Item Coversheet
  COUNCIL COMMUNICATION
CC #: 3457
File #: 0323
Title:Roseville Municipal Code Amendment - Massage Services
Contact:

  Erika Broussard 916-746-1069 embroussard@roseville.ca.us

  Josh Simon 916-774-5059 jsimon@roseville.ca.us

  Travis Cochran 916-774-5325 tecochran@roseville.ca.us

 

Meeting Date: 7/17/2024

Item #: 8.1.

RECOMMENDATION TO COUNCIL

Staff recommends that the City Council introduce for first reading an ordinance amending Chapter 9.10 of the Roseville Municipal Code regarding massage services.

 

Additionally, staff requests that City Council adopt a resolution, which shall be contingent upon and will only take effect if the ordinance amending Chapter 9.10 is fully adopted, establishing an application fee in the amount of $159 for an exemption certificate and a renewal fee in the amount of $39 to renew an exemption certificate and incorporating these fees into the City’s current Schedule of User and Regulatory Fees.


 
BACKGROUND

Chapter 9.10 of the Roseville Municipal Code regulates massage services within the city. The primary purposes for updating this chapter of the municipal code are to address ongoing challenges with illicit massage business activity and to better align the city’s regulations with state law and the city’s neighboring jurisdictions.

 

In 2008, the state legislature enacted the Massage Therapy Act (“Act”). The Act created a system for voluntary statewide certification of massage therapists and also created the California Massage Therapy Council (“CAMTC”), which is responsible for issuing such certifications. The Act, as originally adopted by the legislature in 2008, also established significant limitations on how massage therapists could be regulated by cities and counties.

 

In 2014, the state legislature amended the Act and, beneficially, returned land use and establishment authority to local jurisdictions, thereby allowing cities and counties to regulate the terms upon which massage businesses can open and operate. Under the amended Act, CAMTC still maintained responsibility for voluntary massage therapist certification, and local agencies were still somewhat restricted with respect to putting limitations on who can perform massage therapy services. However, local agencies were once again allowed to impose regulations regarding the manner in which massage businesses may be operated (e.g., business permit issuance and requirements, health and safety standards, operating hours, advertising regulations, etc.).

 

For purposes of this proposed ordinance, it is important to note that certification through the CAMTC to perform massage therapy services is not a requirement under the Act, and instead, has always been voluntary. Thus, local agencies have been allowed to establish less restrictive educational and training standards for individuals desiring to perform massage therapy services within that agency’s jurisdiction.

 

In 2017, the City Council adopted Chapter 9.10 of the Municipal Code, establishing a system to regulate the permitting and operation of massage businesses within the city. Because massage therapy certification through the CAMTC was still relatively new, the Council also adopted less restrictive requirements (less restrictive than CAMTC certification) for individuals wishing to provide massage therapy services within the city who were not CAMTC certified. The Council also desired to create an exception to CAMTC certification for individuals who may have been providing legitimate massage therapy services within the city for many years and who may have difficulty or other hardships if CAMTC certification was made a requirement for performing massage therapy services. This alternative to CAMTC certification still exists within the city’s municipal code and is generally comprised of two prongs: (1) a satisfactory background check; and (2); at least 125 hours of training in a massage therapy program from an approved school of massage. Thus, under the city ordinance enacted in 2017, individuals who receive CAMTC certification or those who meet the city’s less restrictive requirements are authorized to perform massage therapy services within the city.

 

Since the City’s adoption of Chapter 9.10 in 2017, many communities around Roseville have increased their requirements for operating a massage business and for providing massage therapy services. Examples of increased operating requirements include higher permitting fees, stricter record keeping requirements, and stricter penalties for businesses or individuals that violate the applicable municipal or county code. Examples of increased requirements for providing massage therapy services include implementing a CAMTC certification requirement and/or bolstering the educational and training requirements that are necessary if CAMTC certification is not required. Surrounding agencies have also increased enforcement efforts during this time, which has resulted in the suspension or revocation of a massage business permit for businesses operating in those areas.

 

According to information recently provided to staff by CAMTC, there are approximately 255 cities and counties in California that require – either through ordinance or policy – individuals performing massage therapy services to obtain CAMTC certification. CAMTC further informed staff that approximately 16 other cities and/or counties are in the process of or are planning to require CAMTC certification as the threshold for providing massage therapy services. The cities of Rocklin, Lincoln, Citrus Heights, Folsom, Yuba, Marysville, Elk Grove, and Rancho Cordova all require CAMTC certification for massage therapists. While the cities of Auburn and Sacramento do not require CAMTC certification, they require that massage therapists complete a massage therapy program from an approved school with 200 and 250 hours of classroom instruction, respectively (75+ hours more than Roseville’s current requirement).

 

The increased requirements for operating a massage business and providing massage therapy services in neighboring jurisdictions, in addition to increased enforcement by these agencies, has made it more challenging to operate in those areas. This, in turn, has led many massage businesses and massage therapists to relocate to or look for employment in Roseville, where the city’s regulations are less strict and the costs of doing business are lower. While the city welcomes legitimate business enterprises that wish to operate within its borders, one of the unintended consequences of the city’s existing ordinance is that many less-than-legitimate businesses and massage therapists who are unable to obtain permits or perform massage therapy services in other jurisdictions have relocated to and are operating in Roseville. This includes businesses and massage therapists who actively engage in illicit massage activity and routinely violate the city’s municipal code. Staff estimates there are approximately 150-200 massage establishments and/or message therapists acting as independent contractors within the city, and approximately 29 of those establishments are engaged in some type of illicit massage activity.

 

One of the primary changes being proposed is requiring that all massage therapists obtain certification from the CAMTC (the massage licensing authority in California) in order to provide massage therapy, with only a very limited exception to grandfather in some existing massage therapists in the city who are in good standing. Many of the other changes being proposed are to add clarity and consistency to the massage business permit application process and requirements, which will make administration and tracking of applications and permits more efficient. The pending ordinance also clarifies and strengthens operational requirements for massage businesses and massage therapy services, and also increases potential penalties for noncompliance. Staff believes these changes will be instrumental in helping to combat illicit massage business activity and other undesired businesses practices sometimes utilized by massage businesses within the city.

 

A more comprehensive summary of the proposed changes to Chapter 9.10 are set forth below:  

 

  • Section 9.10.030(B): Requires that any person providing massage services within the city hold a valid certificate from the CAMTC or obtain an exemption from the city.
  •  9.10.030(C): Establishes a “grace period” for the requirement that any person providing massage services be CAMTC certified or obtain an exemption from the city. Massage businesses will have until December 31, 2024 to comply.
  •  9.10.050(C)(4): Clarifies that if a proposed massage business will be operated at a premises that is leased, the owner of the premises has knowledge that massage services are being provided.
  •  9.10.050(C)(11): Requires a massage business permit applicant to submit the names and birthdays of every person who will be providing massage therapy services.
  •  9.10.080(B)(9): Prohibits any new massage businesses from operating in the same location of massage business previously closed within the past 3 years due to criminal activity.
  •  9.10.110: Clarifies that an appeal to the denial of a massage business permit heard by the City Manager or his designee is not a public meeting subject to the Brown Act.
  •  9.10.160: Prohibits any person from obtaining a massage business permit if they had their prior massage business permit revoked or suspended within the past 3 years. This section also prohibits any person denied a massage business permit from reapplying within 2 years after the denial unless the applicant can show a material change in their situation justifying issuance of a permit.
  •  9.10.170: Establishes an exemption to the requirement that all persons providing massage services be CAMTC certified. To qualify for this exemption and be deemed to be an “exempt therapist” pursuant Chapter 9.01, a person must: (1) have worked as a massage professional in the city, either pursuant to their own massage business permit or under the massage business permit of another, on an ongoing basis for at least three years prior to August 1, 2024; and (2) holds a diploma or certificate of graduation from a school of massage that requires a resident course of study in massage therapy of not less than 125 hours.
  •  9.10.200(F): Requires massage businesses to report the hiring or termination of any massage therapist (both employees and independent contractors) to the police department within 7 days of the hiring or termination.
  •  9.10.200(H): Clarifies that massage businesses are open for inspection by authorized city officials at any time during normal businesses hours.
  •  9.10.220(H): Clarifies that massage businesses must maintain certain business records and that such records are open to inspection by authorized city officials.
  •  9.10.270: Specifies that any violation of Chapter 9.10 is a misdemeanor. This does not require that the city charge every violation as a misdemeanor, and the city still has discretion to pursue administrative remedies. However, specifying in the municipal code that violations of Chapter 9.10 are misdemeanors will allow the city to pursue increased fine amounts in the future.

 

Massage businesses and massage therapists that violate the municipal code and engage in unlawful and undesired businesses practices have become a significant concern. These actors are taking advantage of the city’s pro-business environment that fostered the growth of legitimate massage businesses, as well as Council’s intention to allow those well-established and reputable massage therapists to continue to operate within the city even after the Act was adopted and CAMTC certification became more prevalent. If left unabated, these issues reduce property values, encourage crime, support human trafficking, and adversely affect business development and overall quality of life. The proposed changes to Chapter 9.10 will make it harder for massage businesses to engage in illicit, unlawful, and undesired behavior, and will also allow the city to abate these issues more proactively and efficiently.

 

To avoid any surprises within the business community, City staff has also taken steps to notify the business community of the proposed changes and to gauge their buy-in. Staff notified the Roseville Area Chamber of Commerce regarding the proposed changes to Chapter 9.10 and invited the Chamber to provide feedback. City staff also mailed a letter to all massage business permit holders within the city notifying them of the proposed changes (particularly, the requirement for CAMTC certification and the grace period for compliance) and inviting them to contact the city with any questions or feedback. A copy of the template letter is included herewith for reference. Of the responses to the letter staff has received, many have been very positive. Others expressed some concerns, but after explaining the grandfather provisions and grace period for compliance, these individuals appeared much more comfortable with the proposed changes.


 
FISCAL IMPACT

There is no fiscal impact associated with the proposed ordinance, as massage business enforcement is already budgeted. The recommended exemption certificate application fee and renewal fee were developed to recover the applicable processing costs.

ENVIRONMENTAL REVIEW

The California Environmental Quality Act (CEQA) only applies to projects which have the potential to cause a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. (CEQA Guidelines §15061(b)(3)).
 

CITY COUNCIL STRATEGIC PLAN/OVERARCHING GOALS

Goal A – Maintain a safe and healthy community

Goal F – Deliver exceptional City services


 
Respectfully Submitted,

Travis Cochran, Deputy City Attorney

Josh Simon, Police Captain 
 


_____________________________
Dominick Casey, City Manager


ATTACHMENTS:
Description
Ordinance Amending Chapter 9.10
Resolution 24-271
template Notice Letter