Report Prepared by: Matt Livingston, Assistant Planner, Development Services Department
Title
SUBJECT: Land Use Determination #25-01 - Finding of Public Convenience or Necessity for Abraham Santana, for Alcohol Sales for On- and Off-Site Consumption for Una Mas Taproom at 420 West Main Street
REPORT IN BRIEF
This report provides options for the City Council to consider making a Finding of Public Convenience or Necessity (PCN), as required by the Department of Alcoholic Beverage Control (ABC) to issue a Type 40 alcohol license (allowing the sale of beer for on-site or off-site consumption) for Una Mas Taproom, located at 420 West Main Street. This alcohol license allows people of all ages (including minors), as allowed by the State Department of Alcoholic Control. This license type also requires that the business provide appetizers and snacks. The applicant will be remodeling the exterior and interior of the building. The exterior 3D rendering is found at Attachment 10, and interior design concepts are found at Attachment 11.
RECOMMENDATION
City Council - Adopt a motion approving the Finding of Public Convenience or Necessity to allow Una Mas Taproom, located at 420 West Main Street to obtain a Type 40 license, allowing the sale of beer for on-site and off-site consumption (Option #1 as shown in the “Council Action” section of this Administrative Report).
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to modifications as conditioned by Council; or,
3. Deny the request completely; or,
4. Refer back to staff for reconsideration of specific items as requested by Council; or,
5. Continue item to a future City Council meeting (date and time to be specified in City Council motion).
AUTHORITY
Business and Professions Code Section 23958 and 23958.4.
CITY COUNCIL PRIORITIES
Not applicable.
DISCUSSION
State law mandates that ABC deny the issuance of a license to sell alcohol if the Census Tract in which the license will be issued is considered to have an “undue concentration” of existing alcohol licenses. The exception to this rule is that ABC may issue the license if the local jurisdiction makes a finding of “Public Convenience or Necessity” in support of the issuance of an additional license. However, the phrase “public convenience or necessity” is not defined in either the Alcoholic Beverage Control Act or in ABC’s Implementing Regulations, nor are specific guidelines provided. This determination must be made within 90 days of the date the local jurisdiction is notified of an application. See Attachment 1 - “Provisions for Undue Concentration” for more information regarding “undue concentration.”
Prior case law indicates that the Legislature’s intent for making a finding of public convenience or necessity was to apply different criteria than those used to determine “undue concentration.” Therefore “public convenience or necessity” means something other than the number and location of the licensed alcohol premises which are already covered by the factors used to determine undue concentration. The subject site is located within Census Tract 13.02. In checking with the State of California Alcoholic Beverage Control, this census tract is over concentrated with businesses selling alcohol as 2 licenses are allowed outright, but there are currently 27 active sites. The City Council will need to approve a Finding of Public Convenience or Necessity for this use.
The State’s ABC Mapping System is currently unable to generate a map identifying the 27 active licenses, but the number of active licenses were confirmed with ABC staff. Factors that may be used to determine a Finding of “public convenience or necessity” are found at Attachment 2. Staff, including the Police Department, have reviewed this request, and are recommending approval.
The City Council may also deny the Finding of Public Convenience or Necessity but should make one or more specific findings to support the denial. Such findings might be based on the fact that there are too many existing businesses within the area already serving alcohol, the number of crimes in the area, the proximity to residential uses, the type of business or operation, or other factors the City Council determines would make the issuance of an ABC license detrimental to the community. Guidance for making these findings can be taken from the “Provisions of Undue Concentration” found at Attachment 1.
Una Mas Taproom at 420 West Main Street
This new taproom is requesting approval to sell beer for onsite and offsite consumption (Type 40 Alcoholic Beverage Control License) at 420 West Main Street.
The floor plan at Attachment 6 shows the proposed layout for the site which includes a lobby with tables and a bar seating area. The interior also includes an office space in the back of the site, along with a kitchen and various storage areas. Bathrooms would be located down a hallway towards the back of the site. There will also be a food pickup counter, along with a soda fountain. Small and large tables would be disbursed throughout the rest of the floor plan. In total, there would be approximately 50 seats inside the taproom.
The subject site is located in Downtown Merced and is surrounded by a variety of commercial and entertainment businesses. Entertainment businesses are common throughout the surrounding area with businesses such as the Merced Theater, The Mainzer, The Cue Spot Billiards, 17th Street Public House (pub), Regal Hollywood (movie theatre), The Partisan (pub), O’Ryleigh’s (pub), Casino Merced, Playhouse Merced (live theatre), Joysitq, Vinhos Wine Lounge and Tapas Bar, and El Palacio Night Club, all located throughout Downtown. Given the concentration of entertainment businesses and alcohol sales in the area, staff does not anticipate that the approval of this taproom would create any unusual circumstances for the neighborhood.
In fact, this business concept would be a unique addition to the downtown as there are no other similar businesses that focus primarily on the sale and consumption of beers from regional brewers. In addition, Una Mas would provide various foods/appetizers, and would be open to all ages (as allowed by the State for Type 40 licenses). For those reasons, staff believes this business will be an asset to the Downtown area.
Sensitive Uses
The proximity of a business to residential uses, schools, churches, hospitals, or other “sensitive uses” may also be cause for ABC to deny the issuance of a license. The nearest low-density residential zone is located approximately 1,400 feet south of the subject site, north of West 14th Street between Martin Luther King Jr Way and G Street. In addition, there are multi-family apartments within the Central Commercial (C-C) Zone, such as the Tioga Apartments, Merced Lofts, Merced Theatre Apartments, and a High Density Residential (R-4) Zone at the northeast corner of Martin Luther King Jr. Way and 18th Street. The nearest school (Yosemite-Independence High School) is located 2,200 feet northeast of the subject site at the northeast corner of G Street and East 18th Street. The nearest park (Bob Hart Square) is located approximately 350 feet away from the subject site at the southwest corner of Canal Street and West Main Street.
Information of Fact
In order for the City Council to make their decision regarding a Finding of Public Convenience or Necessity, staff is providing information of fact for the City Council to consider. Based on the information provided in Attachment 5, staff is recommending approval of this request. Approval of this request would authorize the Director of Development Services to notify ABC of this determination.
According to the Merced Police Department, this general area had a very high concentration of incidents between 06/26/2024 and 06/25/2025. Within this time period, there were 1,042 incidents within 500 feet of the subject site (Attachment 8). Typically, particular attention is given to incidents involving public drunkenness, the illegal sale of narcotics, disturbing the peace, and disorderly conduct are reviewed when considering the issuance of an alcohol license. Below is a breakdown of similar types of calls within 500 feet of the site during 6/26/2024 and 06/25/2025.
• Disturbances - 123 incidents
• Assaults - 25 incident
• Public Intoxication - 1 incidents
• Narcotics - 2 incidents
• Municipal Code Violations - 44 incidents
The total call volume City-wide for the same time period was over 69,000 calls. The calls within 500 feet of the subject site equate to approximately 1.51% of the total call volume within the City of Merced for that time period. As previously mentioned, the number of incidents within the surrounding area is considered “Very High” by Merced Police Department standards. However, the Police Department supports this request for a Finding of Public Convenience or Necessity.
Applicant’s Reason to Support Public Convenience or Necessity
Abraham Santana has provided information regarding reasons for supporting a Finding of Public Convenience or Necessity. They cite several reasons to support the issuance of a Type 40 license, including their intent on allowing local breweries to showcase their product by serving local products, and creating a welcoming family-friendly environment that will also serve snacks and appetizers. The applicant also noted that they will be the ones working in the taproom, and that their extensive knowledge on these local products will create an enjoyable and educational experience for their guests. More detailed information supporting this request can be found in the letter at Attachment 5.
Council Action:
Option #1
After considering all the facts provided and the factors that may be considered for determining public convenience or necessity, if the City Council finds the public convenience or necessity would be served by the issuance of an on-sale license to sell beer and wine, the City Council should authorize the Director of Development Service, or their designee, to draft a letter of support to ABC for the issuance of a Type 40 License based on the reasons described in Attachment 5.
Option #2
If the City Council determines public convenience or necessity would not be served by the issuance of a Type 40 license at this location, the City Council should direct the Director of Development Services, or their designee, to draft a letter opposing the issuance of this license. Specific reasons/findings for denial would need to be cited in the City Council motion.
IMPACT ON CITY RESOURCES
No appropriation of funds is needed.
ATTACHMENTS
1. Provisions of Undue Concentration
2. Factors in Determining Public Convenience or Necessity
3. Location Map
4. ABC License Type and Privileges
5. Letter from Applicant
6. Floor Plan
7. City-Wide Incident Map
8. Density of Incidents within 500 feet of Subject Site
9. Distance from Sensitive Uses
10. Exterior Rendering
11. Interior Design Concepts
12. Presentation