07 Staff Report - 91, 101, and 109 W. Main StreetqpW N 0
Soso\S COUNCIL AGENDA REPORT
DATE: June 16, 2006
TO: MAYOR AND TOWN COUNCIL
a'
FROM: ORRY P. KORB, TOWN ATTORNEY ' .
MEETING DATE: 06-19-2006
AGENDA ITEM:
SUBJECT: ADOPT RESOLUTION APPROVING A REQUEST TO MODIFY A
CONDITIONAL USE PERMIT TO CHANGE THE HOURS OF OPERATION
AND ALLOW SPECIAL EVENTS, A DELICATESSEN, OFF-SITE BEER
AND WINE SALES, AND WINE TASTING ON PROPERTY ZONED C-2.
APN 529-01-025. CONDITIONAL USE PERMIT U-06-12. PROPERTY
LOCATION: 91, 101 AND 109 W. MAIN STREET. PROPERTY OWNER:
SUE FARWELL. APPLICANT: TERI HOPE.
RECOMMENDATION:
Adopt resolution confirming Council's decision on June 5, 2006.
DISCUSSION:
On June 5, 2006, Council approved the request to modify a Conditional Use Permit to change the
hours of operation and allow special events, a delicatessen, off-site beer and wine sales, and wine
tasting on property zoned C-2. The attached resolution finalizes that decision.
Attachments: Proposed Resolution
Conditions of Approval
Distribution: Teri Hope, 212 Bella Vista Avenue, Los Gatos, CA 95030
Sue Farwell, 121 Laurel Avenue, Los Gatos, CA 95030
PREPARED BY: ORRY P. KORB, TOWN ATTORNEY
OPK:LMB/wp (N:AATYVLG Coffee Rousting Company\ReporL LG Coffee Rousting Reso.wpd]
Reviewed by: Town Manager Assistant Town Manager Clerk
Finance Community Development
Rev: 6/16/06 1:51 pm
Reformatted: 7/19/99 F,le# 301-05
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
APPROVING THE REQUEST TO MODIFY A CONDITIONAL USE PERMIT TO
CHANGE THE HOURS OF OPERATION AND ALLOW SPECIAL EVENTS, A
DELICATESSEN, OFF-SITE BEER AND WINE SALES, AND WINE TASTING ON
PROPERTY ZONED C-2.
APN: 529-01-025
CONDITIONAL USE PERMIT: U-06-12
PROPERTY LOCATION: 91, 101 AND 109 W. MAIN STREET
PROPERTY OWNER: SUE FARWELL
APPLICANT: TERI HOPE
WHEREAS:
1. This matter came before Council for public hearing on June 5, 2006.
2. Council received testimony and documentary evidence from the applicant and all
interested persons who wished to testify or submit documents. Council considered all
testimony and materials submitted.
3. The Los Gatos Coffee Roasting Company is located at 109 W. Main Street (Store
A), 101 W. Main Street (Store B), and 91 W. Main Street (Store C). Store A was granted
a Conditional Use Permit (CUP) on March 12, 1997, which allowed for a Creperie and
no additional seating. This CUP is now expired and the store is used by The Los Gatos
Coffee Roasting Company as retail space. Store B currently operates under a CUP
approved on July 10, 1986 allowing for a restaurant with a maximum of 16 seats. Store
C currently operates under a CUP approved on July 23, 1986 allowing the previously
approved restaurant to expand into 91 W. Main Street and for the addition of 36 seats. In
all, the Los Gatos Coffee Roasting Company is currently allowed a maximum of 52 seats.
4. The approved hours of operation for the Los Gatos Coffee Roasting Company are
as follows: 7:30AM to 6:OOPM Monday through Wednesday; 7:30AM to 10:30PM
Thursday through Saturday; and 9:30AM to 6:OOPM Sundays.
1
5. Applicant seeks approval to modify its CUP to allow for the operation of a
gourmet grocery store and full service delicatessen counter offering sandwiches made to
order, bulk meats, cheeses, and other deli items, in its Store A location.
6. Applicant seeks approval to modify its CUP to allow for the sale of off-site beer
and wine and for wine tasting. Applicant intends to require patrons to pay for one ounce
wine tastes in accordance with Alcohol Beverage Control (ABC) requirements, and to
offer pre-packaged snacks. Applicant also intends to require that patrons be served a
lunch or dinner meal before being served alcoholic beverages, as required by the Town's
Alcohol Policy. Alcohol service would also be restricted during special events held at
the Los Gatos Coffee Roasting Company. Special events include events for individuals
under 21 years of age, poetry and music weekend evening events, community meetings,
and the Los Gatos Coffee Roasting Company's annual events.
7. The applicant also seeks approval to modify its CUP to change the hours of
operation. The desired hours of operation are 6:OOAM to 10:00PM seven days a week.
The wine bar would close at 9:30PM seven days a week.
8. Town Council finds as follows:
a. Pursuant to Town Code section 29.20.190, the proposed use of the
property 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. Evidence in the record demonstrates that the proposed modification to
the CUP would encourage (1) economic and social activity consistent with a small-scale,
small town atmosphere and image, (2) the development and retention of locally-owned
2
11 1 r_
stores and shops, (3) the preservation of 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, (4) the development of a new image and
market in the Town as the gateway to the Santa Cruz Mountains wine region, and (5) the
provision of a new, attractive and well managed night time gathering place in downtown
Los Gatos for local youth.
b. The project is categorically exempt from environmental review pursuant
to Section 15301 of the State Environmental Guidelines as adopted by the Town.
C. The proposed use is consistent with the Redevelopment Plan for the
Central Los Gatos Redevelopment Project Area (section IV.B), as evidenced by the staff
report prepared for the public hearing on June 5, 2006.
RESOLVED:
A. The Conditions of Approval attached hereto as Exhibit A are hereby adopted as
the Conditions of Approval of this permit.
B. The decision constitutes a final administrative decision pursuant to California
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
California Code of Civil Procedure section 1094.6, or such shorter time as required by
state or federal law.
PASSED AND ADOPTED at a regular meeting of the Town Council of the
Town of Los Gatos, California held on 19`n day of June 2006 by the following vote.
COUNCIL MEMBERS:
3
T - -
AYES: Mike Wasserman, Joe Pirzynski, Barbara Spector,
Steve Glickman, Diane McNutt
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
Diane McNutt
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST
Marlyn Rasmussen
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
4
CONDITIONS OF APPROVAL FOR:
91, 101 and 109 W. Main Street
Conditional Use Permit U-06-12
Requesting approval to modify a conditional use permit to change the hours of operation,
allow special events, deli, off and on- site beer and wine sales and wine bar on property zoned
C-2. APN 529-01-025.
PROPERTY OWNER: Sue Farwell
APPLICANT: Teri Hope
TO THE SATISFACTION OF THE PLANNING DIRECTOR:
(Planning Section)
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 approved and noted as
Exhibit L in the report to the Planning Commission. Any changes or modifications made to the
approved plans shall be approved by the Director of Community Development or the Planning
Commission, depending on the scope of the changes.
2. 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.
3. USE: The approved use is a coffee shop-restaurant, delicatessen, wine bar, and specialty retail.
Store A contains the wine bar, deli counter, off-site sales of wine, and specialty grocery/coffee
retail uses. Stores B and C contain the espresso bar and coffee shop uses. The use shall be
consistent with the description contained in the letter from Teri Hope dated April 21, 2006,
attached and incorporated herein as Exhibit A.
4. NUMBER OF SEATS: The maximum number of seats for the restaurant shall not exceed 52
seats and 6 seats on the outdoor benches in front of Store B and C. No additional seats will be
allowed outside of restaurant.
5. HOURS OF OPERATION: Maximum hours of operation for the restaurant shall be 6:00 a.m.
to 10:00 p.m. seven days a week. The wine service bar will operate from 11:00 a.m. to 9:30 p.m.
during normal business hours. Wine bar service not permitted during the following special
events: Under 21 Events, Poetry/Music Weekend Events, and Community Meetings.
6. ALCOHOL SERVICE: Alcohol service shall be consistent with the description contained in the
letter from Teri Hope dated June 1, 2006, attached and incorporated herein as Exhibit B. The
service of wine by the glass for the restaurant 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.
7. WINE TASTING: Wine tasting is permitted at the wine bar located at the front of Store A as
shown on Exhibit L of the report to Planning Commission. No seats are permitted at the wine
bar. The maximum sample size for the wine tasting shall not exceed one ounce. Packaged
snacks may be served as part of the wine tasting.
8. SECURABLE BARRIER. The applicant must install a securable barrier between Store `A' and
Store B as show on Exhibit L to the satisfaction of the Community Development Director. The
barrier must be secured during all special events that do not permit the service of alcohol.
9. LIVE ENTERTAINMENT: No live entertainment shall be provided during the service of
alcohol.
Conditions of Approval
91, 101 and 109 W. Main Street
Conditional Use Permit U-06-12
Page 2
10. SPECIAL EVENTS.
Condition
Special Event
Event Type
A maximum of 12 events per year.
Events for individuals under
Amplified music and open microphone.
21
Alcohol not permitted during hours of
scheduled youth group events. Adult
10a.
supervision provided for each under
21event. Amplified music shall not go past
9:30 PM Sunday through Thursday.
Amplified music shall not go past 10 PM
Friday and Saturdays. Under 21 events shall
not go past 11PM.
A maximum of 10 events per year. One
Poetry/Music Weekend
event per month scheduled on a weekend
10b.
Evening Events
evening. Poetry and amplified music.
Alcohol service not permitted during hours
of weekend events. Music shall end at 9:30
PM.
Weekly community meetings (including the
Los Gatos Art Association Board, co-op
loc.
Community Meetings
nude figure drawing group, and wine
appreciation lecture group) held within non-
business hours. Music, alcohol, and food
service not permitted. Events will not go
past 10 PM.
Two Los Gatos Roasting Company events
10d.
Los Gatos Roasting Company
per year, by invitation only. Amplified
Annual Events
music and alcohol permitted. Music shall
end at 9:30 PM.
11. WINDOW CURTAINS. Opaque window curtains must be placed in all storefront windows
during nude figure drawing classes.
TO THE SATISFACTION OF THE DIRECTOR OF BUILDING & ENGINEERING:
12. TRAFFIC IMPACT MITIGATION FEE. A traffic mitigation fee shall be paid for an
Conditions of Approval
91, 101 and 109 W. Main Street
Conditional Use Permit U-06-12
Page 3
additional 126 ADT prior to the issuance of a Certificate of Use and Occupancy. $13,008.96
shall be paid within 30-days of Town Council approval of the CUP.
TO THE SATISFACTION OF THE CHIEF OF POLICE:
13. 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.
14. 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.
15. 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.
16. DESIGNATED DRIVER PROGRAM: The restaurant operator shall actively promote a
designated driver program such as complimentary non-alcoholic beverages for designated
drivers.
17. POSTING OF TAXICAB TELEPHONE NUMBERS: Taxicab telephone numbers shall be
posted in a visible location.
N:\ATY\LG Coffee Roasting Company\LG Roasting Co. Conditions of Approval.wpd
i,
April 21, 2006
/ To: Town of Los Gatos Planning Commissioners
RECEIVED
APR 2 1 2006
TOWN OF LOS GATOS
PLANNING DIVISION
Re: Los Gatos Coffee Roasting Company
101 W. Main - CUP: U-85-8A (7/23/86 - w/seating max. 36)
91 W. Main - CUP: (1986 - w/seating believed to be max. 16)
109 W. Main - CUP: PRJ-96-134 (1996 - Creperie w/o seating)
CUP Modification Application Letter of Justification -
Teri Hope has been operating her business, Los Gatos Coffee Roasting Company, on
West Main Street in downtown Los Gatos since 1982. The business occupies three
common-wall spaces in one building in the Historic Downtown District of Los Gatos.
Internal doorways and wheelchair ramps allow customer foot traffic to flow between
rooms within the building.
The primary justification for this request for CUP modification is based on economic
viability. Due to substantial rising rents, increased property taxes passed on to the tenant
via the triple-net lease, and other escalating overheads there is an immediate need to
evolve the business by expanding the product line in an effort to remain viable in a highly
competitive market.
The proposal includes expanding the existing specialty coffee product-line with new
offerings that fill a niche not adequately served in the downtown area. A modified CUP
is requested to allow for the operation of a specialty delicatessen and grocery store
concept featuring gourmet cheeses, cured meats, hams, pates, and savory items
complimented by a selection of locally produced wines. The Los Gatos Creperie formerly
occupied the general area designated for these new products.
The request includes the off-site sales of locally produced boutique wines by the
bottle and a wine tasting area to allow for "measured-pour" wine sampling as well as
"measured-pour" wines by the glass to be served along with meals inside the
establishment. This request does not call for adding any seating in any of the spaces, but
will rely solely on the existing seating allowance in the 101 & 91 West Main spaces.
Note Regarding Seating: - In July 1986, Los Gatos Coffee Roasting was granted a
CUP with a maximum allowance of 36 seats in the 101 West Main "espresso bar space"
(currently the use includes 4 stools, 24 chairs and 1 bench which seats 3 = 31 seats
currently provided). Later that same year, an additional CUP was granted for the
adjoining space, 91 West Main "cafe & coffee roaster space" with an allowance believed
to be a maximum of 16 seats, (currently 12 chairs and one bench which seats 3 = 15 seats
currently provided). In 1996, a third CUP was approved allow a Creperie to be operated
in the 109 West Main adjoining space with no allowance seating. Similarly, the current
application requests no new seating.
Cont.
E*-' a i &rr q
I
The secondary justification for some elements of this request is community benefit
driven. Los Gatos Coffee Roasting has a long history of giving back to the community
through in-kind contributions to good causes. In addition, we allow the use of our space
after hours for Los Gatos Art Association board meetings, a co-op figure drawing group
on Monday evenings, and other activities benefiting local non-profit community groups
including the Under 21 Club, a program established by a local youth group.
The request includes expanding the hours of operation to allow for special events
featuring live music. In particular, we wish to accommodate the Under 21 Club
functions, coffeehouse style music and poetry readings and the Coffee Company's annual
holiday and anniversary parties. In the recent past, the Under 21 Club has held several
pilot-program events, exclusively intended for teens, which proved to be popular and
very successful. The gatherings where coordinated by local high school students with
adult supervision and guidance. The events were held after business hours, from 7:00
p.m. to 10:00 p.m. on Friday evenings, and included live music and open-microphone
amateur entertainment performed by and for the teens. These events provided a unique
venue for teens to gather for wholesome activities in the downtown. Currently, this
program is on hold due to our CUP restrictions. The modified CUP application requests
expanded hours and a permit for live music to allow the Under 21 Club to hold their
special events. (Requesting a maximum 12 "Under 21" events annually) Please note
that the area designated for of-site sale of wine and the wine tasting counter located in
the 109 W. Main space would be secured under lock & key and strictly off-limits after
hours during any youth activities held in the adjoining rooms.
For the past 24-years the Coffee Company has held an annual holiday open house
and anniversary party which includes live music. In addition, the Coffee Roasting
Company has a long history of featuring live music in the classic coffeehouse tradition.
These events are currently in conflict with the existing CUP. These events are intended to
be community-spirited, no cover charge, primarily and for the purpose of customer
enjoyment, while also supporting local musicians. (Requesting 2 Open House events
annually and 10 live music/poetry events annually - total 12 annually.)
In summary, I submit that this application meets the Town's criteria in the
following ways:
a.) Use is desirable to public convenience and welfare
b.) Use will not impart he integrity or character of the zone
c.) Use will not be detrimental to public health or safety
d.) Use preserves the mix of land use with out over concentration.
e.) Use is in harmony this various elements and objectives of the General Plan
I respectfully request the granting of all of the elements included in this CUP
modification requests to preserve this unique locally owned business, and allowing the
business to continue providing multiple benefits the community.
SincereI ,
eri Hope, `roprietor
Los Gatos Coffee Roasting Company
CUP Modification Application - Revised April 21, 2006
Re: Los Gatos Coffee Roasting Company
101 W. Main - CUP: U-85-8A (7/23/86 - w/seating max. 36)
91 W. Main - CUP: (1986 - w/seating believed to be max. 16)
109 W. Main - CUP: PRJ-96-134 (1996 - Creperie w/o seating)
Note: This application does not request any seating in the 109 W. Main space or any
additional seating in the adjoining spaces. Applicant will rely on the existing 52 seats
available in the adjoining spaces.
Description of Proposed Project:
1. Standardize the CUPs for the three common-wall spaces housing
Los Gatos Coffee Roasting Company:
• 91 West Main, 101 West Main, and 109 West Main Street
2. Standardize maximum operating hours for three adjoining spaces
• Seven days a week maximum operating hours - 6:00 AMto 10:00 PM
3. Allow coffeehouse special event functions as listed below:
• Annual Coffee Company's Anniversary party & Holiday Open House event
Includes live acoustic music. Events from 6:30 PMto 9:30 PM. Max 2 annually
• Poetry & live acoustic music - Low volume amplification - maximum 10 annually.
Hours of music and poetry reading 6:30 PM to 9:30 PM
• Los Gatos Art Association Board Meetings: The LGAA board of directors meet
in the cafe space, after business hours, from 7:00 PM to 9:00 PM. and
complementary coffee is provided The board generally meets once a month
except in December when they take a recess.
• Co-op figure drawing group - A private non-profit co-op group of up to a
maximum of 10 semi-professional and professional artists, meeting Monday
nights, after business hours, from 7.30 PMto 9:30 PM Professional model hired
from the Bay Area Models Guild posing nude and/or simi-nude. Windows &
doors are fully draped with canvas screening for privacy & doors are locked
during sessions for security. Group has been meeting for more than six years.
Under 21 Club functions with live acoustic music and open mic, meeting once a
month from 7:00 PM to 10 PM, music and open mic to finish by 9:30 PM.
Event has constant adult supervision. Store will be closed to the public during the
U21 club functions. Maximum 12 annually.
Note: The gourmet grocery space 109, which plans to display and store bottled
wines, will be strictly off limits during U21 events and will be segregated by
means of a locking security gate and electronic security system.
S
Cont.
x~ i
4. Allow retail gourmet grocery & delicatessen products to be added
existing specialty coffee section space in 109 W. Main space
• Emphasis will continue to be placed on retail sales of specialty coffees, bulk ti
& related retail merchandise including coffee cups, grinders & brewing items
• Retail sales of Artisan cheeses, proscuitto, salamis & pates
• Retail sales of California & imported olive oils, Balsamic & assorted vinegar's
• Retail sales of mustards, chutneys & relishes, olives, tapenades & spreads
• Retail sales of seasonal white & black truffles, herbs, spices and gourmet salts
• Retail sales of cheese & charcuterie platters for on-site & take out service.
5. Allow Type 41 license for onsite service at 109 W. Main space
• Allowing for off-site retail sales of regional wines by the bottle
• Allow on-site wine tasting area for I oz. measured pour sampling
• Allow 100 sq. ft area designated as wine display and sampling counter
• Allow on-site service of wines by the glass served with meals.
Wines service with meals. "Meal" as defined per Town ordinance to be a
combination of food intended for a lunch meal or dinner meal ordered from a
menu. Selections to include items currently offered - i. e. Grilled Pinninis,
Croque Monsieur or Empanada served with condiments, hot soup and/or salad
Note: Snacks or anmtizers do not qualify as meals and will not be substituted as meals.
• No Beer sales - although the ABC Type 41 beer and wine license is required, only
wine will be displayed, sold, sampled or served
NOTE. It is not the intention, on the part of the applicant, to establish
a "bar" or a "wine bar" operation. The business model is best
compared to an "Oakville Grocery" or "AG Ferrari" style operation
that includes a small wine-sampling counter. The wine sampling
activity is expressly intended to drive retail sales of wine products for
home consumption.
Submitted by: Teri Hope, Owner-operator
Los Gatos Coffee Roasting Company
April 21, 2006
Co-
June 1, 2006
Attn: Town of Los Gatos Mayor'and Council Members
Town of Los Gatos Planning Commissioners
Re: Conditional Use Modification APN 529-01-025
This letter is intended as additional clarification to questions posed at the
Planning Commission hearing held on April 26th, relating to the service of
wine under the CUP modification we have requested.
1.) There will be only one point-of-sale for the purchase of wine which will
be located in space "A" at the delicatessen counter adjacent to the tasting
counter and retail wine bottle display to insure that the management
and/or qualified staff person can monitor ID's and overall wine sales.
2.) A sign will be posted at the point-of-sale, clearly explaining that each
customer who purchases wine for consumption on premises may only do
so when it is accompanied by a meal. A qualified meal menu list will be
provided at all times and will be a prerequisite with the service of wine.
3.) Customers will not be allowed to purchase wine at the espresso bar or at
the coffee counter in space "B" or space "C".
4.) Customers will not be allowed to take wine for on site consumption out
side of the building.
5.) Customers consuming wine with meals will use the seating provided
inside space "B" and "C".
6.) If a customer is still enjoying their meal and would like to purchase an
additional glass of wine, or bottle of wine, a qualified staff person will be
required to make a judgement call to determine if the sale will make the
customer intoxicated. If the staff person is unsure, the decision will be
referred to the manager on duty.
7.) A LEAD certified employee shall be on duty during hours of operation.
Staff working in the wine service department, will be required, as part of
their training, to attend the ABC LEAD (Licensee Education on Alcohol
& Drugs) class given by the ABC. The class teaches attendees the law
EXN~~iT 6
and limitations of the ABC License, and how to properly ID individuals,
the consequences for not following the law and how to determine if a
customer is intoxicated. A question and answer test is provided to
receive LEAD certification.
8.) We understand that it is the responsibility of the licensee to determine
whether a customer is obviously intoxicated; i.e., signs such as
staggering, slurred speech, dilated pupils, and/or poor muscular
coordination would be indicators, as per section 25602 of the ABC code.
9.) We understand that it is our responsibility to be sure we are not selling to
intoxicated customers. We understand it is a misdemeanor, with a
minimum of a $1,000 fine, and that we may be held liable for any harm
or damage caused to or by the intoxicated customer if we sell to them.
10.) We will use higher standards than set for by the ABC, but will use
ABC standards as a baseline for evaluation customers intoxication. If
any of our customers are deemed to be intoxicated, we will first
determine if they have a designated driver, if not, we will call a taxi to
insure they have a safe ride home. Taxi and safe ride numbers will also
be posted. Should the customer refuse, we will report any intoxicated
customer refusing this service to the local authorities.
Respectfully submitted by Teri Hope & Faun Skyles
~ y ~ ~ k