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HomeMy WebLinkAboutAdult Entertainment Study 1999THE CITY OF STILLWATER, MINNESOTA ADULT ENTERTAINMENT STUDY Having conducted its public hearing on the impact of adult entertainment uses on adjacent areas and having considered the testimony and reports presented to it, the Stillwater City Council hereby makes the following FINDINGS and CONCLUSIONS. FINDINGS 1. Activities defined as adult uses are protected by the First Amendment to the United States Constitution. 2. A community must provide reasonable opportunity for adult uses to exist. The Renton Washington Supreme Court case provides a guideline in this regard. 3. Adult uses may produce a secondary impact or effect which is judged as negative to the health, safety, and general welfare of the community as a result, these secondary impacts or effects can be controlled. 4. A community, due to the secondary impact of adult uses, can regulate such activities and restrict their proximity to sensitive activity sites which are typically oriented toward minors. 5. Due also to secondary impacts, a community can maintain the separation of adult uses from one another. 6. A community has the right to police adult uses to insure they are operating in a fashion where the secondary impacts or affects are mitigated to the extent possible. 7. Section 31 -1 of the Zoning Ordinance of the City of Stillwater states in relevant part that the purpose of the Ordinance is to protect the public health safety, comfort, convenience and general welfare; promote orderly development; provide for the compatibility of different land uses; and dividing the City into zones and districts restricting and regulating therein the location and use of structures and land. 8. Adult entertainment uses have an impact on the neighborhoods surrounding them which is distinct from the impact caused by other commercial uses. 9. Residential neighborhoods located within close proximity to adult theaters, bookstores and other moderate -to -high patronage adult businesses experience increased crime rates (sex - related crimes in particular), lowered property values, increased transiency, and decreased stability of ownership. 10. The adverse impacts which an adult entertainment use has on surrounding areas diminish as the distance from the adult entertainment use increases. 11. Among the crimes which tend to increase either within or in the near vicinity of adult entertainment uses are rapes, prostitution, child molestation, indecent exposure, and other lewd and lascivious behavior. 12. The City of Phoenix Study confirmed that the sex crime rate was on an average six times higher in areas with at least one adult entertainment use as it was within comparable areas of their city without such adult uses. 13. The values of both commercial and residential properties either are diminished or fail to appreciate at the rate of other comparable properties when located in proximity to adult entertainment uses. 14. The adverse impact of adult uses on commercial areas is increased by the presence of more than one adult entertainment use in close proximity to another such use. 15. The number and rate of real estate listings increases in areas in which adult entertainment uses are located. 16. Professional real estate appraisers believe that an adult bookstore would have a negative effect on the value of both residential and commercial properties within a one to three block area of the store. 17. Many members of the public perceive areas within which adult entertainment uses are located as less safe than other areas which do not have such uses. 18. The cities whose adult entertainment use reports have been considered in these proceedings, have strip commercial development patterns and other commercial neighborhood characteristics analogous to those found or developing in Stillwater. CONCLUSIONS 1. The impacts which adult entertainment uses have on surrounding areas should be addressed through a distinct set of land use regulations directed specifically at such adult entertainment uses. 2. Adult entertainment land uses should not be located in close proximity to buildings or facilities where children are the dominant clientele or patrons of the service, product, or facility usage offered by such building or facility. 3. The existing land use regulations of the City inadequately address the unique impacts which adult entertainment uses have on surrounding neighborhoods and fail to adequately foster the community goals declared in the comprehensive plan, the zoning ordinance, and the state law. 4. Adult entertainment uses should be located in areas of the City which are not in close proximity to churches, parks, and schools. 5. Regardless of whether or to what extent adult entertainment uses have currently had an adverse impact on the areas surrounding them in this City, the experience of other cities, as documented in the numerous studies considered, confirms that regulation of adult entertainment uses is essential to prevent future deterioration of surrounding neighborhoods and adverse impacts associated with such uses. 6. The concerns which have prompted public hearings in this City are similar to the concerns which motivated the communities of Indianapolis, Indiana; St. Paul, Minnesota; Phoenix, Arizona; and Seattle, Washington to undertake their studies of adult entertainment uses; consequently, the results of those studies are relevant to the existing or foreseeable impacts which such uses can have on the areas surrounding them in this City. A summary of these studies is set forth in the attached appendix "A" that is made a part of these findings. 7. The concentration of adult entertainment uses in commercial areas or the location of adult entertainment uses in close proximity to residential uses, churches, parks and schools will result in devaluation of property values and decreases in commercial business sales, thereby reducing tax revenues to the City and adversely impacting the economic well -being of the citizens of this City. 8. Residents of the City and the numerous non - residents who patronize or would patronize non- adult entertainment businesses in the City will move their patronage from the City if adult entertainment uses are not regulated and are allowed to contribute to the blight and deterioration of the areas surrounding such uses. 9. Location of adult entertainment uses in proximity to residential uses, churches, parks, schools, and other adult entertainment uses very likely would lead to increased levels of criminal activities, including prostitution, rape assaults, and other sex - related crimes in the vicinity of such adult entertainment uses. 10. Regulation of adult entertainment uses is essential to ensure that family values and youth values in the community are protected and provided a physical environment in which to develop in a healthy and wholesome manner. 11. Adult entertainment uses should not be located within a three block radius (approximately 1,000 feet) of any residential zoning district, church, school, youth oriented facility or any other such adult entertainment use, except under circumstances which would ensure mitigation of the adverse impacts identified in these proceedings. Adopted by the Stillwater City Council this a day of Nit , 1999. CITY OF STILLWATER Morli Weldon City Clerk t APPENDIX "A" DOCUMENTED IMPACTS OF SEXUALLY ORIENTED BUSINESSES The planning staff has reviewed evidence from studies conducted in various cities throughout the country. These studies, taken together, provide compelling evidence that sexually oriented' businesses are associated with high crime rates and depression of property values. What follows is a summary of this evidence as well as public testimony as presented in the report of the Attorney General's Working Group on the Recsulation of Sexually Oriented Businesses, June 6-, 1989. Minneapolis In 1980, on direction from the Minneapolis City Council, the Minneapolis Crime Prevention Center examined the effects 'of sex - oriented and alcohol- oriented adult entertainment upon property values and crime rates. This study used both simple regression and multiple regression statistical analysis to evaluate whether there was a causal relationship between these businesses and neighborhood. blight. The study concluded that there was a close association between sexually oriented- businesses, high crime rates and low housing values in a neighborhood. When the data was reexamined using control variables such as the mean income in the neighborhood .to determine whether the association proved causation, it was unclear whether sexually oriented businesses caused a decline in the property values. The Minneapolis study concluded that sexually oriented businesses concentrate in areas which are relatively deteriorated and, at most, they may weakly contribute to the continued depression of property values. However, the Minneapolis .study found a much stronger relationship between sexually oriented businesses and crime rates. A crime index was constructed including robbery, burglary, rape and assault. The rate of crime in areas near sexually oriented businesses was then compared to crime rates in other areas. The study drew the following conclusions: 1. The effects of sexually oriented businesses on the crime rate index is positive and significant regardless .of which control variable is used. 2. Sexually oriented businesses continue to be associated with higher crime rates, even when the control variables' impacts are considered simultaneously. 1 1 According to the statistical analysis conducted in the Minneapolis study, the addition of one sexually oriented business to a census tract area will cause an increase .in the overall crime rate index in that area by 9.15 crimes per thousand people per year even if all other social factors remain unchanged. St. Paul In 1978, the St. Paul Division of Planning and the Minnesota Crime Control Planning board conducted a study of the relationship between sex - oriented and alcohol- oriented adult entertainment businesses and neighborhood blight. This study looked at crime rates per thousand and median housing values over time as indices of neighborhood deterioration. The study combined sex - oriented and alcohol - oriented businesses, so its conclusions are only suggestive of the effects of sexually oriented businesses alone. Nevertheless, the study reached the following important conclusions: 1. There is a statistically significant correlation between the location of adult businesses and neighborhood deterioration. 2. Adult entertainment establishments tend to locate in somewhat deteriorated areas. 3. Additional relative deterioration of an area follows location of an adult businesses in the area. 4. There is a significantly higher crime rate associated with two such businesses in an area than is associated with only one adult business. 5. Housing values are also significantly lower in an-area where there are three adult businesses than they are in an area with only one such business. Similar conclusions about the adverse impact of sexually oriented businesses on the community were reached in studies conducted in cities across the nation. Indianapolis In 1983, the City of Indianapolis researched the relationship between sexually oriented. businesses and property values. The study was based on data from a national random sample of 20 percent of the American Institute of Real Estate Appraisers. The study found the following: 2 1. The appraisers overwhelmingly (80 %) felt that an adult bookstore located in a neighborhood would have a negative impact on residential property values within one block of the site. ?. The real estate experts also overwhelmingly (71 %) believed that there would be a detrimental effect on commercial property values within the same one block radius. 3. This negative impact dissipates as the distance from the site increases so that most appraisers believed that by three blocks away from an adult bookstore, its impact on property values would be minimal. Indianapolis also studied the relationship between crime rates and sexually oriented bookstores, cabarets, theaters, ,arcades and massage parlors. A 1984 study *entitled "Adult Entertainment Businesses in Indianapolis" found that areas with sexually oriented businesses had higher crime rates than ,similar areas with no sexually oriented businesses. 1. Major crimes, such as criminal homicide, rape, robbery, assault, burglary and larceny, occurred at a rate that was 23 percent higher in those areas which had sexually oriented businesses. 2. The sex related crime rate, including rape, indecent exposure and child molestation, was found to be 77 percent higher in those areas with sexually oriented businesses. Phoenix The Planning Department of Phoenix, Arizona published a study -in 1979 entitled "Relation of Criminal Activity and Adult Businesses." This study showed that arrests for sexual crimes and the location of sexually oriented businesses were directly related. The study compared three areas with sexually oriented businesses with three control areas which had similar demographic and land use characteristics, but no sexually oriented establishments. The study found that: 1. Property crimes were 43 percent higher in those areas which contained a sexually oriented business. 2. The sex crime rate was 500 percent higher in those areas with sexually oriented businesses. 3 3. The study area with the greatest concentration of sexually oriented businesses had a sex crimes rate over 11 times as large as similar area having no sexually oriented businesses. Los Angeles A study released by the Los Angeles Police Department in 1984 supports a relationship between sexually oriented businesses and rising crime rates. This study is less definitive, since it was not designed to use similar areas as a control. The study indicated that there were 11 sexually oriented adult establishments in the Hollywood, California area in 1969. By 1975, the number had grown to 88. During the same time period, reported incidents of "Part 1" crime (i.e., homicide; rape, aggravated assault, robbery, burglary, larceny and vehicle theft) increased 7.6 percent in the Hollywood area while the rest of-Los Angeles had a 4.2 percent increase. "Part II" arrests (i.e., forgery, prostitution, narcotics, liquor law violations and gambling) increased 3.4 percent in the rest of Lost Angeles, but 45.4 percent in the Hollywood area. Concentration of Sexually Oriented Businesses Neighborhood Case Study In St. Paul, there is one neighborhood which has an especially heavy concentration of sexually oriented businesses. The blocks adjacent to the intersection of University Avenue and Dale Street have more than 20 percent of the city's adult uses (4 out of 19), including all of St. Paul's sexually oriented bookstores and movie theaters. The neighborhood, as a whole, shows signs of significant distress, including the highest unemployment rates in the city, the highest percentage of families below the poverty line in the city, the lowest median family income and the lowest percentage of high school and college graduates. (See 40 Acre Study on Adult Entertainment, St. Paul Department of Planning and Economic Development, Division of Planning, 1987 at p. 19.) It would be difficult to attribute these problems in any simple way to sexually oriented businesses. However, it is likely that there is a relationship between the concentration of sexually oriented businesses and neighborhood crime rates. The St. Paul Police Department has determined that St. Paul's street prostitution is concentrated in a "street prostitution zone" immediately adjacent to the intersection where the sexually oriented businesses are located. Police statistics for 1986 show that, of 279 prostitution arrests for which specific locations could be identified, 70 percent (195) were within the 4 "street prostitution zone." Moreover, all of the locations with 10 or more arrests for prostitution were within this zone. The location of sexually oriented businesses has also created a perception in the community that this is an unsafe and undesirable part of the city. In 1983, Western State Bank, which is currently located across the street from an adult bookstore, hired a research firm to survey area residents regarding their preferred location for a bank and their perceptions of different locations. A sample of 305 people were given a list of locations and asked, "Are there any of these locations where you would not feel safe conducting your banking business ?" No more than 4 percent of the respondents said they would feel unsafe banking at other locations in the city. But 36 percent said they would fee unsafe banking at Dale and University, the corner where the sexually oriented businesses are concentrated. The Working Group reviewed the 1987 40 Acre Study on Adult Entertainment prepared by the Division of Planning in St. Paul's Department of Planning and Economic Development. This study summarized testimony presented to the Planning Commission regarding neighborhood problems: - Residents in the University /Dale area report frequent sex related harassment by motorists and pedestrians in the. neighborhood. Although it cannot be' proved that such harassers are patrons of adult businesses, it is reasonable to suspect such a connection. Moreover, neighborhood residents submitted evidence to the Planning Commission in the form of discarded pornographic literature allegedly found in the streets, sidewalks, bushes and alleys near adult businesses. Such literature is sexually very explicit, even on the cover, and under . the present circumstances becomes available to minors even though its sale to minors is prohibited. Testimony The Working Group heard testimony that a concentration of sexually oriented businesses has serious impacts upon the surrounding neighborhood. The Working Group heard that pornographic materials are left in adjacent lots. One person reported to the police that he had found 50 pieces of pornographic material in a church parking lot near a sexually oriented business. Neighbors report finding used condoms on their lawns and sidewalks and that sex acts with prostitutes occur on streets and alleys in plain view of families and children. The Working Group heard testimony that arrest rates understate the level of crime associated with sexually oriented businesses. Many robberies and thefts from "johns" and many assaults upon prostitutes are never reported to the police. 5 Prostitution also results in harassment of neighborhood residents. Young girls on their way to school or young women on their way to work are often propositioned by johns. The Flick Theater caters to homosexual trade and male prostitution has been noted in the area. Neighborhood boys and men are also accosted on the street. A police officer testified that one resident had informed him that he found used condoms in his yard all the time. Both his teenage son and daughter had been solicited on their way to school and to work. The Working Group heard testimony that in the Frogtown neighborhood, immediately north of the University -Dale intersection in St. Paul, there has been a changed over time in the quality of life since the sexually oriented businesses moved into the area. The Working Group heard that the neighborhood used to be primarily middle class, did not have a high crime rate and did not have prostitution. St. Paul police officers testified that they believed the sexually oriented businesses caused neighborhood problems, particularly the increase in prostitution and other crime rates. Property values were suffering, since the presence of high crime rates made the area less desirable to people who would have the ability and inclination to improve their homes. The Working Group made some inquiry to determine to what extent smaller cities outside the Twin Cities Metropolitan area suffered adverse impacts of sexually oriented businesses. The Working Group was informed by the chiefs of police of Northfield and Owatonna that neither city had adult bookstores or similar sexually oriented businesses. Police chiefs in Rochester and Winona stated that sexually oriented businesses in their communities operate in non- residential areas. In addition, there is a no. "concentration" problem. In Rochester, there are two facilities in a shopping mall and a single bookstore in a depressed commercial /business neighborhood. The Winona store is located in a downtown business area. The police chiefs stated that they had no evidence of increased crime rates in the area adjacent to these facilities. They had no information as to the effect which these businesses might have on local property values. Information presented to the. Working Group indicates that community impacts of sexually oriented businesses are primarily a function of two variables, proximity to residential areas and concentration. Property values are directly affected within a small radius of the location of a sexually oriented business. Concentration may compound depression of property values and may lead to an increase in crime sufficient to change the quality of life and perceived desirability of property in a neighborhood. The evidence suggests that the impacts of sexually oriented businesses are exacerbated when they are located near each other. Police officers testified to the Working Group. that "vice breeds vice." When sexually oriented businesses have multiple uses (i.e. theater, bookstore, nude dancing, peep booths), one building can 6 have the impact of several separate businesses. The Working Group heard testimony that concentration of sexually oriented businesses creates a "war zone" which serves , as a magnet for people from other areas who "know" where to find prostitutes and sexual entertainment. The presence of bars in the immediate vicinity of sexually oriented businesses also compounds impacts upon the neighborhood. The Attorney General's Working Group believes that regulatory strategies designed to reduce the concentration of sexually oriented businesses, insulate residential areas from them, and reduce the likelihood of associated criminal activity would constitute a rational response to evidence of the impacts which these businesses have upon local communities. 7 RESOLUTION NO. 99 -136 A RESOLUTION ADOPTING FINDINGS IN RE: ADULT ENTERTAINMENT ORDINANCE Having conducted its public hearing on the impact of adult entertainment uses on adjacent areas and having considered the testimony and reports presented to it, the Stillwater City Council hereby makes the following FINDINGS and CONCLUSIONS. FINDINGS 1. Activities defined as adult uses are protected by the First Amendment to the United States Constitution. 2. A community must provide reasonable opportunity for adult uses to exist. The Renton Washington Supreme Court case provides a guideline in this regard. 3. Adult uses may produce a secondary impact or effect which is judged as negative to the health, safety, and general welfare of the community as a result, these secondary impacts or effects can be controlled. 4. A community, due to the secondary impact of adult uses, can regulate such activities and restrict their proximity to sensitive activity sites which are typically oriented toward minors. 5. Due also to secondary impacts, a community can maintain the separation of adult uses from one another. 6. A community has the right to police adult uses to insure they are operating in a fashion where the secondary impacts or affects are mitigated to the extent possible. 7. Section 31 -1 of the Zoning Ordinance of the City of Stillwater states in relevant part that the purpose of the Ordinance is to protect the public health safety, comfort, convenience and general welfare; promote orderly development; provide for the compatibility of different land uses; and dividing the City into zones and districts restricting and regulating therein the location and use of structures and land. 8. Adult entertainment uses have an impact on the neighborhoods surrounding them which is distinct from the impact caused by other commercial uses. 9. Residential neighborhoods located within close proximity to adult theaters, bookstores and other moderate -to -high patronage adult businesses experience increased crime rates (sex - related crimes in particular), lowered property values, increased transiency, and decreased stability of ownership. 1 10. The adverse impacts which an adult entertainment use has on surrounding areas diminish as the distance from the adult entertainment use increases. 11. Among the crimes which tend to increase either within or in the near vicinity of adult entertainment uses are rapes, prostitution, child molestation, indecent exposure, and other lewd and lascivious behavior. 12. The City of Phoenix Study confirmed that the sex crime rate was on an average six times higher in areas with at least one adult entertainment use as it was within comparable areas of their city without such adult uses. 13. The values of both commercial and residential properties either are diminished or fail to appreciate at the rate of other comparable properties when located in proximity to adult entertainment uses. 14. The adverse impact of adult uses on commercial areas is increased by the presence of more than one adult entertainment use in close proximity to another such use. 15. The number and rate of real estate listings increases in areas in which adult entertainment uses are located. 16. Professional real estate appraisers believe that an adult bookstore would have a negative effect on the value of both residential and commercial properties within a one to three block area of the store. 17. Many members of the public perceive areas within which adult entertainment uses are located as less safe than other areas which do not have such uses. 18. The cities whose adult entertainment use reports have been considered in these proceedings, have strip commercial development patterns and other commercial neighborhood characteristics analogous to those found or developing in Stillwater. 19. The report of the Community Development Director as presented to the City Council and the reports and minutes of the Planning Commission together with their findings are made a part of the record. CONCLUSIONS 1. The impacts which adult entertainment uses have on surrounding areas should be addressed through a distinct set of land use regulations directed specifically at such adult entertainment uses. 2 2. Adult entertainment land uses should not be located in close proximity to buildings or facilities where children are the dominant clientele or patrons of the service, product, or facility usage offered by such building or facility. 3. The existing land use regulations of the City inadequately address the unique impacts which adult entertainment uses have on surrounding neighborhoods and fail to adequately foster the community goals declared in the comprehensive plan, the zoning ordinance, and the state law. 4. Adult entertainment uses should be located in areas of the City which are not in close proximity to churches, parks, and schools. 5. Regardless of whether or to what extent adult entertainment uses have currently had an adverse impact on the areas surrounding them in this City, the experience of other cities, as documented in the numerous studies considered, confirms that regulation of adult entertainment uses is essential to prevent future deterioration of surrounding neighborhoods and adverse impacts associated with such uses. 6. The concerns which have prompted public hearings in this City are similar to the concerns which motivated the communities of Indianapolis, Indiana; St. Paul, Minnesota; Phoenix, Arizona; and Seattle, Washington to undertake their studies of adult entertainment uses; consequently, the results of those studies are relevant to the existing or foreseeable impacts which such uses can have on the areas surrounding them in this City. A summary of these studies is set forth in the attached appendix "A" that is made a part of these findings. 7. The concentration of adult entertainment uses in commercial areas or the location of adult entertainment uses in close proximity to residential uses, churches, parks and schools will result in devaluation of property values and decreases in commercial business sales, thereby reducing tax revenues to the City and adversely impacting the economic well -being of the citizens of this City. 8. Residents of the City and the numerous non - residents who patronize or would patronize non- adult entertainment businesses in the City will move their patronage from the City if adult entertainment uses are not regulated and are allowed to contribute to the blight and deterioration of the areas surrounding such uses. 9. Location of adult entertainment uses in proximity to residential uses, churches, parks, schools, and other adult entertainment uses very likely would lead to increased levels of criminal activities, including prostitution, rape assaults, and other sex - related crimes in the vicinity of such adult entertainment uses. 10. Regulation of adult entertainment uses is essential to ensure that family values and youth values in the community are protected and provided a physical environment in which to 3 develop in a healthy and wholesome mariner. 11. Adult entertainment uses should not be located within a three block radius (approximately 1,000 feet) of any residential zoning district, church, school, youth oriented facility or any other such adult entertainment use, except under circumstances which would ensure mitigation of the adverse impacts identified in these proceedings. Adopted by the Stillwater City Council this 18th day of May , 1999. CITY OF STILLWATER ATTEST: Q,) Morli Weldon City Clerk 4 APPENDIX "A" DOCUMENTED IMPACTS OF SEXUALLY ORIENTED BUSINESSES The planning staff has reviewed evidence from studies conducted in various cities throughout the country. These studies, taken tcgether, provide compelling evidence that sexually oriented businesses are associated with high crime rates and depression of property values. What follows is a summary of this evidence as well as public testimony as presented in the Report of the Attorney . General's Workina Groun on the Reaulation of Sexually Oriented Businesses, June 6, 1989. Minneapolis In 1980, on direction from the Minneapolis City Council, the Minneapolis Crime Prevention Center examined the effects `of sex - oriented and alcohol- oriented adult entertainment upon property values and crime rates. This study :used both simple regression and multiple regression statistical analysis to evaluate whether there was a causal relationship between these businesses and neighborhood blicht. The study concluded that there was a_close association between sexually oriened- businesses, high crime rates and low housing values in a neighborhood.- :: When : the -data was reexamined using control variables such as the mean _income in the neighborhood .to determine whether the association proved causation, it was unclear whether sexually oriented businesses caused a decline in the property values. -_The Minneapolis study-concluded that sexually oriented businesses concentrate :.in areas which are relatively deteriorated and, at most, they may weakly contribute to the 'continued depression of.:property values. Eowever,'the Minneapolis•study. found a much stronger relationship between sexually oriented businesses and crime rates. A crime index was constructed including robbery, burglary, rape and assault. The rate 2of. crime in areas- near -sexually oriented businesses was then compared to crime rates in other areas. The - study drew the following conclusions: 1. The effects of sexually oriented businesses on the crime rate index is positive and significant regardless .of which control variable is used. 2. Sexually oriented businesses continue to be associated with higher crime rates, even when the control variables' impacts are considered simultaneously. 1. • • • f According to the statistical analysis conducted in the Minneapolis study, the addition of one sexually oriented business to a census tract area will cause an increase -in the overall crime rate index in that area by 9.15 crimes per thousand people per year even if all other social factors remain unchanged. St. Paul In 1978, the St. Paul Division of Planning and the Minnesota Crime Control Planning board conducted a study of the relationship between sex- oriented and alcohol - oriented adult entertainment businesses and neighborhood blight. This study looked at crime rates per thousand and median housing values over time as indices of neighborhood deterioration. The study combined sex - oriented and alcohol- oriented businesses, so its conclusions are only suggestive of the effects of sexually oriented - businesses alone. Nevertheless, the study reached the following important conclusions: 1- There is a statistically significant correlation between the location of adult businesses and neighborhood deterioration. 2. Adult entertainment establishments tend to locate in somewhat deteriorated areas. 3. Additional relative deterioration of an area follows location of an adult businesses in the area. 4. There is a significantly higher crime rate associated with two such businesses-in an area than is associated with only one adult business. 5. Housing values are also significantly lower in an-area where there are three adult businesses than they are in an area with only one such business. Similar conclusions about the adverse impact of sexually oriented businesses on the community were reached in studies conducted in cities across the nation. - Indianapolis In 1983, the City of Indianapolis researched the relationship between sexually oriented. businesses and property values. The study was based on data from a national random sample of 20 percent of the American Institute of Real Estate Appraisers. The study found the following: 2 1. The appraisers overwhelmingly (80$) felt that an adult bookstore located in a neighborhood would have a negative impact on residential property values within one block of the site. - ?. The real estate experts also overwhelmingly (71 %) believed that there_ would be a detrimental effect on commercial property values within the same one block radius. 3. This negative impact dissipates as .the distance from the site increases so that most appraisers believed that by three blocks away from an adult bookstore, its impact on property values would be minimal. Indianapolis also studied the relationship between crime rates and sexually oriented bookstores, cabarets, theaters, .arcades and massage parlors. A 1984 study entitled "Adult Entertainment Businesses in Indianapolis" found that areas with sexually oriented businesses had higher crime rates than .similar• areas with no sexually oriented businesses. Major crimes, such as criminal homicide, rape, robbery, assault, burglary and larceny, occurred at a rate that was 23 percent higher in those areas which had sexually oriented businesses. 2. The sex related crime rate, including rape, indecent exposure and child molestation, was found to be 77 percent higher in those areas with sexually oriented businesses. Phoenix The Planning Department of Phoenix, Arizona published a study -in 1979 entitled "Relation of Criminal Activity and Adult Businesses." This study showed that arrests for sexual crimes and the location of sexually oriented businesses were directly related. The study - compared three areas with sexually oriented businesses with three control areas which had similar demographic and land use characteristics, but no sexually oriented establishments. The study found that: 1. Property crimes were 43 percent higher in those areas which contained a sexually oriented business. 2. The sex crime rate was 500 percent higher in those areas with sexually oriented businesses. • 3 3. The study area with the greatest concentration of sexually oriented businesses had a sex crimes rate over 11 times as large as similar area having no sexually oriented businesses. Los Anceles A study released by the Los Angeles Police Department in 1984 supports a relationship between sexually oriented businesses and rising crime rates. :This study is less definitive, since it was not designed to use similar areas as a control. The study indicated that there were 11 sexually oriented adult establishments in the Hollywood, California area in 1969. By 1975, the number had grown to 88. During the same time period, reported incidents of "Part 1" crime- (i.e.-, homicide; rape, aggravated assault, robbery, burglary, larceny and vehicle theft) increased 7.6 percent in the Hollywood area while the rest of-Los Angeles had a .4.2 percent increase. "Part II" arrests (i.e., forgery, prostitution, narcotics, licuor law violations and gzmbling) increased 3.4 percent in the rest of Lost Angeles, but -45.4 percent in the Hollywood area. Concentration of Sexually Oriented Businesses Neighborhood Case Study in St. Paul, there is one neighborhood which has an especially heavy concentration of sexually oriented businesses. The blocks adjacent to the intersection of University Avenue and Dale Street have more than 20 percent of the city's adult uses (4 out of 19), i ncluding all of St. Paul's sexually oriented bookstores and movie theaters. The neighborhood, as a whole, shows signs of significant distress, including the highest unemployment rates in the city, the highest percentage of families below the poverty line in the ' city, the lowest median family income and the lowest percentage of high school and college graduates. (See 40 Acre Study on Adult Entertainment, St.` Paul Department of Planning and Economic. Development, Division of Planning, 1987 at p. 19.) It would be difficult to attribute these problems in any simple way to sexually oriented businesses. However, it is likely that there is a relationship between the concentration of sexually oriented businesses and neighborhood crime rates. The St. Paul Police Department has determined that St. Paul's street prostitution is concentrated in a "street prostitution zone" immediately adjacent to the intersection where the sexually oriented businesses are located. Police statistics for 1986 show that, of 279 prostitution arrests for which specific , locations could be identified, 70 percent (195) were within the 4 "street prostitution zone." Moreover, all of the locations with or acre arrests for prostitution were within this zone. The location of sexually oriented businesses has also created a perception in the community that this is an unsafe and undesirable part of the city. In 1983, Western State Bank, which is currently located across the street from an adult bookstore, hired a - research firm to survey area residents regarding their preferred location for a bank and their perceptions of different locations. A sample of 305 people were given a list of locations and asked, "Are there any of these locations where you would not feel safe conducting your banking business ?" No more than 4 percent of the respondents said they would feel unsafe banking at other locations in the city. But 36 percent said they would fee unsafe banking at _Dale and University, the -corner where the sexually oriented businesses are concentrated. The Working Group = the 1987 40 Acre Study on Adult Entertainment prepared by _the Division of Planning'in St. Paul's Department of Planning. and Economic Development. This study summarized testimony presented to the Planning Commission regarding neighborhood problems: Residents in the University /Dale area report frequent sex - - related harassment by motorists and pedestrians in the neighborhood. < . Although - it - cannot - be ' proved that 'such harassers are patrons " :of adult - businesses, it ` = is reasonable to suspect .such a connection.; Moreover, neighborhood residents submitted evidence to the Planning _ Commission in =the -form of discarded -pornographic - literature "allegedly -found in the streets, sidewalks, bushes and alleys near adult businesses.. Such literature is sexually very explicit, even on the cover, and under the present circumstances becomes available to minors- even though its sale to minors is prohibited. Testimony The Working Group heard testimony that a concentration of sexually oriented businesses has` serious 'impacts upon the surrounding neighborhood. The Working Group heard that pornographic materials are left in adjacent lots. One person reported to the police that he had found 50 pieces of pornographic material in a church parking lot near a sexually oriented business. Neighbors report finding used condoms on their lawns and sidewalks and that sex acts with prostitutes occur on streets and alleys in plain view of families and children. The Working Group heard testimony that arrest rates understate the level of crime associated with sexually oriented businesses. . Many robberies and thefts from "johns" and Tiany assaults upon prostitutes are never reported to the police. 5 I Prostitution also results in harassment of neighborhood residents. Young girls on their way to school or young women on their way to work are often propositioned by johns. The Flick Theater caters to hcmosexua1 trade and male prostitution has been noted in the area. Neighborhood boys and men are also accosted on the street. A police officer testified that one resident had informed him that he found used condoms in his yard all the time. Both his teenage son and daughter had been solicited on their way to school and to work. The Working Group heard testimony that in the Frogtown neighborhood, immediately north of the University -Dale intersection in St. Paul, there_has been a changed over time in the quality of life since the sexually oriented businesses moved into the area. The Working Group heard that the neighborhood used to be primarily middle class, did not have a high crime rate and did not have prostitution. St. Paul police officers testified that they believed the sexually oriented businesses caused neighborhood problems, particularly the increase in prostitution and other crime rates. Property values were_ suffering, since the presence _of high crime rates made the area less desirable to people who would have the ability and inclination to improve their homes. -- The Working Group made some inquiry to determine to what extent smaller cities outside the Twin Cities Metropolitan area suffered adverse impacts of sexually oriented businesses. • The Working Group was informed by the chiefs of police of Northfield and Owatonna that neither city had adult bookstores or similar sexually oriented businesses. Police chiefs in Rochester and Winona stated that sexually oriented businesses in their communities operate'in non - res idential areas. In. addition, there is a no. ."concentration" problem. In Rochester, there are two facilities in a shopping mall and a single bookstore in a depressed commercial /business neighborhood. The Winona store is located in a downtown business area. The police chiefs-stated that they had no evidence of increased crime rates in the area adjacent to these facilities. They had no information as to the effect which these businesses might have on local property values. Information presented to the. Working Group indicates that community impacts of sexually oriented businesses are primarily a function of two variables, proximity to residential areas and concentration. Property values are directly affected within a small radius of the location of a sexually oriented business. Concentration may compound depression of property values and may lead to an increase in crime sufficient to change the quality of life and perceived desirability of property in a neighborhood. The evidence suggests that the impacts of sexually oriented businesses are exacerbated when they are located near each other. Police officers testified to the Working Group. that "vice breeds vice." When sexually oriented businesses have multiple uses (i.e. theater, bookstore, nude dancing, peep booths), one building can 6 have the impact of several separate businesses. The Working Group heard testimony that concentration of sexually oriented businesses creates a "war zone" which serves _ as a magnet for people from other areas who "know'* where to find prostitutes and sexual entertainment. The presence of bars in the immediate vicinity of sexually oriented businesses also compounds impacts upon the neighborhood. The Attorney General's Working Group believes that regulatory strategies designed to reduce the concentration of sexually oriented businesses, insulate residential areas from them, and reduce the likelihood of associated criminal activity would constitute a rational response to evidence of the impacts which these businesses have upon local communities. 7 1 1/99 Ordinance No. DRAFT Adult Uses Ordinance City of Stillwater, Minnesota Statement of policy. The city council of the City of Stillwater deems it necessary to provide for the special and express regulation of businesses or commercial enterprises which operate as adult body painting studios, adult bookstores, adult cabarets, adult companionship establishments, adult hotels or motels, adult manage parlors or health clubs, adult mini - motion picture theaters, adult modeling studios, adult motion picture arcades or theaters, adult novelty businesses, adult saunas, and similar adult oriented services operating under different names in order to protect the public health, safety and welfare, and to guard against the inception and transmission of disease. The city council further finds that the commercial enterprises such as the types described above and all other similar establishments whose services include sessions offered to adults conducted in private by members of the same or opposite sex, and employing personnel with no specialized training are susceptible to operation in a manner contravening, subverting, or endangering the morals of the community by being the site of acts of prostitution, illicit sex, and occasions of violent crimes, and thus requiring close inspection, licensing and regulation. The city council also finds that control and regulation of commercial establishments of these types, in view of the abuses often perpetrated, require intensive efforts by the police department and other departments of the city. As a consequence, the concentrated use of city services in: such control detracts from and reduces the level of service available to the rest of the community and thereby diminishes the ability of the city to promote the general health, welfare, morals and safety of the community. In consideration for the necessity on the part of the City to provide numerous services to all segments of the community without a concentration of public services in one area working to the detriment of the members of the general public, it is hereby decided that the above described uses should be limited to the Business Park Commercial, BP -C, zoning district as a special use and as a permitted accessory use in Business Park Office, BP -O and Business Park Business, BP -I, zoning districts, and should require the issuance of licenses Definitions. [As used in this article, the following words and terms shall have the meaning ascribed thereto:] Adult uses include adult bookstores, adult motion picture theaters, adult mini -motion picture theaters, adult massage parlors, adult steam room/bath - house/sauna facilities, adult companionship establishments, adult rap /conversation parlors, adult health/sports clubs, adult cabarets, adult novelty businesses, adult motion picture arcades, adult modeling studios, adult hotels/motels, adult body painting studios, and other premises, enterprises, establishments, businesses, or places open to some or all members of the public at or in which there is an emphasis on the presentation, display, depiction, or description of "specified sexual activities" or "specified anatomical areas" which are capable of being seen by members of the public. Activities classified as obscene as defined by Minnesota Statutes section 617.241 are not lawful and are not included in the definition of adult uses. Adult uses — accessory. The offering of goods and/or services which are classified as adult uses on a limited scale and which are incidental to the primary activity and goods and/or services offered by the establishment. Examples of such items include adult magazines, adult movies, adult novelties, and the like. Adult uses principal. The offering of goods and/or services which are classified as adult uses as a primary or sole activity of a business or establishment, and include but are not limited to the following: Adult body painting studio. An establishment or business which provides the service of applying paint or other substance whether transparent or nontransparent to or on the body of a patron when such body is wholly or partially nude in terms of "specified anatomical areas ". (2)Adult bookstore. A business engaging in the barter, rental, or sale of items consisting of printed matter, pictures, slides, records, audiotapes, videotapes, motion picture film, or any other similar materials, if such shop is not open to the public generally but only to one (1) or more classes of the public, excluding any minor by reason of age, or if a substantial or significant portion of such items are distinguished or characterized by an emphasis on the depiction or description of "specified sexual activities" or "specified anatomical areas ". (3)Adult cabaret. An establishment which provides dancing or other live entertainment if such dancing or other live entertainment is distinguished or characterized by an emphasis on the performance, depiction, or description of "specified sexual activities" or "specified anatomical areas ". (4)Adult companionship establishment. A companionship establishment if such establishment excludes minors by reason of age, or which provides the service of engaging in or listening to conversation, talk or discussion between an employee of the establishment and a customer, if such service is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas ". (5)Entertainment, adult. Adult bookstores, adult motion picture theaters, adult mini - motion picture theaters, adult massage parlors, adult saunas, adult companionship establishments, adult health clubs, adult cabarets, adult novelty businesses, adult motion picture arcades, adult modeling studios, adult hotels or motels, adult body painting studios, and other adult establishments. (6)Adult establishment. A business-engaging in any of the following activities or which utilizes any of the following business procedures or practices; either: a. Any business which is conducted exclusively for the patronage of adults and as to which minors are specifically excluded from patronage thereat either by law or by the operators of such business; or b.Any other business which offers its patrons services or entertainment characterized by an emphasis on matter depicting, exposing, describing, discussing or relating to specified sexual activities or specified anatomical areas. Specifically included in the term, but without limitation, are adult bookstores, adult motion picture theaters, adult mini- motion picture theatres, adult massage parlors, adult saunas, adult companionship establishments, adult health clubs, adult cabarets, adult novelty businesses, adult motion picture arcades, adult modeling studios, adult hotel or motel, and adult body painting studios. (7)Adult hotel or motel: Adult hotel or motel means a hotel or motel from which minors are specifically excluded from patronage and wherein material is presented which is distinguished or characterized by an emphasis on matter depicting, describing or relating to specified sexual activities or specified anatomical areas. (8)Adult massage parlor, health club. A massage parlor or health club which restricts minors by reason of age, and which provides the services of massage, if such service is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas ". (9)Adult mini - motion picture theater. A business premises with[in] an enclosed building with a capacity for less than fifty (50) persons used for presenting visual media material if such business as a prevailing practice excludes minors by virtue of age, or if said material is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas" for observation by patrons therein. (10)Adult modeling studio. An establishment whose major business is the provision, to customers, of figure models who are so provided with the intent of providing sexual stimulation or sexual gratification to such customers and who engage in specified sexual activities or display specified anatomical areas while being observed, painted, painted upon, sketched, drawn, sculptured, photographed, or otherwise depicted by such customers. (11), dult motion picture arcade. Any place to which the public is permitted or invited wherein coin or operated slug or electronically, electrically or mechanically controlled still or motion picture machines, projectors, or other image- producing devices are maintained to show images to five (5) or fewer persons per machine at any one time, and where the images so displayed are distinguished or characterized by an emphasis on depicting or describing "specified sexual activities" or "specific anatomical areas ". (12)Adult Motion Picture Theaters. A business premises within an enclosed building with a capacity of 50 or more persons used for presenting visual media material if said business as a prevailing practice excludes minors by virtue of age, or if said material is distinguished or characterized by an emphasis on the depiction or description of "specified sexual activities" or "specified anatomical areas" for observation by patrons. (13)Adult Novelty Business. A business which has as a principal activity the sale of devices which stimulate human genitals or devices which are designed for sexual stimulation. (14)Adult Sauna. A sauna which excludes minors by reason of age, or which provides a steam bath or heat bathing room used for the purpose of bathing, relaxation, or reducing, utilizing steam or hot air as a cleaning, relaxing or reducing agent, if the service provided by the sauna is distinguished or characterized by an emphasis on "specified sexual activities" or "specified anatomical areas ". Specked anatomical areas. Anatomical areas consisting of (1)Less than completely and opaquely covered human genitals, pubic region, buttock, anus, or female breast(s) below a point immediately above the top of the areola; and (2)Human male genitals in a discernibly turgid state, even if completely and opaquely covered. Specified sexual activities. Activities consisting of the following: (1)Actual or simulated sexual intercourse, oral copulation, anal intercourse, oral -anal copulation, bestiality, direct physical stimulation of unclothed genitals, flagellation or torture in the context of a sexual relationship, or the use of excretory functions in the context of a sexual relationship, and any of the following sexually oriented acts or conduct: anilingus, buggery, coprophagy, coprophilia, cunnilingus, fellatio, necrophilia, pederasty, pedophilia, piquierism, sapphism, zooerasty; or (2)Clearly depicted human genitals in the state of sexual stimulation, arousal or tumescence; or (3)Use of human or animal ejaculation, sodomy, oral copulation, coitus, or masturbation; or (4)Fondling or touching of nude human genitals, pubic region, buttocks, or female breast; or (5)Situations involving a person or persons, any of whom are nude, clad in undergarments or in sexually revealing costumes, and who are engaged in activities involving the flagellation, torture, fettering, binding or other physical restraint or any such persons; or (6)Erotic or lewd touching, fondling or other sexually oriented contact with an animal by a human being; or (7)Human excretion, urination, menstruation, vaginal or anal irrigation. Licenses. (a)License required. No person, firm, or corporation shall operate an adult use in the City of Stillwater without having first secured a license as hereinafter provided. Licenses shall be one (1) of two (2) types: (1)Adult use, principal; (2)Adult use, accessory (b)Applications. The application for an adult use license shall include: (1)The name, residence, phone number and birthdate of the applicant, if an individual; and if a corporation, the names, residences, phone numbers and birthdates of those owners holding more than five (5) percent of the outstanding stock of the corporation. (2)The name, address, phone number and birthdate of the manager of such operation, if different from the owners; (3)The premises wherein the adult use is to be located; (4)A statement detailing each gross misdemeanor or felony relating to a sex offense add/or the operation of adult uses and related activities of which the applicant or, in the case of a corporation, the owners of more than five (5) percent of the outstanding stock of the corporation, have been convicted, and whether or not the applicant has ever applied for or held a license to operate a similar type of business in other communities. (5)The activities and types of business to be conducted; (6)The hours of operation; (7)The provisions made to restrict access by minor..; (8)A building plan of the premises detailing all internal operations and activities. (c)Licenses fees. (1)Each application for a license shall be accompanied by a receipt from the City finance director for payment in full of the required fee for the license as established by City Council Resolution from time to time. All fees shall be paid into the general fund of the City. Upon rejection of any application for a license, the finance director shall refund the amount paid. (2)A11 licenses shall expire on the last day of June in each year. Each license shall be issued for a period of one (1) year, except that if a portion of the license year has elapsed when the application is made, a license may be issued for the remainder of the year for a pro rata fee. In computing such fee, any unexpired fraction of a month shall be counted as one (1) month. (3)The annual fee for an adult use license shall be as established by City council resolution from time to time. (4)No part of the fee paid for any license issued under this article shall be refunded except in the following instances upon application to the city administrator within thirty (30) days from the happening of the event. There shall be refunded a pro rata portion of the fee for the unexpired period of the license, computed on a monthly basis, when operation of the licensed business ceases not less than one (1) month before expiration of the license because of: a.Destruction or damage of the licensed premises by fire or other catastrophe; b.The licensee's illness; c.The licensee's death; d.A change in the legal status making [it] unlawful for the licensed business to continue. (d)Granting of license_ (1)The City shall investigate all facts set out in the application. Opportunity shall be given to any person to be heard for or against the granting of the license. After such investigation and a public hearing, the City council shall grant or refuse the application. (2)Each license shall be issued to the applicant only and shall not be transferable to another holder. Each license shall be issued only for the premises described in the application. No license may be transferred to another place without the approval of the City council. (e)Persons ineligible for license. No license shall be granted or held by any person: (1)Under twenty -one (21) years of age; (2)Who has been convicted of a felony or of violating any law of this state or local ordinance relating to sex offenses and/or audit uses. (3)Who is not the proprietor of the establishment for which the license is issued. (f)Places ineligible for license. (1)No license shall be granted for adult uses on any premises where a licensee has been convicted of a violation of this chapter, or where any license hereunder has been revoked for cause, until one (1) year has elapsed after such conviction or revocation. (2)Except for uses lawfully existing at the time of adoption of this article, no license shall be granted for any adult use which is not in compliance with the city's zoning regulations. (g)Nonconforming uses. Any adult use existing on the effective date of the adoption of this article may be continued subject to the following provisions: (1)No such adult use shall be expanded or enlarged except in conformity with the provisions of this article; (2)A nonconforming adult use shall be required to apply for and receive an adult use license. No public hearing shall be required prior to the issuance of the license for the nonconforming adult use. Conditions of license, generally. ( a)Every license shall be granted subject to the conditions in the following subsections and all other provisions of this chapter, and of any applicable sections of the Code of the City or state law. (b)All licensed premises shall have the license posted in a conspicuous place at all times. (c)In the case of an adult use— principal, no minor shall be permitted on the licensed premises unless accompanied by his parent or legal guardian. (d)Any designated inspection officer or law enforcement officer of the City shall have the unqualified right to enter, inspect, and search the premises of a licensee during business hours within a search and seizure warrant. (e)Every licensee shall be responsible for the conduct of his place of business [and] shall maintain conditions of this order. Conditions of license, adult use — principal Adult use — principal businesses shall be permitted in the Business Park Commercial, BP- C, zoning district subject to the issuance of a special use permit and subject to the following requirements: (a)An adult use— principal business shall not be allowed within five hundred (500) feet of another existing adult use measured in a straight line from the buildings. (b)An adult use — principal business shall not be located within five hundred Meet measured in a straight line from any building located in any residential zoning district in the City of Stillwater. (c)An adult use — principal business shall not be located within one thousand (1,000) feet measured in a straight line from existing school or place of worship located in the City of Stillwater. - ''- tb x 1/4C47 G.... Cc.- (d)An adult use -- principal business shall not sell or dispense nonintoxicating or intoxicating liquors nor shall it be located in a building which contains a business that sells or dispenses nonintoxicating or intoxicating liquors. (e)No adult use— principal business entertainment shall engage in any activity or conduct or permit any other person to engage in any activity or conduct in or about the adult use establishment which is prohibited by any ordinance of the City of Stillwater, the laws of the State of Minnesota, or the United States of America. Nothing in this article shall be construed as authorizing or permitting conduct which is prohibited or regulated by other statutes [or] ordinances, including but not limited to statutes or ordinances prohibiting the exhibition, sale or distribution of obscene material generally, or the exhibition, sale or distribution of specified materials to minors. (f)No adult use— principal business shall be conducted in any manner that permits the perception or observation from any property not approved as an adult use of any materials depicting, describing or related to "specified sexual activities" or "specified anatomical areas" by any visual or auditory media, including display, declaration, sign, show window, sound transmission or other means. (g)All adult use— principal businesses shall prominently display a sign at the entrance and located within two (2) feet of the door - opening device of the adult use establishment or section of the establishment devoted to adult books or materials which states: "This business sells or displays material containing adult themes. Persons under age 18 years of age shall -not enter." a Said sign shall have letters at [least] three- eighths -inch in height and no more than two (2) inches in height. (h)No person under the age of eighteen (18) shall be permitted on the premises of an adult entertainment establishment. No person under the age of eighteen (18) shall be permitted access to material displayed or offered for sale or rent by an adult use principal business establishment (i)Adult use— principal businesses shall not be open between the hours of 1:00 a.m. and 8:00 a.m. on the days of Monday through Saturday, nor between 1:00 a.m. and 12:00 noon on Sunday. Conditions of license, adult use — accessory. Adult use— accessory licenses may be issued to businesses located in the Business Park Office, BP -O, or Business Park Industrial, BP -I, zoning districts subject to the following requirements: (a)The adult use — accessory shall comprise no more than ten (10) percent of the floor area of the establishment in which it is located. (b)Display areas for movie rentals or other similar products shall be restricted from general view and shall be located within a separate room, the access of which is in clear view and under the control of the person responsible for the operation_ (c)Magazines and publications or other similar products classified or qualified as adult uses shall not be accessible to minors and shall be covered with a wrapper or other means to prevent display of any materials other than the publication title. (d)Adult use— accessory shall be prohibited from both internal and external advertising and singing of adult materials and products. Revocation suspension or non - renewal of license. The license may be revoked, suspended, or not renewed by the City council upon recommendation of the City administrator by showing that the licensee, its owners, managers, employees, agents or any other interested parties have engaged in any of the following conduct: (1)Fraud, deception or misrepresentation in connection with the securing of the license. (2)" + abitual drunkenness or intemperance in the use of drugs is :eluding, but not limited to, the use of drugs defined in Minnesota Statutes, section 618.01, barbiturates, hallucinogenic drugs, amphetamines, benzedrine, dexedrine or other sedatives, depressants, stimulants or tranquilizers. (3)Engaging in conduct involving moral turpitude or permitting or allowing others within their employ or agency to engage in conduct involving moral turpitude or failing to prevent agents, officers, or employees-in engaging in conduct involving moral turpitude. (4)Failure to fully comply with any requirements of the ordinances of the City of Stillwater regarding sanitary and safety conditions, zoning requirements, building code requirements or ordinances, the violation of which involves moral turpitude, or failure to comply fully with any requirements of this article. (5)Conviction of an offense involving moral turpitude. (6)Sale of any material, device, or item to any minor which is prohibited by state law. The certificate holder may appeal such suspension, revocation or non - renewal to the City council. The council shall consider the appeal at a regularly scheduled public hearing on or after ten (10) days from service of the notice of appeal to the City administrator. At the conclusion of the hearing, the council may order: (1)That the revocation, suspension or non - renewal be affirmed. (2)That the revocation, suspension or non - renewal be lifted and that the certificate be returned to the certificate holder. (3)The City council may base either suspension or issuance of the certificate upon any additional terms, conditions, and stipulations which they may, in their sole discretion, impose. Penalty for violation. Any person violating any provision of this article is guilty of a misdemeanor and upon conviction shall be punished not more than the maximum penalty for a misdemeanor as prescribed by state law. Additional conditions. The City Council, upon recommendation of its Planning Commission, may make or propose such other conditions and restrictions on Sexually Oriented Businesses as the City Council deems from time to time to be appropriate, where such restrictions or regulations are designed to protect the general health, safety and welfare of the public.