HomeMy WebLinkAboutCC Resolution 26-13415 - Public Hearing to Consider Adoption of a Resolution revoking Business License for Dreamy ExoticsRESOLUTION NO. 26-13415
BEING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL
REVOKING THE BUSINESS LICENSE FOR DREAMY EXOTICS AT 835 UNION
AVENUE, CAMPBELL
WHEREAS, Dreamy Exotics, located at 835 Union Avenue., operates under a Business License and a
Tobacco Retailer Permit issued on April 17, 2024 (BL#036058) to operate as a Tobacco Store and to
sell tobacco and tobacco related paraphernalia; and
WHEREAS, pursuant to Section 5.01.140 (Revocation generally) of the Campbell Municipal Code
("CMC"), any business license is subject to revocation based on complaints received, including a written
report of the chief of police or any officer disclosing the asserted violations of law or ordinance; and
WHEREAS, on March 5, 2025, during an inspection of the business, Campbell police officers identified a
large amount of flavored tobacco products on display and officers also documented items labeled
as containing Psilocybin and THC, the active ingredient in Marijuana; officers also discovered a hidden
room behind a false door; on February 10, 2026, during an inspection of the business, Campbell police
officers found psilocybin and psilocybin edible products as well as flavored nicotine for sale; and
WHEREAS, psilocybin, which acts as a serotonin receptor to produce hallucinogenic effects, is illegal
at the federal level and classified as a Schedule I substance; and
WHEREAS, sales of flavored nicotine from the business are a violation of State Law, California Health
and Safety Code section 104559.5 prohibits the retail sale of most flavored tobacco products and
tobacco product flavor enhancers; and
WHEREAS, the actions of the business documented on March 5, 2025 and February 10, 2026, by
Campbell police officers constitute grounds for revocation of the business license under Section
5.01.145 (Grounds for revocation) of the Campbell Municipal Code; and
WHEREAS, the Campbell City Council finds that revocation of the Business License for Dreamy Exotics
is not a "project" subject to the California Environmental Quality Act because the action is an
administrative enforcement action that will not result in either a direct physical change in the environment
or a reasonably foreseeable indirect physical change in the environment, and because the action
revokes City -issued authorization for the business to continue operating under the subject Business
License and Tobacco Retailer Permit based on documented violations, and does not approve any
construction, change in land use, physical development, or other activity that may cause a physical
environmental effect, and therefore is not subject to CEQA pursuant to Public Resources Code section
21065 and CEQA Guidelines section 15378; and
WHEREAS, in the alternative, even if the revocation action were considered a project under CEQA, the
Campbell City Council finds that the action is exempt from CEQA under the common sense exemption
in CEQA Guidelines section 15061(b)(3), because it can be seen with certainty that revocation of a
business license and tobacco retailer permit for an existing business will not have a significant effect on
the environment, as the action is regulatory and enforcement -related, does not authorize physical
changes to the property, and does not commit the City to any future physical development or use of the
site,
WHEREAS, Campbell Municipal Code Section 5.01.155 (Notice of hearing on revocation), which relates
to business license revocations, requires that the City mail notices to the business licensee and the
City Council Resolution No. 26-13415 Page 2 of 2
Revocation of Business License and Tobacco Retailer Permit for Dreamy Exotics
subject property owner at least five prior to the scheduled Council hearing to consider revocation of the
Business License and Tobacco Retailers Permit; and
WHEREAS, consistent with the requirements of Campbell Municipal Code Section 5.01.155 (Notice of
hearing on revocation), the City Clerk has mailed notices to the subject business licensee and property
owner ten days prior to the July 7, 2026, Council meeting in accordance with these requirements; and
WHEREAS, the Campbell City Council has accepted public testimony as part of the noticed public
hearing and has reviewed the entire administrative record prior to making a decision regarding this
revocation.
Based upon the foregoing findings of fact and in consideration of the entire administrative record, the
City Council further finds and concludes that:
Business License Revocation Findings (CMC Sec. 5.01.145 — Grounds for revocation.):
(1) The continuance of the operations of the licensee under the license is contrary to the public
health, safety, peace, welfare, and morals;
(2) The licensee has violated penal provisions of this title or other applicable law,
(3) The applicant misrepresented a material fact in obtaining a license under this tile,
(4) The conduct of the business constitutes a public nuisance, or is otherwise illegal, improper or
disorderly.
NOW, THEREFORE, BE IT RESOLVED, the City Council finds that the action is not a project subject
to the California Environmental Quality Act pursuant to Public Resources Code section 21065 and
CEQA Guidelines section 15378, and, in the alternative, is exempt from CEQA pursuant to CEQA
Guidelines section 15061(b)(3); affirms that the grounds for revocation have been met under Sections
5.01.140 (Revocation generally.) of the Campbell Municipal Code; and hereby revokes the Business
License for Dreamy Exotics located at 835 Union Avenue, Campbell.
PASSED AND ADOPTED this 7th day of July, 2026, by the following roll call vote:
AYES:
Councilmembers:
Lopez, Hines, Scozzola, Bybee, Furtado
NOES:
Councilmembers:
None
ABSTAINED:
Councilmembers:
None
ABSENT:
Councilmembers:
None
PPROVED:
Daniel E. Furtado, Mayor
ATTEST:
a412 0641,14
Andrea anders, City Clerk