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Merced County, CA Home Business: Cottage Food Operations (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Governing section
Zoning Code § 18.60.050
Permit required
Zoning Clearance from Planning Dept
Health compliance
County Div. of Environmental Health
Employee limit
One non-family full-time employee
Last amended
Ord. 2062, June 2, 2026

Summary

In unincorporated Merced County, a cottage or artisanal food operator (CFO) making low-risk food products at a private residence must obtain a Zoning Clearance from the Planning Department before selling. The operation must also comply with County Division of Environmental Health requirements and may employ only one full-time worker who is not a family or household member.

These county ordinances apply to unincorporated areas of Merced County. Incorporated cities within the county may have their own rules that take precedence over county-level regulations.

Purpose. The purpose of this section is to regulate the establishment and operation of cottage food and artisanal operations which allow for low-risk products to be made or repackaged at a private residence for sale to consumers. ... Compliance with County Division of Environmental Health. The cottage or artisanal food operations shall comply with County Division of Environmental Health requirements. Zoning Clearance Required. The approval of a Zoning Clearance through the Department is required. Employees. Cottage or artisanal food operations may have one full-time employee, not including family members or household members.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: rev 4930839; v8 updated 2026-06-02).

Full Breakdown

050 regulates cottage and artisanal food operations countywide, defining two sale paths. Direct sales cover in-person transactions between the CFO and a consumer, including holiday bazaars, bake sales, food swaps, farm stands, certified farmers' markets, and community-supported agriculture subscriptions handled by the operator. Indirect sales cover transactions where a third-party retailer holding its own valid Merced County Division of Environmental Health permit resells the CFO's product, including retail shops and retail food facilities where the food may be eaten on-site. Before operating either way, the CFO must secure a Zoning Clearance through the Department, the same low-tier permit used for other minor home-based accessory uses under this chapter, and must independently satisfy County Division of Environmental Health requirements covering food safety and handling.

Staffing is capped: the operation may add just one full-time employee beyond the operator's own family or household members, keeping the use scaled to a residential accessory activity rather than a commercial kitchen. 60 (Standards for Specific Land Uses) alongside other home-based use rules and was last amended by Ordinance 2062 on June 2, 2026, following the original 2019 adoption under Ordinance 1976.

Violations & Fines

Operating a cottage food business without the required Zoning Clearance, or exceeding the one-employee limit, is a zoning code violation. The county planning director and zoning inspector are authorized under Merced County Code Section 1.20.020 to issue infraction citations for ordinance violations they are charged with enforcing. Under the county's general penalty schedule (Section 1.28.030), a first infraction draws a fine up to $100, a second within a year up to $200, and each additional violation within a year up to $500; Section 1.28.040 treats each day a violation continues as a separate offense.

Frequently Asked Questions

Do I need a permit to sell cottage food from my home in unincorporated Merced County?
Yes. Section 18.60.050 requires a Zoning Clearance from the Merced County Planning Department before you begin direct or indirect sales of cottage or artisanal food products made at your residence, in addition to any separate health permit needed.
Can I hire help for my Merced County cottage food operation?
You may add one full-time employee who is not a family or household member. Beyond that single hire, staffing must come from people who already live in the household, keeping the operation at a residential accessory scale.
What is the difference between direct and indirect cottage food sales under county rules?
Direct sales are in-person transactions you make yourself, such as at farmers' markets, bake sales, or farm stands. Indirect sales route through a third-party retailer that holds its own valid Division of Environmental Health permit, such as a retail shop or food facility.
What happens if I sell cottage food without a Zoning Clearance in Merced County?
It is treated as a zoning infraction enforceable by the county zoning inspector or planning director. Fines run up to $100 for a first offense, $200 for a second within a year, and $500 for each further violation, with every additional day counted separately.

Sources & Official References

Other rules in Merced County

All Merced County rules

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