmembers mentioned street repaving and improvement to the Pavement Condition Index (PCI) as a key accomplishment. Three or four Councilmembers mentioned the following: Local Coastal Land Use Plan (LCLUP) being submitted, relationship with the Coastal Commission getting stronger, Measure M (TOT increase) passed, final Housing Element submitted to HCD and the draft EIR for the Housing Element Rezonings progressing. Multiple Councilmembers mentioned increased public engagement and recognition of a strong management team.

Facilitator Larson also mentioned a list of accomplishments that City staff identified.

Mayor Beckmeyer highlighted the LCLUP and the multiple meetings and public outreach that occurred with that. Mayor pro Tem Boles highlighted the relationship with the Coastal Commission. Councilmember Bier added the relationships with regional and statewide leaders, Congress members. Councilmember Espinosa highlighted the repaving work and mentioned that there is still a lot of work to do in this regard. City Manager Woodhouse added the Executive Team / Department Directors hired recently as important to the City and organization and the ERP system, an enormous lift in improving efficiency and modernization. Assistant City Manager Carter explained that the ERP is the Enterprise Resource Management system, a replacement of the City’s financial system and the associated modules that went live on July 1, 2024 and the new HR Management system in January 2025. City Attorney Kenyon highlighted the Housing Element and the LCLUP accomplishments.

Greg Larson asked for input from Councilmembers about, “What are the factors that let Pacifica accomplish so much?”
Councilmember Espinosa mentioned collaboration amongst Council, staff, volunteers and the public.

Councilmember Bier mentioned relationship building across the region and listening to hear rather than respond in order to better represent the public’s needs.

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Mayor pro Tem Boles mentioned willingness to tackle difficult and controversial subjects, such as the Local Coastal Plan, short-term rental issues, and the Quarry, and making decisions for the benefit of the community.

Mayor Beckmeyer mentioned cohesion on our Council, engaging with local peer elected officials in the county, and being committed to working through issues.

City Attorney Kenyon mentioned collaboration of the City Council, not just with staff but also with the community. She stated that this Council whatever the vote on issues moves forward and does not stay stagnant.

City Manager Woodhouse highlighted the commitment, energy, hard work and professional expertise of the staff and the commitment and hard work of the Council to take on the difficult issues that Pacifica needs to confront for its future.

Mayor Beckmeyer added that our community, active community members, Committee / Commission structure and community members’ willingness to volunteer on those bodies.

Mayor pro Tem Boles added the very involved senior community and volunteers and how people care so much about our city.

Greg Larson observed that the Council’s conscientiousness on an annual priority setting process for goals for a targeted list that is achievable is a great best practice that goes back a decade in practice.

D. Background Information
City Manager Woodhouse presented a financial overview for background consideration going into the strategic planning process, including revenues and the financial and operational sustainability challenge. He stated that without a significant increase in operating revenue, service delivery is at risk, adding that to raise staffing and compensation levels to the average of peer agencies would require approximately $8 million. He stated that without significant capital program funding, infrastructure is at risk and more than $200 million in capital funding is needed to meet capital needs. He provided details on anticipated challenges for the fiscal year 2025-26 budget balancing, mentioning deceased sales tax revenue and TOT revenue and uncertainty of the VLF in-lieu funding from the state. City Manager Woodhouse remarked that property tax revenue is the single largest revenue source for the City. He emphasized the importance of retaining the primacy of the Council’s top Strategic Plan Goal #1 – Enhance Organizational and Fiscal Stability and to think about prioritizing strategies that support new and re-development.

He shared data that achieving the City’s RHNA allocation over 5 years would translate to over $3.5 million per year in additional property tax revenues and adding 100 new hotel rooms would translate to approximately $1 million per year. He shared additional data regarding assessed property valuation in Pacifica and how property tax is allocated to the city based on the assessed property valuation and how the trend of assessed valuation growth in Pacifica is much lower as compared to other cities and how that translates into revenue pertaining to new and redevelopment. City Manager Woodhouse provided context with respect to the relative magnitude of property tax, Transient Occupancy Tax (TOT) and sales / transactions and use tax (TUT) revenues, adding that average sales tax revenue per retail business in $4k / year and it would take 250 new average retailers to generate $1 million per year in additional sales tax revenue.

He stated that funding for capital projects relies on grant funding and voter-approved revenue and/or bond measures. He emphasized the need to minimize organizational burdens and

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inefficiencies that expend limited staff resources and divert focus from Council priorities that will make the city financially sustainable in the future.

Councilmember Bier appreciated the facts provided by the City Manager, recognizing that it reflects the reality that the city is facing.

Mayor pro Tem Boles appreciated the building blocks to the get city where it needs to be such as the Economic Opportunities Study, General Plan Update, LCLUP, Sharp Park Specific Plan, and Housing Element. She asked how to get developers in to build more housing, businesses and offices. She observed that from the Economic Opportunities Study certain types of businesses such as restaurants bring in more sales tax.

City Manager Woodhouse responded that the top class of sales tax generators for the city include dining establishments and gas stations.

Mayor Beckmeyer spoke about the RHNA (Regional Housing Needs Allocation) numbers, how it would help our assessed valuation, and asked how we meet those goals in a way that the community can live with such as preserving the green hills and what we value.

Councilmember Espinosa expressed the need for housing for an aging population and for essential workers and to prepare for the future.

E. Public Comment
Mayor Beckmeyer opened Public Comment for items on today’s agenda.

Ava Litz, Pacifica, stated that she is a student at Terra Nova High School, a former San Mateo County Youth Climate Ambassador, current Jefferson Union High School Sustainability Committee and member of the Youth Climate Action and Adaptation Task Force, speaking about agenda item G4, urging a dedicated committee for youth involvement in implementing and overseeing climate initiatives and recommended a youth-led Climate Action and Adaptation Plan Committee to work in parallel with the Environmental Commission proposed in the Draft Climate Action and Adaptation Plan.

Suzanne Moore, Pacifica, recommended that safe and affordable housing for all should be a chief goal, including housing for the most vulnerable, elders, low-income residents, etc. She stated that housing instability impacts health, quality of life and longevity of the individual and equally impacts the community as a whole. She encouraged routinely offering tenant know your rights seminars to inform tenants and property owners can be informed of current laws and resources. She is excited that the city received a grant from the Partnership for Bay Area’s Future for rezoning and Housing Element implementation.

Calvin Chan, Pacifica, stated that he is a Youth Advisory Board member, a member of the Youth Climate Action and Adaptation Task Force, a San Mateo County Youth Climate Ambassador, and a student at Terra Nova High School. He commented on the Climate Action and Adaptation Plan included a youth implementation section and urged continuing work with youth engagement to ensure a better, cleaner, more sustainable future for generations.

Remi Tan, Pacifica, agreed with the City Manager’s statements about the RHNA housing and new hotel rooms, and urged that regarding new housing to be sure developers pay for the impact on infrastructure. He stated that the city needs more hotels and restaurants to make

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Pacifica a tourist destination. He stated that capital projects should be paid through special assessments paid by those that benefit from them.

Natalie Hopner, Pacifica, spoke regarding Goal 3 – Prioritize Protection and Development of Affordable Housing, urging Council to take action to protect low-income and disadvantaged Pacifica residents from displacement, such as protecting affordable housing tenants, just cause eviction ordinance from day one and tenant anti-harrassment ordinances.

Celeste Langille, Pacifica, stated that she was the vice chair of the original Climate Action Plan Task Force and stated that the Climate Action Plan adopted in 2014 sat on the shelf as climate change impacts have increased. She thought that climate change is the most important issue facing Pacifica, mentioning storm damage, flooding, sea level rise, wave overtopping, erosion, etc. that has occurred. She stated that the creation of an Environmental Commission is the only way the city can and will make progress on the goals laid out in the Climate Action and Adaptation Plan, sharing her thoughts on how the volunteer work could be leveraged with minimal staff impact.

Michael Wahlman, Pacifica, suggested open data dashboards to show data on portfolios of projects, showing revenues, commitment of staff resources and costs, SWOT analysis, etc., asking to show what kind of infrastructure improvements are needed to facilitate changes, what is the cost of doing nothing, etc.

Nancy Tierney, Pacifica, commented on three environmental matters: the Climate Action and Adaptation Plan Task Force has learned a lot over eighteen months and recommended establishing an Environmental Commission to enable regular reporting to Council and access to resources, urged Council to consider a ban on plastic grass, and commented to support two bills known as the Polluters Pay Climate Superfund Act – AB 1243 and SB 684, which require fossil fuel polluters to pay their fair share of the damages created by greenhouse gases.

L.J. Jones, Pacifica, suggested adding a priority to amend the outdoor commercial permit code to allow food trucks to operate fairly in Pacifica, including removing the requirement that an outdoor commercial permit can only be approved for businesses that operate in an enclosed structure, and recommended allowing food trucks to operate in valid street parking spots within commercial districts while maintaining a buffer of 300 feet from existing restaurants.

Tygarjas Twyrls Bigstyck, Pacifica, advocated for considering raising the pay of Councilmembers to the state maximum, stating that now would be the best possible time to consider this issue.

Cindy Abbott, Pacifica, commented about “vision”, what are we becoming and what do we want to be: we want to be a safe place not putting future generations at risk, including environmental risks such as fire, erosion, sea level rise; financial risk due to constant development on the coast which is treacherous, and valleys, canyons and hillsides also erode and slide and are subject to fire risk. She commented on Goal 5 to broaden public communication and collaboration and thought that we have lost that, asking who makes the decision on what is appropriate in the statement to creatively and appropriately leverage expertise of community volunteers. She thought that community research had been ignored on several issues such as the quarry and short-term rentals.

Kimberly Finale, Pacifica, spoke regarding her concern on the topic of the threat of major disasters and the need to be prepared. She stated that the city needs a plan and the community

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is concerned about wildfires, flooding, landslides, erosion, power outages, earthquakes and storm surges. She stated that there is a component in the Draft Climate Action and Adaptation Plan addressing Resiliency and Adaptation and hopes to place priority on adoption of requested resilience recommendations connected to a clear, comprehensive and widely communicated plan for disaster. She suggested an Environmental Commission to work with the Emergency Preparedness & Safety Commission on such a plan and a community resilience hub.

Lyla Reinero, Pacifica, commented on updating the short-term rental ordinance as one of the strategies under Goal 3 to prioritize protection and development of affordable housing. She stated that much of our funding is based on population and Pacifica’s full-time population has decreased by 10% since 2015. She stated that we need to focus on returning our existing homes into housing.

Gail Benton Shoemaker, Pacifica, speaking on behalf of Tree City Pacifica, stated that she is glad to see the Climate Action and Adaptation Plan is on track, adding that Tree City Pacifica supports the tree canopy goal of 25% in the Resilience and Adaptation section of the CAAP and the four actions listed under the canopy goal in the plan: to update the existing Tree Ordinance to protect, preserve and replace trees, which is currently off-track, and asked to prioritize this and include public collaboration; to incorporate Arbor Day and Tree City U.S.A. into a City committee or commission that collaborates with Tree City Pacifica to celebrate Arbor Day and fulfill Tree City U.S.A. requirements; to work with a City committee to create an Adopt a Tree Program enlisting citizens to adopt new city trees by signing watering agreements to help Public Works care for street trees; and to create and Urban Forest and Street Tree Plan. Tree City Pacifica has also requested that the City replace the city arborist who has retired, asking to add a staff person with arborist qualifications to the organizational staff section of the Strategic Plan.

Amy Andicot, Pacifica, asked questions about opening new restaurants in town and why it is not happening / delayed, how many more new housing units can be handled by the capacity our current sewer system, has the revenue that would come from property taxes been offset by the cost of services to low-income residents, and what is the top problem and where can new generations of families get involved.

Sue Digre, Pacifica, stated that revenue is the essential important issue, however property taxes can fluctuate. She stated that the community does not want to be just a bedroom community and we want to be a destination place with superb natural assets, trails, culture and history, theater and music, suggesting to enhance these by having the Economic Committee and Open Space Committee to work with the Pacifica Historical Society and Sanchez Art to use these opportunities to generate revenue. She stated that we need to be reasonable about housing and need transportation in place, as we don’t have adequate public transportation in place. She advocated for including youth. She also stated that we should push back on RHNA.

Mayor Beckmeyer closed public comments.

Mayor Beckmeyer announced a break and then reconvened the meeting at 11:55 am.

F. Review of Adopted Strategic Plan and Work Program
Greg Larson presented the review of the current Adopted Strategic Plan, including Mission (what do we do), Vision (what are we becoming), Values (how do we approach our work), Goals (7-year objectives, how will we achieve our vision), Strategies (ways to achieve the goals, with

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minor modifications each year) and Implementation Action Plans (staff work plan). He stated that the Council did not identify any changes to the currently adopted Mission and Vision. He stated that there was a requested grammatical change to the Values statement with respect to “Transparent and Responsive”, modifying it to “Transparency and Responsiveness”, and adding the statement, “We are committed to…”, which is a non-substantive change. Council consensus agreed with the change, reflecting the Values as: “We are committed to: * Collaborative Teamwork, * A Healthy Workplace, * Heartfelt Service, * Resource Stewardship, * Transparency & Responsiveness, * Visionary Planning”.

City Manager Woodhouse continued the presentation, explaining that the Council identifies the Strategies out of the Strategic Planning Session and staff builds the tasks and subtasks that comprise the work program to fulfill those Strategies. He stated that the Strategic Plan and Strategies come back to Council in the spring for adoption and a draft work program goes back to Council for information. He welcomed Council feedback on the current work program for prioritization, but no action is required on those. He provided a status update on the work program with respect to items Achieved, On-Track, Not Started, Canceled, Off-Track and At Risk and indicated that it is expected that some items will fall into Off-Track and At Risk status.

He stated that out of 308 Work Program items, 39% are Achieved and 27% are On-Track, and the overall status is a good result for a work program that is robust enough and feedback from staff that is truthful.

Greg Larson continued the presentation with an overview of the organization of the work program. He stated that there is a strategy-level item for each goal that includes the ongoing, non-discretionary and previously-initiated work that is relevant to each of the goals, which are additional relevant work items that Council should be aware of that competes for resources to get other work done. He explained that the work program does not try to reflect the day-to-day work of each department that consumes about 85% of the staff resources. He invited Council questions on the work program.

Mayor Beckmeyer asked for clarification on the “Off-Track” status reported for Item 1.1.4 - Classification and Compensation Study.

Assistant City Manager Yulia Carter responded that the update is as of December 31, 2024 and this item was off-track at that time because it did not make that deadline, but nearly complete.

Staff is planning on using this for labor negotiations and bringing it back to Council.

Mayor Beckmeyer asked about Task 1.5.2.2 with respect to the successor agency for redevelopment and the annual mandated reporting and how it can tie back to goals for economic development.

Greg Larson thought that she may be suggesting a new sub-task for looking at how to enforce the old RDA expectations for properties even with the elimination of RDA.

Mayor Beckmeyer asked to confirm that for PRA’s everything is “On-Track”, recognizing it as a big lift and asking if the technology tools are helping with that.

City Clerk Coffey replied affirmatively, noting that the NextRequest software and the addition of the Deputy City Clerk position provided necessary resources to respond efficiently to public records requests and get them on track.

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Councilmember Bier referred to Task 1.3.2.1, the Shop Pacifica Program, stating that she hears from the community that it is not working out for them and asked if Yiftee is coming out with something better.

City Manager Woodhouse responded that Yiftee is working on technology improvements to make the program easier, but that the City’s data provided in the written responses to Council questions is clear about the program’s success.

Assistant City Manager Carter added that Yiftee is working on adding ApplePay in April and they have already added the app to store gift cards. She added that the shoppers’ have reported positive experiences.

Mayor pro Tem Boles referred to Task 1.3.4.2 (pg 4 of the responses; pg 13 of the agenda packet), as part of the Economic Opportunities Study and what we can do with 2212 Beach Blvd. site, seeing that we have gotten an appraisal but need to go through the Surplus Lands Act (SLA) process. She asked about the schedule for this and considering how the site is being currently used and best use of the site.

City Manager Woodhouse responded that Kosmont Companies is assisting with the start of the Surplus Lands Act process, which will be coming to Council for the declaration of Surplus Lands, and the redevelopment of this site is critical to the future of the City.

Mayor pro Tem Boles asked for an update on the Manor Overcrossing project and why it has slipped a year.

Dep. Dir. PW Yip replied that the current phase of the Manor Overcrossing project is the project approval and environmental document (PA/ED), and has been experiencing significant delays with traffic studies by CalTrans and there is more than 6+ months delays with CalTrans, and scheduled to be complete by the end of this year, but as for cost and consultant fees it is still on track with budgeting and most of this is paid for by a grant. He stated this phase is still working on planning documents, and the next phase will be the plan specs and estimates (PSE) and we have not scoped the PSE need yet and need to seek grant funds for that phase.

Mayor pro Tem Boles expressed concern about controversy with respect to the on-ramp.

Dep. Dir. PW Yip replied that the ramp needs to be decided by either City Council or CalTrans requirements. He recommended including both alternatives in the EIR as it is easier to remove scope than to add it in the EIR.

Greg Larson clarified that the purpose at this time was to receive clarification on updates from staff on the work plan rather than discussions for a work plan update.

Mayor pro Tem Boles asked about the Beach Boulevard Infrastructure Resiliency Project (BBIRP) and whether we are on track to continue with that and have money for the next phase, the environmental review process.

Dep. Dir. PW Yip responded that for the current phase 2A we are wrapping up with the notice of preparation and preliminary environmental documents and 35% design and we are on budget and on track to complete this phase. He added that we applied for a Department of Boating and Waterways grant for Phase 2B, the full environmental documentation, but there is no

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determination yet on receipt of that grant. He stated that we have also applied for a grant for Phase 2C, the final phase of the design and permitting.

Greg Larson discussed the opportunities for Councilmembers to receive more detailed information on the work items discussed and the organization of the afternoon portion of the agenda.

Mayor Beckmeyer announced a break at 12:40pm and then reconvened the meeting at 1:20pm.

G. Priorities through 2026 (discuss by adopted Goals, below) 1) Enhance Organizational and Fiscal Stability.
2) Improve and Steward City Infrastructure, Streets and Facilities. 3) Prioritize Protection and Development of Affordable Housing. 4) Pursue Climate Change Adaptation and Mitigation.
5) Broaden Public Communications and Collaboration.

Greg Larson continued the presentation to discuss the priorities that two or more Councilmembers mentioned for the upcoming year, and will review them in the context of each of the Goals with the Strategies underneath them. Mr. Larson shared a list of the top-of-mind priorities mentioned by Councilmembers whether or not they were reflected in the current Strategic Plan, differentiating those that are in the existing Goals / Strategies versus Work Program items and potential new items. He also shared a list of other staff identified priorities to consider. He observed that most of the items are already reflected in the Goals and Strategies and can be reflected in the Work Program with a couple of exceptions that will be discussed.

Mayor pro Tem Boles asked for an explanation of the staff identified priority listed as, “Explore tax increment financing district options.”
City Manager Woodhouse explained that it is in the current Work Program as a major economic development priority, adding that tax increment financing tools have evolved since the sunset of redevelopment. He provided examples of such tools that allow maximizing property tax revenue in the designated financing district that does not need to be a contiguous district, and any assessed value increment property tax value comes back into improvement of infrastructure or projects that enhance climate resiliency, etc. for that district. He stated it is a long-term strategy to maximize the incremental increase in assessed value revenues coming to the city as redevelopment occurs in those areas for decades into the future. He clarified that residents are not being taxed extra.

Assistant City Manager Carter added that this is one of the recommendations in the Economic Opportunities Study with Kosmont and is included in the Economic Development Plan, which is in the current Work Plan.

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Mayor pro Tem Boles asked about #13 – REACH Codes, and Mayor Beckmeyer asked about the timing of updating the building codes as it has been done at the same time since she has been on Council.

Comm. Dev. Director Updegrave stated that they have not released the full list yet, but more information will be coming in the next months.

Mayor Beckmeyer stated that Council and the public will need a good explanation of what those proposals are for REACH Codes, background and the implications of how they impact our climate goals.

City Attorney Kenyon added that the REACH Codes analysis will take more time and will need more time to bring the Council and community along in understanding what all the changes are going to be.

Greg Larson stated that the building code update was a triannual process and used to be a routine matter, then started integrating in green building in the construct of REACH codes with optional add-ons that cities could do to be more aggressive in pursuing green building and it is a much more substantive policy consideration now. He observed that it is a big work item that will take considerable time.

Councilmember Bier asked about committees and commissions, requesting where we are in the line up of the reviews.

City Manager Woodhouse replied that they have Beautification Advisory Committee and Emergency Preparedness and Safety Commission teed up to review per Council’s recent direction.

City Clerk Coffey added that for Beautification Advisory Committee and Emergency Preparedness and Safety Commission the timeline was end of calendar year 2025, then addressing in 2026 and beyond the Parks, Beaches & Recreation Commission and Planning Commission, followed by review of administrative policies, the Committee / Commission Handbook and processes to affect efficiencies.

Councilmember Bier brought up suggestions from Tree City Pacifica to add in Adopt-a-Tree to Beautification, Arbor Day to Parks and Rec, but we can talk about those further and appreciated we are reviewing them. She also mentioned interest in reviewing the Youth Advisory Board and thought that we need a Climate Committee.

Mayor Beckmeyer asked to understand how to possibly make assignments to a particular committee or commission within their existing scope and not a charter change.

City Manager Woodhouse replied that the referral process exists with Council at any given time on items they are deliberating on in the Council meetings, but if while developing the Strategic Plan the Council indicates that a work item makes sense to refer to a specific committee then staff can build that into the Work Program.

Councilmember Espinosa asked which parks are the priority parks.

PB&R Director Leslie responded that the priority parks currently in process for being upgraded as part of the initiative are Marbella Park, Brighton Mini Park, Skyridge and Imperial Park.

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Greg Larson continued the presentation discussing Goal 1 (Enhance Organizational and Fiscal Stability) and its Strategies. He stated that Council brought up the need to elevate explicit discussion of the labor negotiations as a time-consuming and organizationally intensive process and reflect it in the Work Program. He added that staff recognizing prior work on GIS and ERP has brought forward a new item to recognize that there are a variety of new technologies to focus on to improve services and staff efficiencies, and there will likely be several Work Plan items related to this, including the community development permit tracking software and the agenda management system with video integration as well as other technologies.

Councilmember Bier asked about the agenda management system and where Pacific Coast Television (PCTV) fits in.

City Manager Woodhouse responded that it will integrally involve PCTV for the video element.

Greg Larson concluded that there was Council concurrence to build the Work Program with no changes to Goal 1, Strategy A, with the highlight of the two work items discussed being elevated or added to the Work Program.

Greg Larson continued with Goal 1, Strategy B (Consider possible tax and bond measures for 2024) to reflect changes to drop the year to make it no longer time specific and to include other revenue opportunities beyond just tax and bond, such as special financing district, grantmaking, etc,, and to change the word “consider” to a more active word “pursue”. There was Council consensus to make the change to Strategy B to: “Pursue tax, bond and other revenue opportunities.”
Greg Larson summarized with Goal 1, Strategy C (Prioritize implementation of the Economic Opportunities Study) and the priorities under this strategy mentioned by Councilmembers: focus on new hotel and mixed-use development, complete the development fee study and small and local business outreach and support.

Assistant City Manager Carter stated that the development fee study is already in the Work Plan, starting the RFP process in the last quarter of the fiscal year and starting the study in the new fiscal year. She added that there are dependencies on the capacity of the Community Development, Public Works and Administrative Services departments. She explained that Phase 1 is a development fee study, Phase 2 is cost allocation plan before moving to Master Fee and User Fee Schedule updates. She added there is an economy of scale if we package these projects together in working with a consultant.

Mayor pro Tem Boles and Mayor Beckmeyer asked about the timeline for development fee updates.

Assistant City Manager Carter estimated that each phase would take about 3 – 4 months and factoring it into the next budget development process, concluding that the resulting Master Fee Schedule would be adopted in the June 30, 2026 budget.

Mayor Beckmeyer asked about fees applied to development that happens in the meantime.

Assistant City Manager Carter stated that the development impact fee would be done in the first phase. City Manager Woodhouse added that when we finish development impact fee

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recommendations and Council approves them, then they are in effect for any development that occurs after that time, but not in effect for development that occurs before they are adopted.

City Attorney Kenyon explained that these development impact fees from this study are not for project-specific impacts which would be imposed by the discretionary review permit process to impose service impact costs on the particular project, but this study will impact developments in general throughout the city for citywide development impacts and infrastructure needs.

Greg Larson concluded from the discussion that given Council interest to, “prepare the cost allocation plan and development impact fee and master fee studies,” which is already in the Work Program, to elevate this as a separate Council Strategy 1.D.

Councilmember Bier asked for clarification on what would remain under 1.C with the small and local business outreach supports and improvements.

Greg Larson stated that Councilmembers suggested options such as Councilmember and staff outreach directly to small businesses in their districts to shopping centers that need more attention and have this articulated by staff as a Work Program item.

Mayor pro Tem Boles and Mayor Beckmeyer thought that could be an instruction for the Economic Development Committee to focus on. Mayor Beckmeyer added based on some public comments to tie recreational opportunities to economic development opportunities that may relate to the work of different committees and commissions.

Mayor pro Tem Boles mentioned the issue of food trucks and that may take an ordinance.

Councilmember Bier agreed.

Greg Larson reflected that the issues of recreational tourism and small retail business support were addresses in the Economic Opportunities Study, but not yet pulled out into the Work Program and thought that when staff brings back the Work Program decisions related to allocation of staff time to differing priority items.

Mayor Beckmeyer stated that she would like to see some workload designated in the context of existing committees and commission for some things already identified as priorities, such as operationalizing recreation, food trucks, economic development, multi-modal transportation (e.g. interaction of bikes and pedestrians on trails), etc.

City Manager Woodhouse stated that there is a large list of implementation items in the Economic Opportunities Study and we would need to look at what the work plan would be for any of those actions, who will do that work, what resources do we have and ask the question on whether there is a committee that can do part of that work. He added that it gets complicated in practical aspects that need to be evaluated to determine what is realistic and practical for a committee to work on, legal considerations, etc. He stated that staff would work on the detailed development of the work program for how to complete the goals and strategies that are identified by Council.

City Attorney Kenyon added that if a committee of commission begins talking about a potential ordinance, such as a food truck ordinance, then staff from the City Attorney’s Office would need to attend those meetings where legally implicated projects such as an ordinance are discussed.

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She recommended that those type of discussions occur at the Planning Commission or City Council level.

Mayor Beckmeyer thought that a committee could do research into what other communities are doing and identify issues that need to be factored in, but not develop specific ordinance language. She thought that committees could do more to assist us in moving forward.

Mayor pro Tem Boles observed that Councilmembers are serving as liaisons on most committees and they could bring questions to the City Attorney if needed.

Greg Larson advised that when committees are doing work, staff needs to make sure that they are not violating the Brown Act and that anyone involved in making a policy decision may be subject to financial disclosure and whether the city wants to go through that reporting process for volunteers. He thought that some of the discussion related more to Goal 5. He concluded after Council’s discussion that for Goal 1, there is only a change to B and adding a new D for the Fee Study, then the rest is for staff development of the related Work Plan.

Council consensus agreed with Mr. Larson’s conclusion regarding Goal 1.

Mr. Larson introduced the discussion on Goal 2 (Improve and Steward City Infrastructure, Streets and Facilities), summarizing that based on Council feedback received there was no recommended language changes to the Goal or Strategy A except for incorporating sea level rise impact and longer term alternatives via storm water retention basins, etc that need to be part of the Work Program. For Strategy 2.B. he heard feedback from Councilmembers to look at interim pier opportunities while the city waits for funding of the full project.

Councilmember Bier does not like the “as feasible” language, adding that the pier is very important to the community.

City Manager Woodhouse recommended including “and the Pier” in the description of the strategy and removing the parenthetical and “as feasible” language. He added that part of the Work Program for that is fundraising and that phases of pier repair could be included in the Work Program, e.g. Phase 1 repair of the railings on the pier for which we have some grant money but not enough.

Dep. PW Dir. Yip stated that after the full structural assessment of the pier the total cost of repairs is $20M, adding that it could be phased into three phases, each ranging from $5 -$7M per phase. He added that the city has some current funding from the Consolidated Appropriations Act which could start the design, permitting and environmental review for the full repairs and see how it can be phased and seek additional grant opportunities for Mayor Beckmeyer concluded that for Strategy 2.B. we are striking the parenthetical phrase “including the pier, as feasible” and replace it with, “and the pier,” resulting in, “Advance the Beach Boulevard Resiliency Project, the Esplanade Protection Project, and the Pier Rehabilitation / Repair Project.”
Council consensus agreed with this language edit.

Greg Larson continued with Strategy 2.C. (Broaden community awareness of the Library projects). He thought that the work on this strategy was progressing and there was no sense in changing direction.

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Mayor pro Tem Boles was hoping to be able to do a bond measure next year and asked if this needed to say something more than community awareness.

Mayor Beckmeyer asked about a when a public polling component might come in.

City Manager Woodhouse responded that Strategy 1.B. is to pursue tax, bond and other new revenue opportunities, which would include the work that would be done for what is feasible for a voter-approved revenue measure for anything including library, infrastructure, etc. He felt that the work in Strategy 2.C. related to the library is in building community awareness of the need of new libraries.

City Clerk Coffey agreed that the scope of the Library Advisory Committee is building awareness of the facilities needs for the libraries and building support of revenue measures, and the past iteration of the committee was involved in selection of architect and recommended designs, but the polling and determining feasibility of potential bond or revenue measures is beyond the scope of the Library Advisory Committee and under the City Manager’s purview.

Greg Larson recommended keeping the bond portion all under the financial scope of Strategy

1.B. He also clarified that he thought the timeline would be beyond the fiscal year and through 2026 calendar year (December 2026).

Greg Larson continued with Strategy 2.D. (Develop a Facilities / Equipment Plan for Public Safety / Community Center). He stated that Councilmembers thought all the items for the public safety portion were achieved, but some Councilmembers indicated that they would like to broaden this strategy to all parks and recreation facilities and some indicated they would like to include Public Works equipment and vehicles. Mr. Larson cautioned that broadening the scope may not be feasible in the next couple year cycle.

City Manager Woodhouse thought when this came up in Strategic Planning previously, the most tangible item was to look at the Community Center and improvements that are necessary at the Community Center and how to afford them as the costs are more than what was previously anticipated. He stated we have broader facility needs, but developing a Master Plan for Facilities does not seem like a feasible task given staff resources for this next year. He thought refining the expectation on this Strategy would be helpful.

PB&R Dir. Leslie stated that the process of looking at upgrades for the Community Center was delayed due to the Civic Center operations being there through last summer, but the upgrades for flooring, painting, exterior work, HVAC, etc are costing more than anticipated.

Councilmember Bier stated that the Public Works equipment, trucks, etc. seem very important and asked how we are prioritizing facilities, e.g. the Community Center versus Public Works trucks that are rusting.

PW Special Projects Consultant Mullins stated that we would look at buildings based on age and occupancy for the initial overall assessment before getting into further detail, explaining they would look at overall structure of the building, condition of the building, and equipment of the building, including the fire stations and Council Chambers. He stated that the Community Center would take priority. He stated that all City facilities would be put in the GIS mapping system.

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Mayor pro Tem Boles thought that the topic should be broader than Public Safety and the Community Center.

After further discussion, City Manager Woodhouse recommended that staff review, based on the assessments and efforts underway, to refine the title of this Strategy and a Work Program that is feasible to accomplish in this next year to bring back to Council for approval.

Council consensus agreed with the City Manager’s recommendation.

Mayor Beckmeyer called for a break, then reconvened the meeting.

Greg Larson continued the discussion with Goal 3 (Prioritize Protection and Development of Affordable Housing). He concluded that there were no changes requested for Strategy 3.A. (Complete the Housing Element Update) and the Council concurred. Mr. Larsen referred to Strategy 3.B. (Update the Short-Term Rental Ordinance) and heard from Councilmembers that it was appropriate to keep this strategy and from staff that this will be a substantial body of work and include the implementation of the short-term rental ordinance in the Work Program. Council consensus agreed.

City Manager added that the other aspect in the Work Program will be the submittal to the Coastal Commission, which will be a significant work item.

Greg Larson referred to Strategy 3.C. (Prioritize Housing Element Program Implementation), stating that he heard from Councilmembers and some public comments about affordable housing being a priority, not just planning for it, but making it happen and working with nonprofits. He added that feedback from single Councilmembers included to consider, through 2030, increases or additions to inclusionary housing requirements, adding mention of potentially including a percentage for workforce housing. He asked if there was broader interest from Council to include this on the radar for 2030.

Mayor pro Tem Boles thought that it was included in the Housing Element as one of the goals, so it does not need to be separate.

Mayor Beckmeyer added that we don’t know yet the impact of state law changes and density bonuses, etc.

Greg Larson concluded from the discussion that the inclusionary housing requirements was not a short-term priority but a Housing Element requirement. Councilmembers agreed.

Councilmember Bier agreed and emphasized that priority should be addressing the Housing Element as planned, concerned that we are adding too many things.

Mayor Beckmeyer referred to Task 3.3.4 (packet page 22) it says, “negotiate with developers,” but thought that it should say, “developers and non-profits.” Councilmember Bier suggested the word “partner”.

Greg Larson indicated that staff could wordsmith the item.

City Manager Woodhouse wanted to distinguish between what is in our Housing Element that we are required to do this next year versus what Council is identifying here. He stated that while

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Council would like to get to advancing an actual project, we have to do what is in our Implementation Plan. He stated that we would come back with a Work Program that picks the items in our Housing Element that are identified for next year, and that will be an enormous workload, and suggested adding a caveat to advancing an affordable housing project and working with non-profits to include, “… as opportunities present or as staff resources allow,” to manage that expectation.

Mayor pro Tem Boles asked about the Partnership for Bay’s Future (PBF) fellow and their work for the city and the Pacifica Resource Center. Councilmember Bier added HEART, also.

Comm. Dev. Director Updegrave stated that the Partnership for Bay’s Future (PBF) fellow is being supported by HEART and Pacifica Resource Center, but it is not within the scope of the grant to work on actual affordable housing projects, so they are primarily focused on updating, streamlining and modernizing our objective development standards and community engagement around those types of functions with the internal guiding documents.

Greg Larson concluded that Council has expressed their interest and staff is working with legal and resource constraints, so staff will come back with a Work Program that reflects both as best they are able.

Councilmembers agreed.

Greg Larson referred to the feedback to accelerate work on “Objective Design Standards” as part of Strategy 3.C. and is already in the Work Program.

Mayor pro Tem Boles referred to it as Task 3.3.3 (Phase 2 Zoning Text Amendments and Objective Design Standards) asking if this is being completed by September 30, 2025.

Comm. Dev. Director Updegrave stated that staff is in the process of developing the plan and the work is ongoing, but she cannot speak yet to the date. She stated that the PBF fellow is working on Objective Design Standards.

Greg Larson concluded that the discussion is complete for Goal 3. He moved on to discuss Goal 4 (Pursue Climate Change and Adaptation and Mitigation). He stated that comments from multiple Councilmembers mentioned wanting to show tangible commitment to implementing this work, consolidate or leverage this direction with other plans and implementation of other work that is underway, focus on short term wins and needs to gain time for longer term strategies and staff brought up that REACH Codes / Green Building Codes will also be progressing in the next year. He stated it is probably not the time to preempt the follow up on Monday night’s discourse on this topic and the recommendation from the CAAP Task Force, but asked Council if there is any change to the Goal or Strategy 4.A. (Update the Climate Action and Adaptation Plan, including performance targets) needed at this point.

City Manager Woodhouse stated that by the end of this fiscal year, the expectation is to have adopted the updated Climate Action and Adaptation Plan, which includes performance targets and this would focus on beginning implementation actions of the CAAP. He suggested updating the wording of Strategy 4.A. to, “Begin Implementation of the Climate Action and Adaptation Plan.”
Council consensus agreed.

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Packet Pg. 377 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) City Council Study Session 17 March 01, 2025
Mayor pro Tem Boles thought that for this work to continue we need to start an Environmental Commission as recommended by the CAAP Task Force.

Councilmember Bier stated that we would need to create a charter.

City Manager Woodhouse stated that some of the considerations regarding adding a new commission, staff would need to do a significant amount of research on the staff impacts to forming and supporting a new commission, estimating that a full-time employee would spend a quarter to one third of their time just administratively supporting a commission’s work, and it could be more. He stated that there is a reason why the city has not added a new committee or commission in a long time. He added that as a major Council Strategic Plan Goal to “Implement the CAAP”, staff will figure out how to get that work done, and the policy decision for the Council is what productivity does a commission being formed bring versus staff or dollars being spent to get that work done. He reminded Council that the CAAP Task Force has amazing volunteers that have done an amazing amount of work and the City has spent over $100k and a third of an FTE supporting that Task Force’s work, so it involves a lot.

Greg Larson asked about timing for the next discussion of the CAAP to come back to Council.

Management Analyst Elizabeth Brooks stated that CAAP Task Force will discuss at their March 25 meeting they will discuss public comments received in addition to feedback from Council from Monday night’s meeting regarding the CAAP Draft, then with City Manager will decide when to agendize to go back to Council for consideration of adoption.

Mayor pro Tem Boles suggested it would be helpful for CAAP to identify tasks they could do that could take the place of work staff would do to flesh out the value of the committee versus potential costs to city staff.

Mayor Beckmeyer asked if there should be alternatives and trade-offs offered when the analysis of what it takes to create a new commission, such as amending charters for existing committees / commissions.

City Manager Woodhouse agreed that the analysis should include alternatives.

Greg Larson moved the discussion on to Strategy 4.B. (Continue the Urban Forestry / Tree Canopy Inventory and Projects), stating that Council agreed to keeping the strategy as-is. He then moved on to Strategy 4.C. (Update Pacifica’s Local Coastal Plan and Improve Communications and Collaboration with the Coastal Commission), indicating that there would be a language change to bring back to Council to state “Certify” the Local Coastal Plan and “Continued Work with the Coastal Commission”.

Mayor pro Tem Boles asked if the input to launch Shoreline Adaptation Program came from staff.

Greg Larson replied affirmatively, adding that it would be a major part of the Work Program under this Strategy for the foreseeable ten years.

City Manager Woodhouse agreed and added that there are other implementation actions, suggesting that the item is to begin implementation actions, including Shoreline Adaptation Program, and actions to make the SRA’s go into effect.

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Packet Pg. 378 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) City Council Study Session 18 March 01, 2025
Council agreed with these updates for Strategy 4.C.

Greg Larson opened the discussion for Goal 5 (Broaden Public Communications and Collaboration), recognizing that this is so embedded in the fabric of Pacifica with high degrees of public engagement, in this goal the Council adopted two years ago they weren’t saying to start public communications and collaboration, but to broaden it in new and innovative ways such as the need to work with the community in terms or mental health resources, as well. He reflected that in the three years he has been involved with Pacifica, this city has done more public engagement than most cities he has seen. He referred to Strategy 5.A. (Creatively and appropriately leverage community expertise and volunteers to advance City priorities) clarifying that the word “appropriately” is in the context of what is allowed as a public agency that needs to reflect all points of view, not just an advocate’s point, and must go through financial disclosures and obligations under the Brown Act. He heard from staff that the process used with CAAP seemed to be an effective one. He heard from Councilmembers that what worked for the Task Force, maybe we need to keep the same approach for ongoing Climate Action engagement. He heard from a few Councilmembers was that in addition to facilitating sharing accurate information, there may need to be more of a response to misinformation.

Mayor Beckmeyer stated that she would like to rephrase “and appropriately” to more specifically refer to regulations and law. She asked appropriately elicits the question, as to whom, and it sounds negative and does not ring true to the spirit of incorporating people.

Councilmember Bier suggested taking out the word appropriately.

City Attorney Kenyon agreed that appropriately is not the right word. She thought, “Creatively harnessing community expertise…” or a more active verb.

Greg Larson concluded that staff will work on addressing the wording to come back with a suggestion to come back to Council.

Mayor Beckmeyer referred to Task 5.2.3.2 on Packet page 27, which is achieved as of last year, but thinks that the annual Pride event would be ongoing. She didn’t think it was a one and done.

Councilmember Bier agreed that it is ongoing.

Greg Larson explained that 5.2. is the same as 5.B.

Councilmember Bier thanked the Chief of Police and the Police Department for implementing the LGBTQ+ Liaison Program, which has been wonderful.

City Manager Woodhouse stated that the first year of support for the Pride event was a fairly involved lift by city staff. He added that he needs to hear more from the Council about whether it needs to be elevated to a Strategy and whether the city is committed to having staff that supports that event each year. He stated that there was a Council ad-hoc subcommittee the first year, which is no longer active. He asked if the formation of a new ad-hoc subcommittee would need to come back.

Councilmember Bier mentioned that last year there was a car parade, but no street closures, and Tara and Alyssa both helped and showed up at planning meetings and were a liaison between the city and the planning group.

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Mayor Beckmeyer thought that what they want to do determines the scope of what is needed and until we know what the plans are, we are not sure of what is involved. She thought that it would involve public safety. She asked what is the best way to address it – is it a Council adhoc subcommittee or an ongoing liaison role back to Coast Pride.

Councilmember Bier thought it needs to be considered carefully and we want to show our support.

Mayor pro Tem Boles stated that we also need to understand staff costs and budget.

City Manager Woodhouse was unsure whether the Economic Development Work Program includes support of this effort. He stated to broaden the context what you are talking about is city program support for various special events, such as the youth entrepreneur event at City Hall, Fog Fest, etc.

Assistant City Manager Carter mentioned that the Economic Development Division heavily supported the Pride event and Blues and Brews and it has been in the work plan for Economic Development, but it is a big conversation how to broadly support special events.

Councilmember Bier thought a Council ad-hoc subcommittee would be very helpful.

Greg Larson concluded that it does not sound like it is to the level of a Strategy, but that getting information for staff to update the Work Program may be needed. He added that what he has seen in other jurisdictions, other than a start up phase the city is not involved in the doing of annual events and are more involved in the aspect of permits, staff presence and sometimes funding if the city has funding available.

City Manager Woodhouse, referring back to Strategy 5.A. and the Shoreline Adaptation Program, stated that launching the Shoreline Adaptation Program is an implementation action out of the LCLUP, but it involves designing a community engagement program to continue the conversation about coastal issues in Pacifica, so it resides potentially in two Goals.

Mayor Beckmeyer asked how we are stacking that into Goal 5. City Manager Woodhouse saw it as two Tasks, one related to the future of Climate Action and Adaptation Plan engagement and one under the Shoreline Adaptation Program.

Mayor pro Tem Boles observed that it is like the work the CAAP Task Force did a lot of public engagement and the work is synergized where we can rely on the community to help with these big lift items.

Greg Larson referred to 5.B. (Increase Communications, Education, and Connections for Community Mental Health Resources) and feedback from Councilmember Bier for the focus of this coming year and staff may determine how to operationalize it.

Councilmember Bier asked to update Task 5.2.2 as “On-Track” as it is a continuing item. She suggested changing the wording to, “Increase Communications, Education, and Connections for Community Mental Health Resources,” changing “mental health” to “mental wellness”. She clarified that the regional focus with San Mateo County Leadership Council and Stanford is the Mayors’ Mental Health Initiative and the projects this year will be focused on electeds, but it could be encompassed within Task 5.2.2.

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Packet Pg. 380 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) City Council Study Session 20 March 01, 2025
Greg Larson added that staff brought up the Police Department Youth Program focused on behavioral health working with community partners might go under this Strategy, also.

Councilmember Bier referred to 5.2.4 (Pursue collaboration with partnering agencies and organizations to provide mental health resources to the public) and thought that encompasses

5.B. and continuing to do that ongoing, and thought we need to keep it broad.

Mayor pro Tem Boles and Mayor Beckmeyer agreed to reflect that as “On-Track” rather than “Achieved”.

Mayor pro Tem Boles thought that we could make it broad thinking of wellness beyond mental wellness, encouraging all kinds of wellness, such as creating Pacifica as a blue zone.

Councilmember Bier agreed.

Greg Larson thought there may be some language changes based on the discussion and wanted to try to reflect staff workload and expertise, wondered if it is, “relying on local partners and regional initiatives, increase communications, education and connections for community wellness.” He clarified it is recognizing it is not a stand-alone effort, it is only in conjunction with others so the public is clear that the city is not going out to hire counselors or social workers on staff.

Councilmember Bier agreed.

City Manager Woodhouse asked if we should generally change the term “mental health” to “mental wellness” throughout, and Councilmember Bier responded affirmatively.

Mayor Beckmeyer wanted to discuss committees and commissions and assigning / asking them to look at other work that is within the scope of their purview, specifically talking about the PB&R Commission and recreational uses of resources for bikes and pedestrians and thought it might be a topic to request PB&R Commission to work on.

Councilmember Bier suggested that should come after they have done their parks survey.

Mayor pro Tem Boles asked about the timing for assigning work to committees.

City Manager Woodhouse responded that if there is a topic that arises in the community that the Council is interested in exploring, it falls under the process in the Council Rules and Code of Ethics for Council requesting an item to be agendized, Council discussing the issue and in Council’s direction to staff making a referral to a committee or commission or to staff, and the work proceeds from there.

Mayor pro Tem Boles asked about the food trucks issue that they discussed earlier.

City Manager Woodhouse stated that if Council thinks it is a priority Work Plan item that Council wants resources spent on that item this next year, he wants to hear that to analyze and figure out how to fit it within our resources and when we could do it to have it in the annual Work Program rather than have it come up mid-year.

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City Attorney Kenyon added that goal setting is where Council describes to staff what the priorities are and what priorities to bring back. They have not voted on anything. It begins hear and staff will bring back how we intend to implement that Goal in the Work Program.

City Manager Woodhouse asked if there are any new adds that are not included in the Goals / Strategies discussed.

Mayor Beckmeyer brought up that the possibility of a new Environmental Commission is a new thing and a carryon from the CAAP. She asked about utilizing the structures we have in place for our existing committees and commissions, hearing that they want to work with another committee / commission on intersecting issues, providing some examples such as EDC and OSPAC on the things about trails that are recreational resources and enabling helping people find our small businesses. She thought there could be cross-pollination among different committees / commissions to elevate information / issues. She also mentioned the issue of ebikes coming up such as on trails with pedestrians, on streets without needed a driver’s license, etc. She asked how and where we ask PB&R Commission and Emergency Preparedness & Safety Commission to work on an issue such as this.

City Manager Woodhouse heard in the examples brought up policy issues and questions that could have different strategies to address, adding that regulation of e-bikes is a complex issue which brings an expectation of enforcement. He stated that when Council discusses it, there could be appropriate committees / commissions that it gets referred to, and there would be involvement from legal, PB&R staff, and PD staff.

Councilmember Bier thought that regarding e-bikes, it would be good to follow the regional groups as C/CAG Bike and Ped and the County is looking at that.

City Manager Woodhouse stated that the food truck issue is a significant ordinance to take up.

He added about the open space utilization and Economic Development crossover is already in the purview of OPAC and there is an economic development aspect of their charter, so it might be one that Council could direct them to work on and collaborate with EDC. He stated that Council directs the work of committees and commissions; they are advisory to the Council and the Council tells them either through their charter or specifically tells them the work they need help on for the committee to work on.

Mayor Beckmeyer stated that the e-bike issue came up in OSPAC specifically about damage to trails. She thought that if we are hearing about problems with e-bikes, we need to deal with it.

City Manager Woodhouse stated that the issue of e-bikes would be a major work plan item, will dominate multiple meetings and draw large input both opposed and supporting.

Councilmember Bier thought we should focus on the CAAP and not sure that we should spend the resources on the e-bike issue. Mayor pro Tem Boles thought it could be referred to committees to research what other cities have done. Councilmember Espinosa thought we could come back to it, but that we should spend resources where we can make more money.

Councilmember Bier stated that she can bring the issue up at C/CAG’s Bike & Ped Commission.

Greg Larson concluded that we will track e-bikes as a potential issue on Council’s radar as an emerging issue, but observed that it is on the state and regional radar, too. He concluded that for the short-term, Council will pursue regional solutions to e-bike issues.

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Packet Pg. 382 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) City Council Study Session 22 March 01, 2025
Councilmember Bier wanted to develop a Community Art Corner and Program at Council Chambers. She thought it would be a big lift. She also liked the Adopt-A-Tree for Beautification and Arbor Day for PB&R.

Mayor Beckmeyer thought we needed to list it and bring it back with more information.

Mayor pro Tem Boles wanted to add the Councilmember pay issue.

City Attorney Kenyon stated it is something the Council could do this year, but it would not take effect until the beginning of a new Council term, e.g. December 2026.

There was a Council majority, with three interested, in bringing back the Council pay issue.

City Manager Woodhouse asked for more explanation about the Adopt-A-Tree item.

Mayor Beckmeyer stated that it came from Tree City Pacifica’s recommendation for BAC to explore taking on administration of Adopt-A-Tree commitment where a person fills out a form to vow to water a tree to ensure the tree’s survival, like the bump outs for maintaining and keeping that area clean and weed-free.

Councilmember Bier appreciates that.

City Manager Woodhouse concluded that the ask is that the City takes on administration of the Adopt-a-Tree Program via the BAC or staff that supports the BAC, as Tree City Pacifica does not have the capacity to run the program.

Mayor pro Tem Boles added that is their other request to hand over Arbor Day, too, to the City and Tree City Pacifica would still be helping with it.

Council consensus agreed with bringing back the Adopt-A-Tree / Arbor Day item.

Greg Larson asked about interest in the Food Truck Ordinance item.

Mayor Beckmeyer, Mayor pro Tem Bole and Councilmember Espinosa expressed interest.

City Manager Woodhouse explained that this issue will be a substantive item and when agendized it would be the only item on a Council agenda.

City Attorney Kenyon elaborated that even to bring that as a short staff report item, the City Attorney’s office would need to do analysis on what is possible and what is legally appropriate.

Mayor Beckmeyer wanted more information on it and stated we want to be a destination city and need this.

Mayor pro Tem Boles agreed.

Mayor Beckmeyer added that she does not want the food truck ordinance to come before STRs.

Councilmember Bier stated she is having a hard time with it.

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Packet Pg. 383 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) City Council Study Session 23 March 01, 2025
Greg Larson concluded that he heard three Councilmembers express interest in the food truck ordinance issue.

Greg Larson asked for interest in Art in the Council Chambers item.

City Manager Woodhouse thought it would be re-forming a Council ad-hoc subcommittee and it may be a partnership with Sanchez Art Center to administer and manage that.

Councilmember Bier agreed that it was discussed about two years ago and there was barely a start of a conversation then. She thought she would like to bring this item back, if feasible.

Mayor Beckmeyer agreed.

Greg Larson concluded that there was a Council consensus to consider the Art in the Council Chambers item, if feasible.

H. Wrap-up and Next Steps
Greg Larson explained that the Strategic Plan will come back to Council in late April or May with changes coming out of today’s discussion and staff will revise the Work Program based on those changes, discussion today and available resources for advice from the Council.

ADJOURN
Mayor Beckmeyer adjourned the meeting at 5:00 p.m.

Respectfully Submitted,
Sarah Coffey, City Clerk
__________________________
Sue Beckmeyer, Mayor

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Packet Pg. 384 Attachment: AttC-DRAFT_Minutes_03-01-2025_CC_StudySession (5906 : Strategic Plan Update) STRATEGIC PLAN - 2023 TO 2030
City of Pacifica
(adopted on May 8, 2023 and updated on May 13, 2024 and April 14, 2025) MISSION - What Do We Do?
The City of Pacifica provides exceptional services,
maintains the small-town feel and safety of its unique community, and stewards its environment, coastal beauty, and recreational opportunities.

VISION - What Are We Becoming?
Pacifica strives to be an inclusive and sustainable community:
environmentally, economically, socially, and holistically.

VALUES - How Do We Approach Our Work?
We are committed to:
 Collaborative Teamwork
 A Healthy Workplace
 Heartfelt Service
 Resource Stewardship
 Transparent Transparency and Responsiveness
 Visionary Planning
GOALS - How Will We Achieve Our Vision?

1. Enhance organizational and fiscal stability.

2. Improve and steward City infrastructure, streets, and facilities.

3. Prioritize protection and development of aƯordable housing.

4. Pursue climate change adaptation and mitigation.

5. Broaden public communications and collaboration.

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Packet Pg. 385 Attachment: AttD-PacificaStrategicPlanSummaryUPDATED2025 - REDLINE (5906 : Strategic Plan Update)

1. Enhance organizational and fiscal stability.

A. Improve staƯ retention, recruitment, mental health and wellness resources, and increase staƯing for rising workloads.

B. Consider Pursue possible tax, and bond measures for 2024and other revenue opportunities.

C. Prioritize implementation of the Economic Opportunities Study.

C.D. Prepare the Cost Allocation Plan and Conduct the Development Impact Fee and Master Fee Studies

2. Improve and steward City infrastructure, streets, and facilities.

A. Complete selected stormwater and flooding improvements citywide.

B. Advance the Beach Boulevard Resiliency and Project, Esplanade Protection Projects (including the Pier, as feasibleand the Pier).

C. Broaden community awareness of the Library projects.

D. Develop Complete a Facilities Assessment and prioritize the City’s facilities and equipment needs, including public safety, the Community Center, and other parks and recreation resources. a Facilities and Equipment Plan for Public Safety and the Community Center.

3. Prioritize protection and development of aƯordable housing.

A. Complete the Housing Element Update.

B. Update and implement the Short-Term Rental Ordinance.

C. Prioritize Housing Element program implementation.

4. Pursue climate change adaptation and mitigation.

A. Update Adopt and begin implementation of the Climate Action and Adaptation Plan, including performance targets.

B. Continue the urban forestry plan, tree canopy goals, inventory, and projects.

C. Update Certify Pacifica’s Local Coastal Plan and improve communications andcontinue collaborations with the California Coastal Commission.

5. Broaden public communications and collaboration.

7.d
Packet Pg. 386 Attachment: AttD-PacificaStrategicPlanSummaryUPDATED2025 - REDLINE (5906 : Strategic Plan Update) A. Creatively and appropriately leverageharness community expertise, advocates and volunteers to advance City priorities.

B. Increase communications, education, and connections
for community mental healthwellness resources.

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Packet Pg. 387 Attachment: AttD-PacificaStrategicPlanSummaryUPDATED2025 - REDLINE (5906 : Strategic Plan Update) Order Level Name Status Start Date Due Date Administrators 1 Goal Enhance organizational & fiscal stability On Track 7/1/2023 6/30/2030 City Manager's Office

1.1 Strategy Improve staff retention, recruitment, mental health and wellness resources, and increase staffing for rising workloads.

On Track 7/1/2024 6/30/2030 City Manager's Office

1.1.1 Task Position the City as a great place to work: provide safe workspace and adequate tools and training to ensure high performance and continue strategies to attract and retain talent in the Bay Area's competitive market, including EE recognition and celebration events, professional development and leadership training through professional associations, partnering organizations and consortium agreements, focused talent development tools, health and wellness programs, mental health resources, etc.

On Track 7/1/2023 6/30/2030 City Manager's Office

1.1.1.5 Sub-Task Implement annual implicit-bias-awareness training for all police department staff On Track 7/1/2024 6/30/2030 Police Department

1.1.1.7 Sub-Task Create a citywide calendar for employee recognition and celebration events, plan resources and budget accordingly. Off Track 1/1/2024 6/30/2024 Administrative Services Department

1.1.1.8 Sub-Task Annually, conduct employee recognitions (service awards), implement quarterly "check-in and celebration" meetings and holiday events in individual departments.

On Track 7/1/2023 6/30/2030 City Manager's Office

1.1.1.10 Sub-Task Provide contemporary leadership training through state and national public safety associations On Track 7/1/2023 6/30/2030 Police Department

1.1.1.11 Sub-Task Implement evidence-based wellness initiatives to support the physical and mental health of employees. On Track 7/1/2023 6/30/2030 Police Department

1.1.1.12 Sub-Task Expand and leverage social media platforms to attract qualified police officer candidates On Track 7/1/2023 6/30/2030 Police Department

1.1.1.14 Sub-Task Develop and execute organizational "pulse check" assessment citywide and Employee Code of Ethics initiative Off Track 7/1/2024 6/30/2025 City Manager's Office

1.1.1.16 Sub-Task Conduct a facilitated POST approved team building workshop with police department leadership team. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.17 Sub-Task Utilize employee survey tool to enhance employee satisfaction and retention. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.18 Sub-Task Create new special assignment positions to support professional development and staff retention On Track 7/1/2025 6/30/2026 Police Department

1.1.1.19 Sub-Task Host employee recognition ceremonies to celebrate newly hired employees, promotions, and retirements On Track 7/1/2025 6/30/2026 Police Department

1.1.1.20 Sub-Task Enhance department training with reality based scenarios utilizing Virta technology On Track 7/1/2025 6/30/2026 Police Department

1.1.1.21 Sub-Task Participate in Public Safety Career Fairs to bolster recruitment efforts. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.22 Sub-Task Create a VIPS (Volunteers in Police Services) Program to ease the burden of rising workloads and short staffing. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.23 Sub-Task Create a Police Explorer Program to expand police officer candidate pool. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.24 Sub-Task Reinstate the Administrative Sergeant position to ease the rising workload on supervisors and command staff. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.25 Sub-Task Host biennial formal inspection and family day celebration event at police department. On Track 7/1/2025 6/30/2026 Police Department

1.1.1.26 Sub-Task Host inaugural Teen Community Academy On Track 7/1/2025 6/30/2026 Police Department

1.1.4 Task Undertake classification and compensation study in preparation for next round of labor negotiations with the long-term goal of offering competitive compensation and benefits as can be afforded by the City Off Track 1/1/2024 1/1/2025 City Manager's Office

1.1.4.3 Sub-Task Develop Implementation Action Plan for the study results and include it in the new Labor negotiations strategies Off Track 1/1/2025 6/30/2025 City Manager's Office

1.1.4.5 Sub-Task Review the preliminary results of the study and work closely with the consulting firm to finalize it. Off Track 7/1/2024 9/30/2024 City Manager's Office

1.1.4.6 Sub-Task Bring finalized classification study to Council for adoption On Track 7/1/2024 6/30/2025 City Manager's Office

1.1.4.7 Sub-Task Prepare for and conduct labor negotiations with all employee groups and implement the new labor agreements On Track 7/1/2024 6/30/2025 City Manager's Office

1.1.5 Task Enhance recruitment strategies and continue filling vacancies across departments Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.5.1 Sub-Task Conduct a Recruitment Needs Analysis - collaborate with department heads to identify current and projected staffing needs, prioritize critical roles based on organizational impact.

Not Started 7/1/2025 12/31/2025 Administrative Services Department

1.1.5.2 Sub-Task Audit and Optimize Job Descriptions (see Task 1.1.4) Off Track 1/1/2024 1/1/2025 City Manager's Office

1.1.5.3 Sub-Task Expand Sourcing Channels - identify and engage with new talent pools (e.g., niche job boards, universities, professional associations), strengthen partnerships with local agencies. Implement targeted outreach initiatives for hard to fill roles.

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.5.4 Sub-Task Streamline the Hiring Process - review and refine interview and selection procedures for efficiency and consistency. Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.5.5 Sub-Task Enhance Onboarding and Retention Feedback Loops - incorporate feedback from new hires to continuously improve the recruitment experience.

Not Started 7/1/2025 6/30/2026 Administrative Services Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 388 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

1.1.6 Task Deliver an employee engagement survey, develop a plan across all departments to review results across all levels and develop a plan to coordinate initiatives.

On Track 7/1/2025 6/30/2026 Administrative Services Department

1.1.6.1 Sub-Task Conduct an employee engagement survey On Track 1/1/2025 3/31/2025 Administrative Services Department

1.1.6.2 Sub-Task Analyze Survey Data - Review overall engagement scores and trends, identify key strengths and areas of concern by department, team, and demographic. Communicate Survey Findings and Next Steps to Staff - Share a summary of results and planned actions transparently, reinforce commitment to addressing employee concerns.

On Track 1/1/2025 6/30/2025 Administrative Services Department

1.1.6.3 Sub-Task Conduct Focused Follow-Up, Engage Leadership in Results Review, Prioritize Key Themes and Action Areas - Identify 2–4 top priorities (e.g., communication, recognition, workload, development). Consider quick wins vs. long-term improvements.

Not Started 7/1/2025 12/31/2025 Administrative Services Department

1.1.6.4 Sub-Task Develop an Action Plan with Staff - define clear objectives and desired outcomes for each focus area. Assign owners, resources, and timelines for each initiative.

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.6.5 Sub-Task Implement Engagement Initiatives, Monitor Progress and Adjust as Needed, Establish a Continuous Engagement Strategy Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.7 Task Establish onsite ongoing executive, managerial, and supervisory trainings as well as participation in regional leadership and/or local government organization/group meetings and conferences.

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.7.1 Sub-Task Participate in regional initiatives (e.e SMC Supervisory Academy; LCW and ICMA Trainings) Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.7.2 Sub-Task Continue training series - Staff Report Writing, Transition to Supervisory Role, Time Management Training, Strategic Plan Workshop, Difficult Conversations, Performance Management etc.

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.7.3 Sub-Task Implement and track required annual trainings - anti-harassment, etc. Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.8 Task Implement a Performance Management Program Not Started 7/1/2025 6/30/2027 Administrative Services Department

1.1.8.1 Sub-Task Establish Clear Objectives and Scope - define program goals aligned with City of Pacifica's strategic priorities, identify departments and roles included in the initial phase, research reputable third-party consultants specializing in performance management.

Not Started 7/1/2025 12/31/2025 Administrative Services Department

1.1.8.2 Sub-Task Partner with Bargaining Groups - engage bargaining groups early in the planning stages, maintain regular communication to address concerns and gather input, ensure transparency and collaboration throughout implementation.

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.8.3 Sub-Task Design the Performance Management Framework - select performance metrics and key performance indicators (KPIs), develop standardized evaluation criteria, create timelines for performance review cycles (annual, semi-annual, quarterly).

Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.1.8.4 Sub-Task Develop necessary tools and resources, conduct comprehensive tarining, pilot and evaluate the program. Not Started 7/1/2025 6/30/2027 Administrative Services Department

1.1.8.5 Sub-Task Full Implementation and Integration - implement the revised framework citywide, integrate the performance management process into daily operations, reinforce through leadership endorsement and regular communication.

Not Started 7/1/2025 6/30/2027 Administrative Services Department

1.1.8.6 Sub-Task Monitor, Report, and Improve Continuously - establish regular monitoring and reporting protocols, review data to identify trends and areas for improvement, continuously refine and enhance the performance management program.

Not Started 7/1/2025 6/30/2027 Administrative Services Department

1.1.9 Task Continue to research, review, recommend and/or establish employee discount programs, benefits and/or programs that may enhance the employee benefits or incentive package
Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.2 Strategy Pursue possible tax, bond and other revenue opportunities. On Track 1/1/2024 6/30/2030 City Manager's Office

1.2.4 Task Ballot Measure preparation, placement, and public information On Track 4/1/2024 6/30/2030 City Manager's Office

1.2.4.6 Sub-Task Preparation for 2026 election and potential tax or bond measure, including survey and public information Not Started 7/1/2025 12/31/2026 City Manager's Office

1.3 Strategy Prioritize implementation of the Economic Opportunities Study. On Track 7/1/2023 6/30/2030 City Manager's Office

1.3.1 Task Commence work to begin implementation of the EOS opportunities. On Track 7/1/2023 6/30/2025 City Manager's Office

1.3.2 Task Continue EOS business assistance and visitor/tourism marketing efforts. Tie together Economic Development Strategy update with Economic Opportunities Study implementation, including marketing.

Off Track 7/1/2023 6/30/2025 City Manager's Office

1.3.4 Task Continue implementing the City's Economic Development program and EOS opportunities, including Shop Pacifica, business visitations, Palmetto Street Enhancements, Business Matters publication, and more.

On Track 10/1/2023 6/30/2030 City Manager's Office

1.3.4.1 Sub-Task Develop and Implement the Business Visitation Program Not Started 7/1/2025 6/30/2026 City Manager's Office City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 389 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

1.3.4.2 Sub-Task Continue Business education program with training courses schedule every quarter Not Started 7/1/2025 6/30/2030 City Manager's Office

1.3.4.3 Sub-Task Use Business Matters newsletter to promote digital marketing and social media. Not Started 7/1/2025 6/30/2030 City Manager's Office

1.3.4.4 Sub-Task Revitalize the Shop Pacifica Program Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.4.5 Sub-Task Coordinate and execute the Blues & Brews annual event Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.4.6 Sub-Task Coordinate regional marketing with Half Moon Bay Off Track 6/30/2025 7/1/2026 City Manager's Office

1.3.4.7 Sub-Task Assist with planning and execution of the annual Pride event Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.4.8 Sub-Task Manor Shopping Center and Facade Refurbishment Needed Off Track 6/30/2025 7/1/2026 City Manager's Office

1.3.4.9 Sub-Task Promote Events in Districts On Track 6/30/2025 6/30/2030 City Manager's Office

1.3.5 Task Manage Pacifica Hotel Business Improvement District activities and workplan, including completing the conversion process to 94' district law.

Off Track 9/1/2023 6/30/2024 City Manager's Office

1.3.5.2 Sub-Task Complete the conversion process to Pacifica Tourism Managment District (PTMD) On Track 1/1/2025 6/30/2025 City Manager's Office

1.3.5.4 Sub-Task Conduct an RFP to solicit the non-profit organization to manage the PTMD and complete the transition Not Started 7/1/2025 9/30/2025 City Manager's Office

1.3.5.5 Sub-Task Conduct internal review and property evaluation, including zoning, General Plan designation, and any restrictions and access existing and future public uses of the property
On Track 2/1/2024 6/30/2025 City Manager's Office

1.3.5.6 Sub-Task Prepare Surplus Land Declaration, including reports, maps and supporting documentation and conduct public meeting Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.5.7 Sub-Task Submit the approved declaration to HCD for review and approval Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.5.8 Sub-Task Prepare and issue a Notice of Availability (NOA) to the required list of agencies and include the details regarding the location, size, zoning and any development constraints, and allow for 60 days response period and proceed to disposition or good faith negotiations
Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.6 Task Commence Surplus Lands Act compliance and marketing of 2212 Beach Blvd. Site On Track 1/1/2024 6/30/2024 City Manager's Office

1.3.7 Task Request for Proposals processing and related next steps for development of 2212 Beach Blvd Site Not Started 7/1/2023 6/30/2025 City Manager's Office

1.3.8 Task Streamline the City's non-residential development regulations for particular economic opportunity sites, development types, etc. to improve the process, such as frontloading CEQA and making certain projects ministerial approval only (outside Coastal Zone)
Not Started 7/1/2024 6/30/2025 Community Development Department

1.3.8.1 Sub-Task Economic Development Manager coordinates with Planning Department to identify priority sites and regulations. Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.8.2 Sub-Task Economic Development Manager coordinates with Planning Department during Housing Element Program HE-I-2 implementation ("Phase 2 Rezoning," zoning modernization and streamlining).

Not Started 7/1/2025 6/30/2026 City Manager's Office

1.3.9 Task Explore other funding sources, including Enhanced Infrastructure Financing District (EIFD), Community Facility Districts (CFD), and Climate Resiliance District (CRD) options, or related tools, for West Sharp Park and Quarry/Rockaway Not Started 1/1/2024 6/30/2025 City Manager's Office

1.3.10 Task Develop and implement the Economic Vitality Strategy to serve as a single consolidated document to articulate and prioritize previously approved economic development plans, programs and strategies On Track 7/1/2024 6/30/2030 City Manager's Office

1.3.11 Task Promote Housing as Economic Infrastructure Not Started 7/1/2025 6/30/2030 City Manager's Office

1.3.11.1 Sub-Task Collaborate with developers and regional partners to incentivize housing development and align economic development incentives with housing production goals
Not Started 7/1/2025 6/30/2030 City Manager's Office

1.3.11.2 Sub-Task Leverage Housing Element Implementation and Collaborate with the CDD department to streamline development reviews for priority housing projects
Not Started 7/1/2025 6/30/2030 City Manager's Office

1.3.11.3 Sub-Task Explore zoning code updates to allow greater flexibility for housing and encourage the reuse of underutilized commercial properties for mixed-use or residential development. Leverage state programs to attract funding for mixed-use redevelopment
Not Started 7/1/2025 6/30/2030 City Manager's Office

1.4 Strategy Prepare the Cost Allocation Plan and Conduct the Development Impact Fee and Master Fee Studies On Track 4/1/2025 6/30/2026 Administrative Services Department

1.4.1 Task Conduct an RFP Process and select a consulting firm for the CAP, DIF and MFS project On Track 4/1/2025 7/31/2025 Administrative Services Department

1.4.2 Task Conduct the Development Impact Fee Study Not Started 7/1/2025 12/31/2025 Public Works Department

1.4.3 Task Conduct the Cost Allocation Plan Not Started 7/1/2025 1/31/2026 Administrative Services Department

1.4.4 Task Conduct the Master Fee Study and Adopt a new MFS Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.5 Strategy Goal 1 | Organizational & Fiscal Sustainability: Ongoing, non-discretionary or previously initiated projects and services
On Track 7/1/2023 6/30/2030 City Manager's Office
City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 390 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

1.5.2 Task Goal 1 | Organizational & Fiscal Sustainability: Day-to-day organizational management, services, reporting, public meeting coordination, and community engagement, responsiveness, and outreach On Track 7/1/2023 6/30/2030 City Manager's Office

1.5.2.1 Sub-Task Continue timely delivery on key milestones within the Finance cycle (Quarterly Treasurer's and Financial Reports, Interim and Final Audit, including Single Audits, Measure A and Measure W AUP; Child Care Program Audit, Mid-year and Annual Budget Process), State Controller's Mandated Reports for Streets; Cities Transaction; Public Financing Authority, annual Bond disclosure; Successor Agency and ROPS reporting to the State Department of Finance and San Mateo County Oversight Board, Measure Y Citizens Oversight Committee, etc.

On Track 7/1/2023 6/30/2030 Administrative Services Department

1.5.2.2 Sub-Task Continue timely delivery of key milestones for Annual Mandated Reporting for HR, Payroll and/or Risk items: EEO-1 Reporting Affordable Care Act 1095 report; OSHA; Emergency Preparedness Plan; Public Annual Self-Insured State Reporting and legal HR compliance requirements; Government Employee Compensation; Quarterly Payroll Tax Filing for IRS and EDD.

On Track 7/1/2023 6/30/2030 Administrative Services Department

1.5.2.3 Sub-Task Non Discretionary tasks for Day-to-day reporting mandates in the City Clerk’s Office (e.g continue timely delivery of responses to Public Records Act Requests, meeting coordination including publication and posting of Agendas, execution of Resolutions and Ordinances, etc.).

On Track 7/1/2023 6/30/2030 City Manager's Office

1.5.3 Task Continue systems efficiency improvements, such as Public Records Act handling, new Agenda Management software, document scanning, utilization of Laserfiche, technology systems modernization for efficiencies and service-delivery assessment
On Track 7/1/2023 6/30/2025 City Manager's Office

1.5.3.2 Sub-Task Implement new Agenda Management Software (Granicus OneMeeting) that provides for integrated meeting video for City Council and Planning Commission meetings and incorporates all City Committees / Commissions for Agenda and Minutes publication.

On Track 1/1/2025 3/31/2026 City Manager's Office

1.5.3.3 Sub-Task Continue efforts for digitizing records and uploading digital records into Laserfiche as the document repository. Complete the Laserfiche repository records for City Council Ordinances & Resolutions, then Agreements, then Agenda Staff Reports.

Off Track 7/1/2023 6/30/2025 City Manager's Office

1.5.3.5 Sub-Task Continue modernization and maintenance of technology infrastructure On Track 7/1/2025 6/30/2030 Administrative Services Department

1.5.3.6 Sub-Task Continuous review of processes in order to maximize the efficiency and ease of use of the newly implementing ERP system Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.5.4 Task Community Development / Permit Tracking Software (Building, Planning, and Public Works permits) Not Started 4/1/2025 12/31/2027 Community Development Department

1.5.4.1 Sub-Task Needs assessments/processing mapping and implementation planning (permit tracking software) Not Started 4/1/2025 12/31/2025 Community Development Department

1.5.4.2 Sub-Task Conduct formal RFP (permit tracking software) Not Started 1/1/2026 3/31/2026 Community Development Department

1.5.5 Task Continue processing of Planning documents/ordinances/plans updates that clarify/streamline development requirements and processes, including the Local Coastal Land Use Plan, the Sharp Park Specific Plan, and Zoning Code Amendments
On Track 7/1/2023 6/30/2030 Community Development Department

1.5.6 Task Continue Enterprise Resource Planning solution implementation for Financial and Human Resource Management System modules.

On Track 7/1/2023 6/30/2025 Administrative Services Department

1.5.6.4 Sub-Task Prepare employee database setups and complete HR/ MOU/ Benefit Master Codes, personnel action tables, position control and salary tables, cost centers, positive pay and Time and Attendance and go live with the HRMS Module Off Track 1/1/2024 1/1/2025 Administrative Services Department

1.5.7 Task Implement a Geographic Information System On Track 7/1/2023 6/30/2025 Public Works Department

1.5.7.1 Sub-Task Bring in Pro West to assess and manage GIS implementation Off Track 1/1/2024 6/30/2025 Public Works Department

1.5.8 Task Develop ongoing audit strategy and conduct routine audits of the City's top revenues sources, inlcluding Sales Tax, TOT, Business License and Cannabis to ensure compliance; continue to pursue grant funding; review the revenue-generated agreements for appropriate terms and economic escalators.

On Track 10/1/2023 6/30/2025 City Manager's Office

1.5.8.2 Sub-Task Ongoing work with the grant-writing firm on various grant applications On Track 7/1/2023 6/30/2030 City Manager's Office

1.5.8.4 Sub-Task Ongoing compliance efforts related to Business License Tax Off Track 7/1/2023 6/30/2030 City Manager's Office

1.5.8.5 Sub-Task Ongoing tax compliance efforts related to STR providers. On Track 7/1/2023 6/30/2030 City Manager's Office

1.5.8.6 Sub-Task Conduct annual audits for cannabis businesses. On Track 7/1/2023 6/30/2030 Administrative Services Department

1.5.8.7 Sub-Task Conduct annual audit of lodging providers (TOT) On Track 7/1/2023 6/30/2030 Administrative Services Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 391 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

1.5.9 Task Review, update, develop and implement policies and processes related to Administrative Services to comply with legal requirements and best practices
On Track 7/1/2023 6/30/2030 Administrative Services Department

1.5.9.2 Sub-Task For all policy changes in Task 1.5.8 - enagage key stakeholders to draft revisions and new policies, conduct legal and compliance review, facilitate policy review and approval process, communicate and implement updated policies, establish ongoing review mechanism
On Track 7/1/2025 6/30/2030 Administrative Services Department

1.5.9.4 Sub-Task Review and Update of Administrative Policies - conduct policy audit, prioritize policies for review Off Track 7/1/2023 6/30/2025 Administrative Services Department

1.5.9.7 Sub-Task Review and Update Technology Policies, including creation of Ai policy Not Started 7/1/2025 12/31/2025 Administrative Services Department

1.5.9.8 Sub-Task Review and Update Personnel Policies, including Public Safety Policies Not Started 7/1/2025 6/30/2026 Administrative Services Department

1.5.10.1 Sub-Task Re-establish the City's Safety Committee and resume quarterly meetings Off Track 7/1/2023 6/30/2024 City Manager's Office

1.5.10.5 Sub-Task Improve cybersecurity infrastructure and conduct a Cybersecurity Risk Assessment - perform regular testing, monitor and review program effectiveness.

On Track 7/1/2023 6/30/2030 Administrative Services Department

1.5.10.6 Sub-Task Conduct continuous training of staff to increase cybersecurity awareness - provide ongoing cybersecurity awareness training to all staff, include phishing simulations and secure data handling best practices.

Not Started 7/1/2025 6/30/2030 Administrative Services Department 2 Goal Improve and steward City infrastructure, streets and facilities. On Track 7/1/2023 6/30/2030 City Manager's Office

2.1 Strategy Complete selected stormwater and flooding improvements citywide. Off Track 7/1/2023 6/30/2030 Public Works Department

2.1.3 Task Apply for grant funding to allow design of Lower Linda Mar Storm Drain Improvements On Track 7/1/2023 6/30/2025 Public Works Department

2.1.4 Task Complete repairs to storm drainage systems damaged during winter storms with FEMA funding Off Track 7/1/2023 3/31/2025 Public Works Department

2.1.4.2 Sub-Task Design Off Track 10/1/2024 12/31/2024 Public Works Department

2.1.4.3 Sub-Task Construction Off Track 10/1/2024 3/31/2025 Public Works Department

2.1.5 Task Pursue funding and planning for stormwater projects identified in the Storm Drainage Master Plan On Track 7/1/2023 6/30/2026 Public Works Department

2.1.5.1 Sub-Task Review and pursue Prop 4 climate bond funding opportunties On Track 7/1/2025 6/30/2026 Public Works Department

2.2 Strategy Advance the Beach Boulevard Resiliency Project, Esplanade Protection Projects, and the Pier. On Track 7/1/2023 6/30/2030 Public Works Department

2.2.1 Task Complete Phase 2a of the design for the BBIRP Off Track 1/1/2024 6/30/2024 Public Works Department

2.2.2 Task Pursue posssible funding sources for Phase 2b of the BBIRP On Track 1/1/2024 6/30/2025 Public Works Department

2.2.2.1 Sub-Task Environmental Documentation Funding On Track 12/1/2024 7/1/2025 Public Works Department

2.2.3 Task If funding search is successful, commence Phase 2b of BBIRP Not Started 1/1/2025 6/30/2026 Public Works Department

2.2.3.1 Sub-Task Environmental Documentation Not Started 1/1/2025 6/30/2026 Public Works Department

2.2.4 Task Pursue possible funding sources for Phase 2c of the BBIRP On Track 7/1/2025 6/30/2026 Public Works Department

2.2.5 Task If funding search is successful, commence Phase 2c of BBIRP Not Started 7/1/2026 1/1/2028 Public Works Department

2.2.6 Task Construction of BBIRP Not Started 1/1/2025 6/30/2026 Public Works Department

2.2.6.1 Sub-Task Pursue funding for construction Not Started 7/1/2026 1/1/2028 Public Works Department

2.2.6.2 Sub-Task Construction start Not Started 1/1/2028 1/1/2030 Public Works Department

2.2.7 Task Complete 310-330 Esplanade Environmental Document and Final Design On Track 6/30/2023 6/30/2026 Public Works Department

2.2.8 Task Complete 400 Esplanade Environmental Document and Final Design At Risk 6/30/2023 6/30/2025 Public Works Department

2.2.10 Task Identify funding for Pacifica Pier Rehabilitation Project Off Track 6/1/2024 12/30/2024 Public Works Department

2.2.11 Task Depending on funding and result of full Pier assessment, construction of the Pacifica Pier repairs Not Started 1/1/2026 6/30/2028 Public Works Department

2.3 Strategy Broaden community awareness of the Library projects. On Track 7/1/2023 9/30/2026 City Manager's Office

2.3.1 Task Utilize the Library Advisory Committee to continue public information/outreach to broaden community awareness of the Pacifica Libraries Modernization Project
On Track 7/1/2023 6/30/2025 City Manager's Office

2.3.1.5 Sub-Task Conduct regular monthly Library Advisory Committee meetings and subcommittee work to continue public information / outreach regarding the Libraries Modernization Project.

On Track 12/1/2023 9/30/2026 City Manager's Office

2.3.3 Task Pursue grant funding opportunities as available On Track 7/1/2023 9/30/2026 City Manager's Office

2.4 Strategy Complete a Facilities Assessment and prioritize the City's facilities and equipment needs, including public safety, the Community Center, and other parks and recreation resources.

Off Track 7/1/2023 6/30/2030 Public Works Department

2.4.1 Task Identify public safety equipment needs On Track 7/1/2023 6/30/2030 Police Department

2.4.2 Task Acquire and implement public safety technology to reduce crime and enhance investigations. On Track 7/1/2023 6/30/2030 Police Department

2.4.2.4 Sub-Task Leverage Automated License Plate Reader (ALPR) technology to reduce property crimes. On Track 7/1/2024 6/30/2030 Police Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 392 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

2.4.2.5 Sub-Task Leverage Unmanned Aerial System Technology to increase operational efficiency and effectiveness. On Track 7/1/2024 6/30/2030 Police Department

2.4.2.6 Sub-Task Replace 70 portable hand-held radios On Track 7/1/2025 6/30/2026 Police Department

2.4.2.7 Sub-Task Implement Field Training Officer software to improve the management of training records and satisfy POST requirements. On Track 7/1/2025 12/31/2025 Police Department

2.4.3 Task Identify public safety facility maintenance needs On Track 7/1/2023 9/30/2025 Public Works Department

2.4.4 Task Develop public safety equipment replacement schedule On Track 7/1/2023 6/30/2030 Police Department

2.4.5 Task Complete a Facilities Assessment Report Off Track 7/1/2025 6/30/2026 Public Works Department

2.4.6 Task Identify and complete short-term Community Center Maintenance/Repair Needs Off Track 1/1/2025 6/30/2025 Parks, Beaches & Recreation Department

2.5 Strategy Goal 2 | City infrastructure, streets and facilities: Ongoing, non-discretionary or previously initiated projects and services.

On Track 7/1/2023 6/30/2030 City Manager's Office

2.5.1 Task Goal 2 | City infrastructure, streets and facilities: Day-to-day organizational management, services, reporting, public meeting coordination, and community engagement, responsiveness, and outreach On Track 7/1/2023 6/30/2030 Community Development Department

2.5.2 Task Completion of selected wastewater system improvements in CIP for the treatment plant and collections system On Track 7/1/2023 7/1/2029 Public Works Department

2.5.2.1 Sub-Task Ultraviolet Disinfection System On Track 8/23/2022 12/31/2025 Public Works Department

2.5.2.2 Sub-Task Lower Linda Mar Collection System Rehabilitation Project On Track 8/15/2023 12/31/2025 Public Works Department

2.5.2.3 Sub-Task Vallemar and Rockaway Beach Blvd. Sewer Rehabilitation and Replacement Project On Track 8/26/2024 12/31/2028 Public Works Department

2.5.2.4 Sub-Task Headworks Rehabilitation and Improvement Project On Track 2/24/2025 12/31/2028 Public Works Department

2.5.2.5 Sub-Task Sharp Park Pump Station Rehabilitation and Repair Project Not Started 7/1/2025 12/31/2029 Public Works Department

2.5.2.6 Sub-Task Calera Creek Water Recycling Plant Electrical System Rehabiliation and Repair Project On Track 1/1/2022 12/31/2027 Public Works Department

2.5.2.7 Sub-Task Easement Rehabilitation and Repair Project Not Started 7/1/2025 6/30/2030 Public Works Department

2.5.2.8 Sub-Task Calera Creek Water Recycling Plant Piping Improvements Project Not Started 7/1/2025 12/31/2029 Public Works Department

2.5.2.9 Sub-Task Linda Mar Peralta Project Not Started 7/1/2025 12/31/2027 Public Works Department

2.5.2.10 Sub-Task Crespi to Anza Sewer Replacement Project Not Started 7/1/2025 12/31/2027 Public Works Department

2.5.4 Task Engineering reviews and support of infrastructure related to development projects On Track 7/1/2023 6/30/2025 Public Works Department

2.5.6 Task ADA Transition Plan update Not Started 7/1/2024 6/30/2030 Community Development Department

2.5.6.1 Sub-Task Release RFP for CASp evaluation Not Started 7/1/2023 6/30/2030 Community Development Department

2.5.6.2 Sub-Task Review and approve plan Not Started 7/1/2023 6/30/2030 Community Development Department

2.5.6.3 Sub-Task Prioritize projects in CIP Not Started 7/1/2023 6/30/2030 Community Development Department

2.5.6.4 Sub-Task Complete required projects. Not Started 7/1/2023 6/30/2030 Community Development Department 3 Goal Prioritize protection and development of affordable housing. On Track 7/1/2023 6/30/2030 City Manager's Office

3.1 Strategy Complete the Housing Element Update. Off Track 7/1/2023 12/31/2023 Community Development Department

3.1.4 Task HCD Certification of Housing Element Update Off Track 1/22/2024 6/30/2024 Community Development Department

3.2 Strategy Update and implement the Short-Term Rental Ordinance. Off Track 6/1/2024 6/30/2025 Community Development Department

3.2.4 Task Planning Commission and City Council public hearings (major STR revisions) Off Track 10/1/2024 12/31/2024 Community Development Department

3.2.5 Task LCP amendment for major STR ordinance revision Off Track 1/1/2025 6/30/2025 Community Development Department

3.3 Strategy Prioritize Housing Element program implementation. On Track 7/1/2023 6/30/2030 Community Development Department

3.3.1 Task Prepare EIR for Phase 1 rezonings of Housing Opportunity Sites Off Track 7/1/2023 1/31/2025 Community Development Department

3.3.1.2 Sub-Task Public review and comment. Off Track 7/1/2023 12/31/2023 Community Development Department

3.3.2 Task Phase 1 rezonings of Housing Opportunity Sites incl. objective design stabndards, EIR certification, and LCP Amendment Off Track 10/1/2023 3/31/2024 Community Development Department

3.3.2.1 Sub-Task Planning Commission public hearing (Phase 1: rezone). Off Track 4/1/2024 9/30/2024 Community Development Department

3.3.2.2 Sub-Task City Council public hearing (Phase 1: rezone). Off Track 4/1/2024 9/30/2024 Community Development Department

3.3.3 Task Phase 2: Zoning Modernization and Streamlining; zoning text amendments (citywide objective standards and design guidelines, code modernization), CEQA
Off Track 10/1/2024 9/30/2025 Community Development Department

3.3.3.1 Sub-Task Zoning Ordinance reorganization - study sessions and public engagement (Zoning Modernization and Streamlining) Not Started 7/1/2025 9/30/2025 Community Development Department

3.3.3.2 Sub-Task Zoning Ordinance reorganization - Prepare draft ordinance Not Started 10/1/2025 12/31/2025 Community Development Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 393 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

3.3.3.3 Sub-Task Zoning Ordinance reorganization - adoption (Zoning Modernization and Streamlining) Not Started 1/1/2026 3/31/2026 Community Development Department

3.3.3.4 Sub-Task Zoning Ordinance comprehensive update - study sessions and public engagement (Zoning Modernization and Streamlining) Not Started 4/1/2026 9/30/2026 Community Development Department

3.3.3.5 Sub-Task Zoning Ordinance comprehensive update - CEQA review and prepare draft ordinance (Zoning Modernization and Streamlining)
Not Started 7/1/2026 12/31/2026 Community Development Department

3.3.3.6 Sub-Task Zoning Ordinance comprehensive update - adoption (Zoning Modernization and Streamlining) Not Started 1/1/2027 3/31/2027 Community Development Department

3.3.4 Task Prepare/release City property RFPs for affordable housing developments, negotiate with developers (HE-I-3) Off Track 7/1/2024 12/31/2024 Community Development Department

3.3.4.1 Sub-Task Identify consultant to conduct test fits and prepare RFPs for Sanchez Library + Sanchez Arts Center Not Started 10/1/2025 12/31/2025 Community Development Department

3.3.4.2 Sub-Task Release RFPs for Sanchez Library and Sanchez Arts Center Not Started 10/1/2025 12/31/2025 Community Development Department

3.3.4.3 Sub-Task City Council approval of required agreements for Sanchez Library + Sanchez Arts Center Not Started 10/1/2025 12/31/2025 Community Development Department

3.3.4.4 Sub-Task Comission study on any other City-owned sites are appropriate for RFP Not Started 1/1/2026 12/31/2026 Community Development Department

3.3.5 Task LCP amendment to implement Phase 1 rezonings and Phase 2 text amendments Not Started 1/1/2025 3/31/2028 Community Development Department

3.3.5.1 Sub-Task Phase 1 Rezoning: Coastal Commission certification of LCP amendment. Not Started 6/30/2025 6/30/2026 Community Development Department

3.3.5.2 Sub-Task Phase 2 Zoning Ordinance comprehensive update: Coastal Commission certification of LCP amendment. Not Started 3/31/2027 3/31/2028 Community Development Department

3.3.6 Task Inclusionary Zoning Ordinance (HE-1-6) On Track 7/1/2025 3/31/2029 Community Development Department

3.3.6.1 Sub-Task Inclusionry Ordinance Cleanup (HE-1-6) in collaboratipon with HEART Not Started 1/1/2026 6/30/2026 Community Development Department

3.3.6.2 Sub-Task Update Inclusionary requirements: Participate in Multi-jurisdictional Inclusionary Housing Fee Study + engage with HEART On Track 7/1/2025 6/30/2027 Community Development Department

3.3.6.3 Sub-Task Update Inclusionary requirements: Study sessions and public engagement in collabortae with HEART (Inclusionary) Not Started 7/1/2027 12/31/2027 Community Development Department

3.3.6.4 Sub-Task Update Inclusionary requirements: Draft ordinance in collabortae with HEART (Inclusionary) Not Started 10/1/2027 12/31/2027 Community Development Department

3.3.6.5 Sub-Task PC + CC hearings (Update Inclusionary requirements) Not Started 1/1/2028 3/31/2028 Community Development Department

3.3.6.6 Sub-Task CCC certification (Update Inclusionary requirements) Not Started 4/1/2028 3/31/2029 Community Development Department

3.3.7 Task Other Housing Element policy and program implementation On Track 7/1/2024 6/30/2027 Community Development Department

3.4 Strategy Goal 3 | Affordable housing: Ongoing, non-discretionary or previously initiated projects and services. On Track 7/1/2023 6/30/2030 City Manager's Office

3.4.1 Task Goal 3 | Affordable housing: Day-to-day organizational management, services, reporting, public meeting coordination, and community engagement, responsiveness, and outreach
On Track 1/1/2024 6/30/2030 City Manager's Office

3.4.2 Task Routine processing of all development permit applications, including potentially controversial projects and appeals On Track 1/1/2024 6/30/2030 Community Development Department

3.4.3 Task Continuing collaboration with Pacifica Resource Center on homeless services, the Temporary Safe Parking Program, and grant funding search related to homeless services
On Track 1/1/2024 6/30/2030 Community Development Department

3.4.3.2 Sub-Task Meet quarterly with Pacifica Resource Center to make referrals and discuss ways to support the Temporary Safe Parking Program.

On Track 7/1/2023 6/30/2030 Police Department

3.4.4 Task Coastal Commission processing of Temporary Safe Parking Program (TSPP) LCP amendment and/or CDP On Track 1/1/2024 12/31/2026 Community Development Department

3.4.4.1 Sub-Task Submit LCP amendment to Coastal Commission. On Track 1/1/2024 12/31/2025 Community Development Department

3.4.4.2 Sub-Task Coastal Commission public hearing. On Track 1/1/2024 12/31/2025 Community Development Department

3.4.5 Task OSV ordinance LCP amendment approval by Coastal Commission On Track 7/1/2023 9/30/2025 Community Development Department

3.4.6 Task Ongoing Housing Element implemenation and policy development On Track 7/1/2025 6/30/2030 Community Development Department 4 Goal Pursue climate change adaptation and mitigation. On Track 7/1/2023 6/30/2030 City Manager's Office

4.1 Strategy Adopt and begin implementation of the Climate Action and Adaptation Plan. On Track 7/1/2023 6/30/2025 Community Development Department

4.1.2 Task Community engagement On Track 10/1/2023 6/30/2025 Community Development Department

4.1.5 Task Draft CAAP document On Track 7/1/2024 3/31/2025 Community Development Department

4.1.6 Task Adoption hearings Not Started 1/1/2025 3/31/2025 Community Development Department

4.1.6.1 Sub-Task Draft CAAP Public Comment Period Not Started 1/1/2025 3/31/2025 Community Development Department

4.1.6.2 Sub-Task Implement any revisions Not Started 1/1/2025 3/31/2025 Community Development Department

4.1.6.3 Sub-Task Draft CAAP Adoption Not Started 1/1/2025 3/31/2025 Community Development Department

4.2 Strategy Continue the urban forestry plan, tree canopy goals, inventory and projects. On Track 7/1/2023 6/30/2027 Public Works Department

4.2.1 Task Work on process for streamlined implementation of the Tree Preservation Ordinance Off Track 7/1/2023 9/30/2024 Community Development Department

4.2.1.1 Sub-Task Study implementation of ordinance for 1-2 years. Off Track 7/1/2023 6/30/2024 Community Development Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 394 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

4.2.2 Task Bring Tree Preservation Ordinance Back to the City Council for modifications as necessary Not Started 10/1/2024 6/30/2025 Community Development Department

4.2.2.1 Sub-Task Identify recommended revisions and present to City Council at study session. Off Track 10/1/2024 12/31/2024 Community Development Department

4.2.2.2 Sub-Task Stakeholder engagement. Off Track 10/1/2024 12/31/2024 Community Development Department

4.2.2.3 Sub-Task Draft revised ordinance. Not Started 1/1/2025 6/30/2025 Community Development Department

4.2.2.4 Sub-Task City Council public hearing for adoption. Not Started 5/1/2024 6/30/2025 Community Development Department

4.2.3 Task Complete survey of potential tree planting locations to inform future tree canopy goal discussion On Track 5/1/2024 6/1/2025 Public Works Department

4.2.4 Task Phase 2 tree program work to develop Urban Forestry Management Plan Not Started 7/1/2025 6/30/2027 Public Works Department

4.3 Strategy Certify Pacifica’s Local Coastal Plan and continue collaborations with the California Coastal Commission. Off Track 7/1/2023 6/30/2027 Community Development Department

4.3.1 Task Continue coordination with Coastal Commission staff regarding their proposed modifications to Certification Draft LCLUP approved by City Council
Off Track 1/1/2024 12/31/2024 Community Development Department

4.3.3 Task Coastal Commission approval hearing Not Started 10/1/2023 6/30/2025 Community Development Department

4.3.4 Task Amend Certification Draft LCLUP if Coastal Commission changes are required during certification hearing (if applicable) Not Started 7/1/2025 6/30/2026 Community Development Department

4.3.4.1 Sub-Task Conduct Planning Commission and City Coucnil public hearings to amend certification draft (if applicable) Not Started 1/1/2026 3/31/2027 Community Development Department

4.3.4.2 Sub-Task CCC certifcation hearing (if applicable) Not Started 1/1/2026 3/31/2027 Community Development Department

4.3.5 Task LCLUP Implementaion: CCC certification of Sharp Park Specific Plan Not Started 1/1/2025 12/31/2025 Community Development Department

4.3.6 Task LCLUP Implementaion: Coastal hazard mapping updates (ESA) LCP Amendment On Track 1/1/2025 3/31/2026 Community Development Department

4.3.7 Task LCLUP Implementaion: Development and adoption of Implementation Plan (CZ and Coastal Development Regulations) Not Started 7/1/2025 12/31/2028 Community Development Department

4.3.7.1 Sub-Task Engage consultant + draft ordinance: LCP Implementation Plan Not Started 7/1/2025 3/31/2026 Community Development Department

4.3.7.2 Sub-Task PC and CC hearings: LCP Implementation Plan Not Started 4/1/2026 6/30/2026 Community Development Department

4.3.7.3 Sub-Task CCC Certification: LCP Implementation Plan Not Started 7/1/2026 6/30/2027 Community Development Department

4.3.7.4 Sub-Task PC and CC hearings - CZ + Development Regulations (LCP Implementation Plan) Not Started 1/1/2026 6/30/2026 Community Development Department

4.3.7.5 Sub-Task CCC hearing and certification - CZ + Development Regulations (LCP Implementation Plan) Not Started 7/1/2026 7/1/2027 Community Development Department

4.3.8 Task LCLUP Implementaion: Initiation of Shoreline Adaptation Plan Not Started 1/1/2026 12/31/2026 Community Development Department

4.3.8.1 Sub-Task Engage consultant and initiate planning for Shoreline Adaptation Plan Not Started 1/1/2026 12/31/2026 Community Development Department

4.3.8.2 Sub-Task PC + CC study sessions and public engagement Not Started 7/1/2026 12/31/2026 Community Development Department

4.3.9 Task LCLUP Implementaion: Initial Coastal Access and Resilience Program Not Started 7/1/2025 12/31/2026 Community Development Department

4.3.9.1 Sub-Task Engage consultant and initiate Coastal Access and Resilience Plan Not Started 7/1/2025 12/31/2026 Community Development Department

4.3.9.2 Sub-Task PC + CC study sessions and public engagement Not Started 10/1/2025 3/31/2026 Community Development Department

4.3.9.3 Sub-Task Draft Coastal Access and Resilience Plan, and coordinate with CCC staff Not Started 1/1/2026 6/30/2026 Community Development Department

4.3.9.4 Sub-Task PC + CC hearings to adopt Coastal Access and Resilience Plan Not Started 7/1/2026 9/30/2026 Community Development Department

4.3.9.5 Sub-Task Submit initial Coastal Access and Resilience Program LCP amendment Not Started 10/1/2026 12/31/2026 Community Development Department

4.4 Strategy Goal 4 | Climate change adaptation and mitigation: Ongoing, non-discretionary or previously initiated projects and services.

On Track 7/1/2023 6/30/2030 City Manager's Office

4.4.1 Task Complete EV Charging Station Strategy Planning document Off Track 7/1/2023 6/30/2025 City Manager's Office

4.4.1.2 Sub-Task Complete and Adopt the EV Strategic Plan and Develop the Implementation Action Plan for EV Charging At Risk 7/1/2023 6/30/2025 City Manager's Office

4.4.2 Task Continue Capital Improvement Plan projects related to solar installation at the Community Center, studying potential new solar at the Civic Center, and improvements to solar at the Calera Creek Water Recycling Plant On Track 7/1/2023 9/30/2025 Public Works Department

4.4.3 Task Goal 4 | Climate change adaptation and mitigation: Day-to-day organizational management, services, reporting, public meeting coordination, and community engagement, responsiveness, and outreach On Track 7/1/2023 6/30/2025 Community Development Department

4.4.5 Task Solar APP, Implementation (SB 379) On Track 7/1/2024 12/31/2025 Community Development Department

4.4.5.2 Sub-Task City website modifications. On Track 7/1/2024 12/31/2025 Community Development Department

4.4.5.3 Sub-Task Public announcement of implementation. On Track 7/1/2024 12/31/2025 Community Development Department 5 Goal Broaden public communications and collaboration. On Track 7/1/2023 6/30/2030 City Manager's Office

5.1 Strategy Creatively harness community expertise, advocates and volunteers to advance City priorities. On Track 4/1/2023 6/30/2030 City Manager's Office

5.1.2 Task Support CAAP task force throughout CAAP update process On Track 10/1/2023 6/30/2025 Community Development Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 395 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update)

5.1.2.1 Sub-Task Coordinate with CAAP task force for Earth Day event participation On Track 7/1/2025 6/30/2026 Public Works Department

5.1.3 Task Support community disaster preparedness by growing CERT Leadership Team with community volunteers who can facilitate and teach classes.

On Track 1/1/2025 6/30/2026 Police Department

5.2 Strategy Increase communications, education, and connections for community wellness resources. Off Track 7/1/2023 6/30/2030 City Manager's Office

5.2.1 Task Mindfulness and Wellness programs will focus specifically on improving community mental and physical well-being and health as recreational programs are added back to the Community Center (following staff relocation) Off Track 4/1/2024 6/30/2025 City Manager's Office

5.2.3.2 Sub-Task Partner with Coastside Pride to coordinate public safety component of annual pride event and pursue opportunities to increase LGBTQ+ awareness through training of public safety personnel and community.

On Track 7/1/2025 6/30/2026 Police Department

5.2.4 Task Pursue collaborations with partner agencies and organizations to provide mental health information and public safety resources to the public.

On Track 7/1/2023 6/30/2030 Police Department

5.2.4.2 Sub-Task Fill CORE (Community Outreach and Engagement) Corporal vacancy and host outreach events to support residents, business owners, school district, and other key stakeholders.

On Track 7/1/2025 6/30/2026 Police Department

5.2.4.3 Sub-Task Partner with community organizations dedicated to serving youth and families with substance abuse and mental health needs.

On Track 7/1/2025 6/30/2026 Police Department

5.2.5 Task Fill mental health clinician vacancy and implement Community Wellness and Crisis Response Team Pilot Program in cooperation with SMC and Star Vista.

Off Track 7/1/2023 6/30/2024 Police Department

5.3 Strategy Goal 5 | Communications and collaboration: Ongoing, non-discretionary or previously initiated projects and services.

On Track 7/1/2023 6/30/2030 City Manager's Office

5.3.1 Task Amend agreement with Pacific Coast Television regarding services, and evaluate City technology needs to enhance delivery of hybrid public meetings to improve public communication Off Track 7/1/2023 3/31/2024 City Manager's Office

5.3.2 Task Complete review and update to Council Advisory Committee/Commission charters Off Track 3/1/2023 6/30/2025 City Manager's Office

5.3.2.1 Sub-Task Pursue collaborations with partner agencies and organizations to provide mental health information and public safety resources to the public.

On Track 7/1/2023 6/30/2030 Police Department

5.3.2.2 Sub-Task Obtain grant funds from Office of Traffic Safety and CHP to deliver traffic safety programs aimed to reduce impaired driving.

On Track 7/1/2023 6/30/2026 Police Department

5.3.2.6 Sub-Task Complete review (with Committee and Public Works staff recommendations) and Council adoption of Resolution to update the charter for Beautification Advisory Committee (BAC) Off Track 3/1/2023 12/31/2024 City Manager's Office

5.3.2.7 Sub-Task Complete review (with Committee and Police Dept staff recommendations) and Council adoption of Resolution to update the charter for Emergency Preparedness & Safety Commission (EPSC) Off Track 3/1/2023 3/31/2025 City Manager's Office

5.3.2.8 Sub-Task Complete review (with Committee and PB&R staff recommendations) and Council adoption of Resolution / Ordinance to update the charter for Parks, Beaches & Recreation Commission (PB&R Commission) Off Track 3/1/2023 3/31/2025 City Manager's Office

5.3.2.9 Sub-Task Complete review (with Commission and Planning Department staff recommendations) and Council adoption of Resolution / Ordinance to update the charter / By-Laws for Planning Commission Off Track 3/1/2023 12/31/2023 Community Development Department

5.3.2.10 Sub-Task Following all Committee / Commission individual charter review completion, complete review & recommendations to Council on administrative aspects and documents for Committees & Commissions for the purpose of consistency with updates that were adopted, current procedures and policies and administrative efficiencies (Municipal Code review, Ordinances for code updates as needed, Committee & Commission Handbook update, Administrative Policies update) Off Track 3/1/2023 6/30/2025 City Manager's Office

5.3.4 Task Goal 5 | Communications and collaboration: Day-to-day organizational management, services, reporting, public meeting coordination, and community engagement, responsiveness, and outreach On Track 7/1/2023 6/30/2030 City Manager's Office

5.3.5 Task Develop public engagement plans for major Capital Improvement Projects for Council review as requested On Track 7/1/2023 6/30/2030 Public Works Department

5.3.6 Task Develop public engagement plans for major WW Capital Improvement Projects for Council review as requested On Track 7/1/2025 6/30/2030 Public Works Department

5.3.7 Task Enhance responsiveness to the community and improve service delivery through automation. Off Track 7/1/2024 12/31/2024 Police Department

5.3.7.2 Sub-Task Update police department website to improve accessibility to public safety information and enhance service delivery Off Track 1/1/2024 12/31/2024 Police Department

5.3.8 Task Integrate public-facing dashboards on the police department website to enhance transparency about technology usage On Track 7/1/2025 6/30/2026 Police Department City of Pacifica
FY 2025-26 Workplan

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Packet Pg. 396 Attachment: AttE-FY2025-26 Workplan [Revision 1] (5906 : Strategic Plan Update) Memorandum
Office of the City Manager
TO: City Council

FROM: Kevin S. Woodhouse, City Manager
Yulia Carter, Assistant City Manager

DATE: April 9, 2025
SUBJECT: Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop, March 1, 2025
During the Strategic Planning workshop on March 1, 2025, numerous new potential workplan items were identified by the Council, with direction for staff to evaluate these items for potential inclusion in the Strategic Plan by identifying required resources such as staff time, budget, timelines, additional studies, and community outreach and education. These new potential workplan items, parked in the “bike rack” flipchart to capture them as potential add-ons to the higher priority strategic plan workplan items already directed by Council, are analyzed below.

Council Chambers Art Program
Establishing a Council Chambers Art Display Program in the City of Pacifica would require a coordinated, multi-phase effort involving policy development, external collaboration, and ongoing staff support. A Council Chambers Art Program could be closely aligned with the City’s existing Keep Pacifica Beautiful Through Public Art Program policy, a program the Beautification Advisory Committee (BAC) is responsible for administering. The policy outlines definitions, project and site criteria, application and selection processes, artist qualifications, public notice requirements, and appeal provisions. However, the current policy is focused exclusively on outdoor public art that is visible from sidewalks and streets. To accommodate an indoor program within a civic building like the Council Chambers, the policy would likely need to be amended. The Council may or may not wish to assign administration of an indoor art program to the BAC.

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Packet Pg. 397 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 2 To launch the program, the City would likely need to form a new City Council ad-hoc subcommittee, which would require staff facilitation, agenda/document preparation, research, etc. The subcommittee would play a key role in shaping the program’s scope, selection criteria, and display guidelines, as well as ensuring alignment with overall City goals.

It is anticipated this program could be a collaboration with the Sanchez Art Center, which could provide expertise and assistance in artist outreach, curating, and program promotion. In addition, the Beautification Advisory Committee may serve as a stakeholder body, contributing feedback on the integration of visual arts in public spaces. Ongoing coordination with these groups would require ongoing support from the Community Development, Parks, Beaches & Recreation, or Public Works departments, as well as the City Manager’s Office, depending on which department is tasked with managing the program.

The administrative tasks would include developing a formal application and review process, facilitating artist selection (either through the subcommittee or a designated review panel), drafting display agreements, and managing installation logistics. Legal counsel and the City’s risk manager would need to review agreements to address liability, insurance, and indemnification provisions—especially for artwork on loan. There could also be the need for physical space upgrades, such as display rails or lighting, which could require one-time or ongoing facility expenditures.

While the program would provide cultural and community value by enhancing civic spaces (with potential expansion to the Civic Center) and showcasing the work of local artists, it would also require ongoing administrative support, including coordination, scheduling, legal review, and communication with artists and partner organizations. If the program was a collaboration with the Sanchez Art Center, the division of responsibilities would need to be determined. Although these staff and resource commitments could be modest, they would be on-going rather than onetime, and would need to be balanced against other City priorities and carefully evaluated whether the City has the long-term capacity to support and sustain the program.

Council Pay
Including a potential increase in City Council pay as part of the FY 2025–26 Strategic Plan workplan would involve a multi-step process requiring policy analysis, legal review, and budget planning. While such an effort could be modest, it would still require focused staff/legal time and coordination to execute properly and in compliance with state law.

The first step would involve conducting a compensation study of comparable agencies to assess how Pacifica’s Council stipend and associated benefits compare with similarly sized or situated cities. This study would also need to include an analysis of other budgetary support provided to City Councils, such as travel, training, and other discretionary use of funds. Depending on internal capacity, the City may need to allocate funds to retain a consultant to conduct this study, which would involve survey development, data collection, and analysis of impact to the City’s general fund.

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Packet Pg. 398 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 3 Staff would also need to conduct an internal analysis of historical Council stipend levels in Pacifica to provide context for any proposed adjustment. This would involve researching past Council actions, resolutions, or ordinances related to compensation and reviewing budgetary impacts over time.

Additionally, the City must account for legal constraints under California Government Code Section 36516, which limits Councilmember compensation and outlines when increases may take effect. Any proposed adjustment must comply with state law restrictions and would typically only become effective after the next regular municipal election, applying only to newly elected or re-elected Councilmembers. Legal counsel would be required to draft any ordinance language.

Finally, any proposal to adjust Council pay would need to be included in the City’s budget planning process. This item would also require City Council consideration and public transparency, likely through agendized discussion and public hearings.

While the project is relatively contained, it would require a thoughtful and well-documented process with legal oversight, budget analysis, and transparency.

E-bikes and Bike/Ped conflicts
Developing e-bike regulations specific to Pacifica would require close coordination among the Parks, Beaches, and Recreation (PB&R) Department, the Police Department, Public Works, the City Attorney’s Office, the City Manager’s Office, and partner agencies such as the County and the National Park Service. This effort would involve significant staff time and, with significant public engagement, is expected to take at least 12 months to complete.

The first phase would focus on research, including a review of relevant state laws, policies from other cities, and common safety and enforcement challenges related to e-bike usage. Based on the findings, a community outreach effort—potentially including a citywide survey—would likely be necessary to gather public input and evaluate the perceived impact of e-bikes on trail use, safety, and public interactions.

Following the initial outreach phase, a more formal public engagement process would begin, including a PB&R Commission study session to review survey results and discuss policy options. Concurrently, a 3rd party trail study, similar to a traffic study, would need to be conducted along with the public engagement phase. Staff would then prepare a comprehensive report summarizing the research, study results and public feedback, presenting policy recommendations, and outlining possible education campaigns and enforcement measures related to speed limits, signage, helmet use, and trail-specific restrictions, to name a few.

It is important to note that the Pacifica Police Department currently lacks the staffing and resources to conduct dedicated e-bike speed enforcement on trails. The department does not have a specialized traffic enforcement unit and is already unable to fully respond to the high volume of vehicle-related complaints received on public roadways each week. Dedicating personnel to

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Packet Pg. 399 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 4 patrol trails or conduct targeted enforcement of bicycle or off-road vehicle activity is not feasible, as it could reduce emergency response capabilities and pose safety risks to officers.

Currently, the Police Department enforces vehicle code violations related to e-bikes on public roadways when time permits.

The adoption of an e-bike ordinance also would require additional time and collaboration across departments and other government agencies. Given the complexity of this issue—and the fact that the GGNRA has its own e-bike regulations and that many Pacifica trails fall under Park Police jurisdiction—any proposed ordinance would need to be developed in close coordination with both the GGNRA and the California Coastal Commission. The approval process would likely involve the Planning Commission and multiple City Council study sessions prior to final adoption, and an LCP amendment. Considering the extensive burden on all city departments, extensive public engagement, and regulatory complexities described above, City staff does not currently have the capacity to undertake the development of a community e-bike program in the upcoming fiscal year, unless other priority workplan items are delayed or replaced. This effort would need to be reconsidered as part of a future strategic plan workplan if and when sufficient resources are available.

Arbor Day & Adopt A Tree Program
Arbor Day
For the past several years, Arbor Day has been a successful community-driven event, supported through a strong partnership between Tree City Pacifica, the Public Works and the Parks, Beaches, and Recreation Departments. Although the event already receives substantial City staff support, it has not yet been formally designated as an official City-sponsored event. Given its continued growth and its place as a staple in Pacifica’s fall calendar, formally recognizing Arbor Day as a City special event might be a logical and low-cost next step. Since many City resources are already allocated to the event, this designation would not result in substantial additional expenditures.

Currently, Public Works plays a key role in the event’s execution. The department is responsible for sourcing trees, delivering equipment, and assigning multiple staff members to assist with planting activities. This includes pre-digging holes, ordering and transporting trees, and providing materials such as stakes and support straps. In total, Public Works helps plant approximately 30 trees per year, about 20 at a central project site and 10 at local elementary schools. The department also holds responsibility for watering and maintaining the trees for up to two years post-planting, with extended maintenance periods during drought conditions. This ongoing support represents a significant staff commitment beyond the day of the event.

The PB&R Department supports the program by managing event logistics, coordinating outreach and social media, and providing both advance planning and day-of staffing. Tree City Pacifica plays a significant role in the effort by engaging and coordinating volunteers, and providing technical knowledge, and general support. Staff’s assessment is that taking the lead in planning

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Packet Pg. 400 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 5 and carrying out this event may be feasible for the City as long as Tree City Pacifica continues to operate as a strong City partner.

Adopt-a-Tree Program
Expansion of the program to include an Adopt-a-Tree program would require an increase in staff resources (or reprioritizing existing staff resources from other priority strategic plan or day-today operations) to develop a formal policy specifying criteria for adoption, tracking tree locations, coordinating with event participants (adopters and volunteers), and long-term staffing capacity for administration and tree maintenance within the Public Works Department. As such, while formalizing Arbor Day as a City event is feasible within the current capacity, any program expansion is not feasible. Similar to models in other cities, such a program would be more costeffectively developed and managed by a community partner organization, such as Tree City Pacifica.

Food Truck Ordinance
The food truck ordinance item was first discussed at the Economic Development Committee (EDC) when the idea of having ongoing food truck events was brought up by one of the EDC members.

Currently, food trucks are only allowed as part of a special event permit. Adopting a food truck ordinance in the City of Pacifica would be a significant undertaking, particularly for the Community Development Department, requiring substantial staff time, interdepartmental coordination, and legal resources. The effort would include drafting new ordinance language, reviewing zoning and land use policies, and ensuring alignment with state regulations governing mobile food operations. This work would also have a significant impact on the City Attorney’s Office, as legal counsel would be involved throughout the process.

The adoption process would also likely require environmental review under the California Environmental Quality Act (CEQA) to assess potential impacts related to traffic, noise, waste, and public services. Additionally, changes to zoning or land use that affect coastal areas could trigger the need for an amendment to the City’s Local Coastal Plan (LCP). This would add a significant layer of complexity and would require review and certification by the California Coastal Commission. The ordinance itself would also be subject to public hearings and approval by both the Planning Commission and the City Council.

Public outreach would be a critical component, requiring staff to engage food truck operators, local business owners, and community members to gather input and address potential concerns.

In communities like Pacifica, where small, locally owned restaurants are an important part of the economy, there may be significant concerns about competition and fairness. Responding to these concerns could involve more time developing nuanced policies around operating locations, hours, and fee structures, all of which increase administrative cost.

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Packet Pg. 401 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 6 It is important to note that following a presentation at the Economic Development Committee (EDC) proposing the idea of food truck events, the Pacifica Seaside Merchants Association convened a meeting with Sharp Park restaurant owners to gather initial feedback. During that meeting, restaurant owners expressed strong opposition, stating that such events would be detrimental to their businesses, particularly during peak visitor seasons.

While food trucks may contribute to the cultural vibrancy of the City, the expected financial return to the City through permit fees or increased tax revenue would be minimal and the program would likely be controversial within the local restaurant community. Given the extensive work required to navigate environmental review, potential LCP amendments, regulatory drafting, public engagement, and multi-agency coordination, the return on investment for Pacifica would be limited. Due to the above complexities, City staff does not currently have the capacity to undertake the development of a food truck ordinance in the upcoming fiscal year, unless other priority workplan items are delayed or replaced.

Sustainability Commission Formation and Alternatives
In addition to the five items above, the City Council also requested more information about the potential formation of a new permanent Sustainability Commission to replace the temporary Climate Action Plan Task Force, as part of the Council’s discussion under Goal 4 – Pursue climate change adaptation and mitigation. Such a commission would be tasked with overseeing implementation of the City’s Climate Action and Adaptation Plan (CAAP). The Council directed staff to evaluate the resources required for both the formation and ongoing support of such a body.

Establishing a new Sustainability Commission would represent a significant and ongoing cost to the City in terms of staff time, legal resources, and administrative support. The structure and function of a formal commission come with substantial operational overhead. By definition, a commission is a formal advisory body established by ordinance and subject to Brown Act public meeting requirements, and require dedicated staff liaisons to coordinate agendas and public notices, attend meetings, prepare minutes, conduct follow-up, and interface with the City Council. Unlike task forces, which may be temporary and focused on specific issues, commissions are permanent and require a much higher level of formality and staffing. The City’s CAAP Task Force was previously supported by a limited-term position equivalent to 0.75 FTE, created solely to manage its operations. Converting that group into a commission (or creating a new one) would trigger additional compliance requirements and would increase the staffing demands.

City staff from the City Manager’s Office or Community Development Department would be required to absorb these responsibilities on a long-term basis, including ongoing support, meeting logistics, public noticing, minutes and follow-up tasks, diverting time and focus from existing core services. Additionally, creating a commission would require legal review and ordinance language development by the City Attorney’s Office to define its scope, structure, and authority, which entails both staff time and additional legal costs. The City Clerk's Office would

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Packet Pg. 402 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update) 7 be responsible for managing ongoing recruitment, onboarding, and appointment logistics. The total administrative cost of maintaining a new commission, including indirect labor, legal support, staff participation, and materials, is considerable over time.

Rather than formation of a new commission and its high cost and time impact for the City, staff has identified several alternatives as less costly alternatives that would achieve many of the same goals:
 Repurpose an existing Commission/Committee to focus on the CAAP;  Distribute CAAP implementation tasks as necessary amongst existing commissions and committees, such as the PB&R Commission, Planning Commission, Beautification, and OSPAC, each of which already has an assigned staff liaison and could integrate the Council’s strategic sustainability priorities into their existing workplans. It is important to note that implementation of the CAAP is already a strategic plan priority for the City Council, which is the highest level of commitment to visibility for environmental initiatives, and the staff workplan will include implementation actions, tracking, and public transparency.
 Continue the CAAP Task Force, assigning it a broader role in supporting CAAP implementation. This body could remain focused on the implementation tasks and strategic sustainability priorities as they relate to the Council’s Goal #4.

While a Sustainability Commission may provide structure and visibility for environmental initiatives, it comes with a high cost for the City, particularly in a time of constrained staffing and competing strategic priorities. City staff does not currently have the capacity to initiate or support a Sustainability Commission in the upcoming fiscal year, unless other priority workplan items are delayed or replaced.

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Packet Pg. 403 Attachment: AttF-Analysis of Potential New Strategic Plan Items raised during the Strategic Planning Workshop (5906 : Strategic Plan Update)

CITY OF PACIFICA

COUNCIL AGENDA SUMMARY REPORT
4/14/2025
1 SUBJECT:

Fiscal Year 2025-26 Budget Planning Process, Timeline and Preliminary Budget Strategies RECOMMENDED ACTION:

Accept the report and provide additional policy direction for the preparation of the FY2025-26 Budget.

STAFF CONTACT:

Kevin Woodhouse, City Manager
(650) 738-7409
[email protected]

Yulia Carter, Assistant City Manager
(650) 501-6004
[email protected]
Marisol Gomez, Finance and Administrative Services Director [email protected]
BACKGROUND:

Each year, the City of Pacifica adopts an annual operating budget that reflects the planned activities for the next fiscal year based on the best information available to the City Council and staff at the time of adoption. This narrative report is the first step in the new budget development process. It is not yet intended to provide detailed budgetary information for FY2025-26, but rather intended to describe the process and timeline, and receive early input from the City Council on several preliminary budget strategies recommended by the City Manager.

This preliminary report is presented in parallel with the Council’s adoption of the updated strategic plan priorities, which will inform the next steps in the budget development process.

Following Budget Session 1, the budget process will continue with a detailed Base Budget presentation and Budget study sessions, followed by public hearings and budget adoption.

Again, this report provides the Council with a general outline of the budget development process, including the timeline, methodology, and preliminary budget strategies for the upcoming year.

Budget Calendar
The annual budget cycle begins each year with the development of budget instructions, including policy directives and a budget calendar in January-February, and is completed with the budget adoption by the City Council in June of each year.

A summary of the tentative FY 2025-26 budget schedule is as follows:
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PUBLIC

MEETING

BUDGET STEP TIME FRAME
1 Council Strategic Planning Workshop: FY2025-26 Strategic Plan Update and Priority Setting
March 1, 2025
2 FY 2024-25 Mid-Year Budget Review to Council March 24, 2025 3 Budget Session 1: Budget Methodology, Budget Calendar, Long-Term Financial Outlook and Preliminary Budget Strategies.

April 14, 2025
4 Council Adoption of the Strategic Plan and Priorities April 14, 2025 5 Budget Session 2: FY 2025-26 Base Budget and FY 2025-30 CIP Budget Review
May 12, 2025
6 Planning Commission: Review of the Proposed FY2025-30 CIP Plan for Conformity with General Plan
June 2, 2025
7 Budget Session 3: City Council Review and Approval of Proposed FY 2025-26 Budget Recommendations
June 9, 2025
8 City Council Budget Hearing: Formal Adoption of the FY 2025- 26 Operating and Capital Budget and Master Fee Schedule June 23, 2025
This year's budget cycle launched on March 1, 2025, with the Council’s review of the City’s Strategic Plan and Priority-Setting workshop. The Strategic Plan and priorities update will be presented for the Council’s adoption on April 14, 2025 in a separate agenda item. On March 24, 2025, the Council completed a mid-year review of the FY2024-25 Budget. At that time, the Council reviewed revenues and expenditures and made adjustments that will be factored into the development of the FY2025-26 Base Budget, scheduled to be presented to the Council on May 12, 2025.

Budget Methodology
The Adopted Budget is achieved after an inclusive and interactive budget development process, which aims to reach a balanced and sustainable budget. Three years ago, staff modified the City's budget process to apply a modified zero-based budget methodology, a systematic financial management strategy commonly used by local governments to help achieve more cost-effective delivery of public services. The upcoming FY 2025-26 budget development process will follow the same methodology.

The purpose of the Base Budget is to reflect the current level of services and operations. The Base Budget is not an exact duplication of the prior year's adopted Budget because of actions that the Council may have taken that modified the Budget over the course of the year and, most importantly, because of the FY2025-26 Budget assumptions that will be presented to Council at the next budget study session, which will be held on May 12th.

The Base Budget will reflect the current economic conditions at the existing service level. Once the Base Budget is developed, each department will be given an opportunity to request prioritized program changes for service enhancements or reductions (when needed) and to identify any necessary or desirable service increase or reduction options while maintaining a balanced and sustainable budget.

The City Manager will then review department requests and formulate budget recommendations for service-level changes for the Council's consideration. These 8 Packet Pg. 405
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recommendations will be based on many factors, including the Council's strategic vision, staffing capacity, and potential impact on the overall City operation and services provided to the Community.

The final proposed budget document will incorporate the City Manager’s final recommendations based on the City Council's priorities and input. Throughout the upcoming budget meetings, the Council will have an opportunity to review and consider budget options and provide direction to the City Manager regarding any changes.

The City's goal is to achieve a balanced budget with operating revenue equal to or greater than operating expenditures, including debt obligations and any reimbursements from other funds for services. Under this policy, total expenditures can exceed revenue in a given year to fund capital improvement plan projects or other "one-time" non-recurring expenditures. The City's financial position and the resources in each fund will determine the level of services and the projects that the City will be able to deliver to the community in the upcoming fiscal year.

Therefore, these services and projects will be included in the adopted Budget.

FY 2025-26 Preliminary Long-Term Financial Forecast
The initial Long-term Financial Forecast (Attachment A) is based on the preliminary FY2025-26 base budget, and indicates that the City of Pacifica is facing an ongoing structural deficit at the current level of services. If this deficit remains unaddressed, the forecast shows that the City’s reserves could fall below the GFOA-recommended two months of operating expenditures reserves as early as FY2026-27, with full depletion of reserves projected by FY2028-29.

A more detailed discussion of revenue assumptions will be provided at the next budget study session. However, this preliminary forecast already reflects the key challenges in the current revenue trends, including declines in Sales Tax (including Measure Y) and Cannabis revenues, which are expected to continue in the future years, reductions in Transient Occupancy Tax (TOT), Business License and Permit Fees due to the amendments to the Short-Term Rental (STR) Ordinance, and the Vehicle License Shortfall and uncertainty around the VLF backfill in the upcoming years. While the forecast includes the $2.3 million VLF backfill that is due to the City in FY2025-26, this amount is currently not included in the State’s budget. As a precaution, the forecast includes a General Fund balance designation to allocate a portion of reserves to cover the potential loss, should the State fail to follow through on its VLF obligations, as further outlined in the preliminary budget strategies section.

The preliminary forecast represents the status quo and does not assume any ongoing future general fund contributions toward the capital improvement program because even with zero CIP contributions, the General Fund is projected to remain structurally imbalanced at the current baseline level of services. The forecast also does not include any assumptions for labor cost increases, although the City is currently in negotiations with all bargaining groups.

It is important to note that this forecast only projects forward the current level of services and does not take into account any future potential revenue measures, service enhancements, or reductions that may be reflected in the final FY2025-26 Budget once it is developed and adopted, as well as future years.

As we progress though the budget development process the financial forecast will be updated accordingly and will be updated for the FY 2025-26 Proposed Budget. 8 Packet Pg. 406
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FY 2025-26 Preliminary Budget Strategies
The comprehensive update to the Strategic Plan and Priorities is scheduled for presentation and adoption by the Council on April 14, 2025. However, the overarching City goals remained unchanged from the City Council’s March 1, 2025, Strategic Planning workshop. During the workshop, the City Council confirmed the following five Pacifica goals for the Strategic Plan:

1. Enhance organizational and fiscal stability.

2. Improve and steward City infrastructure, streets, and facilities.

3. Prioritize protection and development of affordable housing.

4. Pursue climate change adaptation and mitigation.

5. Broaden public communications and collaboration.

The Council's input on the following recommended preliminary budget strategies related to these goals will help guide the development of budget recommendations for FY2025-26 that achieve the Council's Strategic Plan Goals and Strategies and continue providing high-quality City services to the Pacifica community.

Strategy #1: Change Allocation of Excess Educational Revenue Augmentation Funding (Excess ERAF) for these revenues to stay in the General Fund. (Supports Goal #1).

Excess ERAF has been traditionally treated as a one-time revenue source due to potential unpredictability and dependence on complex property tax calculations by the State. As a result, the City has historically allocated these revenues to special purposes outside of the General Fund, following the following Council-approved policy direction:
• $100,000 toward the Pacifica Resource Center
• $10,000 toward the Pacific Beach Coalition
• 50% of the remaining balance toward Fund 38 (Disaster Accounting Fund) • 50% of the remaining balance toward Fund 24 (Housing Action Fund) However, for FY 2025-26, the City is facing a growing structural deficit and increased financial pressure on the General Fund. In light of these challenges, the City Manager recommends deviating from the current policy and retaining as much of the Excess ERAF revenue as needed in the General Fund to balance the budget and maintain essential services.

Although Excess ERAF is not considered a long-term stable, ongoing revenue source, Pacifica has consistently received these funds over the past decade. Additionally, staff surveyed other San Mateo County cities and found that many of them routinely budget Excess ERAF directly in their General Funds to support core services.

While this approach offers critical financial relief, it is not without related impacts:
• Disaster Accounting Fund: Although the Disaster Accounting Fund (Fund 38) currently has a healthy balance (approximately $7 million), the balance will not grow for FY2025- 26 if Excess ERAF is not allocated to this fund. As a coastal community vulnerable to annual flooding, winter storms, and infrastructure failures, maintaining an adequate dedicated reserve for disaster response is a prudent and fiscally responsible practice. • Affordable Housing Development: The Housing Action Fund (Fund 24) currently has more than $2 million, but will not grow for FY2025-26 if Excess ERAF is not allocated to this fund.
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This proposed strategy reflects the need for short-term fiscal flexibility and responsible stewardship of available resources. It is both necessary and prudent; without it, the City would need to significantly reduce services to balance the budget. Should the City’s fiscal outlook improve or an alternative revenue source be identified, the Council may consider returning to the prior allocation model, to continue funding long-term community resiliency and housing priorities. Staff will continue to monitor revenue projections and may bring forward an updated recommendation during a future budget session.

Strategy #2: Addressing Financial Uncertainties Related to Vehicle License Fee In-Lieu Backfill Payments from the State (Supports Goal #1).

The uncertainty surrounding Vehicle License Fee (VLF) In-Lieu payments from the State has been a recurring fiscal concern over the last several years now. Despite the City's continued reliance on these revenues and budgeting for that, the State’s continuing threat to fulfilling its obligations have made long-term financial planning increasingly difficult.

For FY 2025-26, the City is anticipating a $2.3 million backfill under the State’s established twoyear delay in disbursing these funds. However, this payment is not currently reflected in the State’s draft budget, creating a risk that the City may not receive these funds as expected.

The San Mateo County Mayors, City Managers, and Finance Officers have worked together on a unified response to this economic stability threat and the status of the upcoming year’s backfill is still evolving. However, to proactively mitigate this risk, the City Manager recommends incorporating a portion of the General Fund reserves as assigned fund balance designation to temporarily offset the potential loss. This measure allows the City to maintain core services while safeguarding financial stability in the event that the State fails to follow through on its obligations.

Staff will continue to work with regional partners on lobbying efforts and will continue monitoring this issue closely, and will provide the City Council with updates on this issue throughout the FY 2025-26 budget development process as new information becomes available.

Strategy #3: Prioritize Revenue-Generating Development to Strengthen the City's LongTerm Financial Base (Supports Goals #1 and #3) In light of the City's ongoing structural deficit and limited discretionary revenue sources, the City must laser focus its community development and economic development efforts on projects that grow the long-term revenue base. Pacifica needs to begin investing in larger-scale, revenuegenerating initiatives that will provide a sustainable fiscal foundation through increased property tax, transient occupancy tax (TOT), and sales tax revenues.

Some of these areas of focus may include:
• New Housing Development: Advancing housing production, particularly mixed-use and multifamily developments, helps meet the City’s Regional Housing Needs Allocation (RHNA) targets while increasing the property tax base and utility user tax revenues.

Expanding housing also supports the local economy by increasing the customer base and improving workforce availability.
• Hotel Development: A new hotel would significantly increase TOT, which is a locally controlled General revenue stream. With Pacifica’s strong coastal identity and visitor appeal, a hotel project would drive visitor spending, support jobs, and diversify the tax 8 Packet Pg. 408
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base, which would eventually (once open and operating) help mitigate the projected $1.5 million revenue losses over the next three years due to STR ordinance changes.

Over the past decade, many neighboring cities in San Mateo County have invested heavily in these types of strategies, including new hotel developments, innovation zones, and mixed-use business improvement districts. These cities are now seeing the benefits in the form of higher assessed property values, expanded lodging tax revenues, and stronger fiscal stability. Although Pacifica has been making progress in this direction through fundamental steps such as the General Plan Update, Local Coastal Land Use Plan Update, and Sharp Park Specific Plan, it is essential that the City continue to prioritize and focus its limited staff resources on revenuegenerating development.

Pacifica’s Strategic Plan and Economic Opportunity Study already identify several medium and long-term initiatives that align with this approach, including advancing the Surplus Land Act (SLA) process for key sites like 2212 Beach Boulevard, followed by hotel development. These are the types of strategic projects that can lay the groundwork for future economic sustainability.

While these initiatives are long-term in nature and will not resolve the City’s immediate budget shortfall, it is critical to emphasize this continuing direction as a budget strategy for FY2025-26..

Major development projects typically require several years to move through land use planning, entitlements, and funding phases. Continuing this proactive planning is critical for the City to be able to build a more resilient and self-sustaining future, while maintaining its values and community character.

NEXT STEPS
Staff will factor in the Council’s feedback on the preliminary budget strategies presented in this report in the budget development process. On April 14, 2025, the City Council will also consider the adoption of updates to the Strategic Plan and priorities. This strategic framework serves as a critical roadmap for the organization, outlining the City’s short and longer-term priorities and objectives, that also directly translate into the workplan and budget recommendations for the upcoming FY 2025-26 Budget.

On May 12, 2025, staff will present the FY 2025-26 Base Budget and the recommended funding for the FY 2025-26 Capital Improvement Plan. In subsequent budget sessions, more defined budget options and recommendations will be brought forward before the final adoption of the FY 2025-26 Budget in June.

FISCAL IMPACT:

There is no action or fiscal impact associated with this item. This is an informational presentation seeking the Council’s initial input to help guide the further development of budget recommendations. As reflected in the budget calendar above, staff will be bringing forward the FY2025-26 Base Budget and more in-depth recommendations for budget strategies, policy options, and service change recommendations at future meetings.

ORIGINATED BY:

City Manager's Office
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ATTACHMENT LIST:

Attachment 1 Long-Term Financial Forecast (LTFF)(PDF)
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Attachment 1

REVENUE
2024-2025
Amended Budget
2025-2026
Base Budget
2026-2027
Projected
2027-2028
Projected
2028-2029
Projected
2029-2030
Projected
2030-2031
Projected
2031-2032
Projected
2032-2033
Projected
2033-2034
Projected
2034-2035
Projected
Property Tax $ 16,958,000 $ 17,466,700 $ 17,990,700 $ 18,530,400 $ 19,086,300 $ 19,658,900 $ 20,248,700 $ 20,856,200 $ 21,481,900 $ 22,126,400 $ 22,790,200 Vehicle License Fees 4,621,030 5,410,902 4,974,173 4,623,976 5,953,841 6,856,277 7,876,674 7,781,402 8,610,545 10,128,731 9,739,482 Sales Tax 3,134,490 3,197,200 3,261,100 3,326,300 3,409,500 3,494,700 3,582,100 3,671,700 3,763,500 3,857,600 3,954,000 Measure Y 2,456,000 2,505,100 2,555,200 2,606,300 2,671,500 2,738,300 2,806,800 2,877,000 2,948,900 3,022,600 3,098,200 Transient Occupancy Tax 2,978,000 2,458,000 2,319,600 1,685,700 1,736,300 1,788,400 1,842,100 1,897,400 1,954,300 2,012,900 2,073,300 Utility Users Tax 2,800,000 2,856,000 2,913,100 2,971,400 3,030,800 3,091,400 3,153,200 3,216,300 3,280,600 3,346,200 3,413,100 Other Taxes 2,670,000 2,734,550 2,802,400 2,869,900 2,941,600 3,015,100 3,090,500 3,167,800 3,247,000 3,328,200 3,411,400 Department/Program Revenues 11,055,177 11,232,800 11,442,600 11,608,200 12,014,500 12,435,000 12,870,200 13,320,700 13,786,900 14,269,400 14,768,800 Transfers In 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 1,422,000 Excess ERAF 145,000 145,000 145,000 145,000 145,000 145,000 145,000 145,000 145,000 145,000 145,000 Total Annual Revenue $ 48,239,697 $ 49,428,252 $ 49,825,873 $ 49,789,176 $ 52,411,341 $ 54,645,077 $ 57,037,274 $ 58,355,502 $ 60,640,645 $ 63,659,031 $ 64,815,482

EXPENDITURES
2024-2025
Amended Budget
2025-2026
Base Budget
2026-2027
Projected
2027-2028
Projected
2028-2029
Projected
2029-2030
Projected
2030-2031
Projected
2031-2032
Projected
2032-2033
Projected
2033-2034
Projected
2034-2035
Projected
Salaries & Benefits $ 32,104,298 $ 35,617,948 $ 37,042,666 $ 38,524,373 $ 40,065,348 $ 41,667,962 $ 43,334,680 $ 45,068,067 $ 46,870,790 $ 48,745,622 $ 50,695,447 Contract Services 9,097,300 9,300,082 9,486,084 9,675,805 9,869,321 10,066,708 10,268,042 10,473,403 10,682,871 10,896,528 11,114,459 Material/Supplies/Maintenance 4,454,873 4,477,891 4,545,059 4,613,235 4,682,434 4,752,670 4,823,960 4,896,320 4,969,765 5,044,311 5,119,976 Transfers Out - Debt Service 1,454,600 2,168,621 2,469,951 2,530,320 2,558,335 2,392,809 1,291,744 1,282,631 1,071,016 1,041,956 1,041,990 Transfers/Allocations Out 485,000 - - - - - - - - - -
Total Annual Operating Expenditures $ 47,596,071 $ 51,564,542 $ 53,543,760 $ 55,343,734 $ 57,175,438 $ 58,880,149 $ 59,718,427 $ 61,720,421 $ 63,594,442 $ 65,728,417 $ 67,971,871 Transfers Out - Capital $ 75,000 $ - $ - $ - $ - $ - $ - $ - $ - Total General Fund Expenditures $ 47,671,071 $ 51,564,542 $ 53,543,760 $ 55,343,734 $ 57,175,438 $ 58,880,149 $ 59,718,427 $ 61,720,421 $ 63,594,442 $ 65,728,417 67,971,871 GF Structural Surplus/Deficit* 568,626 (2,136,290) (3,717,887) (5,554,558) (4,764,097) (4,235,072) (2,681,153) (3,364,919) (2,953,797) (2,069,386) (3,156,389) Surplus/Def as % of GF Revenues 1.18% -4.32% -7.46% -11.16% -9.09% -7.75% -4.70% -5.77% -4.87% -3.25% -4.87% Projected Ending Fund Balance $ 18,353,386 $ 16,217,096 $ 12,499,208 $ 6,944,651 $ 2,180,554 $ (2,054,518) $ (4,735,671) $ (8,100,590) $ (11,054,387) $ (13,123,773) (17,367,165) Non-Spendable $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Restricted $ 375,291 542,791 710,291 877,791 1,045,291 1,212,791 1,380,291 1,547,791 1,715,291 1,882,791 2,050,291 Assigned Reserves
Policy Level of 10% of Expenditures $ 4,759,607 $ 5,156,454 $ 5,354,376 $ 5,534,373 $ 5,717,544 $ 5,888,015 $ 5,971,843 $ 6,172,042 $ 6,359,444 $ 6,572,842 $ 6,797,187 VLF Backfill Reserve $ - $ 2,326,576 $ 2,536,607 $ 2,869,875 $ 3,909,634 $ 5,011,999 $ 5,168,493 $ 5,844,422 $ 5,488,019 $ 6,800,120 $ 6,191,174 Facility Maintenance & Replacement $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 $ 205,000 205,000 Compensated Absences $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 $ 200,000 200,000 Child Care Reserve $ 488,591 $ 488,591 $ 488,600 $ 488,600 $ 488,600 $ 488,600 $ 488,600 $ 488,600 $ 488,600 $ 488,600 488,600 Legal Reserves $ - $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 100,000 Assigned Reserves $ 5,653,198 $ 8,476,621 $ 8,884,583 $ 9,397,848 $ 10,620,778 $ 11,893,614 $ 12,133,936 $ 13,010,064 $ 12,841,063 $ 14,366,562 $ 13,981,961 Non-Spendable, Restricted & Assigned $ 6,028,489 $ 9,019,412 $ 8,884,583 $ 9,397,848 $ 10,620,778 $ 11,893,614 $ 12,133,936 $ 13,010,064 $ 12,841,063 $ 14,366,562 13,981,961 Unassigned Fund Balance $ 12,324,897 $ 7,197,683 $ 3,614,625 $ (2,453,198) $ (8,440,224) $ (13,948,132) $ (16,869,607) $ (21,110,654) $ (23,895,450) $ (27,490,335) $ (31,349,126) Unassigned balance as % of Op. Exp. 25.9% 14.0% 6.8% -4.4% -14.8% -23.7% -28.2% -34.2% -37.6% -41.8% -46.1% GFOA Recommended Reserves 7,932,679 8,594,090 8,923,960 9,223,956 9,529,240 9,813,358 9,953,071 10,286,737 10,599,074 10,954,736 11,328,645 Above/(Below) GFOA Guidelines 4,392,218 (1,396,407) (5,309,335) (11,677,153) (17,969,464) (23,761,490) (26,822,678) (31,397,391) (34,494,524) (38,445,071) (42,677,771) City of Pacifica
Long Term Financial Forecast Table and Assumptions
General Fund - Preliminary Base Budget FY 2025-26

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Packet Pg. 411 Attachment: Attachment 1 Long-Term Financial Forecast (LTFF) (5907 : Budget Study Session 1)

LONG-TERM FINANCIAL FORECAST ASSUMPTIONS
The long-term financial model features a set of assumptions for revenues and expenditures based on conservative projections. The scenario presented represents conservative revenue estimates based on information available now. These projections are preliminary, and staff will further refine the figures included in this report as part of the FY 2025-26 Recommended Budget.

Revenue Assumptions

1. Property Tax is the City's biggest revenue category. Based on the current collection trends, consistent with the anticipated increases in the assessed market value and information provided by the county and HdL, the City’s property tax consultant, these revenues assume a 3% increase for the upcoming year and annually thereafter.

2. Vehicle License Fees (VLF) are tied to property-assessed value growth and a corresponding growth in tax revenue. Utilizing the estimates from San Mateo County, VLF assumes a 6.6% increase year over year, however the State has been unable to fulfill its payments in the year due, causing a shortfall each year. The shortfall becomes an estimate to be received two-years later, which is referenced as a backfill. The FY2025-26 Base Budget includes the projected shortfall in the current year of $2.8 million, which will be due in FY2028, as well as the expected backfill to be received in the current year from FY2024 of $2.3 million. The normal annual VLF has been reduced by the shortfall each year going forward, as well increased by the projected two-year backfill. This revenue is in constant jeopardy, depending on the state’s budget situation. There is a possibility that the State will revise its budget in the May 2025 review. Staff will continue monitoring this issue.

3. Sales Tax assumes a modest increase of 2% for three years over the FY2024-25 Base Budget based on the most recent projections by HdL (the City’s Sales Tax consultant), followed by a 2.5% increase for the next seven years to consider the cyclical nature of these revenues driven by the local economy.

4. Measure Y is the new ½ % voter-approved Transaction and Use Tax that went into effect on April 1, 2023. The same projection method is applied to Measure Y as the other regular 1% of Bradley Burns Local Sales and Use Tax mentioned above, assuming 2% increase for FY2026 through FY2028 and 2.5% for the future years.

5. The Transient Occupancy Tax assumes a 2.5% increase for FY2026 through FY2028 and a normal inflation change of 3% thereafter for the next seven years. Unfortunately, due to the Council’s recent ordinance changes related to STR regulations, the preliminary base budget incorporates a reduction of almost $1.5 million over the next three years.

6. Utility Users' Taxes (UUT) also assume a uniform 2.0% increase for all ten years, consistent with current collections trends. Staff will continue monitoring these revenues.

7. Other Taxes include business license tax, cannabis operations tax, and franchise tax. A modest

2.5% increase is projected for these tax categories in future years. However, this category was also affected by the Council’s recent ordinance changes related to STR regulations and a slight decrease in business license activity was incorporated.

Departmental or Program revenues include building, planning, and other permits, recreation revenues, grants, and rentals. In FY2026 through FY2028, this category includes a 2% increase, and a 3.5% increase thereafter based on the anticipated continuation of the current service activity level, plus inflationary adjustments to the Wastewater Fund administrative service fee and an anticipated increase in investment income due to the recently completed renegotiations of the City agreements for banking services. However, this category was also affected by the Council’s recent

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Packet Pg. 412 Attachment: Attachment 1 Long-Term Financial Forecast (LTFF) (5907 : Budget Study Session 1) ordinance changes related to STR regulations and a slight decrease in STR permits was incorporated.

8. The Operating Transfer in remains flat. This category mainly includes the cost recovery reimbursements from Fund 216 (NPDES), Fund 210 (Gas Tax) and Fund 209 (Measure A).

9. The General Fund’s portion of ERAF revenues assumes no changes. Based on the current Council-approved policy, $145K of ERAF revenues are retained in the General Fund and allocated to local non-profits. The rest of the ERAF funding is split 50% each between the Disaster Accounting Fund (Fund 238) and the Housing In lieu Fund (Fund 224).

Expenditures Assumptions

1. Salaries and Benefits (S&B) The FY2025-26 base budget projections include the same base level full-time equivalent count of 200.75 citywide as FY2025. The future years include a 4.0% increase in annually thereafter to account for increases related to cost of medical, dental, and vision benefits, PERS rates, and unfunded pension liability payments, merit, and other laborrelated increases.

2. The Contractual Services Category assumes an annual increase of 2.0% for most City contracts to account for inflation and regular CPI increases in existing contracts.

3. Materials, Supplies, and Maintenance Category assumes a modest 1.5% increase each year to account for inflation.

4. Debt Service Expense Category is projected to be in accordance with the City’s updated debt service schedule for each projected year. These are the major debt service obligations included in financing: 2016 COP, 2019 POB, 2021 Civic Center, and the new 2023 Fire Equipment Lease.

Also, a reduction of the debt payment in FY 2031 is related to the projected payoff for the Pension Obligation Bond.

5. The Operating Transfer Out Category accounts for transfers to Internal Service Funds, including Risk Management funds for General Liability and Worker's Compensation insurance premiums and Motor Pool funds to cover motor pool operating expenditures. The projection excludes future transfers at this time and will be reviewed during ongoing budget development.

6. Capital Transfers Category. The Financial Outlook does not include any ongoing funding for the Capital Improvement Program (CIP). Given that the City does not have dedicated capital revenue sources, a consistent annual contribution from the General Fund to the CIP program will likely be required every year, competing with the Council’s other strategic priorities.

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Packet Pg. 413 Attachment: Attachment 1 Long-Term Financial Forecast (LTFF) (5907 : Budget Study Session 1)

Pacifica City CouncilApril 14, 2025

Pacifica City Council
April 14, 2025