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Ordinance 2021-4413 ORDINANCE NO. 2021-4413 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 6 OF THE CODE OF THE CITY OF MIAMI BEACH, ENTITLED "ALCOHOLIC BEVERAGES," ARTICLE I, ENTITLED "IN GENERAL," SECTION 6-3 THEREOF, ENTITLED "HOURS OF SALE/VIOLATIONS," TO AMEND THE HOURS OF SALE FOR ALCOHOLIC BEVERAGES BY ALCOHOLIC BEVERAGE ESTABLISHMENTS IN SPECIFIED AREAS OF THE CITY; AND PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE. WHEREAS, the City of Miami Beach ("City") regulates the location, size, hours of operation, and minimum patron age for uses that permit the sale and consumption of alcoholic beverages in Chapter 6 of the City Code, entitled "Alcoholic Beverages"; and WHEREAS, the sale and consumption of alcoholic beverages during the early morning hours can disturb the quiet enjoyment of the community, cause undesirable noise, and result in increased calls for service to the Police and Fire Departments; and WHEREAS, accordingly, the Mayor and City Commission have determined that it is in the best interest of the City, and it serves the health, safety, and welfare of the City's residents and visitors to restrict the hours of sale of alcoholic beverages for on-premises consumption in the MXE mixed use entertainment district south of 16th Street; and WHEREAS, State law expressly grants the City the authority, by Ordinance, to establish hours of sale for alcoholic beverages (see Section 562.14, Florida Statutes); and WHEREAS, the Florida Supreme Court has upheld Section 562.14, Florida Statutes, finding that the Statute is constitutional and enforceable, and a lawful delegation of the power of the Florida Legislature (see Wednesday Night, Inc. v. City of Fort Lauderdale, 272 So. 2d 502 (Fla. 1973)); and WHEREAS, the Florida Supreme Court has also recognized that, "[t]here is no question that Section 562.14, Florida Statutes permits a municipality to reasonably regulate the hours of sale of alcoholic beverages, and the legislative body of a municipality has a full measure of proper legislative discretion in the enactment of such regulatory ordinances." Pompano Beach v. Big Daddy's, Inc., 375 So. 2d 281, 282 (Fla. 1979) (citing Other Place of Miami v. City of Hialeah Gardens, 353 So. 2d 861, 863(Fla. 3d DCA 1977), cert. denied, 364 So. 2d 889 (Fla. 1978)); and WHEREAS, in State ex rel. Floyd v. Noel (Fla. 1936), the Florida Supreme Court recognized that "[i]t is so well settled that no citation of authority is required to support the statement that a municipality exercising the powers inherent in municipal corporations may reasonably regulate the sale of intoxicating liquors and in providing such reasonable regulations may prohibit the sale of such liquors within certain hours, and also may prohibit the sale of liquors within certain zones"; and WHEREAS, the Florida Attorney General has opined that a municipality may regulate (1) the hours of sale, (2) zoning of locations in which alcoholic beverages may be sold, and (3) the sanitary conditions under which alcoholic beverages may be dispensed or served to the public. Florida AGO 059-73 (1959); and 1 WHEREAS, alcoholic beverage establishments are not entitled to grandfather status as to hours of sale for alcoholic beverages, and zoning case law does not apply(See Village of North Palm Beach v. S & H Foster's, Inc., 80 So. 3d 433 (Fla. 4th DCA 2012); Other Place of Miami, Inc. v. City of Hialeah Gardens(Fla. 3d DCA 1978)); and WHEREAS, the amendments set forth below are necessary to accomplish the objectives identified above. NOW, THEREFORE, BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: SECTION 1. That Section 6-3, entitled "Hours of Sale,"of Article I, of Chapter 6 of the City Code of the City of Miami Beach is hereby amended as follows: CHAPTER 6 ALCOHOLIC BEVERAGES ARTICLE I. In General Sec. 6-3. Hours of sale/violations. (a) The hours of sale of alcoholic beverages, whether as a permitted main or accessory use, shall require a state license, and shall be according to the following schedule: * * * (3) Alcoholic beverage establishments. All alcoholic beverage establishments with licensed by the state lic a-for on-premises consumption only, may only make sales of alcohol between the hours of 8:00 a.m. and 5:00 a.m., except as provided below: A. Restaurants not operating as dance halls or entertainment establishments. Restaurants with full kitchen facilities, serving full meals, licensed as alcoholic beverage establishments, but not operating as dance halls or entertainment establishments, may remain open 24 hours a day; however, alcoholic beverages may not be offered for sale or on-premises consumption between the hours of 5:00 a.m. and 8:00 a.m. B. Restaurants also operating as dance halls or entertainment establishments. Restaurants with full kitchen facilities, serving full meals, licensed as alcoholic beverage establishments, and also operating as dance halls, or entertainment establishments, may remain open 24 hours a day; however, alcoholic beverages may not be offered for sale or on-premises consumption between the hours of 5:00 a.m. and 8:00 a.m., and dancing and entertainment shall not be conducted between the hours of 5:00 a.m. and 8:00 a.m. C. Other alcoholic beverage establishments. Other alcoholic beverage establishments, not containing restaurants with full kitchen facilities, shall close at 5:00 a.m. and remain closed. No patron or other persons, other than those employed by the vendor may remain on the premises between the hours of 5:00 a.m. and 8:00 a.m. D. Sidewalk cafes. Notwithstanding the provisions of subsections )(3)A. through C., alcoholic beverages shall not be offered for sale or consumption at sidewalk cafes, 2 as defined in section 82-366 of this Code and as otherwise permitted by the city in accordance with chapter 82, article IV, division 5, subdivision II of this Code(as may be amended from time to time), between the hours of 1:30 a.m. and 8:00 a.m., and shall not be consumed at sidewalk cafes between the hours of 2:00 a.m. and 8:00 a.m. No variances may be granted from the provisions of this subsection 6-3j(3)(d) as to the hours of sale or consumption of alcoholic beverages at sidewalk cafes. E. MXE district south of 16th Street. Notwithstanding the provisions of this subsection (a)(3), alcoholic beverage establishments located in the MXE mixed use entertainment district south of 16th Street may only offer alcoholic beverages for sale or on-premises consumption between the hours of 8:00 a.m. and 2:00 a.m. Note: For purposes of this section, full kitchen facilities shall mean having commercial grade burners, ovens, and refrigeration units of sufficient size and quantity to accommodate the occupancy content of the establishment. Full kitchen facilities must contain grease trap interceptors, and meet all applicable city, county, and state codes. (5) Private clubs. Consideration of a request for a private club conditional use permit, including the hours of operation, shall be pursuant to the conditional use procedures and review guidelines as listed in section 118-191, et seq.A private club, either as a permitted main or accessory use, shall only offer alcoholic beverages for sale or on-premises consumption if the private club, in accordance with subsection 6-2(a), secures a license for the distribution or sale of any alcoholic beverages from the division of alcoholic beverages and tobacco of the department of business and professional regulation of the state. Private clubs licensed as alcoholic beverage establishments, either as permitted main or accessory uses, shall; only offer alcoholic beverages for sale or on-premises consumption between the hours of 8:00 a.m. and 5:00 a.m., on any day of the week, provided that service is made only to members and guests of members pursuant to Florida Statutes. However, any private club permitted to remain open after 2:00 a.m. shall purchase an extra-hours license and must provide for security in its premises by hiring private security guards or off-duty police officers between the hours of 2:00 a.m. and 5:00 a.m. each day. Private clubs securing a license from the state division of alcoholic beverages and tobacco by complying with the requirements of F.S. § 561.20 for racquetball, tennis, or golf course facilities may admit members at any time for use of such facilities, but may not serve alcoholic beverages after 2:00 a.m. each day unless such private club is the holder of an extra-hours license and complies with the above requirements. A. Notwithstanding the foregoing, private clubs located in the MXE mixed use entertainment district south of 16th Street may only offer alcoholic beverages for sale or on-premises consumption between the hours of 8:00 a.m. and 2:00 a.m. (6) Alcoholic beverage establishments set forth in subsections (3) and (5) permitted to remain open to serve alcoholic beverages for on-premises consumption until 5:00 a.m.,. and alcoholic beverage establishments located in the MXE mixed use entertainment district south of 16th Street that are permitted to serve alcoholic beverages for on- premises consumption until 2:00 a.m. may continue to serve alcoholic beverages for on- 3 premises consumption and, if the alcoholic beverage establishment is located on Ocean Drive between 5th Street and 15th Street, for consumption at the establishment's sidewalk cafe (i) until 7:00 a.m. on January 1 (New Year's Day) or, if January 1 is on a Sunday, until 7:00 a.m. on Monday if the day that is observed as a national holiday for New Year's Day is on Monday, and (ii) until 7:00 a.m. during certain major event days or weekends as may be designated by the city commission or as may be designated by the city manager following approval by the city commission, under the following conditions: A. The police department and the code compliance department of the city must be notified by a letter, received no later than 15 business days prior to either: 1. January 1, or 2. the day on which alcohol sales are to be extended, stating that the alcoholic beverage establishment intends to serve alcoholic beverages for on-premises consumption and, if the alcoholic beverage establishment is located on Ocean Drive between 5th Street and 15th Street,for consumption at the establishment's sidewalk cafe until 7:00 a.m.; B. If deemed reasonably necessary by the police chief, or the police chief's designee, off-duty police officers must be provided at the alcoholic beverage establishment until 7:00 a.m.; C. There are no pending city Code violations against the alcoholic beverage establishment and the alcoholic beverage establishment has not had more than one adjudicated city Code violation per year within the prior 24 months notwithstanding the foregoing, the conditions in this subsection (6)C. may be waived by a four- sevenths vote of the city commission; D. No delinquent or past due monies are owed to the city; E. Outdoor entertainment or open-air entertainment is not allowed; F. No violation of the city's noise ordinance shall be permitted; G. No violation of the approved fire code occupancy load shall be permitted; H. All required city permits and licenses are current; I. The state license is current; and J. The alcoholic beverage establishment has been in continuous operation for the prior 24 months in the city, is licensed as an alcoholic beverage establishment set forth in subsections (3) and (5), and Q) is permitted to serve alcoholic beverages for on- premises consumption until 5:00 a.m., or (ii) is located in the MXE mixed use entertainment district south of 16th Street and permitted to serve alcoholic beverages for on-premises consumption until 2:00 a.m. K. Any other conditions required by the city manager in order to protect the public health, safety, or welfare. (7) Alcoholic beverage establishments set forth in subsections (3) and (5) permitted to remain open to serve alcoholic beverages for on-premises consumption until 5:00 a.m. may continue to serve alcoholic beverages until 6:00 a.m. on the first day of daylight savings time in the spring. (8) Enhanced security requirement for alcoholic beverage establishments. Each alcoholic beverage establishment located on Ocean Drive, between 5th Street and 15th Street, possessing a license to sell and/or serve alcoholic beverages until 5 a.m. 2:00 a.m. ("Alcohol License"), and selling and/or serving alcoholic beverages later than 12:00 a.m., 4 for on- premises consumption only, shall retain the services of an off-duty police officer, from 12:00 a.m. until 30 minutes past the closing of the alcoholic beverage establishment for: (i) all Saturdays and Sundays; and (ii) during holiday weekends or City-sponsored events, on Saturday, Sunday, and Monday. A. An alcoholic beverage establishment shall be exempt from the requirement identified in this subsection (8) if: All bars, and other areas from which alcoholic beverages are dispensed, are located, in their entirety, within the enclosed premises of a hotel, and such hotel and alcoholic beverage establishment are both owned by the same individual or entity; or ii. All bars, and other areas from which alcoholic beverages are dispensed, are located, in their entirety,within the enclosed premises of a(i)restaurant with full kitchen facilities, and (ii) such restaurant serves full meals at all times, and (iii) such alcoholic beverage establishment closes and ceases all of its business operations by 2:00 a.m. B. Two immediately abutting and adjacent alcoholic beverage establishments may satisfy the requirement set forth in this subsection (8) by sharing the services of one off-duty police officer, from 12:00 a.m. until 30 minutes past the closing of both such alcoholic beverage establishments, for those days in which alcoholic beverages are sold or served later than 12:00 a.m. at such establishments. C. It shall be an affirmative defense to a violation issued pursuant to subsection (8) herein, if an alcoholic beverage establishment demonstrates that, solely due to the unavailability of any qualified police officer, such alcoholic beverage establishment was unable to retain the services of an off-duty police officer. D. The Police Chief, or designee, shall present, on a quarterly basis for the first year subsequent to the enactment of subsection (a)(8), pertinent statistical and crime data information regarding the implementation and efficacy of this subsection (a)(8) in order to permit the mayor and city commission to review and evaluate the continued viability of these enhanced security requirements, and to explore any expansion of the geographic area identified therein. (9) The city manager may suspend the provisions of subsection (6) at any time to protect the public health, safety, or welfare. •.. on March 19, 2020. {-1-14 Penalties and enforcement. 5 SECTION 2. CODIFICATION. It is the intention of the Mayor and City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this Ordinance shall become and be made part of the Code of the City of Miami Beach, Florida. The sections of this Ordinance may be renumbered or re- lettered to accomplish such intention, and, the word "ordinance" may be changed to "section," "article," or other appropriate word. SECTION 3. REPEALER. All ordinances or parts of ordinances in conflict herewith are hereby repealed. SECTION 4. SEVERABILITY. If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. SECTION 5. EFFECTIVE DATE, SUNSET, AND AUTOMATIC REPEALER. The amendments to City Code Sections 6-3(a)(3)(E), (a)(5)(A), (a)(6), and (a)(8)set forth in this Ordinance shall take effect on May 22, 2021, and shall automatically sunset and be deemed repealed on December 8, 2021. �i PASSED AND ADOPTED this /2 day of /" , 2021. ATTEST: Dan Gelber, Mayor Rafae . Granado ity Clerk APPROVED AS TO FORM AND First Reading: April 21, 2021 LANGUAGE AND FOR EXECUTION Second Reading: May 12, 2021 City Attorney Date (Sponsored by Mayor Dan Gelber) UIU;CORP ORATED. 1y;.. ,Th yS;C1J,260,` 6 Ordinances - R5 D MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Alina T. Hudak, City Manager DATE: May 12, 2021 10:25 a.m. Second Reading Public Hearing SUBJECT:CHAPTER 6-ALCOHOL HOURS OF SALE AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 6 OF THE CODE OF THE CITY OF MIAMI BEACH, ENTITLED "ALCOHOLIC BEVERAGES," ARTICLE I, ENTITLED "IN GENERAL," SECTION 6-3 THEREOF, ENTITLED "HOURS OF SALENIOLATIONS," TO AMEND THE HOURS OF SALE FOR ALCOHOLIC BEVERAGES BY ALCOHOLIC BEVERAGE ESTABLISHMENTS IN SPECIFIED AREAS OF THE CITY; AND PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE. RECOMMENDATION The Administration recommends that the City Commission adopt the subject Ordinance. BACKGROUND/HISTORY At the request of Mayor Dan Gelber, the attached Ordinance has been proposed regarding the hours of sale of alcoholic beverages for on-premises consumption in the MXE district south of 16th Street. ANALYSIS ANALYSIS The attached Ordinance amends City Code Section 6-3, entitled "Hours of sale/violations," to modify the hours for the sale and on-premises consumption of alcoholic beverages in the MXE district south of 16th Street. As to the subject area, the Ordinance changes the termination time for the sale and on-premises consumption from 5:00 a.m.to 2:00 a.m. each night. Section 562.14, Florida Statutes, expressly permits the City to establish hours of sale for alcoholic beverages by ordinance. Florida courts have consistently held that alcoholic beverage establishments are not entitled to "grandfather' status as to hours of sale for alcoholic beverages. Accordingly, the City has the authority to adopt legislation that "rolls back" the closing time for alcohol sales at existing alcoholic beverage establishments. Attached is a list of establishments that are located in the MXE district and permitted to serve alcoholic beverages for on-premises consumption until 5:00 a.m. The list includes 44 existing Page 342 of 859 establishments, located primarily on Collins Avenue and Ocean Drive. If the attached Ordinance is adopted by the City Commission, these establishments would be required to comply with the new 2:00 a.m.termination time. The City's legal position is that there are no "vested rights" with regard to an operator's entitlement to hours of sale for alcoholic beverages. Notwithstanding the City's position, which our Legal Department is confident is defensible, the City has been placed on notice that the attached Ordinance, if adopted, may be subject to challenge by certain alcoholic beverage establishments located within the district. These establishments allege that certain development approvals (including, but not limited to, conditional use permits) may entitle them to certain rights relating to their business operations. The original intent of the MXE district regulations was to foster the renovation, restoration and preservation of the historic buildings in the district. Café, entertainment, restaurant, and retail uses were required to be accessory to hotel or residential uses. The widening of the sidewalk provided an opportunity for sidewalk seating to engage and interact with seating on private property and become a mechanism for people-watching and experiencing the architecture of the district, as well as the natural environment across the street in Lummus Park. Over the past decade, the MXE district has experienced increasing challenges associated with alcoholic beverage and entertainment uses, all of which were intended to be subordinate to the main use of residential or hotel properties in the district. The sale and consumption of alcoholic beverages late at night or early in the morning has disturbed neighboring residents, caused undesirable noise, and placed significant demands on the City's Police, Fire, and Code Compliance Departments. To rediscover the beauty and intent of the National Register Architectural District, and re-focus the urban planning priorities for the broader area, a "rollback' of the permitted hours for the sale of alcohol for on-premises consumption is a significant first step. It is important to note that the proposed 2:00 a.m. rollback for on-premises consumption within the MXE district is part of a multi-pronged approach. This includes updating applicable regulations; incentivizing a renaissance of the original plan for Ocean Drive; year-round programming; increased enforcement; and creating ways to balance vehicular and pedestrian mobility. UPDATE The subject Ordinance was approved at First Reading on April 21, 2021. Additionally, the Commission requested that a timeframe for implementation of the Ordinance be considered prior to Second Reading (i.e. as a "pilot" program). It is anticipated that the details of such a pilot program, including the duration of the program, will be provided via supplemental agenda or discussed at the May 12, 2021 City Commission meeting. SUPPORTING SURVEY DATA Improve Residents Quality of Life CONCLUSION The Administration recommends that the City Commission adopt the subject Ordinance. Page 343 of 859 Applicable Area South Beach Is this a"Residents Right Does this item utilize G.O. to Know" item. pursuant to Bond Funds? City Code Section 2-14? Yes No Legislative Tracking Planning/Office of the City Attorney Sponsor Mayor Dan Gelber ATTACHMENTS: Description ❑ 5:00 AM MXE Establishments ❑ Ordinance Page 344 of 859 MXE District—Existing Establishments with 5:00 AM Alcohol License Company Name DBA Business Address DBA TAQUIZA DBA TAQUIZA 1351 COLLINS OCEANSIDE HOTEL OCEANSIDE HOTEL 808 COLLINS BETSY ROSS OWNER, LLC 1433 COLLINS QUEENS GROUP LLC THE FRANKLIN HOTEL 860 COLLINS STILES HOTELS GROUP LLC 1120 COLLINS MLB FAIRWINDS LLC 1000 COLLINS US ROTON DE F&B, LLC DBA SUNNY'S 1058 COLLINS AXEL BEACH HOTEL LLC 1500 COLLINS SAFARI BAR SAFARI BAR 855 COLLINS THE WHITELAW HOTEL& LOUNGE THE WHITELAW HOTEL& LOUNGE 808 COLLINS LIQUOR LOUNGE CAFE,INC LIQUOR LOUNGE CAFE,INC 1560 COLLINS ESSEX HOUSE HOTEL ESSEX HOUSE HOTEL 1001 COLLINS SB HOSPITALITY DREAM SB NAKED TACO 1111 COLLINS SHELLEY HOTEL SHELLEY HOTEL 844 COLLINS LOST WEEKEND LOST WEEKEND/KILL YOUR IDOL 218 ESPANOLA CLEVELANDER OCEAN, 1020 OCEAN PALACE BAR LLC(Unit B) PALACE CAFE 1052 OCEAN SOBE USA LLC D/B/A OCEANS TEN OCEANS TEN 960 OCEAN VMSB,LLC DBA EL SOLE MIAMI VMSB,LLC DBA EL SOLE MIAMI 1116 OCEAN SPICE ART RESTAURANTS,INC./ DBA JALAPENO MEXICAN KITCHEN 530 OCEAN SOUTH BEACH ASSOCIATES D/B/A SOCIAL CAFE 1024 OCEAN D/B/A THE CARLYLE CAFE ELIZABETH CRUZ/RESTAURANT 1250 OCEAN ILOV305 I LLC SUGAR FACTORY 1060 OCEAN PT OPCO,LLC PINK TACO MIAMI BEACH 1200 OCEAN BETSY ROSS OWNER,LLC 1440 OCEAN 834 OCEAN DR LLC KANTINA 834 OCEAN MANGO'S TROPICAL CAFE LLC MANGO'S TROPICAL CAFE LLC 900 OCEAN PALACE BAR LLC PALACE 1052 OCEAN D/B/A PARK CENTRAL ELIZABETH CRUZ/RESTAURANT 650 OCEAN VENTURA CAPITAL ONE LLC CAVALIER HOTEL MIAMI BEACH 1320 OCEAN 720 OCEAN DRIVE,LLC THE PLACE 720 OCEAN BICE CUCINA ELIZABETH CRUZ/RESTAURANT 1300 OCEAN STARLITE HOTEL&APTS ELIZABETH CRUZ/RESTAURANT 750 OCEAN 660 OCEAN DRIVE,LLC ON OCEAN 7 CAFE 660 OCEAN FINNEGANS WAY,INC. FINNEGANS WAY,INC. 1344 OCEAN TGI FRIDAY'S INC TGI FRIDAYS 500 OCEAN Cafe Americano Ocean LLC Cafe Americano 1144 OCEAN WET WILLIES WET WILLIES 760 OCEAN NEWS CAFE(60 SEAT REST,5AM) NEWS CAFE(60 SEAT REST,5AM) 804 OCEAN LARIOS ON THE BEACH LARIOS ON THE BEACH 820 OCEAN BRIGGS OF SOUTH BEACH DBA FAT TUESDAY 918 OCEAN NEWS CAFE C/O BEATRIZ CAPOTE NEWS CAFE 800 OCEAN HAVANA OCEAN TEN LLC 940 OCEAN DECOWALK HOTEL&GOLF CLUB, VOODOO ROOFTOP LOUNGE 928 OCEAN Page 345 of 859