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Ord 29-05 (' /") ~D ORDINANCE NO. 29-05 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRA Y BEACH, FLORIDA, AMENDING THE ! LAND DEVELOPMENT REGULATIONS OF THE CODE OF ORDINANCES, BY AMENDING SUBSECTION 4.3.3 (AAA) (1) "DEVELOPMENT STANDARDS FOR ADULT GAMING CENTERS", TO ALLOW THE USE OF GIFT CERTIFICATES, GIFT CARDS, CREDIT CARDS OR OTHER CASH SUBSTITUTES FOR PAYOUTS; I PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, pursuant to LDR Section 1.1.6, the Planning and Zoning Board reviewed the proposed text amendment at a public hearing held on April 18, 2005 and voted 7 to 0 to deny that the changes be approved; and WHEREAS, pursuant to Florida Statute 163.3174(4)(c), the Planning and Zoning Board, sitting as the Local Planning Agency, has determined that the change is consistent with and furthers the goals, objectives and policies of the Comprehensive Plan; and WHEREAS, the City Commission of the City of Delray Beach adopts the findings in the Planning and Zoning Staff Report; and I WHEREAS, the City Commission of the City of Delray Beach finds the ordinance is consistent with the Comprehensive Plan. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRA Y BEACH, FLORIDA, AS FOLLOWS: I Section 1. That the recitations set forth above are incorporated herein. Section 2. That Section 4.3.3, "Adult Gaming Centers", Subsection 4.3.3(AAA)(1), "Development Standards for Adult Gaming Centers", of the Land Development Regulations of the Code of Ordinances of the City of Delray Beach, Florida, be and the same is hereby amended to read as follows: I (1) Development Standards for Adult Gaming Centers: (a) No Adult Gaming Center shall be located within one thousand (1,000) feet of or in the same block as, whichever distance is greater, an existing adult gaming center, measured from lot line to lot line in a straight line. I 1 ì (" /,,\ \::£~\)~ (b) Location: No adult gaming center shall be located within an historic district, on an historic site, on properties listed on the Local or National Register of Historic Places or in any Redevelopment Area. (c) Adult Gaming Center Requirements: 1. An attendant must be provided on the premises during all hours of operation. 2. The hours of operation shall be limited to 9:00 a.m. to 11 :00 p.m., 7 days a week. 3. No one under 18 years of age shall be allowed in the Adult Gaming Center. 4. The consumption and/or possession of alcohol shall be prohibited on the pretnlSes. 5. The license for each machine shall be attached thereto. 6. The use of gift certificates, gift cards, credit cards or other cash substitutes shall be prohibited allowed. 7. Prizes shall be limited to $.75 retail value per game played. 8. Any machine on the premises of the enterprise or business shall not violate the State's laws against slot machines and shall be in full compliance with Section 849.16, Florida Statlltes. 9. The enterprise or business shall permit unlimited access to law/code enforcement officials to enter the premises and inspect any machine at any time to ensure that the provisions of this Ordinance are in compliance. Section 3. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 4. That all ordinances or parts of ordinances in conflict herewith be, and the same are hereby repealed. Section 5. That this ordinance shall become effective immediately upon its passage on second and final reading. 2 ORD. NO. 29-05 ( " /") . ~~5\ PASSED AND ADOPTED in regular session on second and final reading on this the _ day of ,200_. A TIEST MAYOR City Clerk 5\3\05 -~Q~~ First Reading ~~~~ ' , Second Reading 3 ORD. NO. 29-05 I OK I CITY COMMISSION DOCUMENTATION Pj1 TO: D~~D A~AGER THRU: PAUL DORLlNG, DIREC OF PLANNING AND ZONING FROM: JEFFREY A. COSTELL SUBJECT: MEETING OF MAY 3,2005 PRIVATELY INITIATED AMENDMENT TO THE LAND DEVELOPMENT REGULATIONS SECTION 4.3.3(AAA}(1}(c} "ADULT GAMING CENTER REQUIREMENTS" TO ALLOW THE USE OF GIFT CERTIFICATES, GIFT CARDS, CREDIT CARDS OR OTHER CASH SUBSTITUTES FOR PAYOUTS. II BACKGROUND I ANALYSIS II A privately initiated LOR text amendment has been submitted by New Hope USA, Inc. to amend LOR Section 4.3.3(AAA)(1 )(c)(6), to allow the use of gift certificates, gift cards, credit cards or other cash substitutes for payouts at Adult Gaming Centers. In conjunction with the proposed text amendment, a conditional use request has been submitted by New Hope USA, Inc. who wishes to establish an Adult Gaming Center within a 1,221 sq. ft. bay at Delray Square Shopping Center Phase II (14570 South Military Trail). At its meeting of October 19, 2004, the City Commission approved an amendment to the Land Development Regulations to provide for regulations concerning Adult Gaming Facilities which are consistent with Chapter 849, Florida Statutes, (Gambling). The prohibition of gift certificates, gift cards, credit cards or other cash substitutes was specifically included to prohibit abuses associated with redemption of gift certificates or cards for cash or prizes which exceed maximum allowed values Florida Statutes state that customers may receive a coupon or points which may be exchanged for merchandise only, excluding cash and alcoholic beverages. In order to ensure that the regulations are complied with, the City requires that the prizes be redeemed on the premises. It is noted, the applicant's request includes permitting credit cards or other cash substitutes, which would appear to be a violation of Florida Statutes. Pursuant to LOR Section 2.4.5(M)(5), approval of an LDR amendment must be based upon a finding that the amendment is consistent with and furthers the Goals, Objectives, and Policies of the Comprehensive Plan. The proposed amendment does not further specific Goals, Objectives and Policies of the Comprehensive Plan. and therefore should be denied. ~ PLANNING AND ZONING BOARD CONSIDERATION I At its meeting of April 18, 2005, the Planning and Zoning Board held a public hearing regarding the amendment. There was no public testimony regarding the proposed changes. After discussing the amendment, the Board voted 7-0 to recommend to the City Commission denial of the proposed amendment, by adopting the findings of fact and law contained in the staff report and finding that the request is inconsistent with the Comprehensive Plan and does not meet criteria set forth in Section 2.4.5(M) of the Land Development Regulations. II RECOMMENDED ACTION II Move to deny on first reading the ordinance amending Land Development Regulations (LDRs) Section 4.3.3(AAA)(1)(c), by adopting the findings of fact and law contained in the staff report and finding that the request is inconsistent with the Comprehensive Plan and does not meet criteria set forth in Section 2.4.5(M) of the Land Development Regulations, with second reading to occur on May 17, 2005. Attachments: Proposed Ordinance & Planning and Zoning Board Staff Report of April 18, 2005 \aA City Commission Documentation LDR Amendment - Adult Gaming Centers Page 2 ORDINANCE NO. 29-05 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING THE LAND DEVELOPMENT REGULATIONS OF THE CODE OF ORDINANCES, BY AMENDING SECTION 4.3.3(AAA), "ADUL T GAMING CENTERS", SUBSECTION 4.3.3(AAA)(1) "DEVELOPMENT STANDARDS FOR ADULT GAMING CENTERS", TO ALLOW THE USE OF GIFT CERTIFICATES, GIFT CARDS, CREDIT CARDS OR OTHER CASH SUBSTITUTES FOR PAYOUTS; PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, pursuant to LDR Section 1.1.6, the Planning and Zoning Board reviewed the proposed text amendment at a public hearing held on April 18, 2005 and voted 7 to 0 to deny that the changes be approved; and WHEREAS, pursuant to Florida Statute 163.3174(4)(c), the Planning and Zoning Board, sitting as the Local Planning Agency, has determined that the change is consistent with and furthers the goals, objectives and policies of the Comprehensive Plan; and WHEREAS, the City Commission of the City of Delray Beach adopts the findings in the Planning and Zoning Staff Report; and WHEREAS, the City Commission of the City of Delray Beach finds the ordinance is consistent with the Comprehensive Plan. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF DELRA Y BEACH, FLORIDA, AS FOLLOWS: Section 1. That the recitations set forth above are incorporated herein. Section 2. That Section 4.3.3, "Adult Gaming Centers", Subsection 4.3.3(AAA)(1), "Development Standards for Adult Gaming Centers", of the Land Development Regulations of the Code of Ordinances of the City of Delray Beach, Florida, be and the same is hereby amended to read as follows: (1 ) Development Standards for Adult Gaming Centers: (a) No Adult Gaming Center shall be located within one thousand (1,000) feet of or in the same block as, whichever distance is greater, an existing adult gaming center, measured from lot line to lot line in a straight line. (b) Location: No adult gaming center shall be located within an historic district, on an historic site, on properties listed on the Local or National Register of Historic Places or in any Redevelopment Area. (c) Adult Gaming Center Requirements: 1. An attendant must be provided on the premises during all hours of operation. - City Commission Documentation LDR Amendment - Adult Gaming Centers Page 3 2. The hours of operation shall be limited to 9:00 a.m. to 11 :00 p.m., 7 days a week. 3. No one under 18 years of age shall be allowed in the Adult Gaming Center. 4. The consumption and/or possession of alcohol shall be prohibited on the premises. 5. The license for each machine shall be attached thereto. 6. The use of gift certificates, gift cards, credit cards or other cash substitutes shall be prohibited allowed. 7. Prizes shall be limited to $.75 retail value per game played. 8. Any machine on the premises of the enterprise or business shall not violate the State's laws against slot machines and shall be in full compliance with Section 849.16, Florida Statutes. 9. The enterprise or business shall permit unlimited access to law/code enforcement officials to enter the premises and inspect any machine at any time to ensure that the provisions of this Ordinance are in compliance. Section 3. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 4. That all ordinances or parts of ordinances in conflict herewith be, and the same are hereby repealed. Section 5. That this ordinance shall become effective immediately upon its passage on second and final reading. PASSED AND ADOPTED in regular session on second and final reading on this the day of ,200_. ATTEST MAYOR City Clerk First Reading Second Reading - DHR~Y BHCH DURAl BEACH "'~..4 PLANNING AND ZONING BOARD ~ AII·_CIty AI~_ClCIIy , 1111: MEMORANDUM STAFF REPORT ' 1111_' lqq l lQ'-J) ~UOI ~O{) MEETING OF: APRIL 18, 2005 AGENDA ITEM: IV.C. PRIVATELY INITIATED AMENDMENT TO THE LAND DEVELOPMENT REGULATIONS SECTION 4.3.3(AAA)(1)(c) "ADULT GAMING CENTER REQUIREMENTS" TO ALLOW THE USE OF GIFT CERTIFICATES, GIFT CARDS, CREDIT CARDS OR OTHER CASH SUBSTITUTES FOR PAYOUTS. IL-.. ITEM BEFORE THE BOARD II - ---. - .. .. -. -- - -. - --. -. - The item before the Board is a privately-initiated amendment to the Land Development Regulations Section 4.3.3(AAA)(1)(c) "Adult Gaming Center Requirements", to allow the use of gift certificates, gift cards, credit cards or other cash substitutes, pursuant to LOR Section 2.4.5(M). Pursuant to LOR Section 1.1.6, an amendment to the LDRs may not be made until a recommendation is obtained from the Planning and Zoning Board. ~ PROPOSED TEXT AMENDMENT I DEVELOPMENT PROPOSAL I The City has received a privately initiated LOR text amendment from New Hope USA, Inc. to LOR Section 4.3.3(AAA)(1 )(c)(6), to allow the use of gift certificates, gift cards, credit cards or other cash substitutes for payouts. In conjunction with the proposed text amendment, a conditional use request has been submitted by New Hope USA, Inc. who wishes to establish an Adult Gaming Center within a 1,221 sq. ft. bay at Delray Square Shopping Center Phase II (14570 South Military Trail). The applicant has submitted a request letter which is summarized below: The request is to amend LOR Section 4.3.3(AAA)(1)(c)(6) which states that the use of gift certificates, gift cards, credit cards, or other cash substitutes shall be prohibited. If approved, the amendment would allow the applicant to use gift certificates and gift cards, which he states may be exchanged for merchandise only excluding cash and alcoholic beverages. The request letter states that in compliance with Florida Statutes, in Palm Beach County many adult gaming centers are conducting business in the same manner. "Within a 2-3 (mile) radius there are several business in this area. If gift cards and gift certificates are not used like other businesses in competition (with) our gaming center, (we) will be out of business. Before taking great risk, we would like to request to the City Commission of the City of Delray Beach please review LOR Section 4.3.3(AAA)(1)(C)(6) and allow us to use gift certificates and gift cards, which can only be exchanged for merchandise." IV.C. P & Z Board Memorandum Staff Report LDR Amendment - Adult Gaming Centers Page 2 II BACKGROUND I ANALYSIS II At its meeting of October 19, 2004, the City Commission approved an amendment to the Land Development Regulations to provide for regulations concerning Adult Gaming Facilities. The amendment was initiated to provide clarification and regulations regarding adult gaming centers, which are consistent with Florida Statutes. The intent of the provisions is to regulate gaming centers that oftentimes mimic the look and atmosphere of gambling venues, but are operated in accordance with Chapter 849, Florida Statutes, (Gambling). The regulation of these venues ensures that they are permitted as a conditional use in the appropriate compatible zoning classification of General Commercial (GC) and Planned Commercial (PC), and establishes criteria to ensure reduction in any secondary effects that would have a negative impact on the general public as well as the area surrounding the use. The regulations do not permit adult gaming centers within 1,000 feet of an existing adult gaming center and do not permit the use within a designated redevelopment area. The City Commission of the City of Delray Beach, Florida, has determined that game rooms or enterprises offering coin-operated amusements also known as adult gaming centers require locational standards and additional regulations and requirements to ensure and protect the public health, safety, morals and welfare. The prohibition of gift certificates, gift cards, credit cards or other cash substitutes was specifically included to prohibit abuses associated with redemption of gift certificates or cards for cash or prizes which exceed maximum allowed values. Florida Statutes state that customers may receive a coupon or points which may be exchanged for merchandise only, excluding cash and alcoholic beverages. In order to ensure that the regulations are complied with, the City requires that the prizes be redeemed on the premises. While the applicant states that Palm Beach County may not have the same requirement, there are many uses that have additional or different requirements depending on the municipality. In fact, in some municipalities in Broward County, this type of use is not allowed. Each municipality has the right to impose regulations as they deem necessary and reasonable to ensure public heath, safety and welfare and to protect properties from negative effects. If the applicant feels the City's requirements will not enable him to conduct his business in the manner he wished or to compete with other businesses, he may want to reconsider the proposed location. Pursuant to LOR Section 2.4.5(M)(5), approval of an LOR amendment must be based upon a finding that the amendment is consistent with and furthers the Goals, Objectives, and Policies of the Comprehensive Plan. The proposed amendment does not further specific Goals, Objectives and Policies of the Comprehensive Plan. And therefore should be denied. II REVIEW BY OTHERS II The proposal is not in a geographical area requiring review by the DDA (Downtown Development Authority), CRA (Community Redevelopment Agency) or HPB (Historic Preservation Board). P & Z Board Memorandum Staff Report LDR Amendment - Adult Gaming Centers Page 3 Courtesy Notices: Special courtesy notices were provided to the following homeowners and civic associations: 0 PROD 0 President's Council Letters of objection and support, if any, will be presented at the Planning and Zoning Board meeting. II AL TERNA TIVE ACTIONS II 1. Continue with Direction. 2. Move to recommend to the City Commission denial of the proposed text amendment to the Land Development Regulations (LDRs) Section 4.3.3(AAA)(1 )(c) by adopting the findings of fact and law contained in the staff report and finding that the request is inconsistent with the Comprehensive Plan and does not meet criteria set forth in Section 2.4.5(M) of the Land Development Regulations. 3. Move to recommend to the City Commission approval of the proposed text amendment to the Land Development Regulations (LDRs) Section 4.3.3(AAA)(1)(c) by adopting the findings of fact and law contained in the staff report and finding that the request is consistent with the Comprehensive Plan and meets criteria set forth in Section 2.4.5(M) of the Land Development Regulations. II RECOMMENDED ACTION II Move to recommend to the City Commission denial of the proposed text amendment to the Land Development Regulations (LDRs) Section 4.3.3(AAA)(1 )(c) by adopting the findings of fact and law contained in the staff report and finding that the request is inconsistent with the Comprehensive Plan and does not meet criteria set forth in Section 2.4.5(M) of the Land Development Regulations. Attachment: Proposed Amendment