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crimes such as loitering, illegal drug use and sales, burglaries, assaults, fights, theft, <br />robbery, public intoxication, vandalism, property damage, weapons offenses, and <br />other criminal activity in and around cyber cafes and internet access business, as <br />well as increased pedestrian traffic, noise, parking violations, and other nuisance <br />activities. These businesses have also resulted in a tremendous increase and <br />demand for police response. <br />F. The resemblance of the games to casino style games, and the possibility of winning <br />cash prizes, combines to create a gambling atmosphere, which appears to be a <br />driving attraction for customers. These businesses are also likely to have large <br />amounts of currency on the premises in order to pay out the cash prizes. Due to the <br />similar atmosphere between a casino and a cyber cafe and internet access <br />business, these businesses have similar potential to cause deleterious effects as <br />gambling operations, such as loan sharking, robbery, and money laundering. <br />G. The City of Santa Ana and neighboring cities have experienced serious adverse <br />impacts due to the unique manner in which cyber cafes and internet access <br />businesses operate the "sweepstakes" games. Customers may occupy a particular <br />computer system for multiple hours, creating lines and people congregating or <br />loitering while waiting for a computer. Parking availability may also be impacted due <br />to extended periods of game playing, and such businesses have also resulted in <br />increased demand for police response, as well as increased demand for <br />maintenance of public streets and sidewalks. These late night gaming sessions <br />which extend play beyond typical commercial business hours may cause noise and <br />related impacts on the surrounding community as customers enter and exit these <br />businesses during the late night hours. <br />H. Crime statistics and calls for service in the City of Santa Ana and neighboring cities <br />where cyber cafes and internet access businesses are located are significantly <br />higher since these establishments opened for business. The Santa Ana Police <br />Department identified 460 incidents occurring between January 1, 2018 and <br />September 2018 at various locations in the city. These incidents have included <br />criminal arrests to include the possession of firearms, possession of narcotics, <br />possession of a stolen vehicle, and parole / probation violations. Since January of <br />this year the Santa Ana Police Department has responded to noticeable increase of <br />calls for service and officer generated activities. The Staff Report for this item, which <br />is incorporated herein by reference, includes these statistics and calls for service. <br />The Police Department reports its officers have spent a significant amount of time <br />conducting surveillance operations around cyber cafes. This type of business <br />appears to attract clientele involved in criminal activity. Several enforcement stops of <br />customers entering or leaving such locations have yielded drug related arrests, <br />evidence of drug trafficking, an influx of individuals on probation, parole, or wanted <br />subjects. There is also the possibility of prostitution related activity gravitating to the <br />parking lots and surrounding areas based on known subjects being contacted at <br />such locations who either have prior arrests or contacts involving prostitution. <br />Ordinance No. NS - _ <br />Page 2 of 6 <br />