RES 92-22RESOLUTION NO. op?c,
ZONING AND LICENSING REGULATIONS
OF SEXUALLY ORIENTED BUS33MSSES ARE
NECESSARY TO 14INIMIZE THE SECONDARY ADVERSE
LFFECTS OF SUCH BUSINESSES ON :1' CITY OF OTSEGO
He it resolved by the Planning Commission of the City of
Otsego as follows:
Legal Background
WHEREAS, the Otsego City Attorney has provided background
information on sexually oriented businesses which in summary
fashion is as follows:
1. The United States Supreme Court in its decisions of
Young v. American Mini Theaters, 96 S . Ct . 2440 (1976) ,
and City of Renton v. Playtime Theaters, 106 S.Ct. 925
(1986) has held that sexually oriented businesses
engaged in the offering of adult fare characterized by
an emphasis on matter depicting specified sexual
activities or anatomical areas may not be completely
prohibited from doing business within cities by
municipal ordinances.
2. The Supreme Court has further held that municipalities
may regulate sexually oriented businesses with lawfully
enacted content -neutral time, place and manner zoning
and licensing ordinances if said regulations are not
merely a pretext for completely prohibiting within a
City sexually oriented businesses based on the content
of the material being offered.
3. The Supreme Court has concluded that lawful content
neutral time, place and manner regulations may have as
their focus the minimization of the adverse secondary
effects on a community generated by the location and
operation of a sexually oriented business within a
community. Adverse secondary effects are defined as:
a. Increased incidence of crime,
b. Diminution of property values within the community
and especially the values of those properties
adjacent to or in close proximity to the sexually
oriented business, and
c. Increased risk for the spread of sexually
transmitted diseases.
Findings of Fact
WHEREAS, based on the legal background referenced herein,
the Otsego Planning Commission hereby makes the following
Findings of Fact in connection with the regulation of sexually
oriented businesses within the City:
1. That the Planning Commission has reviewed and
considered all the material and unsworn testimony
presented before it in connection with the regulation
of sexually oriented businesses within the City.
2. The Planning Commission has reviewed and studied the
"Report of the Attorney General's working group on
Regulation of Sexually Oriented Businesses", dated June
61 1989 referred to hereafter as the "Report".
3. The Report considered evidence from studies conducted
I
n Minneapolis and St. Paul and in other cities
throughout the country relating to sexually oriented
businesses.
4. The Attorney General's Report, based upon the above
referenced studies and the testimony presented to it
has concluded "that sexually oriented businesses are
associated with high crime rates and depression of
property values." In addition, the Attorney General's
Work Group"... heard testimony that the character of a
neighborhood can dramatically change when there is a
concentration of sexually oriented businesses adjacent
to residential property."
5. The Report concludes that sexually oriented businesses
have an impact on the neighborhoods surrounding them
which is distinct from the impact caused by other
commercial uses.
6. The Report concludes that residential neighborhoods
located within close proximity to adult theaters, book
stores, and other sexually oriented businesses
experience increased crime rates (sex -related crimes in
particular), lowered .property values, increased
transiency, and decreased stability of ownership.
7. The Report concludes the adverse impacts which sexually
oriented businesses have on surrounding areas diminish
as the distance from the sexually oriented businesses
increases.
2
8. The Report concludes that studies of other cities have
shown that among the crimes which tend to increase
either within or in the near vicinity of sexually
oriented businesses are rapes, prostitution, child
molestation, indecent exposure, and other lewd and
lascivious behavior.
9. The Report concludes that A, Arizona study
confirmed that the sex crime rate was on the average
500 percent higher in areas with sexually oriented
businesses.
10. The Report concludes that many members of the public
perceive areas within which sexually oriented
businesses are located as less safe than other areas
which do not have such uses.
il. The Report concludes that studies of other cities have
shown that the values of both commercial and
residential properties either are diminished or fail to
appreciate at the rate of other comparable properties
when located in proximity to sexually oriented
businesses.
12. The Report concludes that the Indianapolis, Indiana
study established that professional real estate
appraisers believe that an adult book store would have
a negative effect on the value of both residential and
commercial properties within a one to three block area
of the store.
13. The Planning Commission finds the suburban
characteristics %J Otsego are similar to those of the
cities cited by the Reports when considering the
effects of sexually oriented businesses and that the
findings concerning the effects of sexually oriented
businesses in other cities documented in the Reports
are relevant to Otsego's circumstances.
14. The Planning Commission finds, based upon the Report
and the studies cited therein, that sexually oriented
businesses will have adverse secondary effects upon
certain pre-existing land uses within the City of
Otsego and that in reliance on the data and conclusions
made by the studies documented in the Report, it is
not necessary for Otsego to conduct its own independent
study concerning the effects of sexually oriented
businesses locating within the City.
3
15. The City of Otsego is currently without any ordinance
regulating the location of sexually oriented businesses
within the City.
16. Pursuant to t= United States Supreme Court case of
City of Renton v. Playtime Theaters, Inc., 106 S.Ct.
925 (1988), and others, it is clear that a permanent
total prohibition against sexually oriented businesses
would be unconstitutional.
17. The City of Otsego is a predominantly agricultural/
residential community with a relatively small
proportion of its area devoted to commercial and
industrial uses.
18. The Planning Commission finds that the location of
sexually oriented businesses within the City of Otsego
will have a detrimental effect on the City by
unnecessarily lowering property values within the City
if said establishments were located in inappropriate
areas.
19. The Planning Commission finds there will be increased
crime within the City from inadequate regulations of
sexually oriented businesses locating and operating
within the City.
20. The Planning Commission finds that content -neutral
time, place and manner restrictions that regulate the
zoning and licensing of sexually oriented businesses
are necessary in the City of Otsego to minimize the
adverse secondary effects which will accompany the
location and operation of said businesses within the
City but that said regulations should be drafted in
such a manner as to allow for reasonable opportunity to
open and operate sexually oriented businesses within
the City while minimizing the secondary adverse
effects.
THEREFORE, BE IT RESOLVED THAT the Planning Commission
hereby recommends approval of the Adult Use Zoning Ordinance,
Section 31 of the Otsego Zoning Ordinance as it will serve the
City's needs by minimizing the adverse secondary effects of
sexually oriented businesses while providing said businesses a
reasonable opportunity to located and operate within the City.
0
Adopted by the Planning Commission of the City of Otsego,
Wright County, Minnesota, this day of �T?GLLC�it�
19920
ATTEST:
Secrets
CITY OF OTSEGO
E