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Each Outdoor Dining Street Permit participant shall furnish proof of insurance evidencing commercial general liability insurance with limits of not less than $500,000.00 per occurrence, $1,000,000.00 in the aggregate, for bodily injury, personal injury and property damage liability. The insurance shall provide for 30 days' prior written notice to be given to the Commissioner if coverage is substantially changed, canceled or non-renewed.
The City of Chicago shall be named as an additional insured on a primary, noncontributory basis for any liability arising directly or indirectly from the operations of an Outdoor Dining Street. Apart from and separate from any insurance requirement under this section, the permittee shall indemnify, defend and hold the City harmless from any loss that results directly or indirectly from the permit issuance.
In addition, if alcoholic beverages will be served at the Outdoor Dining Street, each Outdoor Dining Street Permit participant that serves alcoholic beverages shall provide proof of liquor liability (dramshop) insurance for the Outdoor Dining Street as required in Section 4-60-040(c)(2) of this Code.
Each permittee shall maintain the insurance coverage required under this section for the duration of the Outdoor Dining Street Permit. Proof of insurance shall be presented to the Commissioner prior to the issuance of a permit under this article. Proof of liquor liability (dramshop) insurance shall be presented to the Department of Business Affairs and Consumer Protection. Failure of the permittee to maintain the insurance required by this section shall result in the revocation of the Outdoor Dining Street Permit.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
The Department of Transportation shall review an Outdoor Dining Street Permit application for compliance with this article and applicable rules:
(a) The Commissioner shall solicit input from departments, including, but not limited to, the Department of Business Affairs and Consumer Protection, the Department of Police, the Department of Fire, the Office of Emergency Management and Communications, and the Mayor's Office for People with Disabilities and may consult with the Chicago Park District, and may also solicit input from stakeholders, including neighboring businesses, as to the factors the Commissioner considers in determining whether to grant the permit.
(b) If the Commissioner finds that the permit application is complete, the Commissioner shall provide the application to the alderman of the affected ward. The alderman shall provide a recommendation to the Commissioner regarding the application within 30 days of receiving it, unless, the Commissioner determines that good cause exists for a reasonable extension, not to exceed 30 days. The recommendation regarding the application shall be based upon the alderman's analysis of the requirements of this article and the rules promulgated in furtherance of the article. Such recommendation shall not be unreasonably withheld. The Commissioner shall issue the Outdoor Dining Street Permit to the applicant if the Commissioner finds that the applicant meets the applicable requirements and the alderman's recommendation is that the permit application should be approved. If the Commissioner finds that the applicant meets the applicable requirements, but the alderman recommends that the permit application should be denied, the applicant, with the assistance of the Department of Transportation, may submit for City Council consideration an applicant-sponsored ordinance granting approval of an Outdoor Dining Street Permit.
(c) Denial.
(1) If the Commissioner finds that the applicant fails to meet the requirements of this article or the rules promulgated hereunder, the Commissioner shall deny the application. The Commissioner shall notify the unsuccessful applicant in writing of the denial and the reasons therefor within 10 business days after the denial. An applicant for a permit that was found liable of violating Section 10-28-610(c) twice during the prior permit period shall be subject to denial of the permit for the permit period applied for.
(2) Upon denial by the Commissioner of a permit application made under this section, the Commissioner shall notify the applicant, in writing, of such fact and of the basis for the denial. If no appeal is filed within 10 calendar days of the date of notice of the Commissioner's decision, that decision shall be deemed final. Within 10 days after such notice is mailed, the applicant may make a written request to the Commissioner for a hearing on the disapproved application. Within 10 days after such written request for a hearing is made, a public hearing shall be authorized before a hearing officer appointed by the Commissioner of Business Affairs and Consumer Protection. Such public hearing shall be commenced within 30 days after such hearing is authorized. Within 14 days after completion of such hearing, the hearing officer shall report the hearing officer's findings to the Commissioner of Business Affairs and Consumer Protection. If the Commissioner of Business Affairs and Consumer Protection determines after such hearing that the application should be denied, the Commissioner of Business Affairs and Consumer Protection shall, within 60 days after such hearing has been concluded, state the reasons for the Commissioner's determination in a written finding and shall serve a copy of such written finding upon the applicant. The Commissioner's determination shall be final and may be appealed in the manner provided by law.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
(a) All permittees operating on an Outdoor Dining Street shall comply in all respects with the specifications set out in the plan submitted to the Commissioner, with the other components of the application, and with any additional requirements set by the Commissioner.
(b) In the event that the application, including the plan, becomes inaccurate or incomplete in any respect as a result of circumstances or events outside the control of the permittee, the permittee shall notify the Commissioner within three business days of such circumstances or events.
(c) Before taking any action that would result in the application, including the plan, becoming inaccurate or incomplete in any respect, the permittee shall seek the prior approval of the Commissioner.
(d) Upon being notified of an actual or contemplated change pursuant to either subsection (b) or (c) of this section, the Commissioner shall review the change to determine whether such change is insubstantial or substantial, using the same criteria as relevant to the Commissioner's consideration of an initial application. If such change is insubstantial and if the application, as so changed, meets the criteria for an initial application, the Commissioner shall approve the change. If such change is insubstantial and if the application, as so changed, does not meet the criteria for an initial application, the Commissioner shall disapprove the change. If such change is substantial, a new permit application shall be required.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
No activity other than food and alcoholic beverage service shall be permitted at the Outdoor Dining Street. An Outdoor Dining Street Permit does not authorize food or alcoholic beverage service other than that which participant businesses have licenses to conduct, provided that nothing in this section shall prohibit food service provided by retail food establishments at a curb lane operated by a tavern licensee pursuant to an Outdoor Dining Street Curb Lane Permit.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
(a) Holders of an Outdoor Dining Street Permit shall not:
(1) operate earlier than 7:00 a.m. nor later than 11:00 p.m.
(2) play music, whether live or recorded, nor allow music to be played at the Outdoor Dining Street, other than through headphones.
(b) The holder of an Outdoor Dining Street Permit shall install and maintain a physical boundary separating the permitted outdoor seating from the remainder of the public way. For Outdoor Dining Street Full-Closure Permits, the operator shall leave six feet of public way unobstructed for pedestrian passage. The construction, configuration, and other characteristics of the boundary, including landscaping, shall be set forth by rule.
(c) Outdoor Dining Street Full-Closure Permit holders shall have the following requirements:
(1) At least one retail food establishment shall be open for outdoor business when a business with only a tavern license is open for outdoor business on the Outdoor Dining Street. A business with only a tavern license may not operate on the Outdoor Dining Street if there is no retail food establishment operating on the Outdoor Dining Street.
(2) At least two retail food establishments shall be open for outdoor business each day of the week. Retail food establishments shall be open for at least four consecutive hours. At least two retail food establishments shall be open between 5:00 p.m. and 7:00 p.m. However, no penalty for violation of this subsection shall apply to a business that has to shorten or discontinue its hours on a particular day as a result of inclement weather.
(3) Hours of operation for the street portion shall be posted by each retail food establishment.
(4) All licensees on the permit shall operate on the street portion at least two days a week at all times during the permitted operating hours.
(5) Only licensees which are named in the permit may operate on an Outdoor Dining Street.
(6) If a street has one or more lanes designated for bicycles, the Outdoor Dining Street shall allow for bicycle lanes through the street.
(d) Outdoor Dining Curb Lane Permit holders who are taverns shall allow for food service on the premises of the curb lane.
(e) Permittees shall follow Commissioner directives, including, but not limited to, modification or suspension of operations in order to make room for construction.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
If a permittee serves alcoholic liquor at the Outdoor Dining Street, the permittee shall be licensed under this Code for such sales. Neither BYOB, as defined in Section 4-58-010, nor any other system for alcoholic beverages supplied by the customer or by any person other than the permittee shall be allowed at Outdoor Dining Streets.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
(a) The Commissioner, in consultation with the Commissioner of Business Affairs and Consumer Protection, is authorized to promulgate rules to carry out the purposes of this article, including without limitation rules governing:
(1) The location, arrangement, and design of Outdoor Dining Streets to ensure the flow of pedestrian traffic, the safety of pedestrians and auto traffic, the access to buildings and transportation facilities, the prevention of an excessive number of Outdoor Dining Streets, and the best service to the public;
(2) The size, design, and other specifications for tables and serving equipment to be used by operators, and the design of enclosures or partial enclosures;
(3) The types of food and beverages that may be served at Outdoor Dining Streets;
(4) The time periods during which application can be made for an Outdoor Dining Street Permit;
(5) Landscaping and other aesthetic components of Outdoor Dining Streets; and
(6) Any other matter pertaining to the enforcement and implementation of this article.
(b) A permittee shall comply with the rules promulgated pursuant to this article, which shall have the force and effect of law.
(Added Coun. J. 5-31-23, p. 427, Art. I, § 3)
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