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HomeMy WebLinkAbout2018-032 CCRMember April Graves introduced the following resolution and moved its adoption: RESOLUTION NO. 2018-32 RESOLUTION IMPOSING A CIVIL PENALTY FOR A LIQUOR LICENSE VIOLATION AT JAMMIN WINGS IN THE CITY OF BROOKLYN CENTER WHEREAS, the restaurant Jammin Wings ("Business"), which is located in the City of Brooklyn Center, is licensed to sell intoxicating liquor on-sale, including to 2 a.m.; and WHEREAS, selling liquor to 2 a.m. requires issuance of a 2 a.m. permit from the Commissioner of Public Safety ("2 a.m. State Permit") and a 2 a.m. license from the City ("2 a.m. City License"); and WHEREAS, the City, during the processing of the 2018 renewal of the 2 a.m. City License, discovered the Business did not renew the 2 a.m. State Permit, which had expired on August 1, 2017; and WHEREAS, the City notified the Business owner of its discovery on approximately December 19, 2017 and, on the same day, the Business owner paid to renew the 2 a.m. State Permit; and WHEREAS, the check issued for the 2 a.m. State Permit was not cashed for nearly three weeks and only after the account was closed by the bank to protect the account; and WHEREAS, the City received notice on January 8, 2018 that the 2 a.m. State Permit was not in effect because the check issued for the permit fee did not clear; and WHEREAS, the City notified the Business owner on January 8, 2018 of the lack of the 2 a.m. State Permit and the same day the Business owner issued new payment and received the 2 a.m. State Permit; and WHEREAS, the serving of liquor after 1 a.m. without a 2 a.m. State Permit is a violation of Minnesota Statutes, section 340A.504, subdivision 7 and, as a result, subjects the Business to a license enforcement action under Section 11-125 of the Brooklyn Center City Code ("Code"); and WHEREAS, the City Council held a public hearing on the violation on January 22, 2018, after providing the Business owner at least 10 days' notice, and at which the Business owner was provided an opportunity to be heard regarding the violation and the potential penalties the City Council could impose; and RESOLUTION NO. 2018-32 WHEREAS, the City Council considered the enforcement options presented to it in a memorandum from the city attorney dated January 12, 2018, which is incorporated in and made part of this Resolution by reference; and WHEREAS, the City Council has considered this matter and hereby finds and determines as follows: (a)The Business violated the Code by serving intoxicating liquor after 1 a.m. without a 2 a.m. State Permit during the period from August 1, 2017 until the permit was finally secured on January 8, 2018; (b)The violation subjects the Business to a liquor license enforcement action under Section 11-125 of the Code including imposition of a civil penalty of up to $2,000, suspension of the liquor licenses for up to 60 days, revocation of the liquor licenses, or a combination of these penalties; (c)The Business owner indicated that the person who had previously managed license renewals is no longer with the Business and he believed he had the required permits from the state as he received no notice that the 2 a.m. State Permit was due to renew by the end of July 2017; (d)The city did not receive notice of the failure to renew the 2 a.m. State Permit and only learned of the non-renewal as part of its investigation into renewing the 2 a.m. City License; (e)The failure to renew the 2 a.m. State Permit was an error of management and not an intentional violation of the Code; (f)The failed payment for the initial renewal of the 2 a.m. State Permit was due to a unique set of circumstances and timing, not an intentional effort to obtain the permit without payment; (g)Because the violation was not intentional, the City Council determines not to suspend or revoke the liquor licenses for the Business, but the violation needs to be recognized and the imposition of a civil penalty in the amount of$1,3 00 is appropriate; (h)The city has incurred administrative and legal costs to process this license action, which are appropriate to recover from the Business as part of the civil penalty and which are set at $300; and (i) The unintentional nature of the violation, and the Business owner's prompt actions to obtain the 2 a.m. State Permit when he learned it was not in effect, support the suspension of $1,000 of the civil penalty through the remainder of the licensing period and conditioned on the Business not having any further liquor license violations during that period. RESOLUTION NO. 2018-32 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Brooklyn Center, Minnesota, that: 1.The City Council hereby imposes a civil penalty on the licensee, Jammin Wings, in the amount of $1,300 as a result of the violation of state law and the city's Code by serving intoxicating liquor after 1 a.m. during the period from August 1, 2017 to January 8, 2018 without the required 2 a.m. State Permit. 2.The Business shall pay $300 of the civil penalty to the City to offset the administrative costs it incurred to process this liquor license action and the City Council hereby suspends imposition of the remaining $1,000 portion of the civil penalty on the condition no other liquor license violation occurs at the Business through December 31, 2018. If another liquor license violation occurs during that period, the remaining $1,000 shall immediately be imposed and become due and payable to the city. February 12, 2018 Date / /1 /2LZ Mayor ATTEST: 114/2/L )I'[L City Clerk The motion for the adoption of the foregoing resolution was duly seconded by member DZn Ryan and upon vote being taken thereon, the following voted in favor thereof: Tim Willson, Marguita Butler,April Graves, Kris Lawrence-Anderson, DAn Ryan and the following voted against the same: whereupon said resolution was declared duly passed and adopted.