02-28-2011 Council Minutes - Laserfiche WebLink

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COUNCIL MINUTES February 28, 2011 APPROVED 91 Council Member O'Donnell moved to approve second reading and passage of Ordinance No. 07-11 Li92 as presented. Council Member Roeser seconded the motion. Motion carried; Yeas; 4; Nays none 93 (Mayor Reinert absent) 94 95 Item 3C, Resolution No. 11-22, Approving an off-sale intoxicating liquor license and tobacco 96 sales license for KLVA Corporation (dba Eagle Liquor)—City Clerk Bartell reported that the 97 former Eagle Liquor and Tobacco located at 730 Apollo Drive is being proposed to reopen under new 98 ownership. An application for an off-sale liquor and tobacco license has been submitted by KLVZ 99 Corporation. The application process is complete, the related fees have been paid and insurance 100 information has been provided to the City as required. The Lino Lakes Police Department has 101 conducted a background investigation and is not recommending that the council deny the application. 102 The applicant, Stanislav Sidorenko, was present to answer any questions. In accordance with the Lino 103 Lakes Code of Ordinances, the application requires approval by the City Council. The ordinance also 104 requires that opportunity be given to any person wishing to be heard for or against the granting of the 105 license. 106 107 Adam and Tearinie LaMere, owners of Lakes Liquor, 7860 Lake Drive. Mr. LaMere stated that he is 108 asking the council to deny the request for a liquor license for Eagle Liquor. In the past the council has 109 heard a legal opinion that they cannot deny a liquor license for reasons that are arbitrary and 110 capricious. He contends that that is not the case for this denial. Allowing the license would cost the 111 city good paying jobs, noting that if another store isn't opened he plans to hire up to four employees. 112 He disputes the idea that the market is regulating the license situation since twice in the last two years 13 stores have closed. It is time to allow existing business to succeed. Lakes Liquor is a contributing 114 member of the community and has received awards from groups in the community for their 115 donations. 116 117 Tearninie LaMere explained that she has been a long time resident of the city, having been born and 118 raised here. She and her husband are now raising their children here. They are raising their children 119 in the city, own a business and so obviously have an investment in the community. They are all too 120 aware of the impact on business when there is an over-saturation of stores. They have had to lay off 121 all of their employees and manage the store completely on their own. She urges the council to deny 122 the liquor license request before them. 123 124 City Attorney Lange] opined on the council's options. State law and local ordinances give the council 125 broad discretion, however, denial cannot be on a basis that is arbitrary. There is case law going back 126 many years on the argument of saturation (of businesses) for denying off-sale liquor licenses. The 127 fact that the current applicant has applied and met requirements just gets them to this point; the 128 council has some discretion on granting the license but should state clear reasons if they wish to deny. 129 130 Siarhei Nazaranka, proposed store manager, and Stanislav Sidorenko, applicant, addressed the 131 council. Mr. Nazaranka explained the process that brought them to apply for this license. They feel 132 they will serve a broader community with their location near the interstate. They hope to bring sales 133 and traffic to the other businesses in the area. They estimate they will generate over $100,000 in sales 134 tax annually. It appears that Eagle Liquor was open before and didn't cause Lakes Liquor to close. Li 135 He added that they plan to hire a couple of employees. 3