COUNCIL OF THE CITY OF PHILADELPHIA COMMITTEE ON LICENSES AND INSPECTIONS - - - Room 400, City Hall Philadelphia, Pennsylvania Thursday, May 24, 2007 9:50 a.m. - - - PRESENT: COUNCILMAN DANIEL SAVAGE, CHAIR COUNCILMAN DARRELL L. CLARKE COUNCILWOMAN JOAN L. KRAJEWSKI COUNCILWOMAN BLONDELL REYNOLDS BROWN COUNCILMAN FRANK RIZZO COUNCILWOMAN MARIAN B. TASCO BILL 070367 - An ordinance amending Chapter 9-2900 of The Philadelphia Code, entitled "Take-Out Sale of Malt and Brewed Beverages," by creating the Malt and Brewed Beverage Hearing Board... - - - V A R A L L O Incorporated Litigation Support Services Eleven Penn Center 1835 Market Street, Suite 600 Philadelphia, Pennsylvania 19103 215.561.2220 215.567.2670 2
Good morning. The Committee on Licenses and Inspections is now in session. Will the Clerk please read the bill to be heard today.
An ordinance 8 amending Chapter 9-2900 of The Philadelphia Code, entitled "Take-Out Sale of Malt and Brewed Beverages," by creating the Malt and Brewed Beverage Hearing Board and revising the fee and procedures for the request for City approval of a permit to sell malt or brewed beverages for off-premises consumption, and amending Section 20-304 of The Philadelphia Code, to provide for the compensation of the Hearing Board; all under certain terms and conditions.
I'd like to recognize that a quorum is present today. We have Councilwoman Krajewski present, Councilman Darrell Clarke and Councilman Rizzo. We will now hear testimony on 3 5/24/07 - L&I - BILL 070367 Bill No. 070367. Is there anyone here from the Administration to testify? Good morning.
Good day, Councilman Savage. We presented our testimony on Tuesday regarding this bill, and the testimony has been submitted and has been read into the record. So at this point, we're here today to answer any questions and to see if we can come to a resolution on this bill.
Okay. Are there any questions from the members of the Committee? I recognize Darrell Clarke, Councilman.
Mr. Haigler, you recall at the last hearing there were some concerns raised about some of the language and the 4 5/24/07 - L&I - BILL 070367 requirements and the limitations and the prohibitions as it relates to authorization to issue a permit, and I know you've had some discussions with a number of individuals, both from the Law Department, City Council and some members of the community, about several provisions. I understand that one of those particular provisions talks about the conditions for approval or denial of the application.
Will that be offered as an exhibit today by the Department?
Yes. We have prepared regulations to this ordinance in anticipation that it would pass. Once the ordinance passes, the regulations will be submitted through the Law Department and then to our Records Department, and within 30 days after its submission to the Records Department, the regulations become effective. 5 5/24/07 - L&I - BILL 070367 The regulations pretty much takes into account what's in the Act, Act 155. The Act itself indicates that the Board would have regulations, and those regulations were prepared pursuant to the Act. The regulations also carves out a particular section that was in the previous ordinance and places it in regulation form. So it maintains some of those same requirements that Council had in the past under Section 9-2900.
Okay. Mr. Haigler and members of the Committee, for the record, there has been what we hope to be a consensus reached on language that will be offered as an amendment. Two specific issues. One is the definition of a neighborhood-based community organization. That will be Section (g) under 3. It will be a neighborhood-based community group established to promote the general welfare of a neighborhood which set forth 6 5/24/07 - L&I - BILL 070367 boundaries used to define the mission of the organization, cover the address of the applicant premises.
That amendment -- that is being further amended, and I'll allow the Councilwoman to address that, if she would like.
We do that. That's what we do. Councilwoman Tasco I think wanted to speak.
Thank you very much. Mr. Chairman, I'd like Sharon Losier, who is my staff representative, who has served as a hearing examiner. We went through this bill to kind of examine what we thought would be in the best interest of the community and came up with a couple of recommendations. So I'm going to ask her to come forth and make 7 5/24/07 - L&I - BILL 070367 the testimony on the bill. We have more than one.
Okay. For the record, could you please state your name.
My name is Sharon Williams Losier, legislative assistant to Councilwoman Tasco. I believe it was the summer and early fall of 2005 when I served as a hearing examiner for about two or three hearings regarding the applications for take-out beer. During those hearings, one thing that I realized was so often the evidence that was necessary to be considered under the statute was not present, either it was not brought by any of the parties or it was not available in the file, but yet there would be these letters from community groups that were so poignant in their feelings with respect to some of these establishments that were going on in their community. And often these community groups could 8 5/24/07 - L&I - BILL 070367 not even be available. There were times when I personally called on my cell phone during a recess and tried to get someone to come down from the community group so that they could testify as to what was included in their letter, because, of course, the letter could not be considered. There was a lawyer representing each of the applicants, and it was a valid hearsay objection to the letter and it was just no means to properly authenticate the letter or have the letter considered in any way in the determination as to whether or not that particular establishment would have an adverse effect on the community, which was the standard that you were supposed to consider. So in speaking with the Councilwoman about it, she was concerned that there be a little bit more ability for the persons from the community to have their position shown and that there 9 5/24/07 - L&I - BILL 070367 be a way for the Board to have all the relevant evidence available when they're making these decisions whether or not to grant these applications. So with that in mind, the amendments also -- the first amendment on the first page is an addition to the application form. Included on the application form the applicant should provide their Liquor License Control Number, and that would allow a better investigation of the state law enforcement with respect to this establishment. Also -- and that amendment, it's Section 9-2902, Section 17 (1), requiring that no application will be accepted without the applicant's Pennsylvania Liquor License Number clearly indicated on the application. The second amendment has to do with --
I don't have the pages. , it looks like. Is in 10 5/24/07 - L&I - BILL 070367 addition to Section 9-2904, Subsection (2) where the protests should also include information regarding the following, although failure to include any such information shall not result in the rejection of the protest: A, the character of the neighborhood; B, the identity -- excuse me. " And that section is to suggest to the protesters the type of relevant information that should be 11 5/24/07 - L&I - BILL 070367 included in their protest documents, so that this information, which should be properly before the Board, will be before the Board and can be considered in their deliberations. " And this is to allow community groups that are in a particular area to not have the requirement of identifying 10 to 15 individuals before they can file a valid protest, and this language was suggested by the Law Department and additionally has been reviewed by L&I. The third amendments have to do with -- are amendments to Section 9-2906 regarding the hearing process, and the 12 5/24/07 - L&I - BILL 070367 purpose of -- I can read this amendment and then I'll indicate the purpose. " And the indication of this availability would be when the applicant and the protesters are notified of the date of their hearing. " A second amendment to that particular provision is "upon assembly by the Department of License and Inspections of the following information, such information shall be made available upon request to any party," and that is, A, the history of the state and local law enforcement actions brought against the premises; B, the number and nature of calls to the Police Department's 9-1-1 13 5/24/07 - L&I - BILL 070367 emergency response system or the State Police Bureau of Liquor Control Enforcement relating to the incidents occurring within and immediately outside the premises; C, information regarding the applicant's delinquency in the payment of City or school taxes, charges, fees, rents or claims; and, D, current L&I status of the applicant at the applicant premises. " And, again, these amendments will further allow that the relevant evidence be before the Board and available to the applicant and the protesters. The information will be gathered by an employee of Licenses and Inspections and each party be aware of 14 5/24/07 - L&I - BILL 070367 its availability when they're notified of the hearing date. And this evidence can also be admitted as evidence before the Board with a written verification, which lessens the evidentiary burden to whoever is seeking to have that evidence admitted. So, in other words, it could help either the protester or the applicant if they could have those records before the Board, and it will greatly assist the Board or anyone examining those particular facts to make a correct determination about an establishment. And, also, the availability of evening hearings would alleviate some of the hardship that some of the community groups had in finding an individual who could attend a daytime hearing. So those are the extent of Councilwoman Tasco's amendments.
Thank you for your testimony. Are there any questions from 15 5/24/07 - L&I - BILL 070367 members of the Committee? The Chair recognizes Councilman Clarke.
Thank you, Mr. Chairman. Actually, Mr. Haigler, I was prepared to offer an additional amendment that talked about the state regulatory process. Is it your contention that the language that I showed you earlier is actually in the Act?
It's in the Act, Councilman, and it's also in the current bill before you that's under consideration as far as the state presenting its evidence or its information as to violation that it may have of record. We're going to be collecting that information ourselves, as was just testified to, and it will be made available to all parties.
And that information will -- request for issuance of a permit will be subject to this state 16 5/24/07 - L&I - BILL 070367 regulatory language in addition to the language that was earlier --
Yes, as well as the regulations that the Department is promulgating right now.
Well, I will not offer this amendment because this is somewhat redundant.
If there are no other people here to testify -- the Chair recognizes Councilwoman Tasco.
Yes. I just want to let the Councilmembers know that our staff worked with all of the parties, the Law Department, L&I and Steve Masters. Everybody had a part of this discussion. So it was just not done arbitrarily, but those parties were all a part of the discussion.
Thank you. Thank you for your testimony. 17 5/24/07 - L&I - BILL 070367 If there are no other people here to testify, this concludes our public hearing on the Committee -- good morning, Ms. Cummings. Since you've already testified, could you make your statements brief and enter your testimony for the record?
Good morning. My name is Bonita Cummings, Director of Strawberry Mansion Community Concern. I just wanted to comment on the amendment that says "proposed amendments submitted by Councilman Darrell L. Clarke" and is Paragraph 5 under Section 18 9-2903, "if an inspection" --
So this is not -- well, if this amendment is not offered, then we have no way of knowing again in the community, according to 18 5/24/07 - L&I - BILL 070367 Mr. Haigler's comments -- I'm looking at the Guide to Pennsylvania Liquor Laws. When I talk about the Title 47 Code that says what is required, operating not as a bona fide restaurant, insufficient food, seating, et cetera, in terms of compliance, in order for any of this bill 9 to be effective, we have to be able to know that the requirements, the state law requirements, are going to be a part of the process. Other than that, it's an exercise in futility. Mr. Haigler says they don't enforce the state law. The only amendment that I had to go by was the one that I'm looking at that does mention state laws or local ordinances.
I will 19 5/24/07 - L&I - BILL 070367 offer the amendment.
And the other thing that I'd like to address -- Vivian Crawford. I testified on Monday in regards to this bill. I am First Vice-Chair of Neighborhood Networks and also counsel to the African-American Heritage Coalition. My question is, the language that was just read by Ms. Losier, her amendment for -- it should be paginated. But for Section (2)(3), Subset (f), the inclusion of the word a "recognized community or neighborhood group or other organization that includes or represents any combination of 15/10 individuals or businesses who reside or which are located within 500 feet of the premises." My objection is to the word "recognized," because it doesn't establish recognized 20 5/24/07 - L&I - BILL 070367 by whom. I'm sorry. I stand corrected in terms of the number 10/15, but I still have an objection to the word "recognized" community group.
Can you clarify what you mean by "recognized"? Sharon, could you please come and clarify that?
The word "recognized" was included as just some sort of gatekeeper with respect to organizations of maybe one person. And while there is not any particular definition of a recognized community group, it's more or less an understood definition. And if we did say that it was recognized by a particular entity, then we'd probably be omitting a particular entity. But just by having it recognized is not in any way limiting a community group. And if there's anyone that feels as though that limits a community group, I think as though it 21 5/24/07 - L&I - BILL 070367 kind of allows -- it does by not indicating who is recognized, it kind of allows latitude in a community group being able to file a protest.
My objection to the word "recognized" is because it leaves to the trier of fact too much latitude to determine. I mean, they can say that one group is recognized and one is not. So my objection is to the inclusion simply of the descriptive word "recognized." I think if we take that out and it says "a community or neighborhood group," then there's no 16 objection, but I do object to "recognized," because that is too nebulous.
May I make a suggestion? Is there a time limit when this bill has to be out? I'm not saying hold it up. I'm just saying move it out and we can come to some agreement on 22 5/24/07 - L&I - BILL 070367 language. We can still amend it and get it passed.
So what we'll do, we'll vote it out of Committee as is. We'll work with them and the Law Department and the other suits, try and come up with some language that people can agree on and just amend it at the next reading and then pass it.
Just so that I understand, does that mean that the amendments that you proposed and the amendment proposed by Councilman Clarke are going to be referred back?
You'll pass the amendments? Okay. 23 5/24/07 - L&I - BILL 070367
If we come up with -- we'll work in the meantime in the next week or so to come up with some language that we can all agree on with this word "recognized" on community group. Then we can amend it on the floor before it's passed.
But we want to get it out of Committee, and we got Council to get started today.
Thank you for your testimony. If there are no other people here to testify, this concludes our public hearing on the Committee of License and Inspections. We will now move into our public meeting. The Chair recognizes Councilman Clarke for a motion on an amendment on Bill No. 070367. 24 5/24/07 - L&I - BILL 070367
Actually, Mr. Chair, I will be offering an additional amendment as a part of the earlier referenced amendments. This particular amendment references the change in the fee schedule. In addition, it adds the language with respect to the state regulations, and I'll read it very briefly, because I know we're in a public meeting. In Section 1, it changes the fee for application from $200 to $300. Section 5, it adds Section 5. The language reads as follows: "If an inspection demonstrates that the applicant has failed to obtain all permits and approvals required by law for the operation of the take-out beer or malt liquor establishment at the premises, or finds that the applicant is otherwise not in compliance with the provision of any state laws or local ordinances regulating the conduct of the business at the subject premises, the 25 5/24/07 - L&I - BILL 070367 Department of License and Inspection shall forthwith file a protest against the application with the Malt and Brewed Beverage Hearing Board." With that, Mr. Chair, I would like to ask for the approval of the amendments as previously referenced in the public hearing to Bill No. 070367. (Duly seconded.)
The ayes have it. The Chair recognizes Councilman Clarke for a motion on Bill No. 070367.
Thank you, Mr. Chairman. Mr. Chairman, I move that Bill 070367 as amended be reported out of Committee with a favorable recommendation and a request for rules suspension as to allow reading at the next session of 5/24/07 - L&I - BILL 070367 Council. (Duly seconded.)
The ayes have it. Bill No. 070367 will be voted out of Committee with a favorable recommendation. This concludes our public meeting and ends our Committee on Licenses and Inspections. (Committee on Licenses and Inspections adjourned at 10:15 a.m.) - - - 27 CERTIFICATE I HEREBY CERTIFY that the proceedings, evidence and objections are contained fully and accurately in the stenographic notes taken by me upon the foregoing matter on May 24, 2007, and that this is a true and correct transcript of same. ______________________________ MICHELE L. MURPHY RPR-Notary Public (The foregoing certification of this transcript does not apply to any reproduction of the same by any means, unless under the direct control and/or supervision of the certifying reporter.)