Staff Report - fee.tobaccoretailers.171030 Final
PREPARED BY: ROBERT SCHULTZ
Town Attorney
Reviewed by: Town Manager, Assistant Town Manager, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 11/07/2017
ITEM NO: 16
DATE: October 30, 2017
TO: MAYOR AND TOWN COUNCIL
FROM: ROBERT SCHULTZ, TOWN ATTORNEY
SUBJECT: ADOPT A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS
GATOS AMENDING THE TOWN OF LOS GATOS COMPREHENSIVE FEE
SCHEDULE TO INCLUDE FEES, RATES, AND CHARGES FOR A TOBACCO
RETAIL LICENSE
RECOMMENDATION:
1. Open and hold the public hearing.
2. Close the public hearing.
3. Adopt Resolution approving amendments to the Los Gatos Comprehensive Fee Schedule
to include fees, rates and charges for a Tobacco Retail License. (Attachment 1)
BACKGROUND:
The Town Council recognizes the dangers of smoking and secondary smoke and in 2016
adopted amendments to the Town’s Smoking Regulations to prohibit smoking in the Town's
public spaces, including outdoor dining areas, entryways, public events, recreation areas, and
service areas and multi-family residential units.
In May 2017, the Town Council adopted an ordinance requiring all retail businesses offering
tobacco products, tobacco paraphernalia, and/or electronic smoking devices for sale to the
public obtain an annual license. Additionally, the ordinance includes regulations crafted in a
manner to reduce underage access to tobacco products and establishes performance
standards and inspections for these business that are consistent with those for retail
establishments engaging in the sale of alcoholic beverages for off-site consumption.
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SUBJECT: RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
AMENDING THE TOWN OF LOS GATOS COMPREHENSIVE FEE SCHDULE TO
INCLUDE FEES, RATES, AND CHARGES FOR TOBACCO RETAILERS
OCTOBER 30, 2017
DISCUSSION:
Since the Town’s Police Department does not have the staffing to handle regular compliance
checks with all tobacco vendors in the Town, the Town Council approved an Agreement with
the County of Santa Clara in May 2017 that would allow the County of Santa Clara to administer
the ordinance and collect the annual permit fees.
The attached Resolution requires a fee to apply for and obtain or renew a Tobacco Retailer’s
Permit. The fee will be established by Resolution of the Board of Supervisors. The fee shall be
calculated so as to recover no more than the total cost of permit administration and
enforcement, including but not limited to receiving, reviewing and processing the application
and the information contained therein, issuing the permit, administering the permit program,
retailer education, retailer inspection and compliance checks, documentation of violations, and
sanction and prosecution of violators.
Once adopted by Council, fees are effective after a protest period of 60 days. As noted in the
attached Resolution (Attachment 1), the recommended new fee would be effective January 8,
2018.
CONCLUSION:
It is recommended that Town Council approve the recommended amendment to the
Comprehensive Fee Schedule to include fees for a tobacco retail license.
COORDINATION:
The Town Attorney’s office has coordinated the Resolution with the Finance Department.
FISCAL IMPACT:
The Town’s financial policies require that fees be maintained to provide for the recovery of
costs associated with Town services. The proposed fee amendment allows for a fee to be
collected by the County so there will be no fiscal impact to the Town.
Attachment:
1. Resolution