REPORT TO THE CITY COUNCIL
FROM: JENNIFER K. CLARK, AICP, Director
Planning & Development Department
BY: LILIANA VIDRIO FLORES, Program Manager
Planning & Development Department
SUBJECT
Title
Actions pertaining to establishing Entertainment Zones
1. ADOPTION of a finding that the proposed amendment is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3)
2. BILL (for Introduction) Adding Section 9-3801 and Amending Section 9-2503 of the Fresno Municipal Code relating to Establishing Entertainment Zones.
Body
RECOMMENDATION
Staff is recommending approval of the Amendment and adoption of the related environmental findings, amending Chapter 9, Article 2503 of the Fresno Municipal Code (FMC) “Drinking on Street or Playground” and addition of Chapter 9, Article 38 “Establishing Entertainment Zones” relating to Entertainment Zones.
EXECUTIVE SUMMARY
City Council approval is recommended in accordance with the provisions of California Senate Bill 969, which enables local jurisdictions to create defined areas that support enhanced entertainment activities, outdoor programming, and expanded operational flexibility.
BACKGROUND
Senate Bill 969, effective January 1, 2025, authorizes California cities to establish designated Entertainment Zones where brick-and-mortar licensed businesses may sell alcoholic beverages in open containers for outdoor consumption during City-permitted special events.
Chapter 9, Article 38 will establish Entertainment Zone provisions in the FMC. Initially three zones are identified.
Amendment Section 9-2503 - Drinking on Street or Playground
Proposed amendment to Section 9-2503 for the implementation of an entertainment zone. This section, which relates to drinking on streets or playgrounds, will be amended to allow alcoholic beverage containers from ABC-licensed establishments within the entertainment zones to be taken into designated public areas. Currently, the FMC prohibits alcohol outside of premises. The entertainment zones as recommended will allow the consumption of alcohol in certain approved public rights-of-way.
Initial Entertainment Zones Identified
Proposed Zone Boundary & Hours:
Three potential zones suitable for the Entertainment Zone designation have been identified within the Fulton Corridor area. Consistent with other cities in California, the proposed ordinance designates the maximum geographic boundaries of each entertainment zone which is subject to any additional conditions outlined in the zone management plan or special event permit requirements. The initial proposed zones are as follows:
• Entertainment Zone A will encompass Fulton Street, between the southern edge of Inyo Street and the northern edge of Mono Street, including all public streets, sidewalks, and public rights-of-way within the boundary;
• Entertainment Zone B will encompass Fulton Street, between the southern edge of Tulare Street and the northern edge of Mono Street. The zone shall also include Kern Street, east of Homerun Alley to Fulton Street, along with all public streets, sidewalks, and public rights-of-way within the boundary; and
• Entertainment Zone C will encompass the eastern edge of Fulton Street, between the southern edge of Inyo Street, northern edge of Mono Street, and the eastern edge of Broadway Street, along with all public streets, sidewalks, and public rights-of-way within the boundary. The zone shall also include the alleyway within these same boundaries, as well as the sidewalk along the east side of Broadway Street, between the southern edge of Inyo Street and the northern edge of Mono Street.
Entertainment Zone Activation Through a Special Event Permit
The Entertainment Zone will only be activated in conjunction with an approved special event permit and after careful review from the City Manager’s Office. The Special Event permit has an established model that will provide efficient coordination, regulatory compliance, and technical assistance for event organizers and participating businesses. Staff will update the Special Event Guidelines and Application to incorporate specific requirements to operate an entertainment zone event.
The City Manager maintains authority to impose additional conditions or, if warranted, to deny activation of the Entertainment Zone for specific events to ensure public safety and community compatibility. By leveraging the City’s proven Special Event permitting framework, the Entertainment Zone Activation can be implemented thoughtfully and efficiently, ensuring a safe and vibrant experience for all participants.
The maximum permissible hours for an Entertainment Zone Event are from 10:00am-11:59pm. Event
hours will be restricted by the special event permit requirements, the zone's management plan, and
State of California Department of Alcoholic Beverage Control (ABC) licenses.
The Entertainment Zone ordinance requires that a specific management plan be developed to regulate the operation of the zone with input from city agencies, participating businesses, special event organizers and public safety personnel. The management plan will detail operational requirements including, but not limited to:
• Proposed Security Plan
• The maximum geographic boundary and days and hours of operation
• A Special Event permit application
• Specific requirements for:
• Age verification
• Signage
• Cup material and disposal
• Business notification for Special Event permit holders
• Insurance for Special Event permit holders
The Chief of Police, or their designee, will review and approve Security Plans as submitted by Entertainment Zone leads. The City Manager, or their designee, will review and approve Management Plans as submitted by Entertainment Zone leads.
ENVIRONMENTAL FINDINGS
An environmental assessment was prepared for this project in accordance with the requirements of the California Environmental Quality Act (CEQA) Guidelines.
The State Guidelines for the implementation of the California Environmental Quality Act provide for the exemption of projects which will have no potential for causing a significant effect on the environment. More specifically, Section 15061(b)(3) of the CEQA Guidelines states: “…CEQA applies only to projects which have the potential for causing a significant effect on the environment.
Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.” The City of Fresno has determined that a Finding of No Possibility that the project will have impacts on the environment pursuant to Section 15061(b)(3) of the CEQA Guidelines is appropriate.
LOCAL PREFERENCE
Local preference was not considered because this is not a competitive bid.
FISCAL IMPACT
The proposed Entertainment Zone is anticipated to generate positive economic impact by allowing downtown bars, restaurants, wineries, and breweries ("eligible businesses") to participate directly in special events, increasing local sales for eligible businesses and nearby businesses as well as potentially boosting sales tax revenue.
Conclusion:
Staff recommends adoption of the related environmental finding and approval of an amendment to Chapter 9 Article 25 “Drinking on Street or Playground" relating to Entertainment Zones and addition of Chapter 9 Article 38 “Establishing Entertainment Zones” relating to Entertainment Zones.
Attachments:
Environmental Assessment - CEQA Exemption
Ordinance - Relating to Entertainment Zones
Initial Entertainment Zone Boundaries