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HomeMy WebLinkAbout2019-05-28 - AGENDA REPORTS - STATE LEGISLATION: AB 377 (2)Agenda Item: 3 DATE: May 28, 2019 SUBJECT: STATE LEGISLATION: ASSEMBLY BILL 377 DEPARTMENT: City Manager's Office PRESENTER: Masis Hagobian RECOMMENDED ACTION City Council adopt the City Council Legislative Committee recommendation to oppose Assembly Bill 377 (Garcia) and transmit position statements to Assembly Member Garcia, Santa Clarita's state legislative delegation, appropriate legislative committees, Governor Newsom, and the League of California Cities. BACKGROUND Authored by Assembly Member Eduardo Garcia (D -56 -Coachella), Assembly Bill 377 preempts local land use authority related to microenterprise home kitchen operations (MEHKO). For the purpose of this staff summary, MEHKO means a food facility that is operated by a resident in a private home where food is stored, handled, and prepared for, and may be sold to, consumers. Individuals may consume the food at the MEHKO residential site, pick-up the food, or have the food delivered. Assembly Bill 1616, Chapter 415, Statutes of 2012, preempts local authority and allows for certain food products to be made and sold from a resident's private home. The statute includes a specific list of food products authorized under the law that can be made and sold to consumers including: • Baked goods without cream, custard or meat fillings, such as breads, biscuits, cookies, and pastries; • Candy, such as brittle and toffee; • Chocolate -covered nonperishable foods, such as nuts and dried fruit; • Honey; and Page 1 • Roasted coffee and dried tea During the 2018 Legislative Year, Assembly Bill 626, Chapter 470, Statutes of 2018, established MEHKO as a new category of retail food facilities and expanded the state's preemption of local authority of residential -retail food facilities. This 2018 statute allows for consumers to eat at the residential site operating a MEHKO and does not prohibit any food products from being made or sold as part of MEHKO. However, as enacted, Assembly Bill 626, Chapter 470, Statutes of 2018, is ambiguous as to whether cities or counties have ultimate authority over the permitting of MEHKO. The current statute states that cities and counties have "full discretion" to authorize the permitting of MEHKO. However, the statute also includes a provision that a county's permitting of MEHKO supersedes a city's prohibition on the residential retail food facility. As of April 2019, the City of Santa Clarita (City) and Los Angeles County Department of Public Health have not issued MEHKO permits. Earlier this year, City staff was notified that Assembly Member Garcia was working on a "clean- up" bill that would amend the statute and provide clarification regarding the jurisdictional authority of the permitting of MEHKO. The anticipated amendments were expected to include language that would clarify that cities have the authority to opt out of a county's MEHKO permitting program. The proposed urgency bill, Assembly Bill 377, as it is currently written, designates the permitting authority of MEHKO to the enforcement agency within the respective jurisdiction. An enforcement agency, as defined in the California Health and Safety Code, is the local health agency having jurisdiction over food facilities. The City uses Los Angeles County Department of Public Health for the permitting and other health services related to food facilities, and therefore, this bill would designate Los Angeles County Department of Public Health with the permitting authority of MEHKO. Furthermore, Assembly Bill 377 expresses that if a county authorizes the permitting of MEHKO, all cities and the unincorporated areas within that county, regardless of any existing city ordinance or prohibition of MEHKO, cannot opt out of the county's MEKHO permitting program. This bill preempts local land use and zoning authority, potentially exposing the community to adverse impacts related to commercial enterprises permitted within residential zones. Specifically, this bill may adversely impact sanitation, traffic congestion, parking, excessive noise, and building and fire code issues. The City currently has a robust process to review and develop specific zones that incorporates input from the public, City Council, commissions, and staff. This successful and local zoning process provides the City the ability to consider the unique community needs and maintains the City's community characteristics. The City of Santa Clarita 2019 Legislative Platform includes a component consistent with the recommendation to oppose this bill. Component 21 under the "State" section of the Legislative Platform advises that the City Council, "Oppose legislation that would interfere with, limit or eliminate the decision-making authority of municipalities in the area of local land use." Page 2 Assembly Bill 377 was introduced on February 5, 2019, and passed the Assembly Committee on Health (13-1-1) on April 9, 2019. This bill passed the Assembly Committee on Appropriations (18-0) on April 24, 2019, and ordered to third reading. The City Council Legislative Committee met on May 6, 2019, and recommends that the City Council adopt an "oppose" position on Assembly 377. ALTERNATIVE ACTION Adopt a "neutral" position on Assembly Bill 377 2. Adopt a "support" position on Assembly Bill 377 3. Take no action on Assembly Bill 377 4. Refer Assembly Bill 377 back to the Legislative Committee 5. Other action, as determined by the City Council FISCAL IMPACT The resources required to implement the recommended action are contained within the City of Santa Clarita's adopted Fiscal Year 2018-19 budget. ATTACHMENTS Assembly Bill 377 Bill Text Page 3 AMENDED IN ASSEMBLY MARCH 25, 2019 AMENDED IN ASSEMBLY MARCH 11, 2019 CALIFORNIA LEGISLATURE -2019-20 REGULAR SESSION ASSEMBLY BILL No. 377 Introduced by Assembly Member Eduardo Garcia February 5, 2019 An act to amend Sections 114367.1, 114367.2, "�T 114367.5, and 114367.6 of, to add Seetion 1 ^367.E t -o, and to repeal and add Seetio Sections 114367 and 114367.3 of, the Health and Safety Code, relating to retail food facilities, and declaring the urgency thereof, to take effect immediately. LEGISLATIVE COUNSEL'S DIGEST AB 377, as amended, Eduardo Garcia. Microenterprise home kitchen operations. (1) The California Retail Food Code (code) authorizes the governing body of a city, county, or city and county, by ordinance or resolution, to permit microenterprise home kitchen operations if certain conditions are met. The code requires microenterprise home kitchen operations, as a restricted food service facility, to meet specified food safety standards. A violation of the code is generally a misdemeanor. This bill would modify the conditions for a city, county, or city and county to permit microenterprise home kitchen operations within its jurisdiction. The bill would modify the inspections and food safety standards applicable 97 AB 377 to microenterprise home kitchen operations. The bill would prohibit an internet food service intermediary or a microenterprise home kitchen operation from using the word "catering" or any variation of that word in a listing or advertisement of a microenterprise home kitchen operation's offer of food for sale. The bill would require a microenterprise home kitchen operation to include specific information, including its permit number, in its advertising. The bill would prohibit a third -party delivery service from delivering food produced by a microenterprise home kitchen operation. By expanding the scope of a crime for a violation of the code, this bill would impose a state -mandated local program. (2) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. (3) This bill would declare that it is to take effect immediately as an urgency statute. Vote: 2/3. Appropriation: no. Fiscal committee: yes. State -mandated local program: yes. The people of the State of California do enact as follows: 1 SECTION 1. Section 114367 of the Health and Safety Code 2 is repealed. 3 SEC. 2. Section 114367 is added to the Health and Safety Code, 4 to read: 5 114367. The governing body of a city, county, or city and 6 county that is designated as the enforcement agency, as defined 7 in Section 113773, may authorize, by ordinance or resolution, 8 within its jurisdiction the permitting of microenterprise home 9 kitchen operations in accordance with this chapter. If a governing 10 body of a city, county, or city and county authorizes the permitting 11 of microenterprise home kitchen operations, the authorization shall 12 apply to all areas within its jurisdiction, including being applicable 13 to all cities within a county that authorizes microenterprise home 14 kitchen operations, regardless of whether each city located within 15 the jurisdiction of the county separately authorizes them. 16 SEC. 3. Section 114367.1 of the Health and Safety Code is 17 amended to read: 97 — 3 — AB 377 1 114367. 1. (a) A microenterprise home kitchen operation, as 2 defined in Section 113825, shall be considered a restricted food 3 service facility for purposes of, and subject to all applicable 4 requirements of, Chapter 1 (commencing with Section 113 700) to 5 Chapter 9 (commencing with Section 114265), inclusive, and 6 Chapter 13 (commencing with Section 114380), except as 7 otherwise provided in this chapter. 8 (b) A microenterprise home kitchen operation shall be exempt 9 from all of the following provisions: 10 (1) Handwashing facilities requirements, as required in Section 11 113953, provided that a handwashing sink is supplied with warm 12 water and located in the toilet room and supplied, as specified in 13 Section 113953.2. 14 (2) Any provision in this part relating to sinks, warewashing 15 machines, and manual or machine sanitation, including, but not 16 limited to, Sections 114099, 114099.2, 114099.4, 114101.1, 17 114101.2, 114103, 114107, 114123, 114125, 114163, and 114279, 18 provided that all of the following conditions are met: 19 (A) Utensils and equipment are able to be properly cleaned and 20 sanitized. 21 (B) The sink in a microenterprise home kitchen operation has 22 hot and cold water and is fully operable. 23 (C) If a dishwasher is used, it shall be operated in accordance 24 with the manufacturer's specifications. 25 (3) Prohibition on the presence of persons unnecessary to the 26 food facility operation in the food preparation, food storage, or 27 warewashing areas, as specified in Section 113945.1, provided 28 that the permit hol permitholder takes steps to avoid any 29 potential contamination to food, clean equipment, utensils, and 30 unwrapped single -service and single -use articles and prevents a 31 person suffering from symptoms associated with acute 32 gastrointestinal illness or person known to be infected with a 33 communicable disease that is transmissible through food to enter 34 the food preparation area while food is being prepared as part of 35 a microenterprise home kitchen operation. 36 (4) No smoking sign posting requirements, as specified in 37 Section 113978. 38 (5) Limitations on employee consumption of food, drink, or 39 tobacco outside of designated areas, as specified in Sections 113977 40 and 114256, provided that the permitholder takes 97 AB 377 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —4— steps to avoid any potential contamination to food, clean equipment, utensils, and unwrapped single -service and single -use articles and prevents aperson suffering from symptoms associated with acute gastrointestinal illness or person known to be infected with a communicable disease that is transmissible through food to enter the food preparation area while food is being prepared as part of a microenterprise home kitchen operation. (6) Limitations on consumer access to the food facility through food preparation areas, as specified in Section 113984. 1, provided that the permit hol permitholder takes steps to avoid any potential contamination to food, clean equipment, utensils, and unwrapped single -service and single -use articles and prevents a person suffering from symptoms associated with acute gastrointestinal illness or person known to be infected with a communicable disease that is transmissible through food to enter the food preparation area while food is being prepared as part of a microenterprise home kitchen operation. (7) Display guard, cover, and container requirements, as specified in Section 114060, provided that any food on display that is not protected from the direct line of a consumer's mouth by an effective means is not served or sold to any subsequent consumer. (8) 14mita+ions ott ottteloor display and sale of foods, as speeifie eontamittation and that atty potentially hazardotts food that is displayed or sold ottteloors is maintaitteel at the reqffired inside the kiteftett whett not operating the mieroenterprise home kiteftett operation. (4) (8) Requirements to provide clean drinking cups and tableware for second portions and beverage refills, as specified in Section 114075. (9) Requirements pertaining to the characteristics and certification of utensils and equipment, as specified in Sections 114130 and 114139, provided that utensils and equipment are designed to retain their characteristic qualities under normal use conditions. 97 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 — 5 — AB 377 (10) Requirements pertaining to the characteristics, construction, and multiuse of food -contact and nonfood -contact surfaces, as specified in Sections 114130.3 and 114130.4, provided that food contact surfaces are smooth, easily cleanable, and in good repair. (11) Requirements pertaining to the characteristics, construction, and disassembly of clean in place (CIP) equipment, as specified in Section 114130.5. f�3} (12) Limitations on the use of wood as a food contact surface and in connection with other equipment, as specified in Section 114132. 114132, provided that hard maple or equivalent wood is approved for use in direct contact with food during preparation. (13) Any provision in this part relating to ventilation, including, but not limited to, Article 2 (commencing with Section 114149) of Chapter 6, provided that gases, odors, steam, heat, grease, vapors, and smoke are able to escape from the kitchen. (14) Requirements that cold or hot holding equipment used for potentially hazardous food be equipped with integral or permanently affixed temperature measuring device or product mimicking sensors, as specified in subdivision (c) of Section 114157. (15) Requirements pertaining to the installation of fixed, floor -mounted, and table -mounted equipment, as specified in Section 114169. (16) Dedicated laundry facility requirements, as specified in Section 114185.5, provided that linens used in connection with the microenterprise home kitchen operation shall be laundered separately from the household and other laundry. (17) Requirements pertaining to water, plumbing, drainage, and waste, as specified in Sections 114193, 114193.1, and 114245.7. (18) Any requirement that a microenterprise home kitchen operation have more than one toilet facility or that access to the toilet facility not require passage through the food preparation, 97 AB 377 1 food storage, or utensil washing areas, including, but not limited 2 to, the requirements specified in Sections 114250 and 114276. 3 (2-0} 4 (19) Light intensity, light source, and lightbulb requirements, 5 as specified in Sections 114252 and 114252. 1, provided that food 6 preparation areas are well lighted by natural or artificial light 7 whenever food is being prepared. 8 (2+} 9 (20) Requirements to provide and use lockers, storage facilities, 10 and designated dressing areas, and that food facility premises be 11 free of litter and items that are unnecessary to the operation, as 12 specified in Sections 114256.1 and 114257.1, provided that 13 personal effects and clothing not ordinarily found in a home kitchen 14 are placed or stored away from food preparation areas and dressing 15 takes place outside of the kitchen. 16 (2-2� 17 (21) Limitations on the presence and handling of animals, such 18 as domestic, service, or patrol animals, as specified in Sections 19 114259.4 and 114259.5, provided that all animals are kept outside 20 of the kitchen during food service and preparation. 21 (2-3- 22 (22) Requirements pertaining to floor, wall, and ceiling surfaces, 23 as specified in Sections 114268, 114269, and 114271, provided 24 that the floor, wall, and ceiling surfaces of the kitchen, storage, 25 and toilet areas are smooth, of durable construction, and easily 26 cleanable with no limitations on the use of wood, tile, and other 27 nonfiber floor surfaces ordinarily used in residential settings. 28 (24} 29 (23) Any local evaluation or grading system for food facilities, 30 as authorized by Section 113709. 31 (24j 32 (24) All prohibitions and limitations on the use of a kitchen in 33 a private home as a food facility, including, but not limited to, 34 prohibitions and limitations specified in Section 114285, provided 35 that food is not prepared in designated sleeping quarters. Open 36 kitchens adjacent to living and sleeping areas, kitchens in 37 efficiency, studio, and loft -style residences, and kitchens without 38 doors at all points of ingress and egress may be used in 39 microenterprise home kitchen operations. 40 (2fr} 97 — 7 — AB 377 1 (25) Planning and permitting provisions of Sections 114380 2 and 114381.2. 3 (c) A microenterprise home kitchen operation may operate an 4 open-air barbecue or outdoor wood -burning oven, pursuant to the 5 requirements of Section 114143. 6 (d) The operator of a microenterprise home kitchen operation 7 shall successfully pass an approved and accredited food safety 8 certification examination, as specified in Section 113947.1. 9 (e) Any individual, other than the operator, who is involved in 10 the preparation, storage, or service of food in a microenterprise 11 home kitchen operation shall be subject to the food handler card 12 requirements specified in Section 113948. 13 (/) A microenterprise home kitchen operation shall only offer 14 for sale or sell food that was prepared during a food demonstration 15 or preparation event to a consumer who was present at that food 16 demonstration or preparation event. 17 SEC. 4. Section 114367.2 of the Health and Safety Code is 18 amended to read: 19 114367.2. (a) A microenterprise home kitchen operation shall 20 not be open for business unless it has obtained a permit issued 21 from the enforcement agency. 22 (b) The department shall post on its internet website the 23 requirements for the permitting of a microenterprise home kitchen 24 operation, pursuant to this chapter and any ordinance, resolution, 25 or rules adopted by any city, county, or city and county, that has 26 authorized the permitting of microenterprise home kitchen 27 operations, which shall be written at a high school level. 28 (c) The applicant shall submit to the enforcement agency written 29 standard operating procedures that include all of the following 30 information: 31 (1) All food types or products that will be handled. 32 (2) The proposed procedures and methods of food preparation 33 and handling. 34 (3) Procedures, methods, and schedules for cleaning utensils, 35 equipment, and for the disposal of refuse. 36 (4) How food will be maintained at the required holding 37 temperatures, as specified in Section 113996, pending pickup by 38 consumer or during delivery. 39 (5) Days and times that the home kitchen may potentially be 40 utilized as a microenterprise home kitchen operation. The stated 97 AB 377 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 —8— days and times are not binding on the permitholder and shall be used for information purposes only. (d) (1) The enforcement agency shall issue a permit after an initial inspection has determined that the proposed microenterprise home kitchen operation and its method of operation comply with the requirements of this chapter. (2) An enforcement agency shall not require a microenterprise home kitchen operation to comply with food safety requirements that are different from, or in addition to, the requirements of this chapter. (e) For purposes of permitting, the permitted area includes the home kitchen, onsite consumer eating area, food storage, utensils and equipment, toilet room, janitorial or cleaning facilities, and refuse storage area. Food operations shall not be conducted outside of the permitted areas. (f) An enforcement agency may require a microenterprise home kitchen operation to renew its permit annually. (g) A permit, once issued, is nontransferable. A permit shall be valid only for the person and location specified by that permit, and, unless suspended or revoked for cause, for the time period indicated. (h) The permit, or an accurate copy thereof, shall be retained by the operator onsite and displayed at all times the microenterprise home kitchen operation is in operation. (i) An enforcement agency may collect a fee for the issuance of a permit pursuant to this chapter in an amount that does not exceed the reasonable administrative costs by the enforcement agency in issuing the permit. SEG. �. Seetion 114.367.3 of the Health attel Safi� Go ametteleel to read.! 114367.3. (a) Notwithstanding any other lai-, ttetprise home kiteftett operation shall not be sttbjeet to ... R.— or otherwise wisafe f-ooel has beett produeed or served by the 97 - 9 - AB 377 Q 97 AB 377 1 2 fior the inspeetion, keep that doettmentation ott file with th-e 3 mieroetiterprise home kiteften operation's 4 .�-Om .. ... Wfiting to the operator of the mieroetitetprise home 5 kiteften operation. 6 (d) Aeeess provided tttider this seetion is limited to the pe"itte 7 area of the mieroetitetprise home kiteften operation, 8 posted operating ftottrs of the mieroetiterprise home kitefte 9 operation, and solely for the ptwpose of enforeing or admittistefting 10 this Part. 11 12 mieroetiterprise home kiteften operation of att amotttit that does. 13 ' 14 15 eompliattee with this part if the mieroetiterprise home kitefte 16 operation is fiotttid to be itt violation of this part. 17 SEC. 6. Section 114367.3 is added to the Health and Safety 18 Code, to read. - 19 114367.3. (a) Notwithstanding any other law, a 20 microenterprise home kitchen operation shall only be subject to 21 the three following types of inspections by the enforcement agency: 22 (1) A routine inspection for the purpose of allowing the 23 enforcement agency to observe the permitholder engage in the 24 usual activities of a microenterprise home kitchen operation, 25 including, but not limited to, active food preparation. The 26 enforcement agency shall provide notice to a permitholder before 27 a routine inspection and shall conduct the routine inspection at a 28 mutually agreeable date and time. A microenterprise home kitchen 29 operation shall not be subject to more than one routine inspection 30 within 12 months. This paragraph shall not be deemed to require 31 the enforcement agency to conduct a routine inspection. 32 (2) An investigation inspection for the purpose of allowing the 33 enforcement agency to perform an inspection when the enforcement 34 agency has just cause that adulterated or otherwise unsafe food 35 has been produced or served by the microenterprise home kitchen 36 operation or that the permitholder has otherwise violated this part. 37 One or more consumer complaints may constitute just cause for 38 an investigation inspection. The enforcement agency shall provide 39 notice to a permitholder before an investigation inspection and 97 -11— AB 377 1 shall conduct the investigation inspection at a mutually agreeable 2 date and time. 3 (3) An emergency inspection for the purpose of allowing the 4 enforcement agency to perform a limited inspection when the 5 enforcement agency has just cause that the microenterprise home 6 kitchen operation poses a serious hazard or immediate threat to 7 public health. To the extent that notice of an emergency inspection 8 is reasonable under the circumstances, the enforcement agency 9 shall provide notice to a permitholder before an emergency 10 inspection. The scope of emergency inspection shall be limited in 11 duration and scope to address the facts giving just cause that the 12 microenterprise home kitchen operation poses a serious hazard 13 or immediate threat to public health. 14 (b) The enforcement agency shall only inspect the permitted 15 area of the microenterprise home kitchen operation for the purpose 16 of enforcing or administering this part. 17 (c) The enforcement agency may seek recovery from a 18 microenterprise home kitchen operation of an amount that does 19 not exceed the enforcement agency's reasonable costs of inspecting 20 the microenterprise home kitchen operation for compliance with 21 this part if the microenterprise home kitchen operation is found 22 to be in violation of this part. 23 SEG. 6.. 24 SEC. 7. Section 114367.5 of the Health and Safety Code is 25 amended to read: 26 114367.5. (a) A person delivering food on behalf of a 27 microenterprise home kitchen operation with a permit issued 28 pursuant to Section 114367.2 shall be an employee of the 29 microenterprise home kitchen operation or a family member or 30 household member of the permitholder. 31 (b) Food produced in a microenterprise home kitchen operation 32 shall not be delivered by a third -party delivery service. 33 SEC. 7. 34 SEC. 8. Section 114367.6 of the Health and Safety Code is 35 amended to read: 36 114367.6. (a) An internet food service intermediary that lists 37 or promotes a microenterprise home kitchen operation on its 38 internet website or mobile application shall meet all of the 39 following requirements: 97 AB 377 1 (1) Be registered with the department. A registration, once 2 issued, is nontransferable. A registration shall be valid only for 3 the person and type of business specified by that registration, and 4 unless suspended or revoked for cause by the department. 5 (2) Prior to the listing or publication of a microenterprise home 6 kitchen operation's offer of food for sale, clearly and conspicuously 7 post on its internet website or mobile application the requirements 8 for the permitting of a microenterprise home kitchen specified in 9 this chapter, which shall be written at the high school level and be 10 provided by the department. 11 (3) Clearly and conspicuously post on its internet website or 12 mobile application the fees associated with using its platform in a 13 manner that allows both the consumer and the microenterprise 14 home kitchen operation to see and understand the amount being 15 charged for the services provided by the internet food service 16 intermediary. The internet food service intermediary shall notify 17 the microenterprise home kitchens operation of any 18 changes to these fees exceeding a 2 -percent increase in writing 19 and no later than one month before the changes take effect. 20 (4) Clearly and conspicuously post on its internet website or 21 mobile application whether or not it has liability insurance that 22 would cover any incidence arising from the sale or consumption 23 of food listed or promoted on its internet website or mobile 24 application. 25 (5) Provide a dedicated field on its platform for a microenterprise 26 home kitchen operation to post the permit tmntber, artdshall 27 28 29 number and the name of the county of the enforcement agency that 30 issued the permit. 31 (6) Clearly and conspicuously post on its internet website or 32 mobile application how a consumer can contact the internet food 33 service intermediary through its internet website or mobile 34 application if the consumer has a food safety or hygiene complaint 35 and a link to the department's internet website that contains 36 information for how to file a complaint with the enforcement 37 agency. 38 (7) Submit the name and permit number of a microenterprise 39 home kitchen operation to the enforcement agency4F4 that issued 40 the permit to the microenterprise home kitchen operation if the 97 -13 — AB 377 1 internet food service intermediary receives, through its internet 2 website or mobile application, three or more unrelated individual 3 food safety or hygiene complaints in a calendar year from 4 consumers that have made a purchase through its internet website 5 or mobile application. The internet food service intermediary shall 6 submit this information to the enforcement agency within two 7 weeks of the third complaint received. 8 (8) If it is notified by the enforcement agency of significant 9 food safety related complaints from a verified consumer that has 10 made a purchase through its internet website or mobile application, 11 submit to the enforcement agency the name and permit number of 12 microenterprise home kitchen operation where the food was 13 purchased, and a list of consumers who purchased food on the 14 same day from that microenterprise home kitchen operation through 15 its internet website or mobile application. 16 (9) Prior to the listing or publication of a microenterprise home 17 kitchen operation's offer of food for sale, obtain consent from the 18 microenterprise home kitchen operation to make the disclosures 19 to government entities required pursuant to this section. 20 (10) Shall not permit the use of the word "catering" or any 21 variation of that word in a listing or publication of a 22 microenterprise home kitchen operation's offer of food for sale. 23 (11) Shall not use, or knowingly facilitate the use of, a 24 third -party delivery service for food produced by the 25 microenterprise home kitchen operation. 26 (b) For purposes of this chapter, an "internet food service 27 intermediary" means an entity that provides a platform on its 28 internet website or mobile application through which a 29 microenterprise home kitchen operation may choose to offer food 30 for sale and from which the internet food service intermediary 31 derives revenues, including, but not limited to, revenues from 32 advertising and fees for services offered to a microenterprise home 33 kitchen operation. Services offered by an internet food service 34 intermediary to a microenterprise home kitchen operation may 35 include, but are not limited to, allowing a microenterprise home 36 kitchen operation to advertise its food for sale and providing a 37 means for potential consumers to arrange payment for the food, 38 whether the consumer pays directly to the microenterprise home 39 kitchen operation or to the internet food service intermediary. 40 Merely publishing an advertisement for the microenterprise home 97 AB 377 1 kitchen operation or food cooked therein does not make the 2 publisher an internet food service intermediary. 3 (c) (1) A microenterprise home kitchen operation that advertises 4 to the public, including, but not limited to, advertising by website, 5 internet, social media platform, newspaper, newsletter, or other 6 public announcement, shall include all of the following within the 7 advertisement: 8 (A) Name of the enforcement-ageffey. agency that issued the 9 permit. 10 (B) Permit number. 11 (C) Statement that the food prepared is "Made in a Home 12 Kitchen" in a clear and conspicuous font and location within a 13 written advertisement and an audible and comprehensible manner 14 in a verbal advertisement. 15 (2) A microenterprise home kitchen operation shall not use the 16 word "catering" or any variation of that word in an advertisement 17 relating to the microenterprise home kitchen operation's offer of 18 food for sale. 19 SEG. 8. Seetion 114367.7 is adeleel to the Health attel Safety 21 22 23 home kiteftett operations itt aeeordattee with this eftapter shall. 24 report to the I:egislatttre all of the following relating to 25 26 . 27 . 28 . 29 (2) The report shall be s4mitteel itt eompliattee with Seetio 30 979� of the Government Gode. 31 32 , 33 34 . 35 SEC. 9. No reimbursement is required by this act pursuant to 36 Section 6 of Article XIIIB of the California Constitution because 37 the only costs that may be incurred by a local agency or school 38 district will be incurred because this act creates a new crime or 39 infraction, eliminates a crime or infraction, or changes the penalty 40 for a crime or infraction, within the meaning of Section 17556 of 97 -15 — AB 377 1 the Government Code, or changes the definition of a crime within 2 the meaning of Section 6 of Article XIII B of the California 3 Constitution. 4 SEC. 10. This act is an urgency statute necessary for the 5 immediate preservation of the public peace, health, or safety within 6 the meaning of Article IV of the California Constitution and shall 7 go into immediate effect. The facts constituting the necessity are: 8 To ensure a uniform implementation of the health and food safety 9 responsibilities of microenterprise home kitchen operations 10 throughout the state, it is necessary that this act take effect 11 immediately. X 97