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Minutes - Beverage Licensing - 12/14/2005CITY OF BOULDER BEVERAGES LICENSING AUTHORITY ***MINUTES*** WEDNESDAY, DECEMBER 14, 2005,1:00 P.M. BOULDER CITY COUNCIL CHAMBERS MUNICIPAL BUILDING - 2"d FLOOR 1777 BROADWAY, BOULDER, COLORADO NAME OF BOARD/COMMISSION: Beverages Licensing Authority DATE OF MEETING: December 14, 2005 NAME/TELEPHONE OF PERSON PREPARING SUMMARY: Mishawn J. Cook - Licensing Clerk (303-441-3010) NAMES OF MEMBERS, STAFF, AND INVITED GUESTS PRESENT: Board Members: Priscilla Corielle, Peter Gowen, Cam Marshall (arrived during agenda item 6 after start of hearing), Tim McMurray, and Brett Parnes. Staff Present: Sandra Llanes, Assistant City Attorney, Ann Large, Deputy City Clerk, and Mishawn Cook, Licensing Clerk. QUASI-JUDICIAL MEETING OUTLINE OF AGENDA 1. Roll Call of Beverages Licensing Authority (BLA) Roll call was taken. Four Authority members were present. There was a quorum. Member Mazshall was absent, but Mishawn Cook informed the Authority that it was expected that he would arrive azound 15-20 minutes late. Member Mazshall joined the meeting during agenda item 5 and was present from agenda item 5 through the end of the hearing. Approval of Minutes - November 16, 2005 Authority members provided no comments or suggested changes to minutes. Member Corielle moved, seconded by Parnes, to approve minutes as drafted. Motion approved 4:0. Approval of Hearing Conductor Assi~ments for this hearing Dave Query, a member of the public present concerning agenda item 6, clarified designated hearing conductors for this hearing. No other public comment was received concerning these assignments. Member Parnes moved, seconded by Corielle, to approve the hearing conductor assignments listed on today's agenda. Motion approved 4:0. At this time in the hearing, Mishawn Cook advised the Authority that Dave Query, managing member for the LLC licensee in agenda item 6, would like to address the 12/14/OS BLA Final Minutes Page 1 of 9 Authority before proceeding. Dave Query then requested that his item be heard first due to a family commitment. Chair Gowen inquired with the Authority members and members of the public as to if there were objections to granting Mr. Query's request, and hearing none, stated that the Authority would proceed with agenda item 6 immediately. However, Greg Friedman, attorney for the licensee in agenda item 4, then requested that the Authority allow him to proceed immediately, as he intended to request a continuance of his matter until the next BLA hearing. Chair Gowen then consented to Mr. Friedman's request to proceed with agenda item 4 before Mr. Query's agenda item 6. 2. Matters from the Boulder Police Department (BPD). Officer Carlene Hofinann appeazed before the Authority to inform them that this was her last official BLA meeting and to introduce them to Officer Heather Frey who would be taking over Officer Hofinann's responsibilities asBPD alcohol officer. Officer Hofinann also advised Authority that the BPD had completed compliance checks for all liquor licensees in the city of Boulder again this year with 5 more violations, so the Authority should expect to have show cause hearings until around Mazch, 2006. 3. Matters from the Responsible Hospitality Group (RHG). Mazk Karpowich, new chair of the RHG, appeazed before Authority. Mr. Karpowich advised that no RHG members were appearing today for show causes. Mr. Karpowich stated that he had come to today's hearing with RHG packets for those licensees attending on show causes and for other applicants, to let them know about the RHG and his involvement as RHG chair. Mr. Karpowich provided Authority members with an RHG packet and a copy of same was accepted as an agenda exhibit. Mr. Kazpowich let the Authority know that the RHG would be working with Molly Winter of the city of Boulder on the Responsible Hospitality Institute (RHI) grant made to the city. Mr. Karpowich requested to go on record about the importance of having an RHG representative on the Alcohol Advisory Group (AAG) which was expected to be formed as part of the RHI grant, stating that the RHG already has developed working relationships with the BPD and Downtown Boulder, Inc., so involvement on the AAG is a good fit for the RHG. 4. Show Cause Hearing concerning an August 21, 2005 violation and whether the Hotel- Restaurant type liquor license held by Trilogy Wine Bar, LLC d/b/a Trilogy Wine Bar, 2017 13th Street, should be suspended or revoked. Chair Gowen was the designated hearing conductor. Greg Friedman, attorney for this licensee, appeazed to request a continuance until the BLA's hearing on January 18, 2006. Mr. Friedman stated, and Bob Keatley of BPD confirmed, that the BPD had no objection to this continuance until January 18, 2006. Member Parnes moved, seconded by McMurray, to grant a continuance of this matter until the BLA's next hearing dated January 18, 2006 at lpm. Motion approved 4:0. Chair Gowen then directed that the agenda item 2 from BPD and agenda item 3 from RHG would proceed before the other matters. 12/14/05 BLA Final Minutes Page 2 of 9 5. Show Cause Hearing concerning an October 15, 2005 violation and whether the Hotel- Restaurant type liquor license held by Health and Wealth International, Inc. d/b/a Royal Peacock, 5290 Arapahoe Avenue, should be suspended or revoked. This matter was heard after agenda item 5. Member Marshall was the hearing conductor. Jason Savela, Esq. appeared as attorney for this licensee. Shanti Awatramani, owner of corporate licensee, was sworn in and testified as to mitigation. Bob Keatley for BPD reported to the Authority that this licensee would stipulate to the facts and that licensee agreed to waive reading of procedures. Mr. Savela confirmed the stipulation and waiver of reading from licensee. Member Mazshall confirmed with Authority members that there were no ex-parte communications or conflicts of interest. Chair Gowen moved, seconded by McMurray, to accept the stipulation to facts. Motion approved 5:0. Member McMunay, seconded by Parnes, moved that the penalty be set at 4 days with 10 days in abeyance. Member Corielle contrasted this penalty with the penalty given in agenda item 6, and other Authority members discussed this topic. Sebastian Awatramani was sworn in and testified during these further penalty deliberations. Chair Gowen moved, seconded by Corielle, to rescind the penalty motion and to reconsider the penalty. Motion approved 5:0. The Authority again discussed mitigating factors. Member Corielle moved, seconded by Parnes, that the penalty for this violation be set at 3 days served with 11 days held in abeyance. Motion approved 5:0. Shanti Awatramani requested that the 3 dates served be December 25, 26, and 27, 2005. Chair Gowen, seconded by Corielle, moved to accept requested suspension dates. Motion approved 5:0. After the conclusion of agenda item 7, Jason Savela, Esq. requested to be recalled for his client to change selected suspension dates, due to a scheduled party reservation, to new dates of January 2, 3, and 4, 2006. Member Parnes moved, seconded by Corielle, to change the suspension dates to January 2, 3, and 4, 2006. Motion approved 5:0. 6. Show Cause Hearing concerning an October 15, 2005 violation and whether the Hotel- Restaurant type liquor license held by Food Group, LLC d/b/a Zolo Grill, 2525 Arapahoe Avenue, Unit H-1, should be suspended or revoked. This matter was heazd before above agenda item 4. Member McMurray was the designated hearing conductor. Member Marshall joined the hearing at the beginning of this agenda item. Dave Query, managing member of the LLC licensee, and Dan Wells, manager of this licensed premise, both were sworn in and testified as to mitigation in this matter. Bob Keatley appeared for BPD advising that this licensee would stipulate to the facts and that this licensee would agree to waive the reading of procedures. Mr. Query confirmed stipulation and waiver of reading. Member McMurray confirmed with Authority members that there had been no ex-parte communications. Chair Gowen moved, seconded by Corielle, to accept the stipulation to the facts. Motion approved 5:0. Member Corielle requested that Mishawn Cook retrieve written materials previously provided by Mr. Query for Jax Fish House violation, and Ms. Cook provided same to the Authority for review. Mr. Query asserted to the Authority that Zolo Grill was a member in good standing of the 1tHG. Chair Gowen noted several mitigating factors. Member McMurray moved, seconded by Parnes, to set the penalty for this violation at 3 days served 12/14/05 BLA Final Minutes Page 3 of 9 with 11 days held in abeyance. Motion approved 4:1 with Member Corielle dissenting. Mr. Query stated his feeling that penalties for violations disproportionately penalized licensees, that BPD did not timely respond for minors using fake IDs, and that Mr. Query would like to pay a fine to a special fund rather than serving a suspension. In response to a request from Member Corielle, Officers Hofinann and Smith commented as to Mr. Query's statements about lack of BPD call response. Dave Query requested as the 3 suspension dates January 1, 2, and 3, 2006. Chair Gowen moved, seconded by Pames, to accept the requested 3 dates as January 1, 2, and 3, 2006. Motion approved 5:0. After the conclusion of agenda item 7, Jason Savela, Esq. requested to be recalled in order for his client to change suspension dates. 7. Show Cause Hearing concerning an October 15, 2005 violation and whether the Hotel- Restaurant type liquor license held by Vishnu, Inc. d/b/a Taj Restaurant, 2630 Baseline Road, should be suspended or revoked. Member Pames was the designated hearing conductor. Vhim Rai, owner of this corporate licensee, was sworn in and testified as to mitigation. Bob Keatley of BPD reported that this licensee had agreed to stipulate to the facts and that this licensee had agreed to waive the reading of procedures. Mr. Rai confirmed this stipulation and waiver of reading. Member Parnes confirmed with Authority members that there had been no ex-parte communications and no conflicts of interest. Member Parnes moved, seconded by Corielle, that the stipulation to the facts be accepted. Motion approved 5:0. Mr. Rai provided a copy of BPD class certificates of completion which were accepted as an agenda exhibit. Chair Gowen noted some mitigating factors. Chair Gowen moved, seconded by McMurray, to set the penalty for this violation at 3 days served with 11 days held in abeyance. Motion approved 5:0. Mr. Vhim requested as the 3 suspension dates January 9, 10, and 11, 2006. Member Parnes, seconded by Corielle, to accept requested suspension days of January 9, 10, and 11, 2006. Motion approved 5:0. S. Show Cause Hearing concerning an October 15, 2005 violation and whether the Hotel- Restaurant type liquor license held by The Mediterranean, Inc. d/b/a The Mediterranean, 1002 Walnut Street, Unit lO1B, should be suspended or revoked. Member Corielle was designated hearing conductor. Joe Romano, co-owner of corporate licensee, and Rob Kukura, general manager of the establishment, were each sworn in and testified as to mitigation. Bob Keatley of BPD advised that this licensee would stipulate to the facts and that the licensee would waive reading of the procedures, and Messrs. Romano and Kukura confirmed stipulation and waiver of reading. Member McMurray moved, seconded by Gowen, to accept the stipulation to the facts. Motion approved 5:0. Messrs. Romano and Kukura provided the Authority with a summary of TIPS class training and an employee reminder hand-out on age 21 calculation which was accepted as an agenda exhibit. The Authority members noted several mitigating factors. Member McMurray moved, seconded by Parnes, to set the penalty for this violation at 3 days served with 11 days held in abeyance. Motion approved 5:0. Messrs. Romano and Kukura requested that the 3 suspension dates be January 1, 2, and 3, 2006. Chair Gowen moved, seconded by McMurray, to accept requested 3 suspension dates of January 1, 2, and 3, 2005. Motion approved 5:0. 12/14/05 BLA Final Minutes Page 4 of 9 9. Show Cause Hearing concerning an October 15, 2005 violation and whether the 3.2% Beer Off-Premise type liquor license held by Pretty Good Groceries, Inc. d/b/a Lolita's, 800 Pearl Street, should be suspended or revoked. Chair Gowen was the designated hearing conductor. Sonya Oster, paralegal with corporate licensee, and Larry Minks, manager of the establishment, were each sworn in and testified as to mitigation. Bob Keatley of BPD advised that the licensee would stipulate to the facts and that the licensee would waive reading of the procedures. Ms. Oster confirmed stipulation and waiver of reading. Member Marshall moved, seconded by Pames, to accept the stipulation to the facts. Motion approved 5:0. Member Parnes noted some mitigating factors. Ms. Oster requested the same penalty as was assessed in agenda item 6 to Zolo Grill. Member Corielle moved, seconded by McMurray, that penalty for this violation be set at 4 days served with 10 days held in abeyance. Motion approved 5:0. Ms. Oster requested that the 4 suspension dates be January 2, 3, 4, and 5, 2006. Member Paznes moved, seconded by Corielle, to accept requested 4 suspension dates of January 2, 3, 4, and 5, 2006. Motion approved 5:0. 10. Public Hearing and Consideration of an October 24, 2005 application from Tortilleria El Rey, Incorporated d/b/a Tortilleria El Rey, 2966 Valmont Road, Cristina Delgado, 710 West Cleveland Circle, Lafayette, CO, Owner, for a New Hotel-Restaurant type liquor license. Member Marshall was the designated hearing conductor. Cristina Delgado, owner of corporate applicant, and Berla Delgado, general manager for corporate applicant, were sworn in, testified about this application, and confirmed under oath completion of mandatory 10 day posting of premises. Member Mazshall read hearing procedures to this applicant. There were no ex-parte communications or amflicts of interest disclosed by Authority members. No third parties requested interested party status. Member Mazshall noted favorable needs and desires petitioning results. No public comment was made regazding this application. Chair Gowen recommended approval as the application legal requirements had been met. Chair Gowen moved, seconded by McMurray, to approve this new hotel-restaurant liquor license. Motion approved 5:0. 11. Public Hearing and Consideration of an October 25, 2005 application from Sang Eun Lee d/b/a Ace Discount Liquor, 2991 Pearl Street, Sang Eun Lee, 10475 Pinehurst Circle, Broomfield, CO, Owner, for a Transfer of Ownerslup of a Retail Liquor Store type liquor license formerly held by MCY Enterprises, Inc. Member McMurray was the designated hearing conductor. Sang E. Lee, proposed owner of this establishment, was sworn in, testified as to this application, and confirmed under oath completion of the mandatory 10 day posting of premises. Member McMurray read hearing procedures to this applicant. No ex-parte communications or conflicts of interest were disclosed by Authority members. No third parties requested interested party status. Jan Otto provided public comment about the need for "light and bright" conditions around the outside of liquor stores to deter underage individual obtaining alcohol through purchase by of-age patrons. Chair Gowen commented that this application had met the legal 12/14/05 BLA Final Minutes Page 5 of 9 requirements for approval. Member Marshall moved, seconded by Parnes, to approve this transfer of ownership of the retail liquor store liquor license. Motion approved 5:0. 12. Public Hearing and Consideration of a November 3, 2005 application from 1310 College Avenue Property, LLC d/b/a 1310 College Avenue Property, LLC, 1310 College Avenue, Unit 100, Linda Foss, 1919 Oak Avenue, Manager/Member, for a Transfer of Ownership of aHotel-Restaurant type liquor license formerly held by Three Dogs, Inc. Member Parnes was the designated hearing conductor. Alex Goiran, Esq. appeared as attorney for this applicant. Linda Foss, owner of LLC applicant, was sworn in, testified as to this application, and confirmed under oath completion of the mandatory 10 day posting of premise. No ex-parte communications or conflicts of interest were disclosed by Authority members. No third parties requested interested party status. Sandra Llanes provided legal comment on the legal requirements for transfers by operation of law. Jan Otto provided public comment on the record on behalf of the University Hill Neighborhood Association to ask that this applicant not be allowed to operate, but instead require a transfer from this landlord to a new applicant tenant for establishment operation Chair Gowen commented that there is evidence on the record that the kitchen fixtures have been removed from this location, thus there would be a rebuttable presumption based on facts now known (with the understanding that complete Authority determination would need to occur when a later application is filed) that a change, alter, and modification application would be required in this case, either heard concurrently with a transfer or heard prior to a transfer application to be filed by a new tenant. Member Parnes moved, seconded by Gowen, that whereas this application is for a transfer by operation of law where the applicant has represented under oath that she does not intend to use this license and insofar as any new applicant who would be using this license will have to come before the Authority, at least for a transfer application and perhaps also for a modification application, therefore the Authority approves this transfer of ownership of the hotel-restaurant liquor license. Motion approved 5:0. 13. Public Hearing and Consideration of a November 7, 2005 application from Marsue, LLC d/b/a 4580 Restaurant, 4580 Broadway, Unit D-1, Martin Hammer, 205 Pawnee Drive, Manager/Owner, for a New Hotel-Restaurant type liquor license. Member Corielle was the designated hearing conductor. Martin Hammer, owner of LLC applicant, was sworn in, testified about this application, and confirmed under oath completion of the mandatory 10 day posting of the premise. Mishawn Cook provided the Authority with additional written materials concerning this matter which were accepted as an agenda exhibit. Member Corielle read hearing procedures to this applicant. No ex-parte communications or conflicts of interest were disclosed by Authority members. No third parties requested interested party status. Tina Scott from Oedipus, Inc. spoke about favorable needs and desires petitioning results. Chair Gowen moved, seconded by McMurray, to approve this new hotel-restaurant liquor license. Motion approved 5:0. 14. Public Hearing and Consideration of a November 7, 2005 application from Uptown Wine, LLC d/b/a Uptown Wine Shop, 4580 Broadway, Unit D-2, Susan Terkhorn- 12/14/05 BLA Final Minutes Page 6 of 9 Hammer, 205 Pawnee Drive, Manager/Owner, for a New Retail Liquor Store type liquor license. Chair Gowen was the designated hearing conductor. Susan Terkhom-Hammer, owner of LLC applicant, was sworn in, testified about this application, and confirmed under oath completion of the mandatory 10 day posting of premise. Mishawn Cook provided the Authority with additional written materials concerning this matter which were accepted as an agenda exhibit. Chair Gowen read hearing procedures to this applicant. No ex-parte communications or conflicts of interest were disclosed by Authority members. No third parties requested interested party status. No public comment was received concerning this application. Susan Terkhorn-Hammer commented about the favorable needs and desires petition results included in the BLA's packet. Member Mazshall moved, seconded by McMurray, to approve this new retail liquor store liquor license. Motion approved 5:0. 15. Public Hearing and Consideration of a November 7, 2005 application from SAP LLC d/b/a Tahona, 1035 Pearl Street, Suite 102, Mara and Peter Soutiere, both of 2363 Keystone Court, Managing Members, Tim Ackerman, 7914 North 73`d Street, Niwot, CO, Member, Daydreams, LLC, 1227 Spruce Street, Member, Gina Day, P.O. Box 25662 Chrsitiansted, VI, Member, and Five Additional Members each owning under a 10%LLC Interest, for a New Hotel-Restaurant type liquor license. Member Marshall was the designated hearing conductor. Mara Soutiere and Peter Soutiere, both managing members of LLC applicant, were each sworn in, each testified about this application, and Ms. Soutiere confirmed under oath completion of the mandatory 10 day posting of premise. Member Mazshall read hearing procedures to this applicant. No ex-parte communications or conflicts of interest were disclosed by Authority members. No third parties requested interested party status. Kelly Pietrs of Esquire Petitioning Services spoke about favorable needs and desires petitioning results. Sandra Llanes brought to the attention of the Authority a felony arrest reported by an applicant LLC member. The Authority members discussed this felony arrest, discussed if additional information should be sought, and the Authority determined that they would not need to seek additional information regarding this arrest. Ms. Soutiere commented that she would like to update her answers to the city of Boulder application to include Sunday hours. No public comment was received concerning this application. Chair Gowen moved, seconded by Corielle, to approve this new hotel-restaurant liquor license. Motion approved 5:0. 16. Matters from the Licensing Clerk. A) Set neighborhood boundaries for the January 18, 2006 BLA hearing. Applicant: Trivial Endeavors, Inc. Trade Name: Albums Bistro Location: 1124 13a' Street, Boulder, CO, 80302 License Type: A New Hotel-Restaurant type liquor license Authority Defined Neighborhood North Boundary: Canyon 12/14/05 BLA Final Minutes Page 7 of 9 South Boundary: Baseline West Boundary: 4~' Street East Boundary.• Folsom Lisa Spaulding provided public comment requesting that the Boulder Valley Comprehensive Plan definition of University Hill neighborhood be used. Jan Otto provided public comment that neighborhood distinctions should be used rather than distance measurements in determining neighborhood boundaries. Sandra Llanes commented that neighborhood boundaries aze dependant on Authority discretion. Member McMurray moved, seconded by Parnes, to approve the neighborhood boundaries as described above. Motion approved 4:1 with Member Corielle dissenting. Regarding Boulder Dushanbe Teahouse Modification application received, Mishawn Cook asked the Authority if they would like to set neighborhood boundaries for such modification, which would not add to their dining room or to their liquor service area, but which would add 800 square feet to their kitchen azea. Member Marshall moved, seconded Corielle, that provided application does nothing more than add kitchen space, and does not add food or alcohol service azea, the Authority determines that a modification hearing before Authority is unnecessary. Motion approved 5:0. B) Updates and Publication from Licensing Clerk In the BLA packet for this month, an invitation from Molly Winters of the city of Boulder to a Responsible Hospitality Institute focus group is included. Mishawn Cook intends to attend the focus goup as the Authority clerk, but Ms. Winters has also requested that an Authority member attend on January 24 or 25. The Authority members determined that Priscilla Corielle would attend on behalf of the Authority, and that Tim McMurray would also like to attend if there is room for two Authority members to be included. 17. Matters from the Assistant City Attorney. Sandra Llanes had no matters this month. 18. Matters from the Chair and Members of the Authority. a. Debriefmg from this hearing. Chair Gowen had no matters for debriefing. b. Other Matters from the Chair and Members of the Authority. Member Parnes expressed concern that many licensees who attend BLA hearings for show cause violations stipulated to the violation facts, but then when these licensees present mitigation, they discuss a wide range of topics that were not mitigating factors. Member Parnes wondered if there was a way to alert licensees as to what the BLA considers 12/14/05 BLA Final Minutes Page 8 of 9 mitigating. Mishawn Cook informed the Authority that she does include, with the Notice of Show Causes, the Penalty Schedule which contains a list of mitigating factors. Member Mazshall inquired if some language could be included in the Notice of Show Cause as a reminder for licensees to come prepazed to present mitigating factors (and only mitigating facts), if licensees expect a reduction from BLA approved suspension days on the Penalty Schedule. Chair Gowen stated that he would draft verbiage to add to Notice of Show Causes for circulation to Authority members. Member McMun•ay wondered if the Authority could request total alcohol sales from violating licensees (Sandra Llanes expressed concern with received these reports), but Chair Gowen commented he felt that the Authority might pass supplementary rules, after the draft Rules of Procedure were put in place by the City Attorney's Office (CAO), concerning providing such financial reports. Member Parnes commented that State Law provisions allowing warnings for licensees which have provided alcohol service training to all employees as the penalty for a first violation might be used by the Authority. Mishawn Cook stated that there were currently 4 Responsible Service Vendors who aze state approved trainers, and that the BPD LESS class was not among the 4. Ann Large commented that past Authority members had decided that the BPD LESS class would be mandatory for all city of Boulder licensees. Chair Gowen asked if it was expected that the Authority would have a hearing (and directed Mishawn Cook to set such matter on agenda for next hearing on January 18, 2006) on the draft Rules of Procedure provided by CAO. Chair Gowen commented that Mishawn Cook should accept the redline changes to the draft that she has made, then circulate a clean copy to the Authority members for their final comments that they should bring to the next hearing. Member McMurray stated that spacing and formatting on redlined draft circulated by Ms. Cook was confusing, and Ms. Cook replied that she had scanned that document. Sandra Llanes commented that she has the CAO's working version of this draft, and the Authority members advised that they would like to see both that CAO working version and Ms. Cook's redline changes applied to that working version to compaze the two documents. ADJOURNMENT Chair Gowen commented to Authority members that today's agenda was lengthy, but that he felt that they did an excellent job with this long agenda. Chair Gowen then advised that the Authority should adjoin, and as such, this hearing was adjourned at 5:10 PM. TIME AND LOCATION OF ANY FUTURE MEETINGS, COMMITTEES OR SPECIAL HEARINGS 1:00 PM - 3'a Wednesday of Every Month in City Council Chambers for yeaz of 2006, except this December 2005 meeting shall be on the second Wednesday of the month. Attest: Mishawn J. Cook, Licensing Clerk Approved: . ~~~~~~~ Peter Gowen, hair 12/14/05 BLA Final Minu[es Page 9 of 9