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G. Santa Ana Municipal Code Section 41-638 authorizes the Planning Commission to grant a variance upon making certain findings of approval. 1. That because of special circumstances applicable to the subject property, including size, shape, topography, location or surroundings, the strict application of the zoning ordinance is found to deprive the subject property of privileges not otherwise at variance with the intent and purpose of provisions of this Chapter. The proposed modifications to Variance No. 2004-09 to allow a cover charge, serving draft beer, bottle service, advertising or signs indicating the availability of alcohol, usage of the basement and to allow the hours of operation from 11:00 a.m. to 2:00 a.m. will continue to provide an ancillary service and amenity to the Artists Village and thereby benefit the community. The modifications to the variance help to continue allow the bar within the Artists Village to provide an additional nighttime amenity to the area. The condition modifications could create a negative impact to the surroundings. Additional conditions have been placed on Variance No. 2004-09 that will mitigate potential impacts created by the use and ensure that the use will not negatively affect the surrounding community. 2. That the granting of a variance is necessary for the preservation and enjoyment of one or more substantial property rights. Approval of the condition modifications allows the applicants to operate a bar within the Artists Village of the downtown. The modifications will add to the growing Artists Village active lifestyle; support evening activities and a variety of dining establishments. Downtown should be the place to go to experience the full character of a community, and the bar will contribute to a vibrant evening experience. 3. That the granting of a variance will not be materially detrimental to the public welfare or injurious to surrounding property. The approval of the variance will not be detrimental to persons residing or working in the area because the use, as conditioned, will not create negative or adverse impacts. The conditions imposed on the variance will mitigate any potential impacts that might occur from the proposed alcoholic beverage sales and entertainment. The additional business will assist in promoting the economic viability and enhance the livability for this area of the downtown. As conditioned, the proposed project will be in compliance with all applicable regulations and conditions imposed on a bar selling alcoholic beverages pursuant to Chapter 41 of the Santa Ana Municipal Code. 4. That the granting of a variance will not adversely affect the General Plan of the City. Resolution No. 2009-21 Page 2 31B-21