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Liquor License Ad Hoc Study Committee Report
to West Chester Borough Council

September 2005

Table of Contents

Introduction       3
Members of the Committee     4
2005 Borough Council & Mayor     5
2005 Members of the Planning, Zoning, and Industrial Development Committee     5
Acknowledgments     6
Executive Summary     7
Purpose of Committee     10

The last four sections of the report are not included in this web-based version. The complete report is available for public inspection at Borough Hall, 401 E. Gay Street, West Chester, PA 19382.
Findings & Notes     12
Minutes     24
Observer Notes     61
Supporting Materials     63

 


Introduction The Liquor License Ad Hoc Study Committee was convened to address issues concerning the West Chester Borough Council process of approving the inter-county transfer of liquor licenses to locations within the Borough. In 2004, the Borough Council drafted a purpose for the Ad Hoc Committee with certain directives (see the Purpose section). As per these directives, it has been the goal of the committee to respond with recommendations to Borough Council as well as review the issues of possible effects of current and new licensees.

The objective of liquor regulation is to protect the health, welfare, peace, and morals of the community, and this should be Council's first priority as they consider any changes to current ordinances.

This report provides an Executive Summary that makes the primary recommendations to Borough Council within the scope of the Council's directives. It further provides background information and process by which these recommendations were arrived in the Findings section. Along those lines, it is important to note that the committee observed that it was not the number of liquor licenses within West Chester that were a major concern -- indeed, there may have been a time that there were more licenses than there are today. It appears that the management of the establishments and the behavior of the patrons are the issues that need to be addressed.

Discussion of points regarding the impact of behavior from patrons of liquor license holders and possible actions to address this behavior are also noted.

During the time that the ad hoc committee met, each member was asked to take on a specific item and report on that item. Those reports are found in the Findings section and authorship is noted.

 


Members of the Committee

At the regularly scheduled meeting of Borough Council on December 22, 2004, members of the Liquor License Ad Hoc Study Committee were selected from a request pool of volunteers. The committee is made up of two parts: active members and ex officio members. Further, as per the directive from Borough Council, the composition of the committee include members from the restaurant community, the police department, the business community within the The West Chester Business Improvement District, a neighborhood association, and West Chester University. All meetings were public and occurred at the West Chester Borough Hall. Interested community members were able to attend and review the actions of the committee as well as make remarks which were recorded in the minutes.

Active Members
Cpl. Pam Baumann -- West Chester Police Department
Chief Scott Bonn -- West Chester Police Department
Mr. Justin Fowler -- Restaurant Community
Mr. Malcolm Johnstone -- West Chester Business Improvement District
Dr. Jim Jones -- West Chester University
Ms. Diane LeBold -- Resident
Mr. Tony Mastroianni -- Restaurant Community
Mr. Jack McFadden -- Restaurant Community
Mr. P. Timothy Phelps -- West Chester Business Improvement District
Mr. John Schatz -- Resident

Advisors
Mr. H. Paul Fitzpatrick-- West Chester Borough Council
Mr. Ernie B. McNeely -- Borough Manager

The first meeting of the Ad Hoc Committee was convened by Paul Fitzpatrick. Malcolm Johnstone was selected as Chair of the committee and Diane LeBold was selected as Secretary.

 


2005 West Chester Borough Council & Mayor
Richard B. Yoder, Mayor
William J. Scott, Council President
Barbara Mcllvaine Smith, Council Vice-President
Susan L. Bayne
Steve Bond
Maria Chesterton
H. Paul Fitzpatrick
Andrew Mclntyre
Ernie B. McNeely, Borough Manager

2005 Planning, Zoning, Business & Industrial Development Committee
H. Paul Fitzpatrick, Chair
Barbara Mcllvaine Smith
Steve Bond

 


Acknowledgments Besides the time that each member of the Ad Hoc Committee contributed, there is a debt of gratitude to a number of individuals who gave of there time and expertise to make this report relevant and accurate.

West Chester Borough Council members William J. Scott and H. Paul Fitzpatrick both participated with the committee: Mr. Fitzpatrick to facilitate the first meeting and Mr. Scott to provide information at a subsequent meeting.

Borough Manager Ernie McNeely provided valuable advice concerning zoning, procedures, capacity and municipal regulations that may apply to the strategies the group was considering.

Barry Goldstein, Esq. and Edward McHugh, Esq. of Goldstein, Friedberg, Goldstein & McHugh, P.C., Philadelphia, took valuable time to meet with the committee to discuss application procedures.

Jeff Lawrence, Eastern Regional Manager, Bureau of Licensing, Pennsylvania Liquor Control Board, also met with the committee to discuss procedures of the Pennsylvania Liquor Control Board.

Joe Norley and Nathaniel Smith from the South Walnut Neighborhood Association regularly attended meetings and participated with questions and comments. David Magrogan from Kildare's shared activities of the West Chester Restaurant Association and common interest of the downtown restaurants.

Finally, it must be noted that this report would not be as clear or articulate without the outstanding efforts of Diane LeBold, who, as secretary, kept meticulous notes and provided useful insights into this report and its recommendations.

 


Executive Summary

This summary responds to the questions stipulated in the Purpose section drafted by the West Chester Borough Council. Information pertaining to the quantity or effects of activities (such as Task 1) will be found in the Findings section.

1) Enhance and codify the application process for inter-municipal liquor license transfers. Create a detailed application that includes, but is not limited to, the following information (see sample application included in the Findings section):

a) Company/organization contact information.
b) Individual contact information.
c) Attorney contact information.
d) Location of proposed establishment.
e) Property owner contact information.
f) Detailed description of proposed operations.
g) List of neighboring schools, churches, residents and liquor license holders within 500 feet of the proposed location,
h) Anything else Council deems useful and appropriate for making a reasonable decision about the license transfer.

2) Work with enforcement officials and neighborhood groups to identify and reduce alcohol-related violations both inside liquor establishments and on the streets.

a) Seek funding for additional police/security enforcement, specifically for Thursday through Saturday nights, from 11 p.m. through 3 a.m.
b) Some funding could allow police to develop proactive methods for identifying which bars are over-pouring when they make arrests on the street.
c) Other funding could allow installation of video cameras or other security items at key locations downtown and in residential areas that are known routes for late-night revelers
d) Funding could possibly be obtained through state grants to police, the creation of a Neighborhood Improvement District along Walnut Street, West Chester University (or the State System of Higher Education), and liquor establishments within the borough.

3) Create a Conditional License Agreement* (see sample agreement included in the Findings section).

a) To be used when Council wishes to grant an application contingent on specific conditions designed to protect the health, welfare, peace, and morals of the community.
b) The basis for any conditions must be consistent for all applicants and well supported with factual evidence supplied by recognized advisors such as the police, a traffic engineer, etc.
c) Applicant must sign the agreement in order to be approved for the license transfer.
d) If reasons for the conditions are well supported and the applicant does not agree to the conditions, it is this committee's recommendation that Council deny the application (See Findings sections).

* Please note that, according to Mark Bruno, a member of the Italian Social Club, the conditions recently agreed to by West End Entertainment for a license at the Italian Social Club were not acceptable to the Liquor Control Board (LCB) because, in the LCB's opinion, they impinged on the requirement that a retail liquor licensee be "open to the public." Council should be clear with future applicants that it is the responsibility of the applicant to ensure any conditional agreement with the Council meets the legal requirements of the LCB.

4) Use zoning to gain more control over both the location and permitted uses of both future and current liquor businesses.

a) Create a new zoning definition, "Restaurant with Bar." Within this definition, an establishment would:

* Offer alcohol only as an accompaniment to a food menu.
* Not offer low-price drink specials.
* Not provide dancing, live bands using electrified instruments, juke boxes, or electronic gaming. (May provide, at Council's discretion, acoustic performance ensembles).
* Provide a kitchen of adequate size and capacity for full dining service (Council will need advice to determine this).

5) Create an amusement permit (or similar permit) to be issued to establishments that provide low-price drink specials, dancing, live bands using electrified instruments, juke boxes, or electronic gaming. Council will need to work out the details of this with the borough solicitor, but such a permit could provide a means to control such activities (through revocation) and generate a fee to offset the costs of administration.

a) Renewable annually at a reasonable fee.
b) Establishments found in violation of any state or municipal regulations of any type (possibly including Building & Housing violations) would have their amusement permit revoked for some time period, and would, thereby, be unable to provide dancing, live bands using electrified instruments, juke boxes, or electronic gaming during that period.

6) Consider creating a liquor license conditional-use overlay district. Council would need to work with the borough solicitor and zoning officer to determine standards and boundaries for such a district.

7) Work with the Pennsylvania League of Cities and Municipalities (PLCM) to seek changes to liquor laws. The presence of a university creates very specific challenges in any host community when it comes to managing alcohol issues. The Harvard College Alcohol Study has shown clearly that binge drinking among students increases when concentrations of bars are within a mile of a college campus. The study indicates that this is harmful to both students and residents who live within a mile of a campus. (See the memorandum on the Harvard study in the Findings section.)

a) Based on the findings of the Harvard study, West Chester Borough should work with other host communities and the State System of Higher Education to gain support for special liquor regulations that would apply only to host communities. Such regulations should, at the very least, prohibit or constrain low-price drink specials, and could perhaps limit or otherwise control the number of bars that can be located within a mile of a campus or reduce their hours of operation. (Existing establishments would be grandfathered, as always.)
b) Allow a municipal tax on alcohol revenues. The success of liquor establishments is often connected to an increase in a need for public services, such as police and public works. The liquor establishments, not the local taxpayers, should be responsible for funding these services.
c) Establish regulation over BYOB establishments. Even a relatively inexpensive permit would allow some control over BYOBs, because it would allow municipalities to revoke the permit if an establishment is found to be violating the standards for the permit.

8) Require that the PA Liquor Control Board TIPS training be provided for all bartenders, servers, and managers of new establishments.

a) The TIPS program provides five hours of alcohol awareness training and a test.
b) Requiring this training for employees helps liquor establishments decrease liability issues for insurance purposes.
c) The cost to train staff ranges from $25 to $75 per person.

9) Abandon All Consideration of a Moratorium on Liquor Licenses.

a) A moratorium upon liquor licenses will have a negative affect on the micro economy of the downtown area and West Chester Borough (as demonstrated in communities such as Manayunk).
b) A moratorium will not resolve nor address the immediate issues of patron behavior and establishment management.

 


Purpose

Prepared by Borough Council as a guide for the Liquor License Ad Hoc Study Committee.

Purpose of Committee

West Chester has undergone a downtown renaissance that has included a considerable number of new restaurant openings, retail openings and markedly increased nightlife pedestrian traffic. A change in the state law governing liquor licenses has allowed, for the first time, license transfers within a county and Borough Council over a two year period has considered six (6) applications for transfer of licenses into West Chester. The state law governing transfers provides little direction or authority for Borough Council to use when considering transfer requests. There is a perception by some that existing licensed establishments and new transfers may be creating problems for the community that require different strategies to address. The purpose of this committee is to objectively evaluate information related to the issue and make recommendations for Borough Council consideration.

Committee Composition

Minimum of seven (7) members appointed by Borough Council and selected from volunteers, but including representation from the following:
- Restaurant Community
- Police
- Business Community (BID)
- Resident/Neighborhood Associations
- West Chester University

Committee Tasks

Task 1 - Compile available information, gather input and statistics to determine if the liquor license establishments are negatively affecting the welfare, health, peace and morals of the Borough of West Chester. Information to examine includes, but is not limited to, number, location and type of license establishments, police calls related to licensed establishments, alcohol related police calls away from, but related to, licensed establishments, effect of alcohol use on general business district, effect on the town in general, time, day of the week and locations of related police calls and alcohol related to campus police.

Task 2 - To analyze the effect of liquor license transfers into the Borough of West Chester from areas in Chester County and make recommendations to Borough Council, including, but not limited to, the following:


* Have new liquor license establishments approved for transfer created any problem or negative effect?
* Can restrictions be put on the licenses to make them less likely to create a problem or negative effect?
* Should West Chester restrict or prohibit additional transfers?
* Can West Chester legally prohibit additional transfers if that is desired?
* What criteria and process should Borough Council use for considering any future license transfer requests if they are allowed?
* What changes should be made to the state legislation that allowed for these intra-county license transfers?

Task 3 - If negative effects have been determined in Task 1 from existing liquor license establishments, what are recommended strategies for reducing or mitigating the effects?

Schedule

The committee should complete its tasks in a phased approach. Tasks 1 and 2 should be completed and a written report issued to Borough Council by June 30, 2005. Progress reports to Borough Council should be made at least bi-monthly and, if possible, monthly.


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