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HomeMy WebLinkAboutZA2019-065 - APPROVING MINOR USE PERMIT NO. UP2019-040 TO ALLOW THE SALE AND SERVICE OF ALCOHOLIC BEVERAGES WITH A TYPE 41 (ON-SALE BEER AND WINE) ALCOHOLIC BEVERAGE CONTROL (ABC) LICENSE LOCATED AT 101 NEWPORT CENTER DRIVERESOLUTION NO. ZA2019-065 A RESOLUTION OF THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH APPROVING MINOR USE PERMIT NO. UP2019-040 TO ALLOW THE SALE AND SERVICE OF ALCOHOLIC BEVERAGES WITH A TYPE 41 (ON-SALE BEER AND WINE) ALCOHOLIC BEVERAGE CONTROL (ABC) LICENSE LOCATED AT 101 NEWPORT CENTER DRIVE (PA2019-141) THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH HEREBY FINDS AS FOLLOWS: SECTION 1. STATEMENT OF FACTS. 1. An application was filed by Sessions Holdings Two, LLC (Applicant), with respect to property located at 101 Newport Center Drive and legally described as Lot Q of Tract No. 6015. 2. The Applicant requests approval of a minor use permit to allow a Type 41 (On-Sale Beer and Wine) Alcoholic Beverage Control (ABC) license for a food service, eating and drinking establishment (restaurant) located within the Fashion Island Shopping Center. The proposed hours of operation are from 7:00 a.m. to 9:00 p.m., daily. No late hours (after 11 p.m.) are proposed as part of this application. 3. The subject property is located within the Fashion Island Sub-Area of the PC-56 (North Newport Center Planned Community) Zoning District and the General Plan Land Use Element category is CR (Regional Commercial). 4. The subject property is not located within the coastal zone; therefore, a coastal development permit is not required. 5. A public hearing was held on October 10, 2019, in the Corona del Mar Conference Room (Bay E-1st Floor) at 100 Civic Center Drive, Newport Beach. A notice of time, place and purpose of the hearing was given in accordance with the Newport Beach Municipal Code. Evidence, both written and oral, was presented to, and considered by, the Zoning Administrator at this hearing. SECTION 2. CALIFORNIA ENVIRONMENTAL QUALITY ACT DETERMINATION. 1. This project has been determined to be categorically exempt pursuant to Title 14 of the California Code of Regulations (Section 15301, Article 19 of Chapter 3, Guidelines for Implementation of the California Environmental Quality Act) under Class 1 (Existing Facilities). 2. The Class 1 exemption includes the ongoing use of existing buildings where there is negligible or no expansion of use. The proposed project involves the addition of alcoholic Zoning Administrator Resolution No. ZA2019-065 Page 2 of 10 beverages at a proposed restaurant within an existing commercial tenant space currently operated as a restaurant and planned for such use. SECTION 3. REQUIRED FINDINGS. In accordance with Newport Beach Municipal Code (NBMC) Section 20.48.030 (Alcohol Sales), the following findings and facts in support of such findings for a use permit are set forth: Finding A. The use is consistent with the purpose and intent of Section 20.48.030 (Alcohol Sales) of the Zoning Code. Facts in Support of Finding In finding that the proposed use is consistent with NBMC Section 20.48.030, the following criteria must be considered: i. The crime rate in the reporting district and adjacent reporting districts as compared to other areas in the City. 1. The proposed establishment is located within Reporting District (RD) No. 39, wherein the number of crimes is higher than adjacent Reporting Districts and the City overall; however, this may be attributable to a higher concentration of commercial land uses within a regional commercial shopping center, which has a minimal amount of residential uses. RD 44 is smaller in land area when compared to RD 39 yet it maintains a comparable number of crimes as it contains the entire commercial corridor along East Coast Highway within Corona del Mar. RD 43 and 47 have a significantly lower number of crime as they are primarily residential with few commercial uses. 2. The highest volume crime in RD 39 is shoplifting and the highest volume arrests are drug-related offenses. 3. The Newport Beach Police Department (NBPD) has reviewed the application and has provided operational conditions of approval to help minimize any potential detrimental impacts. ii. The numbers of alcohol-related calls for service, crimes, or arrests in the reporting district and in adjacent reporting districts. 1. Due to the high concentration of commercial land uses, the calls for service and number of arrests are greater than adjacent RDs 43 and 47, which are primarily residential, but are comparable to those of RD 44. The NBPD has reviewed the application and has provided operational conditions of approval to help minimize any potential impacts, which are incorporated in Exhibit “A.” Zoning Administrator Resolution No. ZA2019-065 Page 3 of 10 iii. The proximity of the establishment to residential zoning districts, day care centers, hospitals, park and recreation facilities, places of worship, schools, other similar uses, and any uses that attract minors. 1. Fashion Island does not abut sensitive land uses and is separated from other uses by parking lots, roadways and other commercial uses. Residential uses are permitted in the northern sections of the PC-56 (North Newport Center Planned Community) Zoning District within Blocks 500, 600, 800, and San Joaquin Plaza. The proposed use is not located in close proximity to these residential districts. iv. The proximity to other establishments selling alcoholic beverages for either off-site or on-site consumption. 1. There are several other restaurants within the Fashion Island Shopping Center. These include tenants such as Fleming’s Steak House, True Food Kitchen, Whole Foods, Cheesecake Factory, and P.F. Chang’s. These restaurants have Type 41 (On-Sale Beer and Wine) or Type 47 (On-Sale General) Alcoholic Beverage Control (ABC) licenses and there is no evidence suggesting these uses have been detrimental to the neighborhood. These establishments are not proximate to the proposed use. Additionally, there is no evidence to suggest that the conditional approval of this new alcohol sales license would create new objectionable conditions. 2. The proposed hours of operation do not include late hours after 11 p.m. According to the NBPD, an adequate security plan is currently in place for Fashion Island. Conditions of approval are included to adequately manage alcohol service, which will occur only within the indoor dining area. v. Whether or not the proposed amendment will resolve any current objectionable conditions. 1. The proposed restaurant is located within an existing commercial tenant space and is designed as a restaurant that includes on-site service and consumption of alcoholic beverages. There are no current objectionable conditions. 2. The NBPD has reviewed the application and has provided operational conditions of approval to help minimize any potential detrimental impacts, which are included in Exhibit “A.” Minor Use Permit In accordance with NBMC Section 20.52.020.F (Findings and Decision), the following findings and facts in support of such findings for a use permit are set forth: Finding B. The use is consistent with the General Plan and any applicable specific plan: Zoning Administrator Resolution No. ZA2019-065 Page 4 of 10 Facts in Support of Finding 1. The Land Use Element of the General Plan designates the project site as Regional Commercial (CR), which is intended to provide retail, entertainment, service, and supporting uses that serve local and regional residents. The proposed restaurant with alcoholic beverage sales will serve local and regional residents and is consistent with land uses in the CR land use designation. 2. The subject property is not a part of a specific plan area. Finding C. The use is allowed within the applicable zoning district and complies with all other applicable provisions of this Zoning Code and the Municipal Code: Facts in Support of Finding 1. The project is located in the Fashion Island Sub-Area of the PC-56 (North Newport Center Planned Community) Zoning District. Fashion Island is intended to be a regional retail and entertainment center that is a destination with a wide variety of uses that will serve visitors, residents, and employees of the area. The eating and drinking establishment with alcoholic beverage sales is a commercial use that serves visitors, residents, and employees in the area and, therefore, is consistent with the purposes of the North Newport Center Planned Community District. 2. Eating and drinking establishments are permitted uses within the Fashion Island Sub- Area of the North Newport Center Planned Community Zoning District. Pursuant to the Planned Community Text, the on-site sale of alcohol in conjunction with an eating and drinking establishment requires a minor use permit. Finding D. The design, location, size, and operating characteristics of the use are compatible with the allowed uses in the vicinity: Facts in Support of Finding 1. The Fashion Island Sub-Area permits a range of retail, dining, and commercial entertainment. The proposed use is compatible with surrounding permitted commercial uses in the vicinity and there are no sensitive land uses located nearby. 2. The on-site consumption of alcoholic beverages will be incidental to the eating and drinking establishment. The quarterly gross sales of alcoholic beverages will not exceed the gross sales of food during the same period, per the conditions of approval. Alcoholic beverage service and consumption will be under the supervision of employees who have completed a certified training program pursuant to Condition of Approval No. 15. Alcohol service will occur only within the interior of the establishment. No outdoor patio service is proposed. Zoning Administrator Resolution No. ZA2019-065 Page 5 of 10 3. The restaurant will not operate with late hours after 11 p.m., which will help ensure that it does not operate as a bar, lounge, or nightclub. Pursuant to Condition of Approval No. 3, the restaurant’s hours are limited to between 7 a.m. and 9 p.m. 4. The conditions of approval reflected in Exhibit “A” of this resolution ensure that potential conflicts with surrounding land uses are eliminated or minimized to the greatest extent possible. Finding E. The site is physically suitable in terms of design, location, shape, size, operating characteristics, and the provision of public and emergency vehicle (e.g., fire and medical) access and public services and utilities: Facts in Support of Finding 1. The Fashion Island shopping center provides adequate required parking within the on- site surface parking lots and parking structures. The proposed restaurant with alcohol service will be replacing an existing restaurant, such that there should be no noticeable change in parking demand on-site as a result of this project. 2. This site has been reviewed by the Fire Department to ensure adequate public and emergency vehicle access is provided. Utilities are provided with all applicable requirements. 3. The tenant space is designed and currently developed for a restaurant use. 4. Any improvements to the project site will comply with all Building, Public Works, and Fire Codes. All ordinances of the City and all conditions of approval will be complied with. Finding F. Operation of the use at the location proposed would not be detrimental to the harmonious and orderly growth of the City, or endanger, jeopardize, or otherwise constitute a hazard to the public convenience, health, interest, safety, or general welfare of persons residing or working in the neighborhood of the proposed use: Facts in Support of Finding 1. The project has been reviewed and includes conditions of approval to help ensure that potential conflicts with the surrounding land uses are minimized to the greatest extent possible. 2. The restaurant with alcohol service will serve visitors and the surrounding business community. The proposed establishment will provide alcohol service as a public convenience to visitors and workers within the surrounding area. Zoning Administrator Resolution No. ZA2019-065 Page 6 of 10 3. Fashion Island management has historically provided efficient on-site security and cooperates with the NBPD. 4. The Applicant is required to obtain Health Department approval prior to opening for business, and comply with the California Building Code to ensure the safety and welfare of customers and employees within the establishment. 5. The facts in support of Findings A through F above are incorporated by reference. SECTION 4. DECISION. NOW, THEREFORE, BE IT RESOLVED: 1. The Zoning Administrator of the City of Newport Beach hereby approves Minor Use Permit No. UP2019-040 (PA2019-141), subject to the conditions set forth in Exhibit “A” which is attached hereto and incorporated by reference. 2. This action shall become final and effective fourteen (14) days following the date this Resolution was adopted unless within such time an appeal is filed with the Community Development Director in accordance with the provisions of Title 20 Planning and Zoning, of the Newport Beach Municipal Code. PASSED, APPROVED, AND ADOPTED THIS 10TH DAY OF OCTOBER, 2019. ________________________________ James Campbell, Zoning Administrator Zoning Administrator Resolution No. ZA2019-065 Page 7 of 10 EXHIBIT “A” CONDITIONS OF APPROVAL 1. The development shall be in substantial conformance with the approved site plan, floor plans and building elevations stamped and dated with the date of this approval. (Except as modified by applicable conditions of approval.) 2. Alcohol service shall be limited to a Type 41 (On-Sale Beer and Wine) Alcoholic Beverage Control (ABC) License. 3. The regular business hours for the restaurant shall be restricted from 7 a.m. to 9 p.m., daily. The closing hour for all business operations shall be limited to 11:00 p.m. Any change to a later closing time shall require approval by the NBPD and an amendment to this Minor Use Permit. 4. Approval does not permit the premises to operate as a bar, tavern, cocktail lounge or nightclub as defined by the NBMC, unless the Zoning Administrator first approves an amended minor use permit. This Minor Use Permit shall be terminated if the operation is no longer maintained as a “bona fide public eating place” as defined by the California Department of Alcoholic Beverage Control. 5. Food service from the regular menu shall be made available to patrons until closing. 6. Alcohol may be served within the interior of the establishment. Alcoholic beverages served by the establishment shall only be consumed on the licensed premises and shall not be consumed on any adjacent property. 7. There shall be no exterior advertising or signs of any kind or type, including advertising directed to the exterior from within, promoting or indicating the availability of alcoholic beverages. Interior displays of alcoholic beverages or signs which are clearly visible to the exterior shall constitute a violation of this condition. 8. Petitioner shall not share any profits or pay any percentage or commission to a promoter or any other person based upon monies collected as a door charge, cover charge, or any other form of admission charge, including minimum drink orders or the sale of drinks. 9. The quarterly gross sales of alcoholic beverages shall not exceed the gross sales of food during the same period. The licensee shall at all times maintain records, which reflect separately the gross sales of food and the gross sales of alcoholic beverages of the licensed business. These records shall be kept no less frequently than on a quarterly basis and shall be made available to the NBPD on demand. 10. There shall be no on-site radio, television, video, film or other electronic media broadcasts, including recordings to be broadcasted at a later time, which include the service of alcoholic beverages, without first obtaining an approved special event permit issued by the City of Newport Beach. Zoning Administrator Resolution No. ZA2019-065 Page 8 of 10 11. There shall be no live entertainment or dancing on the premises. 12. No games or contests requiring or involving the consumption of Alcoholic beverages shall be allowed. 13. Strict adherence to maximum occupancy limits is required. 14. Any changes in operational characteristics, hours of operation, expansion in area, or modification to the floor plan, shall require an amendment to this Minor Use Permit, unless otherwise approved by the Planning Division. Any changes in the business operation will require the preparation of an individual security plan subject to the review and approval of the NBPD. 15. All persons, managers, and employees selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages. The certified program must meet the standards of the California Coordinating Council on Responsible Beverage Service or other certifying/licensing body, which the State may designate. The establishment shall comply with the requirements of this section within 180 days of the issuance of the certificate of occupancy. Records of each person’s, manager’s, and employee’s successful completion of the required certified training program shall be maintained on the premises and shall be presented upon request by a representative of the City of Newport Beach. 16. A Special Event Permit is required for any event or promotional activity outside the normal operational characteristics of this business that would attract large crowds, involve the sale of alcoholic beverages, include any form of on-site media broadcast, or any other activities as specified in the NBMC to require such permits. 17. The operator shall take reasonable steps to discourage and correct objectionable conditions that constitute a nuisance in parking areas, sidewalks, and areas surrounding the alcoholic beverage outlet and adjacent properties, if directly related to the patrons of the subject alcoholic beverage outlet. 18. The operator of the restaurant facility shall be responsible for the control of noise generated by the subject facility. All noise generated by the proposed use shall comply with the provisions of NBMC Chapter 10.26 and other applicable noise control requirements. 19. The exterior of the business shall be maintained free of litter and graffiti at all times. The owner or operator shall provide for daily removal of trash, litter, and debris from the premises and on all abutting sidewalks within 20 feet of the premises. Graffiti shall be removed within 48 hours of written notice from the City. 20. The operator shall be responsible for the clean-up of all on-site and off-site trash, garbage and litter generated by the use. Zoning Administrator Resolution No. ZA2019-065 Page 9 of 10 21. All trash shall be stored within the building or within dumpsters stored in the trash enclosure (three walls and a self-latching gate) or otherwise screened from view of neighboring uses and properties. 22. The Applicant shall ensure that the trash dumpsters and/or receptacles are maintained to control odors. This may include the provision of either fully self-contained dumpsters or periodic steam cleaning of the dumpsters, if deemed necessary by the Planning Division. Cleaning and maintenance of trash dumpsters shall be done in compliance with the provisions of NBMC Title 14, including all future amendments (including Water Quality related requirements). 23. Storage outside of the building shall be prohibited. 24. All proposed signs shall be in conformance with the provisions of the PC-56 (North Newport Center Planned Community), NBMC Chapter 20.42 (Sign Standards), or an approved Comprehensive Sign Program for the project site. 25. The Applicant shall comply with all federal, state, and local laws, and all conditions of the Alcoholic Beverage License. Material violation of any of those laws in connection with the use may be cause for revocation of this permit. 26. The Zoning Administrator may add to or modify conditions of approval to this Minor Use Permit, upon a determination that the operation which is the subject of this Minor Use Permit causes injury, or is detrimental to the health, safety, peace, morals, comfort, or general welfare of the community. 27. Should the business, subject to the Minor Use Permit conditioned herein, be sold or otherwise come under different ownership or a change in operators, any future owners, operators, or tenants shall be notified of the conditions of this approval by either the current business owner, property owner, or the leasing agent. 28. This Minor Use Permit shall expire unless exercised within twenty-four (24) months from the date of approval as specified in Section 20.54.060 (Time Limits and Extensions) of the Newport Beach Municipal Code. 29. The Applicant is required to obtain all applicable permits from the City’s Building Division and Fire Department. The construction plans must comply with the most recent, City-adopted version of the California Building Code. The construction plans must meet all applicable State Disabilities Access requirements. Approval from the Orange County Health Department is required prior to the issuance of a building permit. 30. To the fullest extent permitted by law, Applicant shall indemnify, defend and hold harmless City, its City Council, its boards and commissions, officials, officers, employees, and agents from and against any and all claims, demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs and expenses (including without limitation, attorney’s fees, disbursements and court costs) of every kind and nature whatsoever which may arise from or in any manner relate (directly or indirectly) to City’s Zoning Administrator Resolution No. ZA2019-065 Page 10 of 10 approval of the Sessions Fashion Island Alcohol Sales including, but not limited to, Minor Use Permit No. UP2019-040 (PA2019-141). This indemnification shall include, but not be limited to, damages awarded against the City, if any, costs of suit, attorneys' fees, and other expenses incurred in connection with such claim, action, causes of action, suit or proceeding whether incurred by Applicant, City, and/or the parties initiating or bringing such proceeding. The Applicant shall indemnify the City for all of City's costs, attorneys' fees, and damages which City incurs in enforcing the indemnification provisions set forth in this condition. The Applicant shall pay to the City upon demand any amount owed to the City pursuant to the indemnification requirements prescribed in this condition.