DOCKET NO. 580538 TEXAS ALCOHOLIC BEVERAGE
Transcription
DOCKET NO. 580538 TEXAS ALCOHOLIC BEVERAGE
VS. DOCKET NO. 580538 TEXAS ALCOHOLIC BEVERAGE COMMISSION,Jurisdictional Petitioner § HIGHLA1.JD HILLS NEIGHBORHOOD ASSOCIA.TION, STATE REPRESENTATIVE MARC VEASEY, CITY COUNCIL MEMBER KATHLEEN HICKS, COMMISSIONER ROY C. BROOKS, HIGHLA1.JD HILLS CHURCH OF CHRIST, EAST SAINT PAUL BAPTIST CHURCH, NRP GROUP, LLC, JESSIE & NANNIE KEMP, ROBERT & LAURA MEEKS, REVERE1~D CARL NEALY, RENNY ROSAS, Protestants § § § § § § § § § § § § § § § BEFORETHE TEXAS ALCOHOLIC § § § § § § § § § § § ORIGINA,L APPLICATION OF EF CORP D/B/A ESCAPADE2001, Respondent (MB, LB) T ARRANT COUNTY, TEXAS (SOAH ))tOCKET NO. 458-09-0896) BEVERAGE COMMISSION ORDER ADOPTING PROPOSAL FOR DECISION Ci\ME ON FOR CONSIDERATION this ~ numberedcause. dayof _June- 2009,the abo"e-styledand After proper notice was given, this case was heard by Administrative Law Jud,geTanya A. Cooper. The hearing began on December 19,2008. The hearing concluded on February 11,2009 and the recorcl closed on April 17, 2009. The Administrative Law Judge made and filed a Proposal For Decision ,containingFindings of Fact and Conclusions of Law on April 27, 2009. This Proposal For Decision was properly served on all parties who were given an opportunity to file Ex:ceptions and Replies a:spart of the record herein. Exceptions were filed to which the Administrative Law Judge replied an.drecommended that no changesbe made to the Proposal for Decision. The Administrator of the Texas Alcoholic Beverage Commission, after review and due consideration of the Proposal for Decision adopts the Findings of Fact and Conclusions of Law of the Administrative Law Judge, which are contained in the Proposal For Decision and incorporates those Findings of Fact and Conclusions of Law into this Order, as if such were full:f set out and -1- 580538 Order PFD , separately stated herein. All Proposed Findings of Fact and Conclusions of Law, subm:ltted by any party, whic:h are not specifically adopted herein are denied. IT IS THEREFORE ORDERED, by the Administrator of the Texas Alcohol:lc Beverage Commission, pursuant to Subchapter B of Chapter 5 of the Texas Alcoholic Beverage Code and 16 TAC §31.1, of the Commission Rules, that the Original Application of EF CORP D/B/A ESCAPADE 2001, for the issuance for a Mixed Beverage Permit and a Mixed Beverage Late Hours Permit be C::;RANTED. This Order will become final and enforceable on July 2.2009. unless a Motion for Rehearing is filed befi:>re that date. By copy of this Order, service shall be made upon all parties in the manner indica1:edbelow. SIGNEDthis the~ dayof June_- 200~),at Austin, Texas. fit) Alan Steen,Administrator TexasAlcoholic BeverageCommission Hon. Tany.:.Cooper ADMINISTRATIVE LAW JUDGE State Office of Administrative Hearings 6777 Camp Bowie Blvd., Suite 400 Fort Worth., Texas 76116 VIA FAC.5~IMILE (817) 377-3706 Timothy E. Griffith ATTORNI~YFOR RESPONDENT 101 East P;arkBlvd., Suite 600 PIano, TX 75074 VIA FACj~IMILE (469) 742-9521 -2580538 Orde!r PFD EF Corp. d/b/a Escapade2001 RESPONDENT P.O. Box ~)40427 Dallas, Te:Kas75354-0427 VIA REGIULAR MAIL Highland Hills Neighborhood Association PROTESTANT c/o John L. Gamboa ATTORNEY FOR PROTESTANT 2501 Parkview Drive, Suite 405 Fort Worth, TX 76102 VIA FAC~~IMILE (817) 885-8504 State RepresentativeMarc Veasey House District 95 PROTESTANT 1120 S. Ffeeway, Suite 121 Fort Worth, TX 76104 VIA FAC~~IMILE (817) 339-9352 Fort Worth City Council Member District 8 KathleenHicks, PROTESTANT 1000 Throlckmorton Street Fort Worth, Texas 76102 VIA FAC~~IMILE (817)392-6187 Tarrant Co'unty Commissioner Precinct No.1 Roy C Brooks, PROTESTANT 6551 Granbury Road Fort Worth, Texas 76133 VIA FAC~~IMILE (817)370-4503 Highland Hills Church of Christ c/o Louis Howard, Church Leader PROTESTANT 1121 Oaks Grove Road Fort Worth, TX 76134 VIA FAC~~IMILE (817)568-9187 -3580538 Order PFD EastSaintPaul BaptistChurch c/o L.S. Wilson, SeniorPastor PROTESTANT 5300 Oak GroveRoad, West Fort Worth, TX 76134 VIA FAC~~IMILE (817)293-6527 NRP Group, LLC c/o Daniel B. Markson, Senior VP Development PROTESTANT III Soledad, Suite 1220 San Antonio, TX 78205 VIA FAC~~IMILE (210) 487-7880 Jessie& Nannie Kemp PROTESTANT 1421 Glasgow Fort Worth, TX 76134 VIA REGjULAR MAIL Robert & ]..,auraMeeks PROTESTANT 5640 Conlin Drive Fort Worth, TX 76134 VIA REGjULARMAIL Reverend Carl Nealy PROTESTANT 2612 Creekwood Ln. Fort Worth, TX 76132 VIA REGjrJLAR MAIL Renny Rosas PROTESTANT P.O. Box 1.481 Fort Worth, TX 76101 VIA REGiULARMAIL Sandra K. Patton ATTORNEY FOR PETITIONER TABC Legal Section Licensing Division Dallas District Office -4580538 OrdE~rPFD . 04/27/2009 15: Oi' FAX I"lIOO3 DOCKET NO. 458-09-0896 TEXAS ALCOHOLIC BEVERAGE COMM][SSION, Petitioner, and V ARIO1JS PROTESTANTS, ProtestaD~ v. § BEFORETHE STATE OFFICE § § § § OF § § § § E.F. CO:RP. D/B/A ESCAP)~DE2001, Applicant/Respondent § § ADMINISTRATIVE HEARJ[NG PROPOSALFOR DECISION E.F. Corp. d/b/aEscapade2001 (Applicant/Respondent), seeksa mixed beverageperulit and a mixed beveragelate hours permit for a premiseslocated at 2495 S. Campus Court, Fon Wonh, TarrantC:ounty,Texas,from the TexasAlcoholic BeverageCommission(T ABC). The Protf:5tants, consistingof local arearesidentsand concernedcitizens assertthat the permits should be denied basedupon the generalwelfare, peace,morals, and safetyof the people. TABC's staff (Sta~ff)did not take ,~position concerningthe application. This Proposalfor Decision recommendstlrlatthe permitsbe issued. I. PROCEDURALHISTORY .T ABC Staff issued a notice of hearing on October 30, 2008. informing all parties that a hearing ~'ouId be held on the application. as required by § 2001.052 of the Administrative Pro(~edure Act, TEx. GOy'T CODE:ANN. Chapter 2001. The hearing began on December 19,2008, in FOIt Worth, Texas, with Tanya Cooper, an Administrative Law Judge (ALJ) with the State Ofl:ice of Adminis1rative Hearings (SOAH), presiding. A. 04/27/2009 15: o~r FAX SOAH DOCKET NO. 458-09-0896 1"41004 PROPOSALFOR DECISION PAGE :! TABC Staff appearedand was representedby SandIa Patton, a TABC Staff At~omey. Applicant appearedand was representedby attorneysWadeBingham,SteveSwander,and T:imothy Griffith. Protestantsappearedand wererepresentedby an attomey, JohnGamboa. Therewere no challengc:sto the notice of hearing,jurismction, or venue for the hearing,so thosemattetSwin only be discussedin the Findings of Fact andConclusionsof Law sectionsof this Proposal. The hearing concludedon February 11,2009, andtJ1erecordclosedonApriI1?, 2009, afterthe partiessubmitted written a:rguments. II. DISCUSSION Applicable Law The statutory foundation for the protestto this application is § 11.46(a)(8) of the Texas Alcoholil; BeverageCode (the Code), which provides: The commissionOTadministratormayrefuseto issuean original or renewal permit w'ith or without a hearingif it hasreasonablegroundsto believe and finds that anyof ttle following circumstancesexist: (~~) the place or mannerin which the applicantmay conducthis businesswarrants tile refusal of a permit basedon the generalwelfare, peace,morals, and safetyof the p,:ople and on the public senseof decency. ?l;rumerouscase decisions have fUrthe( intexpreted the above.cited Code provision holding tha[ in order to deny an alcoholic beverage permit to a fully quaJifjed applicant who proposes to operate Bilawful business in a wet a(ea and in compliance with the zoning ordinances o'f tl-le city, some urnlsuaJ condition or situation must be shown so as to justify a finding that the place or nrlanner B. 1. 04/27/2009 III 005 15: Oir FAX SOAH DOCKET NO. 458-09-0896 PROPOSALFOR DECISION PAGE 3 in which the applicant may conduct its businesswarrantsa refusal of a pemUt.1 There is no set formula to detemline if a "place and manner"conditionexists within a proposedlicensedpre'lnises' operatioIJls.Thus, great discretion is provided by legislative grant.2 PLlblic Comment On December19, 2008, the ALJ conveneda pub1ichearing in this matter prior to 1:aking evidencein this case. Severalpersonsspokeagainsttheissuanceof the permits, citing a numberof safety,mt)ra1,andgeneralpublic welfare concerns.The ALl closedthe public hearingonthaI:same day. c. E'vidence PhysicalSetting. The proposed location for the licensed premises, Escapade 2001, is within a commerci;u and industrial area that is generally bounded by a major interstate highway to the nonh, and a r"iilroad track and utility transmission easement to the south and west. Other businesses, Sam's Club Warehou!:e and a Roadway trucking facility I are in the immediate area. Beyond the railway and utility lint~sis a large public park with a community center and athlctic facilities, and the resid~ntial neighbortlood, Highland Hjlls. Residen(s affiliated with the Highland Association are Protestants to this application. Hills Neighbol:hood In addition to residences, there are churches, convenience stores, and other smaller businesses, including a small nightclub in the neighbor:hood.:> Sam's CI!l1band a Valero convenience store in the Highland Hills neighborhood currentl~yhold TABC-iS!iued pemlits for the sale of alcoholic beverages. 1 TABC v. Twenty Wings,LTD. et al. 112 S.W.3d 647: TABCv. Mikulenka. 510 S.W .2d 616; and BaiJorian Props.. Inc. v. TABC. 870 S.W.2d 686. : 2 TABC. v JesusRodriguez d/b/a La GaviDIaNire Club, 2007 Tex. App. LEXIS 4276; and Four Sra.~s Food Mart, Inc. v. TABC. 923 S.W.2d 266. 3 This businesshas bccn in the neighborhood for an estimated30 years; it does not sell alcoholic bcvl!rages. 04/27/2009 15: o~r FAX 1"41006 SOAH DOCKET NO. 458-09.0896 PROPOSALFOR DECISION PAGE 4 Applicant's building is a large stI1lcture,designedand built to housea danceclub. Two large pavedpwrkinglots are available for Applicant's patrons,one of which is currently fenced,ani:!plans exist for :fencingthe secondlot. The City of Fort Worth's City Secretaryandthe Tarrant County Clerk certified Applicant's I location as being within a "wet area" for a mixed beveragepernrit. Also, the locatiol~lis in compliancewith the City of Fort Wonh' s zoningandbuilding occupancyregulations. From~rABC Staff's review of this application, the proposedlicensed premisesis not within a Testricte~d area surroundinga residence,school, church, daycare,or social servicefacility. Baseduponits review of the application, TABC Staff did not take a position concerning this application becauseit determin~:dApplicant is a fully qualified applicantwho proposesto operatea lawful busine:;sin a wet area~lndin compliance with the ordinancesof the «;::ityof Fort Worth and orders of the Tarrant County Commissioner'sCourt. 2. Protestants'evidence. Witnessestestifying on behalf of the Protestantsincluded Eunice Givens, SteveRodriguez, Nonna Rodriguez, Robin Rodriguez, JuanRodriguez,and RennyRosas.One exhibit was ad:rnitted into evidence,a copy of information derived f(om the Dallas Escapade2001's internet webs,ite. Ms. Givens,a 40-year residentof theHighland Hills neighborhood,testified thatAppljc;ant's businessINasnot going to be an assetto the community. She opined that the place Applicant selectedfor its proposedlicensedpremiseswas inappropriatefor the area, which shecharacterized as largely residentialwith families thatwould notbe patronizingApplicant's business.Ms. (,ivens testified Ulerehad alreadybeenproblematicoperationsat Applicant's businesswhen it openedon a few occasions,either allowing personsto bring their own alcoholic beveragesto the club or giving alcoholicbeveragesawayto patronswjthout charge. On thoseinstances,therewere noiseandtraffic issues. Ms. Givens said she had also protestedthe Valero conveniencestore's application ~osell alcoholic beverages,but added at least tl1e conveniencestore sold other items, in additi,onto . 04/27/2009 flIOO7 15: o~r FAX SOAH D(.CKET NO. 458-09-0896 PAGES PROPOSALFOR DECISION alcoholic beverages,that were of value to personsin the suIToundingcommunity. Norma Rodriguez, Robin Rodriguez, Juan Rodriguez, and Steve Rodriguez at1:ended Applicant's businesson the limited occasionswhenthe businessopenedeither with free alcoholic beveragessupplied to patrons or allowing patronsto bring their own alcoholic beverages. Steve Rodriguezhad beenaskedby RennyRosasto yjsit Applicant's businessand "scope out" the club's operations. SteveRodriguez,in turn, askedhis family members,all of whom ljve in the Dallas area and have attendedthe Dallas Escapade2001 club, to go to the new Fort Worth club. All of these witnesses described crowded, and somewhat chaotic, conditions botlI inside the proposed licensed premises and on the premises' pnrking lot on the nights they attended the:club. Most people were having a good time, but some appeared intoxicated. Other problematic issues were notE~dby the Rodriguez's, such as the traffic access to the premises. a lack of obse!l~able security p,ersonnel.high noise levels, and other (ypes of disorderly conduct. On one occasiorJ,Juan Rodrigue~ observed some handcuffed, intoxicated men being removed from the premises by ],olice officers. Robin Rodriguez described watching some "sexy" ladies and men dance conteslt:;; and although l:hesecontests were risque, according to Ms. Rodriguez, tile contests were not as rauru:hy as the similar contests she had observed at Escapade Dallas, such as the "banana" contest.4 Mr. Rosas, a community organizer, testified he was asked by Fort Worth City Council member,Kathleen Hicks, to become involved in protesting Applicant's TABC-issued pe:rmits. Accordinl~to Mr. Rosas,Applicant's Dallas operationhad a bad reputationand was not a g';11od fit for the commllnity where it was being located.However,Ms. Rosasacknowledgedthat Applicant had not bc~en contactedaboutProtestants'intentionsto protestthis application until after Applicant had completedits buiJding's construction. When Mr. Rosaslearned Applicant was opening without [lIst securing its TABC-issued perliIlits,he went to the proposed licensed premisesto observeits operations on opening Jllght. 4 "r1Ie"banana" contestis depict£d in Protestant'sExhibit 5, an internetwebpageprintout fu;)mEscapade2001 Dallas' web site. The conte~tinvolves a female caung a bananaheld in a male's crouch. without usin2 her hand~. 3. 04/27/2009 15: o~r FAX 1"41008 SOAH DC-CKET NO. 458-09-0896 PROPOSALFOR DECISION PAGE 6 Accordinlgto Mr. Rosas,therewas traffic congestionandgeneralizedchaosin the premises'parking lots, He I:>bserved TABC agentsaITestingjntoxicatedpersons. And ashe attemptedto inve!;tigate mattersftlJther. he was orderedoff the property by Applicant's representatives.He acknowledged asking Steve Rodriguez to go to Applicant's businesson later occasionsto observeits operations becausehe had beenbannedfrom the premises. activities Applicant's evidence. Witnessestestifying on behalf of Applicant included Dario Ferdows, Gilberto ToITCZand Michael C~oker.Severalexhibits were admittedinto evidence,including numerousphotographsof Applicant's facility depicting a.-easwhere alcoholic beveragesare proposedto be sold and s~rved. Applicant's evidenceis sununarizedbelow. DatrioFerdows is the Ownerof Applicant. He testified that he grew up in tbe nightclub business,having worked jn otherfamily-owned operationsbeginningas a valet and workin~;up (0 managingthe Escapade2001 club in Dallas. The DallasEscapadelocation is ~ree times the~.jize of the proposedFon Worth location, which is the subjectof this hearing. According to Mr. Ferclows. none of tl1,elicensed premises that he has beeninvolved with managing has ever been Cil~:dby TABC Staff for any Code violations. With respectto the Fort Worth club, Mr. Fer:dowssaid he had researchedthe market and personallyselectedthe location. The property metall of his criteria due to its proximity to highway . 04/27/2009 15: 08: FAX ~OO9 8 SOAH DOCKET NO. 458-09.0896 PROPOSALFOR DECISION PAGE 7 access,p'rice, size, zoning, and ability to meet all TABC and City of Fort Worth regulations. Mr. Ferdows said he met with the landowner and T ABC officials, posted the required signage for Illotice of application for TABC-issued permits, and after being told there had only been one inquiry to TABC SI:aff about the proposed pennit, he purchased the property. Construction of the building commeuc:edand was completed in August 2008. At this point. Mr. Ferdows said he learned!from TABC Sl:aff that a protest to the application had been filed. Mr. Ferdows said he attempted to contact some of the Protestants, and he finally got a meeting with several of them. However. he said it was clear during Uleir meeting that Protestants were not interested in working with him to re~solve their conc~ems. Nlr. Perdows said the cost of the building was approximately $5 million. Some of the costs were attributable to making the building a good fit for its surroundings. Added attention was paid to containing sound inside the building, n-affic flow, and security measures, such as fencing the propeny ;md installing appropriate lighting and cameras. He testified that approximately 58 people will be el1l1ployedby Applicant when the club is fully operational; and tax revenues from Appli,cant' s operatiol1,swith TABC~issued pennits are projected to be $620,000 annually. Nt!. Ferdows concededthat the "sexy chica" dancewas a standardcontest in many clubs througho'lltTexas, and he did not plan to eliminate it from attractions at the Fort Wortll club. However, he testified that the "banana" contest, which was a major source of opposition by Protestantsanddepicted on the Dallas Escapade'sinternetwebsite,was not a standardactivi1:yand would lli>t occur again in any of his operations. Mr. Ferdows said that he had employed a photogra:pher to promote Dallas Escapadeactivities on the internet. This employeeorganiZt~d the "banana"danceanddisplayedphotographsfrom the eventwithout pemlission. Mr. Ferdowssaidhe was unav/areof the photographs'existenceuntil shownthe materialsby Protestants.Mr. FeJ:dows stated upon learning about the website contents,the employeewas fired and the site wa5 taken down. Gilberto Torrez, a fomler FBI agentwith severalyearsof security experience,testified he inspecteclthe proposedlicensedpremisesto determinewhat, if any, impact Applicant's operations . 04/27/2009 15: OIJ FAX SON.HDOCKET NO. 458-09-0896 1"41010 PROPOSALFOR DECISION PAGE 8 might ha\'eon the surroundingarea. He observedthat therewas a significant natura]and man-made barrier bf!tween Applicant's property and the Highland Hills' neighborhood and park. These obstaclesincluded an earthenbenD,barbedwire fence,electric transmissionlines. railroad tracks, brush.and low spots containing water making accessdifficult, if not impossible, to move d:irectly betweenthe areason foot. In orderto acce~sthetwo areasin a motor vehicle, one mustdrive out of the immediateareatraveling approximately1.7miles aroundto reachthe ornerside of the berrnarea via severaJotherroadways. Mr. Torrez saidhe alsocomparedneighborhoodaccessbetweenone of Applicant:'snearestcompetitors (OK Corral), and found t11erewas easy. direct accessbetwel~:n OK Corral and its surrounding areaseither by walking or driving. Mr. Torrez said that he alsoreviewedApplicant's securityplan andcharacterizedit asbeing superiortiC) somegovernmentalplans. Thereis only one way into and out of the proposedlicensed premises. In addition to the naturalbarriers discussedabove,a portion of Applicant's propl:rty is fenced. There arenumerouscamerasto monitor activities on theproperty; and Applicant will have adequatestaff with communication capabilities to managethe premisessafely. In Mr. Torrez's assessment,Applicant had not scrimped on any security details that would act as a detenoentto individuals who might seekto engageinappropriateand dangerousconduct. Michael Coker is a land use and planning consultant. He possessesmany years of expe::rience in land use and was retained by Applicant to evaluate the site for this proposed licensed prelruses. Mr. Coke1rstated that the property had a zoning use ("J" lmedium industrial) that allowed night clubs, along with many other uses, including metal fabrication. assembly plants, and slaughter/pnlcking houses. }:urther, the property's location had been previously voted "wer" for alcoholic be'\'erage sales by tIle area residents. No residences, churches. or schools are within the restricted area around Applicanl~'s proposed licensed premises. Mr. Coker said from his analysisof the property, Applicant's proposedoperations'would hav~littlE~impact on surroundingareas,including the Highland Hills neighborhood. He, ho',~ever, concededthat he did not interview any of the area's residents. Instead, he basedhis opinion on severalother factors, suchas accesspoints betweenthe areasand soundlevels. Mr. Cokerte:;tified 04/27/2009 15: OIJ FAX SOAH DOCKET NO. 458-09-0896 1"41011 PROPOSALFOR DECISION PAGE 9 the physi(~albarriers betweenApplicant's propertyand the community(public park andresidences), included:i berm and utility right-of-way that actedas both a sound and accessbuffer. Mr. Cokersaid that he had beeninsideApplicant's building, andthe building appeare,d to be well constructedwith attention to appropriateinsta)lationof insulation to contain sound. ~~ound studies w'ere conducted by Mr. Coker's company, which revealed that Applicant's operations producedconsiderablyless noise than the train usingthe tracks betweenApplicant's property and the Highland Hills neighborhood. Traffic was confined to a dead-endstreetending in Applicant's property. The buffer area betweenApplicant's property and the city park precludeswalkin~:from Applicanlt's propeny, so there would be li.ttle or no opportunity for persons [0 entl~r the neighborhoodto commit crimes or violent acts. Further, Mr. Coker noted that since the hours of Applicanl['Soperationsand those of the park and community centerwere different, he saw nc-basis for deternuningthatApplicant's operationwould negativelyimpactthe public faciliues' oper.cltions. Ill. ANALYSIS In this instance,Applicant is fully qualified to obtain its requestedTABC-issued pelmits.5 Applican1:'s locationhasbeendesignatedas"wet" througha Fort Worth-residentvoterelection. The Fort WOI1JtCity Secretaryand Tarrant County Clerk cenified Applicant's location as being within a "wet area"for a mixed beveragepennit in Fort Worth, TarrantCounty, Texas.The Fort Worl~hCity Councilhaszonedthis location asanareawherecommercia]activity is pennitted; the areapresently includes,t large commercial rrucking firm andwholesa]ewarehousestore. Since Applicant h:asmet these generalcriteria for securing a TABC-issued pennir for alcoholic beverage sales at this location, the AU next examines the evidence in this case to determine if there are ullusual conditions or a situation establishedso as to justify a finding that the place or manner in which .5 T ABC Staff announcedat the hearing that it took no positionon the protestto this application. It follnd that Applicant :metall criteria (distance requirements from churches, schools, etc.; the business is operated under an app~oprialeownershipstructure;Applicant's principals passedcriminal and generalbackgroundchecks; no fee!;,taxcs, etc. werCowcd; Applicant posted a required surety bond: a premisessuitable for conducting business as a licensed location is ~vailable:and Applicant hasno history for engagingin violations of the Code) for securing aTABC'-issued peunit. Se,~TEx. ALCO.BEV. CODE.ANN. §§ 11.11, 11.46,and 11.49. . 04/27/2009 15: OIJ FAX SOAR DCICKETNO. 458-09-0896 flIO12 PROPOSALFOR DECISION PAGE III Applicant may conductits businesswarrantsrefusal ora pennit. Plrotestantsbear the burden of proof in establishingthat AppJicant's businessope:cations createan unusualcondition or situation that is contrary [0 £hegeneralwelfare, peace,morals, and safetyof the people and on the public senseof decency. The essenceof Protestants'objectionsto Applicant's requestto sell and servealcoholic beveragesis thatpersonsconsumingthebeveragesat Applicant's businesswill have a detrimental impact on public safety and the quality of Life for personsresiding in the area. Some of Protestant'sspecific arguments against these requested permits are discussedbelow. A. Placeof Operation. PJ'otestantscontend that individuals impaired by the consumption of alcoholic beverages at Applicant's premises pose a threat to the safety and enjoyment of the adjoining neighborhood. Both Mr. Torre:z and Mr. Coker testified convincingly that numerous natural and man-made barrier:~exist berween ,I\pplicant's property and the neighborhood and park, These barriers bar vehicular 1J"affic and make: foot traffic exceedingly difficult. Consequently, the AU believes that any impact on residents of the area and users of the Highland Hills' community center and park wolJlld be negligibl(~. The potential of excessive noise being created by Applicant's operation was also expressed as aconCE~m by Protestants to the peaceful enjoyment of their neighborhood. However, the evidence showed j~pplicanr has taken steps during the construction process of its building to ade((1.1ately insulate it and preclude excessive noise from being heard outside the building. Sound tesling under simulatedl operating conditions was performed by Mr. Coker's staff, and the level of sound was found to be below recognized tolerances. I~otestant'sevidenceconsistedmainly oftesrimonygenerallydiscussingthe negativeeffect alcoholic beveragesales by Applicant would bring to the Highland Hills neighborhoodand the communityasa whole. However. otherlicensedpremisesfor the saleof alcoholic beveragese:ristin . 04/27/2009 141013 15: 0,3 FAX SOAH DOCKET NO. 458.09-0896 PROPOSALFOR DECISION PAGE11 or neartile area,and no correlationwas madebetweenthoseTABC-pennitted salesoutlets and any overall decline in the living environment. Ful1hef, no evidence was presented from allY law enforcementofficers,6 "first-responder" firefighters, emergencymedical personnel, or highway design and construction engineers showing that Applicant's operations would create traffic congestionor other public safetyconcernsin the future should theserequestedpennits be granted. Moreover,Texas law does not require that an applicantfor a TABC.issued permit selecta lcl,cation fre~ of potential rraffic hazardsin orderto qualify for a pennit: As a result, Protestant'sev:idence was insufficient to establishthatthe placewhereApplicantseeksto sell alcoholic beveragest}'lfough TABC-issued permits is unsuitableand wauants denial of Applicant's permit requests. B., Manner of Operation. Protestantsopined that Applicant's operations are unwholesome, and are otherwlisean incompatiiblefit with the area. Protestant'sevidence on these points was mainly providl~dvia personssc:ntby Mr. Rosasto observeand reportactivities ongoing at Applicant's businesson some limited ol:casions when the club was opened "BYOB"S or giving alcoholic beverages,away. Pro~estant:s alsopresentedcontentsderived from a websitedepictingactivities, someof which could be charac1:erized as lewd, at anotherlicensedpremisesmanagedby Applicant's owner. Ho,\,ever, the ALl finds that this evidence,whenweighed againstotherevidence,is insufficient to deteJ:mine , that Applicant's requestedpermits should be denied. Thleevidenceshowed that other TABC-issuedlicensedpremises exist in the area. ~[hese alcoholic beverage outlets include Applicant's main competitor, a convenience store, and a wholesalewarehousestore. In addition to theseTABC-1icensedpremises,a BYOB nightclub has existedfor manyyears in the Highland Hills neighborhood. Theseoperationsexist without c.t'llsing 6 l'Ex.ALco.BEV.CODEANN. § 11.41. }(ermit Concerned Citizens Comm. V. Colonial Food Scores. Inc., 650 S. W .2d 208, 8 "BYOB" means"bring your own bortle" and is a term commonly associatedwith businessesthat allow customersor patronsto bring their OWna]coholic beveragesfor consumptionwhile engagingin activities fearuredby said businc~s.arojis a siruaLionunregulated by TABC Staff. 04/27/2009 15: O,~ FAX SOAHDOCKET NO. 458-09-0896 141014 PROPOSALFOR DECISION PAGE 1:~ \Vhile the testimony from members of the Rodriguez family noted some operational problem:~at Applicant's proposedlicensedpremises,the ALJ agreeswith Applicant's ownl~r,Mr. Ferdows,that someof theseissueswere to be expectedwith any new operation; and in fact, would be lessenedif Applicant's premiseswere operatingwithin the purview ofTABC Staff. R~esidentia1 area security, traffic, parking difficulties, intoxicated persons, and the presc~nceof minors airthe premises were the chief concerns cited by Protestants asreasons to deny these pll~rmits. However. TABC-issued permits offer more security and control over the existing club's actJlvities. Wjth T ABC-issued pemlits, T ABC Staff can conduct inspections. investigations, and r'::gulate alcoholic: beverage service to minors, excessive consumption, and criminal activity, if any of these situation:s should occur. Further. Applicant's staff will be required to attend training t'~'learn applicable laws and regulations for sales and service of alcoholic beverages. Lastly, Mr. Ferdowshas demonscratedhis ability to operatea licensedpremisessucce:ssfully underthl~provisions of the Texas Alcoholic BeverageCode. He managesa similar businessin Dallas. ~~oevidencewas producedto show thatthe Dallas premiseshas any history of enga~~ing in or allowing Code violations at that location. And while someof the danceconresrsand activities cited by J?rorestanrs as being inappropriateare of questionabletaste, they do not rise to the ](~velof prohibited activities. Mr. Ferdowsacknowledgedin his testimonythat the most offensive o:fthese contests,the ££banana" contest,would not be held in this proposedlicensed premisesor any other premisesmanagedby him. His testimony that the eventwas organizedby one of his emplo~feesat the DallasEscapade,but that it had beenheld without his pem1ission,was credible. Conseq1Jently, the AU believes thatApplicant's requestfor TABC-issuedpermits should not be denied uponthis basis. C:. Conclusion. Protestants' concerns, although understandable,do not rise to the level of an u:t1usua] 04/27/2009 141015 15: 0:9 FAX SOAR DOCKET NO. 458-09.0896 PROPOSALFOR DECISION PAGE 1.;1 condition or situation that justifies a finding that the place or manner in which the Applicant conducts,businesswarrants a refusal of the permits soughtbasedon the general welfare, hea]tn, peace,morals,safety,andsenseof decencyof thepeople. Accordingly, basedonthe evidencl~jn the record, tJ1eProtestantshave failed to show, by a preponderanceof t1leevidence that Applicant's requestedpermits should be denied. IV. RECOMMENDATION The AU recommendsthat Applicant be grantedthe pemrits soughtin this application. V. FINDINGS OF FACT 1 E.F. Corp. d/b/a Escapade2001 (Applicant/Respondent)has filed an application y,"iiththe T,exasAlcoholic BeverageCommission(TABC) for a mixed beveragepeInlit and a :mixcd beveragelate hours permit for a premiseslocated at 2495 S. Campus Court, F9rt '~Vorth, T,arrant County, Texas. 2. PJ:otests to the application were filed by concernedcitizens based on the general Vv'elfare, hE~alth, peace,morals and safety of the peopleand on the public senseof decency. 3 .A~ Notice of Hearing dated October 22, 2008. was issued by TABC Staff notifying all parties that a hearing would be held on the application and infonmng the parties of the time, place, and nature of the hearing. 4. On December 19, 2008, a hearing began before Administrative Law Judge Tanya COlJlperin F()rt Wolth, Texas. TABC Staff appeared at the hearing through its Staff Attorney :5andra Plltton, but took no position on the application. Applicant appeared and was represen1tedby it~iattorneys, Wade Bingham, Steve Swander. and Timothy Griffith. Protestants ap~'eared atld were represented by their attorney, John Gamboa, The rccord closed on April!7, 2009, after the parties filed written arguments in this case. 5. A:pplicant has met all T ABC requirements for holding the pemrits requested for the proposed li(~ensedpremises at this location. 6. NIQunusualconditions or situations exist that would warrant refusal of the pemlits. 3. 04/27/2009 15:011 FAX ~O16 SOAR D(JICKET NO, 458-09-0896 PROPOSALFOR DECISION PAGE 1'1 VI. CONCLUSIONSOF LAW 1. T ABC has jurisdiction over this matter under TEX. ALCO. BEY. CODEANN. chs. 5, ]11,28, aJ.1d 29, and §§ 6.01 and 11.46(a)(8). TEX. ALCO. BEV. CODEANN. § 1.01 et seq. 2. The State Office of Administrative Hearings has jurisdiction over all matters reI.ated to conducting a hearing in this proceeding, including the preparation of a proposal for d,:~cision w'ith findings of fact and conclusions of law, pursuant to TEX. GOV'T CODEANN. ch. 2003. Proper and timely notice of the hearing was provided to a11parties pursuant to the Administrative ProcedureAct, TEx. GOV'TCODEANN. ch. 2001, and 1 TEx.AD~.(::ODE§ 155.401. 4. I!isuanceof the requestedpermits doesnot adverselyaffect the safety of the public, nor will it adverselyaffect the generalwelfare, peace,or morals of the people or violate the public sl:nseo'fdecency. TEX. ALCO.BEV.CODEANN. § 11.46(a)(8). 5. A.pplicant's application for a mixed beveragepemrlt anda mixed beveragelate hours.pemrit for the premises located at 2495 S. Campus Court, Fort Worth, Tarrant County, Texas, slhouldbe granted. S'lGNEDApril 27, 2009. .~ AD~lSTRA TIVE LAW JUDGE ~TATE OFFICE OF ADMINISTRATIVE HEARINGS ~ 141017 STATE OFFICE OF ADMINISTRATIVE HEARINGS FT.WORTHOFFICE 6777 Camp Bowie Blvd Suite 400 Fort Worth, Texas 76116 Phone: (817) 731~1733 Fax: (817) 377-3706 SERVICE LIST AGENCY: Alcoholic Beverage Commission, Tcxas (TAB C) STYLE/CASE: ESCAPADE CLUB CORP / ESCAPADE 2001 SOAH DOCKI:T NUMBER: 458-09-0896 REFERRING J\GENCY CASE: 580538 STATE OFFICE OF ADMINISTRATIVE ADMINISTRATIVE LAW JUDGE ALJ TANYA COOPER REPRESENT A,TIVE I ADDRESS PARTIES TIMOTHY GRTFF'ITH ATTORNEY AT LA W 101 E. PARK BLVD., SUITE 600 PLANO. TX 75074 (214) 585-2383 (PH) (469) 742-9521 (f I\X) RESPONDENT JOHN L. GAMBO,4, A TTORNEY AT LAW ACUFF & GAMBOA, LLP 2501 PARK VIEW DRIVE, SUITE 405 FORT WORTH, T:X 76102 (817) 885-8500 (PH) (8 J7) 885-8504 (F I\X) PROTESTANT SANDRA K. PATTON ATTORNEY TEXAS ALCOHO:LIC BEVERAGE COMMISSION 420 WEST 20TH STREET, 600 HOUSTON, TX 77008 (713) 426.7900 (PH) (713) 426.7900 (Wl<) (713) 426-7965 (Fi\X) TEXAS ALCOHOLIC BEVERAGE COMMISSION Pnge I of:! . 6. 04/27/2009 15:09 FAX 1"41015 8 SOAH DOCKET NO. 458-09-0896 PROPOSALFOR DECISION PAGE 13 condition or situation that justifies a finding that the place or manner in which the Applicant conductsbusinesswarrants a refusal of the permits soughtbased on the general welfare, hea]tn, peace,morals, safety,andsenseof decencyof thepeople. Accordingly, basedonthe evidencein the record, the Protestantshave failed to show, by a preponderanceof tlle evidence that Applicant's requestedpemlits should be denied. I IV. RECOMMENDATION The AU recommendsthat Applicant be grantedthe pennits soughtin this application. V. FINDINGS OF FACT 1. E.F. Corp. d/b/a Escapade2001 (Applicant/Respondenl)has filed an application ~.ith the Texas Alcoholic BeverageCommission(TABC) for a mixed beveragepermit and 8 mixed beveragelate hours permit for a premiseslocated at 2495 S. Campus Court, Fc;>rt 'Worth, TarrantCounty, Texas. 2. Proteststo the application were filed by concernedcitizens based on the general v.'elfare, health, peace,morals and safety of the peopleand on the public senseof decency. I 3. A Notice of Hearing dated October 22,2008, was issued by TABC Staff notifying all parties that a hearing would be held on the application and infonning the parties of ,the time, place, and nature of the hearing. I 4. On December19, 2008, a hearingbeganbeforeAdministrative Law JudgeTanya Cooperin Fort Wonh, Texas. TABC Staff appearedat the hearing through its Staff Attorney :>andra Patton,but took no position on the application. Applicant appearedand wasrepresentedby its attorneys,Wade Bingh~, SteveSwander,and Timothy Griffith. Protestantsappeared andwere representedby their attorney,JohnGamboa, The record closed on April 17.2009, after the parties filed written argumentsin this case. 5. Applicant hasmet all TABC requirementsfor holding thepem1itsrequestedfor the proposed licensedpremisesat this location. ,¥ No unusualconditions or situations exist that would warrant refusal of the pemlits. 3. ~O16 SOAH DOCKET NO, 458-09-0896 PROPOSALFOR DECISION PAGE 1~1 VI. CONCLUSIONSOF LAW 1 TABC hasjurisdiction over this matter underTEX.ALco. BEV. CODEANtf. cbs. 5, ~I, 28, and 29, and §§ 6.01 and 11.46(a)(8). TEX.ALCO.BEY.CODEANN. § 1.01 letseq. I 2. The State Office of Administrative Hearings has jurisdiction over all matters rel;ated to conducting a hearing in this proceeding, including the preparation of a proposal for d,~cision with findings of fact and conclusions of law, pursuant to TEX. GOV'T CODEANN. ch. 2003. Proper and timely notice of the hearing was provided to all parties pursuant to the Administrative Procedure Act, TEx. GOY'T CODEANN. ch. 2001, and 1 TEXt ADMIN. ':ODE § 155.401. i 4. Issuanceof the requestedpermits doesnot adverselyaffect the safety of the public, nor will it adverselyaffect the genera]welfare, peace,or morals of the people or violate the!public senseo'fdecency. TEX. ALCO.BEV.CODEANN. § 11.46(a)(8). I 5, Applicant's application for a mixed beveragepemlit anda mixed beveragelate hours,pemlit for the premises located at 2495 S. Campus Court, Fort Worth, TarrantICounty, ,Texas, should be granted. SIGNEDApril 27,2009. I ',,-. r-, ADWNISTRATIVE LAW JUDGE I 1"41017 STATE OFFICE OF ADMINISTRATIVE HEARINGS FT. WORTH OFFICE 6777 Camp Bowie Blvd Suite 400 Fort Worth, Texas 76116 Phone: (817) 731-1733 Fax: (817) 377.3706 SERVICE LIST AGENCY: Alcoholic Beverage Commission, Tcxas (TABC) STYLE/CASE: ESCAPADECLUB CORP/ ESCAPADE2001 SOAR DOCKET NUMBER: 458-09-0896 REFERRING AGENCY CASE: 580538 STATE OFFICE OF ADMINISTRATIVE ADMINISTRATIVE LAW JUDGE ALJ TANY A COO PER REPRESENTATIVE/ADDRESS PARTIES TIMOTHY GRIFFITH ATTORNEY AT LAW 101E. PARK BLVD., SUITE 600 PLANO.TX 75074 (214) 585-2383 (PH) (469)742-9521(FAX) RESPONDENT JOHN L. GAMBOA ATTORNEY AT LA W ACUFF & GAMBOA, LLP 2501 PARKVIEW DRIVE, SUITE 405 FORT WORTI"" TX 76102 (817) 885-8500 (PH) (817) 885-8504 (FAX) PROTESTANT SANDRA K. PATTON ATTORNEY TEXAS ALCOHOLIC BEVERAGE COMMISSION 420 WEST 20TH STREET, 600 HOUSTON, TX 77008 (713) 426.7900 (PH) (713) 426-7900 (W1() (713) 426-7965 (FAX) TEXAS ALCOHOLIC BEVERAGE qOMMIS~,ION Page I of:! 04/27/2009 IlJO18 15:09 FAX STEVEN H. SWA]~DER ATTORNEY AT LAW 505 MAIN STREET, SUITE 250 FORT WORTH, T:K 76102 RESPONDENT xc: Dockct Clcrk, SlatcOfficc of AdminislTIIlivc HcfJIings LOU BRIGI-IT GEN'I:;;RAI.COVNSEL, TABC, fax No. 512-206.3498 P~gc2 or2