Attachment 07DATE :
TO:
FROM:
SUBJECT:
TOWN OF LOS GATOS
PLANNING COMMISSION
REPORT
JANUARY 6, 2017
PLANNING COMMISSION
MEETING DATE : 01/11/2017
ITEM NO: 3
JOEL PAULSON, COMMUNITY DEVELOPMENT DIRECTOR
CONDITIONAL USE PERMITAPPLICATION U-16-005. PROJECT LOCATION:
140 S. SANTA CRUZ AVENUE. PROPERTY OWNER: MICHAEL MOHR-COO
METWEST PRQPERTIES. LLC. APPLICANT: LG HOTEL LLC D.B.A. TOLL
HOUSE.
CONSIDER A REQUEST TO MODIFY AN EXISTING CONDITIONAL USE
PERMIT TO ALLOW ENTERTAINMENT BEFORE 10:00 P.M. ON PROPERTY
ZONED C-2:PD. APN 510-45-064 AND -065.
DEEMED COMPLETE: AUGUST 19, 2016
FINAL DATE TO TAKE ACTION: FEBRUARY 19, 2017
RECOMMENDATION:
Forward a recommendation to Town Council for approval of the modification to the Conditional
Use Permit.
PROJECT DATA:
General Plan Designation:
Zoning Designation:
Applicable Plans & Standards:
Parcel Size:
Surrounding Area:
Existing Land Use
North Commercial
East Commercial
Central Business District
Planned Development, C-2:PD
General Plan
1.8 acres
General Plan
Central Business District and
Medium Density Residential
Central Business District
PREPARED BY: SALLYZARNOWITZ
Planning Manager
Reviewed by: Community Development Director
Zoning
C-2 and
R-lD:LHP
C-2
110 E. Main Street Los Gatos, CA 95030 • 408-354-6874
www.losgatosca.gov ATTACHMENT 7
PAGE2 OF4
SUBJECT : 140 S. SANTA CRUZ AVENUE/U-16-005
JANUARY 6, 2017
South Commercial Central Business District
West Residential Medium Density Residential
~:
C-2
R:PD and
R-lD:LHP
The project Is Categorically Exempt pursuant to the adopted Guidelines for the Implementation
of the California Environmental Quality Act, Section 15301: Existing Facilities. No significant
effect on the environment will occur since the project uses an existi ng structure with no
increase In floor area.
FINDINGS:
• As required, pursuant to the adopted Guidelines for the Implementation of the California
Environmental Quality Act, this project is Categorically Exempt, Section 15301: Existing
Facilities.
• As required by Section 29.20.190 ofthe Town Code for granting a Conditional Use
Permit.
ACTION:
Forward a recommendation regarding Conditional Use Permit application U-16-005 to the Town
Council.
BACKGROUND:
On September 14, 2016, the Planning Commission considered the applicant's request and
directed the applicant to provide a noise assessment for the proposed outdoor entertainment
on the property. The applicant completed a noise assessment for the November 9, 2016
Commission hearing (Exhibit 10). On November 9, 2016, the Commission considered the
applicant's request and the noise assessment. Several neighbors continued to express concerns
about the potential impacts of the requested modification, and a lack of adequate
neighborhood outreach. After discussing options for recommending denial, or recommending
approval with additional conditions, such as prohibiting percussion, limiting hours, and
including a review period, the Commission continued the item to January 11, 2017, directing
the neighbors and the applicant to meet further to try to come to an agreement.
DISCUSSION:
As noted in correspondence from the applicant (Exhibit 15), the applicant met with neighbors
on Wednesday, December 14, 2016. The applicant followed-up with an email message to the
neighbors, identifying currently proposed and additional conditions to address noise concerns,
including:
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PAGE 3 OP4
SUBJECT: 140 S. SANTA CRUZ AVENUE/U-16-005
JANUARY 6, 2017
• Monitoring the sound in real time pu r suant t o t he noise assessment
• Setting-up two speakers on the north end of the courtyard facing south (i.e., inwards
towards the hotel) pursuant to the noise assessment
• Prohibiting percussion instruments in live bands
The Recommended Conditions of Approval have been revised to include all of the above
conditions for the Commission's consideration (Exhibit 14).
PUB LI C COMMENTS:
Exh i b it 16 includes public comments received between 11:01 a.m., Thursday, November 9,
201 6 and 11:00 a.m., Friday, January 6, 2017.
CON CLUSION :
A. Recommendation
Should the Planning Commission determine that the direction provided on November 9, 2016
has been adequately addressed, it can take the following actions to recommend approval of
CUP application U-16-005 to the Town Council:
1. Find that the proposed project Is categorically exempt, pursuant to Section 15301 of the
California Environmental Quality Act as adopted by the Town (Exh i bit 2); and
2. Make the required findings as required by Section 29.20.190 of the Town Code for
granting approval of a CUP (Exhibit 2); and
3. Recommend approval of CUP applicati on U-16-005 to the Town Council with the
conditions contained in Exhibit 14 and the plans contained in Exhibit 6.
B. Alternatives
If the Commission has concerns with the proposed modification, it can:
1. Recommend that the Town Council approve the application with additional and/or
modified conditions of approval; or
2. Recommend that the Town Council deny the application; or
3. Continue the application to a date certa in with direction.
N:\DEV\PC REPORTS\2017\SSC 140 01.11.17 CUP .docx 1/6/2017 12:45 PM
PAGE40F4
SUBJECT : 140 S. SANTA CRUZ AVENUE/U -16-005
JANUARY 6, 201-7
EXHIBITS :
Previously received with September 14, 2016 Staff Report:
1. Location Map
2. Findings (one page)
3. Recommended Conditions of Approval (one page)
4. Existing Conditions of Approval (two pages)
5. Project Description and Letter of Justification, received June 30, 2016 (two pages)
6. Plans and photos, received June 30, 2016 (seven sheets)
7. Policy Number 1-03 Regulating Late Night Entertainment, dated June 22, 2016 and Council
Agenda Report, dated June 13, 2016 (seven pages)
8. Public comment received by 11:00 a.m., Thursday, September 8, 2016
Previously received with September 14, 2016 Addendum:
9. Public comment received between 11:01 a.m ., Thursday, September 8, 2016 and 11:00
a.m ., Tuesday, September 13, 2016
Previously received with November 9. 2016 Staff Report:
10. Entertainment Noise Assessment, dated October 4, 2016 (four pages)
11. Toll House public outreach and invitation (two pages)
12. Revised Recommended Conditions of Approval (one page)
13. Public comment received between 11:01 a.m ., Tuesday, September 13, 2016 and 11:00
a.m., Thursday, November 3, 2016
Received w ith this Staff Report:
14. Revised Recommended Conditions of Approval (one page)
15. Applicant correspondence
16. Public comments received between 11:01 a.m ., Thursday, November 9, 2016 and 11:00
a .m ., Friday, January 6, 2017
Distri butio n:
LG Hotel, LLC, D.B.A. Toll House, 140 S. Santa Cruz Avenue, Los Gatos, CA 95030
Michael Mohr -Coo Met West Properties, LLC, 11100 Santa Monica Blvd., Ste. 1700, Los
Angeles, CA 90025
N:\OEV\PC REPORTS\2017\SSC 140 01.11.17 CUP .docx 1/6/201712:45 PM
PLANNING COMMISSION -January 11, 2017
DRAFT MODIFIED CONDITIONS OF APPROVAL:
140 S. Santa Cruz Avenue
Conditional Use Permit Application U-16-005
Requesting a modification to an existing Conditional Use Permit to allow
entertainment before 10:00 p.m. on property zoned C-2:PD. APNs 510-45-064 and -
065.
PROPERTY OWNER: Michael Mohr -Coo MetWest Properties, LLC
APPLICANT: LG Hotel LLC D.B.A. Toll House
TO THE SATISFACTION OF THE COMMUNITY DEVELOPMENT DIRECTOR :
Planning Division
1. ALCOHOLIC BEVERAGES: So long as this establishment serves alcoholic beverages it
shall be subject to the following:
a. 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.
b. 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.
c. This establishment shall use an employee training manual that addresses alcoholic
beverage service consistent with the standards of the California Restaurant
Association.
d. The licensed operator shall have and shall actively promote a designated driver
program such as complimentary non-alcoholic beverages for designated drivers.
e. Taxicab telephone numbers shall be posted in a visible location.
2. TOTAL SEATING: Total seating shall not exceed 130.
3. OUTDOOR SEATING: Outdoor seating shall not exceed 36.
4 . ALCOHOLIC BEVE~AGES: A!coho!lc beverages may be served .
5. OUTDOOR SEATING USE: The outdoor seating shall not be used for banquet, reception
or conference purposes.
6 . OUTDOOR MEAL SERVICE HOURS : Meal service outdoors sha ll be limited from 7:00 a.m .
to 10:00 p.m .
7. ~NT~RTAINM~NT: Ne R:UISie, eRtertaiR~eRt er 3~Jjlifiee SOl:IREI sl:tall ~e allewee iR tt:.e
eo1:1rtyaFEI.
7. ENTERTAINMENT: Entertainment before 10:00 p.m. in conformance with the Town
Policy Regulating Late Night Entertainment is allowed.
8. NOISE ASSESSMENT: The owner shall implement, at their cost, all recommendations
identified in the Noise Assessment, dated October 4, 2016, completed by Charles M.
Salter Associates Inc. for the property, on file in the Community Development
EXHIBIT 1 4
Department. Pursuant to the Noise Assessment, a maximum of two speakers shall be
allowed to be setup on the north end of the courtyard facing south (i.e .. inwards
towards the hotel); and noise levels during entertainment shall be monitored at location
Cl or C2 so as not to exceed the Town Noise Zone limits.
9. PERCUSSION: Live bands shall not have percussion instruments.
N:\Dev\Conditions\2017\S. Santa Cruz 140_Cup Mod 1-11-17.Docx
From: Jason Bogan [mailto:jason.bogan@metwestterra .com]
Sent: Tuesday, January 03, 2017 4:38 PM
To: Sally Zarnowitz
Cc: Jim Gerney; Monica Renn
Subject: FW: Toll House CUP Meeting 12/14
Hello Sally,
On 12/14 @ 5:30p Larry L(~r.hart hosted a nelghborhood meeting i:o discuss Toll House's <.:UP
modification application. In attendance were Larry Lenhart, Lori Baker, Gillian Verga, Gail Randoiph, and
Tom from #62 Broadway. li1 adciition, Myself, Jim Ge :ney, and Monica Renn were present. We were
requested by the neighbors to list concessions which we felt would minimize t he impact to the
11 eig hborhc:>d down to ni!. (;J;,r;:1ined i n the email beloY..1.)
I wasn't su re if you need::d !his prio r t o t h e mee ting, but thought 1 would pass it along .
With Hospitality,
Jason
.'.::-,~.;"~) r.. Sog~ 1 ::~-~-'"'
Hotel Manager, Toll House Hotel
140 South Santa Cruz, Los Gatos, California 95030
D: {408) 884-1111 F: {408)-395-3720
www.metwestterra.com www.TollHouseHotel.com
From: Jason Bogan
Sent: Friday, December 16, 2016 2:16 PM
To: Jason Bogan
Cc: Jim Gerney; Monica Renn; Gail Randolph (gailrandolph42@gmail.com); Lori Baker
(Lori.Baker@hds.com); larry lenhart (larry@larrvlenhart.com); Gillian Verga (gillianverga@gmail.com)
Subject: Toll House CUP Meeting 12/14
:£XHIBIT 1 5
Hello Neighbors,
I wanted to send a quick thank you for taking the time to meet with Jim, Monica, and myself on
Wednesday. Larry, a special thank you for allowing us into your home.
From our meeting, we hear you loud and clear that the desire of the Broadway neighbors is to allow no
change to our CUP.
As we mentioned, our goal is to have a change to the CUP approved that would have no negative impact
on our Broadway neighbors.
I have outlined some concessions brought up in the meeting on Wednesday which we would be happy
to consider writing into the CUP modification language.
1. No Percussion Instruments (Drums)
2. The use of decibel meters to "self-police" and monitor sound in real time during events.
3. Speaker location: Speakers would be set in location near the fountain, facing the interior of the
hotel.
We feel these three points will allow us to minimize impact down to nil for the neighborhood.
Of course, if there are any other items that anyone feels should be added to this list, as we mentioned
on Wednesday, we are happy to consider. Please feel free to reach out to me directly anytime.
With Hospitality,
Jason
Also, Larry, if you wouldn't mind, would you be able to share Tom's (#62) email address? He was the
only person at the meeting I didn't have.
Jason C. i:!og<m, f.H A
Hotel Manager, Toll House Hotel
140 South Santa Cruz, Los Gatos, California 95030
D: (408) 884-1111 F: (408)-395-3730
- - -. ' • t • I • '
BOOK NOW FOR YOUR 2016
~' AEUJ HERR'S EVE a1nnER
VERGE PRIX -FIXE m£nu .. 12 .. 31.16 • uvE music .... F:Wt>O-ll•LJ•
From : Gillian Verga [mailto:gilllanvergaCQ)qmail.com]
Sent: Friday, January 06, 2017 8:12 AM
To: Sally Zamowitz
Subject: letter for Planning Commission agenda Item for next week
Hi Sally, attached please find a letter from many of the residents on Broadway. Please include
this in the Planning Commission agenda with the agenda item regarding the Tollhouse CUP .
Thanks,
Gillian Verga
EXHIBIT 1 6
Ok how about this:
After meeting with the Tollhouse and many hours and many meetings amongst ourselves the Broadway
residents have come to the conclusion that the only way to protect ourselves and our neighborhood is to
keep the Tollhouse CUP as it is. We have come to this conclusion based on a number of facts and
reasons.
1 The Tollhouse had many opportunities to reach out to the neighborhood and initiate an open discussion
with us . They did this only after being required to do so by the Planning Commission, and even then they
waited a month to reach out, finally arranging a meeting just before the holidays. At this meeting, they had
no suggestions that take our major concerns Into consideration.
2. The primary responsibility for enforcing the noise ordinance or any permitted entertainment is the
Town Staff, who cannot be trusted to adequately enforce the noise ordinance. There are numerous
examples of this; here are a few:
-Town Staff permitted violation of the CUP without recourse for an entire summer in 2012
-Town Staff recommended approval of the CUP change without even bringing up the history of residenfs
concerns
-Town Staff currently claims that the Tollhouse Is allowed to hold wedding receptions and other events in
their outdoor patio despite the fact that such events are clearly prohibited in the CUP
3. Just to be clear about the intentions of the current CUP, since there seems to be some debate, we
contacted Randy Attaway and Joanne Benjamin, two members of the town council when the original CUP
was put into place. They both confirmed that the CUP restrictions apply to the entire outdoor area,
whether it's called the courtyard, patio, or whatever. They confirmed this applies to the Tollhouse
Restaurant AND the Hotel. This incluqes the seating restriction-to 36 and the restriction on banquets,
receptions, and conferences. .............._
4. While the Tollhouse themselves claim that they wish to work with the neighbors, some of their actions
also make it difficult to trust them . The fact Is that they orily engaged with the neighbors after essentially
being forced to by the Planning Commission . In addition, they presented a party invitation to the Planning
Commission as evidence of Mneighborhood outreach• even though that party really had nothing to do with
this issue and was not intended for a discussion of the CUP.
5 The Tollhouse clainis they can "self-monitor" their noise levels with decibel meters in their courtyard.
However, as we all know, it's extremely difficult to control the volume of a croWd of people, a live band, or
a DJ at a thriving party. The Tollhouse courtyard is unique for Los Gatos, as it can accommodate
hundreds of people in an outdoor venue, right in the middle of a neighborhood. Even In a controlled
sound test, the decibel level was exceeded In one location. How can we expect the Tollhouse to be able
to stay below the required decibel levels when you cannot control crowd noise volume, the sound
engineer confirmed this.
6. The Tollhouse claims it needs outdoor entertainment to have a ·1evel playing field·. However, no other
hotel in town has an outdoor patio the size of the one at the Tollhouse. Allowing the Tollhouse to
continue to have indoor entertainment gives them a fair competitive environment with other hotels in
town.
7. The Tollhouse CUP was put in place originally because the Town Council at the time knew
entertainment on the patio, courtyard, outdoor seating area would disturb the neighbors. The neighbors
had to fight again five years ago because entertainment in the patio was extremely disruptive in the
neighborhood. How many times do the neighbors need to raise this issue? Nothing has changed;
entertainment on the Tollhouse patio /courtyard will be disruptive again. Residents at 25 Broadway have
asserted that the outdoor non amplified sound from the many banquets, receptions etc ... in the
courtyard are MORE disruptive than the indoor sound coming from live music at Number 1 Broadway.
Adding amplification to a non CUP complying reception will only be more problematic for residents.
8. Each of the residents on Broadway has chosen to live here because we appreciate the amazing
character of this historic neighborhood. To enjoy this, we have to abide by certain restrictions, such as
approval by the Historic Preservation Committee for any changes to the exterior of our homes. The
Tollhouse also enjoys the advantages of being situated in this charming neighborhood, with the beauty of
the historic area and so close to down town. There are tradeoffs involved, though, and one of those is that
it's just not an appropriate area for outdoor entertainment. The town enforces the rules for the residents,
and should equally enforce them for businesses in this neighborhood.
9. Does it make sense for the town to jeopardize the peace and quiet of the oldest street and
neighborhood in town for a few extra dollars in income from one business. Is the town so determined to
bring in extra revenue that they are willing to forgo the rule of law, ignore a CUP, and risk the integrity of
its enforcement policies?
The role of the Planning Commission is to protect the residents of our town. The residents have spoken
clearly that outdoor entertainment at the Tollhouse is not welcome. Many of us will be attending our third
Planning Commission meeting in January to support our points. We are tired of having to spend hours
defending our peace and quiet.
We need the planning commission to enforce the rule of law and protect our neighborhood.
PLEASE DO NOT CHANGE THE CUP!!!!!
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