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HomeMy WebLinkAboutItem 7.2 SB343 Tobacco Retailers Outreach Rpt 9-4-12 SB 343 Senate Bill 343 mandates supplemental materials that have been received by the City Clerk's office that relate to an agenda item after the agenda packets have been distributed to the City Council be available to the public. The attached document was received in the City Clerk's office after distribution of the September 18, 2012 City Council meeting agenda packet. Item 7.2 • . ._ _______I • From: irwinmoderftaol.com fmailto:irwinmoder©aol.coml Sent: Monday, September 17, 2012 2:06 PM To: Tim Sbranti; Kasie Hildenbrand; Kevin Hart; Don Biddle; Eric Swalwell; clerkgrp; irwinmoder(daol.com Subject: Tobacco licensing Members of the Dublin City Council: My own experience over many years has shown over and over again that "businesses" are more concerned with making money than they are in protecting kids from the Tobacco industry. Many promises made to ME and my staff by many "businesses" have been completely VOIDED by the "business" by their selling tobacco to kids. They may not enjoy paying the City for the PRIVILEGE of selling tobacco, but they SHOULD be responsible for following the LAW with regard to kids. LICENSING "businesses" (making it possibled that they do NOT have the PRIVILEGE any longer if they do NOT follow the law) makes it much more likely that they will TRY HARDER to do what they should do in the first place. If "businesses" had followed the law effectively in the first place, we would NOT have to resport to LICENSING. Tim Moder Executive Director Community Health Education Institute Berkeley RECEIVED SEP 1 8 2012 September 12, 2012 CITY OF DUBLIN The Hon. Tim Sbranti Via email: tim.sbranti @ci.dublin.ca.us CITY MANAGER'S OFFICE City of Dublin 100 Civic Plaza EXECUTIVE BOARD OF DIRECTORS Dublin, California 94568 OFFICERS Ramzi Murad, Chairman Dear Mayor Sbranti: San Diego District Andy Chhikara, I am writing on behalf of the Neighborhood Market Association ("NMA") to Vice Chairman Central Valley District express serious concerns from the small business community about the potential Nashat Damman, ordinance requiring a costly license to sell tobacco and prohibit the sale of Treasurer/ Secretary tobacco near schools and outh populated areas. The NMA is a non-profit trade San Diego District Y P P P Basnar Ballo association that represents over 2,000 retailers in the independent grocery and Chairman of Program convenience store industry throughout the state of California. Endorsement Committee San Diego District We are concerned with the provision to include a minimum pack size requirement RETAIL DIRECTORS cigar the draft ordinance. A number of ci ar brands are sold individually Abbo Y or in the San Diego District manufacturers' packaging of fewer than five. It would be impossible for a retailer Amad Attisha San Diego District to alter the manufacturers' packaging to comply with this provision. Raad Attisha Additionally, many of our adult customers prefer to purchase one or two cigars at San Diego District Amer Benny a time. Including this provision would force adult customers to neighboring cities San Bhaurla rla to purchase their preferred products. Dublin retailers would also lose the sale of Bob Bhauria P P P Central Valley District other items like bread and milk. Gonzalo Hernandez Los Angeles District Saad Hirmez The recent staff report provided a list of potential elements of the proposed San Diego District P P P P P Elsa Joby ordinance, which included establishing a licensing fee at full cost recovery. We Los Angeles District Patrick Mahan fear that full cost recovery would be prohibitive for a mom and pop retailer. We Darshan Mundy District would hope that you consider the impact of a costly fee on local retailers and look Ds Mundy P Y P' Y Northern California District at a lower annual fee. We have worked with other communities in California to Amir Oram San Diego District establish license fees ranging from $25 - $100. We believe this is a reasonable Isam Dram fee for small business owners while still providing the City with a mechanism to Arizona District Basil Raffo manage any problem retailers. Snit Diego District Martin Samo San Diego District The NMA and its members are committed to working with law enforcement and JP Sethi Central Volley District public officials to keep tobacco out of the hands of minors. Members are provided Fauzi Zora San Diego District with updated information on compliance, training material to ensure that their SUPPLIER DIRECTOR employees are properly trained, as well as signage to deter sales to minors. These Carl Parker small business owners take this issue very seriously. Our members' property Supplier Director CoreMark interests would be adversely impacted by an ordinance to prohibit tobacco sales Bobby Barrett within 500 -1,000 feet of schools. Supplier Director Viejas PRESIDENT &CEO It is our hope that you adequately protect the interests of the businesses that Mark Paul Arabo currently exist within 500 - 1,000 feet of schools/youth-populated areas as you provide direction to staff in the drafting of this ordinance. Staff recommends GENERAL COUNSEL grandfathering in existing retailers. However, we don't believe that the city's Spencer C. Skeen, Esq. Fisher&Phillips LLP legal exposure ends with grandfathering in. Additionally prohibiting the transferability of tobacco retailing would significantly reduce the value of the business. These are family-owned businesses and transfers occur among family members for many reasons. Tobacco is a legal product and a key category for these retailers. The loss of the ability to sell tobacco can mean going out of business, because it drives other sales. These retailers are part of the community, and they are careful to ask for identification from customers to ensure they are not selling to minors. They strictly follow laws and regulations dealing with the sale of tobacco, because this can affect their livelihood. EXECUTIVE BOARD OF DIRECTORS OFFICERS This is a highly regulated industry, and the retailers have been very cautious about Ramzi Murad, Chairman curbing sales to minors. In fact, the California Dept. of Health has said that the San Diego District rate of sales to minors is at an all time low — at approximately 5.6%. The Andy Chhikara, proposal is not only unfair to the City's retailers, but it will have the unintended Vice Chairman Central Valley District consequence of increasing litigation and potential liability for the City. By Nashat Damman, terminating the ability to sell tobacco upon the transfer of a business, the City Treasurer/ Secretary may risk having to compensate retailers, under the Takings Clause of the 5th San Diego District Y g P g' Bashar Ballo Amendment, for a taking of those property interests. Prohibitions on transfer of a Chairman of Program property interest have been held to constitute a taking. Not only would the loss of Endorsement Committee tobacco sales be at issue, but the retailer might argue that the value of the taking is San Diego District. its entire retail business. While the retail business can be transferred, the inability RETAIL DIRECTORS Steve Abbo to retail tobacco destroys the viability, and therefore, the value of the entire San Diego District business, Amad Attisha San Diego District Raad Attisha We don't believe that a distance requirement is a viable solution to curb illegal San Diego District q g Amer Benny sales to minors. However, should you determine to move forward to a distance San Diego requirement, we urge you to incorporate language that would allow the businesses Bob Bhaurla rla Central Valley District currently operating to be able to sell or otherwise transfer their establishments Gonzalo Hernandez Fns Angeles District without incurring a great financial loss. Saad Hirmez San Diego District Eisa Joby I would like the opportunity to discuss this proposal with you or a member of Los Angeles District Patrick Mahan your staff. Please contact me at 619-464-8485. Northern California District Darshan Mundy Northern California District Sincerely, Amir Oram San Diego District Isam Oram Arizona District Basil Raffo Sari Diego District Martin Samo Mario Georgis San Diego District JP Sethi Central Valley District Cc: The Hon. Kevin Hart (kevin.hart@dublin.ca.gov) Fauzi Zora Slut Diego District The Hon. Don Biddle (don.biddle @ci.dublin.ca.us) SUPPLIER DIRECTOR The Hon. Eric Swalwell (eric.swalwell @dublin.ca.gov) Carl Parker The Hon. Kasie Hildenbrand (kasie.hildenbrand @dublin.ca.gov) Supplier Director CoreMark Bobby Barrett The Neighborhood Market Association Supplier Director Representing over 2,000 members, employing over 21,000 people and generating Viejas over $2.4 Billion of gross profits annually to the State of California! PRESIDENT &CEO Mark Paul Arabo GENERAL COUNSEL Spencer C. Skeen, Esq. Fisher&Phillips LLP RECEIVED Chevron SEP 1 S 2012 • r Chevron CITY OF DUBLIN CITY MANAGER'S OFFICE Dublin Chevron Food Mart 7007 San Ramon Rd. Dublin,CA 94568 Phone 925 828 3935 September 18, 2012 Fax 925 828 1230 Mayor Tim Sbranti City of Dublin 100 Civic Plaza Dublin CA 94568 Re: Tobacco Retailers Ordinance- OPPOSE Mayor Sbranti: Thank you, city council and city staff for taking the time to reach out to the business community on the tobacco retailers ordinance. As you know, this issue is of extreme importance to my family. While I have submitted written documentation and testified at each public hearing, I would like to formally submit my opposition to the ordinance in its current outline and echo the position of the chamber of commerce. I would also like to add that recently the state has taken more efforts to crack down on illegal sales to minors by adopting AB 1301. Thank you for your consideration. Sincerely, / D. )4:541.--' Tim Johnson Owner Ped on Recyrint .ied Paper C Mini Mart 6000 Dougherty Road Dublin CA 94568 925.828.0696 September 18, 2012 Mayor Tim Sbranti RECEIVED Vice Mayor Kevin Hart SEP 1 Council Member Don Biddle 8 2012 Council Member Eric Swalwell CITY OF OUeUN Council Member Kasie Holdenbrand City MANAGER'S OFFICE City of Dublin 100 Civic Plaza Dublin CA 94568 Mayor Sbranti and Council Members: I would like this opportunity to reiterate our opposition to the pending tobacco licensing ordinance. In addition to my comments submitted in April, I would like to add our concerns about now including a minimum cigar pack size as part of the ordinance. Tobacco sales are an important part of my business. Many of our customers who purchase cigars purchase them 1 or 2 at a time. It seems counter-productive to make these adult customers purchase more cigars than they actually want to buy. Additionally, these customers will simply take their business outside of Dublin. I hope you to consider our concerns and the concerns of the Chamber of Commerce when making this important decision. Best regards, Sandeep Singh Manager RECEIVED Smoker Friendly SEP 1 8 2012 CITY OF DUBLIN CITY MANAGER'S OFFICE September 18, 2012 City Council City of Dublin 100 Civic Plaza Dublin, CA Re: Tobacco Ordinance Dear Mayor and City Council: I have many concerns about the proposed tobacco ordinance. City staff has correctly identified some of the flaws that will be costly to the city and ultimately the taxpayers of Dublin. I encourage city council to abandon an ordinance that includes any minimum pack size for cigars and distance limits on retailers who sell tobacco. Establishing a minimum pack size will take cigars off my shelf and take away a significant part of my business. My cigar customers generally purchased one or two cigars at a time. Requiring them to purchase more than they want to buy will send their business to neighboring cities. As I stated in my prior letter, I don't disagree with the concept of the city having more local control over any retailers that repeatedly sell to minors. The part that concerns me is the cost of the license. I fail to see how 25 retailers could begin to cover all of the costs of a city tobacco license program. The cost of doing business is already high and another license is like another tax. You should look for other sources of revenue to cover the costs to license city retailers. Thank you for your time and I hope you consider my perspective since I am a long time local business owner. Regards, v err hafar Quyum 7135 Amador Plaza Road, Dublin, CA 94568 925/829-9615 SMOKER'S GIFT SHOP RECEIVED 7209 Regional Street SEP 1 8 ?012 Dublin, CA 94568 CITY OF DUBLIN (925) 551-0767 CITY MANAGER'S OFFICE September 17, 2012 Dublin City Council 100 Civic Plaza Dublin, CA 94568 Dear Mayor and Council: I appreciate city staff time and effort to outreach to retailers on the tobacco retailer ordinance. I would like to state my support for the chamber of commerce position on the overall ordinance. Additionally I would like to strongly oppose the newly added provision to create a minimum pack size for cigars. This would have a serious and negative impact on my business. Commonly cigars are sold individually so eliminating them from my shelves will hurt my business. I respectfully ask that you look for ways to enforce existing laws that protect our kids from tobacco. Sincerely, Ha ed Akbarzadeh Owner RECEIVED SEP 18 2012 Discount Cigarettes & Cigars CITY OF DUBLIN Lowest Prices in the Tri-Valley Area CITY MANAGER'S OFFICE 7986 Amador Valley Blvd. (925) 560-0671 Dublin, CA 94568 discountcigarettes.biz September 18, 2012 Mayor and Council Members Fax: 833-6651 City of Dublin 100 Civic Plaza Dublin,CA 94568 Dear Mayor Sbranti and Council Members Hart, Biddle,Swalwell and Hildenbrand: I understand that the City Council will again review a proposed ordinance to limit tobacco retailers in Dublin this evening. As I have stated in previous letters to you, my wife and I recently opened one of the few smoke shops in the city. It has taken a significant investment on our part to own and operate this business. This store took our savings and it is how we plan to put our son through school and hopefully be worth enough to retire on too. Needless to say,the councils' plans to limit the distance of tobacco sales near youth oriented areas and distance between other retailers impacts our store specifically. I ask that you support the modifications to the ordinance that were proposed by the Chamber of Commerce and tobacco retailers that are outlined in your staff report. Very truly yours, Edress Muhtezebsade SEP. 18. 2512 2:42PM S3 CUNSIKUCIION 405 956 0215 NO. 2951 V. 2 Ma San Jose S Construction • • September 18, 2012 Mayor Tim Sbranti Council Members: Eric Salwell, Kasie Hildenbrand, Kevin Hart & Don Biddle 100 Civic Plaza Dublin, CA 94568 Re: Dublin Land Co. Proposed 75+Acres Mixed Use at Tassajara & I 580 Subj: Proposed Tobacco Ordinance Dear Mayor & Council Members: I am unable to attend the City Council Meeting this evening regarding Item#7.2, `The Tobacco Retailer's Ordinance Restrictions'. This restriction will have serious financial impacts on Commercial/ Retail business properties including the loss of significant revenues to the City of Dublin. I kindly request the City Council please exempt and protect our property under the Grandfather Law Protection Provisions. I further request that the City Council establish legal language that will permanently protect the `Grandfather' provision for the life of our property, currently zoned General Commercial and Multi-Family Residential. It is highly likely that prospective purchasers of the DLC property will require this provision. Your consideration is sincerely appreciated. • Sincerely, -,2ttyca iv/ • ohn Di Manto Dublin Land Company 1210 Coleman Avenue, Santa Gem CA 95050•408.986.6711•Fax 408.9880278 1000 Munras Avenue,Suite 100, Monterey, CA 92940.831.373,8711 •Fax 821.646.4956 License 420837