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that is compatible with and supporting of surrounding land <br />uses. The Best Wines retail business will be located in a <br />commercial and business park area and will be compatible <br />with the surrounding businesses. <br />E. A PCN letter is required per Business and Professions Code Section <br />23958.4 as the State has determined that an overconcentration of off - <br />premise ABC licensed establishments within the census tract exists. The <br />State Department of Alcoholic Beverage Control identifies a census tract as <br />overconcentrated if the ratio of off -sale retail licenses to the population of the <br />census tract which the premises is located exceeds the ratio of off -sale retail <br />licenses to the population of the county. Based on this analysis, census <br />tracts in the City are allowed one licensed establishment per 1,650 <br />residents. Best Wines is located in Census Tract No. 740.03, which is <br />allowed one off -sale outlet based on the State's criteria, while five active <br />licenses currently exist. Although the census tract is overconcentrated per <br />State standards, the business model for Best Wines differs from the other <br />off - premise establishments as Best Wines sells wine by the bottle or in <br />larger quantities while the other establishments are smaller neighborhood <br />markets that sell both beer and wine. Thus, despite the overconcentration of <br />ABC licenses in the census tract, the issuance of an additional off -sale ABC <br />license at this location is necessary to serve the public convenience, will not <br />create any adverse impacts and will not impact the overall crime rate of the <br />area. <br />F. In accordance with the California Environmental Quality Act the <br />recommended action is exempt for further review per Section 15301. The <br />Class 1 exemption allows the operating, permitting and licensing of existing <br />private structures with negligible or no expansion of the existing use. The <br />proposed application is to approve an alcoholic beverage control license <br />and allow the sale of beer and wine within an existing commercial building. <br />Categorical Exemption Environmental Review No. 2014 -60 will be filed for <br />this project. <br />Section 2. The Planning Commission of the City of Santa Ana after conducting <br />the public hearing hereby approves Conditional Use Permit No. 2014 -28. In addition, the <br />Planning Commission authorizes the issuance of a Public Convenience and Necessity <br />(PCN) Letter for the project. These decisions are based upon the evidence submitted at <br />the abovesaid hearing, which includes, but is not limited to: the Request for Planning <br />Commission Action dated July 28, 2014, and exhibits attached thereto; and the public <br />testimony, all of which are incorporated herein by this reference. <br />Resolution No. 2014 -26 <br />Page 3 of 4 <br />