HomeMy WebLinkAboutPH-1 - 26-205 - 4. Call Up Review January 7, 2026 - 5/5/2026__ . ffii-.__..._
: '
Costa-MeTh
0 Appeal of Planning Commission Decision:
$1,220.00 (Tier 1)'
$3,825.00 (Tier 2)a
City of Costa Mesa
I.J.J
RESERVE FO alNG STAMP
0 Appeal of Non-Planning Commission Decision:
$690.00 (Tier 1)'
$3,825.00 (Tier 2)a
APPLICATION FOR APPEAL OR REVIEW
Applicant Name" John Stephens, Mayor
Address
Phone
REQUEST FOR: € APPEAL [@] REVIEW"
File with: City Clerk
City of Costa Mesa
77 Fair Drive
Costa Mesa, CA 92626
714-754-5225
Decision of which appeal or review is requested: (give application number, if applicable, and the date of the decision, if
known.)
Special Use Permit PGSH-24-0002 to allow a new sober living home with six or fewer persons
(Stephouse Recovery) at 1601 Baker St. Decision date 1/5/2026.
DeC!S!On 5'}: Economic and Development Services Director
Reasons for requesting appeal or review:
Date: Signature:
"If you are serving as the agent for another person, please identify the person you represent and provide proof of authorization.
"Review may be requested only by Planning Commission, Planning Commission Member, City Council, or City Council Member
For office use only - do not write below this line
SCHEDULED FOR THE CITY COUNCIL/PLANNING COMMISSION MEETING OF:
If appeal or review is for a person or body other than City Council/Planning Commission, date of hearing of appeal or review
Updated September 2023
' Includes owners and/or occupants of a property located within 500 Feet of project site (excluding owners and/or occupants of the project site).
alncludes the project applicant, owners and/or occupants of the project site, and owners and/or occupants of a properl located greater than 500 feet from the project
site.
ATTACHMENT 4
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January 5, 2026
ECONOMIC & DEVELOPMENT SERVICES DEPARTMENT
George Vilagut
Stephouse Recovery, Inc.
9679 Ellis Avenue
Fountain Valley, CA 92708
georgev@stephouserecovery.com
RE: NOTICEOFDECISIONFORTHEAPPROVALOFSPECIALUSEPERMITPGSH-
24-0002 TO ALIOW A NEW SOBER LMNG HOME WITH SIX OR FEWER
PERSONS (NOT COUNTING THE HOUSE MANAGER) (STEPHOUSE
RECOVERY INC.) AT 1601 BAKER STREET
To Mr. Vilagut,
The Special Use Permit review for the above-referenced project has been completed. The
application, as described in the attached project description, has been approved based on
compliancewith Costa Mesa Municipal Code (CMMC Sedion)13-311 and subjecttothe conditions
of approval and code requirements (attached). The decision will become final at 5:00 p.m. on
January 12, 2026, unless appealed by an affected party by filing the necessary application and
paying the appropriate fee, orifthe decision is called up for review by a member of the City Council.
Please note that issuance of the Special Use Permit is expressly conditioned upon the
Applicant's continued compliance with all applicable provisions ofthe Municipal Code and the
representations made in the application materials. Any failure to strictly adhere to these
requirements may result in enforcement action or revocation of the Special Use Permit, as
provided for under the Municipal Code.
If you have any questions regarding this letter, please feel free to contact the project planner, Victor
Mendez, at 7"l4-754-5276, or at victor.mendez@costamesaca.gov.
Sincerely,
Carrie Tai-
Economic and Development Services Director
Attachments: Memorandum and Hearing Officer Notice of Decision
CC:Fire Marshal
77 FAIR DRIVE, P()ST OFFICE BOX 1200, COSTA MESA CA. 92628-1200
Buiding Safety Division (714) 754-5273 Coi'nmrin:tylmprovement Division (714) 754-5638
Horisino 8i Commi.niity Development (7 14', 7Ei4-4B70 Plannn'ig Division (7 14) 754-5245
VlA"b'vV costamesaca gov
1iPage
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ATT ACHMENT I
LAWOFFICES
DAPEER, ROSENBLIT & LITVAK, LLP
WILLIAM LITVAK"
STEVEN H. ROSENBLIT
KENNEn-l B. DAPEER
JAMES C. ECKART
ERIC P MARKuS
LILY KEENAN
SARAH E[)MISTON
DEEPTA JANAFIDHAN
WEST LOS ANGELES OFFICE
500 W. OLYMPIC BLVD.. SUITE 550
LOS ANG ELES CA !;)006 4- 15 2 4
TELEPHONE i310) 477-557'fi
FACSIMILE i310) 477-70(;10
WRITER'S EMAIL
JECKART@[)RLLAW COM
%lANAGIN(a PARTNER
NOTICE OF DECISION
GROUP HOME SPECIAL U8E PERMIT APPLICATION NO. PGSH-24-0002
8TF,PHOU8E RECOVERY, INC. (1601 BAKER 8TREF,T, COSTA ME8A)
In accordance with Section 13-311 of the Costa Mesa Municipal Code
(hereinafter, "CMMC" or "Municipal Code"), on or about August 26, 2024,
Stephouse Recovery, Inc. and George Vilagut (hereinafter, collectively,
"Applicant") submitted an application for a Special Use Permit to operate a
single-unit sober living home at 1601 Baker Street, Costa Mesa (hereinafter,
"Subject Property" or "Site") - which is within a Single-Family Residential ("Rl")
Zoning District.
Pursuant to CMMC §13-31 1(b), on October 23, 2025, the undersigned conducted
a public hearing at Costa Mesa City Hall to receive information regarding
Applicant's compliance with the applicable provisions of subsections (a) and (b)
of CMMC Section 13-311.
After having considered the application and supporting material, as well as all
evidence provided at the public hearing, the undersigned determined that the
Applicant was riot in compliance with the provisions of CMMC Section 13-311,
subsections (a) and (b) [and, specifically, Sections 13-311(a)(10)(iii) and
(a)(l 1)(1)], as set forth in a Memorandum of Evidence Received at Public Hearing
#25-01 ("Memorandum of Evidence"), issued by the undersigned on
November 6, 2025.
On November 28, 2025, the Board of Directors for Stephouse Recovery, Inc.
amended its Discharge Policies to address the deficiencies noted in the
Memorandum of Evidence. A copy of the amended Discharge Policies is on file
with the City's Economic & Development Services Department in connection with
Special Use Permit Application PGSH-24-0002.
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-0 1
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
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The undersigned has determined that the amended Discharge Policies do, in fact,
satisfactorily address the deficiencies in the application as set forth in the
Memorandum of Evidence, and that the Applicant is now in compliance with or
has agreed to comply with the requirements of CMMC Sections 13-311(a)(1)
through 13-311(a)(14) - and that no grounds for denial as set forth in
CMMC Section 13-311(b) have been determined.
Therefore, pursuant to Costa Mesa Municipal Code Section 13-311(b), a
Group Home Special Use Permit shall be issued as a ministerial matter to
the Applicant to operate a Group Home at 1601 Baker Street, Costa Mesa.l
Failure of the Applicant (and/or any agent or representative thereof) to strictly
adhere to the requirements listed in CMMC Section 13-311, or any determination
by the Director of any circumstances set forth in CMMC Section 13-311 (b), may
result in the revocation of the Group Home Special Use Permit.
Pursuant to the provisions of Chapter IX of the Municipal Code, any affected
person may appeal this determination to the City Manager by filing an
application with the City Clerk (and tendering all applicable processing fees in
an amount determined by resolution of the City Council) within seven (7)
calendar days of this Notice of Decision. The application for appeal shall contain
sufficient information to identify the part, its interest in the matter, and the
reason(s) for requesting an appeal.
Failure of the City Clerk to receive an application for appeal or corresponding
processing fees shall render this decision final and binding.
I
Director of Development Services
for the City of Costa Mesa
17 December 2025
Date
I Prior to operation of the sober living group home, the applicant shall schedule and pass
an inspection by the Costa Mesa Fire Department to verify that the Subject Property meets the
basic fire and life safety requirements for a single-family dwelling, including but not limited to
the installation of smoke detectors and carbon monoxide (CO) detectors.
NOTICE OF DECISION
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTAMESA)
- Page 2 of 2 -
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ATT ACHMENT 2
LAWOFFICES
DAPEER, ROSENBLIT & LITVAK, LLP
WILLIAM LITVAK"
STEVEN H. ROSENBLIT
KENNEn-l B DAPEER
JAMES C. ECKART
ERIC P. MARKUS
LILY KEENAN
SARAH EDMISTON
DEEPTA JANARDHAN
WEST LOS ANGELES OFFICE
500 W. OLYMPIC BLVD. SUITE 550
LOS ANG ELES C A 9006 4- 15 2 4
TELEPHONE [310) 477-5575
FACSIMILE (310) 477-7090
WRITER'S EMAIL
JECKART@DRLLAW COM
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION NO. PGSH-24-0002
8TEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
In accordance with Section 13-311 of the Costa Mesa Municipal Code
(hereinafter, "CMMC" or "Municipal Code"), on or about August 26, 2024,
Stephouse Recovery, Inc. and George Vilagut (hereinafter, collectively,
"Applicant") submit an application for a Special Use Permit to operate a single-
unit sober living home at 1601 Baker Street, Costa Mesa (hereinafter, "Subject
Property" or "Site") - which is within a Single-Family Residential ("Rl") Zoning
District.
Pursuant to CMMC §13-31 1(b), on October 23, 2025, the undersigned conducted
a public hearing at Costa Mesa City Hall to receive information regarding
Applicant's compliance with the applicable provisions of subsections (a) and (b)
of CMMC Section 13-311.
I8SUES PRESENTED
Chapter XV ("Group Homes") of Title 13 ("Planning, Zoning, and Development")
of the Municipal Code provides a ministerial process by which a group home may
be operated within an Rl Zone of the City while allowing the City to preserve the
residential character of single-family residential neighborhoods.
Pursuant to CMMC §13-31 1, the operator of a group home must obtain a Special
Use Permit in order to operate within an Rl Zone of the City. CMMC §13-3 11 (b)
explicitly provides, in pertinent part:
The special use permit shall be issued by the director as a
ministerial matter if the Applicant is in compliance or has agreed to
comply with subsections (a)(l) through (a)(14) of this section. At
least 10 days prior to issuing a special use permit, the director shall
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
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cause written notice to be mailed to the owner of record and
occupants of all properties within 500 feet of the location of the
gro'up home. Prior to issuance of the special use permit, the director
shall hold a public hearing for the purpose of receiving information
regarding compliance with the applicable provisions of
subsections (a) and (b) of this section.
EVIDENCE CONSIDERED
The following exhibits, documents, and/or testimony were presented and
accepted into evidence at the public hearing:
1. Notice of Public Hearing;
2. Staff Report/Memorandum - inclusive of the following attachments:
a) Attachment 1- Project Data Table
b) Attachment 2 - Plans (including Site Plan, Elevations, Roof Plans,
and Sections) ;
c) Attachment 3 - Table of Substance Use Disorder Treatment
Facilities within Costa Mesa;
d) Attachment 4 - Table of City Approved Sober Living/Group Homes
within Costa Mesa;
e) Attachment 5 - Special Use Permit Application and Supporting
Documents (including Policies and Procedures) [Stephouse
Recovery, Inc/George Vilagut];
f) Attachment 6 - Stephouse Recovery Policies and Procedures /
OCHCA Recovery Residence Services;
g) Attachment 7 - Orange County Certificates of Compliance #33?
[Stephouse Recovery @ 1601 Baker Street, Costa Mesa and #338
[Stephouse Recovery @ 9678 Ellis Avenue, Fountain Valley] (Expired
September 4, 2025);
3. Annual Contractor Performance Evaluation [The Stephouse Recovery,
Inc.] (Contract Term: July 1, 2023 - June 30, 2024)
4. NoticeofAction(HuntingtonBeachSpecialUsePermitSUP-2023-002);
5. Orange County Certificate of Compliance #374 [The Stephouse Recover,
Inc. @ 8422 Polder Circle, Huntington Beach] (Expires July 16, 2026)
6. In-Person/live testimony from the following witnesses:
a) Victor Mendez, Costa Mesa Senior Planner;
b) George Villagut, Applicant;
MEMORANDUM OF EVIDENCE RECEIVED AT Punhic HEARING #25-0 1
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 2 of 10 -
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c) Marilyn Scott-Waters;
d) Wyatt Russell;
e) Gloria Johnson;
f) Erika Wallace;
g) Jake Johnson;
7. Written correspondence/testimony from the following witnesses:
a) Derek Davis;
b) Ronn Waters;
c) Marilyn Scott-Waters;
d) Theresa Parra;
e) Wyatt Russell;
f) Kristin Auslander;
g) George Vilagut;
SUMMARY OF TESETIMONY
The following is a brief summary of the testimony that was presented at the
public hearing, and it is not meant to be a verbatim description of the testimony
presented.
:> Victor Mendez provided a presentation on behalf of the Costa Mesa
Economic &, Development Services Department of Stephouse Recovery,
Inc. 's application, as well as applicable development standards pursuant
to the Costa Mesa Municipal Code. Mr. Mendez testified that the Applicant
adheres to each of the applicable development standards, as well as all
other requirements of CMMC §13-311(a) and (b). Mr. Mendez confirmed
that the Special Use Permit is subject only to ministerial review, and also
addressed concerns raised by both written and in-person testimony
regarding "Childhelp USA", which operates a Residential Care Facility at
1597 Baker Street, Costa Mesa. Mr. Mendez stated that the proximity of
Childhelp USA to the proposed Stephouse Recovery location would not bar
the issuance of a Special Use Permit for Stephouse Recovery because
Childhelp USA is not a Sober Living Home - and the Municipal Code's 650'
separation requirement would not apply to this facility.
MEMORANDUM OF EVIDENCE RF,CEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 3 of 10 -
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> George Vilagut provided a presentation on behalf of Stephouse Recovery,
Inc.'s application. Mr. Villigut confirmed the following information about
the proposed Sober Living Group Home at the Subject Property:
o> The vast majority of residents / clients of Stephouse Recovery would
be referred by the Orange County Health Care Agency ("OCHCA");
aha There would not be more than six (6) recovery residents at a time
with a limit of 90-day stays;
o> One (1) full-time house manager would reside at the premises;
o> All employees and volunteers' go through a background screening
with the Orange County Sheriff's Department prior to hiring;
o> The facility is only available to approved clients and is never open to
the public. Visitors are not permitted in the residence;
o> The Applicant would not provide supervised care, counseling,
treatment, or recovery planning - and residents must be capable of
living independently.
Mr. Vilagut further confirmed that while residents of the Stephouse
Recovery facility at the Subject Property would be required to participate
in appropriate alcohol/drug treatment (and, in fact, would have already
participated in such treatment p7 to residing at the Subject Property),
no such services would be provided on-site. Rather, the residents would
obtain those services at off-site locations.
Mr. Vilagut further discussed the Applicant's zero-tolerance Drug and
Alcohol Policy, "Good Neighbor Policy" (including curfews for clients),
screening procedures to reject services for persons who have been
convicted of specified criminal activity and/or who require a higher level
of care than that provided at the proposed Sober Living Group Home, and
policies and procedures for discharging residents and/or involuntary
termination of services to residents.
During his final comments, Mr. Vilagut denied that Stephouse Recovery,
Inc. or any agent thereof is advertising for or operating a Sober Living
Group Home at the Subject Property - and stated that the persons residing
at the Site at this time are residential tenants who will vacate upon
approval of the Special Use Permit and commencement of sober living
operations at the Subject Property. He also denied any enforcement
actions taken against his operations by any other municipality or the
County of Orange. Mr. Vilagut stated that surveillance cameras would be
installed at the Site to ensure that clients/residents adhere to applicable
rules and regulations.
MEMORANDUM OF EVIDENCE Rgcgrvgn AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 4 of 10 -
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:> Marilyn Scott-Waters objected to an approval of the Special Use Permit
primarily based upon her assertions that (i) allowing the Applicant to
operate a Sober Living Group Home at the Subject Property would conflict
with the City's General Plan in that the Geneal Plan provides for the
protection and enhancement of residential neighborhoods, and (ii) it would
be located in too close of proximity to the Childhelp USA facility located at
1597 Baker Street, Costa Mesa - and while this facility might not be a
Sober Living Facility as defined by the Municipal Code, it has similar
adverse impacts, and an approval of Stephouse Recovery's application
would increase those adverse impacts upon the residential neighborhood.
> Wyatt Russell objected to an approval of the Special Use Permit at this
time, stating that it would be premature without additional investigation
by the Director. Specifically, Mr. Russell alleged that (i) Stephouse
Recovery has been advertising their operation in Costa Mesa despite not
having been issued a permit; (ii) the Director has not adequately verified
that the Subject Property would be at least 650' from another Sober Living
Home or State licensed alcohol/drug abuse recovery or treatment center;
and (iii) the Applicant has negative compliance history at its other
operations - including a wrongful death lawsuit and enforcement actions
taken by the Cities of Huntington Beach and Fountain Valley.
> Gloria Johnson objected to an approval of the Special Use Permit
primarily based upon (i) the proximity of the Subject Property to the
Childhelp USA facility at 1597 Baker Street, Costa Mesa; and (ii) her
assertions that Staff and clients would further reduce on-street parking,
and some Staff are already blocking private driveways and moving
trashcans to facilitate on-street parking for themselves.
> Erika Wallace objected to an approval of the Special Use Permit primarily
based upon (i) the proximity of the Subject Property to the Childhelp USA
facility at 1597 Baker Street, Costa Mesa; and (ii) the pending application
has increased the difficulty in selling her home.
> Jake Johnson objected to an approval of the Special Use Permit primarily
based upon his assertion that this type of use should not be allowed in
residential neighborhoods due to adverse impacts upon the community -
including reduced on-street parking and increased traffic (ranging from
delivery vehicles to the client-members of the Sober Living facility).
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 5 of 10 -
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ANALYSIS
The City of Costa Mesa requires a "group home" that seeks to operate within an
Rl Zone of the City to obtain a Special Use Permit as issued by the Development
Services Director.
Costa Mesa Municipal Code Section 13-6 provides, in pertinent part, that a group
home is:
A facility that is being used as a supportive living environment for
persons who are considered handicapped under state or federal
law.... Group homes shall not include the following: (1) residential
care facilities; (2) any group home that operates as a single
housekeeping unit.
Although a Special Use Permit would be required, CMMC §13-311(b) explicitly
provides that the "special use permit shall be issued by the director as a
ministerial matter if the applicant is in compliance or has agreed to comply with
subsections (a)(l) through (a)(14) of [CMMC §13-3111". It further requires the
Director (or designee thereof) to "hold a public hearing for the purpose of
receiving information regarding compliance with the applicable provisions of
subsections (a) and (b) of [CMMC §13-31 1]" at least ten (10) days prior to issuing
a Special Use Permit.
In accordance with CMMC §13-311(b), on October 23, 2025, the undersigned,
as designated by the Development Services Director, conducted a duly-noticed
public hearing, and provided an opportunity for Staff, the Applicant, and the
general public to submit information regarding whether the Applicant is in
compliance and/or has agreed to comply with the requirements of
CMMC § 13-311, subsections (a) and (b).
After a thorough analysis of the Special Use Permit application and supporting
material submitted by Stephouse Recovery, Inc. /George Vilagut, Victor Mendez
testified in writing and in-person that Stephouse Recovery, Inc. has satisfied all
provisions and requirements of CMMC §13-311, subsections (a) and (b) - and
that no disqualifying grounds have been determined to date.
Despite legitimate concerns having been raised by members of the public who
provided written and/or verbal testimony as part of these proceedings regarding
potential adverse impacts of a Sober Living Group Home being located within Rl
Zones of the City - and specifically within the Mesa Verde neighborhood,
pursuant to CMMC 13-311(b), a "special use permit shall be issued by the
director as a ministerial matter if the applicant is in compliance or has agreed to
comply with subsections (a)(l) through (a)(14)" of CMMC §13-311 (emphasis
added).
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 6 of 10 -
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Amongst other arguments, several members of the public objected to an
approval of the Special Use Permit application based upon the assertion that the
Subject Property would not adhere to the prohibitions set forth in
CMMC Sections 13-311(a)(14)(i) and 13-311(b)(6)(iii) as the Site would be "within
650 feet of any other sober living home or state licensed alcoholism or drug abuse
recovery or treatment facility". Specifically, members of the public referred to
the property at 1597 Baker Street, Costa Mesa - where Childhelp USA operates.
In this regard, CMMC §13-6 defines a "sober living home" as:
A group home for persons who are recovering from a drug and/or
alcohol addiction and who are considered handicapped under state
or federal law. Sober living homes shall not include the following: (1 )
residential care facilities; (2) any sober living home that operates as
a single housekeeping unit.
Mr. Mendez provided credible testimony that Childhelp USA operates a Short-
Term Residential Therapeutic Program ("STRTP") that provides short-term care
and supervision of children and non-minor dependents, including those children
that have been abused, neglected, or are otherwise at risk. Mr. Mendez further
testified that Childhelp USA does not constitute a sober living home (as defined
by the Municipal Code) nor a state licensed alcohol/drug recovery or treatment
center - and Stephouse Recovery, Inc. would not be prohibited from operating
or being located within 650' of Childhelp USA's facility at 1597 Baker Street,
Costa Mesa. It should be noted that none of the witnesses provided any
testimony (in person or in writing) contradicting the operations of Childhelp USA
- or otherwise providing any credible evidence that Childhelp USA would, in fact,
constitute a sober living home or a state-licensed alcohol/drug recovery or
treatment center.
The undersigned has reviewed each of the written policies and procedures
submitted by the Applicant, and the undersigned has found insufficient evidence
to determine that the Applicant is or has agreed to comply with the requirements
of subsections (a)(10) and (a)(l 1) of CMMC §13-3 11.
Specifically, CMMC §13-311(a)(10) provides, in pertinent part, that:
(10) At least 48 hours prior to an occupant's eviction from or
involuntary termination of residency in a group home, the operator
thereof shall:
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
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(iii) Notify the city's Network for Homeless Solutions that an
occupant is no longer a resident at the home, and determine the
services available therefrom.
The Applicant stated in its application that "Due to HIPAA and County
Regulations, Stephouse Recovery would not be able to notify any other agency of
a resident's status without a signed release of information."
The Applicant's statement in the Special Use Permit application,
therefore, confirms that there is at least one method of adhering to both
CMMC §13-311(a)(10) and HIPAA (e.g., by requiring residents/clients upon
admission to the Group Home to sign a release of information authorizing the
Applicant to notify the City's Network for Homeless Solutions of an involuntary
termination of residency), however, the Applicant falls short of confirming that it
would do so - or to enact any other procedure to strictly adhere to the Municipal
Code. I
CMMC §13-31 1(a)(l 1) provides, in pertinent part:
(11) Prior to an occupant's eviction from or involuntary
termination of residency in a group home, the operator thereof shall
also:
(i) Make available to the occupant transportation to the
address listed on the occupant's driver license, state-issued
identification card, or the permanent address identified in the
occupant's application or referral to the group home
The Applicant's procedures for "involuntary discharge" do mandate that "Each
client should receive a housing resource guide upon discharge...Stephouse
Recovery will assist discharged clients in securing safe, temporary shelter in the
event of immediate discharge." Moreover, the "Discharge Procedures for Staff"
provide that "Should transportation to treatment or a shelter be necessary,
Stephouse will provide." However, these do not confirm strict compliance with
I The Applicant's "Discharge Procedures for Staff" provides, in pertinent part, that "In the
case of homelessness, the appropriate city agency will be contacted to determine if services are
available to the client." This procedure, however, does not strictly adhere to the requirement in
CMMC §13-31 1(a)(10)(iii) in that it does not explicitly provide for notification to the City's Network
for Homeless Solutions that an occupant is no longer a resident at least 48 hours to the
eviction or involuntaiy termination of services, nor does it ensure notification and/or
identification of the specific client/occupant so that Network Staff may offer services. Rather, it
provides that Stephouse Staff will contact "the appropriate city agency...to determine if services
are available to the client." While the undersigned appreciates the potential conflicts between
the Costa Mesa Municipal Code and HIPAA, as set forth hereinbelow, the Applicant can seek
reasonable accommodations to obtain relief from strict compliance with the provisions of
Municipal Code Section 13-311(a).
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 8 of 10 -
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Municipal Code Section 13-311(a)(11)(i) in that it does not confirm that
transportation would be provided to the occupant's/client's permanent address
as listed on that person's driver's license, identification card, or application or
referral to the Group Home (in the alternative of providing transportation to
"treatment or a shelter".
It should be noted that, pursuant to CMMC § 13-311 (a)(15) :
An applicant may seek relief from the strict application of
[CMMC §13-31 1] by submitting an application to the director setting
forth specific reasons why accommodation over and above this
section is necessary under state and federal laws, pursuant to
section 13-200.62.
The procedures outlined in CMMC §13-200.62 allow an applicant to request
reasonable accommodations - and, if approved, would allow the City to impose
alternative conditions that would satisfy the reasonable accommodation while
still achieving the City's objective.
In this instance, however, no evidence has been submitted to the undersigned
that the Applicant has submitted an application to the Director pursuant to
CMMC §§13-311(a)(15) and 13-200.62 to seek relief from the provisions of
Subsections (a)(10) and (a)(l 1) of Section 13-311 of the Municipal Code.
CONCLUSION
The purpose of the public hearing is to receive information from Staff, the
Applicant, and the general public "regarding compliance with the applicable
provisions of subsections (a) and (b) of [CMMC §13-3 11].
Although the Applicant appears to comply with most provisions of CMMC
Section 13-311, subsections (a) and (b) [including the distance requirement from
any other sober living home or state-licensed alcohol/drug recovery or treatment
centerl, the Applicant does !!9! strictly adhere to subsections (a)(10)(iii) and
(a)(11)(i) of CMMC Section 13-311 at this time.
Moreover, although the Applicant may seek relief from these specific
requirements in accordance with CMMC Sections 13-311(a)(15) and 13-200.62,
there is no evidence that the Applicant has, in fact, sought reasonable
accommodations in the manner authorized by the Municipal Code.
Although the review of a Special Use Permit application is a "ministerial matter",
pursuant to CMMC §13-311(b), it may only be approved if the Applicant is in
compliance with the provisions of CMMC §13-311, subsections (a) and (b). As
MEMORANDUM OF EVIDENCE RECEIVED AT Pusuc HEARING #25-01
GROUP HOME SPECIAL USE PERMIT APPLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
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stated above, the Applicant is not currently in strict compliance with those
provisions.
This Memorandum of Evidence is hereby submitted to the Director so that the
Director may make a final determination on Special Use Permit application
PGSH-24-0002 in accordance with Costa Mesa Municipal Code Section 13-311.
Before making a final determination on the application, the Director (and
designees thereof) may, in consideration of this Memorandum, provide the
Applicant a final opportunity either (i) to confirm compliance with CMMC Section
13-311, subsections (a) and (b) [and, specifically, Sections 13-311(a)(10)(iii) and
(a)(l 1)(1)], or, in the alternative, (ii) to apply for reasonable accommodations and
relief from subsections (a)(10)(iii) and (a)(l 1)(i) of Section 13-311 of the Municipal
Code.
Hearing Officer and Designee of
Director of Development Services
6 November 2025
Date
MEMORANDUM OF EVIDENCE RECEIVED AT PUBLIC HEARING #25-0 1
GROUP HOME SPECIAL USE PERMIT AE)PLICATION PGSH-24-0002
STEPHOUSE RECOVERY, INC. (1601 BAKER STREET, COSTA MESA)
- Page 10 of 10 -
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The following policy was revised and approved by Sleplhuuic Rccovery,
Inc. 8oard of Directors on 11/24/25
j!llbL//,4RLr/lPa#/l//jVi'i71n% yg4,1@.,f
The client has completed the program when they have used their maximum allotted time
or reached their transition goals. Staff will complete a Discharge Form to document the
circumstances of the client's departure from sober living. Clients are not required to sign
the discharge form.
Staff will complete the Recovery Residence Referral Form with the discharge date,
indicate whether the client has completed or is still incomplete, and provide the reason.
The form should be emailed to the OCHCA Gatekeeper within 72 hours of discharge.
Failure to comply with StepHouse policies signed at intake may result in an early
administrative termination from the program. Infractions will be documented, and the
OCHCA Gatekeeper and Program Monitor will be notified. The client's Probation/Parole
Officer will be notified of termination when applicable. In addition, there may be
circumstances in which law enforcement is called, and legal action is taken against the
client. Residents who have relapsed and are under the influence may be transported to
Be Well Orange Campus or College Hospital Costa Mesa.
If a client discharges or is terminated from the program and does not collect personal
belongings, the items will be held for seven (7) days (excluding food products) and then
discarded or donated to charity. Clients who are terminated from the program must be
sober before they reenter Stephouse property.
Should it be necessary upon discharge, Stephouse Recovery will assist clients in
securing safe transportation and/or temporary shelter. Clients will either be assisted with
Movidcare Medi-Cal transport or a bus pass to ensure they can reach their discharge
destination.
The following new policy Wag revised and approved by T*tph.>ugb rLcovery,
//IC, BOardOfD;ibbLuih un fi/28/25
8Affffl jO/iff DISCHARGE POLICY
This policy applies exclusively to clients residing at the Baker Residence in Costa Mesa.
To comply with the City of Costa Mesa's Code of Ordinances, Title 13 - Planning, Zoning and
Development, Chapter XV - Group Homes, §13-311 (a)(1 0) & (11 ), Stephouse Recovery staff
will adhere to the following protocol:
(1 0) At least 48 hours before a resident's eviction from or involuntary termination of residency at
Stephouse Recovery, Stephouse staff will
i. Notify the person designated as the resident's emergency contact or contact of record
that the resident will no longer be a resident at the home.
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ii. Contact the Orange County Health Care Agency QC Links Referral Line and/or
another entity designated by the City to determine the services available to the resident,
including, but not limited to, alcohol and drug inpatient and outpatient treatment.
iii. Notify the city's Network for Homeless Solutions that a client is no longer a resident at
the home and determine available services.
iv. Provide the information obtained from paragraphs ii and iii of this subsection (a)(1 0)
and any other treatment provider or service to the resident before his or her release on a
form provided by the City and obtain the resident's signed acknowledgement.
v. Provided, however, that if the resident's behavior results in immediate termination of
residency pursuant to rules approved by the City, Stephouse Recovery shall comply with
paragraphs i through iv of this subsection (a)(l O) as soon as possible.
('lj) Prior to an resident's eviction from or involuntary termination of residency in a group home,
the operator thereof shall also:
i. Make available to the resident, transportation to the address listed on the resident's
driver's license, state-issued identification card, or the permanent address identified in
the resident's intake form or referral.
ii. Provided, however, that should the resident decline transportation to his or her
permanent address or otherwise has no permanent address, then the operator shall
make available to the resident transportation to another group home or residential care
facility that has agreed to accept the resident.
Please note that all Health Insurance Portability and Accountability Act (HIPAA) privacy laws wi!l
be strictly followed. No resident information will be released, shared, or discussed without the
resident's written consent. A valid Release of Information (ROI) must be signed by the residents
and placed in their client record, authorizing Stephouse Recovery to provide personal
information to the City of Costa Mesa or to any other persons, facilities, or providers as
specified.
Participation in the Orange County Health Care Agency Recovery Residence Services Program
and sober living services is not contingent upon providing this authorization. Clients retain the
right to decline to sign the release and may specify limitations on the information Stephouse
Recovery may disclose.
The requirements outlined by the City of Costa Mesa do not replace or supersede OCHCA
contractual obligations. Rather, they are considered additional steps to be completed at the time
of discharge for Stephouse Recovery residents.
Client Discharge Form
Baker House, Costa Mesa
Client Name:
State Issued Identification or Driver's License Number:
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Discharge Date:
Client Completed Sober Living Program: € Yes @ NO
Client's discharge destination:
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E(ONOMIC & DEVELOP MENT S[-RVICL-S D[-PARTl'v'lENT
CITY OF COSTA MESA
INTEROFFICE MEMORANDUM
TO: CITY COUNCIL AND PLANNING COMMISSION
DATE:JANUARY5,2026
SUBJECT: SPECIAL USE PERMIT PGSH-24-0002
This is to advise you that Special Use Permit PGSH-24-0002 was approved on January 5,
2026, to allow a new sober living home with six or fewer persons (not counting the house
manager) (Stephouse Recovery Inc.) at 1601 Baker Street. Please feel free to contact me by
e-mail at carrie.tai@costamesc'ica.qov if you have any questions or would like further details.
The decision wili become final at 5:00 p.m. on January 12, 2026, unless appealed by an
affected party, including filing of the necessary application and payment of the appropriate
fee, or called up for review by a member of the City Council. If appealed or called up for
review, the project would be reviewed by the Planning Commission.
On October 23, 2025, a duly noticed public hearing was held before the City's Hearing
Officer to consider Special Use Permit Application No. PGSH-24-0002, submitted by
Stephouse Recovery, Inc., to allow a soberliving home witti six or few persons (not counting
the house manager) at 1601 Baker Street. The hearing was conducted pursuant to Costa
Mesa Municipal Code Section 13-311, which establishes a ministerial review process for
group homes located within the RI Single-Family Residential District. The hearing was held
for the purpose of receiving infoi-mation regarding the Applicant's compliance with the
applicable provisions of subsections (a) and (b) of Section 13-311.
Following review of the application materials, testimony, and evidence received at the
public hearing, the Hearing Officer-acting as the designee of the Director of Development
Services-issued a decision on behalf of the Director. As documented in the attached
Hearing Officer's Notice of Decision and Memorandum of Evidence, the Applicant has
demonstrated compliance with, or has agreed to comply with, all applicable requirements
of Costa Mesa Municipal Code Section 13-311(a), and no grounds for denial pursuant to
Section 13-311(b) were found. Accordingly, the Special Use Permit was issued as a
ministerial action.
77 FAIR DRIVE, POST OFFICE BOX
Biiildnig Safety Division (7 14) 754-5273
Hocising & Corqmui-iity Develoliment (714) 754-4870
1200, COSTA MESA CA 92b28-1200
Commiirutylrnprovement Driyision (714) 754-5638
Plannmg Division (714) 754-5245
www costan"iesaca.gov
jiPaqe
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