Desk ItemMEETING DATE: 4/7/14
ITEM NO: S
lI�
DESK ITEM
COUNCIL AGENDA REPORT
DATE: April 7, 2014
TO: MAYOR AND TOWN COUNCIL
FROM: GREG LARSON, TOWN MANAGER
SUBJECT: ZONING ORDINANCE AMENDMENT A -13 -04 AND TOWN CODE
AMENDMENT REGARDING LIVE ENTERTAINMENT APPLICANT•
TOWN OF LOS GATOS.
A. INTRODUCE ORDINANCE ADOPTING AMENDMENTS TO CHAPTER
29 (ZONING REGULATIONS) OF THE TOWN CODE REGARDING
ENTERTAINMENT.
B. INTRODUCE ORDINANCE TO CHAPTER 3 (AMUSEMENTS) OF THE
TOWN CODE REGARDING A PERMIT FOR LIVE ENTERTAINMENT.
C. ADOPT A RESOLUTION TO AMEND THE ALCOHOLIC BEVERAGE
POLICY.
STAFF REMARKS:
The following inquiries were received by Council after delivery of the staff report. Each of these
items is answered below in italics.
1) Provide 1990 Alcoholic Beverage Policy
The Resolution and Ordinance referenced that the original policy was adopted in 1990. The
correct year is 1994. Attached is a copy of the previous 1994 Alcoholic Beverage Policy
(Attachment 17). Also attached is a revised resolution (Attachment 21) and revised
Ordinance (Attachment 20) which corrects the year.
2) Respond to correspondence from Larry Arzie (Attachment 16) which states that earlier
applicants for alcohol /entertainment permits were made to provide actual parking spaces,
valet service or pay a fee.
PREPARED BY: SANDY L. BAILY 6��
Director of Community Development
Reviewed by: -j�jj Assistant Town Manager —f&-own Attorney Finance
NADEV \TC REPORTS\2014WBP .Entenainmentordde k.docx Reformatted: 5/30/02
PAGE
MAYOR AND TOWN COUNCIL
SUBJECT: ALCOHOL AND ENTERTAINMENT ORDINANCE/POLICY
Any business that changes its use is required to meet parking requirements. See Attachment
18 for the Town Code excerpts noted below.
• Provision of parking - There are no additional parking requirements for a business
that has entertainment in conjunction with another use. In regards to the service of
alcohol, pursuant to Town Code, restaurants that have a separate bar in the
downtown area, have a higher parking requirement than restaurants that do not have
a separate bar.
• Valet parking -There have been instances where a use could not meet their parking
on site and could not find adequate sites for requesting a CUP for alternating use of
parking. Therefore, these applicants worked with property owners of other sites to
use their parking lot when not in use, as a valet lot in order to obtain the required
parking they required. This was approved as part of the approval of their use (e.g.
Opera House).
• Paying a fee for parking spaces —Following are two scenarios where an applicant
was or may be able to pay for parking spaces.
1) Section 29.10 207(c) of the Town Code restricts improvements to
commercial buildings in the downtown area north of Highway 9 in specific
areas which are nonconforming as to parking. These properties do not have
adequate area on site to provide additional parking. In order to improve or
remodel a building which is nonconforming as to parking, Council has
established a parking in lieu fee to assist these property owners.
2) Although there is no mechanism established in the Parking Assessment
District to allow a property owner to pay into the Assessment District for
additional parking spaces, Council has approved two requests to purchase
additional parking spaces to intensify a use, and both were through the
earthquake restoration process. The basis for these approvals was that Town
Council adopted Urgency Ordinances 1800 and 1860, which included a
provision that allowed any Town Code requirement to be waived in response
to the earthquake restoration process.
3) What are the legal restrictions regarding applying a retroactive compliance or amortization
for existing CUP's?
A new regulation may compel the elimination of non - conformity over a reasonable period of
time through the establishment of an amortization period or "sunset clause" allowing the
owner the opportunity to recoup some portion of his or her investment in the Use that was
granted and that is now being terminated. However, property owners have successfully used
the "vested rights" doctrine to stop local governments from enforcing newly enacted
regulations against them. Therefore, any new regulation applied retroactively to a business
with an already existing entertainment use, which is operating legally and does not have a
condition to comply with the entertainment ordinance if adopted, could face legal challenge.
PAGE
MAYOR AND TOWN COUNCIL
SUBJECT: ALCOHOL AND ENTERTAINMENT ORDINANCE/POLICY
4) What existing uses, Town -wide permit live entertainment at this time?
The following existing CUP's permit Live Entertainment of some type.
a) 208 Bachman Avenue: CB Hannegans
b) 14595 Clearview Drive: La Rinconada Country Club
c) 29 E. Main Street: Billy's Boston Chowder House
d) 210 E. Main Street: Dio Deka (Hotel Los Gatos)
e) 15043 Los Gatos Boulevard.- Boulevard Tavern
fi 15960 -15970 Los Gatos Boulevard: Viva Primavera
g) 15 %X Santa Cruz Avenue: Los Gatos Bar and Grill
h) 19 N. Santa Cruz Avenue: Great Bear Coffee
i) 21 N. Santa Cruz Avenue: Andale
j) 316 N. Santa Cruz Avenue: Pedro's Restaurant
k) 336 N. Santa Cruz Avenue Suite A: Yokohama Restaurant
l) 102 S Santa Cruz Avenue: Number One Broadway
m) 140 S. Santa Cruz Avenue: The Tollhouse Hotel
n) 31 University Avenue: Steamer's Grillhouse
o) 50 University Avenue Suite #180: The Wine Cellar
p) 50 Los Gatos Saratoga Road: Los Gatos Lodge
5) What restaurants are currently permitted to have a separate bar? Which restaurants currently
have a service counter?
Restaurants with a separate bar:
a) 208 Bachman CB Hannegans
b) 50 Los Gatos Saratoga Road. Los Gatos Lodge
c) 115 N. Santa Cruz Avenue: Palacio
d) 130 N. Santa Crux Avenue: Los Gatos Brewing Company
e) 206 N. Santa Cruz Avenue: Forbes Mill Steakhouse
fi 316 N. Santa Cruz Avenue: Pedro's Restaurant
g) 354 N. Santa Cruz Avenue: Double D's
h) 532 N. Santa Cruz Avenue: Tommy's Bar and Grill
i) 20 S. Santa Cru Avenue: Willow Street
j) 140 S. Santa Cruz Avenue: Tollhouse Hotel and Restaurant
k) 31 University Avenue: Steamer's Grillhouse
1) 50 University Avenue Suite #180: The Wine Cellar
m) 50 University Avenue Suite #260: California Cafe Bar and Grill
n) 160 W. Main Street: Katsu
Service Counter: There is no documentation on which restaurants have separate service
counters as this has never been regulated. Staff would need to do a site inspection of each
restaurant or review recent building permit plans to make that determination.
PAGE
MAYOR AND TOWN COUNCIL
SUBJECT: ALCOHOL AND ENTERTAINMENT ORDINANCE/POLICY
6) Which current CUP's have a requirement to comply with either the new ABP or the new
Entertainment Ordinance?
ABP compliance:
a) 160 W Main Street: Katsu
b) 424 N. Santa Cruz Avenue: Donostia
c) 416 N. Santa Cruz Avenue: Enoteca La Storia
d) 217 N. Santa Cruz Avenue: Rootstock Winebar
e) 346N. Santa Cruz Avenue: Fernwood Cellars*
Entertainment Ordinance compliance:
a) 151/ N. Santa Cruz Avenue: Los Gatos Bar and Grill
b) 316 N. Santa Cruz Avenue: Pedro 's
c) 15043 Los Gatos Boulevard: Boulevard Tavern
7) Could a map be provided of the alcohol and entertainment uses throughout Town?
See Attachment 19 which also shows commercial zones where entertainment uses could be
applied for per the draft Ordinance.
8) What is the definition of intensification? Are there different ways to define intensification?
Section 29.20.200 of the Town Code includes the following definition for intensification of
use in regards to what triggers a modification to a Conditional Use Permits: "Intensification
of use. Changes of use that will result in an increase offive (5) or more peak hour trips. "
In reviewing applications, staff has also determined that an increase in parking requirements
for a change in use or additional square footage could be determined as intensification. As
the Town Code is currently written, the incorporation of entertainment in a restaurant or
alcohol establishment would be interpreted as an ancillary use and therefore, not an
intensification of use. The Town Code could be amended to require higher parking for uses
that have entertainment. As an example, parking could be based on occupancy loads, not
number of seats. Adoption of such an ordinance change would impact existing uses unless
they were grandfathered in.
9) What is the estimated cost of an entertainment permit?
Staff has not had time to analyze the cost for processing an entertainment permit. In
comparing similar applications, staff" anticipates the following application fees which would
cover both Community Development and Police Department costs.
A new Tier I Live Entertainment Permit (Planning Commission is the deciding body -no
alcohol or late night hours) approximately $4,200.
PAGE 5
MAYOR AND TOWN COUNCIL
SUBJECT: ALCOHOL AND ENTERTAINMENT ORDINANCE/POLICY
A new Tier 2 Live Entertainment Permit (Planning Commission reviews and Town Council is
the deciding body- w/ alcohol or late night hours) approximately $7,400.
10) How many entertainment permits does the Town anticipate reviewing on an annual basis?
Initially, the Town anticipates up to five applications if the proposed ordinance is adopted by
the Town Council. This is mainly due to the condition of approval requirement that some
businesses have in their existing CUP's which requires that they obtain a Live Entertainment
Permit once the Town establishes a process.
Staffanticipates that after this initial period approximately two applications may be received
for new or modified Live Entertainment Permits annually.
11) Section 3, on page 9 of Attachment 10 says DRC, should this say PC?
Section 3.70.040 of the proposed Live Entertainment Ordinance should state the "Planning
Commission " and the correction is reflected in the revised Ordinance provided as
Attachment 20.
12) What is the neighborhood notification for the entertainment permit process, where is this
spelled out?
The Planning Commission has recommended that at a minimum all Live Entertainment
Permits be reviewed by the Planning Commission for either final action approval (i.e.
without alcohol or late night hours) or for a recommendation to Town Council (i.e. with
alcohol or late night hours). Pursuant to Section 29.20.450 of the Town Code, public
hearings require the Town's standard posting, publication and 300 foot notification process.
13) Could section III of the ABP be reorganized to provide definitions such as Stand Alone Bars?
The Council could direct staff to pursue a specific definition section within the ABP, or direct
relocation of certain terms if desired.
14) How would uses such as the History Club, JCC, private schools and faith institutions that use
their facilities for events beyond religious services be impacted?
These uses are typically in residential areas and therefore would not be subject to the
entertainment permit process. In addition, these uses require a CUP which describes the
uses permitted.
ATTACHMENTS:
Received Under Separate Cover
1. September 25, 2013, Staff Report to the Planning Commission (including, Exhibits)
2. September 25, 2013, Desk Item to the Planning Commission (including Exhibits)
PAGE 6
MAYOR AND TOWN COUNCIL
SUBJECT: ALCOHOL AND ENTERTAINMENT ORDINANCE/POLICY
3. Excerpt of verbatim minutes from the Planning Commission meeting of September 25, 2013
4. October 9, 2013, Staff Report to the Planning Commission (including Exhibits)
5. October 9, 2013, Desk Item to the Planning Commission (including Exhibits — Note: There is
no Exhibit 13)
6. Excerpt of verbatim minutes from the Planning Commission meeting of October 9, 2013
7. Summary of Planning Commission questions and issues regarding Draft Alcoholic Beverage
Policy and Entertainment Ordinance
Received with Staff Report
8. Required Findings
9. Draft Zoning Ordinance, Chapter 29
10. Draft Town Code Ordinance, Chapter 3
11. Draft Resolution with Alcoholic Beverage Policy
12. Restaurant concentration map
13. Stand -alone bar concentration map
14. Alcohol concentration map
15. Matrix
Received with Addendum Report
16. Letter from Larry Arzie (one page), received April 3, 2014
Received with this Desk Item
17. 1994 Alcoholic Beverage Policy
18. Town Code excerpts
19. Town -wide alcohol and entertainment concentration map
20. Revised Draft Town Code Ordinance Chapter 3, replaces Attachment 10
21. Revised Draft ABP Resolution, replaces Attachment 11 (excluding Exhibit A)
RESOLUTION 1994 -29
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
REGULATING THE SALE OF ALCOHOLIC BEVERAGES
WHEREAS, the sale of alcoholic beverages, if not regulated, can jeopardize public
safety, result in an increase of calls for police services and compromise the quality of life
for Town residents;
WHEREAS, The Town Council wants to balance the regulation of alcoholic beverage
service and protection of residential neighborhoods with the goal of maintaining a vibrant
and successful downtown.
THEREFORE, BE IT RESOLVED: the Town Council of the Town of Los Gatos
does hereby adopt the Alcoholic Beverage Policy as shown on Exhibit A.
PASSED AND ADOPTED at a regular meeting of the Town Council held on the
22nd day of February, 1994, by the following vote:
COUNCIL MEMBERS:
AYES: Steven Blanton, Linda Lubeck, Patrick O'Laughlin,
Mayor Randy Attaway
NAYS:
Joanne Benjamin
ABSENT:
None
ABSTAIN:
None
SIGNED:
MAYOR GA THE TOWN L S GATOS
LOS OS, CALIFOR
ATTEST:
CLERIC OF THE TOWN OF LO ATOS
LOS GATOS, CALIFORNIA
mb09 \RES0\a1c0h01.po1
ATTACHMENT 17
This Page
Intentionally
Left Blank
POLICY REGULATING THE CONSUMPTION AND
SERVICE OF ALCOHOLIC BEVERAGES
Purpose
The consumption or service of alcoholic beverages, if not regulated, can jeopardize
public safety, result in an increase of calls for police services and compromise the
quality of life for Town residents. This policy provides parameters for alcoholic
beverage service, particularly addressing late night service when alcohol related
incidents are most likely to occur and when the disturbance to Town residents is
least tolerable.
The service of alcoholic beverages, with or without meals, past 10 PM is a
discretionary privilege to be determined on a case by case basis. The following
provisions are intended to balance the protection of residential neighborhoods in
close proximity to commercial districts and still maintain the viability of our
commercial centers in which restaurants have an essential role. Hours of operation
may be regulated based on an establishment's proximity to residential neighborhoods
or schools, the concentration of establishments in an area serving alcoholic beverages
or for other reasons that may be raised at the public hearing.
The deciding body may approve a conditional use permit to serve alcoholic beverages
based on the merits of the application and subject to the following requirements:
II. General Policy:
1. The Town shall continue to discourage new applications for stand alone bars
or restaurants with separate bars.
2. The Town shall continue to discourage applications for entertainment
establishments serving alcoholic beverages.
3. Entertainment in association with an eating or drinking establishment may be
allowed if standards and a permit process are adopted.
4. Alcoholic beverage service for new conditional use permit applications or
applications for modification of a conditional use permit shall not be allowed:
a. After 11 PM Sunday through Thursday, except for holidays and
evenings before holidays;
b. After 1 AM Friday, Saturday, holidays or evenings before holidays.
An existing establishment with a conditional use permit in good standing allowed
to serve alcoholic beverage past the hours stated above, may continue to operate
under their existing hours of operation.
EXHIBIT A
OfAttachment 17
4. Any establishment serving alcoholic beverages 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. 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.
5. The deciding body shall make the following findings prior to approving an
application for conditional use permit to serve alcoholic beverages past 10
PM:
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.
6. 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. Alcoholic beverage service in approved outdoor seating areas may be
permitted if adequate separation from public areas is provided as determined
by the Town Manager. The separation shall clearly suggest that alcohol is not
allowed outside the restaurant seating area.
III. specific Policy
1. Restaurants:
Alcoholic beverages may only be served with meals.
2. Restaurants With Separate Bats:
Alcoholic beverage service is permitted in the dining area only in conjunction
with meal service. Meal service shall be available until closing or 11 PM
Sunday through Thursday and until 12 midnight Friday, Saturday, holidays and
evenings before holidays, whichever is earlier, if late night bar service is
available. Specific hours of operation for each establishment are determined
upon issuance of a conditional use permit.
IV. Enforcement
All conditional use permits issued to establishments for alcoholic beverage service
on -site shall be subject to Section 29.20.310(b) of the Town Code authorizing the
Town Manager to take enforcement action if it is determined that the sale of alcohol
has become a nuisance to the Town's public health, safety or welfare. Enforcement
of Section 29.20.310(b) of the Town Code will be based on, but not limited to, the
following factors:
1. The number and types of calls for service at or near the establishment which
are a direct result of patrons actions;
2. The number of complaints received from residents and other citizens
concerning the operation of an establishment;
3. The number of arrests for alcohol, drug, disturbing the peace, fighting and
public nuisance violations associated with an establishment;
4. The number and kinds of complaints received from the state Alcoholic
Beverage Control office and the County Health Department;
5. Violation of conditions of approval related to alcohol beverage service
The Alcoholic Beverage Policy is not to be construed to be a right of developments. The
Town retains the right of review and approval (or denial) of each project based on its
merits.
mbO9:\m ... \alc.pol
This Page
Intentionally
Left Blank
EXCERPTS FROM TOWN CODE
Sec. 29.10.207. Effect of nonconforming use as to parking on commercial uses.
(c) Notwithstanding subsection (b) above or section 29.10.215 below, a commercial
use located between Los Gatos - Saratoga Road and Ashler Avenue with lot frontage on
North Santa Cruz Avenue or the northside of Los Gatos - Saratoga Road and west of State
Highway 17 that is nonconforming as to parking may improve and remodel the interior or
the exterior of an existing building that is occupied by the nonconforming commercial
use if
(1) There is no increase in the floor area of the building;
(2) There is no reduction in the number of parking spaces provided for the
use; and
(3) The parking in lieu fee established by Council resolution is paid to the
Town.
However, the payment of the in lieu fee under this subsection shall make the use
conforming as to parking only for those improvements allowed under this subsection.
Sec. 29.20.200. Conditional use modification.
A use authorized by conditional use permit shall not be modified unless a
modification to the permit is approved. The following changes in use are modifications:
(1) Intensification of use. Changes of use that will result in an increase of five
or more peak hour trips.
(2) Commencement of new activities that could have a material adverse
impact on the surrounding area.
(3) Any change that is a substantial departure from plans which were the basis
of the conditional use permit approval.
Sec. 29.20.450. Notices.
Where a hearing is required by this chapter other than a hearing concerning an
ordinance amendment, the following notice is required. At least ten (10) days before the
hearing, the Planning Director shall give notice by publication at least once in a
newspaper of general circulation, published and circulated in the Town, or if there is
none, by posting in at least three (3) public places in the Town, and through the United
States mail, with postage prepaid using addresses from the last equalized assessment roll,
or alternatively, from such other records of the Assessor or the Tax Collector as contain
more recent addresses in the opinion of the Director, to all properties lying within a three -
hundred -foot radius of the land which is the subject of the hearing.
N:\DEV\TC REPORTS \2014\ABP.Entettainmentord -desk- attlg.dmx
ATTACHMENT 18
This Page
Intentionally
Left Blank
NJ
"'IN gs
WEOGEWOODAV
Q-
;r: t =o
ti' � SOMH2 /RO
!" • 3P
k" NX
2
Q�
J
LGS"Ar-
R GA RD
e�
Ir eINST
new Entertainment uses
s Q,-
C 08OSSOMH4 RD
SW
4
•
[7
v
ALCOHOL AND ENTERTAINMENT
CONCENTRATION
Commercial Zones*
Permit Type
* Live Entertainment
Alcohol Service
E Full Liquor
C Beer and Wine
• No Alcohol Service
•
10--]
0 0.e
t
]Miles
ATTACHMENT 19
THIS PAGE
INTENTIONALLY LEFT
RI.ANK
ORDINANCE
ORDINANCE OF THE TOWN OF LOS GATOS
TO ADD A NEW ARTICLE VII TO CHAPTER 3 OF THE LOS GATOS TOWN CODE
ENTITLED "LIVE ENTERTAINMENT" TO REQUIRE A REGULATORY PERMIT
FOR LIVE ENTERTAINMENT USES
SECTION I
WHEREAS, the Town of Los Gatos is a thriving socially active community that continues to
enjoy entertainment uses as an amenity for its residents and business patrons; and
WHEREAS, the Town of Los Gatos recognizes that commercial establishments, that provide
indoor entertainment, can enhance the Town's social and cultural experiences, and can contribute to
the viability and vitality of commercial districts within the Town. However, it is incumbent upon the
Town to establish policies and procedures which allow for both the provision and management of
entertainment, in order to prevent negative impacts to the Town's residents and visitors and to limit
the Towns personnel costs and burden on financial resources. It is the intent of the Town to protect
the rights of its citizens by establishing the most reasonable manner of regulation on entertainment in
order to maximize the benefits and minimize the burdens caused by the provision of entertainment
within commercial establishments; and
WHEREAS, the Town Council adopted an Alcoholic Beverage Rolicy in 1994, which was
last amended in 2001 and currently discourages alcohol service in conjunction with entertainment
establishments; and
WHEREAS, the Alcoholic Beverage Policy notes that entertainment uses may be allowed
by the Town in an eating or drinking establishment if standards and an entertainment permit process
is adopted by the Town; and
ATTACHMENT 2 0
WHEREAS, the Town Council directed the preparation of an entertainment permit process
in 2010; and
WHEREAS, the Town has held successive Stakeholder Group Meetings, Study Sessions and
Community Outreach Meetings with key business and resident groups in 2011, 2012, and 2013 to
the discuss potential revisions to the Alcoholic Beverage Policy and the development of new
regulations for live entertainment uses; and
WHEREAS, during the December 2012 Town Council Study Session, a consensus of the
Council provided specific feedback to staff regarding the establishment of regulations for live
entertainment uses; and
WHEREAS, on September 25, 2013 and October 9, 2013, the Planning Commission
reviewed a proposed ordinance to regulate live entertainment uses and provided comments to the
Town Council.
THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DOES ORDAIN AS FOLLOWS:
SECTION II
Chapter 3 of the Los Gatos Town Code is amended to add a new Article VII (3.70.010
through 3.70.070) shall read as fully set forth on Exhibit A.
SECTION III
If any section, subsection, sentence, clause, or phrase of this ordinance is for any reason held
to be unconstitutional, such decision shall not affect the validity of the other remaining portions of
this ordinance. The Town Council hereby declares that it would have passed this ordinance and each
section, subsection, sentence, clause, or phrase thereof, irrespective of the fact that anyone or more
sections, subsection, sentences, clauses, or phrases be declared unconstitutional.
SECTION IV
This Ordinance was introduced at a regular meeting of the Town Council of the Town of
Los Gatos on October _, 2014, and adopted by the following vote as an ordinance of the
Town of Los Gatos at a meeting of the Town Council of the Town of Los Gatos on . This
ordinance takes effect 30 days after it is adopted.
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\ ORDS\2013 \LiveEntertaitunmtOrdinance -TC 4- 7- 2014.dm
This Page
Intentionally
Left Blank
ARTICLE VII. LIVE ENTERTAINMENT
Sec. 3.70.010. Purpose and intent.
Sec. 3.70.015.Definitions
Sec. 3.70.020. Permit requirement.
Sec. 3.70.025. Application for permit; fee.
Sec. 3.70.030. Investigation for permit.
Sec. 3.70.035. Issuance or grounds for denial.
Sec. 3.70.040. Contents.
Sec. 3.70.045. Appeal to Town Council.
Sec. 3.70.050. Transferability of permit.
Sec. 3.70.055. Law enforcement inspections.
Sec. 3.70.060. Suspension or revocation of permit.
Sec. 3.70.065. Compliance.
Sec. 3.70.070. Penalties.
Sec. 3.70.010. Purpose and intent.
This Article is enacted to require a permit to provide indoor nonresidential live
entertainment.
1 EXHIBIT A
ofAttachment 2 0
Sec. 3.70.015. Definitions.
For the purposes of this article, the following words and phrases shall have the meanings
respectively ascribed to them by this section:
Background music. Background music refers to music played at a low level primarily
intended to be passively listened to, where normal conversation can be easily understood.
It is not meant to be the main focus of an audience, but rather to enhance an environment.
Entertainment Establishment A facility or business that as part of its regular operation
provides live entertainment to an audience for either direct or in- direct compensation of
the performers staff, operators or the owners of the facility, including but not limited to
the purchase of tickets payment of entrance fees payment of cover charges provision of
voluntary donations or the required purchases of food drink or merchandise as a
prerequisite to experience the entertainment provided.
Live Entertainment. Any presentation or activity of any nature which is designed or
intended to divert, amuse or attract the attention of persons observing or listening to such
presentation or activity, including but not limited to, any type of presentation or
performance in which live entertainers, performers, a video jockey (VJ) or a disc jockey
(DJ) appears before an audience of any number of persons or the patrons of a business
establishment. The term "Live Entertainment' shall not include any entertainment
provided solely without any human interaction or control of any radio, television, videos,
music recording device /player, digital recording device /player or juke box for the benefit
of an audience or the patrons inside an establishment.
6
Minor Live Entertainment. Live entertainment uses that terminate on or before 10:00 p.m.
and that do not include alcoholic beverage service.
Major Live Entertainment. Live entertainment uses that involve late night operation (after
10 p.m.) and /or that include alcoholic beverage service.
Sec. 3.70.020. Permit requirement.
No person, whether as principal, agent, officer, employee or member, shall perform,
sponsor, conduct, provide or facilitate live entertainment uses without first obtaining a permit
pursuant to this article.
Sec. 3.70.025. Application for permit; fee.
(a) Any person, partnership, or other entity desiring to provide live entertainment
shall apply for a permit to do so on an application form specifically designated for that purpose
and provided by the Town of Los Gatos and shall not provide live entertainment unless and until
a permit has been issued by the Town. The written application for a permit shall be submitted to
the Director of Community Development along with a copy for distribution to the Chief of
Police and executed by all applicants under the penalty of perjury on such form as may be
prescribed by the Town, and which shall include all of the following:
(1) The applicant(s) name, including any aliases, prior names, "dbas," the names of
any partnership or other business entities.
3
(2) The applicant(s) address of any location where applicant has engaged in business
within five years immediately preceding the date of the application; the length of
time at each address; a description of the nature of the business(es) conducted.
(3) The address of the proposed location for which the permit is required, together
with the business name, if any.
(4) Proof of possessory interest in the property at which the business is proposed to
be conducted, and the name and address of the owner of such real property.
(5) A floor plan including entry and exits for the space and building.
(6) The applicant' s written agreement to indemnify, defend and hold harmless the
Town, its officers, agents and employees from and against all claims, losses,
costs, damages and liabilities of any kind relating to the operation of the business,
including attorney's fees and costs, arising in any manner out of the negligence
or intentional or willful misconduct of all of the following: (i) the applicant; (ii)
the applicant' s officers, employees, agents and /or supervisors; and, (iii) if the
business is a corporation, partnership or other entity, the officers, directors or
partners.
(7) The application shall be accompanied by a nonrefundable processing fee in such
amount as established from time to time by resolution of the Town Council.
(b) Exceptions. The following activities if conducted in conformance with the Town's Noise
Ordinance and /or Special Event requirements are expressly exempt and shall be excluded from
the live entertainment permit process:
4
(1) Activities already included in a valid Special Event Permit issued by the Town.
(2) Public events sponsored by the Town or County, State, or Federal governments.
(3) Town approved public events located in Town parks or public facilities.
(4) Theaters, playhouses and a cinemas permitted by Chapter 29 (Zoning Regulations) of
the Town Code.
(5) Dance recitals and other artistic performances of performing art or music schools
permitted by Chapter 29 (Zoning Regulations) of the Town Code.
(6) Private music lessons or recitals permitted by Chapter 29 (Zoning Regulations) of the
Town Code.
(7) Events hosted by private membership clubs not open to the general public for the
benefit of only members and their guests.
(8) Book readings, signings, autograph events, poetry readings.
(9) Background music, live or recorded, or the playing of TV or videos if no
compensation or admission fee is charged.
(10) One grand opening event within the first six months of operation of a new business
or retail use.
(11) Religious institutions services or worship activities.
(12) Coffees, fundraisers, and campaign events related to a local, State or Federal
election.
5
See. 3.70.030. Investigation for permit.
Upon receipt of the completed application (including all requested documents) and the
required fee, the Director of Community Development and the Chief of Police shall each conduct
an investigation as each deems appropriate to determine whether a permit should be issued. The
Director or Chief may require additional information of an application which is deemed
necessary to complete the investigation.
(a) The Director of Community Development shall determine whether the conduct of the
business at the proposed location will be in compliance with zoning requirements and any other
applicable rule, regulation or ordinance of the.Town. For major permits, a noise analysis,
prepared by a Town approved consultant at the applicant's expense, shall be provided to
determine compliance with the Town's Noise Ordinance.
(b) The Chief of Police shall determine whether the conduct of the business at the proposed
location will be in conformance with the health, safety and welfare of the community.
(c) Following the completion of the investigations described herein, the Director of
Community Development and the Chief of Police shall each make a written recommendation
whether the proposed permit is either recommended to be approved or rejected, subject to the
provisions of this chapter, and the Community Development Director shall provide the
recommendations to the Planning Commission or the Town Council as applicable for
consideration at a public hearing.
Sec. 3.70.035. Issuance or grounds for denial.
9
(a) Permit Review and Determination. The proposed live entertainment use shall be a
subordinate ancillary use to a legally permitted and conforming primary use authorized by Town
Code Chapter 29 (Zoning Regulations). Any use defined as "Live Entertainment" shall comply
with the requirements of the Town's Noise Ordinance,
(1) Planning Commission. Applications for proposed minor live entertainment
uses in conjunction with either the primary or subordinate ancillary use shall
be determined by the Planning Commission pursuant to Chapter 29 of the
Town Code.
(2) Planning Commission. Applications for proposed major live entertainment
uses in conjunction with either the primary or subordinate ancillary use shall
be reviewed by the Planning Commission for determination of a
recommendation to the Town Council pursuant to Chapter 29 of the Town
WMM
(3) Town Council. Applications for proposed major live entertainment uses in
conjunction with either the primary or subordinate ancillary use shall be
determined by the Town Council pursuant to Chapter 29 of the Town Code.
(b) Conditions of Approval. Any permit issued pursuant to this article, shall be subject to the
following conditions:
(1) Such conditions as may be imposed by the deciding body that are reasonably
related to the purpose and intent. of this chapter and the public health, safety,
and welfare which conditions shall include an annual review of a major permit
including a public hearing.
7
(2) Maintain a valid operational agreement for major live entertainment uses.
(3) Maintain a valid Town business license.
(c) Grounds for denial. An application for a permit to conduct live entertainment may be
denied based on any of the following grounds:
(1) For a business that serves alcohol, the operator is under twenty -one years
of age.
(2) The operator had a similar type of permit previously suspended, revoked
or denied for good cause within the immediately preceding five (5) year
period.
(3) The operator has knowingly made a false or misleading statement of a
material fact or omission of a material fact in the application for a permit.
(4) A determination by the Director of Community Development, the
Development Review Committee, the Planning Commission, and /or the
Town Council following a public hearing that the use of the business at
the proposed location would not be in compliance with all zoning
requirements and other rules, regulations, ordinances and policies of the
Town.
(5) The use at its proposed location compromises the public health, safety, or
welfare of the community.
E
(6) Any other material consideration which may be raised and examined
through a public hearing process and determined to be detrimental to the
health, safety or welfare of the community.
Sec. 3.70.040. Contents.
Permits issued under this article may authorize only a specific live entertainment use or
group of uses as described in the application approved by the Planning Commission or Town
Council. Each permit issued shall include the name of the sponsor and operator, the approved
daily schedule, time of commencement and conclusion, the address of the location and the
maximum occupancy load of each room and the maximum occupancy of the building in which
the live entertainment use is authorized for, and such information shall be prescribed on the face
thereof.
Sec. 3.70.045. Appeals to Planning Commission.
The denial of a permit on grounds specified either in section 3.30.030(e) by the Planning
Commission or the revocation of a permit of the Planning Commission may be appealed to the
Town Council pursuant to Division 4 of Chapter 29 of the Town Code.
Sec. 3.70.050. Transferability of permit.
No permit issued under this chapter shall be transferable or assignable and any attempted
transfer shall invalidate the permit.
Sec. 3.70.055. Law enforcement inspections.
Any person or entity operating under a live entertainment permit under the provisions of
this chapter shall be subject to inspection by local law enforcement during all hours of
9
operation. The Chief of Police or designee may conduct periodic inspections of the business
without notice.
Sec. 3.70.060. Suspension or revocation of permit.
(a) Any permit issued under this article may be suspended or revoked pursuant to the
processes set forth herein, and for any reason that would have justified a refusal of the permit
originally, or by failure of the person or entity operating under any such permit to comply with
the provisions of this article or any other provision of this code, or any condition of such permit.
The person or entity operating under the provisions of any such permit shall be given prompt
notice of the intention to suspend or revoke the permit in the manner set forth in this section.
Upon receipt of information or a complaint and reasonable cause to believe that grounds for a
suspension or revocation of a permit exists, the original deciding body of the permit may suspend
for a period of up to nine months or revoke a permit, according to procedures set forth herein on
the grounds set forth in this subsection, and on any of the following grounds:
(1) The permitee, its officers, employees, or agents have operated or managed the live
entertainment business in a manner which violates the live entertainment permit
issued by the Town, any provision of this chapter, or other applicable Town Code
provisions; or
(2) Has made a false or misleading statement or material omission of fact on the
application for a permit, or in any supplementary materials submitted with the
application.
(b) Procedure for revocation or suspension of permit:
10
(1) Notice to permitee. Whenever the Town has reasonable cause to believe that
grounds for the suspension or revocation of a permit exist, the Town shall give the
permitee written notice of the grounds for the proposed revocation or suspension
of the permit, along with the date, time and place of a public hearing to be held
before the original deciding body on whether the permit should be suspended or
revoked. The notice shall be served on the permitee personally at the most recent
home or business address on file with the Town or by certified mail with the
United States Postal Service.
(2) Hearing. The hearing on the revocation or suspension of the permit shall be held
before the original deciding body not more than sixty working days after the
personal service of the notice to the permitee in the same manner of delivery as
set forth in Section (b)(1) above. At the hearing, the permitee shall have the right
to appear and present evidence and arguments which are relevant to a
determination of whether the permit should be suspended or revoked.
(3) Decision. Within fifteen working days after the hearing, the deciding body shall
issue a written decision which states whether the permit is suspended or revoked,
the length of any suspension, and the factual basis for the decision. The decision
of the deciding body shall be served on the permitee in the same manner of
delivery as set forth in Section (b)(1) above.
(4) Effective date of revocation or suspension. Any suspension or revocation of a
permit shall become effective immediately upon the personal service of the
M
written decision of the deciding body or delivered to the permitee in the same
manner of delivery as set forth in Section (b)(1) above.
(5) Surrender of suspended or revoked permit. Upon a written decision by the
deciding body, which suspends or revokes a permit, the permit shall immediately
be surrendered to the Town Manager. In the case of a suspension, Town Manager
shall return the permit after the period of suspension has ended.
Sec. 3.70.065 Compliance.
Any person or entity which has been granted a permit under this article shall be subject to
and shall comply with the regulations and conditions as set forth in the relevant sections of the
Town Code.
See. 3.70.070 Penalties.
(a) The violation of any provision contained in this chapter, or the violation of any condition
of a permit issued hereunder, is hereby declared to be unlawful and shall constitute a
misdemeanor, subject to the penalties as prescribed in section 1.10.040 of the Town Code.
(b) The maximum fine or penalty for any violation of this article shall be one thousand
dollars ($ 1, 000), or a term of imprisonment in the county jail for a period not exceeding six
months.
12
(c) Except as otherwise provided, every such person may be charged with a separate offense
for each and every day during any portion of which any violation is committed, continued, or
permitted by such person, and shall be punishable accordingly.
(d) The enforcement of this chapter shall be in addition to any proceedings conducted for
revocation or suspension of the permit and any civil action to seek enforcement of these
provisions authorized by the Town Council.
N: \DEV�ORDS\20I3\LiveEntertai =mtOrdinmce ExhibitA -TC 4-7-2014 .do
13
This Page
Intentionally
Left Blank
RESOLUTION 2014-
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
ADOPTING REVISIONS TO THE ALCOHOL BEVERAGE POLICY AND REPEALING
RESOLUTION 2001 -106
WHEREAS, the sale of alcoholic beverages, if not regulated, can jeopardize public safety,
resulting in an increase of calls for police services, code compliance services, and compromise the
quality of life for Town residents; and
WHEREAS, the Town Council desires to balance the regulation of alcoholic beverage
service and protection of residential neighborhoods with the goal of maintaining a vibrant and
successful Downtown and commercial areas throughout Los Gatos; and
mr4l
WHEREAS, the Town Council originally adopted an Alcoholic Beverage Policy in 1994;
WHEREAS, the Town Council last revised the Alcoholic Beverage Policy in 2001 by
adopting Resolution 2001 -106 ; and
WHEREAS, the Town Council desires to update the Alcohol Beverage Policy to meet the
current needs of the community.
NOW, THEREFORE, BE IT RESOLVED, that Town Council of the Town of Los
Gatos (1) repeals Resolution 2001 -106; and (2) adopts the Town of Los Gatos Policy Regulating
Establishments That Serve Alcoholic Beverages as attached as Exhibit A.
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:
ATTACHMENT 21
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 \RES0S\2014WcoholPolicy Rmo TC 4- 7- 2014.dmx