Staff Report - Toll House Final
PREPARED BY: SALLY ZARNOWITZ
Planning Manager
Reviewed by: Town Manager, Assistant 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: 11/07/2017
ITEM NO: 17
DATE: NOVEMBER 2, 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.
COMPLIANCE REVIEW FOR CONDITIONAL USE PERMIT MODIFICATION
U-16-005, ALLOWING ENTERTAINMENT BEFORE 10:00 P.M. ON PROPERTY
ZONED C-2:PD. APNS 510-45-064 AND -065.
RECOMMENDATION:
Perform a compliance review for Conditional Use Permit (CUP) U-16-005, allowing
entertainment before 10:00 p.m. on property zoned C-2:PD.
BACKGROUND:
On February 21, 2017, the Town Council considered the application, received public comment,
and approved the Conditional Use Permit (CUP) modification to allow music, entertainment, or
amplified sound in the courtyard of the hotel (Toll House), subject to modified conditions. On
March 7, 2017, the Town Council adopted the Resolution and the modified Conditions of
Approval (Attachment 1, Exhibit A). Additionally, the Council’s action required the approval of
an Operating Agreement (Attachment 1, Exhibit B).
The CUP allows entertainment before 10:00 p.m. in conformance with the Town Policy
Regulating Late Night Entertainment, pursuant to the approved Operating Agreement
(Attachment 1, Exhibit B). A review is required to ensure on-going compliance with Condition
No. 7 of the CUP modification Paragraphs 9 and 10 of the Operating Agreement (Attachment 1),
Town Code, and State Law.
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SUBJECT: 140 S. SANTA CRUZ AVENUE/U-16-005
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BACKGROUND (Continued):
If the Town Council determines that the Toll House is operating in compliance with the CUP and
Operating Agreement, then the Toll House may continue to have entertainment events. If the
Council determines that the Toll House is not operating in compliance with the CUP and
Operating Agreement, the Town Council may put in place a new monitoring period; provide
direction to staff, (including but not limited to amending the conditions of the Operating
Agreement); or set a public hearing to consider modifying, suspending, or revoking the CUP.
DISCUSSION:
The Town Council is required to review the Toll House for compliance with the conditions of the
CUP and Operating Agreement (Attachment 1) related to noise monitoring. The Operating
Agreement addresses the CUP compliance review in the following paragraphs:
9. Toll House agrees that it must cease operation of the noise source immediately if
there is an exceedance in the maximum level of dBA set forth in Paragraph 5 during
an entertainment event until such time that additional measures are implemented
to eliminate the noise exceedance. Such additional measures include but are not
limited to, speaker reduction, speaker placement, noise dampening, or any other
solution to remedy the exceedance. In addition, the Town Manager may amend the
condition of this Operating Agreement if changes are need ed to address any issues
which the current conditions do not fully address.
10. In addition to Paragraph 9, this Operating Agreement and Condition of Approval No.
7 may be revoked, suspended or modified by the Town Council, at any time,
whenever, after a noticed hearing, the Town Council finds that three violations of
this Operating Agreement have occurred that cannot be remedied through
implementation of additional measures and conditions to eliminate additional
violations.
11. In addition to paragraph 9 and 10, this Operating Agreement and CUP Condition No.
7 shall be reviewed by the Town Council at a noticed public hearing on November 7,
2017, to ensure on-going compliance with this Operating Agreement and to ensure
that the Toll House is in compliance with Town Code and State Law. At this hearing,
the Town Council may revoke, suspend or modify CUP Condition No. 7 of this
Operating Agreement in order to address any issues related
In compliance with the CUP, the Tollhouse has installed two noise monitoring devices as set
forth in the Noise Assessment (Attachment 2) for the purposes of monitoring noise levels
during entertainment events. The Noise Assessment sets an allowable maximum noise level of
74 dBA at the C1 location and 82 dBA at the C2 location from 1:00 p.m. to 10:00 p.m. weekdays;
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SUBJECT: 140 S. SANTA CRUZ AVENUE/U-16-005
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DISCUSSION (Continued):
or 69 dBA at the C1 location and 77 dBA at the C2 location from 1:00 p.m. to 10:00 p.m.
weekends and holidays. The Operating Agreement states that i f an exceedance of the
allowable maximums during an entertainment event results in a noise complaint, the Toll
House is subject to enforcement actions.
The Toll House has provided a letter (Attachment 3) and a Noise Monitoring Report
(Attachment 4), describing the data collected during the single entertainment event held during
the review period (on August 26, 2017). The Noise Monitoring Report indicates periods where
sound levels exceeded the allowable maximums, however, the exceedance did not result in a
noise complaint to the hotel. The letter explains the cautious approach taken by the hotel and
its intent to continue to do so.
During the entire year long review period, including August 26, 2017, the Police Department
and Code Compliance did not receive any complaints for noise or other disturbance related to
entertainment or other events on the property. Therefore, staff concludes that Toll House is
technically in compliance.
CONCLUSION:
The Toll House monitored the noise levels during an entertainment event in compliance with
the conditions of the CUP and Operating Agreement (Attachment 1). The Noise Monitoring
Report (Attachment 4) indicates that noise levels exceeded the allowable maximum sound
levels, however because the exceedance did not result in a noise complaint, the Toll House is
technically in compliance with the CUP. The Town Council should determine if there is merit to
find compliance with the conditions of the CUP and Operating Agreement (Attachment 1).
ALTERNATIVES:
Alternatively, the Council may:
1. Determine there is merit to find compliance with the conditions of the CUP and Operating
Agreement (Attachment 1), and put in place a new monitoring period.
2. Determine there is not merit to find compliance with the conditions of the CUP and
Operating Agreement (Attachment 1) related to noise monitoring, and:
a. Put in place a new monitoring period;
b. Provide direction to staff, (including but not limited to amending the conditions of the
Operating Agreement); or
c. Set a public hearing to consider modifying, suspending, or revoking the CUP
modification.
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SUBJECT: 140 S. SANTA CRUZ AVENUE/U-16-005
NOVEMBER 2, 2017
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COORDINATION:
The compliance review was coordinated with Economic Vitality, Office of the Town Manager,
Office of the Town Attorney, Code Compliance, and the Police Department.
ENVIRONMENTAL ASSESSMENT:
The compliance review is not a project under the California Environmental Quality Act (CEQA),
and no further environmental review is required.
Attachments received with this Staff Report:
1. Resolution 2017-009, includes Exhibit A (Conditional Use Permit U-16-005) and Exhibit B
(Operational Agreement)
2. Noise Assessment, dated October 4, 2016
3. Toll House Letter, received October 26, 2017
4. Noise Monitoring Report, received October 26, 2017
5. Public Comment received by 11:00 a.m., Thursday, November 2, 2017
Distribution:
LG Hotel, LLC, D.B.A. Toll House, 140 S. Santa Cruz Avenue, Los Gatos, CA 95030
Michael Mohr, Coo MetWest Properties, LLC, 11100 Santa Monica Blvd., Ste. 1700, Los
Angeles, CA 90025