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165 Los Gatos-Saratoga Rd Conditional Use Permitw" °< MEETING DATE: 4/07/14 i cos COUNCIL AGENDA REPORT ITEM NO: rl DATE: MARCH 26, 2014 TO: MAYOR AND TOWN COUNCIL FROM: GREG LARSON, TOWN MANAGER SUBJECT: CONDITIONAL USE PERMIT APPLICATION U -13 -025 PROJECT LOCATION: 165 LOS GATOS SARATOGA ROAD. PROPERTY OWNER: NICHOLAS AND SUEANNE GERA. APPLICANT: ALEXANDER HULT. CONSIDER A REQUEST TO MODIFY AN EXISTING CONDITIONAL USE PERMIT FOR A HIGH TURN OVER RESTAURANT (HULT'S) WITH BEER AND WINE SERVICE TO A QUALITY RESTAURANT WITH FULL LIQUOR SERVICE AND TO MODIFY THEIR HOURS OF OPERATION ON PROPERTY ZONED C -2. APN 529 -04 -083. PLANNING COMMISSION RECOMMENDATION: The Planning Commission recommended that the Town Council: 1. Make the required findings (Attachment 1) and approve Conditional Use Permit U -13 -025 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 for a high turnover sit down restaurant with beer and wine service to a quality restaurant with full liquor service and to modify their hours of operation on property zoned C -2 (Attachment 2) (motion required). ALTERNATIVES: Instead of the aforementioned action, 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 Deny the application (Attachment 3) (motion required). PREPARED BY: SANDY L. BAILY -5Lb Director of Community Development Reviewed by: Assistant Town Manager Town Attorney Finance N: \DEV \TC REPORTS\2014 \165 LGSRd x Refonnatted: 5/30/02 PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: 165 LOS GATOS SARATOGA ROAD/U -13 -025 March 26, 2014 BACKGROUND: The subject site is located at the southwest corner of University Avenue and Los Gatos Saratoga Road. The previous tenant of the space was Hobee's restaurant who occupied the space from 2008 -2012. The current Conditional Use Permit (CUP) was issued to Baker's Square in 1999 when they requested beer and wine service. The applicant occupied the space in 2013, and has been operating a fine dining restaurant (Hult's) specializing in local quality ingredients. The applicant is requesting to modify their existing CUP from a high turnover sit -down restaurant with beer and wine to a quality (fine dining) restaurant with full liquor service, and to modify their hours of operation. When reviewing a Conditional Use Permit (CUP), the deciding and recommending bodies should consider the information in the applicant's business plan; however, the key consideration should be the explicit proposed use since the business plan can change from owner to owner. The explicit use may be, and is often, defined in the recommended conditions of approval as a "use" condition. The CUP runs with the land, and the deciding and recommending bodies should review applications based on the explicit use as opposed to the applicant or the applicant's business plan. DISCUSSION: A. Project Summary The applicant is requesting to modify their existing CUP. The proposed changes include converting a high turnover sit down restaurant with beer and wine to a quality restaurant with full liquor service. In addition, as a quality restaurant the applicant is proposing to reduce the currently permitted operating hours of 6:00 a.m. to 11:00 p.m., Sunday through Thursday; and 6:00 a.m. to midnight on Friday and Saturday, to 9:00 a.m. to 11:00 p.m., Sunday through Thursday; and 9:00 a.m. to midnight on Friday and Saturday. B. Planning Commission On February 26, 2014, the Planning Commission considered the subject application. See Attachment 5 for the Commission's full discussion. The Planning Commission recommended approval of the CUP subject to that draft conditions. No concerns were discussed by the Planning Commission. PUBLIC COMMENTS: The Town has not received any public comments regarding the application. PAGE MAYOR AND TOWN COUNCIL SUBJECT: 165 LOS GATOS SARATOGA ROAD /U -13 -025 March 26, 2014 CONCLUSION: The applicant is the current business owner who has worked to establish a high quality restaurant experience. The Police Department has not received any complaints regarding the existing restaurant or operator. The applicant believes that being able to offer his customers a cocktail with their meal is a necessary complement to his existing restaurant and, as conditioned, the project would meet the Alcoholic Beverage Policy (ABP). The ABP gives the hearing body discretion to approve alcoholic beverage service when the proposal would not negatively affect residential neighbors, alcohol related incidents would not occur, and when the application would provide a positive impact to the commercial area. The Planning Commission determined that this application meets the aforementioned parameters and recommended approval of the application subject to the draft conditions. Staff did not include a condition for compliance with any revisions of the ABP in that the proposed use falls within the language and restrictions of the current ABP. The usage of the standard condition below has been primarily limited to uses that are not currently defined within the ABP and therefore do not fully comply with the existing ABP. However, if the Council deems it appropriate, the following condition could be included in any motion for approval of this application: 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. ENVIRONMENTAL ASSESSMENT: The project is Categorically Exempt pursuant to Section 15061 of CEQA as adopted by the Town, which exempts permitting an activity where it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment. 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 Denying the Conditional Use Permit 4. Recommended Conditions of Approval 5. Excerpt of the Planning Commission verbatim meeting minutes of February 26, 2014 6. Report to the Planning Commission for the meeting of February 26, 2014 PAGE 4 MAYOR AND TOWN COUNCIL SUBJECT: 165 LOS GATOS SARATOGA ROAD/U -13 -025 March 26, 2014 Distribution: cc: Alexander Hult, 515 Blossom Hill Road, #38, Los Gatos CA 95032 Nicholas and Sueanne Gera, 19565 Glen Una Drive, Saratoga, CA 95070 SLB:MM:cgt REQUIRED FINDINGS FOR: 165 Los Gatos Saratoga Road Conditional Use Permit Application U -13 -025 Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult s) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. PROPERTY OWNER: Sueanne and Nicholas Gera APPLICANT: Alexander Hult FINDINGS Required finding for CEQA: ■ The project is Categorically Exempt pursuant to Section 15061 of CEQA as adopted by the Town, which exempts permitting an activity where it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment. No significant effect on the environment will occur since the project uses an existing structure with no increase in floor area. Required findings for a Conditional Use Permit: ■ As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit: (1) The proposed use is desirable to the public convenience and welfare in that it continues to provide a high quality restaurant focusing on fresh, local, and sustainable foods and the reduced hours will remove the a.m. peak hour trips associated with the site; and (2) The proposed use will not impair the integrity of the zone, in that the proposed use is appropriate for the C -2 zone; and (3) The proposed use will not be detrimental to public health, safety or general welfare, as the conditions regarding operating hours, seating, and delivery restrictions on the permit will mitigate potential impacts; and (4) The proposed use is in harmony with the General Plan and Town Code. 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 general commercial uses. 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. ATTACHMENT ! Page 2 of 2 165 Los Gatos Saratoga Road/U -13 -025 April 7, 2014 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\FINDINGS\2014 \165 LGS Rd.docx RESOLUTION 2014- RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS GRANTING A REQUEST TO APPROVE CONDITIONAL USE PERMIT APPLICATION U -13 -055. APN: 529 -04 -083 CONDITIONAL USE PERMIT APPLICATION: U -13 -025 PROPERTY LOCATION: 165 LOS GATOS SARATOGA ROAD PROPERTY OWNER: NICHOLAS AND SUEANNE GERA APPLICANT: ALEXANDER HULT WHEREAS, this matter came before the Town Council for public hearing on April 7, 2014, and was regularly noticed in conformance with State and Town law. WHEREAS, the applicant seeks approval for a modification of an existing Conditional Use Permit (CUP) to convert a high turnover sit down restaurant with beer and wine to a quality (fine dining) restaurant with full liquor service, and to modify their hours of operation. WHEREAS, on February 26, 2014, the Planning Commission considered the request to modify the existing CUP. The Planning Commission recommended approval of the CUP subject to the recommended conditions. WHEREAS, the Town's Alcohol Beverage Policy requires any application for new or modification to the service of alcoholic beverages to be approved by Council. Town Council reviews CUP requests for alcohol service on a case -by -case basis to ensure that the request is appropriate for the specific use and its location. WHEREAS, the Town's Alcoholic Beverage Policy gives the hearing body discretion to approve alcoholic beverage service beyond 10 PM on a case -by -case basis when the proposal will not negatively impact residential neighborhoods, there is not a history of alcohol related incidents or complaints, and when the application will provide a clear benefit to the community. ATTACHMENT 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, 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. These findings are based on the evidence presented in the April 7, 2014, Council Agenda Report, regarding this application. B. The project is categorically exempt from environmental review pursuant to Section 15061 of the State Environmental Guidelines as adopted by the Town. NOW, THEREFORE, BE IT RESOLVED THAT: 1. CUP application U -13 -025 to modify an existing CUP for a high turnover sit down restaurant with beer and wine to a quality restaurant with full liquor service and to modify their hours of operation on property zoned C -2 is Approved. 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 7th day of April, 2014, 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 N: \DEV \RESOS\2014\Approve_165 LGSR.docx This Page Intentionally Left Blank TOWN COUNCIL —April 7, 2014 CONDITIONS OF APPROVAL FOR: 165 Los Gatos Saratoga Road Conditional Use Permit Application U -13 -025 Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult's) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. PROPERTY OWNER: Sueanne and Nicholas Gera APPLICANT: Alexander Hult TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. EXPIRATION: Zoning approval will expire two years from the approval date pursuant to Section 29.20.320 of the Town Code, unless the approval has been vested. 2. RESTAURANT USE: A high quality restaurant. 3. HOURS: Maximum hours of operation shall be 9:00 a.m. to 11:00 p.m. Sunday through Thursday; and 9:00 a.m. to 12:00 a.m., Friday and Saturday. 4. SEATS: The maximum number of seats shall not exceed 114. 5. ALCOHOL SERVICE: Full liquor service is permitted with meal service only. 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. 6. DELIVERIES: Deliveries shall be limited to 7:00 a.m. 12:00 p.m. 7. LIVE ENTERTAINMENT: Live entertainment is not permitted without a valid entertainment permit. 8. TRASH: All areas directly surrounding the restaurant shall be kept clear of trash. All trash shall be kept in the dumpsters located in the southwest corner of the parking lot. 9. RECYLCED CONAINERS: Any take -out food shall be served in containers made of recycled materials, 10. REUSABLE CONAINERS: All meals served on -site shall be on re- usable utensils. TO THE SATISFACTION OF THE CHIEF OF POLICE: 11. GENERAL: The restaurant is 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. EXHIBIT A ®f'Attachment 2 C. All establishments shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. d. All licensed operators 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. N:\DEV \CONDnNS\2014 \165 LGS Rd.doc RESOLUTION 2014- RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DENYING A REQUEST TO APPROVE CONDITIONAL USE PERMIT APPLICATION U -13 -025. APN: 529 -04 -083 CONDITIONAL USE PERMIT APPLICATION: U -13 -025 PROPERTY LOCATION: 165 LOS GATOS SARATOGA ROAD PROPERTY OWNER: NICHOLAS AND SUEANNE GERA APPLICANT: ALEXANDER HULT WHEREAS, this matter came before the Town Council for public hearing on April 7, 2014, and was regularly noticed in conformance with State and Town law. WHEREAS, the applicant seeks approval for a modification of an existing Conditional Use Permit (CUP) to convert a high turnover sit down restaurant with beer and wine to a quality (fine dining) restaurant with full liquor service, and to modify their hours of operation. WHEREAS, on February 26, 2014, the Planning Commission considered the request to modify the existing CUP. The Planning Commission recommended approval of the CUP subject to the recommended conditions. WHEREAS, the Town's Alcohol Beverage Policy requires any application for new or modification to the service of alcoholic beverages to be approved by Council. Town Council reviews CUP requests for alcohol service on a case -by -case basis to ensure that the request is appropriate for the specific use and its location. WHEREAS, the Town's Alcoholic Beverage Policy gives the hearing body discretion to approve alcoholic beverage service beyond 10 PM on a case -by -case basis when the proposal will not negatively impact residential neighborhoods, there is not a history of alcohol related incidents or complaints, and when the application will provide a clear benefit to the community. ATTACHMENT 3 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, 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 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. These findings are based on the evidence presented in the April 7, 2014, Council Agenda Report, regarding this application. NOW, THEREFORE, BE IT RESOLVED THAT: 1. CUP application U -13 -025 to modify an existing CUP for a high turnover sit down restaurant with beer and wine to a quality restaurant with full liquor service and to modify their hours of operation on property zoned C -2 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 7th day of April 2014, 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 \RESOS\2014 \Deny_165 LGSRAo x This Page Intentionally Left Blank TOWN COUNCIL —April 7, 2014 CONDITIONS OF APPROVAL FOR: 165 Los Gatos Saratoga Road Conditional Use Permit Application U -13 -025 Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult's) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. PROPERTY OWNER: Sueanne and Nicholas Gera APPLICANT: Alexander Hult TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. EXPIRATION: Zoning approval will expire two years from the approval date pursuant to Section 29.20.320 of the Town Code, unless the approval has been vested. 2. RESTAURANT USE: A high quality restaurant. 3. HOURS: Maximum hours of operation shall be 9:00 a.m. to 11:00 p.m. Sunday through Thursday; and 9:00 a.m. to 12:00 a.m., Friday and Saturday. 4. SEATS: The maximum number of seats shall not exceed 114. 5. ALCOHOL SERVICE: Full liquor service is permitted with meal service only. 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. 6. DELIVERIES: Deliveries shall be limited to 7:00 a.m. 12:00 p.m. 7. LIVE ENTERTAINMENT: Live entertainment is not permitted without a valid entertainment permit. 8. TRASH: All areas directly surrounding the restaurant shall be kept clear of trash. All trash shall be kept in the dumpsters located in the southwest corner of the parking lot. 9. RECYLCED CONAINERS: Any take -out food shall be served in containers made of recycled materials, 10. REUSABLE CONAINERS: All meals served on -site shall be on re- usable utensils. TO THE SATISFACTION OF THE CHIEF OF POLICE: 11. GENERAL: The restaurant is 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. ATTACHMENT 4 C. All establishments shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. d. All licensed operators 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. 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Moseley, Associate Planner mmoseley@los atsg osca.Rov APPLICATION NO: Conditional Use Permit U -13 -025 ITEM NO: 4 LOCATION: 165 Los Gatos Saratoga Road (Located at the southwest corner of University Avenue and Los Gatos Saratoga Road) APPLICANT: Alexander Hult PROPERTY OWNER: Nicholas and Sueanne Gera CONTACT PERSON: Alexander Hult APPLICATION SUMMARY: Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult's) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. DEEMED COMPLETE: January 31, 2014 FINAL DATE TO TAKE ACTION: July 31, 2014 RECOMMENDATION: Forward recommendation of approval to the Town Council PROJECT DATA: General Plan Designation: Central Business District Zoning Designation: C -2, Central Business District Applicable Plans & Standards: Town Alcohol Policy Parcel Size: 15,570 Sq. Ft. Surrounding Area: Existing Land General Plan Zoning Use North Commercial ! Neighborhood Commercial _ ! C -1 East Commercial Central Business District C -2 South Residential 'Medium Density Residential j R- 1_D_LHP West 1 Town Parking Lot 1 Central Business District ! C -2 CEQA: Categorically Exempt pursuant to Section 15061 of the State Environmental Guidelines as adopted by the Town. ATTACHMENT 6 Planning Commission Staff Report - Page 2 165 Los Gatos Saratoga Road/ U -13 -025 February 26, 2014 FINDINGS: ■ As required by Section 15061 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. • The project is consistent with the Redevelopment Plan for the Central Los Gatos Redevelopment Project area. • As required by the Town Alcohol Policy. ACTION: Recommendation to the Town Council EXHIBITS: 1. Location Map 2. Required Findings (two pages). 3. Proposed Conditions of Approval (two pages) 4. Existing Conditions of Approval (two pages) 5. Letter of Justification (one page), received January 24, 2014 6. Development plans (one page) received February 10, 2014 BACKGROUND: The subject site is located at the southwest corner of University Avenue and Los Gatos Saratoga Road. The previous tenant of the space was Hobbee's restaurant who occupied the space from 2008 -2012. The current Conditional Use Permit (CUP) was issued to Baker's Square in 1999 when they requested beer and wine service. The applicant occupied the space in 2013, and has been operating a fine dining restaurant (Hult's) specializing in local quality ingredients. The applicant is requesting to modify their existing CUP from a high turnover sit down restaurant with beer and wine to a quality (fine dining) restaurant with full liquor service, and to modify their hours of operation. PROJECT DESCRIPTION: A. Conditional Use Permit The applicant is requesting to modify their existing CUP. The proposed changes include converting a high turnover sit down restaurant with beer and wine to a quality restaurant with full liquor service. In addition, as a quality restaurant the applicant is proposing to reduce the currently permitted operating hours of 6:00 a.m. until 11:00 p.m., Sunday through Thursday; and 6:00 a.m. until midnight on Friday and Saturday, to 9:00 a.m. to 11:00 p.m., Sunday through Thursday; and 9:00 a.m. to midnight on Friday and Saturday. B. Location and Surrounding Neighborhood The subject site is located at the southwest corner of University Avenue and Los Gatos Saratoga Road. The property abuts commercial properties to the north and east, a single family residence to the south and a Town parking lot to the west. Planning Commission Staff Report - Page 3 165 Los Gatos Saratoga Road/ U -13 -025 February 26, 2014 C. Zoning Compliance The designated zoning for the property is C -2 Central Business District. The C -2 zone allows restaurant uses with alcohol service subject to the approval of a CUP. ANALYSIS: A. Alcohol Policv The Town's Alcoholic Beverage Policy requires any new or changes to existing service of alcoholic beverages to be approved by the Town Council. The request is consistent with the Alcoholic Beverage Policy. The applicant is proposing hours of operation from 10:00 a.m. until 11:00 p.m., Monday through Thursday; and 10:00 a.m. until midnight Friday and Saturday. The Alcohol Policy restricts the hours of operation to 11:00 p.m. Sunday through Thursday, and 1:00 a.m. Friday and Saturday. It also requires an additional finding that the applicant has demonstrated a clear benefit to the community to approve alcohol service beyond 10:00 p.m. The existing restaurant is currently permitted to operate from 6:00 a.m. until 11:00 p.m., Sunday through Thursday; and 6:00 a.m. until 12:00 midnight on Friday and Saturday. The deciding body must review the application and determine if the proposal continues to provide a benefit to the community. The Police Department has reviewed the application, and has no comments or concerns. B. Traffic The application would convert the allowance for a high turn-over sit down restaurant to a quality restaurant. In addition, the applicant is proposing to remove the a.m. peak hours from their potential hours of operation. As a result, the change of use will actually decrease the Average Daily Trips (ADT) as well as the a.m. peak hour trips for the building. C. Parking The applicant is not proposing to modify the existing searing allowance of 114 seats. The property has 23 spaces in the parking district and 13 spaces onsite for a total of 36 parking spaces. The existing and proposed use requires 29 parking spaces. D. General Plan The goals and policies of the 2020 General Plan applicable to this project includes but is not limited to: Planning Commission Staff Report - Page 4 165 Los Gatos Saratoga Road/ U -13 -025 February 26, 2014 Policy LU -9.2 — Maintain a variety of commercial uses, including a strong Downtown commercial area combined with Los Gatos Boulevard and strong neighborhood commercial centers to meet the shopping needs of residents and to preserve the small - town atmosphere. 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 vitality. E. Environmental Review The project is Categorically Exempt according to Section 15061 of CEQA as adopted by the Town, which exempts permitting an activity where it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment. No significant effect on the environment will occur since the project uses an existing structure with no increase in floor area. F. 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. G. CUP Findings In order to grant approval of a Conditional Use Permit, the hearing body must make the following findings: (1) The proposed use of the property is essential or desirable to the public convenience or welfare; and (2) The proposed use will not impair the integrity and character of the zone; and (3) The proposed use would not be detrimental to public health, safety or general welfare; and (4) The proposed use of the property is in harmony with the various elements or objectives of the General Plan and the purposes of the Town Code. The proposed use is desirable to the public convenience and welfare in that it will continue to provide a quality restaurant focusing on fresh, local, and sustainable foods, and the reduced hours will remove a.m. peak hour trips associated with the site. The proposed use will not impair the integrity and character of the zone in that the proposed use maintains an existing restaurant use. The proposed use will not impact public health, safety or general welfare as the conditions regarding operating hours, seating, and delivery restrictions will Planning Commission Staff Report - Page 5 165 Los Gatos Saratoga Road/ U -13 -025 February 26, 2014 mitigate potential impacts. The use complies with the objectives of the General Plan and Town Code as discussed within this report. H. Public Comments At this time, the Town has not received any public comment. CONCLUSION AND RECOMMENDATION: Cod Conclusion The applicant is the current business owner who has worked to establish a high quality restaurant experience. The Police Department has not received any complaints or issues regarding the existing restaurant or operator. The applicant believes that being able to offer his clients a cocktail with their meal is a necessary complement to his existing restaurant and, as conditioned, the project would meet the Alcoholic Beverage Policy. Recommendation If the Planning Commission finds merit with the proposal, it should: 1. Find that the proposed project is categorically exempt, pursuant to Section 15061 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 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 (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 of Conditional Use Permit application U -13 -025 to the Town Council with the conditions contained in Exhibit 3. Alternatively, if the Commission has concerns with the application, it can recommend denial of the application or recommend approval of the application to the Town Council with additional and/or modified conditions of approval. Prepared by: ? 19 Mami F. Moseley, AICP Associate Planner proved by: ,Sandy L. Baily Director of Community Development Planning Commission Staff Report - Page 6 165 Los Gatos Saratoga Road/ U -13 -025 February 26, 2014 SLB:MM:cgt cc: Alexander Hult, 515 Blossom Hill Rd. #38, Los Gatos CA 95032 Nicholas and Sueanne Gera, 19565 Glen Una Drive, Saratoga, CA 95070 N: \DEV\PC REPORTS\2014 \165 LGS Rd.dm Los Gatos I i i WMAMN �e EXHIBIT 3 WA#4achment 6, This Page Intentionally Left Blank REQUIRED FINDINGS FOR: 165 Los Gatos Saratoga Road Conditional Use Permit Application U -13 -025 Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult's) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. PROPERTY OWNER: Sueanne and Nicholas Gera APPLICANT: Alexander Hult WWWWWOR Required finding for CEQA: ■ The project is Categorically Exempt pursuant to Section 15061 of CEQA as adopted by the Town, which exempts permitting an activity where it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment. No significant effect on the environment will occur since the project uses an existing structure with no increase in floor area. Required findings for a Conditional Use Permit: ■ As required by Section 29.20.190 of the Town Code for granting a Conditional Use Permit: (1) The proposed use is desirable to the public convenience and welfare welfare in that it continues to provide a high quality restaurant focusing on fresh, local, and sustainable foods; and (2) The proposed use will not impair the integrity of the zone, in that the proposed use is appropriate for the C -2 zone; and (3) The proposed use will not be detrimental to public health, safety or general welfare, as the conditions regarding operating hours, seating, and delivery restrictions on the permit will mitigate potential impacts; and (4) The proposed use is in harmony with the General Plan and Town Code. 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 general commercial uses. 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. EXHIBIT 2 ATTACHMENT 6 Page 2 of 2 165 Los Gatos Saratoga Road/U -13 -025 February 26, 2014 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 \FINDINGS\2014 \165 LGS Rd.docx PLANNING COMMISSION — February 26, 2014 CONDITIONS OF APPROVAL FOR: 165 Los Gatos Saratoga Road Conditional Use Permit Application U -13 -025 Requesting approval to modify an existing Conditional Use Permit for a restaurant (Hult's) with beer and wine service to full liquor service on property zoned C -2. APN 529 -04 -083. PROPERTY OWNER: Sueanne and Nicholas Gera APPLICANT: Alexander Hult TO THE SATISFACTION OF THE DIRECTOR OF COMMUNITY DEVELOPMENT: Planning Division 1. EXPIRATION: Zoning approval will expire two years from the approval date pursuant to Section 29.20.320 of the Town Code, unless the approval has been vested. 2. RESTAURANT USE: A high quality restaurant. 3. HOURS: Maximum hours of operation shall be 9:00 a.m. to 11:00 p.m. Sunday through Thursday; and 9:00 a.m. to 12:00 a.m., Friday and Saturday. 4. SEATS: The maximum number of seats shall not exceed 114. 5. ALCOHOL SERVICE: Full liquor service is permitted with meal service only. 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. 6. DELIVERIES: Deliveries shall be limited to 7:00 a.m. 12:00 p.m. 7. LIVE ENTERTAINMENT: Live entertainment is not permitted without a valid entertainment permit. 8. TRASH: All areas directly surrounding the restaurant shall be kept clear of trash. All trash shall be kept in the dumpsters located in the southwest comer of the parking lot. 9. RECYLCED CONAINERS: Any take -out food shall be served in containers made of recycled materials, 10. REUSABLE CONAINERS: All meals served on -site shall be on re- usable utensils. TO THE SATISFACTION OF THE CHIEF OF POLICE: 11. GENERAL: The restaurant is 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. EXHHIBIT 3 ATTACHMENT 6 C. All establishments shall use an employee training manual that addresses alcoholic beverage service consistent with the standards of the California Restaurant Association. d. All licensed operators 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. N: \DEV \CONDITNS\2014 \165 LGS Rd.doc PLANNING COMMISSION - SEPTEMBER 22 4999 S CONDITIONS OF APPROVAL FOR: 165 Los Gatos -Saratoga Road Conditional Use Permit U -99-5 Requesting approval to modify an existing conditional use permit to permit the sale of alcohol with meals (Bakers Square) on property zoned C -2. PROPERTY OWNERIAPPLICANT: David W. Delano TO THE SATISFACTION OF THE PLANNING DIRECTOR: (Planning Section) 1. EXPIRATION: This approval will expire two years from the approval date (September 22, 2001), pursuant to Section 29.20.320 of (he Town'Code. 2. ALCOHOLIC BEVERAGES: Only beer and wine are allowed to be served with meals only. 3. SEATING: The total restaurant seating shall not exceed 1'14 seats. 4. RESTAURANT: The restaurant use shall be considered high- tumover sit down. 5. HOURS: The hours of operation shall tie limited to Sunday through Thursday, 6:00 a.m. to 11:00 p.m.; and Friday and Saturday, 6:00 a.m. to Midnight. 6. TRASH: All areas directly surrounding the restaurant shall be,kept clear of trash. All trash shall be kept in the dumpster.located in the southwest comer of the parking lot: 7. RECYCLED.CONTAINERS: Any take -out food shall be served in Containers made of recycled materials. 8, REUSABLE CONTAINERS: All meals served on -site shall be on re- usable utensils. 9. TALLOW BARRELS: All tallow barrels shall be kept clean and covered at all times. 10. RESTAURANT EQUIPMENT; No restaurant equipment shall be washed outside of the restaurant. TO THE SATISFACTION OF THE DIRECTOR OF PARKS AND PUBLIC WORKS: (Public Works Section) 11. GENERAL: All public improvements shall be made according to the latest adopted Town Standard Drawings and the Standard Specifications for Public Works Construction. All work shall conform to the applicable Town ordinances. Adjacent public right -of -way shall be kept clear of all job related dirt and debris at the end of the day. Dirt and debris shall not be washed into storm sewers. The storing of goods and materials on the sidewalk and /or street will not be allowed unless a special permit is issued. The developer's representative in charge shall be at the job site during all working hours. Failure to maintain the public right -of -way according to this condition may result in the Town performing the required maintenancg at the developers expense. 12. ENCROACHMENT PERMIT: All work in the public right -of -way will require a Construction Encroachment Permit. All work over $5,000 will require construction security. 13. PUBLIC WORKS INSPECTIONS: The developer or his representative shall notify the Engineering Construction Inspector at least twenty -four (24) hours before starting any work pertaining to on -site drainage facilities, grading, or paving: and all work in the Town's right -of -way. Failure to do so will result in rejection of work that went on without inspection. 14. RESTORATION OF PUBLIC IMPROVEMENTS: The developer shall repair or replace all existing improvements not designated for removal that are damaged or removed because of developer's operations. Improvement such as, but not limited to, curbs, gutters, sidewalks, driveways, signs, pavements, raised pavement markers, thermoplastic pavement markers, or signs shall be repaired and replaced to a condition equal to or better than the original condition. Existing Page 1 of 2 RXWBIT 4 ATTACHMENT 6 4 improvements to be repaired or replaced shall be at the direction of the Engineering Construction Inspector, and shall comply with all Title 24 Disabled Access provisions. Developer shall request a walk-through-with the Engineering Construction Inspector before the start of construction to verify existing conditions. 15. DRIVEWAY APPROACHES: The developer shall install one (1) Town standard commercial driveway approach. The new driveway approach shall be constructed per Town Standard Detail. N: \DE\ACONDITNS \U- 99 -5.AP Page 2 of 2 Letter of justification, To whom it may concern, from management of Hult's restaurant, on the 16`h day of December 2013. Hult's restaurant management is proud to be a part of the great community of Los Gatos and we fully understand the importance of the procedure we need to go through to be able to serve an alcoholic beverage in our restaurant. Our goal is to climb to the top of list, on the bay area farm -to -table dining scene, and to be able to compete with the other amazing restaurants in the area we need to be able to serve a cocktail with dinner. We are not changing anything in our services, we will remain solely a dinner restaurant, all we want is to compete under the same rules as most of Los Gatos restaurants, and be able to serve a good cocktail with dinner. We already have an alcohol policy in place and our staff have to pass a written test as a part of our training procedure. We are well aware of the importance of not over - serving, to always check ID for peers under 30 and to avoid drinking and driving by offering them a taxi or assisting in finding a designated driver. We have under the two months we been open, had no complaints or problems of any kind, we are very inclined to do the right thing and to be good members of the Los Gatos society that we have grown to love. Sarah and I, fully believe that a family owned restaurant that cares about people, is exactly what Los Gatos needs and wants. From the bottom of our hearts we ask you on this day to be given a fair chance to make our dream come true, to run a successful restaurant. Regards, Sarah and Alex Hult 12/16/13 RECEIVED JAN Z -� 2014 TOWN OF LOS GATOS PLANNING DIVISION EXHIBIT 5 ATTACHMENT 6 This Page Intentionally Left Blank X. ! ®| } | \ } || �\ > k� / - CD W � }/ � \ / 0 i ® ` 0 O o 0 0 0 0 0 o � � \ -- Ma26 of Attachment 6 This Page Intentionally Left Blank