Morgan Hill Municipal Code Ch. 5.28 Amusement and Entertainment Premises

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Editor's note— Ord. No. 2369 N.S., § 1, adopted Nov. 19, 2025, amended Ch. 5.28 in its entirety to read as herein set out. Former Ch. 5.28, §§ 5.28.010—5.28.140, pertained to similar subject matter, and derived from Ord. 1379 N.S., adopted 1998; Ord. No. 2276 N.S., adopted May 2, 2018.

The purpose of this chapter is the protection of the public safety and welfare by allowing establishments to provide entertainment which does not create a public nuisance or require excessive public safety resources to maintain order.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

The following definitions shall be for the purpose of this chapter only, unless specifically adopted by another section of the Morgan Hill Municipal Code.

"Dancing" means the movement of the human body, accompanied by music or rhythm, except however, dancing as used in this chapter means dancing by patrons only.

"Entertainment" means a single event or series of events, or an ongoing activity or business, occurring as a principle use or business or part of another business, to which the public may be invited to watch, listen, or participate, or is conducted for the purposes of holding the attention of, gaining the attention of or diverting or amusing guests or patrons, including, but not limited to:

1. Any amusement or event such as live music or other performance which is knowingly permitted by an establishment subject to this chapter, including presentations by performer(s) such as musicians, disc jockeys (DJs), operators of karaoke, hypnotists, pantomimes, poets, comedians, song or dance acts, dancing by the patrons, or other such demonstrations of talent or such activity which may be attended by members of the public whether or not the participants in said activities are compensated by the establishment.

2. Establishments are exempt from this chapter which only provide juke boxes, televisions, video games, video programs, or recorded music and no other entertainment as herein defined.

"Establishment" means any location within the limits of the City of Morgan Hill to which the public may be invited where food and/or alcoholic beverages are served.

"Lewd conduct" is the touching of genitals, buttocks or breasts in public view for the purposes of sexual, arousal, gratification or affront, or any violation of Sections 288, 288(a), 311.6, 314, 647(a) or 647(b) of the California Penal Code.

"Obscene" is defined by any applicable current standard set by California or federal case law.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

A. Entertainment or dancing conducted between the hours of eight a.m. and ten p.m. shall be allowed by right, provided the establishment complies with all other applicable laws and ordinances.

B. No person shall provide or permit any type of entertainment or dancing in a restaurant, nightclub, bar or establishment where food and/or alcoholic beverages are served and which is open to the public between the hours of ten p.m. and eight a.m. unless such person shall first obtain a permit to do so from the chief of police or their designee as hereinafter provided.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Entertainment events which are conducted by or sponsored by nonprofit charitable organizations, community service organizations or are provided for members and their guests at a private club where admission is not open to the public, or at a private residence where the public is not invited, or conducted in connection with regularly established community recreation programs, carnivals, or recreation parks are exempt from the provisions of this chapter.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Entertainment provided by or allowed by the permittee shall be restricted to that type of entertainment which is specified in the entertainment permit. In addition, the permittee is responsible to preserve the peace and maintain order within and immediately adjacent to the premises upon which the entertainment permit has been granted and to comply with all conditions specified in the permit.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

A. If a conditional use permit, or any other entitlement or license, except a certificate of occupancy, is required for the use of any establishment which proposes to provide, or which does provide, entertainment or dancing, the provisions of those permits shall be satisfied before application is made to the city for a permit under the provisions of this chapter.

B. An application for an entertainment permit or the renewal of such permit shall be filed with the police department at least thirty days in advance of the term, date or dates for which the application is made on forms provided by the city and shall be accompanied by the appropriate fee.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Each application for an entertainment permit shall contain:

A. A complete identification of the applicant;

B. The name, address, and telephone number of the owner of the real property upon, in, or from which the establishment is to be operated. In the event the applicant is not the legal owner of the property, the application shall be accompanied by a copy of any written lease between the applicant and the property owner authorizing the establishment to offer live entertainment on its premises, or, alternatively, if there is no written lease, then a written, notarized acknowledgment from the property owner that the property owner has been advised that live entertainment will be offered by the applicant upon, in, or from the property owner's property.

C. The names, residential addresses, business addresses and phone numbers of the managers or persons in charge;

D. The names, residential addresses, business addresses and phone numbers and written consent of the owner of the premises who shall give consent to entertainment being conducted upon the premises by signing the application in the space provided;

E. A floor plan and site plan showing the building interior rooms and grounds, including parking spaces, the square footage, seating capacity of the area thereof to be used for dancing or entertainment and emergency exits;

F. The exact nature of the proposed business which the permit is being requested and the exact nature in detail of the dancing or entertainment which is being proposed;

G. Whether or not any person referred to in subsections A through D of this section has had a permit for the same or similar business suspended or revoked anywhere and, if so, the circumstances of such suspension or revocation. The suspension of an Alcoholic Beverage Control license shall be considered as being included within the purposes of the subsection;

H. The hours of operation; and

I. Such other related information as the chief of police may require to preserve the public peace, safety, health and welfare of the city or its inhabitants.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

A. The chief of police or their designee may deny an application for a live entertainment permit on any of the following grounds:

1. The live entertainment, as proposed by the applicant, would not comply with the requirements of this chapter.

2. The live entertainment, as proposed by the applicant, would not comply with any applicable law, including, but not limited to, the city's building, fire, zoning, and health regulations.

3. The applicant has knowingly made any false, misleading or fraudulent statement of material fact in the application for a live entertainment permit. Any omission or falsified information within the application will result in an automatic denial.

4. Any owner of the establishment offering live entertainment, within five years immediately preceding the date of filing of the application, has been convicted in a court of competent jurisdiction of any offense that relates directly to the offering of live entertainment or has at any time been convicted in a court of competent jurisdiction of any felony the commission of which occurred on the premises of the establishment.

5. Any owner of the establishment offering live entertainment in the City of Morgan Hill that is not in good standing due to the existence of uncorrected violations or unpaid fines or fees.

6. Within the last five years, the applicant has failed to comply with a final court order or administrative action of an investigatory agency finding a violation of applicable federal, state and local wage and hour laws, including, but not limited to, the Federal Fair Labor Standards Act, the California Labor Code, and any local minimum wage ordinance or prevailing wage requirements. For purposes of this subsection, a final court order or administrative action is one as to which there is no pending appeal and the time for filing an appeal has passed.

7. The establishment offered live entertainment within the city without first obtaining a live entertainment permit from the police department of the City of Morgan Hill.

B. The city shall not accept an application for the same or substantially similar live entertainment permit for the same site for a period of twelve months following the denial of a permit, or the date the denial was upheld, whichever is later.

C. The notices provided to the establishment offering live entertainment pursuant to this section may also be sent to the owner of the premises where the establishment is located. However, failure to provide notice to the property owner shall not invalidate any actions taken by the city.

D. The applicant or employee has been issued a citation for an ABC violation within one year of application.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Upon receipt of an application, and after an investigation, the chief of police or their designee shall approve the application for the entertainment permit or the renewal of such permit upon finding that:

A. A completed written application form therefore has been filed and the required fee has been paid to the city; and

B. As a result of such investigation all applicable provisions of this chapter with regard to permit application have been met and that the operation by the applicant will be carried on in a building, structure, and location which complies with and meets all of the health, zoning, fire, building and safety requirements and standards of the law of the State and the City applicable to business operation; and

C. The applicant, employees, agents or any person connected with or associated with the applicant as a partner, director, officer or manager has not been convicted in a court of competent jurisdiction by final judgement within the last ten years of:

1. An offense involving the presentation, exhibition, or performance of an obscene production or play, or

2. An offense involving lewd conduct, or

3. A felony offense involving the use of force and violence upon the person of another; and

D. That the applicant, employees, agents, or any person connected with or associated with the applicant as a partner, director, officer or manager has not knowingly made any false, misleading or fraudulent statement of a material fact in the application for the permit or in any report or record required to be filed with any city agency; and

E. That the applicant has not had a similar type of permit previously revoked for good cause within the past year, unless the applicant has shown a material change in the circumstances since the date of revocation.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

A. Upon the approval of the application for an entertainment permit or the renewal of such permit, the chief of police or their designee shall issue such permit to the applicant upon such terms and conditions and restrictions not in conflict with any paramount law and as may be necessary to protect the public peace, health, safety and general welfare of the city or its inhabitants.

Such conditions may include, for restaurants, bars, and nightclubs, the implementation and maintenance of a security plan consistent with a nationally recognized standard for nightlife safety, surveillance and monitoring system, entry and identification controls, responsible alcohol service, including trained and licensed security personnel, incident reporting and police cooperation, environmental and preventive crime design, compliance and enforcement, and appropriate crowd management measures.

B. Every person holding a permit issued pursuant to this chapter shall keep the permit posted in a conspicuous place in clear view upon the premises to which it applies.

The permit shall be physically displayed similar to a food safety card and must include details of the permit and contact information for the Code Enforcement Division for the purpose of receiving complaints.

C. The permittee shall provide neighbor notification as part of the permitting process. Notification procedures shall include timely written notice to property owners and tenants within a reasonable radius of the proposed establishment, with instructions on how to submit concerns or objections to the city.

D. The operator shall not shut, turn off, or reduce the intensity of lighting in the area used for dancing to such an extent as to provide less lighting or illumination than is customary for rooms or areas of like dimensions, or to a degree that makes it difficult or impossible to clearly see or identify individuals dancing on the floor provided for dancing.

E. All entertainers and employees shall be clothed in such a way as to not expose specified anatomical areas, as defined in Section 18.92.020, at any time while working or performing at the establishment.

F. The floor space provided for dancing shall be free of any furniture, obstructions, or partitions and maintained in a safe condition at all times.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Notice of the decision of the chief of police or their designee with reference to a permit application pursuant to this chapter shall be given to the applicant or any other such person requesting such notice within thirty days after the receipt of an application for a permit or the renewal of such permit.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

The term date or dates for the permitted entertainment shall be for the dates of the specific occasion requested, or if the request is for a continuous permit, the permit shall be issued for a period of not longer than one year from the original date of issue, renewable at the time the establishment's annual business license is renewed.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

A. The chief of police or their designee shall give written notice of the proposed revocation or suspension of any permit granted pursuant to this chapter to the permittee. The notice shall set forth the date that the revocation or suspension is effective, the time and place of the informal meeting with the police chief or their designee, the ground or grounds upon which the revocation or suspension is based, the pertinent code sections, and a brief statement of the factual issues in support thereof. The notice shall be mailed to the permittee at the business address at least ten business days prior to the effective date of the suspension or revocation, unless immediate revocation is necessary to protect the public health and safety, such as criminal activity resulting in the arrest of one or more individuals at the establishment or building code violations that render the establishment unsafe to occupy.

B. No appeal may be taken to any such administrative decision made by the chief of police or their designee pursuant to the provisions of this chapter unless such decision to appeal has been first taken up with the chief of police. This shall be an informal meeting to allow the permittee to provide evidence that the permit should not be suspended or revoked.

C. Failure to attend an informal meeting with the chief of police or their designee shall be deemed a forfeiture of any right to appeal the decision to suspend or revoke a permit.

D. Within ten business days of the informal meeting, the chief of police or their designee shall render his or her decision in writing, stating his or her findings and the action taken, if any. The decision letter shall be mailed to the permittee at the business address. The decision letter shall include the information of the right to appeal.

E. The permittee may appeal the decision to suspend or revoke a live entertainment permit by filing a written notice of appeal with the city manager, within ten days from the deposit of the decision letter in the mail or its receipt by the permittee, whichever occurs first, specifying in detail the ground or grounds for the appeal.

F. The city manager or their designee shall set a time and place for the hearing on the appeal not less than fifteen days and not more than sixty days from the date the appeal was received by the city manager or their designee and shall give at least five days' written notice by mail to the permittee of the date, time, and place for the hearing. The hearing shall be conducted in accordance with Section 5.28.121.

G. After the hearing on the appeal, the hearing officer may refer the matter back to the chief of police for a new investigation and decision, may affirm the decision of the chief of police or their designee, may dismiss the disciplinary action, or may revoke or suspend the permit. The permittee will be notified by the city manager or their designee. The decision of the hearing officer upon such appeal shall be final and shall be subject to judicial review according to the provisions and time limits set forth in Code of Civil Procedure Section 1094.6.

H. The notices provided to the live entertainment permit holder pursuant to this section may also be sent to the owner of the premises where the live entertainment is offered. However, failure to provide notice to the property owner shall not invalidate any actions taken by the city.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

The following rules shall apply to any hearing required by this chapter.

A. The city manager or their designee may hear the appeal or designate a city employee or third party to act as the hearing officer.

B. All parties involved shall have the right to offer testimonial, documentary, and tangible evidence bearing on the issues, to be represented by counsel, and to confront and cross-examine witnesses.

C. Any relevant evidence may be admitted if it is the sort of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs.

D. The hearing officer may conduct the hearing informally, both as to rules of procedure and admission of evidence, in any manner which will provide a fair hearing.

E. A continuance may be granted for good cause if the party seeking the continuance has made a good faith effort to prevent the recurrence of the incident that led to the notice of intent to revoke or suspend.

F. If the chief of police or their designee submits an additional written report concerning the revocation or suspension to the hearing officer for consideration at the hearing, then a copy of this report also shall be mailed to the person requesting the hearing at least five days prior to the date of the hearing. Any administrative citation, revocation or suspension letter, and any additional report submitted by the chief of police shall constitute prima facie evidence of the respective facts contained in those documents.

G. The standard of proof shall be by a preponderance of the evidence.

H. Failure to attend an appeal hearing is grounds for dismissal of the appeal and constitutes a failure to exhaust the administrative remedies.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Whenever a permit is revoked under the terms of this chapter, no other application for a permit under this chapter shall be considered from the same applicant for the same type of use for a period of one year from the date of such revocation.

(Ord. No. 2369 N.S., § 1, 11-19-2025)

Any establishment offering live entertainment operated, conducted, or maintained contrary to the provisions of this chapter is unlawful and a public nuisance.

(Ord. No. 2369 N.S., § 1, 11-19-2025)