Title
Ordinance Revisions to Chapter 5.138 and 9.12 Article II of Sacramento City Code Relating to Tobacco Retailers
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FileID
File ID: 2025-00889
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Location
Location: Citywide
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Recommendation
Recommendation: 1) Review ordinance amendments to chapter 5.138 of the City Code relating to Tobacco Retailers; 2) review ordinance amendments to chapter 9.12 Article II of the City Code relating to Tobacco Retailers; and 3) pass a Motion forwarding the Ordinances to City Council for consideration.
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Contact
Contact: Shawn Bartosh, Code Enforcement Manager, (916) 808-8673, sbartosh@cityofsacramento.org; Peter Lemos, Code and Housing Enforcement Chief, (916) 808-8183, plemos@cityofsacramento.org; Community Development Department
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Presenter
Presenter: Shawn Bartosh, Code Enforcement Manager, (916) 808-8673, sbartosh@cityofsacramento.org, Community Development Department
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Attachments
Attachments:
1-Description/Analysis
2-Ordinance 5.138 (Redline)
3-Ordinance 5.138 (Clean)
4-Ordinance 9.12 Article II (Redline)
5-Ordinance 9.12 Article II (Clean)
6-List of TRLs as of 2-16-26
7-Map of TRLs as of 2-16-26
8-Presentation - TRLB1
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Description/Analysis
IssueDetail
Issue Detail: On April 16, 2019, City Council adopted amendments to Title 5 of the City Code relating to tobacco retailing to strengthen regulations. The amendments, among many things, included a prohibition of flavored tobacco products and a distance requirement between tobacco retailers.
On August 27, 2019, the City Council amended Title 17 of the City Code to require a conditional use permit (CUP) from the Zoning Administrator (ZA) to retail tobacco for 1) all tobacco retailers with stores 15,000 square feet or less in size; and 2) tobacco retailers that are greater than 15,000 square feet in size if they devote more than 250 square feet of shelving space to tobacco products and associated tobacco products and paraphernalia.
The CUP process allows the decisionmaker to consider a variety of factors, including the public health, safety, convenience, or welfare of persons residing, working, visiting, or recreating in the surrounding neighborhood. Big stores that are larger than 15,000 square feet in size and devote less than 250 square feet to tobacco products are allowed by right but would be denied a tobacco retailer license if another retailer existed within 1,000 feet.
The intent of the amendments in Title 5 and 17 was to reduce tobacco retailer density by reducing or eliminating inequities in the location and distribution of tobacco retailers. Inadvertently, staff was then unable to issue a tobacco retailer license to businesses that submitted a planning application and initiated the development process before the amendments went into effect because of the proximity requirement.
On October 27, 2020, City Council adopted three amendments to Chapter 5.138. The first amendment exempts a location from the proximity requirement if a planning entitlement application was submitted prior to January 1, 2020. The second amendment exempts a location from the proximity requirement if the licensee devoted no more than five percent of total shelf space to tobacco product and sold fresh fruits and vegetables, dairy products, meat, fish or poultry, and breads and cereals (the “healthy food exemption”). The third amendment allows a retailer to retain a tobacco license in the event a retailer closes for up to year, provided the closure is for renovation or construction. Prior to this amendment, a tobacco retail license could be revoked if a retailer ceased operating for more than 60 days, regardless of the reason.
On January 14, 2025, during a presentation to City Council to provide an update on the status of the tobacco ordinance exemptions, information was provided that in the period between December 1, 2020, and October 17, 2024, there was an increase of 71 new permits. Of these, 27 utilized the healthy food exemption to operate within the proximity of another permitted location and most were not located in areas without fresh food. City Council requested staff to return to the Law and Legislation Committee to remove the fresh food exemption for locations under 15,000 square feet, to make sure the permit fees cover the cost of the program, and to provide the number of locations in the unincorporated areas of Sacramento with their proximity to the City.
Following the passage of SB 1230 and AB 3218, several sections of the Business and Professions, Health and Safety, and Revenue and Taxation Codes have been amended. To ensure local compliance and clarity regarding retail tobacco licensing, corresponding amendments are now required for Title 5 and Title 9 of Sacramento Municipal Code.
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PolicyConsiderations
Policy Considerations: The City of Sacramento’s 2040 General Plan encourages a healthy lifestyle for Sacramento residents to improve overall public health. Policy EJ-2.16 states that “The City should discourage the establishment of new drive-through restaurants, alcohol permits for off-site sales, and tobacco sales points near food deserts, schools, and pedestrian priority areas.” And EJ-A.7 states the City shall incorporate zoning controls that prohibit tobacco sales points near schools and other areas.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations: The subject of this report does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment and is not a project under the California Environmental Quality Act (CEQA). (Public Resources Code sections 21065 and 21080 and CEQA Guidelines section 15378(b)(4).) No CEQA review is required. CEQA Guidelines section 15060(c)(3).
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Sustainability
Sustainability: There are no sustainability considerations applicable to amending City Code relating to tobacco retailers.
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Commission/Committee Action
Commission/Committee Action: On January 14, 2025, staff presented to City Council a follow up on prior code modifications of Sections 5.138.040 and 5.138.060 of the Sacramento City Code relating to tobacco retailer licensing. The update was to assess the outcomes of the amended ordinance, which assisted the Council in determining whether the current program of tobacco retailer regulation is achieving the Council’s goals. The Council determined that some of the amendments did not have the desired outcome, and requested staff to review section 5.138, make suggested changes and bring the item to the Law and Legislation Committee to review the proposed amendments and forward it to the City Council.
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RationaleforRecommendation
Rationale for Recommendation: The proposed ordinance is consistent with General Plan policies to promote a safe and healthy lifestyle for residents of the City of Sacramento and with Council direction provided in January of 2025.
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FinancialConsiderations
Financial Considerations: Not applicable.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Not applicable.
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