CITY OF POMONA
COUNCIL REPORT
October 19, 2026
To: Honorable Mayor and Members of the City Council
From: Anita D. Scott, City Manager
Submitted By: Betty Donavanik, Development Services Department SUBJECT: DISCUSSION AND DIRECTION ON PROPOSED TOBACCO RETAIL LICENSE REGULATIONS RECOMMENDATION:
It is recommended that the City Council take the following actions:
Receive a staff presentation on proposed tobacco retail license regulations; and Provide feedback and direction for a tobacco retail license ordinance.
EXECUTIVE SUMMARY:
The City of Pomona currently has 112 retailers that sell tobacco and tobacco-related products. The legal status of these businesses varies, and some may be operating without the required approvals or in violation of applicable regulations. Existing retailers may be subject to legal nonconforming status, depending on their circumstances. Currently, the primary restriction specific to flavored tobacco products is the statewide ban. A survey conducted by DayOne in Pomona reveals that residents view tobacco products being sold in the community as a threat to youth and would be willing to support local laws that reduce youth smoking and vaping. It is also the City Council’s goal to adopt a Tobacco Retail License (TRL) ordinance aimed at strengthening protections for minors, reducing overall number of tobacco retailers by 50%. There are several complex provisions in which staff is requesting Council direction to be included in the proposed TRL ordinance. Staff will utilize Council’s direction to prepare the TRL ordinance for the Council’s consideration at the November 16, 2026, City Council meeting.
SB1439/GOVERNMENT CODE §84308 APPLICABILITY:
☒ When this box is checked, it indicates the agenda item is subject to the Levine Act SB1439 requirements. Councilmembers are reminded to check their campaign contributions and determine whether they have received a campaign contribution of $500 or more that would require disclosure and/or recusal from discussing or acting on this agenda item. Campaign contributions of $500 or more made 1) by any person or entity who is identified in the agenda report as the applicant or proposer or 2) on behalf of the applicant or participant, including a parent, subsidiary or otherwise related business entity, or 3) by any person who has a financial interest in the agenda item requires a councilmember to comply with SB1439.
FISCAL IMPACT:
Current tobacco-related enforcement is being conducted by Code Compliance Inspectors during regular working hours under the general fund. However, to effectively enforce the proposed tobacco regulations, staff recommends one (1) Code Compliance Inspector at the overtime rate and one (1) Technical Specialist II at a regular rate to dedicate 10 hours per week for education and enforcement. The total costs would be approximately $57,000 annually in overtime for 520 hours (10 hours x 52 weeks) of enforcement.
Should the City Council proceed with the tobacco retail license ordinance, staff will return with a request to amend the FY 2026-27 general fund operating budget by increasing appropriation in the amount of $28,500 to cover the cost of education and enforcement for the remainder of the fiscal year.
The Police Department’s tobacco enforcement is covered through an existing State tobacco grant. The tobacco grant is valid through end of FY 2027-28 with a current remaining balance of $147,128.71 in account FD215 – CC2090 – Overtime Police Sworn – GR58802 and FD215 – CC2090 – Overtime-Special (Reimb) – GR58802.
BACKGROUND:
Pomona Zoning Code Pre-2024
The Pomona Zoning Code in place prior to 2024 defined “retail tobacco stores” as a retail store where at least 20% of the annual gross receipts are from the sale of tobacco products and smoking accessories. Retail tobacco stores were not allowed to be located within 1,500 feet from other tobacco stores, residential areas, public or private schools, and parks. Retail tobacco stores required the approval of a conditional use permit (approved by the Planning Commission) in order to operate. However, if a retail store’s tobacco sales was under the 20% threshold then they were not considered a “retail tobacco store” and thus did not require a conditional use permit.
Pomona Zoning & Development Code 2024
In 2024, the City Council adopted the Pomona Zoning & Development Code (PZDC) which was an overhaul of the Pomona Zoning Code. The PZDC defines “Smoke and Vape Shop” as any establishment engaged in the sale of tobacco or nicotine products and/or accessories intended for smoking, on or off site, including but not limited to pipes, vaporizing devices, hookah pipes, or other smoking paraphernalia. Does not include medical or recreational cannabis or private smoker’s lounge meeting the standards of the California Labor Code. Smoke and Vape Shops require the approval of a conditional use permit (CUP) (approved by the Planning Commission) and can only operate with a CUP in the CX3, CX4, CX5, and IX1 zoning districts. The PZDC eliminated the 20% tobacco sales threshold. Therefore, the sale of any tobacco or tobacco accessories requires a CUP in order to operate. Other than the CUP requirement for new smoke and vape shops, the City does not have any existing statutes in place to regulate tobacco retailers.
Statewide Flavored Tobacco Laws
August 28, 2020, Governor Newsom signed Senate Bill (SB) 793 into law and on November 8, 2022 – California voters upheld SB 793, prohibiting a tobacco retailer from selling most flavored tobacco products including flavored e-cigarettes and menthol cigarettes, as well as tobacco product flavor enhancers in retail locations.
October 7, 2023 – Governor Newsom signed into law AB 935, strengthening the enforcement of the flavored tobacco retail law and broadening the definition of a retail location.
September 22, 2024 – Governor Newsom signed SB 1230, which increases Stop Tobacco Access to Kids Enforcement (STAKE) Act penalties for retailers who sell to minors (under the age of 21) and strengthens the CA Dept. of Tax and Fee Administration’s (CDTFA) enforcement authority by allowing them to seize illegal flavored tobacco products found during inspections.
September 28, 2024 – Governor Newsom signed AB 3218, which requires the creation of the Unflavored Tobacco List by the California Attorney General to clearly define which products are legally allowed to be sold by retailers, wholesalers, distributors and delivery sellers in California. The law also updates existing definitions in code and increases penalties on retailers who possess or sell illegal flavored tobacco products.
Hemp, CBD Ban
On September 13, 2024, the California Department of Public Health (CDPH) issued a notice to adopt Emergency Regulations for Serving Size, Age, and Intoxicating Cannabinoids for Industrial Hemp DPH-24-005-E (“Emergency Regulations”) in order to protect Californians, especially youth, from the adverse health effects of dangerous hemp products. The California Office of Administrative Law approved the Emergency Regulations on September 23, 2024.
The Emergency Regulations focus on protecting youth and the public in general by identifying the serving size and package limits for total THC in final form food products intended for human consumption, setting age requirements, and prohibiting intoxicating cannabinoids in industrial hemp products.
The Emergency Regulations require that industrial hemp food, food additives, beverages, and dietary supplements intended for human consumption have no detectable THC per serving, cannot be sold to purchasers under age 21, and may have no more than five (5) servings per package. This law also applies to cannabidiol (CBD) products. Any products with detectable THC can only be sold at a licensed cannabis retailer.
Current Existing Retailers that Sell Tobacco
Currently, there are a total of 112 retailers that sell tobacco in the City. The legal status of these businesses varies, and some may be operating without the required approvals or in violation of applicable regulations. Existing retailers may be subject to legal nonconforming status, depending on their circumstances. Currently, the primary restriction specific to flavored tobacco products is the statewide ban. The current land use regulation only allows the sale of tobacco under the 20% threshold, prior to the adoption of the PZDC in 2024. Therefore, none of the retailers that currently sell tobacco are operating under a CUP. These retailers include smoke shops, convenience stores, gas stations, supermarkets, donut shops, liquor stores, and general retail stores. Seven (7) retailers are smoke shops that are technically nonconforming as they are selling tobacco over the 20% gross receipts threshold. Of the 112 retailers that sell tobacco, 62 also have licenses with the CA Department of Alcoholic Beverage Control (ABC) to sell alcohol for offsite consumption.
Enforcement Efforts
In December of 2024, the City mailed notices to all retailers selling tobacco directing them to immediately cease the sales of flavored tobacco products and hemp and CBD products with detectable amounts of THC pursuant to the CA Department of Public Health Emergency Regulations explained above. The letter also informed the retailers that the City’s Code Compliance Division would commence inspections for compliance starting January 30, 2025.
Code Compliance visited 120 tobacco retailers (Note: at the time of the inspections, retailers such as CVS, Rite Aid, and Walgreens were still in operation; today’s current retailer count is 112) to provide education and conducted inspections to ensure compliance and administered enforcement measures. During the inspections, 40 retailers did not comply with State and LA County regulations, totaling 147 violations, including the following:
Selling cigarillos in packs less than 20
Flavored tobacco on the premises
Unlawful business practices, sales of CBD or other cannabis products.
Business license not posted
No business license
Selling and distributing Nitrous Oxide (NOS) for recreational use During follow-up inspections, a total of 53 administrative citations were issued totaling $17,952. A total of $20,166 in citations (including administrative fees and late charges) have been paid to the City.
Code Compliance also conducted inspections at two (2) retailers in conjunction with the CA Department of Tax and Fee Administration (CDTFA) in which the CDTFA seized illegal products. Currently, only the CDTFA or the Police Department has the authority to seize products. The proposed tobacco retail license ordinance would authorize the Police Department and/or Code Compliance seizure rights and issuance of penalties.
Pomona Smoke and Vape – 636 E. Arrow Hwy
Flavored tobacco: 523 units
Value: $10,903.00
Flavor enhancers: 19 units
Cannabis packaging: 622 units
Puff & Glass Gift Shop – 1648 Indian Hill Blvd.
Menthol Cigarettes: 117 packs
Flavored tobacco: 2,381 units
Flavor enhancers: 272 units
Value: $42,639.00
Cannabis based products (THCA flower, drinks, liquids, synthetics cannabis vapes, THC pens): 664 units Value: $11,412.00
Voluntary Relinquishment of 127 cannisters of flavored Nitrous Oxide to the Pomona Police Department.
On September 10, 2026, a Business License Revocation Hearing was conducted to proceed with the formal revocation of business license #00212276 for Puff and Glass. Puff and Glass was the most egregious violator of all State statutes and County codes relative to the illegal sales of flavored tobacco, kratom, Nitrous Oxide, illegal cannabis products and synthetic intoxicating drinks. The City is awaiting the Hearing Officer’s verdict on the revocation.
Code Compliance continues to inspect retailers for compliance. To date, over 250 inspections have been conducted.
DISCUSSION:
Proposed Regulations
All 112 retailers that sell tobacco in the City are operating as legal nonconforming and are not currently regulated. Given the failed inspections of the majority of the retailers, it is critical that the City adopt a Tobacco Retail License (TRL) ordinance to limit youth access and protect the health and safety of the community. Staff collaborated with DayOne, LA County Department of Public Health’s Tobacco Control and Prevention Program, and the Public Health Law Center at Mitchell Hamline School of Law on the development of a proposed (TRL) ordinance. There are several complex provisions in which staff is requesting Council direction to be included in the proposed TRL ordinance. The proposed regulations for City Council’s consideration and direction include the following.
Density and Proposed Cap and Attrition – Request Council Direction Proximity to Sensitive Uses – Request Council Direction Proximity to Other Tobacco Retailers – Request Council Direction Amortization of Nonconforming Retailers – Request Council Direction Complete Tobacco Sales Ban – Request Council Direction
Tobacco Retail License
Operational Standards
Enforcement and Penalties
Density and Proposed Cap – Request Council Direction
Public health data concludes that higher neighborhood retailer density correlates with increased youth initiation, higher consumption, and persistent health disparities. The U.S. Surgeon General and others have found that proximity to tobacco retail outlets and higher retail density is associated with increased tobacco product consumption, decreased quit attempts among adults who smoke cigarettes and want to quit, and with higher youth initiation of tobacco product use.
Public health resources like Counter Tobacco and the Centers for Disease Control (Healthy People 2030) note that high density directly correlates with higher youth smoking rates and lower cessation success. Setting the benchmark around 1 retailer per 2,500 residents is considered an effective legal compromise as it restricts a massive over-concentration of stores without eliminating access for adult consumers.
The City’s 2026 population estimate is 154,680 (CA Dept. of Finance). With 112 retailers, the current actual density is 1 tobacco retailer per 1,381 residents. To achieve the target health standard of 1 retailer per 2,500 residents, the maximum number of retailers in the City should be 62. The City’s current count of 112 stores creates a surplus of 50 retailers (representing an over-concentration of 81%).
Proposed Cap
Staff recommends the maximum number of Tobacco Retailer Licenses issued by the City at any given time shall be limited to a ratio of one (1) license per every 2,500 residents of the City. The population of the City shall be determined by the most recent annual data published by the U.S. Census Bureau or the California Department of Finance (DOF). Based on the City’s current baseline population of 154,680 (DOF), the maximum number of permitted Tobacco Retailer Licenses should be capped at 62.
Attrition
Given that the current number of retailers is 112, staff recommends that the City Council declare a moratorium on the issuance of any new Tobacco Retailer Licenses and new conditional use permits. No new applications for a Tobacco Retailer License or conditional use permits for tobacco sales shall be accepted or approved by the City until the total number of active, valid licenses falls below the maximum cap of 62.
When an existing Tobacco Retailer License is revoked, surrendered, fails to renew within the lawful timeline, or otherwise becomes invalid, that license shall be permanently retired. The City shall not reissue or replace the retired license until the total number of active licenses falls below the maximum cap established.
To ensure the natural reduction of over-concentration through attrition, each Tobacco Retailer License is issued to a specific person or business entity for a specific location. No license may be assigned, sold, leased, or otherwise transferred to another person, business entity, or physical location.
Any change in the business entity operating under an existing license, including, but not limited to, a change in 50% or more of the ownership interest, a change in partnership, or a corporate merger—shall automatically terminate the validity of the existing license. The new owners or entities must apply for a new Tobacco Retailer License and a conditional use permit, which shall be subject to the moratorium rules.
Smoke shops
Currently, there are seven (7) smoke shops operating in the City that are nonconforming as their tobacco product sales exceeds the 20% of total gross receipts threshold. Staff recommends that the City require these retailers to either reduce their tobacco sales to the 20% gross receipts threshold within 90 days or close within 12 months.
Staff requests that City Council provide direction on the following:
Procced with establishing a cap based on 1 retailer per 2,500 residents = 62? Declare a moratorium on the issuance of any new Tobacco Retailer License until valid licenses falls below the maximum cap of 62? Attrition provisions - When an existing Tobacco Retailer License is revoked, surrendered, fails to renew within the lawful timeline, or otherwise becomes invalid, that license shall be permanently retired? Smoke shops – Reduce tobacco sales to the 20% gross receipts threshold within 90 days or close the business permanently within 12 months? Proximity to Sensitive Uses – Request Council Direction To protect public health and safety of the community and reduce youth access to tobacco, the City should implement buffers to sensitive uses. Sensitive uses include public/private schools and youth-oriented facilities (parks/recreation facilities, libraries, licensed daycare facilities). There are 107 cities in California that restrict the proximity of tobacco sales to youth-oriented areas. Table 1 below shows the number of existing retailers located 1,000 feet from sensitive uses. Proximity to a cannabis retailer is also included for information.
Table 1 – Retailers within 1,000’ of Sensitive Uses
Sensitive Uses
Schools
Youth-oriented Facilities
Daycare Facilities
Cannabis Retailers
# of retailers within 1,000’ of Sensitive Uses
48 28
25 6
Of the 112 retailers, 68 are located within 1,000’ of a sensitive use. Three (3) of the six (6) retailers located within 1,000’ of a cannabis retailer are also within 1,000’ of a sensitive use. Additionally, of the 112 retailers, 62 also sell alcohol for offsite consumption. All seven (7) smoke shops are also within 1,000’of a sensitive use.
Amortization and Discontinuance within Sensitive Uses
Given that there are 68 retailers located within 1,000’ of a sensitive use, staff recommends that the City Council require all legal nonconforming retailers discontinue and cease the sale of tobacco products within three (3) years maximum of the effective date of the ordinance. The City Council may elect to also include amortization of retailers within 1,000’ of cannabis retailers. Including those within 1,000’ of cannabis retailers would bring the total number of retailers subject to amortization to 71. The cities of Azusa and La Verne implemented amortization of legal nonconforming tobacco retailers near sensitive uses and required the retailers to discontinue the sale of tobacco products within three (3) years of the effective date of their respective ordinances.
Case law holds that local governments may phase out legal, nonconforming commercial uses without paying direct compensation, provided they supply a reasonable amortization period commensurate with the investment involved. Investments could include the business owner’s investment in the location, fixtures, inventory, remaining useful life or lease term. A tobacco retailer’s investment at a site is often modest (fixtures, inventory, lease) compared to a business that requires more permanent and costly improvements (i.e. a restaurant or manufacturing use); therefore, the City Council could implement an amortization period of 12-24 months with a one-year extension for a total of three (3) years. It is important to note that the business would only have to cease the sale of tobacco and would not have to cease business operations completely. For example, the 62 retailers that also sell alcohol would still be allowed to sell alcohol.
Should the City Council implement the amortization of retailers within the 1,000’ sensitive uses buffer, within three (3) years, there would be a reduction of 68 retailers which would result in 44 retailers operating in the City. This number could be significantly less if coupled with the retired licenses through attrition. The combined effort would place the number of retailers well below the cap of 62.
Staff requests that City Council provide direction on the following:
Require 1,000’ buffer from sensitive uses?
Which sensitive uses to include – schools, youth oriented facilities, daycares? Any other sensitive uses to add? Include 1,000’ buffer from cannabis retailers?
Attrition provisions - When an existing Tobacco Retailer License is revoked, surrendered, fails to renew within the lawful timeline, or otherwise becomes invalid, that license shall be permanently retired? Or, Require amortization of retailers within sensitive uses buffer? If so, amount of time given to discontinue sales – 12 months, 18 months, 24 months? Include extensions to be decided by a hearing officer, based on financial records showing additional time needed to recover investment – 1 year? Allow relocation to a conforming site with a conditional use permit? Additional Approaches (Not Recommended At This Time)
Proximity to Other Tobacco Retailers – Request Council Direction In addition to buffers from sensitive uses, some cities also require buffers from other tobacco retailers. Buffers range from 500’ to 1,000’. There are 103 retailers that are within 1,000’ of another tobacco retailer and 88 retailers within 500’ of another tobacco retailer. Should the City Council choose to implement proximity to other retailers, the result would be nine (9) retailers not within 1,000’ of another retailer and 24 retailers not within 500’ of another retailer. This would reduce the number of tobacco retailers to 24 (500’ buffer) or nine (9) (1,000’ buffer).
Aggressive Approach – Complete Tobacco Sales Ban – Request Council Direction The cities of Beverly Hills and Manhattan Beach implemented a complete ban on the sale of tobacco products in 2021. The tobacco sales ban ordinances were adopted in 2019 and required compliance by January 2021. UC San Francisco conducted a study on the impacts of the ban after five years. The study concluded that after implementing their sales bans in January 2021, both cities achieved virtually zero tobacco sales within months of implementation. Data showed that it did not lead to a decline in sales of non-tobacco products at retailers that formally sold them. This refutes one of the main arguments of tobacco industry opponents – that people who buy cigarettes along with other products like gasoline or milk will take all of their business elsewhere. Additionally, the study found that overall tobacco sales did not increase in neighboring jurisdictions. It is important to note that these are both small cities surrounded by other jurisdictions that do not have tobacco sales bans. However, this suggests that implementing tobacco sales bans in a larger city such as Pomona would be at least as successful.
The City Council could implement a ban on smoke shops only and still allow for tobacco sales within other retail stores.
Tobacco Retail License
Staff collaborated with DayOne, LA County Department of Public Health’s Tobacco Control and Prevention Program, and the Public Health Law Center at Mitchell Hamline School of Law on the development of the proposed Tobacco Retail License (TRL) ordinance. The TRL ordinance would require all retailers that sell tobacco products, including accessories (vapes, pipes, rolling papers, hookahs, etc.) obtain a TRL with the City and a Cigarette and Tobacco Products Retailer’s License from the California Department of Tax and Fee Administration (CDTFA).
Additionally, because all existing 112 retailers existed prior to requiring a conditional use permit and are legal nonconforming, the proposed TRL would require annual sales tax records to be submitted with their business license renewal documenting the 20% maximum annual gross receipts from the sale of tobacco products and smoking accessories.
The TRL ordinance will include, but not be limited to, the following regulations.
Definitions
General Requirements and Prohibitions
Prohibit the sales of flavored tobacco.
Prohibit smoking within 25 feet of the business.
Require minimum legal sales age of 21 years old.
Require products be sold in original manufacturer packaging.
Prohibition on coupons and discounts.
Require minimum package sizes for cigarettes and cigars.
Application Procedures and Fees
Prohibit transfer of license from one person or location to another.
Annual license renewal fee to cover cost of inspections.
Compliance Monitoring
City authority to conduct inspections in all areas of the premises at anytime during regular business hours without prior notice.
City shall inspect each tobacco retailer at least one time per 12 month period to ensure compliance.
City will conduct compliance checks that involve the participation of persons between the ages of 18 and 20 to enter licensed premises to attempt to purchase tobacco products (decoy program).
Violations and Penalties
Authorize Code Compliance and Police Department right to seize illegal and prohibited products (i.e. flavored tobacco, nonmanufactured packaging, hemp, THC, nitrous oxide, etc.).
Selling tobacco without a license considered a misdemeanor with a fine of $1,000 per violation per day plus fines below.
In accordance with Assembly Bill (AB) 3218:
1st Violation – Authorize Code Compliance and Police Department to issue civil penalty against the retailer equal to $50 per individual package of flavored tobacco product or tobacco product flavor enhancer seized. 2nd Violation – $50 per package plus tobacco license 30-day suspension. 3rd Violation – $50 per package plus license revocation.
Appeal of license suspension or revocation shall be filed within 10-days. Appeals will be heard before a hearing officer.
Retailer Education and Enforcement
Upon adoption of the TRL ordinance, staff will conduct a 30-day educational campaign informing retailers of the new regulations and compliance requirements. Enforcement will commence within 60 days of the effective date of the ordinance.
NEXT STEPS:
Staff is requesting City Council direction on the following:
Density and proposed cap;
Proximity to sensitive uses;
Attrition and Amortization.
In addition to the proposed TRL ordinance, staff will also present a ban on nitrous oxide (NOS) and kratom for City Council’s consideration. After receiving direction, staff will present a TRL ordinance for Council’s consideration for first reading at the November 16, 2026 City Council meeting.
COUNCIL PRIORITIES & GOALS:
This item supports the FY 2026-27 City Council Priority #1: Strengthening Quality of Life and Community Safety – Goal #C: Support safe and healthy environments for children and youth, Action Item #2: City Council adopt Tobacco Retailer License ordinance aimed at strengthening protections for minors, reducing overall number of tobacco retailers by 50%, banning flavored tobacco, and developing enforcement protocols.
CHILDREN, YOUTH, AND FAMILY IMPACT:
In 2024, DayOne conducted a survey among a sample of 78 tobacco retailers in Pomona on underage tobacco sales. The survey results found that 5% (1 in 20 stores) of Pomona tobacco retailers were willing to sell tobacco products to young adults. The adoption of a tobacco retail license ordinance with regulations, enforcement provisions, and penalties would protect the public health and safety of the community by greatly reducing youth access to tobacco products and hold retailers accountable for violations.
Prepared by:
Betty Donavanik
Development Services Director
Discussion on Tobacco Retail License Regulations