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ZOA No. 2025-01, OA No. 2025-01, and Fee Resolution (Group Home Ordinance and <br />Group Home Special Use Permit and Operator’s Permit Fees) <br />August 19, 2025 <br />Page 8 <br />5 <br />2 <br />0 <br />9 <br />ENVIRONMENTAL IMPACT <br />Pursuant to the California Environmental Quality Act (“CEQA”) and the CEQA Guidelines, <br />the adoption of this Ordinance (“Project”) is exempt from CEQA review pursuant to <br />Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result <br />in a direct or reasonably foreseeable indirect physical change in the environment. The <br />Project is also exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA <br />Guidelines as it can be seen with certainty that there is no possibility the ordinance will <br />have a significant effect on the environment. The amendments provide definitions and <br />standards to regulate the location, operation, and licensing of group homes and do not <br />authorize new development or changes in density or intensity of land use. Moreover, the <br />Project is categorically exempt from further review per Section 15301 (Class 1 – Existing <br />Facilities) of the CEQA Guidelines. This exemption applies to the operation, repair, <br />maintenance, permitting, leasing, licensing, or minor alteration of existing public or private <br />structures, facilities, mechanical equipment, or topographical features, involving <br />negligible or no expansion of existing or former use. The Project merely establishes <br />administrative and land use oversight procedures for group homes already operating or <br />proposed within existing residential structures, and will not expand the existing use. None <br />of the exceptions to the use of categorical exemptions identified in CEQA Guidelines <br />Section 15300.2 apply to the Class 1 exemptions or this ordinance. Specifically, the <br />Project will not result in cumulative impacts, will not affect any scenic or historic resources, <br />and will not involve unusual circumstances leading to a significant impact. <br />FISCAL IMPACT <br />Adoption and implementation of the ordinance requires the adoption of new fees to allow <br />the City to recover the staff time required for administering the proposed new regulations. <br />City departments required to develop and administer the regulations include: <br />•Planning and Building Agency (Administrative Services, Code Enforcement, and <br />Planning divisions) <br />•Information Technology <br />•City Attorney’s Office <br /> <br />The proposed ordinance has a net neutral fiscal impact, as the passage of the ordinance <br />would generate fiscal impacts to the City in the form of additional expenditures offset by <br />new revenues. Based on best available data for the 74 existing known and suspected <br />residential care and group home facilities, staff estimates one-time permit revenues of <br />approximately $358,000 and approximately $17,000 in total annual permit revenues <br />thereafter. Such revenues recover the City’s costs associated with equipment, materials, <br />and personnel. <br />Existing permit fees include those for processing Conditional Use Permit, Environmental <br />Review, and Development Project Review applications. The new aforementioned <br />Planning and Building Agency fees are intended to recover the full cost associated with <br />reviewing Group Home Special Use Permit and Group Home Operator’s Permit <br />applications.