Downey council approves tiered permit fees to support small businesses

Downey City Council voted 5-0 Tuesday to approve a tiered conditional use permit fee structure aimed at reducing costs and streamlining the process for small businesses. The proposal was first introduced by Councilman Hector Sosa in October 2025. (Photo by Eric Pierce)

DOWNEY — The Downey City Council voted 5-0 on Tuesday to approve a tiered conditional use permit fee structure aimed at reducing costs and streamlining the approval process for small businesses.

The move builds on a concept first introduced by Councilman Hector Sosa in October 2025, when the council directed staff to explore ways to better align permit fees with the size and impact of proposed businesses.

City officials said the updated structure is designed to distinguish between lower-impact uses and more complex projects, allowing some businesses to go through a simplified administrative process rather than a full public hearing before the Planning Commission.

“This is taking us in a great direction – from good to great,” Mayor Claudia M. Frometa said during Tuesday’s meeting. “If they meet the threshold, they don’t necessarily need to go through the Planning Commission and be overburdened with fees and costs.”

Under the city’s existing framework, businesses requiring a conditional use permit must typically undergo a more extensive review process that includes public hearings, environmental analysis and higher fees. In contrast, minor conditional use permits are handled administratively, involve fewer requirements and carry significantly lower costs.

A staff report presented to the council found that while the city already has a tiered system in place, expanding eligibility for the lower-cost, administrative permits could better reflect the realities of small business operations and reduce unnecessary barriers.

“I’ve always felt from the beginning there shouldn’t be one size fits all as far as the [conditional use permit] fees,” Sosa said.

The revised approach allows certain uses that have minimal impact on surrounding properties to be processed administratively, eliminating the need for a public hearing and shortening approval timelines. City staff noted that this could lead to both reduced fees and faster turnaround times for applicants.

Examples discussed by staff include smaller-scale commercial uses that share characteristics with existing minor permits, such as limited outdoor dining, tutoring centers and certain recreational or service-based businesses.

More intensive uses — including late-night establishments, bars and projects with potentially greater neighborhood impacts — would continue to require full conditional use permits and Planning Commission review.

City officials said the changes are intended to support local entrepreneurs while maintaining appropriate oversight of land use impacts.

The amendments are expected to be finalized this fall.