PART REPORT TO COUNCIL VANCOUVER LIQUOR LICENSING COMMISSION July 13, 1995 PRESENT: Councillor Kennedy, Chair Councillor Hemer Councillor Kwan ABSENT: Councillor Ip (Leave of Absence) CITY MANAGER'S OFFICE: Judy Rogers CLERK: Tarja Tuominen POWER TO ACT On January 11, 1994, Council, by the required majority, granted the Commission Power to Act on all unanimous decisions. The decisions of the Commission contained herein are unanimous and, therefore, stand approved. 1. 932 Granville Street - The Roxy Cabaret Ltd. Increase in Seating Capacity The Commission had before it an Administrative Report dated July 4, 1995, (on file) in which the Deputy Chief License Inspector reported on an application by The Roxy Cabaret Ltd. to increase the seating capacity in the Class 'C' Cabaret, at 932 Granville Street, from 195 to 275 seats. The application would be subject to a 10-year housing agreement to the satisfaction of the Manager of the Housing Centre and the Director of Legal Services, and the sound separation on the ceiling of the cabaret being acceptable to the Director of Environmental Health. Mr. Paul Teichroeb, Deputy Chief License Inspector, noted Council Policy is, on an interim basis, that no new liquor licenses or amend- ments to existing liquor licenses to increase seating capacity or extend hours of sale be permitted in Downtown South. The Downtown South liquor license moratorium was established on May 28, 1992. The applicant originally applied for an increase in seating to a maximum of 325 seats, which was not supported by staff. Staff from Planning, Permits & Licenses, Social Planning, Environmental Health and the Manager of the Housing Centre met with the applicant to work out a solution. In addition, prior to the establishment of the moratorium, the applicant for an increase in seating, but due to noise problems with the Roxy Cabaret and conditions in the Siesta Hotel, located in the same building, the application did not proceed.Clause No. 1 (Cont'd) The applicant now also owns the Siesta Hotel. He has upgraded the hotel rooms and is completing sound separation work in the Cabaret to mitigate noise levels between the cabaret and the hotel, particularly between the rooms on the hotel's second floor. The owner wishes to off- set the upgrading costs by increasing the seating in the Roxy. The applicant has offered to guarantee rental of the rooms in the Siesta Hotel at an affordable rent for people on social assistance, on a monthly basis, for 10 years. The Police, Planning and Social Planning Departments support the application. Environmental Health notes there will be still sound problems on the second floor. The Manager of the Housing Centre notes the proposal is a very important step, in that the City and a private owner are working together to retain SRO units. Staff recommend a housing agreement be registered on the title. In general, staff support the application and feel an exemption from the moratorium can be justified in return for securing affordable housing in the area. Mr. Nathan Edelson, Planner, advised the application was raised with the members of the Downtown South Liquor Licensing Task Force. The Task Force did not want to comment at this time, but did not object to the application originally. Mr. Edelson was prepared to support the application because the increase in seating request was raised prior to the establishment of the moratorium in the area. Responding to a question on the maximum number of seats, Mr. Teichroeb explained the Fire Commissioner has calculated the maximum occupant load at 287. The request for increased seats is 12 seats less than the Fire Department's maximum seating. Most establishments have a maximum liquor license seating well below the maximum fire seating. Mr. Alfred Guthrie, Noise Control Officer, Environmental Health, described the mitigation measures undertaken by the applicant. Based on what is being proposed, there should be satisfactory reduction in noise. However, the noise will still be heard on the second floor. Mr. Guthrie advised he is working on a report on noise levels in areas in transition, which will be recommend an intermediate decibel zone. Mr. Dennis Coates, representing the applicant, introduced staff from the Roxy Cabaret and Siesta Hotel, residents of the Siesta, and members of the Downtown Granville Tenants Association. The applicant has committed a substantial amount of money into upgrading the building, sound mitigation measures, and upgrading the rooms in the Siesta Hotel. He is also willing to commit to a SRO configuration at the Siesta for a minimum of 10 years.Clause No. 1 (Cont'd) Mr. Bill Clay, Assistant to the applicant, circulated a booklet containing endorsements from 75 of the 78 area businesses, for the application for an increase in seating. Mr. Clay also circulated a booklet containing petitions signed by residents of Vancouver supporting the application. (The petition was examined and returned to the applicant; sample page on file.) Ms. Sherrill Gullickson, representing Downtown Granville Tenants Association, supported the protection of housing stock in the area. The Association conducted a survey of the residents of the Siesta Hotel, who were supportive of the application. The residents also were satisfied with the improved living conditions in the hotel. The Association supports the application, noting it will allow for improvements to the rooms and soundproofing of the Hotel. Mr. Blaine Culling, President, Roxy Cabaret Ltd., advised he is prepared to enter into a 10-year housing agreement to provide affordable housing in the area. Out of approximately 68 rooms, 60 will be available for rental on a monthly basis. The other rooms, the majority of which are located on the second floor above the sound stage, will be used for hotel club use, such as an office, storage area, etc. In addition, three rooms will be available for Hotel staff, at a reduced rate as part of an employment package. The increased seating will help off-set costs of soundproofing costs. In answer to questions, Ms. Jill Davidson, representing the Manag- er, Housing Centre, explained the housing agreement will have a rent control clause in that the rooms will be rented for the shelter portion of welfare, and escalate when that escalates. During discussion, the Commission recognized the value of retaining SRO's in the area. On the other side, the application requested expansion and increase of licensed seats prior to the report of the Downtown South Liquor Licensing Task Force, while a moratorium on liquor licensing exists in the area. It was suggested a full discussion on the application be deferred to Council. Therefore, the Commission RECOMMENDED THAT consideration of the Administrative Report dated July 4, 1995 be deferred to the July 18, 1995 meeting of City Council. * * * *