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HomeMy WebLinkAboutMintues - Beverage Licensing - September 17, 2008 CITY OF BOULDER BEVERAGE LICENSING AUTHORITY * * * MINUTES WEDNESDAY, SEPTEMBER 17, 2008,1:00 P.M. BOULDER CITY COUNCIL CHAMBERS MUNICIPAL BUILDING - 2"d FLOOR 1777 BROADWAY, BOULDER, COLORADO NAME OF BOARD/COMMISSION: Beverage Licensing Authority (BLA) DATE OF MEETING: September 17, 2008 NAME/TELEPHONE OF PERSON PREPARING SUMMARY: Mishawn J. Cook -Licensing Clerk (303-441-3010) NAMES OF MEMBERS, STAFF, AND INVITED GUESTS PRESENT: Board Members: David Cheval, Cam Marshall, Tim McMurray, Lisa Spalding, and Steven Wallace. Staff Present: Sandra Llanes, Assistant City Attorney, and Mishawn J. Cook, Licensing Clerk. QUASI-JUDICIAL MEETING OUTLINE OF AGENDA 1. Roll Call, Approval of Minutes from July 16, 2008 and August 20, 2008, and Approval of Hearing Conductor Assignments. Roll Call was taken. Al] Authority members were present, thus a 5 member quorum was present. Mishawn Cook noted she had incorporated Member Spalding's changes into the July 16`h minutes as requested at last month's hearing. Member Spalding moved, seconded by McMurray, to approve the BLA July 16, 2008 draft minutes as presented with Marshall and Wallace abstaining from vote because of their absence at the subject hearing. Motion approved 3:0. Member Spalding recommended an amendment to agenda item 4 on page 3 of the August 20`~ minutes, and Ms. Cook stated she would incorporate such amendment. Member Wallace moved, seconded by Marshall, to approve the BLA August 20, 2008 draft minutes as amended with McMurray and Cheval abstaining from vote because of their absence at the subject hearing. Motion approved 3:0. Chair Marshall requested public comment on all hearing conductor assignments, but none was provided. Member McMurray then moved, seconded by Spalding, to accept hearing conductor assignments as listed on the agenda. Motion approved 5:0. Mishawn Cook noted that the applicant in agenda item 6 wished to request a change in docket order because of a 9/17108 BLA Final Minutes Page 1 of 8 travel conflict. Kevin Coates, Esq., the attorney for applicant 221 B Baker St. Pub & Grill, then requested that his client's agenda item 6 be heard at the beginning of the docket order because the corporate officers of the applicant corporation were in attendance and the two corporate officers, Messrs. Martin and Carlson, hoped to return to their homes in Houston, TX on the afternoon plane due to the power interruptions and the public curfew resulting from Hurricane Ike. No opposing comment was made, and the Authority had no objection to the change, therefore, agenda item 6 was heard before the other matters. 2. Matters from the Boulder Police Department (BPD). After agenda item 6, Mishawn Cook noted that she provided the Authority with an email from Officer Heather Frey that would be accepted as agenda item 2, exhibit 1. Officer Frey updated the Authority in her email, among other topics, that CU and the city of Boulder were awarded an Enforcing Underage Drinking Laws grant. 3. Matters from the Responsible Hospitality Group (RHG). Mishawn Cook noted that she provided an email from Mark Karpowich, RHG Chair, which listed some new transit cooperation between Yellow Cab, RHG, and Late Night Transit. Ms. Cook stated that this email would be accepted as agenda item 3, exhibit 1. 4. Public Hearing and Continued Consideration to determine if there is good cause for a non-renewal of a June 10, 2008 License Renewal Application from Maharaja 2 Inc. d/b/a Maharaja, 1915 28th Street, Boulder, CO; Zuned Khan, President/ Registered Manager, with a premise business mailing address, for aHotel-Restaurant type liquor license. Member Spalding was the designated hearing conductor. Zuned Khan, corporate licensee president and registered manager, was sworn in, testified about this renewal, and confirmed under oath premise posting for the required 10 day period. Mr. Khan waived hearing procedures reading. No ex-pane communications or conflicts of interest were disclosed by Authority members. Mishawn Cook noted that Mr. Khan paid with certified check the outstanding occupation tax and properly paid and filed his sales tax before this hearing. No third parties requested interested party status and no public comment was received. Mr. Khan stated that service training was scheduled for his employees on September 29, 2008 at the Municipal Building. Mr. Khan also provided a handwritten summary of the ratio of food to alcohol sales to the Authority which was accepted as agenda item 4, exhibit 1. Member Wallace moved, seconded by Marshall, to approve this Hotel-Restaurant liquor license renewal application. Motion approved 5:0. 5. Public Hearing and Consideration to determine if there is good cause for anon- renewal of a July 18, 2008 License Renewal Application from Boulder Beer, Inc./Rockies Trademarks, Inc. d/b/a Boulder Beer Company, 2880 Wilderness Place, Boulder, CO; David Zuckerman, Jeff Brown, Diane Greenlee, Owners, with a premise business mailing address, for a Brew Pub type liquor license. Member Wallace was the designated hearing conductor. Courtney Mowrey, licensing 9117!08 BLA Final Minutes Page 2 of 8 director with Rock Bottom Restaurants, and Ellen Leonard, licensing coordinator with Boulder Beer, were both sworn in. Ms. Leonazd confirmed under oath premise posting for the required 10 day period. Hearing procedures were read. No ex-parte communications or conflicts of interest were disclosed by Authority members. Mishawn Cook stated that the licensee had undergone some corporate share changes, that they had held this renewal application in anticipation of filing these changes, and consequentially filed their renewal five days late. Ms. Cook also stated that the licensee properly filed their corporate changes. Ms. Spalding inquired about proof of training. Ms. Mowrey said they had brought proof of training with them, and she said she would submit this proof to Ms. Cook. The licensee's proof of training was accepted as agenda item 5, exhibit 2. Ms. Mowrey also provided proof of food to alcohol ratio summary that she stated was at 54 % meal total, and this summary was accepted as agenda 5, exhibit 1. Member Cheval requested that it be noted for the record that the licensee had waived their right for 30 day prior written notice for a public hearing. No third parties requested interested party status and no public comment was heard. Member McMurray moved, seconded by Member Cheval, to approve this Brew Pub liquor license renewal application. Motion approved 5:0. 6. Public Hearing and Continued Consideration of a May 30, 2008 application from Baker St. Boulder, LLC d{b/a 221B Baker St. Pub & Gri11,1729 28r Street, Boulder, CO; Hospitality USA Investment Group Inc. as sole member, Lawrence Martin, LLC Manager, President, and Registered Manager, Edgar Carlson, LLC Manager, Vice President, Treasurer, and Secretary, William Dearing, LLC Manager, all with a business mailing address of 1414 A Upland Drive, Houston, TX, for a Transfer of Ownership and Permanent Modification for aHotel-Restaurant type liquor license. Member Cheval was the designated hearing conductor. Member McMurray recused himself since his employer is represented by the same law firm as this applicant. No other ex-parte communications or conflicts of interest were disclosed by the Authority members. Kevin Coates, Esq. appeared on behalf of the applicant, requested to include in this record the hearing on this matter which occurred during the August 20`h hearing, and Mr. Coates waived hearing procedures reading for his client. Lawrence Martin, LLC applicant manager and president, Edgar Cazlson, LLC manager and vice president, secretary, and treasurer, and Clyde Burleson, Esq., applicant's general counsel, all were sworn in and provided testimony concerning this application. Ms. Cook noted that an affidavit and photo confirming posting for the required 10 day period prior to hearing was included in the Authority's packet. Member Cheval abstained from voting on permanent modification, since he was absent for the previous hearing, but stated that he would participate in the deliberation of the transfer. Mr. Coates provided the Authority with a list, which was included in the Authority's packet, of administrative actions against Texas and Oklahoma establishments as was requested at the previous hearing. The Authority inquired about the actions against company establishments and asked for clarification of several descriptions and dispositions, which was provided, and Mr. Burleson explained these incidents. Chair Marshall inquired about the incidents at the Colorado locations, particularly the Lakewood location. Todd Bowman was sworn in and provided testimony about enforcement actions for the Colorado locations. Mr. Coates asserted that pursuant to the statute there is nothing that would rise to the level 9/17/08 BLA Final Minutes Page 3 of 8 of bad moral character for the applicant. He then asked the Authority to take this into consideration and approve the transfer of ownership. Mr. Cheval asked for an explanation on the alcohol awazeness training for employees and how sales to an intoxicated person and minors are addressed. Mr. Burleson stated that training is mainly developed in-house by what they have learned from the Texas Alcoholic Beverage Commission. The applicant explained that their establishments hold weekly staff meetings, all-staff meetings, and use secret shoppers. Mr. Martin stated that all company managers aze certified by ServSafe. No third parties requested interested party status and there was no public comment. Chair Marshall moved, seconded by Wallace, to approve the hotel-restaurant liquor license transfer of ownership application. Motion approved 4:0. Chair Marshall moved, seconded by Wallace, to approve the permanent modification for ahotel- restaurant liquor license application. Motion approved 3:0 with Cheval abstaining from vote. 7. Public Hearing and Consideration of a July 17, 2008 application from EST, Inc. d/b/a Market Square Liquor, 1832 30`h Street, Unit B, Boulder, CO; Edward Trumm and Sandra Trumm, owners, with a premise business mailing address for a Transfer of Ownership for a Retail Liquor Store type liquor license. Chair Mazshall was designated hearing conductor. Mishawn Cook stated that she had received a call from their TIPS trainer that applicants had completed training, but had yet to receive their cards. Edward Trumm, corporate applicant co-owner/manager, and Sandra Trumm, corporate applicant co-owner, were both sworn in and confirmed under oath premise posting for the required 10 day period. Hearing procedures were read. No ex-parte communications or conflicts of interest were disclosed by Authority members. Mr. Trumm stated he was aware of training requirement for new employees within six months of hire. Member McMurray inquired about the layout of the store, as to the location of the point-of- sale, to understand the visual oversight of the store. McMurray also asked about their plans for policing the parking lot. Mr. Trumm stated that he checks everyone that comes in and keeps an eye on the parking lot. He also stated that he removed posters on the windows that originally obscured the view to the pazking lot. Mrs. Trumm stated that both owners are smokers and would be outside on occasion, enabling them to further monitor the parking lot. No third parties requested interested party status and no public comment was given. Member Wallace moved, seconded by Member McMurray, to approve the transfer of ownership of a retail liquor store liquor license application. Motion approved 5:0. 8. Public Hearing and Consideration of a July 28, 2008 application from Eddie & Sons, Inc. d/b/a Club Paraiso, 2690 28th Street, Unit E, Boulder, CO; Cristina Delgado, President, and Mireya Delgado Sosa, Vice President, with a premise business mailing address for a new Tavern type liquor license. Member Cheval was designated hearing conductor. Cristina Delgado, corporate applicant president, and Mireya Delgado Sosa, corporate applicant vice president and registered manager, were both sworn in, testified about this new license application, and confirmed under oath premise posting for required 10 day period. Hearing procedures were read. No ex-parte communications or conflicts of interest were disclosed by Authority members. 9/17/08 BLA Final Minutes Page 4 of 8 Ms. Delgado Sosa stated that, if approved, this would be their third business in Boulder, and that their plan for Club Pazaiso is to make it afamily-oriented sports bar and dance location on the weekend, aimed towazd the Hispanic community, but that everyone was welcome. The applicant's business plan was further stated to include hiring of six security persons and working with BPD to educate staff on fake identification. They also plan to hold a couple of teen nights where teens can go to dance and hang out with their friends, but no alcohol will be served on those nights. Member McMurray recommended that the owners stamp the hands of those over 21, rather than under 21. Ms. Delgado Sosa also stated that they plan to get food for customers from their existing restaurant, located two blocks away, to adhere to state law for Tavern liquor licenses. Mishawn Cook stated that she spoke with Jeff Long of Boulder Fire and there is an upcoming follow-up inspection scheduled for Monday September 22°d since they are repairing the location and that Boulder Fire has indicated that the applicant is cooperating to get the location into compliance. No third parties requested interested party status and no public comment was given. Max Scott of Oedipus Inc. was sworn in and gave testimony regarding the submitted needs and desires petition results. Chair Marshall commented that some of the negative comments received on the petition may result from the previous licensee's operations. Chair Mazshall suggested that Ms. Sosa contact those people to discuss her plans with them and perhaps turning them into allies. No third parties requested interested party status and no public comment was given. Member Wallace moved, seconded by Chair Marshall, to approve the new Tavern liquor license application. Motion approved 5:0. 9. Public Hearing and Consideration of a July 28, 2008 application from Sugo, Inc. d/b/a Arugula Bar Ristorante, 2785 Iris Avenue, Boulder, CO; Alexander Schuler, President, with a business mailing address of 989 Forest Avenue, Boulder, CO 80304, for a Transfer of Ownership and Permanent Modification for aHotel-Restaurant type liquor license. Member Spalding was the designated hearing conductor. Mishawn Cook stated that this is a transfer by operation of law, which explains why the court order and signature by the landlord is included with the affidavit of transfer and statement of compliance. Ms. Cook also advised that notice was provided to the prior owner, Roberto Gaggioli, via all addresses originally provided to the Authority in prior applications. Alexander Schuler, corporate applicant president and registered manager, was sworn in, testified about this new restaurant, and confirmed under oath premise posting for the required 10 day period. Hearing procedures were read. No ex-parte communications or conflicts of interest were disclosed by Authority members. Mr. Schuler stated that a modification of the premises would reduce its original size from 6,000 sq. ft. to 2,580 sq. ft.., with the resulting space seating approximately 65 people and that his new restaurant expected to have a staff of about 20. Mr. Schuler provided a restaurant menu which was accepted as agenda item 9, exhibit 1 and his TIPS training card copy which was accepted as agenda item 9, exhibit 2. Mr. Schuler stated that his parents, his other co-owners, would have minimal involvement in the day-to-day operations. No third parties requested interested party status and there was no public comment. Max Scott of Oedipus Inc. was 9/17/08 BLA Final Minutes Page 5 of 8 sworn in and gave testimony regarding the submitted needs and desires petition results for the proposed permanent modification. Chair Mazshall moved, seconded by McMurray, to approve the transfer of ownership and permanent modification applications for this Hotel- Restaurant liquor license. Motion approved 5:0. 10. Public Hearing and Consideration on Confirmation of Open and Operating Days in Show Cause Hearings to Determine Suspension Duration for Violations. Mishawn Cook stated that she gave the Authority some items that aze normally included in a Notice of Show Cause. Ms. Cook advised that all retail liquor licensees can now operate seven days a week per state law and that it has always been the practice of the BLA to ask what days the licensee is customarily open. Chair Marshall suggested that the BLA ask the applicant directly what days are they customarily open. However, if there is a misrepresentation, the Authority members and Sandra Llanes discussed that the Authority needs to be very clear that a misrepresentation has occurred before another action is initiated. Member Wallace stated that his preference would be to go on history of the days a licensee is normally open. Ms. Llanes advised that there needs to be an investigation and then an Authority determination, if there is a charge of misrepresentation, based on a review of hearing recording, hearing transcript, or other documents. During this agenda item, the Authority members asked Ms. Cook to schedule a discussion on the BPD LESS training to decide if the class should be valid indefinitely or for three years or if the class should sunset in that it would longer being accepted at a certain point by the BLA. Ms. Cook stated she would publicly notice this item for the October 15`h hearing. 11. Matters from the Licensing Clerk: A) Neighborhood Boundaries for BLA September 17, 2008 Hearing: i) Laughing Goat Coffeehouse- New Beer & Wine License: 2690 28`h Street, Unit E, Boulder, CO 80301 The Authority discussed the following boundaries: High Street Extended on the North, Arapahoe Avenue on the South, Broadway on the West, and Folsom Street on the East. Member Wallace moved, seconded by Member McMunay, to set the Neighborhood boundaries as above listed for this application. Motion approved 5:0. B) Information Items: Mishawn Cook noted at the end of this agenda item that an email from Jane Curtis with CU was included in the Authority's packet concerning upcoming showings of the film "Haze." i) September Special Events and Temporary Modifications for 2008 Mishawn Cook noted that she gave the Authority a monthly list of special events and temporary modifications in their hearing packet, although there would be no more Special Event Committee meetings for the remainder of 2008. 9/17/08 BLA Final Minutes Page 6 of 8 ii) 2008 Legislative Changes to State Laws and Regulations Ms. Cook noted that she supplied the Authority in their hearing packet with a chart and text of bills and regulations for the legislative changes for 2008. Ms. Cook reviewed this summary for the Authority's information. Ms. Cook asked the BLA whether they wanted Art Gallery Permits to go through a public hearing process. Member McMurray asked if a gallery could be issued a Show Cause. Ms. Cook affirmed this and she stated there still an obligation for them to uphold the law. Member Wallace asked what the consequences would be for illegalities and Ms. Cook replied that she assumed they would be issued a ticket for violation of the state liquor code. Ms. Cook stated she could draft a script to be read at art gallery permit hearings which would explain the permit's legal criteria to all present. Sandra Llanes asked to receive a new book of the state liquor code and state regulations for 2008 due to the highlighted changes and Ms. Cook stated that she would compile and distribute this bound book. iii) Tom's Tavern, Abo's Pizza, The Goose Updates Tom's Tavern Ms. Cook noted that she checked the state assessor's records to see if a sale of the Tom's Tavern space had been filed by Tebo Development Company. Ms. Cook stated that to date, nothing has been recorded, and that the licensee's liquor license is valid until December 31, 2008. Ms. Cook noted that this renewal notice will soon be sent out by the city, and if Tom's Tavern is interested in renewing this license or in a transfer of ownership the applicable licensee must provide proof of possession. Ms. Cook further advised that if a transfer is done at this location, they have come to an Authority hearing for the filed transfer, and if they are renovating, they must file a permanent modification as an adjunct to the transfer. Abo's Pizza on the Hill Ms. Cook noted that she has received a transfer of ownership application from this applicant, but originally put it on hold for further research. Ms. Cook noted that Planning approved this at the staff level, with an opportunity to appeal it to the Planning Boazd. Ms. Cook stated that she received word on September 4, 2008 that it was being appealed. Ms. Cook noted that this matter would be heard by the Planning Board on October 16, 2008 and that it currently is scheduled for BLA October 15, 2008 hearing. Sandra Llanes advised that the BLA could not hold the application because it is a transfer application, rather than a new license application, thus the appeal process can continue for the planning and zoning issues, but the liquor license can be proceed to Authority hearing. Ms. Llanes suggested that the applicant be notified again regarding the September 22, 2008 deadline to apply for a temporary license, which cannot be requested later than 30 days from the initial application filing date of August 22"a The Goose Ms. Cook stated that she received a fax and correspondence indicating a rent dispute between tenant and landlord at the location of The Goose, formerly known as The Pit 9/17/08 BLA Final Minutes Page 7 of 8 Smokin' Hot. Ms. Cook noted that this licensee is scheduled for anon-administrative renewal hearing on Oct. 15, 2008 to deliberate on the hotel-restaurant liquor license. Ms. Cook stated she will require the licensee to provide proof of possession because of the landlord's inquiries. Ms. Cook also stated that she received a phone call indicating that there is a possible corporate share sale for this establishment, but that she hasn't received anything filed as of yet. Member Spalding asked that Ms. Cook request food to alcohol ratio information for 25% meal requirement and employee training evidence from this licensee. 12. Matters from the Assistant City Attorney No matters were addressed. 13. Matters from the Chair and Members of the Authority A) Debriefing from this hearing No further matters were discussed. B) Other matters from the Chair and Members Member David Cheval noted that he is a former licensee at old La Iguana location. ADJOURNMENT Member Wallace moved, seconded by McMurray, to adjourn this hearing. Motion approved 5:0, thus this hearing was adjourned at 4:20 PM. TIME AND LOCATION OF ANY FUTURE MEETINGS, COMMITTEES OR SPECIAL HEARINGS 1:00 PM - 3'a Wednesday of Every Month in City Counci] Chambers for yeaz of 2008. Attested: Approved: Mishawn J. Cook, Lt Chair 9/17/08 BLA Final Minutes Page 8 of 8