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Desk Item PREPARED BY: SALLY ZARNOWITZ Planning Manager Reviewed by: Town Manager, Town Attorney, Community Development Department Director, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 02/21/2017 ITEM NO: 14 DESK ITEM DATE: FEBRUARY 21, 2017 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: CONDITIONAL USE PERMIT APPLICATION U-16-005. PROJECT LOCATION: 140 S. SANTA CRUZ AVENUE. PROPERTY OWNER: MICHAEL MOHR – COO METWEST PROPERTIES, 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. REMARKS: Attachment 15 contains public comment received between 11:01 a.m., Thursday, February 16, 2017 and 11:00 a.m., Tuesday, February 21, 2017. Attachments previously received with February 16, 2017 Staff Report: 1. September 14, 2016 Planning Commission Staff Report (with Exhibits 1-8) 2. September 14, 2016 Planning Commission Addendum (with Exhibit 9) 3. September 14, 2016 Planning Commission Verbatim Minutes (65 pages) 4. November 9, 2016 Planning Commission Staff Report (with Exhibits 10-13) 5. November 9, 2016 Planning Commission Addendum (with Exhibit 14) 6. November 9, 2016 Planning Commission Verbatim Minutes (86 pages) 7. January 11, 2017 Planning Commission Staff Report (with Exhibits 14 -16) 8. January 11, 2017 Planning Commission Addendum (with Exhibits 17-18) Note: Exhibit 17 was originally identified as Exhibit 14 and renumbered due to inadvertently being omitted from the January 11, 2017 Staff Report. 9. January 11, 2017 Planning Commission Verbatim Minutes (66 pages) 10. Draft Resolution to Approve the project (includes Exhibit A – Conditions of Approval) PAGE 2 OF 2 SUBJECT: 140 S. SANTA CRUZ AVENUE/U-16-005 DATE: FEBRUARY 21, 2017 S:\COUNCIL REPORTS\2017\02-21-17\S Santa Cruz 140\Desk Item FINAL.docx 2/21/2017 3:17 PM SZ 11. Draft Resolution to Remand the project to the Planning Commission 12. Draft Resolution to Deny the project 13. Public Comments received by 11:00 a.m., Thursday, February 16, 2017 14. Communication from the Applicant (seven pages), received February 15, 2017 Attachments received with this Desk Item: 15. Public Comments received between 11:01 a.m., Thursday, February 16, 2017 and 11:00 a.m., Tuesday, February 21, 2017 Sally Zarnowitz Subject: FW: The Toll House Hotel -CUP Modification Request From: Patti Rice [mailto:oatti@'thespaoflosqatos.com] Sent: Friday, February 17, 2017 12:42 PM To: Council Cc: Jason. boqan@'rnetwestterra. corn Subject: The Toll House Hotel -CUP Modification Request Good Afternoon Town Council Members: I just noticed that The Toll House is on the agenda for next week's council meeting. As the operating owner of The Spa - Los Gatos, I wanted to express my support of their application to change their CUP allowing entertainment in their courtyard. They have been an excellent neighbor, partnering in business promotions, and supporting the community in many different ways . I know that being able to have entertainment options in their courtyard is an important offering and puts them at a distinct competitive disadvantage not having that option. Their business and wedding groups bring a great deal of business to the town in general and I believe it would be most advantageous to allow them this additional service to their clients. Re spe ctfully yours, Patti A. Rice The Spa -Los Gato s 100 South Santa Cruz Avenue Los Gatos, CA 95030 (408) 354-5901, extension 103 www.thespalosgatos.com 1 ATTACHMENT 15 Sally Zarnowitz Subject: FW : TOLL HOUSE -Los Gatos Chamber of Commerce Support o f Modification of CUP From: catherine@losgatoschamber.com [mai lto:catherine@losgatoschamber.com ] Sent: Friday, February 17, 2017 3:48 PM To: Council Cc: 'Rich Tancredi' Subject: FW : TOLL HOUSE -Los Gatos Chamber of Commerce Support of Modification of CUP Also signed by Rich Tancredi , Member, Board of Directors Los Gatos Chamber of Commerce Thank you. You should also be receiving a few personal emails from other Board members showing our support. From: catherine@losgatosc hamber.com [mailto:catherine@losgatoschamber.com ] Sent: Friday, February 17, 2017 3:45 PM To: 'council@losgatosca.gov' <council@losga to sca.gov > Cc: 'Jason Bogan' <jason.bogan@metwestte rra.com > Subject: TOLL HOUSE -Los Gatos Chamber of Commerce Support of Modification of CUP February 17, 2017 Ladies and Gentlemen of the Los Gatos Town Council, As the Executive Director of the Chamber of Commerce and a resident of Lo s Gatos, and other members of the Board of Directors, We want to express our sincere support of the Toll House Hotel's application to change their existing CUP to allow entertainment in their courtyard. We have discussed the situation at multiple Board Meetings and truly appreciate the work that Jason and his team have done in working toward a solution and to compromising with the residents, the Planning Commission and his Toll House legal team and advisors. Their respect for the Los Gatos community is remarkable. Sincerely, Catherine Somers, Executive Director Los Gatos Chamber of Commerce 408-335-66 18 direct Alex Hult President of the Board Los Gatos Chamber of Commerce David Guercio Member, Board of Directors Lo s Gatos Chamber of Commerce Peggy Gibb s Member, Board of Directors Lo s Gatos Chamber of Commerce 1 Sally Zarnowitz Subject: FW : TO LL HO USE CUP -----Original M es sage ----- From : michael jacobi [mailto:jazzstandards3@gmail.com ] Sent: Friday, February 17, 2017 5:15 PM To : Council Subject : TOLL HOUSE CUP Ladies and gentlemen of the Los Gatos Town Council. .. While not a resident, I have for the pa st 25 years endeavored to help maintain the community as a vibrant and rewarding plac e to life. Through my marketing firm, Jacobi Creative, along with my stint as Pres id ent of The Downtown Association and my present work as Executive Producer of Jazz on the Plazz, I feel that I am in a unique position to offer a recommendation. To that end, I respectfully urge you to approve the change to the Toll House CPU regarding courtyard entertainment. With much appreciation for you efforts, Michael Ja cobi Se nt fro m my iPhone 1 Sally Zarnowitz Subject: FW: Information for Town Council meeting Feb 21 Attachments: Letter to Town Council from resident concerning Toll House CUP .docx From: lenhartlarrv@gmail.com [mailto :lenhartlarrv@gmail.com] On Behalf Of larry lenhart Sent: Monday, February 20, 2017 7:14 PM To: Council Subject: Information for Town Council meeting Feb 21 Attached you will find a letter to include in the documents for the F eh 21 meeting regarding the Toll House request for a modification of their CUP. This letter is submitted from a resident of 30 Broadway, Los Gatos. Please send a response to this email that this letter will be included for Town Council information. Regards, Larry Lenhart 30 Broadway, Los Gatos 1 To: Los Gatos Town Council From : Larry Lenhart -Resident 30 Broadway Subject: Toll House CUP Change Requ est Date : February 18, 2017 I join the other residents of Broadway and the residents of the Meadows in requesting that no changes are made to the CUP and any modifications are denied . We bought our home in 1998 and were drawn to the quiet street near town with welcoming neighbors. While we knew we were close to.town, we were comforted by the town's policies and documented use permits protecting the neighborhood from noise , traffic, crime, etc . Specifically, we knew that the Toll House had a large outdoor patio that was next to our neighborhood but the permits protected our family . Please protect our family and our investment . Our family enjoys sitting on the front steps, eating onside patio and relaxing on our back deck . On weekends, we enjoy the outdoors, particularly during dinner or after dinner. Please do not impact our lives by eliminating the enjoyment we have for peaceful family time outdoors. The Toll House is unique. No other establishment in Los Gatos has the facility to host hundreds of people in an outdoor area . The town has known this for decades and has ensured that the Toll House did not turn this unique advantage into a veritable sound machine right next to homes and a retirement community. Finally, the current management of the Toll House have not been supportive or open with the many, many families that would be impacted by a CUP change. During the recent Toll House's CUP change requests the Los Gatos town planning committee asked the Toll House management if they were holding banquets and receptions outdoors w ith more than SO people . The Toll House management said they were holding many banquets and receptions with over SO people. In addition the Toll House management claimed the town supported their interpretation of the CUP. The Toll House management cannot make this claim as the Town of Los Gatos notified the Toll House in April of 2014 with a pre - citation warning requiring the Toll House to immediately cease outdoor entertainment (see copy of email below as Exhibit A}. In addition, as you can see from the attached timeline (Exhibit B), the Toll House management has made little attempt to communicate and work with their neighbors. To help the Toll House in their outreach, I personally asked the Toll House management to come to our home and join the other five Broadway residents that the Toll House had emailed about a meeting. We held this meeting but the Toll House management had no proposal at that time other than the position highlighted at the previous planning committee session. An email to a few families, an invitation to a pre-existing partner, and a meeting with S residents is incredibly inefficient for an organization that will negatively impact the lives of over one hundred residents of Los Gatos. I request that the Town Council protect the town's residents today and in the future . Please deny the requested modification to the Toll House CUP. Exhibit A On Aug 25 , 20 14, at 4:14 PM, Sheila Laurie <SLaurie@ losgatosca.gov> Thank you for the follow up on the issue of The T oll House operating in violation of their Conditional Use Permit by allowing outdoor entertainment or amplified sound in the c ourtyard area. T he Code Compliance divisi on can issue administrative citations in cl ud ing a fine if this problem goe s unresolved Code Enforcement co ntacted the Toll House Management and informed them that they are required to cease outdoor entertainm en t/amplified sound immediately , and we are issuing a Pre-Citation Warning letter advising th at fu r ther violatio ns wi ll result in legal action . Please feel free lo contact me directly if you have any f urther questio ns. Again , thank you for the information . Shei la La urie Code Compl iance Off ice r ( 408 )399-5 7 46 SLaurie@losgatosca.gov Sally Zarnowitz Subject: FW: Requesting no change to the Toll House cond itional use permit From: BSpector Sent: Tuesday, February 21, 2017 8:41 AM To: Laurel Prevetti Subject: FW: Requesting no change to the Toll House conditional use permit From: Dixie Fisher [dixiejfisher@gmail.com] Sent: Monday, February 20, 2017 11:43 PM To: Marice Sayoc; BSpector; Rob Rennie; Steven Leonardis; Marcia Jensen Subject: Requesting no change to the Toll House conditional use permit Dear Council Members I am a long-time resident of Broadway and a patron of Verge at the Toll House; I dined there at least half a dozen times in 2016. I request that you do not change the Conditional Use Permit of the Tollhouse Hotel and Restaurant to allow outdoor, amplified entertainment. Please preserve and enforce this thoughtfully created Conditional Use Permit as originally designed . Warm regards , Dixie Fisher 74 1/2 Bro adwa y Los Gatos, CA 95030 408-354-2697 1 I I Sally Zarnowitz Subject: FW : CUP modifica tion request From: Cleve Dayton [mailto:cleve@paintingpros.com] Sent: Tuesday, February 21, 2017 8:53 AM To: Council Subject: CUP modification request Ladies and Gemleman of th e Los Ga tos Town Council. As a business own er and life long resident of Los Gatos, I wanted to expr ess my support of the To ll House Hotel's application to change their CUP, allowing e11t ertai11m e11t in th eir courtyard . Sin cerely , C l eve Dayton T h e Painting Pros, Inc. cell (408) 595-7874 www.paintingpro s.com 1