City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2025-01652 10/21/2025
Ordinance Amending Sacramento City Code Section 12.50 Relating to Entertainment Zones [Passed for Publication 10/14/2025; Published 10/17/2025] File ID: 2025-01652
Location: Citywide
Recommendation: Adopt an Ordinance amending Sacramento City Code section 12.50 relating to Entertainment Zones.
Contact: Tina Lee-Vogt, Nighttime Economy Manager, (916) 808-2679, [email protected], City Manager’s Office of Innovation and Economic Development Presenter: Tina Lee-Vogt, Nighttime Economy Manager, (916) 808-2679, [email protected], City Manager’s Office of Innovation and Economic Development Attachments:
1-Description/Analysis
2-Attachment A - Ordinance (Redline)
3-Attachment B - Ordinance (Clean)
4-Attachment C - Map of Proposed Zones
Description/Analysis
Issue Detail: Sacramento has a rich and vibrant nighttime, social and creative economies, and offers world-class amenities for everyone. Residents and visitors can experience diverse entertainment and unique programming both day and night that appeals to all ages, backgrounds, and interests.
Throughout Sacramento, there are opportunities where people can go to play and socialize.
Special events play a pivotal role in the city's economy, culture, and identity, supporting jobs and generating revenue. They provide spaces for connection and creativity that bring people together to foster a sense of belonging and shared experiences. Annually, hundreds of special events including street markets, concerts, and festivals are presented throughout our city.
In 2023, Governor Newsom signed Senate Bill 76. This bill defined “entertainment zones” as zones that may be created by local ordinance and authorized consumption of alcoholic beverages on public streets, sidewalks, or public rights-of-way adjacent to and during special events. The law also made entertainment zones subject to certain requirements including a requirement to provide specified
File ID: 2025-01652 10/21/2025
information about each entertainment zone to the Department of Alcoholic Beverage Control (ABC).
However, this law was limited to the City and County of San Francisco.
In 2024, the Governor signed Senate Bill 969, which defined an “entertainment zone” as a zone created by a city, county, or city and county ordinance and expanded the ability to authorize entertainment zones to jurisdictions throughout the state. This legislation addressed barriers that prohibited bars and restaurants from fully participating in economically benefiting from special events held adjacent to businesses. ABC requirements and guidelines for entertainment zone participation include identifying the types of licenses allowed to participate in entertainment zones and requiring licensees to annually notify ABC of their intent to participate in entertainment zones Pursuant to SB 969, after the establishment of an entertainment zone, consumers may purchase open container beverages (alcoholic drinks to-go) from licensed bars, restaurants, breweries, and wineries and enjoy them outdoors in common spaces like plazas, sidewalks, and streets during certain hours. Days and hours of operation will only be permitted with an approved Special Event permit. The intent is to create engaging and impactful destinations that encourage local economic growth, while enhancing the experience for residents and visitors. Entertainment zones provide several benefits. They activate commercial corridors to attract people to an area, increase economic activity, and enhance a city’s reputation as a vibrant cultural hub. Additionally, they boost revenue for local businesses, including restaurants and bars, through events and activations that extend visitor stays.
On June 24, 2025, the city council adopted an ordinance adding Chapter 12.50 and establishing entertainment zones as authorized by SB 969. Three entertainment zones were adopted for initial inclusion in the ordinance. These zones were:
· The 20th and K Street Entertainment Zone (20th & K Streets); · The Ali Youssefi Square Entertainment Zone (Ali Youssefi Square and adjacent area including K Street between 7th and 8th streets); and
· The Convention Center Entertainment Zone (Area surrounding the SAFE Credit Union Convention and Performing Arts Center).
At that time, staff noted that they would continue to work with stakeholders to identify additional entertainment zones for City Council consideration. Since the initial adoption of the ordinance, other Property Based Improvement Districts (PBIDs) have requested adding entertainment zones. The geographic boundaries are detailed in the attached ordinance (Attachments A and B) and map (Attachment C). The proposed zones are as follows:
· 17th and R Street Entertainment Zone: 16th to 18th Streets, Quill Alley to S Street. · Handle District Entertainment Zone: 18th, 19th, Capitol and L streets.
If approved, a specific management plan will be developed to regulate the operation of each zone with input from city agencies, participating businesses, and community stakeholders to ensure public safety. Entertainment zone management plans are critical to the program and will include several key components:
· Designate an “Entertainment Zone Lead” who acts as the point of contact and responsible
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party.
· Designate applicable area and hours of operations.
· Require Special Events permit issued in accordance with Sacramento City Code section 12.48 and, if necessary, section 12.16, including insurance requirements. · Limit consumption of alcoholic beverages to the specific public areas approved in the associated Special Events permit.
· Require compliance with any additional permits or regulations to activate the zone including any additional insurance requirements.
· Require marking geographic boundaries of the Entertainment Zone activated area via signs, sidewalks decals or other city approved methods.
· Require submission of a security plan for police review and approval. · Require age verification process to ensure anyone consuming alcohol is 21 years of age or older.
· Require that any calls for service or violent incidents be reported to police within 24 hours. · Limit operators to only sell to go beverages in specific containers.
Additionally, failure to comply with the City Code, the special event permit conditions and/or the management plan may be considered as violations subject to administrative penalties.
Sacramento’s first entertainment zone event was the Rainbow Festival presented on August 31, 2025, in the 20th and K Street Entertainment Zone. Organizers worked closely with Midtown Association, the designated Entertainment Zone lead, to produce a successful event with 3,000 attendees who were able to enjoy to-go beverages from eight participating businesses who reported an increase in sales as compared to the 2024 event. Attendees appreciated the opportunity to purchase beverages from their favorite bar or restaurant and being able to explore the event vendors and experience the entertainment.
Over 165,000 people attended Terra Madre Americas, the city’s second entertainment zone event making its Sacramento debut the weekend of September 26 through September 28, 2025. This free, first-of-its-kind celebration featured food and drink tastings, live music, celebrity chef demonstrations, educational panels, and artisan vendors. It brought the flavors and traditions of Sacramento and the world together into one unforgettable experience in the Convention Center Entertainment Zone.
Policy Considerations: Entertainment zones support the City’s commitment to the nighttime economy. They are also consistent with the findings and recommendations included in the Sacramento Sociable City Assessment to identify priorities to develop and implement a strategic plan for a safe, vibrant, and well managed social economy. And they also align with the findings and recommendations included in the Music Census and Regulatory Review, emphasizing a proactive approach to the growing entertainment scene.
Economic Impacts: Special events are a vital part of our economy, culture, and identity. They support jobs and generate revenue. Cities that thrive have a vibrant social economy. Participation in activations by bars and restaurants could provide significant benefits to businesses including increasing the length of stay per guest and dollars spent per guest.
File ID: 2025-01652 10/21/2025
Environmental Considerations: This report does not involve activities that constitute a “project” as defined by Section 15061(b)(3) of the CEQA Guidelines because it does not have the potential for causing a significant effect on the environment. Additionally, the creation of entertainment zones is exempt from CEQA review pursuant to Section 15301, subsection (c) of the CEQA guidelines, as it involves only the minor, temporary alteration of existing streets and sidewalks.
Sustainability: Not applicable.
Commission/Committee Action: Since entertainment zones were presented to the Law and Legislation in April 2025, Council Member Caity Maple, Committee Chair, approved staff bringing the ordinance amendment to add new zones directly to City Council for adoption.
Rationale for Recommendation: Amending section 12.50.049 related to entertainment zones to add new entertainment zones supports the City’s commitment to the nighttime and creative economies.
Establishing new entertainment zones is also consistent with the findings and recommendations included in the Sacramento Sociable City Assessment to identify priorities to develop and implement a strategic plan for a safe, vibrant, and well managed social economy. And they also align with the findings and recommendations included in the Music Census and Regulatory Review, emphasizing a proactive approach to the growing entertainment scene.
Financial Considerations: Managing entertainment zones has increased workload for city staff.
However, Office of Nighttime Economy and Entertainment Services Division staff administer the program with existing resources.
Local Business Enterprise (LBE): Not applicable.
ORDINANCE NO.
Adopted by the Sacramento City Council
[Date Adopted]
AN ORDINANCE AMENDING SECTION 12.50.040 OF THE
SACRAMENTO CITY CODE, RELATING TO ENTERTAINMENT ZONE
LOCATIONS
BE IT ENACTED BY THE COUNCIL OF THE CITY OF SACRAMENTO:
SECTION 1.
Section 12.50.040 of the Sacramento City Code is hereby amended to read as follows:
12.50.040 Entertainment zone locations.
Pursuant to California Business and Professions Code sections 23039.5 and 25690, the city council hereby establishes the following entertainment zones, which include adjacent sidewalks, and adjacent premises specified in section 12.50.020.C.1.
A. 17th and R Street Entertainment Zone.
R Street from the western right-of-way line of 16th Street to the eastern right-of-way line of 18th Street; 18th Street from the northern right-of-way line of R street to the southern right-of-way line of S Street; S Street from the eastern right-of-way line of 18th Street to the western right-of-way line of 16th Street; 16th Street from the southern right-of-way line of S Street to the northern right-of-way line of R Street: and all public streets, sidewalks, and public rights-of-way within in these bounded streets.
B. 20th Street Entertainment Zone.
20th Street from the southern right-of-way line of J Street to the northern right-of-way line of Kayak Alley; and K Street from the western right-of-way line of 20th Street to the western right-of-way line of 21st Street.
C. Ali Youssefi Square Entertainment Zone.
7th Street from the southern right-of-way line of K Street to the northern right-of-way line of Merchant Street; Merchant Street from the eastern right-of-way line of 7th Street to the western right-of-way line of 8th Street; 8th Street from the northern right-of-way line of Merchant Street to the southern right-of-way line of K Street; K Street from the western right-of-way line of 8th Street to the eastern right-of-way line of 7th Street; and Ali Youssefi Square.
D. Convention Center Entertainment Zone.
12th Street from the southern right-of-way line of L Street to the northern right-of-way line of J Street; J Street from the western right-of-way line of 12th Street to the eastern right-of-way line of 13th Street; 13th Street from the southern right-of-way line of J Street to the northern right-of-way line of I Street; I Street from the western right-of-way line of 13th Street to the eastern right-of-way line of 16th Street; 16th Street from the northern right-of-way line of I Street to the southern right-of-way line of L Street; L Street from the eastern right-of-way line of 16th Street to the western right-of-way line of 12th Street; and all public streets, sidewalks, and public rights-of-way within these bounded streets.
E. Handle District Entertainment Zone.
L Street from the western right-of-way line of 18th Street to the eastern right of-way line of 19th Street; 19th Street from the northern right-of-way line of L Street to the southern right-of-way line of Capitol Avenue; Capitol Avenue from the eastern right-of- way line of 19th Street to the western right-of-way line of 18th Street; 18th Street from the southern right-of-way line of Capitol Avenue to the northern right-of-way line of L Street; and Liestal Alley from the eastern right-of-way line of 17th Street to the western right-of-way line of the Union Pacific Rail Road tracks.
ORDINANCE NO.
Adopted by the Sacramento City Council
[Date Adopted]
AN ORDINANCE AMENDING SECTION 12.50.040 OF THE
SACRAMENTO CITY CODE, RELATING TO ENTERTAINMENT ZONE
LOCATIONS
BE IT ENACTED BY THE COUNCIL OF THE CITY OF SACRAMENTO:
SECTION 1.
Section 12.50.040 of the Sacramento City Code is hereby amended to read as follows:
12.50.040 Entertainment zone locations.
Pursuant to California Business and Professions Code sections 23039.5 and 25690, the city council hereby establishes the following entertainment zones, which include adjacent sidewalks, and adjacent premises specified in section 12.50.020.C.1.
A. 17th and R Street Entertainment Zone.
R Street from the western right-of-way line of 16th Street to the eastern right-of-way line of 18th Street; 18th Street from the northern right-of-way line of R street to the southern right-of-way line of S Street; S Street from the eastern right-of-way line of 18th Street to the western right-of-way line of 16th Street; 16th Street from the southern right-of-way line of S Street to the northern right-of-way line of R Street: and all public streets, sidewalks, and public rights-of-way within in these bounded streets.
B. 20th Street Entertainment Zone.
20th Street from the southern right-of-way line of J Street to the northern right-of-way line of Kayak Alley; and K Street from the western right-of-way line of 20th Street to the western right-of-way line of 21st Street.
C. Ali Youssefi Square Entertainment Zone.
7th Street from the southern right-of-way line of K Street to the northern right-of-way line of Merchant Street; Merchant Street from the eastern right-of-way line of 7th Street to the western right-of-way line of 8th Street; 8th Street from the northern right-of-way line of Merchant Street to the southern right-of-way line of K Street; K Street from the western right-of-way line of 8th Street to the eastern right-of-way line of 7th Street; and Ali Youssefi Square.
D. Convention Center Entertainment Zone.
12th Street from the southern right-of-way line of L Street to the northern right-of-way line of J Street; J Street from the western right-of-way line of 12th Street to the eastern right-of-way line of 13th Street; 13th Street from the southern right-of-way line of J Street to the northern right-of-way line of I Street; I Street from the western right-of-way line of 13th Street to the eastern right-of-way line of 16th Street; 16th Street from the northern right-of-way line of I Street to the southern right-of-way line of L Street; L Street from the eastern right-of-way line of 16th Street to the western right-of-way line of 12th Street; and all public streets, sidewalks, and public rights-of-way within these bounded streets.
E. Handle District Entertainment Zone.
L Street from the western right-of-way line of 18th Street to the eastern right of-way line of 19th Street; 19th Street from the northern right-of-way line of L Street to the southern right-of-way line of Capitol Avenue; Capitol Avenue from the eastern right-of- way line of 19th Street to the western right-of-way line of 18th Street; 18th Street from the southern right-of-way line of Capitol Avenue to the northern right-of-way line of L Street; and Liestal Alley from the eastern right-of-way line of 17th Street to the western right-of-way line of the Union Pacific Rail Road tracks.
Proposed Sacramento Entertainment Zones
Please note the maps provided are for illustration purposes only and are intended to complement the ordinance language. Please refer to the specific ordinance language for details. 17 and R Street Entertainment Zoneth Handle District Entertainment Zone 17 and R Street Entertainment Zoneth
Please note the maps provided are for illustration purposes only and are intended to complement the ordinance language. Please refer to the specific ordinance language for details.
Handle District Entertainment Zone
Please note the maps provided are for illustration purposes only and are intended to complement the ordinance language. Please refer to the specific ordinance language for details.