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HomeMy WebLinkAbout _ 4(d)--Adopt Ordinance No.2681 - RMC Title 6 Tobacco Retail License GI �" Y C� F � � �- ' � ° � � i � CITY OF REDDING �� REPORT TO THE CITY COUNCIL MEETING DATE: August 19, 2025 FROM: Sharlene Tipton, City Clerk ITEM NO. 4(d) ***APPROVED BY*** � �', rt �.. s.N,. �� , �' �, � `.���",� ,� � ��� , �� �.,: � ������m ..u� � � � Sh�r����;5`�c� , � ��"I�c-k 7/?'�J242� i�}�in,Ci an � �I1(242� stipton@cityofredding.org btippin@cityofredding.org SUBJECT: 4(d)--Adopt Ordinance No. 2681 Title 6 Tobacco Retail License Recomrrcendation Adopt Ordinance No. 2681, an ordinance of the City Council of the City of Redding, amending Redding Municipal Code (RMC) Title 6 (Business Taxes, Licenses and Regulations) by adding RMC Chapter 6.13 (Tobacco Retailing)relating to the regulation of tobacco retailers. Attachments ^Ordinance No. 2681 Title 6 Tobacco Retail License First reading done: 0'7115/2025 (4-1; C Audette-No) T For adoption on: 08/19/2025 CC agenda item#� 4(d) ORDINANCE NO. 2681 AN ORDINANCE OF THE CITY OF REDDING AMENDING TITLE 6 (BUSINESS TAXES, LICENSES AND REGULATIONS) OF THE REDDING MUNICIPAL CODE BY ADDING CHAPTER 6.13 (TOBACCO RETAILING) RELATING TO THE REGULATION OF TOBACCO RETAILERS WHEREAS: A. The City Council finds that a local licensing system for tobacco retailers is appropriate to ensure that retailers comply with tobacco control laws and business standards to protect the health, safety, and welfare of our residents; and B. Approximately 480,000 people die in the United States from smoking-related diseases and exposure to secondhand smoke every year, making tobacco use the nation's leading cause of preventable death;' and C. The World Health Organization (WHO) estimates that tobacco kills 8 million people and causes over 1.4 trillion dollars in economic damage each year;" and D. 5.6 million of today's Americans who are younger than 18 years of age are projected to die prematurely from a smoking-related illness;� and E. Tobacco use is the number one cause of preventable death in California"' and continues to be an urgent public health issue, as evidenced by the following: � 40,000 California adults die from their own smoking annually;'° � More than 25% of all adult cancer deaths in California are attributable to smoking;`' � Smoking costs California $13.29 billion in annual health care expenses, $3.58 billion in Medicaid costs caused by smoking, and $1035 billion in smoking-caused productivity losses;°' � Tobacco use can cause disease in nearly all of the organs of the body and is responsible for 87% of lung cancer deaths, 32% of coronary heart disease deaths, and 79% of all cases of chronic obstructive pulmonary disease in the United States;" and F. State law prohibits the sale ar furnishing of cigarettes, tobacco products and smoking paraphernalia to persons under twenty-one (21) years of age; and G. State law requires that tobacco retailers check the identification of tobacco purchasers who reasonably appear to be under 2] years of age (California Business & Professions Code § 22956) and provides procedures for using persons under 21 years of age to conduct onsite compliance checks of tobacco retailers(California Business&Professions Code§ 22952); and H. Despite the state's efforts to li�nit youth access to tobacco,youth are still able to access tobacco products, as evidenced by the following: • In California, research indicates over 67% of current and former adult smokers started by the age of 18 and almost 100% start by age 26;"'� � In California, from 2017 to 2018, approximately 13% of high school students reported using tobacco;`'��� • Unless smoking rates decline, an estimated 441,000 of all California youth who are alive today will die prematurely from smoking-related diseases;i • In 2017, 22.8% of high school students in California had tried cigarette smoking;'X • Between 2014 and 2018, electronic smoking device use among California youth increased from 14.1%to 46.2%;X and I. In 2023, 41.2% of surveyed Shasta County high school students reported having previously used tobacco, the highest level of tobacco use recorded in the state;X� and J. In 2023, 3 L6% of surveyed Shasta County high school students stated that they vape to relax or relieve stress and anxiety;"' and K. In 2023, 16.8% of surveyed Shasta County high school st�udents reported currently using tobacco products (including vapes, cigarettes, cigars, little cigars and cigarillos, smokeless tobacco, heated tobacco products, hookah and nicotine pouches);X' and L. In 2023, Shasta County had the highest level of current tobacco use by high school students in the State;X' and M. In 2023, 63.2%of currently vaping high school students reported that they believed it was easy to obtain vapes and cigarettes from stores;X' and N. In 2023, 32.6% of surveyed Shasta County st�udents reported buying vapes, pods, or e-liquid directly from a tobacco or smoke shop;X' and O. In 2023, 23.4% of surveyed Shasta County students under the age of 18 reported asking someone to buy them a vape,pod or e-liquid;�' and P. Both youth and adult tobacco users are more likely to also use cannabis;Xi'.X'i' and Q. State law requires that tobacco retailers post a conspicuous notice at each point of sale stating that selling tobacco products to anyone under 21 years of age is illegal (California Business & Professions Code § 22952, California Penal Code § 308); and R. The tobacco industry encourages youth and young adult tobacco initiation through predatory targeting,X'°as evidenced by the following: • Tobacco companies target young adults ages 18 to 24 to increase their frequency of tobaeco use and encourage their transition to habitual users;X° • Tobacco industry documents state that if"a man has never smoked by the age of 18, the odds are three-to-one he never will. By age 24, the odds are twenty-to-one;"X"' • The tobacco industry spends an estimated $496 million annually to market tobacco products to California residents;°�and S. State law prohibits the sale or display of cigarettes through a self-service display and prohibits public access to cigarettes without the assistance of a clerk(California Business &Professions Code § 22962); and T. State law prohibits the sale of"bidis" (a type of hand-rolled filterless cigarette) except at those businesses that prohibit the presence of minors (California Penal Code § 308.1); and U. State law prohibits the manufacture, distribution, or sale of cigarettes in packages of less than 20 and prohibits the manufacture, distribution, or sale of"roll-your-own" tobacco in packages containing less than six-tenths of an ounce of tobacco (California Penal Code § 308.3); and V. State law prohibits public school students from smoking or using tobacco products while on campus, while attending school-sponsored activities, or while under the supervision or control of school district employees (California Education Code § 48901(a)); and W. The City has a substantial interest in promoting compliance with federal, state, and local laws intended to regulate tobacco sales and use; in discouraging the illegal purchase of tobacco products by persons under 21 years of age; in promoting compliance with laws prohibiting sales of cigarettes and tobacco prod�ucts to persons under 21 years of age; and in protecting youth and underserved populations from the harms of tobacco use. California courts in Cohen v. Boa�d o��ervisors (Cal. 1985) 40 Cal.3d 277, Bravo Vendin v.�Cit�ofRancho Mira�e (4th Dist. 1993) 16 Ca1.App.4th 383, and Prime Gas v. Citv ofSacramento (3rd Dist. 2010) 184 Cal.App.4th 697,have affirmed the power of local jurisdictions to regulate business activity in order to discourage violations of 1aw. State law authorizes local tobacco retailer licensing laws to provide for the suspension or revocation of the local tobacco retailer license for any violation of a state tobacco control law (California Business &Professions Code § 22971.3); and X. Requiring tobacco retailers to obtain a tobacco retailer license will not unduly burden legitimate business activities of retailers who sell tobacco prod�ucts to adults but will,however, allow the City council to regulate the operation of lawful businesses to discourage violations of federal, state, and local tobacco control and youth tobacco access laws, as evidenced by the following: • Tobacco products are the number one seller in U.S. convenience stores, and in 2018, they generated an average of$523,084 in sales per store;"`'" � Systematic scientific reviews indicate that merchant compliance with youth tobacco sales laws reduces the rate of tobacco use among adolescents;X°"'.X'X � Studies found increased retailer compliance and reduced tobacco sales to youth following implementation and active enforc�ment of youth tobacco sales laws paired with penalties for violations;"X.X"' • A review of 41 California communities with strong tobacco retailer licensing ordinances �ound that youth sales rates declined in 40 of these communities after the ordinances were enacted, with an average 69% decrease in the youth sales rate.�"' 'U.S.Department of Health and Human Services. The Health Consequences of Smoking: 50 Years of Progress.A Repo�t of the Surgeon General.Aflanta,GA:U.S.Deparhnent of Health and Human Services,Centers for Disease Control and Prevention,National Center for Chronic Disease Prevention and Health Promotion,Office on Smoking and Health.2014.Available at: https://www.ncbi.nlm.nih.�ov/books/NBK179276/pdf/Bookshelf NBK179276.pdf. �'World Health Organization. WHO Report on the Global Tobacco Epidemic, 2019: Offer Help to Quit Tobacco Use. 2019.Available at: https:Ua�ps.who.int/iris/handle/10665/326043. `ll California�epaitn�ent o�f Public E�ealth, Califor�zia Tobacco Control Pragram. The#1 Prev�ntable Cause of Death.htt�s:/11ob�ecofreaea.comlhealthltabaeeo-is-tJ�e-nuin6er-aize-preventable-eause-of-deatlz. `"Centers for Disease Control aizd Prevention.�est Practices fo�Com�arehenszve Tobacco CoaitYol I'rogrTams - 2f�14.U.S. Dcpartment of Hcalth and I-�urnan Serviccs, Centers f�r I)isease Control and Prevcntion,National Ccnter for Chranic Disease Prevention and Hcaith Pr�mo�ion,Officc�n Sm�alcing and Hcai�h. 2�14.Available at: https://www,cc�c.��v/tobaccolstateandcommuni /t�est�iac�ices/pdfs120141cc�znprehensivc.pdf. °Lortet-Tieulent J,Uodin�;Sauer A,�ic�;el RL, et al. Statc-Level Canccr M�rtality A�ributat�lc to Cigarette Smoking in the United States.JANIA Int�ern Med. 2O16;176(12):1792-179�. doi: 10.1Q011jamaintcrnmed.2O16.6530. °�Campaign for Tobacco-Free Kids. �"ha Toll of Tabacea in California. htt�s:1/www.t�obaceofreekids.or�problenaltoll-us/ealifornia. °��Califarnia Tobacco Control�'rogram. California Tobacco Facts cznd Figures 2016.�acramento,CA: Californi� L�epartznent�of 1'ublie�Iealth. 2016. °`�'California Tobacco Cantrol Program. �ali foYnia Tobacco�acts and Figures 2019. Sacramenta, CA: C"alifornia Iaepart,ment�of I'ublic Health. 2019.Available�t�: https:l/www,cdph.ca.govJPrc�grams/CCDPHP/DCDICICTCBICI�PH%20Documcnt%20Libraiy/ResearchandEvalua ti�n/FactsandFigureslCATc�baccoFactsandFigures2O19.�df. "`Kann L,McManus T,Ha.rris WA,et aL�outh Risk B�havior Suzveillance United States,2017.M11�IT�R SurveillSunzm.2Q18,67(8}:I-1 l4 and Supplementary Tables 52-93. doi: 1C}.15585/mmwr.ss6708a1. X Lin C,Baiocchi M,Halpern-Felsher B.L�ngitudinal trsnds in e-cigarette�ievices useei by Californian yc�utl�,2014— 2018.Ac�dict Beh�zv. 2f)20;10�;106459. doi: 10.1016/j.addbeh.2020.106459. x'Cladfelt�er,I2.,Butra,L. M.,Bradfield,I3.,Russell,s.,Levine,B.,&Von Jaglinsky,A. (2023).Elnnual iesults report£�r the CaliFornia�outh'Tobaeco�urvey 2023. RTI Internalional. X"12ichter L,Pugh BS, Smit�h P�-I,I3all SA. The co-occurrence of nicotine and other substance use and addiction among youth and adults in the United States: �mplicafions for research,practice,and policy.Am J L)run Alcohol Abuse. 201'7;43(2):132-145. doi: 10.I080100952990.2016.11935ll. X"'Canway KI',Green VR,Kasza I{A,et al. C`a-occurrenee of Tabacea Product Use, Substanee Use,and Mental Health Problems Am«ng Y�uth: Pindings From Wave 1 (2013-2Q14)of the 1'opulation Assessment of Tobacco and Health(I'A'TH} Study.Addact��ehc��v.2CD18;76:208-217. doi: 10.1016/j.addbeh.2017.08.00g. �'°United States v.Philip Morris USA,Inc.449 F.Supp.2d 1 (D.D.C.2006)aff'd in part,vacated in part, 566 F.3d 1095 (D. C. Cir.2009),and order clarified,778 F.Supp.2d 8(D.D.C. 2011). X"Ling PM,Gla,ntz SA.Why and How the Tobacco Industry Se11s Cigarettes to Young Adults: �vidence From Industry I3oeuments.Am J�`ublic Health.2002;92(6}.908-916. doi: 10,2105/ajph.92.690$. X�L',urrows,D.�. "Estimated Change in Industry Trend Following Federal Excise Tax Inclease."UCSF Library Truth Tohacco Indtzstry Doeuments. I3ate 1VIod.Industry,Apr. 1°7,2012: �s:Uwww.industrydoeutnentslibrary.ucsf.edultobacealdc�cs/nnnw00$4. X"'Natioi�al�ssociatian of Convenience Stores. U.S. Convenzen�ee Store C'ount.Available at: �s:llwww.convenience.orglReseazch/Fact�heetslSco�eof[ndustry/Industr�StareCount; Statista.In-store merehanc�ise sales of eonvenierace stores in the �Inited S�ates in 2018, by pr^oduct cc�tegoNy.Available at: htti��:llwww.statistaecomis�atisties1308783/usconvenienee- stores-in-store-merchai�dise-sales-bv-cate�ar� (Cigarettes+Othet-Tobaeco Products Sales=$8].056 biili�n}. X""'U.S. Deparnnent af I�calth and�-Iuman Services. Freventzng Tobacco Use,4mong Youtlz and Yo�un�Adults.•�1 Repcart of the Sur�geoiz Gener�al,Atlanta,CiA: U.S.I�epartm�nt of Healkh and Human Scrviccs, �enters f<�x I}isease Can�rol and Prevention,National Center for�hronic Dise�se Prevention and Health Promotion,Office on Si�aol�ing and H�alth.2012.Available at: https:/Iwww.ncbi.nim.nzh.�ov/l�c�c�ks/NF3K992371pdf/�ookshelf NBK99237.pdf. X'X DiFranza JR.Which interventions against the sale of tobaccc�to minors ean be expeeted to reduce sinolcing? Tob CoratNol. 20I2;21:436-4�42.doi: 10.I1361tobaecocc�ntrc�l-201I-OS014S. X"1VIeLaughlin I.I icense tc�Kill?: 1'obaceo Itetailer I icensing as an Eff"ectzve Enf'orceinerat�'ool. Tobaeea Contl•al Legai C;ansortium. 2010.Available at: http:l/www.publichealtlalawcenter.org/sit�es/defaul�/fiies/resourcesltele-s��n- retailer-2010.pdf. XX'Ins�itute of 1Vledicinc. Public Hea�Zth I�n�aZications of Raising the Minimunz flge of LegaZ�ecess to Tabaeeo ProduePs, iTo�asl�ingtan,DC:: The 1llational Academies Press.2�15.Available at http�://www.nap.cdu/cataiog/18997/�aublic-h�alth-iin�lications-af raisin�-tL��-minimum-a �-� c�f-le�al-access-tc�- tobacco-�roducts. XX"The American Lung Assc�ciati�an ii1 California C:entei-far Tobacco Policy and 4�rganizing. Taba�ceo 12etailer I icensing is Ef'feetive. 2018. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF REDDING DOES ORDAIN AS FOLLOWS: Seetion 1. Redding Municipal Code Title 6 (Business Taxes, Licenses and Regulations) is hereby amended by adding Chapter 6.13, to read as follows: 6.13 —TOBACCO RETAILING 6.13.010 Purpose and intent. It is the intent of the City, in enacting this Chapter, to ensure compliance with the business standards and practices of the City, to encourage responsible tobacco retailing, and to discourage violations of tobacco-related laws, especially those that prohibit or discourage the sale or distribution of tobacco and nicotine products to youth. This Chapter is not intended to expand or reduce the degree to which the acts regulated by federal or state law are criminally proscribed or to alter the penalties provided therein. 6.13.020 Definitions. (1) "Arm's length transaetion" means a sale in good faith and for valuable consideration that reflects the fair market value in the open market between two informed and willing parties, neither of whom is under any compulsion to participate in the transaction. A sale between relatives, related companies or partners, or a sale for which a significant purpose is avoiding the effect of the violations of this Chapter is not an arm`s length transaction. (2) "Cannabis"has the meaning set forth in California Business and Professions Code Section 26001, as that section may be amended from time to time. (3) "Cannabis Product" has the meaning set forth in California Business and Professions Code Seetion 26001, as that section may be amended from time to time. (4) "Cannabis Retailer" means any retail establishment in which cannabis or cannabis products are sold or offered for sale to persons that do not hold a license to engage in a commercial cannabis activity issued by the State of California in accordance with the Business and Professions Code Section 26000 et seq.,as that section may be amended from time to time. (5) "City" means the City of Redding. (6) "City Manager" means the manager of the City as appointed by the City Council in accordance with the City's Municipal Code, or the City Manager's designee. (7) "Department" means any City division or department charged with en�orcement or administration of the provisions of this Chapter. (8) "Director" means Chief of Police or the director of the Department of Development Services, the director's designee, or such other director as may be designated by the City Manager to administer the provisions of this Chapter. (9) "Flavored tobacco product" means any tobacco prod�uct that imparts one or more of the following: (A)A taste or odor distinguishable by an ordinary consumer, other than the taste or odor of tobacco, either prior to or d�uring the consumption of such tobacco product, including but not limited to tastes or odors relating to any fruit, chocolate, vanilla, honey, candy,cocoa, dessert, alcoholic beverage,mint,wintergreen,menthol,herb, ar spice; or (B)A heating, cooling, or numbing sensation distinguishable by an ordinary consumer during the consumption of such tobacco product. (10) "Lapse" means the cessation or expiration of a Tobacco Retail license due to the failure to renew it within the required time frame or the loss of eligibility for the Tobacco Retail license. A Tobacco Retail license is considered lapsed if the licensee does not complete the necessary steps to renew or maintain the Tobacco Retaillicense,resulting in the license no longer being valid or active. This does not include sit�uations in which the license is temporarily suspended. (11) "License" means a Tobacco Retail license issued by the City pursuant to this Chapter. (12) "Licensee" means any proprietor holding a Tobacco Retail license issued by the City pursuant to this Chapter. (13) "Manufaeturer" means any person, including any repacker or relabeler, who manufactures, fabricates, assembles, processes, or labels a tobacco product; or imports a finished tobacco product for sale or distribu�ion into the United States. (14) "Owner" means any of the following: (A)A person with sole or aggregate ownership in the Tobacco Retail business applying for a license or a licensee, unless the interest is solely a security, lien, or encumbrance; (B)The chief executive officer of a nonprofit, Tobacco Retailer business, or other entity; (C)A member o�the board of directors of a nonprofit, Tobacco Retailer business, or other entity; (D)The trustee(s) and all persons who have control of the trust and/or the Tobacco Retailer business that is held in trust; (E)An individual who participates in the direction, control, or management of the person applying for a license. Such an individual incl�udes,but is not limited to, any of the following: a. A general partner of a Tobacco Retailer business that is organized as a partnership; b. Anonymous member manager or managing member of a Tobacco Retail business that is organized as a limited liability company; c. An officer or director of a Tobacco Retailer that is organized as a corporation; d. Any individual who assumes responsibility for the license. (15) "Permanent Revocation" means permanent invalidation of a Tobacco Retailer license, which results in the license holder being prohibited from operating as a Tobacco Retailer at the licensed location. This action is final and not subject to reinstatement unless specifically authorized after a successful appeal. Once a Tobacco Retail license is permanently revoked, the licensee is no longer eligible to operate under that license at the location, and no further renewal or reissuance of the license will be allowed unless new application requirements are met. (16) "Person" means any individual, �irm, partnership, joint venture, limited liability company, nonprofit organization, association, social club, fraternal organization, CO1pOTltlOri, eStatO, tIUSt, bUS1T1eSS tIUS�, T0C01V0P, tPLlStee, Sy11C�1C1te, St2te, COUIl�, C1Ly, municipality, district, or other political subdivision of the state, or any other group or combination acting as a unit. (17) "Proprietor" means a person with an ownership or managerial interest in a business. A managerial interest shall be deemed to exist when a person has or does have or shares ultimate control over the day-to-day operations of a business. (18) "Retailer" means a person who engages in this state in the sale of cigarettes or tobacco products directly to the public from a retail location. Retailer includes a person who operates vending machines from which cigarettes or tobacco products are sold in this state. (19) "Sale" or "sell" means any transfer, exchange, barter, gift, offer for sale, or distribution for a commercial purpose, in any manner or by any means whatsoever. (20) "School"means a private or public kindergarten, elementary, middle,junior high or high school. (21) "Self-service display" means the open display or storage of tobacco products or tobacco paraphernalia in a manner that is physically accessible in any way to the general public without the assistance of the tobacco retailer or the tobacco retailer's agent or employee and without a direct person-to-person transfer between a member of the public and the tobacco retailer or tobacco retailer's agent or employee. A vending machine is a form of self-service display. (22) "Temporary Suspension" means temporary cessation of a Tobacco Retailer license during which the retailer is prohibited from operating their business for a specified period of time. This suspension is typically imposed as a penalty for noncompliance with applicable laws or regulations and can be lifted once the licensee has met all requirements for reinstatement. A temporary suspension does not result in the permanent loss of the license,and the retailer may resume business once the suspension period ends or the license has been reinstated. (23) "Tobacco paraphernalia" means cigarette papers or wrappers, pipes, holders of smoking materials of all types, cigarette rolling machines, and any other item designed for the smoking, preparation, storing, or consumption of tobacco products. (24) "Tobacco Product" means any of the following: (A) A product containing, made, or derived from tobacco or nicotine that is intended for human consumption, whether smoked, heated, chewed, absorbed, dissolved, inhaled, snorted, sniffed, or ingested by any other means, including,but not limited to, cigarettes, cigars, little cigars, chewing tobacco,pipe tobacco, or snuff. (B) An electronic device that delivers nicotine or other vaporized liquids to the person inhaling from the device, including,but not limited to, an electronic cigarette,cigar, pipe, or hookah. (C) Any component, part, or accessory of a tobacco product, whether or not sold separately. "Tobacco product"does not include a product that has been approved by the United States Food and Drug Administration for sale as a tobacco cessation product or for other therapeutic purposes where the product is mark�ted and sold solely for such an approved purpose by this Chapter. (25) "Tobacco Retailer" means any person who sells, offers for sale, or does or offers to exchange for any form of consideration tobacco products or tobacco paraphernalia. This definition shall be without regard to the quantity of tobacco, tobacco products, or tobacco paraphernalia sold, offered for sale, exchanged, or offered for exchange. (26) "Tobacco Retailing" means engaging in any of those activities of a Tobacco Retailer. This definition shall be without regard to the quantity of tobacco, tobacco products, or tobacco paraphernalia sold, offered for sa1e, exchanged, or offered for exchange. 6.13.030 License reguired. It shall be unlawful for any person to engage in Tobacco Retailing unless under and by authority of a valid, unexpired, unsuspended, unrevoked Tobacco Retailer License issued pursuant to this Chapter for each location at which tobacco retailing is to occur. 613.040 General Reguirements and Prohibitions A. Operating regulations and conditions. (1) The provisions of this section shall constitute terms and conditions applicable to each Tobacco Retail license issued by the Director. (2) The provisions of this section sha11 also constit�ute operating regulations that are applicable to each holder of a Tobacco Retail license issued pursuant to this Chapter. (3) It shall be unlawful for any person or entity engaged in the retail sale of tobacco products,regardless of the nature of the business or whether they are licensed under this Chapter, to violate any provision of this Chapter. B. Lawful Business Operation. In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a license issued or not issued,it shall be a violation of this Chapter for an owner,licensee, ar any of the licensee's or owner's agents or employees, to violate any local, state, or federal law applicable to tobacco products, tobacco accessories, or tobacco retailing. C. Display of License. Each Tobacco Retailer license shall be prominently displayed in a publicly visible location at the licensed location at all times. D. Minimum Legal Sales Age. 1. No person engaged in tobacco retailing shall sell a tobacco product to a person under twenty-one (21) years of age. 2. No person engaged in tobacco retailing shall sell a tobacco product to another person without first verifying by means of government issued photographic identification that the recipient is at least twenty-one (21)years of age. E. Self-Service Displays Prohibited. Tobacco Retailing by means of a self-service display is prohibited. F. Mobile Vending. No license may issue to authorize tobacco retailing at other than a fixed licensed location. No tobacco retail license will be issued to a lnoveable place of business. It shall be a violation of this chapter for any tobacco retailer or any of the tobacco retailer's agents or employees to engage in the delivery sale of tobacco products or to knowingly or recklessly sell or provide tobacco products to any person that intends to engage in the delivery sale of the tobacco product in the City. G. Business License. In addition to the Tobacco Retail license, any Tobacco Retailer must have a valid business license as required by Title 6. H. Limits on eligibility for a Tobacco Retailer license. (1) No Tobacco Retailer shall be located within six hundred(600)feet of a school providing instruction in kindergarten or any grade levels one through twelve, as measured in a straight line between the boundary lines of the parcel of the school and the boundary lines of the parcel of the License applicant's proposed business location. (2) Notwithstanding subsection 1 of this section, a Tobacco Retailer operating lawfully on the date the ordinance codified in this Chapter is adopted that would otherwise be eligible for a Tobacco Retailer license for the location for which a license is sought may receive or renew a license for that location so long as all of the following conditions are met: A. A complete and accurate application is submitted to the City within 60 days of the date this ordinance is adopted; B. The license is timely obtained, maintained, and renewed without lapse or permanent revocation(as opposed to temporary suspension); C. The Tobacco Retailer has not experienced a business closure of 60 or more consecutive days to include the 30-day period immediately preceding the effective date of this ordinance; D. The Tobacco Retailer maintains the right to operate the business under all other applicable laws; E. The Tobacco Retailer has not substantially changed the business premises or business operation within 60 days of the date the ordinance codified in this Chapter is adopted. A substantial change to the business operation includes,but is not limited to, the transferring of a location: (1) To a new proprietor(s) in an arm's length transaction; or (2) For which a significant purpose is avoiding the licensing requirements of this Chapter. F. If the City determines that a Tobacco Retailer has substantially changed their business preinises or operation and the Tobacco Retailer disputes this determination, the Tobacco Retailer bears the burden of proving to the Department by a preponderance of evidence that such change(s) do not constitute a substantial change. I. Compliance inspection. The Director, the Chief of Police and any City official charged with enforcing the provisions of this Code shall have the power and authority to enter any business engaging in tobacco retailing during regular business hours to inspect the premises and to determine compliance with the provisions of this Chapter. (1) Should any inspection reveal noncompliance with any of the provisions of this Chapter and should reinspection be needed to determine compliance, the cost of any such reinspection shall be billed to the owner of the premises, the operator of the business engaging in tobacco retailing, and/or the holder of the Tobacco Retailing license in the amount set forth in the schedule of fees established by resolution of the City Council. (2) Prior notice of an inspection, investigation,review, or audit is not required. (3) It is unlawful and cause for immediate denial, suspension, or revocation of a license for any licensee, property owner, proprietor, landlord, lessee, tobacco retailer, and/or its owner, agent, or employee to refuse to allow, to impede, to obstruct, to delay, or to otherwise interfere with an inspection, investigation,review, or audit. (4) When a requirement is established pursuant to this Chapter for an inspection and/or copy of a record, the record sha11 be delivered immediately upon demand by City personnel. J. Flavored tobacco products. (1) It shall be unlawful for any tobacco retailer to se11 any flavored tobacco product. (2) Presumptive Flavored Tobacco Product. There shall be a rebuttable presumption that a tobacco product is a flavored tobacco product if a tobacco retailer, manu�acturer, or any employee or agent of a tobacco retailer or manufacturer has taken action directed to consumers that would be reasonably expected to cause consumers to believe the tobacco product is a flavored tobacco product. Any communication by or on behalf of the manufacturer or retailer of a tobacco product that such tobacco product imparts a taste or odor other than the taste or odor of tobacco, and/or that imparts a heating, cooling, or numbing sensation, constitutes presumptive evidence that the tobacco product is a flavored tobacco product. This includes but is not limited to public statements that a product is flavored, such as describing the product as "chill," "ice," "fresh," "arctic," "sweet," "spicy," or "frost." K. Other legal duties. (1) Each Tobacco Retailer shall: A. Comply with all applicable laws and ordinances governing the sale of any tobacco products or tobacco paraphernalia; B. Comply with all conditions imposed by the Director as part of the tobacco retail license; and C. Comply with all conditions imposed by any other permit or license required for a business engaging in tobacco retailing. (2) Each Tobacco Retailer, and any other person(s) responsible for the operation of the business engaging in tobacco retailing, excluding the City, its agents, officers and employees, shall be jointly and severally liable for: A. Any violation of this Chapter; B. Any violation of the terms of the Tobacco Retail license; C. Any violation of any other license or permit required for the business engaging in tobacco retailing; and D. Any violation of any other applicable 1aw that arises out of the sale of tobacco products or tobacco paraphernalia. L. Indemni�cation agreement required. Any tobacco retailer applying for a Tobacco Retail license under this Chapter shall agree to fu11y indemnify, defend, and hold harmless the City, its officers, employees and agents for all claims, losses, or liabilities that arise out of the issuance or use of the Tobacco Retail license, or that arise out of any sale, distribution, transfer or use of tobacco products or tobacco paraphernalia, in a form approved by the City Attorney's Office. M. Licensed cannabis businesses. No license may issue, and no existing license may be renewed, to authorize tobacco retailing at a location licensed for commercial cannabis activity by the state of California in accordance with the Business and Professions Code Division 10, and the City in accordance with Chapter 6.12 Redding Municipal Code. In the course of tobacco retailing or in the operation of the business or maintenance of the location for which a license issued, it shall be a violation of this Chapter for a licensee, or any of the licensee's agents or employees, to engage in commercial cannabis activity. 6.13.050 Application procedure for Tobacco Retailer. A. An application for a Tobacco- Retailer's license shall be submitted in the name of each owner or proprietor proposing to conduct retail tobacco sales and shall be signed by each owner or proprietor or an authorized agent thereo£ All applications shall be submitted on a form supplied by the Department. B. A license issued contrary to this Chapter, contrary to any other law, or issued on the basis of false or misleading information shall be revoked pursuant to this Chapter.Nothing in this Chapter shall be construed to vest in any person obtaining or maintaining a Tobacco Retailer's license any stat�us or right to act as a Tobacco Retailer in contravention of any provision of law. C. Applicant submissions shall contain the following information: (1) The name, address, and telephone number of each owner and proprietor of the business seeking a license. (2) The business name, address, and telephone number of the location for which a license is sought. (3) The name and mailing address authorized by each owner and proprietor to receive all communications and notices reguired by, authorized by, or related to the enforcement of this Chapter. (4) Proof that the business and location for which a Tobacco Retailer's license is sought has been issued all necessary state and municipal licenses for the sale of tobacco products. (5) Listing of all prior issuances, suspensions, and/or revocations of Tobacco Retail licenses for each named proprietor or owner of the business, or their agent, and the dates and locations of each action pursuant to this Chapter. (6) Listing of dates and locations for all prior violations of local, state, or federal law governing the sale of tobacco products or California Health and Safety Code section 11351, as amended from time to time, by each named proprietor or owner or their agent occurring within the previous five years. (7) A statement by the applicant that the contents of the application are complete, true, and correct. Any person who signs a statement pursuant to this subdivision that asserts the truth of any material matter that he or she knows to be false is guilty of a misdemeanor punishable by imprisonment of up to one year in the county jail, or a �ne o�not more than one thousand dollars ($1,000), or both the imprisonment and the fine. (8) A statement by the applicant that they are the owner,proprietor,or authorized agent of the Tobacco Retail business for which the license is sought pursuant to this Chapter. (9) A signed affidavit affirming that the proprietor has not sold and will not sell any tobacco product without a license required by this chapter. (10) Such other information as the Department deems necessary for the administration or enforcement o�this Chapter as specified on the application form required by this section. D. A licensed Tobacco Retailer or applicant shall inform the Department in writing of any change in the information submitted on an application for a tobacco retailer's license within ten business days of a change. 6.13.060 License issuance or denial. Upon the receipt of a complete and adequate application for a tobacco retailer's license and the license fee required by this Chapter, the Department may approve or deny the application for a license, or it may delay action for a reasonable period of time to complete any investigation of the application or the applicant deemed necessary. The application shall be denied if one or more of the following circumstances exist: A. The information presented in the application is inaccurate or false. Intentionally supplying inaccurate or false information shall be a violation of this Chapter. B. The application seeks autharization for Tobacco Retailing at a location for which this Chapter prohibits issuance of Tobacco Retailer licenses. C. The application seeks authorization for tobacco retailing for an owner or proprietor or their agent to whom this Chapter prohibits a license to be issued. D. The application seeks authorization for tobacco retailing that is prohibited pursuant to this Chapter; that is unlawful pursuant to this Code, including without limitation, the zoning ordinance, building code, or business license tax ordinance; or that is unlawful pursuant to any other law. E. The retailer, or if the retailer is not an individual, any person controlling the retailer or retail business, has previously been issued a license that is suspended or revoked by the Department for violation o�any of the provisions of this Chapter. F. The application is for a license or renewal of a license for a retail location that is the same retail location as that of a retailer whose license was revoked or is subject to revocation proceedings �or violation of any of the provisions of this division, unless: (1) It has been more than five years sinee a previous lieense for the retail location was revoked. (2) The person applying �or the license provides the Department with documentation demonstrating that the applicant has acquired or is acquiring the premises or business in an arm's length transaction. G. The retailer, or if the retailer is not an individual, any person controlling the retailer or retail business, has been convicted of a felony pursuant to Section 30473 or 30480 of the Revenue and Taxation Code. 6.13.070 License renewal and expiration. A Tobacco Retailer's license is invalid if the appropriate fee has not been timely paid in full, the application is incomplete, or the term of the license has expired. The term of a Tobacco Retailer license is one year. Each Tobacco Retailer shall apply for renewal of their Tobacco Retailer's license and submit the license renewal fee no later than thirty days prior to expiration of the current license but no earlier than 60 days prior to the expiration of the current license. A licensee who submits an incomplete application may resubmit the application for renewal as long as the current license does not lapse. A Tobacco Retailer that fails to timely submit a renewal application and fee is ineligible for license renewal; however, a timely and complete application for renewal shall toll the existing license until the renewal application is approved or denied by the City. A license that has been revoked, or is subject to revocation proceedings, sha11 not be renewed. 6.13.080 Licenses nontransferable. A. A Tobacco Retailer's license may not be transferred from one person to another or from one location to another. A new Tobacco Retailer's license is required whenever a tobacco retailing location has a change in proprietor(s) or owners or a change in location. B. Notwithstanding any other provision of this Chapter, prior violations at a location shall continue to be counted against a location, and license ineligibility periods shall continue to apply to a location unless the location has been transferred to new proprietor(s) or owner(s) in an arm's length transaction. 6.13.090 License conveys a limited, conditional privilege. Nothing in this Chapter shall be construed to grant any person obtaining or maintaining a Tobacco Retailer's license any status or right other than the limited conditional privilege to act as a Tobacco Retailer at the location in the City identified on the face o�the license. 6.13.100 Fee for license. The fee to issue or to renew a Tobacco Retailer's license shall be established by resolution of the City Council, which may be amended as needed at the City Council's discretion. The fee shall be ealeulated so as to recover the cost of administration and enforcement of this Chapter including, but not limited to, issuances of licenses, administration of the license program, retailer education, inspection and compliance checks of Tobaceo Retailing businesses, documentation of violations, representation of the City at Board hearings, prosecution of violators, and other enforcement measures but shall not exceed the cost of the regulatory program authorized by this Chapter. Al1 fees and interest upon proceeds of fees shall be used exclusively to fund the program. Fees are nonrefundable except as may be required by law. 6.13.110 Suspension or revocation of license. A. In addition to any other penalty authorized by law, a Tobacco Retailer's license shall be suspended or revoked if any court of competent jurisdiction determines, or the Department finds based upon a preponderance of the evidence that the licensee, or any of the licensee's agents, employees, or Tobacco Retailer locations, has violated any o�the requirements, conditions, or prohibitions of this Chapter or has pleaded guilty, "no contest," or its equivalent, or admitted to a violation of any law applicable to the licensee in violation of this Chapter. Action �aken by the director with respec�to the sus�aension, lnodification, or revocation of a Tob�cco Retail lic�nse sha11 h� final and canclusive. Any lieensee a�grieved by �he suspensiom, lnodificatian or revocation of a Tobacco R�tail license may obtain�eview of such decision by appeal to th� City Manager ar the City Manager's designee. (1) Upon a finding by the Department of a first violation of this Chapter at a location within any five-year period,the license shall be suspended for fourteen (14) days. (2) Upon a finding by the Department of a second violation of this Chapter at a location within any five-year period, the license shall be suspended for thirty (30) days. (3) Upon a �inding by the Department of a third violation of this Chapter at a location within any five-year period, the license sha11 be revoked. (4) Owners of Tobacco Retail businesses at more than one location are subject to increased penalties upon second and subseguent violations of this Chapter regardless of the business location where the earlier violation occurred. (5) The director or his designee shall have discretion to deviate from these guidelines and impose a harsher or more lenient penalty depending on the type and severity of violation, history of compliance or noncompliance by the licensee or location, and other relevant factors. (6) Penalties shall increase with each subsequent violation without regard to type of violation. B. A Tobacco Retailer's license shall be revoked if the Department finds, after the licensee is afforded notice and an opportunity to be heard,that information contained in the license application, including supplemental information, if any, is false in any material respect. C. A Tobacco Retailer's license shall be revoked if the Department finds, after providing the licensee with notice and an opportunity to be heard, that one or more of the grounds for denial of a license pursuant to this Chapter existed at the time the application was made or at any point before the license was issued. D. A licensee for whom a license suspension is in effect must remove all tobacco products and tobacco paraphernalia from the sales floor at the address that appears on the suspended or revoked license. Violation of this subsection or engaging in tobacco retailing while the license suspension is in effect shall result in a permanent revocation of the Tobacco Retail License. E. The suspension or revocation sha11 become effective immediately following notice of suspension or revocation from the Department, unless the holder of the license files an appeal in accordance with this Chapter. If such an appeal is filed, the suspension or revocation shall not become fmal until the appeal is resolved by a final decision of the City Manager or their designee, or withdrawal of the appeal. 6.13.120 Appeal of suspension or revocation. A. A decision of the Department to suspend or revoke a license is appealable to the City Manager or their designee, and any appeal must be filed in writing with the City Manager within ten (10) days of mailing of the DepartmenYs decision. B. If such an appeal is timely made, it sha11 stay enforcement of the appealed action. C. The decision by the City Manager or their designee shall be the final decision of the City. 6.13.130 Additional remedies. A. The remedies provided by this Chapter are cumulative and in addition to any other remedies available at law or in equity, including, without limitation those remedies established in Title 1. B. Whenever evidence of a violation of this Chapter is obtained in any part through the participation of a person under the age of eighteen (18) years, such a person shall not be reguired to appear or give testimony in any civil or administrative process brought to enforce this Chapter and the alleged violation sha11 be adjudicated based upon the sufficiency and persuasiveness of the evidence presented. C. Violations of this Chapter are subject to a civil action brought by the City, punishable by an administrative penalty not less than one thousand dollars ($1000)per violation. D. Subsequent violations of this Chapter are subject to increased administrative penalty amounts. E. Violations of this Chapter may, in the discretion of the City Attorney, be prosecuted as infractions or misdemeanors when the interests of justice so require. F. In addition to any other remedy or abatement authority allowed by law, the Director may take reasonable measures to enforce the suspension or revocation of a license. Such measures may include,but are not limited to,posting notices on the property which state tobacco products are not to be sold or purchased until the conclusion of the suspension, or requiring al1 tobacco products to be removed from the property during the suspension or revocation period. Removal of notices posted pursuant to this section shall, constitute a misdemeanor violation of this Chapter. G. Violations of this Chapter are hereby declared to be public nuisances and subject to abatement by the City. H. For the purposes o�the civil remedies provided in this Chapter: (1) Each day on which tobacco products or tobacco accessories are offered for sale in violation of this Chapter shall constitute a separate violation of this Chapter; and (2) Each individual retail tobacco product and each individual retail item of tobacco accessories that is distributed, sold, or offered for sale in violation of this Chapter sha11 constitute a separate violation of this Chapter. I. All tobacco retailers are responsible for the actions of their employees relating to the sale, offer to sell, and furnishing of tobacco products at the retail location. The sale of any tobacco product by an employee shall be considered an act of the tobacco retailer. Section 2. The passage of this ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change to the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) (Title 14 of the California Code of Regulations) because it has no potential for resulting in physical change to the environment, directly or indirectly Section 3. If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held by a court of competent jurisdiction to be invalid or unconstitutional, such decision shall not affect the validity of remaining portions of the ordinance. The City Council of the City of Redding hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause and phrase thereof irrespective of the fact that one or more sections, subsections, sentences, clauses or phrases may be held invalid or unconstitutional. Section 4. This Ordinance shall take effect thirty (30) days after the date of its adoption, and the City Clerk sha11 certify to the adoption thereof and cause its publication according to law. I HEREBY CERTIFY that the foregoing ordinance was introduced and read by the City Council of the City o�Redding at a regular meeting on the 15th day of July, 2025, and was duly adopted at a regular meeting on the_day of , 2025,by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: JACK MUNNS, Mayor ATTEST: FORM APPROVED: SHARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney DATE ATTESTED: , 2025