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SR-8D ~, -.A 80 . 17 ,I .~I~U CA:f:\atty\muni\strpts\mhs\drivup5 city Council Meeting 2-14-95 Santa Monica, ca~~~o!n\JJ95 TO: Mayor and city council FROM: City Attorney SUBJECT: ORDINANCE REGULATING OPERATING HOURS OF FAST FOOD DRIVE UP WINDOWS At lts meetlng on December 13, 1994, the city Council adopted an lnterim ordinance providing that after June 30, 1995 it shall be unlawful for any drive-in, drive-through, fast food or take-out restaurant located adjacent to or separated by an alley from any resldentially-zoned property to operate a drive-up window between the hours of 10:00 p.m. and 7:00 a.m. (hereinafter "Interlm ordinance") . The council deleted from the proposed Interim Ordinance an exemption for existing establishments with conditional use permits or development review permits (hereinafter "use permits"), and asked for further information concerning whether the hours restriction may lawfully be applied to ~uch establishments. The Interim ordinance is only effective for forty-five days, unless extended by Council. The following Memorandum addresses the legality of the Interim Ordinance. BACKGROUND The Interim Ordinance was adopted by Council in response to testimony from "residents living adjacent to and in the vicinity of 1 8 "".r~ b' --. ~J ~rj ;__j _c~ ~.::"- FED 1 It 1995 - ~ y ~ .. fast food restaurants with drive-up windows whose quiet enjoyment and nighttime rest has been repeatedly disrupted by the noise assoc1ated w1th the late-night operation of the dr1ve-up windows. II (Findings and Purpose section of Interim Ordinance). According to the November 22, 1994 Planning Department staff report to Council, there are twelve fast food restaurants located adjacent to residentially zoned properties (hereinafter "exlsting establishments"). Five of these establishments have no use permit, but were lawful when commenced and are thus legal nonconforming uses. The other seven establishments have current use permits. The Zoning Ordinance already limits the operating hours of fast food establishments in some instances, but only applies to uses established after 1988 or expansions of existing uses. Section 9.04.14.090 of the zoning Ordinance prohibits operat1on of any new fast food establishment between 10 p.m. and 7 a.m. Addit1onally, by its terms, section 9.04.14.090 applies to existing establishments which expand gross floor area by more than 10% or increase the number of seats by more than 25%. The Interim Ordinance adopted by Council on December 13, 1994 15 intended to apply this. hours restriction to the drive-up window operations of existing establishments, whether or not there is any expansion of use. As discussed below, the operating hours of an existing establ1shment with a use permit may be modified through enforcement proceedings on a case by case basis, if the business has been operating in violation of the conditions of the permit, or as a 2 public nuisance. This process would effectively address the same concerns regarding neighborhood impacts as those motivating the Interim ordinance. It is probably permissible to apply the Interim ordinance to businesses which operate as legal nonconforming uses; however, as an alternative, these establishments may also be subject to nuisance abatement actions. ANALYSIS The Interim Ordinance must be analyzed separately for existing establishments with use permits, and those which are legal nonconforming uses. A. Establishments with Use Permits. The interim ordinance would apply to seven eX1sting establishments with use permits. However, three of the seven use permits already prohibit drive up operations between 10 p.m. and 7 a.m. consistent with the Interim Ordinance. The other four use permits vary in allowed hours of operation of the drive-up window; one authorizes operation until midnight, one allows operation until midnight only on the weekend, and one authorizes operat10n until 11 p.m. on the weekend. According to Planning Department staff, the public testimony at the September 20, 1994 Council hearing concerned four particUlar fast food establishments, two of which have use permits.l The testimony principally concerned noise from speakers, cars, patrons, 1 The McDonald's located at 2712 Santa Monica Boulevard and the McDonald's located at 2902 Pico. 3 and delivery vehicles; trash; and parking. Each of the seven permlts has specific conditions regarding noise impacts on neighbors. Five of the seven permits have a condition which requires that lithe operation shall at all times be conducted in a manner not detrimental to surrounding properties or residents by reason of lights, noise, including speaker noise, activities, parking or other actions. II The other two permi ts have a more general condition that lithe restaurant and parking area be operated in such a way as to not be detrimental to the public health, safety, or welfare. II Some of the permits also have specific conditions regarding allowable decibel levels or other details pertaining to the outdoor sound system.2 It would appear that the noise problems cited by the neighbors may constitute violations of one or more of these conditions. Should the facts warrant, pursuant to existing Zoning Ordinance provisionsl the Planning Commission may hold a revocation hearing to determine whether the operations of a particular establishment are in compliance with the permit conditions. As a result of such hearing, the use permit could be revoked. As a less drastic remedy, after an enforcement hearing, the Planning Commission could modify the conditions of the permit by, for example I reducing allowable operating hours of the drive-up wlndow to be consistent with the hours restriction of the Interim 2 Both McDonald1s permits have specific provisions regarding the outdoor sound system. 4 Ordinance. Although the zonlng Ordinance does not specify that the Commission may modify the conditions of an existing permit, the lesser authority to modify may be implied from the broader power to revoke the permit. In fact, there is some authority that the city may in fact be obligated to restrict the businesses no more than necessary to alleviate the particular operational problem by, for example, further limiting operating hours rather than revoking the permit. See O'Hagen v. Board of Zoninq Adiustment, 19 Cal. App. 3d 151, 165, 96 Cal. Rptr. 484, 493 (1971). Enforcement of the conditions of the existing permits would be a safer course of action than applying the Interim Ordinance to eX1st1ng establishments with use permits which specifically author1ze extended hours of operation. Ordinarily zoning ordinances are applicable to the future use of property and are not made retroactive. Jones v. City of Los Anqeles, 211 Cal. 304, 319, 295 P. 14, 21 (1930); Trans-Oceanic oil Corporation v. city of Santa Barbara, 85 Cal. App. 2d 776, 194 P. 2d 148, 157 (1948). The risk of enacting a retroactive zoning ordinance is that, under some circumstances, the ordinance may be found to unlawfully interfere with vested property rights. Hansen Brothers Enterprises v. Board of Supervisors, 30 Cal. App. 4th 23, 26, 35 Cal. Rptr. 2d 358, 361 (1994) . It 1S clear that once a use permit has been properly issued, the power of a municipality to revoke the permit is limited. Goat H1ll Tavern v. City of Costa Mesa, 6 Cal. App. 4th 1519, 1530, 8 Cal. Rptr. 2d 385, 391 (1992); O'Haqen v. Board of Zoninq 5 Adiustment, 19 Cal. App. 3d 151, 158, 96 Cal. Rptr. 484, 488 (1971); Trans-Oceanic oil Corp., supra, 85 Cal. App. 2d at 785. Where a permit has been properly obtained and in reliance thereon the permittee has incurred material expense, he acquires a vested property right which may only be revoked for failure to comply with reasonable terms of the permit, or upon "compelling public necessity" such as operation of the use as a public nuisance. Id; Sunset Amusement Co. v. Board of Supervisors, 7 Cal. 3d 64, 80, 496 P. 2d. 840, 856, 101 Cal. Rptr. 768, 778 (1972). Al though no California cases have directly addressed the point, there is a substantial risk that a Court would apply the same principles applicable to revocation of a permit to unilateral modification. If so, the Interim Ordinance could not lawfully be applied to establishments with existing use permits the conditions of WhlCh authorized extended drive-up hours. B. LEGAL NONCONFORMING USES The Interim Ordinance also applies to five establishments which operate as legal nonconforming uses, including two of the businesses regarding which testimony was heard at the September 20, 1994 Council meeting. 3 The legal non-conforming businesses have no present restrictions regarding hours of operation. According to Planning Department staff, four of the five non-conforming 3 The Jack-In-The-Box located at 2025 Lincoln Boulevard and the Jack-In-The-Box located at 2423 wilshire Boulevard. 6 businesses do operate the drive-up window after 10 p.m. Although it is doubtful that a municipality could force a legal nonconforming use to immediately cease operations unless it was operating as a nuisance, (see, e. g., Jones v. city of Los Anqeles, supra, 211 Cal. at 308-309; O'Haqen v. Board of Zoninq Adiustment, supra, 19 Cal. App. 3d at 159), it would appear to be permissible to regulate a nonconforming use in some lesser manner.4 The Interim Ordinance may thus be lawfully applied to the five establishments which operate as legal nonconforming uses. A nonconforming business might contend that the effect of the interim ordinance would be to cause it to cease operations entirely.5 It seems unlikely that a convincing case for this assertion could be made. However, in such a case, a court could conceivably hold that the Ordinance constitutes an unlawful "taking" of property without due process. Alternatively, if the Interim Ordinance is not extended, the 4 There is some authority for the proposition that all aspects of the use at the time it becomes legal nonconformlng are "frozen in place" and vested. (See Hansen Brothers Enterprises, supra, 35 Cal. Rptr. 2d at 362 (dicta)). However, no cases have squarely addressed this issue, and such an interpretatlon would constitute a significant new intrusion on the police power of municipalities to legislate to promote public health, safety, and welfare. 5 Accordlng to Planning Department Staff, the owner of the Jack-In-The-Box located at 2025 Lincoln Boulevard testified at the November 29, 1994 Council meeting that "more than 30% of business would be lost" from compliance with the Interim Ordinance, and that he tried a one week experiment of closing the drlve-up window between 10 p.m. and 7 a.m. and estimates that he lost 95% of his customers because the window was closed. He did not state whether the business would close. 7 City may cause a nonconforming business to limit its hours or cease operating entirely, if it constitutes a "public nuisance." Such a case must be factually established in a hearing regarding which the owner has received proper notice and during which other due process protections are afforded. Leppo v. City of Petaluma, 20 Cal. App. 3d 711, 717, 97 Cal. Rptr. 840, 843 (1971); ~ Goat Hill Tavern, supra, 6 Cal. App. 4th at 1530. In the instant situation, whether any of the nonconforming businesses affected by the Interim Ordinance constitutes a public nuisance could be addressed on an individual basis through Nuisance Abatement Board proceedings, or through a court action, should the facts warrant. This may be a preferable approach since it addresses problems arising from specific locations, rather than constituting an across the board prohibition. RECOMMENDATION It is respectfully recommended that the Interim Ordinance not be extended, and planning staff be directed to investigate and take enforcement action as appropriate. Alternatively, if the Council wlshes to extend the Interim Ordinance, it is recommended existing businesses with use permits be exempted, and the Ordinance attached as Exhibit A be introduced for first reading. PREPARED BY: Marsha Jones Moutrie, city Attorney Mary H. Strobel, Deputy City Attorney 8 CA:f:\atty\muni\laws\mhs\drivup2 city Council Meeting 2-14-95 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA ESTABLISHING HOURS OF OPERATION FOR DRIVE-UP WINDOWS OF DRIVE-IN, DRIVE-THROUGH AND FAST FOOD RESTAURANTS LOCATED ADJACENT TO RESIDENTIALLY ZONED PROPERTIES ON AN INTERIM BASIS THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. Findinqs and Purpose. The city Council finds and declares: (a) At its September 20, 1994 meeting, the City Council heard testimony from residents living adjacent to and in the vicinity of fast food restaurants with drive- up windows whose quiet enjoyment and nighttime rest has been repeatedly disrupted by the noise associated with the late-night operat1on of the drive-up w1ndows. (b) Although many fast food restaurants with drive-up windows have Development Review or Conditional Use Permits which limit the hours of operation of the drive-up windows, some fast food restaurants with drive-up 1 windows do not have limits on the hours of operation of the drive-up windows. (c) Pending the implementation of permanent changes to the Zoning Ordinance to ensure the public health, safety, and welfare of impacted residents, it is necessary to limit on an 1nterim basis the hours of operation of drive-up windows in fast food restaurants located adjacent to or separated by an alley from any residentially zoned property which do not have in place limitations on the hours of operation of drive-up windows. (d) As set forth above, there exists a current and immedia te threat to the publ ic health, safety, or welfare, from the continued operation of drive-up windows adjacent to residentially zoned parcels, and the maintenance of any such operations in existing businesses inconsistent with the standards of this interim ordinance would result in a threat to public health, safety, or welfare. The purpose of adopting this interim ordinance, the standards of which will not take effect until June 3D, 1995, is to give advance notice to property owners and business 2 owners who will be affected by the hours of operation restriction which will adopted as a modification of the Zoning Ordinance. SECTION 2. Except as provided in Section 3 of this Ordinance, after June 30, 1995 it shall be unlawful for any drive- ln, drive-through, fast food or take-out restaurant located adjacent to or separated by an alley from any residentially zoned property to operate a drive-up window between the hours of 10:00 p.m. and 7:00 a.m. SECTION 3. The provisions of this Ordinance shall not apply to any drive-in, drive-through, fast food or take-out restaurant operating on the effective date of this Ordinance which has a valid conditional use permit or development review permit. SECTION 4. Any provision of the Santa Monica Municipal Code or appendices thereto, inconsistent with the provisions of this Ordlnance, to the extent of such lnconsistencies and no further, are hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. SECTION 5. This Ordinance shall be of no further force or effect twelve months from its adoption, unless extended in the manner required by law. 3 r.. ._ SECTION 6. If any sectlon, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of any competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City council hereby declares that it would have passed this Ordinance, and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. SECTION 7. This Ordinance is adopted pursuant to the provisions of Section 9.04.20.16.060 of the Santa Monica Municipal Code, and the need for its adoptlon is set forth in the Findings and Purpose Section above. SECTION 8. The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the same to be published once in the official newspaper wlthin 15 days after its adoption. This Ordinance shall be effective 30 days from its adoption. APPROVED AS TO FORM: ~i-Lie MARSHA J S MOUTRIE City Attorney 4