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CC Ordinance 2106 ORDINANCE NO. 2106 BEING AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL APPROVING A TEXT AMENDMENT AMENDING SECTION 21.10.090 ELIMINATING THE M-1-A (LIGHT INDUSTRIAL/ADULT ENTERTAINMENT OVERLAY) ZONING DISTRICT AND ADDING A NEW SECTION 21.10.090 REQUIRING SEXUALLY ORIENTED BUSINESSES TO BE RESTRICTED TO THE M-1 (LIGHT INDUSTRIAL) ZONING DISTRICT, INCLUDING OVER-CONCENTRATION AND LOCATIONAL CRITERIA AND AN AMORTIZATION CLAUSE; DELETING THE REFERENCE TO M-1-A DISTRICT FROM SECTION 21.04.020 AND DELETING SECTION 5.36.030 AND REPLACING IT WITH A NEW CHAPTER 5.55 ESTABLISHING NEW BUSINESS LICENSE REGULATIONS FOR SEXUALLY ORIENTED BUSINESSES INCLUDING AN ADMINISTRATIVE REVIEW BY THE POLICE DEPARTMENT SIMILAR TO THE CURRENT PROCESS FOR MASSAGE ESTABLISHMENTS, AND A PUBLIC NOTICE PROCESS. After notification and public hearing, as specified by law and after presentation by the Community Development Director, proponents and opponents, the hearing was closed. After due consideration of all evidence presented, the City Council of the City of Campbell does ordain as follows: SECTION ONE: FINDINGS. The City Council of the City of Campbell hereby finds that: (a) The City Council, in adopting this ordinance, takes legislative notice of the existence and content of the following studies concerning the adverse secondary side effects of Adult-Oriented Businesses in other cities: Garden Grove, California (1991); Tucson, Arizona (1990); Seattle, Washington (1989); Austin, Texas (1986); Oklahoma City, Oklahoma (1986); Indianapolis, Indiana (1984); Houston, Texas (1983); Beaumont, Texas (1982); Minneapolis, Minnesota (1980); Phoenix, Arizona (1979); Cleveland, Ohio (1977); Los Angeles, California (1977); Fort Worth, Texas (2004); Los Angeles, California (2007); as well as a compilation of other studies that can be found at www.secondaryeffectsresearch.com. The City Council finds that these studies are relevant to the problems addressed by the City in enacting this ordinance to regulate the adverse secondary side effects of Adult-Oriented Businesses, and more specifically finds that these studies provide convincing evidence that: City Council Ordinance Text Amendment - SECTION 21.10.090 Page 2 (1) Adult-Oriented Businesses are linked to increases in the crime rates in those areas in which they are located and in surrounding areas. (2) Both the proximity of Adult-Oriented Businesses to sensitive land uses and the concentration of Adult-Oriented Businesses tend to result in blight and deterioration of the areas in which they are located. (3) The proximity and concentration of Adult-Oriented Businesses adjacent to residential, recreational, religious, educational uses, as well as proximity to other Adult-Oriented Business uses can have adverse secondary effects on local businesses and residences. (4) There is substantial evidence that an increase in crime tends to accompany, concentrate around, and be aggravated by Adult-Oriented Businesses, including but not limited to an increase in the crimes of narcotics distribution and use, prostitution, pandering, and violence against persons and property. The studies from other cities establish convincing evidence that Adult- Oriented Businesses which are not regulated as to permissible locations often have a deleterious effect on nearby businesses in residential areas, causing, among other adverse secondary effects, an increase in crime and a decrease in property values. (b) Based on the foregoing, the City Council of the City of Campbell finds and determines that special regulation of Adult Oriented Businesses is necessary to ensure that their adverse secondary side effects will not contribute to an increase in crime rates or to the blighting or deterioration of the areas in which they are located or surrounding areas. The need for such special regulations is based upon the recognition that Adult-Oriented Businesses have serious objectionable operational characteristics, particularly when several of them are concentrated under certain circumstances or located in direct proximity to sensitive uses such as parks, schools, churches, thereby having a deleterious effect upon the adjacent areas. It is the purpose and intent of these special regulations to prevent the concentration of Adult-Oriented Businesses and thereby prevent such adverse secondary side effects. (c) The locational requirements established by this ordinance do not unreasonably restrict the establishment or operation of constitutionally protected Adult Oriented Businesses in the City of Campbell, and a sufficient reasonable number of appropriate locations for Adult Oriented Businesses are provided by this ordinance. The City Council also recognizes and relies on information regarding adult uses located ten (10) minutes driving time from the City of Campbell along Bascom Avenue between Highway 280 and San Carlos Boulevard, as well as other facilities located within 10-30 minutes driving time in the cities of San Jose and Sunnyvale. As well, the Council takes note that Campbell is a commuter City Council Ordinance Text Amendment - SECTION 21.10.090 Page 3 community and generally adults travel an average 10 to 40 minutes for entertainment venues or to make retail purchases. The Council also notes that adult uses have succeeded in industrial sections of the City of Sunnyvale. The City Council also takes note of the proliferation of adult material on the Internet and its availability as an alternative avenue of communication. The City Council also considers and relies on published decisions examining the proliferation of communications on the Internet. Reno v. American Civil Liberties Union, 521 U.S. 844, 117 S.Ct. 2329, 138 L.Ed.2d 874 (1997) [the principle channel through which many Americans now transmit and receive sexually explicit communication is the Internet]; Anheuser-Busch v. Schmoke, 101 F.3d 325, 329 (4th Cir. 1996), cert. denied 520 U.S. 1204 (1997) [the Fourth Circuit rejected a First Amendment challenge to a Baltimore ordinance restricting alcohol advertisements on billboards acknowledging that the Internet is one available channel of communication]; U.S. v. Hockings, 129 F.3d 1069 (9th Cir. 1997); see also U.S. v. Thomas, 74 F.3d 701 (6th Cir. 1996), cert. denied 519 U.S. 820 [recognizing the Internet as a medium for transmission of sexually explicit material in the context of obscenity prosecutions]. The emergence of the Internet brings with it a virtually unlimited additional source of adult oriented sexual materials available to interested persons in every community with a mere keystroke. An adult business no longer has to be actually physically located in a city to be available in the community. (d) In developing this ordinance, the City Council has been mindful of legal principles relating to regulation of Adult Oriented Businesses and does not intend to suppress or infringe upon any expressive activities protected by the First Amendments of the United States and California Constitutions, but instead desires to enact reasonable time, place, and manner regulations that address the adverse secondary effects of Adult Oriented Businesses. The City Council has considered decisions of the United States Supreme Court regarding local regulation of Adult- Oriented Businesses, including but not limited to: YounQ v. American Mini Theaters, Inc., 427 U.S. 50 (1976) (Reh. denied 429 U.S. 873); Renton v. Playtime Theaters, 475 U.S. 41 (1986) (Reh. denied 475 U.S. 1132); FW/PBS, Inc. v. Dallas, 493 U.S. 215 (1990); Barnes v. Glenn Theater, 501 U.S. 560 (1991); United States Court of Appeals 9th Circuit decisions, including but not limited to: TopanQa Press, et al. v. City of Los AnQeles, 989 F.2d 1524 (1993); Kev, Inc. v. Kitsap County, 793 F.2d 1053 (9th Cir. 1986); Colacurcio v. City of Kent, 163 F .3d 545 (9th Cir. 1998), pet. For cert. Filed (1999); several California cases including but not limited to: Tily B. v. City of Newport Beach, 69 Cal.AppAth 1 (1998); City of National City v. Wiener, 3 CalAth 832 (1993); People v. Superior Court (Lucero) 49 Cal.3d 14 (1989); and City of Valleio v. Adult Books, et aI., 167 Cal.App.3d 1169 (1985); and other federal cases including Lakeland LounQe v. City of Jacksonville (5th Cir. 1992) 973 F.2d 1255, HanQ On, Inc. v. ArlinQton (5th Cir. 1995) 65 F.3d 1248, Mitchell v. Commission on Adult Entertainment (3rd Cir. City Council Ordinance Text Amendment - SECTION 21.10.090 Page 4 1993) 10 F.3d 123, International Eateries v. Broward County (11th Cir. 1991) 941 F.2d 1157, and Star Satellite v. City of Biloxi (5th Cir. 1986) 779 F.2d 1074. (e) The City Council of the City of Campbell also finds that locational criteria alone do not adequately protect the health, safety, and general welfare of the citizens of the City of Campbell, and thus certain requirements with respect to the ownership and operation of Adult-Oriented Businesses are in the public interest. In addition to the findings and studies conducted in other cities regarding increases in crime rates, decreases in property values and the blighting of areas in which such businesses are located, the City Council also takes legislative notice of the facts recited in the case of Kev. Inc. v. Kitsap County, 793 F.2d 1053 (1986), regarding how live adult entertainment results in secondary effects such as prostitution, drug dealing, and other law enforcement problems. (f) The City Council finds the following, in part based upon its understanding of the documents and judicial decisions in the public record: (1) Evidence indicates that some dancers, models and entertainers, and other persons who publicly perform specified sexual activities or publicly display specified anatomical parts in Adult-Oriented Businesses (collectively referred to as 'performers') have been found to engage in sexual activities with patrons of Adult-Oriented Businesses on the site of the Adult-Oriented Business; (2) Evidence has demonstrated that performers employed by Adult-Oriented Businesses have been found to offer and provide private shows to patrons who, for a price, are permitted to observe and participate with the performers in live sex shows; (3) Evidence indicates that performers at Adult-Oriented Businesses have been found to engage in acts of prostitution with patrons of the establishment; (4) Evidence indicates that fully enclosed booths, individual viewing areas, and other small rooms whose interiors cannot be seen from public areas of the establishment regularly have been found to be used as a location for engaging in unlawful sexual activity; (5) As a result of the above, and the increase in incidents of AIDS and Hepatitis B, which are both sexually transmitted diseases, the City has a substantial interest in adopting regulations which will reduce, to the greatest extent possible, the possibility for the occurrence of prostitution and casual sex acts at Adult-Oriented Businesses. City Council Ordinance Text Amendment - SECTION 21.10.090 Page 5 (g) Zoning, licensing and other police power regulations are legitimate, reasonable means of accountability to help protect the quality of life in the community of Campbell and to help assure that all operators of Adult-Oriented Businesses comply with reasonable regulations and are located in places that minimize the adverse secondary effects which naturally accompany the operation of such businesses. (h) The City Council of the City of Campbell recognizes the possible harmful effects on children and minors exposed to the effects of such Adult- Oriented Businesses and the deterioration of respect for family values, and the need and desire of children and minors to stay away from and avoid such businesses, which causes children to be fearful and cautious when walking through or visiting the immediate neighborhood of such businesses; and the City Council desires to minimize and control the adverse secondary side effects associated with the operation of Adult-Oriented Businesses and thereby protect the health, safety, and welfare of the citizens of Campbell; protect the citizens from increased crime; preserve the quality of life; preserve property values and the character of surrounding neighborhoods and businesses; deter the spread of urban blight and protect against the threat to health from the spread of communicable and sexually transmitted diseases. (i) It is not the intent of the City Council of the City of Campbell in enacting this ordinance, or any provision thereof, to condone or legitimize the distribution of obscene material, and the City of Campbell recognizes that state law prohibits the distribution of the obscene materials and expects and encourages law enforcement officials to enforce state obscenity statutes against such illegal activities in the City of Campbell. 0) Nothing in this ordinance is intended to authorize, legalize, or permit the establishment, operation, or maintenance of any business, building, or use which violates any City ordinance or any statute of the State of California regarding public nuisances, unlawful or indecent exposure, sexual conduct, lewdness, obscene or harmful matter or the exhibition or public display thereof. (k) The City of Campbell finds the following in part, based upon its understanding of the documents and judicial decisions in the public record: (1) Evidence indicates that some dancers, models, entertainers, and other persons who publicly perform Specified Sexual Activities or publicly display Specified Anatomical Parts in Adult-Oriented Businesses (as those terms are defined herein) (collectively referred to as "Performers") have been found to engage in sexual activities with patrons of Adult- Oriented Businesses on the site of the Adult-Oriented Business; City Council Ordinance Text Amendment - SECTION 21.10.090 Page 6 (2) Evidence has demonstrated that Performers employed by Adult-Oriented Businesses have been found to offer and provide private shows to patrons who, for a price, are permitted to observe and participate with the Performers in live sex shows; (3) Evidence indicates that Performers at Adult-Oriented Businesses have been found to engage in acts of prostitution with patrons of the establishment; and (I) In prohibiting public nudity in Adult-Oriented Businesses, the City Council does not intend to proscribe the communication of erotic messages or any other communicative element or activity, but rather only to prohibit public nudity due to the secondary impacts associated with such public nudity; and (m) The City Council also finds, as a wholly independent basis, that it has a substantial public interest in preserving societal order and morality, and that such interest is furthered by a prohibition on public nudity; and (n) While the City Council desires to protect the rights conferred by the United States Constitution to Adult-Oriented Businesses, it does so in a manner that ensures the continued and orderly development of property within the City and diminishes, to the greatest extent feasible, those undesirable secondary effects which the aforementioned studies have shown to be associated with the development and operation of Adult-Oriented Businesses; and (0) The City Council finds that preventing the exchange of money between entertainers and patrons also reduces the likelihood of drug and sex transactions occurring in Adult-Oriented Businesses; and (p) Requiring separations between entertainers and patrons reduces the likelihood that such persons will negotiate narcotics sales and/or transact sexual favors within the Adult-Oriented Business. (q) Enclosed or concealed booths and dimly-lit areas within Adult- Oriented Businesses greatly increase the potential for misuse of the premises, including unlawful conduct of a type which facilitates transmission of disease. Requirements that all indoor areas be open to view by management at all times, and that adequate lighting be provided are necessary in order to reduce the opportunity for, and therefore the incidence of illegal conduct within Adult-Oriented Businesses, and to facilitate the inspection of the interior of the premises thereof by law enforcement personnel. SECTION TWO: Campbell Municipal Code Section 21.10.090 is hereby amended to read as set forth in Exhibit A to this Ordinance, requiring sexually City Council Ordinance Text Amendment - SECTION 21.10.090 Page 7 oriented businesses to be restricted to the M-1 (Light Industrial) Zoning District, including over-concentration and locational criteria and an amortization clause. SECTION THREE: Campbell Municipal Code Section 21.04.020 is hereby amended as set forth in Exhibit B to this Ordinance, deleting the reference to M- 1-A District. SECTION FOUR: The Campbell Municipal Code is hereby amended as set forth in Exhibit C to this Ordinance, deleting Section 5.36.030, amending Section 5.36.040 and adding Chapter 5.55 establishing new business regulations for sexually oriented businesses. SECTION FIVE: This Ordinance shall become effective thirty (30) days following its passage and adoption and shall be published, one time within fifteen (15) days upon passage and adoption in the Campbell Express, a newspaper of general circulation in the City of Campbell, County of Santa Clara. PASSED AND ADOPTED this 15th day of July following roll call vote: , 2008, by the AYES: NOES: ABSENT: ABSTAIN: COUNCILMEMBERS: Furtado, Kennedy, Low, Hernandez, Burr COUNCILMEMBERS: None COUNCILMEMBERS: None COUNCILMEMBERS: None APPR~U: r r J~..... ~ Donald R. Burr, Mayor -- ATTEST: /L~ - Anne Bybee, City Clerk Exhibit A Page 1 of3 SEXUALLY-ORIENTED BUSINESSES ZONING REGULATIONS All reference to the M-1-A zoning district is hereby deleted from Campbell Municipal Code Section 21.04.020. Section 21.10.090 of the Campbell Municipal Code is hereby amended to read as follows: 21.10.090 - Sexually-Oriented Businesses Community-wide adverse economic impacts, increased crime, decreased property values, and the deterioration of neighborhoods which can be brought about by the concentration of Sexually-Oriented Businesses in close proximity to each other or proximity to other incompatible uses such as schools for minors, churches, parks, and residentially zoned districts or uses. The City Council finds that it has been demonstrated in various communities that the concentration of Sexually-Oriented Businesses causes an increase in the number of transients in the area, and an increase in crime, and in addition to the effects described above can cause other businesses and residents to move elsewhere. It is, therefore, the purpose of this section to establish reasonable and uniform regulations to prevent the concentration of Sexually-Oriented Businesses or their close proximity to incompatible uses, while permitting the location of Sexually-Oriented Businesses in certain areas. A. Definitions. 1. Municipal Code. As used herein, the terms and phrases shall have the same meaning as defined in Chapter 5.55 of the Municipal Code. 2. Establishment of Sexually-Oriented Business. As used herein, to "establish" A Sexually-Oriented Business shall mean and include any of the following: a. The opening or commencement of any Sexually-Oriented Business as a new business; b. The conversion of an existing business, whether or not A Sexually-Oriented Business, to any Sexually-Oriented Business defined herein; c. The addition of any of the Sexually-Oriented Businesses defined herein to any other existing Sexually-Oriented Business; or d. The relocation of any such Sexually-Oriented Business. B. Locational Requirements. No Sexually-Oriented Business shall be established or located in any zone in the City other than the M-1 (Light Industrial) zoning district, and shall not be within certain distances of certain specified land uses or zones as set forth below: Exhibit A Page 2of3 1. Required distance from other Sexually-Oriented Businesses. No such business shall be established or located within 300 feet of any other Sexually- Oriented Business; 2. Required distance from other specified uses. No such business shall be established or located within 300 feet from any existing schools for minors, churches or religious institutions, parks, and residentially zoned districts or uses; and 3. Measurement of distance. The distances set forth above shall be measured as a radius from the primary entrance of the Sexually-Oriented Business to the property lines of the property so zoned or used without regard to intervening structures. C. Amortization of nonconforming Sexually-Oriented Business uses. Any use of real property lawfully existing on the effective date of this section, which does not conform to the provisions of this section, but which was constructed, operated, and maintained in compliance with all previous regulations, shall be regarded as a nonconforming use which may be continued for two years after the effective date of the ordinance that adopted this paragraph C. On or before such date, all such nonconforming uses shall be terminated unless an extension of time has been approved by the Planning Commission in compliance with the provisions of paragraph D, below. 1. Abandonment. Notwithstanding the above, any discontinuance or abandonment of the use of any lot or structure as A Sexually-Oriented Business shall result in a loss of legal nonconforming status of such use. 2. Annexed property. Any Sexually-Oriented Business which was a legal use at the time of annexation of the property and which is located in the City, but which does not conform to the provisions of paragraph B, above, shall be terminated within one year of the date of annexation unless an extension of time has been approved by the Planning Commission in compliance with the provisions of paragraph D, below. D. Extension of time for termination of nonconforming use. The owner or operator of a nonconforming use as described in paragraph C, above, may apply under the provisions of this section to the Planning Commission for an extension of time within which to terminate the nonconforming use. 1. Time and manner of application. An application for an extension of time within which to terminate a use made nonconforming by the provisions of paragraph C, above, may be filed by the owner of the real property upon which such use is operated, or by the operator of the use. Such an application must be filed with the Community Development Department at least 90 days but no more than 180 Exhibit A Page 3of3 days prior to the time established in paragraph C, above, for termination of such use. 2. Content of application and required fees. The application shall state the grounds for requesting an extension of time. The filing fee for such application shall be the same as that for a variance as is set forth in the schedule of fees established by resolution from time to time by the City Council. 3. Hearing procedure. A hearing shall set on the matter before the Planning Commission for within 45 days of receipt of the application. All parties involved shall have the right to offer testimonial, documentary and tangible evidence bearing on the issues; may be represented by counsel; and shall have the right to confront and cross-examine witnesses. Any relevant evidence may be admitted that is the sort of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs. Any hearing under this section may be continued for a reasonable time for the convenience of a party or a witness. The decision of the Planning Commission shall be final and subject to judicial review in compliance with Code of Civil Procedure Section 1094.8. 4. Approval of extension and required findings. An extension under the provisions of this section shall be for a reasonable period of time commensurate with the investment involved, and shall be approved only if the Planning Commission makes all of the following findings or such other findings as are required by law: a. The applicant has made a substantial investment (including but not limited to lease obligations) in the property or structure on or in which the nonconforming use is conducted; such property or structure cannot be readily converted to another use; and such investment was made prior to the effective date of this section; b. The applicant will be unable to recoup said investment as of the date established for termination of the use; and c. The applicant has made good faith efforts to recoup the investment and to relocate the use to a location in conformance with paragraph B, above. 21.04.020 Zoning districts established. EXHIBIT B The City of Campbell shall be divided into appropriate zoning districts that directly correspond to the land use designations outlined in the land use element of the General Plan. TABLE 2-1 ZONING DISTRICTS AND GENERAL PLAN DESIGNATIONS ILow Density Residential, Less than 13.5 id.u./gross acre 8,000 or 9,000 square iLow Density Residential, Less than 'foot minimum lot size :4.5 d.u./gross acre N_'~,m"W,~.~~,u.'_".'~~N"'_",."_~'~'N""'''N''=~'"~~'~.__'_'_w~__mm_v,.''''''^'''~~UU 'wm,.',VU,~"~,'''N,'^~... iLow Density Residential, Less than 6 id.u./gross acre iLow-Medium Density Residential, 6- 13 d.u./gross acre ILow-Medium Density Residential, 6- 113 d.u./acre Zone Map Symbol Zoning District Name Residential Zoning Districts :Single-Family, 10,000 or 16,000 'square foot minimum lot size R-1-8,9 R-1-6 iSingle-Family, 6,000 square foot !minimum lot size Family District H-M iMultiple-Family R-2 .-.~ lMultiple-Family R-3 IMultiple-Family Commercial Zoning Districts ...,,~ ,,""'wc'~"~ n m ....""".u.."..."""'._._,,,',_'.'u... P-O iProfessional Office C-1 iNeighborhood Commercial C-2 General Commercial C-3 [Central Business District Industrial Zoning Districts iControlled Manufacturing 'M-1 [Light Industrial 'M-4-A ILight Industri31/!\dult Entort3inment Special Purpose Zoning Districts C-PD iCondominium Planned Development P-D Development P-FPublic Facilities P-F/O-SPublic Facilities/Open Space Overlay/Combining Districts H [Historic Preservation o Overlay District (Ord. 2043 ~1 (part), 2004). General Plan Land Use Designation Dwelling Units/Acre Implemented by Zoning District IMedium Density Residential, 14-20 ,d.u.lacre IHigh Density Residential, 21-27 Id.u./acre iProfessional Office iNeighborhood Commercial ,General Commercial :Central Commercial 'Research and Development iLight Industrial ,,'ou ,_'~,~'~w_m", ,,~.__~'~m W'_W"'_ w_"~w,_^,~,,_,,~_,,~,.,,,~.~. ILight Industrial Institutional 'Open Space Exhibit C Page 1 of 19 SEXUALLY -ORIENTED BUSINESSES REGULATIONS Section 5.36.030 of the Campbell Municipal is hereby deleted. Section 5.36.040 is hereby amended to read: 5.36.040 Obscenity prohibited. (a) Obscenity is prohibited within the city limits of the City of Campbell. (b) "Obscenity" is defined as any act, work, presentation or display that depicts, describes or presents sexual conduct in a patently offensive manner according to contemporary community standards, and which, taken as a whole, lacks serious literary, artistic, political or scientific value. "Patently offensive sexual conduct" includes: (1) Representations or descriptions of ultimate sexual acts, or other sexual acts specifically prohibited by law; (2) Representations of masturbation, excretory functions and lewd exhibitions of the genitals; and (3) Scenes wherein artificial devices or inanimate objects are employed to depict, or drawings are employed to portray, any of the prohibited activities described above. Chapter 5.55 of the Campbell Municipal Code is hereby added to read as follows: 5.55.010. LEGISLATIVE PURPOSE. It is the purpose of this ordinance to regulate Sexually-Oriented Businesses in order to promote the health, safety, morals, and general welfare of the citizens of the City. The provisions of this ordinance have neither the purpose nor effect of imposing a limitation or restriction on the content of any communicative materials, including Sexually-Oriented materials. Similarly, it is not the intent nor effect of this ordinance to restrict or deny access by adults to Sexually-Oriented materials protected by the First Amendment, or to deny access by the distributors and exhibitors of Sexually-Oriented entertainment to their intended market. Neither is it the intent nor effect of this ordinance to condone or legitimize the distribution of obscene material. 5.55.020. DEFINITIONS. For the purpose of this chapter the words and phrases shall have the same meanings respectively ascribed to them by this section: (a) Sexually-Oriented Businesses. "Sexually-Oriented Businesses" means anyone of the following: (1) Sexually-oriented arcade. The term "sexually-oriented arcade" as used in this chapter, is an establishment where, for any form of consideration, one or more still or motion picture projectors, computers or similar machines, for viewing by five (5) or fewer persons each, are used to show films, computer generated images, Exhibit C Page 2 of 19 motion pictures, video cassettes, slides or other photographic reproductions thirty (30) percent or more of the number of which are distinguished or characterized by an emphasis upon the depiction or description of specified sexual activities or specified anatomical areas. (2) Sexually-oriented bookstore. The term "sexually-oriented bookstore" as used in this chapter, is an establishment that has thirty (30) percent or more of its stock in books, magazines, periodicals or other printed matter, or of photographs, films, motion pictures, video cassettes, CDs, DVDs, slides, tapes, records or other form of visual or audio representations which are distinguished or characterized by an emphasis upon the depiction or description of specified sexual activities and/or specified anatomical areas. (3) Sexually-oriented cabaret. The term "sexually-oriented cabaret" as used in this chapter, means a nightclub, restaurant, or similar business establishment which: (1) regularly features live performances which are distinguished or characterized by an emphasis upon the display of specified anatomical areas or specified sexual activities; and/or (2) which regularly features persons who appear semi-nude; and/or (3) shows films, computer generated images, motion pictures, video cassettes, slides, or other photographic reproductions thirty (30) percent or more of the number of which are distinguished or characterized by an emphasis upon the depiction or description of specified sexual activities or specified anatomical areas. (4) Sexually-oriented hotel/motel. The term "sexually-oriented hotel/motel" as used in this chapter, means a hotel or motel or similar business establishment offering public accommodations for any form of consideration which, (1) provides patrons with closed-circuit television transmissions, films, computer generated images, motion pictures, video cassettes, slides, or other photographic reproductions thirty (30) percent or more of the number of which are distinguished or characterized by an emphasis upon the depiction or description of specified sexual activities or specified anatomical areas; and (2) rents, leases, or lets any room for less than a six (6) hour period, or rents, leases, or lets any single room more than twice in a 24-hour period. (5) Sexually-oriented motion picture theater. The term "sexually- oriented motion picture theater" as used in this chapter, is a business establishment where, for any form of consideration, films, computer generated images, motion pictures, video cassettes, slides or similar photographic reproductions are shown, and thirty (30) percent or more of the number of which are distinguished or characterized by an emphasis upon the depiction or description of specified sexual activities or specified anatomical areas. (6) Sexually-oriented retail. The term "sexually-oriented retail" as used in this chapter, means an establishment, business or concern which sells, rents, displays, exhibits or offers for sale any "erotic device," as that term is defined in this section. Exhibit C Page 3 of 19 (7) Sexually-oriented theater. The term "sexually-oriented theater" as used in this chapter, means a theater, concert hall, auditorium, or similar establishment which, for any form of consideration regularly features live performances which are distinguished or characterized by an emphasis on the display of specified anatomical areas or specified sexual activities. (8) Modeling studio. The term "modeling studio" as used in this chapter, means a business which provides, for pecuniary compensation, monetary or other consideration, hire or reward, figure models who, for the purposes of sexual stimulation of patrons, display "specified anatomical areas" to be observed, sketched, photographed, painted, sculpted or otherwise depicted by persons paying such consideration. "Modeling studio" does not include schools maintained pursuant to standards set by the State Board of Education. "Modeling studio" further does not include a studio or similar facility owned, operated, or maintained by an individual artist or group of artists, and which does not provide, permit, or make available "specified sexual activities." (b) Sexually-Oriented Business Operator. "Sexually-Oriented Business Operator" (hereinafter "operator") means a person who supervises, manages, inspects, directs, organizes, controls or in any other way is responsible for or in charge of the premises of a Sexually-Oriented Business or the conduct or activities occurring on the premises thereof. (c) Applicant. A person who is required to file an application for a permit under this chapter, including an individual owner, managing partner, officer of a corporation, or any other operator, manager, employee, or agent of a Sexually-Oriented Business. (d) Church. The term "church" as used in this chapter, is a structure that is used primarily for religious worship and related religious activities. (e) Distinguished or characterized by an emphasis upon. As used in this ordinance, the term "distinguished or characterized by an emphasis upon" shall mean and refer to the dominant or essential theme of the object described by such phrase. For instance, when the phrase refers to films "which are distinguished or characterized by an emphasis upon" the depiction or description of specified sexual activities or specified anatomical areas, the films so described are those whose dominant or predominant character and theme are the depiction of the enumerated sexual activities or anatomical areas. See Prinqle v. City of Covina, 115 Cal.App.3 151 (1981). (f) Erotic device. The term "erotic device," as used in this chapter, means products that are replicas of, or which simulate "specified anatomical areas," or goods designed or reasonably intended to be placed on or in "specified anatomical areas" or reasonably intended to be used in conjunction with "specified sexual activities,." including but are not limited to, devices that are physical representations of the human genital organs, and devices with non-sex related utility being marketed or offered for Exhibit C Page 4 of 19 sale or rent in a manner promoting sexual or sadomasochistic uses, including, but not limited to, leather whips, straps, harnesses, restraints and ligatures. Notwithstanding the foregoing definition, the following items are expressly excluded from the definition of "erotic device": (1) devices primarily intended for protection against sexually transmitted diseases or for preventing pregnancy; (2) candles and incense; (3) body oils, creams and lotions; (4) lingerie, stockings and undergarments or articles of clothing; (5) massage devices that are not replicas of human genital organs; (6) health care or personal hygiene products; and (7) food products. (g) Figure model. "Figure model" means any person who, for pecuniary compensation, consideration, hire or reward, poses in a modeling studio to be observed, sketched, painted, drawn, sculptured, photographed or otherwise depicted. (h) Health Officer. The Health Officer of the City of Campbell or his or her duly authorized representative. (i) Nudity or a state of nudity. "Nudity or a state of nudity" means the showing of the human male or female genitals, pubic area, or buttocks with less than a fully opaque covering, the showing of the female breast with less than a fully opaque covering of any part of the nipple. U) Operate a Sexually-Oriented Business. As used in this article "operate A Sexually-Oriented Business" means the supervising, managing, inspecting, directing, organizing, controlling or in any way being responsible for or in charge of the conduct of activities of a Sexually-Oriented Business or activities within a Sexually-Oriented Business. (k) Permittee. "Permittee" means the person to whom a Sexually-Oriented Business Permit is issued. (I) Person. Any individual, partnership, copartnership, firm, association, joint stock company, corporation, or combination of the above in whatever form or character. (m) Police Chief. The Police Chief of the City of Campbell or the authorized representatives thereof. (n) Regularly Features. The term "regularly features" with respect to an adult theater or adult cabaret means a regular and substantial course of conduct. The fact that live performances which are distinguished or characterized by an emphasis upon the display of specified anatomical areas or specified sexual activities occurs on two (2) or more occasions within a thirty (30) day period; three (3) or more occasions within a sixty (60) day period; or four (4) or more occasions within a one hundred and eighty (180) day period, shall to the extent permitted by law be deemed to be a regular and substantial course of conduct. Exhibit C Page 5 of 19 (0) School. The term "school" as used in this ordinance, is any child or day care facility, or an institution of learning for minors, whether public or private, offering instruction in those courses of study required by the California Education Code and maintained pursuant to standards set by the State Board of Education. This definition includes a nursery school, kindergarten, elementary school, middle or junior high school, senior high school, or any special institution of education, but it does not include a vocational or professional institution of higher education, including a community or junior college, college, or university. (p) Semi-nude. Means a state of dress in which clothing covers no more than the genitals, pubic region, buttocks, areola of the female breast, as well as portions of the body covered by supporting straps or devices. (q) Specified anatomical areas. As used herein, "specified anatomical areas" shall mean and include any of the following: less than completely and opaquely covered human (1) genitals or pubic region; (2) buttocks; and (3) female breast below a point immediately above the top of the areola (r) Specified sexual activities. As used herein, "specified sexual activities" shall mean and include any of the following, whether performed directly or indirectly through clothing or other covering: (1) The fondling or other erotic touching of human genitals, pubic region, buttocks, anus, or female breast; (2) Sex acts, actual or simulated, including intercourse, oral copulation, or sodomy; (3) Masturbation, actual or simulated; (4) Excretory functions as part of or in connection with any of the other activities described in subdivision (1) through (3) of this subsection. 5.55.030. PERMITS REQUIRED. It shall be unlawful for any person to engage in, conduct or carry on, or to permit to be engaged in, conducted or carried on, in or upon any premises in the City of Campbell, the operation of a Sexually-Oriented Business unless the person first obtains and continues to maintain in full force and effect a permit from the City of Campbell as herein required. (Sexually-Oriented Business Permit) Exhibit C Page 6 of 19 5.55.040. SEXUALLY-ORIENTED BUSINESS PERMIT REQUIRED. Every person who proposes to establish, maintain, operate or conduct a Sexually-Oriented Business in the City of Campbell shall file an application with the Police Chief upon a form provided by the City of Campbell and shall pay a filing fee, as established by resolution adopted by the City Council from time to time, which shall not be refundable. 5.55.050. APPLICATIONS. (a) Sexually-Oriented Business Permits are nontransferable, except in accordance with 5.55.080. Therefore, all applications shall include the following information: (1) If the applicant is an individual, the individual shall state his or her legal name, including any aliases, address, and submit satisfactory written proof that he or she is at least eighteen (18) years of age. (2) If the applicant is a partnership, the partners shall state the partnership's complete name, address, the names of all partners, whether the partnership is general or limited, and attach a copy of the partnership agreement, if any. (3) If the applicant is a corporation, the corporation shall provide its complete name, the date of its incorporation, evidence that the corporation is in good standing under the laws of California, the names and capacity of all officers and directors, the name of the registered corporate agent and the address of the registered office for service of process. (b) If the applicant is an individual, he or she shall sign the application. If the applicant is other than an individual, an officer of the business entity or an individual with a ten (10) percent or greater interest in the business entity shall sign the application. (c) If the applicant intends to operate the Sexually-Oriented Business under a name other than that of the applicant, the applicant shall file the fictitious name of the Sexually-Oriented Business and show proof of registration of the fictitious name. (d) A description of the type of Sexually-Oriented Business for which the Permit is requested and the proposed address where the Sexually-Oriented Business will operate, plus the names and addresses of the owners and lessors of the Sexually- Oriented Business site. (e) The address to which notice of action on the application is to be mailed. (f) The names of all employees, independent contractors, and other persons who will work at the Sexually-Oriented Business. Exhibit C Page 7 of 19 (9) A sketch or diagram showing the interior configuration of the premises, including a statement of the total floor area occupied by the Sexually-Oriented Business. The sketch or diagram need not be professionally prepared, but must be drawn to a designated scale or drawn with marked dimensions of the interior of the premises to an accuracy of plus or minus six (6) inches. (h) A certificate and straight-line drawing prepared within thirty (30) days prior to application depicting the building and the portion thereof to be occupied by the Sexually-Oriented Business, and: (1) the property line of any other Sexually-Oriented Business within 300 of the primary entrance of the Sexually-Oriented Business for which a Permit is requested; and (2) the property lines of any church, school, park, residential zone or use within 300 of the primary entrance of the Sexually-Oriented Business. (i) A diagram of the off-street parking areas and premises entries of the Sexually-Oriented Business showing the location of the lighting system required by Section 5.55.050(c). U) If the Police Chief determines that the applicant has completed the application improperly, or otherwise deems the application to be incomplete, the Police Chief shall, within ten (10) days of receipt of the original application, notify the applicant of such fact and, on request of the applicant, grant the applicant an extension of time of ten (10) days or less to submit a complete application. In addition, the applicant may request an extension, not to exceed ten (10) days, of the time for the Police Chief to act on the application. The time period for granting or denying a Permit shall be stayed during the period in which the applicant is granted an extension of time. (k) The fact that an applicant possesses other types of state or City permits or licenses does not exempt the applicant from the requirement of obtaining a Sexually- Oriented Business Regulatory Permit. 5.55.055 NOTICE OF APPLICATION (a) Within ten (10) days of receiving an application for an Sexually-Oriented Business, the Police Chief shall mail notice to the owners of all parcels of real property located within 300 feet of the boundaries of the parcel on which the Sexually-Oriented Business is proposed. The notices shall be mailed to the owners at the addresses shown on the most recent equalized assessment role of the Santa Clara County Assessor's Office. (b) The notice required by this section shall be in substantially the following form: NOTICE OF APPLICATION FOR ADULT -ORIENTED BUSINESS Date of Mailing: Exhibit C Page 8 of 19 The City of Campbell has received an application to operate a Sexually- Oriented Business at (address), Due to court decisions of the State and Federal Courts, the City cannot absolutely prohibit sexually-oriented arcades, bookstores, cabarets, hotel/motels, theaters and motion picture theaters, or modeling studios. The Chief of Police can deny an application for an Adult-Oriented Business if: (1) The applicant, his or her employee, agent, partner, director, officer, shareholder or manager has knowingly made any false, misleading or fraudulent statement of material fact in the application for a Sexually-Oriented Business Permit; (2) The proposed business is not located in an M-1 (Light Industrial) Zoning District; (3) The proposed business would be located within 300 feet from any existing schools for minors, churches or religious institutions, parks, and residentially zoned districts or uses; (4) The proposed business would be located within 300 feet of any other Sexually- Oriented Business; (5) The applicant is under 18 years of age; or (6) The proper application fee has not been paid. If you have any questions, you should contact the Campbell Police Department within ten (10) days from the mailing of this notice at (telephone number), (e-mail address), or by mail at: Campbell Police Department 70 N. First Street Campbell, California 95008 Re: Adult-Oriented Business Application. (c) The Police Chief shall not take any action on the application until ten (10) days have expired following the mailing of the notice required by this section. (d) Failure of an owner to receive the notice required by this section shall not affect or invalidate any action taken under this Chapter. (e) The noticing requirements of this section shall not apply to the renewal of a permit for an existing Sexually-Oriented Business. Exhibit C Page 9 of 19 5.55.060. INVESTIGATION AND ACTION ON APPLICATION. (a) Upon receipt of a completed application and payment of the application and Permit fees, the Police Chief shall immediately stamp the application as received and promptly investigate the information contained in the application to determine whether the applicant shall be issued a Sexually-Oriented Business Permit. (b) Within thirty (30) days of receipt of the completed application, the Police Chief shall complete the investigation, grant or deny the application in accordance with the provisions of this Section, and so notify the applicant as follows: (1) The Police Chief shall write or stamp "Granted" or "Denied" on the application and date and sign such notation. (2) If the application is denied, the Police Chief shall attach to the application a statement of the reasons for denial. (3) If the application is granted, the Police Chief shall attach to the application a Sexually-Oriented Business Permit. (4) The application as granted or denied and the Permit, if any, shall be placed in the United States mail, first class postage prepaid, addressed to the applicant at the address stated in the application. (c) The Police Chief shall grant the application and issue the Sexually- Oriented Business Permit upon findings that the proposed business meets the locational criteria of Section 21.10.090.B; unless the application is denied for one or more of the reasons set forth in Section 5.55.070. (d) If the Police Chief neither grants nor denies the application within thirty (30) days after it is stamped as received (except as provided in Section 5.55.0500), the applicant may begin operating the Sexually-Oriented Business for which the Permit was sought, subject to strict compliance with the requirements of this Code. 5.55.070. PERMIT DENIAL. The Police Chief shall deny the application for any of the following reasons: (a) The applicant, his or her employee, agent, partner, director, officer, shareholder or manager has knowingly made any false, misleading or fraudulent statement of material fact in the application for an Adult Business Permit. (b) An applicant is under eighteen (18) years of age. (c) The required application fee has not been paid. Exhibit C Page 10 of 19 (d) The Sexually-Oriented Business does not comply with the zoning ordinance locational standards, sections 21.10.090.8 - D. Each Sexually-Oriented Business Permit shall expire one (1) year from the date of issuance, and may be renewed only by filing with the Police Chief a written request for renewal, accompanied by the Annual Permit Fee and a copy of the Permit to be renewed. The request for renewal shall be made at least thirty (30) days before the expiration date of the Permit. When made less than thirty (30) days before the expiration date, the expiration of the Permit will not be stayed. Applications for renewal shall be acted on as provided herein for action upon applications for Permits. Exhibit C Page 11 of 19 5.55.080. TRANSFER OF SEXUALLY-ORIENTED BUSINESS PERMITS. (a) A permittee shall not operate a Sexually-Oriented Business under the authority of a Sexually-Oriented Business Permit at any place other than the address of the Sexually-Oriented Business stated in the application for the Permit. (b) A permittee shall not transfer ownership or control of A Sexually-Oriented Business or transfer A Sexually-Oriented Business Permit to another person unless and until the transferee obtains an amendment to the Permit from the Police Chief stating that the transferee is now the permittee. Such an amendment may be obtained only if the transferee files an application with the Police Chief in accordance with Sections 5.55.040 and 5.55.050, accompanies the application with a transfer fee in an amount set by resolution of the City Council, and the Police Chief determines in accordance with Section 5.55.060 that the transferee would be entitled to the issuance of an original Permit. (c) No Permit may be transferred when the Police Chief has notified the permittee that the Permit has been or may be suspended or revoked. (d) Any attempt to transfer a permit either directly or indirectly in violation of this section is hereby declared void, and the Permit shall be deemed revoked. 5.55.090. REGISTRATION OF NEW EMPLOYEES (a) As a further condition of approval of every Adult Oriented Business permit issued pursuant to this chapter, every owner or operator shall register every employee with the Police Department within five (5) business days of the commencement of the employee's period of employment at the Adult Oriented Business. (b) Each employee shall be required to provide two (2) recent color passport- quality photographs and, at the discretion of the Police Chief, shall allow himself or herself to be fingerprinted by the Police Department for purposes of identification. In addition, each new employee shall provide the following information on a form provided by the Police Department: (1 ) (2) (3) (4) previous two years. Name, current resident address, telephone number. Date of birth. Height, weight, color of eyes and hair. Stage name (if applicable) and other aliases used within the (c) The information provided for purposes of this section shall be maintained by the Police Department as confidential information, and shall not be disclosed as public records unless pursuant to subpoena issued by a court of competent jurisdiction. Exhibit C Page 12 of 19 (d) Each owner or operator of an Adult Oriented Business shall maintain a current register of the names of all employees currently employed by the Adult Oriented Business, and shall disclose such registration for inspection by any Police Officer for purposes of determining compliance with the requirements of this section. (e) Failure to register each new employee within five (5) days of the commencement of employment or to maintain a current register of the names of all employees shall be deemed a violation of the conditions of the permit and may be considered grounds for suspension or revocation of the permit. 5.55.100. SUSPENSION OR REVOCATION OF SEXUALLY-ORIENTED BUSINESS REGULATORY PERMITS. A Sexually-Oriented Business Permit may be suspended or revoked In accordance with the procedures and standards of this Section. (a) On determining that grounds for Permit revocation exist, the Police Chief shall furnish written notice of the proposed suspension or revocation to the Permittee. Such notice shall set forth the time and place of a hearing, and the ground or grounds upon which the hearing is based, the pertinent Code sections, and a brief statement of the factual matters in support thereof. The notice shall be mailed, postage prepaid, addressed to the last known address of the Permittee, or shall be delivered to the Permittee personally, at least ten (10) days prior to the hearing date. Hearings shall be conducted in accordance with procedures established by the Police Chief, but at a minimum shall include the following: (1) All parties involved shall have a right to offer testimonial, documentary, and tangible evidence bearing on the issues; may be represented by counsel; and shall have the right to confront and cross-examine witnesses. Any relevant evidence may be admitted that is the sort of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs. Any hearing under this Section may be continued for a reasonable time for the convenience of a party or a witness. The Police Chiefs decision may be appealed in accordance with Section 5.55.110. (b) A Permittee may be subject to suspension or revocation of his Permit, or be subject to other appropriate disciplinary action, for any of the following causes arising from the acts or omissions of the Permittee, or an employee, agent, partner, director, stockholder, or manager of A Sexually-Oriented Business: (1) The Permittee has knowingly made any false, misleading or fraudulent statement of material facts in the application for a Permit, or in any report or record required to be filed with the City. (2) The Permittee, employee, agent, partner, director, stockholder, or manager of A Sexually-Oriented Business has knowingly allowed or permitted, and has Exhibit C Page 13 of 19 failed to make a reasonable effort to prevent the occurrence of any of the following on the premises of the Sexually-Oriented Business: (i) Any act of unlawful sexual intercourse, sodomy, oral copulation, or masturbation. (ii) Use of the establishment as a place where unlawful solicitations for sexual intercourse, sodomy, oral copulation, or masturbation openly occur. (iii) Any conduct constituting a criminal offense that requires registration under Section 290 of the California Penal Code. (iv) The occurrence of acts of lewdness, assignation, or prostitution, including any conduct constituting violations of Sections 315, 316, or 318 or Subdivision b of Section 647 of the California Penal Code. (v) Any act constituting a violation of provisions in the California Penal Code relating to obscene matter or distribution of harmful matter to minors, including but not limited to Sections 311 through 313.4. (vi) Any conduct prohibited by this chapter. (3) Failure to abide by any disciplinary action previously imposed by an appropriate City official. (c) After holding the hearing in accordance with the provisions of this Section, if the Police Chief finds and determines that there are grounds for disciplinary action, based upon the severity of the violation, the Police Chief shall impose one of the following: (1) A warning; (2) Suspension of the Permit for a specified period not to exceed six months; (3) Revocation of the Permit. 5.55.110. REVIEW OF DENIAL. SUSPENSION OR REVOCATION. After denial of an application for a Sexually-Oriented Business Regulatory Permit, or after denial of renewal of a Permit, or suspension or revocation of a Permit, the applicant or person to whom the Permit was granted may seek prompt judicial review of such administrative action pursuant to California Code of Civil Procedure Section 1094.8. The City shall make all reasonable efforts to expedite judicial review. Exhibit C Page 14 of 19 5.55.130. SEXUALLY-ORIENTED BUSINESS DEVELOPMENT AND PERFORMANCE STANDARDS. (a) Maximum occupancy load, fire exits, aisles and fire equipment shall be regulated, designed and provided in accordance with the Fire Department and building regulations and standards adopted by the City of Campbell. (b) No Sexually-Oriented Business shall be operated in any manner that permits the observation of any material or activities depicting, describing or relating to "Specified Sexual Activities" or "Specified Anatomical Areas" from any public way or from any location outside the building or area of such establishment. This provision shall apply to any display, decoration, sign, show window or other opening. No exterior door or window on the premises shall be propped or kept open at any time while the business is open, and any exterior windows shall be covered with opaque covering at all times. (c) All off-street parking area and premise entries of the sexually-oriented business shall be illuminated from dusk to closing hours of operation with a lighting system which provides an average maintained horizontal illumination of one (1) foot candle of light on the parking surface and/or walkways. The required lighting level is established in order to provide sufficient illumination of the parking areas and walkways serving the sexually-oriented business for the personal safety of patrons and employees and to reduce the incidence of vandalism and criminal conduct. The lighting shall be shown on the required sketch or diagram of the premises. (d) The premises within which the Sexually-Oriented Business is located shall provide sufficient sound-absorbing insulation so that noise generated inside said premises shall not be audible anywhere on any adjacent property or public right-of-way or within any other building or other separate unit within the same building. (e) A Sexually-Oriented Business shall be open for business only between the hours of 8:00 a.m. and midnight on any particular day. (g) The building entrance to a Sexually-Oriented Business shall be clearly and legibly posted with a notice indicating that persons under eighteen (18) years of age are precluded from entering the premises. Said notice shall be constructed and posted to the satisfaction of the Community Development Director or designee. No person under the age of eighteen (18) years shall be permitted within the premises at any time. (h) All indoor areas of the Sexually-Oriented Business within which patrons are permitted, except restrooms, shall be open to view by the management at all times. (i) Any Sexually-Oriented business which is also an "adult arcade", shall comply with the following provisions: Exhibit C Page 15 of 19 (1) The interior of the premises shall be configured in such a manner that there is an unobstructed view from a manager's station of every area of the premises to which any patron is permitted access for any purpose, excluding restrooms. Restrooms may not contain video reproduction equipment. If the premises has two or more manager's stations designated, then the interior of the premises shall be configured in such a manner that there is an unobstructed view of each area of the premises to which any patron is permitted access for any purpose from at least one of the manager's stations. The view required in this subsection must be direct line of sight from the manager's station. (2) The view area specified in subsection (5) shall remain unobstructed by any doors, walls, merchandise, display racks, or other materials at all times. No patron is permitted access to any area of the premises which has been designated as an area in which patrons will not be permitted. (3) No viewing room may be occupied by more than one person at any one time. (4) The walls or partitions between viewing rooms or booths shall be maintained in good repair at all times, with no holes between any two such rooms such as would allow viewing from one booth into another or such as to allow physical contact of any kind between the occupants of any two such booths or rooms. (5) Customers, patrons or visitors shall not be allowed to stand idly by in the vicinity of any such video booths, or from remaining in the common area of such business, other than the restrooms, who are not actively engaged in shopping for or reviewing the products available on display for purchaser viewing. Signs prohibiting loitering shall be posted in prominent places in and near the video booths. (6) The floors, seats, walls and other interior portions of all video booths shall be maintained clean and free from waste and bodily secretions. Presence of human excrement, urine, semen or saliva in any such booths shall be evidence of improper maintenance and inadequate sanitary controls; repeated instances of such conditions may justify suspension or revocation of the owner and operator's license to conduct the Sexually-Oriented establishment. U) All areas of the Sexually-Oriented Business shall be illuminated at a minimum of the following foot-candles, minimally maintained and evenly distributed at ground level: Area Foot-Candles Bookstores and other retail establishments 20 Exhibit C Page 16 of 19 Arcades Motels/Hotels Modeling studios 5 (except during performances, at which times lighting shall be at least 1.25 foot Candles.) 10 20 (in public areas) 20 Theaters and cabarets (k) The Sexually-Oriented Business shall provide and maintain separate rest room facilities for male patrons and employees, and female patrons and employees. Male patrons and employees shall be prohibited from using the rest room(s) for females, and female patrons and employees shall be prohibited from using the rest room(s) for males, except to carry out duties of repair, maintenance and cleaning of the rest room facilities. The rest rooms shall be free from any Adult Material. Rest rooms shall not contain television monitors or other motion picture or video projection, recording or reproduction equipment. The foregoing provisions of this paragraph shall not apply to a Sexually-Oriented Business which deals exclusively with sale or rental of Adult Material which is not used or consumed on the premises, such as an Adult Bookstore or Adult Video Store, and which does not provide rest room facilities to its patrons or the general public. (I) The following additional requirements shall pertain to Sexually-Oriented Businesses providing live entertainment depicting Specified Anatomical Areas or involving Specified Sexual Activities, except for businesses regulated by the Alcoholic Beverage Control Commission: (1) No person shall perform live entertainment for patrons of A Sexually-Oriented Business except upon a stage at least eighteen (18) inches above the level of the floor which is separated by a distance of at least ten (10) feet from the nearest area occupied by patrons, and no patron shall be permitted within ten (10) feet of the stage while the stage is occupied by an entertainer. "Entertainer" shall mean any person who is an employee or independent contractor of the Sexually-Oriented Business, or any person who, with or without any compensation or other form of consideration, performs live entertainment for patrons of a Sexually-Oriented Business. (2) The Sexually-Oriented Business shall provide separate dressing room facilities for entertainers which are exclusively dedicated to the entertainers' use. (3) The Sexually-Oriented Business shall provide an entrance/exit for entertainers, which is separate from the entrance/exit used by patrons. (4) The Sexually-Oriented Business shall provide access for entertainers between the stage and the dressing rooms which is completely separated from the patrons. If such separate access is not physically feasible, the Sexually- Oriented Business shall provide a minimum three (3) foot wide walk aisle for entertainers between the dressing room area and the stage, with a railing, fence or Exhibit C Page 17 of19 other barrier separating the patrons and the entertainers capable of (and which actually results in) preventing any physical contact between patrons and entertainers. (5) No entertainer, either before, during or after performances, shall have physical contact with any patron and no patron shall have physical contact with any entertainer either before, during or after performances by such entertainer. This subsection shall only apply to physical contact on the premises of the Sexually-Oriented Business. (6) Fixed rail(s) at least thirty (30) inches in height shall be maintained establishing the separations between entertainers and patrons required by this subsection. (7) No patron shall directly payor give any gratuity to any entertainer and no entertainer shall solicit any payor gratuity from any patron. (8) No owner or other person with managerial control over a Sexually- Oriented Business (as that term is defined herein) shall permit any person on the premises of the Sexually-Oriented Business to engage in a live showing of the human male or female genitals, pubic area or buttocks with less than a fully opaque coverage, and/or the female breast with less than a fully opaque coverage over any part of the nipple or areola. (m) Sexually-Oriented Businesses shall employ security guards In order to maintain the public peace and safety, based upon the following standards: (1) Sexually-Oriented Businesses featuring live entertainment shall provide at least one (1) security guard at all times while the business is open. If the occupancy limit of the premises is greater than thirty-five (35) persons, an additional security guard shall be on duty for each thirty-five (35) persons. (2) Security guards for other Sexually-Oriented Businesses may be required if it is determined by the Police Chief that their presence is necessary in order to prevent any of the conduct listed in Section 5.55.100(b)(2) from occurring on the premises. (3) Security guard(s) shall be charged with preventing violations of law and enforcing compliance by patrons of the requirements of these regulations. Security guards shall be uniformed in such a manner so as to be readily identifiable as a security guard by the public and shall be duly licensed as a security guard as required by applicable provisions of state law. No security guard required pursuant to this subsection shall act as a door person, ticket seller, ticket taker, admittance person, or sole occupant of the manager's station while acting as a security guard. The foregoing applicable requirements of this Section shall be deemed conditions of Sexually-Oriented Business Regulatory Permit approvals, and failure to Exhibit C Page 18 of 19 comply with every such requirement shall be grounds for revocation of the Permit issued pursuant to these regulations. 5.55.130. REGISTER AND PERMIT NUMBER OF EMPLOYEES. (a) Every permittee of a Sexually-Oriented Business which provides live entertainment depicting specified anatomical areas or involving specified sexual activities must maintain a register of all persons so performing on the premises and their permit numbers. Such register shall be available for inspection during regular business hours by any police office or health officer of the City of Campbell. 5.55.140. DISPLAY OF PERMIT. (a) Every Sexually-Oriented Business shall display at all times during business hours the permit issued pursuant to the provisions of this chapter for such Sexually-Oriented Business in a conspicuous place so that the same may be readily seen by all persons entering the Sexually-Oriented Business. 5.55.150. EMPLOYMENT OF AND SERVICES RENDERED TO PERSONS UNDER THE AGE OF EIGHTEEN (18) YEARS PROHIBITED. (a) It shall be unlawful for any permittee, operator, or other person in charge of any Sexually-Oriented Business to employ, or provide any service for which it requires such permit, to any person who is not at least eighteen (18) years of age. (b) It shall be unlawful for any permittee, operator or other person in charge of any Sexually-Oriented Business to permit to enter, or remain within the Sexually- Oriented Business, any person who is not at least eighteen years of age. 5.55.160. INSPECTION. An applicant or Permittee shall permit representatives of the Police Department, Health Department, Fire Department, Planning Division, or other City Departments or Agencies to inspect the premises of A Sexually-Oriented Business for the purpose of insuring compliance with the law and the development and performance standards applicable to Sexually-Oriented Businesses, at any time it is occupied or opened for business. A person who operates a Sexually-Oriented Business or his or her agent or employee is in violation of the provisions of this section if he/she refuses to permit such lawful inspection of the premises at any time it is occupied or open for business. Exhibit C Page 19 of 19 5.55.170. REGULATIONS NONEXCLUSIVE. The provisions of this article regulating Sexually-Oriented Businesses are not intended to be exclusive and compliance therewith shall not excuse noncompliance with any other regulations pertaining to the operation of businesses as adopted by the City Council of the City of Campbell. 5.55.180. TIME LIMIT FOR FILING APPLICATION FOR PERMIT. All persons who possess an outstanding business license heretofore issued for the operation of a Sexually-Oriented Business must apply for and obtain such a permit within ninety (90) days of the effective date of this chapter. Failure to do so and continued operation of a Sexually-Oriented Business, or the continued performances depicting specified anatomical areas or specified sexual activities in a Sexually-Oriented Business after such time without a permit shall constitute a violation of this chapter. 5.55.190. SEVERABILITY. If any section, subsection, subdivision, paragraph, sentence, clause, or phrase in this chapter or any part thereof is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this chapter or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof irrespective of the fact that anyone (1) or more subsections, subdivisions, paragraphs, sentences, clauses, or phrases be declared unconstitutional, or invalid, or ineffective.