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HomeMy WebLinkAbout2014-173 CCR Member Kris Lawrence-Andersorintroduced the following resolution and moved its adoption: RESOLUTION NO. 2014-173 RESOLUTION MAKING FINDINGS OF FACT AND ORDER RELATING TO AMF EARLE BROWN LANES LIQUOR LICENSE Upon due notice, a hearing was held by the Brooklyn Center City Council on the 8t" day of December, 2014 at 7:00 p.m., at the Brooklyn Center City Hall, on the matter of the liquor license application of AMF Earle Brown Lanes, pursuant to Brooklyn Center City Code, Section 11-125. City staff presented information relating to the failure of the liquor license applicant to meet the requirements of City Code, Section 11-107, paragraph 4(c) relating to the percentage of revenue derived from the serving of food for consumption on the premises. Having heard and duly considered the evidence presented at the hearing, the Council makes the following FINDINGS OF FACT and ORDER: FINDINGS OF FACT 1. AMF Bowling Centers, Inc. d/b/a AMF Earle Brown Lanes (the "Licensee")holds anon- sale Class C intoxicating liquor license for 2014 and has applied for a license for 2015. 2. Brooklyn Center City Code, Section 11-107,paragraph 4(c) requires that, to be entitled to a Class C license, a restaurant must derive at least 40% of its revenue from the serving of food for consumption on the licensed premises. 3. The Licensee has submitted information showing that, for the twelve-month reporting period ending September 30, 2014, only 35% of sales were derived from the sale of food. Therefore, the Licensee has not complied with the requirements of Section 11-107, paragraph 4(c) (the "Violation"). 4. This is the second time the Licensee has failed to meet the 40% food sales requirement. For the 2010 license year, the Licensee derived only 34% of revenues from the sale of food. The City issued a conditional license for 2011 and the Licensee met the food sales requirements for 2011, 2012 and 2013. In 2014 Licensee ceased operation of some parts of its food sales operations because they were not profitable. 5. The Licensee has submitted for the Council's consideration a marketing plan entitled "Earle Brown Lanes Marketing Plan", which is on file with the City Clerk (the "Marketing Plan"), and has represented that it can, and will, take steps necessary to meet the requirement of City Code that at least 40% of its revenues be derived from the serving of food for consumption on the licensed premises. RESOLUTION NO. 2014-173 6. The Council has determined that it is reasonable to grant a Class C license to the Licensee, but only on the terms and conditions set forth in the following order: ORDER On the basis of the FINDINGS and evidence and testimony presented at the hearing, the Council orders that a Class C intoxicating liquor license be granted to the Licensee for the 2015 license year on the following conditions: 1. Each month during the term of the license, no later than the 15th day of each calendar month, commencing February 15, 2015, the Licensee shall submit to the City a report, certified by a certified public accountant, showing the percentage of revenue derived from the serving of food for consumption on the premises for the preceding calendar month. 2. The Licensee must receive at least 40% of its revenues from the serving of food for consumption on the premises in the calendar month of February 2015. 3. The Licensee must have achieved a cumulative percentage of 40% of revenues derived from the serving of food for consumption on the premises for the period November 1, 2014 through April 30, 2015. 4. The Licensee shall provide the City a monthly report by the 15th of each month, beginning February 15, 2015, describing steps taken to implement its Marketing Plan and to bring food sales revenues to at least 40%. Such reports will be provided for each of the months of January through April 2015. 5. Liquor service shall be available during all periods when food service is being provided. Food service, including providing table service of the full food menu, shall be available at all times when liquor service is being provided. 6. Licensee shall pay a civil penalty to the City in the amount of One Thousand Dollars ($1,000) for the Violation. Payment shall be made to the City Director of Finance before December 30, 2014. The limitation of sanctions for the Violation to a civil penalty of only $1000 and not including suspension or revocation of the license, and the issuance of a license for 2015 are based on the Licensee's undertaking to implement its Marketing Plan and take such additional steps as are needed to meet the 40% food sales requirement. Failure to meet the conditions of this Resolution may result in imposition of additional sanctions. 7. The Licensee shall comply with all requirements of City Code and State law relating to the sale of alcoholic beverages. RESOLUTION NO. 2014-173 The Licensee is once again advised and admonished that it is the Licensee's responsibility to meet the requirements of this Order and to meet the required percentage of revenues derived from the serving of food for consumption on the premises. Marketing and management efforts designed to increase the sale of food may, or may not, suffice to bring the Licensee into compliance with the requirements of City Code. If it is not possible for the Licensee to meet the requirements of this Order and of City Code through efforts to increase the sale of food, the Licensee may have to take other steps to reduce the revenues received from the sale of alcoholic beverages. By Order of the City Council of the City of Brooklyn Center this 8th day of December, 2014. Mayor ATTEST: City Clerk The motion for the adoption of the foregoing resolution was duly seconded by member Lin Myszkowski and upon vote being taken thereon,the following voted in favor thereof: Tim Willson, Carol Kleven, ris Lawrence-Anderson, Lin Myszkowski, and Dan Ryan; and the following voted against the s e: none; whereupon said resolution was decl ed duly passed and adopted.