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HomeMy WebLinkAboutRed Rock Chili Company (PA2005-061) 401 Newport Center DrCITY OF NEWPORT BEACH PLANNING COMMISSION STAFF REPORT May 19, 2005 Agenda Item No. 2 TO: PLANNING COMMISSION FROM: Planning Department Gregg B. Ramirez, Associate Planner (949) 644 -3219, gramirezOcitv.newaort- beach.ca.us SUBJECT: Red Rock Chili Company Use Permit No. 2005 -014 (PA2005 -061) 401 Newport Center Drive, Suite A106 APPLICANT: Paul Collis, Red Rock Chili Company REQUEST Request for a Use Permit pursuant to the Alcoholic Beverage Outlet Ordinance (ABO) to authorize the sale of beer and wine (Type 41 ABC License) for on -site consumption at an existing eating and drinking establishment located within the Atrium Court at Fashion Island. Staff recommends that the Planning Commission approve Use Permit No. 2005 -014 subject to the findings and conditions of approval included within the attached draft resolution. DISCUSSION Site/Project Overview The existing restaurant is located within the Atrium Court within the Fashion Island Planned Community and has a zoning designation of PC. The space was previously occupied by a number of smaller fast food restaurants. The applicant occupies a small quick food service space typical of the Atrium Court. The applicant requests approval to add beer and wine service for on -site consumption to their menu. The State Department of Alcoholic Beverage Control (ABC) has indicated that there are currently three active licenses in the Atrium Court however, one belongs to Beverages and More, which has vacated their former site. The other two licenses are held by La Salsa and Pasta Bravo. On -site signage, as required by ABC, restricts carrying alcohol beyond the interior of the lower floor of Atrium Court. Red Rock Chili Company May 19, 2005 Page 2 Red Rock Chili Company May 19, 2005 Page 3 Analysis The applicant is requesting a new Type 41 Department of Alcoholic Beverage Control (ABC) license to permit the sale and on -site consumption of beer and wine within the general seating area of Atrium Court. Section 20.89 (Alcoholic Beverage Outlets) of the Newport Beach Municipal Code requires approval of a use permit by the Planning Commission for any new alcoholic beverage outlet. Please note that the review of this application is limited to the review of the alcoholic beverage service as required by the ABO, since the Fashion Island Planned Community Development Plan and District Regulations list restaurants as a permitted use. General Plan The Land Use Element of the General Plan designates the project site as Retail and Service Commercial. Restaurants and the ancillary on -site consumption of alcoholic beverages are a permitted use within the Retail and Service Commercial land use designation. Hours of Operation The existing and proposed hours of operation are 11:00 a.m. 9:00 p.m. daily. These hours are generally consistent with the other food service outlets and businesses located with the Atrium Court of Fashion Island. The Newport Beach Police Department does not object to these proposed hours. Parking Parking for the proposed restaurant is within the existing parking facilities for Fashion Island. The Fashion Island Planned Community established a total of 1,633,850 square feet total gross floor area (not including theaters) for the entire center, and a maximum of 15% of that gross floor area is allocated for restaurant, bar and theater /nightclub uses. The City maintains a record of all floor area with the assistance of the Irvine Company, and with the subject restaurant, the total gross floor area devoted to restaurant uses within Fashion Island is under the 15% allocation ceiling. Therefore, the parking demand will not be exceeded with the establishment of this restaurant. Alcoholic Beverage Outlet Ordinance The purpose of the ABO Ordinance is to preserve a healthy environment for residents and businesses by establishing a set of consistent standards for the safe operation of alcoholic beverage outlets, while preventing alcohol- related problems. The ABO requires the Planning Commission to consider the following factors: Red Rock Chili Company May 19, 2005 Page 4 1. Whether the use serves public convenience or necessity. 2. The crime rate in the reporting district and adjacent reporting districts as compared to other areas in the City. 3. The number of alcohol licenses per capita in the reporting district and in adjacent reporting districts as compared to the county-wide average. 4. The numbers of alcohol - related calls for service, crimes or arrests in the reporting district and in adjacent reporting districts. 5. The proximity of the alcoholic beverage outlet to residential districts, day care centers, park and recreation facilities, places of religious assembly, and schools. In order to provide the Planning Commission with the necessary data and analysis to make these required findings, each is discussed as follows: 1. Public Convenience or Necessity. The quick service restaurant is similar to those historically located in Atrium Court. The Fashion Island Planned Community included a provision for such restaurant uses, and the restaurant can be viewed as complementary to surrounding retail, office and theater uses. The existing business is located in an area intended for that type of use in the original building design and recent past users included a number of fast food restaurants. Therefore, it can be argued that the restaurant with on -sale consumption of alcohol furthers the public convenience or necessity. The Police Chief is designated by Council Policy K -7 to be responsible for making an official finding of public convenience and necessity on behalf of the City. The Police Chief is prepared to make this finding as the proposed use is a restaurant and not a bar or nightclub. 2. Crime Rate. Citywide, there were 5,889 crimes reported during calendar year 2004, of which 2,508 were Part One Crimes (serious offenses). The remaining 3,381 were Part Two Crimes that include alcohol related arrests. The project site, located within Fashion Island, is located within Police Reporting District (RD) No. 39. During 2004, the number of Part One Crimes in RD No.39 was 288 and the number of Part Two Crimes was 127. Adjacent Reporting Districts are Nos. 43 and 47. RD No. 43 had 33 Part One and 17 Part Two Crimes; and RD No. 47 had 28 Part One and 14 Part Two Crimes. While the number of total crimes reported is higher within the RD of the subject project site as compared to surrounding RD's, the Police Department notes that the actual amount of crimes in the area is not considered significant due to the high concentration of commercial uses within RD No. 39, and RD Nos. 43 and 47 are primarily residential. 3. Over Concentration. Due to this request there may be a net increase of one license within RD No. 39. There are a total of 39 active ABC licenses within RD No. 39. The census tract within which the restaurant is located has a higher ratio of liquor Red Rock Chili Company May 19, 2005 Page 5 licenses when compared with the average ratio for Orange County since there is very limited population within the census tract. However, as noted above, the area includes Fashion Island, which has a high number of eating and drinking establishments. The area is typified by restaurants that are complementary to the office retail, commercial, and entertainment uses that predominate the Fashion Island area. The requested on- sale alcohol license is not expected to generate additional crime problems in the area due to the nature of the business and its location within Fashion Island, which provides security services. The concentration of alcoholic beverage licenses within the area is not considered by the Police Department as detrimental to the community. 4. Alcohol Related Crimes. The Police Department has provided statistics for driving under the influence and plain drunk arrests. There were 33 driving under the influence arrests and 29 plain drunk arrests within RD No. 39 in 2004. The percentage of alcohol related arrests within RD No. 39 are 27.1 %. City-wide, alcohol related arrests account for 34.8% of all arrests made. The alcohol - related arrest rate in the two adjacent reporting districts is 60% for RD No. 43 and 100% for RD No. 47. The rate within RD No. 39, within which the project is located, is lower than the city-wide average and lower than the two adjacent RD's. The Police Department does not believe that the proposed use will generate a significant number of alcohol- related incidents. As noted in the section on Crime Rate above, the sale of alcohol in the restaurant is ancillary to the restaurant use and the establishment is not intended to operate primarily as a bar. Therefore, staff believes, it is unlikely that the sale of alcohol in conjunction with the restaurant use will increase alcohol - related crimes. In addition, the Irvine Company provides security for Fashion Island, which assist in deterring alcohol- related crimes. 5. Adjacent Uses. The site is located within Fashion Island and is not adjacent to sensitive land uses. There are no residences, day care centers, schools, or park and recreation facilities in the vicinity of the project site. In accordance with the ABO Ordinance, the Police Department has reviewed the Use Permit application and has suggested three conditions of approval, which are included in the attached draft resolution. Environmental Review This project has been reviewed, and it has been determined that it is categorically exempt from the requirements of the California Environmental Quality Act under Class 1 (Existing Facilities). Red Rock Chili Company May 19, 2005 Page 6 Use Permit Findings In addition to the required ABO findings, the Zoning Code requires the Planning Commission to make certain findings for use permits. These findings are listed and discussed below. That the proposed location of the use is in accord with the objectives of this code and the purposes of the district in which the site is located. 2. That the proposed location of the use permit and the proposed conditions under which it would be operated or maintained will be consistent with the General Plan and the purpose of the district in which the site is located; will not be detrimental to the public health, safety, peace, morals, comfort, or welfare of persons residing or working in or adjacent to the neighborhood of such use; and will not be detrimental to the properties or improvements in the vicinity or to the general welfare of the city. 3. That the proposed use will comply with the provisions of this code, including any specific condition required for the proposed use in the district in which it would be located. The existing restaurant and proposed ancillary alcoholic beverage service meets the intent of the Zoning Code and Planned Community District Regulations since a restaurant use of this type is typical of a regional shopping mall. Based on the review of the ABO application and police department reports, the proposed use will not likely be a detriment to the site or the community. Finally, the proposed use complies with the provisions of the Zoning Code, including the ABO regulations, and the Fashion Island Planned Community Development Plan and Regulations CONCLUSION Staff believes that the findings for approval of the Use Permit can be made be made since this type of use is typical of regional shopping malls. The site is conducive to this type of restaurant operation by design and the on -site consumption of alcoholic beverages in conjunction with a restaurant use of this type located within a mall setting is generally expected and viewed as complementary to surrounding uses. Several past and present similar style restaurants have sold beer and wine for on -site consumption with no reported problems. The site is served by ample parking, the proposed new operational characteristic does not change the use in a manner to increase parking demand, and the restaurant is within the percentage floor area allocation for restaurant uses within the Fashion Island Planned Community. In addition, staff believes that the required findings of the ABO can be met. Prepared by: 4 Gregg B' Associat6 Planner Exhibits: Red Rock Chili Company May 19, 2005 Page 7 Submitted by: Patricia L. T mple, PI nning Director 1. Draft Resolution No. 2005- _; findings and conditions of approval 2. Letter and project description from the applicant 3. Police Department Report 4. Project Plans EXHIBIT .1 Draft Resolution No. 2005- _; findings and conditions of approval 0 RESOLUTION NO. A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF NEWPORT BEACH APPROVING USE PERMIT NO. 2005 -014 (PA2005 -061) FOR PROPERTY LOCATED AT 401 NEWPORT CENTER DRIVE, SUITE A106 WHEREAS, an application was filed by Red Rock Chili Company, with respect to property located at 401 Newport Center Drive, Suite A106 and legally described as Parcel 3 of Resubdivision No. 836, requesting approval of Use Permit No. 2005-014 to authorize the sale of alcoholic beverages (beer and wine) for on -site consumption at a restaurant located within Atrium Court at Fashion Island the pursuant to the Alcoholic Beverage Outlet Ordinance (ABO). WHEREAS, a public hearing was held on May 19, 2005 in the City Hall Council Chambers, 3300 Newport Boulevard, Newport Beach, California. A notice of time, place and purpose of the aforesaid meeting was given. Evidence, both written and oral, was presented to and considered by the Planning Commission at this meeting. Now, therefore the Planning Commission hereby finds and resolves as follows: Section 1. The Land Use Element of the General Plan designates the site as Retail and Service Commercial. Eating and Drinking Establishments with alcoholic beverage sales are a permitted use with this designation. Section 2. The project will not be detrimental to the public health, safety, peace, comfort, or welfare of persons residing or working in or adjacent to the neighborhood of such use; and will not be detrimental to the properties or improvements in the vicinity or to the general welfare of the City for the following reasons: 1. The use , pertains to the on -site consumption of alcoholic beverages in conjunctin with a restaurant to be opened in a building that is designated and zoned for this activity. 2. The use has been conditioned in such a manner to minimize the impacts associated with the sale of alcoholic beverages. 3. The plans meet the design and development standards for alcoholic beverage sales. 4. The applicant does not propose a use that would change the operational characteristics of the site that would result in an additional parking demand. 5. The operational characteristics of the proposed use are consistent with Municipal Code requirements. 6. The proposed project is consistent with the purpose and intent of Chapter 20.89 of the Municipal Code (Alcoholic Beverage Outlets Ordinance) for the following reasons: I City of Newport Beach Planning Commission Resolution No. _ Paqe 2 of 4 a. The convenience of the public can be served by the sale of desired beverages, in conjunction with a restaurant of this type, that is complementary to surrounding uses within Fashion Island. Beer and wine service is typical and expected by the public in this type of restaurant setting. b. The crime rate in the police reporting district, and adjacent reporting districts, is not likely to increase as a result of the proposed use. C. The number of alcohol licenses within the reporting district is not significantly high given the nature of the land uses in the district. d. The percentage of alcohol- related arrests in the police reporting district, in which the project is proposed, is lower than the percentage citywide. Minor on -site consumption is not expected to increase alcoholic related crime. e. There are no sensitive uses such as residences, day care centers, schools, or park and recreation facilities in the vicinity of the project site. 7. The project is exempt from environmental review pursuant to Section 15302 (Class 1) of the implementing guidelines of the California Environmental Quality Act. This exemption covers permitted uses in existing buildings where no physical changes are occurring with the implementation of the project. Section 3. The Planning Commission of the City of Newport Beach hereby approves Use Permit No. 2005 -014, subject to the conditions set forth in Exhibit "A ". Section 4. This action shall become final and effective fourteen days after the adoption of this Resolution unless within such time an appeal to the City Council is filed with the City Clerk in accordance with the provisions of Chapter 20.95 (Appeals) of the Newport Beach Municipal Code. PASSED, APPROVED AND ADOPTED THIS 19th DAY OF MAY 2005. BY: Larry Tucker, Chairman Jeffrey Cole, Secretary AYES: NOES: 10 City of Newport Beach Planning Commission Resolution No. _ Page 3 of 4 EXHIBIT "A" CONDITIONS OF APPROVAL USE PERMIT NO. 2005-014 The development shall be in substantial conformance with the approved plans dated May 19, 2005. 2. Use Permit No. 2005 -014 shall expire unless exercised within 24 months from the date of approval as specified in Section 20.91.050 of the Newport Beach Municipal Code, unless an extension is otherwise granted. 3. The applicant shall comply with all federal, state, and local laws. Material violation of any of those laws in connection with the use will be cause for revocation of this permit. 4. This Use Permit may be modified or revoked by the City Council or Planning Commission should they determine that the proposed uses or conditions under which it is being operated or maintained is detrimental to the public health, welfare or is materially injurious to property or improvements in the vicinity or if the property is operated or maintained so as to constitute a public nuisance. 5. This approval was based on the particulars of the individual case and does not in and of itself or in combination with other approvals in the vicinity or Citywide constitute a precedent for future approvals or decisions. 6. The applicant is required to obtain all applicable permits from the City Building and Fire Departments. The construction plans must comply with the most recent, City - adopted version of the California Building Code. 7. That any change in operational characteristics, hours of operation, expansion in area, or operation characteristics, or other modification to the floor plan, may require an amendment to this Use Permit or the processing of a new Use Permit. 8. Should this business 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 current business owner, property owner or the leasing agent. 9. This Use Permit shall be terminated if the operation is no longer maintained as a bona fide public eating place' as defined by the California Department of Alcoholic Beverage Control. 10. 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 City of Newport Beach Planning Commission Resolution No. _ Page 4 of 4 comply with the requirements of this section within 180 days of the issuance of the certificate of occupancy. Records of each owners, manager's and employee's successful completion of the required certified training program shall be maintained on the premises and shall be presented upon request by a representative of the City of Newport Beach. 11. Full menu food service items shall be available for ordering at all times that the restaurant establishment is open for business. 12. The type of alcoholic beverage license issued by the California Board of Alcoholic Beverage Control shall be a Type 41 for beer and wine service for on -site consumption only, and only in conjunction with the service of food as the principal use of the facility. The sale for off -site consumption of alcoholic beverages is prohibited. Any upgrade in the alcoholic beverage license shall be subject to the approval of an amendment to this application and may require the approval of the Planning Commission. 13. The operator shall serve alcoholic beverages (beer and wine) in containers that significantly differ in appearance from those containers utilized by any other licensee located in the lower level of the Atrium Court at Fashion Island. 14. Signs shall be posted designating the area where alcoholic beverages can be consumed, as required by the State Department of Alcoholic Beverage Control (ABC and no alcoholic beverages shall be taken in beyond said area. t1-- r EXHIBIT 2 Letter and project description from the applicant 1"� March 10, 2005 To whom it may concern I am writing on behalf of Red Rock Chili Co. located at 401 Newport Center dr. A106 Newport Beach, Ca. 92660. Red Rock Chili is a quick - service restaurant located in the Atrium Court at Fashion Island. We offer a variety of Chili, soups and salads and specialty meals with chili on top. We would like to offer our customers a choice of beer and wine. I have enclosed a copy of our menu.. If you have any questions or concerns, please give me a call. t 1 Carol Collis COO, Red Rock Chili Franchises, Inc. Cc: Mr. Paul Collis, CEO, Red Rock Chili Franchises, Inc. RED ROCK CHILI FRANCHISES, INC. 1800 E. Garry Avenue, Suite 113, Santa Ana, CA 92705 ` 949.863.1737 (P) • 949.863.1719 (FAX) 1 11 EXHIBIT 3 Police Department Report j< City of Newport Beach Police Department Memorandum April 13, 2005 TO: Gregg Ramirez, Staff Planner FROM: CSO Susan Seviane SUBJECT: Red Rock Chili Co. 401 Newport Center Drive #A106 (Fashion Island- Atrium Court) Per your request, our office has examined the project request for Red Rock Chili Co. located at 401 Newport Center Drive #A106, Newport Beach, CA. The applicant is requesting a Use Permit pursuant to the Alcoholic Beverage Outlet Ordinance (ABO) to authorize the sale of Type 41 (On -Sale Beer and Wine Eating Place) for on -site consumption at an existing eating and drinking established located within the Atrium Court area of Fashion Island. We have included a report prepared by Police Department Crime Analyst Paul Salenko that provides detailed statistical information related to calls for service in and around the applicants place of business in support of our concerns for reference. Applicant History: Red Rock Chili Co. specializes in freshly made chilies, soups and sandwiches and has been located in Fashion Island- Atrium Court for nearly 2' /s years. Expansion plans include sites in Wales; a new casino in Las Vegas; and a second location in Orange County. Signs and Displays: Advised that any signs and displays will conform to city requirements. Hours of Operation: Intended hours of operations 11:00 am to 9:00 pm daily. Security: None Employee Training: Require all owners, managers and employees serving and /or selling alcoholic beverages to undergo and successfully complete a certified training program in responsible methods and skills for serving and selling alcohol beverages. Additional Comments: The Police Department believes the following conditions would be appropriate for the Conditional Use Permit for the business: 1u Red Rock Chili Co. Page 2 of 2 1. The petitioner(s) agree to serve their alcoholic beverages in containers, which will significantly differ in appearance from those containers utilized by any other licensee located in the lower level Atrium Court - Newport Center Fashion Island. 2. That signs be posted designating the area where alcoholic beverages can be consumed and that no alcoholic beverages shall be taken in open containers beyond this area. 3. The sale of beer and/or wine for consumption off the premises is prohibited. If you may have any questions, please do not hesitate to contact me at (949) 644 -3705. CSO Susan Seviane Vice and Intelligence Unit 11 City of Newport Beach Police Department Memorandum April 12, 2005 TO: Gregg Ramirez, Staff Planner FROM: Paul Salenko, Crime Analyst SUBJECT: Alcohol Related Statistics At your request, our office has reviewed police services data for the Red Rock Chili Company at 401 Newport Center Drive #A106. This area encompasses our reporting district (RD) number 39 as well as part of Census Tract 630.08. This report reflects City of Newport Beach crime data for calendar year 2004, which is the most current data available. Calls for Service Information City wide there was 60,468 calls for police services during this time, of which 4,294 were in RD 39. A "call for service" is, any contact of the police department by a citizen which results in the dispatching of a unit or causes the contacted employee to take some sort of action, such as criminal investigations, alarm responses, traffic accidents, parking problems, and animal control calls, etc. Crime Information There were 5,889 crimes reported to the Newport Beach Police Department during this period. Of this total, 2,508 were Part One Crimes. Part One crimes are the eight most serious crimes (Homicide, forcible Rape, Robbery, Aggravated Assault, Burglary, Larceny - theft, Auto Theft and Arson) as defined by the FBI in the Uniform Crime Reports. The remaining 3,381 were Part Two crimes. The Part One crime rate for the entire city during this same period was 3,314.74 per 100,000 people. The national Part One crime rate was 4,063.4* per 100,000 people. Crimes RD 39 Newport Beach California* National* Part 1 288 2,508 1,420,637 11,816,782 Part 2 127 3,381 N/A N/A Part 1Crime Rate 33,179.72 3,314.74 4,003.5 4,063.4 The number of active ABC licenses in this RD is 39 ** Per capita ratio 1 license for every 22 residents. This reporting district had a total of 477 reported crimes as compared to a City wide reporting district average of 153 reported crimes. This reporting district is 324 crimes or 211.871/6 above the City wide reporting district average. This location is within an area where the number of crimes is at least 75% higher than the average of all reporting districts in the City as outlined in the City Council "K -7' policy. This location is within an RD that is over the Orange County per capita average of ABC licenses * *. Arrest Information There were 33 DUI arrests and 29 Plain Drunk arrest in this area during this same period as compared to 1,238 for the entire city. This RD amounts to 5.01% of the DUI /Drunk arrests made in the entire City. According to a recent national study by the Department of Justice, more than 36% of adult offenders convicted of crimes in 1996 had been drinking at the time of their arrest. Arrests RD 39 Newport Beach California* National* (DUI/Drunk) 62 1,238 N/A N/A All Arrests 228 3,550 1,457,151 9,579,611 Additional Information The Alcoholic Beverage Outlets ordnance states that the Planning Commission shall consider the crime rate in the adjacent reporting districts. The two adjacent reporting districts you requested are RD 43 and RD 47. It must be noted that RD 39 is primarily commercial in nature while RD43 & 47 are primarily residential. Crimes RD 43 RD 47 Part 1 33 28 Part 2 17 14 Crime Rate 3,095.68 1,498.13 Arrests (DUI/Drunk) 12 13 All Arrests 20 13 Calls For Service 1,077 656 Number of active ABC licenses 7 ** 2 ** Per capita ratiol license for every 152 ** 935 ** residents. Note: It is important to remember that when dealing with small numbers any change greatly affects any percentage changes. The population figure used for the Crime Rate was 80,800. *These numbers are from the 2003 Uniform Crime Reports, which is the most recent edition. * *The number of active ABC licenses is the total of all types of licenses known to the police department as of the date of this document. As of May 1, 2003 the Orange County average of active, retail ABC licenses was 1 license for every 592 residents. (4,805 licenses and a population of 2,846,289) If you are in need of any further assistance, please contact me at (949) 644 -3791. 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