Public Health Department
PROPOSED PASADENA MUNICIPAL CODE AMENDENTS
TO ESTABLISH A PILOT MICROENTERPRISE HOME
KITCHEN OPERATION (MEHKO) PROGRAM
City Council Item No. 11
September 15, 2026
Public Health Department
Background
• MicroEnterprise Home Kitchen Operations (MEHKO)
information presented to Economic Development &
Technology (EDTech) Committee in September 2025
> Committee requested staff explore establishing a pilot program and return to the Committee
• EDTech approved staff recommendation to establish
a two-year pilot MEHKO program in March 2026
Public Health Department
Background
• In 2019, state of California amended CA
Health & Safety Code 114367
> Allows Microenterprise Home Kitchen Operation
(MEHKO), a new type of retail food facility
> Cities and counties with their own local health
jurisdiction have the option to authorize MEHKOs
> Authorization by ordinance or resolution is required
> If authorized, the MEHKO program would apply to all
areas of the City
Public Health Department
MEHKO Summary
• MEHKO: small-scale restaurant operated in a home
> Operated only by a resident in their own home
> Food must be made and served on the same day
> Food has to be sold or donated directly to a
customer for onsite consumption, pickup, or delivery
> Cannot operate as a caterer or temporary food
vendor
> Cannot operate as a cottage food facility unless
they register or obtain a separate Health Permit
Public Health Department
MEHKO Summary
• What can be sold?
> Individual food items and full meals (everything from appetizers to dessert) are allowed
> Alcohol can be served, with a Department of Alcoholic Beverage Control (ABC) license
> No production, service, or sale of raw milk products
> No raw bottled juice, oysters, or specialized food
preparation processes
Public Health Department
MEHKO Summary
• State exemptions and restrictions
> Exempt from plan review and most food facility
requirements
> Any residential dwelling can operate a MEHKO (including rental/privately owned SFR, apartment, condo, etc.)
> Cities can not require rezoning, levy of any fees, or impose any other restrictions on MEHKO operations
> No change in occupancy for purposes of State Housing
Law, State Uniform Building Standards Code, or local
building and fire codes
Public Health Department
MEHKO Summary
• Only one MEHKO per residence
> 30 max meals per day/90 max meals per week
> $110,442* max annual gross sales cap
> Sales cap adjusts annually by CPI
• MEHKO with a commissary may store up to two
food carts onsite
• No exterior advertising signage allowed
• Must comply with local noise ordinance
Public Health Department
Potential Economic Development Benefits
• Lower-barrier pathway for micro-entrepreneurs
• Opportunity for individuals seeking to transition their operations to permitted status
• Possible increase to household income
• Stimulate local economy and job creation
• Support food security and access
• Act as an incubator for larger food businesses
• Diversify local food scene
Public Health Department
Permit Requirements
• State law requires MEHKO operators to satisfy
the following requirements:
> Obtain a Food Safety Certificate
> Submit a Health Permit application
> Submit standard operating procedures (SOPs)
detailing food types, preparation methods,
cleaning schedules, and operating hours
> Successfully pass an inspection
Public Health Department
MEHKOs in California
• 19 local health jurisdictions have authorized
MEHKOs including:
> Los Angeles (2024), Long Beach (2026), Riverside (2019), Santa Barbara (2021), and San Diego (2022)
> 17 counties and the cities of Long Beach and Berkeley > 5 of 18 launched as pilot programs
• 1,200+ MEHKO permits issued across the state
Public Health Department
MEHKOs in California
• Statewide review of
permitting agency
complaint data
> 606 unpermitted
vendor complaints
> 32 MEHKO complaints
Source: The Home Kitchen Pathway, A Data-Driven Review of California’s MEHKO Program; Cook Alliance. Research Report — The COOK Alliance Accessed February 25, 2026.
Public Health Department
MEHKOs in California
• Additional complaint data
> 97% of MEHKO permitted operations in state have
not had a complaint unrelated to food concerns
> Two foodborne illness complaints from 2019 to 2024
Source: The Home Kitchen Pathway, A Data-Driven Review of California’s MEHKO Program; Cook Alliance. Research Report — The COOK Alliance Accessed February 25, 2026.
Public Health Department
MEHKOs in California
• Additional data
> 79% of operators are from communities of color
> 70% of operators are women
> 73% of operators shared that MEHKOs offer
financial stability, work-life balance, and stronger
community ties
Source: The Home Kitchen Pathway, A Data-Driven Review of California’s MEHKO Program; Cook Alliance. Research Report — The COOK Alliance Accessed February 25, 2026.
Public Health Department
MEHKOs in Los Angeles County
• 220 MEHKO Permits issued in LA County
• MEHKO permits in neighboring cities
> Los Angeles: 66
> Burbank: 4
> Arcadia: 2
> La Canada Flintridge: 1
> Montrose: 1
> South Pasadena: 1
Public Health Department
Role of Pasadena Public Health
• If approved, Public Health Department would:
> Develop guidance materials for potential operators
> Review Health Permit applications
> Perform initial and annual public health inspections
> Conduct public health complaint investigations
> Provide food safety education and technical
assistance
> Support transition of unpermitted operations to
regulatory oversight
Public Health Department
Role of Pasadena Public Health
• Pathway for MEHKO Permitting
> Operators submit Food Safety Certificate, Health Permit application, Proposed Menu, and Standard Operating
Procedures
> Operators pay Health Permit application Fee
> PPHD conducts initial inspection
> PPHD issues Health Permit upon successful inspection
> After successfully completing an annual inspection,
PPHD issues Health Permit renewal
Public Health Department
Role of Pasadena Public Health
• Staff Allocation
> Assign dedicated personnel for application review,
inspections, data collection, and enforcement activities • Training
> Ensure staff are trained in MEHKO regulations and
inspection procedures
• Database Management
> Adapt permitting system to track applications, permits issued, inspection results, and compliance status
Public Health Department
Other Enforcement
• Other City departments would respond to
relevant complaints
> Noise concerns and other municipal regulations
> Litter and Fats/Oils/Grease disposal
> Sidewalk vending enforcement
> Traffic and parking enforcement
> Business license
Public Health Department
Cost of Additional City Services
• Public Health
> Fees would be designed to recover permitting costs but unrecoverable costs are expected for unpermitted
operations enforcement and data collection
> Year 1 costs: $150K/Year 2 costs: $75K
• Other city departments
> Related costs are unknown at this time
> Any potential increases in service costs will be reflected in the annual budget process
Public Health Department
MEHKO Pilot Program
• Prepare ordinance to establish a two-year pilot program authorizing MEHKOs in the City of Pasadena
> Align with state law
Max 30 meals per day and 90 meals per week
Max annual gross sales cap of $ 110,442, which will
be adjusted annually by CPI
> Collect data necessary for City Council to assess if
continuation of the program after two years is desired
• Prepare Public Health Department budget amendment to
support cost of launching pilot program
Public Health Department
Recommendations
• Find that the proposed project is statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 15061(b)(3) (common
sense exemption) and categorically exempt pursuant to
Section 15301 (Class 1, Existing Facilities), and there are no features that distinguish the project from others in the exempt classes, and therefore, there are no unusual
circumstances, and no other exception to the exemption
applies; and
Public Health Department
Recommendations
• Direct the City Attorney to prepare an ordinance within 60 days amending Title 8 of the Pasadena Municipal Code to establish a pilot Microenterprise Home Kitchen Operation (MEHKO) Program for two years.