RES-10182 Revoking Conditional Use Permit Quan's Rockin' SushiRESOLUTION NO. 10182
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ORANGE REPEALING AND REVOKING,
IN ITS ENTIRETY, CONDITIONAL USE PERMIT
NO. 90-60, WHICH ALLOWED THE GENERAL
ON-SALE (TYPE 47) OF ALCOHOL AT A BONA
FIDE EATING ESTABLISHMENT, AND
CONDITIONAL USE PERMIT NO. 2334-00,
WHICH PERMITTED ENTERTAINMENT IN CONJUNCTION
WITH THE SERVICE OF ALCOHOLIC
BEVERAGES WITHIN THE RESTAURANT (TO
INCLUDE ACTIVITIES SUCH AS KARAOKE AND DANCING,
AND THE USE OF COIN
OPERATED AMUSEMENT DEVICES, SUCH AS VIDEO
GAMES AND BILLIARD TABLES) FOR
THE PROPERTY LOCATED AT 1107 NORTH
TUSTIN STREET REVOCATION OF CONDITIONAL
USE PERMIT NO.'s
90-60 & 2334-00 QUAN'S ROCKIN' SUSHI a.
k.a. SAGE SUSHI)WHEREAS, the City of Orange has gathered a significant
amount of evidence regarding the subject establishment's repeated violations of the terms and
conditions of Conditional Use Permit No. 90-60 and Conditional Use Permit No. 2334-00,
as well as violations of other ordinances and various provisions of law, as presented
to the Planning Commission and City Council in the administrative record, including but limited
to, staff and public testimony, and Exhibit B (Bate Stamped Evidence Folders, volumes 1-3),
as referenced in this resolution
as if fully set forth herein; and WHEREAS, the revocation of Conditional
Use Permit No. 90-60 and Conditional Use Permit No. 2334-00 was processed in
accordance with the provisions of the City of
Orange Municipal Code (OMe) Section 17.1O.030H; and WHEREAS, this City
Council finds and determines that this project is categorically exempt from the provisions
of the California Environmental Quality
Act (CEQA), per State CEQA Guidelines, Section 15301; and WHEREAS, pursuant to OMC
17.l0.030H.2, the Planning Commission conducted one duly advertised public hearing
on March 5, 2007, regarding the proposed revocation of Conditional Use Permit No. 90-
60 and Conditional Use Permit No. 2334-00, and found that,based on the
evidence presented, the conditions and terms of the aforementioned conditional use permits were being
violated, as well as numerous violations of other ordinances and provisions of law and thereby recommended
that the City
WHEREAS, the City Council of the City of Orange conducted one duly advertised
public hearing on April 10, 2007, regarding the revocation of Conditional Use Permit No. 90-
60 and Conditional Use Permit No. 2334-00, upon the property legally described
as follows:LOT 28 OF TRACT NO. 2881 AS SHOWN ON
A MAP RECORDED IN BOOK 116, PAGES 45 AND
46 OF MISCELLANEOUS MAPS, RECORDS
OF ORANGE
COUNTY, CALIFORNIA.NOW, THEREFORE, BE IT RESOLVED that the City Council of the City
of Orange hereby repeals and revokes Conditional Use Permit No. 90-60, permitting
the General On-Sale 47) of alcohol at a bona fide eating establishment, and Conditional
Use Permit No. 2334-00,permitting entertainment within the restaurant (including activities
such as karaoke and dancing,and the use of coin operated amusement devices such as video
games and billiard games) in conjunction with the serving of alcoholic
beverages, for the following
reasons:SECTION 1 - FINDINGS Pursuant to Orange Municipal Code Section 17.10.030H., a Conditional
Use Permit granted in accordance with the terms ofthis chapter
shall be revoked if:It has not been used in accordance with
the terms of approval;Was obtained under
fraud or misinformation; or A conditional use permit may be revoked if any of the conditions or
terms are violated, or if any ordinance or other provision of law is violated in
connection with the permit.In pursuing the revocation of a conditional use permit, the Code
requires that the Planning Commission shall hold a public hearing to determine if the terms of
the conditional use permit are being violated in addition to any other ordinance or provision of law,
and shall make a recommendation to the City Council. The City Council shall make the
final
determination on a revocation.
Conditional Use Permit 90-60 Due to the fact that this entitlement was issued in 1960, there
were no conditions of approval associated with Conditional Use Permit No. 90-60. This CUP permitted
the sale of alcohol at a bona fide eating establishment. Notwithstanding the lack of
conditions attached to the CUP, the operators of the subject establishment have violated
various state regulations by serving alcohol to minors, as well as serving alcohol and/or allowing
the consumption of alcoholic beverages in the patio area (See Exhibit "B",
Bate Stamped Evidence Folders, Volumes
1-3).Conditional Use Permit No. 2334-00 The applicant has failed to comply with
the
following
CONDITION NO.2: At no time will there be a fee for entrance/admittance into the
premises.
The operators of the subject establishment have repeatedly violated this condition, as is
evidenced by several flyers for promotional events such as Club Thrust, Club Thriller, Reflex,
Free Flowing Fridays, Lucky, Pimps N' Ho's, Club Platinum, and Club Thirst, as well as the
information contained in various police reports and testimony from representatives from the
police department. The amount and type of entrance fee varied upon such factors as the featured
club, day of the week, age and gender of the patron, whether or not the patron wanted to
consume unlimited alcoholic drinks, and so on (See Exhibit B, Bate Stamped Evidence Folders,
Volumes 1-
3).CONDITION NO.4: Live entertainment may be provided, but shall be limited,
if amplified, to only karaoke or non-amplified to musical groups of not more
than three individuals. No noise from the said entertainment shall be audible from the exterior
of the business in any direction. No live bands or lingerie shows
are allowed.As shown by the evidence presented (See Exhibit B, Bate Stamped Evidence
Folders, Volumes 1-3), the subject establishment frequently hosted a variety of nightclub
events featuring live entertainment in the form of a featured disc jockey, providing amplified dance
music for the attraction and pleasure of the patrons. Several of the events featured
additional entertainment in the form of go-go dancers, lap dancers, wet T-
shirt contests, and similar shows.Numerous residents in the surrounding neighborhoods have
also made complaints about the excessive noise coming from the establishment. Music, boisterous
patrons and fights in and around the establishment's parking lot and residential neighborhoods
have been the source of numerous calls for service resulting in continually depleting the
City's valuable police resources.CONDITION NO.5: There shall be no special promotional
events held on the property including "18 and over" promotions, unless a written request
for such is received and approved by the Police Department's Vice
Unit one week in advance.The establishment hosted numerous nightclub/entertainment style
promotional events, often on a nightly basis. Representatives from the Orange Police
Department testified that they never received advanced notification or requests for any of the events held
at Quan's. The evidence presented shows that many of the hosted events were "18
and over," and some promotional events, such as those recently hosted by Club Platinum and Club
Sage, have permitted minors as young as 14 years of age to enter. The evidence shows that
the promotional incentive for these events included booty shorts and navel rings as a means of attracting patrons
under the age of 18 See Exhibit B, Bate
Stamped
CONDITION NO.8: Bar personnel will vigorously enforce all state and local laws and
ordinances including smoking.
Over the years the evidence shows that there have been numerous violations in and around
Quan's. More recently, on January 27, 2007, two 15-year-old females were escorted
into the establishment by the manager. These underage females were provided with passes
indicating to the bartenders that they were at least 21 years old and allowed to purchase and
drink alcohol.The bar manager committed this act, despite the girls' assertions of their underage status.
One of the girls became intoxicated, fell on the patio and broke her nose, resulting in the
need for paramedics and police to respond (See Exhibit B, Bate Stamped Evidence Folder,
Volume 3).There have also been police reports evidencing the presence of alcohol consumed and/
or served in the patio area. The serving and/or consumption of alcohol are not permitted in the
patio area,pursuant to Conditional Use Permit No. 90-60 and Conditional Use Permit
No. 2334-00 (See Exhibit B, Bate Stamped
Evidence Folders, Volumes 1-3).CONDITION NO.9: Bar personnel will
complete a business establishment
alcohol management and education program As a condition of approval for CUP No. 2334-00,
employees of the establishment must complete a business establishment alcohol management and
education plan. Among other things, the alcohol management plan requires the owner/operator, and each
of his or her employees to observe all rules and regulations, whether state or
local, when serving alcoholic beverages. The evidence presented shows numerous violations of state and
local law have been committed on the premises while serving alcohol, including but
not limited to serving minors, serving obviously intoxicated patrons, serving alcohol in
prohibited areas of the establishment and failing to serve alcohol in conjunction with food, in accordance
with the Type 47 alcohol license.See Exhibit B,
Bate Stamped Evidence Folders, Volumes 1-3)CONDITION NO. 11: The applicant shall comply
with all federal, state, and local laws.Violation of any of those laws in connection with the use
will
be cause for revocation of this permit.The evidence presented shows that underage
drinking has occurred at this establishment on numerous occasions. Most recently (January
27, 2007), two 15-year-old females were escorted into the establishment by
the manager. These underage females were provided with passes indicating to the bartenders that they were at
least 21 years old and allowed to purchase and drink alcohol. This was done by the bar manager
even thought the girls had told him they were under 21. One of the girls became intoxicated, fell
on the patio and broke her nose, resulting in paramedics and police responding to
the scene. (
See Exhibit B, Bate Stamped Evidence Folders,Volume 3)Additionally, the operation of
the subject establishment (Quan's Rockin' Sushi & Sage Sushi)has also been responsible
for creating numerous negative externalities and is directly responsible for the deterioration
of
include urination in public, destruction of private property (post office, graffiti in residential and
commercial establishments), gang fights, DUI's, possession of firearms/weapons, drug activity,
assaults, public intoxication, intoxicated minors, overflow of parking into proximate residential
and commercial neighborhoods, exceeding building capacity, and numerous on-site
alcohol violations. (See Exhibit B, Bate Stamped Evidence Folders, Volumes
1-3)In the past, many of Quan's patrons parked in the adjacent U.S. Post Office parking
lot. The City has never approved a conditional use permit to allow a shared parking
agreement between Quan's and any other establishment, however, for a short time, there was a parking
lot lease agreement between Quan's Rockin' Sushi and the adjacent Orange Post Office.
Due to substantial damage to property, the Orange Post Office would not renew a parking
lot lease agreement with Quan' s. Patrons of Quan' s also utilize parking in several
surrounding residential neighborhoods like the adjacent Adams Avenue, which is comprised of
several medium-density apartments. Due to the saturation and overflow of parking from the patrons of
Quan's, the residents of the neighborhood are left without any parking. Residents of
this and surrounding neighborhoods have also made numerous complaints with regards to the
beer bottles, trash,condoms, graffiti, gang activity, noise, etc. (See Exhibit B, Bate
Stamped Evidence
Folders,Volumes 1-3)For approximately six years, the subject establishment has become a significant
source of a drain and depletion of valuable City resources, and has served as a nuisance and
threat to the safety,quality oflife, and general welfare of the community. Despite several
changes in ownership, the subject establishment continues to create policing issues due to
the continual violation of
conditional use permit conditions.In addition to violating the conditional use permits, the operation of
the applicant's establishment constitutes a public nuisance
for the following reasons:1. Both the extent and severity of the crimes has significantly increased in
the area due to the
operation the subject establishment.2. At the subject establishment, there have been numerous, serious
assaults, gang and drug activity, serving of alcohol to minors, DUI's, noise complaints,
damage to property, and overflow of parking into surrounding business
and residential neighborhoods. Litter,graffiti, and crime have significantly increased in the area due to
the operation
of the subject establishment.3. The subject establishment has become a magnet for pervasive
illegal alcohol and drug consumption. Due to the numerous promotional events held
at the subject establishment,underage patrons congregate in the area drinking alcohol and
using drugs. The operation of the subject establishment contributes to
the delinquency of minors.4. Certain deficiencies about the property, such as the available
parking and lighting also
contribute
s. The subject establishment's operators' proclivity to disregard the conditions of approval
for many years, has contributed to generating a substantial amount of negative problems
in the community. Police testimony and reports indicate that the premises have become a
magnet for crime, which affects not only patrons but also other proximate businesses and
residences, which have been adversely affected by trash, urination in public, noise,
overflow of parking, property damage, gang activity, graffiti and violence. Continued
operation of the establishment places the public health, safety, and welfare at risk to
patrons, both minors and adults, as well as the surrounding community.
6. The evidence shows that the establishment operates as a nightclub instead of a bona fide
eating establishment as conditioned. Because the operators' are unwilling or unable to
make a good faith effort to comply with present conditions of the CUP, imposing
additional conditions on the operation of the establishment would be of no benefit to the
City or surrounding community.
7. Continued operation of the subject establishment will continue to deteriorate the
neighboring land uses and threaten the health, safety, and general welfare of the
community.
SECTION 2 - ENVIRONMENTAL REVIEW The
proposal is categorically exempt from the provIsIOns of the California Environmental Quality
Act per State CEQA Guidelines Section 15301 (Class I-Existing Facilities).
ADOPTED this 24th day of April, 2007.
f Orange
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ATTEST:
M~(~~~I~~"g,
I, MARY E. MURPHY, City Clerk of the City of Orange, California, do hereby certify
that the foregoing Resolution was duly and regularly adopted by the City Council of the City of
Orange at a regular meeting thereof held on the 24th day of April, 2007, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
COUNCILMEMBERS: Smith, Murphy, Cavecche, Dumitru, Bilodeau
COUNCILMEMBERS: None
COUNCILMEMBERS: None
COUNCILMEMBERS: None
Lv~?(>(cc--?-Mary
E. M , pty Clerk, Ci~ange 3.
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