Item - 2023.EC8.13

City Council considered the following Items together:

EC8.13 headed “Recommended Amendments to Chapter 545, Licensing for Bars, Restaurants, and Entertainment Venues as part of the Night Economy Review”;

EC8.14 headed “Supporting the Growth of the Night Economy”; and

PH8.2 headed “Recommended Amendments to Zoning By-laws for Bars, Restaurants and Entertainment Venues as part of the Night Economy Review - Final Report”.

The Economic and Community Development Committee recommends that:

1. City Council amend Toronto Municipal Code Chapter 545, Licensing as follows:

Updates to Licensing Definitions

1.  Adopt new definitions as follows:

a.  AMUSEMENT, ENTERTAINMENT, OR LIVE PERFORMANCE - Any activity, performance, presentation, show, or similar event intended to provide amusement, entertainment, or diversion to patrons, including but not limited to the playing of amplified live music and any activity that involves the amplification of sound.

b.  OCCUPANT LOAD – The number of patrons that can occupy an establishment, by reference to the highest occupant load stated on the liquor licence, zoning review application, building permit, or fire occupancy statement submitted by the operator of an establishment to Municipal Licensing Standards as part of its licence application.
 

c.  LEVEL 1 NOISE CONTROL PLAN – A plan, submitted by the operator of an establishment to Municipal Licensing and Standards in a form and manner satisfactory to the Executive Director, that contains the following:

(i)   An acknowledgement by the operator of the applicable by-law requirements of Toronto Municipal Code, Chapter 591, Noise, and the availability of community-based mediation services to resolve noise complaints

(ii)   Information from the operator that identifies all sound-producing or amplification equipment installed on the premises, including the type of equipment and the frequency of its intended use;

(iii)  An operations strategy, submitted to MLS upon request, that contains the following:

A.  How and when the operator will monitor noise levels emanating from the premises;

B.  What action the operator will take to alleviate excessive noise while the establishment is operating;

C.  How and when the operator will monitor the exterior of the premises to address noise and loitering issues involving patrons of the establishment;

D.  What process the operator will use to engage with nearby residents, resident groups, and other establishments about noise or nuisance issues related to the establishment;

E.   What process the operator will use to respond to persistent resident complaints about noise, including specific actions it will take if the establishment operates in a building that also contains residential accommodation; and

F. What actions the operator will take to educate staff on implementing the operations strategy.

(iv)   Any other information or documents related to noise production or control that may be required by the Executive Director.

d.   LEVEL 2 NOISE CONTROL PLAN – A plan, submitted by the operator of an establishment to Municipal Licensing and Standards in a form and manner satisfactory to the Executive Director, that contains the following:

(i)    All of the information required by a level 1 noise control plan;

(ii)    A report by a certified professional engineer that includes:

a.  A statement of the intended maximum volume levels at which music or amplified sound will be played within the establishment, based on the equipment present in the establishment

b.  A summary of the wattage of all sound-producing or amplification equipment used in the establishment, as well as their locations and positioning within the premises;

c.  The results of sound-level testing at multiple points at the exterior of the premises;

d.  A summary of the sound insulation methods, equipment, and mechanisms installed at the business premises and how they will be used to ensure that maximum volume levels are not exceeded.

(iii)   Any other information or documents related to noise production or control that may be required by the Executive Director.

e.   LIVE MUSIC PERFORMANCE - A live performance for an audience by an individual musical artist or group of musical artists on physical or digital instruments but excludes the playback of recorded music without the active use of an instrument.

f.   PATRON MANAGEMENT PLAN – A plan, submitted by the operator of an establishment to the Municipal Licensing and Standards Division in a form and manner satisfactory to the Executive Director, that contains the following:

(i)    An acknowledgement by the operator of applicable by-law requirements of Toronto Municipal Code, Chapter 743, Use of Streets and Sidewalks related to pedestrian clearways;

(ii)   A description of where patrons seeking entry or re-entry to the establishment will line up and the maximum number of patrons who will be permitted in such line ups;

(iii)  What procedures the operator will use to monitor line ups, to control the location of lineups, to control the number of patrons in lineups, and to ensure orderly conduct by patrons in lineups including but not limited to information on thresholds for refusing entry of patron(s) on the basis of disorderly conduct; and

(iv)   A description of how the operator will efficiently organize and monitor entry and exit locations to ensure public safety and prevent patrons from loitering outside of the establishment.

g.  PERSON OF AUTHORITY - A person authorized by the operator of an establishment to operate, manage, supervise, run, or control the establishment.

Updates to General Licensing Requirements

2.  Add the following requirements:

a.  If a person does not have an endorsement as required by Chapter 545, they are guilty of the offence of operating without the required licence type;

b.  If the Municipal Licensing and Standards Division has issued an endorsement, the business shall comply with all requirements applicable to the corresponding licence type.

3.  Add a requirement that every person licensed or required to be licensed under the Chapter keep their business premises clean, orderly, suitably lighted, and well-ventilated during opening hours.

4.  Delete 545-8.4(H), which requires licensees to place and maintain temporary cigarette butt receptacles on the sidewalk in front of their premises.

5.  Amend 545-8.4(G) to read: "Without limiting 545-498 and 545-506, every person licensed or required to be licensed under this chapter shall maintain the public sidewalks, curbs, and gutters surrounding their business free from garbage, cigarette butts, cigar tips, littered electronic cigarettes, and any other waste."

6.  Delete sections 545-165, 545-167, 545-329, 545-330, 545-364, 545-365, 545-446, and 545-447 that relate to application and other requirements for corporations and partnerships.

7.  Add provisions to Article I: General Licensing Provisions related to application requirements for corporations and partnerships that:

a.  Require a corporate applicant for a licence to submit:

(i)   A copy of its letters of incorporation or other incorporating document;

(ii)  A corporation profile report or similar official document that shows the current legal status of the corporation;

(iii)   An annual return in a form supplied by the Municipal Licensing and Standards Division that may require, among other things, a declaration of controlling interest in the corporation and a list of all shareholders and classes of shareholders of the corporation; and

(iv)   Any other information or documents that the Executive Director may require to understand the management and ownership structure of the corporation.

b.  Require a partnership applicant for a licence to submit a declaration that states the following:

(i)   The name and address of every partner;

(ii)   The name(s) under which they carry on business;

(iii)  That the partners listed are the only members of the partnership; and

(iv)   The mailing address for the partnership.

c.  Where the shares in a corporate applicant are owned in whole or in part by another corporation or where a member of a partnership applicant is a corporation, require the applicant to submit, upon request by the Municipal Licensing and Standards Division, an annual return for and such other information or documents that the Executive Director may require to understand the management and ownership structure of that other corporation and any further related corporations that are identified.

d.  Require any corporation or partnership applying for the renewal of its licence to submit, upon request by the Municipal Licensing and Standards Division, updated versions of any of the information or documents required above.

8.  Add provisions to Article I: General Licensing Provisions related to changes to the structure if a corporation or partnership that:

a.  Requires corporate and partnership licensees to immediately notify the Municipal Licensing and Standards Division in writing of any change to the controlling interest in the corporation or change in the membership of the partnership.

b.  Requires that where the controlling interest in a corporation or the membership of a partnership that holds a licence related to a holistic centre, body-rub parlour, adult entertainment club, or private parking enforcement agency has changed, the corresponding licence shall immediately terminate, and

the corporation or partnership shall be required to apply for a new licence.

Administrative Update to Offences Section

9.  Update 545-8.5, so it is consistent with the City’s authority to establish fines and create offences under the City of Toronto Act, 2006, including:

a.  Updating the maximum fine to $100,000 for offences;

b.  Adding a special fine for all offences in an amount equal to any economic gain obtained from non-compliance;

c.  Adding general offences for obstructing an inspection or investigation under Chapter 545 and failing to provide information to Municipal Licensing and Standards as required;

d.  Designating each offence as a continuing offence with a maximum daily fine of $10,000 and a total fine which may exceed $100,000.

Eating or Drinking Establishments

10.  Delete Article X – Food Establishments and delete licence requirements for bake shop operators; every person who owns or keeps any place for the reception, refreshment, or entertainment of the public; every person who owns or keeps a victualling house; and every person who owns or keeps a place where foodstuffs intended for human consumption are made, offered for sale, stored or sold.

11.  Add a licence requirement for every person who operates an eating or drinking establishment.

12.  Amend the definition of “eating or drinking establishment” such that it reads as follows: “Premises where food or beverages are prepared or served to patrons for immediate consumption on-site and which may include an incidental take-out service or ancillary amusement, entertainment, or live performance.”

13.  Add a licence requirement for every person who operates an expanded activity eating or drinking establishment.

14.  Add a definition of “expanded activity eating or drinking establishment” as follows: "An eating or drinking establishment that meets three or more of the following criteria: (i) within any seven-day period, the establishment operates past 11 p.m. for a majority of days it is open, (ii) the establishment has a liquor licence to serve alcohol; (iii) the establishment offers amusement, entertainment, or live performance; (iv) the occupant load of the establishment exceeds 150 persons.”

15.  Require every operator of an eating or drinking establishment to submit the following information upon licence application or renewal, or at any time during the term of the licence as required by the Municipal Licensing and Standards Division, in addition to the general licence application requirements that apply to all businesses:

a.  If the establishment serves alcohol, a copy of a valid liquor licence;

b.  If the establishment does not hold a liquor licence, another document that can be used to determine the occupant load of the establishment;

c.  Confirmation of whether amusement, entertainment, or live performance are or will be offered at the establishment at any time;

d. Hours of operation of the establishment; and

e.  Any other information or documents required by the Executive Director.

16. Adopt the following additional requirements for every operator of an eating or drinking establishment:

a. Immediately produce a current food safety inspection report or reports relating to the currently posted food safety inspection notice for the establishment upon request by any person;

b.  If serving alcohol, notify the Municipal Licensing and Standards Division of any change to the terms of the establishment’s liquor licence within 14 calendar days.

17. Add a provision that the Executive Director, at their sole discretion, may require an operator of an eating or drinking establishment to:

a.  Upon licence application or renewal or at any time during the term of a licence, submit:

(i)   A level 1 noise control plan and/or a patron management plan to the Municipal Licensing and Standards Division;

(ii)   A level 2 noise control plan to the Municipal Licensing and Standards Division for approval.

b.  Operate in accordance with the submitted or approved plan(s) and immediately provide a copy to any employee of the Municipal Licensing and Standards Division upon request.

18. Add a provision that the Municipal Licensing and Standards Division may provide the licence application of an eating or drinking establishment to the Medical Officer of Health and consider any report from the Medical Officer of Health in determining whether to grant or refuse the licence.

19. Add the following requirements for every operator of an expanded activity eating or drinking establishment:

a.  Upon licence application or renewal, submit the following with the Municipal Licensing and Standards Division:

(i)    A level 1 noise control plan

(ii)   A patron management plan

b.  Require the establishment to operate in accordance with the level 1 noise control plan submitted to the Municipal Licensing and Standards Division at all times and to immediately provide a copy of the submitted plan to any employee of the Municipal Licensing and Standards Division upon request;

c.  Require the establishment to operate in accordance with the patron management plan submitted to the Municipal Licensing and Standards Division at all times and to immediately provide a copy of the submitted plan to any employee of the Municipal Licensing and Standards Division upon request.

d.  Create a list of persons of authority, including current contact information for each person on the list, and designate at least one person included on the list of persons of authority to be on the premises at all times during hours of operation;

e.  Provide the list of persons of authority to any employee of the Municipal Licensing and Standards Division immediately upon request.

Take-out or Retail Food Establishments

20. Add a licence requirement for take-out or retail food establishments.

21. Add a definition of “take-out or retail food establishment” as follows:

“A. Premises where food or beverages are prepared and offered to patrons exclusively for consumption off-site; or

B. Premises that offer pre-packaged food or drink items to patrons exclusively for consumption off-site, except where such a service is insignificant to the purposes of the business.”

22. Require every operator of a take-out or retail food establishment, if the establishment serves alcohol, to submit a copy of a valid liquor licence upon licence application or renewal, in addition to the general licence application requirements that apply to all businesses.

23. Adopt the following requirements for every operator of a take-out or retail food establishment:

a.  If preparing or serving food, immediately produce a current food safety inspection report or reports relating to the currently posted food safety inspection notice for the establishment upon request by any person;

b.  If serving alcohol, notify the Municipal Licensing and Standards Division of any change to the terms of the establishment’s liquor licence within 14 calendar days.

24.  Add a provision that the Municipal Licensing and Standards Division may provide the licence application of a take-out or retail food establishment to the Medical Officer of Health if the establishment is serving or preparing food pursuant to the Health Protection and Promotion Act or its regulations and consider any report from the Medical Officer of Health in determining whether to grant or refuse the licence.

Entertainment Establishments/Nightclubs

25. Continue to require every person who operates an entertainment establishment/nightclub to obtain a licence.

26. Amend the definition of “entertainment establishment/nightclub” such that it reads as follows:

“A. Premises where amplified music is provided for patron entertainment or dancing.

B. Despite this definition, a premises shall be deemed an entertainment establishment/nightclub under this Chapter where it meets three or more of the following criteria:

(i)   The establishment offers or advertises bottle service, meaning the sale or service of liquor by the bottle;

(ii)    The operator refers to or advertises the establishment as a club, nightclub, disco, dance hall, dance club, or similar venue;

(iii)   The premises are equipped with a lighting system, sound system, or disc jockey booth greater in scope than in an eating or drinking establishment; or

(iv)   The premises has a dedicated stage, dance floor, or other flexible area used for patron entertainment or dancing.

C. This definition shall not include an adult entertainment club”.

27. Delete Article XLI – Entertainment Establishment/Nightclub.

28. Require every operator of an entertainment establishment/nightclub to submit the following information upon licence application or renewal, or at any time during the term of a licence as required by the Municipal Licensing and Standards Division, in addition to the general licence application requirements that apply to all businesses:

a.  If the establishment serves alcohol, a copy of a valid liquor licence;

b.  If the establishment does not hold a liquor licence, another document that can be used to determine the occupant load of the establishment;

c.  Hours of operation of the establishment;

d.  A level 2 noise control plan, for approval by the Municipal Licensing and Standards Division;

e.  A patron management plan; and

f.   Any other information or documents required by the Executive Director.

29. Adopt the following requirements for every operator of an entertainment establishment/nightclub:

a.  Staff the establishment with at least one security guard for every 100 patrons during opening hours, whose exclusive responsibility or duty while engaged or hired is to guard or patrol the premises for the purpose of ensuring orderly conduct and protecting persons and property;

b.  Ensure that all security guards wear identification and uniforms that comply with the Private Security and Investigative Services Act, 2005 or successor legislation and allow them to readily be identified as security guards;

c.  Ensure that all security guards are licensed under the Private Security and Investigative Services Act, 2005 or successor legislation;

d.  Require that each public entrance to the establishment is staffed with at least one security guard and equipped with a functioning metal detector that is used to screen all patrons upon entry;

e.  Require that the establishment is operated in accordance with the level 2 noise control plan approved by the Municipal Licensing and Standards Division at all times and immediately provide a copy of the approved plan to any employee of the Municipal Licensing and Standards Division upon request;

f.  Require that the establishment is operated in accordance with the patron management plan at all times and immediately provide a copy of the submitted plan to any employee of the Municipal Licensing and Standards Division upon request;

g.  Create a list of persons of authority, including current contact information for each person on the list, and designate at least one person included on the list of persons of authority to be on the premises at all times during hours of operation;

h.  Provide the list of persons of authority to any employee of the Municipal Licensing and Standards Division immediately upon request;

i.  If the establishment serves alcohol, notify the Municipal Licensing and Standards Division of any change to the terms of the establishment’s liquor licence within 14 calendar days.

30.  Adopt the following insurance requirements for every operator of an entertainment establishment/nightclub:

a.  Procure a liability insurance policy of at least $2,000,000 against loss or damage resulting from bodily injury or death and of at least $25,000 against loss or damage to property;

b.  Deposit a certificate of such policy with the Municipal Licensing and Standards Division and notify it within 10 calendar days of any change to the policy.

Entertainment Places of Assembly

31. Add a definition of “entertainment place of assembly” as follows: “Premises used as any of the following:

(i)    A performing arts space, live music performance venue, or any other establishment that offers entertainment or performances to patrons, including but not limited to a theatre, cinema, opera, concert hall, circus, or ballet; and

(ii)    A space provided to other persons or entities for entertainment, including banquet halls or event venues.”   

32. Add a licence requirement for every person who operates an expanded activity entertainment place of assembly.

33. Add a definition of “expanded activity entertainment place of assembly” as follows: "An entertainment place of assembly that meets all of the following criteria: (i) within any seven-day period, the establishment operates past 12 a.m. for a majority of days it is open; (ii) the establishment has a liquor licence to serve alcohol; and (iii) the occupant load of the business exceeds 150 persons.”

34. Require every operator of an entertainment place of assembly to submit the following information upon licence application or renewal, or at any time during the term of the licence as required by the Municipal Licensing and Standards Division, in addition to the general licence application requirements that apply to all businesses:

a.  If the establishment serves alcohol, a copy of a valid liquor licence;

b.  If the establishment does not hold a liquor licence, another document that can be used to determine the occupant load of the establishment;

c.  Hours of operation of the establishment; and

d.  Any other information or documents required by the Executive Director.

35. Adopt the following requirements for every operator of an entertainment place of assembly:

a.  If lines form at any entry to the establishment, an identifiable staff person must regulate the queue and prohibit obstruction of the public right of way;

b. If serving alcohol, notify the Municipal Licensing and Standards Division of any change to the terms of the establishment’s liquor licence within 14 calendar days.

36. Adopt the following insurance requirements for every operator of an entertainment establishment place of assembly:

a.  Procure a liability insurance policy of at least $1,000,000 against loss or damage resulting from bodily injury or death and of at least $25,000 against loss or damage to property;

b.  Deposit a certificate of such policy with the Municipal Licensing and Standards Division and notify the Division within 10 calendar days of any change to the policy;

c.  Provide authority to the Executive Director to dispense in whole or in part with the insurance requirements if it is determined that it is not necessary with respect to the type or nature of the operation of the establishment.

37. Add a provision that the Executive Director, at their sole discretion, may require an operator of an entertainment place of assembly to:

a.  Upon licence application or renewal or at any time during the term of a licence, submit:

(i)    A level 1 noise control plan and/or a patron management plan to the Municipal Licensing and Standards Division;

(ii)   A level 2 noise control plan to the Municipal Licensing and Standards Division for approval.

b.  Operate in accordance with the submitted or approved plan(s) and immediately provide a copy to any employee of the Municipal Licensing and Standards Division upon request.

38. Add the following requirements for every operator of an expanded entertainment place of assembly:

a.  Upon licence application or renewal, submit the following to the Municipal Licensing and Standards Division:

(i)    a level 1 noise control plan

(ii)    a patron management plan

b.  Require the establishment to operate in accordance with the level 1 noise control plan submitted to the Municipal Licensing and Standards Division at all times and to immediately provide a copy of the submitted plan to any employee of the Municipal Licensing and Standards Division upon request;

c. Require the establishment to operate in accordance with the patron management plan submitted to the Municipal Licensing and Standards Division at all times and to immediately provide a copy of the submitted plan to any employee of the Municipal Licensing and Standards Division upon request.

Amusement Establishments

39. Delete Article XVI – Places of Amusement.
 

40. Delete licence requirements for every person keeping a billiard, pool, or bagatelle table; every person who owns or keeps any exhibition of wax works, menagerie, circus-riding, or other like show usually exhibited by showmen;  every person who owns or keeps a roller-skating-rink or other place of like amusement; and every person who owns or keeps a theatre, music hall, bowling alley, moving picture show, public hall, or any place of amusement.

41. Add a licence requirement for every person who operates an amusement establishment.

42. Introduce a definition of “amusement establishment” as follows: “A premises that offers or permits any type of amusement activity for patrons, including any establishment that provides space for amusement activities for patrons, but does not include fitness facilities, recreation centres, or community centres."

43. Introduce a definition of “amusement activity” as follows: “Activities including but not limited to the following: bowling, video arcades and arcade games, archery, axe throwing, carnivals, internet cafes, miniature golf, golf driving ranges, go-kart courses, roller-skating rinks, billiards or pool, trampolines, rebound tumbling, and other like activities.”

44. Require every operator of an amusement establishment to submit the following information upon licence application or renewal, or at any time during the term of the licence as required by the Municipal Licensing and Standards Division, in addition to the general licence application requirements that apply to all businesses:

a.  If the establishment serves alcohol, a copy of a valid liquor licence;

b.  The following documents, issued by the Technical Standards and Safety Authority or its successor agency, if applicable to the business:

(i)    a valid and current licence to carry on business in Ontario;

(ii)   a valid and current permit for each amusement device, issued by the Technical Standards and Safety Authority or its successor agency.

45. Add the following requirements for every operator of an amusement establishment:

a.  Keep sufficient staff of employees for the purpose of the establishment;

b.  If offering trampoline or rebound tumbling amusement activities:

(i)   For each 12 trampoline or rebound tumbling units operating, have one qualified supervisor in attendance who is certified in standard first aid;

(ii)   Permit or allow only one person on each unit at the same time;

(iii)   Keep a register showing the name and address of each patron and the date and time that such patron was in the establishment.

c.  If serving alcohol, notify the Municipal Licensing and Standards Division of any change to the terms of the establishment’s liquor licence within 14 calendar days;

d.  Create a list of persons of authority, including current contact information for each person on the list, and designate at least one person included on the list of persons of authority to be on the premises at all times during hours of operation;

e.   Provide the list of persons of authority to any employee of the Municipal Licensing and Standards Division immediately upon request.

46.  Adopt the following insurance requirements for every operator of an amusement establishment:

a.  Procure a liability insurance policy for the establishment of at least $1,000,000 against loss or damage resulting from bodily injury or death and of at least $25,000 against loss or damage to property resulting from any one accident;

b.  Deposit a certificate of such policy to the Municipal Licensing and Standards Division and notify the Division within 10 calendar days of any change to the policy;

c.  Provide authority to the Executive Director to dispense in whole or in part with the insurance requirements if it is determined that it is not necessary for the type or nature of the operation of the establishment.

47. Add a provision that the Executive Director, at their sole discretion, may require an operator of an amusement establishment to:

a.  Upon licence application or renewal or at any time during the term of a licence, submit:

(i)   A level 1 noise control plan and/or a patron management plan to the Municipal Licensing and Standards Division;

(ii)   A level 2 noise control plan for approval to the Municipal Licensing and Standards Division.

b. Operate in accordance with the submitted or approved plan(s) and immediately provide a copy to any employee of the Municipal Licensing and Standards Division upon request.

Licence Application and Renewal Fees, Implementation, and Additional Requests

2.  City Council amend Toronto Municipal Code Chapter 441, Fees and Charges, Appendix C – Schedule 12, Municipal Licensing and Standards by amending fees in the table below:

 3.   City Council amend Toronto Municipal Code Chapter 441, Fees and Charges, Appendix C – Schedule 12, Municipal Licensing and Standards by adding the associated fees in the table below:

4.  City Council amend Toronto Municipal Code Chapter 441, Fees and Charges, Appendix C – Schedule 12, Municipal Licensing and Standards to delete fees related to billiard halls, carnivals, circuses, and theatres

5.  City Council direct that the amendments to Toronto Municipal Code, Chapter 545, Licensing, and Chapter 441, Fees and Charges, come into force on January 1, 2025.

6.  City Council authorize the City Solicitor, in consultation with Municipal Licensing and Standards, to apply for new set fines or to increase current set fines related to the updated licensing requirements contained in this report and express its support for higher set fine penalties for offences.

7.  City Council authorize the City Solicitor to introduce the necessary bills to give effect to City Council's decision and authorize the City Solicitor to make any necessary clarifications, refinements, minor modifications, technical amendments, or by-law amendments as may be identified by the City Solicitor, and the Executive Director, Municipal Licensing and Standards.

8.  City Council request the Province of Ontario to consider changes to the City of Toronto Act, 2006, to extend the suspension period for businesses posing an immediate danger to the health and safety or any person or property for longer than 14 days and consider a less stringent standard for suspension than "immediate danger", such as a "serious risk of danger". 

9.  City Council request the Executive Director, Municipal Licensing and Standards to report to the Budget Committee during the 2024 budget process on the feasibility and cost of providing 24/7 bylaw enforcement across the City .

10.  City Council request the City Clerk, in consultation with the General Manager, Economic Development and Culture, the Executive Director, Municipal Licensing and Standards, the Medical Officer of Health, the Fire Chief and General Manager, Toronto Fire Services, the Chief and General Manager, Toronto Paramedic Services, the Chief, Toronto Police Services and the City Solicitor, to include the following additional considerations as part of the report requested in 2023.EX3.8 headed “Amendment to Delegation of Authority for the Endorsement of Temporary Liquor Licences” and report in the second quarter of 2024:

a. Further clarifications of the city’s definition of municipal significance

b. Addressing the use of temporary extensions of hours and Special Occasions Permits (SOPs) as a permanent business model for some establishments;

c. Considering a recommended maximum number of SOPs or temporary extensions of hours at a single location per year which can be considered municipally significant;

d. Creating a process for review of applications for temporary liquor licences by applicable city divisions; and

e. Ensuring compliance of locations seeking temporary liquor licences with applicable municipal licensing and standards requirements, by-laws, and provincial laws.

f. Ensuring that the determination of whether a temporary liquor licence is deemed municipally significant is fair, transparent and consistent city-wide.

11.  City Council request the General Manager, Economic Development and Culture to consider the following for inclusion in the Good Neighbour Guide for Late-Night Businesses:

a. Contact information for resident associations, with a suggestion for late-night business operators to establish relationships and respond to community concerns as appropriate;

b. If the establishment operates in a building that also contains residential accommodation, a suggestion that operators notify residential building management of key contact information for the establishment; and

c. Suggestions for operators to consider establishing safest and most convenient nearby vehicle pick-up locations and bicycle courier services and inform patrons of transit options serving the venue.

The following staff gave a presentation to the Economic and Community Development Committee on Modernizing the Regulatory Framework for Bars, Restaurants, and Entertainment Venues,and Supporting the Night Economy:

- Director, Policy and Strategic Support, Municipal Licensing and Standards

- Director, Zoning and Committee of Adjustment, City Planning

- Film Commissioner and Director, Entertainment Industries, Economic Development and Culture

Toronto Municipal Code, Chapter 545, Licensing (the Licensing By-law) requires a variety of businesses to obtain a licence from the City and comply with its regulations, the purpose of which is, among other things, to ensure public health and safety, consumer protection, and nuisance control.

The City’s licensing regulations for food and entertainment establishments have not been updated in some time and changing business models have blurred the lines between what is commonly taken to be a restaurant, bar, or entertainment venue. This report recommends amendments to Chapter 545 to modernize regulations for bars, restaurants, and entertainment venues as part of the City’s Inter-divisional Night Economy Review, with the aims of reducing administrative burden on low-impact operators and providing flexibility for establishments, while ensuring an appropriate level of regulatory oversight to mitigate community nuisance and public safety concerns.  

This report responds to several outstanding directives from City Council related to modernizing business licensing and reducing regulatory burden on businesses, supporting public health and safety, addressing problematic establishments serving alcohol, and supporting Toronto's night economy and live music venues. Further, it responds directly to recommendations from a 2017 Toronto Auditor General report (2017.AU10.4) to resolve issues of regulatory uncertainty within the nightclub licence category and fulfills direction from the Executive Committee in 2021 (2021.EX28.15) to consult with relevant stakeholders and propose updated licensing regulations for relevant establishments.

MLS has worked collaboratively with City Planning (CP) and Economic Development and Culture (EDC) on an Inter-divisional Night Economy Review to enhance the City’s work in supporting a healthy night economy, which included broad public and stakeholder consultations. CP and EDC have distinct but coordinated reports scheduled for discussion at Committee and Council alongside this report. MLS and CP staff have worked closely to align proposed licensing and zoning amendments, as Chapter 545 functions complementary to zoning bylaws and licensing and zoning issues are highly interconnected.

To improve and modernize regulations for food and entertainment establishments, this report recommends updating licence definitions for relevant business categories, so they are clear, enforceable, and better reflect current nightlife in Toronto as well as updating associated licence requirements, including:

·  Amending the eating or drinking establishment category to align more closely with the City’s zoning bylaws, removing outdated language, and creating clear parameters for businesses that are serving food or drink on-site (i.e., a restaurant or bar).

·  Creating a new category for retail and food and drink establishments that are exclusively take-out or those that primarily sell pre-packaged food or drink items, with minimal licensing requirements to reduce burden on low impact operators.

·  Modifying the definition and licence requirements for entertainment establishments/nightclubs to focus on the purpose of the establishment, fill regulatory gaps, and strengthen enforcement (particularly as it relates to security requirements).

·  Introducing a new entertainment places of assembly category to capture existing public halls, live music performance venues, and rental spaces for entertainment to set out clear requirements and thresholds for compliance.

·  Streamlining amusement-related businesses (arcades, billiard halls, trampoline centres, bowling alleys, etc.) into a broad amusement establishment category.

Additional actions are recommended to proactively respond to nuisance and safety issues, in order to focus staff time on operators that are likely to require more dedicated City resources, and support multi-use licensing, including:

·  Introducing noise control and patron management plans for specific establishments to support the proactive mitigation of safety and nuisance issues and providing the Executive Director of MLS with the authority to require a plan from an establishment.

·  Implementing an activity-based licensing (ABL) framework based on the complexity of business activities for the eating or drinking establishment and entertainment place of assembly categories.

·  To ensure an efficient enforcement response to nightclubs, it is proposed that if an establishment meets the updated entertainment establishment/nightclub definition as well as a separate licence category, they are required to apply for and renew a separate nightclub licence.

This report also outlines MLS’ enforcement approach for problematic establishments, including licensed restaurants operating as unlicensed nightclubs; outlines how strategies will change with an updated framework; identifies how the updated framework aligns with the priorities of the City’s SafeTO: Community Safety and Well-being Plan; and provides an assessment of a Council directive related to pop-up business licensing.

It is recommended that proposed bylaw amendments come into force on January 1, 2025, to provide sufficient time to implement necessary updates to licensing systems and to ensure sufficient notice is provided to operators.

This report was prepared in consultation with City Planning, Economic Development and Culture, Toronto Building, Toronto Fire Services, Toronto Paramedic Services, Toronto Police Service, Toronto Public Health, Transportation Services, Toronto Transit Commission and the Alcohol and Gaming Commission of Ontario.