14-4A-2: CLASSIFYING USES:
   A.   Use Characteristics:
      1.   Land uses are assigned to the use category that most closely describes the nature of the principal use. A number of the most common uses are listed under the "examples" subsection for each use category. In some zones, developments may have more than one principal use. Developments may also have one or more accessory uses. For uses not listed as examples, the following is a list of factors to be considered when classifying a use into a particular category, and is also used to determine whether the activities constitute principal uses or accessory uses:
         a.   The description of the use or activities in comparison to the stated characteristics of each use category;
         b.   The intensity of the activity or use in comparison to the stated characteristics of each use category;
         c.   The amount of site or floor area and equipment devoted to the use or activity;
         d.   The presence of and amount of sales from each use or activity;
         e.   The customer type for each use or activity. For example, do individual customers come to the site or does the firm primarily sell goods or services to other firms?
         f.   The number of employees involved in the use or activity;
         g.   The hours of operation;
         h.   The building and site arrangement;
         i.   The type of vehicles used for the activity;
         j.   The number of vehicle trips generated by the use or activity;
         k.   How the use advertises itself;
         l.   Whether the use or activity would be likely to be found independent of the other activities on the site;
         m.   Whether the use is subordinate to and serves another use in the development;
         n.   Whether a use is subordinate in area, extent or purpose to the principal building or use served;
         o.   Whether the use contributes to the comfort, convenience or necessity of occupants, customers, or employees of a principal use; and
         p.   Any other relevant evidence regarding use or activity that would help to classify a particular land use.
      2.   In cases where a specific use is not listed as an example, the director of housing and inspection services shall determine the appropriate category for a use based on the factors listed in subsection A1 of this section.
      3.   In cases of dispute, the zoning code interpretation panel will issue a written use determination. Such determination may be appealed to the board of adjustment according to the procedures outlined in chapter 8, article C, "Board Of Adjustment Approval Procedures", of this title. If an appeal is made, the board of adjustment shall determine whether the city has made an error in classifying the subject use based on the facts in evidence and the factors listed in subsection A1 of this section.
      4.   Any use that cannot be clearly classified within an existing use category by the procedures noted above is prohibited, unless incorporated into this title by a zoning code text amendment, the procedures for which are outlined in chapter 8, article D, "Planning And Zoning Commission Approval Procedures", of this title. A specific use that cannot be classified into an existing use category shall not be listed as permitted, provisional, or a special exception in any zone without first establishing a new use category within this article by zoning code text amendment.
   B.   Use Of Examples:
      1.   The "examples" subsection under each use category provides a list of examples of specific uses that are included in the use category. These lists may not be exhaustive of all the specific uses that might be included in a use category.
      2.   The names of uses on the lists are generic. They are based on the common meaning of the terms and not on what a specific use may be called. For example, a use with the business name "Wholesale Liquidators", that sells mostly to individual consumers, would be included in the sales oriented retail category rather than the wholesale sales category, because the actual activity on the site matches the description of the sales oriented retail category.
   C.   Accessory Uses:
      1.   For reference purposes, a list of accessory uses commonly associated with a particular use category is included under a subsection entitled "Accessory Uses". Accessory uses and their associated regulations and requirements are addressed in detail in chapter 4, article C, "Accessory Uses And Buildings", of this title.
      2.   A use that is accessory to a principal use in one instance may, in other circumstances, be considered a principal use. For example, a large business may provide an in-house daycare center for employees. This daycare center would be considered an accessory use. However, a daycare center would be considered a separate principal use if it were not affiliated with another business or use on the property.
   D.   Exceptions: Some of the use categories may contain an "Exceptions" subsection. These subsections provide a cross reference for uses that may seem to be part of a particular category, but which are explicitly classified into a different use category.
   E.   Prohibited Uses: Certain uses are specifically prohibited in the city of Iowa City, even though they may be construed to be part of a particular use category. These uses are listed in a subsection entitled "Prohibited" under the relevant use category. As noted in subsection A4 of this section, some uses may also be prohibited because they cannot be clearly classified within an existing use category by the procedures set forth in subsection A of this section.
   F.   Developments With Multiple Principal Uses: Developments with multiple principal uses will be categorized using the following rules:
      1.   When all of the principal uses of a development fall within one use category, then the entire development is assigned to that use category. For example, a development that contains a hair salon, a dry cleaners, and a photographic studio would be classified as personal service oriented retail.
      2.   When the principal uses of a development fall within different use categories, each principal use is classified into the applicable use category and each use is subject to all applicable regulations for the use category. For example, a development that contains a store that sells musical instruments and an architectural office would fall into two (2) different use categories: Sales oriented retail and general office.
      3.   Developments with multiple principal uses, such as shopping centers, shall incorporate only those uses permitted or allowed as provisional or by special exception in the underlying zone. (Ord. 05-4186, 12-15-2005)
   G.   Use Classification For Establishments That Sell Alcohol:
      1.   Applicability: Any use for which an application has been filed for a liquor control license or wine or beer permit is subject to the following use classification process.
      2.   Definitions: The following definitions shall apply to terms used in this subsection:
   ALCOHOL SALES: The sale of alcohol and alcoholic beverages, including, but not limited to, alcohol, beer or wine in closed containers intended for off site consumption; and alcoholic beverages, including cocktails, shots, wine, beer, and any part of an alcoholic beverage intended for on site consumption, as defined in chapter 123 of the state code.
   LICENSE: Any liquor control license, wine or beer permit issued by the state of Iowa that allows sales of alcohol or alcoholic beverages.
   LICENSEE: Any person or entity that holds a liquor control license, wine or beer permit issued by the state of Iowa.
      3.   Classification Process:
         a.   Prior to issuance of a license for a new use or renewal of a license for a use that was established prior to the effective date hereof, but which has not yet been classified according to these provisions, the licensee must submit to the department of housing and inspection services a verified statement that details the nature of the principal use for which the license will be issued, the type of license(s) applied for, and the hours that the establishment will be open for business. The city may request any other information deemed necessary to verify and classify the use, including, but not limited to, business records upon which the statement is based, state and federal tax records, applications for dramshop insurance and audits performed to determine dramshop insurance premiums, and receipts from vendors for goods purchased.
         b.   Based on the information provided by the applicant, the type of license being applied for, and the classification system set forth in this article, the city will advise the applicant regarding the classification of the proposed use for zoning purposes, and, if applicable, whether the alcohol sales will be considered a principal or accessory use of the property.
         c.   If through this use classification process, a use that was legally established prior to the effective date hereof is determined to be nonconforming with regard to the separation requirements for drinking establishments or alcohol sales oriented retail uses, the property file will be tagged by the building official or designee as a nonconforming drinking establishment or nonconforming alcohol sales oriented retail use, as applicable. Such a nonconforming use may continue provided it is in compliance with the applicable provisions of article E, "Nonconforming Situations", of this chapter.
      4.   Accessory Alcohol Sales Certification: Any use that is classified as an alcohol sales oriented retail use is considered a principal use and subject to the regulations pertaining thereto, unless it is determined that alcohol sales are an accessory use to another principal use of the property through the following certification process. Any licensee applying for an accessory alcohol sales certificate must submit verified statements and business records as set forth in the following subsections:
         a.   For existing uses, if according to a verified statement issued by a certified public accountant, alcohol sales expressed as a percentage of gross yearly income is less than twenty five percent (25%), an accessory alcohol sales certificate will be issued for one year, after which time it must be renewed annually at the time the license is renewed. Said statement shall be based on records made in the regular course of the licensee's business. The licensee shall allow, upon request, the building official, city clerk or designee to examine the business records upon which the statement is based, including state and federal tax records, applications for dramshop insurance and audits performed to determine dramshop insurance premiums, and receipts from vendors for goods purchased.
         b.   For new uses, if the licensee estimates, based on their submitted business plan, that alcohol sales expressed as a percentage of gross yearly income will be less than twenty five percent (25%), an accessory alcohol sales certificate will be issued for one year. The certificate must be renewed annually thereafter at the time the license is renewed based on actual sales according to a verified statement from a certified public accountant as described in subsection G4a of this section.
         c.   If, at the time of renewal of the certificate, alcohol sales constitute twenty five percent (25%) or more of gross yearly income and the use is not in compliance with zoning requirements for alcohol sales oriented uses, a notice of violation will be issued. If the use is in violation of the zoning requirements for alcohol sales oriented uses, the licensee must reduce alcohol sales to below twenty five percent (25%) of gross yearly income or otherwise bring the use into compliance with the applicable regulations. (Ord. 09-4341, 6-2-2009)