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Home My WebLink About2003 12-29 CCP Special Session • AGENDA CITY COUNCIL SPECIAL MEETING December 29, 2003 4:00 p.m. City Hall Council Chambers 1. Renewal Liquor License —Refs Sports Bar & Grill, 2545 County Road 10 Requested Council Action: - Motion to approve Intoxicating Class B, Sunday, and Special 2 a.m. Liquor Licenses for Ref's Sports Bar & Grill, 2545 County Road 10 2. Initial Liquor License — Best Western Brooklyn Center Inn, 1501 Freeway Blvd. Requested Council Action: - Motion to approve Intoxicating Class B, Sunday, and Special 2 a.m. Liquor Licenses for Best Western Brooklyn Center Inn, 1501 Freeway Blvd., Subject to Receipt of Liquor Liability Insurance Certificate on or Before December 31, 2003 3. Discussion of Applebee's Waiver Request 4. Any Additional Liquor Applications Received Prior to Meeting will be Added Prior to Meeting • 5. Adj ourn • City of Brooklyn Center A Millennium Community To: Mayor Kragness and Council Members Carmody, Lasman, Niesen, and Peppe From: Michael J. McCauley City Manager Date: December 26, 2003 Re: Special City Council Meeting 1. Ref's a. Ref s submitted its renewal application on Monday, December 22 °d in the afternoon. All of the required insurance information has been supplied. The real estate taxes were paid and proof supplied with a copy of a receipt from Hennepin County. The application included a new person in management /ownership. The police are conducting a background investigation on an expedited basis. We anticipate that the police will be able to complete that investigation by the time of the City Council meeting on Monday. b. Assuming the background check is satisfactory, Ref s would be eligible • for renewal of its liquor license. 2. Best Western a. The owner of the Best Western has applied for a liquor license since the closing on a potential sale for conversion to senior housing has not yet occurred. The application is in order and ready for City Council approval, subject to provision of the required insurance certificate. 3. Applebee's a. Enclosed is a copy of a letter from Applebee's to the City Clerk requesting a grace period for their liquor license due to the unpaid real estate taxes. b. The City code provides: Section 11 -710. PLACES INELIGIBLE FOR LICENSE. 1. No license shall be granted, or renewed, or operation on any premises, on which taxes, assessments, or other financial claims of the City or of the State are due, delinquent, or unpaid. In the event an action has been commenced pursuant to the provisions of Chapter 278, Minnesota Statutes questioning the amount or validity of taxes, the Council may, on application by the licensee, waive strict compliance with this provision; no waiver may be granted, however, for taxes or any portion thereof, which remain unpaid for a period exceeding one year after becoming due. As of the writing of this memorandum, the real estate taxes for Brookdale have not been paid for the entire year of 2003. The City has previously caused the landlord at 6301 Shingle Creek Parkway Recreation and Community Center Phone & TDD Number Brooklyn Center, MN 55430 -2199 (763) 569 -3400 City Hall & TDD Number (763) 569 -3300 FAX (763) 569 -3434 FAX (763) 569 -3494 www.cityofbrooklyncenter.org • Northbrook (prior to the current ownership) to pay real estate taxes before licensing a pawn shop. The State of Minnesota has a provision in statute that allows the commissioner to direct the denial of a license at the local level for unpaid state taxes. While Applebee's is an innocent third party in this situation that has paid its share of prorated real estate tax to Talisman Brookdale, the language of the ordinance is clear and no action questioning the amount or validity of taxes has been made that would allow for a waiver. Generally, a taxpayer must pay their taxes in order to appeal them in any event. While it is unfortunate that Applebee's is in a situation not of their own making and beyond their control, the language of the ordinance is clear. The ordinance does not provide for a waiver under the circumstances that are presented. Without the ordinance, we would be in the situation where a landlord could benefit from the payment of rent and taxes by tenants who require a city license and ultimately default on their payment of taxes through filing bankruptcy or place the City in the position of being unpaid until foreclosure by the County several years later. Applebee's liquor license was previously approved for 2004 subject to payment of the real estate taxes. Thus, as soon as the City has proof of payment of the 2003 real estate taxes, the City Clerk is authorized to issue the 2004 liquor licenses. is I is Dec, 23, 2003 1 C : 26AM No, 3800 P. 2/4 ILN--A 4 1 • r Neighborhood Grill & Bar December 23, 2003 City of Brooklyn Center Attn: Sharon Knutson 6301 Shingle Creek Parkway Brooklyn Center, MN 55430 Fax: 763 -569 -3494 Re: Apple American Limited Partnership of Minnesota dba Applebee's Neighborhood Grill & Bar 1400 Brookdale Center Brooklyn Center, MN 55430 • Dear Ms. Knutson: Per your discussion with our attorney, Tom Archbold on Monday, December 22, 2003, we respectfully request renewal of our liquor license to prevent it from expiring on December 31, 2003, and a forty -five day grace period to obtain payment of the Hennepin County real estate taxes and assessments due with respect to the premises. If necessary, please include the above request on the December 29, 2003 City Council agenda to obtain approval of the grace period in case the amounts due have not been paid by such time. By way of explanation, under our lease, the landlord, Talisman Brookdale, LLC, is responsible for payment of the county real estate taxes and assessments that are owing with respect to the premises. Enclosed is a copy of one of the many communications that we have made demanding that the amounts due be paid by our landlord. As previously discussed with you, we had been assured by our landlord that the amounts due would be paid on December 18, 2003 and then later assured that payment would be made on December 19, 2003. While we will continue to seek to resolve our landlord's delinquent tax issue, it seems to be in everyone's interest to keep our business open in the City while the matter is being resolved. • APPLEBEE'S INTERNATIONAL, INC. 4551 W, 107th Street / Suite 1 oo / overland Pork, Kansas 66207 (913) 967 -4000 / Fox (913) 341 -1694 rfl Services, In - Applebec -'s of New MexfCo. Inc - Applet�ee's of Michiyon, Inc, • Applebc(:'S of Minnesota, Inc. Appferwe's or Texas, Inc. - Applebee's of New York, Inc. • Apolet)ae's Noghborf%000 Griri & Bo- or Georgia, Inc. - Applebee's Northeast, Inc. Awl6bcc's of Fen Nt Ivonic, Inc. • Appic Vermont wsfourracrs, Inc - Apple A'P1®rk;on umiteo Pannerhip Of Minnesota GcormeT Systems cf THnncssee, Inc. • Gourmet Systems, Inc. • C- ourmot Systems of California, Inc. - Gourmet System) of KO MOS, Inc, rowca+raow C- ovrrn?r SySlems of Nevada, Inc, • Gourmet Systems of Minnesota, Inc, - G9Urmet Systems of Georgia, Inc r& Dec. 23, 2003 1C:26AM No. 3800 P, 3/4 Please let me know what else we can do and confirm as soon as possible that • we are on the City Council agenda for December 29, 2003. Again, as previously mentioned, we will continue doing everything possible to resolve the situation without needing the proposed grace period but we would like to be on the agenda in the event it is necessary to prevent a closing and layoffs at the restaurant. Thank you for your assistance. Sincerely, o-" Bridget A. Holton Licensing Paralegal Copy to: Bob Steinkamp Tom Archbold Becky Tilden Barry Huffman Ron Herman • • Dec, 23. 2003. 1C.26AM No, 3603 P. V4 Neighborhood Grill & Bar viz: Overnight Aelivery and Facsimile December 4, 2003 Talisman Brookdalc, LLC Attention: Jim Schlesinger 1500 San Rem Avenue, Suite 135 Coral Gables, FL 33146 RF: Lease Agreement datedTovember 16, 1999 (the 'Lease') by and between Talisman Brookdale, LLC (the "Landlord ") and Apple American Limited Partnership of Minnesota (the "Tenant') for leased premises located at 1400 Brookdalc Mall, Brooklyn Center, Minnesota (the "Premises "). Applebee's Restaurant Number 6136. Dear Schlesinger: It bas been brought to the Tenant's attention that Landlord has failed to pay the Taxes on the above referenced Premises. Landlord's failure to pay the Taxes has resulted in the City of Brooklyn Center • denying Tenant's request to renew its liquor license, to which, expires on December 31, 2003. Pursuant to Article .X.11 of the above referenced Lease, Landlord is responsible for the payment of Taxes and Tm=t hereby demands, that Landlord immediately pay said Taxes. This letter shall serve as Tenant's written notice as required under the Lease. Landlord is hereby notified that it is in default of the Lease for failure to pay the Taxes and that Landlord must cute the default within fifteen (15) days of this letter. IA the evemt Landlord does not cure said default, Tenant -i11 pursue anv and all remedies available to it under the Lease and available at law or equity. Please call me at (913) 967 -8928 if you have any questions regarding this matter. Sincerely, Ronald L. Herman Asset Manager C: Robert W. Claesou, Esq. Fischbein, Bavillo, Wagner, Harding 909 3 Avenue New York, NY 10022 Parry L_ Huffman, Esq. File • APPLFBEE'S INTE?NATIONAL, INC. 4551 W, 107th, Street / Suite 100 / Overland Park, Kansas 66207 (913) 967 -4000 / Fax (913) 341 -169d All Services, Inc, • Applebee's of Nev f d6Xl"O, Inc. - Applebe6's of lJlchigan, lnc. • Applebm's of minnesote, Inc. ApplebeE's of 7ezo:, Inc. • ApplAOee's of fve- Vork, Inc. • Applebee's Nelghtorhood Gdll & Bar of C-- eorgic, Inc, • Apalebee's Norineo5t, Inc, AP;oiebeF's of Pennsylvonlc, Inc. • Apple Varmenf Restaurant•, tnc_ • Apple American Uniteo Partnership of Wnnesoto Gourmet Syslems of Tennessee, Inc.. 6ourme, systems, Inc, • Gourmet systems of CaiifomlC, Inc. •Gourmet Systems of Kansas, _nc, Gourmet Systems of Nevodo, Inc. • Gourmet system, or Mlnnesoto. Inc. • Gourmet systems of G0orQra.Inc,