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MoU1�ms VIEW of Mounds view staff Item No: 09C Meeting Date: September 11 2017 Type of Business: Council Busin s Administrator Review: To: Honorable Mayor and City Council From: Jon Sevald, City Planner / Supervisor Item Title/Subject: First Reading and Introduction of Ordinance 938, an Ordinance amending Municipal Code, Section 502 regarding On -Sale Intoxicating Liquor Licenses for Movie Theaters Introduction: New Vision Cinema is planning a major renovation of the Wynnsong 15 Theater, including the addition of a bar. The theater is located at 2430 Mounds View Blvd. Patrons will be able to purchase alcohol at the bar, and consume drinks while watching a movie. The bar will require approval of an On -Sale Liquor License. On -Sale Liquor Licenses are prohibited on property within 500' of a school or church property, unless a minimum of 60% of the business' income is from food sales.' Adjacent to the theater property is 2408 Mounds View Blvd, leased by the Mounds View School District (Bridges Program). An ordinance amendment is necessary, if the theater is to qualify for an On -Sale Liquor License. Discussion: New Vision Cinemas has a 30 -year lease (2027) of the Wynnsong 15 Theater. Renovations of the theater is planned for 2018, and include the addition of a 70' curved theater screen, reclining seats, renovations of the lobby, concessions, bathrooms, and the addition of a bar. The theater will be similar to New Vision's Oakdale 20 Theater, renovated in 2014. Staff has spoken with the City of Oakdale's Police and Community Development departments. Prior to its opening, the Police Department had concerns about underage drinking within the theater, but since the addition of the bar, there have been no problems. To proceed, there are two sections of the City Code that must be amended: 1. On -Sale Intoxicating Liquor Licenses may be issued to hotels, restaurants, bowling centers, liquor stores, and exclusive clubs.z The City Code must be amended, adding "theaters" to this list. 2. If within 500' of a school or church property, only businesses in which a minimum of 60% of its income is from food sales, may obtain an On -Sale Intoxicating Liquor License. The theater will include concession sales, such as sliders, chicken fingers, pizza, hotdogs, nachos and popcorn, but this is not expected to exceed 60% of the theater's revenues. ' Mounds View Municipal Code, Section 502.04, Subd 2(b) 2 Mounds View Municipal Code, Section 502.03, Subd I