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HomeMy WebLinkAbout31D - CUP - 1544 E WARNER AVEREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: SEPTEMBER 2, 2014 TITLE: CONDITIONAL USE PERMIT NO. 2014 -28 TO ALLOW A TYPE 20 ALCOHOLIC BEVERAGE CONTROL LICENSE FOR BEST WINES AT 1544 EAST WARNER AVENUE - MICHAEL CHO, APPLICANT � v4'X CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: I_�» iiPl ❑ As Recommended ❑ As Amended ❑ Ordinance on 1" Reading ❑ Ordinance on 2ntl Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Receive and file the staff report approving Conditional Use Permit No. 2014 -28. PLANNING COMMISSION ACTION On July 28, 2014, the Planning Commission adopted a resolution approving Conditional Use Permit No. 2014 -28 and authorized the issuance of a Public Convenience and Necessity (PCN) Letter due to an overconcentration of licenses in the census tract by a vote of 7:0 for a Type 20 Alcoholic Beverage Control (ABC) license for the off - premise sale of beer and wine at 1544 East Warner Avenue located in the Specific Development 8 (SD8) zoning district. The Planning Commission made no changes to the recommended conditions of approval outlined in the attached staff report (Exhibit A). Best Wines has been operating as a wholesale, mail order and internet business within an existing warehouse building since 2012. The approval of the Conditional Use Permit for a Type 20 ABC license for the off - premise sale of beer and wine will allow Best Wine the ability to expand their existing business and provide an additional service to the residents and employees in the vicinity. Full -sized site plans are available for public viewing in the Clerk of the Council Office. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Goal No. 3 Economic Development, Objective No. 2 (create new opportunities for business /job growth and encourage private development through new General Plan and Zoning Ordinance policies). 31 D -1 Conditional Use Permit No. 2014 -28 September 2, 2014 Page 2 FISCAL IMPACT There is no fiscal impact associated with this action. 0- Karen Haluza Interim Executive Director Planning & Building Agency VF:rb vf"Wrts/CUPlcupl 4 -28 Best Wines= Exhibit: A. Planning Commission Staff Report 31 D -2 REQUEST FOR Planning Commission Action PLANNING COMMISSION MEETING DATE: JULY 28, 2014 TITLE: PUBLIC HEARING — FILED BY MICHAEL CHO FOR CONDITIONAL USE PERMIT NO. 2014 -28 TO ALLOW A TYPE 20 ALCOHOLIC BEVERAGE CONTROL LICENSE FOR BEST WINES AT 1544 EAST WARNER AVENUE Prepared by Vince Fregooso Intern Ex ~utive Director On n I • r PLANNING COMMISSION SECRETARY APPROVED ❑ As Recommended • As Amended • Set Public Hearing For DENIED • Applicant's Request • Staff Recommendation CONTINUED TO f Acting Pla i ning M nager 1. Adopt a resolution approving Conditional Use Permit No. 2014 -28. 2. Authorize the Planning Commission to issue a Public Convenience and Necessity (PCN) Letter due to an overconcentration of licenses in the census tract. Request of ADDlicant Michael Cho, representing Best Wines, is requesting approval of a conditional use permit for a Type 20 Alcoholic Beverage Control (ABC) license for the off - premise sale of beer and wine at 1544 East Warner Avenue. Establishments that sell alcoholic beverages require a conditional use permit (CUP) pursuant to Section 41 -196 of the Santa Ana Municipal Code (SAMC). Protect Location and Site Description Best Wines currently operates a wholesale wine sales operation within the Brookhollow Office Park, an existing multi - tenant business park located at 1500 -1570 East Warner Avenue, which is the southeast corner of Warner and Grand Avenues. The Brookhollow Office Park is a 35 -acre development that consists of 24 parcels and eight common area lots, with 24 one and two -story buildings located within the office park that encompass approximately 407;176 square feet of floor area. The office park is governed by Covenants, Conditions and Restrictions (CC &R's) that are controlled by a Master Association. The southern three -acre section of Brookhollow is currently vacant but was entitled in 2006 to allow for retail and restaurant uses. Best Wines currently occupies a freestanding 11,920 square foot building that is located at the northeast section of the office park that faces the Newport-Costa Mesa (SR -55) Freeway. A total of 1,412 parking spaces are provided for the mixture of uses in the office park, while 60 spaces are required for Best Wines. EXHIBIT A 31 D -3 Conditional Use Permit No. 2014 -28 July 28, 2014 Page 2 Surrounding land uses include both industrial and commercial development to the north, various office and commercial uses to the south, the Newport -Costa Mesa (SR -55) Freeway to the east, and a mixture of office and assembly uses to the west (Exhibits 1, 2 and 3). Project Description Best Wines is requesting approval of a Type 20 Alcoholic Beverage Control (ABC) license to allow the off- premise sale of beer and wine at the establishment. In conjunction with their ABC application, Best Wines is intending to make tenant improvements to the building to accommodate walk -in customers. Improvements such as new storefront glass and interior walls to separate the retail areas from the warehouse and storage areas are proposed. Operating hours for the business are from Monday to Saturday from 11:00 a.m. to 6:00 p.m. and on Sunday from 12:00 p.m, to 5:00 p.m. The sales and storage areas for alcoholic beverages will encompass approximately 10,000 square feet of the existing 11,902 square foot building, or approximately 85 percent of the building. However, as the building exceeds 10,000 square feet in size, the maximum allowable area for the storage and display for alcohol beverages of five percent is not applicable to this proposal (Exhibits 4 and 5). Project Background Best Wines is an online retailer and wholesaler of wine that has been operating at this location since October 2012. The existing facility currently has a Type 17 (Wholesale beer and wine) ABC license, which allows them to sell and ship wine via mail order, phone, internet and wholesale (business to business). Best Wines is seeking to expand their operations and allow retail customers the ability to enter the premises to purchase wine during their operating hours. As the applicant is applying for an off - premise ABC license (Type 20), a CUP is required. General Plan and Zoning Consistency The General Plan land use designation for the site is Professional and Administrative Office (PAO), which allows for office development and support commercial businesses such as those found within the Brookhollow Office Park. Professional and Administrative Office areas are designed to serve as anchors for the City's office uses. The project site is consistent with this General Plan land use designation. The zoning for the site is Specific Development District No. 8 ( Brookhollow Office Park). The SD -8 designation is a mixed -use zone that allows office, restaurant, retail, hotel and industrial land uses such as the existing Best Wines business, including ancillary ABC licenses. Therefore, the proposed use is consistent with the zoning designation. 31 D -4 Conditional Use Permit No. 2014 -28 July 28, 2014 Page 3 Proiect Analvs Conditional use permit requests are governed by Section 41 -638 of the SAMC. Conditional use permit requests may be granted when it can be shown that the following can be established: • That the proposed use will provide a service or facility which will contribute to the general well- being of the neighborhood or community. • That the proposed use will not, under the circumstances of the particular case, be detrimental to the health, safety, or general welfare of persons residing or working in the vicinity, • That the proposed use will not adversely affect the present economic stability or future economic development of properties surrounding the area. • That the proposed use will comply with the regulations and conditions specified in Chapter 41 for such use. That the proposed use will not adversely affect the General Plan of the city or any specific plan applicable to the area of the proposed use. If these findings can be made, then it is appropriate to grant the conditional use permit. Conversely, the inability to make these findings would result in a denial. Using this information staff has prepared the following analysis, which, in turn forms the basis for the recommendation contained In this report. In analyzing the conditional use permit request, staff believes that the following findings of fact warrant approval of the conditional use permit. The proposed alcohol beverage control licenses will allow the existing establishment to enhance its current operations by allowing retail sales of wine at this location. The conditional use permit for the ABC license will allow Best Wines to expand its operations at this location while allowing it to serve existing and new clientele. Standards that are applicable to the alcoholic beverage control license will mitigate any potential impacts created by the use and ensure that the use will not negatively affect the surrounding community. • The proposed license for the off - premise consumption of beer and wine at this location will not be detrimental to persons residing or working in the vicinity because alcohol related standards have been placed on the proposed license that will mitigate any potential negative or adverse impacts created by the use. In addition, the sale of alcoholic beverages will occur within the interior of the premises and will not impact adjacent businesses. 31 D -5 Conditional Use Permit No. 2014 -28 July 28, 2014 Page 4 The proposed use will not adversely affect the economic stability of the area; but will instead allow the facility to compete with other wine merchants in the area that also offer the retail sale of beer and wine. Further, the establishment is proposing to expand its business by including retail sales as a component of their business plan, which will assist in identifying the location as an economically viable business and which will improve its economic competitiveness. • As conditioned, the proposed project will be in compliance with all applicable regulations imposed on a business selling beer and wine pursuant to Chapter 41 of the Santa Ana Municipal Code and the standards adopted by the City for retail uses that sell alcohol. The proposed use will not adversely affect the City's General Plan. Policy 2.2 of the Land Use Element encourages land uses that accommodate the City's needs for goods and services. A wine merchant provides a retail service to the residents and employees of Santa Ana. Further, retail and ancillary uses such as off- premise alcohol sales are permitted within the Professional and Administrative Office (PAO) land use designation. The proposed project is not located in a specific plan area in the City. Further, Policy 2,9 of the Land Use Element supports developments that create a business environment that is safe and attractive. The physical improvement to the building will create an enhancement to the existing center and promote commercial activity in the area. Policy 5.5 of the Land Use Element encourages development that is compatible with and supporting of surrounding land uses. The Best Wines retail business will be located in a commercial and business park area and will be compatible with the surrounding businesses, Best Wines is proposing to expand their existing operations by adding a retail component to the business. The site will be in compliance with all standards of SAMC Section 41- 196(f) for the off - premise sale of alcoholic beverages (Exhibit 6). These 25 operational standards will mitigate potential impacts on the adjacent uses and ensure the use does not become an attractive nuisance to the community. Letter of Public Convenience and Necessity Due to staffs recommendation of approval, the issuance of a Public Convenience and Necessity (PCN) letter is required. A PCN letter is required per Business and Professions Code Section 23958.4 as the State has determined that an overconcentration of off- premise ABC licensed establishments within the census tract exists. The City's criteria for overconcentration of off -sale establishments are found in Section 41- 196(d) of the SAMC. The overconcentration criteria apply to off -.sale establishments that are less than 10,000 square feet in size. As Best Wines occupies an 11,920 square foot building, it is exempt from the City's overconcentration criteria. However, as previously mentioned, the State's criteria for overconcentration are applicable. 31 D -6 Conditional Use Permit No. 2014 -28 July 28, 2014 Page 5 The State Department of Alcoholic Beverage Control identifies a census tract as overconcentrated if the ratio of off -sale retail licenses to the population of the census tract which the premises is located exceeds the ratio of off -sale retail licenses to the population of the county. Based on this analysis, census tracts In the City are allowed one licensed establishment per 1,650 residents, Best Wines is located in Census Tract No. 740.03, which is allowed one off -sale outlet based on the State's criteria, while five active licenses currently exist. Table 1 below and Map 1 on the following page identify the location of the existing licensed premises. As the map shows, the licensed establishments are disbursed throughout the census tract, with the closest licensed premises approximately 2,200 feet from Best Wines. Although the census tract is overconcentrated per State standards, the sale of wine at Best Wines will not create any adverse impacts or adversely affect persons working or residing in the area. Further, the business model for Best Wines differs from the other off - premise establishments as Best Wines sells wine by the bottle or in larger quantities while the other establishments are smaller neighborhood markets that sell both beer and wine. As a result, staff is recommending the issuance of a PCN letter for Best Wines. The PCN letter will state that, despite the overconcentration of ABC licenses in the census tract, the issuance of an additional off- -sale ABC license at this location is necessary to serve the public convenience, will not create any adverse impacts and will not impact the overall crime rate of the area. Table 1: Off-Sale Licenses within Census Tract No, 740.03 Premises Location Type Distance (1) Mobil 1351 E. Dyer Type 20 0,50 miles Road (2) Quality Suites 2701 S, Hotel Type 20 2,190 feet Terrace Drive (3) Gerald's (wick Stop Market 3313 South Main Type 20 _ 1.45 miles Street (4) Acapulco Super Market 210 East Warner Type 20 1.1 miles Avenue (5) Halladay Market 601 E. Central Type 20 0.75 miles Avenue 31 D -7 Conditional Use Permit No, 2014 -28 July 28, 2014 Page 7 Police Department Analvsis The Police Department reviews conditional use permit applications for the sale of alcoholic beverages because there is a strong correlation between the availability of alcohol and crime. Studies have shown that alcohol is a contributing factor in crimes such as drunk driving, fatal traffic collisions, homicide, assaults, rape, domestic violence, drunk in public and other nuisance type of offenses. The Police Department considered three factors when reviewing this type of application: crime rate, overconcentration and sensitive land uses. It has been determined that 1544 East Warner Avenue is located in Reporting District No. 209. This reporting district ranks 62nd out of 102 reporting districts in the number of police related calls for service established under Business and Professions Code Section 23958,4, This reporting district is below the 20 percent threshold established by the State for high crime. Further, this business is within a building that is almost 12,000 square feet in size and is therefore not subject to the separation requirements found in SAMC 41- 196(d). Additionally, SAMC Section 41- 196(d)(3) defines overconcentration as any location that has been determined to be overconcentrated by the State of California. This facility is located in Census Tract No. 740.03, which is allowed one off -sale outlet while five active licenses currently exist. However, as there is not a licensed establishment within 1,000 feet of the site, overconcentration has not been identified as an issue for this request. Finally, a review of the area has found that no sensitive uses are located in the immediate area that might be negatively impacted by this action. As a result, the Police Department has evaluated the applicant's request and believes that the proposed ABC license will not adversely affect the surrounding community. Standards applicable to ABC licensed establishments are included as required by the SAMC that are adequate to address any concerns related to the ABC License. Public Notification The project site is not located within the boundaries of an organized neighborhood, but is located within the Brookhollow Office Park. Association. The president of this Association was notified by mail 10 days prior to this public hearing and was contacted to ensure that they were notified of the project and to see if there were any areas of concern. No areas of concern were identified by the Association nor was there a request that the applicant present the project to a meeting of their members. The project site was posted with a notice advertising this public hearing, a notice was published in the Orange County Reporter and notices were sent to all property owners and tenants within 500 feet of the project site. At the time of this printing, no correspondence, either written or electronic, had been received from any members of the public. 31 D -9 Conditional Use Permit No. 2014 -28 July 28, 2014 Page 8 CEQA Compliance In accordance with the California Environmental Quality Act the recommended action is exempt for further review per Section 15301. The Class 1 exemption allows the operating, permitting and licensing of existing private structures with negligible or no expansion of the existing use. The proposed application is to approve an alcoholic beverage control license and allow the sale of beer and wine within an existing commercial building. Categorical Exemption Environmental Review No. 2014 -60 will be filed for this project. Conclusion Based on the analysis provided within this report, staff recommends that the Planning Commission approve Conditional Use Permit No. 2014 -28, Vince Fregoso, AICP Acting Planning Ma ag r VF:jm vflreporteCUPlcupl A -28 Best Wines.072814.pc Attachments: Exhibit 1 —Vicinity Map Exhibit 2 — Location Map Exhibit 3 — Site Photo Exhibit 4 — Site Plan Exhibit 5 — Floor Plan Exhibit 6 — Operational Standards for On -Sale Establishments 31 D -10 a Mi SU -69 M7 RI RI .•.•'R7 3 G M1 _ Mt M1 SD.59 �1`T p M1 R7 k M7 G ` M1 R1 R1 M1 M7 M1 Mi m a PROJECT mi WAFNER AU b R2 � � '� GitV of Tustin W R2 / -, R2 M1 N1 Ii SD -fl ii Ml , I + SD.12 5 ( _i�z h �, *''r Mi ^^ 'y M1 SPG3 i z S m M1 zi ,Mi An ml Mi 1 C5 MT n C5 � I e M1 Mt M2 �,SD -G�i Al p ml GENERILAGPo000UPALp CR COMMBUALFESDEM F0-4W0 SMALL LOT SNGUEFAMIVY DENCE .8. FWiCNGMODIMMIRGN GO G-0lRWENTCE,0ER Ri TOOFAMILYFIESIDENGE Gad r MMEFGIALSOUTH MAIN Al UGFFINDUSIRAL R; MULTIPLE DENSITY MULTIPLE C1 COMMUNITYCOMMEFO1 M2 HFAVYINDUSIRAL FAMILY FWDENCE CI-MD 00MM.COMMHYiAUMUSE- M DISRU MO MIURRRYOPER4TIONS M SUEUREANAFARIMETTS C2 GENERALCOMMEiDAL 0 GFUN SIAM FE REDDRTUALERIE G] CENTPALOJSNC-w P PROTESSONAL S) SF Rc Dm()rMSJT aA MTRALWSNPSAAIISTMULAGE PM PANNE/ CIXMMUNIT/0aR0PMFFHT SP SPEDRCRAN G RANNEDEHOP INGCEIM Raj PANNED FrSDEN7IAL OMOPMENT FS ARENLOOMM"IAL RI SNCIEFAMILYPESDU IAL CUP 2014 -28 BESTWINESONLINE CUP FOR TYPE 20 ABC LiCENSE SY 1544 EAST WARNER AVE. - - =5DU FEET 9 " -, DCU FEkf P L A N N I N G A N Q 6 U I L D I N G A G E N G Y IXH {BIT 1 31 D -11 RTCHEY INU. [l AN O U 5 T R I A L MDUSTMAL WARNER AVENUE \. 11 o F F 1 n E i( PROJECT SITE hbornivm / / 1 Iii � 11 II �1 !J OFFICE 1 1 i i \\ ii � aFF10E z ii /r VACANT qola CUP 2014 -28 BESTWINESONLINE CUP FOR TYPE 20 ABC LICENSE 1544 EAST WARNER AVE. P L A N N I N G A N D B U I L 0 1 N G A G E N C Y EKHIEIT 2 31 D -12 CUP 2014 -28 BEST WINES CUP FOR TYPE 20 ABC LICENSE 1544 EAST WARNER AVENUE EXHIBIT 3 31 D -13 EXHIBIT 4 31D-14 hi A MM 330 I-V SiKLW Jac ARM I 1209d 1w Irflamm alm hit �5�5 RON ai�; 35. 2 IRON Hill 11 1 fill Aggli Qq 11'a P, I LH Lu mg LU RNME w 0 0 P1. i7 I F.3 H EXHIBIT 4 31D-14 Sy vlflqv� IV IIJ \1YIYMyYSYl1tl 1191 <Nll Yip 9 I I I I IN 10 LJ Ll 0 L71j--Fs- J- 10 F-1 0I D El FIFLE"I _-j'- L- [H] F-- E OLL-D El El 71 F-1, �', F I [E FIFID LJ 0 1 Ll E 7 E E Ell D, E- I i iFW17 fli, Fill ii I Y O 1 17 71M EXHIBIT 5 31 D -15 Sec. 41 -196. Establishments selling alcoholic beverages. Operational standards for off -sale establishments. The following operational standards shall be included in the conditions of approval for the conditional use permit required pursuant to Section 41 -196 No alcoholic beverages shall be consumed on any property adjacent to the licensed premises under the control of the licensee. 2 The applicant shall be responsible for maintaining free of litter the area adjacent to the premises over which he has control. There shall be no exterior advertising of any kind or type, Including window signs or other signs visible from outside, promoting or indicating the availability of alcoholic beverages on the premises. 4. There shall be no coin- operated games maintained on the premises at any time. 5. All public telephones shall be located on the interior of the premises. 6. Any graffiti painted or marked upon the premises or on any adjacent area under the control of the applicant shall be removed or painted over within twenty -four (24) hours of being applied. 7. The applicant shall post a placard prohibiting loitering, pursuant to California Penal Code ( "CPC ") section 602, on the exterior of the premises. It shall be the applicant's responsibility to ensure that CPC section 602 is complied with at all times that the premises are in operation. The applicant shall at all times utilize an age verification device for all purchases of alcoholic beverages. 10. The owner or manager of the licensed premises shall maintain on the premises a written security policy and procedures manual, that has been approved by the police department, addressing at a minimum the following items; handling obviously intoxicated persons; establishing a reasonable ratio of employees to patrons, based upon activity level, in order to monitor beverage sales and patron behavior; handling patrons involved in fighting, arguing or loitering about the building and in the immediate adjacent area that is owned, leased, rented or used under agreement by the licensee(s); verifying age /checking identification of patrons; calling the police regarding observed or reported criminal activity. EXHIBIT 6 1 of 3 31 D -16 11. If there is a marked or noticeable Increase in the number of police - related incidents on or near the premises, as such increase may be determined by the chief of police, the applicant may be required to provide state - licensed, uniformed security guards at a number determined by the chief of police. 12. All managers and employees selling alcoholic beverages shall undergo and successfully complete a certified training program in responsible methods and skills for selling alcoholic beverages. The California Department of Alcoholic Beverage Control must approve said training program. Records of each employee's successful completion of the certified training program required by this section shall be maintained on the premises of the alcoholic beverage outlet and shall be presented upon request by a representative of the City of Santa Ana. 13. Alcoholic beverages in containers of less than sixteen (16) ounces cannot be sold by single containers, but must be sold in pre - packaged multi -unit quantities. 14. The sales of alcoholic beverages shall be permitted only between the hours of 7:00 a.m. and 12:00 /midnight each day of the week unless otherwise modified by the granting of an after -hours conditional use permit. 15. Existing building and required parking must conform to the provisions of Chapter 8, Article Il, Division 3 of the Santa Ana Municipal Code (building security ordinance). These code conditions will require that the existing project lighting, door /window locking devices and addressing be upgraded to current code standards. Lighting standards cannot be located in required landscape planters. 16. Cash register must be visible from the street at all times and shall not be obstructed at any time by temporary or permanent signage. 17. Window displays must be kept to a minimum for maximum visibility and shall not exceed twenty -five (25) per cent of window coverage. 18. Window displays and racks must be kept to a maximum height of three (3) feet including merchandise. 19. A timed - access cash controller or drop safe must be Installed. 20. A silent armed robbery alarm must be installed and operable at all times. 21. Clearly distinguishable height markers shall be installed on the inside door jamb of all doors used by the public to access the store. Horizontal marks, one (1) inch wide by three (3) inch long, in different colors, and in a contrasting color to the background, shall be placed every six (6) Inches beginning at five (5) feet and ending at six (6) feet six (6) inches. 2of3 31 D -17 22. No person under the age of twenty -one (21) shall sell or deliver alcoholic beverages. 23. Provide a closed circuit television system approved by the police department and capable of viewing and recording events inside and outside the premises including the parking areas with a resolution which will clearly identify individuals for later identification as follows: a) A minimum of one (1) color camera at each cash register that views the front of a customer, from the waist to the top of the head. b) A minimum of one (1) color camera that views the full length side of a customer at the cash register area. c) A color camera recorder capable of recording events on all cameras simultaneously. d) A tape or disc storage library of recorded cameras kept for a minimum of sixty (60) days. e) If video tape is used, tapes cannot be taped over more than six (6) times. f) An audio recording component that will record sounds occurring at the customer counter. g) An internet protocol (IP) -based system is required. 24. It shall be the operator's responsibility to submit a shopping cart containment plan pursuant to SAMC section 33.210. 25. The operator shall be responsible for obtaining all necessary permits for building tenant and freestanding signs. This shall include any window signs and temporary banners. 3of3 31 D -18 ROH — 07/28/14 RESOLUTION NO. 2014 -26 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF SANTA ANA APPROVING CONDITIONAL USE PERMIT NO. 2014 -28 FOR A TYPE 20 ALCOHOLIC BEVERAGE CONTROL LICENSE FOR THE PROPERTY � i Z � %\ � � �7: � ri b' i ! : ! �_F� r ► � � /d 1: � i . I ! :7: V / ! ► l � 1 BE IT RESOLVED BY THE PLANNING COMMISSION OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The Planning Commission of the City of Santa Ana hereby finds, determines and declares as follows: A. The applicant is requesting approval of Conditional Use Permit No. 2014 -28 for a Type 20 Alcoholic Beverage Control license, which allows the sale of beer and wine for off - premise consumption, for the property located at 1544 East Warner Avenue. B. Conditional Use Permit No. 2014 -28 came before the Planning Commission of the City of Santa Ana for a duly noticed public hearing on July 28, 2014. C. Santa Ana Municipal Code Section 41 -196 requires a conditional use permit for the sale of alcoholic beverages. D. The Planning Commission determines that the following findings, which must be established in order to grant a Conditional Use Permit pursuant to Santa Ana Municipal Code Section 41 -638, have been established: Will the proposed use provide a service or facility which will contribute to the general well being of the neighborhood or community? The proposed alcohol beverage control licenses will allow the existing establishment to enhance its current operations by allowing retail sales of wine at this location. The conditional use permit for the ABC license will allow Best Wines to expand its operations at this location while allowing it to serve existing and new clientele. Standards that are applicable to the alcoholic beverage control license will mitigate any potential impacts created by the use and ensure that the use will not negatively affect the surrounding community. Will the proposed use under the circumstances of the particular case be detrimental to the health, safety, or general welfare of persons residing or working in the vicinity? Resolution No. 2014 -26 Page 1 of 4 31 D -19 The proposed license for the off - premise consumption of beer and wine at this location will not be detrimental to persons residing or working in the vicinity because alcohol related standards have been placed on the proposed license that will mitigate any potential negative or adverse impacts created by the use. In addition, the sale of alcoholic beverages will occur within the interior of the premises and will not impact adjacent businesses. 3. Will the proposed use adversely affect the present economic stability or future economic development of properties surrounding the area? The proposed use will not adversely affect the economic stability of the area, but will instead allow the facility to compete with other wine merchants in the area that also offer the retail sale of beer and wine. Further, the establishment is proposing to expand its business by including retail sales as a component of their business plan, which will assist in identifying the location as an economically viable business and which will improve its economic competitiveness. 4. Will the proposed use comply with the regulations and conditions specified in Chapter 41 of the S.A.M.C. for such use? As conditioned, the proposed project will be in compliance with all applicable regulations imposed on a business selling beer and wine pursuant to Chapter 41 of the Santa Ana Municipal Code and the standards adopted by the City for retail uses that sell alcohol. 5. Will the proposed use adversely affect the General Plan or any specific plan of the City? The proposed use will not adversely affect the City's General Plan. Policy 2.2 of the Land Use Element encourages land uses that accommodate the City's needs for goods and services. A wine merchant provides a retail service to the residents and employees of Santa Ana. Further, retail and ancillary uses such as off- premise alcohol sales are permitted within the Professional and Administrative Office (PAO) land use designation. The proposed project is not located in a specific plan area in the City. Further, Policy 2.9 of the Land Use Element supports developments that create a business environment that is safe and attractive. The physical improvement to the building will create an enhancement to the existing center and promote commercial activity in the area. Policy 5.5 of the Land Use Element encourages development Resolution No. 2014 -26 Page 2 of 4 31 D -20 that is compatible with and supporting of surrounding land uses. The Best Wines retail business will be located in a commercial and business park area and will be compatible with the surrounding businesses. E. A PCN letter is required per Business and Professions Code Section 23958.4 as the State has determined that an overconcentration of off - premise ABC licensed establishments within the census tract exists. The State Department of Alcoholic Beverage Control identifies a census tract as overconcentrated if the ratio of off -sale retail licenses to the population of the census tract which the premises is located exceeds the ratio of off -sale retail licenses to the population of the county. Based on this analysis, census tracts in the City are allowed one licensed establishment per 1,650 residents. Best Wines is located in Census Tract No. 740.03, which is allowed one off -sale outlet based on the State's criteria, while five active licenses currently exist. Although the census tract is overconcentrated per State standards, the business model for Best Wines differs from the other off - premise establishments as Best Wines sells wine by the bottle or in larger quantities while the other establishments are smaller neighborhood markets that sell both beer and wine. Thus, despite the overconcentration of ABC licenses in the census tract, the issuance of an additional off -sale ABC license at this location is necessary to serve the public convenience, will not create any adverse impacts and will not impact the overall crime rate of the area. F. In accordance with the California Environmental Quality Act the recommended action is exempt for further review per Section 15301. The Class 1 exemption allows the operating, permitting and licensing of existing private structures with negligible or no expansion of the existing use. The proposed application is to approve an alcoholic beverage control license and allow the sale of beer and wine within an existing commercial building. Categorical Exemption Environmental Review No. 2014 -60 will be filed for this project. Section 2. The Planning Commission of the City of Santa Ana after conducting the public hearing hereby approves Conditional Use Permit No. 2014 -28. In addition, the Planning Commission authorizes the issuance of a Public Convenience and Necessity (PCN) Letter for the project. These decisions are based upon the evidence submitted at the abovesaid hearing, which includes, but is not limited to: the Request for Planning Commission Action dated July 28, 2014, and exhibits attached thereto; and the public testimony, all of which are incorporated herein by this reference. Resolution No. 2014 -26 Page 3 of 4 31 D -21 ADOPTED this 28th day of Jam, 2014. AYES: Commissioners: Alderete, Bacerra, Bauer, Gartner, Mill, Nalle, Yrarrazaval (7) NOES: Commissioners: None (0) ABSENT: Commissioners: None (0) ABSTENTIONS: Commissioners: None (0) Eric Alderete Chairman APPROVED AS TO FORM: Sonia R. Carvalho, City Attorney By: Ryan 0. Hodge Assistant City Attorney CERTIFICATE OF ATTESTATION AND ORIGINALITY I, KAREN GERARDO, Secretary of the Planning Commission, do hereby attest to and certify the attached Resolution No. 2014 -26 to be the original resolution adopted by the Planning Commission of the City of Santa Ana on July 28, 2014. Date: Planning Commission Secretary City of Santa Ana 31 D -22 Resolution No. 2014 -26 Page 4 of 4