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113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Ordinance: 6322
File Number: 2020-0418
DESIGNATE AN ENTERTAINMENT DISTRICT:
AN ORDINANCE TO ESTABLISH BOUNDARIES FOR AN ENTERTAINMENT DISTRICT
IN THE CITY OF FAYETTEVILLE AND TO PROMULGATE RULES FOR THE LIMITED
OUTDOOR CONSUMPTION OF ALCOHOL IN CERTAIN PUBLIC PLACES
WHEREAS, Act 812 of 2019 grants municipalities broad authority to create "designated
entertainment districts" in contiguous areas zoned for or customarily used for commercial purposes
located within the municipality; and
WHEREAS, the Act also allows municipalities to create reasonable standards for the regulation of
alcohol possession in outdoor public spaces within a designated entertainment district.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby enacts § 111.07 -
Outdoor Refreshment Area of the Fayetteville City Code as shown in the attached Exhibit A.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that this
ordinance should become effective without delay because it will provide opportunities for Fayetteville
business establishments, residents, and visitors to comply with the directives issued by the Arkansas
Department of Health regarding limited occupancy and social distancing, which are necessary for the
public peace as well as the health and safety of Fayetteville residents. Therefore, the City Council
hereby declares an emergency exists such that this ordinance shall become effective immediately upon
its passage and approval.
Page 1 Printed on 618120
Ordinance: 6322
File Number.• 2020-0418
PASSED and APPROVED on 6/4/2020
Attest:
,��<<r�irrrrtir��I
YETTEVILL-
Kara Paxton, City Clerk TreasurejF- 4
Page 2 Printed on 618120
EXHIBIT A
"111.07 - Outdoor Refreshment Area
(A) Definitions
(1) Customer shall include a patron, guest. or member.
(2) Owner shal I include the owner, manager. or operator of an establishment
permitted to sell alcoholic beverages.
(3) Permittee shall mean the person or entity who has received an event permit from
the City of Fayetteville allowing the outdoor consumption of alcoholic beverages
within an established entertainment district.
(4) Limited open consumption district pilot program shall mean a series of specific
dates and times which occur on a limited basis in which a person or customer may
purchase alcohol from participating businesses and consume said alcohol within a
defined area with open streets within the Outdoor Refreshment Area. The dates
and times, as well as any rules applicable to such a pilot program, shall be
established by the Mayor.
(B) Creation and establishment of districts. Pursuant to the authority granted by Ark. Code
Ann. § 14-54-1412, an entertainment district is hereby created with the areas and
boundaries as set forth and designated on the map which is attached hereto as Exhibit 1
and incorporated herein. The district shall be known as the Outdoor Refreshment Area on
the map attached as Exhibit 1.
(C) Outdoor consumption of'alcohol in public places. The consumption of alcoholic
beverages or possession of open containers of alcoholic beverages in public outdoor areas
within the Outdoor Refreshment Area is prohibited with the exception of:
(1) Events with standing approval. The outdoor consumption of alcohol may be
allowed on public streets, sidewalks, rights -of -way, parking lots, or outdoor
public areas within the areas designated for events with standing approval
pursuant to the Fayetteville City Code. The prior written authorization of the
Mayor shall be required, and additional conditions may be placed on the
permittee. the event, and any owner who wishes to allow the owner's customers
to participate in the event as part of the authorization. The areas designated for the
outdoor consumption of alcohol at standing events shall be closed to vehicular
traffic unless those areas fall within a limited consumption district pilot program
in which case the rules for the open consumption district shall apply.
(2) Special event permits with specific approval. A special event permit issued by the
Mayor pursuant to § 72.58(M) may authorize the outdoor consumption of alcohol
on public streets, sidewalks, rights -of -way, parking lots, or outdoor public areas in
certain areas and only during the times specified in the permit. Additional
conditions may be placed on the permittee, the event, and any owner who wishes
to allow the owner's customers to participate in the event as part of the
authorization. Such areas may be closed to vehicular traffic.
(a) Organizers of events who wish to apply for the special event peen it to
allow open consumption of alcohol within the entire event area, rather
than confining alcohol consumption to a limited area, shall complete
the appropriate Notice of Proposed Closure for a Outdoor Refreshment
Area Event Form as well as the standard Notice of Proposed Closure
form.
(b) A business located adjacent to or within the event area may sell alcohol
for open consumption in the event area only with the approval of the
event organizer. If an event occurs during a time and within the area of
a limited consumption district pilot program, business sales of alcohol
for open consumption shall be permitted.
(3) Limited open consumption districtpilotprograms. The Mayor may identify specific
dates and times to authorize the implementation of a limited open consumption
district pilot program within the Outdoor Refreshment Area. Such pilot program
areas will not require street closures. Rules established by the Mayor applying to
pilot program areas shall be distributed to business owners and signs shall posted
in conspicuous locations within the pilot program area.
(a) At least 21 days prior to the beginning of an open consumption pilot
program, City staff will notify nearby businesses and identify
participating businesses.
(b) The Mayor, by and through staff; shall notify the City Council
Members by email or otherwise of the decision to implement a
limited open consumption district pilot program. If at least two (2)
City Council Members notify the City Clerk's Office in writing within
seven (7) days of the Mayor's notification of his or her decision that
they wish to appeal such decision, then the issue will be presented on
the next City Council meeting in which the Mayor's decision could
reasonably be considered. The City Council would then be able to
decide by Resolution whether to reverse the Mayor's decision or upon
what conditions (if any) the permit would be granted.
(c) The provisions of subsection l 11.07(C)(3) shal I expire on January 30,
2021.
(D) Conditions for consumption of alcoholic beverages in public outdoor areas. Any owner
within a designated area may allow a customer to exit the owner's premises during the
hours designated in the special event permit or in an area defined in a limited
consumption district pilot program with no more than one (I ) open container of alcoholic
beverages and consume said alcoholic beverages anywhere within the confines of the
designated area in which the alcoholic beverage was obtained, subject to the following
regulations:
(1) An owner within the designated event area or in an area defined in a limited
consumption district pilot program may allow alcoholic beverages to be
removed from the licensed premises during special events with specific
approval who have requested businesses be able to sell to attendees and/or
during the times of the limited consumption district pilot program and only in a
compostable or reusable cup, or other alternative container as certified by the
Environmental Director as compatible with the city's recyclables collection
program, that bears the proper city approved logo, and no such alcoholic
beverages shall be removed from the permitted premises in a can. bottle, or
glass container.
(2) No owner shall allow a customer to exit its premises with an open container of
alcoholic beverage until the owner has placed a designated visible identifier on
the customer, and it shall be unlawful for any person to exit such licensed
premises with an open container without the required visible identifier.
(3) It shall be unlawful for a customer to enter any business regulated by the
Arkansas Alcoholic Beverage Control Division with any alcoholic beverage that
was not acquired at that location. A customer may not enter any other
establishment with an open or closed container of alcoholic beverage without the
consent of the owner or manager of the establishment.
(4) It shall be unlawful for any person to drink or attempt to drink any alcoholic
beverage from a can, bottle, or glass container, or to possess any open can,
bottle, or glass container of alcoholic beverages on the public streets, sidewalks.
rights -of -way. and parking lots located within the Outdoor Refreshment Area.
(5) No container in which an alcoholic beverage is dispensed and removed from the
licensed premises shall exceed sixteen (16) fluid ounces in size.
(6) No person shall possess on the public streets, sidewalks, rights -of -way, parking
lots, or outdoor public areas located within the designated area any open
alcoholic beverage container which exceeds sixteen (16) fluid ounces in size.
(7) No person shall possess on the sidewalks, public streets, rights -of -way, parking
lots, or outdoor public areas any open alcoholic beverage container outside of
the approved area of an event or the district.
(8) It shall be unlawful for a customer to distribute alcohol for open consumption
obtained from a business participating in the Outdoor Refreshment Area to any
other individual.
(9) It shall be unlawful to create, possess, or distribute fraudulent or unauthorized
visible identifiers or cups within the Outdoor Refreshment Area.
(10) No person shall publicly consume within the Outdoor Refreshment Area any
alcoholic beverage purchased outside of the Outdoor Refreshment Area.
(E) Sidewalk Cafes in the Outdoor Refreshment Area. If an owner within the Outdoor
Refreshment Area has also received a sidewalk cafd permit pursuant to § 178.02 of the
Unified Development Code:
(1) The owner may serve alcoholic beverages in open containers during the hours of
operation and in the areas authorized by the sidewalk cafe permit;
(2) Glass containers shall be allowed in the approved outdoor dining areas but shall
not be removed from those areas: and
(3) No fencing or other enclosure of a permitted sidewalk cafd located within a
designated outdoor refreshment area shall be required.
(F) Slate laws applicable to the Outdoor Refreshment Area. All other Arkansas laws
including, but not limited to, Ark. Code Ann. § 3-3-201, et seq (prohibited practices
regarding alcoholic beverages), Ark. Code Ann. § 5-71-207 (disorderly conduct), Ark.
Code Ann. § 5-71-212 (public intoxication), Ark. Code Ann. § 5-71-218 (consumption of
alcohol in a motor vehicle) remain in effect and will be enforced within the Outdoor
Refreshment Area.
(G)Litiering Prohibited. No person shall violate the littering prohibition set forth in § 98.07
of the Fayetteville City Code.
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Exhibit 1
Fayetteville Outdoor
Refreshment Area
(ORA)
With Zoning - Fayetteville, AR
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Map Date. OSI13I2020
City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479)575-8323
Text File
File Number: 2020-0418
Agenda Date: 6/2/2020 Version: 1 Status: Passed
In Control: City Council Meeting File Type: Ordinance
Agenda Number: C 11
DESIGNATE AN ENTERTAINMENT DISTRICT:
AN ORDINANCE TO ESTABLISH BOUNDARIES FOR AN ENTERTAINMENT DISTRICT IN THE
CITY OF FAYETTEVILLE AND TO PROMULGATE RULES FOR THE LIMITED OUTDOOR
CONSUMPTION OF ALCOHOL IN CERTAIN PUBLIC PLACES
WHEREAS, Act 812 of2019 grants municipalities broad authority to create "designated entertainment
districts" in contiguous areas zoned for or customarily used for commercial purposes located within the
municipality; and
WHEREAS, the Act also allows municipalities to create reasonable standards for the regulation of alcohol
possession in outdoor public spaces within a designated entertainment district.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby enacts § 111.07 - Outdoor
Refreshment Area of the Fayetteville City Code as shown in the attached Exhibit A.
Section 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that this ordinance
should become effective without delay because it will provide opportunities for Fayetteville business
establishments, residents, and visitors to comply with the directives issued by the Arkansas Department of
Health regarding limited occupancy and social distancing, which are necessary for the public peace as well as
the health and safety of Fayetteville residents. Therefore, the City Council hereby declares an emergency exists
such that this ordinance shall become effective immediately upon its passage and approval.
City of Fayetteville, Arkansas Page 1 Printed on 6/8/2020
r
Devin Howland
Submitted By
City of Fayetteville Staff Review Form
2020-0418
Legistar File ID
6/2/2020
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
5/15/2020 ECONOMIC DEVELOPMENT (050)
Submitted Date
Action Recommendation:
Division / Department
APPROVAL OF AN ORDINANCE TO DESIGNATE AN "ENTERTAINMENT DISTRICT" PURSUANT TO ACT 812 AND
ESTABLISH THE RULES FOR FAYETTEVILLE'S FIRST OUTDOOR REFRESHMENT AREA.
Budget Impact:
Account Number
Fund
Project Number
Project Title
Budgeted Item? NA
Current Budget
$
Funds Obligated
$
Current Balance
Does item have a cost? NA
Item Cost
Budget Adjustment Attached? NA
Budget Adjustment
Remaining Budget
Purchase Order Number:
Change Order Number:
Original Contract Number:
Comments:
V20180321
Previous Ordinance or Resolution #
Approval Date:
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF JUNE 2, 2020
TO: Mayor and City Council
THRU: Susan Norton, Chief of Staff
Garner Stoll, Development Services Director
FROM: Devin Howland, Director of Economic Vitality
Blake Pennington, Assistant City Attorney
DATE: May 15, 2020
CITY COUNCIL MEMO
SUBJECT: AN ORDINANCE TO DESIGNATE AN "ENTERTAINMENT DISTRICT"
PURSUANT TO ACT 812 AND ESTABLISH THE RULES FOR FAYETTEVILLE'S FIRST
OUTDOOR REFRESHMENT AREA
RECOMMENDATION:
Staff is recommending approval of an ordinance that designates an "entertainment district"
pursuant to Act 812, establishes the rules for Fayetteville's first O.R.A. (Outdoor Refreshment
Area) and establishes a phasing plan.
BACKGROUND:
Act 812 of 2019 grants municipalities broad authority to approve "designated entertainment
districts" in contiguous areas located within a city. The act specifically allows entertainment
districts in areas zoned for or customarily used for commercial purposes and allows local
jurisdictions to create reasonable standards for the regulation of alcohol possession.
This proposed district is largely derived from Fayetteville's approved 2007 Cultural and Arts
District boundaries, with modifications to eliminate primarily residential zoned areas pursuant to
Act 812.
On August 20, 2019, an Entertainment District Ordinance was introduced to the Fayetteville City
Council. Following concerns from businesses, staff ultimately requested that the ordinance be
tabled indefinitely to allow for unpressured time to work with Downtown stakeholders on
revisions. The Fayetteville City Council voted to table the ordinance indefinitely on October 15,
2019. The original intent and goals outlined in the original ordinance are present within this new
proposal.
In the months since, staff has conducted expanded research on the topic of public alcohol
consumption —exploring best practices from communities across the country. Staff has also
engaged the business community, downtown stakeholders such as employers, and anchor
institutions such as the Fayetteville Public Library, Theatre Squared, and the Walton Arts Center
to explore their concerns and address them through possible mitigation strategies. Multiple
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
focus group sessions were held, and the outcomes are included in the attachments of this
packet. Staff also attended numerous Dickson Street Merchant meetings to maintain a bright
line of communication with the stakeholders along the road and will continue to do so in the
future. City staff also coordinated a great deal with the Fayetteville Police Department
throughout the entire process, and their attendance, involvement, and expertise helped not only
shape the ordinance included in this packet, but also helped mitigate many of the concerns held
by local businesses. A key tenant of this ordinance is the understanding that there is a major
difference between a rule and a law.
Following the draft of the ordinance and phasing plan being completed, staff presented the
ordinance at the Dickson Street Merchants meeting on March 9, 2020. However, four days later
our work on the issue came to an abrupt halt given the public health emergency from COVID-19
pandemic. In May, after weeks of work on the economic response to COVID-19, staff began to
finalize the details of the ordinance and reengage partners. Given the pandemic, the phasing
plan had to be altered. On May 11, 2020 City staff was able to present to the Dickson Street
Merchants Association. The presentation was recorded and distributed to the organization's
membership.
On May 12, 2020 at the request of the Chairman, City staff presented the proposed ordinance to
the Transportation Committee for their comments and review. A copy of the presentation can be
found in this packet (Exhibit G) and the presentation can be seen on the City's website. The
committee recommended approval of the attached ordinance to the City Council with three
amendments:
1. Amendment 1: Loosening of any restrictions to the limited open container consumption
days of the week rather than only Sunday -Wednesday.
2. Amendment 2: Allowing parking lots, private parking lots, and right of way components
such as parallel parking and travel lanes to be used as sidewalk cafe space or auxiliary
parking when vehicular traffic patterns have been amended temporarily or otherwise.
3. Amendment 3: Include an emergency clause which would enable the ordinance to
become law immediately after City Council passage.
DISCUSSION:
WHY CREATE AN OUTDOOR REFRESHMENT AREA:
Originally, the intent behind the creation of an Outdoor Refreshment Area was the recognition it
could positively contribute to the activity and economic vitality of Downtown Fayetteville (see
Exhibit 1 Outdoor Refreshment Area Map attached to the Ordinance). We want to enable
organizers the choice to allow patrons to consume alcohol outside of a beer garden and give
businesses an opportunity to make sales to attendees for events that did not want to utilize an
ABC Temporary Picnic Permit to source alcohol. We also want to test a regularly scheduled
open consumption district and expansion of sidewalk cafes to explore ways to bring unique
offerings to both residents and tourists. Municipalities across the state have successfully
implemented these districts. While these positive attributes still hold true, the coronavirus
pandemic has changed staff's "why" behind the need to utilize this tool.
WHAT DOES THIS ORDINANCE BROADLY ENABLE?
The Outdoor Refreshment Area has three primary components which are explained throughout
this memo and the attached ordinance.
1. Sidewalk Cafes: Bars, restaurants, and performance venues can apply through
Development Services for use of City sidewalks without a barrier and serve alcohol in
regular glasses.
2. Special Events: Event Organizers may ask the City to approve an event without an
enclosed beer garden if their event area is on a closed street or on a City -owned parking
lot. Event organizers will have the ability to choose if they want to source alcohol through
the normal process with the ABC Temporary Picnic Permit, or enable surrounding
businesses within the closed area to serve to -go drinks to event attendees, who could
then consume the alcoholic beverage within the event area. We want to ensure event
organizers can manage all aspects of their events, so the choice should be given to the
event organizer regarding open consumption and allowing surrounding businesses to
sell drinks to go that could be consumed in the event area.
3. Limited (Regularly Scheduled) Open Consumption District Pilot Program: This can be
defined as allowing visitors or patrons to purchase alcohol from a participating business
and consume their beverage while walking down the sidewalks in a smaller defined area
within the Outdoor Refreshment Area. Streets would not be required to be closed. This
program would be piloted by City staff who have a series of requirements to meet in
order to begin such a program (those requirements are outlined in a subsequent section
of this memo). The pilot program also has a proposed sunset date of January 30, 2021.
COVID-19 AND UTILIZING ACT 812 AS A TOOL TO HELP RESTAURANTS, BARS, AND
ENTERTAINMENT VENUES DURING PROLONGED SOCIAL DISTANCING MEASURES
The pandemic has disproportionately impacted certain industry sectors, restaurants, bars, and
performance venues are included in that category. Through the various necessary public health
directives, private clubs were not given a chance to pivot or adapt through to -go sales in
Arkansas. Given the prolonged impact to sales the pandemic has had and will continue to have
due to reduced occupancy and consumer concerns, Act 812 can be a tool to help these
businesses increase sales during this time.
The expansion of sidewalk cafes can increase occupancy for these businesses. Research is
continuing to show that open-air dining can be safer as well. Currently, Arkansas state law
3
prohibits alcohol being served outdoors without a fencing around the tables. This ordinance can
eliminate that requirement for some businesses.
The regularly scheduled open consumption district can enable an increase in sales for these
establishments. To -go sales will not only provide an additional revenue source for businesses,
but also enable more social distancing by giving patrons the ability to consume alcohol while
walking down sidewalks in a smaller area within the Outdoor Refreshment Area Boundary.
A great deal of uncertainty also exists for events. Traditional beer gardens do the very thing
people cannot do right now - congregate in a small area. As events look to adapt and overcome
these challenges, Act 812 can provide a new tool for them during a time of social distancing.
AMENDMENTS FROM THE TRANSPORTATION COMMITTEE AND STAFF COMMENTS
On May 12, 2020 the Transportation Committee discussed how to make our City Streets more
comfortable for pedestrian and bikes as well as enabling businesses to expand into a street or
parking lot for potentially safer dining during the pandemic. The Outdoor Refreshment Area was
discussed in how the City might integrate these two ideas. The Transportation Committee
recommended the City Council adopt the Outdoor Refreshment Area ordinance with three
amendments:
Amendment 1: Loosening of any restrictions to the limited open container consumption days of
the week rather than only Sunday -Wednesday.
Staff Comments: While staff sees no issue in allowing the ability for the pilot program to
operate seven days a week in the future, businesses have raised concerns with piloting
the program on Thursdays -Saturday. This is why staff is recommending Sunday -
Wednesday to start the pilot program. Also, concerns have been raised by the
Fayetteville Police Department on policing during these times with a new program. The
ordinance does not govern the phasing plan days of the week. A Resolution to Adopt A
Phasing Plan for Fayetteville's First Outdoor Refreshment Area following this item
accomplishes that. Staff's plan is to maintain consistency with communications to
businesses, including the Dickson Street Merchants Association on May 11, 2020, to
begin the pilot program Sunday -Wednesday. Strong communication, coordination, and
agreement from businesses and anchor institutions within the area would need to be
done before expanding beyond the previously discussed dates.
Amendment 2: Allowing parking lots, private parking lots, and right of way components such as
parallel parking and travel lanes to be used as sidewalk cafe space or auxiliary parking when
vehicular traffic patterns have been amended temporarily or otherwise.
• City Attorney's Office Comments: Nothing in this ordinance would prevent businesses
from using parking lots (public or private), parking spaces, or travel lanes for those
potential stated purposes if such a policy is adopted. State laws and ABC regulations
4
may limit a business's ability to serve alcohol to customers in those areas, but the city
clearly has the authority to allow customers to drink there.
This kind of street or parking lot closure policy might require amendments to § 178.02
governing sidewalk cafes and other parts of the City Code. We feel that the closure of
streets is best addressed by a separate administrative or City Council policy enactment
that has been fully fleshed out, including input from business owners and the Police
Department. We can easily extend some or all of the privileges and regulations
governing sidewalk cafes at that time.
Staff Comments: From a staff perspective, we feel the closure of specific streets for
expanded dining is not a component of this ordinance, but rather a separate item. As
mentioned above in the City Attorney's Office comments, the ordinance would in fact
allow patrons to consume alcohol at tables in parking lots or streets if such closures
were approved. Staff recommends that any closure must be proposed by a specific
restaurant who wishes to serve in such an outdoor space and that restaurant must seek
approval from businesses within the impacted area. We should ensure that whatever
practice is adopted does not interrupt businesses who have pivoted recently to drive-
thru, curbside pickup, and delivery services, as this will continue to be a key component
of their operations through the pandemic. This item has not been discussed with
businesses or stakeholders during the development of this ordinance.
Amendment 3: Include an emergency clause which would enable the ordinance to become law
immediately after City Council passage.
Staff generally felt that an emergency clause was not necessary because of the time it
will take to draft the administrative regulations, order cups and install signs, and educate
the businesses within the outdoor refreshment area about these regulations.
Furthermore, the ability of the Police Department to enforce this ordinance will be limited
because Ark. Code Ann. § 14-55-203 states that "an emergency clause shall not be
effective to impose any fine, penalty, forfeiture, or deprivation of liberty or property until
after the ordinance has been published or posted as is otherwise required by law."
According to the City Clerk's office, publication may not occur until as much as two
weeks after the passage of an ordinance.
However, if the City Council believes the ordinance should go into effect immediately for
the preservation of the public peace, health, and safety, then the facts constituting the
emergency must be clearly stated within the ordinance itself. If enacted immediately,
there will be a period of time in which the Police Department's authority to enforce the
provisions of the ordinance will be substantially diminished.
SYNOPSIS OF STAFF RESEARCH FINDINGS:
On October 8, 2019, staff presented their research on public alcohol consumption at the
Fayetteville City Council Agenda Session. While 43 communities were identified, many more
communities exist that allow for alcohol to be consumed outside of designated establishments.
Of the 43 communities, 30 allow for alcohol to be consumed in areas where traffic flows or their
ordinances do not explicitly prevent it.
Many of the concerns that were heard in Fayetteville throughout this process were expressed in
nearly every community who enacted similar ordinances. Findings did indicate that communities
with colleges are typically more conservative with their ordinances. Three college communities
located within the Southeastern Conference (SEC) have public consumption ordinances, many
centered around gameday events.
Public alcohol consumption is also not confined to municipalities with an ordinance. In some
states, the absence of a law prohibiting public alcohol consumption is the determining factor. In
states such as Illinois, it is a social norm to be able to consume alcohol while attending events
and festivals. The key point to note is that no two ordinances are the same. Each was crafted
specifically for the respective community. For a more comprehensive review of staff's research,
please see Exhibit E in the attachments section.
SUMMARY OF FOCUS GROUP SESSIONS:
Following several public meetings held in the Fall of 2019, staff planned two facilitated focus
group sessions in November. The first session was held on November 20 and was a cross
section of restaurants, bars, retailers, the Fayetteville Public Library, Fayetteville Chamber of
Commerce, and employers. The second session was held on November 21 and included
representation from retailers, restaurants, property owners, the Advertising and Promotion
Commission, the Walton Arts Center, and Theatre Squared.
While the conversations between the two groups were different —there were commonalities
between the discussions. Advantages identified by both groups were sidewalk cafes, positive
consumer perception, and increased revenue. Disadvantages discussed by both groups
included a perceived increase in liability, a concern for underage drinking, and the negative
impacts road closures can have on a business's revenue. Ideas in common were rolling out the
sidewalk cafe component first and tailoring a roll-out/pilot to gain proof of concept. Another idea
was scheduling open consumption times during slow days to increase sales and bring more
people downtown, i.e. Sunday -Wednesday as an example. For a more comprehensive review of
the facilitated focus group discussions, piease see Exhibit F in the attachments section.
REVISIONS FROM PREVIOUS ORDINANCE:
The changes from the original ordinance that was proposed in 2019 were derived primarily from
multiple sources: the business community/other stakeholders, the Fayetteville Police
Department, and staff research.
Phasing Plan: At the recommendation of numerous businesses and stakeholders, a
phasing plan has been developed to prove concept and explore various aspects of what
Act 812 allows Fayetteville to do as it relates to public consumption. Following the
outbreak of COVID-19, and the need for pro -longed social distancing for the health of
our community, and restaurant and accommodation professionals, the phasing plan was
altered significantly in May of 2020 to adapt to the pandemic. A copy of the proposed
phasing plan can be found in this packet (Exhibit D).
Enhanced Notification System: Event sponsors who wish to host a special event with
specific approval for public consumption outside of a beer garden will have to complete
the Notice of Proposed Closure for an Outdoor Refreshment Area event form. This new
system will be developed by City staff and list the specific names of businesses within
the closed area. The form will also ask if businesses plan on participating in the event by
selling alcohol to attendees (if applicable- event organizers will have the choice to
request) and collect other information that will be needed by both the event organizer
and the Fayetteville Police Department. This new process will ensure each business is
contacted in the closed area. City staff will also keep an updated contact list of
businesses within the Outdoor Refreshment Area for use by event attendees. Work to
begin collecting businesses preferred contact information will begin if the City Council
chooses to adopt the ordinance.
Regularly Scheduled Open Consumption Pilot Program: A regularly scheduled open
consumption district pilot program can be defined as allowing visitors or patrons to be
able to purchase alcohol from a participating business and consume their beverage
while walking down the sidewalks in a smaller defined area within the Outdoor
Refreshment Area. Streets would not be required to be closed. This program would be
piloted by City staff who have a series of requirements to meet in order to begin such a
program:
The pilot program could take place until the sunset provision of January 30, 2021
(the sunset date will likely need to be extended. No long-term decisions
pertaining to public consumption should be made until an assessment can be
done to review the pilot program under conditions of "full capacity" with anchor
institutions and downtown activity.)
Social distancing guidelines would be adhered to for the health of the public and
businesses.
Before such a program would be activated, robust collaboration with businesses
of all types within the chosen area, as well as anchor institutions such as the
Walton Arts Center, Theatre Squared, the Fayetteville Public Library, and others
shall be done.
7
City staff will collaborate with the Fayetteville Police Department, businesses of
all types, as well as anchor institutions to define an area for the pilot program.
Businesses within the chosen area shall be notified at least 21 days before the
pilot program begins, City staff will also collect signatures from entities within the
area of the pilot program.
City Council Members will be given advanced notice of the pilot program and
have the ability to appeal it.
Rules of the pilot program will be developed and distributed.
Designated cups and visible identifiers shall be used.
Boundary signage, informational materials will be in place-
Recycling/composting receptacles will be installed and utilized. The City will
conduct ongoing assessments of the need for these receptacles. It is the
Administration's intent to be proactive as well as responsive to ensure the beauty
of downtown is not negatively impacted nor are property owners impacted in a
negative manner.
Public education will begin in advance of the pilot program to ensure awareness
of the rules and public safety measures.
Staff's research found that most public consumption districts throughout the country
operate without street closures. The pilot program will enable the City to explore if this
can be a long-term contributor to downtown vibrancy. The idea for a pilot program
stemmed from the focus group sessions in November of 2019, with focus group
conversation primarily revolving around utilizing this tool to attract patrons into downtown
during slow business times such as Sunday -Wednesday. Recognizing that bars,
restaurants, and performance venues have been severely impacted by necessary
measures taken to protect public health, staff feels the Outdoor Refreshment Area can
serve as a tool to help these impacted industries increase sales during a time of limited
occupancy while allowing for pro -longed social distancing by enabling attendees to
spread out within the area.
Additional business protections against consumers who violate the laws of the
ordinance: Participating businesses do have a great deal of responsibility when it
comes to all aspects of the Outdoor Refreshment Area. While those responsibilities have
not changed, language was added in section (D) Conditions for consumption of alcoholic
beverages in public outdoor areas which reiterates and outlines the responsibilities and
duties of customers and patrons of the district.
N
The premise of these additions allows for the Fayetteville Police Department to enforce
customer violations of the rules of the district, which are in place to protect and increase
safety of all businesses, their staff, and attendees. As examples: it would be a violation
of City law for a customer to enter a bar with an open container of alcohol, give their
beverage to another event attendee (regardless of age), create or distribute fraudulent
visible identifiers, or remove alcohol from an establishment that is not participating in
open consumption.
Branded Cups and Visible Identifiers: Rather than designate that cups be branded
with the specific business logo, staff is recommending they be branded with a logo of the
Outdoor Refreshment Area. The cups may also include a list of rules on them for
attendees. The City, or in the future the designated entity assigned with the
management of the district, will order the cups and visible identifiers. They will also work
with the Fayetteville Police Department to establish a safe flow of these products to the
businesses in order to reduce risk of duplication or fraudulent activity. Staff is also
recommending that businesses be permitted to charge attendees for the designated cup
to assist with covering the increased cost of participating in the program.
BUDGET/STAFF IMPACT:
Until a management plan is developed, and a managing entity identified, and compensated to
manage the program, the program will have a large impact on staff time. Successful
implementation of all aspects of the ordinance will require strong collaboration across various
departments. The success of these programs, specifically the regularly scheduled open
consumption district pilot program, will be dependent upon many of the logistical aspects the
public will not see.
If the City Council decides the continuation of a regularly scheduled open consumption district
beyond the sunset date is right for Fayetteville, an RFP should be developed to solicit proposals
for an entity to manage the district.
Attachments:
Exhibit A: Outdoor Refreshment Area Ordinance Text
Exhibit B: Fayetteville's Designated Outdoor Refreshment Area Map Boundary
Exhibit C: Act 812
Exhibit D: Phasing Plan for reference
Exhibit E: Public Consumption Comparative Presentation
Exhibit F: Facilitated Focus Group Session Notes from November of 2019
Exhibit G: Transportation Committee Presentation from May 12, 2020
Exhibit H: Letters of Support
ORDINANCE NO.
AN ORDINANCE TO ESTABLISH BOUNDARIES FOR AN ENTERTAINMENT DISTRICT
IN THE CITY OF FAYETTEVILLE AND TO PROMULGATE RULES FOR THE LIMITED
OUTDOOR CONSUMPTION OF ALCOHOL IN CERTAIN PUBLIC PLACES
WHEREAS, Act 812 .of 2019 grants municipalities broad authority to create "designated
entertainment districts" in contiguous areas zoned for or customarily used for commercial purposes
located within the municipality; and
WHEREAS, the Act also allows municipalities to create reasonable standards for the regulation
of alcohol possession in outdoor public spaces within a designated entertainment district.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas hereby enacts § 111.07 -
Outdoor Refreshment Area of the Fayetteville City Code as follows:
"111.07 - Outdoor Refreshment Area
(A) Definitions
(1) Customer shall include a patron, guest, or member.
(2) Owner shall include the owner, manager, or operator of an establishment
permitted to sell alcoholic beverages.
(3) Permittee shall mean the person or entity who has received an event permit from
the City of Fayetteville allowing the outdoor consumption of alcoholic beverages
within an established entertainment district.
(4) Limited open consumption district pilot program shall mean a series of specific
dates and times which occur on a limited basis in which a person or customer may
purchase alcohol from participating businesses and consume said alcohol within a
defined area with open streets within the Outdoor Refreshment Area. The dates
and times, as well as any rules applicable to such a pilot program, shall be
established by the Mayor.
(B) Creation and establishment of districts. Pursuant to the authority granted by Ark. Code
Ann. § 14-54-1412, an entertainment district is hereby created with the areas and
boundaries as set forth and designated on the map which is attached hereto as Exhibit 1
and incorporated herein. The district shall be known as the Outdoor Refreshment Area on
the map attached as Exhibit 1.
(C) Outdoor consumption of alcohol in public places. The consumption of alcoholic
beverages or possession of open containers of alcoholic beverages in public outdoor areas
within the Outdoor Refreshment Area is prohibited with the exception of:
(1) Events with standing approval. The outdoor consumption of alcohol may be
allowed on public streets, sidewalks, rights -of -way, parking lots, or outdoor
public areas within the areas designated for events with standing approval
pursuant to the Fayetteville City Code. The prior written authorization of the
Mayor shall be required, and additional conditions may be placed on the
permittee, the event, and any owner who wishes to allow the owner's customers
to participate in the event as part of the authorization. The areas designated for the
outdoor consumption of alcohol at standing events shall be closed to vehicular
traffic unless those areas fall within a limited consumption district pilot program
in which case the rules for the open consumption district shall apply.
(2) Special event permits with specific approval. A special event permit issued by the
Mayor pursuant to § 72.58(M) may authorize the outdoor consumption of alcohol
on public streets, sidewalks, rights -of -way, parking lots, or outdoor public areas in
certain areas and only during the times specified in the permit. Additional
conditions may be placed on the permittee, the event, and any owner who wishes
to allow the owner's customers to participate in the event as part of the
authorization. Such areas may be closed to vehicular traffic.
(a) Organizers of events who wish to apply for the special event permit to
allow open consumption of alcohol within the entire event area, rather
than confining alcohol consumption to a limited area, shall complete
the appropriate Notice of Proposed Closure for a Outdoor Refreshment
Area Event Form as well as the standard Notice of Proposed Closure
form.
(b) A business located adjacent to or within the event area may sell alcohol
for open consumption in the event area only with the approval of the
event organizer. If an event occurs during a time and within the area of
a limited consumption district pilot program, business sales of alcohol
for open consumption shall be permitted.
(3) Limited open consumption districtpilotprograms. The Mayor may identify specific
dates and times to authorize the implementation of a limited open consumption
district pilot program within the Outdoor Refreshment Area. Such pilot program
areas will not require street closures. Rules established by the Mayor applying to
pilot program areas shall be distributed to business owners and signs shall posted
in conspicuous locations within the pilot program area.
(a) At least 21 days prior to the beginning of an open consumption pilot
program, City staff will notify nearby businesses and identify
participating businesses.
(b) The Mayor, by and through staff, shall notify the City Council
Members by email or otherwise of the decision to implement a
limited open consumption district pilot program. If at least two (2)
City Council Members notify the City Clerk's Office in writing within
seven (7) days of the Mayor's notification of his or her decision that
2
they wish to appeal such decision, then the issue will be presented on
the next City Council meeting in which the Mayor's decision could
reasonably be considered. The City Council would then be able to
decide by Resolution whether to reverse the Mayor's decision or upon
what conditions (if any) the permit would be granted.
(c) The provisions of subsection 111.07(C)(3) shall expire on January 30,
2021.
(D) Conditions for consumption of alcoholic beverages in public outdoor areas. Any owner
within a designated area may allow a customer to exit the owner's premises during the
hours designated in the special event permit or in an area defined in a limited
consumption district pilot program with no more than one (1) open container of alcoholic
beverages and consume said alcoholic beverages anywhere within the confines of the
designated area in which the alcoholic beverage was obtained, subject to the following
regulations:
(1) An owner within the designated event area or in an area defined in a limited
consumption district pilot program may allow alcoholic beverages to be
removed from the licensed premises during special events with specific
approval who have requested businesses be able to sell to attendees and/or
during the times of the limited consumption district pilot program and only in a
compostable or reusable cup that bears the proper city approved logo, and no
such alcoholic beverages shall be removed from the permitted premises in a can,
bottle, or glass container.
(2) No owner shall allow a customer to exit its premises with an open container of
alcoholic beverage until the owner has placed a designated physical identifier on
the customer, and it shall be unlawful for any person to exit such licensed
premises with an open container without the required physical identifier.
(3) It shall be unlawful for a customer to enter any business regulated by the
Arkansas Alcoholic Beverage Control Division with any alcoholic beverage that
was not acquired at that location. A customer may not enter any other
establishment with an open or closed container of alcoholic beverage without the
consent of the owner or manager of the establishment.
(4) It shall be unlawful for any person to drink or attempt to drink any alcoholic
beverage from a can, bottle, or glass container, or to possess any open can,
bottle, or glass container of alcoholic beverages on the public streets, sidewalks,
rights -of -way, and parking lots located within the Outdoor Refreshment Area.
(5) No container in which an alcoholic beverage is dispensed and removed from the
licensed premises shall exceed sixteen (16) fluid ounces in size.
(6) No person shall possess on the public streets, sidewalks, rights -of -way, parking
lots, or outdoor public areas located within the designated area any open
alcoholic beverage container which exceeds sixteen (16) fluid ounces in size.
(7) No person shall possess on the sidewalks, public streets, rights -of -way, parking
lots, or outdoor public areas any open alcoholic beverage container outside of
the approved area of an event or the district.
(8) It shall be unlawful for a customer to distribute alcohol for open consumption
obtained from a business participating in the Outdoor Refreshment Area to any
other individual.
(9) It shall be unlawful to create, possess, or distribute fraudulent or unauthorized
visible identifiers or cups within the Outdoor Refreshment Area.
(10) No person shall publicly consume within the Outdoor Refreshment Area any
alcoholic beverage purchased outside of the Outdoor Refreshment Area.
(E) Sidewalk Cafes in the Outdoor Refreshment Area. If an owner within the Outdoor
Refreshment Area has also received a sidewalk cafe permit pursuant to § 178.02 of the
Unified Development Code:
(1) The owner may serve alcoholic beverages in open containers during the hours of
operation and in the areas authorized by the sidewalk cafe permit;
(2) Glass containers shall be allowed in the approved outdoor dining areas but shall
not be removed from those areas; and
(3) No fencing or other enclosure of a permitted sidewalk cafe located within a
designated outdoor refreshment area shall be required.
(F) State laws applicable to the Outdoor Refreshment Area. All other Arkansas laws
including, but not limited to, Ark. Code Ann. § 3-3-201, et seq (prohibited practices
regarding alcoholic beverages), Ark. Code Ann. § 5-71-207 (disorderly conduct), Ark.
Code Ann. § 5-71-212 (public intoxication), Ark. Code Ann. § 5-71-218 (consumption of
alcohol in a motor vehicle) remain in effect and will be enforced within the Outdoor
Refreshment Area.
(G)Littering Prohibited. No person shall violate the littering prohibition set forth in § 98.07
of the Fayetteville City Code.
PASSED and APPROVED this
APPROVED:
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Exhibit I
Fayetteville Outdoor
Refreshment Area
(ORA)
With Zoning - Fayetteville, AR
0.25
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CITY OF
_ FAYETTEVILLE
ARKANSAS
The ugta rar4—d ksizm was a Vfledl Nctr ,eaic_s eed— tor Me mie oar and
• 'I'l el the Cityer Fa'yettndlfe Gepgraphc.lnfannsCen S� ned " p%iele
agenaes t serves Anv use al the Bala n1's�yv a rsNae Wu the G6y e[ Feyetteailk
s al the sole risk of the user: and by acceptance al this data, the user does hereby
agree to indemnify the City of Fayetteville and hold the City of Fayetteville harmless
ham a,d r%ilh- liabeey for any claims """'. cost for damages of any nature
including the city's wsl of del— asserted by user airby _e Cher ariung from the
se of this date- The City of F,,Htt ilk makes no esprers or implied warrantees
with reference la the data No word phrese, o clause found herein shah be
,,vlr, d to waive th,l tod im—ty vet forth under Arkansas law.
Map Date: 05/13/2020
Stricken language wouiu be deleted from and underlined language would be added to present law.
Act 812 of the Regular Session
1 State of Arkansas As Engrossed: H3128119
2 92nd General Assembly A Bill
3 Regular Session, 2019 SENATE BILL 492
4
5 By: Senators T. Garner, Bond, B. Sample, G. Leding, L. Chesterfield, Elliott
6 By: Representatives Barker, A. Collins, McCullough, Scott
II
8 For An Act To Be Entitled
9 AN ACT TO PROMOTE HOSPITALITY AND TOURISM; TO
10 ESTABLISH AREAS OF A CITY OR TOWN THAT HIGHLIGHT
11 RESTAURANT, ENTERTAINMENT, AND HOSPITALITY OPTIONS;
12 TO ESTABLISH TEMPORARY OR PERMANENT DESIGNATED
13 ENTERTAINMENT DISTRICTS; AND FOR OTHER PURPOSES.
14
15
16 Subtitle
17 TO PROMOTE HOSPITALITY AND TOURISM; TO
18 ESTABLISH AREAS OF A CITY OR TOWN THAT
19 HIGHLIGHT RESTAURANT, ENTERTAINMENT, AND
20 HOSPITALITY OPTIONS; TO ESTABLISH
21 TEMPORARY OR PERMANENT DESIGNATED
22 ENTERTAINMENT DISTRICTS.
23
24
25 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
26
27 SECTION 1. Arkansas Code § 3-2-206, concerning the rulemaking
28 authority of the Alcoholic Beverage Control Division, is amended to add an
29 additional subsection to read as follows:
30 (f) A rule promulgated under this title that prohibits a person from
31 possessing an alcoholic beverage outside of an establishment that holds a
32 permit for on -premises consumption and from which the alcoholic beverage was
33 purchased does not apply within a designated entertainment district as
34 defined in § 14-54-1412.
35
36 SECTION 2. Arkansas Code § 5-71-212(e), concerning the exceptions to
03-28-2019 10:51:42 BPG340
As Engrossed: H3/28/19
SB492
1 consuming alcohol in public, is amended to read as follows:
2 (e) The prov;sira s of th�s This section Rhall does not be eenstriAed t
3 prohibit or restrict the consumption of an alcoholic beverage when consumed_
4 (1) a� As a part of a recognized religious ceremony or ritual; or
5 (2) Within the physical boundaries of a designated entertainment
6 district as defined in § 14-54-1412.
7
8 SECTION 3. Arkansas Code Title 14, Chapter 54, Subchapter 14, is
9 amended to add an additional section to read as follows:
10 14-54 1412. DesiKnated entertainment districts.
11 (a) As used in this section, "designated entertainment district" means
12 a contiguous area located in a part of a city, a municipality, or an
13 incorporated town that:
14 (1) Is zoned for or customarily used for commercial purposes;
15 and
16 (2) Contains any number and any combination of restaurants,
17 taprooms, taverns, entertainment establishments, hospitality establishments,_
18 music venues, theaters, bars, art galleries, art studios, tourist
19 destinations, distilleries, dance clubs, cinemas, or concert halls.
20 (b)(1) A city, a municipality, or an incorporated town collecting a
21 gross receipts tax on prepared food or hotel and motel accommodations under
22 ,§§ 26-75-602 — 26-75-613 and located in a county authorized to sell alcoholic
23 beverages may by ordinance create a designated entertainment distract.
24 (2) A designated entertainment district may be permanent or
25 temporary.
26 (3)(A) A city, a municipality, or an incorporated town that
27 creates a designated entertainment district under this section shall set by
28 ordinance reasonable standards for the regulation of alcohol possession
29 within the boundaries of the designated entertainment district.
30 (B) An ordinance enacted under this subsection does not
31 diminish the requirements of the Alcoholic Beverage Control Division
32 concerning permits issued within the designated entertainment district.
33 (4) A city, a municipality, or an incorporated town that creates
34 a designated entertainment district under this section shall notify the
35 division within ten (10) days of the issuance or removal of a permanent or
36 temporary designation as a designated entertainment district.
2 03-28-2019 10:51:42 BPG340
As Engrossed: H3/28/19
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SB492
Is/T. Garner
APPROVED: 4/9/19
3 03-28-2019 10:51:42 BPG340