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HomeMy WebLinkAboutCC Resolution 12840 (330 Bellam Blvd. - Denying Appeal)RESOLUTION NO. 12840 A RESOLUTION OF THE CITY COUNCIL OF SAN RAFAEL DENYING TWO SEPARATE APPEALS (AP09-004) AND UPHOLDING THE PLANNING COMMISSION'S ACTION AFFIRMING THE ZONING ADMINSTRATOR'S CONDITIONAL APPROVAL OF AN ADMINISTRATIVE ENVIRONMENTAL AND DESIGN REVIEW PERMIT (ED09-014), ADMINISTRATIVE USE PERMIT (UP09-015), SIGN PERMIT (SR09-012) AND GRANT OF A PUBLIC CONVENIENCE OR NECESSITY (PCN09-001) TO ALLOW: A) EXTERIOR MODIFICATIONS TO THE EXISTING COMMERCIAL BUILDING, INCLUDING AN ALTERATION TO THE BUILDING ENTRY, NEW COLORS AND MATERIALS ON THE BUILDING AND NEW WOODEN TRELLISES AND COLUMNS ALONG FRONT OF BUILDING; B) OUTDOOR DINING AREA ON THE PRIVATE SIDEWALK AREA IN FRONT OF THE STRUCTURE; C) NEW BUILDING SIGNS; AND D) ALCOHOL SALES IN THE NEW GROCERY STORE AT 330 BELLAM BLVD (APN 009-280-06). THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows: WHEREAS, on March 30, 2009 David Mena of Mena Architects, on behalf of Mi Pueblo Grocery Store, submitted applications to the City of San Rafael Community Development Department requesting an Administrative Environmental and Design Review Permit (ED09-014), Sign Permit (SR09-012) and Public Convenience or Necessity (PCN09-001) to allow: a) exterior modifications to the existing commercial building, including an alteration to the building entry, new colors and materials on the building and new wooden trellises and columns along front of building; b) outdoor dining area on the private sidewalk in front of the structure; c) new building signs; and d) alcohol sales for a new grocery store use located at 330 Bellam Blvd; and WHEREAS, on April 28 , 2009, the applications were deemed incomplete for processing due to the need for additional information on the project plans and the requirement that an application for an Administrative Use Permit be filed for the proposed outdoor dining. An incompleteness letter was sent to the applicant; and WHEREAS, on May 1, 2009, revised plans were submitted along with the application for an Administrative Use Permit (UP09-015) as required by the incompleteness letter and the applications were deemed complete for processing; and WHEREAS, the proposed Use Permit application was reviewed by the Land Development, Traffic Engineering, Fire Prevention and Building Divisions of the City of San Rafael and was recommended for approval subject to conditions; and WHEREAS, on May 19, 2009, the City of San Rafael Zoning Administrator (ZA) held a duly -noticed public hearing on the proposed Administrative Environmental and Design Review Permit, Administrative Use Permit, Sign Permit and Public Convenience or Necessity (PCN) applications, accepting all oral and written public testimony. Seven neighboring business owners, property owners, and residents were present at the hearing, raising a number of concerns and issues about the proposed new use; and WHEREAS, following closure of the public hearing on May 19, 2009, the ZA continued the matter to May 20, 2009 to allow for the review and consideration of the numerous comments raised at the hearing; and WHEREAS, on May 20, 2009, the ZA rendered a decision, approving the project with conditions. Notice of said decision, including transmittal of the meeting minutes and findings and conditions of approval were provided to the applicants and their team, as well as the members of the public who requested such notice; and WHEREAS, on May 25, 2009, Ruth Donohugh, a neighboring business owner (Picante Restaurant at 340 Bellam Blvd), filed an appeal (AP09-002) pursuant to the provisions of San Rafael Municipal Code Chapter 14.28, citing I 1 points of appeal and requesting that the Planning Commission reverse the May 20, 2009 decision of the ZA; and WHEREAS, on July 14, 2009, the Planning Commission held a duly -noticed public hearing to consider the Appeal (AP09-002), accepted and considered all oral and written public testimony and the written report of the Planning Division; and WHEREAS, upon review of the appeal and the scope of the project, the Planning Commission has confirmed that the project is Categorically Exempt pursuant to the California Environmental Quality Act (CEQA) Guidelines Section 15301; and WHEREAS, on July 14, 2009, the Planning Commission adopted Resolution No. 09 -06 - by a vote of 4-0-3 (Commissioners Colin, Lang and Paul absent) denying the appeal (AP09-002) and upholding the Zoning Administrator's May 20, 2009 approval of the Administrative Environmental and Design Review Permit, Administrative Use Permit, Sign Permit and Public Convenience or Necessity (PCN) for the new grocery store at 330 Bel [am Blvd; and WHEREAS, on July 21, 2009, two separate appeals of the Planning Commission decision were filed pursuant to the provisions of San Rafael Municipal Code Chapter 14.28. The first was an appeal by Ruth Donohugh of Picante Restaurant and the second was an appeal by Bruce Livingston of Marin Institute (AP09-004) (collectively, "the Appeal"), citing two separate reasons for the appeal and requesting that the Council reverse the May 20, 2009 decision of the ZA; and WHEREAS, on September 21, 2009, the City Council held a duly noticed public hearing to consider the Appeal (AP09-004), accepted and considered all oral and written public testimony and the written report of the Planning Division. WHEREAS, upon review of the application, the City Council reaffinns that the project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15301 of California Environmental Quality Act (CEQA), which exempts reuse or additions to existing private structures that result in an increase of less than 10,000 square feet from the requirements of CEQA, if the project is located in an area that is served by all available public utilities to allow for maximum development permissible under the General Plan and if the project is located in an area that is not environmentally sensitive. A separate CEQA finding has been made below; and WHEREAS, the custodian of documents which constitute the record of proceedings upon which this decision is based is the Community Development Department. NOW, THEREFORE, BE IT RESOLVED, that the City Council hereby denies the Appeal (AP09-004) by Ruth Donohugh and upholds the Planning Commission's July 14, 2009 decision affirming the Zoning Administrator's approval of the Administrative Environmental and Design Review Permit, Administrative Use Pen -nit, Sign Permit and Public Convenience or Necessity (PCN) for the new grocery store at 330 Bellam Blvd. The City Council finds that the points of the appeal (identified in bold/italics) cannot be supported for the following reasons: Appeal #1— Anneal by Ruth Donohugh Appeal Point W a - Proposed Food Center coittains a fast food restaurant a) When reviewing proposed land uses to determine whether they are allowed or conditionally allowed, the City makes its land use decisions based on the primary use or multiple primary uses of a building. In this particular case, the food service portion of the use was not determined to be a separate use, but rather an ancillary use to the main use of the building, a grocery store. b) The food service component of the grocery store is neither a separate nor a primary use of the building, therefore it is considered an ancillary use to the primary use of the building, a grocery store. The primary use of the structure is found to be that of a grocery store based on the: I ) proportion of the prepared food sales/food service vs. the total sales from all other uses in the building is less than 25% of the total sales, 2) amount of area dedicated to the food service vs. the total floor area is less than 25% of total building area; 3) there is no demised or separate space for the food service and it is a part of the grocery store use; and 4) most of the food service sales would occur in conjunction with the sales of groceries and other household products in the grocery store. c) In addition, the proposed food service component of the grocery store use would not be considered a "fast food restaurant" since it does not meet the definition of "fast food restaurant" contained in Section 14.03.030 of the Zoning Ordinance given that the use does not include any of the five listed elements. Specifically, the proposed use does not include a drive-thru service, an outdoor speaker for drive-thru service, nor does it propose to include late (past 11 pm) or early hours (before 6am) of operation. Furthermore, the proposed use would not present potential litter problems or outdoor gathering places more than a typical food service establishment or grocery store. d) The retail sales of prepared foods for on or off-site consumption, including a bakery, deli, butchery and other similar uses are a common and integral component of nearly all large, full- service grocery stores. e) Considering this type of ancillary food service as a "fast food restaurant" would not be consistent with the historical application of the Zoning Ordinance for other food service establishments in the City and would render other uses that have been considered food service restaurant to be considered as fast food. If the City were to apply the rationale and definition of fast food in a manner suggested in the Appeal, then nearly all of the other small restaurants, deli's, coffee shops, taqueria's and similar food service establishments would have to be considered as fast food and thus necessitate Use Permits. Appeal Point #1b - Proposed Food Center does not comply with parking requirements. a) As discussed above, the use is considered a grocery store, with ancillary food service, office, storage, beer and liquor sales and a variety of other ancillary uses. The parking is based on the gross square footage of the primary use of the building, and not the individual calculation of parking of all ancillary uses. The food service component of the grocery store is neither a separate nor a primary use of the building, therefore it is considered an ancillary use. b) The parking requirement for grocery stores is 1 space/250 gross sq ft. of building area. The project site provides 162 on-site parking spaces, 17 more than the 145 required by the zoning ordinance. Appeal Point #1 c — The Mi Pueblo Fastfood restaurant is also a /nigh volume food service establishment. a) It is determined that the food service component of the proposed use, whether it be high volume, fast food, or a restaurant, is a minor and ancillary component of the primary use of the building as a grocery store. Therefore, it is considered an accessory or ancillary use to the primary use of the building, a full-service grocery store. b) The land use table for the General Commercial Zoning District identifies that "Accessory structures and uses customarily incidental to a permitted use and contained on the same site" are pennitted uses. Appeal Point #Id - The Mi Pueblo fast food restaurant requires a Conditional Use Permit and the high volume service establishment requires a Conditional Use Perntit. a) As stated in appeal points la and lc, it is determined that the food service use is considered ancillary to the grocery store use and not a separate use. Therefore, no Use Permit is required. NOW, THEREFORE, BE IT FURTHER RESOLVED, that the City Council hereby denies the Appeal (AP09-004) by Bruce Livingston of Marin Institute and upholds the Planning Commission's July 14, 2009 decision affirming the Zoning Administrator's approval of the Administrative Environmental and Design Review Permit, Administrative Use Permit, Sign Permit and Public Convenience or Necessity (PCN) for the new grocery store at 330 Bellam Blvd. The City Council finds that the points of the appeal (identified in bold/italics) cannot be supported for the following reasons: Appeal #2 — Appeal by Bruce Livineston of Marin Institute. Appeal Point #2a - The Planning Conuttission failed to follow the letter of the law in part due to facts that were ignored by dee Zoning Administrator. The Planning Commission was under the erroneous impression that they were simply deciding whether or not to approve dee alcohol license, when in fact it was decided to carve out an exception to state law that protects the public. a) The State Department of Alcohol and Beverage Control (ABC) is the agency that has the authority to issue alcohol licenses. A local governmental agency, such as the City of San Rafael, does not have the authority to grant a license. In certain circumstances where there is an undue concentration of licenses, ABC will not issue a new off -sale license or certain on -sale licenses unless the local government body (city or county) first grants a finding of Public Convenience or Necessity (PCN). The Planning Commission was clear in their roles and scope of the review and consideration of the PCN. b) San Rafael City Council Resolution No. 10299 governs the procedures for the City's review and criteria for determination of whether such license would provide a public convenience or necessity and identifies seven criteria that are to be considered by the City as part of its determination whether the public convenience or necessity would be served. c) The appeal point that the project does not meet all seven criteria and therefore cannot be approved is an incorrect application of the PCN resolution. The Resolution requires that "for purposes of determining whether public convenience or necessity will be served by issuance of an .... off -sale retail liquor license subject to local determination, the following criteria shall be considered." d) The City is required to consider the seven criteria as part of their review, but does not mean that all seven criteria are absolute. The intent of the review criteria is to consider the specific request for a PCN, determine whether there would be a public convenience or necessity served by the addition of that specific license in the area, and consider the request in light of the review criteria. The ZA and the Planning Commission properly considered all seven criteria. e) The appellant's claims that the project did not meet the following four criteria are incorrect given that the City did consider these criteria, along with all other criteria, and determined that based on the type of license, operation location and surrounding conditions, the project would provide a public convenience as discussed below. 1. Will the issuance of a liquor license increase the total number of licenses in the city or census tract? a) The appeal is correct in that this license would increase the number of licenses in the area. However, the entire purpose of the PCN process is that when a new license is proposed in a community that has an over -concentration of existing licenses, the local agency has the authority to review and consider the request and must first grant a PCN before ABC will issue another new license in the area. b) The City of San Rafael has considered the type of license requested, the nature of the license and the review criteria contained in the PCN Resolution and determined that the public convenience would be served by the addition of this license. 2. Will issuing the license serve a segment of the population not presently being served? a) The appeal is correct in that there are 29 other licenses in the area and this constitutes an overconcentration of licenses. Of the 29 existing licenses, four (4) are for off -sale of beer, wine and hard alcohol (Type 21), such as the license sought by the applicant here. b) The Canal area does have an overconcentration of licenses based on ABC's criteria, and that is the reason why, before issuing a new license, ABC requires the local agency to process a PCN and to review the application and determine whether it finds a public convenience or necessity would be served by the addition of a new license. c) The preponderance of the evidence demonstrated that issuance of a PCN to allow liquor sales at this grocery store would provide a convenience to the shoppers of this facility given that the opportunity to buy liquor would be in conjunction with typical shopping for purchase of groceries, household products produce, meats and other supplies typically found at other frill service grocery stores. There are no other large, full-service grocery stores in the Canal neighborhood and adding this new license would serve that need. d) Furthermore, off -sale of beer, wine and hard alcohol is a common component of nearly all full-service grocery stores in this City, as well as in other communities throughout the state. There are 4 existing ABC licenses in the area that permit off -sale of beer, wine and hard alcohol and none of the 4 licenses are associated with a full-service grocery store. Additionally, given the operational plan and amount of area dedicated to liquor sales, the liquor sales are expected to make up less than 4% of the overall sales from the store, a minor portion of the merchandise sales. 3. Is the location of the business applying for the liquor license within 1,000 feet of an incompatible facility such as day care centers, schools, churches, parks, honteless shelters, rehabilitation centers of places that are designed and operate to serve minors? a) Prior to the Zoning Administrator hearing, there was no oral or written comment from any person or group that the proposed license would be located near an incompatible facility. b) On the evening of the Planning Commission hearing, the County Department of Health and Human Services did submit a letter providing information and data to help the City make its decision, citing the higher density of alcohol sales in San Rafael than in the rest of Marin County, concern with drinking and driving, concern with placing alcohol sales close to the County facility and suggesting conditions of approval that should be placed on the grocery store. c) Prior to the ZA hearing and after the Planning Commission appeal, the Police Department was consulted to solicit their input and experience with off -sale licenses in the Canal area as well as other parts of the City and even though the site may be located near an incompatible facility, it was determined that it would not be an issue given that: • Alcohol sales are a small part of the overall sales from this grocery store (less than 4%), no on-site consumption is proposed and the amount of display of alcohol is limited to two interior merchandise racks that are not visible from the outside of the store. • The majority of alcohol sales from full-service grocery stores are not typically stand alone sales of alcohol, but rather a part of larger shopping trip. A Police Department review of five other comparable grocery stores in the City, (Safeway in downtown and North San Rafael, Scotty's Market, Whole Foods, and Andy's Market on Pt. San Pedro Rd) revealed that all of these other stores are near potentially "incompatible facilities" as defined by this criterion, including schools and youth based programs and that these full-service grocery stores with minor alcohol sales did not increase alcohol-related crimes in the area nor were they found to be incompatible with those surrounding uses. 4. Is Nee potential licensee located in a high crime area? a) This appeal point is incorrect since the City Council Resolution 10299 identifies that the City is to consider "reported crines means reported offenses of criminal homicide, forcible rape, robbery, aggravated assault, burglary, larceny !heft and motor vehicle theft, combined with all arrests for other misdemeanor crimes offelony crimes, except for traffic citations " (known as Part 1 crimes). b) The crime statistics provided by the appellant are from the City's Police Department web site and are not Part 1 crimes. The data they provided was from the "calls for service" section. c) The Police Department analyzed the crime statistics for the area for the previous year and found 36 Part 1 crimes that met the definition contained in the PCN resolution. In addition, the Police Department has analyzed part 1 crime rate in the Canal against other parts of San Rafael and found that there are 41.2 part 1 crimes per 1,000 residents in the Canal vs. 39.5 Part 1 crimes per 1,000 residents for the rest of the City. Therefore, the Canal area exceeds the remainder of the City by 4.3% and is well below the standard of 20% recommended for denial of an alcohol license. d) Therefore, the addition of an alcohol license in this area would not pose an impact on the Canal neighborhood which is an over -concentrated (alcohol licenses) and high crime area given that the type of business (Mi Pueblo) that is proposed, the nature of the surrounding uses and the part 1 crime data and the non -part 1 crime data pertaining to alcohol-related incidents in the area. BE IT FURTHER RESOLVED, that the time within which to seek judicial review of this decision is governed by Code of Civil Procedure section 1094.6. BE IT FURTI-IER RESOLVED that the City Council of the City of San Rafael upholds the Planning Commission action to deny the appeals and reaffirm the Zoning Administrator approval of an Administrative Environmental and Design Review Permit (ED09-014), Administrative Use Permit (UP09-015), Sign Permit (SR09-012) and Public Convenience or Necessity (PCN09-001), as modified by the Planning Commission through Resolution No 09-06, based on the following findings: Environmental and Design Review Permit (ED09-014) Finding 1) The project design to modify the exterior building materials and colors and revise the design of the building entry tower is in accord with the General Plan 2020, the objectives of the Zoning Ordinance and the purposes of this Chapter in that the project would be consistent with the applicable General Plan 2020, including: a. Land Use Policy 15 (Cogyetrience Shopping). This policy states "encourage the retention and improvement of existing retail stores and services in residential neighborhoods that provide needed neighborhood services and reduce traffic." This project would place a full service grocery store adjacent to a high density residential area. Given that there are no large frill service grocery stores within 2 miles of the Canal, this would place a needed service near residents. b. Land Use Policv 23 (Land Use Map and Catezories). The site is designated GC, a general commercial district which allows general retail and service uses, restaurants, automotive sales/service and hotels/motels. Circulation Policv 5 (Traffic Level of Service Standards). This policy establishes level of service standards for intersection in the City of San Rafael to evaluate new development. The City's Traffic Engineer has reviewed the project and identified the change in use to a grocery store would result in the generation of between 83 and 108 new A.M. peak hour trips and 226 to 308 new P.M. peak hour trips. However, the proposed grocery store use is a permitted use in the GC District and as part of the adoption of the Zoning Ordinance and the General Plan 2020 (adopted in 2004), the traffic generation from the wide range of allowable uses permitted in the GC District were incorporated into the traffic analysis prepared for the General Plan 2020 EIR as existing baseline conditions and has been accounted in the traffic system. d. Element Neighborhood Element Policv 49 (Conflicting Uses). This policy states "prevent the encroachment of new residential development into the Light Industrial/ Office District to minimize conflicts. Businesses locating adjacent to residential areas shall be designed to minimize nuisance impacts." This new business would place a new grocery store across the street from residential uses. The subject site is a commercially zoned property that allows grocery stores by right, therefore through the development of the zoning ordinance it has been determined that grocery store uses would be appropriate for the area. Furthermore, the proposed use would not operate outside of typical hours of typical grocery stores. e. Neighborhood Element Policv 52 (New Business Develoament). This policy states "encourage and give priority to new business development that benefits the neighborhood through provision of needed services, low traffic impacts, or employment of a high percentage of neighborhood residents. Encourage opportunities for local residents to own and operate businesses." As previously discussed, the Canal neighborhood has expressed a long standing desire for a full service grocery store in the Canal. Although there are many smaller neighborhood or specialty markets in the area, there is no large full scale grocery store. Furthennore, through the public hearing process, staff has received over 50 calls from residents in the Canal seeking employment at this facility. The operator of the grocery store has stated that their other facilities include large portions of the employees that reside in the same neighborhood as their stores. Furthermore, the project design would: a) provide a comprehensive design scheme for the entire building; b) upgrade the appearance of the existing commercial building through the provision of accent features and visual interest to break up the large expanses of walls; c) address and upgrade all four sides of the existing building; d) incorporate the use of high quality materials for the construction of the exterior modifications; e) add visual relief and interest to the main entry and front fagade of the building through the addition of pergolas, tile wainscoting and columns; f) improve landscaping at the main entry to the building and reestablish areas of failed landscaping; g) provide defined walkways and pedestrian entryways to the site to create a pedestrian friendly design from Bellam Blvd and encourage more pedestrian activity to the site; h) incorporate the proposed ancillary outdoor seating/dining area into the existing site without reducing existing on-site parking area; and i) improve the sense of entry to the building through the redesign of the building entry and addition of design features to the front of the structure. 2) The project design to modify the exterior building materials, colors and design of the existing commercial structure is consistent with all applicable site, architecture and landscaping design criteria and guidelines for the General Commercial (GC) District in which the site is located in that the project would: a) not propose any new development of structure; b) even though new development is not proposed, the existing structure complies with all current development standards for the GC District, including setbacks, lot coverage, building height, and landscaping requirements; c) provide 162 on-site parking spaces, in excess of the 145 spaces required for a grocery store use (at a rate of 1/250 sq ft); d) maintain all existing landscaped area and reestablish dead or dying landscaping in parking lot planter areas; and e) in addition to Environmental and Design Review Permit Finding #I above, improve the overall site plan design, site circulation, landscaping and design of the building. 3. The project design minimizes adverse environmental impacts in that the project: a) is a reuse of an existing developed site that hosts an existing commercial building; b) proposes exterior modifications to an existing structure; c) would not result in any new grading, development or tree removal; and d) is categorically exempt from the requirements of CEQA per section 15301 of the CEQA Guidelines (Existing Facilities) since it is a reuse of an existing commercial building that entails minor alterations to the exterior and the site plan of the structure and interior tenant improvements. 4. The project design to modify the exterior building materials, colors and design of the existing commercial structure will not be detrimental to the public health, safety or welfare, nor materially injurious to properties or improvements in the vicinity in that: a) there is no new development proposed on the site, would be consistent with the development standards for the GC District; b) proposes a use that is permitted by the General Commercial Zoning District, c) has been reviewed by appropriate City Departments and appropriate conditions have been included to mitigate any potential impacts from the exterior redesign; and d) would be required to obtain a building permit and health department permit for the interior and exterior modifications to ensure that the use and structure complies with all current building, electrical, mechanical, plumbing, health and fire codes. ADMINISTRATIVE USE PERMIT (UP09-015) FINDING The proposed outdoor dining/seating use is in accord with the General Plan, the objectives of the Zoning Ordinance, and the purposes of the General Commercial (GC) District in which the site is located given that the proposed outdoor dining/seating area: a) is consistent with the applicable General Plan policies as discussed in Environmental and Design Review Permit Finding #1 above; b) complies with the applicable provisions of the Zoning Ordinance by proposing a design that is integrated with the building remodel and satisfies the design criteria in Chapter 25 as discussed in the Environmental and Design Review Pen -nit findings above; c) is listed in the GC District as a permitted use subject to approval of an administrative Use Permit; d) complies with zoning setback, height, site distance and site design standards and does not have any significant effect on the existing site plan, and e) complies with the performance standards that apply to the outdoor seating use under Chapter 17 as discussed in Use Pen -nit Finding # 2 below. 2. The proposed outdoor dining/seating use as conditioned conforms to the standards established in Chapter 17 (Performance Standards) given that: a) the proposed outdoor seating area will not have a permanent roof over the outdoor seating area, b) outdoor seating fixtures would be movable and not permanent, c) the area does not exceed 25 -percent of the indoor dining/seating area capacity; and d) the seating area would be available during the normal hours of the grocery store and food service area. The physical placement of the use on the site is compatible with and relates harmoniously to the surrounding uses in the neighborhood given that the use has been: a) located in front and near the main entry to the grocery store use, a permitted use in the GC District; b) away from adjacent residential uses, c) integrated into the site design with new architectural features, including an open, non permanently -covered wood pergola and potted landscaping; and d) designed in accordance with and subject to approval of an Environmental and Design Review Permit pursuant to Chapter 25 with appropriate findings made to approve the design. 4. The outdoor dining/seating use, together with the conditions applicable thereto, will not be detrimental to the public health, safety, or welfare, or materially injurious to properties or improvements in the vicinity, or to the general welfare of the City given that the use is a) integrated into the site plan on an existing walkway area, b) the redesign of the parking layout and landscaping do not reduce the available parking area on-site, and the site plan has been reviewed by all appropriate City departments, including the City Traffic Engineer, and has been conditioned accordingly to ensure that City standards are met as a part of the re -use of the building to the maximum extent feasible. The outdoor dining/seating use, as conditioned, will be compatible with surrounding uses in that the use is: a) located on a commercially developed site that will be occupied by a grocery store with ancillary food service and the outdoor seating is ancillary to the food service use; b) compatible with the other uses in the area, including the County medical clinic, restaurant, residential uses, office uses and other commercial, retail and light industrial uses in the area since food service is complementing to other commercial and residential uses in terms of type and intensity of use, c) consistent with the applicable performance standards as discussed in Use Permit Finding #2 above, d) located entirely on-site and would operate only during the normal business hours of the grocery store and ancillary food service within he grocery store; it should not have significant impacts on the nearby residential neighborhood, particularly in the evening hours. SIGN PERMIT (SR09-012) FINDING 1. The proposed signs for the re -tenanting of the building are in general conformity with the sign ordnance and well integrated with the proposed design of the structure. A complete sign evaluation will be conducted at the time of Sign Permit submittal to ensure compliance with the Ordinance. This approval does not grant approval of specific signage, just the conceptual placement and design. PUBLIC CONVENIENCE AND NECESSITY (PCN09-001) FINDING The Planning Commission makes the following findings related to the criteria identified in City Council Resolution No. 10299 required for the determination of whether Public Convenience or Necessity will be served by the issuance of an on -sale or off -sale license where a finding of undue concentration has been made by the State Department of Alcohol and Beverage Control. Criteria 1: Whether the issuance involves an existing business license which is being transferred to a new location, and which will not result in an increase in the total number of off -sale retail liquor licenses or on -sale retail licenses in the City or in the census tract in which the business would be located. Finding: The applicant proposes a full-service retail grocery store use, with ancillary food service, within the General Commercial Zoning (GC) District. Oft -sale alcohol sales are proposed to be an ancillary part of the grocery store use. The grocery store use, including the ancillary food service use, is pennitted by right in the GC District given the fact that grocery stores that do not operate past 11:00 pm are permitted uses in this Zoning District. The application would increase the number of off -sale retail liquor licenses within the census tract by one. The off -sale liquor license would be transferred from another full-service grocery store in Marin County and would therefore increase the number of off -sale liquor licenses in the subject census tract. The San Rafael Police Department has reviewed the proposed project for an additional off -sale liquor license at this location and based on the type of use has recommended approval of the application. Criteria 2: Whether the business, by reason of its location, character, manner or method of operation, merchandise, or potential clientele, will serve a segment of the City's business or residents not presently being served. Finding: The proposed grocery store use, with off-site sales, is marketed as a full-service grocery store. The grocery store would not sell: • Items/containers with more than 7% alcohol content; • High alcohol malt liquor; • Single unit containers less than 20 ounces; • Hard alcohol containers under 9 fluid ounces; or • Half pints or airport size bottles. The proposed use would focus on grocery and food items, with alcohol sales estimated at representing less than 4% of total store sales. This particular store would service the demand for a large, full-service grocery store, including the sale of off -sale beer, wine and hard alcohol, a type of use and convenience not readily available in the entire Canal or East San Rafael area. In addition, there are only four other similar off -sale licenses in the Canal neighborhood (of the 29 total alcohol 10 licenses) and the addition of this license for this grocery store would provide the only off -sale license associated with a frill -service grocery store in the area. Criteria 3: Whether the business will be located within a 1,000- foot radius of incompatible facilities, such as public and private schools, day care centers, churches, parks, homeless shelters, and alcoholic rehabilitation centers, and facilities designed and operated to serve minors. Finding: The proposed liquor store at 330 Bellam Blvd is located on a major transportation corridor within the East San Rafael area and would not be within 1,000 feet of a church, public school day care center or homeless center. Although the proposed license would be located within 1,000 feet of the County Health and Wellness Center, a facility that provides services to youths, the granting of a PCN is not found to pose an issue on this facility given that: • Alcohol sales is such a small part of the overall sales from this grocery store (less than 4%), no on-site consumption is proposed and the amount of display of alcohol is limited to two interior merchandise racks that are not visible from the outside of the store. • The majority of alcohol sales from full-service grocery stores are not typically stand alone sales of alcohol, but rather a part of larger shopping trip. Lastly, the Police Department has reviewed 5 other comparable grocery stores in the City, including Safeway in downtown and North San Rafael, Scotty's Market, Whole Foods, and Andy's Market on Pt. San Pedro Rd. All of these facilities are near potentially "incompatible facilities" as defined by this criterion, including schools and youth based programs. This review found that these full-service grocery stores with minor alcohol sales would not increase alcohol-related crimes in the area nor would it be incompatible with those uses. Furthermore, the Zoning and General Plan designations for the parcel allow grocery stores or supermarkets, uses that typically contain alcohol sales, by right and do not require a Use Permit. The proposed business with operational conditions would not be incompatible with surrounding uses and facilities in that there are other small retail establishments and liquor stores in the vicinity. Criteria 4: Whether the location of the license will be in a crime data area covered by Police Department statistics, which has a twenty percent (20%) greater number of reported crimes than the average number of "reported crimes" for all crime data areas in the City, over previous year. For this purpose, "reported crimes" means reported offenses of criminal homicide, forcible rape, robbery, aggravated assault, burglary, larceny theft, and motor vehicle theft, combined with all arrests for other misdemeanor or felony crimes, except for traffic citations. Findina: The property at 330 Bellam Blvd was formerly an electronic retail store and is located within a crime data area with high calls for police service; however, the subject site has only had 36 calls for service for calendar year 2008. Of these 36 calls, seven calls were for Part 1 crimes. There were 110 Part 1 crimes in the entire crime data area (Zone 2) in which this site is located. The 36 calls for service for this site over this period are considered to be low. As stated above, the Police Department has recommended approval of the project. In addition, the Police Department has analyzed part 1 crime rate in the Canal area against other parts of San Rafael and found that there are 41.2 part 1 crimes per 1,000 residents in the Canal vs. 39.5 Part 1 crimes per 1,000 residents for the rest of the City. Therefore, the Canal area exceeds the remainder of the City by 4.3% and is well below the standard of 20% recommended for denial of an alcohol license. In conclusion, based on the type of business (Mi Pueblo), the surrounding uses, the part 1 crime data and the non part 1 crime data pertaining to alcohol-related incidence, the Police Department recommends that the Mi Pueblo project will not have a negative impact on the area. Criteria 5: Whether the issuance of the license involves an existing business, which has been located at a site which has had three or more reported crimes defined in (4) above within the previous one-year period. Finding: This proposed grocery store, with ancillary off -sale liquor sales, is not an existing business within the City of San Rafael and this subject site. Therefore this is not applicable. Criteria 6: Whether the issuance of the license will promote the goals and policies of the City's adopted General Plan, any applicable specific plan, or any similar policies that have been formally adopted by the City Council. Finding: The proposed grocery store is a permitted use for the General Commercial district. Liquor sales contained in a full service grocery store are considered an ancillary use to the grocery store use and therefore considered within the scope of a typical grocery store. Establishment of a full service grocery store in the Canal area is a long standing goal of the City's General Plan to provide full service groceries sales to residents in the area. Currently, there is no full service grocery store within walking distance of the Canal neighborhood and residents would have to travel 1.9 miles to the Whole Foods on 3`d St or 2.3 miles to the Safeway in downtown. The use would be compliant with all General Plan 2020 and Zoning Ordinance regulations. The General Plan designation for 330 Bellam Blvd is General Commercial and the Zoning is General Commercial (GC). As stated in item 1, a grocery store with ancillary liquor sales is a pennitted use by right in the GC District. Criteria 7: Whether any other information supplied by the applicant, or other competent evidence shows that public convenience or necessity will be served by issuance of the license. Findina: The applicant has submitted a proposed letter and operational plan, dated April 16, 2009 from Mi Pueblo Foods that addresses various Planning and Police Department concerns. The proposed business would provide the convenience of having beer, wine and liquor available to customers when they purchase groceries at the new full service grocery store. There is no other large full service grocery store in the Canal (nor is there within 1.9 miles) with the proposed wide variety of food and household products, including off-site alcohol sales. The project was noticed to property owners within 300 feet of the subject property and although objections were voiced at the public hearing, no evidence was presented that the liquor sales would not serve a public convenience or necessity as described by the project proponent. In addition, the project was referred to the Canal Area Property and Business Owners Association, Canal Alliance, Rafael Bay Townhomes HOA, Spinnaker HOA and Baypoint Lagoon HOA. 12 CALIFORNIA ENVIRONMENTAL OUALITY ACT (CEOA) FINDING The proposed project is exempt from the requirements of the California Environmental Quality Act (CEQA) per Section This project qualifies for an exemption from the requirements of CEQA under Section 15301 (Existing facilities) which exempts additions to existing structures less than 10,000 square feet on sites where all public services and facilities are available to allow for maximum development permissible in the General Plan and that are not environmentally sensitive. This exemption was found to be acceptable given that the: a. Proposed project involves the reuse of an existing commercial structure with a use that is permitted in the zoning District; b. Exterior modifications would not result in an increase in floor area, the project proposes minor exterior modifications to building materials and colors and site and landscaping improvements that do not change the mass or bulk of the existing building; c. The site is located on a completely developed and graded lot and there are no known sensitive environmental factors located on this site. d. The site is served by all necessary utilities e. The proposed use is a permitted use in the GC District and provides more parking that that required by the City's Zoning Ordinance for this type of use. Given that the grocery store use is a permitted use and there is no expansion of floor area, the traffic intensification or de - intensification associated with all use occupancies of existing building by permitted and conditionally permitted uses were incorporated, evaluated and analyzed as part of the environmental review conducted in conjunction with the adoption of the City's General Plan 2020. BE IT FURTHER RESOLVED, that the City Council of the City of San Rafael in denying both appeals from Ruth Donohugh and Bruce Livingston of Marin Institute (AP09-004) reaffirms the approval of the Administrative Environmental and Design Review Permit (ED09- 014), Administrative Use Permit (UP09-015), Sign Permit (SR09-012) and Public Convenience or Necessity (PCN09-001) subject to the following conditions of approval (as modified by the Planning Commission Resolution No. 09-06): ENVIRONMENTAL AND DESIGN REVIEW PERMIT (ED09-014) General and On -Going Conditions Community Development Department - PlanninR Division 1. The exterior modifications to the structure and the site shall be developed in substantial conformance with the building techniques, materials, elevations and appearance of the project, as presented for approval on plans prepared by Mena Architects, titled Mi Pueblo Food Center, date stamped Approved September 21, 2009 by the City Council and on file at the Community Development Department containing Sheets No. P001, PI01, L1, P102, P103, P104, P105 and P106 and colored elevation of Sheet P105 and shall be the same as required for issuance of a building permit, except as modified by these conditions of approval. 2. Minor modifications or revisions to the approved design of the exterior of the structure and site approved by this project shall be subject to review and approval of the Community Development Department, Planning Division. Modifications deemed not minor by the IN Community Development Director shall require review and approval by the original decision making body, the Zoning Administrator, and the City's Design Review Board, if necessary. 3. This Environmental and Design Review Permit (ED09-014) shall be valid for the life of the project provided that a building permit is issued and construction begun within two (2) years of this approval or until September 21, 2011. Failure to obtain a building pen -nit or a time extension by the specified date or a time extension may result in the expiration of this Environmental and Design Review Permit (ED09-014) approval. 4. Approved colors are as shown on the approved building elevations contained in the approved plans as on file with the Community Development Department, Planning Division. Any future modification to colors shall be subject to review and approval of the Planning Division and major modifications may be referred to the Design Review Board. Applicant agrees to defend, indemnify, release and hold harmless the City, its agents, officers, attorneys, employees, boards and commissions from any claim, action or proceeding brought against any of the foregoing individuals or entities ("indemnities"), the purpose of which is to attack, set aside, void or annul the approval of this application or the adoption of any environmental document which accompanies it. This indemnification shall include, but not be limited to, damages, costs, expenses, attorney fees or expert witness fees that may be asserted or incurred by any person or entity, including the applicant, third parties and the indernnifres, arising out of or in connection with the approval of this application, whether or not there is concurrent, passive or active negligence on the part of the indernnitees. In the event that any claim, action or proceeding as described above is brought, the City shall promptly notify the applicant of any such claim, action or proceeding, and the City will cooperate fully in the defense of such claim, action, or proceeding. In the event the applicant is required to defend the City in connection with any said claim, action or proceeding, the City shall retain the right to: 1) approve the counsel to so defend the City; 2) approve all significant decisions concerning the manner in which the defense is conducted; and 3) approve any and all settlements, which approval shall not be unreasonably withheld. Nothing herein shall prohibit the City from participating in the defense of any claim, action or proceeding, provided that if the City chooses to have counsel of its own to defend any claim, action or proceeding where applicant already has retained counsel to defend the City in such matters, the fees and the expenses of the counsel selected by the City shall be paid by the City. As a condition of this application, applicant agrees to be responsible for the payment of all City Attorney expenses and costs, both for City staff attorneys and outside attorney consultants retained by the City, associated with the reviewing, process and implementing of the land use approval and related conditions of such approval. City Attorney expenses shall be based on the rates established from time to time by the City Finance Director to cover staff attorney salaries, benefits, and overhead, plus the actual fees and expenses of any attorney consultants retained by the City. Applicant shall reimburse City for City Attorney expenses and costs within 30 days following billing or same by the City. 8. The City shall have the right of entry to inspect the premises to verify compliance with the conditions of approval and the San Rafael Municipal Code. 9. The property owner shall pay the costs of any code enforcement activities, including attorney fees resulting from the violation of any conditions of approval or any provision of the San Rafael Municipal Code. 14 10. All site improvements, including but not limited to, the site lighting, fencing, landscape islands, paving and striping shall be maintained in good, undamaged condition at all times. Any damaged improvements shall be replaced in a timely manner. 11. The site shall be kept free of litter and garbage. Any trash, junk or damaged materials that are accumulated on the site shall be removed and disposed of in a timely manner. The applicant shall institute a program to provide regular cleanup of the parking lot, landscaped areas and sidewalk in front of the store, as well as all other areas immediately around the new structure. 12. The operator shall remove all graffiti from the building or site in a timely manner. 13. All landscaping shall be maintained in a healthy and thriving condition, free of weeds and debris. Any dying or dead landscaping shall be replaced in a timely fashion with new healthy stock of a size compatible with the remainder of the growth at the time of replacement. 14. All existing and new site landscaping shall be routinely maintained in good order and free of weeds, debris and overgrown vegetation. Plants and trees shall be irrigated and/or watered as necessary to ensure their growth and stability. 15. All new exterior lighting shall be shielded down to avoid spillover onto adjacent properties or public streets. 16. Drive through and drive up facilities are prohibited. 17. Amplified sound or music on the outside of the building shall be prohibited. Public Works Department Land Development Division 18. The applicant shall be responsible for the repair of all damages to public improvements in the public right-of-way resulting from construction -related activities, including, but not limited to, the movement and/or delivery of equipment, materials, and soils to and/or from the site. Prior to Issuance of a Building Permit Communitv Development Department — Planning Division 19. Construction plans submitted for building permit approval shall include a plan sheet, which incorporates these Conditions of Approval for ED09-014, UP09-015 and SR09-012. 20. The open, uncovered vending machine area at the front of the building shall be covered and designed with a cover/enclosure that places the equipment within an architectural screening. The purpose of this is to screen the sides and top of the equipment from view with an architectural feature. The architectural feature shall be designed as an integral part of the building design. This feature shall also include a grill/security barrier at the front to prevent theft and vandalism from the machines during off hours. 21. Prior to issuance of a building permit, the applicant shall submit the design of this new screening feature (as required by #18 above) to the Planning Division for review and approval. 22. Once the final design of the architectural feature is approved by the Planning Division (as required in #19 above), the final design of the screening feature shall be incorporated into the plans submitted for building permits. a 23. The outdoor dining/seating area and area on the sides of the seating area shall be illuminated with one -foot candle level of illumination. The method, light design and illumination levels shall be identified on building permit plans and shall be subject to review and approval of the Planning Division. 24. All mechanical equipment (i.e., air conditioning units, meters and transformers) and appurtenances not entirely enclosed within the structure (on side of building or roof) shall be screened from public view. The method used to accomplish the screening shall be indicated on the building plans and approved by the Planning Division. 25. Prior to issuance of the building permit, any outstanding Planning Division application processing fees shall be paid. 26. Prior to the issuance of the building permit, the plans shall be revised to incorporate on site bicycle parking equal to that required by Chapter 14.18.090 which requires 4 bicycle parking spaces (bicycle parking equal to 3% of the 145 required parking spaces). 27. Prior to the building permit issuance, the outdoor seating area shall be reduced to not exceed 18 seats and 190.75 sq. ft (25% of the 723 sq ft indoor seating area). Communitv Development Department — Buildins and Fire Prevention Division 28. A building permit is required for the proposed work. Applications shall be accompanied by four (4) complete sets of construction drawings 29. The design and construction of all site alterations shall comply with the 2007 California Building Code, 2007 Plumbing Code, 2007 Electrical Code, 2007 California Mechanical Code, 2007 California Fire Code, and 2005 Title 24 California Energy Efficiency Standards. 30. Please note on the construction documents that fire sprinklers are required throughout the building. A licensed C-16 contractor shall submit fire sprinkler system plans to the Fire Prevention Bureau for approval prior to making alterations to the existing system. 31. Please note on the construction documents that a commercial kitchen hood fire -extinguishing system is required in each Type I hood. A licensed contractor shall submit the kitchen hood fire -extinguishing system plans to the Fire Prevention Bureau for approval prior to installation of the system. 32. Please note on the construction documents that a fire alarm system is required where the occupant load exceeds 499. If a fire system is required in this building, based on the occupant load, please note on the plans that fire alarm system plans shall be submitted to the Fire Prevention Bureau for approval prior to installation of the system. 33. A Knox Box is required at the primary point of first response to the building. 34. On site fire hydrants will be required. 35. Fire lanes must be designated; painted red with contrasting white lettering stating "No Parking Fire Lane" A sign shall be posted in accordance to City of San Rafael standard #204. 36. Hazardous Materials Placard shall be installed in accordance with NFPA 704. V 37. Storage height in excess of 12 feet shall require a "High Pile Storage" permit. 38. The proposed facility shall be designed to provide access to the physically disabled in accordance with the requirements of Title -24, California Code of Regulations. For existing buildings and facilities when alterations, structural repairs or additions are made, accessibility improvements for persons with disabilities may be required. 39. In -ground grease separator(s) will be required outside the building perimeter to handle waste water from the restaurants and food court area. 40. Review and approval by the Marin County Health Department may be required prior to submittal for building permit plan review. Public Works Department - Land Development Division 41. Prior to the issuance of a building permit, the applicant shall provide details on the building permit plans showing how the new accessible sidewalk and other elements that connect to the existing City sidewalk interface. During Construction Community Development Department Planning Division 42. Construction of the project shall comply with the City's noise ordinance. Public Works Department - Land Development Division 43. An encroachment pen -nit shall be required for debris boxes or any construction or work in the City right-of-way. Prior to Fina! Occupancy Communitv Development Department - Planning Division 44. The applicant shall contact the Planning Division to request a final inspection, prior to the issuance of the final building permit. The request for final inspection by the Planning Division shall require a minimum of 48-hour advance notice. 45. All exterior lighting shall be subject to a 60 -day lighting level review by the Community Development Department, Planning Division staff to ensure compliance. This lighting review period shall commence upon issuance of final inspection approval by the Community Development Department, Building Division. 46. Prior to final occupancy, the applicant shall have their landscape architect inspect the existing and new landscaping and irrigation to ensure the health of all species and operation of all irrigation. If any deficiencies are discovered, those shall be remedied. A letter from the landscape architect shall be submitted to the Planning Division as part of the final inspection. 47. The four required bicycle parking spaces shall be installed on site as approved on the building permit plans. 17 ADMINISTRATIVE USE PERMIT (UP09-015) 1. Except as modified herein, the Administrative Use Permit (UP09-015) authorizes outdoor seating/dining on the subject site on the private sidewalk area in front of the existing building as shown on the approved plans. 2. This Administrative Use Permit (UP09-015) shall be valid for the life of the project provided that a building permit is obtained from the City's Community Development Department and the outdoor dining/seating use is initiated within two (2) years of this approval or until September 21, 2011. Failure to obtain a building permit and initiate the use, or apply for a time extension by the specified date, may result in expiration of this Use Permit. 3. The outdoor dining shall remain in conformance with the General Commercial District Zoning District and the performance standards for outdoor dining contained in Section 14.17.130 of the Zoning Ordinance. 4. The outdoor dining/seating area shall only be used during the hours of operation (public hours) for the grocery store. Outdoor dining area shall not be used outside of those hours. 5. Adequate number of trash and recycle bins shall be maintained outside the store at all times. These bins shall be serviced as frequently as required to prevent overflow. 6. The operator shall implement a regular trash clean up program to patrol and clean up trash and debris from this site. If any trash from this site is blown or deposited on the public right- of-way or sidewalk, it shall be cleaned up as well. 7. Prior to the issuance of a business license, the applicant shall receive approval of an Alcoholic Beverage Control (ABC) for off -sale of liquor. 8. An alarm system shall be installed and connected to a central station prior to the business operating. 9. The grocery store, including the ancillary alcohol sales and food service and all other ancillary functions of the grocery store, shall not operate past 11:00 pm, 7 days a week, unless a Conditional Use Permit is applied for and approved by the Planning Commission (as requircd for grocery stores in the General Commercial Zoning District identified in the land use table). 10. The outdoor dining/seating area shall be illuminated with adequate lighting levels to allow visibility of the area from the parking lot (one -foot candle level is the standard). The method, light design and illumination levels shall be identified on building permit plans and shall be subject to review and approval of the Planning Division. 11. There shall be no solid walls, fencing or screening surrounding the outdoor dining/seating area. Visibility into the outdoor dining/seating area shall remain non -obscured from the parking lot area and shall be visible to persons in the parking lot. 12. There shall be no consumption of any alcoholic beverages allowed within the outdoor dining/seating area or on the site. The applicant and operator of the business shall be responsible to monitor this and to implement any appropriate security measures to remain consistent with this requirement. K 13. The business operator shall comply with the alcohol policies and procedures as identified in the April 16, 2009 letter from Jeff Aldaz of Mi Pueblo Foods to the City of San Rafael, including: a. No items/containers with more than 7% alcohol content will be sold. No high alcohol malt liquor will be sold. No single unit containers less than 20 ounces will be sold). b. No items or containers under 9 fluid ounces shall be sold. No half pints or airport size bottles shall be sold. c. The following signage shall be posted and maintained at the entrance and exit of the store. i. State ABC license ii. No loitering iii. No open containers iv. No littering d. The operator shall employ an external security company that specializes in supermarkets and shall have the security personnel on site during all hours of store operations. 14. The applicant shall obtain a City of San Rafael business license. 15. The outdoor seating area shall be reduced to not exceed 18 seats and 190.75 sq. ft (25% of the 760 sq ft indoor seating area). SIGN PERMIT (SR09-012) 1. This Sign Permit approves only the conceptual sign plan and locations as presented in the architectural elevations. 2. Prior to the installation of any signage on the site, the applicant shall apply for and receive approval of a sign Pen -nit. The application for a sign permit shall include all required submittal requirements for sign review. I, ESTHER C. BEIRNE, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of said City held on Monday, the 2151 day of September 21, 2009, by the following vote, to wit: AYES: COUNCILMEMBERS: Brockbank, Connolly, Heller, Miller and Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None fzsf�-X e . 00-f,e.,44 - ESTHER C. BEIRNE, City Clerk lF