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HomeMy WebLinkAboutPlanning Commission Staff ReportINCOR'pO ED CITY OF NATIONAL CITY - DEVELOPMENT SERVICES DEPARTMENT 1243 NATIONAL CITY BLVD., NATIONAL CITY, CA 91950 PLANNING COMMISSION STAFF REPORT Title: Case File No.: Location: Assessor's Parcel No.: Staff report by: Applicant: Property owner: Zoning designation: Adjacent land use/zoning: North: East: South: West: Environmental review: Item no. 4 February 6, 2012 PUBLIC HEARING — CONDITIONAL USE PERMIT FOR THE SALE OF BEER & WINE AT A NEW 7-11 TO BE LOCATED AT 1539 HIGHLAND AVENUE. 2011-32 CUP Northeast corner of Highland Ave. and East 16th St. 561-040-01 Martin Reeder, AICP — Assistant Planner William A. Adams Brown Family Trust MXC-2 Major Mixed -Use Corridor) Commercial / MXC-2 Church with residential beyond / RS-2 Commercial across E. 16th St. / MXC-2 Commercial across Highland Ave. / MXC-2 Categorically Exempt pursuant to Class 1 Section 15301 (Existing Facilities) BACKGROUND Site Characteristics The project site is the former Autozone, located at the northeast corner of Highland Avenue and East 16th Street in the Major Mixed -Use Corridor (MXC-2) zone. There is a church to the east and commercial uses to the north and south along Highland Avenue. The approximately 10,000 square -foot property is developed with a 3,600 square -foot building and has 15 on -site parking spaces. Proposed Use The applicant is proposing to offer beer and wine for sale for off -site consumption as part of a proposed convenience store (7-Eleven). Alcohol sales are expected to be approximately 15% of total store sales. The store will be open 24 hours a day, seven days a week but would be, at a minimum, restricted to alcohol sales hours of 6:00 a.m. to 2:00 a.m. by the state. For comparison purposes, a 7-11 approved earlier this year for alcohol sales was limited to sales hours of 6 a.m. to midnight. However, the applicant is requesting the maximum sales hours consistent with state requirements. Per the attached floor plan (Exhibit A), beer and wine will be stored in the last four of twelve reach -in coolers along the eastern wall of the store (farthest from the sales counter). A non -refrigerated wine & beer display is proposed on shelves nearby the coolers in the rear of the store. According to the applicant, approximately 90% of all beer and wine products would be stored within the four rearmost coolers. Coolers containing alcohol products will be locked after sales hours. Based on information provided by the applicant, 7-Eleven has a rigorous training program for sales employees including the following: • "Come of Age" training — Includes online training modules for employees. It addresses verification of I.D. cards and identifying impaired customers. • Secret Shopper program — Approved third party contractors visit stores randomly to confirm that all company policies are being followed. Analysis Alcohol /Community Meeting Chapter 18.30 of the National City Land Use Code allows for on -site alcohol sales with an approved Conditional Use Permit (CUP). Pursuant to Section 18.30.050 (C), a community meeting was held Monday, January 30, 2012 at 6:00 p.m. at the Chamber of Commerce. The applicant states that all property owners and occupants within 660 feet of the store were notified by mail of the meeting, but that no-one attended the meeting. Alcohol Sales Concentration/Location Per California State Alcoholic Beverage Control (ABC), there are currently eight (8) off - sale permits issued in this census tract (117). These permits are: Name Address License Type* CUP? Big Lots 1410 Plaza Blvd 20 Y Farmers Discount Market 1535 E 18th St 21 N Seafood City 1420 Plaza Blvd 21 Y Big Ben Market 108 E 8th St 21 N Wilson Liquor 916 E 8th St 21 Y Smart & Final 1220 Plaza Blvd 21 Y CVS 1201 Plaza Blvd 21 Y Wal-Mart 1100 Highland Ave 20 Y * Type 20 - Off -Sale Beer and Wine Type 21 - Off -Sale General (beer, wine, and distilled spirits) Of the eight licenses, six are are off -sale general (beer, wine, and distilled spirits) and two are off -sale beer and wine. Six of the eight outlets have Conditional Use Permits. Census tract 117 includes the area of the City between East 8th and 18th Street, and between National City Blvd. and Palm Avenue. The attached census tract map shows the location of the subject tract. ABC recommends a total of four off -sale alcohol permits be issued in this census tract, where eight exist. Chapter 18.030.050 (D), which usually applies with regard to distance requirements from other uses, requires a 660-foot distance from sensitive uses such as schools. However, outlets not selling alcohol products as a primary offering (as applies in this case) are exempt from these distance requirements. The nearest school is John Otis Elementary, which is located approximately 400 feet away to the southwest, across Highland Avenue. Police Department comments Crime statistics provided by PD indicate that the reporting area (Beat 21) had a 2009 crime rate of 109.7%, below the 120% considered to be a high crime area. Consistent with recent policy, PD provided a Risk Assessment report on the property. The assessment assigns points based on the type of business, license concentration, and calls for service (among others) and ranks the business according to potential risk (low, medium, or high). In this case, 7-11 received 11 points, which would indicate a low risk. The Risk Assessment is attached. Institute for Public Strategies comments An assessment of the proposal was also received from the Institute for Public Strategies (IPS). Issues mentioned were alcohol outlet concentrations in the area, surrounding uses, RBSS (Responsible Beverage Sales and Service) training, and prohibiting the sale of high risk product (single sales and three -packs). RBSS training is required per Conditions of Approval. The no three -pack suggestion would have to be addressed by Council as the recently approved Council alcohol policy allows for manufacturer's pre -packaged three -packs of 24-oz cans. Only Council can modify conditions required by the policy, although Planning Commission can recommend such modification to the Council as part of their recommendation. Conditions of Approval Standard Conditions of Approval have been included with this permit, as well as conditions specific to off -sale alcohol sales (no single sales, cup and ice prices, and signage). There are also conditions requiring coolers containing alcohol products to be locked after sales hours and for video surveillance equipment to be installed. Summary The sale of alcohol for off -site consumption at a proposed 7-11 will contribute to the viability of a convenience store, a permitted use within the Major Mixed -Use zone. Conditions of Approval for the sale of alcohol are intended to reduce the potential for adverse effects on area uses. Although this CUP will provide current Conditions of Approval consistent with City policy, the census tract in which the business is located is already contains twice the recommended ABC licenses and is, as such, over -concentrated with regard to off -sale alcohol licenses. RECOMMENDATION 1. Approve 2011-32 CUP subject to the conditions listed below, based on attached findings; or 2. Deny 2011-32 CUP based on attached findings/findings to be determined by the Planning Commission; or 3. Continue the public hearing to a specific date. ATTACHMENTS 1. Recommended Findings for Approval/Denial 2. Recommended Conditions 3. Location Map 4. Census Tract Map and Police Beat Map 5. Community Meeting Notice 6. Notice of Exemption 7. Public Hearing Notice (Sent to 344 property owners and occupants) 8. Site photos 9. Police Department Comments 10. Applicant's Plans (Exhibit A, case file no. 2011-32 CUP, dated 11/30/2011) MARTIN REEDER, AICP Assistant Planner BRAD RAULSTON Executive Director RECOMMENDED FINDINGS FOR APPROVAL 2011-32 CUP, 1539 Highland Ave. 1. That the site for the proposed use is adequate in size and shape, since the proposed use is an accessory use to an existing convenience store use in an existing commercial area and the sale of beer and wine is not expected to increase the demand for parking on the property. 2. That the site has sufficient access to streets and highways that are adequate in width and pavement type to carry the volume and type of traffic generated by the proposed use, since Highland Avenue is classified as an arterial street in the Circulation Element, and the addition of alcohol sales is not expected to result in an appreciable increase in traffic. 3. That the proposed use will not have an adverse effect upon adjacent or abutting properties, since the proposed use will be compatible with other nearby businesses; and since the proposed use will be subject to conditions that limit the sale of alcohol and restrict the hours that it will be available. 4. That the proposed use is deemed essential and desirable to the public convenience and welfare, since it will contribute to the viability of a convenience store, an established and allowed use in the applicable commercial zone. 5. That public convenience and necessity may be served by a proposed use of the property for the retail sales of alcoholic beverages pursuant to law. RECOMMENDED FINDINGS FOR DENIAL 2011-32 CUP, 1539 Highland Ave. 1 That the proposed use is not deemed essential and desirable to the public convenience and welfare, since there is already an over -concentration of off -sale alcohol licenses in census tract 117.00 in which the subject property is located. 2. The proposed use is not deemed essential and desirable to the public convenience and welfare since beer and wine are currently offered at eight other outlets within the same census tract. 3. That public convenience and necessity may not be served by a proposed use of the property for the retail sales of alcoholic beverages pursuant to law. RECOMMENDED CONDITIONS OF APPROVAL 2011-32 CUP, 1539 Highland Ave. General 1. This Conditional Use Permit authorizes the off -sale of beer and wine from a convenience store located at 1539 Highland Ave. Plans submitted for permits associated with this project shall conform with Exhibits A, Case File No. 2011-32 CUP, dated 11/30/2011. 2. Within four (4) days of approval, pursuant to Fish and Game Code 711.4 and the California Code of Regulations, Title 14, Section 753.5, the applicant shall pay all necessary environmental filing fees for the San Diego County Clerk. Checks shall be made payable to the County Clerk and submitted to the National City Planning Department. 3. This permit shall become null and void if not exercised within one year after adoption of the Resolution of approval unless extended according to procedures specified in Section 18.116.190 of the Municipal Code. 4. This permit shall expire if the use authorized by this resolution is discontinued for a period of 12 months or longer. This permit may also be revoked, pursuant to provisions of the Land Use Code, if discontinued for any lesser period of time. 5. This Conditional Use Permit may be revoked if the operator is found to be in violation of Conditions of Approval. 6. Before this Conditional Use Permit shall become effective, the applicant and the property owner both shall sign and have notarized an Acceptance Form, provided by the Planning Division, acknowledging and accepting all conditions imposed upon the approval of this permit. Failure to return the signed and notarized Acceptance Form within 30 days of its receipt shall automatically terminate the Conditional Use Permit. The applicant shall also submit evidence to the satisfaction of the Development Services Director that a Notice of Restriction on Real Property is recorded with the County Recorder. The applicant shall pay necessary recording fees to the County. The Notice of Restriction shall provide information that conditions imposed by approval of the Conditional Use Permit are binding on all present or future interest holders or estate holders of the property. The Notice of Restriction shall be approved as to form by the City Attorney and signed by the Development Services Director prior to recordation. Planning 7. The sale of beer or malt beverages in quantities of quarts, 22 ounce, 32 ounce, 40 ounce, or similar size containers is prohibited. 8. No beer products shall be sold of less than manufacturer's pre -packaged three -pack quantities of 24 ounce cans per sale. There shall be no sale of single cans or bottles. 9. No sale of wine shall be sold in containers of less than 750 milliliters. The sale of wine with an alcoholic content greater than 15% by volume is prohibited. 10. Flavored malt beverages, also known as premium malt beverages and flavored malt coolers, and sometimes commonly referred to as wine coolers, may be sold only by four -pack or other manufacturer's pre -packaged multi -unit quantities. 11. The consumption of alcoholic beverages is prohibited on the subject premises, and on all parking lots and outbuildings and any property or adjacent property under the control of the applicant. 12. All cups and containers shall be sold at or above prevailing prices and in their original multi -container packages of no fewer than 12, and no cups and containers shall be given free of charge. 13. Ice may be sold only at or about prevailing prices in the area and in quantities of not Tess than three pounds per sale. Ice shall not be provided free of charge. 14. The display of alcoholic beverages shall be limited to an area in substantial conformance with Exhibit A, Case File No. 2011-29 CUP, dated 11/02/2011. In addition, no alcohol shall be displayed on end caps or featured in the main aisles of the store. 15. Permittee shall post signs on the exterior building walls in compliance with Chapter 10.30.070 of the National City Municipal Code. Additionally, the permittee shall post signs, to be approved by the Planning Division, at each entrance to the applicant's premises and parking lot, prohibiting loitering and consumption of alcohol on the premises and adjacent property under his control. Said signs shall not be less than 17 by 22 inches in size, with lettering not less than one inch in height. The signs shall read as follows: a. "No open alcoholic beverage containers are allowed on these premises." b. "No loitering is allowed." 16. Containers of alcohol may not be stored on the premises, after being sold to patrons, for the purpose of later consumption. 17. Exterior advertising and signs of all types, promoting or indicating the availability of alcoholic beverages, including advertising/signs directed to the exterior from within, are prohibited. Interior displays of alcoholic beverages and signs, which are clearly visible to the exterior, shall constitute a violation of this condition. 18. The quarterly gross sales of alcoholic beverages shall not exceed the gross sales of all other commodities during the same period. The applicant shall at all times keep records which reflect separately the gross sales of alcoholic beverages and the gross sales of all other items. Said records shall be kept no Tess frequently than on a quarterly basis and shall be made available to the City Finance Department and any Peace Officer of the California Department of Alcoholic Beverage Control upon demand. 19. All sellers of alcohol shall receive Responsible Beverage Service and Sales (RBSS) training, including all owners, and managers. The RBSS training must be certified by the Department of Alcoholic Beverage Control (ABC). Proof of completion of an approved RBSS program must be provided prior to issuance of a city business license. As part of the RBSS training, the permittee shall make available a domestic violence training session as provided by the Institute of Public Strategies. 20. The sale of alcoholic beverages shall be prohibited between the hours of 2 a.m. and 6 a.m. 21. Coolers containing alcohol products shall be locked and made inaccessible to the public between the hours of 2:00 a.m. and 6:00 p.m. 22. No coin operated amusement devices shall be operated on the licensed premises. This restriction is intended to discourage loitering by those interested in or involved in purchasing alcoholic beverages and do not apply to coin operated rides in the front vestibule of the store intended to cater to children. 23. As part of this permit, security cameras shall be installed on the premises. Police 24. Permittee shall comply with all regulatory provisions of the Business and Professions Code that pertain to the sale, display and marketing or merchandising of alcoholic beverages. 106.02 City of National City CENSUS TRACTS SAN DIEGO .`.ny CORONADO) 0.5 CHULA VISTA 1 September 2003 Miles A Sw National wpm' Q Elam MIN t Launc Sweetwater County Park Fst 125.00 �s t 0-- , `', 11 `, —1-, 1 " `= 11 j' r 1 {,_�� \\ �1ttr�y'"4� :"tt \1 n � \\� V T NI 11` � lip +`• G-' 41 Las Palmas 11� z 11 ;� 1 W- -�,( ^+ 'l Copyrigit©'and (P) 199e"'2006 Microsoft corporation andlor its suppliers All rightsI eselvedt Portions©.1990-2005=Install Shield,Software Corporation. All rights;r'eselved. Ce'•rtaIn mappinga aF d ectIon_data ©+30054Ny9VrEC: All rights reseteed. N)1VTEC,and NAVTEi( ON li ARD;aie tratlenlafkP of NAVTEQ. 2005 Teie Atlas North Amerlca, Inc.; All rights': eseieed. Tele4Atias and Teie=btl s Nortil•'Amirica are trdematks ofTele Atlas1Inc. \� ' 1[ 1 \ _',;,_ =� City of National City Beat 21 Source: Microsoft Mappoint NCPD CAU, 4/18/07 NQTIEE QF IC METING CONDITIONAL USE PERMIT 7 ELEVEN, INC. DATE OF MEETING: 1111.1. January 30th, 2012 TIME OF MEETING: 6:00 p.m. LOCATION OF MEETING: National City Chamber of Commerce 901 National City Blvd. National City, CA 91950 PROJECT TYPE: Conditional Use Permit for Sale of Beer and Wine (off -premises consumption only), 24 Hour Operation (not applicable to beer & wine sales), and S ignage. PROJECT NAME: 7-Eleven, 1539 Highland Ave., National City, CA APPLICANT: 7-Eleven, Inc. PROJECT CONTACT: William A. Adams MAILING ADDRESS: 525 B Street, Suite 1500 PHONE NUMBER: (619) 233-8200 E-MAIL ADDRESS: wadams@nmalawfirm.com As a property owner, tenant, or person who has requested notice, please be advised that 7- Eleven, Inc. will hold a public meeting to provide information, answer questions, receive comments, and be informed of concerns regarding a proposed Conditional Use Permit to sell beer and wine, operate twenty four hours per day (not applicable to beer & wines sales), and install signage at 1539 Highland Ave., National City, California. The permit would allow the sale of beer and wine for consumption off of the store premises. The permit would be subject to operating conditions based on input from the Police Department, the Public, and the Planning Department. If you have any questions after reviewing this information, you can call the Project Contact listed above. INQOR�UitATED `' NOTICE OF EXEMPTION TO: County Clerk County of San Diego P.O. Box 1750 1600 Pacific Highway, Room 260 San Diego, CA 92112 Project Title: 2011-32 CUP Project Location: 1539 Highland Avenue, National City, CA 91950 Contact Person: Martin Reeder Telephone Number: (619) 336-4313 Description of Nature, Purpose and Beneficiaries of Project: Conditional Use Permit application for the sale of alcohol for off -site consumption in conjunction with a proposed 7-11 convenience store. Applicant: William Adams 9771 Clairmont Mesa Blvd. #G San Diego, CA 92124 Telephone Number: (858) 715-2714 Exempt Status: ❑ Statutory Exemption. (State type and Section No., if applicable) ® Categorical Exemption. Class 1 Section 15301 (Existing Facilities) ❑ Not a project as defined in Section 15332 of CEQA ❑ Not subject to CEQA (Sec. 15061b3) Reasons why project is exempt: The project will result in no changes to the physical environment, since the proposal involves the sale of alcohol for off -site consumption from a convenience store, an approved use in the respective commercial zone, and since no expansion is proposed. Date: MARTIN REEDER, AICP Assistant Planner CITY OF NATIONAL CITY - DEVELOPMENT SERVICES DEPARTMENT 1243 NATIONAL CITY BLVD., NATIONAL CITY, CA 91950 NOTICE OF PUBLIC HEARING CONDITIONAL USE PERMIT FOR THE SALE OF BEER AND WINE AT A NEW 7-11 TO BE LOCATED AT 1539 HIGHLAND AVENUE. CASE FILE NO.: 2011-32 CUP APN: 561-040-01 The National City Planning Commission will hold a public hearing after the hour of 6:00 p.m. Monday, February 6, 2012, in the City Council Chambers, Civic Center, 1243 National City Boulevard, National City, California, on the proposed request. (Applicant: William A. Adams) The applicant is requesting to sell beer and wine (Type 20 ABC license) from 6 a.m. to 2 a.m. daily. The store would be open 24 hours a day. Information is available for review at the City's Planning Division, Civic Center. Members of the public are invited to comment. Written comments should be received by the Planning Division on or before 12:00 p.m., February 6, 2012, who can be contacted at 619-336-4310 or planninq(c�nationalcityca.gov If you challenge the nature of the proposed action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the Planning Commission at, or prior to, the public hearing. NATIONAL CITY PLANNING DIVISION MARTIN REEDER, AICP Assistant Planner 2011-32 CUP — 1539 Highland Ave. — 7-11 — Site Photos A4# }ldik,f6d1;: �,..f9J/d1 �ff �.d.d /f � l �i l .# i �i , y/I. I!/11i Ai� +11 111✓�+�`�'J�I j Looking east from Highland Avenue Looking north from East 16th Street NATIONAL CITY POLICE DEPARTMENT ALCOHOL BEVERAGE CONTROL RISK ASSESSMENT DATE: 12/28/2011 BUSINESS NAME: 7/11 ADDRESS: 1539 Highland Avenue, National City, CA, 91950 OWNER NAME: William A. Adams (Applicant) DOB: Unk OWNER ADDRESS: 525 "B" Street, San Diego, CA, 92101 (add additional owners on page 2) I. Type of Business ❑ Restaurant (1 pt) VI Market (2 pts) ❑ Bar/Night Club (3 pts) II. Hours of Operation ❑ Daytime hours (1 pt) ❑ Close by lOpm (2 pts) 0 Close after lOpm (3 pts) III. Entertainment ❑ Music (1 pt) ❑ Live Music (2 pts) ❑ Dancing/Live Music (3 pts) IV. Crime Rate 0 Low (1 pt) ❑ Medium (2 pts) ❑ High (3 pts) V. Alcohol Businesses per Census Tract ❑ Below (1 pt) ❑ Average (2 pts) VI Above (3 pts) Revised: 11/11 1 of 2 National City Police Department VI. Calls for Service at Location (for previous 6 months) Below (1 pt) ❑ Average (2 pts) ❑ Above (3 pts) VII. Proximity Assessment (1/4 mile radius of location) ❑ Mostly commercial businesses (1 pt) Some businesses, some residential (2 pts) ❑ Mostly residential (3 pts) VIII. Owner(s) records check No criminal incidents (0 pts) ❑ Minor criminal incidents (2 pts) ❑ Multiple/Major criminal incidents (3 pts) ABC Risk Assessment Low Risk ( 12pts or less) Medium Risk (13 — 18pts) High Risk (19 — 24pts) Total Points 11 OWNER NAME: William A. Adams (Applicant) DOB: Unk OWNER ADDRESS: 525 "B" Street, San Diego, CA, 92101 OWNER NAME: Greg Velasquez (Property Owner) DOB: Unk OWNER ADDRESS: 828 Prospect Street #E, La Jolla, CA, 92037 Recommendation: Census tract 117 currently has 19 ABC Licensed businesses. There are 2 of the 19 that are attempting to modify licenses types (Chuck E Cheese and Wal Mart) and 1 other business applying for a new license (Wing Stop), this would make 20 ABC Licenses in census tract 117, 8 more than allowed by ABC in this census tract. Census Tract 117 is designated to have 12 ABC licenses. With Wing Stop and this new 7/11, the total of ABC license types in census tract would be 21, 9 over the designated amount of 12 set forth by ABC. Completed by: Graham Young, Sergeant 2 of 2 Badge ID: 365