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HomeMy WebLinkAboutLiquor Licensing Authority - Minutes - 08/16/1989• LIQUOR LICENSING AUTHORITY MINUTES Regular Meeting - August 16, 1989 6:30 p.m. A regular meeting of the Liquor Licensing Authority was held on Wednesday, August 16, 1989, in the Council Chambers of the Fort Collins Municipal Building. The following members were present: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Authority Member Absent: Denmark 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. 3. Consider approval of the minutes of the July 19, 1989 regular meeting_ Report of Change of Corporate Structure for Steak and Ale of Colorado, Inc., dba Bennigan's, 2203 South College. Steak and Ale of Colorado, Inc., the hotel -restaurant licensee for Bennigan's, 2203 South College, is reporting a change of corporate structure. This application indicates that the outstanding stock of S & A Restaurant Corporation, which is the holding company of the licensee, Steak and Ale of Colorado, Inc., is being purchased by Benale Holdings Corporation. The State Liquor Enforcement Division has required that a Report of Changes Form, accompanied by an Individual History Record for all new officers, directors and stockholders of Benale Holdings Corporation, be completed for each Bennigan's and Steak and Ale location. The Prime Minister's Pub and Grille, Inc., the hotel -restaurant licensee for the Prime Minister's Pub and Grille, 3905 South College, is reporting a change of corporate officers and directors. Arthur August 16, 1989 Wong is replacing Larry Hennessy as the Vice-President/Secretary and director of the corporation. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to adopt and approve all items not removed from the Consent Calendar. Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Report of Change of Manager for Pizza Hut, 1075 Pennock Place, Approved Victoria Laviolette, manager, stated she has been a manager for Pizza Hut for approximately three years and noted she has been at this location for five weeks. She stated there would be no changes at the establishment and noted that the current limit of two glass of beer per person would continue. Ms. Laviolette spoke of her familiarity with the liquor laws and indicated she had prior experience as a bartender and manager in an establishment in Wisconsin. Authority member Garber made a motion, seconded by Authority member Norton, to approve Victoria Laviolette as manager of Pizza Hut, 1075 Pennock Place. Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Hearing on a New Application for a Tavern Greg Denton, attorney representing MCP, Inc., stated the president and secretary of the corporation were present to testify. He noted that this application is for premises formerly known as The Library. Tim McKeon, president of MCP, Inc., was sworn. He stated he has no prior experience with the sale and service of alcohol. He described the procedures that would be used to ensure compliance with the liquor laws and spoke of attempts to familiarize all employees with the liquor code. Mr. McKeon spoke of training that would be provided to employees and noted that written training materials have been prepared. He stated he coordinated the petitioning efforts on behalf of the application. He indicated that between 230 and 240 signatures were obtained in support of the application. Mr. McKeon stated approximately 6 individuals indicated they were not in favor of a license being granted at this location. Assistant City Attorney John Duval pointed out that each petition designates that it is an application for a liquor license, without indicating the type of license applied for. He noted that he struck 5 signatures that were not valid for various reasons. • • August 16, 1989 Applicant's Exhibits A through D were admitted into evidence and identified as petitions circulated on behalf of the application. Applicant's Exhibit E was admitted into evidence and identified as the floor plan of the establishment. Applicant's Exhibit F was admitted into evidence and identified as photographs of the condition of the establishment at the beginning of the remodeling. Mr. McKeon noted that the improvements to the establishment have not yet been completed and stated he anticipated completion between August 28 and September 1. He stated the corporation is bearing the cost of the improvements, estimated to be $75,000. He noted that the owner of the building is contributing an additional $27,500 for improvements. Mr. McKeon described the previous condition of the establishment and the improvements that are being made to the establishment. He stated the interior will be totally new. Mr. McKeon stated he and Mr. Pope will attend the class offered by Officer Ernie Tellez which covers liquor laws and checking for identification. He noted that he will be the on -site manager of the establishment. He spoke of the carding policies for the establishment and indicated that the doorman will be responsible for determining whether an individual is intoxicated prior to entering the establishment. Mr. McKeon stated plans are being made to purchase a limo to transport intoxicated individuals to their homes and noted contacts will be made with taxi companies in an attempt to make arrangements for a similar service. He indicated that a doorman will be on duty at all times and that identification will be checked at the door. He stated that employees have not yet been hired and described the types of employees they will be seeking. In response to questions from the Authority, Mr. McKeon stated he is president of the corporation, Jack Carlyle is the treasurer, and T.K. Pope is the secretary. He noted there is no vice-president and that he would be the manager. He stated when the petitions were circulated, the circulator specified that the establishment would be a "21" club. He stated the seating capacity has not been determined, but the prior establishment seated 453. Mr. McKeon stated pizza will be delivered to the establishment by Panhandlers Pizza. He stated the anticipated hours of operation are 6:30 p.m. to 2:00 a.m., with the opening on Fridays being 4:00 p.m. He explained the relationship with Jack Carlyle, noting he is an absentee partner. Authority member Cooper stated he was uncomfortable with the lack of identification in the petitions of the type of license applied for. Assistant City Attorney John Duval stated he believed the petitions are admissible unless someone in the audience wants to object to their admissibility. Mr. Denton stated he did not believe that a 3.2% beer license allows for liquor to be sold and he believed the description as being a liquor license provides a generic description of the type of license. • • August 16, 1989 In response to questions from the Authority, Mr. McKeon stated everyone will be carded at the door and no one under the age of 21 would be allowed in the establishment. Thomas Pope, treasurer of MCP, Inc., was sworn. He stated he managed a club in Michigan, in addition to being a bartender and doorman for approximately one year. He described the management style of the establishment and noted there would be very clear and concise rules. He noted one of his primary responsibilities at Gators will be to formulate rules and regulations and oversee the implementation of policies. Mr. Pope stated he is a student and indicated he will spend as much time as possible at the establishment. He stated he was involved in monitoring the circulation of petitions on behalf of the application. He stated he provided a script to the circulators which included statements that they represented a new nightclub in town and that it was a full liquor bar. He stated he asked the circulators to stress that the establishment was not a 3.2 bar and that the target age group was 21 to 35 years. Mr. Pope stated they are seeking an upscale, culturally -defined clientele. He described the level of communications that will take place with Mr. Carlyle in order to keep him abreast of the operation of the establishment. In response to questions from the Authority, Mr. Pope indicated that they will be ordering the Colorado Liquor Code and arranging for attendance at the Police Department's training session. He stated in addition to Panhandlers Pizza being available at the establishment, other food items such as peanuts and chips would be available. He noted they were also considering bringing in deli sandwiches. Authority member Poncelow expressed concern about Mr. McKeon's lack of experience and encouraged him to make an effort to become more familiar with the laws and the responsibilities of a licensee. Authority member Garber made a motion, seconded by Authority member Guerrie, to adopt Resolution 89-16 approving the application of MCP, Inc. for a tavern license at Gators, 1220 West Elizabeth. Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Mr. Denton asked if the photographs submitted as Exhibit F could be returned to the applicant after 30 days. Transfer of Ownership of Johnny's Liquor, 111 West Prospect, Approved Jerald Blake, applicant, stated there would be no changes in the operation of the business. He explained that he and his father started the business in 1968 and sold the business in 1986 to Valor Corporation. He indicated Valor Corporation is filing bankruptcy and the business has transferred back to him and his father. He stated the same manager who has been with • • August 16, 1989 the establishment for the past 8 years will remain and that he will be registered in the near future. In response to questions from the Authority, Mr. Blake spoke of prior violations at the establishment. He stated he will make sure he is familiar with recent changes in the liquor code and noted that all employees will attend the Police Department's training class. Mr. Blake indicated he did not have a definite plan to sell, but if the right buyer was found he would sell the establishment. He stated there is a possibility that the size the establishment will be reduced in the future. Secretary Rita Knoll stated any modification of the premises would need to be approved by the Authority and noted that is the modification is found to be not substantial, there would be no fee involved. Authority member Garber made a motion, seconded by Authority member Norton, to approve the transfer of ownership of Johnny's Liquor, 111 West Prospect, from Valor Colorado, Inc. to Jerald Blake and Darrel Blake (Blake Investments, a Colorado general partnership). Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Transfer of Ownership of The Page, 181 North Colleae. Approved (Secretary's Note: Authority member Norton withdrew from consideration and vote on this item due to a perceived conflict of interest.) Nora Escobedo, new owner, spoke of the prior reputation of the establishment and stated she has worked there for the past 4 months and feels good about the establishment. She stated she has approximately 10 years experience with alcohol sales and owned a bar for 5 years. She noted she is an ex -police officer and is familiar with the liquor laws. Ms. Escobedo pointed out that she is planning to enclose the patio area for a beer garden. She stated she has already changed the clientele that is frequenting the establishment. She stated the establishment would continue to provide music. In response to questions from the Authority, Ms. Escobedo explained the financial transactions to purchase the business. She indicated that the criminal charge listed in her background investigation questionnaire was dismissed. Authority member Garber made a motion, seconded by Authority member Guerrie, to approve the transfer of ownership of The Page, 181 North College, from Melissa Corr to Nora Escobedo. Yeas: Cooper, Crowfoot, Garber, Guerrie, and Poncelow. Nays: None. (Authority member Norton withdrawn) THE MOTION CARRIED. • • August 16, 1989 Continuation of Show Cause Hearing for Pizza 2001, 802 South College, Licensee Voluntarily Surrendered License Authority member Poncelow stated that the Authority, at its July 19 meeting, found that a violation occurred at the establishment. She noted that the Authority had difficulty determining what kind of penalty should be assessed due to the fact that the business has been closed. Alan Martin, licensee, explained that the business was closed because of financial problems and indicated that he had no intention to reopen the store. He stated he would like to surrender the license for the establishment. He indicated that there have been no problems at the other location and explained the circumstances surrounding the violation at 802 South College. He stated when the violation occurred, he fired the employee and closed the business the next day. In response to a question from the Authority, Assistant City Attorney John Duval indicated that if Mr. Martin surrenders the license, any future applicant would have to petition the neighborhood in order to prove the needs and desires of the neighborhood. Secretary Rita Knoll stated that Circle K, the lessor of the premises, is aware of the violation that occurred at the establishment. She noted that Circle K was not aware of Mr. Martin's willingness to surrender the license. She stated that a representative of Circle K indicated that they do not feel comfortable with leasing the premises for another liquor -related establishment. Authority member Cooper stated he was not in favor of taking no action at all. He stated although he understood that a suspension may not be in order, he was not comfortable with allowing the licensee to surrender the license as if he decided to go out of business and nothing occurred. He stated he would not object to allowing Mr. Martin to surrender the license as long as a letter was included in the file indicating that the surrender was offered in lieu of suspension. Secretary Rita Knoll pointed out that the record, based on the Authority's actions at the show cause hearing on July 19, does reflect that a violation occurred. Assistant City Attorney John Duval stated a letter could be prepared that reinforces that a violation did occur and that the Authority accepted Mr. Martin's offer to surrender the license in lieu of imposing another penalty. He stated that the motion should be worded to show that the Authority accepts the surrender of the license in lieu of penalty for the violation. Authority member Cooper made a motion, seconded by Authority member Guerrie, to accept the surrender of the 3.2% beer license for Pizza 2001, 802 South College, in lieu of taking action against the license for the • • August 16, 1989 violation that was found at the show cause hearing on July 19. Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Mr. Martin clarified that he was not surrendering the license as a result of the violation, but rather for other reasons. Authority member Poncelow stated that the Authority has accepted the surrender of the license in lieu of taking action on the violation. Secretary Rita Knoll clarified that the wording of the motion should be sufficient to provide a clear record that the surrender is accepted in lieu of other actions. (Secretary's Note: Mr. Martin signed an Affidavit for Surrender of State and Local Liquor Licenses.) Other Business Consideration of Proposed Ordinance Amending Chapter 3 of the City Code Secretary Rita Knoll highlighted the provisions of the Ordinance. Authority member Cooper made a motion, seconded by Authority member Crowfoot, to recommend that the City Council adopt the Ordinance. Yeas; Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Election of Officers Authority member Cooper made a motion, seconded by Authority member Norton, to nominate Stacy Poncelow as Chairperson. There being no further nominations, the vote on Authority member Cooper's motion was as follows: Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Authority member Cooper made a motion, seconded by Authority member Guerrie, to nominate Jim Garber as Vice -Chairperson. Authority member Garber made a motion, seconded by Authority member Norton, to nominate Carl Cooper as Vice -Chairperson. There being no further nominations, the Authority was polled and each member was asked to respond by indicating his or her choice for Vice -Chair. The vote was as follows: 0 August 16, 1989 Cooper - Garber Crowfoot - Garber Garber - Cooper Guerrie - Garber Norton - Garber Poncelow - Garber Authority member Garber was elected Vice -Chairperson. Possible Worksession The Authority discussed whether there was a need to hold a worksession to share ideas and philosophies with regard to the function of the Authority. It was decided not to schedule a worksession at this time. Adjournment Authority member Guerrie made a motion, seconded by Authority member Cooper, to adjourn. Yeas: Cooper, Crowfoot, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. The meeting was adjourned at approximately 7:55 p.m. Chairperson Secretary