What Should I Do With the Los Angeles Health Department When I Take Over an Existing Restaurant?
Published by TableLot | Restaurant Real Estate & Acquisition
Taking over an existing restaurant in Los Angeles is one of the most efficient paths to becoming a food service operator. You inherit a functional kitchen, existing equipment, a trained customer base, and ideally a space that is already permitted and ready to operate. But one critical step that many new operators underestimate is the required interaction with the Los Angeles County Department of Public Health Environmental Health Division and specifically, the process of obtaining a new Public Health Permit in your name.
Here is the definitive guide to what you need to know, do, and prepare when dealing with the Los Angeles County Health Department as part of a restaurant takeover. Understanding Why You Need a New Health Permit
This is the most important point to understand upfront: the Public Health Operating Permit issued by the Los Angeles County Department of Public Health is non-transferable. It is issued specifically to a named individual or entity, for a specific location, for a specific type of operation, and for a specific permit period. When ownership of a restaurant changes hands, the prior owner's health permit does not convey to the new owner it terminates.
Operating a food facility without a valid, current Public Health Permit is a serious legal violation that can result in immediate closure, significant fines, and reputational damage. As the new owner, your first compliance obligation is to obtain your own permit before or at the earliest possible point after the change of ownership. The Department provides a defined process for change of ownership situations, and understanding that process thoroughly is essential before you close your acquisition deal.
Step 1: Contact the District Office Before You Close The Los Angeles County Department of Public Health operates through a network of district offices located throughout the county. As soon as you know you are moving forward with a restaurant acquisition, contact the district office closest to the restaurant's location to notify them of the upcoming ownership change and to schedule a change of ownership inspection.
Changes of ownership for any food business require a contact with the district office to schedule an inspection that will determine whether the business is in compliance with the relevant health and safety codes. Do not wait until after you have signed the purchase agreement or taken possession of the keys — starting this process early gives you critical information about any existing compliance issues before you are legally bound to the deal.
You can find district office locations and contact information on the Los Angeles County Department of Public Health Environmental Health website at publichealth.lacounty.gov/eh. The general permits and licensing unit can also be reached by phone or at EHPermits@ph.lacounty.gov.
Step 2: Determine Whether Plan Check Is Required Whether you need to go through the full Plan Check process before receiving your permit depends on what changes, if any, you intend to make to the food facility. The Los Angeles County Department of Public Health's Construction Requirements for Retail Food Facilities outline the following scenarios that trigger a Plan Check requirement: • No major changes: If you are taking over an existing restaurant with no plans for structural changes, equipment additions, or changes to the method of operation, you may qualify for a streamlined change of ownership process. You will still need an inspection, but you may not need a formal Plan Check submission. • Structural or equipment changes: If you plan to add, relocate, or significantly modify any kitchen equipment — including replacing cooking equipment, adding refrigeration, changing the layout of the prep area, or adding a hood system — Plan Check is required before that work begins. • Change in operation type: If you are changing the restaurant's operational scope — for example, converting from a limited menu operation to a full-service kitchen, or adding a catering component — Plan Check is required to review the proposed changes against the California Retail Food Code. • Revoked permit: If the prior owner's permit was revoked (rather than simply lapsed due to non-renewal), a full Plan Check process is required before the new permit can be issued. When in doubt, request a Plan Check Site Evaluation from the district office. A health inspector will visit the facility and assess whether plans are required — a proactive step that can prevent costly surprises after you take possession.
Step 3: Prepare and Submit the Permit Application Whether or not Plan Check is required, you will need to complete and submit the Los Angeles County Public Health Permit/License Application. This form must be completed in full, with all fields addressed. Key information required includes: • Legal name of the business entity and owner(s) • Business address and facility contact information • Type of food facility and description of operations • Owner's personal contact information (kept confidential by the department) • California Seller's Permit number (issued by the California Department of Tax and Fee Administration — CDTFA) Applications can be submitted in person at a district office, by mail to the Environmental Health Division, or electronically via EHPermits@ph.lacounty.gov. The department recommends submitting your application at least 30 days before your intended start of operations to allow sufficient processing time. Acceptable forms of payment for in-person submissions include cash, check, cashier's check, or money order. Cash payments must be in the exact amount.
Step 4: Pay the Health Permit Fee Health permit fees in Los Angeles County are based on the type and size of your food facility. Annual permit fees for restaurants as of the most recent fee schedule include approximately $772 per year for small restaurants under 25 seats, $1,070 per year for medium restaurants with 26 to 50 seats, and up to $1,472 per year for large restaurants with 51 or more seats. There are additional one-time fees for Plan Check review if required.
These fees are paid annually and must be kept current. Failure to maintain a current Public Health Permit may result in the closure of the facility under Los Angeles County Code and the California Health and Safety Code.
Step 5: Pass the Pre-Opening Inspection Once your application is processed and fees are paid, a health inspector will conduct a pre-opening inspection of the facility. The inspector will evaluate the following areas: • Food storage temperatures and practices • Kitchen equipment condition, functionality, and ANSI certification • Handwashing sink accessibility and proper soap and towel supply • Three-compartment sink setup and sanitizer concentration • Pest control measures and evidence of infestation • Condition of walls, floors, and ceilings in food preparation areas • Employee food handler certification (California Food Handler Cards are required for all food handlers) • Adequate refrigeration and temperature monitoring systems If the facility passes inspection, your new Public Health Permit is issued and you can legally operate. If deficiencies are noted, the inspector will provide a correction notice outlining the issues and required corrective actions before the permit is issued. Addressing these promptly is essential to avoid delays in your opening.
Step 6: Ensure All Employees Hold Food Handler Cards California law requires that all food handlers in a food facility obtain a California Food Handler Card from an accredited food safety training provider within 30 days of hiring. Food Handler Cards are obtained by completing an accredited food safety training course and passing an examination. The cost is typically $7 to $15 per employee. As the new owner, verify that all employees you are retaining from the prior operation hold current, valid Food Handler Cards, and schedule training for any employees who do not. Additionally, at least one employee with a valid Food Safety Manager Certification — a more comprehensive certification than the basic Food Handler Card — must be present and responsible for food safety operations at all times. The Certified Food Protection Manager (CFPM) certification is typically obtained through a proctored examination such as the ServSafe Food Manager exam. Step 7: Address Any Outstanding Health Code Violations from the Prior Owner
One of the most important pre-acquisition due diligence steps is reviewing the prior owner's inspection history and any outstanding health code violations or compliance orders. The Los Angeles County Department of Public Health publishes restaurant inspection results publicly accessible through the Environmental Health Division's online restaurant inspection report system.
Before closing your acquisition, research the facility's recent inspection history. A pattern of recurring violations particularly violations related to rodent or cockroach activity, improper food temperatures, or inadequate handwashing facilities may signal systemic infrastructure or practice problems that will require significant investment to resolve. Outstanding compliance orders from the prior owner do not simply disappear when ownership changes; the new owner becomes responsible for bringing the facility into compliance as a condition of permit issuance. Other Permits and Licenses to Coordinate
The health permit is one of several permits and licenses required to legally operate a restaurant in Los Angeles County. Depending on your concept and intended operations, you may also need to coordinate with: • Los Angeles Department of Building and Safety (LADBS): For any structural, plumbing, electrical, or mechanical work associated with your build-out or renovation. • California Department of Alcoholic Beverage Control (ABC): For any on-premises alcohol sales, including beer and wine (Type 41 license) or full bar service (Type 47 license). ABC licenses are not transferable and require a new application, background check, and public notification process for each new owner. • Los Angeles Fire Department (LAFD): For fire suppression system inspection and certificate of occupancy requirements. • City of Los Angeles Business Tax Registration Certificate: Required for all businesses operating within the City of Los Angeles. • California Seller's Permit: Required to collect and remit California sales tax, issued by the California Department of Tax and Fee Administration.
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