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CR 99-10 Liquor License Violation-Hopkins Bowl 1; Y 0 \ 0 "" January 11, 1999 ~ Council Report 99-010 -'y <::> . o P K \ ~ LIQUOR LICENSE VIOLATION-HOPKINS BOWL Proposed Action Staff recommends adoption of the following motion: Move to approve Conditional Admission and Waiver of Hearing for ERW Industries IncH d.b.a. Hopkins Bowl. 107 Shady Oak Road. Adoption of this motion will result in the City Council imposing a $500 fine for a first violation of state and municipal liquor license laws. Overview On June 5, 1998. the Hopkins Police Department arrested a minor for purchase and possession of alcoholic beverages. The arrested individual identified an employee of Hopkins Bowl as the individual who sold the beverages to him. Subsequently, the employee was charged and found guilty to the charge. In accordance with Resolution 89-11, the City Manager has determined that the violations did occur. and has negotiated a proposed Conditional Admission and Waiver of Hearing agreement . for Council consideration. It is the City Manager's opinion that the proposed penalty is within the guidelines adopted by the Council as policy in Resolution 89-11. Primary Issues to Consider . What guidance is suggested by Resolution 89-11? . What subsequent actions will occur under this agreement? Supporting Documents . Staff analysis of issues . Conditional Admission and Waiver of Hearing . Resolution 89-11 ~~~ ~ - Steven C. Mielke . City Manager --..-- --- --------- = Council Report 99~OlO Page 2 . Staff Analysis of Issues The following are the primary issues to consider for this item. . What guidance is suggested by Resolution 89-11? Resolution 89-11 adopts general policies regarding liquor license issues. Within R89-11 there are presumptive penalties for violations. Sale of alcoholic beverages to underage persons is considered within the resolution and recommends a zero to five- (5) consecutive day suspension for the first violation. The policy also offers monetary penalties as an option, up to $2,000. The proposed sanction is consistent with past actions for a first violation. . What subsequent actions will occur under this resolution? Mr. Gene Wright has also asked for an opportunity to discuss the current policy with the Council. Staff has reserved time on the March 9 work session for this discussion. . Options Under Resolution 89-11, the City Council has the option to reject the Conditional Admission and Waiver of Hearing agreement, and instead, either direct the manager to renegotiate or call for a hearing in front of the City Council. Ultimately, the Council has the final determination on the appropriate sanctions (if any) for liquor license violations. Should the Council wish to reject the conditional admission and waiver of hearing agreement, it should so instruct staff as to its desires. . . City of Hopkins Conditional Admission and Waiver of Hearing The undersigned is the licensee of record for ERW Industries, Inc., d.b.a. Hopkins Bmvl, located at 107 Shady Oak Road, Hopkins, Minnesota. The undersigned hereby acknowledges that on June 5, 1998, an employee of the Hopkins Bowl sold alcoholic beverages to an underage individual in violation of Hopkins City Code Chapter 1200. The undersigned recognizes that under Minnesota Statutes g340A.415, the Hopkins City Council has the authority to suspend or revoke a liquor license and/or impose a civil fine . of up to $2,000 for the violation noted above. Before such sanctions can be imposed, however, the licensee is entitled to notice and a hearing at which the licensee can present evidence and argument and cross-examine witnesses. Following the hearing, a written decision must be rendered on the hearing record alone. The licensee hereby waives the light to such a hearing procedure. This admission and waiver is conditioned upon the Hopkins City Council imposing a fine of$500.00 for the violation noted above. The licensee understands that this agreement will be presented to the Hopkins City Council for approvaL lfthe City Council does not agree to impose the stated penalty, this agreement is null and void and . the licensee is free to contest the violation at the hearing described above. - - ---- . . The licensee has read and understands this agreement and has consulted with counselor, if not, has been given the opportunity and chose not to do so. Eugene Wright, Hopkins Bowl, Licensee Date This agreement will be presented to the Hopkins Clty with the recommendation that it be approved. Steve Mielke, City Manager . Date hopkinsbowl . . CITY OF HOPKINS Hennepin County, Minnesota RESOLUTION #89-11 RESOLUTION AMENDING RESOLUTION #87-41 ADOPTING GENERAL POLICIES REGARDING LIQUOR LICENSE ISSUES WHEREAS, the City Council of the city of Hopkins desires to estab- lish certain procedures for dealing with liquor license violations, and WHEREAS, the council has directed certain general policies be adopted and certain actions be acknowledged, then NOW THEREFORE BE IT RESOLVED, that the Hopkins city Council hereby states the following with regard to liquor license issues, In the event of any reports by the Hopkins Police Department of vio- lations of the laws of the State of Minnesota or the ordinances of the city of Hopkins relating to alcoholic beverages, the administration is directed to take the following action: . 1- Notify the Council of the report. 2. Monitor the Criminal case resulting from the report. 3 . If the criminal case is dismissed or results in an acquittal or if the administration otherwise finds the evidence of the viola- tion unreliable, the Council shall be so informed. The Council, at that time, shall decide whether to dismiss the matter or proceed. 4 . If the criminal case results in a conviction or payment of the court cost or if the administration otherwise finds the evidence reliable, the City Manager shall meet with the licensee and invite the licensee to sign a conditional admission and waiver of hearing that includes a proposed sanction. 5. If the conditional admission is signed, it shall be presented to the council for approval or other action. 6. If the conditional admission is not signed, the licensee shall be provided notice of a suspension/revocation hearing and the matter shall be set down on the Council agenda for hearing. 7. The hearing will be in accord with the Administrative Procedure Act. Minn. stat. 14.57 to 14.70. The hearing shall be recorded, . the city Manager shall present the evidence establishing the vio- lation, and the licensee shall have the right to cross-examine witnesses, present evidence, and make a statement to the Council. The council will issue written findings on whether a violation . Be it further included in this resolution that the following list of presumptive penalties be assessed as deemed necessary. Presumptive Penalties for Violations Adverse penalties for convictions or violations shall be presumed as follows: Type of Violation 1st Violation 2nd violation 3rd Violation l. Commission of a 10-25 consec. Revocation NA felony related to days of susp. the licensed activity. 2. Sale of alcoholic 10-25 consec. Revocation NA beverages while days of susp. license is under suspension. 3 . Sale of alcoholic 0-5 Consecutive 6-15 Consecutive Revocation beverages to under Days Suspension days Suspension age person. . 4. Sale of alcoholic 0-5 Consecutive 6-15 Consecutive 16 consec. beverage to intox- Days Suspension Days Suspension days of icated person. susp.to Revocation 5. After hours sale 0-2 Consecutive 3-9 Consecutive 10 consec. of alcoholic Days Suspension Days Suspension days of beverages. susp. to Revocation 6. Illegal gambling 0-3 Consecutive 4-9 Consecutive 10 consec. on premises. Days Suspension Days Suspension days of susp. to Revocation 7. Permit person to 0-2 Consecutive 3-5 Consecutive 6-10 cons. leave premises Days Suspension Days Suspension days of with alcoholic susp. to beverage. Revocation 8. Violations of City 0-5 Consecutive 6-15 Consecutive 16 consec. Ordinances per- Days Suspension Days Suspension days of taining to fire or susp. to building or health Revocation codes. e Computation of time. For the purpose of determining the number of occurrences of violations, the council shall consider a violation as a second occurrence if it occurred within 18 calendar months of the ..-----------.----.,.---.,.- ~ second occurrence if it occurred within 18 calendar months of the - first violation; and shall consider a violation as a third occurrence if it occurred within 30 calendar months of the second violation. other penalties. Nothing in this section shall restrict or limit the authority of the council to suspend up to 60 days, revoke the license, assess a civil fine not to exceed $2,000, to impose conditions or take any adverse action in accordance with law, provided that the license holder has been afforded an opportunity for a hearing in the manner provided for in section 310.05 of this Code. It is the intent of this Resolution to inform the public and business community in the City of Hopkins that henceforth all criminal viola- tions of liquor laws and ordinances will result in automatic admin- istrative action. Nothing in this Resolution concerning the adminis- trative procedures that will be followed in the event of criminal violations of liquor laws and ordinances shall detract from the Council's authority to impose sanctions for violations of other crim- inal laws occurring on the premises of licensees or for complaints of non-criminal conduct. Adopted by the City Council of the City of Hopkins on this seventh day of Februarv , 1989. , . :6~~~~dJ J. '~.iibett, Mayor' <t; 81688 .