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C'gtlFOR��PR CITY COUNCIL STAFF REPORT
DATE: NOVEMBER 5, 2008 CONSENT CALENDAR
SUBJECT: REQUEST BY FRESH AND EASY NEIGHBORHOOD MARKET FOR A
RESOLUTION OF PUBLIC CONVENIENCE (CASE: 5.1210-PCN) IN
ORDER TO SELL BEER AND WINE AT 102 SOUTH SUNRISE WAY.
CASE: 5.1210 — PCN
FROM: David H. Ready, City Manager
BY: Craig Ewing, AICP, Director of Planning Services
SUMMARY
The applicant, Fresh & Easy Neighborhood Market, is requesting that the Council adopt
a Resolution of Public Convenience for the off-site sale of beer and wine for the future
Fresh & Easy grocery store located at 102 South Sunrise Way.
RECOMMENDATION:
Adopt Resolution No. , "A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF PALM SPRINGS, CALIFORNIA, OF PUBLIC CONVENIENCE IN ORDER TO SELL
BEER AND WINE. AT 102 SOUTH SUNRISE WAY, ZONE CDN, SECTION 13."
BACKGROUND:
The Fresh & Easy grocery store is proposed to be located in the former Jensen's
grocery store tenant space at 102 South Sunrise Way. Jensen's has transferred the
existing liquor license ("type 21") to its new location at the Smoke Tree Commons
shopping center.
The applicant has applied for a Type 20 license through the Department of Alcoholic
Beverage Control (ABC) for the Fresh & Easy grocery store located at the southeast
corner of Tahquitz Canyon Way and Sunrise Way. The "Type 20" license authorizes
the sale of beer and wine for off-site consumption. The ABC will not issue the license
ITEM NO. °-Y
City Council Staff Report November 5, 2008
5,1210-PCN- 102 S. Sunrise Way Page 2 of 3
unless the City Council adopts a resolution pursuant to state law, indicating that the
premises will provide for the public convenience or necessity.
ANALYSIS:
The applicant is applying for a new liquor license at the location for the sale of beer and
wine. The Department of Alcoholic Beverage Control is requiring a resolution from the
City Council to approve an "undue concentration" of such licenses. In accordance with
Section 23958.4 of the Business and Professions Code which took effect on January 1,
1995, "undue concentration" means a property that is located in a census tract (or
division) where the ratio of on-sale retail licenses to the population in that tract (or
division) exceeds the ratio of licenses to the population in the subject county. When an
undue concentration is determined to exist, the State Department of Alcoholic Beverage
Control will not issue a license for the sale of alcohol without a letter or resolution from
the City Council which indicates the premises will provide for the public convenience or
necessity.
Currently the State Department of Alcoholic Beverage Control considers the City of
Palm Springs as having an "undue concentration" of liquor licenses -that is, more liquor
licenses per capita in Palm Springs than throughout Riverside County. The subject
property is located within Census Tract #0447.01. This tract has four active off-sale
liquor licenses and zero off-sale licenses pending. Three off-sale licenses are
authorized for the tract. State law was enacted to allow local government the
opportunity to regulate the number and location of such uses. By making a finding of
"Public Convenience or Necessity", the City Council may determine that the subject
premises will provide for the convenient patronage of the public whereby the
convenience does not already exist in the immediate area.
The subject property is in a commercial area. Surrounding uses are as follows:
General Plan Zone Existing Land Use
Neighborhood C-1-AA (Large-Scale Offices, Quick-Service Restaurant
North Community Retail Commercial) & Gas Station
Commercial
South Medium Density R-2 (Limited Multi- Multifamily Residential
Residential Family)
Neighborhood
East Community P (Professional) Offices
Commercial
Neighborhood RA* (Resort Vacant
West Community Attraction) (Future to Offices & Pharmacy)
Commercial
`Section 14 Zoning
-- - 22
City Council Staff Report November 5, 2008
5,1210-PCN- 102 S. Sunrise Way Page 3 of 3
CONCLUSION:
Staff is recommending approval of Case 5.1210-PCN and adoption of a Resolution of
Public Convenience for the future Fresh & Easy grocery store to allow issuance of a
Type 20 (Off Sale Beer & Wine) Liquor License located at the 102 South Sunrise Way.
FISCAL IMPACT:
None.
-rai ing, Thomas W_ WilSbn,
Dire of Plan ng ervices Assistant City Manager
avid H. Ready , City Manager
Attachments:
1. 400' Vicinity Map
2. Letter of Request
3. Draft Resolution
Department of Planning Services W E
Vicinity Map s
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CITY OF PALM SPRINGS
CASE NO: 5.1210 PCN DESCRIPTION: To consider a request by Fresh &
Easy Neighborhood Market to allow the sale of beer
and wine for off-site consumption from the future
APPLICANT: Fresh & Easy Fresh & Easy grocery store at 102 South Sunrise
Neighborhood Market Way, zoned CDN, Section 13.
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MATT SLIWIF}&
pro/euf rnarlager
137d5 Seminole Drive
Chino Caldarnia 91710
(909)548.4020/ P(909)54$4271 / F
® (409)G50 7272/ C(900)548.4147/ ❑
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August 13, 2008
City of Palm Springs
Department of Planning Services
3200 E. Tahquitz Canyon Way
Palm Springs, CA 92263-2745
Attn: Scott Taschner or Glenn Mlaker
Re: Fresh and Easy Neighborhood Market on the southeast comer of Sunrise Way and Tahquitz
Canyon Way(address' 102 S. Sunrise Way), Palm Springs, CA 92317
Dear Sirs:
Please find enclosed the Public Convenience or Necessity justification letter for the
proposed Fresh and Easy Neighborhood Market site. Fresh and Easy Neighborhood
Market has applied for a Type 20 Off-Sale beer and wine alcohol license and is proposing
operating hours from 7:00 a.m. to midnight.
If you have any questions or require additional information, please call me at 909-548-
4147 or Karen Rudisill at 909-548-4061-
l appreciate you time and consideration in this matter.
Res
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Project Manager
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BERGMAN thehergman.com RECEI N ED
4300 Edison Avenue 909-6273651 Al
Chino,California 917 10 909,627.5425 /F t.,lCFNS1=9436418
AUG 19 20081
(PLANNING SERVICES
DEPARTMENT
7
August 13, 2008
City of Palm Springs
Department of Planning Services
3200 E.Tahquitz Canyon Way
Palm Springs, CA 92263-2745
Attn: Scott Taschner or Glenn Mlaker
Re: Fresh and Easy Neighborhood Market on the southeast corner of Sunrise Way and Tahquitz
Canyon Way(address: 102 S. Sunrise Way), Palm Springs, CA 92317
Dear Sirs:
We represent Fresh and Easy Neighborhood Market, Inc., which would like to open a grocery
store in Palm Springs. It is our understanding that a finding of Public Convenience or Necessity
is essential for obtaining a liquor license at the southeast corner of Sunrise Way and Tahquitz
Canyon Way (102 S. Sunrise Way) in the City of Palm Springs. We appreciate your time
reviewing our justification letter and look forward to your approval.
PREMISES DESCRIPTION
The premises is located on the southeast comer of Sunrise Way and Tahquitz Canyon Way
(address: 102 S. Sunrise Way) in the City of Palm Springs, County of Riverside. There is
approximately 14,178 square feet of gross leasable floor area in an existing building. Fresh and
Easy Neighborhood Market will carry a line of fresh, prepared and packaged grocery and non-
food items consistent with the line of products found in full-service grocery stores. Fresh and
Easy Neighborhood Market also is proposing that alcohol sales will comprise no more than 10
percent of floor space.
PUBLIC CONVENIENCE OR NECESSITY
First, it is important to emphasize that Business & Professional Code § 23958.4 requires a
positive finding of public convenience "or" necessity in order for an on-site ABC application to
be approved. Thus, it is legally sufficient if Fresh and Easy Neighborhood Market (formerly
known as Tesco Stores West, Inc.) shows either public convenience or public necessity. It is not
legally necessary to show both.
EERGMAN thebergman.com
4300 Edison Ave. 909-548-3651 /P
Chino, California 91710 909-627-5425/F LICENSE#436418
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Second, it is only necessary to show public convenience or necessity where there is an "undue
concentration"of licensees in the census track. The term"undue concentration"(also referred to
as "over concentration") is specifically defined in Business & Professional Code § 23958.4 as
simply a ratio of the number of licenses in a census track compared to the average number of
licenses in a County, as a whole. It does not mean that a particular census track necessarily has
too many licenses for the needs or convenience of residents in that track. "Over concentration"
also does not mean that the State, or anyone else, has previously looked at this census track and
determined that it has suffered any deleterious effects from the actual number of licenses existing;
or that it will suffer if a new license is issued. it merely provides a guideline for making such a
determination, in the form of determining whether, in a particular situation, the ABC license
would serve the"public convenience or necessity."
Thus, the fact that the census tract in which Fresh and Easy Neighborhood Market site is located
is statutorily "over concentrated" does not mean that selling a small amount of alcoholic
beverages at a grocery store will have adverse impacts. Rather, it simply means that either public
convenience or public necessity will be served by the sale of alcoholic beverages at this site.
BASIS FOR SUPPORTING OFFSITE ALCOHOLIC BEVERAGES SALES AS AN
INTERGAL PART OF THE PROPOSED PROJECT.
1.The convenience of Fresh and Easy Neighborhood Market's Concept:
Tcsco PLC is a premier international Supermarket chain. They are the fourth largest retailer in the
world. Currently, Tesco operates grocery stores in The United Kingdom, Ireland, China, Czech
Republic, France, Hungry, Japan, Malaysia, Poland, Slovakia, South Korea, Thailand, and
Turkey. The stores reflect the markets and communities they serve, but everywhere the goal is the
same; to bring quality, service, and choice at a competitive price, to the heart of local
neighborhoods.
Although alcohol beverages are expected to comprise only a small percent of the store shelf-
space, it is nevertheless necessary in order to provide Fresh and Easy Neighborhood Market
customers with a complete range of products. Thus, alcoholic beverages are a key element of the
Fresh and Easy Neighborhood Market concept. By providing an assortment of products, including
alcoholic beverages, readily available to the consumer at the Fresh and Easy Neighborhood
Markets, the public convenience of the area will certainly be served. Without it, customers may
be obliged to travel to a range of retail outlets in order to complete their weekly shopping.
2. Security and Control
Fresh and Easy Neighborhood Market is committed to taking all feasible steps to address law
enforcement concerns about the site. In addition, Fresh and Easy Neighborhood Market has an
extensive employee-training program and is a responsible retailer of alcoholic beverages. Tesco
PLC (dba, Fresh and Easy Neighborhood Market) is a large corporate retailer with an
international presence and experience. It certainly has the resources to be a responsible retailer of
all types of goods and especially of alcoholic beverages. Moreover, the sale of alcoholic
beverages is not their primary purpose.
Fresh and Easy Neighborhood Market facilities are designed to provide a safe environment for
patrons and employees. To that end, the following design elements are incorporated into our
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security plan. The storefront includes a significant number of windows so that the interior of the
store is visible from the exterior of the building. Additional security measures include; adequate
lighting levels both on the interior and exterior of the store, employee supervision of the facility,
closed circuit video monitoring system with cameras located strategically throughout the
property, and careful window signage and landscaping placement to avoid obstruction of
visibility into and out of the facility.
Fresh and Easy Neighborhood Market understands the importance of maintaining the appearance
of a facility to both expanding their customer base and preventing criminal activity. Fresh and
Easy Neighborhood Market's property maintenance program includes timely graffiti and litter
removal, repairs to structures and replacement of dead or diseased plant material, signs and curb
painting to encourage parking in designated parking spaces, and strategic trash receptacle
placement.
Fresh and Easy Neighborhood Market is committed to a neighborhood grocery market that allows
for safe family oriented shopping. This is achieved by placing large windows along the front of
the building so that passing motorists and police have a direct view into the facility. Fresh and
Easy Neighborhood Market will integrate the following procedures:
1. A video camera shall be mounted inside the premises in such a position as to be
visible to patrons yet not accessible by reach.
2.Post in English and the predominant language of the facility's clientele and a notice
shall be placed therein that California state law prohibits the sale of alcoholic
beverages to persons who are under the age of twenty-one(21)years and no such
sales will be made.
3. Ensure no more than 33 percent of the square footage of the windows and clear
doors of an off-sale premises shall boar advertising or signs of any sort,and all
advertising and signage shall be placed and maintained in a manner that ensures
that law enforcement personnel have a clear and unobstructed view of the interior of
the premises, including the area in which the cash registers and maintained, from the
exterior public sidewalk or entrance.
4. Post and maintain a professional quality sign stating"No loitering is allowed on or in
front of these premises"
5.Post and maintain a professional quality sign stating"No open alcoholic beverage
containers are allowed on these premises."
6. Restrict any pay phone from receiving incoming calls.
7. The possession of alcoholic beverages in open containers or the consumption of
alcoholic beverages are prohibited on the premises.
8. The parking lot of the premises shall be equipped with lighting of sufficient power to
illuminate and make easily discernible the appearance and conduct of all persons on
or about the parking lot. Additionally,the position of such lighting shall not disturb the
normal privacy and use of any neighboring residences.
9.Any graffiti or marks upon the premises shall be removed or painted over within 24
hours of discovery thereof.
10, Litter shall be removed daily from the premises, including adjacent public sidewalks
and all parking areas under the control of the licensee.
11. All areas under control of the licensee shall be swept or cleaned, either mechanically
or manually, on a weekly basis to control debris.
In addition, Fresh and Easy Neighborhood Market recognizes the seriousness of loitering,
delinquency, crime, and underage drinking. Therefore, Fresh and Easy Neighborhood Market has
developed stringent operational standards and training programs to teach techniques for the
lawful selling of alcoholic beverages. All store employees are trained with the TIPS (Training for
Intervention Procedures) liquor awareness training program. TIPS is a national program and is
approved by California's Department of Alcohol Beverage Control. Also, Fresh and Easy
Neighborhood Market requires all employees selling alcoholic beverages will execute an ABC
"Clerk's Affidavit" (ABC-299). In addition, Fresh and Easy Neighborhood Market is open to
operating conditions that the police department considers appropriate to ameliorate any concerns
that do exist.
3.The site will not result in an adverse impact on public health,safety, or welfare
Fresh and Easy Neighborhood Market's acquisition of this site will have a positive impact on
public health, safety, and welfare. In fact, by providing a new, safe, and convenient location to
make grocery purchases, public health, safety, and welfare will be advanced by this site. The
addition of selling alcoholic beverages will not change this. But beyond this, it should be noted
that Fresh and Easy Neighborhood Market has a very extensive training program for its
employees to help ensure that it is a responsible retailer of alcoholic beverages. There are oral,
written, and electronic video training aspects to Fresh and Easy Neighborhood Market's training
program to ensure that employees understand and implement the procedures imposed by Fresh
and Easy Neighborhood Market to comply with ABC laws and regulations.
Fresh and Easy Neighborhood Market realizes that a healthy community Translates to healthy
business, and is willing to consider any conditions the City Council deems necessary in order to
ensure that the public health, safety, and welfare are protected. In short, Fresh and Easy
Neighborhood Market is committed to protecting the public health, safety, and welfare of the
community, and will take appropriate steps to do so. The sale of alcoholic beverages on the site
will not threaten these important concerns.
4. Community Service and Investment
Fresh and Easy Neighborhood Market is committed to improving the communities they operate
within. Initially, revenues for the construction of this project, including all applicable city permits
and fees, will filter into the city. Moreover, Fresh and Easy Neighborhood Market's investment of
over$3 million in the site will increase the property tax base as well as sales tax revenue.
CONCLUSION
Parent Company, Tesco PLC has been a responsible retailer of alcoholic beverages for over 70
years. Permitting the sale of alcoholic beverages at this site will not change this, but will `round-
out' Fresh and Easy Neighborhood Market's concept at this site, providing customers the added
convenience to make purchases of alcoholic beverages along with their weekly grocery needs.
Fresh and Easy Neighborhood Market, by reason of its location, character, manner, and method
of operation, merchandise, and potential clientele, will serve the community of Palm Springs.
Fresh and Easy Neighborhood Market respectfully requests that they are granted a finding of
Public Convenience for the Fresh and Easy Neighborhood Market alcoholic beverage license.
Thank you for your attention to this matter.
Sincerely,
Michael Volchok
Vice President
MV/kr
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF PALM SPRINGS, CALIFORNIA, OF PUBLIC
CONVENIENCE IN ORDER TO SELL BEER AND WINE
AT 102 SOUTH SUNRISE WAY, ZONE CDN, SECTION
13.
WHEREAS, Fresh & Easy Neighborhood Market ("Applicant") has requested the
adoption of a Resolution of Public Convenience (Case No. 5.1210 — PCN) in order to
sell beer and wine for off-site consumption from the future grocery store located at 102
South Sunrise Way; and
WHEREAS, the City Council is being asked to adopt a Resolution of Public
Convenience pursuant to the requirements of the Alcoholic Beverage Control Board and
applicant; and
WHEREAS, the City Council has carefully reviewed and considered all of the evidence
presented in connection with the Resolution of Public Convenience, including but not
limited to the staff report; and
WHEREAS, the applicant has applied with the State of California Alcoholic Beverage
Control for a license to sell alcohol: license number 20 (Off-Sale Beer & Wine).
THE. CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE
AS FOLLOWS:
SECTION 1. The City Council finds that a Type 20 liquor license (Off Sale Beer& Wine)
at 102 South Sunrise Way serves the Public Convenience.
ADOPTED THIS 5th day of November, 2008.
David H. Ready, City Manager
ATTEST:
James Thompson, City Clerk
Resolution No.
Page 2
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Resolution No. is a full, true and correct copy, and was duly adopted at a regular
meeting of the City Council of the City of Palm Springs on
by the following vote--
AYES:
NOES:
ABSENT:
ABSTAIN:
James Thompson, City Clerk
City of Palm Springs, California
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