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REQUEST FOR A COMMISSION USE PERMIT AND WAIVER TO UPGRADE FROM OFF-SALE OF BEER AND WINE TO OFF-SALE OF GENERAL ALCOHOLIC BEVERAGES IN AN APPROVED CONVENIENCE STORE AT 7620 MARANATHA WAY (P23-0354) (APN 130-030-13)
recommended action
RECOMMENDATION
Staff recommends that the Planning Commission:
1. Find no further environmental review is necessary from the California Environmental Quality Act (CEQA) pursuant to Section 15183 (Projects Consistent with a Community Plan or Zoning);
2. Adopt a Resolution approving a Commission Use Permit and Waiver to upgrade from off-sale of beer and wine to general alcoholic beverages, subject to conditions.
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Summary
The applicant, Sandy Mann, is applying for an Alcohol and Beverage Control (ABC) license upgrade from Type 20 (off-sale beer and wine) to Type 21 (off-sale general alcohol) in an approved convenience store located at 7620 Maranatha Way (southeast corner of east Hammer Lane and Maranatha Way), herein known as the “Project.”
The site holds a valid Use Permit approved by the Planning Commission on June 24, 2021 (Attachment A - P19-0718 Approval) for a Convenience store with off-sale beer and wine. A Finding of Public Convenience was not required at that time and is not required now as the census tract is not overconcentrated. The original approved Project was for an annexation, tentative parcel map, and development of a a 3,922-sf convenience store, carwash facility, and restaurant building. The site is in the process of receiving building permits to begin construction.
Stockton Municipal Code (SMC) 16.80.040(D)(2)(c) requires a new Use Permit for ABC license upgrades. ABC license upgrades are exempt from SMC location restrictions for proximity to sensitive uses and will not result in a net increase in off-sale licenses in the census tract. The subject site is located in a high crime reporting district, and the conditions placed on the new permit will mitigate any potential negative impact on the surrounding neighborhood.
The Project is consistent with the 2040 General Plan Land Use Map designation of Commercial applicable to the site. The project also furthers General Plan policies aimed at attracting employment and tax-generating businesses in the City (Policy LU-4.2 and ED-1). All of this is accomplished in a development proposal that is compliant with all applicable requirements within SMC Title 16 (Development Code).
Staff has determined this Project is in compliance with the SMC and recommends the Planning Commission approve the requested Use Permit for the upgrade from a Type 20 ABC License for off-sale of beer and wine to a Type 21 License for off-sale of general alcohol (beer, wine and distilled spirits).
DISCUSSION
Background
The proposed Project is located at the southeast corner of East Hammer Lane and Maranatha Way (Attachment B - Aerial Photo and Location Map). The parcel is in the process of obtaining building permits to develop in accordance with the approved project (P19-0718). The site is bounded to the:
• North, across East Hammer Lane, by residential uses;
• East and south by vacant land; and
• West, across Maranatha Lane, by commercial uses (car sales).
The 2040 General Plan Land Use Map designates the subject site as Commercial (Attachment C - General Plan Map) and the Zoning designation is Commercial, General (CG) which supports the use. (Attachment D - Zoning Map)
Present Situation
The applicant, Sandy Mann, has applied for a new Commission Use Permit to upgrade an approved Use Permit for off-sale of beer and wine (Type 20 ABC license), to a Type 21 license which enables the off-sale of general alcohol.
The original Use Permit was approved by the Planning Commission on June 24, 2021 (P19-0718) for a Convenience store with off-sale beer and wine and 16-pump gas station, as well as other entitlements to enable development of the site.
In order for the applicant to upgrade their ABC license from an off-sale beer and wine (Type 20) to off-sale general (Type 21), the Planning Commission must consider approving a new Use Permit. The Stockton Municipal Code (SMC) Section 16.80.040(D)(2)(c) provides the parameters for evaluating a proposed upgrade.
Project related required building permits have been applied for and are in the progress of being issued. The convenience store is proposed to be developed in accordance with the approved plans and conditions of approval of P19-0718, and if approved, with the conditions of approval of this proposed use permit. The approved hours of operation for the convenience store and gasoline sales are 24 hours per day, seven (7) days a week. The sale of alcoholic beverages will comply with State Alcoholic Beverage Control (ABC) regulations and only be offered between 6:00 a.m. to 2:00 a.m., seven (7) days a week. While the City has the authority to regulate and permit the use, the sale of alcohol is regulated by ABC.
STAFF ANALYSIS
To develop the Project, the Planning Commission is asked to approve a Commission Use Permit, subject to conditions. The request and staff’s analysis is provided below.
Commission Use Permit
When evaluating applications for an upgrade of an alcohol license, the proposed Commission Use Permit must be evaluated against the parameters identified in SMC Section 16.80.040(D)(2)(c) as referenced below.
SMC 16.80.040(D)(2)(c)(i)(A): No Net Increase in the Number of Such Licenses
This code section specifically states that the upgrade shall “not result in a net increase of the number of such licenses in a census tract where an over-concentration exists.” While this would be a new license and a new Commission Use Permit, the applicant already has an approved Commission Use Permit at this location. The applicant will be required to surrender or sell his existing Type 20 license with ABC to obtain the new Type 21 license at this location. Therefore, there will be no net increase in licenses in this census tract. Additionally, per ABC’s verification, this census tract (35.04) is not over-concentrated; 6 off-sale licenses are permitted and 4 are currently active.
SMC 16.80.040(D)(2)(c)(i)(B): Exemption from the Location Restrictions
This code section specifically states that the upgrade shall “Be exempt from location restrictions under subsection (2)(a).” These location restrictions include proximity to schools, daycares, etc., however this is not applicable for an upgrade.
SMC 16.80.040(D)(2)(c)(i)(C): Transfer to a location outside the Census Tract or Cancel
This code section specifically states that the upgrade shall “transfer the existing off-sale alcoholic beverage license to outside another census tract or cancel such license.” The applicant is not only required per the Code to transfer the license or cancel it, but ABC also has the same requirement. Per ABC, the project site has no pending or issued license as it has yet to open; therefore, this section does not affect this upgrade request.
SMC 16.80.040(D)(2)(c)(i)(D): Obtain a New Commission Use Permit
This code section specifically states that the upgrade shall “obtain a new commission use permit.” The applicant is seeking a new commission use permit for this upgrade.
SMC 16.80.040(D)(2)(d)(ii)(A) Crime Reporting District
This code section specifically states that the “Establishment shall not be located in a crime reporting district, where the average number of crimes in that district exceeds the average number of crimes for all reporting districts citywide by more than 20 percent.
The project site is located in CRD No. 0358. According to statistics maintained by the Police Department, CRD No. 0358 had 506 crimes that required a police report that were reported from June 17, 2022, through June 17, 2024. The citywide average is 328 crimes per CRD for the specified date range. CRD No. 358 exceeds the city-wide average by more than 20 percent; therefore, the subject use does not comply with the noted restriction. Stockton Police Department had no comment on the project referral. (Attachment E - Calls for Service & Citywide Averages). The Planning Commission may waive this requirement to support local economic growth and approve this Use Permit.
SMC 16.80.040(D)(2)(d)(ii)(B): Grouping Requirement
This code section specifically states that the “Establishment shall not be located in an area within 500 feet of an existing off-sale alcoholic beverage establishment or any location that would lead to the grouping of more than four off-sale alcoholic beverage establishments within a 1,000-foot radius.
Based on ABC records, there are no existing off-sale alcoholic beverage establishments within 500 feet of the Project site; however, one (1) existing off-sale alcoholic beverages establishment is located at 7700 Moreland Street within 1,000 feet. Approval of this Use Permit and an ABC license, a grouping of two (2) similar alcohol establishment will be created, which is below the grouping allotment of four (4) establishments per ABC. The subject use does comply with the separation restrictions for off-sale alcohol establishments.
Required Findings
To approve the project, the Planning Commission must make the following Use Permit findings:
SMC Section 16.168.050(A) - General Findings.
There are seven (7) required General Findings, they require:
1) Compliance with all applicable provisions in the SMC;
2) Maintaining the integrity and character of the applicable zoning district;
3) Consistency with applicable General Plan objectives and policies;
4) Physical suitability of the site for the proposed use;
5) Not endangering or jeopardizing the public health, safety, peace, or general welfare of the public;
6) Compatibility with surrounding uses; and
7) Consistency with the California Environmental Quality Act.
Staff affirms that the use is allowed in the CG zoning district; it will provide for additional neighborhood-service retail convenience items to the local neighborhood; it is consistent with the goals, objectives and policies in the General Plan; the site is physically suitable for the development; the use will be subject to the conditions of approval; the retail use of the store is compatible with other land uses on-site and in the vicinity; and, the project is Categorically Exempt from CEQA. Although the project is not compliant with the crime reporting district requirement, staff finds that with an approved Waiver, all General Findings can be made to support the project based on evidence provided in the proposed resolution.
SMC Section 16.168.050(B) - Problem Uses.
In addition to the General Findings, the following three (3) Problem Uses shall be considered:
1) The proposed use is not likely to interfere with the comfortable enjoyment of life or property in the area;
2) The proposed use will not increase or encourage the deterioration or blight of the area; and
3) The proposed use will not be contrary to any program of neighborhood conservation, improvement, or redevelopment, either residential or nonresidential.
As it pertains to problem uses, staff believes these findings can be made for the following reasons: (1) the proposed use will provide an opportunity and added convenience for nearby residents to purchase a greater variety of alcoholic beverages items and will not interfere with the comfortable enjoyment of life or property in the area; (2) the proposed use will be subject additional conditions specific to off-sale alcoholic beverage establishments to assure the property is maintained and operated in a manner that would prevent deterioration or blight of the area; and, (3) the use has a previously approved Use Permit for off-sale beer and wine and the proposed use to off-sale general does not act contrary to any program or neighborhood conservation effort.
SMC Section 16.168.050(C) - Alcoholic Beverages.
In addition to the General Findings and Problem Use Findings, the following findings shall be made for all uses that incorporate “alcoholic beverage sales activity” as defined in SMC Section 16.80.040. SMC Section 16.168.050(C) contains the four (4) specific findings for Alcoholic Beverages. These Findings address:
1) The project’s potential to result in nuisance activities on and in proximity to the subject site;
2) The completion of a training course in licensee education on alcohol and drugs (lead);
3) Compliance with all provisions of local, state and federal laws, rules, and regulations; and
4) Required criteria for a public convenience or necessity (PCN) finding, if required.
The Applicant has agreed to comply with all conditions of approval, per said conditions:
1) The convenience store will endeavor to limit potential nuisance and criminal activity, littering, graffiti, and excessive loitering
2) The approved course (LEAD) for responsible beverages sales will be completed,
3) All provisions of local, state and federal laws, regulations, rules, policies or orders enforced by the City of Stockton and ABC will be complied with; and,
4) The project location does not require a PCN determination per ABC.
The approved convenience store and its operation, when open, will contribute to the continued enjoyment of the neighborhood by providing convenient access to fuel and other merchandise for residents nearby.
The applicant will participate in all required courses per ABC, and complies with all additional local, state, and federal law, as well as the Stockton Municipal Code and existing Conditions of Approval for the prior approved project. Lastly, per ABC, this Project does not require a PCN determination.
Waiver
The Planning Commission has the discretion to waive the Crime Reporting District (CRD) requirement to promote and support local economic business growth throughout the City. To reiterate, the project is located in a Crime Reporting District that exceeds the citywide average by 54% which is more than the 20% exceedance threshold allowed. The applicant is requesting the Planning Commission to waive this requirement as it would allow the convenience store to offer a wider range of products available to the public in one location.
The Planning Commission, in the previous approval of off-sale beer and wine (P19-0718) considered and approved the project with a waiver of the Crime Reporting District requirement. However, per SMC §16.80.040(D)(2)(c)(1), upgrades of off-sale alcoholic beverage licenses are required to obtain a new Use Permit and is not except from CRD requirement.
The required waiver findings are found in SMC Section 16.176.040 and are as follows:
1) The granting of the waiver shall enable the site to be utilized so that specific standards can be addressed without creating undue hardship.
2) The granting of the waiver shall allow for the economic viability and use of the site.
3) The granting of the waiver, with conditions that are imposed, will not be detrimental to the property or improvements in the zone or neighborhood in which the property is located.
4) The granting of the waiver will be consistent with the general land uses, objectives, policies, and programs of the General Plan, and any applicable specific plan, precise road plan, or master development plan, and the intent of this Development Code.
5) The granting of the waiver will not conflict with applicable provision of the latest edition of the California Building Code and Fire Code and other applicable Federal, State, and local laws and regulations; and
6) The granting of the waiver will be in compliance with the provisions of the California Environmental Quality Act (CEQA) and the City’s CEQA guidelines.
The waiver will enable the convenience store to be economically viable by providing a wider range of products to customers. Staff has verified that all required waiver findings can be made to support the proposed project, as evidenced in the attached resolution. The project site has an approved off-sale beer and wine Use Permit and with the proposed upgrade, except for the requested waiver of the CRD requirement, is consistent with the General Plan and Development Code. The site is physically suitable for the use, is consistent with existing surrounding and proposed commercial uses, and will be subject to conditions of approval. The project is categorically exempt from CEQA.
Public Comments
Notice for this item was published in the Record on October 14, 2024, and a notice has been sent to all property owners within a 300-foot radius of the Project site on October 14, 2024. Staff has not received any comments from the public as a result of the notices.
Environmental Clearance
Per California Environmental Quality Act (CEQA) Guidelines Section 15183, projects which are consistent with the development density established by a Community Plan, General Plan, or Zoning for which for which an EIR has been certified shall not require additional environmental review. The proposed project is consistent with the adopted Envision Stockton 2040 General Plan and its certified EIR (SCH# 2017052062), with City Council action taken on December 4, 2018
Attachment A - P19-0718 Approval
Attachment B - Aerial Photo and Location Map
Attachment C - General Plan Map
Attachment D - Zoning Map
Attachment E - Calls for Service and Citywide Averages
This staff report was prepared by Arturo Carrasco, Associate Planner. He may be contacted at Arturo.Carrasco@stocktonca.gov or 209-937-8955.