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09-662SUSpeIISIOII 6/17I09 Council File # 09-662 Green Sheet # 3071522 RESOLUTION - ` CI'L1E�OF SAINT PAUL, MINNE - - -- -- - _ _ -- - - Presented by — - - — ---- -- ------ - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 WHEREAS, Brasa 2 LLC, doing business as Brasa Rotisserie (Application I.D. #20090000863), located at 777 Grand Avenue in Saint Paul, has applied for a class N license for Restaurant (4) - 51-150 seats, Wine On Sale, Malt On Sale (Stronp� and Liquor-Outdoor Service area (Patio) licenses; and WHEREAS, Brasa Rotisserie's residential properties are within a 350 foot radius of licensee's proposed patio and outdoor liquor service area; and licensee must seek consent of neighboring residential properties and demonstrate that s/he were able to obtain 90% approval or, in the lesser case, 60% or more approval; and WHEREAS, licensee sought support from a list of private residences provided by the Department of Safety and Inspection by mailing letters on two separate occasions (February 26, 2009 and March 26, 2009) and conducted follow-up door-to-door survey for the remainixig residences who had not responded to the mailings (NOTE: The list contained both residential and business addresses and, in some cases, included duplicate addresses. The Department's system is unable to distinguish between residenrial and business addresses.); and WHEREAS, licensee was unable to obtain the ninety percent (90°/o) consent or, in the lesser case, sixty percent (60%) or more consent because the business is located in an area that is surrounded by more businesses than residential properties and of those residential properries, there were more condos than single-family residences, which made access to the follow-up door-to-door survey difficult; and WHEREAS, licensee, per City of Saint Paul Legislative Code 409.06(g) (2) (c), was able to receive positive consent from fifty-sixty percent (56%) of residential owners, including support from the Summit Hill Association; and 28 WHEREAS, the Council finds that these efforts constirixte a good faith effort to fulfill all 29 petition requirements, and that the results of the attempts to obtain signatures showed a 30 generally favorable disposition from the surrounding community toward the proposed 31 licensed activity; and 32 33 WHEREAS, the Council finds that issuance of the license will not interfere with the reasonable 34 use and enjoyment of neighboring property and residences and will not bear adversely on the 35 health, safety, morals and general welfare of the community; and 36 09-662 37 WHEftEAS� the Le�'slative Hearing Officer recommends that Brasa Rotisserie's application for — -- --- --- — -- ---- — - — — 38 Restaurazrt f4) - 51=35fl seats, On �bSaltf3n f5trong� and �iqnor=flutc�aor --- - 39 Service area (Patio) licenses be approved with the following conditions: 40 41 1. Per City of Saint Paul Legislative Code 409.15(a) (2), On Sale Wine license shall mean a 42 license authorizing the sale of wine not exceeding fourteen (14) percent alcohol by 43 volume for consumption on the licensed premises only in conjunction with the sale and 44 service of food (menu item only). The Sale of Malt (Strong) will also take place only in 45 conjunction with the sale and service of food. 46 2. Per City of Saint Paul Legislative Code 409.15(d), licensee must be able to show that 47 gross receipts are at least sixty (60) percent attributable to the sale of food. 48 3. Licensee will submit to the Deparrinent of Safety and Inspections (DSI) annual gross CL� 50 51 52 53 54 55 56 57 58 59 receipts for food and liquor for each year the license is renewed. 4. The licensee shall complete improvements to the parking lot per the conditions of the approved site plan on file with the Department of Safety and Inspections (DSI). 5. The sale/service/consumption of wine and/or beer cannot be provided on the outdoor patio area until the Liquor Outdoor Service Area (Patio) license has been issued by DSI. THEREFORE, BE IT RESOLVED that the Council of the City of Saint Paul hereby approves this license application with the aforementioned agreed-upon conditions. Bostrom Carter Harris Yeas Absent � Requested by Department of: By: Stark Thune Adopted by Council: B � Approved Mayar: B Date Date �1 � Secretary Form Approved by CiTy Attorney B Form Approved by Mayor far Submission to Council By: 60 09-662 � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet � � `Counc'd -� � - �- Contact Person & Phone: Nhia Vanq 2668566 � Assign Number For Routing Order 0 ouncil 0 1 'tv Clerk C5 Clerk 2 0 3 0 4 � 5 � Must Be on Council Agenda by (Date): 17-JUN-09 Doc.Type:RESOLUTION E-DOCUment Required: Y Document Contact: �ean Birkholz Contact Phone: 266-8673 Total # of Signature Pages _(Ciip All Locations for Signature) Approving the license application with conditions, per the Legislative Hearing Officer, for Restaurant (4)-51-150 Seats, Wine On Sale, Malt On Sale (Strong) and Liquor-Outdoor Service azea (Patiio) licenses for Brasa 2 LLC doing business as Brasa Rotisserie, 777 Grand Avenue. � Recommendations: Approve (A) or Reject (R): Planning Commission CIB Committee Civil Service Commission Personal Service Contracts Must Answer the Following Questions: 1. Has ihis person/firm ever worked under a coMracl for ihis depaAment? Yes No 2. Has lhis person/firm ever been a ciry employee? Yes No 3. Does this person/firm possess a skill not normally possessed by any current city employee? Yes No Explain all yes answers on separete sheet and attach to green sheet. Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): Advantages If Approved: Disadvantages If Approved: Disadvantages If Not Approved: Tofal Amount of Transaction: Funding Source: Financiallnformation: (Explain) CostlRevenue Budgeted: Activity Number: June 11, 2009 1:47 PM Page 1 09-662 LICENSE HEARING MINUTES "- Brasa R otisseri e, 777 Grand Avenue — - -- _ - Wec�esda�, Niay-2Z, 2009, lO:OD-a.�,---- ----------------- 330 City Hall,15 Kellogg Boulevard West Nhia Vang, Deputy Legislative Hearing Officer The hearing was called to order at 10:03 a.m. Staff Present: Larry Zangs, Department of Safety and Inspections (DSI); and Jean Birkholz, Council Research Others Present: Alexander Roberts, Owner Brasa Rotisserie: Restaurant (4) 51-151 Seats, Wine On Sale, Malt On Sale (Strong) and Liquor Outdoor Service Area (Patio) license Ms. Vang stated that this is an informallegislative hearing for a license application. This is a Class N license notification which means that the neighborhood gets notified and has a chance to voice its concems. If anyone has a concem, it automatically triggers a hearing. Other Class N licenses include: entertainment, tattoo parlors, auto repair, auto sales, etc.—things that have an immediate impact on their neighborhood. The City received one (1) letter of concem regarding this application. Ultimately, there are three (3) possible outcomes from this hearing: 1) Ms. Vang may recommend to the City Councii that they approve this license with no conditions; 2) she may recommend to the City Council that they approve this license with agreed upon conditions; or 3) she may recommend to the City Council that they not approve the requested license but refer it to an administrative law judge for a further hearing and findings. Ms. Vang will make her recommendation in the form of a resolution that will go before the City Council for their approval. It will appear on the Consent Agenda at a City Council meeting. The City Council is the final authority on whether the license application is approved or denied. Ms. Vang will begin with a staff report. Staff will be asked to explain their review of the application and will also explain their recommendation. Then, she will ask the applicant to explain their business plan. Next, she will hear from people who are here in support and those with concems, and she will review the letters that were sent regarding this request. Mr. Zangs, DSI, reported that staff reviewed the license application and recommends approval with the following conditions: 1. Per City of Saint Paul Legislative Code 409.15(a) (2), On Sale Wine license shall mean a license authorizing the sale of wine not exceeding fourteen (14) percent alcohol by volume for consumption on the licensed premises only in conjunction with the sale and service of food (menu item only). The Sale of Malt (Strong) will also take place only in conjunction with the sale and service of food. 2. Per City of Saint Paul Legislative Code 40915(d), licensee must be able to show that gross receipts are at least sixty (60) percent attributable to the sale of food. Page 1 of 4 09-662 3. Licensee will submit to the Department of Safety and Inspections (DSI) annual gross receipts for food and liquor for ea ch year the licen is renewed - ----- ------------_ --- ------ ---- ----- 4. Tlie l�eeitsee s�a�l co�tplete i�tp�ove�e�ts ta-t�ie-paiki�g-lot-pe��ke��di#;iei�s-ef-tlle-- --- -- approved site plan on file with the Depamnent of Safety and Inspections (DSI). 5. The sale/service/consumption of wine and/or beer cannot be provided on the outdoor patio area until the Liquor Outdoor Service Area (Patio) license has been issued by DSI. Inspection Requirements: Building: Under review (active/inspected building permits) Environmental Health: Under review License: Approval with conditions Zoning: Approval with conditions Mr. Zangs explained that regarding the required perition, 56 percent (47 respondents) were tallied; 43 of them were in support; 3 were business related so they didn't count. Of the 43 signatures gathered, all of them were in support (100 percent). In instances like this, the ordinance says that in order to bring it forward for licensure consideration, the following are needed: 1) district council approval; and 2) a generally favorable response from those petitioned. On the issue of parking, Mr. Zangs explained that the Zoning Code looks at the pre-existing use and compares it with the proposed use. In this case, there really is no change in use (going from a pizza restaurant serving beer and wine to a full-service, upscale restaurant serving beer and wine). The Zoning Code says that whatever parking is on the site needs to be maintained. The parking lot is being re-arranged to be more efficient but the number of parking spaces has not changed. The site plan for the parking lot has been approved. More landscaping has been added for beautification. The applicant has until December 1, 2009 to make those improvements. Ms. Vang asked if there are other similar uses in the area. Mr. Zangs responded that right next door is Punch's Woodfire that is similarly licensed. They also have a patio on which they serve beer and wine. Across the street is the Wild Onion which is a fizll liquor and restaurant; they also have a patio license. Billy's on Grand is a full liquar and restaurant with a patio license. Ms. Vang asked if the Wild Onion and Billy's had any problems meeting the petirion requirements. Mr. Zangs replied that in the case of Wild Onion and Billy's, they went through a different kind of approval process before the 90% petition approval was used. The current rules that apply to Brasa s did not apply to them when they established their outdoor service areas. He believes that Punch's came in under the same rules that currently apply. Ms. Vang asked for a copy of the letter (petition) used by Mr. Roberts that will show that he made a good faith effort to meet the requirements. Mr. Roberts stated that Brasa is the same use as what was there before; there is no significant change in use of how this property's been operated and he has no intention to seek any other type of license. This is exactly what warks for him; it is exactly what they do at their existing location in Minneapolis. He added that Punch's is the most significant wmparable use in the neighborhood because it has food, wine and beer only where Billy's is a full liquor license. It is an important Page 2 of 4 ��• ..� distinction because it is full liquor that changes the character and the personality of the business, - and ma th em more of a soci dri nking place versus a family -oriented eating place. Because — tl�e3'�e-dostg a seeo�d loca�ior�-a€ ax� exist�g b�si�ess,- �ey are ve�e�#i�ea� and-een�o�able -__- - in making the statement that they know what their business is because they have been running it for a number of years. They know what type of clientele they draw and what type of clientele they do not draw. People don't come to their restaurant to "drink" they come to perhaps have a beer or glass of wine with their meal. Mr. Roberts has spent time in the neighborhood talking with the people there and the people of the neighborhood dori t want another Wild Qnion or Billy's in the neighborhood. They want businesses that are owner-operated serving the people of the neighborhood and being a good neighbor, which is exactly what Brasa is. At Brasa, wine and beer are just beverages in addition to other beverages that they serve. Wine and beer sales at the Minneapolis restaurant rarely exceeded 15 percent of their total sales. Brasa doesri t do specials or two for one's. Ms. Vang asked Mr. Roberts how long he has operated the Brasa in Minneapolis. Mr. Roberts replied that he has operated it for two (2) years. His other restaurant, which also operates with a wine and beer license, has operated for almost ten (10) years. Ms. Vang asked about staff. Mr. Roberts answered that they have not yet finished hiring for the Grand Avenue location but it is about forty (40) total. There is a manager at the restaurant at all times and Mr. Roberts is also there frequently. He employs a general manager, a kitchen manager, and a front of the house manager. Brasa is open seven (7) days a week so there are two (2) people trained for each of those positions. They plan to open at 11:00 a.m. and close at 10:00 p.m. Regarding the patio, he has found at the Minneapolis restaurant, after 9:00 p.m., the business drops off steeply. On the weekend, people may drop in after 9:00 p.m. In his opiruon, restaurants that do not have a full bar and a bar scene where people are not really eating, are not busy at that time of night. IYs an environment where people are not boisterous, just a little hum of conversations taking place. There will be no live music or significantly amplified music. There is a small stereo that warms up the space. When the restaurant fills up with peopie, you cari t even hear it. Mr. Roberts went on to explain that the patio is fenced and everything is controlled. There are approximately 45 seats on the patio. Brasa is not a seat yourself place; the host seats everyone. People do not waik around with their food or drinlcs; iYs not a hang-out place. Mr. Zangs added that in this case, the beer and wine are menu items making it a reasonably controlled and managed system. As a patron, he could not go into the restaurant and only order a glass of wine or beer. He must order each of them with food, and he could not routinely take his glass and step out to the pario. When the police do compliance checks, they are specifically looking to see if people are being served just alcohol. That doesn't usually happen in these types of restaurants. Mr. Roberts added that the only exception ever to someone getting a drink and not sitting down is when occasionally, someone is waiting for a table in the waiting area or vestibule. Brasa does not allow someone to come in, order a drink and then leave. Page 3 of 4 09-662 Mr. Roberts explained that the patio area is enclosed with a fence. There's a back entrance from the reaz parking azea that is also controlled. One cannot just walk from b ack area o nt o the p atio. The paho is-approx�ate�y 10 £ee� w�de-a�d it wFaps a�ot�d-##e bt�ldtng. ------ ---- ------- — Ms. Vang asked about alcohol tranling for staff. Mr. Roberts responded that they have, in the past, employed an alcohol compliance training person and they do periodic re-training of the staff. It is Brasa s rule that anyone who looks under 35 years old, must be carded 100°/o of the time. If any staff fails to do that, they may lose their job. Ms. Vang asked whether the applicant has participated in DSI's training for serving liquor. Mr. Zangs replied that the City is required to go through the liquor manual with the owner/applicant. Ms. Schweinler will be meeting with Mr. Roberts in the future. It will take approximately 15-20 minutes. Regarding the petition, Mr. Roberts explained that he did two (2) separate full mailings of the list of addresses given to him by DSI, which included businesses. Mr. Zangs went on to explain that there were 96 addresses on the list, some of which were duplicates (86 potenrial). There were 48 positive responses; there were three (3) ineligible because they were related to businesses. (The computer system cannot distinguish between residences and businesses.) Mr. Roberts stated that there was some "retum to senders." They received no negarive responses. Ms. Vang read the letter of concem and the letter of approval from the Summit Hill Associarion. (Ms. Vang took a recess at 10:39 a.m.) (The hearing was reconvened at 10:45 a.m.) Ms. Vang reviewed the site plan for the parking lot with Mr. Roberts and Mr. Zangs. Ms. Vang will recommend that the City Council approve the license with the conditions recommended by DSI. Ms. Vang asked Mr. Zang for a new tally of petitions that she needs to include in the resolution. The Conditions' Affidavit has been signed and will be added to the file. The hearing was adjoumed at 10:55 a.m. /jab Page 4 of 4