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HomeMy WebLinkAboutA. Consideration of a One-Year Moratorium on Independent Massage Establishment Conditional Use Permits CITY OF PALM DESERT DEPARTMENT OF COMMUNITY DEVELOPMENT STAFF REPORT REQUEST: Consideration by the Planning Commission to recommend to the City Council that a moratorium be placed on issuance of Conditional Use Permits to independent massage establishments for a period of one year. SUBMITTED BY: Kevin Swartz Assistant Planner DATE: June 16, 2009 EXECUTIVE SUMMARY: Approval of the Planning Commission's recommendation to the City Council would place a moratorium upon issuance of CUPs for all independent massage establishments in the City of Palm Desert for a period of one year, while the impact of limitations, restrictions, and/or prohibitions are studied. II. BACKGROUND: At the Planning Commission meeting on May 19, 2009, the Commission requested that staff prepare a report for recommendation to the City Council that a moratorium be placed on CUPs for all independent massage establishments for a period of one year, while the City studies massage establishments. The Commissioners requested the moratorium, in light of Police Department activity at massage establishments because of illegal conduct and operating without an approved license. Over the past two weeks there have been two massage establishments that have been shut down, and the City is holding public hearings to consider revocation of their Conditional Use Permits. The moratorium, if approved, would take effect immediately and prohibit CUPs for new massage businesses. Applicants currently in the City's application pipeline would be exempt. While researching massage establishments, staff found that the City has approved 19 Conditional Use Permits. Out of the 19 CUP's, ten are for independent stand alone massage establishments. The remaining nine are considered a secondary use within an existing business, with the primary use including salons, skin care, pilates, yoga, and chiropractors. Additionally, the Marriott Desert Springs has a spa, which includes massage that was approved Staff Report Moratorium June 16, 2009 Page 2 of 3 during the entitlement process, and did not need a CUP. For the purpose of this summary report, staff broke massage establishments down into the following: independent massage establishment, massage establishments as a secondary use, and massage establishments within a hotel. Below is a chart summarizing the findings. Approved Independent Massage Massage CUP's Massage Establishments Establishments Establishments as a Secondary Within a Hotel Use 19 10 9 1 III. ANALYSIS: The Massage Establishment Ordinance requires a Conditional Use Permit to assure that there is adequate parking and land use compatibility for all massage establishments. The Planning Commission is recommending that a moratorium be placed on issuance of Conditional Use Permits to independent massage establishments for a period of one year. During the moratorium, the City will study the current ordinance. Attached is a memo from the Palm Desert Police Department outlining their perspective of massage establishments. Reasons for the moratorium are: That independent massage establishments have been determined to require greater policing and code enforcement resources. That Palm Desert has a high number of such establishments, which may be disproportionate to the city and visitor population. That Palm Desert desires to have a broad mix of retail businesses and services so as to avoid financial hardship in the event of a significant downturn in any one sector. That more study is needed before making any long term decisions regarding limitation or prohibition of independent massage establishments. Over the years massage establishments have failed to comply with conditions imposed by the Conditional Use Permit. The City has found massage establishments staff conducting business, even though the license to operate was inactive. G:\Planning\Kevin Swartz\Word\Staff Report Massage Moratorium.doc Staff Report Moratorium June 16, 2009 Page 3 of 3 Massage establishment licenses have been denied because applicants have been operating who have been convicted of "disqualifying conduct". Massage establishments have been raided for illegal conduct. There have been investigations for organized crime activity and human smuggling offenses. IV. RECOMMENDATION: Staff recommends that the Planning Commission recommend to the City Council that a moratorium be placed on issuance of Conditional Use Permits for any independent massage establishments for a period of one year while options for long term regulatory strategy are studied. V. ATTACHMENTS: A. Palm Desert Police Report Memo dated 10 June 2009 Submitted by: Department Head: )t-. Kevin Swartz Lauri Aylaian Assistant Planner Director of Community Development Approval: :•' -i Homer Croy" ACM for Dev ent Services G:\Planning\Kevin Swartz\Word\Staff Report Massage Moratorium.doc PALM DESERT POLICE DEPARTMENT Served by the Riverside County Sheriffs Department Stanley Sniff, Sheriff- Coroner TO: Planning Department DATE: June 10, 2009 FROM: Lieutenant Andrew Shouse SUBJECT: Massage Establishment Summary SUMMARY For the past several years numerous massage establishments have opened for business in the city of Palm Desert. Many of these establishments are legitimate businesses where clients may obtain professional massage therapy services. Typically, massage services offered at resort and hotel locations, or offered at locations licensed to provide massage as a secondary use, do not generate much suspicion, public complaint, or police activity. Generally, these businesses are legitimate and the persons involved strive to comply with all laws and licensing requirements. However, more than one of the massage businesses operating in the city are suspect locations where the owners and/or employees may be engaged in prostitution and pandering activities. In Palm Desert, all of the suspect massage establishments are independent(stand alone) businesses. The city of Palm Desert currently has ten (10) licensed independent massage establishments within the city limits. Two (2) of the ten (10) have not yet opened for business. Not all of these businesses are believed to be engaged in illicit activity, but one or more business may be suspect. POLICE ACTIVITY In 2007 the Riverside County Sheriff's Department's Special Investigation Bureau conducted an undercover sting operation at numerous massage establishments located in several cities of the Coachella Valley. Six (6) Palm Desert businesses were investigated. During the investigation, law enforcement obtained evidence of alleged prostitution and pandering activity at four (4) of the locations. Prosecution was sought for provable offenses in those cases. Since January 2007 there have been seventeen (17) documented police reports of alleged prostitution activity at massage establishments within the city of Palm Desert. There have also been a minimum of five (5) additional undocumented and informal complaints received from the public regarding illicit activity at these locations. In 2008 Palm Desert Code Enforcement and the Palm Desert Police Department's Special Enforcement Team (SET) began conducting monthly compliance checks at all the independent massage establishments within the city limits. These checks are aimed at ensuring that businesses and therapists are in compliance with various regulations and Municipal Codes. The Palm Desert Police Department also regularly investigates allegations of prostitution activity. In 2009 we arrested two (2) subjects for prostitution at an east Palm Desert massage business. That business has since been closed by the City. During 2008 and 2009 the city of Palm Desert has revoked two(2)business licenses from massage establishments operating in the city and is in the process of reviewing/revoking their conditional use permits. A coordinated effort between the Police Department, Code Enforcement and the Planning and Business Licensing Departments is what is necessary to ensure that these businesses remain in compliance with the law. CONCLUSION Over recent years, Federal, state and local authorities have investigated numerous suspect massage establishments not only for prostitution activity, but for organized crime activity and human smuggling offenses. Many of these organizations operate multiple locations in various cities. Girls are rotated between locations to avoid identification and prosecution by law enforcement. It is well known in the law enforcement community that prostitution activity is not a "victimless crime". With many of these women, they are compelled to work off never ending debt they assumed when they were transported to the United States and continue to accumulate for daily living expenses. They are often times subjected to emotional and physical abuse by both their customers and handlers and are reluctant to seek assistance from authorities for fear of deportation and retaliation.