[14:16] Good afternoon. I would like to call to order the special city council meeting. [14:20] The time is now 4:36. City clerk Dwarte, will you please call [14:24] the role? Yes, mayor. Council member Romea, present. Council member Ortiz, [14:29] present. Council member Thrujillo is excused. Mayor Proton Peton, present. [14:35] And Mayor Sosa, present. Thank you. And uh I take we we have no um speakers [14:43] public comment. We do not mayor and no written public comment either. Thank [14:48] you. [14:55] Is there a motion and a second to close public comment? So move. Second. Sorted [14:59] by the mayor. We'll move on to uh this is a [15:03] special meeting. Uh we'll move on to administrative reports. One item on the [15:09] agenda, uh, consideration of an interim urgency [15:13] ordinance establishing a 45day moratorium on singlepric overstock [15:18] discount stores within city limits. that the city council adopt interim urgency [15:23] ordinance number 25-1528 pursuant to government code [15:28] section 65858 establishing a 45-day moratorum on [15:33] the approval commencement establishment relocation or expansion of singlepric [15:39] overstock discount stores within city limits. City manager Bradley is your [15:44] staff report. Yes, mayor. If it pleases the council, I'll turn it over to our [15:47] community development director, Irma Wetron. Thank you, city manager Bradley, [15:53] mayor and council members. Um we have one item tonight which is a [15:56] consideration of an interim ordinance uh regarding a discount stores and [16:01] tonight's presentation will be provided by our contract planner Laurel Rhyr and [16:06] we have a brief PowerPoint presentation that we'll walk you through that aligns [16:10] with the content of the staff report provided to you. Thank you. [16:15] Thank you. Good evening. [16:28] Uh, good evening council members. Uh, like Irma said, my name is Laurel Rhymer [16:32] and I will be presenting um the urgency ordinance before [16:37] you. So, for some background, um, pursuant to government code section [16:43] 65858, a city may enact an urgency ordinance for the protection of public [16:47] health, safety, and welfare by pro prohibiting any uses that the city is [16:52] intending to study within a reasonable period of time. Urgency ordinances [16:57] require a 445ths vote from the city council, and if approved, they go into [17:03] effect immediately and will be in effect for 45 days. An urgency ordinance can be [17:09] extended for an additional 10 months and 15 days, which would then be a a total [17:13] of one year of an urgency ordinance. Uh so long as there is a public notice, a [17:18] written uh a public notice, a public hearing, and a written report that [17:23] describes the measures taken to alleviate the condition conditions that [17:26] led to the adoption of the urgency ordinance. [17:30] The Downey Municipal Code has a definition for retail sales new and [17:35] retail sales youth used, but it does not provide any details within uh those two [17:41] broad categories. Under the current code, [17:44] singlepric overstock slash slashdisount stores that are selling new merchandise [17:50] would be included under the retail sales new category and would be be considered [17:55] a permitted use in the C1, C2, C3, CM, and MU zones. [18:02] However, singlepric overstock discount stores often negatively impact an area's [18:08] economic vibrancy because these stores typically do not uh offer any [18:13] improvements or minimal improvements to the spaces that they occupy. They [18:17] frequently attract other bargain retail users and they discourage higher quality [18:22] retail and commercial uses from locating [18:28] nearby. For the purposes of the ordinance before you tonight, a [18:32] singlepric overstock/disount store is defined as a retail store that sells [18:37] individual items generally obtained through outlet, closeout, discounted, [18:42] liquidation, or overstock. Uh they are primarily at a discounted price when the [18:48] low or very low price range, so $10 or less. [18:52] A singlepric overstock/disount store generally dedicates less than 15% of its [18:58] shelf space to fresh or frozen foods or produce. They often uh sell an assort [19:05] and they often sell an assortment of physical goods, products or merchandise [19:09] directly to the consumer. [19:16] Singlepric/overstock discount stores may have a profound impact on the public [19:21] health, safety, general welfare, and quality of life of the surrounding [19:25] communities. As previously stated, they often negatively impact an area's [19:30] economic vibrancy because the uses offer minimum or no improvements to the spaces [19:36] in which they occupy. They often encourage other bargain retailers from [19:40] locating nearby and they discourage higher quality retail uses from locating [19:46] nearby. Uh spods typically have lower quality items that end up costing more [19:52] on a per ounce uh basis. They offer limited access to fresh foods. Uh they [19:59] also contribute to local resident fear of safety by being a source of trash, [20:04] loitering, graffiti, uh and theft because they frequently don't have very [20:08] good security plans. The Downey Municipal Code does [20:12] not currently define uh SPODS as a permitted as a use at all. So uh it's [20:19] not permitted by right or conditional use. And there are currently no specific [20:23] regulations to address some of the concerns uh that staff have related to [20:28] the public health uh safety or welfare threats posed by [20:33] SPODS. There's a concern about the proliferation of SPODS that or that [20:38] there will be a proliferation of SPODS without further regulations um and that [20:43] this could have a negative impact on the city. Should SPODS continue to be [20:48] unregulated, such uses or such uh developments could constitute a current [20:54] and immediate threat to the public health, safety, and welfare. And that [20:58] such developments could start an irrevocable downward shift in the [21:02] economic and aesthetic value of the city's commercial [21:08] areas. Currently, there are 26 stores or discount stores within the city. And of [21:15] those, eight of them would qualify under the definition that we we said tonight [21:20] of SPODS and they're listed here. The other uh 16 stores that aren't listed, [21:26] that doesn't make sense. 18 stores that are listed um would be stores like Ross, [21:32] Burlington Coat Factory, etc. But those do not fit the definition of a [21:36] singlepric overstock/discount retail store. So, we are only talking about the [21:41] very low um and low cost stores such as the ones you see here. [21:50] staff believes that the continued approval or of entitlements, building [21:56] permits, and other approvals for new SPODS or the expansion of existing SPODS [22:02] without further study and further regulations could pose a current and [22:06] immediate threat to public health, safety, and general welfare. Further [22:11] regulations are needed to protect the neighborhoods from negative secondary [22:16] effects caused by the concentration or clustering of these [22:19] uses. For these reasons, staff is requesting a 45day moratorum on the [22:25] approval, commencement, establishment, modification, relocation, or expansion [22:30] of singlepric overstock/disount stores. This will allow staff time to research [22:36] appropriate regulations. Um, this will This moratorium would explicitly [22:42] prohibit the issuance of any zoning, land use, discretionary permit, building [22:46] permit, environmental approval, business license, or any other entitlement uh [22:51] involving businesses that are defined as spods. During this moratorum, staff [22:57] intends to study the issues associated with SPODS to determine how they should [23:02] be defined, how they should be regulated, and how they should be [23:06] permitted, and also which locations would be most appropriate for them to be [23:09] located in. Additionally, staff will review the development standards for [23:14] other surrounding communities to see if any of those make sense for Downey. [23:22] staff has reviewed the proposed urgency ordinance for compliance with the [23:26] California Environmental Quality Act and determined that the ordinance is covered [23:29] by SQA guideline section 15061B3 which is the common sense [23:35] exemption and that specifically exempts activities that can be seen with [23:40] certainty to have no possibility for causing a significant effect on the [23:44] environment. In this case, this ordinance would preclude the approval, [23:49] commencement, establishment, relocation, or expansion of certain land uses within [23:53] the city, but it would not be um an a development project. [24:00] Therefore, staff recommends that the city council adopt urgency interim [24:05] urgency ordinance number 25-1528 pursuant to government code [24:10] section 65858 establishing a 45-day moratorum on [24:15] the approval, commencement, establishment, relocation, or expansion [24:20] of singlepric overstock/disount stores within city limits. Um, that concludes [24:25] my presentation. I'm available for any questions. [24:29] Thank you, Laura, for that detailed report. Uh, do any at this time do any [24:33] council members have any questions or comments? No questions, mayor. Just uh [24:37] comment. And again, I think this is important for our community, for our [24:42] city. Um it is vital that we protect um the the the aesthetics and of course um [24:50] looking at uh making sure that we protect um [24:56] from developments that are not in line with what this city and in the vision [25:02] that we have. Um so I thank you for the report. Um appreciate it. [25:09] My comment um on this is that I can concur with a lot of you what you said [25:16] and residents that also have reported a lot of the loitering most of the [25:19] loitering is around these discount stores. Um there may be a grocery store [25:24] next door but they're not there. They're at these discount stores for one reason [25:28] or another. And I think namely like you have mentioned they don't provide the [25:31] security. they don't have somebody out there monitoring it or telling them that [25:36] they can't stay and then it is a blight to the neighborhood. It really is and um [25:40] we have a number of them already. I think some of the uh city feedback with [25:44] residents is you know we we are getting so many like this. I think a [25:48] freestanding area might be different than in an area that's attracting a [25:52] different type of consumer. Correct. All right. Thank you for that. I I just do [25:56] have one question. you said the difference between the other 20 stores [26:01] uh and with those eight what's the main difference between those two again? [26:05] Sure. So one of the specific we go to the actual definition and and during the [26:12] moratorum should it be adopted we will come up with a solid definition but for [26:16] the purpose of the the urgency ordinance um the definition would be that they are [26:23] obtained through the the outlet close out discounted liquidation or overstock. [26:28] So stores like Ross or Burlington Coat Factory, um Nordstrom Rack, a lot of [26:34] those fit that definition. So we went even further. Um and it's that very low [26:41] or low discount price. So the $10 or less, a lot of the stores like a Ross or [26:47] or you know TJ Maxx wouldn't qualify in that uh sense. Um similarly, they don't [26:54] offer foods food goods. so that they they would meet that 15% or less of the [27:00] shelf space. So, it's more of the variety stores um that are very [27:04] discounted. That's that's what we're looking at. Okay, great. Thank you. [27:08] There are also some um thrift stores that were on the list of the 26, but [27:14] again, those because it's that very low discount price, they don't qualify. The [27:19] thrift stores don't uh fall into that one. Correct. Correct. No, and I echo [27:24] the same sentiments as my colleagues. I I think we have a a goal and a vision [27:29] and I think that we want in our community and I think this is a a a good [27:34] direction of what we want. So, thank you. All right. I make a motion, mayor. [27:41] I make a motion to um begin this uh moratorum um the the urgency [27:49] ordinance and establish a 45day moratorum uh on the approval [27:54] commencement and establishment of these uh single price overstock discount in [28:00] our city. Okay, we got a motion in a second. Please vote. [28:10] The motion is approved with council member Thrujillo [28:14] absent. Thank you, Laura. Okay. Uh, this city council meeting is [28:20] now adjourned. The time is now 4:50.