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PC - 2012-01 - Denying Conditional Use Permit 11-14 for On Sale Beer and Wine ABC License at 8772 Valley BoulevardPC RESOLUTION 12 -01 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF ROSEMEAD, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA DENYING CONDITIONAL USE PERMIT 11 -14, A REQUEST FOR A NEW ON -SALE BEER AND WINE (TYPE 41) ABC LICENSE IN CONJUNCTION WITH A BONA FIDE PUBLIC EATING PLACE, LOCATED AT 8772 VALLEY BOULEVARD IN THE C -3D (MEDIUM COMMERCIAL WITH A DESIGN OVERLAY) ZONE (APN :5390 -010- 038). WHEREAS, on October 10, 2011, Lan Tan from Hunan Restaurant filed a Conditional Use Permit application, requesting for a new On -Sale beer and wine (Type 41) ABC license in conjunction with a bona fide public eating place, located at 8772 Valley Boulevard; and WHEREAS, 8772 Valley Boulevard, is located in the C -31D (Medium Commercial with a Design Overlay) zone; and WHEREAS, Section 17.112.020(8) of the Rosemead Municipal Code (RMC) allows `on -sale alcohol licenses in the C -1, C -3, CBD and M zones upon the granting of a Conditional Use Permit (CUP)." Section 17.112.010 sets criteria required for granting such a permit. These criteria require that the proposed use is deemed: A. The granting of such conditional use permit will be in harmony with the elements or objectives of the General Plan; and B. The establishment, maintenance or conduct of the use for which the conditional use permit is sought will not be detrimental to the health, safety, peace, morals, comfort or general welfare of the persons residing or working in the neighborhood thereof; and C. The granting of such conditional use permit will not be detrimental or injurious to the property and improvements in the neighborhood or the general welfare. WHEREAS, Section 17.112.100 of the Rosemead Municipal Code states that in addition to the general findings required for the issuance of a Conditional Use Permit, the Planning Commission, or on appeal the City Council, shall find that each of the following facts or conditions exist, prior to the issuance of a new Conditional Use Permit authorizing the sale of alcoholic beverages: D. The proposed use will not present problems including, but not limited to, loitering, obstruction of pedestrian traffic, increased vehicular traffic, increased parking demand, crime, interference with children on their way to school, interference with shoppers using streets, defacement and damage to property; and 1 E. The proposed use will not lessen the suitability of any nearby commercially zoned properties for commercial use; and F. The use shall not adversely affect the welfare of area residents or result in undue concentration in the neighborhood of establishments dispensing alcoholic beverages including beer and wine. Consideration shall be given regarding whether the proposed use will detrimentally affect nearby residentially zoned communities, considering distance to residential buildings, churches, schools, hospitals, public playgrounds, and other establishments dispensing alcoholic beverages. WHEREAS, Sections 65800 & 65900 of the California Government Code and Section 17.112.010 of the Rosemead Municipal Code authorize the Planning Commission to approve, conditionally approve or deny Conditional Use Permits; and WHEREAS, on January 5, 2012, thirty (30) notices were sent to property owners within a 300 -foot radius from the subject property, in addition to notices posted in six (6) public locations and on -site, specifying the availability of the application, plus the date, time and location of the public hearing for Conditional Use Permit 11 -14, and on January 6, 2012, the notice was published in the San Gabriel Valley Tribune; and WHEREAS, on January 17, 2012, the Planning Commission held a duly noticed and advertised public hearing to receive oral and written testimony relative to Conditional use Permit 11 -14; and WHEREAS, the Rosemead Planning Commission has sufficiently considered all testimony presented to them in order to make the following determination: NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of Rosemead as follows: SECTION 1 . The Planning Commission HEREBY FINDS AND DETERMINES that facts do exist to justify denying Conditional Use Permit 11 -14 according to the Criteria of Chapter 17.112.010 of the Rosemead Municipal Code as follows: A. The granting of such conditional use permit will be in harmony with the elements or objectives of the General Plan. FINDING: The site is designated in the General Plan for Commercial and on the zoning map it is designated C -3D (Medium Commercial with a Design Overlay). The proposed use is in conformity with the General Plan in that C -31D (Medium Commercial with a Design Overlay) zoning is a corresponding zone district with the Commercial General Plan land use category. B. The establishment, maintenance or conduct of the use for which the 2 conditional use permit is sought will not be detrimental to the health, safety, peace, morals, comfort or general welfare of the persons residing or working in the neighborhood thereof. FINDING: According to the Chief of Police, the subject site has historically been the source of law enforcement problems relating to Asian gangs, drugs, and prostitution. On January 10, 2012, the Chief of Police conducted a site inspection which revealed that the floor plan resembles a hostess bar based on his experience with the Asian Gang Taskforce. The applicant told the Chief of Police that he would like to re- open the rear portion of the building a§ a "sports bar, karaoke and dance area," similar to one located in Temple City, which is", essentially known as a hostess bar by the Public Safety Department. The Chief of Police is concerned that such business operation would attract clientele which will once again result in problems for the City. In addition, according to ABC, a "bona fide public eating place," means a place which is regularly and in a bona fide manner used and kept open for the serving of meals to guest for compensation and which has suitable kitchen facilities connected therewith, containing conveniences for cooking an, assortment of foods which may be required for ordinary meals, the kitchen of which must be kept in a sanitary condition with the proper amount of refrigeration for keeping of food on said premises and must comply with all regulations of the local department of health (Section 23038). The actual use and layout of the restaurant, as opposed to the floor plan submitted to the City, clearly illustrates that the applicant does not meet the State's definition of a bona fide public eating place. Furthermore, the floor plan submitted as Exhibit "C" clearly misrepresents the current restaurant layout and is believe to have been an attempt to deceive the City. The proposed operation is not suitable at the proposed location due to its proximity to sensitive land uses and the high potential that the actual use would violate City codes and State law. Further, the subject site is 600 feet away from Muscatel Middle School and Rosemead Church of Christ. Residential properties are situated less than 100 feet away from the subject site. Therefore, the approval of the On -Sale beer and wine (Type 41) license will be detrimental to the health, safety, piece, morals, comfort or general welfare of the persons residing or working in the neighborhood. C. The granting of such conditional use permit will not be detrimental or injurious to the property and improvements in the neighborhood or the general welfare. FINDING: A site inspection completed by the Planning Division on November 16, 2011, revealed that the floor plan submitted is a misrepresentation of the current restaurant layout. According to Staffs inspection, the front dining area is well lit and consistent with a family style restaurant atmosphere, but the rear dining area resembles a hostess bar setting with dim lighting. The rear dining area is furnished with private, enclosed lounge areas that do not provide table dining. Each lounge area also provides a private television screen. The table seating shown on the applicant's floor plan in this area does not exist. Staff found a dance floor, disco ball, karaoke machinery, and a 3 speaker system in this area instead. In addition, on January 10, 2012, the Chief of Police conducted a site inspection which revealed that the floor plan resembles a hostess bar based on his experience with the Asian Gang Taskforce. The Chief of Police has indicated that since 2005, when the applicant and his ex -wife assumed control of the restaurant, the rear portion of the restaurant once again became an Asian gang hangout. The LA County Sheriff Department's undercover operations at the subject site revealed underage gang members who fled the scene. He also indicated that after the alcohol license was cancelled with ABC, the applicant continued to sell alcohol in the restaurant and had alcohol hidden behind the service counter. Therefore, the approval of the On -Sale beer and wine (Type 41) license will be detrimental or injurious to the property and improvements in the neighborhood or the general welfare. D. The proposed use will not _present problems including, but not limited to, loitering, obstruction of pedestrian traffic, increased vehicular traffic, increased parking demand, crime, interference with children on their way to school, interference with shoppers using streets, defacement and damage to property; and FINDING: The applicant has indicated to the Chief of Police that he would like to re -open the rear portion of the building as a "sports bar, karaoke and dance area," similar to one located in Temple City, which is essentially known as a hostess bar by the Public Safety Department. Since the subject site is located 600 feet away from Muscatel Middle School and Rosemead Church of Christ and less than 100 feet away from several residential properties, the approval of the On -Sale beer and wine (Type 41) license will present problems including, but not limited to, loitering, obstruction of pedestrian traffic, increased vehicular traffic, increased parking demand, crime, interference with children on their way to school, interference with shoppers using streets, defacement and damage to property. E. The proposed use will not lessen the suitability of any nearby commercially zoned properties for commercial use; and FINDING: A site inspection completed by the Planning Division on November 16, 2011, revealed that the floor plan submitted is a misrepresentation of the current restaurant layout. According to Staffs inspection, the front dining area is well lit and consistent with a family style restaurant atmosphere, and that the rear dining area resembles a hostess bar setting with dim lighting. A hostess bar is not a permitted use in the City. The rear dining area is furnished with private, enclosed lounge areas that do not provide table dining. Each lounge area also provides a private television screen. The table seating shown on the applicant's floor plan in this area does not exist. Staff found a dance floor, disco ball, karaoke machinery, and a speaker system in this area instead. 4 In addition, according to ABC, a "bona fide public eating place, "means as a place which is regularly and in a bona fide manner used and kept open for the serving of meals to guest for compensation and which has suitable kitchen facilities connected therewith, containing conveniences for cooking an assortment of foods which may be required for ordinary meals, the kitchen of which must be kept in a sanitary condition with the proper amount of refrigeration for keeping of food on said premises and must comply with all regulations of the local department of health (Section 23038). The floor plan of the restaurant clearly illustrates that the applicant does not meet the State's definition of a bona fide public eating place. Therefore, the approval of the On -Sale beer and wine (Type 41) license will lessen the suitability of any nearby commercially zoned properties for commercial use. F. The use shall not adversely affect the welfare of area residents or result in undue concentration in the neighborhood of establishments dispensing alcoholic beverages including beer and wine. Consideration shall be given regarding whether the proposed use will detrimentally affect nearby residentially zoned communities, considering distance to residential buildings, churches, schools, hospitals, public playgrounds, and other establishments dispensing alcoholic beverages. FINDING: Staff has received a worksheet from the State Department of Alcoholic Beverage Control (ABC), which indicates that the subject restaurant is currently located in a census tract that has an over - concentration of alcohol permits. ABC defines "over- concentration" as greater than one license per 1,147 residents living within the subject census tract. The population of the census tract (No. 4813) in which the subject property is located is 2;963 residents. The number of allowable on -sale ABC licenses for this census tract is three (3). Currently, there are six (6) authorized on -sale licenses for this census tract. ABC has also determined that this location is located in a high crime district. The City's Chief of Police has reviewed this request and has indicated that this proposal cannot be supported. On January 10, 2012, the Chief of Police conducted a site inspection which revealed that the floor plan resembles a hostess bar based on his experience with the Asian Gang Taskforce. A hostess bar is not a permitted use in the City. In addition, the subject site is 600 feet away from Muscatel Middle School and Rosemead Church of Christ. Several residential properties are situated less than 100 feet away from the subject site. Therefore, the approval of the On -Sale beer and wine (Type 41) license will endanger or otherwise constitute a menace to the surrounding properties. SECTION 2 . The Planning Commission HEREBY DENIES Conditional Use Permit 11 -14, for a new On -Sale beer and wine (Type 41) license, located at 8772 Valley Boulevard. 5 SECTION 3 . This resolution is the result of an action taken by the Planning Commission on January 17, 2012, by the following vote: YES: HERRERA, HUNTER, RUIZ, AND SACCARO NO: NONE ABSTAIN: NONE ABSENT: ENG SECTION 4 . The Secretary shall certify to the adoption of this resolution and shall transmit copies of same to the applicant and the Rosemead City Clerk. PASSED, APPROVED and ADOPTED this 17 day of January, 2012. for Rui , -Chair CERTIFICATION I hereby certify that the foregoing is a true copy of a resolution adopted by the Planning Commission of the City of Rosemead at its regular meeting, held on the 17 day of January, 2012 by the following vote: YES: HERRERA, HUNTER, RUIZ, AND SACCARO NO: NONE ABSTAIN: NONE ABSENT: ENG L��� Ll,� Michelle Ramirez, Sec ary APP ED AS TO FO egory M. urphy, Planning Commission Attorney Burke, Williams & Sorensen, LLP