Liquor Control Board - May 21, 2025 Minutes

Liquor Control Board Meeting Minutes

Meeting Date: April 16, 2025 Time: 1:30 PM
Attendees: Commissioner Piepkorn, Scott Brekke, Mark Doyle, Tatiana Hackman, Robert Nelson
1. Approval of Minutes from April 16, 2025 Regular Meeting
• Motion to approve the minutes Brekke.
• Seconded by Doyle.
• Decision: Motion carried unanimously.
2. Review of Liquor Applications
a. Location Transfer - Adabon A&E Fusion Cuisine
• From: Brick-and-mortar location
• To: 1407 1st Avenue North (Square One business building)
• License Type: Class GH (beer and wine)
• Details: The business is transitioning to a catering model, with a designated liquor storage area at the new location. Service will occur at catering events via E-permits. Background check was satisfactory.
• Discussion:
o Confirmation that this is an existing license.
o Discussion on interaction with the state for re-filing premises; the applicant will present two new license premises to the state (one for storage, one for the rest of Square One).
• Motion: To approve by Hackman.
• Seconded by Nelson.
• Decision: Motion carried unanimously.
b. New Application - Q Nail and Spa
• Location: 1650 45th Street South
• License Type: Class W (wine only)
• Details: The applicant intends to offer wine to patrons during spa services, not to operate a physical bar. No food sales are required for this license type. Minors will be accommodated in separate areas not part of the licensed premises. Server training requirements were discussed. Background check was satisfactory.
• Discussion: The board acknowledged the trend of alcohol service in non-principal activity establishments, citing examples such as Pixeled, Rough Cut, Dog Leg, The 40/Fifty Lounge, and The Nail Company. Compliance checks are conducted by the health department, with all licenses having the potential for review.
• Motion: To approve by Brekke.
• Seconded by Hackman.
• Decision: Motion carried (opposed by Nelson).
c. New Application - Tropical Spice Caribbean Cuisine
• Location: 3132 Broadway (former Happy Joe's)
• License Type: Class GH (beer and wine)
• Details: This existing Caribbean cuisine restaurant is applying for a beer and wine license. Food sales must exceed alcohol sales, and a bar is not permitted. All requirements were discussed with the applicant. Police Department found no serious issues.
• Discussion: Clarified that alcohol must be consumed on-premise; it is not an off-sale license. The temporary moratorium during COVID-19 that allowed for off-sale cocktails was noted as expired.
• Motion: To approve Nelson.
• Seconded by Doyle.
• Decision: Motion carried unanimously.
d. Transfer of Class FA License - Cairo to Bar 209
• From: Cairo
• To: Bar 209, 3788 55th Street South
• Details: This location is south of the Kmart at 52nd and north of the new park district facility on 64th. This is an Applebee's-type license where food sales exceed alcohol sales. The proprietor also operates Bar 209 in the Beltrami County/Bemidji area. Police Department has signed off on the background check, and the transfer will be forwarded to the City Commission for final approval to expedite the transaction for both parties.
• Discussion: Confirmed that FA licenses have been transferred to new owners and locations previously.
• Motion: To approve by Brekke.
• Seconded by Hackman.
• Decision: Motion carried unanimously.
2e. Transfer of Class AB Liquor License - Ka Rick Incorporated dba Rick's Bar 2f. Transfer of Class AB Liquor License - M&M Properties Incorporated dba Specs Bar
• Details (for both 2e and 2f): Rick is adding family members (Meghan and Mike) as additional owners to both businesses, contemplating retirement. Background checks for the new applicants showed no issues. This transfer is due to exceeding the 50% stock transfer threshold, requiring a transfer application.
• Discussion: This process is consistent with adding any additional management and involves a background check. The new owners have grown up in the business.
• Motion: To approve both 2e and 2f by Brekke.
• Seconded by Doyle.
• Decision: Motion carried unanimously.
3. Police Department Monthly Report
a. General Report - Chief Zibolski
• Key Incident: Aggravated assault at "the OB" on April 27th. The incident was not related to the bar's operation. The establishment was very cooperative, providing internal and external video footage, which led to a quick arrest of a known actor.
• Overall Assessment: Liquor issues have been decreasing. Routine bar checks continue across town, showing good compliance and cooperation. There are currently no problem locations identified. Pending litigation on another case is ongoing.
• Discussion: Chief Zibolski acknowledged the positive trend of fewer incidents on reports and praised "the OB" for their cooperation.
4a. Request to Add FA Golf to Class E Permit
• Details: This item was delayed from last month's agenda for industry feedback, none of which has been received. This request is from two golf courses. For one, it's not new business, but a shift of existing catering operations from Sidestreet to the golf course. For the other, it represents new activity and revenue. State law prohibits municipalities from holding liquor licenses, creating challenges for publicly owned venues like golf courses that rely on operators to make a profit.
• Requested Motion: Request the City Commission to direct the City Attorney to modify City Ordinance 25-1506 to allow FA-Golf licenses to receive E-permits.
• Discussion:
o The issue at Edgewood (regarding an incomplete application) has been resolved.
o Discussion about potentially asking the legislature in the future to allow public entities (like the Park District for golf courses, or the city for the Fargo Dome) to hold liquor licenses. The current prohibition stems from a desire to avoid municipal liquor stores competing with private businesses. The League of Cities could be a vehicle for this discussion.
o Public Comment (Dan Hurder, Boiler Room & Marge's Diner): Suggested that if changes are made to the ordinance regarding E-permits, the board should consider other restricted license types (e.g., FA-RZ licenses) that are currently prevented from obtaining E-permits, to avoid similar requests in the future. This would provide a more comprehensive solution.
• Motion: To approve Brekke.
• Seconded by Hackman.
• Decision: Motion carried unanimously.
The meeting was adjourned 1:54 pm.