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HomeMy WebLinkAboutItem 8.6 Superstore Ordinance CITY CLERK File # D~~[Q]-[Z]~ AGENDA STATEMENT CITY COUNCIL MEETING DATE: August 21, 2007 SUBJECT: Consideration of Superstore Ordinance Report Prepared by: Christopher 1. Foss Economic Development Director ATTACHMENTS: 1. City of Livermore Superstore Ordinance RECOMMENDATION: (/ AR< Consider Council Member Sbranti's request to evaluate the need for (,U\J' a superstore ordinance and provide Staff with the appropriate direction. FINANCIAL STATEMENT: Direction to research and prepare such an ordinance would require approximately 25 hours from the City Attorney's Office and 80 hours from the Community Development Department DESCRIPTION: On March 26, 2007, the Livermore City Council unanimously approved a General Zoning Code Text Amendment 07-371 prohibiting superstores (see Livermore Ordinance - Attachment 1). The adopted Livermore ordinance defines a "superstore" as a store that typically offers diverse products (general merchandise) and customer services, centralized cashiering, and a full service grocery store under the same roof that shares entrances and exits. A "superstore" is further defined to exceed 90,000 square feet of gross floor area and devotes at lease five percent (5%) of the total sales floor area to the sale of non- taxable merchandise. The definition exempts discount club stores (ex. Costco) where shoppers pay a membership fee in order to take advantage of the discounted prices. At the May 1, 2007 City Council meeting, Council Member Sbranti requested that the City Council consider a ban, similar to the City of Livermore, on superstores in excess of 90,000 square feet, with over 5% non-taxable grocery items. A large-scale discount superstore typically combines discount general merchandise and a full-service grocery under one roof. The average superstore is between 150,000 s.f. to 200,000 s.f. Staff has found that a number of other jurisdictions have enacted superstore prohipitions including the cities of Santa Maria, Arroyo Grande, San Luis Obispo, San Francisco, Oakland, Turlock, Martinez as well as Contra Costa County. The prohibitions generally limit superstores to no more than 10% of their gross floor area dedicated to non-taxable grocery items. ------------------------------------------------------------------------------------------------------------- COPY TO: Page 1 of2 ITEM NO. ~. G:, G:\Chris\Superstore\Agenda Statement August 7 2007.doc Staff has completed no additional research to date on the concept of prohibiting superstores in Dublin. If the City Council were to direct Staff to work on this item, Staff could look into, among other things: o A definition of large format (big box) retail stores and differentiate the various subcategories (discount stores, discount superstores, and discount club stores). o Regulation of floor space devoted to non-taxable items o Exemption of discount membership stores o Requirement to prepare an economic impact analysis for stores 100,000 s.f. and larger o Prohibition of superstores over a certain size with a percentage of gross floor area dedicated to non-taxable grocery items. Staff estimates that, if so directed, it would take 25 hours of time from the City Attorney's Office and 80 hours of Staff time from Community Development Department to complete the research and prepare the reports and related ordinance(s). RECOMMENDATION: Staff recommends that the City Council consider Council Member Sbranti's request to evaluate the need for a superstore ordinance and provide Staff with the appropriate direction. c2~cL (102 AN ORDINANCE AMENDING THE LIVERMORE PLANNING AND ZONING CODE, AS AMENDED, OF THE CITY OF LIVERMORE, BY AMENDING PART 1 (GENERAL PROVISIONS) CHAPTER 1-10 (DEFINITIONS), PART 2 (ZONING DISTRICTS) CHAPTER 2-76 (PD-PLANNED DEVELOPMENT) SECTION 2-76- 100 (REQUIREMENTS FOR COMMERCIAL AND INDUSTRIAL PD ZONES), AND PART 3 (DEVELOPMENT STANDARDS), CHAPTER 3-10 (SPECIAL PROVISIONS) The City Council of the City of Livermore does ordain as follows: Chapter 1-10, Definitions - is amended to read as follows: 1-10-597 Superstore "Superstore" means a store that typically offers diverse products and customer services, centralized cashiering, and a full service grocery store under the same roof that shares entrances and exits. Such stores exceed ninety thousand (90,000) square feet of gross floor area and devote at least five (5%) percent of the total sales floor area to the sale of non-taxable merchandise. "Sales floor area" means only interior building space devoted to the sale of merchandise, and does not include restrooms, office space, storage space, automobile service areas, or open-air garden sales space. "Non-taxable merchandise" means products, commodities, or items the sale of which is not subject to California State sales tax. These stores are often the only ones on the site, but they can also be found in mutual operation with a related or unrelated garden center or service station. Superstores are also sometimes found as separate parcels within a retail complex with their own dedicated parking area. The superstore definition does not include a discount club store, where shoppers pay a membership fee in order to take advantage of discounted prices on a wide variety of items such as food, clothing, tires, and appliances, and many items are sold in large quantities or bulk. Chapter 2-76, Planned Development District - is amended to read as follows: 2-76-100(B)(7)(a) Superstores, as defined in LPZC 1-10-597 are prohibited. 2-76-1 00(C)(8)(a)(1) Superstores, as defined in LPZC 1-10-597 are prohibited. Chapter 3-10, Special Provisions - is amended to read as follows: 3-10-370 Superstores ORDINANCE NO. 'J}e..'1 <6''''.. 8(21loJA-q Attachment 1 (f 0<10< Superstores, as defined In LPZC 1-10-597, are prohibited in all zOning districts. The foregoing ordinance was introduced by the following vote at the regular meeting of the City Council held on the _ day of , 2007. AYES: NOES: ABSENT: ABSTAIN: COUNCILMEMBERS: COUNCILMEMBERS: COUNCILMEMBERS: COUNCILMEMBERS: The ordinance was adopted at the regular meeting of the City Counc.il held on ,2007, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: COUNCILMEMBERS: COUNCILMEMBERS: COUNCILMEMBERS: COUNCILMEMBERS: MAYOR, CITY OF LIVERMORE APPROVED AS TO FORM: CITY CLERK ASSISTANT CITY ATTORNEY ORDINANCE NO.