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ORD 2024-07 Update alcoholic beverage permitsTOWN OF TROPHY CLUB, TEXAS ORDINANCE NO. 2024-07 AN ORDINANCE OF THE TOWN OF TROPHY CLUB, TEXAS, AMENDING THE CODE OF ORDINANCES, TOWN OF TROPHY CLUB, TEXAS, CHAPTER 14 "ZONING," DIVISION 5, "SUPPLEMENTARY DISTRICT REGULATIONS," SECTION 14.02.262 "SALE OF ALCOHOLIC BEVERAGES" TO UPDATE REQUIREMENTS FOR THE SALE OF ALCOHOL IN THE TOWN; PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE OF ALL ORDINANCES; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A PENALTY NOT TO EXCEED THE SUM OF TWO THOUSAND DOLLARS ($2,000.00) FOR EACH OFFENSE AND A SEPARATE OFFENSE SHALL BE DEEMED COMMITTED EACH DAY DURING OR ON WHICH A VIOLATION OCCURS OR CONTINUES; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Town of Trophy Club, Texas (the "Town") is a home rule municipality acting under its charter adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and Chapter 9 of the Local Government Code; and WHEREAS, the Town Council is authorized and empowered by law, in accordance with Chapter 211 of the Texas Local Government Code, to regulate land use, and property development within the Town for the public health, safety, and general welfare; and WHEREAS, the Town Council has previously adopted regulations governing the permitting and sale of alcoholic beverages in the Town; and WHEREAS, the Town Council desires to update the Town's regulation of alcohol sales for clarity and in order to comply with changes in State law since their adoption; and WHEREAS, after public notice was given in compliance with State law and a public hearing was conducted, and after considering the information submitted at the public hearing and all other relevant information and materials, the Planning and Zoning Commission of the Town has recommended to the Town Council the adoption of this Ordinance; and WHEREAS, after complying with all legal notices, requirements, and conditions, a public hearing was held before Town Council on April 22, 2024, at which the Town Council considered the information submitted at the public hearing and all other relevant information and materials. NOW, THEREFORE, BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF TROPHY CLUB, TEXAS, THAT: ORDINANCE NO.2024-07 SECTION 1. INCORPORATION OF PREMISES PAGE 2 The above and foregoing premises are true and correct and are incorporated herein and made a part hereof for all purposes. SECTION 2. The Code of Ordinances, Town of Trophy Club, Texas, Chapter 14 "Zoning," Division 5, "Supplementary District Regulations," Section 14.02.252 "Sale of alcoholic beverages" is hereby amended in its entirety to read as follows: "§ 14.02.252 Sale of alcoholic beverages. (a) Definitions. For the purposes of this section, the following definitions shall apply unless the context clearly indicates or requires a different meaning. Alcoholic beverage. Alcohol, or any beverage containing more than one-half of one percent of alcohol by volume, which is capable of use for beverage purposes, either alone or when diluted. Applicant. A person who submits or files an original or renewal application with the Town, the county judge, or the Texas Alcoholic Beverage Commission, for a license or permit. Bar/tavern. An establishment that derives seventy-five percent (75%) or more of the establishment's gross revenue from the on -premises sale of alcoholic beverages. Beer. A malt beverage containing one-half of one percent or more of alcohol by volume and not more than four percent (4%) of alcohol by weight, and does not include a beverage designated by label or otherwise by a name other than beer. Commission. The Texas Alcoholic Beverage Commission. Licensee. A person who is the holder of a license provided in the Texas Alcoholic Beverage Code, as amended, or any agent or employee of that person. Liquor. Any alcoholic beverage containing alcohol in excess of four percent (4%) by weight, unless otherwise indicated. Proof that an alcoholic beverage is alcohol, spirits of wine, whiskey, liquor, wine, brandy, gin, rum, ale, malt liquor, tequila, mescal, habanero or barreteago, is prima facie evidence that it is liquor. ORDINANCE NO.2024-07 PAGE 3 Liquor (package) store. A business that sells alcoholic beverages, including liquor as defined herein, for consumption off -premises. For the purposes of this section, the term "liquor store" shall exclude grocery stores or convenience stores in which beer and/or wine is offered for sale as a minor part of an overall larger inventory of goods. It shall also exclude a restaurant that is otherwise operating in accordance with its approved liquor license and all other provisions of this section. Mixed beverage. One or more servings of a beverage composed in whole or part of an alcoholic beverage in a sealed or unsealed container of any legal size for consumption on the premises where served or sold by the holder of a mixed beverage permit, the holder of a daily temporary mixed beverage permit, the holder of a caterer's permit, the holder of a mixed beverage late hours permit, the holder of a private club registration permit, or the holder of a private club late hours permit. Off -premises. Refers to the site of consumption rather than the site of sale, and refers to the sale of alcoholic beverages for off -premises consumption. On -premises. Refers to the site of consumption rather than the site of sale, and refers to the sale of alcoholic beverages for on -premises consumption. Permittee. A person who is the holder of a permit provided for in the Texas Alcoholic Beverage Code, as amended, or an agent, servant, or employee of that person. Person. A natural person or association of natural persons, trustee, receiver, partnership, corporation, organization, or the manager, agent, servant, or employee of any of them. Premises. The grounds and all buildings, vehicles, and appurtenances pertaining to the grounds, including any adjacent premises if they are directly or indirectly under the control of the same person. Private school. A school maintained by private individuals, religious organizations, or corporations, not at public expense, and open only to pupils selected and admitted by the proprietors or governors, or to pupils of a certain religion or possessing certain qualifications, and generally supported, in part at least, by tuition, fees, or charges. Public school. A school established under the laws of the State (and usually regulated in matters of detail by local authorities), in the various districts, counties, or towns, maintained at the public expense by taxation, and open, usually without charge, to the children of all the residents of the city, town or other district. Schools belonging to the public and established and conducted under public authority. ORDINANCE NO.2024-07 PAGE 4 Restaurant or cafe. An establishment building or portion of a building, where the primary business is the on -premises sale of prepared food, with adequate facilities for the preparation of the food to be sold, the adequacy of said kitchen facilities to be based upon the seating capacity of the restaurant and the type of menu offered. Said establishment may serve alcohol with a valid Commission License as long as the establishment derives less than seventy-five percent (75%) of its gross revenue from alcohol sales, and includes all indoor and outdoor seating areas, kitchen, bar area, restrooms and lobby. Wine and vinous liquor. The product obtained from the alcoholic fermentation of juice of sound ripe grapes, fruits, berries, or honey. This definition includes wine coolers. (b) Prohibited sales. The sale of alcoholic beverages is not allowed in areas zoned for residential use, including but not limited to planned development districts approved exclusively for residential uses. Except as otherwise specifically allowed by the Commission, or as otherwise provided herein, no alcoholic beverages may be sold within three hundred feet (300') of a church, public school or private school, or public hospital. Measurement of such distance shall be in accordance with the terms of this section and the Texas Alcoholic Beverage Code, as amended. (c) Permit required and annual permit fee established. It shall be unlawful for any person to manufacture, distill, brew, import, transport, store for purposes of sale, distribute, or sell any beer, wine or other alcoholic beverage within the Town without first paying the appropriate permit fee and obtaining a permit from the Town to sell alcoholic beverages at a specific location. 2. The permit fee shall be equal to one-half of the fee charged by the State of Texas, as amended, for the particular license issued by the Commission, except when said fee is waived according to the provisions of the Texas Alcoholic Beverage Code. 3. The permit fee shall be collected on the same cycle as the State permits or licenses are issued or renewed by the Commission. All permit fees required pursuant to this section shall be paid in advance to the Town for two (2) years at the time of the application or renewal for the State permit or license with the Commission. However, a mixed beverage permit fee shall not be collected during the three (3) year period following issuance of the State permit. The Town shall collect the mixed beverage permit fee in the beginning of the second year of the first renewal of the permit and the permit fee shall be paid in advance to the Town for one (1) year for the second year of the first renewal only. The mixed beverage permit fee shall be collected for a two (2) year period each renewal thereafter. Further, ORDINANCE NO.2024-07 PAGE 5 permittees or licensees who have been issued a two (2) year permit or license by the Commission in 2023 shall be billed by the Town annually in 2024 and the Town will begin collecting the permit fee for two (2) years at a time in advance beginning with the renewal of the license or permit in 2025. 4. Permit applications shall be submitted to the Director of Community Development, or the Director of Community Development's designee. (d) Zoning compliance required. No permit shall be granted under the terms of this section unless the location at which the business is sought to be established and maintained is a permitted use under the comprehensive zoning ordinance of the Town as of or after the effective date thereof. (e) Business hours. It is unlawful for any person to sell, offer for sale, or deliver any beer, wine, or liquor, except within those hours as prescribed in the Texas Alcoholic Beverage Code, as amended, including but not limited to chapter 105 of the Texas Alcoholic Beverage Code, as amended. (f) Specific use permit ("SUP"). (1) SUP required. Except as specifically provided herein, no persons shall manufacture, sell, offer for sale, distribute or engage in any other activity for which a permit or license is required by the Texas Alcoholic Beverage Code within the Town without first obtaining a SUP to do so from the Town. All of the provisions of the SUP procedure shall apply in accordance with the Town's comprehensive zoning ordinance, as amended. In the event of a conflict between the general regulations governing SUPs and the provisions contained in this section, the provisions of this section shall control. (2) SUP application. In order for a person to engage in the sale of alcoholic beverages, a formal application for a SUP shall be filed with the Director of Community Development, or the Director of Community Development's designee, with the appropriate fee established by the Town. The Director of Community Development, or the Director of Community Development's designee, shall process the application by submitting to the planning and zoning commission for its review and recommendation to the Town Council for approval or disapproval. The Town Council will consider and approve or disapprove the granting of a SUP for the sale of alcoholic beverages. (3) Compliance required. Compliance with Town codes and ordinances is required for on -premises sale and consumption of alcoholic beverages as follows: (A) Alcoholic beverage sales for off -premises consumption (beer and wine only). A building utilized for the retail sale of beer and/or wine ORDINANCE NO.2024-07 PAGE 6 for off -premises consumption only shall be inspected and shall comply with all applicable local regulations, including but not limited to building codes, fire codes, plumbing codes, electrical codes and ordinances. (B) Alcoholic beverage sales for off -premises consumption - liquor (package) store. The following provisions shall be required for liquor (package) stores: (i) A liquor (package) store shall not have walk-up window access, and shall not have drive -through or drive -up access. (ii) A liquor (package) store shall operate on premises that are not physically completely separate from any other business and the exterior design of the store shall show evidence of coordination with contextual influences of neighboring properties with regard to building setbacks, orientation, and relationship of structures to each other and to the street. The layout of the site shall respect and build upon the arrangement of buildings, open spaces and landscape elements of adjacent sites. (C) Alcoholic beverage sales for on -premises consumption in conjunction with a restaurant use. A restaurant utilized for the retail sale of alcoholic beverages for on -premises consumption shall be inspected and shall comply with all applicable local regulations, including but not limited to building codes, fire codes, plumbing codes, electrical codes and ordinances. (D) Alcoholic beverages for on -premises consumption - bar or tavern. A bar or tavern shall be inspected and shall comply with all applicable local regulations, including but not limited to building codes, fire codes, plumbing codes, electrical codes and ordinances. The following additional provisions shall be required for bars or taverns: (i) A bar or tavern shall not be located closer than three hundred (300) feet to any property used exclusively for religious or educational purposes. The method of measurement shall be along the property lines of the street fronts and from front door to front door, and in direct line across intersections. A hotel shall not be considered a residential use for the purpose of this section. (ii) The Town Council shall have full discretion to approve or deny a SUP application for a bar or tavern and may impose any ORDINANCE NO.2024-07 PAGE 7 reasonable condition deemed necessary by the Town Council, including expiration provisions, business name and signage, and change of ownership requirements to ensure community health, safety and welfare in approving a bar or tavern. (E) Procedures prior to issuance of permit. Before any certification from the Commission or other documentation of approval is signed by the Town representative, such certificate or documentation shall be submitted to the Director of Community Development, or the Director of Community Development's designee to assure: (i) That the application complies with all provisions of this section and all applicable ordinances; (ii) That a SUP application is officially filed with the payment of applicable fees; and (iii) That the chief of police/director of public safety has reviewed the SUP application. (4) Additional development conditions/waivers. The Town Council may attach additional development conditions, or grant specific waivers to applicable code requirements, to the SUP that the Council, in its discretion, determines are appropriate for buffering, safety, security, and compatibility for and to adjacent properties. (5) Criteria and processing of SUP. The following general conditions apply to all SUPs allowing the sale of any alcoholic beverages: (A) The applicant must design and operate the establishment for which a SUP is sought in such a manner that the proposed use or actual use of the premises shall not substantially increase traffic congestion or create overcrowding in the establishment or in the immediate surrounding area. (B) The applicant must comply with applicable licensing and permit provisions of the Texas Alcoholic Beverage Code, as amended from the date of the issuance of the SUP by the Town. (C) As required, the applicant shall bear the burden of showing that the establishment does not exceed the limitation on gross receipts from the sales of alcoholic beverages applicable to its license and SUP. The applicant shall maintain accounting records of the sources of its gross revenue and allow the Town to inspect such records during ORDINANCE NO.2024-07 PAGE 8 reasonable business hours. (D) The applicant shall demonstrate that the granting of the SUP would not be detrimental to the public health, safety and/or welfare of the citizens of the Town. (E) The applicant shall, at all times, provide an adequate number of employees for security purposes to adequately control the establishment premises to prevent incidents of drunkenness, disorderly conduct, and raucous behavior. The applicant shall consult with the chief of police/director of public safety who shall act in an advisory capacity to determine the number of qualified employees necessary to meet his/her obligation hereunder. (F) The establishment shall provide adequate parking spaces to accommodate its employees and patrons provided, however, that the number of parking spaces shall never be less than those required for similar uses in that zoning district where the establishment is located. (G) The applicant shall operate the establishment in such a manner as to prevent excessive noise, dirt, litter and odors in the establishment and in the surrounding area, and shall operate the establishment in such a manner as to minimize disturbance to surrounding property owners and in compliance with all applicable Town ordinances and State laws. (H) Unless specified as a condition of approval by the Town Council for a SUP, a SUP issued for any alcoholic beverage sales under this section shall automatically expire upon a change in use of the property, change of ownership of the property and/or business, and/or upon the revocation, termination or expiration of the certificate of occupancy. (1) All SUPs issued under this section shall be further conditioned that the same may be discontinued if the use for which the SUP was granted ceases to be operated at the permitted location for a minimum period of six (6) continuous months, or as otherwise provided for the revocation of SUPs, as outlined in the comprehensive zoning ordinance, as amended. (6) Denial of SUP. The Town Council may deny a SUP if it affirmatively determines that the issuance of such SUP: (A) Is incompatible with the surrounding uses or property; or ORDINANCE NO.2024-07 PAGE 9 (B) Is detrimental or offensive to the neighborhood or contrary to the health, safety, and general welfare of the Town and its inhabitants; or (C) Is found to be in noncompliance with any Town ordinances, including without limitation failure to comply with any one or more of the provisions of this section. (g) Methods for determining distance measurement. (1) Church or public hospital. The measurement of the distance between the place of business where alcoholic beverages are sold and a church or public hospital shall be along the property lines of the street fronts and from front door to front door, and in a direct line across intersections. (2) Public or private school. The measurement of distance between the place of business where alcoholic beverages are sold and a public or private school shall be: (A) In a direct line from the property line of the public or private school to the property line of the place of business, and in a direct line across intersections; or (B) If the permit or license holder is located on or above the fifth (5th) story of a multistory building, in a direct line from the property line of the public or private school to the property line of the place of business, in a direct line across intersections, and vertically up the building at the property line to the base of the floor on which the permit or license holder is located. (h) Exception to distance requirements. Upon receipt of a written request by an applicant, the planning and zoning commission will consider and make a recommendation to the Town Council to consider an exception to reduce the distance requirement contained in this section and the Town Council shall take final action on such recommendation based upon the criteria specified herein below: (1) A planning and zoning commission recommendation to reduce the distance requirement and final action of the Town Council to allow such reduction shall be based upon the following: The Town Council may allow an exception upon proof by the applicant that the applicant meets all of the following criteria (1) documented approval from surrounding property owners within the distance requirements for which the exception is sought; (II) proof of preliminary approval from the Commission; (III) a determination by the Town Council that the enforcement of the regulations in a particular ORDINANCE NO.2024-07 PAGE 10 instance is not in the best interest of the public; and (IV) after consideration of the health, safety and welfare of the public and the equities of such regulation, the Town Council determines that the exception is in the best interest of the community. (2) The Town Council shall have the authority to grant an exception under this section for temporary special events after review and recommendation by the planning and zoning commission. For such events, both the planning and zoning commission and the Town Council shall consider all of the following: (1) hours of the event; (II) impact on surrounding area; (III) estimated number of participants; (IV) personal and property security; and M duration and other health, safety and welfare considerations as deemed appropriate and necessary by the Town Council. (3) No exception may be granted hereunder except after a public hearing for which notice has been given to owners of real property within 300 feet (or 1,000 feet if applicable) of the location of the proposed business or of the proposed location for temporary special event. Such notice must be given not less than ten (10) days before the date set for hearing. (i) SUPs and applications in existence as of October 11, 2016. Any existing SUP for the sale of alcoholic beverages for on -premises consumption for which the SUP was either issued, or for which an application was received, prior to October 11, 2016 and said SUP has not expired, or said application has not been approved by the Town Council, said establishment shall not sell alcoholic beverages such that the gross receipts from alcohol sales exceed fifty percent (50%) of all gross receipts from all sales by the establishment. A new SUP must be granted by the Town Council in compliance with the requirements of this section in order to increase any alcohol -to -food -sales ratio for on - premises alcohol sales for any existing establishment and for any unapproved SUP where an active application has been submitted. 0) Possession or consumption prohibited in certain areas. (1) Athletic fields, parks, or public areas. It shall be unlawful for any person to possess an open alcoholic beverage container or consume any alcoholic beverage in any Town -owned or controlled athletic field, and all parking lots servicing such athletic fields except as specifically approved by the Town Council, ordinance, or Town Council approved policy which governs such conduct. It shall be unlawful for any person to possess an open alcoholic beverage container or consume any alcoholic beverage, as defined by the Texas Alcoholic Beverage Code, in any Town -owned or controlled park, including reserved area(s) within any park, playground, recreation center or any other area in the Town -owned or used by the Town and devoted to active or passive recreation, including all planted expressways, all parking lots servicing parks and public areas, parkways, triangles, and traffic islands ORDINANCE NO.2024-07 PAGE 11 maintained by the Town except as specifically approved by the Town Council, ordinance, or Town Council approved policy which governs such conduct, or the approval of the Town Manager or the Town Manager's designee, through the special event review committee process. (2) Schools and school activities. It shall be unlawful for any person to possess an open container or consume any alcoholic beverage on a public street, public alley, or public sidewalk within one thousand (1,000) feet of the property line of a facility that is a public or private school, including a parochial school, that provides all or any part of pre -kindergarten through twelfth grade in the buildings or on the grounds of any public school in the Town limits or at any school -related activity conducted within the Town limits." SECTION 3. CUMULATIVE This Ordinance shall be cumulative of all other Town, except where the provisions of this Ordinance provisions of such ordinances, in which event the ordinances are hereby repealed. SECTION 4. SAVINGS provisions of ordinances of the are in direct conflict with the conflicting provisions of such All rights and remedies of the Town are expressly saved as to any and all violations of the provisions of any other ordinance affecting the subject matter of this Ordinance within the Town which have accrued at the time of the effective date of this Ordinance; and, as to such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such ordinances same shall not be affected by this Ordinance, but may be prosecuted until final disposition by the courts. SECTION 5. SEVERABILITY The sections, paragraphs, sentences, phrases, clauses and words of this Ordinance are severable, and if any section, paragraph, sentence, phrase, clause or word in this Ordinance or application thereof to any person or circumstance is held invalid or unconstitutional by a court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this Ordinance, and the Town Council hereby declares that it would have passed such remaining portions of this Ordinance despite such invalidity, which remaining portions shall remain in full force and effect. ORDINANCE NO.2024-07 SECTION 6. PENALTY PAGE 12 It shall be unlawful for any person to violate any provision of this Ordinance, and any person violating or failing to comply with any provision hereof shall be fined, upon conviction, in an amount not less than One Dollar ($1.00) nor more than Two Thousand Dollars ($2,000.00), and a separate offense shall be deemed committed each day during or on which a violation occurs or continues. SECTION 7. PUBLICATION The Town Secretary of the Town of Trophy Club is hereby directed to publish the caption and penalty clause of this Ordinance as required by Section 3.16 of the Town's Charter. SECTION 8. EFFECTIVE DATE This Ordinance shall become effective from and after its date of adoption and publication as provided by law, and it is so ordained. PASSED AND AP Texas, this 22nd day of A he Town Council of the Town of Trophy Club, i 2024. " C'l\ G O „f r � qN - N ATTEST: / UAF� Tammy Dixon, Towri ,Secretary APPROVED AS TO FORM: Dean ogg 7-own Attorney