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Home My WebLink AboutCOUNCIL - AGENDA ITEM - 08/30/2016 - ENTERTAINMENT DISTRICTSDATE: STAFF: August 30, 2016 Aimee Jensen, Deputy City Clerk Wanda Winkelmann, City Clerk WORK SESSION ITEM City Council SUBJECT FOR DISCUSSION Entertainment Districts. EXECUTIVE SUMMARY The purpose of this item is to present information on Entertainment Districts. An Entertainment District is an area in a controlled outdoor environment that allows the consumption of alcoholic beverages. GENERAL DIRECTION SOUGHT AND SPECIFIC QUESTIONS TO BE ANSWERED 1. What additional information, if any, does Council need regarding Entertainment Districts? 2. Does Council support consideration of an ordinance at a future Council meeting? 3. In addition to the stakeholders listed on the Public Engagement Summary, what additional public outreach should be conducted? BACKGROUND / DISCUSSION In the 2011 legislative session, Senate Bill 11-273 was enacted which authorizes alcoholic beverages to be consumed in a Common Consumption Area located with an Entertainment District that is established by a local jurisdiction. Such area is essentially a geographically defined space with which liquor licensed establishments may allow patrons to consume alcohol not only within those premises, but also within additional areas shared in common between liquor licensed establishments. Those common areas can include sidewalks or plazas. 1. By ordinance, the City needs to establish code allowing Entertainment Districts and set forth a process for the Liquor Licensing Authority to approve a Common Consumption Area. City Council must adopt an ordinance in order to create an Entertainment District within which a Common Consumption Area could be considered by the City’s Liquor Licensing Authority. An Entertainment District is an area within the City that can be no more than one hundred (100) acres in size, and must be comprised of at least twenty thousand (20,000) square feet of premises licensed as a tavern, hotel and restaurant, brew pub, distillery pub, retail gaming tavern, vintners’ restaurant, beer and wine, manufacturer or beer wholesaler that operates a sales room, or limited winery. A Common Consumption Area is the area within the Entertainment District that is approved by the Liquor Licensing Authority and uses physical barriers to close the area to motor vehicle traffic and to limit pedestrian access. The ordinance must set forth a process in which the Common Consumption Area within the Entertainment District shall be approved by the Liquor Licensing Authority. The ordinance can designate the location, size, security and hours of operation of the Common Consumption Area. If the ordinance does not restrict alcohol service to a specified time, the Liquor Licensing Authority may allow a certified Promotional Association to operate a Common Consumption Area past 2:00 a.m. (for example, the City of Glendale allows service until 4:00 a.m.). August 30, 2016 Page 2 2. The ordinance needs to create a process for the Liquor Licensing Authority to certify, recertify, and decertify a Promotional Association. The ordinance must give the Liquor Licensing Authority the authority to certify, recertify and decertify Promotional Associations. A Promotional Association is an association that is incorporated within Colorado that organizes and promotes entertainment activities within a Common Consumption Area, and is organized or authorized by two (2) or more licensees who own or lease property within an Entertainment District. The Liquor Licensing Authority must certify a Promotional Association before operation. To qualify for certification, the Promotional Association must have a board of directors with at least one (1) director from each attached license, agree to submit to annual reports, maintain a properly endorsed general liability and liquor liability insurance policy acceptable to the Liquor Licensing Authority, and name the City of Fort Collins as an additional insured. The Promotional Association must also conduct a survey of the neighborhood to ensure the use is compatible with the reasonable requirements of the neighborhood or the desires of the adult inhabitants. If approved, the Promotional Association will serve as the operator of the Common Consumption Authority. In the event the certified Promotional Association applies for recertification after one (1) year, there should be a process in place for that recertification. In the event of a violation after approval, the Liquor Licensing Authority will have the power to decertify a Promotional Association. The process will be in the same manner for show cause violations as related to liquor licenses. 3. The ordinance needs to create a process for a liquor licensee to attach to an existing Common Consumption Area. The ordinance must set forth a process for application for attachment of liquor licensed premises to an existing Common Consumption Area of a certified Promotional Association. If a liquor licensee wishes to attach to an existing Common Consumption Area of a certified Promotional Association, it should be done on forms prepared by the City Clerk. No action is required for those Licensees electing not to be a part of the Common Consumption Area. Public Outreach Staff will conduct public engagement if Council is interested in pursuing an ordinance permitting Entertainment Districts. Other Communities with an Entertainment District o Greeley o Glendale o Crested Butte o Central City/Black Hawk o Cripple Creek o Salida o Frederick o Castle Rock o Snow Mass Next Steps If Council would like to move forward, staff will: 1. Conduct public outreach 2. Prepare an Ordinance for Council consideration 3. Prepare application forms and set fees. August 30, 2016 Page 3 ATTACHMENTS 1. Public Engagement Plan Entertainment District (DOC) 2. Powerpoint presentation (PDF) PUBLIC ENGAGEMENT SUMMARY PROJECT TITLE: ENTERTAINMENT DISTRICT OVERALL PUBLIC INVOLVEMENT LEVEL: Involve BOTTOM LINE QUESTION: Shall entertainment districts be allowed in Fort Collins? KEY STAKEHOLDERS: City Council, Board and Commission Members, Business Leaders/Associations TIMELINE: Spring 2017 PHASE 1: Discuss proposal with City Council at Work Session Timeframe: Scheduled for August 30 Key Messages: 1. Provide an overview of entertainment districts. 2. Elicit Council’s feedback on entertainment districts. Tools and Techniques: 1. Information provided in an AIS and PPT presentation PHASE 2: If Council supports moving forward, conduct public outreach to Board and Commission members at a Super Issue Meeting, Business Leaders/Associations (such as DDA, DBA, NFCBA, etc.). Timeframe: September – November, 2016 Key Messages: 1. Provide an overview of entertainment districts 2. Elicit stakeholder feedback on the establishment of an entertainment district Tools and Techniques: 1. Public meetings PHASE 3: Present ordinance establishing an entertainment district for Council’s consideration Timeframe: December 2016 Key Messages: 1. Summary of feedback received from interested stakeholders Tools and Techniques: 1. Include sample ordinances and fees from other municipalities ATTACHMENT 1 1 Entertainment Districts Wanda Winkelmann, City Clerk Aimee Jensen, Deputy City Clerk 8-30-16 ATTACHMENT 2 General Direction Sought 1. What additional information, if any, does Council need regarding Entertainment Districts? 2. Does Council support consideration of an ordinance at a future Council meeting? 3. In addition to the stakeholders listed on the Public Engagement Summary, what additional public engagement should be conducted? 2 Background Senate Bill 11-273 allows local jurisdictions to opt in by Ordinance to allow Entertainment Districts. What is an Entertainment District? • Area in a controlled outdoor environment that allows the consumption of alcoholic beverages. 3 Definitions Entertainment District: • Cannot be more than 100 acres and no less than 20,000 square feet of currently existing liquor licensed premises. Common Consumption Area: • Outdoor area in an Entertainment District. • Must be approved by the Liquor Licensing Authority. • Uses physical barriers to close the area. Promotional Association: • Organizes and promotes entertainment activities within a common consumption area and is organized by two or more people who own or lease property within an Entertainment District. 4 Promotional Association Details Promotional Association • Operates the Common Consumption Area – including security, maintaining barriers, planning entertainment. • Made up of one representative from each liquor-licensed premise ‘attached’ to the Common Consumption Area. • Makes sure rules and regulations regarding the Common Consumption Area are obeyed. 5 Common Consumption Area Details Common Consumption Area: • Outdoor venue that allows consumption of alcoholic beverages from adjacent liquor-licensed premises. • Must demonstrate needs and desires of the neighborhood, like a ‘regular’ liquor license does. 6 7 • Judge certifies Promotional Association The Promotional Association involves two or more liquor licensees who own or lease property within the Entertainment District. • Judge approves the Common Consumption Area The Promotional Association applies for the Common Consumption Area through a process similar to a new liquor license application. Process for Liquor Licensing Authority (Municipal Judge) Across Colorado • Greeley • Glendale • Crested Butte • Central City/Blackhawk • Cripple Creek • Salida • Frederick • Castle Rock 8 Cities with, or adopting, Entertainment Districts: 9 Example Common Consumption Area MAP LEGEND Heavy Duty Pinions Permanent Metal Gate Common Consumption Area General Direction Sought 1. What additional information, if any, does Council need regarding Entertainment Districts? 2. Does Council support consideration of an ordinance at a future Council meeting? 3. In addition to the stakeholders listed on the Public Engagement Summary, what additional public engagement should be conducted? 10