CITY OF VANCOUVER

POLICY REPORT
Urban Structure

 

Date:

March 19, 2004

 

Author:

Heike Roth

 

Phone No.:

604-871-6115

 

RTS No.:

4004

 

CC File No.:

2610

 

Meeting Date:

May 6, 2004

TO:

Standing Committee on Planning and Environment

FROM:

Director of City Plans in consultation with the Chief License Inspector, the Director of Development Services, the Director of Social Planning, Director of Current Planning

SUBJECT:

Liquor Retail Policy and Guidelines

RECOMMENDATIONS

OR

AND

The General Manager of Community Services RECOMMENDS approval of either A or B, and C.

Council policy is reflected in a number of documents:

In April 2003, in response to provincial policy changes regarding liquor access, Council approved the following new policies:

SUMMARY AND PURPOSE

This report is a follow-up report to the Liquor Control and Licensing Policy report Council considered in April 2003. Its purpose is to present for Council approval some clarified policy and Guidelines related to the processing of Liquor Stores under the Zoning and Development By-Law.

In 2002, the Provincial Government announced two major changes to liquor retailing:

In response to the proposed Provincial changes, in April 2003 Council adopted policies regarding liquor retailing, specifically beer only/wine only stores and broad range liquor stores.

1. Liquor Stores with Beer Only or Wine Only Sales - General Location and Number

With respect to liquor stores with beer only or wine only sales, Council's April 2003 policy did not introduce limits on general locations and numbers, provided that the stores adequately meet Guidelines about spacing, distance from family-oriented uses, and other impacts. This report proposes no change to this approach.

2. Liquor Stores with Broad Range Sales - General Location and Number

Council's April 2003 policy limits stores with broad liquor range sales (i.e. a combination of beer, wine, and/or spirits) to locations with existing stores. This report discusses two options for revising this policy, and requests Council endorse one of them.

Option 1 (Recommendation A) is essentially the current policy, with minor amendments to make it more workable in practice. This would permit the existing stores to be rebuilt or relocated within the same general area in cases of redevelopment, lease expiry, need to upgrade or enlarge. It would also permit two recently closed stores to be reopened; and consideration of new locations to serve emerging residential neighbourhoods being planned by the City, such as South East False Creek and East Fraserlands.

Option 2 (Recommendation B) provides more locations for future broad range liquor stores, distributed more widely to serve communities. This would be a change from current policy. It would allow consideration of one broad range liquor store per significant local shopping area (as identified in an adopted Community Vision or other local plan). It would also allow consideration of additional stores in general commercial areas (e.g. downtown, central Broadway) on a case by case basis; and for locations in emerging neighbourhoods.

The Discussion section of the report contains a table with statistics on the number of resulting liquor store locations, and an evaluation of the options. In summary, the changes included in Option 1 are recommended to serve communities which previously had service, communities where liquor stores need to relocate, as well as newly emerging communities. From a land use planning point of view, Option 2 would provide opportunities for liquor retail in closer proximity to more residents, likely reducing travel and strengthening the retail mix in local shopping areas. However, the Director of Social Planning does not support Option 2, in light of other recent changes providing increased access to liquor (e.g. extended operating hours and added seating capacity in liquor primary establishments, additional beer only and wine only stores), and the lack of increase in the currently inadequate alcohol treatment and recovery resources.

3. Other Guidelines - Minor Revisions

Regardless of which of the above options is favoured, the report recommends Council approval of the other Guidelines which apply to all types of liquor stores. These Guidelines have been redrafted for clarity, with minor amendments to:

1. Liquor Store - Definition and Existing Situation

The current definition of liquor store in the Zoning and Development By-law is: "the use of premises for the sale of liquor, beer or wine for consumption off premises." Liquor store is a conditional approval use permitted in all commercial zoning districts, as well as in some industrial and heritage districts. As a conditional approval use, each liquor store application is assessed according to how well it meets the guidelines.

The product range which a particular liquor store is permitted to sell is defined in its Development Permit.

For this report and the Guidelines in Appendix A, liquor stores are categorized as having:

This table shows the number of liquor stores in Vancouver in March 2003 and now.

 

March 2003
(Prior to April 2003 policy change)

March 2004

Beer only stores

0

3

Wine only stores

7

12

Broad range liquor stores

22 government stores
10 private stores

22 government stores
10 private stores

     

TOTAL STORES

39

47

Most liquor stores have visible locations on arterial streets. Many are close to other retail destinations, such as large supermarkets. While the current number and distribution of liquor stores ensure liquor availability throughout the City, most residents do not live within walking distance of a liquor store, and most trips are made by car.

2. History of Provincial Liquor Retail Policy Changes

There have been many Provincial policy changes with respect to liquor stores.

3. Current Status of Licensee Retail Store (LRS) Applications

Of the 71 LRS applications approved by the Province, 20 have sought development permits:
8 have been issued (3 for beer only stores, 5 for wine only stores, as noted earlier); 6 have been refused, and 6 are currently being processed. The remaining Provincially approved LRS applications have not yet sought City approval. They may seek locations separate from their Liquor Primary premises, now that the Province no longer requires them to be co-located.

While there are no Provincial restrictions regarding product range, Council's April 2003 policy requires these applicants to choose whether they wish to sell beer only or wine only.

4. Positive and Negative Aspects of Increased Number of Liquor Retail Locations

The positive aspects of providing increased liquor retail locations include:

The negative aspects that may arise include:

DISCUSSION

The section of this report is divided into 3 sections:

1. Liquor Stores with Beer Only or Wine Only Sales - General Location and Number
Council's April 2003 policy puts few limits on general location or number of liquor stores with wine only or beer only sales(the Guidelines require spacing between stores, separation from family-oriented uses, and consideration of other impacts). No change is proposed to this policy, and the Guidelines in Appendix A reflect this current policy.
2. Liquor Stores with Broad Range Sales - General Location and Number

Council's April 2003 policy is that development applications for broad range liquor stores be favourably considered only at the locations where such stores currently exist.

Planning staff have reviewed this policy from a land use and regulatory perspective, and are putting forward two options to modify it. Option 1 stays within the general parameters of the current policy with respect to general location and number of broad range stores, but corrects some practical problems. Option 2 extends the opportunities for broad range stores to more locations.

Two terms need explanation before the options are described:

Appendix A includes a map of the (selected) LSAs that are relevant to the Options.

Option 1 - Current policy with minor amendments.

Option 1 (Recommendation A) would allow:

In cases of replacement, the new location would be expected to meet the Guidelines (discussed below) as well as or better than the previous location.

Option 2 - More Opportunities for Broad Range Liquor Stores

Option 2 (Recommendation B) would allow:

Evaluation

Table 2 contains statistics on the existing stores, and the number possible under the two options. The map in Appendix A shows the distribution of current stores, and the LSAs that would be eligible for consideration for new stores.

 

Existing as of Date

Possible Additional

 

March 2003

March 2004

Option 1

Option 2

Broad Range

       

- LSAs

22

22

4 - 5

Up to 19

- other comm. areas

10

10

0

Undefined

Total Broad Range

32

32

36-37

Up to 51+

         

Beer Only

0

3

Undefined

Undefined

Wine Only

7

12

Undefined

Undefined

The current policy prohibits the relocation of existing liquor stores which are on redevelopment sites, have obsolete or inappropriately sized premises, or expiring leases. The number of liquor stores will thus diminish over time. Option 1 maintains the current number of broad range liquor sales locations. It also allows for restoration of service to previously served communities, and for new service to emerging ones. Staff note that the number of liquor stores has not increased substantially as the city has grown. As the relatively few stores become busier, the attendant impacts of traffic, loading, recycling, panhandling etc. will be even more inequitably focussed in some communities.

CityPlan directions are to enhance neighbourhood centres and reduce travel by having strong local shopping areas and services located close to home. From this perspective, given that 80% of the population purchases liquor, the current policy limiting broad range liquor stores to existing locations may be inefficient. Option 2 substantially increases the number of possible locations, noting that market demand will determine which are taken up, over time.
While a possible 51 or more liquor stores represent an increase of 19 or more stores above the current number, it is comparable to the 45 or so supermarkets of various sizes currently serving City residents. From a land use perspective, dispersing liquor retailing will enhance the retail mix in the LSAs, allow for less driving, and disperse impacts on a more equitable basis.

The Director of Social Planning does not support Option 2. His view is that further increases in access to alcohol beyond recent changes (e.g. extended hours, added seating capacity, additional beer only and wine only stores) should not be approved until the Province substantially increases treatment and recovery resources. A fuller discussion of social implications is included later in this report.

Depending on whether Council prefers Option 1 or 2, they should adopt recommendation A or B respectively. The draft Guidelines in Appendix A contain the wording for each option.

3) Other Guidelines - Minor Revisions

In April 2003, Council adopted Guidelines that relate to spacing requirements, general operational features, and the main process steps including neighbourhood notification and time-limited development permits. Staff recommend that Council approve Recommendation C to adopt minor revisions to the Guidelines. These revisions include:

Staff reviewed the relationship to off-sales, which has been an issue in some recent Council deliberations about beer only and wine only stores. Two questions have arisen: whether the City can require the operator to stop off-sales; and whether new liquor retail should be required to be 150m from premises with off-sales. Off-sales are regulated by the Province directly, without City involvement. The City cannot effectively stop them. Applying a spacing requirement is problematic not only because of the fewer potential locations for beer only or wine only stores, but also because off-sales can be discontinued or added at any time, rendering the city's spacing criteria either redundant or ineffective.

guidelines to increase its prominence.

d) Clarifying parking, loading and recycling requirements.

Staff recommend that Council approve Recommendation C to adopt revisions to the Guidelines.

DIRECTOR OF SOCIAL PLANNING COMMENTS

The Director of Social Planning does not support consideration of additional locations selling a broad range of liquor products, as outlined in Option 2.

A number of recent changes have provided increased access to liquor. These include extended operating hours, additional seating in liquor primary establishments, and provisions noted in this report for additional beer and wine stores in new locations in the city. This increased access is occurring in a context where there have been no improvements to alcohol treatment and recovery resources, and where these resources continue to be extremely inadequate. As well, some alcohol-related harms have been increasing.

Precisely what effect each element of increased access may have is unclear. With respect to increases in the number of liquor outlets, the B.C. Provincial Health Officer's most recent report on Alcohol Policy ( May 2000), notes that some U.S. studies link increased availability with increased consumption and harms, while others are inconclusive. While one might hope that the privatization experience in Alberta would provide relevant information, the Provincial Health Officer's report contained few details on this subject.

Recent discussions with Alberta Alcohol and Drug Abuse Commission (AADAC) research staff confirmed that no post-privatization studies on alcohol-related harms have been done in Alberta. The only information available is on per capita consumption ( showing a 3% increase since privatization). However, AADAC staff are of the view that this change is driven by demographics and is not relevant in relation to availability. AADAC staff report that Alberta had been moving to increased access for a number of years prior to privatization. When privatization came in, some negative effects were observed in specific neighbourhoods, including increased access by minors and some binge drinking. AADAC staff noted that negative local effects would not show up on macro-level data and that work on reviewing hospital admission and other data that might confirm or not confirm harms to the general population or to at-risk groups, has yet to be done in Canada.

The information we do have suggests increasing alcohol harms amongst certain groups. The B.C. Provincial Health Officer's report notes that while per capita alcohol consumption in B.C. has been declining over the past 10 years, heavy drinking is increasing among the general population, and heavy and binge drinking is increasing amongst high school students, especially young males. Alcohol-related traffic deaths have decreased, but the rate of alcohol-related spousal assaults and alcohol-related deaths remains the same. There is also a great deal of data on the general harms of alcohol, including links between alcohol dependence and violent crime, alcohol-related injuries and ER use, and risks for younger people relating to aggression, early use and future dependency, etc.

The Director of Social Planning is therefore of the view that further increases in access to liquor should not be approved until the Province substantially increases treatment and recovery resources, provides stable funding for public safety issues such as underage drinking and public intoxication, and provides an assessment of the effects of increased access on youth and other high risk populations.
CONCLUSION

In seeking to balance the positive and negative aspects of liquor stores, this report:

Staff recommend that Council adopt either Recommendation A (Option 1) or B (Option 2), as well as Recommendation C dealing with minor revisions to the guidelines.

* * * * *

Liquor Store Guidelines

1. Application and Intent

These Guidelines are to be used in conjunction with a District Schedule of the Zoning and Development By-law or with an official development plan for development permit applications for a liquor store, including redevelopment of existing premises. Assessment of suitability will be based on the characteristics of the site and surrounding area and the details of the development proposal. The permitted product range of a liquor store is defined in the Development Permit.

For these Guidelines, liquor stores are categorized as having:
1) Beer only sales - a store that sells only beer, cider or coolers
2) Wine only sales - a store that sells only wine
2) Broad range liquor sales - a store that sells a combination of beer, cider, coolers, wine, or spirits

The intent of these Guidelines is to provide access to liquor stores while minimizing impacts on neighbourhoods.

2. Location and Distribution
2.1 Stores with Beer only or Wine only sales
a) The number of liquor stores with beer only or wine only sales in a neighbourhood or within the City is not limited, except for the Downtown Eastside or Gastown areas, where no new liquor stores should be considered.


2.2 Stores with Broad range liquor sales
a) Option 1

Option 2

3. Separation from Family oriented uses

4. Store Operations

5. Process and Administrative Considerations
5.1 Stores with Beer only or Wine only sales
5.2 Stores with Broad range liquor sales
The main process steps will be as follows:
a) The Applicant submits a copy of the Liquor Control and Licensing Branch (LCLB) preliminary approval letter.

APPENDIX B
Page of 1

Map of Downtown Eastside/Gastown Liquor Retail Moratorium Areas

Existing Broad Range Liquor Stores are located at:
555 West Hastings
769 East Hastings

DE Approved - 375 Water Street
DE Refused - 210 Abbott

LRS Applications Approved by Province but have not sought City Approval
314 Cambie
340 Cambie
50 West Cordova
160-162 East Hastings
159 East Hastings
606 Powell