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HomeMy WebLinkAboutBackground ReportBACKGROUND REPORT McDini's has two Conditional Use Permits related to live entertainment: 2009-10 CUP — permitted internal expansion of the premises with a reduction in required parking. A portion of this Conditional Use Permit (CUP) that requested extended live entertainment hours, a dance floor, and stage to be constructed was denied; 2010-33 CUP — permitted live entertainment Thursday through Sunday from 6 p.m. to 2 a.m. This CUP superseded CUP-1986-10, which originally approved live entertainment. 2010-33 CUP was subject to 24 Conditions of Approval, one of which required that the Planning Commission review the CUP one year from the date of the Resolution approval. To this end, a report was given to the Planning Commission on March 4, 2013 by City staff. The Police Department made a presentation on activities at McDini's within the previous 12 months. The Commission ultimately set the item for hearing for June 17, 2013. Timeline The following is a summarized timeline regarding this matter: [Applicant ("permittee") informed that annual review would take place at the Planning Commission meeting of March 4, 2013] 2/27/13 Permittee submitted a written request that the meeting of March 4, 2013 be continued. 3/4/13 Planning Commission continued the hearing per applicant's request May 6, 2013. 5/6/13 No hearing conducted due to inadequate notice — Planning Commission set the revocation hearing for June 17, 2013. 5/30/13 Planning Commission staff report for 6/17/13 hearing provided to applicant. 6/14/13 Permittee submitted a written request that the meeting of June 17, 2013 be continued for one month. 6/17/13 Planning Commission took no action on the requested continuance and conducted a public hearing to consider revocation. Hearing closed. 6/27/13 Permittee submitted a written request that the Resolution scheduled to be acted upon at the July 1, 2013 Planning Commission meeting be pulled from the agenda. 7/1/13 Request to pull Resolution from agenda not entertained. Resolution adopted revoking 2010-33 CUP. Revocation Hearing At the revocation hearing conducted on June 17, 2013, Planning staff made a PowerPoint presentation giving the history of the process to date. The Police Department (PD) made a comprehensive PowerPoint presentation on the allegations against McDini's as stated in the original memorandum ("PD Memo") submitted to the Planning Department. The PowerPoint presentations are attached with this packet. The PD memorandum is an attachment with the June 17, 2013 Planning Commission staff report (attached). The Police Department provided information in their presentation regarding recently advertised events, ABC licensing types, previous license violations at McDini's, lack of qualified security staff, calls for service, violent incidents, and other CUP violations. Almost all information provided constituted or contributed to violations of Conditional Use Permit 2010- 33 CUP, as noted in the PD Memo. The permittee responded to some of the allegations, stating that he felt the information unfounded, and suggested that some City staff was unqualified to report out on the matter. He stated that he was running a legitimate and legal business within the scope of his CUP. The Planning Commission disagreed with the permittee and expressed disappointment at recent events. The Commission ultimately voted to revoke 2010-33 CUP, based on violations outlined in the PD memo. With the exception of one absence, all Commissioners who were in attendance at the revocation hearing voted unanimously to revoke the CUP. One member abstained from the July 1, 2013 Resolution vote as they were not present at the June 17, 2013 public hearing. The Resolution revoking 2010-33 CUP is attached to this report. Notice of Violation Condition No. 2 of City Council Resolution 2012-49, which approved 2010-33 CUP contained the following language: 2. No live entertainment, dancing, or construction of any stage or dancing area may commence until the stipulated judgment has been rescinded or modified appropriately so as to allow for such activities. In the event that the stipulated judgment is modified to allow for live entertainment, the following conditions shall apply: a. If any incidents involving calls for service involving any types of violence occur in a 12 month period (at McDini's, the areas adjacent to McDini's, at Big Bens or Union Bank, or the McDini's parking lot) and the Police Department responds then McDini's agrees to penalties, as follows: i. 15t incident: $1,000 ii. 2nd incident: $2,000 iii. 3rd incident: $3,000 If an incident occurs that requires more law enforcement resources, the cost of which exceeds the penalty, McDini's agrees to reimburse for the additional costs. As a result of PD's allegations of calls for service regarding violent incidents, the Planning Department issued a Notice of Violation on February 26, 2013, requiring the payment of fines in the amount of$6,000, as noted in Condition No. 2 quoted above. The applicant was given until March 24, 2013 to pay these fines. Although the fine due date was extended until April 23, 2013, no fines have yet to be paid. Appeal Process The permittee has filed an appeal of the Planning Commission's revocation to the City Council per Section 18.12.060 of the National City Municipal Code, submitted with an appeal fee of $3,710. NCMC Section 18.12.060 (C)(3) provides the following direction: "At the time set for such hearing, the City Council shall give the appealing party a reasonable opportunity to be heard on the matter, and may require reports from any City department. After the hearing, the City Council shall affirm, disaffirm, or modify the decision appealed. The decision of the city council shall be final and conclusive." Staff concurs with the decision of the Planning Commission and recommends that the revocation of Conditional Use Permit 2010-33 CUP by the Planning Commission be affirmed.