Agenda Index City of Vancouver

POLICY REPORT
URBAN STRUCTURE AND LICENSING

TO: Vancouver City Council

FROM: General Manager of Community Services

SUBJECT: Regulating Hours of Operation of Businesses in the Downtown Eastside, Chinatown, Gastown, Strathcona and Victory Square

RECOMMENDATIONS

COUNCIL POLICY

On November 4, 1997, Council requested that the Vancouver Charter be amended to enable the City to regulate the hours that a business may stay open based on the geographic area in which the business is located.

On July 28, 1998, Council affirmed the following principles to provide general guidance to Downtown Eastside actions and planning:

… Housing for existing residents will be maintained and upgraded;
… Diversity of housing will be encouraged;
… Adequate services for treatment of addiction must be provided;
… Criminal activity will not be tolerated;
… Legitimate commercial activity will be encouraged; and
… The entire community will be encouraged to be part of the revitalization of the area.

PURPOSE

This report recommends that the Province be requested to give the City the authority to regulate the hours of operation of several classes of businesses which are having negative impacts in the Downtown Eastside and surrounding communities.

BACKGROUND

Over the last decade a 24-hour illegal drug market has developed along Hastings Street and in some surrounding locations. This has lead to considerable crime focused on Hastings Street and affecting nearby areas. Although the area contains only three percent of the city's population, it consistently has a disproportionate share of the city's total crime:

… 10%-15% theft from auto
… 14%-20% violent crime
… 40%-80% drug arrests

The high levels of crime and the visibility of the drug trade is having a devastating effect on the area's livability and the viability of legitimate commerce. More than a dozen buildings are vacant and several dozen storefronts are closed.

Of the stores which remain on parts of Hastings Street, many are directly or indirectly supporting the drug trade. Since February 1996, the Chief Licensing Inspector, in cooperation with the Downtown Eastside Neighbourhood Integrated Services Team, has issued twenty-seven suspensions and six business cancellations. Of these thirty-one enforcement measures, twelve were for limited service food, eight were for restaurants, and five were for second hand dealers or pawn brokers.

The police have concluded that it is essential to prevent problem businesses, especially fast food outlets, restaurants, and convenience grocery stores, from operating 24 hours a day. This is part of a comprehensive strategy to close down the 24-hour open drug market. Five late night establishments have voluntarily agreed to close after midnight for several hours. However, this has required considerable police and licensing staff resources to gather evidence and negotiate these agreements. Many businesses remain open; others which have agreed to close early may reopen 24 hours a day if they are transferred to other owners.

DISCUSSION

To deal more effectively with the impacts of late-night establishments, in November 1997, Council requested that the Province grant it the power to regulate the hours of operation of businesses in different areas of the city. In July 1998, the Vancouver Charter was amended as shown in Appendix B to enable Council to do this. However, specific by-laws are subject to approval by the Lieutenant Governor in Council. In addition, all businesses in the same class must have the same closing hour within each designated area. After reviewing the new powers, staff are proposing that two areas be designated:

Area 1. Hastings Street, between Clark Drive and Richards Streets
This area along Hastings includes the adjacent side streets to the lanes. It is the focus for the drug trade and most of the problem premises which support it. Here staff are suggesting the following classes of business be required to close between 1:00 am and 6:00 am. As late-night uses they are commonly associated with the drug trade:

… Limited Service Food Establishment,
… Restaurant,
… Retail Dealer, and
… Retail Dealer - Food.

In addition, the following uses should be included because they could potentially contribute to this problem as fast food stores and groceries are required to close early: Bottle Depot, Cheque Cashing Centre, Dating Service, Fitness Centre, Hairdressing Salon, Laundry, Post Box Rental Agency, Second Hand Dealer, Social Escort Service, Tanning/Skin Care Salon, and Theatre. The hours of other businesses such as Adult Entertainment Store, Billiard-Room, Body-Painting Studio, Body-rub Parlour, Dance Hall, Health Enhancement Centre and Model Studio are already regulated throughout the city, as are licensed liquor establishments.

Area 2. Remainder of the Downtown Eastside, Chinatown, Gastown, Strathcona, and Victory Square
The areas surrounding Hastings Street should be given some protection now to help stop the drug market from migrating nearby. However, it is important that this be balanced with the need to provide opportunities for legitimate late-night establishments that serve local residents and support the city's entertainment and tourism objectives. Thus, staff suggest the following classes of business be required to close between 1:00 am and 6:00 am:

… Limited Service Food Establishment,
… Pawnbroker; and
… Second Hand Dealer.

Next Steps

While the Province reviews the City's request, staff will draft a by-law and take it out for discussion with the general public and interested community groups and businesses. This will be reported to Council quickly so that a by-law can be enacted as soon as possible. Once a by-law is adopted, staff will monitor its impacts. If the drug trade starts to relocate to other types of late-night businesses or to other geographic areas, staff will report back with required adjustments to the by-law.

CONCLUSION

Regulating the hours of operation of late-night establishments is one of many measures proposed in the Program of Strategic Actions for the Downtown Eastside to help reduce the impacts of the open drug market. Subject to Provincial approval, the City should move a quickly as possible to adopt a by-law. Then its effectiveness can be monitored and, if necessary, it can be adjusted, in consultation with the public.

* * * * *

APPENDIX A

APPENDIX B

Amendment to Vancouver Charter

The Vancouver Charter, S. B.C.1953, c.55, is amended by adding the following section:

Business premises regulation areas

Comments or questions? You can send us email.

[City Homepage] [Get In Touch]

(c) 1998 City of Vancouver