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HomeMy WebLinkAboutLiquor Licensing Authority - Minutes - 01/03/1990LIQUOR LICENSING AUTHORITY MINUTES Regular Meeting - January 3, 1990 6:31 p.m. A regular meeting of the Liquor Licensing Authority was held on Wednesday, January 3, 1990, in the Council Chambers of the Fort Collins Municipal Building. The following members were present: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. 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 and 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 aporoval of the minutes of the December 6 1989 regular meeting. Report of Change of Corporate Structure for Albertson's, Inc dba A. Albertson's Food Center #862, 3660 South Mason. B. Albertson's Food Center #876, 731 South Lemay. This item represents a change of corporate structure for Albertson's, Inc., the 3.2% beer licensee for the Albertson's stores in Fort Collins. Leslie Bock has replaced Minnie Armstrong as secretary of the corporation. This change of corporate structure was filed directly with the State Liquor Enforcement Division, which has issued a new master file letter indicating the satisfactory results of its background investigation of the new individual. Approval by the local authority is requested based upon the State's investigation and acceptance of the reported changes. American Drug Stores, Inc., the 3.2% beer licensee for Osco Drug Store #2199, 112 East Foothills Parkway, is reporting a change of 4. 0 • January 3, 1990 stockholder. American Stores Company now holds 100% of the corporate stock. The State Liquor Enforcement Division has issued a master file letter indicating the satisfactory results of its background investigation of the corporate officers and directors of American Drug Stores, Inc. American Stores Company is a publicly -held corporation. Schrader Oil Company, the 3.2% beer licensee for Schrader's Country Store #100, 320 North College, is requesting approval of Rodney Thompson as manager of the establishment. Mr. Thompson was previously the manager at this location when it was licensed as Scout 66. Mr. Thompson left that location and has now returned to replace John Howe. Reoort of Manager for Schrader's Country Store #110, 4524 South College. Schrader Oil Company, the 3.2% beer licensee for Schrader's Country Store #110, 4524 South College, is requesting approval of John Howe as manager of the establishment. Mr. Howe was previously manager of Schrader's Country Store #100 at 320 North College. Mr. Howe was approved by the Authority in September 1988 as manager of the establishment at 320 North College, which was previously licensed under the trade name of Scout 66. Authority member Garber requested Item #4, Report of Manager for Schrader's Country Store #100, 320 North College, be removed from the Consent Calendar. Authority member Garber made a motion, seconded by Authority member Norton, to adopt and approve all items not removed from the Consent Calendar. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Report of Manager for Schrader's Country Store #100, 320 North College. Tabled to January 31, 1990 Secretary Rita Knoll informed the Authority that the manager for Schrader's Country Store #100 was not present at this meeting and requested the Authority table this item to the January 31, 1990 meeting. Authority member Garber made a motion, seconded by Authority member Guerrie, to table the report of manager for Schrader's Country Store #100, 320 North College, to January 31, 1990. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. • January 3, 1990 THE MOTION CARRIED. Registration of John Strong as Manager of Sea Galley, 100 West Troutman Parkway, Approved John Strong, manager, stated he has been the manager at this Sea Galley for approximately 3 weeks. He indicated that he had been a manager for the Sea Galley chain for the last 8 1/2 years and noted that there had been no liquor violations at other Sea Galleys under his management. He explained that the previous manager transferred to Cheyenne. Mr. Strong stated he was not familiar with past training practices at the establishment and described the procedures he intends to use in training employees. Authority member Cooper made a motion, seconded by Authority member Norton, to approved John Strong as manager of Sea Galley, 100 West Troutman Parkway. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. Registration of Scott Hamilton as Manager of Jefferson Grill, 200 Jefferson Street, Approved Scott Hamilton, manager, stated he has been manager since November, 1989. He noted there were no liquor violations at previous places of employment. Mr. Hamilton addressed prior liquor -related arrests and outlined measures taken to correct the problem. He acknowledged that the Authority had recently approved Rebecca Shannon as manager of the establishment and stated Ms. Shannon is on maternity leave. He stated stricter guidelines on the sale of alcohol have recently been enacted at the establishment and outlined the carding procedures. Mr. Hamilton stated he believes he is an alcoholic and spoke of his rehabilitation. Authority member Garber made a motion, seconded by Authority member Norton, to approve Scott Hamilton as manager of Jefferson Grill, 200 Jefferson Street. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Report of Manager for Vicker's #2487, 2025 South College, Approved Tamara Jean Ruth, manager, stated she has been manager at this location for approximately 2 months. She stated she has worked at a licensed establishment in the past, and indicated that there were no violations at that location during her employment. • January 3, 1990 Authority member Garber made a motion, seconded by Authority member Crowfoot, to approve Tamara Jean Ruth as manager of Vicker's #2487, 2025 South College. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Registration of Stuart Neubauer as Manager of Johnny's Liquor, 111 West Prospect, Approved Stuart Neubauer, manager, stated he was originally hired as manager of Johnny's in 1984. He stated the business was sold in 1986, and was repossessed by the original owners last August at which time he was rehired as manager. He spoke of the training procedures at the establishment. Mr. Neubauer indicated he personally meets with each employee to explain the store's policies, and noted that each employee signs a form acknowledging that they understand the policies. He indicated that the training has been upgraded since the liquor violation which occurred in October. Mr. Neubauer stated there was one violation, under previous ownership, in 1987. Authority member Garber made a motion, seconded by Authority member Norton, to approve Stuart Neubauer as manager of Johnny's Liquor, 111 West Prospect. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Hearing on a Change of Location for the County Cork Pub, from 2439 South College to 313 West Drake, Approved Authority member Crowfoot withdrew from consideration and vote on this item due to a perceived conflict of interest. Jake Maas, co-owner of the County Cork, was sworn. He stated the County Cork has been in its current location for over 8 years. He stated they had the opportunity to purchase the old Tico's Builidng at 313 West Drake, which is a larger building with a bigger kitchen, and better parking. He provided the Authority with menus and indicated that the new location will allow them to add to the food service. He noted they will serve brunch, lunch, and dinner. Mr. Maas stated the new location is approximately one-third larger. He described the remodeling that is taking place at the new location and noted that the building is designed so that parts of the building can be closed down when they are not needed. He stated ID's will be checked as people are served. He spoke of the clientele for the establishment and noted that they have never had a liquor violation. Mr. Maas indicated that ID's may be checked at the door during peak times. He stated he had circulated petitions on behalf of the application. • January 3, 1990 Assistant City Attorney John Duval indicated that the verifications of circulation were not attached to the petition pages and stated the licensee would need to attach the verifications before the petitions could be admitted into evidence. Mr. Maas stated the individuals who circulated the petitions were present in the audience and could correct the problem. In response to questions from the Authority, Mr. Maas stated he will manage the establishment himself. He stated the establishment will be run essentially the same, with an expanded food service. He stated the patio is enclosed with a 4 1/2 foot concrete wall. Mr. Maas spoke of architectural changes to the building. He expressed a desire to open at the new location on March 1, 1990. He stated they have a lease at the current location until May 1, 1990 and noted they are negotiating an early release from that lease. He spoke of the petitioning process and noted the response by the neighborhood residents was very favorable. Assistant City Attorney Duval noted he had marked several signatures in the petitions as unacceptable for various reasons, and stated the petitions were admissible into evidence. Mr. Maas stated they obtained 438 signatures in support of the request to change location and 7 signature in opposition. He stated the petitions were circulated within the neighborhood boundaries and noted that signatures were not obtained in the establishment. J. Patrick Carney, 2501 Bradbury Court, was sworn and stated he circulated petitions on behalf of the application. He stated the main reason given for signing in opposition was a preference not to change the neighborhood. Angela Carney, 2501 Bradbury Court, was sworn. She stated some of the individuals contacted indicated they did not want to get involved and noted that most individuals were very positive about the move. Mr. Carney stated there was some confusion on the part of neighborhood residents about the need to circulate petitions. Applicant's Exhibits A, B, and C were admitted into evidence and identified as petitions circulated on behalf of the application. Shirley Reichenbach, 1313 Glen Haven Drive, requested provisions be made at the new location for handicapped accessibility. Mike Griffith, attorney representing Data Lab Management of Fort Collins, Inc., the owner of the building where the County Cork is currently located, stated the County Cork has a lease at the current location which runs through April 30, 1990. He noted Mr. Maas' comments regarding their plans to move to the new location on March 1. He stated the current lease has a covenant which states they cannot open a business at another location within two miles of the present location and that they must maintain the business at the current location. Mr. Griffith objected to the change of location if it takes place prior to the close of business on April 30, Ll • January 3, 1990 1990. He indicated that the Authority has to consider whether they have a new location to move to, and stated based upon the provisions of the current lease, they do not. He offered into evidence a letter of objection and copies of the lease covenants which he referred to earlier. Mr. Griffith stated his client and the owners of the County Cork have been discussing this issue and noted there had been no resolution of the conflict. Assistant City Attorney Duval stated that the only parties who may present evidence for the record are those people who are parties -in -interest. He stated State statute defines parties -in -interest as being (1) the applicant, (2) an adult resident of the neighborhood under consideration, (3) the owner or manager of a business located in the neighborhood under consideration, and (4) the principal or representative of any school located within 100 feet of the premises. He stated before Mr. Griffith's evidence could be admitted into evidence, a determination should be made as to whether Mr. Griffith's client fits into the definition of party -in -interest. Mr. Duval stated even if the written objection is not admitted into evidence, he did not believe the Authority was prevented from considering Mr. Griffith's argument. Mr. Griffith stated Data Lab Management's principal office is located at 149 West Harvard, which is within the neighborhood boundaries. Mr. Duval stated the applicant has to establish that he has the right to possession of the premises, and that the needs and desires of the neighborhood residents are not being met. He stated he did not believe Mr. Griffith was arguing whether the applicant has a right to possession of the premises, and noted that the application indicates that the applicant has purchased the property. He stated he believed Mr. Griffith is arguing that if the applicant moves to the new location, his client may have some legal right to prevent them from operating at the new location. Mr. Duval stated he did not believe it was the Authority's function to determine whether the applicant is able to operate at the new location. Mr. Griffith argued that the applicant does not have possessory rights to the use of the liquor license at the new location. He stated the current lease prevents them from selling at the new location and from closing the business at the current location. He indicated the current lease is on a fixed monthly rate. Authority Cooper made a motion, seconded by Authority member Garber, to accept the testimony and evidence (marked by the Secretary as Exhibit D) submitted by Mr. Griffith and that each Authority member give the evidence whatever weight they feel appropriate. Yeas: Cooper, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. (Authority member Crowfoot withdrawn) THE MOTION CARRIED. Jake Maas stated their public image was very important and stated they are willing to prepay their rent so that they can leave the current location. He spoke of the difficult negotiations and noted the landlord lives in January 3, 1990 Australia. He stated he believed the petitions demonstrate the needs and desires of the neighborhood. He stated they will not attempt to operate at the new location unless they reach an agreement with Data Lab Management. Authority member Garber made a motion, seconded by Authority member Norton, to adopt Resolution 90-01 approving the change of location for the County Cork Pub from 2439 South College to 313 West Drake. Authority member Cooper stated it appears there is a pending civil issue here, but stated he did not believe that involved the transfer of the license. He stated he would support the motion. Authority member Garber stated he believed this was a civil matter that does not have any bearing on the needs and desires of the neighborhood. He stated the landlord has other avenues of recourse other than asking the Authority not to approve the change of location. The vote on Authority member Garber's motion to adopt Resolution 90-01 was as follows: Yeas: Cooper, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. (Authority member Crowfoot withdrawn) THE MOTION CARRIED. Request from Airex International, Inc., dba China Dragon Restaurant and Lounge, 1401 West Elizabeth, to Change, Alter, or Modify the Premises. Modification Not Substantial Authority member Garber withdrew from consideration and vote on this item due to a perceived conflict of interest. Walter Huang, owner, stated the new addition would be used for storage and kitchen usage. He stated liquor would not be stored in this new addition. He indicated that the addition would not change the alcohol sales or service. Authority member Norton made a motion, seconded by Authority member Guerrie, to find that the modification of premises at China Dragon Restaurant and Lounge, 1401 West Elizabeth, is not substantial. Yeas: Cooper, Crowfoot, Denmark, Guerrie, Norton, and Poncelow. Nays: None. (Authority member Garber withdrawn) THE MOTION CARRIED. Hearing on a New Application for a 3.2% Beer License at Convenience Plus, 1013 Centre Avenue. Approved Jon Stonbraker, attorney representing C Plus of Colorado, Inc., asked if there was anyone present to object to the application. • • January 3, 1990 There being an indication from the audience that there was opposition, Mr. Stonbraker proceeded with his presentation. Max Scott, Oedipus, Inc., was sworn. He described the petitioning process used and submitted Applicant's Exhibit A which was identified as a summary report of the petition results, and Applicant's Exhibits B, C, D, and E which were identified as petition documents. He summarized the results of the petition effort, noting that 209 signatures and 9 verbalizations were obtained in support of the application, and 63 signatures and 5 verbalizations were in opposition to the application. He stated the resulting 76% in favor of the application was unusually high for a 3.2% license. With the consent of the Assistant City Attorney, Applicant's Exhibits A, B, C, D, and E were admitted into evidence. Mr. Scott explained that the signatures on the petitions which were marked with an asterisk indicated that those signatures did not meet necessary criteria and were stricken from the petitions. Sandy Von Wedel, C Plus of Colorado, Inc., was sworn. She stated she has been employed with C Plus of Colorado, Inc. for approximately 12 years and noted she is a merchandiser, responsible for sales. She indicated she is responsible for supervising the sale of 3.2% beer at various store locations. Ms. Von Wedel stated the company is leasing the premises, which is a convenience store of approximately 2500 square feet. She noted the store is open 24 hours a day, 7 days a week and stated that the beer coolers are locked between midnight and 5 a.m. She described the training program for employees and stated the employees are required to read a policy manual which includes rules for the sale of alcoholic beverages. Ms. Von Wedel stated employees are immediately terminated if they violate the liquor laws and indicated that the company conducts its own "sting" operation to ensure that employees are complying with the company's carding policies. She stated it was their policy to card anyone who appeared to be under the age of 40. She spoke of other licensed outlets within the neighborhood boundaries. Applicant's Exhibit F was admitted into evidence and identified as the policy manual used in training employees. In response to questions from the Authority, Ms. Von Wedel stated she anticipates 10% of sales will be beer. She stated 3 doors of the 10-door cooler will contain beer. She stated employees do not receive a commission on beer sales. In response to questions from the Authority, Mr. Stonbraker explained the structure of the corporation. He stated Julie McClain will be the manager of the establishment and noted she was present to answer questions from the Authority. Shirley Reichenbach, 1313 Glen Haven, was sworn and stated she lives approximately 1/2 mile from the establishment. She stated she was surveyed and did object to the 3.2% beer license. She stated she is a member of the • January 3, 1990 Commission on Disability which reviewed the building plans for this store and noted that there was no indication that the company would be requesting a 3.2% beer license. Ms. Reichenbach spoke of other outlets in the area and expressed concern about the proximity of the establishment to Moore Park. She described the vandalism and consumption of beer at the park and stated she did not believe another beer outlet that close to the park was warranted. Mr. Stonbraker recalled Max Scott and reminded him he was still under oath. Mr. Scott referred to his stat sheets and indicated that 3 individuals were contacted at 1313 Glen Haven. He stated all 3 individuals indicated they did not consume alcohol or had an abhorrence for alcohol. He stated the individuals did not sign the petition in opposition and cited Supreme Court decisions which state that if an individual does not consume the beverage, that individual does not have a threshold for need. Ms. Reichenbach related the contact made by the petition circulator and stated her objection was not based on the abhorrence of alcohol. Mr. Stonbraker cited the case of Southland Corporation vs. Westminster City Council, which stands for the proposition that any testimony as to possible future events or future contingencies which might occur in the event that a license is granted is wholly speculative and is not grounds for denying any license application. Authority member Garber made a motion, seconded by Authority member Cooper, to adopt Resolution 90-02 approving the application for a 3.2% beer license at Convenience Plus, 1013 Centre Avenue. Authority member Garber thanked Ms. Reichenbach for coming forward, but stated he believed there was overwhelming support for the license. The vote on Authority member Garber's motion to adopt Resolution 90-02 was as follows: Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Julieanne McClain, manager of Convenience Plus, stated she has prior experience with the sale of alcohol and stated she has never worked in a store that was cited for a violation of the liquor laws. She spoke of the training that is provided to employees and the carding policies at the store. She stated there are 6 employees at this store. Authority member Garber made a motion, seconded by Authority member Guerrie, to approve Julieanne McClain as manager of Convenience Plus, 1013 Center Avenue. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. 0 January 3, 1990 Transfer of Ownership of Old Town Ale House, 25 Old Town Sauare, Approved Harold Lee Fetters, owner, stated he has been the sole proprieter of the establishment and stated he is the president of the newly -formed corporation. He stated the new corporation consists of his wife, his two sons, and himself. Mr. Fetters stated there would be no changes in the operation of the establishment and noted the purpose for transfer of ownership to the corporation was to take advantage of the limited liability a corporation has. He stated both sons work at the establishment and indicated that Troy has been previously approved as manager of the establishment. In response to questions from the Authority, Troy Fetters addressed Rick Fetter's criminal history. Authority member Garber made a motion, seconded by Authority member Denmark, to approve the transfer of ownership of Old Town Ale House, 25 Old Town Square, from Harold Lee Fetters to O.T.A.H., Inc. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Other Business Authority member Poncelow pointed out that Secretary Rita Knoll had provided the Authority with copies of the 1989 Annual Report and requested the Authority make a motion to approve the annual report. Authority member Denmark made a motion, seconded by Authority member Norton, to approve the 1989 Annual Report. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. THE MOTION CARRIED. Authority member Norton requested that the next annual report include information on establishments that go out of business or forfeit their liquor licenses. Authority member Denmark tendered his resignation from the Authority effective immediately and stated professional commitments do not afford him the time to devote to Authority matters. Adjournment Authority member Garber made a motion, seconded by Authority member Cooper, to adjourn. Yeas: Cooper, Crowfoot, Denmark, Garber, Guerrie, Norton, and Poncelow. Nays: None. • January 3, 1990 THE MOTION CARRIED. The meeting was adjourned at approximately 8:20 p.m. �cLt-t4 a. Peh Chairperso Secretary