This is a special review request to allow the expansion of an existing outdoor patio from 1,200 square feet to 1,575 square feet in a CC zone on Lot 2, Block 1; the south 150 feet of the east 52 feet and the west 96 feet of Lot 3, Block 1; and the south 150 feet of the west 23 feet of Lot 4, Block 1, Van Ornum Subdivision. The lot is 1.079 acres and is generally located at 1525 Broadwater Avenue. The property is currently occupied by the Squire Lounge.  The owners are Jeff & JoLynne Flatness and Paul DeVerniero.  A & E Architects is the agent. The Zoning Commission conducted a public hearing on July 2, 2013, and is forwarding a recommendation of conditional approval on a 3-1 vote.

The Planning Division reviewed the application and recommended conditional approval and waiver of the 600-foot separation from Berg Park and the Apostolic Church. The Zoning Commission concurred with this recommendation. Before a recommendation of approval or conditional approval can be made, each special review request must demonstrate conformance with three primary criteria: 1) The application complies with all parts of the Unified Zoning Regulations, 2) The application is consistent with the objectives and purposes of the Unified Zoning Regulations and the 2003 Growth Policy, and 3) The application is compatible with surrounding land uses and is otherwise screened and separated from adjacent land to minimize adverse impacts. This application conforms to the first criteria in so far that it is within a Community Commercial (CC) district where on-premise consumption of alcoholic beverages and an outdoor patio attached to that business may be allowed by special review.

There is a public park with playground equipment within 600 feet (Berg Park at 17th Street West and Broadwater Avenue) and a church within 600 feet (Apostolic Church at 500 15th Street West, south of Broadwater Avenue). These are not new uses but previous special review applications have not captured these properties as within 600 feet of the Squire Lounge property. The City Council may approve a waiver of this 600-foot separation requirement. A waiver may be granted if a physical barrier exists between the uses such as an arterial street with no pedestrian crossing, buildings entirely block the view between the uses or there is no physical access between the uses. The Zoning Commission finds there are buildings located between these uses that entirely block the view between Berg Park, the Apostolic Church and the Squire Lounge and recommends the City Council grant the waiver of the 600-foot separation.
 
The application also conforms to the second and third criteria. The zoning regulations adopted by the City Council have designated several zoning districts where on-premise consumption of alcoholic beverages with an outdoor patio attached to that business may be allowed.  This property has been licensed to serve alcoholic beverages since at least 1984. There are several other licensed locations within 2 blocks of this property. 

The proposed use is in a zoning district that allows this use with a special review.  The proposal is consistent with goals of the 2008 Growth Policy, specifically the goal of encouraging uses that are compatible with the character of the adjacent land use patterns.  This site is surrounded by a mix of commercial businesses and will use an existing parking lot area behind the existing patio and an existing garage for the patio addition.  Bullwhackers is located in a building directly north of the patio.  This building will screen the patio from Wyoming Avenue and a pocket of multi-family uses on the north side of Wyoming.  The CC zoning district in this area is intended for commercial uses convenient to the surrounding neighborhood with service-oriented businesses.

PROPOSED CONDITIONS:
1. The special review approval shall be limited to Lot 2, Block 1; the south 150' of the east 52' and the south 150' of the west 96' of Lot 3, Block 1; and the south 150' of the west 23' of Lot 4, Block 1, Van Ornum Subdivision, generally located at 1525 Broadwater Avenue.
2. Development of the site shall be in substantial conformance with the site plan submitted with this application and shown in this staff report.  Deviations from the approved site plan that show additional patio area greater than 10% of the total approved patio area of 1,575 square feet, or a building addition greater than 10% of the existing building or new parking areas will require additional special review approval. 
3. The owner is allowed to have background music and un-amplified live outdoor entertainment on the outdoor patio lounge. Background music is amplified music not audible beyond the outdoor patio lounge.
4. All new exterior lighting with the exception of sign lighting shall have full cut-off shields so light is directed to the ground and not onto adjacent property.
5. The patio shall have a minimum of a 4 foot tall fence enclosing the patio.  Access to the patio shall be from the interior of the existing building. There shall be an emergency exit gate from the patio to the parking lot.
6. The applicant must provide drawings at the time of building permit submittal showing the property can meet the required parking for the existing business and new patio area of 375 square feet, and meet all requirements of site development and zoning.
7. These conditions of special review approval shall run with the land described in this authorization and shall apply to all current and subsequent owners, operators, managers, lease holders, heirs and assigns. 
8. The proposed development shall comply with all other limitations of Section 27-613 of the Unified Zoning Regulations concerning special review uses, and all other City of Billings, regulations and ordinances that apply.

**NOTE** Approval of this Special Review does not constitute approval of a building permit, sign permit or fence permit. Compliance with all applicable local codes will be reviewed at the building permit or zoning compliance permit level. This application is for a Special Review as noted above and no other request is being considered with this application. The use and development of the property must be in accordance with the submitted site plan.

There should be no direct financial impact to the city if the special review is approved. A building permit to expand the patio will charge review and permitting fees commensurate with the service provided.

This is a special review request to add 375 square feet to an existing 1,200 square foot outdoor patio at the Squire Lounge. The location has an existing all-beverage liquor license with gaming and a 1,200 square foot outdoor patio lounge.  Surrounding development is commercial in nature with a mix of retail sales and eating establishments and casinos. Property to the west across 16^th Street West is residential, single family homes. The site plan included with the application shows the existing 1,200 square foot patio and the proposed 375 square foot expansion. The conditions of approval for the original patio included a prohibition on background music or an outdoor announcement system on the patio. In recent summer seasons many lounges, bars, casinos, restaurants and other locations with alcoholic beverage licenses have featured concerts on the parking lots or on patios. In some areas, this may be an appropriate activity. In densely developed areas near residential zones this may be too disruptive to the neighborhood.

The Zoning Commission conducted a public hearing on July 2, 2013, and received the staff recommendation and testimony from the applicant's agent, Dusty Eaton of A & E Architects. There was no other testimony at the hearing. The Zoning Commission received a letter of testimony from Cindy Smith of 1608 Wyoming Avenue (attached) that expressed concern with the parking lot concerts creating unacceptable levels of noise in the neighborhood. Planning staff indicated to the Zoning Commission that activity on the parking lot cannot be regulated through the special review process. Activity on the outdoor patio and within the structure can be addressed through conditions of approval. The noise ordinance and waivers granted to the noise limitations are handled through the Police Department.

Mr. Eaton explained the need to expand the patio to add more outdoor seating. Commission member Mike Boyett asked Mr. Eaton if the Fire Department had any concern with access around the building since the patio addition will close off a passage between the patio and an existing garage. Mr. Eaton stated he had consulted with the Fire Department and they had no concerns with access distances around the building. Mr. Eaton stated the new patio will be fenced and landscaped similar to the existing patio area. Closing off vehicle access should not pose an issue for patrons or emergency responders. Commission member Dan Wagner asked about the noise concerns from the neighbor on Wyoming Avenue. Mr. Eaton stated the best noise mitigation in this area is the landscaping to be installed. Mr. Eaton also indicated the south wall of Bullwhackers is about 1 1/2 stories and provides a good sound barrier to the neighborhood to the north.  Commission member Mike Boyett stated the low frequency sounds from drums or bass notes will still be heard in any case. Chairman Leonard Dailey, Jr. asked what time frame the applicant has for construction of the patio expansion. Mr. Eaton stated if the special review is approved they are ready to submit a building permit right away and construction should be complete by the end of September or early October.

Mr. Boyett moved to recommend conditional approval to the City Council and motion was seconded by member Barbara Hawkins. The motion was approved on a 3-1 vote with Mr. Wagner voting no.

The consistency of this Special Review with adopted policies and plans is discussed in the Alternatives Analyzed section of this report.