madison central bid - annual review of aldo 031513

7/28/2019 Madison Central Bid - Annual Review of ALDO 031513

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Annual Review of the

Alcohol License Density Ordinance

Submitted March 15, 2013


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What did the Alcohol License Density

Ordinance (ALDO) set out to accomplish?

Adopted October 2007.

Decrease the incidences of alcohol-relatedproblems in the downtown area.

Maintain or gradually reduce the number andcapacity of certain type of alcohol beveragelicenses.

___________________________________________________________

Decrease the strain on public resources.

Provide opportunities for businesses that sellalcohol incidental to their principal business.


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Changes to ALDO in 2011

Allowed flexibility for establishments operating asentertainment venues to locate within the ALDOarea. Up to 70% gross annual revenue from alcohol

Only 7 of these types of licenses available Increased the time for property owners to replace

tenants from 1 to 2 years.

Allowed for the possibility of capacity increases with

physical changes. Placed a sunset of August 1, 2013 on the ordinance.

Changes to annual review of ALDO

Common Council adopted an accompanying resolution


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Resolution #23090 Directs the Food and Alcohol Policy Coordinator, Economic

Development staff, Public Health, and Police Department staffto develop an alcohol license management and businessdevelopment plan for the Central Commercial Districtincluding:

Basic data on downtown alcohol-related and business development.

A review of how alcohol license holders are reviewed and regulated. A review of best practices in peer cities for both alcohol license

management and downtown business development, including ways inwhich other cities promote a healthy mix of retail and entertainmentand promote locally-owned, and non-formula businesses.

How the City deploys and coordinates its resources (Alcohol Policy

Coordinator, police, City Attorney's Office, Alcohol License ReviewCommittee, Economic Development, and Business Resources staff,Madison Police Department and Downtown Safety Initiative).

Recommendations of policies to incentivize recruitment and retentionof desired business models, potentially including alcohol licensemanagement, planning, zoning and other appropriate tools.


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Purpose of Annual Review

To review the efficacy of the Alcohol License

Density Ordinance (ALDO) through:

Alcohol-related problems (crime data)

Total number of alcohol beverage licenses by type

Capacity of establishments with liquor licenses

Business mix data


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Downtown Safety Initiative (DSI)

Launched in 2007, $100,000 was appropriated to fundthe Central District (MPD) for overtime costs,purchasing cameras, and other safety-related items.

DSI had three stated goals:

1. Work to reduce violent street level crime, especially fromapproximately 11 p.m. to 3 a.m. for the Central District.

2. Enhance district-wide community policing efforts andengage the community in crime reduction efforts andreduce levels of fear from crime.

3. Improve voluntary compliance with alcohol-relatedordinances in licensed and unlicensed establishments.


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Downtown Safety Initiative (DSI)

DSI funding was reduced to $50,000 in 2010.

Funding was restored to $100,000 in July

2012.

In 2013, DSI was reformed into a city-wide

safety initiative; $50,000 available for Central,

$50,000 available city-wide.


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Crime Data Set

2001-2012

10pm-4am

Measuring certain types of Calls for Service (CFS)

by address: Intoxicated Person

Protective Custody

Conveyance

Local ordinance violation Domestic disturbance

Sexual Assaults

Noise Complaint

Liquor law investigation

Battery

Fight Call

Disturbance Call

Aggravated Battery

Alcohol Conveyance

OWI


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2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

CFS 2945 2972 2925 3084 2930 3105 3141 3037 2756 2953 2788 2706

2400

2500

2600

2700

2800

2900

3000

3100

3200

#

ofCFS

Year

Alcohol Related CFS by Year in ALDO Area


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Heat Maps

What are heat maps?

Shows calls for service by address

Shows where the activity is concentrated in the

area

Gives a more dynamic perspective than just raw

numbers


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Alcohol Beverage License Data

Tracking the total number of licenses from

2003-2012

Reference: State of WI Department of Revenue

Data, active licenses each year

Total number of taverns by year

T t l T Li i ALDO A


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29

31

33

35

37

39

41

43

45

47

49

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Total Tavern Licenses in ALDO Area

Total Taverns


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120

125

130

135

140

145

150

155

160

165

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Total Liquor Licenses In ALDO Area

Total Licenses


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0

20

40

60

80

100

120

140

160

180

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

40 42 41 43 42 40 41 37 38 37

139135 136 138 138 136

141145 146 148

Taverns

All Licenses


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Alcohol License Density vs. CFS Density

Shows comparison of concentration in heat

maps

2003

2007

2012


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Why National Data?

To paint big picture, put data into context

Difference between arrested persons and

calls for service

Not an apples to apples comparison

National Markers

Disorderly Conduct, Drunkenness, Liquor Law

violations, Aggravated Assault

UCR Estimated Arrested Persons


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350,000

400,000

450,000

500,000

550,000

600,000

650,000

700,000

750,000

2005 2006 2007 2008 2009 2010 2011

Aggravated Assault

Liquor Law Violatio

Drunkeness

Disorderly Conduct

United States 2005-2011

Total

ArrestedPersons

US E ti t d A t ALDO C ll F S i 2005 2011


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2500

2600

2700

2800

2900

3000

3100

3200

1,800,000

1,900,000

2,000,000

2,100,000

2,200,000

2,300,000

2,400,000

2005 2006 2007 2008 2009 2010 2011

US Arrested Persons

(UCR) using criteria

from previous slide

CFS ALDO

US Estimated Arrests vs. ALDO Calls For Service 2005-2011

TotalArrested

Persons

Total

Calls for

Service


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Business Mix Data

Food and Drink

Retail

Other

Services (fitness, salons, banks, etc.)

Complete Business Improvement District (BID)data from 2002, 2009, 2011, 2013.

Business Improvement District (BID) Business Mix


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36.3 34.5

29.2


March 2002

Retail

Food/Drink

Other



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28.9

35.1

36


March 2009

Retail

Food/Drink

Other



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26.4

38

35.6


March 2011

Retail

Food/Drink

Other

BID Business Mix March 2013


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26%

39%

35%


Retail

Food and Drink

Other


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Gibbs Study Comparison

50%

38%

12%

1998 Gibbs Market Study

(Amended w/ BID Data)

Retail

Food and Drink

Service

26%

39%

35%


Retail

Food and Drink

Other


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77%

3%

10.3%

9.7%

BID Ownership Mix-March 2013

Locally owned***

Regional companies,

chainlets

Nonprofits

National Chains, Companies

***Includes Wisconsin ownership


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Demographic Data

22202 22168

24339

25564

19000

21000

23000

25000

27000

29000

1990 2000 2007 2012

ALDO Area Population

ALDO Area

Population

http://www.uwex.edu/ces/cced/downtowns/Madison/documents/Madison_

DMA_Consumers_Section1_final9_26a.pdf


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Demographic Data

http://www.uwex.edu/ces/cced/downtowns/Madison/documents/Madison_

DMA_Consumers_Section1_final9_26a.pdf

$23,651

$27,274

$31,607

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

2000 2007 2012

Average Household Income

Average

Household

Income

8773

10239

11029

0

2000

4000

6000

8000

10000

12000

2000 2007 2012

Households in Income Base

Households

in Income

Base


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National Retail Trends

For the past three decades, the restaurant industry hasconsistently posted yearly sales gains. Todays consumersregard food prepared away from home as a necessity.Convenience, a need for socialization and gains in realdisposable income have led consumers to spend more of

their food dollars in restaurants (2003). Lets Talk Business, Issue 84, Aug 2003

Despite sluggish recovery by the nations economy, the

restaurant industry is projected to expand in 2012,according to the National Restaurant Associations2012 Restaurant Industry Forecast. Reports indicate fast food expanded in 2012, while more formal

dining was stable (NPD's Fall 2012 ReCount).
http://restaurant.org/research/forecast/http://restaurant.org/research/forecast/


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National Retail TrendsReported Closing Survey Data

Location of Retail Store Anchor/Large Retail Smaller Chain Retailer Locally Owned

Regional Mall 18% 27% 15%

Neighborhood Center 16% 36% 42%

Downtown/Main Street 4% 14% 63%

*Percentage of city officials that reported a retail closing. National League of Cities survey of city officials, 2009.

This survey was conducted by the National League of Cities in 2009. The data

was collected by polling city officials from various different cities. The surveyasked city officials if they had reported closings of retail and if so, what type

and location of those closings in the past calendar year.


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Recent market activity

Vacancy rate slightly up

Excludes projects under development (only those

currently marketed)

A couple of retail closings

A couple restaurant closings (Logans, Quaker Steak, S2)

Not unusual for Spring data


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Key Take-a-Ways and Observations

Increase in licenses is mostly in new

restaurants.

Retail has been replaced by a mix of services

and food/drink.

Definitions in ALDO have been constraining,

inconsistent in application.


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Next Steps

Staff team will meet through beginning of

June.

Recommendations will be provided to all

impacted committees in June/July.

Recommendations will be a combination of

ordinance, policy, and proposed programs.

Goal is to have entire package approved by

Common Council before August 1 sunset.


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Questions?

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