03/14/2011 Council Packet - Laserfiche WebLink

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• • s COUNCIL MINUTES February 28, 2011 DRAFT 90 Council Member O'Donnell moved to approve second reading and passage of Ordinance No. 07 -1 1 91 as presented. Council Member Roeser seconded the motion. Motion can-ied: Yeas; 4; Nays none 92 (Mayor Reinert absent) 93 94 Item 3C, Resolution No. 11 -22, Approving an off -sale intoxicating liquor license and tobacco 95 sales license for KLVA Corporation (dba Eagle Liquor) — City Clerk Bartell reported that the 96 former Eagle Liquor and Tobacco located at 730 Apollo Drive is being proposed to reopen under new 97 ownership. An application for an off -sale liquor and tobacco license has been submitted by KLVZ 98 Corporation. The application process is complete, the related fees have been paid and insurance 99 information has been provided to the City as required. The Lino Lakes Police Department has 100 conducted a background investigation and is not recommending that the council deny the application. 101 The applicant, Stanislav Sidorenko, was present to answer any questions. In accordance with the Lino 102 Lakes Code of Ordinances, the application requires approval by the City Council. The ordinance also 103 requires that opportunity be given to any person wishing to be heard for or against the granting of the 104 license. 105 106 Adam and Tearinie LaMere, owners of Lakes Liquor, 7860 Lake Drive. Mr. LaMere stated that he is 107 asking the council to deny the request for a liquor license for Eagle Liquor. In the past the council has 108 heard a legal opinion that they cannot deny a liquor license for reasons that are arbitrary and 109 capricious. He contends that that is not the case for this denial. Allowing the license would cost the 110 city good paying jobs, noting that if another store isn't opened he plans to hire up to four employees. 111 He disputes the idea that the market is regulating the license situation since twice in the last two years 112 stores have closed. It is time to allow existing business to succeed. Lakes Liquor is a contributing 113 member of the community and has received awards from groups in the community for their 114 donations. 115 116 Tearninie LaMere explained that she has been a long time resident of the city, having been born and 117 raised here. She and her husband are now raising their children here. They are raising their children 118 in the city, own a business and so obviously have an investment in the community. They are all too 119 aware of the impact on business when there is an over - saturation of stores. They have had to lay off 120 all of their employees and manage the store completely on their own. She urges the council to deny 121 the liquor license request before them. 122 123 City Attorney Langel opined on the council's options. State law and local ordinances give the council 124 broad discretion, however, denial cannot be on a basis that is arbitrary. There is case law going back 125 many years on the argument of saturation (of businesses) for denying off -sale liquor licenses. The 126 fact that the current applicant has applied and met requirements just gets them to this point; the 127 council has some discretion on granting the license but should state clear reasons if they wish to deny. 128 129 Siarhei Nazaranka, proposed store manager, and Stanislav Sidorenko, applicant, addressed the 130 council. Mr. Nazaranka explained the process that brought them to apply for this license. They feel 131 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 133 tax annually. It appears that Eagle Liquor was open before and didn't cause Lakes Liquor to close. 134 He added that they plan to hire a couple of employees. 3 P35