Agenda Packets - 2009/12/14 - Laserfiche WebLink

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Mounds View City Council October 26, 2009 Regular Meeting Page 3 MOTION/SECOND: Mueller/Hull. To Introduce and Waive the First Reading of Ordinance 1 838, Amending Chapter 1125.06 of the Mounds View Zoning Code about Penalties. 2 3 Ayes – 5 Nays – 0 Motion carried. 4 5 C. Resolution 7513, Approving a Revised Property Tax Payment Plan for 6 Moe’s, located at 2400 Highway 10. 7 8 Assistant Clerk-Administrator Crane reviewed the City’s past considerations with Moe’s liquor 9 license and tax payment plan and advised that Ramsey County property records continue to 10 indicate that Moe’s property taxes are delinquent in the amount of $70,915.74 (including second 11 half of 2009 due October 15, 2009). She noted Mr. Moritko has submitted a revised payment 12 plan to the City. 13 14 Jeff Moritko, owner of Moe’s, apologized for not being able to attend the last Council meeting. 15 He advised of the improvements made to Moe’s since he purchased it in September of 2006 for 16 $650,000, estimating an investment of $1.2 million during the worst economic times. He stated 17 they have 60 full- and part-time employees so the increase in minimum wage costs them $5,000 18 per month. Mr. Moritko stated they anticipated they could get ahead, but instead went back 20-19 25% so they didn’t have the funds to set aside for taxes. They also fell behind on State liquor 20 sales tax but should be able to bring that current within several weeks. Mr. Moritko assured the 21 Council he had put everything he owns into this property and thinks they can make it since 22 October is trending upward, and they have gained food booth business with the University of 23 Minnesota at TCF Bank Stadium and Williams Arena. It is estimated the food booths should 24 result in an infusion of $3-8,000 per month and they are working hard to grow their catering 25 business. Mr. Moritko stated he does not have the ability to borrow money from the bank but has 26 built a perceived equity in the business. He stated he had owned a location in Minneapolis 27 location for 11 years and never had this problem. Mr. Moritko stated he was not proud to be in 28 front of the Council tonight and asked that they grant this request so they can continue their 29 business in Mounds View. 30 31 Mayor Flaherty noted the revised payment plan, effective December 1, 2009, is to pay Ramsey 32 County $7,500 per month for delinquent taxes. Mr. Moritko stated that is correct, they currently 33 have $13,000 earmarked for taxes, and they hope to be paid up by April of 2010. 34 35 Mayor Flaherty opened the floor for public comment. 36 37 Floyd Halverson, Roberts Sports Bar, stated his business also needs a new hood system, deck, 38 and lights, but instead he pays $7,000 per month in property, sales and use tax. He stated bills 39 need to be paid to keep a business open and Moe’s should have paid their bills and property 40 taxes. Mr. Halverson stated he works all day, every day, to pays his bills and questioned where 41 Moe’s money is going because they have a full parking lot every day. He suggested that Moe’s 42 reduce its number of employees and Mr. Moritko work more days himself. 43 44 Council Member Mueller stated when the Council considered the liquor license renewal for 45