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HomeMy WebLinkAboutLiquor Licensing Authority - Minutes - 11/08/19890 0 LIQUOR LICENSING AUTHORITY MINUTES Regular Meeting - November 8, 1989 6:40 p.m. A regular meeting of the Liquor Licensing Authority was held on Wednesday, November 8, 1989, in the Council Chambers of the Fort Collins Municipal Building. The following members were present: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Authority Member Absent: Guerrie Staff Members Present: John Duval, City Attorney's Office Rita Knoll, City Clerk's Office Sandy Gibson, Police Department Consent Calendar This Calendar is intended to expedite the meeting an allow the Authority to spend its time and energy on the important items on a lengthy agenda. Anyone may request an item be "pulled" off the Consent Calendar and considered separately. Items pulled from the Consent Calendar will be considered separately immediately following adopt of the Consent Calendar. Items of extreme controversy will be discussed near the end of the meeting under Pulled Consent Items. 1. Consider approval of the minutes of the October 11, 1989 regular meeting. Q1 ShowBiz Pizza Time, Inc., the hotel -restaurant licensee for ShowBiz Pizza Place, 105 West Prospect, is reporting a change of corporate directors. Authority member Crowfoot made a motion, seconded by Authority member Garber, to adopt the Consent Calendar. Yeas: Crowfoot, Norton, Garber, Norton, and Poncelow. Nays: None. Abstain: Cooper. THE MOTION CARRIED. (Secretary's Note: Item #4, Report of Change of Manager of Vicker's #2623, 221 West Prospect, was withdrawn at the request of the licensee.) 0 0 November 8, 1989 Registration of Kathy Brady as Manager of The Junction, 518 West Laurel. Approved Kathy Brady, manager, spoke of her experience as a manager of liquor licensed establishments. She spoke of changes she has made at The Junction in attempt to improve the employee training and procedures for checking ID's. She stated Officer Ernie Tellez conducts training for new employees, followed by additional training by a corporate officer of Concept Restaurants. She outlined an employee incentive program for confiscating false ID's. Ms. Brady spoke of the discontinuance of promotional events such as 50 cent beer nights. She described the use of doormen to check ID's and noted that waitresses do not serve customers unless the customer's hand has been stamped by a doorman. Ms. Brady noted that the previous manager, Van Hallowell, is still employed by Concept Restaurants. Authority member Garber made a motion, seconded by Authority member Cooper, to approve the registration of Kathy Brady as manager of The Junction, 518 West Laurel. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Registration of David Keller as Manager of Washington's Bar and Grill. 132 LaPorte Avenue, Approved David Keller, manager, stated he has been employed at Washington's since March 1983 and became manager when Kathy Brady left the establishment. He stated he was previously employed as a banquet bartender at the University Park Holiday Inn and noted that there were no violations in his area. Mr. Keller stated the training program at Washington's has been very effective and indicated that he did not plan any changes. He briefly described the training that is provided to employees. Authority member Garber made a motion, seconded by Authority member Crowfoot, to approve the registration of David Keller as manager of Washington's Bar and Grill, 132 LaPorte Avenue. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Consideration of an Application from the Colorado State University Department of Music, Theatre, and Dance for a Special Events Permit at the Lory Student Center. Approved Lee Egbert, event manager, stated the Department of Music, Theatre, and Dance is requesting a special events permit to serve wine in conjunction with the Madrigal Dinners, which have been an annual event for approximately 11 years. He described the event and the alcohol service. He spoke of training that would be provided to the wait staff and carding 0 November 8, 1989 policies. Mr. Egbert noted that there have been no violations at previous events and no complaints about the event. He stated that CSU security would be present in the building if needed. In response to questions from the Authority, Mr. Egbert stated the wait staff would be responsible for monitoring each table to insure that underage individuals do not consume alcohol. He stated parents of Rocky Mountain High School students will monitor the wine and cheese tasting session which precedes the Madrigal Dinner. Authority member Cooper made a motion, seconded by Authority member Garber, to approve the special events permit for the Colorado State University Department of Music, Theatre, and Dance at the Lory Student Center on November 30, December 1, and December 2, 1989. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Hearing on a New Application for a 3.2% Beer License at Diamond Shamrock Refining and Marketing Company, 1501 West Elizabeth, Approved James Stitt, attorney representing Diamond Shamrock Refining and Marketing Company, stated he would be handling this application for Diamond Shamrock. Max Scott, Oedipus, Inc., was sworn. He identified Applicant's Exhibit A as a summary report of the petition results and Applicant's Exhibits B, C, and D as the circulation (petition) documents. He stated employees of Oedipus, Inc. circulated the petitions on October 21, 1989. Applicant's Exhibits A, B, C, and D were admitted into evidence. Mr. Scott described the petitioning process. He indicated that 222 signatures were obtained in favor of the license being issued, with 56 signatures in opposition to the license. He stated 79.86% were in favor of the license and noted that percentage was unusually high. Brian Carlson, merchandise manager for Diamond Shamrock, was sworn. He outlined his responsibilities as merchandise manager, noting that one responsibility is to open new stores. He stated the company is leasing the property at 1501 West Elizabeth. Applicant's Exhibit F was admitted into evidence and identified as a master file letter from the State Liquor Enforcement Division relating to the officers of Diamond Shamrock. Mr. Carlson stated he believed all of the officers of the corporation were fine, outstanding people. Applicant's Exhibit E was admitted into evidence and identified as a floor plan of the establishment. Mr. Carlson described the layout of the establishment. He stated the store will be open 24 hours and noted that the beer coolers would be locked i 0 November 8, 1989 during the hours that beer sales are prohibited. He spoke of the products that would be sold at the store and noted that beer sales amount to approximately 4% of total sales. Mr. Carlson stated Diamond Shamrock has 86 stores in Colorado, with 66 of those stores holding beer licenses. He noted in the last 3 years, there has been only one liquor violation among all the stores. He spoke of the training that is provided to employees. He noted that the company carding policy is to check everyone's identification. He stated employees who violate the beer code are terminated from employment immediately. Applicant's Exhibit G was admitted into evidence and identified as a folder containing employee training materials. Mr. Carlson described the training materials contained in the folder. He described the management structure for Diamond Shamrock. Arley Englesgaard, area manager for Diamond Shamrock, was sworn. He stated as area manager he is responsible for 7 stores and will be responsible for the new store at 1501 West Elizabeth. He stated he is responsible for training employees of the stores in his area and indicated that there have no violations of the beer code in those stores. Marcie Ekberg, manager, was sworn. She stated she has been employed with Diamond Shamrock for approximately 2 years and is currently the assistant manager at the store at 1113 West Drake. She indicated that there have been no violations at the store on West Drake. Ms. Ekberg described the policies relating to the sale of beer at the West Drake store. She spoke of training that is provided to employees regarding the sale of beer. She responded to questions from the Authority regarding the felony conviction listed in her background investigation questionnaire. Ms. Ekberg noted employees do not receive a percentage of beer sales. Authority member Garber made a motion, seconded by Authority member Cooper, to adopt Resolution 89-18 approving a 3.2% beer license at Diamond Shamrock Refining and Marketing Company, 1501 West Elizabeth. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Authority member Crowfoot made a motion, seconded by Authority member Norton, to approve Marcie Ekberg as manager of Diamond Shamrock Refining and Marketing Company, 1501 West Elizabeth. Yeas: Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: Cooper. THE MOTION CARRIED. Police Report Police Investigator Sandy Gibson advised the Authority of alleged liquor violations at Gators, 1220 West Elizabeth, and Johnny's Liquor, Ill West Prospect. • 0 November 8, 1989 Authority member Cooper made a motion, seconded by Authority member Garber, to find that probable cause exists to schedule a show cause hearing on December 6 for Gators, 1220 West Elizabeth. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. The Authority directed staff to issue subpoenas to witnesses involved in the incident at Gators. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to find that probable cause exists to schedule a show cause hearing on December 6 for Johnny's Liquor, Ill West Prospect. Yeas: Cooper, Crowfoot, Denmark, Garber, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. The Authority directed staff to issue subpoenas to witnesses involved in the incident at Johnny's Liquor. Reconsideration of Resolution 89-17 Approving a Tavern Liquor License at Foothills Country Club Catering, Inc.. 6813 South College License Denied Authority member Garber withdrew from consideration and vote on this item due to a perceived conflict of interest. Authority member Denmark withdrew from consideration of this item because he was not present at the original hearing and did not feel comfortable participating in this hearing. Authority member Cooper stated he read the minutes from the October meeting and believed he had a good understanding of what occurred at that meeting. He stated he believed this was a new hearing and not a review of the hearing in October, and noted he would participate in this hearing. Assistant City Attorney John Duval stated Rock Sorenson, attorney representing Foothills Country Club Catering, Inc., has stipulated to the admission into evidence of City of Fort Collins Exhibit A, which is the Colorado Bureau of Investigations fingerprint report, with an attachment from the FBI showing the arrest and conviction record of Michael Colacino. Rock Sorenson verified that he stipulates to the admission of the City's Exhibit A and noted that the applicant finds it to be accurate. The Authority admitted City of Fort Collins Exhibit A into evidence. (Secretary's Note: Due to technical difficulties with the audio equipment, a portion of this hearing was not recorded. The following material is summarized from notes taken at the hearing.) 0 November 8, 1989 Police Investigator Sandy Gibson summarized the contents of the record received from the FBI. Mr. Sorenson objected to the summarization provided by Ms. Gibson. He stated that the charges are accurate, but did not agree with Ms. Gibson's comments on sentencing. At the request of the Authority, Ms. Gibson translated the abbreviations used in the FBI report. Mr. Sorenson stipulated to Ms. Gibson's translation. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to find that the fingerprint report for Michael Colacino was not acceptable. (Secretary's Note: The audio recording resumed at this point, in the middle of Mr. Sorenson's presentation.) Mr. Sorenson reiterated the actions taken at the October hearing. He offered as evidence Applicant's Exhibit A, which was identified as a copy of the Health Department's inspection report, and Applicant's Exhibit B, which was identified as a copy of the temporary certificate of occupancy issued by the Building Inspection Division. The Authority admitted Exhibits A and B into evidence. Mr. Sorenson addressed the contents of the FBI report on Michael Colacino. He spoke of the provisions of the law at the time the incidents occurred. He stated Mr. Colacino never spent time in prison as a result of those incidents. He indicated that Mr. Colacino plead guilty to writing a bad check in excess of $20 and that Mr. Colacino was fined $50 for malicious injury to a building. Mr. Sorenson stated that Mr. Colacino is a minority shareholder in the corporation, holding 4.5% of the stock. He stated Mr. Colacino previously held a liquor license in California and noted that Mr. Colacino divulged his arrests on the California liquor application. He stated the investigation report came back showing no arrests and Mr. Colacino was never questioned by the California authorities. He stated Mr. Colacino believed that the charges had been expunged from his record. Mr. Sorenson stated Mr. Colacino did not intend to deceive the Authority. He suggested that had Mr. Colacino divulged his criminal history initially, the Authority would not have held that criminal history against him. He offered into evidence letters of recommendation from approximately 60 individuals attesting to the moral fitness, character, and reputation of Michael Colacino. Mr. Sorenson spoke of Mr. Colacino's business and work in the community as a volunteer. The letters of recommendation were admitted into evidence as Applicant's Exhibit C. Authority member Poncelow stated she believed the unacceptability of the fingerprint report was an admitted issue. She stated she did not believe • • November 8, 1989 the report was acceptable, and noted that the issue of Mr. Colacino's moral character was a different item of discussion. Authority member Cooper stated he also did not believe the fingerprint report was acceptable. He stated that the Authority could not consider the information presented regarding the California liquor license because no documentation was offered. The vote on Authority member Cooper's motion to find that the fingerprint report for Michael Colacino was not acceptable was as follows: Yeas: Cooper, Crowfoot, Norton, and Poncelow. Nays: None. (Authority members Denmark and Garber withdrawn) THE MOTION CARRIED. Mr. Sorenson pointed out that the applicant is a corporation and that Mr. Colacino holds 4.5% of the stock in the corporation. He asked the Authority to consider the applicant's precarious position and requested that the Authority first provide an indication of its position on the moral character of Mr. Colacino. He stated he would like the opportunity to withdraw the application if it appears that the license may be denied. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to adjourn into Executive Session for the purpose of discussing legal matters. Yeas: Cooper, Crowfoot, Norton, and Poncelow. Nays: None. (Authority members Denmark and Garber withdrawn) THE MOTION CARRIED. (Secretary's Note: At the conclusion of the Executive Session, City Attorney Duval advised Mr. Sorenson that the Authority did not believe it appropriate to make a separate decision on the issue of Mr. Colacino's moral character.) Mr. Sorenson stated in light of the Authority's conclusion, the applicants had decided not to withdraw their application. Michael Colacino was sworn. He stated he has lived in Fort Collins for 6 years and has been a partner in Behind the Scenes Catering since it was originally founded 6 years ago. He stated some of the regular clients of the catering business include United Banks of Colorado, University National Bank, Hewlett-Packard, and Vipont. Mr. Colacino stated he held a liquor license in California and noted that there were never any actions against him or the liquor license for violations of the liquor codes. In response to questions from the Authority, Mr. Colacino indicated that in completing the California liquor license application, he answered "yes" to the question regarding arrests and convictions. He stated he was never questioned by the California licensing authority. He admitted he was never told by any competent legal authority that his criminal record had been expunged. Mr. Colacino stated he honestly believed his record had been cleared because he thought the incidents would be automatically cleared November 8, 1989 after 7 years. He stated he would not have jeopardized this application by answering "no" if he knew those incidents were still a part of his record. In summation, Mr. Sorenson asked the Authority to consider Mr. Colacino's record in the community for the past 6 years, his demeanor, and the risk faced by Mr. Colacino had at risk by deliberately telling an untruth in the application. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to disapprove Resolution 89-17 which approved the application for a tavern license at Foothills Country Club Catering, Inc., 6813 South College. Authority member Poncelow stated she would be voting in favor of the motion and noted she believed it was significant that the information was omitted from the application in at least three spots where the information should have been divulged. The vote on Authority member Cooper's motion was as follows: Yeas: Cooper, Crowfoot, and Poncelow. Nays: Norton. (Authority members Denmark and Garber withdrawn) THE MOTION CARRIED. AdJournment Authority member Cooper made a motion, seconded by Authority member Norton, to adjourn. Yeas: Cooper, Crowfoot, Norton, and Poncelow. Nays: None. (Authority members Denmark and Garber out of the room) THE MOTION CARRIED. The meeting was adjourned at approximately 9:10 p.m. Q •�r- Chairperson/ Secretary