ROSEMEAD CITY COUNCIL
STAFF REPORT
CIVIC PRIDE
INCORPORATED 1959
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: RICHARD BELMUDEZ, INTERIM CITY MANAGER 2
DATE: JULY 28, 2026
SUBJECT: COMMERCIAL TASKFORCE SUBCOMMITTEE UPDATES
SUMMARY
At the City Council Meeting of May 26, 2026, Council Member Ly requested a report on the activities and discussions of the Commercial Taskforce (CTF) Subcommittee.
DISCUSSION
In 2016, the City Council authorized the formation of the CTF Subcommittee to assist with the attraction/retention of national and regional tenants in the community. Since then, the CTF Subcommittee have expanded their initiatives to attract and retain businesses that flourish in the community. These efforts include:
• Development of a Freeway Corridor Mixed-Use Overlay;
• Development of Live/Work Standards (Ordinance No. 1000); and • Streamlining Alcohol Sales of Restaurants (Ordinance No. 1009) The CTF Subcommittee also discussed the development of the former auto auction site located at 8001 Garvey Avenue. In an effort to further attract development, the CTF Subcommittee have met with staff and the City's Planning Consultant (Psomas) to discuss updates to the City's General Plan and Zoning Code. The following topics have been discussed:
• Creation of the Mixed-Use Overlay Zone (MUOZ) and Development Standards.
To ensure the City's Zoning Code is business friendly and easier to administer, the existing Residential/Commercial Mixed-Use Development Overlay (RC-MUDO) and Freeway Corridor Mixed-Use Overlay (FCMUO) zones are proposed to be consolidated into a single Mixed-Use Overlay with low density (MUOZ-LD) or high density (MUOZ-HD) designations. The proposed unified overlay zone would provide greater clarity for property AGENDA ITEM 6.A
City Council Meeting
July 28, 2026
owners, developers, and staff, while creating flexible development standards that would encourage investment and redevelopment throughout the City. • Expansion/Redesignation of MUOZ-HD or MUOZ-LD areas.
On May 12, 2026, based on a recommendation by the CTF Subcommittee, the City Council, approved a third amendment to the Professional Service Agreement with Psomas for the General Plan and Zoning Code Update, to incorporate additional parcels with a mixed-use overlay designation and the redesignation of up to 100 parcels designated for the MUOZ-LD to MUOZ-HD along Garvey Avenue, Rosemead Boulevard, and Valley Boulevard. The expanded scope of work would provide a seamless transition from the Garvey Avenue Specific Plan to Mixed-Use Overlay zones along Garvey Avenue and to increase overall housing capacity to not only comply with but to surpass the City's Regional Housing Needs Assessment (RHNA) obligations.
• Floor Area Land Use Mix for Mixed-Use Developments in the Garvey Avenue Specific Plan (GASP) and MUOZ.
The CTF Subcommittee provided input on adjusting the land use mix requirements in response to changing market conditions and economic trends. Staff is proposing a revision to the floor area land use mix requirements for mixed-use developments within the GASP and the MUOZ to align with the flexibility provided in the Freeway Corridor Mixed-Use Overlay.
• Reduced Off-Street Parking Standards for General Commercial Uses The CTF Subcommittee desired flexibility for the reuse and continuing occupancy of existing commercial spaces, reduction of development costs, and the promotion of a more walkable, economically vibrant commercial environment. Staff is proposing updates to the off-street parking standards for general commercial uses such retail, office, service (salons and barbershops), and restaurants under 2,500 square feet were proposed to be revised to be consistent with the off-street parking standards for the GASP. • Variable Height for Mixed-Use Developments in the MUOZ To encourage mixed-use developments, while protecting R-1 and R-2 zoned properties, the CTF Subcommittee recommended updates to the variable height requirements for mixed-use developments in the MUOZ to align with the requirements established in the Freeway Corridor Mixed-Use Overlay.
• Food Trucks on Private Property
The CTF Subcommittee discussed opportunities for food trucks to operate on private property in the evening to create nightlife activity along the major commercial corridors.
City Council Meeting
July 28, 2026
However, the CTF Subcommittee did not reach a consensus due to concerns about the potential impact on local small businesses.
• High Quality/Creative Signage
The CTF Subcommittee expressed interest in promoting visibility and encouraging a sense of place along the City's commercial corridors. Staff is proposing updates to development standards for signage. Some of the proposed changes include prohibiting cabinet, foam, laminate, vinyl, and reflective mirrored signage to encourage higher-quality signage. In addition, staff is also proposing to establish an administrative and discretionary signage review process to allow business owners to design a sign or display that requests relief from general sign development standards. These proposed updates are intended to enhance the visual quality of commercial corridors while providing flexibility for creative, well- designed signage.
• Security for Commercial Establishments
Following discussions with the CTF committee, and due to recent commercial break-ins and vandalism that affect our local business community, staff is proposing to update development standards to allow for exterior security measures on commercial property in a manner that does not impact.
• Permitting 100% Residential Developments on Major Corridors such as Valley Boulevard and Garvey Avenue
To help activate and revitalize underutilized properties, increase economic activity, and create a stronger customer base to support surrounding commercial businesses, the CTF Subcommittee recommended options to permit 100% residential developments along Garvey Avenue and other major corridors, with the exception of Valley Boulevard, in order to preserve the established Central Business District and commercial character. • Commercial Land Uses
The CTF Subcommittee was informed that staff was reviewing the City's commercial land uses and definitions to ensure new and emerging uses align with community needs.
In addition to these topics, there were a few instances when residential development standards were brought up for discussion. However, staff advised the CTF Subcommittee that issues unrelated to commercial or economic development fell outside the subcommittee's scope and should be considered by the City Council.
RECOMMENDATION
Staff recommends that the City Council receive and file this report.
City Council Meeting
July 28, 2026
FISCAL IMPACT
None
ENVIRONMENTAL REVIEW
None
STRATEGIC PLAN IMPACT
None
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Prepared by: Reviewed by:
X Richard Manhal
Annie Lao Richard Marshalian
Senior Planner Planning and Economic Development Manager Submitted by:
Lily Valenzuela
Director of Community Development