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RES-10876 Alcoholic Beverage Sale ApprovalRESOLUTION NO. 10876 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE APPROVING APPEAL NO. 0539- 15 FROM THE PLANNING COMMISSION DENIAL OF CONDITIONAL USE PERMIT NO. 2960 -14, THEREBY PERMITTING THE SALE OF ALCOHOLIC BEVERAGES (TYPE 41 — BEER AND WINE) AT THE CENTURY MOVIE THEATRES, LOCATED 1701 WEST KATELLA AVENUE. APPLICANT: CENTURY THEATRES, INC. WHEREAS, the City Council has authority per Orange Municipal Code Section 17.08.050 to take action to affirm, reverse or modify, in whole or in part, Appeal No. 0539- 15 of the Planning Commission denial of Conditional Use Permit No. 2960 -14, for an Alcoholic Beverage Control Type 41 (On -Sale Beer and Wine — Eating Place) License at 1701 West Katella Avenue; and WHEREAS, Appeal No. 0539 -15 and Conditional Use Permit No. 2960 -14 was filed by Century Theatres, Inc., in accordance with the provisions of the City of Orange Municipal Code; and WHEREAS, Appeal No. 0539 -15 and Conditional Use Permit No. 2960 -14 are categorically exempt from the provisions of the California Environmental Quality Act per State CEQA Guidelines Section 15301 (Class 1 — Existing Facilities); and WHEREAS, the Planning Commission conducted one duly advertised public hearing on February 18, 2015, at which time interested persons had an opportunity to testify either in support of, or opposition to, the proposal and for the purpose of considering Conditional Use Permit No. 2960 -14 upon property described as Assessor Parcel Number 375- 311 -25, located at 1701 West Katella Avenue; and WHEREAS, the Planning Commission motion to approve Conditional Use Permit No. 2960 -14 received two votes in favor and two votes in opposition to the project which resulted in the denial of the project; and WHEREAS, the City Council conducted one duly advertised public hearing on June 9, 2015, at which time interested persons had an opportunity to testify either in support of, or opposition to the project and for the purpose of considering Appeal No. 0539 -15 and Conditional Use Permit No. 2960 -14; and WHEREAS, at their June 9, 2015, meeting the City Council approved a motion, by a vote of 4 -1 in favor, to have staff return to the City Council at their regularly scheduled meeting on July 14, 2015, with a resolution approving Appeal No. 0539 -15 which would reverse the Planning Commission denial of Conditional Use Permit No. 2960 -14; and NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Orange hereby approves Appeal No. 0539 -15 to reverse the Planning Commission denial of Conditional Use Permit No. 2960 -14, thereby permitting the sale of alcoholic beverages Type 41 — Beer and Wine) at the Century Movie Theatres, located 1701 West Katella Avenue, based on the following findings: SECTION 1 — FINDINGS 1. The project must be consistent with the goals and policies stated within the City's General Plan. The project is consistent with goals and policies stated within the City's General Plan in that permitting the sale of alcoholic beverages at an existing motion picture theatre may help promote and /or sustain competitive economic vitality of the theatre which, in turn, may assist in promoting activity and economic vitality in the commercial entertainment corridor. 2. 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 would be based upon sound principles of land use in that: There is only one sensitive receptor (RV Park) near the project site which is 400 feet away from the theatre parcel and separated by West Katella Avenue, commercial and industrial businesses and, West Struck Avenue. Due to the distance and geographic barriers, problems related to the sale of alcoholic beverages at the movie theatre are not anticipated to impact the RV Park. Movie Theatre staff has already implemented corrective actions for people that have consumed excessive alcoholic beverages off -site and try to attend a movie, including those persons who are observed bringing alcoholic beverages on -site. Persons that have already over - consumed alcoholic beverages will continue to be screened by theatre staff for denial of admission, or removal from the site because the movie theatre does not want liability or, exposure to other patrons that an inebriated patron could bring. The required staff training of the Department of Alcoholic Beverage Control in association with a serving license will likely strengthen the ability for employees to recognize over - consumption, consumption by minors and, possibly unauthorized consumption of alcoholic beverages brought into the movie theatre by patrons. The cost - barrier of alcoholic beverages offered at the movie theatre combined with a two drink limit would help to deter any potential abuses from alcoholic beverages sold at the movie theatre. Comparative to other commercial corridors in the City, the commercial corridor the movie theatre is located in is not among the higher crime brackets 2 of commercial areas. Therefore, serving of beer and wine in the movie theatre is not anticipated to be a use that contributes to commercial activity in the commercial corridor. Only four of the 2013 census tract arrests are linked to the movie theatre address. The arrests were for "DUI Alcohol /Drugs ", "Battery on Cohabitant ", Grand Theft from Vehicle" and, "Petty theft from Vehicle." Given the number of persons that patronize the 5,267 seat movie theater in a year, the four arrests in 2013 appear to demonstrate that the movie theatre management and on -site security of the Stadium Promenade act to keep crime lower in the complex. This track record is expected to continue with the addition of the limited sale of beer and wine. The movie theatre is a longstanding, responsibly- managed business. Problems from beer and wine service are not anticipated. Potential undesired side effects of overconsumption of alcohol is not anticipated to occur at a movie theatre where movie viewing is the primary function. The Stadium Promenade is an entertainment hub with a high concentration of bars and restaurants but Century Theatre would not likely attract persons seeking to drink exclusively or excessively given the other venues in the center providing an environment with adult beverage themed areas. Even though the concentration of on -sale alcohol licenses in the census tract is more than double of what is permitted, and crime is reported as high, the majority of calls to service for the census tract is from theft from a vehicle, illegal camping, possession of a controlled substance and, not based on problems associated with alcohol. Furthermore, the high crime statistic is subjective based on a City wide averages of census tracts that include low density residential zones. Conditions recommended by the Police Department and additional conditions added by the City Council that are implemented into the approval will help to minimize any heightened risks to beer and wine beverage service provided at the theatre. The granting of this Conditional Use Permit would be in response to services required by the community in that there are very few movie theatres in the City and the service of limited amounts of beer and wine would be a competitive amenity to movie theatres outside the City to allow residents the convenience of choosing a movie theatre in their City if they desire to consume beer or wine at a movie. 3. 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. For the reasons stated in the above finding, the Conditional Use Permit for accessory beer and wine sales at an existing movie theatre are not anticipated to cause a deterioration of bordering land uses or special problems for the area. 3 4. 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 potential detrimental effects of the project would be minimized as stated in above Finding Number 2. There is not a community or neighborhood plan for the area. 5. 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. Conditions have been implemented to limit the impacts associated with alcohol service to patrons, establish a food to alcoholic beverage sales ratio, require the primary purpose of the use to remain a movie theatre, limit consumption, require food to be sold, prohibit alcoholic beverage promotions, control the point of sale, prohibit special events and, require employee training. These conditions are expected to preserve the general welfare of the public, including surrounding uses. SECTION 2 — CONDITIONS OF APPROVAL BE IT FURTHER RESOLVED that the following conditions are imposed with approval: 1. The project shall conform in substance and be maintained in general conformance with the movie theatre plans and exhibits date stamped February 18, 2015, including any modifications required by conditions of approval, and as approved by the City Council. Any future expansion in area or in the nature and operation of the use approved and conditioned by Conditional Use Permit No. 2960 -14 shall require an application for a new or amended Conditional Use Permit. 2. The applicant 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 applicant of any such claim, action, or proceedings and shall cooperate fully in the defense. 3. The applicant shall comply with all federal, state, and local laws, including all City regulations. Violation of any of those laws in connection with the use may be cause for revocation of this permit. 4. Conditional Use Permit No. 2960 -14 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. 5. 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, approved floor plan 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 without requiring a new public hearing. rd 6. In conjunction with the ongoing operation of the business, the premises shall comply with all requirements placed upon it by the State Alcoholic Beverage Control (ABC) Board. 7. This Conditional Use Permit (CUP) 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 designees. The purpose of this review shall be to identify uniquely adverse issues such as curfew, loitering, vandalism, criminal activity, noise, or nuisance resulting from approval of the CUP. If such issues are identified, the CUP shall be presented to the Planning Commission for their consideration of conditions, modifications or revocation. 8. 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 applicant has not controlled excessive, or unnecessary activity resulting in high use of police services then this Conditional Use Permit shall be reviewed by the Planning Commission for consideration of further conditions, modifications or revocation. 9. The quarterly gross sales of alcoholic beverages shall not exceed the gross sales of food during the same time 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. Records shall be kept no less frequently than on a quarterly basis and shall be made available on request. 10. The use of the building shall be considered a motion picture theater with accessory food service and accessory alcoholic beverage service pursuant to the requirements of an ABC Type 41 license. Interior construction will remain consistent with plans submitted and approved by the City Council. No changes to the floor plans will occur unless authorized by the Community Development Department. There shall be no floor area designated for dancing or live entertainment unless a subsequent Conditional Use Permit is approved by the Planning Commission. 11. The Type 41 alcoholic beverage license shall not be exchanged for a public premises type license nor operated as a public premise. 12. The sale of beer and /or wine for consumption off the premises is prohibited. 13. No alcoholic beverages shall be consumed on any property adjacent to the licensed premises which is under the control of the licensee. 14. All alcohol shall be consumed within the building on the subject site. Signs shall be posted on all exits of the premises, which prohibit alcoholic beverages from leaving the confines of the premises. 15. Employees and /or contract security personnel shall not consume any alcoholic beverages 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. 16. At all times when the premises are open for business, the sale and service of alcoholic beverages shall be made only in conjunction with the availability of the sale of food. 5 17. Food service shall be available until closing time on each day of operation. 18. There shall be no bar or lounge area upon the licensed premises maintained for the sole purpose of the sale, service, or consumption of alcoholic beverages directly to patrons for consumption. 19. There shall be no "Happy Hours" when alcoholic beverages are offered at a reduced rate. 20. There shall be no time when alcoholic beverages are sold at a ratio of two for one; no stacking" of beverages, which means the serving of two alcoholic beverages at one time to the same customer; and each customer must be physically present at the time of the order of any alcoholic beverage. 21. There shall be no promotions encouraging intoxication or drinking contests. 22. There shall be no requirement to purchase a minimum number of drinks. 23. No alcoholic beverages shall be sold from any temporary locations on the premises such as ice tubs, barrels, or any other containers. 24. Alcoholic beverages shall be sold and served in containers, which are distinguishable from other non - alcoholic beverages sold at the premises. 25. The applicant shall not employ or permit any persons to solicit or encourage others, directly or indirectly, to buy them drinks in the licensed premises under any commission percentage salary or other profit. 26. 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. 27. The use of a promoter (such as a night -club operator) or sub - leasing the premises to be used in conjunction with dancing and /or live entertainment is prohibited. 28. There shall be no live entertainment (including karaoke), disk jockey, amplified music, or dancing permitted on the premises at any time. Amplified music over a built -in system designed for background music shall be permitted so long as the music is not audible outside when doors are open. 29. There shall be no special promotional events held on the property, unless a written request for such is received and approved by the City of Orange Community Development Director and the Police Department's Vice Unit at least one week in advance of the event. 30. The business may utilize a coin token system to reduce the likelihood of theft and burglaries for U.S. currency in coin operated machines. Should the token system be implemented, the requirements for a burglary alarm system may be waived. 31. All coin change machines, dollar bill change machines, or token machines that accept and retain U.S. currency shall meet the following: A) The machine is to be designed and constructed to be resistant to unauthorized force entry attempts from any accessible side of the machine. no B) The machine is to be installed and secured to prevent its removal from the point of installation within the business. 32. The owner shall install and maintain a closed circuit television system capable of readily identifying facial features, and stature of all patrons entering the establishment during hours 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. 33. The petitioner(s) shall be responsible for maintaining free of litter the area adjacent to the premises over which he /she has control. 34. There shall be no exterior advertising 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 that are clearly visible to the exterior shall constitute a violation of this condition. 35. 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. 36. Provide an interior night light to illuminate the interior, and maintain an unobstructed view through storefront windows to provide police patrol officers the ability to observe unlawful activity within the business. 37. The owner or manager of the licensed premises 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 Licensee(s); verifying age /checking identification of patrons; wanting patrons of reaching their drinking limit/potential intoxication and refusing to serve; calling the police regarding observed or reported criminal activity. 38. All employees of petitioner 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 petitioner, such training program must be completed within 30 days of the date of hire. The employees must provide the City of Orange Police Department, Vice Unit, a copy of completed Alcohol Management Program (AMP) certificate. 39. Graffiti shall be removed from the exterior walls and windows of the premises within 72 hours of discovery. 40. The City shall have the ability review and approve any change of ownership of the alcohol permit and business ownership of the site in association with this approval. 41. The applicant shall abide by and adhere to the operational parameters of the CineMark Alcohol Service Policy — Orange, CA, attached to and incorporated herein VA as Attachment A. Those conditions include, but are not limited to the following applicant proposed operating conditions: Alcohol sales shall cease at 11:00 p.m. A maximum of 2 drinks per any legally age qualified patron may occur and patrons must wear a wristband. All staff members involved in the service, sale, transportation or monitoring of alcoholic beverages shall be certified in an accredited Responsible Beverage Service (RBS) program. Staff shall wear identifying badges indicating the following: Purple Badge: All employees under the age of 18. Yellow Badge: All employees age 21+ and completed alcohol server training. Red Badge: Employee is 18+ but has not completed alcohol server training. 42. Failure to comply with any of the conditions of approval, including those contained in the CineMark Alcohol Service Policy — Orange, CA, may result in review of the Conditional Use Permit by the Planning Commission, and may be grounds for revocation of the Conditional Use Pen SECTION 4 — ENVIRONMENTAL REVIEW This project is categorically exempt from the provisions of the California Environmental Quality Act per State CEQA Guidelines Section 15301 (Class 1 — Existing Facilities). ADOPTED this 11th day of August, 2015 ATTEST: Mary E. Mu 'ty Cler , i ange 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 11th day of August 2015, by the following vote: AYES:COUNCILMEMBERS`.Whitaker, Smith, Murphy, Nichols NOES:COUNCILMEMBERS:Alvarez ABSENT:COUNCILMEMBERS:None ABSTAIN:COUNCILMEMBERS:None Mary E. Mu ity er , f Orange I ATTACHMENT Cf a ®K CENTURYTHEATR.E5 'itei•.1rL -J/+ »n ALCOHOL SERVICE POLICY - ORANGE, CA Our attempt to maximize the movie -going experience includes the integration of alcoholic beverage service and consumption. While the overall sales process is similar to any concessions purchase, we are adopting additional sales requirements commonly required at other alcohol service establishments. Diligent adherence to the company policy and proper staff training is vital to maintaining a safe environment for all of our Customers. 1. Age Identification All Guests who appear under the age of 40 must present proper government issued age identification with photographic image, at the point of sale prior to purchasing or being served any alcoholic beverage. Driver's licenses and state ID cards will be scanned through and electronic ID reader. Proper identification consists of: A valid state driver's license, with driver's photograph, state seal, and expiration date; A valid state ID card; Military ID; Passport; No school ID's, birth certificates or temporary or expired driver's licenses qualify. 2. Movie Ticket and Valid ID : Guests must have a valid ticket to a movie showing to purchase alcoholic beverage drinks for in- auditorium consumption. After both movie ticket and ID have been checked, Customer's must be fitted with a marked wristband. There are 5 unique wristband design/colors rotating daily to avoid attempts to reuse, share or unauthorized use. 3. Monitoring Guest Alcohol Purchases Service Staff shall stamp the wristband at the point of sale with a small unique stamp to denote each sale of an alcoholic drink. This will effectively allow the Staff to monitor the number of drinks any one Customer has purchased. Staff will check ID prior to completing each transaction, each time a patron purchases an alcoholic beverage. Only one drink per Customer may be taken to an auditorium during one transaction. This rule is not negotiable in any way. Be courteous, but firm. If there is an ongoing issue, alert a Manager immediately. Drinks will be served in distinguishable plastic containers. NO GLASS BOTTLES /GLASSWARE MAY BE TAKEN INTO AUDITORIUMS! 4. All usher Staff working the ticket podium must be trained to monitor the following in regards to all Guests with alcoholic beverages: The Guest has the proper wristband for that day. The beverage is in the appropriate plastic container. REPORT ANY ISSUES TO MANAGEMENT IMMEDIATELY 29982251;1} 1 5. Maximum Alcohol Beverage Purchases A limit of TWO (2) alcoholic beverages may be purchased by a Guest during their visit to Cinemark. It is still at the discretion of Staff and Management to deny service to an impaired Customer at any time regardless of whether a Customer has reached the maximum drink limitations. For Guests returning from the auditorium to purchase another drink: Check the stamp on the wristband to ensure that the wristband hasn't been tampered with i.e. removed from one patron and given to another). Check the number of stamps on the wristband denoting how many drinks the Customer has already purchased. Excess purchases could be a sign of a Guest purchasing items for other people or could lead to a problem/impaired Customer. Closely monitor all Guests returning to purchase additional drinks. If the Customer has purchased an excess number of drinks notify a Manager immediately. If you notice that a Guest is returning to purchase a drink frequently notify a Manager immediately. 6. Added State Re u ry Requirements In California locations, at all times when the sale of alcoholic beverages is available, a trained theater Employee shall enter and monitor the activity within the auditoriums no less than once every 20 minutes. The monitoring Employee should observe for Customer compliance of the wristband requirements and drink possession restrictions as well as overall crowd behavior and orderly conduct. Any observed noncompliance or disorderly conduct should be reported to a manager immediately. 7. All Staff members involved in the service, sale, transportation or monitoring of alcoholic beverages will be at least twenty one (2 1) years of age. 8. Staff Training All Staff members involved in the service, sale, transportation or monitoring of alcoholic beverages will be certified in an accredited Responsible Beverage Service (RBS) program. Staff will wear identifying badges indicating the following: Purple Badge: All employees under the age of 18. Yellow Badge: All employees age 21+ and completed alcohol server training. Red: Employee is 18+ but has not completed alcohol server training. 9. All alcohol sales will cease no later than 11:00 p.m. each day. Ci A 11 1 29982251;1} CENTURY THEATRES. Cin6Arte A>wel&wrrc