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CR 98-194 Liquor License Violation - Hopkin's Liquor Store i Y \ 0 G -<- ~-rl_C' ,-' ..... << cC, /.> November 25, 1998 -'>- 0 ~ '" Cou ncil Report 98-194 P K \ . LIQUOR LICENSE VIOLATIONS-HOPKINS LIQUOR Proposed Action Staff recommends adoption of the following motion: Move to approve Conditional Admission and Waiver of Hearing for Hopkins Liquor. located at 712 - 11th Avenue South. Adoption of this motion will result in the City Council imposing a $500 fine and a fourteen (14) day liquor license suspension effective December 2 through December 15, 1998, for violations of state and municipal liquor license laws. Overview On December 12, 1997, and subsequently on March 30, 1998, the Hopkins Police Department arrested minors for purchase and possession of alcoholic beverages. Those arrested identified an employee of Hopkins Liquor as the individual who sold those beverages to them. Subsequently, those employees were charged and found guilty to those charges. 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. Additionally, there are two additional pending violations currently in .. process with the City Attorney's office. It is the City Manager's opinion that the proposed penalties are 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 . Conditional Admission and Waiver of Hearing . Resolution 89-11 . Staff analysis of issues -----~--~-~-~? =---~-...------' . teven C. Mielke City Manager Council Report 98-194 Page 2 e 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 and a six- (6) to fifteen- (15) consecutive day suspension for second violation. The proposed conditional admission and waiver of hearing combines the two violations into a single violation for purposes of this resolution. The proposed sanction is consistent with past actions for first and second violations, therefore, the next violation will constitute a second violation under this resolution if the Condition Admission and Waiver of Hearing is adopted. It should be pointed out that two additional violations are currently being heard through the court systems, and additional sanctions would result if guilty verdicts are found in these violations. e . What subsequent actions will occur under this resolution? There are significant language barrier issues involved with this case, and in fact, an interpreter was hired to help negotiate the Conditional Admission and Waiver of Hearing that is proposed. The police had met with the license holder subsequent to the first violation, and felt that the applicant understood the laws and ordinances. Based upon the City Manager's discussions it is doubtful that the applicant understood the laws relative to checking ID's and following through on appropriate sales. There are two additional violations currently in the court system, which should be completed within the next two to four months. The applicant has been informed that the Police Department will be making regular spot checks at their location to verify that procedures are being followed correctly. They have also been informed that the results of the existing criminal cases will have a bearing on the potential for additional sanctions, and potentially, revocation of the license. It now appears that the applicant is fully cognizant of the rules and how to abide by them. However. the Police Department has been asked to meet with the applicant and, if necessary, an interpreter, to again review the rules and regulations surrounding legal and illegal sales. It is hoped that there will be no further violations during this interim period, but . should there be, additional sanctions would be brought. - Council Report 98-194 Page 3 e 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 Hopkins Liquors, located at 712 - 11 th A venue South, Hopkins, Milmesota. The undersigned hereby acknowledges that on December 12, 1997, and again on March 30, 1998, an employee of Hopkins Liquor sold alcoholic beverages to underage individuals 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 right to such a hearing procedure. This admission and waiver is conditioned upon the Hopkins City Council imposing a fine of$500.00 and a fourteen (14) day liquor license suspension, effective December 2 through December 15, 1998, for the violations noted above. The licensee understands that this agreement will be presented to the Hopkins City Council for approval. If the . . 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. La Truong, Hopkins Liquor Date This agreement will be presented to the Hopkins City with the recommendation that it be approved. . City Manager Date condadmishopliq e , . . . 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. S. 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 far 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 th7 vio- lation, and the licensee shall have the right to cross-exam~ne witnesses, present evidence, and make a statement to the co~ncil. The council will issue written findings on whether a violat~on . 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 1. Commission of a 10-25 consec. Revocation NA felony related to days of susp. the licensed activity. 2. Sale of alcoholic 10-25 consae. 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 consee. 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 consee. of alcoholic Days Suspension Days Suspension days of beverages. susp. to Revocation 6. Illegal gambling 0-3 Consecutive 4-9 Consecutive 10 cansec. on premises. Days Suspension Days Suspension days of susp. to Revocation I 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. . 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. (" -! ,- ,~~~Q-Jy~~:t~//- . Donald J. Milbert, Mayor I 81688 .