It is unlawful to permit consumption of liquor, wine, or beer in an outdoor service area located within 500 feet of a residential area or a hotel or motel after the hours of 11:00 p.m. and before the hours of 7:30 a.m. The Chief of Police may extend the service hours listed in this section on a case-by-case basis for special events. In deciding whether to extend the hours, the Chief of Police shall take into consideration the date, location, and type of special event being proposed.