City Council Agenda Report Meeting Date: April 19, 2016

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1 CITY<)1 CHICO City Council Agenda Report Meeting Date: April 1, TO. City Council FROM: Public Works Director - Engineering, Brendan Ottoboni, -01 RE: CONSIDERATION OF AN ORDINANCE AMENDING CHAPTER 1.0 OF THE CHICO MUNICIPAL CODE REGARDING PERMITS FOR THE USE OF CITY STREETS AND SIDEWALKS FOR SALES. REPORT IN BRIEF: Staff is proposing an ordinance to amend Chapter 1.0 of the Chico Municipal Code (CMC) toaddress public health and safety concerns related to street vendors within the central business district. The amendments would allow the City to appropriately respond to problem vendors on a case-by-case basis, without unnecessarily impacting all vendors' ability to conduct business in the downtown area. Recommendation: The Public Works Director - Engineering recommends the City Council introduce the following ordinance by reading of the title only: ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHICO AMENDING CHAPTER 1.0 OF THE CHICO MUNICIPAL CODE RELATING TO THE USE OFCITY STREETS AND SIDEWALKS FOR SALES OF FOOD, CUT FLOWERS, AND BEVERAGES FISCAL IMPACT: Limited. There is no direct financial impact to implement this ordinance change. Staff will have the same administrative activity to process permits. BACKGROUND: Chapter of the Chico Municipal Code (CMC) defines the central business district (downtown) as that portion of the city located between Big Chico Creek on the north, Little Chico Creek on the south, the centerline of Flume Street on the east and the centerline of Normal Street on the west. The sale of food, cut flowers, or beverages is allowed from a City street, sidewalk, or public parking lot within the downtown and other areas provided that a permit is obtained from the City for this purpose (CMC ). The CMC and permit (CMC 1.0.1) also regulates the hours in which these sales can occur as follows: :00 am - :0 am: City streets and sidewalks within the central business district; :00 pm - :0 am: Public parking lots within the central business district; and :00 am - :00 pm: Outside of the central business district. In addition, the City Council may grant a franchise to a nonprofit corporation providing a service of general benefit to the Chico community, the exclusive right to use a portion of the city's streets, sidewalks or other city property for the sale of food, cut flowers, and beverages (CMC 1.0.0). At its //1 meeting, the City Council was to consider revising the end time for sales in the central business district to :00 am to address health and safety issues caused by a limited number of vendors. Staff pulled the agenda item to take an approach that would allow for the City to address specific problem vendors without impacting all vendors in the central business district. This compromise CMC amendment provides City staff the ability to respond to health and safety concerns in relation to sales within the City's right-of-way on a case-bycase basis.

2 RE: Vend Peddle Hawk CMC Amendments Meeting: /1/ CC Page: of DISCUSSION: The downtown is an important and vital asset to the City of Chico, and it is a priority of the City to improve the quality of the downtown. To this end, multiple City departments are working together to address conditions that negatively impact the quality of the downtown experience. For over three years, the Police Department has been grappling with reducing the impact of patrons who interact with street vendors in the downtown area. The location and/or operations of some of these vendors has caused large number of individuals congesting sidewalks, spilling into roadways, and crossing the roadway against red traffic lights. In a few cases, these illegal roadway crossings have impacted the travel of police and other public safety vehicles. The ultimate goal is to allow the vendors and residents in the downtown to operate freely without causing conditions which are a danger to others. The CMC amendments would broaden the Public Works Director's ability to consider the totality of the permit conditions when evaluating the health and safety risk a permittee may pose. Instead of impacting all of the businesses to address the impacts of one vendor, these amendments allow the City to work with the offending vendor. The Downtown Chico Business Association and Chico Chamber of Commerce agree that the changes are welcome in allowing all vendors to continue to operate in the downtown, while minimizing the negative effects of the few (letters of support are attached as Exhibit B). Police Department staff believe this change will also assist their efforts to im prove safety in the downtown area. As the mutual interest is to provide a healthy, safe and fruitful downtown while ensuring compliance with the ordinance, staff will be diligent in working with each vendor to correct any issues with the least impactful approach. Reviewed By: Approved By: Brendar-Ottoboni, Public Works Director-Engineering Trt.L Mark Or e, City Manager DISTRIBUTION: City Clerk () Police Chief Katie Simmons, Chamber of Commerce Melanie Baxter, DCBA Current Vend Peddle Hawk Permitees () ATTACHMENTS: Exhibit A - Draft Ordinance Exhibit B - Letters of Support from DCBA and Chamber of Commerce

3 1 ORDINANCE NO. ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHICO AMENDING CHAPTER 1.0 OF THE CHICO MUNICIPAL CODE RELATING TO THE USE OF CITY STREETS AND SIDEWALKS FOR SALES OF FOOD, CUT FLOWERS, AND BEVERAGES WHEREAS, the Chapter 1.0 of the Chico Municipal Code (CMC) allows the sale or vending of food, cut flowers, and beverages on City of Chico (City) streets and sidewalks upon issuance of a permit; and WHEREAS, the issuance of certain vending permits has caused unsafe conditions, primarily in the Central Business District, for the public and public safety personnel; and WHEREAS, the City now desires to amend Chapter 1.0 of the CMC to address these safety concerns. NOW, THEREFORE, BE IT ORDAINED by the Council of the City of Chico: 1 Section 1. That Section ofthe Chico Municipal Code (CMC)is hereby 1 amended as follows: Permits authorizing sales of food, cut flowers, and beverages from city streets, sidewalks and parking lots. The director may, by a permit issued in the manner hereinafter provided by this chapter, authorize the sale of food, cut flowers, and beverages on and from all city streets 1 and/or that portion of the city sidewalks and parking lots within the central business district; except as follows: A. A permit issued by the director shall not authorize the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot within 00 feet of the exterior boundaries of any private or public school, save and except the campus of the California State University, Chico;

4 B. A permit issued by the director shall not authorize the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot within 0 feet of a city park or playground other than a park or playground within the central business district; and C. A permit issued by the director shall not authorize the sale of food, cut flowers, and beverages from a place and during the times subject to an exclusive franchise granted by ordinance adopted by the city council in the manner hereinafter provided by this chapter except to the extent expressly authorized by such franchise. A permit issued bv the director shall not authorize the sale of food. cut flowers, and beverages from a place and/or under conditions as to constitute a health and safety risk or impediment to the travel of pedestrians, bicyclists. public safety vehicles. and other motorists. 1 Section. That CMC Section is hereby amended as follows: Action on applications for permits - Denial of application. A. Grounds for Denial. The director shall deny an application for a permit authorizing the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot if and only if the director determines that the equipment to be used by the applicant to store, convey, prepare and serve such food, cut flowers, and beverages is 1 unsafe and would present a danger to the general public using the city streets: sidewalks or parking lots, or would unreasonably block or obstruct the city streets, sidewalks or parking lots. B. The director may also deny an application for a permit authorizing the sale of food. cut flowers. and beverages on and from a city street. sidewalk or parking Iot if the permittee has been served notice of repeated violations of anv permit

5 restrictions. operating in a manner constituting a health and safety risk. or operating in a manner as to impede the travel of pedestrians. bicyclists. public safety vehicles or other motorists. B.C. Notice of Denial. Where the director determines to deny an application for a permit authorizing the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot, the director shall promptly cause a notice of such determination to be served on the applicant. In such notice the director shall state the reasons for the determination not to approve the application and shall set forth the right of the applicant to appeal such determination to the city council in the manner provided for by Title of this code. Section. That CMC Section is hereby amended as follows: General conditions of permits - Comprehensive liability insurance. 1 As a condition precedent to the issuance of a permit authorizing the sale of food, cut 1 flowers, or beverages on and from a city street, sidewalk or parking lot, the permittee shall obtain and provide to the city a comprehensive general liability insurance policy from an insurance company licensed to do business in the state of California and having a financial rating in Best': Insurance Guide of at least "B," which provides insurance coverage for all liabilities including death, personal injury or property damage arising out of or in any way 1 relating to the sale of food, cut flowers, or beverages authorized pursuant to such permit ill the amount of at least $00,000.00, combined single limits. Such insurance shall bc in o form satisfactory to the city': risk manager, shall include an endorsement naming the city ond the city's officers, employees and agents as additional insureds under the coverage afforded, shall be primary with respect to any other insurance available to the city, shall contain a :everability of interest (cross liability) clause and shall require the insured to

6 1 provide to the city at least thirty days prior notice of cancellation. Proof of such insurance, also in a form satisfactory to the city's risk manager, shall be filed with the director prior to the issuance of the permit. As a condition precedent to the issuance of a permit authorizing the sale of food. cut flowers. and beverages on and from a city street. sidewalk or parking lot. the permittee shall obtain. provide proof of and, at all times following issuance of a permit, maintain iii full force and effect, automobile liability. commercial eeneral liability. or other insurance policies with the limits. deductibles. and conditions as required bv the citv' s administrative services director. Section. That CMC Section is hereby amended as follows: General conditions of permits - Operations restrictions. As a further condition on tile issuance of a permit authorizing the sale of food, cut flowers, 1 and beverages on and from a city street, sidewalk or parking lot, the permittee shall conduct 1 and carry out such sales only during the following times and in the following manner: A. Signs advertising the food, cut flowers, and beverages to be sold shall be securely affixed to the vehicle or other equipment used to store, convey, prepare and serve the food, cut flowers, and beverages and shall conform to any size requirements provided for in Title 1 of this code. 1 B. Noise produced by any audio equipment or other device used to attract attention to the place where the food, cut flowers, and beverages is being sold shall not exceed the noise limits prescribed by state laws and regulations or Title of this code. C. Equipment used to store, convey, prepare and serve the food, cut flowers, and beverages to be sold shall be maintained and operated in a safe and sanitary manner

7 1 and in a manner which does not unreasonably obstruct or interfere with the use of a city street, sidewalk or parking lot. D. The person authorized to sell food, cut flowers. and beverages pursuant to such permit shall not operate in such matter where operations result in the impediment of travel for pedestrians, bicyclists. public safety vehicles. and other motorists. D. L Between the hours of :00 a.m. to :0 a.m. of the following day, sales of food or beverages shall not occur within feet of any entrance to or exit from premises for which a license has been issued pursuant to Division of the Business and Professions Code authorizing the sale or distribution of alcoholic beverages. E.E. The person authorized to sell food, cut flowers, and beverages pursuant to such permit shall be responsible for maintaining that portion of any street, sidewalk or parking lot 1 within 0 feet of the place at which such person is engaged in such sales free of any 1 litter or refuse attributable to the sale of food, cut flowers, or beverages. F.fi. Sales of food, cut flowers, and beverages in a parking lot at the times authorized by this chapter shall only be made from a vehicle lawfully parked in such parking lot. Section. That CMC Section 1.0. is hereby amended as follows: 1.0. Special conditions of permits. 1 When acting on a permit authorizing the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot, the director may condition issuance of such permit on compliance with any special requirements which the director determines are necessary to ensure that the equipment used to store, convey, prepare, sell, or serve the food, cut flowers, and beverages is maintained and operated in a safe and sanitary manner and in a manner that does not unreasonably obstruct or interfere with the use of a city street,

8 1 sidewalk or parking lot. The director may also condition issuance of such permit on compliance with any special requirements which the director determines are necessary to ensure that the operation of such equipment used to store. convey, prepare. sell. or serve the food. cut flowers. and beverages does not contribute to activity which constitutes a health and safety risk. or impedes the travel of any pedestrian. bicyclists, public safety vehicle or other motorist. Section. That CMC Section is hereby amended as follows: Revocation or Suspension of permits. A. Grounds for Revocation or Suspension. The director may revoke or suspend a permit authorizing the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot if the director has found that: (i) the permittee is selling food, cut flowers, and beverages on and from a city street, sidewalk or 1 parking lot contrary to the terms and conditions of such permit or is in violation of 1 any other state or city law or regulation applicable thereto; (ii) the permittee has been served with a notice by the director advising the permittee of the violation and requiring correction thereof within a reasonable time as set forth therein; and (iii) the permittee has not corrected the violation within the time set forth in such notice. However, the director may revoke or suspend a permit without first serving the 1 permittee with notice of the violation in the manner provided herein in any case in which the permittee has been served with two other notices of violation by the director within the preceding -month period. B. Notice of Revocation or Suspension. Where the director determines to revoke or suspend a permit authorizing the sale of food, cut flowers, and beverages on and from a city street, sidewalk or parking lot, the director shall cause a notice of the

9 1 revocation or suspension to be served on the permittee. In such notice the director shall state the reasons for the determination to revoke or suspend the permit and shall set forth the right of the person to whom the permit was issued to appeal such determination to the city council in the manner provided for by Title of this code. Section. The City Council finds and determines that the enactment ofthis Ordinance is not a project under the California Environmental Quality Act (CEQA) (Cal Pub. Resource Code 00 et seq.) in that the activities described in the Ordinance are a continuing administrative activity of the City involving general policy and procedure making and organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment. (State CEQA Guidelines, Cal. Code of Regs., Title 1,.) Therefore, no environmental assessment is required or necessary. Section. Ifany part ofthis Ordinance, or its application to any individual, entity, or 1 circumstance, is held to be invalid, the remainder of the Ordinance, including the 1 application or provision to other persons or circumstances, shall be not be affected and shall continue in full force and effect. To this end, the provisions of this Ordinance are severable. Section. The City Clerk shall attest to the passage and adoption of this Ordinance, and shall cause same to be posted as required by law, and this Ordinance shall take effect thirty (0) calendar days after its adoption. I Ill lll 1 1 Ill 1

10 THE FOREGOING ORDINANCE was adopted by the City Council of the City of Chico at its meeting held on,, by the following vote. AYES: NOES: ABSENT: DISQUALIFIED: ABSTAIN: ATTEST: APPROVED AS TO FORM: Deborah R. Presson City Clerk Vincent C. Ewing, City Attorney* *Approved pursuant to The Charter of the City of Chico 0(E) 1 1 1

11 IZEr 0' April, DOWNTOWN CHICO Chico City Council BUSINESS ASSOCIATION City of Chico Main Street Chico, CA Dear Mayorand City Council Members, The DCBA's mission is to preserve and maintain a high quality of standards in Downtown Chico as well as to ensure an environment that is vital as a retail and cultural center. Our primary focus is to support business in a downtown that is attractive, clean, full of energy and safe. We are committed to this hours a day. February 1 our Board of Directors and staff adopted the Downtown Ambassador Program and the Clean- Up Brigade. At the same time we returned private security to the downtown to ensure a clean, safe and prosperous retail core. All of these efforts are implemented in partnership with the City. The Chico Police Department, AG Security and the Downtown Ambassadors are working in tandem and we feel this coordination, cooperation and shared surveillance is making a significant difference. In 1, we supported City staff recommendations to revise the Vend, Peddle, and Hawk permit by reducing operations by. hours, from am - :0am to am - :00am. This was to combat some of the problems with patrons lingering in the downtown, crossing the street in front of moving vehicles, and in several cases, blocking the travel of police cars. We appreciate that it was pulled from the agenda at that time to consider a more case-by-case approach to deal with just the problem vendors. Allowing vendors to continue to operate unless creating a health and or safety risk makes sense. We appreciate the addition of the suspension option that will allow for any corrective measures to be taken if compliance becomes an issue. The DCBA joins the Chico Police Department and the Chico Chamber of Commerce in encouraging the City Council to support this change. As some businesses remain open after midnight in the downtown area it is important there are still areas in which people can congregate and feel safe. Thank you for your support of this recommendation and the coordinated efforts being employed to keep our Downtown Clean and Safe. (**/ Melanie Bassett Executive Director Downtown Chico Business Association

12 ChicoChamber April, Chris Constantin Assistant City Manager City of Chico Main Street PO Box Chico, CA Dear Chris, Thank you for investing additional time and thought into the Vend Peddle Hawk permitting requirements and process. The approach contained within this revised ordinance is an improvement over changes proposed in the past. When we discussed this in 1, I was challenged by the elimination of operating hours for vendors who are not only in compliance but who provide needed and/or beneficial products in the late evening and early morning hours. Allowing vendors to continue unless creating a health and/or safety risk keeps the playing field level. I also appreciate the addition of the suspension option as this will allow for any corrective measures to be taken if compliance becornes an issue. Thank you for delaying this and for rethinking the "one size fits all" approach. Health and safety should be the standards by which all vendors are held accountable, without adding regulations that cut into their profits without reason. Kind regards, '/AA Katie Simmons President & CEO Chico Chamber of Commerce PO Box 00, Chico CA Tel: 0.1. x 0 katie@chicochamber.com