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Liquor Control Board - November 17, 2021 Minutes

LIQUOR CONTROL BOARD
November 17, 2021 1:30 P.M.

Present: Commissioner Piepkorn, Kay Schwarzwalter, John Stibbe, Lydia Tackett, Robert Nelson
Absent: None
Others Present: Police Chief David Zibolski, City Auditor Sprague, Assistant City Attorney Nancy Morris, Tyler Brandt, Brent Edison, Vogel Law, Rick Carik, Rick’s; Duane Litton, Duffy’s; Dustin Mitzel, Happy Harry’s, Dave Glessner, Sidestreet, Ellen Wall & Mike Wald, Cellar 624 Venue on Main and other interested parties.

Meeting was called to order at 1:30 P.M.

1. Commissioner Piepkorn called the meeting to order and asked if there were any additions or corrections to the minutes of October 20, 2021. There were no additions or correction to the minutes of October 20, 2021. Moved by Tackett, seconded by Schwarzwalter to approve the minutes of October 20, 2021 of the Liquor Control Board all voted in favor, motion passed unanimously.

2. A. Application to issue a Class VWB alcoholic beverage license to Cellar 624 LLC d/b/a Cellar 624, The Venue on Main to be located at 624 Main Ave., Suite 1.

Chief Zibolski commented there were no issues with two of the owners or the manager. Mike Wald had a 2011 DUI and a 2011 DUS, one of the offenses involved fleeing where he was arrested but not charged, in addition, West Fargo conducted a background check in 2016 where there was a 2015 DUS that was negotiated down to a non-criminal driving without a license and was missed on the background check. There has been some time lapsed but thought it important to bring to the Board’s attention.
Commissioner Piepkorn asked the options, Sprague replied the Board can 1) approve the application as submitted, 2) request the one owner be removed from the business or 3) deny the application as submitted. Tackett asked the Chief if the applicant was forthcoming with the information, Chief responded the 2011 DUI was not mentioned, the applicant stated he was going through a rough time in 2010 and 2011. Tackett mentioned the lack of forthcoming is concerning. Schwarzwalter commented this was concerning for her too, there was a precedent set with Club Africa. Nelson questioned the percentage of ownership; Sprague commented the Board could ask questions the feel they need answered in order to make a decision. Morris commented any owner with 5% or ownership needs to be listed on the application.
Mike Wald commented he is set to have a third ownership, he said West Fargo PD looked at the last 5 years so he didn’t think he needed to disclose anything older than that. He commented that in 2011 he was having a difficult time and was self-medicating with alcohol. After he got the second DUI, he decided to seek professional counseling he is now under the guidance of a doctor. If he was to be removed it would have an impact on the others, he would have to discuss. His focus is on Maxwells and he would remove himself from the ownership and liquor license if that was required. He commented the past is in the past and he is focusing on the future. Piepkorn questioned if something were to happen could that be addressed in the future, Chief Zibolski stated if something happens in the future that would affect the licenses status he would bring it forward. Morris commented we don’t have a provision for a conditional issuance.

Moved by Stibbe, seconded by Piepkorn to approve the issuance of the alcoholic beverage license to Cellar 624 LLC d/b/a Cellar 624, The Venue on Main based on the application as submitted. Motion passed unanimously.

3. Sprague commented he has been in discussions with the Park District regarding the operators at the various golf courses. Currently the FA-Golf license requires 25% food sales in the summer and 50% food sales during the non-golf season. The Park District has had a number of vendors operate the restaurant/bar operations over the years, the goal would be to stabilize the operations. State law does not allow a municipal government or political sub to hold a liquor license, if it did the Park District could operate their own restaurant/bar facilities. As it is the City created the FA-Golf license and the Park District has worked to keep an operator in each of the locations, Edgewood, Osgood and Rose Creek. The requirements of the FA-Golf are that food sales exceed alcohol sale in the non-golf season and be 25% or greater during the golf season, additionally, the golf course must be at least a 9 hole USGA approved facility. Sprague said his suggested motion was to drop the food percentage but there have been subsequent conversations and at this time we are suggesting a receive and file motion to allow more time for discussions. Sprague would like to have the Board assist in considering the changes. Commissioner Piepkorn indicated it is not the Liquor Boards responsibility to make sure businesses are profitable.
Stibbe asked how lowering the food percentage would assist the bar owners, it wouldn’t increase the revenues. Nelson commented when someone is struggling the easiest way to increase revenues is through the alcohol sales. We should keep the integrity of the license structure. Tackett indicated she could not support the dropping of the food percentage.
Move by Schwarzwalter seconded by Nelson to receive and file. Motion passed

4. Chief Zibolski discussed the monthly reports. Schwarzwalter commented there was one facility that had numerous calls and a couple of those reports talked about the individuals being “highly intoxicated” this is a concern, what steps can be taken, what tools are available. Chief commented that this topic will fit into the brown bag discussion, in that case the facility does not have quality video and it makes investigations difficult. It would be beneficial to have some requirements.

There being no further business to come before the Liquor Control Board, the meeting was adjourned at 2:01 p.m.