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CR2014-051 Restrictions on Off-Sale Liquor EstablishmentsJuly 15, 2014 M Council Report 2014-051 Proposed Action If the City Council wishes to put a limit on the number of off -sale establishments in Hopkins it should pass the following motion: Approve Ordinance 2014-1071 for first reading. If the City Council wishes to put a limit on the size of any new off -sale establishments in Hopkins it should pass the following motion. Adopt Resolution 2014-033, Approving Ordinance 2014-1070 Amending Section 535.01 of the Zoning Ordinance for First Readin2, Overview The City of Hopkins currently has seven licensed off -sale liquor stores. In addition Hopkins Tavern on Main has a combination license that allows this establishment to sell off -sale, so there is a total of eight off -sale licenses at this tinie. While there is no limit on the number of off -sale licenses that can be issued in Hopkins, the City Council has established other limitations. These limitations include distance restrictions that limit where a new off -sale liquor store can be sited and size restrictions in the B-4 zoning district. Ordinance 2014-1071 would limit the total number of off -sale licenses to eight. Ordinance 2014-1070 would impose a 5,000 sq. ft. limit on the size of any new off -sale liquor establishments. This ordinance could also prevent current off -sale establishments from expanding. Primary Issues to Consider • flow does Hopkins compare to other cities in the number of off -sale establishments? • What are the current restrictions on the location of off -sale liquor stores? • Will the proposed ordinances affect current off -sale liquor establishments? Supporting Information • Ordinance 2014-1071 • Ordinance 2014-1070 • Resolution 2014-033 • Liquor License Survey `Assistant City Manager )Ck Nancy erson Planner CR2014-051 Page 2 Analysis of the issues How does Hopkins compare to other cities in the number of off -sale establishments? While some larger cities have more off -sale establishments, Hopkins has more per capita and per square mile than other cities that were surveyed. (See attached. Liquor License Survey.) What are the current restrictions on the location of off -sale liquor stores? An off -sale liquor license can only be issued for a building located in an area zoned for business. ® The Zoning Code does not allow liquor stores larger than 5,000 sq.. ft, in. the B-4 zoning district. Section 1200 of the City Code establishes distance restrictions that limit where a new off -sate liquor store could be sited. 1200.12. Subdivision 1. No new off -sale liquor license or off -sale 3.2 percent malt liquor license shall be granted for any building within 350 feet of any o elementary or secondary school; o daycare center; or o religious institution. o existing exclusive off -sale liquor store, o pawn shop, o licensed currency exchange Will the proposed ordinances affect current off -sale liquor establishments? Ordinance 2014-1070 imposes a 5,000 sq. ft. limit on the size of establishments with off -sale liquor licenses. Any existing liquor establishment larger than 5,000 sq. ft. would be grandfathered and could continue in business even if ownership changed. However, no existing off -sale establishment would be allowed to expand beyond 5,000 sq. ft. No current off -sale establishment that is larger than 5,000 sq. ft. would be allowed to expand at all. Alternatives 1. Approve Ordinance 2014-1071 for first reading. This would place a limit on the number of off - sale liquor licenses that could be issued at any one time. 2. Approve Ordinance 201.4-1.070 for first reading. This would establish a maximum size limit for any new off -sale liquor establishments. 3. Approve both Ordinance 2014-1071 and Ordinance 2014-1070 for first reading. 4. leo not approve either ordinance. CITY OF HOPKINS Hennepin County, Minnesota ORDINANCE 2014-1071 AN ORDINANCE AMENDING SECTION 1200 OF THE HOPKINS CITY CODE Whereas, the Hopkins City Council has determined that the interests of the City and its residents can best be served by establishing a limit on the number off -sale liquor licenses issued by the City; Now, therefore, the City Council of the City of Hopkins does hereby ordain: Section 1. Hopkins City Code, Section 1200.11 is hereby amended to read as follows: 1200.11. Off -sale licenses. off -sale licenses shall be issued to exclusive liquor stores and shall permit off sales of liquor only. Eight off -sale licenses may be granted in a year. No off - sale license shall be issued to an establishment holding an on - sale liquor license except those on -sale and off -sale licenses that are presently existing in such combination. The sale of such an establishment shall not prevent the new owners from applying for an off -sale liquor license. At any time hereafter that any such existing combined on -sale and off -sale licenses are for any reason suspended, canceled, or not applied for, no further re -issuance or renewal of such licenses shall thereafter be allowed or issued in combination. Section 2. The effective date of this ordinance shall be the date of publication. First Reading: Second Reading: Date of Publication: Date Ordinance Takes Effect July 15, 2014 August 4, 2014 August 14, 2014 August 14, 2014 Gene Maxwell, Mayor ATTEST: Amy Domeier, City Clerk City Attorney Signature Date CITY OF HOS'" NS Hennepin County, Minnesota ORDINANCE NO. 2014-1070 THE COUNCIL OF THE CITY OF HOPKINS DOES HEREBY ORDAIN AS FOLLOWS: That the Hopkins Zoning Ordinance No. 535 be, and the carne and is hereby amended by adding the following underlined language, which reads as follows: 535.01 Subd. 3. 67. Liquors First Reading: Second Reading: Date of Publication: Date Ordinance Takes Effect: ATTEST: Amy Domeier, City Clerk B-2 B-3 Xf4) X� APPROVED AS TO FORM AND LEGALITY: City Attorney Signature Date July 15, 2014 August 4, 2014 August 14, 20 14 August 14, 2014 Eugene J. Maxwell, Mayor RESOLUTION NO: 82014-033 RESOLUTION MAKING FINDINGS OF FACT AND APPROVING A ZONING AMENDMENT WHEREAS, an application for Zoning Amendment ZN14-1 has been initiated by the City of Hopkins, WHEREAS, the procedural history of the application is as follows: 1. That an application for zoning amendment was initiated by the City of Hopkins; 2. That the Hopkins Zoning and Planning Commission published notice, held a public hearing on the application and reviewed such application on May 27, 2014: all persons present were given an opportunity to be heard; 3. That the written comments and analysis of City staff were considered, NOW, THEREFORE, BE IT RESOLVED that the application for Zoning Amendment ZN 14-1 is hereby approved based on the following Findings of Fact: I . That the City Council desires to limit the size: of liquor stores. 2. That the Zoning and Planning Commission reviewed the proposed ordinance. Adopted this 1, 5th day Of July 2014 Eugene J. Maxwell, Mayor ATTEST: Amy Domeier, City Clerk Liquor License Survey CITY Total OFF Sale Intox Off -Sale Per Capita Off -Sale Licenses Per Square Mile I liquor store Per every Hopkins 8 2,199 2.0 St. Louis Park 14 3,232 1.3 New Hope 6 3,471 1.2 Eagan 16 4,013 0,5 Golden Valley 5 4,074 0.5 Bloomington 20 4,262 0.6 Minnetonka 12 4,292 0.4 Plymouth 15 4,705 0.5 Brooklyn Park 14 5,195 0.5 'Woodbury 11 5,633 0.3 Maple Grove 9 1 6,841 0.3 Blaine 8 -1 7,148 0.2 AVER -AGE 4,589 0.7