Title
First Reading and Introduction of an Ordinance to Amend Various Chapters of the Zoning Code and Municipal Code to Modify Regulations Pertaining to Tobacco Retailing, Oversized Vehicle Parking, San Leandro Waterways and Reach Code Requirements for All Electric Buildings; and
Adoption of a Resolution Amending the Administrative Code to Modify Regulations Pertaining to Reasonable Accommodation Requests; and
Adoption of an Ordinance Terminating an Existing Temporary Zoning Moratorium to Prohibit, in New Locations, the Sale of Tobacco and Tobacco-Related Products, as well as New Tobacconist/Cigarette Stores throughout the City
Staffreport
COUNCIL PRIORITY
• Economic Development
• Housing and Homelessness
SUMMARY AND RECOMMENDATION
City staff periodically prepares a package of Code amendments to ensure that the City’s regulations remain relevant, accurate and enforceable over time. City staff prepared this package of Municipal Code, Zoning Code and Administrative Code amendments for the City Council’s consideration to address the following topics:
• Reasonable Accommodation Requests
• Tobacco Retailing
• Repeal of All-Electric Building Reach Code Requirements
• Oversized Vehicle Parking
• San Leandro Waterways
Staff recommends that the City Council introduce an Ordinance (Attachment A) modifying regulations in the San Leandro Municipal Code and Zoning Code pertaining to tobacco retailing, oversized vehicle parking and San Leandro waterways, and repealing existing Reach Code requirements that newly constructed buildings be all-electric. Staff additionally recommends that the City Council adopt a Resolution (Attachment B) amending the Administrative Code to modify regulations pertaining to reasonable accommodation requests and adopt an Ordinance (Attachment C) terminating an existing temporary Zoning Moratorium prohibiting, in new locations, the sale of tobacco and tobacco-related products, as well as new Tobacconist/Cigarette Stores throughout the City.
BACKGROUND AND ANALYSIS
Reasonable Accommodation Requests
The City of San Leandro has an existing Reasonable Accommodation Request Policy for Zoning and Land Use (Administrative Code Chapter 5, Article 3) that provides a procedure for persons with disabilities seeking equal access to housing under the Federal Fair Housing Act and the California Fair Employment and Housing Act to request relief from the strict application of zoning laws and other land use regulations. A request for reasonable accommodation is intended to provide a person with a disability equal opportunity to housing of his/her choice.
The City’s 2023-2031 Housing Element (Action 15.2) identified a need to modify the City’s Reasonable Accommodation Policy to better align with fair housing requirements and the State Attorney General’s 2022 guidance on reasonable accommodations (Attachment I). Proposed Administrative Code amendments would meet this objective by adjusting the criteria and procedures for granting a reasonable accommodation request to be independent of other land-use and zoning-based decisions.
Tobacco Retailing
On June 3, 2024, the City Council enacted a temporary Zoning Moratorium (Attachment J) to: 1) Prohibit the sale of tobacco related products or electronic-cigarette-related products in new locations; and 2) Prohibit the establishment of new Tobacconist/Cigarette stores (businesses devoted primarily to the sale of tobacco-related products or electronic-cigarette-related products). The original term of the Zoning Moratorium was 45-days but was later extended by the City Council (Attachment K) to a two-year term, expiring on June 3, 2026. The purpose of the Zoning Moratorium was to pause the establishment of new tobacco retailers in the City while providing staff with time to prepare amendments to outdated zoning regulations that contributed to enforcement challenges.
Staff prepared Zoning Code amendments that would establish reasonable limitations on the sale of tobacco-related products and facilitate effective enforcement:
• Prohibiting tobacco retailing, except:
o As accessory to the following uses:
§ Drugstore
§ Beer and Wine Store
§ Liquor Store
§ Supermarket (greater than 20,000 SF)
o Premium Cigar Retailers
• Establishing the following limits for tobacco retailing as an accessory use:
o No more than 10-percent of gross floor area may be utilized for the sale, marketing, display or storage of tobacco-related products and electronic-cigarette-related products.
o No more than 10 total linear feet of display area may be utilized for the sale, marketing, display or storage of tobacco-related products and electronic-cigarette-related products.
o No more than 25-percent of gross receipts may be derived from the sale of tobacco related products and electronic-cigarette-related products.
o No display of merchandise or signs related to tobacco retailing may be viewable from the exterior of the store. (This regulation was refined after the Planning Commission’s review to clarify that this applies to private property as well as the public right-of-way)
• Premium Cigar Retailers would be a permitted use in the three zoning districts that Tobacconists/Cigarette stores are currently conditionally permitted (CC, SA-1, SA-3).
• The proposed amendments would define Drug Paraphernalia Stores (establishments where drug paraphernalia is displayed, grouped, marketed, advertised or promoted for sale) in the Zoning Code and expressly prohibits them to make it explicit that they are not permitted. Cannabis dispensaries are not considered Drug Paraphernalia Stores under the code.
The new regulations would apply prospectively to any new proposed tobacco retailer. Existing and properly permitted/licensed tobacco retailers would be allowed to continue to operate, subject to the zoning limitations in effect at the time they were established.
If the City Council chooses to enact the proposed regulations, staff recommends concurrently terminating by separate ordinance the existing Zoning Moratorium.
Repeal of All-Electric Reach Code Requirements
In 2022, the City Council adopted local “Reach Code” amendments as part of the Green Building Code to require newly constructed buildings to be all-electric (with limited exceptions). Adoption of the all-electric building requirement was intended to advance the City’s 2021 Climate Action Plan by reducing future greenhouse gas emissions.
In 2023, the Ninth Circuit U.S. Court of Appeals handed down a decision in California Restaurant Association v. City of Berkeley, which determined that federal law (the U.S. Energy Policy and Conservation Act) expressly preempts local regulations concerning the use of natural gas appliances. This ruling necessitates the repeal of the City’s 2022 Reach Code amendments requiring that newly constructed buildings be all electric. The attached Ordinance would repeal these preempted regulations.
Oversized Vehicle Parking
Staff prepared proposed amendments to Section 6-1-430 of the San Leandro Municipal Code to prohibit the parking of oversized vehicles for more than two hours on any public street, highway, alley, or public lot, except under specified exemptions.
Pursuant to California Vehicle Code (CVC) Section 22507, cities have the authority to regulate parking. The Municipal Code currently lacks comprehensive controls on oversized vehicles, which can contribute to visual blight, traffic safety concerns, and public right-of-way obstructions. In response to increasing concerns from residents and businesses about oversized vehicle parking on City streets, Staff prepared Municipal Code amendments for the Council’s consideration that would strengthen existing restrictions and enable enforcement of oversized vehicle parking violations.
The amendments would define “Oversized Vehicle” to include vehicles or combinations of vehicles and loads that exceed 22 feet in length, 6 feet in width, or 7 feet in height. This definition includes large RVs, trailers, fifth wheels, and semi-trucks. Existing regulations prohibit oversized vehicles from parking in residential areas overnight (between 2 am and 6 pm). The amendments would prohibit oversized vehicle parking Citywide for more than two hours unless loading, unloading, or performing a service.
The amendments may improve street safety, accessibility, and neighborhood aesthetics. However, if adopted and enforced, they may also impact unhoused individuals who live in RVs by reducing viable parking options. Enforcement could unintentionally displace individuals living in vehicles.
San Leandro Waterways
San Leandro regulates the portion of the San Francisco Bay that falls within City Limits. San Leandro Municipal Code Chapter 4-19 currently regulates the use and operation of the San Leandro Marina and surrounding waters; however, the Code has proved to be inadequate in regulating anchoring and live aboard boaters in waterways outside of the Marina.
The City closed the Marina in early 2023 and blocked boats from using the Marina in early 2024. Once the Marina was blocked, up to four boats at a time were observed anchoring overnight in San Leandro waters. Amendments are proposed to Municipal Code Chapter 4-19 to include a prohibition on anchoring, living aboard, or beaching a vessel in San Leandro waters. The ordinance authorizes the City to either issue a notice to abate or, when there is danger to public health, safety, or welfare, to perform emergency removal of the vessel.
There is a provision in the ordinance for issuance of a special permit for anchoring or mooring a vessel for purposes of special exhibitions or events.
GENERAL PLAN CONFORMANCE
The proposal is consistent with numerous goals and policies in the City’s General Plan, as listed in Attachment G.
ENVIRONMENTAL REVIEW
The proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) in that it is not a Project that has the potential for causing a significant effect on the environment under CEQA Guidelines Section 15061(b)(3). No further environmental review is necessary. The proposed package of amendments includes amendments that would align the City’s regulations with the requirements of federal law. The City cannot exercise its subjective judgement regarding those amendments due to preemption by federal law, and therefore the action is not discretionary in nature. Other proposed Code amendments are modifications to existing regulations that have no possibility of creating a significant environmental impact.
PLANNING COMMISSION ACTION
On May 1, 2025, the Planning Commission held a duly noticed public hearing and voted 5-0 (2 absences) to recommend City Council adoption of the Zoning Code amendments pertaining to tobacco retailing and oversized vehicle parking. Commissioners discussed the rationale behind the new tobacco retailing restrictions and commented that the proposal struck a balance between allowing existing properly permitted tobacco retailers to continue to operate while creating stronger rules for new tobacco retailers. Draft minutes of the May 1, 2025, Planning Commission meeting are included as Attachment H.
PUBLIC OUTREACH
A notice of public hearing was published in the East Bay Times Daily Review newspaper on June 13, 2025 and posted at City Hall. Additionally, a project webpage was prepared and promoted discussing the various proposed Code amendments. Notice of the proposed amendments pertaining to tobacco retailing was distributed to existing tobacco retailers. The Chamber of Commerce was informed of the proposed amendments and directed to the project webpage for more information.
FINANCIAL IMPACTS
Enforcement of the new provisions in Section 4-19 (related to “San Leandro Waterways” above) will be under the Police Department. Since the closure of the Marina, five boats either sank or wrecked upon the shoreline within San Leandro City Limits and were removed at an average cost to the City of $12,000 each. If abatement or emergency removal of boats outside is needed, there will be a financial impact to the General Fund for approximately $12,000 per boat. No additional financial impacts are anticipated from the other proposed amendments to the Zoning Code and Municipal Code.
ATTACHMENTS
A. Ordinance No. 2025-XXX amending the Zoning and Municipal Codes
Att A Ex A. Zoning Code Amendments (Clean Version)
Att A Ex B. Municipal Code Amendments (Clean Version)
B. Resolution No. 2025-XXX amending the Administrative Code
Att B Ex A. Administrative Code Amendments (Clean Version)
C. Ordinance No. 2025-XXX terminating existing Zoning Moratorium
D. Zoning Code Amendments (Redline-Strikethrough Version)
E. Municipal Code Amendments (Redline-Strikethrough Version)
F. Administrative Code Amendments (Redline-Strikethrough Version)
G. General Plan Conformance
H. Draft May 1, 2025 Planning Commission Minutes
I. State Attorney General 2022 Guidance on Reasonable Accommodations
J. Ordinance No. 2024-007 Adopting Zoning Moratorium
K. Ordinance No. 2024-010 Extending Zoning Moratorium
PREPARED BY: Cindy Lemaire, Senior Planner, Community Development