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CITY OF VANCOUVER ADMINISTRATIVE REPORT |
Date: |
November 30, 2004 | |
Author: |
Guy Gusdal/Andrea Wickham | |
Phone No.: |
871-6461/871-6683 | |
RTS No.: |
04601 | |
CC File No.: |
2610 | |
Meeting Date: |
December 16, 2004 |
TO: |
Standing Committee on Planning and Environment |
FROM: |
Chief License Inspector in consultation with the Director of Legal Services |
SUBJECT: |
License By-Law Amendment to Allow Liquor Service in Conjunction with Billiard Halls |
CONSIDERATION
A. THAT Council approves amendments to the License By-law, and Liquor Primary liquor license application policy, to allow and regulate liquor service in conjunction with billiard halls.
AND THAT Council requests the Director of Legal Services to bring forward a by-law amending the License By-law, generally as set out in this report and in Appendix A.
OR
B. THAT Council does not support liquor service in conjunction with billiard halls.
GENERAL MANAGER'S COMMENTS
The General Manager of Community Services submits the choice of A or B for consideration.
COUNCIL POLICY
There is no applicable Council policy.
PURPOSE
To seek Council direction regarding whether or not liquor service should be allowed in billiard halls, and if so, to amend the License By-law to regulate liquor service in conjunction with billiard halls.
BACKGROUND
On March 11, 2004 Council instructed staff to bring forward an amendment to the License By-law which would allow and regulate liquor service in conjunction with billiard halls, in response to an application from Guys and Dolls Billiards, 2434 Main Street.
On April 22, 2004, Council chose not to make a decision on the recommended amendment, pending a better understanding of issues related to this change, especially with respect to how this would affect minors' use of billiard halls, and how this would set precedent.
There are 20 billiard halls in the city (including the applicant that initiated this process). While 7 of the 20 billiard halls are approved on a time-limited development permit, the remaining 13 billiard halls can remain for the life of the building or be rebuilt in accordance with the Zoning and Development By-law. The billiard halls range in size from 3 to 21 tables. Appendix B shows the location, number of tables, and type of permit for each of Vancouver's billiard halls.
DISCUSSION
Approval of the recommended License By-law amendment would signify that the City now considers alcohol consumption in a billiard hall an acceptable component of the Billiard Hall land use provided that an applicant can meet certain conditions with respect to the Provincial Government's Liquor Primary liquor license application process and relevant City policy.
There are issues that would arise from this change that must be considered. For example, a key impact is that minors (18 and under) would be prohibited from entering these premises at any time (unless special consent is granted by the General Manager of the Liquor Control and Licensing Branch at some point in the future). As well, it raises the issue of equity amongst Liquor Primary licensed establishments, in terms of hours of service, for example. To examine these and related issues more closely, staff consulted with the billiards industry and with youth groups, and looked to other cities for information.
Consultation and Research
1) Consultation with the Billiards Industry
In late August 2004, staff met with several operators to discuss the proposed changes. Key comments were as follows:
· concern was voiced about being able to compete with other uses, particularly existing pubs and cabarets(Liquor Primary establishments) that offer billiard tables;
· noting that current hours of operation will remain in place (1:00 am closing, 7 days per week), operators felt that they could better compete with other Liquor Primary establishments if they were allowed later hours of operation (however, all participants recognized that this is a larger issue that would trigger a much wider review and longer process);
· concern was expressed that the proposed required minimum number of tables would disadvantage operators that are not eligible to obtain a Liquor Primary license; and
· there was general consensus with the draft regulations (see Appendix A) with the exception that significant concern was expressed about the minimum number of tables.
2) Consultation with Local Youth
In late September 2004, staff met with youth representatives and youth workers at two meetings. Key comments were as follows:
· billiard halls were considered to be "comfortable environments" for youth, and were visited frequently;
· billiard halls were seen as one of the few places where youth could socialize outside of the home;
· while some community centres and neighbourhood houses provide a pool table to youth to use, this represents a very different environment in which to play, and the hours are more restricted that at billiard halls;
· it was noted that if larger establishments become restricted, it will likely become even more difficult for youth to access tables at only the smaller venues; and
· general concern was expressed about diminishing opportunities, and the effects of limiting this recreational choice for youth in the city.
3) Research from Other Jurisdictions
· all other jurisdictions surveyed (Calgary, Edmonton, Winnipeg, Ottawa, Toronto, Seattle, and Chicago) allowed some form of liquor service in billiard halls
· other Canadian municipalities further regulate the location and operation of billiard halls
· some jurisdictions allow minors under certain conditions
· many set a minimum number of tables required to be eligible for a liquor license
ALTERNATIVES
1. CONSIDERATION A - Allow and regulate liquor service in conjunction with billiard halls
Proposed Changes
If Council chooses to proceed, then the License By-law would be amended to allow liquor service in billiard halls. As well, new liquor policy would be adopted for the purpose of providing comments to the general manager under the Liquor Control and Licensing Act.
Amendments
The key parts to amending the License By-law are as follows (see Appendix A for a draft By-law):
1) Definitions and Fees
Repeal the existing definition of Billiard Room Keeper, and create two new definitions - Billiard Hall - Class 1 and Billiard Hall - Class 2 - each of which will be the basis for issuance of a new type of business license.
2) Regulations
Implement basic regulations that apply to the Billiard Hall - Class 1 license. As well, implement additional regulations for the Billiard Hall - Class 2 license so that potential negative impacts from introducing alcohol in billiard halls are mitigated. These regulations would help ensure that: each business remains primarily focused as a billiard hall and that the consumption of alcohol is an ancillary component; there is a minimum level of consistency with other businesses that have Liquor Primary liquor licenses; and the concerns of the public are met.
2a) Comments on Specific Regulations
Entertainment Restriction
The proposed regulations currently include a limit on the type of entertainment permitted in billiard halls. However, to ensure equity, staff will consider License By-law amendments to allow entertainment similar to what is permitted in Restaurant - Class 1 uses, once the Planning Department completes the separate restaurant entertainment review.
Minimum Number of Tables
The minimum number of tables regulation was based on information from other jurisdictions, and was developed to secure a certain level of commitment from operators. It is estimated that purchasing 8 billiard tables and related equipment costs between $70,000 to $150,000 - a significant investment. This regulation is designed to reduce the probability that an operator might set up a billiard hall with a nominal investment for the express purpose of obtaining a liquor license and running a bar.
A secondary benefit of the minimum number of tables regulation is that it would ensure youth access to billiard halls. Setting the minimum number of tables at 8 would allow youth to enter 10 of the 20 billiard halls in the city, given current table numbers and assuming that all of the eligible billiard halls applied for and received liquor licenses. In other words, at least half of the city's billiard halls should remain accessible to youth.
Operators have argued for the minimum number of tables to be set at 6, however staff feel strongly that this number is too low, as: i) it reduces the minimum investment further and increases the chance that liquor sales will exceed billiard table rental income, and ii) it could mean that only 2 billiard halls in Vancouver would remain accessible to youth. Another issue raised by operators is that those that have less than 8 tables (and thus could not apply to sell liquor) could be disadvantaged. It should be noted that nothing precludes operators from increasing their number of tables to meet the minimum, other than meeting normal By-Law requirements (e.g. parking) and having the ability to demonstrate commitment by investing in the number of tables required to meet this standard.
New Liquor Policy
Staff propose that hours of operation for premises with the Billiard Hall - Class 2 license would remain aligned with current regulations - that is, liquor could be served until 12:30am followed by a tolerance period of 30 minutes before closing at 1:00am. (the premises must remain closed between 1:00 and 6:00am as per the License By-law)
Enforcement
If problems were to arise with a liquor licensed billiard hall, normal enforcement procedures would be followed - essentially, a license review would be undertaken which could lead to the Billiard Hall - Class 2 license being suspended or revoked. In this case, an operator could continue to operate, but without liquor service, by applying for a Billiard Hall - Class 1 license.
Implications
It should be noted that if Council opts for Consideration A and approves this License By-law amendment, it does not mean that every eligible billiard hall will automatically receive Council's support for a liquor license. Each operator would still have to enter into the process with the Province to obtain a Liquor Primary liquor license, and each application would still be assessed individually and would involve public consultation and full discussion. As well, regulations such as the minimum number of tables requirement would serve to further mitigate the potential social impact of having additional liquor establishments in the city.
2. CONSIDERATION B - Do not support liquor service in conjunction with billiard halls
Implications
If Council opts for Consideration B, the only likely implications will stem from what can be termed an "entertainment" argument - that is, there is potential for the public and operators to react negatively to the perception that liquor service is too tightly regulated thus limiting entertainment choice. Put simply, operators would likely argue that having an alcoholic drink while playing billiards is a fairly innocuous event. As well, some operators would argue that their business viability will be affected by this decision, in terms of competing with venues that are able to offer both billiard tables and liquor service, such as neighbourhood pubs and hotel lounges.
Comments from the Director of Social Planning and the Child/Youth Advocate
The Director of Social Planning and the Child/Youth Advocate do not support the sale of alcohol in billiard halls because it would result in reduced youth access to these places.
Comments from the Police
Historically, it has been shown that licensed establishments significantly drain limited municipal police resources. Additional police resources need to be deployed when access to alcohol is increased through either new venues or when hours of service are increased.
The Province has begun extending liquor service into more aspects of society, including billiard halls, bingo parlours, bowling alleys, casinos, etc. However, LCLB has not announced a corresponding increase in the number of liquor inspectors or inspections. Therefore, it follows that inspection and enforcement of these Provincial licences will fall on local government, and local government infrastructure and policy is not yet in place to properly inspect and enforce any additional increase in liquor seats. Generally, concerns with liquor service in billiard halls will be the same concerns as with bingo parlours, bowling alleys, casinos and the like. Therefore billiard halls need to be considered as part of larger initiatives for change in liquor licensing in this province.
Until regulations, municipal policies, and staffing are in place, which clearly address resourcing issues for inspections, enforcement and licence reviews, the Vancouver Police Department is unable to support liquor service in billiard halls.
CONCLUSION
Staff have proposed two options for Council to consider: A) amending the License By-law to allow alcohol consumption in conjunction with billiard halls, and B) passing a resolution stating that Council does not support liquor service in conjunction with billiard halls.
Consideration A was triggered by an application, and is put forward following consultation with operators and youth groups, as well as research from other cities, which showed that liquor service was generally allowed in billiard halls across Canada.
Consideration B is put forward to respond to concerns raised by the Police, the Director of Social Planning, the Child/Youth Advocate, and youth groups about liquor service in billiard halls, with regard to policing resources and restricting youth access.
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