At the core of the discussion was a brand new ordinance restricting the clustering of businesses that have the reputation/image of preying on the poor as they conduct banking-like transactions. This new ordinance is intended to keep payday (and other) check-cashing businesses, pawn shops and other institutions that have high transaction fees from coming to neighborhoods and locating within 1/4 mile of each other. The fear or experience is that a clustering of these types of enterprises lower property values and discourage other businesses from locating in the same area. The problem has been that neighborhoods with a large number of people living in poverty, who may not have banking accounts, have a concentration of businesses that charge high interest rates on loans, or large fees to cash checks.In this case, the proposed pawn shop would be located less than 1/4 mile from The Piggy Bank - a money transfer/check cashing enterprise in Scenic Hills Center. The distance between them would be about 250 feet less than the required 1/4 mile. It is legal to MODIFY the distance requirement if certain circumstances warrant it. However, in this case, the proposal was coming just after the new ordinance took effect and several commissioners feared that approval of this CUP was setting a dangerous precedent.
District 1 had argued that the criteria allowing a modification were met, and that the proposal, with its $15 million in private investment, estimated 200 new jobs, and enhancements of the overall site plan - including a plan to deal with stormwater, was needed to help revitalize our business area. We had worked with the developer to outline restrictions that we felt would protect the neighborhood from some of the negative effects of the proposed development. The Zoning Committee, however, had recommended denial of the CUP, saying, essentially, that there was no testimony to say why the pawn shop couldn't be moved to the other side of the development, thus not needing the modification.
When the discussion of the motion to deny the CUP for the pawn shop began, one of the Commissioners, Bob Spaulding, offered an alternative to the restrictions that had been negotiated (it included all previous conditions, but added some more). Commissioners Spaulding, Oliver and Fernandez led the effort to produce the alternative and to urge its adoption. It was this alternative that was finally approved on a 12-4 vote with one abstention.
What is included in these conditions on the pawn shop? They can't buy, sell or deal in firearms at the location, the hours of operation are restricted, there is a restriction on the size the pawn shop can reach, there will be no outdoor sales, the presented site plan is what will be constructed, they will participate in a city-wide litter collection program (Come Clean!), the signage has to strictly comply with restrictions in our small area plan and in city code, and the CUP sunsets if the site is not developed in the manner presented within two years of the pawn shop starting operation.
The District 1 Community Council recognizes that not everyone in our neighborhoods is happy that this development will happen. We promise to be vigilant about the conditions imposed on the pawn shop. But we also feel that this is a major investment that will help us bring our Small Area Plan vision to fruition. The developer has listened to neighborhood concerns and has modified his plans repeatedly to deal with those concerns. We are hopeful that he will continue to be a good community member, and a good example to our other businesses. We are also hopeful that this influx of new jobs will help local residents find and maintain economic stability.
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