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2022 PC 10-22 7-ELEVEN, INCCONDITIONAL USE PERMIT NO.3155-21 RESOLUTION NO. PC 10-22 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF ORANGE APPROVING CONDITIONAL USE PERMIT NO. 3155-21 AUTHORIZING A STATE OF CALIFORNIA DEPARTMENT OF ALCOHOLIC BEVERAGE CONTROL LICENSE (TYPE 20 — OFF -SALE BEER AND WINE) FOR A CONVENIENCE STORE AND GAS STATION LOCATED AT 2620 WEST CHAPMAN AVENUE, AND MAKING A FINDING OF PUBLIC CONVENIENCE OR NECESSITY APPLICANT: 7 PLANNING CONSTRUCTION AND DEVELOPMENT, INC. ON BEHALF OF 7-ELEVEN, INC. Moved by Vice -Chair Glasgow and seconded by Commissioner Martinez that the following Resolution be adopted: WHEREAS, the Planning Commission has authority per Orange Municipal Code (OMC) Table 17.08.020, Section 17.30.030.C. and Section 17.30.060. to take action on Conditional Use Permit No. 3155-21 requesting the sale of beer and wine for off -site consumption in conjunction with the sale of motor fuel at 2620 W. Chapman Avenue and to make a finding of Public Convenience or Necessity; and WHEREAS, the application for Conditional Use Permit No. 3155-21 was filed by the applicant in accordance with the provisions of the OMC; and WHEREAS, the application for Conditional Use Permit No. 3155-21 was processed in the time and manner prescribed by state and local law; and WHEREAS, Conditional Use Permit No. 3155-21 is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15301 (Class 1 — Existing Facilities), as the project consists of licensing for the sale of alcoholic beverages in a new commercial building that was also deemed categorically exempt from CEQA Guideline 15332 (Class 32: In -Fill Development Projects), and results in negligible or no expansion of the commercial use beyond that existing at the time of the City's determination; and WHEREAS, the Planning Commission conducted a duly noticed public hearing on June 6, 2022, at which time interested persons had an opportunity to testify either in support of, or opposition to, the proposed Conditional Use Permit No. 3155-21, upon property described in Exhibit A. Planning Commission Resolution No. PC 10-22 Page 2 NOW, THEREFORE, BE IT RESOLVED that the Planning Commission of the City of Orange hereby approves Conditional Use Permit No. 3155-21 requesting the sale of beer and wine for off -site consumption in conjunction with the sale of motor fuel at the property located at 2620 W. Chapman Avenue based on the following findings: SECTION I — FINDINGS General Plan Finding: 1. The project must be consistent with the goals and policies stated within the City's General Plan. The project consists of authorizing a new license for the sale of beer and wine for off -site consumption in a new convenience store and is consistent with the goals and policies stated within the City's General Plan in the Land Use Element. The General Plan supports a wide variety of commercial uses that contribute to a healthy and diverse economic base. The sale of alcohol is an appropriate accessory use in the commercial zone. The applicant is required to develop an Alcohol Management Plan that includes procedures to ensure safe and responsible sale of alcohol. Therefore, the proposed use should be not disruptive to surrounding residences and businesses adjacent to the property. The Orange Police Department review of the State of California Department of Alcoholic Beverage Control (ABC) request and its recommendation of conditions supports the General Plan Public Safety Element Goals related to Crime Prevention. The Public Safety Element requires that the City maintain an adequately manned and equipped police force, maintain crime prevention programs designed to protect residents and property from crime, and ensures the business' sale of alcohol does not create a nuisance to surrounding businesses. Conditional Use Permit Finding 1. A Conditional Use Permit shall be granted upon sound principles of land use and in response to services required by the community. The granting of this Conditional Use Permit is based upon sound principles of land use and in response to services required by the community. Consideration has been given as to whether the proposed use will detrimentally affect adjacent land uses. The proposed use provides an opportunity to allow the sale of a wider variety beer and wine products than are sold for off -site consumption to residents and visitors within the City. The sale of alcohol will be within an a commercial building and adjacent to the State Route 57 highway and will not have detrimental effects on adjacent land uses. Strong consideration was given to the manner that the business will operate and will continue to operate under the provisions of this Conditional Use Permit. As conditioned, Planning Commission Resolution No. PC 10-22 Page 3 its operation should not create a nuisance to the community or a burden on police services during its time of operation. The property was identified to be in a high crime Reporting District, and conditions have been placed on the project to compensate for potential detrimental effects that could be caused by the sale of alcohol. As conditioned, the operation is not expected to increase or contribute to the crime rate in the Reporting District. 2. A Conditional Use Permit shall not be granted if it will cause deterioration of bordering land uses or create special problems for the area in which it is located. The proposal for the sale of alcohol for off -site consumption is not anticipated to have an adverse impact on surrounding land uses or create a special problem, because the site is located in an area that is intended to function as a commercial district. The convenience store will be operated by a well-known franchise, which in other stores has demonstrated a record of being a responsible operator in the city. Surrounding properties represent a mix of commercial and residential properties. The applicant is required to comply with conditions of approval as recommended by the Orange Police Department, which will ensure the safe and responsible sale of alcohol on the premises. While there are sensitive land uses within 600 feet of the site, these properties do not have direct access to the convenience store property and the sales of alcohol would be accessory to the primary function as the convenience store offers a variety of other goods and services. Although the property is in an area with above average crime rate, there are specific project features combined with project conditions that compensate for detrimental effects that could be caused by alcohol service. Conditions of approval included in this Resolution compensate for the above average crime rate and within the Reporting District. 3. A Conditional Use Permit must be considered in relationship to its effect on the community or neighborhood plan for the area in which it is located. The location of the premises is on the West Chapman Avenue commercial corridor. The area around the project site consists of a mix of commercial and residential uses, Santa Ana River riverbed, the State Route 57 highway. The use is not anticipated to have an adverse impact on neighboring land uses and the community because granting an additional off - sale license is subject to appropriate project conditions designed to address potential negative effects on sensitive land uses in the immediate area. In addition, the operation of alcohol sales is subject to the regulations contained in the Conditions of Approval, which are crafted to avoid potential effects that could occur as a result of the approval of this Conditional Use permit. 4. A Conditional Use Permit, if granted, shall be made subject to those conditions necessary to preserve the general welfare, not the individual welfare of any particular applicant. Granting of the Conditional Use Permit for the subject property in conjunction with the Planning Commission Resolution No. PC 10-22 Page 4 conditions of approval would preserve the general welfare. The Orange Police Department conditions include a review of the operation and police records for excessive calls one year after the beginning of alcoholic beverages sales. If the Police Department finds that the business is not operating as required, or if there is a history of criminal or nuisance behavior, the Department will recommend that the Planning Commission reconsider this application. Other conditions have been placed on the project to reduce crime -inducing activities by requiring exterior lighting and building security. SECTION 2 — FINDING OF CONVENIENCE OR NECESSITY The ABC establishes an over concentration of alcohol licenses based on the average number of alcohol licenses versus the population in a given census tract. However, the ABC and the City recognize that licenses should be reviewed on a case -by -case basis to ensure that such sales will not adversely affect surrounding residents, businesses, and institutions and to ensure that any such use operates in a manner compatible with existing and future adjacent uses. This site is located within an area in the City of Orange with high crime. However, the Planning Commission finds the sale of alcohol for off -site consumption within a convenience store setting is an appropriate accessory use and is a service typically expected by the public. SECTION 3 — ENVIRONMENTAL REVIEW The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guideline 15301 (Class 1 - Existing Facilities). The project consists of licensing for the sale of beer and wine alcohol for off -site consumption in a new commercial building, and results in negligible or no expansion of the commercial use beyond that existing at the time of the City's determination. SECTION 4 — CONDITIONS OF APPROVAL BE IT FURTHER RESOLVED that the following conditions are imposed with the approval of Resolution No. PC 10-22: 1. The project shall conform in substance and be maintained in general conformance with plans and exhibits date stamped May 20, 2020, including any modifications required by conditions of approval, and as approved by the Planning Commission. 2. Except as otherwise provided herein, this project is approved as a precise plan. After any application has been approved, if changes are proposed regarding the location or alteration of any use or structure, a changed plan may be submitted to the Community Development Director for approval. If the Community Development Director determines that the proposed change complies with the provisions and the spirit and intent of the approval action, and that the action would have been the same for the changed plan as for the approved plan, the Community Development Director may approve the changed plan Planning Commission Resolution No. PC 10-22 Page 5 without requiring a new public hearing. Otherwise, a new public hearing will be required to accommodate any changes to the approved plan. 3. Any future expansion in area or in the nature and operation of the use approved by Conditional Use Permit No. 3155-21 shall require an application for a new or amended Conditional Use Permit. 4. The permittee agrees to indemnify, hold harmless, and defend the City, its officers, agents and employees from any and all liability or claims that may be brought against the City arising out of its approval of this permit, save and except that caused by the City's active negligence. The City shall promptly notify the permittee of any such claim, action, or proceedings and shall cooperate fully in the defense. 5. The permittee shall comply with all federal, state, and local laws, including all City regulations. Violation of any of those laws in connection with the Conditional Use Permit or the conditions herein, may be cause for revocation of this permit. 6. Conditional Use Permit No. 3155-21 shall become void if not vested within two years from the date of approval. Time extensions may be granted for up to one year, pursuant to OMC Section 17.08.060. 7. Prior to operation of the business, the permittee shall file for or, if applicable, amend a business license with the Business License Division. Failure to obtain the required business license may be cause for revocation of this permit. 8. Violations of the Conditions of Approval constitute a violation of the Orange Municipal Code, per Section 17.10.030.G, and may be cause for revocation of this permit. 9. If tenant improvements are needed, all structures shall comply with the requirements of Municipal Code — Chapter 15.52 (Building Security Standards), which relates to hardware, doors, windows, lighting, etc. Approved structural drawings shall include sections of the security code that apply. Specifications, details, or security notes may be used to convey the compliance. The following conditions are in accordance with the Police Department's Security Standards for alcohol sales: 10. In conjunction with the ongoing operation of the business, the premises shall comply with all requirements placed upon it by the State of California Alcoholic Beverage Control Board. 11. This Conditional Use Permit shall be reviewed one year from the date of approval and may be reviewed each year thereafter. The review shall be conducted jointly by the Community Development Director and Police Chief or designee(s). The purpose of this review shall be Planning Commission Resolution No. PC 10-22 Page 6 to identify uniquely adverse issues such as curfew, loitering, vandalism, criminal activity, noise, or nuisance resulting from approval of the Conditional Use Permit. If such issues are identified, the Conditional Use Permit shall be presented to the Planning Commission for their consideration of conditions, modifications, or revocation. 12. The activity level of the business shall be monitored by the Police Department to establish the level of police services used for the business. Should the level of police services demonstrate that the permittee has not controlled excessive or unnecessary activity resulting in high use of police services then this Conditional Use Permit shall be reviewed for consideration of further conditions, modifications or revocation. 13. The quarterly gross sales of alcoholic beverage shall not exceed the gross sales of merchant items that include food within the grocery store during the same time period. The permittee shall at all times maintain records that reflect separately the gross sales of food and the gross sales of alcoholic beverages of the licensed business. Said records shall be kept no less frequently than on a quarterly basis and shall be made available upon request. 14. The subject alcoholic beverage license shall not be exchanged for a public premises type license nor operated as a public premises. 15. No alcohol beverages shall be consumed on any property adjacent to the licensed premises under the control of the permittee. 16. The business will operate 24 hours a day, seven days a week. Alcohol sales shall be limited to between the hours of 8:00 a.m.-2:00 a.m. daily. All beverage cooler doors displaying alcohol beverages shall be installed with automatic locking devices and programmed to be locked from 2:00 a.m. until 8:00 a.m. daily. 17. Employees and/or contract security personnel shall not consume any alcoholic beverages prior to or during their work shift any and all security officers provided shall comply with all state and local ordinances regulating their services, including without limitation, Chapter 11.5 of Division 3 of the California Business and profession Code. 18. There shall be no bar or lounge area upon the licensed premises maintained for the purpose of the sale, service, or consumption of alcoholic beverages directly to patrons for consumption. 19. No alcoholic beverages shall be sold form any temporary locations on the premises such as ice tubs, barrels, or any other containers. 20. The permittee shall not employ or permit any persons to solicit or encourage others, directly or indirectly, to buy them drinks in the licensed premise under any commission percentage salary or other profit. Planning Commission Resolution No. PC 10-22 Page 7 21. The sale of beer or malt beverages in quantities of 22 ounces, 32 ounces, 40 ounces, or similar size containers is prohibited. Beer, malt beverages, and wine coolers in containers of 16 ounces or less cannot be sold by single containers, but must be sold in manufacturer pre -packaged multi -unit quantities. 22. The sale of alcohol for off -site consumption shall be incidental to the operation of the store. No more than 15% of the gross floor area shall be dedicated to the sale of alcohol. 23. No wine shall be sold with an alcoholic content greater than 15% by volume. 24. No wine coolers shall be sold in less than a four -pack quantity. 25. No sale of alcoholic beverages shall be made from a drive -up window. 26. No alcohol advertising shall be located on motor fuel islands and no advertising for beer and wine shall be visible from outside the building. 27. No portion of the premises shall be deemed to be "private" for the purposes of dispensing alcoholic beverages to selected patrons, where the licensee recognizes any form of membership cards, keys or passes which would entitle the holder entry or preferential admittance or exclusive use of any portion of the mentioned premises. 28. The use of a promoter (such as a night-club operator) or sub -leasing premises to be used in conjunction with dancing and/or live entertainment is prohibited. 29. There shall be no live entertainment (including karaoke), disc jockey, or dancing permitted on the premises at any time. Amplified music over a built-in system designed for background music shall be permitted, provided that the music is not audible outside when doors are open. 30. There shall be no special promotional events held on the property, unless a written request for such is received and approved by the Community Development Director and the Police Department's Vice Unit at least 30 days in advance of the event. 31. There shall be no pool tables or coin -operated games maintained upon the premises at any time. 32. The business may utilize a token coin system to reduce likelihood of theft and burglaries for U.S. currency in coin operated machines. Should the token system be implemented, the requirement for a burglary alarm system may be waived. 3 3. All coin change machines, dollar bill change machines, or token machines that accept and retain U.S. currency shall meet the following. Planning Commission Resolution No. PC 10-22 Page 8 a. The machine is to be designed and constructed to be resistant to unauthorized forced entry attempts from any accessible side of the machine. b. The machine is to be installed and secured to prevent its removal from the point of installation within the business. 34. The parking lot of the premises shall be equipped with lighting of sufficient power to illuminate and make easily discernable the appearance and conduct of all persons on or about the parking lot. 35. Lighting in the parking area of the premises shall be directed, positioned, and shielded in such a manner so as not to unreasonably illuminate the window area of the nearby residences. 36. The permittee shall install and maintain a closed circuit television system capable of readily identifying facial features and stature of all patrons entering the establishment during house of operation and monitoring the rear of the premises. The camera system shall keep a minimum 30 day library of events, which shall be available for downloading and inspection by the Orange Police Department. 37. The use of any amplifying systems, outdoor sound system and paging system or any other such device is prohibited on the licensed premises. 38. The permittee shall be responsible for maintaining free of litter the area adjacent to the premises over which they control. 39. There shall be no interior displays of alcoholic beverages that are clearly visible to the exterior. 40. Exterior doors and windows, as well as the interior of the business, shall be protected by an approved alarm system, which shall detect an attempted entry or presence of people within the business during closing hours. 41. An interior night light shall be provided to illuminate the interior and maintain an unobstructed view through the storefront windows to provide police patrol officers the ability to observe potential unlawful activity within the business. 42. The permittee shall maintain on the premises a written security policy and procedures manual addressing at a minimum the following items: Handling obviously intoxicated persons; establishing a reasonable ratio of employees to patrons, based upon activity level, in order to monitor beverage sales and patron behavior; handling patrons involved in fighting or arguing; handling loitering about the building and in the immediate adjacent area that is owned, leased, rented or used under agreement by the permittee; verifying age/checking identification of patrons; warning patrons of reaching their drinking Planning Commission Resolution No. PC 10-22 Page 9 limit/potential intoxication and refusing to serve; calling the police regarding observed or reported criminal activity. 43. All employees of the permittee who sell or serve alcoholic beverage products shall be required to complete a training program in alcoholic beverage compliance, crime prevention techniques and the handling of violence. For new employees of the permittee, such training program must be completed within 30 days of the date of hire. Upon request, the permittee must provide the City of Orange Police Department, Vice Unit, a copy of completed Alcohol Management Program (AMP) certificate. 44. Graffiti shall be removed from exterior walls and windows of the premises within 72 hours of discovery. 45. Security cameras shall be installed on exterior fuel canopies. I hereby certify that the foregoing Resolution was adopted on June 6, 2022 by the Planning Commission of the City of Orange by the following vote: AYES: Glasgow, Simpson, Martinez, Trapesonian, and Vazquez NOES: None ABSENT: None RECUSED: None David Vazquez, Planning Commission Chair T zz Date Planning Commission Resolution No. PC 10-22 Page 10