CR 03-024 Wine and Beer - Munkabeans
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January 29,2003 Council Report 2003- 024
Wine and Strong Beer License Application
Munkabean's, 1206 Mainstreet
Proposed Action
Staff recommends adoption of the following motion: move to approve the application
for on-sale wine and on-sale 3.2 beer licenses which will allow the applicant to sell wine
and strong beer on-sale, with the condition that a certificate of insurance showinq liquor
liability be submitted to the Clerk's office and with the followinq restrictions: 1) wine
must be served at the tables. It cannot be dispensed from the counter. 2) Wine may
not be served at the tables that are outdoors in front of the business. 3) Wine may be
served in the back patio area if the qated access from the parkinq lot, is locked.
Overview
Sean and Sherri LaFostecasse, the new owners of Munkabean's Coffee Shop, 1206
Mainstreet, have applied for a license to serve wine and strong beer. This is the first
step to obtaining the license. Staff is recommending approval.
Primary Issues to Consider
· Zoning
· Location and type of business
· Requirements
. Actions by other cities
· Police Investigation
· Areas of service
· Powers of the Council
· The process
· Recommended requirements
Supporting Documents
· Memo from Capt. Liddy
· Site plan of the business
c244ff a-P2/hO
Terry Obermaier, City Clerk
Financial Impact: $_$1400 Budgeted: Y/N N Source:
Related Documents (CIP, ERP. etc.):
Notes:
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Council Report 2003-024
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Primary Issues to Consider
Zoninq
The "coffee shop" is located in a B-3 Zoning District. On-sale wine and beer is allowed
in that district.
Location and Type of Business
The "coffee shop" is located less than one block from St. Joseph's Church and
approximately one block from 8t. Joseph's school.
The "coffee shop" serves hot sandwiches as well as cookies, muffins, rolls, coffee, soft
drinks and juice. They are more than a coffee shop and less than a full restaurant.
They would meet all of the statutory requirements for an on-sale wine and strong beer
license.
According to the memo from Capt. Liddy, a number of youth do patronize the business
after the movies. In speaking with the new owner, they have extended the open hours
to the evening since they bought the business. They would like market to the after
theatre crowd for sandwiches and wine and beer.
Requirements
The following is taken from State Statute chapter 340:
Subd.5. Wine licenses. (a) A municipality may issue an on-sale wine license with
the approval of the commissioner to a restaurant having facilities for seating at least 25
guests at one time. A wine license permits the sale of wine of up to 14 percent alcohol
by volume for consumption with the sale of food. A wine license authorizes the sale of
wine on all days of the week unless the issuing authority restricts the license's
authorization to the sale of wine on all days except Sundays.
(b) The governing body of a municipality may by ordinance authorize a holder of an
on-sale wine license issued pursuant to paragraph (a) who is also licensed to sell 3.2
percent malt liquors at on-sale pursuant to section 340A.411, and whose gross receipts
are at least 60 percent attributable to the sale of food, to sell intoxicating malt liquors at
on-sale without an additional license.
They meet the requirements of Section a.
Actions bv other cities
The City of Minnetonka has issued a wine and beer license to Coffee Creek in the
Village shopping center by Hopkins Crossroads and State Hwy 7. I spoke with the
Community Development director from Minnetonka. I asked how they issued a wine
and beer license to a coffee shop. The owners of Coffee Creek applied for the license
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COllncil Rep0l1 2003-024
Page 3
and were told that they held a limited food license and as such did not qualify for a wine
license. Coffee Creek was remodeled; a prep area was added; they upgraded to a
restaurant. They serve sandwiches and soup. Once the upgrade was made, the
business met the qualifications of the State statutes.
Munkabeans already serves sandwiches. Right now, the majority of their business is at
lunchtime.
Police I nvestiqation
Both principals, Sean and Sherri, were investigated. The attached memo from Capt.
Liddy outlines the results of the investigation and the concerns of the department. The
business has been opened nights since the beginning of January. The previous owners
were not open in the evening. The department has concerns about the number of
youth that might be found in the business in the evening.
Areas of service
They have 25 chairs at tables in the main area. In the summer they have two tables
with chairs outside in front of the business. They also have an enclosed patio in the
back. A six-foot fence encloses the patio. There is a gate in the fence. They would
like to serve in the outdoor areas.
Powers of the Council
Where new liquor licenses are concerned, the Council is vested with broad
discretionary powers in acting upon the request. There should be good reason for
denial. Council may deny the application for reasons such as location and "fit" of the
business with the surrounding area.
The process
If the Council approves the license, the State application will be sent to Liquor Control.
Because this is a new license, Liquor Control will inspect before the license is issued.
The license is issued by the State.
Recommended requirements
If the Council approves the license, staff recommends the following conditions:
1. Wine must be served at the tables. It cannot be dispensed from the counter.
2. Wine may not be served at the tables that are outdoors in front of the
business.
3. Wine may be served in the back patio area if the gated access from the
parking lot, is locked.
Council Report 2003-024
Page 4
Alternatives
. 1. Approve the license with the listed requirements
2. Approve the license
3. Continue the item to a later date for more information
4. Deny the application
Staff recommends alternative one.
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