01-25-2012 Council Workshop Minutes

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MINUTES CITY COUNCIL JANUARY 25, 2012 existing businesses, allowing those businesses to continue to exist even if they were sold to other operators. Blesener and McGraw supported banning sampling and grandfathering in the existing businesses, but not allowing the grandfathering to extend to a new operator. Montour agreed with Boss. Keis stated that he supported the ban and the grandfathering. He was just not sure that the grandfathering should be of a permanent nature. Keis felt that the Legislature should address the sampling loophole. Keis indicated that the City may have the ability to deal with any issues that might arise at the two tobacco stores through code enforcement or other means. The City Attorney indicated that he would draft the ordinance amendment for Council review with alternative language on the grandfathering issue that the Council can choose from. Keis indicated he may support allowing the permanent grandfathering. Blesener indicated that the City Attorney should draft the various options and the Council would have additional discussion on the grandfathering issue. Blesener asked about restrictions on the hours of operation. The City Attorney noted that State Law regulates the hours of operation for some businesses, and the City has also done so through Conditional Use Permits and Planned Unit Developments. DeRosa reported that his shop is open on Mondays from I I a.m. to 8 p.m., other weekdays from 10 a.m. to 9 p.m., Saturdays from 10 a.m. to 9 p.m., and Sundays from 12 Noon to 6 p.m. Nelson reported that his business is open Sundays and Mondays from 5 p.m. to 11 p.m. and the remaining days of the week from 5 p.m. to 2 a.m. Blesener recommended hours of operation no later than 2 a.m. The Council then discussed the issue of limiting the total product display area for tobacco - related products versus the State's 90% tobacco - related revenue requirement. That requirement is that 90% of gross revenue comes from tobacco and tobacco devices. The City Attorney again noted his suggestion that in addition to the State's 90% revenue requirement, the City could require that at least 50% of gross revenue come from tobacco sales. Another option is limiting the display area to 50% of tobacco - related products. McGraw asked out the City would verify the gross revenue requirement. DeRosa indicated that he would be able to provide invoices at the end of each license year so the 90% requirement could be verified. DeRosa stated that he had 110 concerns meeting this requirement. He also reported that he did not want his business associated with certain things, and the products that he sells are tobacco and tobacco - related products. The Council commented that a future business may not be as conscientious. 6