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Item No: 08C Meeting Date: December 12, 2022 Type of Business: Council Business City Administrator Review: City of Mounds View Staff Report To: Honorable Mayor and City Council From: Nyle Zikmund, City Administrator Item Title/Subject: Public Hearing, Resolution 9664, On -Sale Intoxicating Liquor and Class A Restaurant Licenses for Dos Hermanos Mexican Restaurant Located at 2535 Mounds View Boulevard Introduction: In accordance with Chapter 110, Alcoholic Beverages, of the Mounds View City Code, a public hearing and Council approval is required for a new liquor license request. In addition, Chapter 111, which includes Restaurants, requires City Council approval for a restaurant license. Discussion: Dos Hermanos II, LLC is requesting an on -sale intoxicating liquor license and Class A restaurant license (occupancy load greater than 100, operating less than 16 hours per day) to operate a restaurant and bar at 2535 Mounds View Boulevard, previously occupied by El Loro Restaurant, in the Mounds View Square Shopping Center. This request also includes Sunday Sales and an application for outdoor liquor consumption. This space has been unoccupied since late 2016. Staff has reviewed the requirements of Chapter 110, which includes Intoxicating Liquor, and Chapter 111, which includes Restaurants, and this request appears to meet all requirements set forth in both Chapters. Staff would like to point out that Chapter 110.029 states that, "no license shall be issued for premises located within the areas restricted against commercial use by Chapter 160 of this code of ordinances". Chapter 160, the Zoning Code, states that on -sale intoxicating liquor licenses shall not be granted for any premises within 200 feet of any permanently sited church as measured from the front door or outside seating area. The exception would be that the business receives at least 60 percent of its annual gross sales revenue from the sale of food. The proposed site is adjacent to Sunrise Methodist Church; however, it appears that the proposed outdoor patio is approximately 520 feet from the church building, which is well over the required 200 feet. In addition, the floor plan is the same as El Loro and shows the bar/dining seats is only a small portion of the entire restaurant square footage. Staff is of the understanding that the main operation of the business will be food sales. The restaurant will be open Monday through Thursday from 10:00 a.m. to 11:00 p.m. and Friday through Sunday from 11:00 a.m. until 11:00 p.m. The applicant will gain possession of the building upon approval of the Mounds View liquor license. Thus, the applicant will provide proof of application for their Ramsey County Food License at that time. In addition, upon City approval, the applicant will make application to AGED (MN Alcohol and Grambling Enforcement Division) for the state