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Commissioner Ritter inquired if the perception of this facility would change if it were a small family daycare. Ms. Wallis explained that small family daycares are automatically permitted within the City. She stated that this facility has been in operation as a small family daycare since 2008, and in 2013 applied to the State to increase its capacity from six children to ten children. She noted that the State granted the facility a license to operate the facility for up to 14 children, but the applicant is currently requesting to have a capacity for only 10 children Commissioner Ritter inquired if that would meet the Homeowners Association's (HOA) rules. Ms. Harryman stated that it would come as a surprise to most people to learn that State law, in wanting to encourage these types of facilities, has essentially told cities that they cannot regulate facilities with up to six children. She explained that this is a use by right for up to six children, regardless of the type of residential housing; however, once it gets over six children, State law indicates that cities have the ability to regulate these, but within specific parameters. She continued that following State law, the City then adopted an ordinance that sets forth the parameters, and that is what the Commission is looking at for this application. Ms. Harryman then addressed Commissioner Ritter's question regarding the Homeowners Association. She stated that questions about Covenants, Conditions, and Restrictions (CC &Rs) have come up from time to time in Planning Commission meetings. She explained that the State has a set of regulations for large family daycare facilities, and because the applicants went through the State's processes and met its set of requirements, they were granted a license for a large family daycare; the State does not look to the CC &R's or the City's rules and regulations. Ms. Harryman continued that another step the applicants have to go through is getting a City business license, and because they want to be a large family daycare facility, they also need to get a Conditional Use Permit. She stated that their Homeowners Association may have certain requirements, but the City does not look at those; the City looks at its own requirements in the Pleasanton Municipal Code and renders its decision based on its own process. She added that should the Homeowners Association have an issue, for example, if the Planning Commission overturns the Zoning Administrator's decision and approves their application, and its CC &Rs specifically states that no family daycares are allowed, it would be up to the HOA to then enforce or take actions to make sure their rules are complied with. Commissioner Allen inquired if the small family daycares for six children include any children of the daycare applicant or provider. PLANNING COMMISSION MINUTES, July 9, 2014 Page 5 of 14