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HomeMy WebLinkAbout05_59th & Lex Café Alcohol License Upgrade Minor Use Permit_PA2022-048 CITY OF NEWPORT BEACH ZONING ADMINISTRATOR STAFF REPORT August 11, 2022 Agenda Item No. 5 SUBJECT: 59th & Lex Café Alcohol License Upgrade (PA2022-048) Minor Use Permit No. UP2022-006 SITE LOCATION: 701 Newport Center Drive APPLICANT: Novel Spirits, LLC OWNER: Irvine Company PLANNER: Joselyn Perez, Assistant Planer 949-644-3312, jperez@newportbeachca.gov LAND USE AND ZONING General Plan Land Use Plan Category: Regional Commercial (CR) Zoning District: North Newport Center Planned Community (PC56) PROJECT SUMMARY The Applicant seeks Minor Use Permit No. UP2022-006 to allow an existing food service, eating and drinking establishment (59th & Lex Café) to upgrade its current Type 41 (On- Sale Beer and Wine Eating Place) Alcoholic Beverage Control (ABC) License to a Type 47 (On-Sale General Eating Place) ABC License. The café is located within the first- flo operates an accessory outdoor dining patio within an adjacent common area. The request does not include any physical changes to the café. The hours of operation will remain from 10 a.m. to 8 p.m., daily. RECOMMENDATION 1) Conduct a public hearing; 2) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 under Class 1 (Existing Facilities) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential to have a significant effect on the environment; and 3) Adopt Draft Zoning Administrator Resolution No. _ approving Minor Use Permit No. UP2022-006 (Attachment No. ZA 1). 1 59th & Lex Café Alcohol License Upgrade (PA2022-048) Zoning Administrator, August 11, 2022 Page 2 Tmplt: 05/27/20 DISCUSSION The 59th and Lex Café was originally permitted in 1996, as part of a larger tenant mall. The café was developed with a kitchen and small dining area within the first- floor footprint of Bloomingdale s. In 1997, the café began operations and obtained a Type-41 (On-Sale Beer and Wine Eating Place) ABC license. In 1998, the café added an outdoor patio which was later expanded in 2009 under plan check number 1219-2009. The site map and floor plan are available for reference as Attachment No. ZA 4. The café currently operates without a use permit. Prior to 2009, PC56 did not differentiate between eating and drinking establishments with or without the on- site sale and consumption of alcohol. Because the applicant now seeks to upgrade the ABC license, the current permit requirements of PC56 are in effect and the applicant must obtain a minor use permit. The request is to upgrade an existing Type 41 (On-Sale Beer and Wine Eating Place) Alcoholic Beverage Control (ABC) License to a Type 47 (On-Sale General Eating Place) ABC license. There are no physical changes proposed and the operational parameters will remain the same. The subject property is located within the Fashion Island Sub-Area of PC56. The Land Use Element of the General Plan categorizes the project site as Regional Commercial (CR). Fashion Island is the primary retail hub within Newport Center. It is developed with retail, dining, and commercial entertainment uses. The mall is intended to be a day/evening destination with a wide variety of uses that will serve visitors, residents, and employees of the area. An eating and drinking establishment with alcoholic beverage sales is consistent with CR category and the purpose of the Fashion Island Sub-Area of PC56. The café with expanded privileges should have a positive impact on the area as it will promote economic activity in areas which the General Plan intends to be busy with a variety of commercial uses. Fashion Island features a shared parking pool provided through on-site surface parking lots and parking structures. Approval and implementation of the request would result in an enhanced menu for customers that would otherwise already be visiting the mall to shop and dine. There should be no noticeable change in parking demand because of the project. 2 59th & Lex Café Alcohol License Upgrade (PA2022-048) Zoning Administrator, August 11, 2022 Page 3 Tmplt: 05/27/20 The Newport Beach Police Department (NBPD) has reviewed the proposed application and has no objections to the request. The , crime, alcohol-related statistics, and reporting district map are included in Attachment No. ZA 3. The interior of the Fashion Island mall is developed with an internal pedestrian network and is surrounded by parking lots. There is little or no direct connectivity to adjoining office, entertainment, or residential areas. The café is separated from the nearest residential use by over 1,000 feet and should have no negative impact to sensitive receptors. The project was reviewed by the Code Enforcement and Water Quality Division. There were no ongoing issues identified as part of their review. ENVIRONMENTAL REVIEW This project has been determined to be categorically exempt under the requirements of the California Environmental Quality Act under Section 15301 under Class 1 (Existing Facilities). The Class 1 exemption includes the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use. The existing café sociated outdoor dining patio within a common area of the mall. The proposed project is a request to upgrade an ABC license and does not include any interior or exterior alterations to the café and no increase in gross floor area or net public area. PUBLIC NOTICE Notice of this application was published in the Daily Pilot, mailed to all owners of property within 300 feet of the boundaries of the site (excluding intervening rights-of-way and waterways), including the applicant, and posted on the subject property at least 10 days before the scheduled hearing, consistent with the provisions of the Municipal Code. Additionally, the item appeared on the agenda for this meeting, which was posted at City Hall and on the City website. APPEAL PERIOD: An appeal or call for review may be filed with the Director of Community Development within 14 days following the date of the action. For additional information on filing an appeal, contact the Planning Division at 949-644-3200. 3 59th & Lex Café Alcohol License Upgrade (PA2022-048) Zoning Administrator, August 11, 2022 Page 4 Tmplt: 05/27/20 Prepared by: BMZ/jp Attachments: ZA 1 Draft Resolution ZA 2 Vicinity Map ZA 3 Police Department Memo ZA 4 Project Plans (For reference only) 4 Attachment No. ZA 1 Draft Resolution 5 RESOLUTION NO. ZA2022-### A RESOLUTION OF THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH, CALIFORNIA, APPROVING MINOR USE PERMIT NO. UP2022-006 TO UPGRADE A CURRENT TYPE 41 (ON-SALE BEER AND WINE EATING PLACE) ALCOHOLIC BEVERAGE CONTROL (ABC) LICENSE TO A TYPE 47 (ON- SALE GENERAL EATING PLACE) ABC LICENSE AT AN EXISTING FOOD SERVICE, EATING AND DRINKING ESTABLISHMENT LOCATED AT 701 NEWPORT CENTER DRIVE (PA2022-048) THE ZONING ADMINISTRATOR OF THE CITY OF NEWPORT BEACH HEREBY FINDS AS FOLLOWS: SECTION 1. STATEMENT OF FACTS. 1. An application was filed by Novel Spirits, LLC (Applicant) with respect to property located at 701 Newport Center Drive, and legally described as Parcel 1 of Lot Line Adjustment No. LA2012-003 requesting approval of a minor use permit. 2. The Applicant seeks Minor Use Permit No. UP2022-006 to allow an existing food service, eating and drinking establishment (59th & Lex Café) to upgrade its current Type 41 (On- Sale Beer and Wine Eating Place) Alcoholic Beverage Control (ABC) License to a Type 47 (On-Sale General Eating Place) ABC License. The café is located within the first-flo an accessory outdoor dining patio within an adjacent common area. The request does not include any physical changes to the café. The hours of operation will remain from 10 a.m. to 8 p.m., daily. 3. The subject property is categorized as CR (Regional Commercial) by the General Plan Land Use Element and is located within the PC56 (North Newport Center Planned Community) Zoning District. 4. The subject property is not located within the coastal zone. 5. A public hearing was held on August 11, 2022, online via Zoom. A notice of the time, place, and purpose of the hearing was given in accordance with the Newport Beach Municipal Code (NBMC). 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 Pr to Section 15301 under Class 1 (Existing Facilities) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3 because it has no potential to have a significant effect on the environment. 6 Zoning Administrator Resolution No. ZA2022-### Page 2 of 11 01-25-19 2. The Class 1 exemption includes the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use. The patio within a common area of the mall. The proposed project is a request to upgrade an ABC license and does not include any interior or exterior alterations to the café and no increase in gross floor area or net public area. SECTION 3. REQUIRED FINDINGS. Alcohol Sales In accordance with Section 20.48.030 (Alcohol Sales) of the NBMC, the Zoning Administrator shall consider the following findings prior to the approval of a new or amended alcohol sales establishment: Finding A. The use is consistent with the purpose and intent of NBMC Section 20.48.030 (Alcohol Sales). Facts in Support of Finding In finding that the Project is consistent with Section 20.48.030 (Alcohol Sales) of the NBMC, 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. a. The property is in an area the Newport Beach Police Department (NBPD) has designated as Reporting District (RD) 39. RD 39 is bordered to the north by San Joaquin Hills Road, to the east by MacArthur Boulevard, to the south by East Coast Highway, and to the West by Jamboree Road. The NBPD is required to report offenses of Part One Crimes combined with all arrests for other crimes, both felonies, and misdemeanors (except traffic citations) to the California Department of Alcoholic Beverage Control (ABC). Part One Crimes are the eight (8) most serious crimes defined by the FBI Uniform Crime Report: criminal homicide, rape, robbery, aggravated assault, burglary, larceny-theft, auto theft, and arson. RD 39 is considered a higher crime area, as compared to other RDs within the City. The RD 39 crime count for 2021 is 334, which is 81 percent over the citywide average of 140 crimes per RD. The higher crime rate is largely attributable to the concentration of commercial land uses and the high ratio of nonresidential to residential uses. For example, the RD to the southeast, RD 44, contains the entire commercial corridor along East Coast Highway within Corona del Mar. RD 44 is smaller in land area than RD 39 yet it maintains a comparable number of crimes due to the similarly high ratio of nonresidential to residential uses. The remaining neighboring RDs, 43 and 47, are primarily residential with few commercial uses. As a result, they have a significantly lower number of crimes. Their crime count is 37 and 50, respectively. 7 Zoning Administrator Resolution No. ZA2022-### Page 3 of 11 01-25-19 b. The NBPD has reviewed the project and has no objection to the upgraded Type 47 ABC license, subject to appropriate conditions of approval which have been incorporated into . These conditions include provisions such as the requirement that all owners, managers, and employees selling alcoholic beverages shall undergo and complete a certified training program in responsible methods and skills for selling alcoholic beverages, a prohibition on live entertainment, and no games or contests requiring or involving the consumption of alcoholic beverages. ii. The number of alcohol-related calls for service, crimes, or arrests in the reporting district and in adjacent reporting districts. a. Compared to the adjacent RDs, RD 39 had a higher percentage of alcohol-related crimes in 2021. The higher number of crimes is to be expected given the crime figure includes driving under the influence, public intoxication, and liquor law violations. These are crimes associated with commercial establishments. RD 43 and 47, which are primarily residential, are unlikely to have similar crime incidents. The alcohol-related crimes of RD 39 were slightly higher than that of its neighbor RD 44 however the difference was not substantial enough to warrant objection from the NBPD. 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. a. The café is located on the first floor of Bloomingdale s. The café features an interior dining space and an accessory outdoor patio within an adjacent common area of the mall. Fashion Island does not about any sensitive land uses and is separated from other structures and uses by parking lots, a busy roadway, and other commercial uses. Residential uses are permitted in the northern sections of PC56; however, the café is separated from the nearest residential use by over 1,000 feet. There are no day care centers, hospitals, parks, places of worship, or schools within the mall. While some minors are expected to be present at the mall, the mall is intended to attract a variety of users and not specifically minors. b. Eating and drinking establishments with incidental alcohol service are common within the mall and the upgraded ABC license is not anticipated to alter the operational characteristics of the current café such that it becomes detrimental to the area. c. Condition of approval no. 21 prohibits the café from operating as a bar or tavern which should help ensure compatibility with the surrounding businesses. Late hours are not proposed as part of this project nor are they allowed by this use permit. iv. The proximity to other establishments selling alcoholic beverages for either off-site or on- site consumption. a. There are several other restaurants within the mall True Food Kitchen, Back Bay Tavern at Whole Foods Market, Cheesecake Factory, and P.F. Generally, these restaurants operate wither either a Type 41 (On-Sale Beer and Wine) or a Type 47 (On-Sale General) ABC license. There is no evidence suggesting that 8 Zoning Administrator Resolution No. ZA2022-### Page 4 of 11 01-25-19 these uses have been detrimental to the surrounding vicinity. Additionally, there is no evidence to suggest that the approval of this upgraded alcohol sales license would create any new objectionable conditions. v. Whether or not the proposed amendment will resolve any current objectionable conditions. a. No objectionable conditions are presently occurring at the Property. b. Approving the Project will allow the existing café to diversify its offerings as a convenience to its patrons. The NBPD acknowledges the addition of liquor to the existing restaurant is a new privilege; however, the Project has been reviewed and conditioned to help ensure that the purpose and intent of Section 20.48.030 (Alcohol Sales) of the NBMC are maintained and that a healthy environment for residents and businesses is preserved. Minor Use Permit In accordance with Section 20.52.020(F) (Findings and Decision) of the NBMC, 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. Facts in Support of Finding: 1. The Land Use Element of the General Plan categorizes the project site as Regional Commercial (CR). The CR designation is intended to provide areas appropriate for retail, entertainment, service, and supporting uses that serve both local and regional residents. Typically, this land use category is integrated into multi-tenant developments that contain one Fashion Island is the largest retail center in Newport Beach with multiple anchor tenants. A café with alcoholic beverage sales is a supportive use to the overall shopping destination. The café will ultimately serve both residents of the city and regional residents alike which is consistent with land uses in the CR land use category. 2. Land Use Element Policy LU is intended to: Provide the opportunity for an additional anchor tenant, other retail, and/or entertainment and supporting uses that complement, are integrated with, and enhance the economic vitality of existing development. A maximum of 213,257 square feet of retail development capacity specified by Table LU2 (Anomaly Locations) may be reallocated for other permitted uses in Newport Center, provided that the peak hour vehicle trips generated do not exceed those attributable to the underlying retail entitlement. The project does not include the addition of floor area, an increase in the number of seats for the café, or the transfer of development capacity to the project site. The project is the upgrading of an ABC license which results in additional menu choices for customers that would otherwise already be visiting the mall to shop and dine. The project is not expected to result in increased traffic. 9 Zoning Administrator Resolution No. ZA2022-### Page 5 of 11 01-25-19 3. 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. Fashion Island is the primary retail hub within Newport Center and is developed with retail, dining, and commercial entertainment uses. Permitted uses for Fashion Island include uses in support of the existing retail, dining, and commercial entertainment uses. Fashion Island is intended to be a vibrant regional retail and entertainment center and a day/evening destination with a wide variety of uses that will serve visitors, residents, and employees of the area. A café with alcoholic beverage sales is consistent with the purposes of the Fashion Island Sub-Area of PC56. 2. Eating and drinking establishments are a use that is allowed by right within the Fashion Island Sub-Area of PC56. The addition of the on-site sale of alcohol in conjunction with an eating and drinking establishment requires the approval of a minor use permit. 3. The café was originally permitted in 1996, as part of a larger tenant improvement that brought the anchor tenant Bloomingdale s to Fashion Island. In 1997, the café began operations and obtained a Type 41 ABC license. Prior to 2009, PC56 did not differentiate between eating and drinking establishments with or without the on-site sale and consumption of alcohol. Because the Applicant seeks to upgrade the ABC license now, the current permit requirements of PC56 are in effect and require the applicant to obtain a minor use permit for the on-site sale and consumption of alcohol. 4. No physical improvements are proposed as part of this project therefore no development standards from PC56 are applicable at this time. 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 mall is developed around an internal pedestrian network and surrounded by parking lots, providing little or no connectivity to adjoining office, entertainment, or residential areas. The proposed project should have no interaction with the surrounding uses in the vicinity and therefore should be compatible. 2. Fact (iv)(a) in support of Finding 1 incorporated by reference. Finding 10 Zoning Administrator Resolution No. ZA2022-### Page 6 of 11 01-25-19 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 application includes the upgrade of an ABC license at an existing café. There is no addition of floor area associated with the project. The size of the kitchen does not change as part of the project nor is there an increase in the number of seats 2. The Fashion Island mall is an existing development that is adequately served by utilities and can be accessed by emergency vehicles. 3. Fashion Island features a shared parking pool provided through on-site surface parking lots and parking structures. There should be no noticeable change in parking demand as a result of this project as the project is simply an enhanced menu for customers that would otherwise already be visiting the mall to shop and dine 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 café has been in operation and serving beer and wine since 1997. The café has not proven detrimental to the surrounding businesses. Adding additional alcoholic beverage options to the menu is not expected to change this, given the included conditions of approval from the NBPD. 2. The Project was reviewed by the Code Enforcement and Water Quality Division. There were no ongoing issues identified as part of their review. 3. The café with expanded privileges should have a positive impact on the area. The café serves both the local shoppers and visitors to Fashion Island. It promotes economic activity in an area which the General Plan intends to be busy with a variety of commercial uses. 4. The Project includes conditions of approval to ensure that potential conflicts with the surrounding land uses are minimized to the greatest extent possible. The operator is required to take reasonable steps to discourage and correct objectionable conditions that constitute a nuisance within the facility, adjacent properties, or surrounding public areas, sidewalks, or parking lots of the restaurant, during business hours, if directly related to the patrons of the establishment. 11 Zoning Administrator Resolution No. ZA2022-### Page 7 of 11 01-25-19 SECTION 4. DECISION. NOW, THEREFORE, BE IT RESOLVED: 1. The Zoning Administrator of the City of Newport Beach hereby finds this project is categorically exempt from the California Environmental Quality Act pursuant to Section 15301 under Class 1 (Existing Facilities) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3 because it has no potential to have a significant effect on the environment. 2. The Zoning Administrator of the City of Newport Beach hereby approves Minor Use Permit No. UP2022-006 (PA2022-048), subject to the conditions set forth in Exhibit A, which is attached hereto and incorporated by reference. 3. This action shall become final and effective 14 days following the date this Resolution was adopted unless within such time an appeal or call for review 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 11TH DAY OF AUGUST 2022. _____________________________________ Jaime Murillo, Zoning Administrator 12 Zoning Administrator Resolution No. ZA2022-### Page 8 of 11 01-25-19 CONDITIONS OF APPROVAL (Project-specific conditions are in italics) Planning Division 1. The development shall be in substantial conformance with the approved site plan and floor plans stamped and dated with the date of this approval (except as modified by applicable conditions of approval). 2. Any change in operational characteristics, expansion in area, or other modification to the approved plans, may require an amendment to this Use Permit or the processing of a new Use Permit. 3. The hours of operation for the restaurant shall be limited to from 10 a.m. to 8 p.m., daily. 4. The project is subject to all applicable City ordinances, policies, and standards unless specifically waived or modified by the conditions of approval. 5. The Applicant shall comply with all federal, state, and local laws. A material violation of any of those laws in connection with the use may be cause for revocation of this Use Permit. 6. This Use Permit may be modified or revoked by the Zoning Administrator should they determine that the proposed uses or conditions under which the use is being operated or maintained are detrimental to the public health, welfare or materially injurious to property or improvements in the vicinity or if the property is operated or maintained so as to constitute a public nuisance. 7. All noise generated by the proposed use shall comply with the provisions of Chapter 10.26 and other applicable noise control requirements of the NBMC. The maximum noise shall be limited to no more than depicted below for the specified time periods unless the ambient noise level is higher: Between the hours of 7:00AM and 10:00PM Between the hours of 10:00PM and 7:00AM Location Interior Exterior Interior Exterior Residential Property 45dBA 55dBA 40dBA 50dBA Residential Property located within 100 feet of a commercial property 45dBA 60dBA 45dBA 50dBA Mixed Use Property 45dBA 60dBA 45dBA 50dBA Commercial Property N/A 65dBA N/A 60dBA 8. Should the property be sold or otherwise come under different ownership, any future owners or assignees shall be notified of the conditions of this approval by either the 13 Zoning Administrator Resolution No. ZA2022-### Page 9 of 11 01-25-19 current business owner, property owner, or the leasing agent. 9. No outside paging system shall be utilized in conjunction with this establishment. 10. All trash shall be stored within the building or within dumpsters stored in the trash enclosure (three [3] walls and a self-latching gate) or otherwise screened from view of neighboring properties, except when placed for pick-up by refuse collection agencies. The trash enclosure shall have a decorative solid roof for aesthetic and screening purposes. 11. Trash receptacles for patrons shall be conveniently located both inside and outside of the establishment, however, not located on or within any public property or right-of-way. 12. The exterior of the business shall be maintained free of litter and graffiti at all times. The owner or operator shall provide for the daily removal of trash, litter debris, and graffiti from the premises and on all abutting sidewalks within 20 feet of the premises. 13. 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 Title 14, including all future amendments (including Water Quality related requirements). 14. Deliveries and refuse collection for the facility shall be prohibited between the hours of 10:00 p.m. and 7:00 a.m. on weekdays and Saturdays and between the hours of 10:00 p.m. and 9:00 a.m. on Sundays and Federal holidays unless otherwise approved by the Director of Community Development and may require an amendment to this Use Permit. 15. Storage outside of the building in the front or at the rear of the property shall be prohibited, with the exception of the required trash container enclosure. 16. A Special Events Permit is required for any event or promotional activity outside the normal operating characteristics of the approved use, as conditioned, or 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 Newport Beach Municipal Code to require such permits. 17. This approval shall expire and become void unless exercised within 24 months from the actual date of review authority approval, except where an extension of time is approved in compliance with the provisions of Title 20 Planning and Zoning of the Newport Beach Municipal Code. 14 Zoning Administrator Resolution No. ZA2022-### Page 10 of 11 01-25-19 Police Department 18. The approval is for an eating and drinking establishment with on-sale alcoholic beverage service. The type of alcoholic beverage license issued by the California Board of Alcoholic Beverage Control shall be a Type 47 (On-Sale General Eating Place) license, in conjunction with the restaurant as the principal use of the facility. 19. All owners, managers, and employees must abide by all requirements and conditions of the Alcoholic Beverage License. 20. All owners, 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 , 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. 21. Approval does not permit the premises to operate as a bar, tavern, cocktail lounge, or nightclub as defined by the NBMC. 22. The quarterly gross sales of alcoholic beverages shall not exceed the gross sales of food during the same period. The licensee shall always 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 Police Department on demand. 23. No alcoholic beverages shall be consumed on any property adjacent to the licensed premises under the control of the licensee. 24. There shall be no live entertainment or dancing allowed on the premises. 25. No games or contests requiring or involving the consumption of alcoholic beverages shall be allowed. 26. There shall be no reduced-price alcoholic beverage promotions after 9 p.m. 27. Food service from the regular menu shall be made available to patrons until closing. 28. 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. 15 Zoning Administrator Resolution No. ZA2022-### Page 11 of 11 01-25-19 29. Any event or activity staged by an outside promoter or entity, where the Applicant, operator, owner or his employees or representatives share in any profits or pay any percentage or commission to a promoter or any other person based upon money collected as a door charge, cover charge or any other form of admission charge is prohibited. 30. rges, cover charges, or any other form of admission charge, including minimum drink order of the sale of drinks, is prohibited (excluding charges for prix fixe meals). 31. Strict adherence to maximum occupancy limits is required. 32. The Applicant shall maintain a security recording system with 30-day retention and make those recordings available to police upon request. 33. 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. 34. No off-sales of alcohol shall be permitted. 35. 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 , and court costs) of every kind and nature approval of 59th & Lex Café Alcohol License Upgrade including, but not limited to, Minor Use Permit no. UP2022-006 (PA2022-048). This indemnification shall include, but not be limited to, damages awarded against the City, if any, costs of suit, attorn 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 the 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. 16 Attachment No. ZA 2 Vicinity Map 17 VICINITY MAP Minor Use Permit No. UP2022-006 PA2022-048 701 Newport Center Drive Subject Property 18 Attachment No. ZA 3 Police Department Memo 19 NEWPORT BEACH POLICE DEPARTMENT DETECTIVE DIVISION MEMORANDUM TO: Joselyn Perez, Assistant Planner FROM: Wendy Joe, Police Civilian Investigator DATE: June 22, 2022 SUBJECT: 701 Newport Blvd. Use Permit No. 2022-006 (PA2022-048) At your request, the Police Department has reviewed the project application for Restaurant at 701 Newport Center Drive, Newport Beach. The applicant has requested a minor use permit adendum to upgrade the current Type 41 ABC License (Beer and Wine Eating Place) to a Type 47 ABC License (On-Sale General Eating Place). No other operational changes are proposed. There are no late hours at this establishment. Statistical Data and Public Convenience or Necessity Attached is a summary report which provides detailed statistical information related to alcohol place of business at 701 Newport Center Drive. Business and Professions Code §nt premises in two ways: 20% higher crime (with an alcohol nexus) in a Reporting District as compared to the City-wide average, or an over saturation of alcohol licenses in a census tract compared to the county. Crime Statistics: The Police Department divides the City into areas referred to as Reporting Districts. This allows the Police Department to compile statistical data, as well as better communicate officer locations while policing. The proposed applicant location is within Reporting District (RD) 39 which mainly encompasses the Fashion Island Mall and surrounding areas. Per Business and Professions Code §23958.4, the Police Department is required to report offenses of criminal homicide, forcible rape, robbery, aggravated assault, burglary, larceny, theft, and motor vehicle theft (all Part I crimes), combined with all arrests for other crimes, both felonies and misdemeanors (except traffic citations) to the Department of Alcoholic Beverage Control (ABC)ch is indicated on the attached statistical data form. This reporting district is reported to ABC as a high crime area as compared to other Reporting D 334, 81% over the City-wide crime count average 20 of 140. Since this area has a 20% greater number of reported crimes than the average number of reported crimes as determined from all crime reporting districts within the City, the area is found to have undue concentration. In comparison, neighboring RD 47 is 95% below the City- wide average, RD 43 is 116% below the City-wide average, and RD 44 (Corona Del Mar) is 55% above the average. Of 38 reporting districts in Newport Beach, we reported 11 to ABC as high crime areas. The highest volume crime in this area is shoplift. The highest volume arrests in the area is DUI. DUI, Public Intoxication, and liquor law violations make up 25% of arrests in this reporting district. In comparison, the figure for neighboring RD 47 is 19%, RD 43 is 32% and RD 44 is 26%. This location meets the legal criteria for undue concentration pertaining to crime (B&P §23958.4). Alcohol License Statistics: The applicant premise is located within census tract 0630.08. This census tract has an approximate population of 2,408 residents with 59 active on-sale alcohol licenses. That is a per capita ratio of 1 license for every 40 residents. Per the Business and Professions code, we compare this per ca -sale per capita ratio of 1 license for every 654 residents and we find census tract 630.08 is over saturated with alcohol licenses per the specified criteria. This location meets the legal criteria for undue concentration pertaining to alcohol licenses (B&P §23958.4). Discussion and Recommendations The Police Department has no concerns with the application provided the conditions below (or similar conditions) are imposed. Although the applicant location has undue concentration, the area is a planned entertainment district with few residences, making an application of this nature appropriate for the area. The crime in the neighborhood is largely due to thefts in and around the mall area. The property owner, The Irvine Company, employs uniformed security for the area which serves as an additional crime deterrent. 1. The Alcoholic Beverage Control License shall be limited to a Type 47 (On-Sale General). Any substantial change in the ABC license type shall require subsequent review and potential amendment of the Use Permit. 2. 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 or conditions in connection with the use is a violation and may be cause for revocation of the use permit. 3. All owners, managers and employees selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages within 60 days of hire. The certified program must meet the standards of the certifying/licensing body designated by the State of California. The 21 establishment shall comply with the requirements of this section within 60 days 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. 4. Approval does not permit the premises to operate as a bar, tavern, cocktail lounge or nightclub as defined by the Newport Beach Municipal Code. 5. 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 Police Department on demand. 6. No alcoholic beverages shall be consumed on any property adjacent to the licensed premises under the control of the licensee. 7. There shall be no live entertainment or dancing allowed on the premises. 8. No games or contests requiring or involving the consumption of alcoholic beverages shall be allowed. 9. Food service from the regular menu shall be made available to patrons until closing. 10. 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. 11. Any event or activity staged by an outside promoter or entity, where the applicant, operator, owner or his employees or representatives share in any profits, or pay any percentage or commission to a promoter or any other person based upon money collected as a door charge, cover charge or any other form of admission charge is prohibited. 12.cover charges, or any other form of admission charge, including minimum drink order of the sale of drinks is prohibited (excluding charges for prix fixe meals). 13. Strict adherence to maximum occupancy limits is required. 14. The applicant shall maintain a security recording system with a 30-day retention and make those recording available to police upon request. 15. 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. 16. 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 22 beverages. Interior displays of alcoholic beverages or signs which are clearly visible to the exterior shall constitute a violation of this condition. 17. Strict adherence to maximum occupancy limit is required. 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 Chapter 10.26 and other applicable noise control requirements of the Newport Beach Municipal Code. If you have any questions as to the content of this memorandum, please contact Investigator Wendy Joe at (949)644-3705 or wjoe@nbpd.org. Wendy Joe Police Civilian Investigator, Special Investigations Unit 23 24 Attachment No. ZA 4 Project Plans (For reference only) 25 26 27 28