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160 W. Main Streets MEETING DATE: 8/6/12 ITEM NO: IS �os•�Ato §s COUNCIL AGENDA REPORT DATE: JULY 24, 2012 TO: MAYOR AND TOWN COUNCIL FROM: GREG LARSON, TOWN MANAGER ./N // SUBJECT: CONDITIONAL USE PERMIT APPLICATION U -12 -008. PROJECT LOCATION: 160 W. MAIN STREET. PROPERTY OWNER: ROBERT & MURIEL BROUWER, LLC. APPLICANT: LINDA J. LEZOTTE. CONSIDER A REQUEST TO APPROVE CONDIT-IONAL USE PERMIT U-12- 008. PLANNING COMMISSION RECOMMENDATION: The Planning Commission recommended that the Town Council: 1. Make the required findings (Attachment 1) and approve Conditional Use Permit U -12 -008 with modifications as recommended by the Planning Commission (motion required); and 2. Adopt a Resolution of approval with recommended conditions for a Conditional Use Permit (CUP) to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C -21HP (Attachment 2) (motion required). ALTERNATIVES: Instead of the aforementioned actions, the Council may: • Approve the application subject to modified or additional conditions of approval (motion required); or • Continue the project to a date certain with specific direction (motion required); or • Remand the project to the Planning Commission with specific direction (Attachment 3) (motion required); or • Deny the application (Attachment 4) (motion required). PREPARED BY: 9endie R. Rooney, Director of Community Development Reviewed by: 2MAssistant Town Managerq--Town Attorney Finance N:\DEV\TC REP0RTM012 \WMain160.docx Reformatted: 5/30102 PAGE MAYOR AND TOWN COUNCIL SUBJECT: 160 W. Main Street/U -12 -008 July 24, 2012 BACKGROUND: The property has an existing Conditional Use Permit (CUP), approved in 1989 and modified in 1994, which allows a restaurant with a separate bar (Valeriano's) and full alcoholic beverage service. The existing CUP does not specify hours of operation and does not permit live entertainment. Staff found the hours of operation presumed at the time of the original CUP approval through the Town's standard practice of reviewing past documents, such as staff reports and letters of justification, to determine the basis of CUP approvals. Staff also reviewed the meeting minutes to verify that the hours stated in the staff report were not modified during the public hearing. The amended Alcoholic Beverage Policy (ABP) was adopted by the Town Council in September 2001. The purpose of the ABP is to provide parameters for alcoholic beverage service and direction through a General Policy and- a Specific Policy, The Town is in the process of modifying the ABP and creating an Entertainment Policy. Staff analyzed the proposed CUP against the existing ABP. DISCUSSION: A. Project Summary The applicant is requesting to modify the hours of operation for an existing restaurant with a separate bar and provide live entertainment. The comparison of the existing CUP hours and the applicant's proposed hours are below: �„ � �� �+, dn�''fmg,Rest�iYra`o�t�xrsti�ng $amours � Proposed 12ssYanrav� and , Sunday 11:30 a.m, to 2:30 p.m., 11:30 a.m, to 2:30 p.m., 9:30 a.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Monday 11:30 a.m. to 2:30 p.m., 11:30 a.m, to 2:30 p.m., 5:00 p.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Tuesday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Wednesday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Thursday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Friday 11:30 am, to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10:30 p.m. 5:30 p,m, to 1:30 a.m. Saturday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. *Alcoholic beverage service would cease at 1:30 a.m. * *Proposed hours differ from recommended hours of operation. PAGE 3 MAYOR AND TOWN COUNCIL SUBJECT: 160 W. Main Street/U -12 -008 July 24, 2012 The floor plans for the existing CUP approval consisted of a bar area separated from the restaurant dining area with a half wall. The separate dining and bar areas, along with the hours of operation of the existing CUP, indicate that the restaurant portion closed prior to the bar. The proposed project would remove the partition between the dining area and bar area. The proposed hours denote an increase in hours for the restaurant portion which will no longer be separated from the bar area. Removing the partition between the dining and bar areas could result in a bar -like atmosphere in the previously separate dining area during late night hours. The applicant is proposing to provide a DJ during special functions, such as corporate parties and holidays, up to eight days a month. The applicant would use an amplified sound system to provide background music during other business hours. B. Planning Commission On July 11, 2012, the Planning Commission considered the subject application (see Attachment 8 for a thorough description of the project). See Attachment 6 for the Commission's full discussion. The Planning Commission recommended approval of the CUP with modifications. The Planning Commission recommended the following modified conditions as follows (deletions stricken, additions underlined): CLOSED SECTIONS: The area labeled "Private Dining Room," as indicated on the seating plans dated received June 13, 2012, or any other designated area to the satisfaction of the Director of Community Development upon notification, shall remain closed until 5:30 p.m., Monday through Saturday. Only twe eats are No seating is allowed at the bar before 5:30 p.m. on Sundays. HOURS OF OPERATION: Maximum hours of operation are 9:30 a.m. to 11:00 11_30 p.m. on Sunday; 5:00 p.m. to 1-1:00 11_30 p.m., Monday through Thursday; 5:00 p.m. to 1:30 a.m., Friday to Saturday. HOURS OF ALCOHOLIC BEVERAGE SERVICE: Maximum hours of alcoholic beverage service are 9:30 a.m. to 11:00 p.m. on Sunday; 5:00 p.m. to 11:00 p.m., Monday through Thursday; 5:00 p.m. to 1:00 a.m., Friday to Saturday. LIVE ENTERTAINMENT: Interior amplified music provided by a sound system is allowed. Dis are allowed y at speeial pat4ies "r to ei& gmes per fneffth. Advwfi-someEt ef fhp. DJ is not allowed T44s Gen&iaiaal Use Pannit shall be subjm to the i• standards once adopted by the Town-. Consideration of permission to provide DJs shall be deferred until after entertainment standards are adopted by the Town If approved DJs shall be subject to the live entertainment standards adopted by the Town PAGE MAYOR AND TOWN COUNCIL SUBJECT: 160 W. Main Street/U -12 -008 July 24, 2012 The Planning Commission recommended that the applicant present a clear plan regarding DJs to the Town Council, including what, when, how, and where the DJs will operate. At the time of preparation of this report, staff has not received this information. PUBLIC COMMENTS: The Town received three public comments (Exhibit 6 in Attachment 8 and Exhibit 8 in Attachment 7). CONCLUSION: The project would allow modification of the hours of operation for an existing restaurant with a separate bar. As conditioned, the project would be consistent with the Alcoholic Beverage Policy. The Planning Commission recommended approval of the subject application with modifications discussed above. ENVIRONMENTAL ASSESSMENT: The project is Categorically Exempt according to Section 15301 of CEQA as adopted by the Town, which exempts permitting an existing facility involving negligible use beyond the existing use. No significant effect on the environment will occur since the project uses an existing structure with no increase in floor area. FISCAL IMPACT: None Attachments: 1. Required Findings 2. Resolution approving the Conditional Use Permit (with Exhibit-A) 3. Resolution remanding the Conditional Use Permit to the Planning Commission 4. Resolution denying the Conditional Use Permit 5. Recommended Conditions of Approval 6. Excerpt of the Planning Commission verbatim meeting minutes of July 11, 2012 7. Desk Item to the Planning Commission for the meeting of July 11, 2012 8. Report to the Planning Commission for the meeting of July 11, 2012 9. Table of Establishments Serving Alcoholic Beverages 10. Existing Floor Plan received July 11, 2012 (one page) PAGE MAYOR AND TOWN COUNCIL SUBJECT: 160 W. Main Street/U -12 -008 July 24, 2012 Distribution: cc: Linda J. LeZotte, Ten Almaden, Suite #1250, San Jose, CA 95113 Robert & Muriel Brower, LLC, 246 Pine Hurst Avenue, Los Gatos, CA 95032 WRR:JLS:ct N:TEV\TC REPORTS @012MMain160.docx THIS PAGE INTENTIONALLY LEFT BLANK REQUIRED FINDINGS FOR: 160 W. Main Street Conditional Use Permit U -12 -008 Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2:LHP. APN 529 -03 -020. PROPERTY OWNER: Robert and Muriel Brouwer APPLICANT: Linda J. LeZotte FINDINGS Required finding for CEQA: ■ The project is Categorically Exempt pursuant to Section 15301 of the State Environmental Guidelines as adopted by the Town. Required findings for a Conditional Use Permit: ■ As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit: The deciding body, on the basis of the evidence submitted at the hearing, may grant a conditional use permit when specifically authorized by the provisions of the Town Code if it finds that: (1) The proposed uses of the property are essential or desirable to the public convenience or welfare in that the use will continue to provide food and beverage service to the community; and (2) The proposed uses will not impair the integrity and character of the zone in that the use will be in a commercial zone; and (3) The proposed uses would not be detrimental to public health, safety or general welfare in that the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will mitigate potential impacts; and (4) The proposed uses of the property are in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code as discussed within the July 11, 2012, Planning Commission Staff Report. Required finding for the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area: ■ That the proposed project is consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (Section IV.B) in that the subject property is designated commercial and the proposed use falls under commercial uses. ATTAGHii NT Page 2 of 2 160 W. Main Street/U -12 -008 August 6, 2012 Required findings for the Town's Alcoholic Beverage Policy: ■ As required by Chapter II, Section 6, of the Town Alcohol Beverage Policy for granting alcohol service beyond the hours of 10 p.m. The deciding body shall make the following findings prior to approving an application for a Conditional Use Permit to serve alcoholic beverages past 10 p.m.: A. Late night service will not adversely impact adjacent residential neighborhoods. B. The applicant does not have a history of complaints and non - compliance with local ordinances or the Alcoholic Beverage Policy. C. The applicant has demonstrated a clear benefit to the community. N:\DEV\FrND M8\2012 \W Main I60.docx RESOLUTION 2012- RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS GRANTING APPROVAL OF CONDITIONAL USE PERMIT APPLICATION U -12 -008. APN: APN 529 -03 -020 CONDITIONAL USE PERMIT APPLICATION: U -12 -008 PROPERTY LOCATION: 160 W. MAIN STREET PROPERTY OWNER: ROBERT & MURIEL BROUWER, LLC APPLICANT: LINDA J. LEZOTTE WHEREAS, This matter came before the Town Council for public hearing August 6, 2012, and was regularly noticed in conformance with State and Town law. WHEREAS, The applicant seeks approval for a Conditional Use Permit (CUP) to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C- 2:LHP. The applicant requested hours of operation of 9:30 a.m, to 12:00 a.m. on Sunday, 5:00 p.m. to 12:00 a.m. Monday through Wednesday, and 5:00 p.m. to 2:00 a.m. Thursday through Saturday, and to provide a DJ. WHEREAS, On July 11, 2012, the Planning Commission considered a request for approval of CUP U -12 -008 on property zoned C- 2:1,11P. The Planning Commission recommended approval of the request with modified conditions of approval, finding that the proposal was desirable to the public in that the use will continue to provide food and beverage service to the community; it will not impair the integrity of the zone in that the use will be in a commercial zone; will not be detrimental to public health, safety, or welfare in that the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will mitigate potential impacts; and is in harmony with the elements and objectives of the General Plan and Town Code as discussed within the July 11, 2012, Planning Commission report. ATTAC1WEr4T 2 WHEREAS, Town Council received testimony and documentary evidence from the applicant and all interested persons who wished to testify or submit documents. Town Council considered all testimony and materials submitted, including the record of the Planning Commission proceedings and the packet of material contained in the Council Agenda Report for their meeting on August 6, 2012, along with any and all subsequent reports and materials prepared concerning this application. WHEREAS, Council finds as follows: A. Pursuant to Town Code section 29.20.190, the request for a CUP is desirable to the public convenience; will not impair the integrity and character of the zone; would not be detrimental to public health, safety or general welfare; and is in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code. This fording is based on the evidence presented in the Council Agenda Report for their meeting on August 6, 2012, and incorporates the findings made by the Planning Commission on July 11, 2012, regarding this application. B. The project is categorically exempt from environmental review pursuant to Section 15301 of the State Environmental Guidelines as adopted by the Town. NOW, THEREFORE, BE IT RESOLVED: 1. The CUP application U -12 -008 to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C -2:LHP is granted. 2. The Conditions of Approval attached hereto as Exhibit A are hereby adopted as the Conditions of Approval for this permit. 3. The decision constitutes a final administrative decision pursuant to Code of Civil Procedure section 1094.6 as adopted by section 1.10.085 of the Town Code of the Town of Los Gatos. Any application for judicial relief from this decision must be sought within the time limits and pursuant to the procedures established by Code of Civil Procedure section 1094.6, or such shorter time as required by state and federal Law. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 6th day of August, 2012, by the following vote: COUNCIL MEMBERS: AYES: NAYS: ABSENT: ABSTAIN: SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA I:GMllMW CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ti ^.DF V \RF.SC75`1D! T_. \izprovc...4�Tdain 160 :IOCe This Page Intentionally Left Blank CONDITIONS OF APPROVAL — August 6, 2012 160 W. Main Street Conditional Use Permit U -12 -008 Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2:LHP. APN 529 -03 -020. PROPERTY OWNER: Robert and Muriel Brouwer APPLICANT: Linda J. LeZotte TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. APPROVAL: This application shall be completed in accordance with all of the conditions of approval listed below and in substantial compliance with the plans noted as received on June 13, 2012. Any changes or modifications made to the approved plans shall be approved by the Director of Community Development, the Development Review Committee, the Planning Commission, or the Town Council depending on the scope of the changes. 2. EXPIRATION OF APPROVAL: The Conditional Use Permit application will expire two years from the date of approval unless it is used before expiration. Section 29.20.335 defines what constitutes the use of an approval granted under the Zoning Ordinance. 3. LAPSE FOR DISCONTINUANCE: If the activity for which the Conditional Use Permit has been granted is discontinued for a period of one (1) year the approval lapses. 4. USE: The approved use is a high - quality restaurant with separate bar. 5. NUMBER OF SEATS: The maximum number of seats shall not exceed 72 seats prior to 5:30 p.m. After 5:30 p.m., the maximum number of seats shall not exceed 108. 6. CLOSED SECTIONS: The area labeled "Private Dining Room ", as indicated on the seating plans dated received June 13, 2012, or any other designated area to the satisfaction of the Director of Community Development upon notification, shall remain closed until 5:30 p.m., Monday through Saturday. No seating is allowed at the bar before 5:30 p.m. on Sundays. 7. HOURS OF OPERATION: Maximum hours of operation are 9:30 a.m. to 11:30 p.m. on Sunday; 5:00 p.m. to 11:30 p.m., Monday through Thursday; 5:00 p.m. to 1:30 a.m., Friday to Saturday. 8, HOURS OF ALCOHOLIC BEVERAGE SERVICE: Maximum hours of alcoholic beverage service are 9:30 a.m. to 11:00 p.m. on Sunday; 5:00 p.m. to 11:00 p.m., Monday through Thursday; 5:00 p.m. to 1:00 a.m., Friday to Saturday. 9. ALCOHOLIC BEVERAGE SERVICE: The service of alcohol is permitted only with meals. A meal is defined as a combination of food items selected from a menu (breakfast, brunch, lunch, or dinner). Appetizers such as popcorn, nachos, pretzels, potato skins, relish trays, etc. (hot or cold) are not meals. 10. LIVE ENTERTAINMENT: Interior amplified music provided by a sound system is allowed. Consideration of permission to provide DJs shall be deferred until after entertainment standards are adopted by the Town. If approved, DJs shall be subject to the live entertainment standards adopted by the Town. EXHIBIT A Of Attachment 2 11. WINDOWS AND DOORS: In the event the DJ entertainment is later approved, windows and doors shall remain closed when DJ entertainment is provided. 12. SPECIAL PARTIES: Special parties consist of corporate functions, private parties, holiday events, and locally /regionally /nationally recognized days such as Valentine's Day and Mother's Day and must comply with all conditions, including hours of operation, alcoholic beverage service, and maximum number of seats. 13. OPERATIONAL AGREEMENT: Prior to the initiation of any operational changes permitted under this approval, the applicant shall enter into an operational agreement with the Town guaranteeing the performance of the business per the representations of the application and the applicant at the public hearings, as well as the observance of the conditions of approval. Said agreement shall be subject to approval of the Chief of Police, the Director of Community Development, and the Town Attorney, and will be signed by the applicant. Operators who are successors in interest to the business and Conditional Use Permit shall be required to meet with the Director and Chief and agree to all the terms of the Operational Agreement by executing a copy of the Agreement. The Operational Agreement shall be reviewed by the Director of Community Development Department and the Town Attorney, biannually for the first five years and annually thereafter, to ensure compliance with the Conditional Use Permit and operating covenants, including the seating and entertainment limitations. 14. DELIVERIES: Deliveries shall be limited to the hours of 9:00 a.m. to 7:00 p.m. 15. TRASH AND RECYCLING DISPOSAL HOURS: Trash and recycling from the business shall only be emptied between 9:00 a.m. and 9:00 p.m. to limit the noise impacts. 16. ALCOHOLIC BEVERAGE POLICY: The applicant shall be subject to comply with any new requirements in the Town's Alcoholic Beverage Policy within six (6) months from the date of the change in policy. 17. SIGN PERMIT: A Sign Permit from the Los Gatos Community Development Department must be obtained prior to any changes to existing signs or installation of new signs. 18. CERTIFICATE OF USE AND OCCUPANCY: A Certificate of Use and Occupancy from the Los Gatos Community Development Department must be obtained prior to commencement of use. 19. BUSINESS LICENSE: A business license from the Town of Los Gatos Finance Department must be obtained prior to the commencement of any new or change of use. 20. TOWN INDEMNITY: Applicants are notified that Town Code Section 1.10.115 requires that any applicant who receives a permit or entitlement from the Town shall defend, indemnify, and hold harmless the Town and its officials in any action brought by a third party to overturn, set aside, or void the permit or entitlement. This requirement is a condition of approval of all such permits and entitlements whether or not expressly set forth in the approval, and may be secured to the satisfaction of the Town Attorney. Building Division 21. PERMITS REQUIRED: A Building Permit shall be required for the any alterations to the existing commercial building. Separate permits are required for electrical, mechanical, and plumbing work as necessary. 22. CONDITIONS OF APPROVAL: The Conditions of Approval must be blue -lined in full on the cover sheet of the construction plans. A Compliance Memorandum shall be prepared and submitted with the building permit application detailing how the Conditions of Approval will be addressed. 23. SIZE OF PLANS: Four sets of construction plans, maximum size 24" x 36 ". 24. TITLE 24 ACCESSIBILITY — COMMERICAL: For any proposed tenant improvements, on -site parking and general path of travel shall comply with the latest California Title 24 Accessibility Standards. Work shall include, but not be limited to, accessibility to building entrances from parking facilities and sidewalks. The building shall be upgraded to comply the latest California Title 24 Accessibility Standards. Necessary work shall be first investigated by the design Architect and then confirmed by Town staff. 25. APPROVALS REQUIRED: The project requires the following departments and agencies approval before issuing a building permit: a. Community Development — Planning Division: Jennifer Savage (408) 399 -5702 b. Santa Clara County Fire Department: (408) 378 -4010 c. County Environmental Health Department: (408) 885 -4200 TO THE SATISFACTION OF THE DIRECTOR OF PARKS AND PUBLIC WORKS: Engineering Division 26. WVSD (West Valley Sanitation District): Sanitary sewer laterals are televised by West Valley Sanitation District and approved by the Town of Los Gatos before they are used or reused. Sanitary Sewer Clean-out is required for each property at the property line or location specify by the Town. 27. SANITARY SEWER BACKWATER VALVE: Drainage piping serving fixtures which have flood level rims less than twelve (12) inches (304.8 mm) above the elevation of the next upstream manhole and/or flushing inlet cover at the public or private sewer system serving such drainage piping shall be protected from backflow of sewage by installing an approved type backwater valve. Fixtures above such elevation shall not discharge through the backwater valve, unless first approved by the Administrative. The Town shall not incur any liability or responsibility for damage resulting from a sewer overflow where the property owner or other person has failed to install a backwater valve as defined in the Uniform Plumbing Code adopted by the Town and maintain such device in a functional operation condition. Evidence of West Sanitation District's decision on whether a backwater device is needed shall be provided prior to issuance of a building permit. 28. OUTDOOR TRASH ENCLOSURES: (Restaurants Only). Outdoor trash enclosures shall be covered and provided with area drains connected to the sanitary sewer per current NPDES requirements. Temporary trash enclosures are exempt from this condition. 29. GREASE TRAPS: Meet all requirements of the Santa Clara County Health Department and West Valley Sanitation District for the interception, separation or pretreatment of effluent. TO THE SATISFACTION OF THE SANTA CLARA COUNTY FIRE DEPARTMENT: 30. FIRE SPRINKLER SYSTEMS: Fire Department records indicate that the building is equipped with a fire sprinkler system. Any interior remodeling may require modification to this system. A State of California licensed (C -16) Fire Protection Contractor shall submit plans, calculations, a completed permit application an appropriate fees to the fire department for review and approval prior to beginning their work. TO THE SATISFACTION OF THE CHIEF OF POLICE: 31, UNIFORMED SECURITY: Uniformed privately provided security guards may be required in or around the premises by the Chief of Police if alcohol related problems recur that are not resolved by the licensed owner. 32. CONSULTATION AND TRAINING: At the discretion of the Chief of Police, periodic meetings will be conducted with representatives from the Police Department for on -going employee training on alcoholic beverage service to the general public. 33. TRAINING MANUAL: The restaurant operator shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. 34. DESIGNATED DRIVER PROGRAM: The restaurant operator shall actively promote a designated driver program such as complimentary non - alcoholic beverages for designated drivers. 35. POSTING OF TAXICAB TELEPHONE NUMBERS: Taxicab telephone numbers shall be posted in a visible location. N:\DEV\CONDITNS\2012\WMainl6O.doex RESOLUTION 2012- RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS TO EXECUTE A RESOLUTION REMANDING A REQUEST TO APPROVE CONDITIONAL USE PERMIT APPLICATION U -12 -008. APN: APN 529 -03 -020 CONDITIONAL USE PERMIT APPLICATION: U -12 -008 PROPERTY LOCATION: 160 W. MAIN STREET PROPERTY OWNER: ROBERT & MURIEL BROUWER, LLC APPLICANT: LINDA J. LEZOTTE WHEREAS, This matter came before the Town Council for public hearing August 6, 2012, and was regularly noticed in conformance with State and Town law. WHEREAS, The applicant seeks approval for a Conditional Use Permit (CUP) to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C- 2:LHP. The applicant requested hours of operation of 9:30 a.m. to 12:00 a.m. on Sunday, 5:00 p.m. to 12:00 a.m. Monday through Wednesday, and 5:00 p.m. to 2:00 a.m. Thursday through Saturday, and to provide a DJ. WHEREAS, On July 11, 2012, the Planning Commission considered a request for approval of CUP U -12 -008 on property zoned C- 2:1,11P. The Planning Commission recommended approval of the request with modified conditions of approval, finding that the proposal was desirable to the public in that the use will continue to provide food and beverage service to the community; it will not impair the integrity of the zone in that the use will be in a commercial zone; will not be detrimental to public health, safety, or welfare in that the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will mitigate potential impacts; and is in harmony with the elements and objectives of the General Plan and Town Code as discussed within the July 11, 2012, Planning Commission report. WHEREAS, Town Council received testimony and documentary evidence from the applicant and all interested persons who wished to testify or submit documents. Town Council considered all testimony and materials submitted, including the record of the Planning Commission proceedings and the packet of material contained in the Council Agenda Report for their meeting on August 6, 2012, along with any and all subsequent reports and materials prepared concerning this application. NOW, THEREFORE, BE IT RESOLVED: 1. The CUP application U -12 -008 to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C -2:LHP is remanded to Planning Commission for further consideration. 2. The decision does not constitute a final administrative decision and the application will be returned to Planning Commission for further recommendation. The application will then be sent back to Council for a final decision. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 6`h day of August, 2012, by the following vote: COUNCIL MEMBERS: AYES: NAYS: ABSENT: ABSTAIN: SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTEST: CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA NADEV\RESOSCO) T Remand_wMw I60.docx RESOLUTION 2012- RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DENYING A REQUEST TO APPROVE CONDITIONAL USE PERMIT APPLICATION U -12 -008. APN: APN 529 -03 -020 CONDITIONAL USE PERMIT APPLICATION: U -12 -008 PROPERTY LOCATION: 160 W. MAIN STREET PROPERTY OWNER: ROBERT & MURIEL BROUWER, LLC APPLICANT: LINDA J. LEZOTTE WHEREAS, This matter came before the Town Council for public hearing August 6, 2012, and was regularly noticed in conformance with State and Town law. WHEREAS, The applicant seeks approval for a Conditional Use Permit (CUP) to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C- 2:LHP. The applicant requested hours of operation of 9:30 a.m. to 12:00 a.m. on Sunday, 5:00 p.m. to 12:00 a.m. Monday through Wednesday, and 5:00 p.m. to 2:00 a.m. Thursday through Saturday, and to provide a DJ. WHEREAS, On July 11, 2012, the Planning Commission considered a request for approval of CUP U -12 -008 (Katsu) on property zoned C- 2:LHP. The Planning Commission recommended approval of the request with modified conditions of approval, fmding that the proposal was desirable to the public in that the use will continue to provide food and beverage service to the community; it will not impair the integrity of the zone in that the use will be in a commercial zone; will not be detrimental to public health, safety, or welfare in that the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will mitigate potential impacts; and is in harmony with the elements and objectives of the General Plan and Town Code as discussed within the July 11, 2012, Planning Commission report. ATTACH NT 4 WHEREAS, Town Council received testimony and documentary evidence from the applicant and all interested persons who wished to testify or submit documents. Town Council considered all testimony and materials submitted, including the record of the Planning Commission proceedings and the packet of material contained in the Council Agenda Report for their meeting on August 6, 2012, along with any and all subsequent reports and materials prepared concerning this application. WHEREAS, Council fmds as follows: A. Pursuant to Town Code section 29.20.190, the request for a CUP is not desirable to the public convenience; will impair the integrity and character of the zone; would be detrimental to public health, safety or general welfare; and is not in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code. This finding is based on the evidence presented in the Council Agenda Report for their meeting on August 6, 2012, and incorporates the findings made by the Planning Commission on July 11, 2012, regarding this application. NOW, THEREFORE, BE IT RESOLVED: 1. The CUP application U -12 -008 to modify an existing CUP to operate a restaurant with separate bar (Katsu) and full alcohol service on property zoned C -2:LHP is denied. 2. The decision constitutes a final administrative decision pursuant to Code of Civil Procedure section 1094.6 as adopted by section 1.10.085 of the Town Code of the Town of Los Gatos. Any application for judicial relief from this decision must be sought within the time limits and pursuant to the procedures established by Code of Civil Procedure section 1094.6, or such shorter time as required by state and federal Law. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 6`h day of August, 2012, by the following vote: COUNCIL MEMBERS: AYES: NAYS: ABSENT: ABSTAIN: SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA ATTEST: CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA NW DEN ARFSOS`N)i2 \Deny_RIMimI60.docx This Page Intentionally Left Blank CONDITIONS OF APPROVAL — August 6, 2012 160 W. Main Street Conditional Use Permit U -12 -008 Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2:LHP. APN 529 -03 -020. PROPERTY OWNER: Robert and Muriel Brouwer APPLICANT: Linda J. LeZotte TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. APPROVAL: This application shall be completed in accordance with all of the conditions of approval listed below and in substantial compliance with the plans noted as received on June 13, 2012. Any changes or modifications made to the approved plans shall be approved by the Director of Community Development, the Development Review Committee, the Planning Commission, or the Town Council depending on the scope of the changes. 2. EXPIRATION OF APPROVAL: The Conditional Use Permit application will expire two years from the date of approval unless it is used before expiration. Section 29.20.335 defines what constitutes the use of an approval granted under the Zoning Ordinance. 3. LAPSE FOR DISCONTINUANCE: If the activity for which the Conditional Use Permit has been granted is discontinued for a period of one (1) year the approval lapses. 4. USE: The approved use is a high - quality restaurant with separate bar. 5. NUMBER OF SEATS: The maximum number of seats shall not exceed 72 seats prior to 5:30 p.m. After 5:30 p.m., the maximum number of seats shall not exceed 108. 6. CLOSED SECTIONS: The area labeled "Private Dining Room ", as indicated on the seating plans dated received June 13, 2012, or any other designated area to the satisfaction of the Director of Community Development upon notification, shall remain closed until 5:30 p.m., Monday through Saturday. No seating is allowed at the bar before 5:30 p.m. on Sundays. 7. HOURS OF OPERATION: Maximum hours of operation are 9:30 a.m. to 11:30 p.m. on Sunday; 5:00 p.m. to 11:30 p.m., Monday through Thursday; 5:00 p.m. to 1:30 a.m., Friday to Saturday. 8. HOURS OF ALCOHOLIC BEVERAGE SERVICE: Maximum hours of alcoholic beverage service are 9:30 a.m. to 11:00 p.m. on Sunday; 5:00 p.m. to 11:00 p.m., Monday through Thursday; 5:00 p.m. to 1:00 a.m., Friday to Saturday. 9. ALCOHOLIC BEVERAGE SERV ICE: The service of alcohol is permitted only with meals. A meal is defined as a combination of food items selected from a menu (breakfast, brunch, lunch, or dinner). Appetizers such as popcorn, nachos, pretzels, potato skins, relish trays, etc. (hot or cold) are not meals. 10. LIVE ENTERTAINMENT: Interior amplified music provided by a sound system is allowed. Consideration of permission to provide DJs shall be deferred until after entertainment standards are adopted by the Town. If approved, DJs shall be subject to the live entertainment standards adopted by the Town. ATTACFFiI NT 5 11. WINDOWS AND DOORS: In the event the DJ entertainment is later approved, windows and doors shall remain closed when DJ entertainment is provided. 12. SPECIAL PARTIES: Special parties consist of corporate functions, private parties, holiday events, and locally /regionally /nationally recognized days such as Valentine's Day and Mother's Day and must comply with all conditions, including hours of operation, alcoholic beverage service, and maximum number of seats. 13. OPERATIONAL AGREEMENT: Prior to the initiation of any operational changes permitted under this approval, the applicant shall enter into an operational agreement with the Town guaranteeing the performance of the business per the representations of the application and the applicant at the public hearings, as well as the observance of the conditions of approval. Said agreement shall be subject to approval of the Chief of Police, the Director of Community Development, and the Town Attorney, and will be signed by the applicant. Operators who are successors in interest to the business and Conditional Use Permit shall be required to meet with the Director and Chief and agree to all the terms of the Operational Agreement by executing a copy of the Agreement. The Operational Agreement shall be reviewed by the Director of Community Development Department and the Town Attorney, biannually for the first five years and annually thereafter, to ensure compliance with the Conditional Use Permit and operating covenants, including the seating and entertainment limitations. 14. DELIVERIES: Deliveries shall be limited to the hours of 9:00 a.m. to 7:00 p.m. 15. TRASH AND RECYCLING DISPOSAL HOURS: Trash and recycling from the business shall only be emptied between 9:00 a.m. and 9:00 p.m. to limit the noise impacts. 16. ALCOHOLIC BEVERAGE POLICY: The applicant shall be subject to comply with any new requirements in the Town's Alcoholic Beverage Policy within six (6) months from the date of the change in policy. 17. SIGN PERMIT: A Sign Permit from the Los Gatos Community Development Department must be obtained prior to any changes to existing signs or installation of new signs. 18. CERTIFICATE OF USE AND OCCUPANCY: A Certificate of Use and Occupancy from the Los Gatos Community Development Department must be obtained prior to commencement of use. 19. BUSINESS LICENSE: A business license from the Town of Los Gatos Finance Department must be obtained prior to the commencement of any new or change of use. 20. TOWN INDEMNITY: Applicants are notified that Town Code Section 1.10.115 requires that any applicant who receives a permit or entitlement from the Town shall defend, indemnify, and hold harmless the Town and its officials in any action brought by a third party to overturn, set aside, or void the permit or entitlement. This requirement is a condition of approval of all such permits and entitlements whether or not expressly set forth in the approval, and may be secured to the satisfaction of the Town Attorney. Building Division 21. PERMITS REQUIRED: A Building Permit shall be required for the any alterations to the existing commercial building. Separate permits are required for electrical, mechanical, and plumbing work as necessary. 22. CONDITIONS OF APPROVAL: The Conditions of Approval must be blue -lined in full on the cover sheet of the construction plans. A Compliance Memorandum shall be prepared and submitted with the building permit application detailing how the Conditions of Approval will be addressed. 23. SIZE OF PLANS: Four sets of construction plans, maximum size 24" x 36 ". 24. TITLE 24 ACCESSIBILITY — COMMERICAL: For any proposed tenant improvements, on -site parking and general path of travel shall comply with the latest California Title 24 Accessibility Standards. Work shall include, but not be limited to, accessibility to building entrances from parking facilities and sidewalks. The building shall be upgraded to comply the latest California Title 24 Accessibility Standards. Necessary work shall be first investigated by the design Architect and then confirmed by Town staff. 25. APPROVALS REQUIRED: The project requires the following departments and agencies approval before issuing a building permit: a. Community Development — Planning Division: Jennifer Savage (408) 399 -5702 b. Santa Clara County Fire Department: (408) 378 -4010 c. County Environmental Health Department: (408) 885 -4200 TO THE SATISFACTION OF THE DIRECTOR OF PARKS AND PUBLIC WORKS: Engineering Division 26. WVSD (West Valley Sanitation District): Sanitary sewer laterals are televised by West Valley Sanitation District and approved by the Town of Los Gatos before they are used or reused. Sanitary Sewer Clean-out is required for each property at the property line or location specify by the Town. 27. SANITARY SEWER BACKWATER VALVE: Drainage piping serving fixtures which have flood level rims less than twelve (12) inches (304.8 nun) above the elevation of the next upstream manhole and/or flushing inlet cover at the public or private sewer system serving such drainage piping shall be protected from backflow of sewage by installing an approved type backwater valve. Fixtures above such elevation shall not discharge through the backwater valve, unless first approved by the Administrative. The Town shall not incur any liability or responsibility for damage resulting from a sewer overflow where the property owner or other person has failed to install a backwater valve as defined in the Uniform Plumbing Code adopted by the Town and maintain such device in a functional operation condition. Evidence of West Sanitation District's decision on whether a backwater device is needed shall be provided prior to issuance of a building permit. 28. OUTDOOR TRASH ENCLOSURES: (Restaurants Only). Outdoor trash enclosures shall be covered and provided with area drains connected to the sanitary sewer per current NPDES requirements. Temporary trash enclosures are exempt from this condition. 29. GREASE TRAPS: Meet all requirements of the Santa Clara County Health Department and West Valley Sanitation District for the interception, separation or pretreatment of effluent. TO THE SATISFACTION OF THE SANTA CLARA COUNTY FIRE DEPARTMENT: 30. FIRE SPRINKLER SYSTEMS: Fire Department records indicate that the building is equipped with a fire sprinkler system. Any interior remodeling may require modification to this system. A State of California licensed (C -16) Fire Protection Contractor shall submit plans, calculations, a completed permit application an appropriate fees to the fire department for review and approval prior to beginning their work. TO THE SATISFACTION OF THE CHIEF OF POLICE: 31. UNIFORMED SECURITY: Uniformed privately provided security guards may be required in or around the premises by the Chief of Police if alcohol related problems recur that are not resolved by the licensed owner. 32. CONSULTATION AND TRAINING: At the discretion of the Chief of Police, periodic meetings will be conducted with representatives from the Police Department for on -going employee training on alcoholic beverage service to the general public. 33. TRAINING MANUAL: The restaurant operator shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. 34. 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U IK 4 N N N u YC .EC W H ro bt U R O O C lT U O .0 r• � C .N+ O 7 N N Y A H N .Ci w b O .Hi E E r� C N 3 N W O b F Y Y E h Y E Y ti ?i C ro H Y N O 7 a Y Y w U 7 F F N C E W N H E C b E N U F C R N O .c a bt Y H U O $ E £ O E F E E O C H O N -N H .i tr' o p u Y b .. � ro .+ C E ✓ .+ � a � C 3 H .Ci 0 U K U N U N❑ O N W E > Y C 'qO❑y N b R H ❑❑� Y Y ti 3 .w be s U N 0 b N O C F N N u E H C N O o b b .N•+ C 7 N H Y u Y O u E IE-� E ro q C H Y u O b U C N N C Y E 0 C F b O N F C F O N O .H A ro U Y -H O Y •i N n N ul w 1- m N N o •i •'i •i r1 •i r1 rl •i rl •i N N N N ry N N N b ro O Y A E N b ro Y E 3 -1 0 O 0 C A Y S o b b N R. vi F F ro N v N H .H i-i Y Y O 3 ti N N .EC E N A N E L U N H N Y � R n R O W Y A ✓ be N N b' R C b A Y N C o E Y N O ro C R E b k H N C W O X 3 b E E ro E H ti Y N bpi Ni u O 0 E ? x Y H zqJ H u A E Y a pO � N N 3 G bt .0 W ✓ O V +i N H a N O R C O 0 O C Y N E N H W A H A O Y E C N E N W ✓ N O N A Y H O U E Y O C -H $ Y H N N E O A C H 3 3 O C O U H O ro o Z C ro O w w m C Pa. fFQi X H N $ w H 9H N p 01 Y H A H Q [' h JJ N U Y •JN ,C ,C Y Y > -� Y H A ✓ Y U H ? C O N v F N v C v C Y C O N N A A o R N o 7 w b O N U N A A E H b O N F 7 w 0 o i H Y N U N C X H Y N E N a H H u 3 E O C C Y C N b H H N C H u H D H A Y E A u G N bl C E H N N E N N n roy 3 N ri `i N nl •N N N n m T „ „ N 'i ti N ri •-I 'I 'I N N N N N N G ro N O O N E O C b u c ti N � u H E E n H O y H C y W H £ Y O IJ 2 � H N N a x m E O E H °a N N H Y \E E n H 'Z N O C N H U W U' N wx H O a N o ✓ u, >, H c •d ro n a a N N O N ❑ m A � N N N o N O C w 0 H O N 0 ro a H H a rl O 0 N .N O W .-I m L rl O O O Y S N N N N O O w Y N H W L bl N N b H b N C W •tl w N .0 W S ✓ C N O N a C IA C O N ❑ N w m ro o O O E Y H O N O H C A b N H N U ?. b O ' H O -N O O 0 W H C Y N N O o A N v o N y+ H E L 0 N O N U o O N N N wN D! 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O C C C 'NN Y O N b O W N S U N ro N Y O C > C O b C 3 N N U ❑ E b C ++ >' C N C w ..I N NN C� W C OI N L N N N O N W N O L N N A L ro 0 F .N ENN N C O 'N w X EN b H E N O O Y O E O E N O O E W C O b H Y N o ro lP N Y E u .i E O ❑ E E A N u C 7 N . u N A b N O 0 N O L 0 O L N O O A U Y O N U b Y N U 3 Y W H U -N Y A ro N N rt C N �n r m M N N '1 'i ri •i N N N N N N N N N N N fi 0 N H N \ N r N u zm O C UI •N H 0Y O 3 z�zjo 0. m �] N wx o v H °a N 0 N \ •i ✓ H W \ W r N z� O C H � Y U 3 z w ri N w x Q u 0 i m c N C S U N L L N G E ro w C o ro N IYp U b O C U b N O C W N 01 O U O N O � N m F 3 N H N 44 Y W b N L O D b W 7 O ro N N O1 i A bl ro Y +3i A Y � ro W N Y O E Y E u bCC� .N N E E U U zy U L Y 3 7 O v O b C O v N ro W Y+ v N L vi N b 'h ro N L ro U C- Y N h Q U h Q V1 fq N O E W U E E E O W fA U O w H m U I O R O N N Y yro Ii ro r1 a Q Y N O U O U O H Y b C X v Y ro 3 O 41 L C b L 3 b rl C O I m i N E - U J I U ~ E O +L+ N N ro Y o ✓ u, >, H c •d ro n a a N N O N ❑ m A � N N N o N O C w 0 H O N 0 ro a H H a rl O 0 N .N O W .-I m L rl O O O Y S N N N N O O w Y N H W L bl N N b H b N C W •tl w N .0 W S ✓ C N O N a C IA C O N ❑ N w m ro o O O E Y H O N O H C A b N H N U ?. b O ' H O -N O O 0 W H C Y N N O o A N v o N y+ H E L 0 N O N U o O N N N wN D! 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O C C C 'NN Y O N b O W N S U N ro N Y O C > C O b C 3 N N U ❑ E b C ++ >' C N C w ..I N NN C� W C OI N L N N N O N W N O L N N A L ro 0 F .N ENN N C O 'N w X EN b H E N O O Y O E O E N O O E W C O b H Y N o ro lP N Y E u .i E O ❑ E E A N u C 7 N . u N A b N O 0 N O L 0 O L N O O A U Y O N U b Y N U 3 Y W H U -N Y A ro N N rt C N �n r m M N N '1 'i ri •i N N N N N N N N N N N fi 0 N H N \ N r N u zm O C UI •N H 0Y O 3 z�zjo 0. m �] N wx o v H °a N 0 N \ •i ✓ H W \ W r N z� O C H � Y U 3 z w ri N w x Q u 0 i m c N C H U N L L O w C o Y Y N Y b O M E N rl L ~ E O +L+ N N ro Y Y Y rt H C > L E E Y H x Y N N b 0 O 4 .l w � •a .N a •• C N C dl O H Y Y Y C I W b 3 NNy H H N O N N I Om C � H x N 0 I .1 WKW 2 x 3 3 Y N v H H Y N O L ? 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N N 0 O O b ro u Y O - A Y U O Y ro U C Y H C OI O L C Y 'N O rt u U N Y O N 0 O Y .i 0 O m b L .N b N N VI X C £H£ N N O 'O N Y w H � a 0 Ero m C N b U ro E W 0 O N F b a v Y b O C A x fa q H N N H 0 W O O H S. O C C C 'NN Y O N b O W N S U N ro N Y O C > C O b C 3 N N U ❑ E b C ++ >' C N C w ..I N NN C� W C OI N L N N N O N W N O L N N A L ro 0 F .N ENN N C O 'N w X EN b H E N O O Y O E O E N O O E W C O b H Y N o ro lP N Y E u .i E O ❑ E E A N u C 7 N . u N A b N O 0 N O L 0 O L N O O A U Y O N U b Y N U 3 Y W H U -N Y A ro N N rt C N �n r m M N N '1 'i ri •i N N N N N N N N N N N fi 0 N H N \ N r N u zm O C UI •N H 0Y O 3 z�zjo 0. m �] N wx o v H °a N 0 N \ •i ✓ H W \ W r N z� O C H � Y U 3 z w ri N w x Q u 0 i m c N C ro O -H O U H N m .00 ro m O ti C O E O H •0 •i ,i F O H 0 a .1 ..0{ 0 N H m Y ✓ E O '0 N Y K O N O N N N m.i U H b C U m 3 O E H N y�y Y (• n• HN .00 b N Y ul O w' W >. 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N N O .N W 0 O O Pa 'D u C 3 Y N w N m O 0 w O ro O E O O D Y O u U N u fi N nl p YI w n m N ri 'i N .i 'i 'i .i ri r1 ri N N N N N N u N .Ni H u � v \v n N z� O C H ro H £ Y O Ho 2 ri N N ax O W � H °a N 0 N \ H Y H W \ v � N O W H m .N H £ Y O N U � ��IyQy� r] N H N au W E H Oa m C O H N ri U 7. ro O A u N v N N L b N H N .i Q w +Y r Q N ry m P N �a 1` 0 m N � ti N ti N N N N ry N N IV N N N U N O N U N U ry N O N L O N N b C U \ u a o 0 \ v H ro rn z w C O H ❑ C E •+ m N O E z � N 3 m N H E ro H s O N W m m O U W 3 O N �9 a N ^G O a .N H tO N C T N N O W rbn N N F w s, m ro w 0 w .+ N W C C H N O b E N o 0 4 v G N ry m P N �a 1` 0 m N � ti N ti N N N N ry N N IV N N TOWN OF LOS GATOS ITEM NO: 2 PLANNING COMMISSION STAFF REPORT DESK ITEM Meeting Date: July 11, 2012 PREPARED BY: Jennifer L. Savage, Associate Planner jsavage @los gatosca, gov APPLICATION NO: Conditional Use Permit Application U -12 -008 LOCATION: 160 W. Main Street (north side of W. Main Street, between N. Santa Cruz and University Avenues) APPLICANT/ CONTACT PERSON: Linda J. LeZotte PROPERTY OWNER: Robert & Muriel Brouwer, LLC APPLICATION SUMMARY: Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 21I -I1'. APN 529 -03 -020, EXHIBITS: 1 -7. Previously received with July 11, 2012, Planning Commission Staff Report 8. Additional Public Comments (two pages), received July 10, 2012 STAFF REMARKS: The Town received two additional public comments (Exhibit 8). The public comments question the parking requirements for the subject application, a change in business at 10 Station Way, and the parking requirements for the change in business. The parking requirement for the subject application is based on the number of seats. The applicant is not requesting an increase in the number of seats, Therefore, the subject application would not result in an intensification of parking requirements. The Chamber of Commerce was approved to occupy the space at 10 Station Way, which is located on the subject property, through a Certificate of Use and Occupancy. The space was previously occupied by retail. In 2000, the Planning Commission and Town Council determined that the Chamber of Commerce was a retail and public service use. The Chamber of Commerce has the same parking requirement has the previous retail use; there is no increase in parking requirements. ATTAC1iWNT 7 Planning Commission Staff Report - Page 2 160 W. Main StreeVU -12 -008 July 11, 2012 ✓(NIti Pr ed by. Je ifer L. ava e, AICP Associate Planner WRR:JS:cgt N:NDEVIPC RBPORTS%20121WMnin160_de k.docx LC _ Approved by: Wendie R, Rooney Director of Community Developmen Subject: RE: TONIGHT'S PLANNING COMMISSION MEETING --- Original Message-- - From: LarryArzie (mailtO:larrVarzie@gmall coral Sent: Tuesday, July 10, 2012 1:15 PM To: Town Manager Subject: TONIGHT'S PLANNING COMMISSION MEETING RE: MAIN STREET RESTAURANT INTENSIFICATION APPLICATION, I APOLOGIZE FOR NOT BEING THEIR TONIGHT. I DID NOT MENTION IN MY LETTER ATTACHED TO YOUR PACKET THAT THE BUILDING MAY NOT BE IN COMPLIANCE WITH PARKING REQUIREMENT. PLEASE INQUIRE AS TO WHETHER OR NOT THE CONVERSION OF RETAIL SPACE ON THE BOTTOM FLOOR TO PROFESSIONAL USE REQUIRED ADDITION PARKING. THIS LOSS OF RETAIL SPACE WAS DONE ON THE STAFF LEVEL WITHOUT REQUIRING A CUP. YOU MIGHT ASK STAFF HOW AND WHY WAS THIS DONE WITHOUT YOUR PERMISSION. LARRY JUSTO ARZIE EXHIBIT 8 Jennifer Savage Subject: RE: Tonight's meeting. - - -- Original Message---- - From: David Stonesifer fmailto:larrryarzie@gmaiLcoml Sent: Tuesday, July 10, 2012 12:58 PM To: Planning Subject: Tonight's meeting. Sorry I am unable to attend tonights meeting. I did not mention in my letter that it might be wise to find out if this building has exceeded it's parking requirements. With the recent conversion of a retail space Into professional use (Chamber of Commerce offices) the building may be out of compliance and all the more reason not to intensify the higher intensification of use for the restaurant application. The 100 plus seats is overwhelming as it is. Larry Justo Arzie na TOWN OF LOS GATOS PLANNING COMMISSION STAFF REPORT S GRT Meeting Date: July 11, 2012 PREPARED BY: Jennifer L. Savage, Associate Planner jsavage ©losgatosea.gov APPLICATION NO: Conditional Use Permit Application U -12 -008 ITEM NO: 2 LOCATION: 160 W. Main Street (north side of W. Main Street, between N. Santa Cruz and University Avenues) APPLICANT/ CONTACT PERSON: Linda J. LeZotte PROPERTY OWNER: Robert & Muriel Brouwer, LLC APPLICATION SUMMARY: Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2:LHP. APN 529 -03 -020. DEEMED COMPLETE: June 27, 2012 FINAL DATE TO TAKE ACTION: December 27, 2012 RECOMMENDATION: Forward Conditional Use Permit U -12 -008 to the Town Council with a recommendation of approval with modifications, subject to the conditions contained in this report. PROJECT DATA: General Plan Designation: Central Business District Zoning Designation: C -2:LHP — Central Business North District, Landmark and Historic Central Business District Preservation Overlay Applicable Plans & Standards: General Plan; Central Los Gatos Central Business District Redevelopment Plan; South Commercial Design Guidelines Parcel Size: 6,270 square feet Surrounding Area: Public Park * Commercial uses are directly west of, and adjacent to, the parking lot. ATrACEIAREN° 8 Existing Land Use General Plan Zoning North Parking Lot* Central Business District C -2:LHP East Commercial Central Business District C -2:LHP South Commercial/Residential Central Business District C -2:LHP West Public Park Open Space RC * Commercial uses are directly west of, and adjacent to, the parking lot. ATrACEIAREN° 8 Planning Commission Staff Report - Page 2 160 W. Main Street/U -12 -008 July 11, 2012 CEQA: The project is Categorically Exempt according to Section 15301 of the State Environmental Guidelines as adopted by the Town because the project consists of permitting an existing facility involving negligible use beyond the existing use. FINDINGS: ■ As required by Section 15301 of the State Environmental Guidelines as adopted by the Town that this project is Categorically Exempt. • As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit. • As required by Section IV.B of the Redevelopment Plan for the Central Los Gatos Redevelopment Project that it meets the use set forth in the Town's General Plan. • As required by the Town's Alcoholic Beverage Policy to approve a Conditional Use Permit to serve alcoholic beverages after 10:00 p.m. CONSIDERATIONS: None. ACTION: Forward Conditional Use Permit U -12 -008 to the Town Council with a recommendation of approval with modifications, subject to the conditions contained in this report. EXHIBITS: 1. Location Map 2. Findings and Considerations 3. Recommended Conditions of Approval 4. Project Description (one page), received May 9, 2012 5. Letter of Justification (three pages), received May 9, 2012 6. Public Comment (two pages), received July 2, 2012 7. Development Plans (two pages), received June 13, 2012 BACKGROUND: The property has an existing Conditional Use Pen-nit (CUP), approved in 1989 and modified in 1994, which allows a restaurant with a separate bar and full alcoholic beverage service. The existing CUP does not specify hours of operation and does not permit live entertainment. The amended Alcoholic Beverage Policy (ABP) was adopted by the Town Council in September 2001, The purpose of the ABP is to provide parameters for alcoholic beverage service and direction through a General Policy and a Specific Policy. The Town is in the process of modifying the ABP and creating an Entertainment Policy. Staff analyzed the proposed CUP against the existing ABP. Planning Commission Staff Report - Page 3 160 W. Main Street/U -12 -008 July 11, 2012 PROJECT DESCRIPTION: A. Conditional Use Permit The applicant is requesting approval to modify the operation of an existing restaurant with a separate bar. The applicant is requesting to modify the hours of operation, provide live entertainment, and remove the partition between the dining area and bar area, The applicant provided a project description (Exhibit 4), letter of justification (Exhibit 5), and development plans (Exhibit 7) describing the proposal. The modification of hours of operation and the addition of live entertainment requires a Conditional Use Permit modification. The Planning Commission shall make a recommendation to the Town Council, who will be the final deciding body pursuant to the ABP. B. Location and Surrounding Neighborhood The project site is located on the north side of W. Main Street, between N. Santa Cruz and University Avenues (Exhibit 1). Commercial uses are located to the east and south, and beyond a Town parking lot to the north. Residential uses are located above some commercial uses to the south. To the west is a public park. C. Zoning Compliance The zoning designation allows food and beverage service subject to the approval of a Conditional Use Permit. ANALYSIS: A. Project Sumin The applicant is requesting to modify the hours of operation for an existing restaurant with a separate bar and provide live entertainment. The applicant provided a business description (Exhibit 4), letter of justification (Exhibit 5), and development plans (Exhibit 7)- Although the existing CUP does not specify hours of operation, staff found the hours of operation presumed at the time of the original CUP approval through the Town's standard practice of reviewing past documents, such as staff reports and letters of justification, to determine the basis of CUP approvals. Staff also reviewed the meeting minutes to verify that the hours stated in the staff report were not modified during the public hearing. The hours that were the basis of approval are 11:30 a.m. to 2:30 p.m. and 5:30 p.m, to 10:30 p.m., bar open until 1:30 a.m., seven days a week. The restaurant and bar have separate operating hours. See chart under the Alcoholic Beverage Policy section of this report which shows the separate hours operation for the restaurant and bar. The applicant is Planning Commission Staff Report - Page 4 160 W. Maui Street/U -12 -008 July 11, 2012 proposing that the restaurant and bar both operate from 9:30 a.m. to 12:00 a.m. on Sunday, 5:00 p.m. to 12:00 a.m. Monday through Wednesday, and 5:00 p.m. to 2:00 a.m. Thursday through Saturday. The applicant proposes to cease alcoholic beverage service at 12:00 am. Sunday through Wednesday, and at 1:30 a.m. Thursday through Saturday. The ABP requires specific findings for alcohol service after 10:00 pm. The proposed hours denote an increase in hours for the restaurant portion which will no longer be separated from the bar area. The floor plans for existing CUP approval consisted of a bar area separated from the restaurant dining area with a half wall. The separate dining and bar areas, along with the hours of operation, of the existing CUP indicate that the restaurant portion closed prior to the bar. The proposed project would remove the partition between the dining area and bar area. Removing the partition between the dining and bar areas could result in a bar -like atmosphere in the previously separate dining area during late night hours. The letter of justification explains the applicant would provide an upscale alternate dining experience (Exhibit 5). The letter also explains the applicant wishes to serve alcoholic beverages until 1:30 a.m. in order to be competitive with other nearby businesses. The applicant is proposing to keep the kitchen open from 11:00 p.m. to 12:00 a.m. Sunday through Wednesday, and 11:00 p.m. to 2:00 a.m. Thursday through Saturday so that the establishment does not appear to be bar. The applicant is proposing to provide a DJ during special functions, such as corporate parties and holidays, up to eight days a month. The applicant would use an amplified sounds system to provide background music during other business hours. The applicant explains they believe a CUP modification is not required for the use of the DJ since some members of the Town Council indicated they do not consider DJs to be live entertainment. Given that staff has historically considered DJs as live entertainment and that the existing ABP permits entertainment only if standards and a permit process are adopted, which has not yet occurred, the request for DJs is part of the applicant's CUP modification request. B. Alcoholic Beverage Poli cy Purpose The requirements contained in the ABP are intended to protect nearby residential neighborhoods, while maintaining `the viability of our commercial centers.' The policy provides assurance that hours of operation will be regulated for a variety of reasons, including proximity to residential neighborhoods and concentration of alcoholic beverage serving establishments within one area. The proposed project would allow an existing restaurant with separate bar to continue operating with modifications. Above the commercial uses across W. Main Street, are Planning Commission Staff Report - Page 5 160 W. Main Street(U -12 -008 July 11, 2012 residential uses. The modified hours of operation and addition of a DJ could impact the residences. Staff recommends conditions contained in Exhibit 3 to reduce potential impacts, specifically conditions 5, 7, and 9 through 12. General Policy The ABP's General Policy contains eight requirements. Requirement No. 1 is not applicable to the subject application because the application would allow an existing restaurant with separate bar to continue operating as a restaurant with separate bar. Requirement No. 2 discourages entertainment establishments serving alcoholic beverages. Requirement No. 3 allows entertainment in association with eating or drinking if standards and a permit process are adopted. The Town is currently working on an Entertainment Policy. The Town Council has recently approved live entertainment at LGBG and Pedro's with limitations. Based on the previous approvals, the proposal may have merit subject to conditions which are included in Exhibit 3 including condition no. 9 which requires compliance with the Entertainment Policy once adopted. The applicant is amendable to meeting the requirements of the Entertainment Policy once it is adopted. Requirement No. 4 does not permit alcoholic beverage service after 11:00 p.m. Sunday through Thursday, except for holidays and evenings before holidays, or after 1:00 a.m. Friday, Saturday, holidays, and evenings before holidays. However, the ABP would allow an existing establishment to serve alcoholic beverages past the hours stated above under their existing hours of operation if they are in good standing. The previous establishment, Valeriano's, was in good standing; the applicant is proposing to expand the hours of operation as shown below. The comparison of the existing CUP hours and the applicant's proposed hours are below: ProposedRestau a.m. to 2:30 p.m., 11:30 a.m to 2:30 p.m., 9:30 a.m, to 12:00 a.m. nTuesdayll:30 o 10:30 p.m. 5:30 p.m, to 1:30 a.m. a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m, to 12:00 a.m. o 10:30 .m. 5:30 p.m. to 1 :30 a.m. a.m, to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m Wednesday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p,m., 5:00 p.m. to 12:00 a.m. 5:30 to 10:30 p.m. 5:30 pm, to 1:30 a.m. Thursday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p,m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10 :30 p.m. 5:30 p.m. to 1:30 a.m. Planning Commission Staff Report - Page 6 160 W. Main Street/U -12 -008 July 11, 2012 *Alcoholic beverage service would cease at 1:30 a.m. Requirement No. 5 states an establishment serving alcoholic beverages is subject to five provisions related to alcohol service. The provisions are included as conditions of approval. Requirement No. 6 requires the deciding body to make specific findings to approve an application to serve alcoholic beverages after 10:00 p.m. The applicant is proposing to serve alcoholic beverages after 10:00 p.m. seven days a week. The applicant's letter includes justification to alcoholic beverages after 10:00 p.m. Requirement No. 7 defines a meal as `a combination of food items selected from menu.' The applicant is amendable to a condition that requires meal service with alcoholic beverage service and the applicant is proposing to keep the kitchen open from 11:00 p.m. to 12:00 a.m. Sunday through Wednesday, and 11:00 p.m. to 2:00 a.m. Thursday through Saturday. Staff included a condition that requires meal service with alcoholic beverage service. Requirement No. 8 is not applicable to the subject application because there will be no outdoor seating. Specific Policy The Specific Policy has two requirements that address alcoholic beverage service at restaurants. The first states "alcoholic beverages may only be served with meals." The applicant is amendable to a condition that requires meal service with alcoholic beverage service. The second requirement states that "meal service shall be available until closing." The establishment would offer food service until closing; alcoholic beverage service would be offered until closing Sunday through Wednesday, and until one half -hour prior to closing Thursday through Saturday. The intent of the Policy is to ensure that food will be served in conjunction with alcoholic beverages. In this case, the applicant is proposing to cease requiring meals with alcohol service after 11:00 p.m. but would have food service available. Staff believes that the proposal for meal and food service is consistent with the intent of the policy similar to other approved bars. Existing Restaurant ExistmgBar� ours " Y;roposedRestaitraaxtand :,= $ours Bar Hours.- Friday 11:30 a,m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. Saturday 11:30 a.m. to 2:30 p.m., 11:30 a.m. to 2:30 p.m., 5:00 p.m. to 2:00 a.m.* 5:30 to 10:30 p.m. 5:30 p.m. to 1:30 a.m. *Alcoholic beverage service would cease at 1:30 a.m. Requirement No. 5 states an establishment serving alcoholic beverages is subject to five provisions related to alcohol service. The provisions are included as conditions of approval. Requirement No. 6 requires the deciding body to make specific findings to approve an application to serve alcoholic beverages after 10:00 p.m. The applicant is proposing to serve alcoholic beverages after 10:00 p.m. seven days a week. The applicant's letter includes justification to alcoholic beverages after 10:00 p.m. Requirement No. 7 defines a meal as `a combination of food items selected from menu.' The applicant is amendable to a condition that requires meal service with alcoholic beverage service and the applicant is proposing to keep the kitchen open from 11:00 p.m. to 12:00 a.m. Sunday through Wednesday, and 11:00 p.m. to 2:00 a.m. Thursday through Saturday. Staff included a condition that requires meal service with alcoholic beverage service. Requirement No. 8 is not applicable to the subject application because there will be no outdoor seating. Specific Policy The Specific Policy has two requirements that address alcoholic beverage service at restaurants. The first states "alcoholic beverages may only be served with meals." The applicant is amendable to a condition that requires meal service with alcoholic beverage service. The second requirement states that "meal service shall be available until closing." The establishment would offer food service until closing; alcoholic beverage service would be offered until closing Sunday through Wednesday, and until one half -hour prior to closing Thursday through Saturday. The intent of the Policy is to ensure that food will be served in conjunction with alcoholic beverages. In this case, the applicant is proposing to cease requiring meals with alcohol service after 11:00 p.m. but would have food service available. Staff believes that the proposal for meal and food service is consistent with the intent of the policy similar to other approved bars. Planning Commission Staff Report - Page 7 160 W. Main Street/U -12 -008 July 11, 2012 C. Police Department Comments The Police Department (PD) reviewed the proposal. In consideration of PD staff reductions, PD does not support the request to increase the hours for alcoholic beverage service beyond the hours allowed by the ABP (11:00 p.m. Sunday through Thursday; 1 :00 a.m. Friday, Saturday, holidays, and evenings before holidays). PD recommends meal service is required with alcoholic beverage service except for patrons seated at the bar designated on the floor plan. The requirement for meal service with alcoholic beverage service is included as a condition of approval. It should be noted that this condition differs from the applicant's request. D. Parkin¢ The existing CUP met parking requirements. The existing CUP allowed 72 seats before 5:30 p.m. and 108 seats after 5:30 p.m. A condition of approval is included in Exhibit 3 that would require areas of the establishment to be closed prior to 5:30 p.m. to meet the parking limitation. The applicant is not requesting an increase in seating, and, therefore, meets the parking requirements. E. Traffic The project would maintain a high- quality restaurant with no increase in seating. Therefore, the project would not result in increases of ADT (average daily trips), AM peak hour trips, or PM peak hour trips. F. Conditional Use Permit Findings In order to grant approval of a Conditional Use Permit, the deciding body must make the following findings: (1) The proposed uses of the property are essential or desirable to the public convenience or welfare; and (2) The proposed uses will not impair the integrity and character of the zone; and (3) The proposed uses would not be detrimental to public health, safety or general welfare; and (4) The proposed uses of the property are in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code. In regards to finding one, the use will continue to provide food and beverage service to the community. In regards to the second finding, the use will not impair the integrity of the zone since the use will be in a commercial zone. In regards to finding three, the use will not be detrimental to public health safety or general welfare because the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will Planning Commission Staff Report - Page 8 160 W. Main Street(U -12 -008 July 11, 2012 mitigate potential impacts. In regards to the final finding, the proposed use meets the objectives of the General Plan and Town Code as discussed within this report. G. General Plan The goals and policies of the 2020 General Plan listed below are applicable to this project. Goal LU -9 — To provide residents with adequate commercial and industrial services. Goal LU -10 — To preserve Downtown Los Gatos as the historic center of the Town, with goods and services for local residents, while maintaining the existing Town identity, environment, and commercial viability. Goal SAF -10 — Promote coordination between land use planning and law enforcement. H. Environmental Review The project is Categorically Exempt according to Section 15301 of CEQA as adopted by. the Town, which exempts permitting an existing facility involving negligible use beyond the existing use. No significant effect on the environment will occur since the project uses an existing structure with no increase in floor area or seating. I. Redevelopment Plan for the Central Los Gatos Redevelopment Project Area The Redevelopment Plan contains a Redevelopment Land Use Map that designates proposed land uses to be permitted in the Central Los Gatos Redevelopment Project Area. The subject property is designated commercial and, per the Redevelopment Plan, shall be used for the general commercial uses set forth and described in the Town's General Plan. The proposed use falls under general commercial uses. PUBLIC COMMENTS: The Town received one public comment (Exhibit 6). SUMMARY AND RECOMMENDATION: A. Summary Staff recommends conditions of approval to mitigate potential impacts regarding late night hours and alcoholic beverage service, including impacts that may arise from combining the restaurant and bar areas. The proposed project would result in live DJ entertainment when the ABP allows entertainment only if standards and a process is adopted. Entertainment standards have not yet been adopted. However, the Council has the authority to review applications on a case -by -case basis to determine if a request beyond what the policy Planning Commission Staff Report - Page 9 160 W. Main Street/U -12 -008 July 11, 2012 allows is appropriate. The Council determined that the requests for live entertainment at 15 N. Santa Cruz Avenue and 316 N. Santa Cruz could be granted based on the fact that a live entertainment policy would be completed in the near future and on the several security conditions placed on the use to mitigate potential impacts. The recommended conditions of approval include a condition that the use be subject to the entertainment policy once adopted by the Town. B. Recommendation Staff recommends approval of the project with modifications to the applicant's proposed hours of operation. The basis for recommending approval is that a live entertainment policy would be completed in the near future and because recommended conditions would mitigate potential impacts, including a condition that the use be subject to the entertainment policy once adopted by the Town and a condition limiting the hours of operation. If the deciding body concurs with staffs recommendation, it should: 1. Find that the proposed project is categorically exempt, pursuant to Section 15301 of the California Environmental Quality Act as adopted by the Town (Exhibit 2); and 2. Make the required findings as required by Section 29.20.190 of the Town Code for granting approval of a Conditional Use Permit (Exhibit 2); and 3. Make the required finding as required by Section N.B of the Redevelopment Plan for the Central Los Gatos Redevelopment Project that it meets the use set forth in the Town's General Plan (Exhibit 2); and 4. Make the required findings as required by the Town's Alcoholic Beverage Policy to approve a Conditional Use Permit to serve alcoholic beverages after 10:00 p.m. (Exhibit 2); and 5. Recommend approval to Town Council of Conditional Use Permit application U- 12-008 with the conditions contained in Exhibit 3. If the Commission has concerns with the proposed use, it can: 1. Recommend denial of the application to Town Council; or 2. Continue the matter to a date certain with specific directions; or 3. Recommend approval of the application to Town Council with additional and /or modified conditions. j�3 R Pr ared by Jennifer L. Sav e, AICP Associate Plainer / : /A(kl 1 fJ A �T � `lam Approved by: tindie R. Ron y Director of Community Developm Planning Commission Staff Report - Page 10 160 W. Main Street/U -12 -008 July 11, 2012 WRR:JS:cgt cc: Linda S. LeZotte, Ten Ahnaden, Suite #1250, San Jose, CA 95113 Robert & Muriel Brower, LLC, 246 Pine Hurst Avenue, Los Gatos, CA 95032 N: \DEVTC REPORTS\2012 \\Vfm6n160.docx 160 W. Main Street 6 JeVr jJ J /ice i 1� uj ofd �Q cli �\ (� �•<` `y � *'Qi��s� MILL ST -T� 05 N luj f t pol l J EXHIBIT I This Page Intentionally Left Blank REQUIRED FINDINGS FOR: 160 W. Main Street Conditional Use Permit U -12 -008 Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2:LIIP. APN 529 -03 -020. PROPERTY OWNER: Robert and Muriel Brouwer APPLICANT: B and G Group LLC FINDINGS Required finding for CEQA: ■ The project is Categorically Exempt pursuant to Section 15301 of the State Environmental Guidelines as adopted by the Town. Required findings for a Conditional Use Permit: ■ As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit: The deciding body, on the basis of the evidence submitted at the hearing, may grant a conditional use permit when specifically authorized by the provisions of the Town Code if it finds that: (1) The proposed uses of the property are essential or desirable to the public convenience or welfare in that the use will continue to provide food and beverage service to the community; and (2) The proposed uses will not impair the integrity and character of the zone in that the use will be in a commercial zone; and (3) The proposed uses would not be detrimental to public health, safety or general welfare in that the use will be subject to provisions of the Alcoholic Beverage Policy and conditions placed on the permit will mitigate potential impacts; and (4) The proposed uses of the property are in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code as discussed within the July 11, 2012, PIanning Commission Staff Report. Required finding for the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area: ■ That the proposed project is consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project Area (Section IV.B) in that the subject property is designated commercial and the proposed use falls under commercial uses. era: Page 2 of 2 160 W. Main Street/U -12 -008 July 11, 2012 Required findings for the Town's Alcoholic Beverage Policy: e As required by Chapter 11, Section 6, of the Town Alcohol Beverage Policy for granting alcohol service beyond the hours of 10 p.m. The deciding body shall make the following findings prior to approving an application for a Conditional Use Permit to serve alcoholic beverages past 10 p.m.: A. Late night service will not adversely impact adjacent residential neighborhoods. B. The applicant does not have a history of complaints and non - compliance with local ordinances or the Alcoholic Beverage Policy. C. The applicant has demonstrated a clear benefit to the community. N:�DEV1FMMGS1 OI ZWMain160.docx CONDITIONS OF APPROVAL — July 11, 2012 160 W. Main Street Conditional Use Permit U -12 -008 Requesting approval to modify an existing Conditional Use Permit (CUP) to operate a restaurant with separate bar and full alcohol service on property zoned C- 2 :LHP. APN 529 -03 -020. PROPERTY OWNER: Robert and Muriel Brouwer APPLICANT: B and G Group LLC TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. APPROVAL: This application shall be completed in accordance with all of the conditions of approval listed below and in substantial compliance with the plans noted as received on June 13, 2012. Any changes or modifications made to the approved plans shall be approved by the Director of Community Development, the Development Review Committee, the Planning Commission, or the Town Council depending on the scope of the changes, 2. EXPIRATION OF APPROVAL: The Conditional Use Permit application will expire two years from the date of approval unless it is used before expiration. Section 29.20.335 - defines what constitutes the use of an approval granted under the Zoning Ordinance. 3. LAPSE FOR DISCONTINUANCE: If the activity for which the Conditional Use Permit has been granted is discontinued for a period of one (1) year the approval lapses. 4. USE: The approved use is a high- quality restaurant with separate bar. 5. NUMBER OF SEATS: The maximlun number of seats shall not exceed 72 seats prior to 5:30 p.m. After 5:30 p.m., the maximum number of seats shall not exceed 108. 6. CLOSED SECTIONS: The area labeled "Private Dining Room ", as indicated on the seating plans dated received June 13, 2012, or any other designated area to the satisfaction of the Director of Community Development upon notification, shall remain closed until 5:30 p.m., Monday through Saturday. Only two seats are allowed at the bar before 5:30 p.m. on Sundays. 7. HOURS OF OPERATION: Maximum hours of operation are 9:30 a.m. to 11:00 p.m. on Sunday; 5:00 p.m. to 11:00 p.m., Monday through Thursday; 5:00 p.m, to 1:30 a.m., Friday to Saturday. 8. ALCOHOLIC BEVERAGE SERVICE: The service of alcohol is permitted only with meals. A meal is defined as a combination of food items selected from a menu (breakfast, branch, Iunch, or dinner). Appetizers such as popcorn, nachos, pretzels, potato skins, relish trays, etc. (hot or cold) are not meals. 9. LIVE ENTERTAINMENT: Interior amplified music provided by a sound system is allowed. DJs are allowed only at special parties up to eight times per month. Advertisement of the DJ is not allowed. This Conditional Use Permit shall be subject to the live entertainment standards once adopted by the Town. 10. WINDOWS AND DOORS: Windows and doors shall remain closed when DJ entertainment is provided, 11. SPECIAL PARTIES: Special parties consist of corporate functions, -private parties, holiday events, and locally /regionally /nationally recognized days such as Valentine's Day EXHIBIT 3 and Mother's Day and must comply with all conditions, including hours of operation, alcoholic beverage service, and maximum number of seats. 12. OPERATIONAL AGREEMENT: Prior to the initiation of any operational changes permitted under this approval, the applicant shall enter into an operational agreement with the Town guaranteeing the performance of the business per the representations of the application and the applicant at the public hearings, as well as the observance of the conditions of approval. Said agreement shall be subject to approval of the Chief of Police, the Director of Community Development, and the Town Attorney, and will be signed by the applicant. Operators who are successors in interest to the business and Conditional Use Permit shall be required to meet with the Director and Chief and agree to all the terms of the Operational Agreement by executing a copy of the Agreement. The Operational Agreement shall be reviewed by the Director of Community Development Department and the Town Attorney, biannually for the first five years and annually thereafter, to ensure compliance with the Conditional Use Permit and operating covenants, including the seating and entertainment limitations. 13. DELIVERIES: Deliveries shall be limited to the hours of 9:00 a.m. to 7:00 p.m. 14. TRASH AND RECYCLING DISPOSAL HOURS: Trash and recycling from the business shall only be emptied between 9:00 a.m. and 9:00 p.m. to limit the noise impacts. 15. ALCOHOLIC BEVERAGE POLICY: The applicant shall be subject to comply with any new requirements in the Town's Alcoholic Beverage Policy within six (6) months from the date of the change in policy. 16. SIGN PERMIT: A Sign Permit from the Los Gatos Community Development Department must be obtained prior to any changes to existing signs or installation of new signs. 17. CERTIFICATE OF USE AND OCCUPANCY: A Certificate of Use and Occupancy from the Los Gatos Community Development Department must be obtained prior to commencement of we. 18. BUSINESS LICENSE: A business license from the Town of Los Gatos Finance Department must be obtained prior to the commencement of any new or change of use. 19. TOWN INDEMNITY: Applicants are notified that Town Code Section 1.10.115 requires that any applicant who receives a permit or entitlement from the Town shall defend, indemnify, and hold harmless the Town and its officials in any action brought by a third parry to overturn, set aside, or void the permit or entitlement. This requirement is a condition of approval of all such permits and entitlements whether or not expressly set forth in the approval, and may be secured to the satisfaction of the TownAttomey. Building Division 20. PERMITS REQUIRED: A Building Permit shall be required for the any alterations to the existing commercial building, Separate permits are required for electrical, mechanical, and plumbing work as necessary. 21. CONDITIONS OF APPROVAL: The Conditions of Approval must be blue -lined in full on the cover sheet of the construction plans. A Compliance Memorandum shall be prepared and submitted with the building permit application detailing how the Conditions of Approval will be addressed. 22. SIZE OF PLANS: Four sets of construction plans, maximum size 24" x 36 ". 23. TITLE 24 ACCESSIBILITY — COMMERICAL: For any proposed tenant improvements, on -site parking and general path of travel shall comply with the latest California Title 24 Accessibility Standards. Work shall include, but not be limited to, accessibility to building entrances from parking facilities and sidewalks. The building shall be upgraded to comply the latest California Title 24 Accessibility Standards. Necessary work shall be first investigated by the design Architect and then confirmed by Town staff. 24. APPROVALS REQUIRED: The project requires the following departments and agencies approval before issuing a building permit: a. Community Development— Planning Division: Jennifer Savage (408) 399 -5702 b. Santa Clara County Fire Department: (408) 378 -4010 c. County Environmental Health Department: (408) 885 -4200 TO THE SATISFACTION OF THE DIRECTOR OF PARKS AND PUBLIC WORKS: Engineering Division 25. WVSD (West Valley Sanitation District): Sanitary sewer laterals are televised by West Valley Sanitation District and approved by the Town of Los Gatos before they are used or reused. Sanitary Sewer Clean-out is required for each property at the property line or location specify by the Town. 26. SANITARY SEWER BACKWATER VALVE: Drainage piping serving fixtures which have flood level runs less than twelve (12) inches (304.8 mm) above the elevation of the next upstream manhole and/or flushing inlet cover at the public or private sewer system serving such drainage piping shall be protected from backfow of sewage by installing an approved type backwater valve. Fixtures above such elevation shall not discharge through the backwater valve, unless first approved by the Administrative. The Town shall not incur any liability or responsibility for damage resulting from a sewer overflow where the property owner or other person has failed to install a backwater valve as defined in the Uniform Plumbing Code adopted by the Town and maintain such device in a functional operation condition. Evidence of West Sanitation District's decision on whether a backwater device is needed shall be provided prior to issuance of a building permit. 27. OUTDOOR TRASH ENCLOSURES: (Restaurants Only). Outdoor trash enclosures shall be covered and provided with area drains connected to the sanitary sewer per current NPDES requirements. Temporary trash enclosures are exempt from this condition. 28. GREASE TRAPS: Meet all requirements of the Santa Clara County Health Department and West Valley Sanitation District for the interception, separation or pretreatment of effluent. TO THE SATISFACTION OF THE SANTA CLARA COUNTY FIRE DEPARTMENT: 29. FIRE SPRINKLER SYSTEMS; Fire Department records indicate that the building is equipped with a fire sprinkler system. Any interior remodeling may require modification to this system. A State of California licensed (C -16) Fire Protection Contractor shall submit plans, calculations, a completed permit application an appropriate fees to the fire department for review and approval prior to beginning their work. TO THE SATISFACTION OF THE CHIEF OF POLICE: 30. UNIFORMED SECURITY: Uniformed privately provided security guards maybe required in or around the premises by the Chief of Police if alcohol related problems recur that are not resolved by the licensed owner. 31. CONSULTATION AND TRAINING: At the discretion of the Chief of Police, periodic meetings will be conducted with representatives from the Police Department for on -going employee training on alcoholic beverage service to the general public. 32. TRAINING MANUAL: The restaurant operator shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. 33. DESIGNATED DRIVER PROGRAM: The restaurant operator shall actively promote a designated driver program such as complimentary non - alcoholic beverages for designated drivers. 34. POSTING OF TAXICAB TELEPHONE NUMBERS: Taxicab telephone numbers shall be posted in a visible location. N:\DEV\CONDITNS120121WMain 160.docx PROJECT DESCRIPTION 160 WEST MAIN STREET M TOWN OF LOS GATOS PLANNING DIVISION The Project calls for the continuation of restaurant uses at 160 West Main Street. Applicant has previously submitted plans forminor interior modifications to accommodate the style and upscale nature of its "Japanese- Peruvian Fusion" restaurant. One might compare Applicant's vision for this restaurant to the ambiance of Nubo in Los Angeles and San Diego. While the seating arrangement is being modified, the applicant is not intensifying the seating beyond what is permitted under the current CUP —108 seats. Applicant is requesting a change to the current hours of operation and service of alcohol so thatthe restaurant can be open as follows: Sunday (brunch and dinner) 9:30 a.m.-Midnight; Monday — Wednesday, 5 pm— Midnight; and Thursday — Saturday, 5 pm - 2 am. Applicant will cease the service of alcohol at 1:30 a.m. Applicant is requesting a CUP amendment to permit the use of a DJ 8 times per month for corporate functions, special parties and holiday events (i.e. New Year's Eve, Valentine's Day, Mother's Day, Father's Day, 4th of July). Additionally, background amplified music would be available during the normal business hours which does not require a CUP amendment. Applicant agrees to be bound by the provisions of an Entertainment Policy enacted by the Town Council subsequent to the issuance of the CUP. This Page Intentionally _refit Blank Linda -7. Le.Zotte Ten'Almaden Blvd. Suite 1250 San Jose, California 95113 408.823.8200 • Fax 408.269.2474 May 9, 2012 Ms. Wendie Rooney Community Development Director, 110 East Main Street Los Gatos, CA 95030 RE: 160 W. Main St Dear Ms. Rooney: l MAY - A 2012 TOWN OF LOS GATOS PLANNING DIVISION B and G Group, LLC submits this revised letter of justification for issuance of a CUP Amendment for the project located at 106 W. Main St. The subject property has operated as a restaurant use since 1989 and is currently occupied by Valeriano's restaurant, The application proposes to continue the restaurant use and requests minor amendments to the CUP on file with the Town. Said amendments are as follows: Hours of Oueration: There are no limitations on the hours of operation in the CUP on file for this site. The applicant proposes hours of operation as follows: Sunday (brunch and dinner) 9:30 am. to Midnight; Monday — Wednesday 5 pm to Midnight; and Thursday — Saturday, 5 pm to 2 am. Alcohol Service: The Town's Alcohol Policy states that Alcoholic beverage service for a new or modification of a conditional use permit shall not be allowed: a. After 11 PM Sunday through Thursday, except for holidays and evenings before holidays; b. After 1 AM Friday, Saturday, holidays or evenings before holidays. Applicant requests a modification to the CUP to permit the service of alcohol until Midnight Sunday through Wednesday, and until 1:30 a.m. Thursday through Saturday when the restaurant will be open until 2:00 a.m. Food service will be available as required by the alcohol license and Town policy. Justification: The Applicant believes that the additional hours will be a community benefit in that the restaurant will provide an upscale, alternate dining experience for the residents of the Town and will attract visitors willing to spend their money in Los Gatos. This restaurant will provide substantial economic benefit to the Town by maintaining jobs and revenue. We believe that the patrons to the restaurant will become ambassadors to the E DURIT 5 Wendie Rooney May 9, 2012 surrounding communities, bringing new visitors who will enjoy the special experience that is Los Gatos. In order to operate a successful establishment, Applicant must be able to be competitive with other Town establishments who are permitted late night alcohol service (until 1:30 a.m.) seven days per week. Applicant will keep the kitchen open, with food service, so as not to appear to be a "bar" from 11:00 pm until midnight Sunday through Wednesday, and 11 pm until 2 am on Thursday, Friday and Saturday. Findings re alcoholic beverage service: The Town's Alcohol Policy requires findings to be made by the Council in order .to permit the service of alcoholic beverages past 10 PM. Applicant believes that the Council will be able to make said findings, to wit: a. Late night service will not adversely impact adjacent residential neighborhoods: As indicated above the Applicant intends to limit the evenings when alcohol will be served until 1:30 a.m. to Thursday through Saturday. The Applicant is additionally requesting the ability to serve alcohol until Midnight on Sunday through Wednesday. The Applicant requests these changes in order to provide an upscale, late night dining alternative to other Town venues, which are in close proximity to the Applicants business, where alcoholic beverages are permitted to be served until 1:30 a,m seven days per week. b. The Applicant (and prior operator) does not have a history of complaints. Applicant has no knowledge of complaints or non - compliance with local ordinances or the Alcoholic Beverage Policy by the prior operator. c. As noted above the Applicant will demonstrate a clear benefit to the community by providing an upscale, alternate dining experience for residents and visitors. DJ Use: Applicant proposes to employ a DJ to function as a host for special events and parties, such as corporate functions or holidays (i.e. New Year's Eve, Valentine's Day, Mother's Day, Father's Day, 4`r' of July). Applicant will control what type of music could be played and would be able to change the tone and ambiance for the occasion. The applicant views the DJ music as enhancing the upscale ambiance they wish to create in the restaurant. Applicant will not permit the advertisement of the "DJ" or use the DJ as a draw to the restaurant. Today's DJ is not the DJ of the past. They are sophisticated musicologists, who- the Applicant envisions as creating a sense of place for the Town and the special event, holiday or corporate party during eight (8) days of the month. Applicant will also use the amplified sound system to provide muted background music during regular business hours. Justification: Applicant understands that the Town has between 6 -10 establishments with "live" entertainment. A majority of the Town Council indicated at its September 20, 2010 meeting that they (as well as the then City Attorney) do not consider DJ music as live entertainment in the common sense understanding of that term. Therefore, applicant submits that a CUP amendment is not required to provide DJ music eight times a month for special events. Applicant believes that the limited use of the DJ will ensure the Wendie Rooney May 9, 2012 success of the -restaurant in an area of the Town where it is important to enhance the vitality and upscale feel of the Town's center, However, in order to assist the Town in managing its nightlife activities, the Applicant is applying for a CUP amendment to permit the DJ to operate at those special events noted above. The Applicant agrees to be bound by any subsequent Entertainment Policy enacted by the Town Council. Additionally, the restaurant will provide a community benefit by providing an alternate "upscale" restaurant that can offer a new, sophisticated venue for corporations and large parties to enjoy the ambiance of the Town, while creating jobs for local families, Based upon the above, Applicant submits that the requested modifications of the existing CUP will be 'a public convenience; will enhance the integrity and character of the zone; is in harmony with the various elements and objectives of the General Plan and the purposes of the town Code and furthermore, will not be detrimental to public health, safety or general welfare. We stand ready to answer any further questions. tih This Page Intentionally Left Plank CORRECTED COPY, Planning Commission Town Council Re: APN 529 -03 -020 Application U -12 -008 r, JUL 0 2 2012 TOWN OF LOS GATOS PLANNING DIVISION June 30.2012 The majority of our downtown restaurant permits except for franchise operations are local entrepreneurs. These local owners are conscientious about street appearance and employee parking where as corporate operations (the applicants potential tenant) generally have shopping center mentalities that allow for the center to keep the sidewalks and building clean. They as well rely on the center to provide and police employee parking spaces. The previous tenant, even though he was from San Jose, allowed his staff to park directly next to the restaurant and for them to roll the car or wash off the chalk. We counted up to 5 cars daily doing this. With the advent of a small corporate chain with restaurants in Beverly Hills and Santana Row coming to town this presents potential problems, compounded with the property owner no longer being part of the tenant mix. In the past he kept the property looking good because he was always there. The building now has gone from retail, professional, restaurant to Personal Service (exercise), professional and restaurant presenting a dramatic increase in use and traffic. There could not be a more intense usage of this property. The professional space that just replaced the landowner's retail space (rug shop) was done without your permission, if memory serves me, but granted on the staff level. I point this out in case you did not already know this recently happed and might base your decisions of the previous tenant mix. The previous restaurants use permit provided alcohol with food only, but they ran the bar separate from the food supplying drinks knowingly without food. In many instances they sold bottles of EXHIBIT 6 walk away wine for the jazz in the Plazz crowd. I realize it has become almost policy to allow separate bars within restaurants under a handshake agreement or wink wink clause, but I urge you to not allow this to continue happening at the Planning level. Don't do it just because Council does. The old regulations are clear. Please do not legalize what has been going just because it was going on. This is our your window of opportunity to reduce the effects of intensification by only allowing drinks with food and holding their feet to the fire. The consequences of packed bars at Guardinos, Forbes Mill, and Chicago should be enough to figure out a way you can serve drinks without a full standing bar. Perhaps a bar size based on percentage of square foot or percent of seats with a maximum of 10 stools etc. etc. To make sure that Council does not reverse everything you do to mitigate intensification you might consider adding restrictions to reduce employee parking adjacent to the property such as employees must park in the adjacent Post Office lot or the underground lot and that the tenant must place a security camera at the N.W. corner of the building to make it safer for visitors and parking lot scofflaws. Lightening the usage of building in the central business district was of major concern when I sat on the previous General Plan Review Committee. It was valid then and it is of even greater concern today. Respectfully Submitted. Larry Justo Arzie