License By-law changes in response to the New Provincial Liquor Control and Licensing Regulations

POLICY REPORT
Licensing

Date: November 20, 2002
Author/Local: G. Gusdal 871-6461

RTS No. 3100

CC File No.113/2610

Council: November 26, 2002

TO:

Vancouver City Council

FROM:

Chief License Inspector in consultation with the Director of Legal Services

SUBJECT:

License By-law changes in response to the New Provincial Liquor Control and Licensing Regulations

RECOMMENDATION

A. THAT Council approve amendments to License By-law No. 4450 as generally outlined or referred to in Appendix A of this report which propose new and revised definitions for liquor licensed businesses.

B. THAT Council instruct the Director of Legal Services to bring forward the appropriate by-law amendments substantially as set out in Appendix A.

GENERAL MANAGER'S COMMENTS

The General Manager of Community Services recommends approval of the foregoing and the Director of Legal Services RECOMMENDS approval of amendments to License By-law No. 4450.

COUNCIL POLICY

There is no applicable Council Policy.

PURPOSE

The purpose of this report is to make required License by-law amendments as a result of the new liquor license regulations to be enacted on December 2, 2002.

BACKGROUND

On March 15, 2002, the Provincial government approved significant changes to existing liquor regulations to improve public safety, consumer choice and customer service. The proposed changes include reducing the Provincial liquor license categories down to two for liquor-serving establishments. On August 12, 2002, the Province announced the Provincial liquor regulations which implemented the proposed liquor licensing changes. These regulations will be effective as of December 2, 2002.

The announced changes will also allow new and existing liquor licensed establishments longer hours of operation (with local government input), greater seating capacity and a greater variety of entertainment. In addition, the changes include allowing the sale of hard liquor in cold beer and wine stores, lifting the current cap on the number of such businesses and amending rural agency store provisions to increase liquor retail choice in small communities. The potential impacts and implications of these changes for the City of Vancouver are being reviewed by staff and will be the subject of a further comprehensive report to Council early in the new year.

DISCUSSION

The Province will convert all of the existing liquor licenses into either a liquor primary license or food primary license as of December 2, 2002. This conversion will result in a voiding of all of the License By-law definitions for liquor license businesses because the existing License By-law definitions refer to the current provincial liquor license classifications. (A list of existing License and Zoning and Development By-law definitions are provided in Appendix B).

As a result of the December 2, 2002 enactment date, the License By-law changes outlined below must be enacted and implemented prior to the new year as the existing definitions will no longer be valid. These definitions are required in order to collect the appropriate Business License fees for 2003:

(1) Create a new definition for Liquor Store and establish a first time business license fee of $323 and $273 thereafter. Refer to Appendix A for proposed wording. A comprehensive review of the business license fee will be undertaken prior to setting the 2004 business license fee.

(2) Create a new definition for Specialty Wine Store and establish a first time business license fee of $232 and $182.00 thereafter. Refer to Appendix A for proposed wording.

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(3) Create a new definition for Restaurant Class - 1 with Lounge. Refer to Appendix A for the proposed wording. The proposed license fee is $564 for the first time fee and $514 thereafter with the same 2003 business license fees for the other restaurant classifications.

(4) Revise or delete by-law definitions for all existing liquor license business types. Refer to Appendix A for proposed wording.

Resources and Next Steps

Council is aware that a number of significant Provincial Liquor regulations and policy changes are to be implemented on December 2, 2002. These changes will have an impact on how the City of Vancouver will conduct business in the future. Changes in city regulations, policies, and procedures are inevitable. Staff anticipate presenting an initial information report on the complete status of the Provincial Liquor regulation changes to the New Council early in the new year. This report will seek Council direction on various policy and implementation issues.

CONCLUSION

Staff have only recommended the License By-law regulations that must be approved prior to December 2, 2002 to allow sufficient time to implement the by-law enactments for 2003 Business Licenses. Staff will in a future report early in the new year, make Council aware of the extent and scope of work required by the city to address all of the proposed provincial changes to the liquor regulations. Staff expect that a number of subsequent reports will be required to deal with all the issues and Council direction will be sought on these future issues.

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APPENDIX A

DRAFT BY-LAW PROVISIONS

BY-LAW NO.

A By-law to amend License By-law No. 4450
to re-define liquor establishments

THE COUNCIL OF THE CITY OF VANCOUVER, in public meeting, enacts as follows:

1. This By-law amends the indicated provisions and schedules of and adds provisions to By-law No. 4450.

2. From section 2, delete the definitions of "Cabaret", "Class `A' Pub", "Dining Lounge", "Dining Room", "Lounge", "Marine Public House", "Neighborhood Public House", "Public House", and "Stadium Class `E' Liquor License".

3. To section 2:

(a) after the definition of "Business School", add:

" "Cabaret" means a business that provides for dancing by customers, that may provide other entertainment, and that sells alcoholic drinks to customers for consumption on the premises.";

(b) after the definition of "Chief Constable", add:

" "Club" means an incorporated or unincorporated organization that is not for profit, that is organized solely for the promotion of some common object, and that is operated for club members and their guests only.";

" "Dining Lounge" means a restaurant business that sells alcoholic drinks to customers for consumption on the premises as part of a meal.";

(d) after the definition of "Hotel", add:

" "Hotel Lounge" means a business, located in a hotel, that sells beer and other alcoholic drinks to customers for consumption on the premises.";

(e) after the definition of "Liquor Delivery Service", add:

" "Liquor Store" means a business that sells liquor at retail to customers for consumption off the premises.";

(f) after the definition of "Lodging House", add:

" "Lounge" means a business, located in a club, that sells alcoholic drinks including beer to customers for consumption on the premises.";

(g) after the definition of "Marina Operator", add:

" "Marine Pub" means a business, located within the boundaries of a parcel of land or water which contains a marina, that sells beer and other alcoholic drinks to customers for consumption on the premises.";

(h) after the definition of "Multiple Conversion Dwelling", add:

" "Neighbourhood Pub" means a business, located in a neighbourhood, that sells beer and other alcoholic drinks to customers for consumption on the premises, except for a hotel pub or marine pub.";

(i) after the definition of "Restaurant Class - 1", add:

" "Restaurant Class-1 with Lounge" means a Restaurant Class -1 that includes an area designated exclusively for the sale of alcoholic drinks to customers for consumption in that area with or without food.";

(j) after the definition of "Soliciting for Charity", add:

" "Specialty Wine Store" means a business that sells wine at retail to customers for consumption off the premises, except for a liquor store."; and

(k) after the definition of "Vending Machine", add:

" "Venue" means a business, located in a stadium, arena, or theater, that provides live sporting or entertainment events, and that sells alcoholic drinks to customers attending such events for consumption on the premises."

4. From section 23.3, delete the title "PUBLIC HOUSE", and substitute "PUBS".

5. From each of subsections (1) and (2) of section 23.3, delete "Class `A' Pub, a Public House or a Neighborhood Public House", and substitute "Neighborhood Pub, Hotel Pub, or Marina Pub".

6. From SCHEDULE A, delete the references to "DINING ROOM", "MARINE PUBLIC HOUSE", "NEIGHBOURHOOD PUBLIC HOUSE", "PUBLIC HOUSE", "RESTAURANT", and "STADIUM, CLASS `E' LIQUOR LICENSE", and to their attendant fees.

7. To SCHEDULE A, after "HOTEL", "LIQUOR DELIVERY SERVICE", "MARINA OPERATOR", "MULTIPLE CONVERSION DWELLING", "RESTAURANT", "SOLICITING FOR CHARITY", and "VENDING MACHINE" respectively, add:

"HOTEL LOUNGE 4.00 per seat + 4.00 per annum per

$50.00 seat except that, despite the number of seats, the minimum fee will be $97.00 and the maximum fee will be $2,045.00

LIQUOR STORE 323.00 273.00 per annum

MARINE PUB 4.00 per seat + 4.00 per annum per

$50.00 seat except that, despite the number of seats, the minimum fee will be $97.00 and the maximum fee will be $2,045.00

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NEIGHBOURHOOD PUB 4.00 per seat + 4.00 per annum per $50.00 seat except that, despite the number of seats, the minimum fee will be $97.00 and the maximum fee will be $2,045.00

RESTAURANT - CLASS 1 564.00 514.00 per annum

RESTAURANT - CLASS 1 564.00 514.00 per annum
WITH LOUNGE

RESTAURANT - CLASS 2 564.00 514.00 per annum

SPECIALTY WINE STORE 232.00 182.00 per annum

VENUE 377.00 327.00 per annum"

8. This By-law is to come into force and take effect on January 1, 2003.

ENACTED by Council this day of , 2002

Mayor

City Clerk

APPENDIX B

Comparison of Definitions for Liquor Establishments as written in
License By-law No. 4055 and Zoning & Development By-law

Type of Establishment

License By-law

Z & D By-law

Class `A' Pub

means a place or premises in a hotel licensed as such under the Liquor Control & Licensing Act providing for the sale of all types of liquor.

not listed.

Class `A' Public House

means any place or premises in a hotel which sells beer, wine, and cider and is licensed as a Class `A' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.

not listed.

Class `A' Lounge

means any place or premises which sells all types of liquor and is licensed as a Class `A' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.

not listed.

Class `B' Dining Lounge

means a restaurant which sells all types of liquor as part of the meal and is licensed as a Class `B' Liquor Outlet under the provisions of the Liquor Control & Licensing Act.

not listed.

Class `B' Dining Room

means a restaurant which sells beer and wine as part of the meal and is licensed as a Class `B' Liquor Outlet under the provisions of the Liquor Control & Licensing Act.

not listed.

Restaurant Class -1

means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, where any live entertainment is provided by no more than two persons, and where there is no dancing by customers and no use of any amplified musical instrument.

means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, where any live entertainment is provided by no more than two persons, and where there is no dancing by customers and no use of any amplified musical instrument, but does not include Restaurant-Drive In or Drive-through Service.

Type of Establishment

License By-law

Z & D By-law

Restaurant Class -2

means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, and where live entertainment is provided by three or more persons, or where there is dancing by customers or the use of any amplified music.

means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, and where live entertainment is provided by three or more persons, or where there is dancing by customers or the use of any amplified music, but does not include Restaurant-Drive In or Drive-through Service.

Class `C' Cabaret

means a place or premises licensed as a Class `C' Liquor Outlet under the provisions of the Liquor Control & Licensing Act and primarily engaged in providing entertainment.

which means the use of premises for dancing by customers and where entertainment may be provided.

Class `D' Neighbourhood Pub

means a place or premises which sells all types of liquor and is license as a Class `D' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.

listed, not defined.

Class `E' Stadium

means a place or premises which sells beer and is licensed as a Class `E' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.

listed, not defined.

Class `F' Marine Public House

means a place or premises which sells all types of liquor and is licensed as a Class `F' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.

not listed.

Liquor Store

not listed.

which means the use of premises for the sale of liquor, beer, or wine for consumption off premises.

Club

not listed.

which means the use of premises by a non-profit society, association or corporation organized solely for the promotion of some common object and which is operated for club members and their guests only, but does not include Church, Hospital, Social Service Centre, Special Needs Residential Facility or premises used for residential or administrative purposes.

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TO:	Vancouver City Council
FROM:	Chief License Inspector in consultation with the Director of Legal Services
SUBJECT:	License By-law changes in response to the New Provincial Liquor Control and Licensing Regulations


Comparison of Definitions for Liquor Establishments as written in License By-law No. 4055 and Zoning & Development By-law
Type of Establishment	License By-law	Z & D By-law
Class `A' Pub	means a place or premises in a hotel licensed as such under the Liquor Control & Licensing Act providing for the sale of all types of liquor.	not listed.
Class `A' Public House	means any place or premises in a hotel which sells beer, wine, and cider and is licensed as a Class `A' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.	not listed.
Class `A' Lounge	means any place or premises which sells all types of liquor and is licensed as a Class `A' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.	not listed.
Class `B' Dining Lounge	means a restaurant which sells all types of liquor as part of the meal and is licensed as a Class `B' Liquor Outlet under the provisions of the Liquor Control & Licensing Act.	not listed.
Class `B' Dining Room	means a restaurant which sells beer and wine as part of the meal and is licensed as a Class `B' Liquor Outlet under the provisions of the Liquor Control & Licensing Act.	not listed.
Restaurant Class -1	means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, where any live entertainment is provided by no more than two persons, and where there is no dancing by customers and no use of any amplified musical instrument.	means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, where any live entertainment is provided by no more than two persons, and where there is no dancing by customers and no use of any amplified musical instrument, but does not include Restaurant-Drive In or Drive-through Service.
Type of Establishment	License By-law	Z & D By-law
Restaurant Class -2	means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, and where live entertainment is provided by three or more persons, or where there is dancing by customers or the use of any amplified music.	means any premises used for the sale of prepared food to the public were at least seventeen seats of any kind, including chairs, stools, and seats on benches whether inside or outside, are provided for customers consuming food purchased in the establishment, and where live entertainment is provided by three or more persons, or where there is dancing by customers or the use of any amplified music, but does not include Restaurant-Drive In or Drive-through Service.
Class `C' Cabaret	means a place or premises licensed as a Class `C' Liquor Outlet under the provisions of the Liquor Control & Licensing Act and primarily engaged in providing entertainment.	which means the use of premises for dancing by customers and where entertainment may be provided.
Class `D' Neighbourhood Pub	means a place or premises which sells all types of liquor and is license as a Class `D' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.	listed, not defined.
Class `E' Stadium	means a place or premises which sells beer and is licensed as a Class `E' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.	listed, not defined.
Class `F' Marine Public House	means a place or premises which sells all types of liquor and is licensed as a Class `F' Liquor Establishment under the provisions of the Liquor Control & Licensing Act.	not listed.
Liquor Store	not listed.	which means the use of premises for the sale of liquor, beer, or wine for consumption off premises.
Club	not listed.	which means the use of premises by a non-profit society, association or corporation organized solely for the promotion of some common object and which is operated for club members and their guests only, but does not include Church, Hospital, Social Service Centre, Special Needs Residential Facility or premises used for residential or administrative purposes.