Agenda Index City of Vancouver

POLICY REPORT
URBAN STRUCTURE AND LICENSING

TO:

Standing Committee on Planning and Environment

FROM:

General Manager of Community Services

SUBJECT:

Regulating Business Hours in the Downtown Eastside, Chinatown, Gastown, Strathcona and Victory Square

 

RECOMMENDATION

GENERAL MANAGER'S COMMENTS

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 principles to provide general guidance to Downtown Eastside actions and planning, including:

· 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 a by-law be prepared to regulate the hours of operation of several classes of businesses which have had or may have direct or indirect 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 led to considerable crime and led to the closure of many businesses. Of the stores which remain on parts of Hastings Street, many are directly or indirectly supporting the illegal drug trade or other illegal activities. Between February 1996 and October 1998, the Chief License Inspector, in cooperation with the Downtown Eastside Neighbourhood Integrated Services Team, issued twenty-seven suspensions and six business license cancellations. Of these enforcement measures, twelve were for limited service food establishments, eight were for restaurants, and five were for second hand dealers or pawnbrokers.

As shown in Appendix A, the area has twenty-two businesses which are open after 2:00 a.m.; eighteen of these are along Hastings Street. Eighteen are Retail Dealer - Food; the remainder are Limited Service Food establishments.

To deal more effectively with the impacts of late-night establishments, in November 1997 Council requested that the Province grant it the Charter authority 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. However, the regulation of specific classes of business is subject to approval by the Lieutenant Governor in Council.

On October 20, 1998, Council requested that the Province give the City the Authority to regulate the hours of operation of the following classes of business in the eastern area of the downtown:

As indicated in Appendix C, on February 3, 1999, the Province approved an Order in Council enabling the City to regulate the hours of the business classes listed above, with the exception of "Dating Service," which was inadvertently left off the list by Provincial staff and will be resubmitted for inclusion.

DISCUSSION

In October 1998, Council instructed staff to seek public response to regulating the hours of operations of businesses in the area. The proposal was advertised and covered in the media and widely distributed to businesses and community groups in the area. Public meetings were held at Vancouver Community College and at the Chinese Cultural Centre. In addition, a questionnaire survey was circulated at these meetings.

Two basic options were presented for public discussion:

Option 1: All of the businesses listed above along Hastings Street, between Richards Street and Clark Drive, would be closed between 1:00 a.m. and 6:00 a.m. In the remainder of the area, only Limited Food Service Establishment, Pawnbroker and Second Hand Dealer would have to close at 1:00 a.m. Should the illegal drug trade start to migrate, other businesses would be regulated.

Option 2: All of the businesses listed above throughout the Downtown Eastside, Chinatown, Gastown, Strathcona and Victory Square would be closed between 1:00 a.m. and 6:00 a.m.

Public Meetings:

As indicated in Appendix D, about 60 people attended the meeting at Vancouver Community College. While several individuals expressed support for the proposals and general audience reaction seemed mixed, many of those who spoke expressed concern about how the regulations may impact:

· legitimate businesses which are open late at night to help pay rent;
· legitimate businesses which are open late at night to help pay the costs of securing premises in this high crime district;
· businesses in Victory Square (especially along Hastings Street, west of Cambie), Gastown, Chinatown and Strathcona which are not the focus of the illegal intravenous drug trade;
· shift workers, residents and tourists who need late-night restaurants and groceries;
· public safety with fewer "eyes on the street" and emergency telephones available late at night;
· other nearby commercial areas to which the drug trade may disperse.

About fifty people attended the meeting at the Chinese Cultural Centre where interpretation was provided by City staff and members of the Chinese Merchants' Association. While several individuals expressed similar concerns to those raised at the Vancouver Community College meeting, most of those who spoke strongly supported the proposal to close as many types of late-night businesses as possible throughout the area. This position was enthusiastically applauded by the majority of those attending.

Questionnaire

Thirty-two people completed a survey questionnaire which was designed to test support for Option 1. A majority indicated support for closing each of the proposed classes of business along Hastings Street as well as for closing Limited Food Service Establishments, Pawnbrokers and Second Hand Dealers in the remainder of the area between the hours of 1:00 a.m. and 6:00 a.m.

Correspondence and Discussion

Staff received letters from the following organizations supporting regulating business hours in the area:

· Chinatown Merchants Association
· Chinese Entrepreneurs Society of Canada
· Downtown Eastside Residents' Association
· Downtown Vancouver Association
· Gastown Business Improvement Society
· Gastown Homeowners' Association
· Boss Bakery and Restaurant
· Maxim's Bakery

Staff have received letters from the following expressing concern about the proposed regulations:

· Club Vancouver located at 339 West Pender is concerned that the illegal drug trade will continue to spread from Hastings Street to adjacent areas.

· Chevron Canada is concerned that the retail outlets associated with their gas stations on Hastings at Vernon and on Powell at Glen which provide a positive presence and a useful service in the community will be affected.

· A registered Vancouver property owner is concerned that legitimate businesses will be adversely affected and that the City should focus on closing down illegal premises, rather than regulating hours of operation.

Revised Proposal

In response to the public process, staff has revised its initial proposal (see Option 1 above) to the following:

1. Closing Hours

2. Classes and Location of Businesses

Revised Proposal - wide range of uses throughout area.

3. Eastern and Western Boundaries

CONCLUSION

The Province has given the City the ability to regulate the hours of operation of businesses in different areas of the City. This is one of many measures proposed in the Program of Strategic Actions for the Downtown Eastside to help reduce the impacts of the illegal drug market. Staff has discussed options with people who work and live in the area. There is broad agreement that regulations are needed and that the City should take strong and clear measures to reduce negative impacts on the neighbourhood. The initial proposals have been adjusted to help ensure existing legitimate late-night establishments can continue to deliver needed services. The next step is to adopt a by-law. Its effectiveness will then be monitored and, if necessary, amended, in consultation with the public.

APPENDIX A - Business Premises Regulation Area in Downtown Eastside, Chinatown, Gastown, Strathcona and Victory Square

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