CITY OF FERNDALE REQUEST FOR COUNCIL ACTION Agenda Item 5A FROM: SUBJECT: Marne McGrath, City Clerk Public Hearing: Transfer of a Class C Liquor License for 314 W. Nine Mile Restaurant, LLC d/b/a Voyager Restaurant, 600 Vester St. SUMMARY & BACKGROUND: 314 W. Nine Mile Restaurant, LLC d/b/a Voyager Restaurant is requesting the transfer of a Class C Liquor License from HOA Restaurant Holders, LLC to be located at 600 Vester St. The transfer request includes an outdoor service area. This location is not within the DDA boundaries. The Liquor License Review Committee has met with the applicant and reviewed the proposed operation for compliance with the criteria established by City Council in the Resolution Regarding Approval of New and Transfer of On-Premises Licenses dated August 8, 2015. The Committee is forwarding to Council a recommendation that the application be approved. Since this is a transfer under MCL436.1529(1) approval of the local governing body is not required, but opinions will be considered. Residents and businesses within 300 of the proposed liquor license location, as well as all current Class C licensees in the City, have been notified of the public hearing. ATTACHMENTS: Liquor License Application Public Hearing notice Resolution Regarding Approval of New and Transfers of Onpremises Licenses dated August 10, 2015 COUNCIL AGENDA DATE: September 12, 2016 CITY ATTORNEY REVIEW: CITY MANAGER REVIEW: RECOMMENDED ACTION: Moved by, seconded by, to recommend to the Michigan Liquor Control Commission approval of the request from 314 W. Nine Mile Restaurant, LLC d/b/a Voyager Restaurant,to transfer a Class C Liquor License with outdoor service area to be located at 600 Vester St., Ferndale, MI 48220
CITY OF FERNDALE RESOLUTION REGARDING APPROVAL OF NEW AND TRANSFERS OF ON-PREMISES LICENSES DATED AUGUST 10, 2015 Moved by Council Member Piana, seconded by Council Member Pawlica, to adopt the following Resolution: Pursuant to the authority granted by the Liquor Control Code of 1998, being MCL 436.1103, as amended, the City Council is authorized to recommend to the Liquor Control Commission approval or denial of an application for a new on-premises license, approval or denial of an application for the transfer of an escrowed on-premises license into the City of Ferndale, approval or denial of a transfer of a Class C license within the City of Ferndale, along with consideration of recommending approval or denial of the renewal of an existing license or revocation of an existing license; and MCL 436.1501 provides,... An application for a license to sell alcoholic liquor for consumption on the premises shall be approved by the local legislative body in which the applicant s place of business is located before the license is granted by the Commission... MCL 436.1531 provides,... An On-premises escrowed licenses issued... may be transferred, subject to local legislative approval... to an applicant whose proposed operation is located within any local governmental unit in a county in which the escrowed license was located. ; and MCL 436.1521a provides In order to allow cities to enhance the quality of life of residents and visitors to their communities, the Liquor Control Commission may issue public-on premises licenses in addition those quota licenses allowed in cities under section 531(1)... ; and The City of Ferndale is concerned with not over-taxing its local resources necessary to provide municipal support including, but not limited to Police, Fire, Department of Public Works, and Community Development Services to its license establishments and seeks to balance the limited resources of the City with its consideration of applicants for new licenses, transfer of a license within the City of Ferndale, transfer of intra-county on-premises escrowed licenses under MCL 436.1531 and licenses authorized under MCL 436.1521a whose proposed operations add character, value and diversification of commercial activity in the City of Ferndale. IT IS RESOLVED that City Council shall appoint a Review Committee to review applications submitted by applicants seeking new on-premises licenses, transfer of location of a license within the City of Ferndale, transfers of intra-county on-premises escrowed licenses and/or seek onpremises licenses from the Commission as authorized through the authority of MCL 436.1521a with its proposed place of operation to be located in the City of Ferndale. This Resolution shall not apply to a brewer, brewpub, microbrewery, small wine maker, small distiller or club license as defined under the Michigan Liquor Control Code of 1998, as amended. The Review Committee shall consist of one Member of City Council, to be appointed annually, a representative from the Community Development Services Department, Police Department, Fire Department, Department of Public Works, the City Manager, and if the proposed operation is contemplated to be in the
Downtown Development District, a representative from the Downtown Development Authority. The Review Committee shall analyze the application submitted by the applicant and make a recommendation to City Council to either approve or deny approval of the transfer request or new license requests to the Liquor Control Commission. The decision whether to approve or deny approval to an applicant seeking a new license, transfer of location of a license within the City of Ferndale, to transfer an on-premises escrowed license under MCL 436.1531 or have a new license authorized by MCL 436.1521a approved within the City of Ferndale shall be decided by the City Council. Where a new license or transfer of location is proposed within the Downtown District established in Chapter 19, Article VI, of the Ferndale Code, the application shall be forwarded to the Downtown Development Authority which may review the application with respect to the criteria set forth in the current City of Ferndale Resolution Regarding Approval of New and Transfers of On-Premises Licenses and provide a report and recommendation to city council not less than fifteen (15) days prior to the public hearing before city council regarding the application. Prior to the consideration of any recommendation from the Review Committee concerning an application, the City Council shall hold a public hearing, after notice to the applicant, residents within 300 feet of the proposed location and existing Class C license holders within the City of Ferndale. IT IS FURTHER RESOLVED that applicants shall provide one (1) copy of its applications and supporting documents to the City Clerk s Office, electronic transmission is acceptable, which will distribute copies of the application to the Review Committee. Each application shall include a plan of operation, plot plan of the site, plan for interior use and exterior design, layout of ancillary facilities, and parking plan for its proposed plan of operation. As part of the application, each applicant shall submit a written statement explaining in detail how its plan of operation meets the review factors set forth below including applicant s written responses to criteria numbered 5 and 6 of this Resolution. Along with the application, an applicant shall submit a non-refundable review fee of $500. The review fee represents an approximation of the cost associated with conducting the investigation and review of an applicant s proposal and is calculated to reasonably approximate the cost incurred in conducting the investigation and review by the City. IT IS FURTHER RESOLVED in reviewing a request where an applicant seeks a new license, transfer of location of a license within the City of Ferndale, to transfer an on-premises escrowed license under MCL 436.1531 or seeks issuance of a new license under MCL 436.1521a with its proposed operations in the City of Ferndale, the Review Committee shall analyze the application in the following manner before making its recommendation to the City Council: An applicant shall comply with the primary criteria listed below. A. The applicant s proposed operation is utilized in conjunction with new development including, but not limited to, restaurants, entertainment venues, except such venue shall not be an adult business as defined in Article XXIV, Section 24.00 of the City s Zoning Ordinance, hotels, mixed-use developments or other substantial development resulting in the improvement of existing properties in the City. -2-
B. The capital investment in real property, leasehold improvements and fixtures for the premises to be licensed is over $75,000. This criteria of capital investment shall not apply to existing and operating businesses located within the City of Ferndale as of the date of adoption of this Resolution, nor to such businesses which seek to transfer an intra-county on-premises licenses into the City of Ferndale which businesses have been in existence and operating in the City of Ferndale for not less than thirty-six (36) months at the time of submission of any such applicant s application. C. The applicant s proposed plan of operation does not have alcohol sales of more than 50% of its revenues. Council may waive this provision for applicants with a proposed location that is less than 5,000 square feet in space. The criteria listed below shall be considered in making a recommendation to City Council. Along with its recommendation to City Council the Review Committee shall issue proposed findings of fact regarding the following criteria. 1. Whether the applicant s proposed location is within the City s Downtown Development District Plan and/or consistent with the City s Master Plan. 2. The general trend and character of the land and building identified for the proposed location. 3. Input from residents and surrounding business owners, including other Class C license holders. 4. The impact of the establishment on surrounding businesses and neighborhoods. 5. Written Plan for crowd control for the proposed establishment by an appropriate qualified expert. 6. Written Plan for vehicular movement anticipated for the proposed establishment by an appropriate qualified expert. 7. Number of on-premises establishments within 500 feet. 8. Whether the proposed premises requires any variances from City zoning ordinances and whether the applicant s proposed operation conforms with all health and safety codes and ordinances. 9. Concentration of drinking establishments with the addition of the applicant s establishment and impact on policing requirements. 10. Applicant s business history. 11. Applicant s LCC violation history. -3-
12 Percent of floor area proposed to be devoted to dining versus bar area. 13. Size of kitchen in relation to the total square footage of the establishment. 14. Size of dance floor area, if any, proposed by the applicant. 15. Proposed hours of operation, full or part-time jobs required at the establishment. 16. Overall benefit of the plan to the City of Ferndale. 17. Whether the applicant is a resident of the City of Ferndale or currently operates a business in the City of Ferndale. 18. Whether the applicant, if it is a proposed new license under authority of MCL 436.1521a, has complied with all the statutory requirements of MCL 436.1521a. IT IS FURTHER RESOLVED after a review by the Review Committee, the Review Committee and/or applicant shall request that a public hearing be scheduled by the City Council to consider the application for a new license, transfer of location of a license within the City of Ferndale, a transfer of the on-premises escrowed license under MCL 436.1531 or the application for a new license under the authority of MCL 436.1521a into the City of Ferndale. If, after the public hearing and consideration of the application and recommendation of the Review Committee and its proposed findings of fact, the City Council shall adopt findings of fact and, if it determines that the proposed plan of operation will benefit the City of Ferndale, it shall adopt a Resolution to the Liquor Control Commission approving the new license, the transfer of the intra-county onpremises escrowed license under MCL 436.1531 or the issuance of a license under the authority of MCL 436.1521a into the City of Ferndale for the proposed operation as submitted in the application, contingent upon compliance with the stated plan of operation in the application and subject to any conditions stated in the Resolution. IT IS FURTHER RESOLVED the City Council s March 28, 1988 Resolution shall continue to apply and shall apply to any new license, transfer of location of a license within the City of Ferndale, any establishment allowed to transfer an intra-county on-premises license under MCL 436.1531 or an application for a new license under the authority of MCL 436.1521a into the City of Ferndale. In addition, the City Council may recommend non-renewal or revocation of a license or permit to the Liquor Control Commission in the event of a determination based upon a preponderance of the evidence conducted at a public hearing that the license holder has failed to comply with the approved plan of operation and any other conditions or representations made or submitted to the City of Ferndale in connection with the approval of the new license, the intracounty license transfer application under MCL 436.1531 or the issuance of a license under the authority of MCL 436.1521a. IT IS FURTHER RESOLVED that any business or entity requesting a transfer of a previously approved intra-county on-premises license into the City of Ferndale shall be required to submit a -4-
plan of operation and be required to submit an application to the City for approval of the transfer in compliance with the application process and terms as described above. IT IS FURTHER RESOLVED that this Resolution shall not apply to a transfer of a license or interest in a license that does not require prior approval of the Commission as set forth in MCL 436.1529, except a transfer of location of a license within the City of Ferndale. IT IS FURTHER RESOLVED that this resolution shall replace and supersede the Intra-County On-Premises License Transfer Resolution passed by the Ferndale City Council on February 27, 2006. IT IS FURTHER RESOLVED that this resolution shall replace and supersede the prior Intra- County On-Premises License Transfer Resolution passed by the Ferndale City Council.. AYES: Council Members Pawlica, Piana, and Mayor Coulter NAYS: None ABSENT: Council Members Lennon and Martin MOTION CARRIED I, Marne McGrath, Clerk of the City of Ferndale, certify that this is a true and compared copy of a Resolution duly made and passed by the Ferndale City Council at a meeting held on August 10, 2015. MARNE MCGRATH, CITY CLERK -5-