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AN ORDINANCE AMENDING TITLE V AMUSEMENTS AND AMUSEMENT BUSINESSES, CHAPTER 5:7 (PUBLIC DANCE HALLS AND PUBLIC DANCE) OF THE REVISED GENERAL ORDINANCES OF THE CITY OF NEWARK TO ESTABLISH A COMPREHENSIVE REGULATORY FRAMEWORK FOR SHORT-TERM EVENT SPACES AND PARTY RENTAL VENUES.
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WHEREAS, the City of Newark has identified a proliferation of short-term party rental venues and event spaces citywide that are operating without proper licensure, zoning approvals, or compliance with public safety regulations; and
WHEREAS, several such establishments have opened in strictly residential zones without required land use approvals or Conditional Use Permits; and
WHEREAS, documented incidents include police response to unlicensed venues serving alcohol to minors, excessive noise and after-hours operations, large accumulations of garbage and debris left on public sidewalks, and patron parking in residential permit zones; and
WHEREAS, the existing provisions of Chapter 5:7 (Public Dance Halls and Public Dance), while authorized under N.J.S.A. 40:52-1, do not comprehensively address the modern short-term party rental and event space business model as advertised through online platforms; and
WHEREAS, it is necessary and in the interest of public health, safety, and welfare to amend Chapter 5:7 to close existing regulatory gaps and provide clear standards, enforcement mechanisms, and penalties for non-compliance;
NOW, THEREFORE, BE IT ORDAINED by the Municipal Council of the City of Newark, New Jersey, that:
Note: Additions are shown as underlined and bold. Deletions are shown as strikethroughs.
SECTION 1. PURPOSE AND FINDINGS
The purpose of this Ordinance is to:
• Establish a licensing and registration framework for all short-term event spaces and party rental venues operating within the City of Newark;
• Ensure compliance with zoning, life-safety, noise, sanitation, parking, and alcoholic beverage control requirements;
• Protect the character and quality of life in residential neighborhoods from incompatible commercial event activity;
• Provide law enforcement and code enforcement officers with clear authority and effective tools to address violations;
• Require online and platform-advertised venues to meet the same standards as traditional brick-and-mortar establishments.
SECTION 2. Title V, Chapter 7 of the Revised General Ordinances of the City of Newark, New Jersey, 2000, as amended and supplemented, is hereby amended as follows:
CHAPTER 5:7 Public Dance Halls and Public Dance
5:7-1 - DEFINITIONS
DANCING - Shall not apply to exhibitions or performances where persons paying admission do not participate.
DIRECTOR - Shall mean the Director of the Department of Finance and/or his designee (for this chapter only, this includes for enforcement purposes, the Director of the Department of Public Safety, Executive Secretary of the Alcoholic Beverage Control Board or their designee, where applicable).
PROMOTIONAL EVENT - Shall mean any event that is commercial and may be advertised, used in whole or in part, intentionally or otherwise, to augment sale, and market visibility, including but not limited to showcasing talent, releasing music or dance products or products for commercial sale. This definition is not intended to include any First Amendment activity that meets the definition of Demonstration in Title 5, Amusements, Chapter 10, Carnivals, Street Fairs and Street Festivals of the Revised General Ordinances, as shall be amended from time to time.
PUBLIC DANCE - Shall mean any dance to which admission can be had either with or without payment of a fee, wardrobe charge or otherwise, or any other dance in which the public generally may participate.
PUBLIC DANCE HALL - Shall mean any room, space or place in which dancing is carried on and to which admission can be had either with or without the payment of a fee, wardrobe charge or otherwise. For purposes of this Chapter, Short-Term Event Spaces and Party Rental Venues as defined herein shall be deemed to constitute Public Dance Halls when dancing or entertainment occurs, and shall be subject to all provisions applicable thereto.
SHORT-TERM EVENT SPACE - Shall mean any room, building, structure, outdoor area, or portion thereof - whether freestanding or attached to a residential or commercial property - that is rented, leased, or otherwise made available to the public or to private parties on a transient or event-by-event basis for gatherings, celebrations, parties, receptions, or similar assemblies, where such availability is advertised through any means including but not limited to online platforms, social media, websites, or third-party rental applications (including but not limited to Peerspace, Splacer, Airbnb, or similar services).
PARTY RENTAL VENUE - Shall mean any location that is made available, with or without charge, for private or semi-private social gatherings of twenty (20) or more persons, and which is not the primary bona fide residence of the operator or owner, regardless of whether dancing, entertainment, or alcohol service occurs.
PLATFORM-ADVERTISED VENUE - Shall mean any Short-Term Event Space or Party Rental Venue that is listed, promoted, or advertised for rental through any online platform, website, social media channel, or digital marketplace.
OPERATOR - Shall mean any person, firm, partnership, corporation, LLC, or other entity that owns, manages, leases, controls, or is otherwise responsible for making available a Short-Term Event Space or Party Rental Venue, whether or not compensation is received.
POP-UP EVENT - Shall mean any single-occurrence or recurring event held at a Short-Term Event Space, including but not limited to concerts, showcases, parties, or entertainment productions, that is promoted or advertised to the public and open to attendees beyond the immediate invitees of a private household.
5:7-2. PUBLIC DANCE HALL LICENSE REQUIRED.
No person shall operate a public dance hall until the public dance hall shall first have been duly licensed for such purpose; provided, however, that no license shall be required for dances held in public schools when held under the supervision of the District Superintendent, Newark Public Schools. No person shall operate, advertise, or make available a Short-Term Event Space or Party Rental Venue within the City of Newark without first obtaining a Short-Term Event Space License (“STESL”) issued by the Director of the Department of Finance or their designee, in addition to any existing Public Dance Hall license required under this section. The STESL shall be displayed at the licensed premises in a conspicuous location visible to guests and inspectors, and a copy shall be provided to any law enforcement or code enforcement officer upon request. Licenses shall be valid for one (1) calendar year and must be renewed annually no later than 30 days prior to expiration. Any Operator advertising a Short-Term Event Space or Party Rental Venue through any online platform shall: (a) display the venue’s STESL license number prominently in all listings; (b) remove all listings within 48 hours of license revocation, suspension, or expiration; and (c) notify the Department of Finance of any new platforms on which the venue is advertised within 10 days of listing.
5:7-3. PREREQUISITES TO LICENSING.
a. No license shall be issued unless the premises comply with and conform to all laws of the United States, of this State and the ordinances and regulations of the City including building, health, fire prevention and safety ordinances and are, in the judgment of the Director, a safe and proper place for the purposes for which they are to be used. Every license issued by the Director shall contain the maximum capacity of the premises, as determined by its certificate of occupancy, which shall be posted in a conspicuous location within the premises for the appropriate City officials (Police-Fire Inspectors) to view upon their routine inspections of the premises for which fire inspections shall be conducted at least three times a year. Any premises which has a legal maximum capacity of 200 or more persons shall be required to have a fire suppression sprinkler system, as certified by the Fire Subcode Official, installed throughout the building.
b. No license shall be issued or renewed unless the applicant therefor shall be a citizen of the United States and a person of good moral character.
c. No license shall be issued or renewed unless the applicant shall provide a certification (affidavit) that the premises can accommodate via on site or off-street parking a minimum of one parking space for every 30 square feet of total floor area within a radius of 800 feet from the building to be served.
CROSS REFERENCE: Suspended or revoked licenses may not be reissued until at least 6 months after such suspension or revocation, see Section 5:7-10.
No Short-Term Event Space License shall be issued for any property located in a zone designated R-1, R-2, R-3, or any other primarily residential zoning classification under the Newark Zoning and Land Use Regulations, unless the operator has obtained a Conditional Use Permit (CUP) specifically authorizing event space or assembly use at the subject location. Properties attached to, sharing a structure with, or accessed through a residential dwelling unit are presumptively disqualified from licensure.
A STESL application shall include: proof of ownership or executed lease; certification of zoning designation by the Division of City Planning confirming event/assembly use is permitted or conditionally permitted; Certificate of Occupancy confirming the structure is approved for assembly occupancy; Fire Marshal inspection certificate with certified maximum occupancy; valid municipal business license for event/assembly operations; commercial general liability insurance of at least $1,000,000 per occurrence naming the City of Newark as additional insured; a written Operational Plan addressing hours, maximum occupancy, sound mitigation, parking, waste management, and security staffing; disclosure of all online platforms on which the venue is or will be advertised; and documentation of any applicable ABC license or BYOB status. The application fee schedule shall be established by the Division of Tax Abatements/Special Taxes.
5:7-4. ISSUANCE OF LICENSE; TERM OF LICENSE.
a. The Director of Finance is hereby authorized to grant the licenses herein provided for to such persons of good moral character and otherwise qualified according to the provisions of this chapter, and to such rules and regulations as he may promulgate as he shall deem fit and proper for the health, safety and welfare of the public.
b. The license fee as provided by Section 5:7-5 shall be payable upon presentation of the application therefor and shall be returned less the sum of $10 in the event such license is not granted.
c. All licenses issued, and renewals thereof, under this chapter shall expire biennially on March 31st after its date of issuance. If any applicant obtains an initial license pursuant to this section after the renewal date or in between a biennial cycle. the applicant will pay a pro-rated application fee. The applicant's license will thereafter expire on March 31st in accordance with the biennial licensing cycle. The Division of Tax Abatements/Special Taxes shall establish administrative rules and/or regulations pertaining to scheduling for the issuance of a public dance hall license.
5:7-5. LICENSE FEES.
There shall be charged the following fees for licenses herein provided for:
a. Any room or place in any building actually and exclusively used in the work of associations and corporations organized exclusively for the moral and mental improvement of men, women and children or for religious or charitable purposes, where dancing is permitted: $1.
b. Any room or place which is conducted as a dancing school: $50.
c. Any room or place in which or that is connected with any other room or place in which alcoholic beverages are sold and dispensed; any room or place in which or that is connected with any other room and place in which dancing or exhibitions commonly called "cabaret" is conducted; and any room or place in which or that is connected with any other room or place which is conducted as a restaurant, hotel or motel, shall pay a biennial license fee according to the actual space used for the purpose of dancing, as follows:
Space less than 150 square feet $200
Space 151 square feet to 250 square feet inclusive $300
Space over 250 square feet $1,200
d. Any other room or place conducted as a public dance hall and not herein otherwise provided for:
$200.
5:7-6. NOTIFICATION REQUIRED TO RENT HALLS FOR DANCES.
a. No person shall rent, hire or occupy any public dance hall for a promotional event without first notifying the Division of Police, and the Executive Secretary of the Alcoholic Beverage Control Board if there is a liquor license on the premises, at least three weeks in advance of the event. A form notification letter shall be requested from the local Police Precinct Commander in which the dance hall is located. The notification letter shall be completed and returned to the same Precinct Commander at least three weeks in advance of the event. Upon submission, it must include a copy of the contract between the parties (owner and operator of the premises and the promoter) as well as a security plan to the satisfaction of the Division of Police, which may be modified where needed for the welfare and safety of the public. It shall be the duty of the owner or operator of the premises or the person in charge to conform to the requirements hereof.
b. Commencing on or about September 1, 2009, but in no event later than March 1, 2010, all promoters of promotional events are required to obtain a license from the Director, which license shall be renewed on a yearly basis, in accordance with such rules and regulations that shall be established by the Municipal Council and the Business Administrator. The notification required under this section shall also include: the date, time, and expected duration of the event; estimated number of attendees; names and contact information of event promoter(s); proposed security plan; whether alcohol will be present and documentation of applicable ABC authorization; and copies of all promotional materials and links to all online advertisements. A copy of the notification shall also be submitted to the Executive Secretary of the Alcoholic Beverage Control Board where a liquor license is applicable to the premises. No person shall hold or permit a Pop-Up Event without providing advance written notification to the Division of Police no fewer than 21 days prior to the event. For Short-Term Event Spaces and Party Rental Venues, the advance notification requirement shall apply to all events, regardless of whether they involve a promotional event as defined herein.
5:7-7. AGE RESTRICTIONS WHERE ALCOHOL IS SERVED.
No person under the legal drinking age shall be permitted in a dance hall where alcohol is being served and there is a promotional event taking place.
5:7-8. CLOSING AND OPENING HOURS OF DANCE HALLS.
No licensed public dance hall or public dance as herein defined and provided for shall remain open (1) on Monday through Thursday, except New Year's Day, between hours of 2:00 a.m. and 7:00 a.m.; nor (2) on Friday and Saturday, except New Year's Day, between hours of 3:00 a.m. and 7:00 a.m.; nor (3) on Sundays, except New Year's Day between 3:00 a.m. and 12:00 noon; nor (4) on New Year's Day when such day falls on a weekday, between the hours of 5:00 a.m. and 7:00 a.m.; nor (5) on New Year's Day when such day falls on Sunday, between hours of 5:00 a.m. and 12:00 noon. No public dance shall be held or dancing as aforesaid defined shall be engaged in during the hours when the premises and public dances are to be closed. It shall be the duty of the owner or operator of the premises and the person in charge of the licensed premises to conform to the requirements hereof. In addition to the foregoing, Short-Term Event Spaces and Party Rental Venues shall observe the following maximum operating hours: (a) Sunday through Thursday: events must conclude by 11:00 PM; premises cleared and music/amplification ceased by 10:30 PM; (b) Friday and Saturday: events must conclude by 12:00 AM (midnight); premises cleared by 11:30 PM; (c) no event shall commence before 9:00 AM on any day. The Director of Public Safety may impose earlier closing hours as a condition of licensure for venues in proximity to residential zones. All amplified sound must be directed inward; exterior speakers are prohibited in or adjacent to residential zones. Sound levels shall not exceed 65 dBA at the property line before 10:00 PM, or 55 dBA thereafter.
5:7-9. SANITATION AND SAFETY.
a. All public dance halls shall be kept at all times in a clean, healthy and sanitary condition. All rooms connected therewith as well as all stairways and other passages shall be kept open and well lighted at all times when dances are being held.
b. All exits and means of egress shall be clearly visible to all participants or members at the dance hall. At the entrance to the dance hall there shall be posted by the owner or operator of the premises or the person in charge a diagram or chart showing the floor plan of the premises and clearly identifying the exits and all other requirements established by law. Operators of Short-Term Event Spaces and Party Rental Venues shall ensure that all garbage, debris, and waste generated by an event is bagged, containerized, and placed in approved receptacles - not on public sidewalks or rights-of-way - by no later than two (2) hours after the conclusion of an event. Operators hosting events generating more than 10 bags of waste must arrange for private waste removal at their own cost. Failure to comply shall result in the City performing cleanup at the Operator’s expense, plus applicable fines. Operators must provide a written parking plan demonstrating availability of adequate off-street parking for the anticipated number of vehicles, or written confirmation of a shared parking agreement. Operators shall post signage directing patrons to designated parking; directing patrons to park in residential permit zones is expressly prohibited.
5:7-10. ORDERING PREMISES VACATED.
It shall be the duty of the Director to order and cause any hall or place where any public dance is held to be vacated whenever in his/her judgment any provision of this chapter is being violated therein or whenever any indecent act shall be permitted or whenever any disorder shall take place therein.
5:7-11. SUSPENSION OR REVOCATION OF LICENSE.
The license of any public dance hall, may be suspended or revoked, after notice and hearing, by the Director for cause. Such license when so suspended or revoked shall not be reissued until at least six months shall have elapsed. The Director of Finance may suspend or revoke a STESL after notice and opportunity to be heard, upon finding: (a) three (3) or more violations within any 12-month period; (b) one (1) violation involving illegal alcohol sales, service to a minor, or a condition resulting in bodily injury; (c) failure to pay assessed fines within 30 days of final adjudication; or (d) material misrepresentation in the license application. A revoked license may not be reapplied for by the same Operator or at the same premises for a period of two (2) years. The property owner of record shall be jointly and severally liable for all fines and cleanup costs assessed under this Chapter where the Operator cannot be identified or served, or where the property owner has knowledge of unlicensed operations and fails to take corrective action within 10 days of written notice from the City.
5:7-12. PENALTY.
Any person who violates any provision of this chapter shall, upon conviction thereof, be punished by one or more of the following: imprisonment for a term not exceeding 90 days; a fine not exceeding $2,000, $3,000; or by a period of community service not exceeding 90 days. A separate offense shall be deemed committed on each day during or on which a violation occurs or continues. In addition, any person operating a Short-Term Event Space or Party Rental Venue without a valid STESL shall be subject to a civil penalty of not less than $1,000 and not more than $2,500 per day for each day of unlicensed operation, in addition to any criminal penalties imposed under this section. Violations involving illegal alcohol sales, service to minors, or conditions resulting in bodily injury shall be subject to enhanced penalties of not less than $1,000 and not more than $3,000 per violation, independent of criminal prosecution. The City may seek injunctive relief and, upon persistent non-compliance, may cause a lien to be placed against the title of the subject property pursuant to applicable New Jersey law.
SECTION 3. If any part of this ordinance is declared by a court of competent jurisdiction to be invalid, illegal, or unconstitutional, the remaining provisions shall continue in full force and effect.
SECTION 4. The Ordinance shall take effect upon final passage and publication in accordance with the laws of the State of New Jersey.
SECTION 5. The City Clerk and the Corporation Counsel are authorized and directed to change any Chapter, Article and/or Section number of the Code of the City of Newark in the event that the codification of this Ordinance reveals that there is a conflict between the numbers and the existing Code, and in order to avoid confusion and possible accidental repealers of existing provisions not intended to be repealed.
STATEMENT
This Ordinance amends and supplements Title V Chapter 7 (Public Dance Halls and Public Dance) of the Revised General Ordinances of the City of Newark to establish a comprehensive regulatory framework for short-term event spaces and party rental venues operating throughout the City.