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3.10 Alcoholic Beverages Ordinance 2021-18 Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Administration City Clerk Etzel October 25, 2021 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty City Planner Licht 3.10 – Alcoholic Beverages STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. Has proactively expanded infrastructure to responsibly provide core services. Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. X Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City staff recommends approval of an ordinance amending provisions of the City Code regulating alcoholic beverages. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No No BACKGROUND/JUSTIFICATION: At the September 8, 2021 Administrative Subcommittee meeting, staff discussed the public hearing requirement for new liquor license applications in Title 4, Chapter 1 of the City Code, which regulates alcoholic beverages within Otsego. The Administrative Subcommittee directed staff to prepare an ordinance amendment removing the public hearing requirement. During the review of the ordinance staff found other items that needed to be cleaned-up. City staff is proposing the City Code be amended pertaining to: 1. Fees. 2. Patios. 3. Outdoor entertainment. 4. Investigations. 5. Public hearings. 6. Notice of denial. On October 13, 2021 the Administrative Subcommittee reviewed and agreed with the proposed ordinance amendments. Staff posted the proposed ordinance on the website 10 days in advance of the October 25, 2021 meeting as required. SUPPORTING DOCUMENTS ATTACHED: ▪ Draft Ordinance 2021-18 ▪ Draft Summary of Ordinance 2021-18 POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to adopt Ordinance 2021-18 amending the City Code regulating alcoholic beverages and authorizes staff to publish the summary ordinance. BUDGET INFORMATION FUNDING: BUDGETED: N/A N/A 1 ORDINANCE NO.: 2021-18 CITY OF OTSEGO COUNTY OF WRIGHT, MINNESOTA AN ORDINANCE AMENDING THE CITY CODE REGARDING ALCOHOLIC BEVERAGES. THE CITY COUNCIL OF THE CITY OF OTSEGO DOES HEREBY ORDAIN: Section 1. Section 3-12.A of the City Code (Licenses - Liquor) is hereby amended to repeal the following provisions: Premises extension permit (on-sale) 75.00 Section 2. Section 4-1-6.C.3 of the City Code (Alcoholic Beverages – Conditions of License) is hereby amended to read as follows: 3. Patios: a. Approval Required: The issuance of a license pursuant to this chapter shall be limited to the sale and consumption of alcoholic beverages inside of a structure on the licensed premises, unless the licensee applies for and receives approval from the City Council for a patio to allow the sale and consumption outside of a structure on the licensed premises. Site Plan Required: Requests for approval of a patio as part of the premises for an on-sale liquor license issued in accordance with this section shall include a site plan drawn to scale depicting the following: (1) Distance of the proposed patio from all property lines. (2) Area and seating capacity of the licensed building. (3) Area and seating capacity including table, chair, and aisle arrangements of the proposed patio. (4) Current off street parking stalls provided on site and number of parking stalls required in accordance with the zoning ordinance. 2 (5) Additional utility connection charges required based on number of residential equivalent connection units (RECs) as determined by the City in accordance with Title 6, Chapter 1 of this code. (6) Detailed construction plans for fence and/or landscape barrier type and height, with emergency exit gate hardware and locations. b. Performance Standards: (1) The patio shall not be enclosed in such a manner that the space becomes an indoor area as defined by Minnesota Statute. (2) The patio shall be attached to the licensed premises and share at least one common wall with the licensed premises building in accordance with Minnesota Statute; the patio shall not be part of a public street, sidewalk, or other public grounds. (3) The patio shall be clearly delineated by an approved fence at least forty two inches (42") in height or some other approved structure or barrier that is compact and contiguous to prevent the ingress or egress of persons to and from the patio, except as required by the Fire Code. (4) Screening may be required if the premises is adjacent to a residential district established by the zoning ordinance, consistent with the fencing/screening/landscaping provisions of the zoning ordinance. (5) Liquor and food may be served, dispensed, possessed, displayed, or furnished on a patio located within one hundred fifty feet (150') of a residential district between the hours of seven o'clock (7:00) A.M. and ten o'clock (10:00) P.M. Sunday through Thursday, and between the hours of seven o'clock (7:00) A.M. and eleven o'clock (11:00) P.M. on Friday and Saturday. (6) The patio shall be in compliance with the noise amplification and outdoor entertainment provisions of this Code. (7) The premises shall be in compliance with the following provisions of the zoning ordinance: (A) Exterior lighting. (B) Off street parking. (C) Signs. 3 c. The patio site plan shall be subject to review by the City Clerk, Zoning Administrator, and Building Official for compliance with applicable City codes and the zoning ordinance. Section 3. Section 4-1-6.C.4 of the City Code (Alcoholic Beverages – Conditions of License) is hereby amended to read as follows: 4. Outdoor Entertainment: a. Outdoor entertainment, including dancing, shall be allowed on premises only when a license issued under this chapter specifically authorizes outdoor entertainment and/or dancing. b. The City Council may impose conditions on allowance of outdoor entertainment to ensure the quietude, safety, and welfare of the premises' surrounding neighborhood and community. c. Outdoor entertainment shall require issuance of an annual permit as required and regulated by chapter 3 of this title. Section 4. Section 4-1-8.A.2 of the City Code (Alcoholic Beverages – Administration of Licenses) is hereby repealed and subsequent sections renumbered accordingly: 2. Patios: a. The application shall contain a detailed description of the patio and site plan of the entire premises including the following: (1) Distance of the proposed patio from all property lines. (2) Area and seating capacity of the licensed building. (3) Area and seating capacity including table, chair, and aisle arrangements of the proposed patio. (4) Current off street parking stalls provided on site and number of parking stalls required in accordance with the zoning ordinance. (5) Additional number of residential equivalent connection units (RECs) as determined by the City. (6) Detailed construction plans for fence and/or landscape barrier type and height, with emergency exit gate hardware and locations. 4 b. The complete patio application and site plan must be submitted to the City Clerk for review of the City Clerk, Zoning Administrator, Building Official, and Wright County Sheriff's Office before submission to the City Council for consideration of approval. City staff will review the patio application within thirty (30) days of receipt of a complete application for compliance with applicable City codes and the zoning ordinance. c. City Council consideration of the patio shall be based upon, but not limited to, past performance of the licensee in maintaining order and obeying applicable laws in the principal licensed premises; the adequacy of the proposal to provide for the safety of persons on the proposed premises; impacts on the surrounding properties including lighting and noise levels; and suitability of ingress and egress arrangements, including control of persons entering and leaving for purposes of preventing consumption by minors. Section 5. Section 4-1-8.D of the City Code (Alcoholic Beverages – Administration of Licenses) is hereby amended to read as follows: D. Investigations: 1. Authorization: At the time of making an initial application, renewal application, or request for a new operating officer, the applicant shall, in writing, authorize the City Clerk to investigate all facts set out in the application and do a personal background and felony criminal record check on the applicant. The applicant shall further authorize the City Clerk to release information received from such investigation to the City Council. 2. Notice Of Denial: Should the City Council deny the applicant's request for a license due, partially or solely, to the applicant's prior conviction of a crime, the City Council shall notify the applicant in writing of the following information: a. The grounds and reasons for the denial; b. The applicable complaint and grievance procedure as set forth in Minnesota Statutes section 364.06; c. The earliest date the applicant may reapply for a license; and d. That all competent evidence of rehabilitation will be considered upon reapplication. Section 6. Section 4-1-8.E of the City Code (Alcoholic Beverages – Administration of Licenses) is hereby repealed and subsequent sections renumbered accordingly: 5 E. Hearing: 1. Notice Of Hearing: Upon completion of an investigation for license under this chapter, the City Clerk shall cause to be published in the official newspaper ten (10) days in advance, a notice of hearing to be held by the City Council, setting forth the date, time, and place when the hearing will be held, the name of the applicant, the premises where the business is to be conducted, the nature of the business and such other information as the Council may direct. 2. Conduct Of Hearing: At the hearing, the City Council shall give opportunity to any person to be heard for or against the granting of the license. 3. Hearing Not Required: No hearing shall be required to be held for the following applications: a. Renewal applications. b. Temporary licenses. Section 7. Section 4-1-8.G.2.a of the City Code (Alcoholic Beverages – Administration of Licenses) is hereby amended to read as follows: a. Except in the case of a golf course, licenses shall only be issued to a space that is compact and contiguous. Each license shall be and issued only for the exact rooms, patios, and square footage described in the application. Section 8. Section 4-1-8 of the City Code (Alcoholic Beverages – Administration of Licenses) is hereby amended to add the following provisions: I. Notice Of Denial: Should the City Council deny the applicant's request for a license due, partially or solely, to the applicant's prior conviction of a crime, the City Council shall notify the applicant in writing of the following information: 1. The grounds and reasons for the denial; 2. The applicable complaint and grievance procedure as set forth in Minnesota Statutes section 364.06; 3. The earliest date the applicant may reapply for a license; and 4. That all competent evidence of rehabilitation will be considered upon reapplication. 6 Section 9. This Ordinance shall become effective immediately upon its passage and publication. MOTION BY: SECOND BY: ALL IN FAVOR: THOSE OPPOSED: ADOPTED by the City Council of the City of Otsego this 25th day of October, 2021. CITY OF OTSEGO BY:_____________________________ Jessica L. Stockamp, Mayor ATTEST:______________________________ Audra Etzel, City Clerk 1 SUMMARY OF ORDINANCE NO.: 2021-18 CITY OF OTSEGO COUNTY OF WRIGHT, MINNESOTA AN ORDINANCE AMENDING THE CITY CODE REGARDING ALCOHOLIC BEVERAGES. NOTICE IS HEREBY GIVEN that on October 25, 2021, Ordinance 2021-18 was adopted by the City Council of the City of Otsego, Minnesota. NOTICE IS FURTHER GIVEN that the ordinance adopted by the City Council amends City Code pertaining to: 1. Fees. 2. Patios. 3. Outdoor entertainment. 4. Investigations. 5. Public hearings. 6. Notice of Denial. ADOPTED by the City Council of the City of Otsego this 25th day of October, 2021. CITY OF OTSEGO BY: Jessica L. Stockamp, Mayor ATTEST: Audra Etzel, City Clerk Pursuant to Minnesota Statutes 412.191, Subd. 4 and 331A.01, Subd.10, this Ordinance is published in summary form. Complete copies of the ordinance are available for inspection by contacting the City Clerk, Otsego City Hall, 13400 90th Street NE, Otsego, Minnesota 55330 during regular office hours.