01-1273Council File # 0 � — � .1�'3
ORIGI�IAL
Presented B�
Referred To
RESOLUTION
Green Sheet # \\p3 y g'
1 WHEREAS, an administrative hearing was held before Administrative Law Judge
2 George Beck on November 14, 2001 on a renewal application for a currency exchange license by
3 Team Management, Inc. d/b/a Midwest Check Cashing for the premises at 477 Rice Street, Saint
4 Paul, Saint Paul; and
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WHEREAS, notice of said hearing was duly published; and
WHEREAS, the administrative law judge issued Findings of Fact, Conclusions and a
recommendation on November 20, 2001 recommending renewal of the license; now, therefore be
it
RESOLVED, that the Findings of Fact, Conclusions and Recommendation of the
Administrative Law Judge shall be adopted in its entirety and shall be attached and incorporated
herein by reference; and be it
FURTHER RESOLVED, that the currency exchange license renewal application by
Team Management, Inc. d/b/a Midwest Check Cashing far the premises at 477 Rice Street, Saint
Paul be and is hereby approved and said approval shall be forwarded to the Coxnmissioner of
Commerce of the State of Minnesota.
Requested by Department o£:
By:
Adoption Certified by Council Secretary
BY: � c�. . Y�-4�+�-�
Approved by Mayor: Date ���r
By: � ��� �����
Form Approved by City At� brne
r
By: ��
Approved by Mayor for Submission to Council
By:
CITY OF SAINT PAUL, MINNESOTA l �
Adopted by Council: Date ��_ 1a.T a O\
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GREEN SHEET
No 11034$
Cou Blakey 266-
1ST BE ON COUNCIL AGENDA BY (DAT�
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(CLIP ALL LOCATIONS FOR SIGNATURE7
Memorializing City Council action taken November 28, 2001, approving the cturency exchange license
applicarion by Team Management, Inc., dba Midwest Check Cashing, 477 Rice Street.
PLANNING COMMISSION
CB COMMITfEE
CIVIL SERVICE COMMISSION
OF TRANSACTION S
SOURCfi
RSONAL SERVICE CONTRACTS MUST ANSWER THE FOLLOWING QUESTIONS:
Has this persorJfnm ever xro�ked under a wrAract fwtYus deparlmeM?
YES NO
Has this persoNfirm ever been a pty empbyee? .
YES NO
Does this persoNfirm possess a sWl� not nartnallYP�ssed bY anY curtent dly empbyee?
VES NO
Is th� per�rm a tarpeted veMOR �
YES NO
COST/REVENUE BUDf3ETED (CIRCLE ON�
ACTNITY NIiMBER
tlE3 NO
(IXPWN)
CITY OF SAINT PAUL
Norm Co[emnn, Mayor
November 14, 2001
OFFICE OF THE CITY ATTORNEY
Claytors M. Robinson, Jn, Ciry Attorney
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crort o;vrsron
400 City Nal1 Telephone: 65! 266-8710
IS West Facsimite: 65t 298-5619
Saint Pnul, Minrseso(a 55l02
NOTICE OF COUNCIL HEARING
7. Patrick Brinkman
Attorney at Law
Felhaber Larson Fenlon & Vogt
601 2" Avenue S., Suite 4200
Minneapolis, Minnesota 5402-4302
Ms. Carol A. Toner
President
Midwest Check Cashing
477 Rice Street
Saint Paul, Minnesota 55103
RE: Currency Exchange License Renewal Application submitted by Team Management, Inc.
d/b/a Midwest Check Cashing, for the premises located at 477 Rice Street in Saint Paul
License ID #: 19980001123
Dear Mr. Brinkman and Ms. Toner:
Given the time constraints for a response to the Minnesota Department of Commerce on the
renewal application for a currency exchange license, and in anticipation of timely receipt of an
Administrative Law Judge's report, we have scheduled this matter for public hearing in front of
the Saint Paul City Council, City Council Chambers, Third Floor, Saint Paul City Hall, on
Wednesday, November 28, 2001. Public hearings begin at 5:30 pm..
If you have any questions, I can be reached at 651-266-8710.
Sincerely,
-�� f'-- '`� V
V irginia��
Assistant City Attomey
cc: Nanc Anderson Assistant Council Secret b � ����
y , ary, 310 City Hall
Christine Rozek, LIEP
Lori Ayon & Don Grundhauser, Capitol Heights Block Club, 20 Winter St., St. Paul, MN
55103
Kristen Kidder, Team Leader, Thomas-Dale/Dist.7 Planning Council, 689 N. Dale St., St.
Paul, MN 55103-1644
Johnny Howazd, Exec. Director, Thomas Dale Block Clubs, 1034 Lafond Ave., St. Paul,
MN 55104
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1-6020-14591-3
STATE OF MINNESOTA
OFFICE OF ADMINISTRATIVE HEARINGS
FOR THE ST. PAUL CITY COUNCIL
In Re the License Renewal Appiication of
Team Management inc. d/b/a Midwest
Check Cashing located at 477 Rice Street
FINDINGS OF FACT,
CONCLUSIONS AND
RECOMMENDATION
The above-entitled matter came on for hearing before Administrative Law Judge
George A. Beck, serving as Hearing Officer for the St. Paul City Council, on November
14, 2001 at 10:00 a.m. in Room 42 of the Ramsey County Courthouse.
Virginia D. Palmer, Assistant City Attorney, 400 City Hall, 15 W. Kellogg Bivd.,
St. Paul, Minnesota 55102, appeared on behalf of the Office of License, Inspections
and Environmental Protection ("LIEP"). J. Patrick Brinkman, Esq., of the firm of
Felhaber, Larson, Fenlon and Vogt, 601 2n Avenue South, Suite 4200, Minneapolis,
Minnesota 55402-4302 and T. Jay Salmen, Esq„ of the firm of Kennedy and Graven,
200 South 6�' Street, Suite 470, Minneapolis, Minnesota 55402, appeared on behalf of
the licensee, Midwest Check Cashing.
NOTICE
This Report is a recommendation, not a final decision. The St. Paul City Council
wili make the final decision after a review of the record and may adopt, reject or modify
these Findings of Fact, Conclusions, and Recommendation. Under Section 310.05
(c)(c-1) of the city's legislative code, the city councii will provide the licensee the
opportunity to present oral or written argument to the city council before it takes final
action. The parties shouid contact the St. Paul City Council to determine the procedure
for presenting argument.
STATEMENT OF ISSUE
Should the currency exchange license of Midwest Check Cashing be made
subject to conditions?
Based upon all the proceedings herein, the Administrative Law Judge makes the
fol{owing:
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FINDINGS OF FACT
1. On October 4, 2001 the Department of Commerce forwarded the Licensee's
application to renew its currency exchange license at 477 Rice Street in St. Pau{ to
LIEP. A criminal history search for the manager of this office and the owner found no
criminal record for either.'
2. On October 8, 2001 LIEP provided a notice to nearby neighborhood
organizations of the license renewal application and advised the organizations that if
objections were received, the matter would be scheduled for a hearing?
3. LIEP also notified the Licensee that objectors had 15 days after being notified
to object to the license renewal.
4. On October 10, 2001, the Licensee paid its renewal fee to the city.'
5. On October 18, 2001, LIEP published notice of the license renewai
application in the St. Paul Legal Ledger and invited objections.
6. LIEP received a letter dated October 25, 2001 from the chairpersons of the
Capitol Heights Block Club. The Club asked that the City either deny or place
conditions on the license of Midwest Check Cashing and stated that if the City was
unable fo deny the license, the following conditions shouid be included:
The hours of operations should be limited to business hours.
The license holder should provide onsite security.
The business should provide adequate indoor capacity for its ciients.
The business should provide adequate parking for its clients 6
7. LIEP also received a letter from Tait Danielson, lead organizer for the District
7 Planning Council, asking that conditions be placed upon the license.
8. The City issued a Notice of Hearing in this matter on November 7, 2001
which set the hearing date and time for November 14, 2001 at 10:00 a.m. at the
Ramsey County Courthouse. The Notice of Hearing was served by mail to Carol A.
Toner, President of Midwest Check Cashing on November 7, 2001.'
9. L1EP aiso published the Notice ofi Hearing in the 5t. Paul Legal Ledger on
November 8, 2001.
' Exhibit 1.
2 Ex. 2.
3 Ex. 3.
° Ex. 4.
5 Ex. 5.
6 Ex. 6.
' Ex. 9.
8 Ex. 8.
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10. The hours of operation of Midwest Check Cashing are presently 7:30 a.m. to
8:30 p.m. on Monday through Wednesday, 7:30 a.m, to 9:00 p.m. on Thursday and
Friday, 9:00 a.m. to 8:00 p.m. on Saturday, and 10:00 a.m. to 3:00 p.m. on Sunday.
11. Midwest Check Cashing presently has indoor video surveillance.
12. Mr. Danielson be4ieves that the currency exchange business is one that
inherentiy attracts criminai activity and needs to be closely regulated. He would like to
see the hours of business limited to 8:00 a.m. to 6:00 p.m. Monday through Saturday.
13. There have been 53 poiice calls to the iocation since January of 1999.
None of the cails related to criminal activity by the applicant or to drug dealing. Many
calis related to the alarm system. Some calis related to forgery. There was also a call
for theft and a domestic call.
14. There has been a check cashing business at this location since 1986. The
owner asserts that the present hours are needed to service customers during hours that
banks are closed. Nearby competitors such as Target and Unbank have similar hours.
The location has not experienced drug dealing, loitering or other criminai activity.
15. LIEP recommends approval of the license without conditions because it has
received no police reports or direct citizen complaints about the business.
Based upon the foregoing Findings of Fact, the Administrative Law Judge makes
the following:
CO1dCLUSiONS
1. The St. Paul City Council and the Administrative Law Judge have jurisdiction
in this matter pursuant to Minn. Stat. § 14.55 and the St. Paul Legislative Code,
Sections 310.05, 310.06 and 381.02.
2. The City of St. Paui has fulfilied all relevant, substantive and procedural
requirements of law and rule.
3. The City of St. Paul has given proper notice of the hearing in this matter
including proper notice in accordance with the requirements as set forth in Minn. Sfat.
§53A and Section 381 of the Legislative Code of the City of St. Paul.
4. That Section 381.03(b)(5) provides that the fo{lowing constitutes grounds for
license action:
Failure of the appiicant to agree to reasonable conditions upon the
operation of the business in accordance with the procedures set in
section 310.05 and the grounds of 310.06. Such conditions could
include but are not limited to, hours of operation, off street parking
requirements, bonding in an amount greater than that required by
state law, and annual audits at the licensee's expense.
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5. That the record does not demonstrate any violation of ordinance or statute
justifying disciplinary action.
6. That the record in this matter does not demonstrafe that the restrictions
proposed are reasonable conditions upon the operation of the business of the licensee.
Based upon the foregoing Conclusions, the Administrative �aw Judge makes the
foliowing:
RECOMMENDAT{OIV
IT IS HEREBY RESPECTIVEFULLY RECOMMENDED that the St. Paul City
Council approve the renewal of the currency exchange license held by Team
Management Inc. d/b/a Midwest Check Cashing for the premises located at 477 Rice
Street in St. Paul.
Dated this 20'" day of November, 2001.
Reported: Taped.
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GEORGE A. BEC
Administrative Law Judge
NOTICE
Pursuant to Minn. Stat. §53A.04 the St. Paul City Council is required to forward
its approval or disapproval of the license application to the Commissioner of Commerce
of the State of Minnesota for the Commissioner's approval or disapproval. If the
renewal appiication is denied, the Commissioner shall maii notice of the denial and the
reasons therefore to the appiicant. The applicant, upon denial, may request a further
hearing as provided for in Minn. Stat. §53A.04(b}.
MEMORANDUM
Mr. Danielson, representing the District 7 Planning Council, testified at the
hearing that it was his organization's goal that all currency exchanges in the Councii's
neighborhoods be subject to similar restrictions. He testified that the area in questio� is
a high crime area and he believes that this type of business needs to be closely
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regulated. A representative of the Capitol Heights Block Club also testified that safety
is an +ssue +n the neighborhood. They believe that consideration should be given now
to what might occur in the future at this location.
Despite the concerns the two organizations, there is no specific evidence in the
record to substantiate a violation of city ordinance or state statute. There was no
specific evidence to support a need for improved indoor capacity or more off-street
parking. No specific evidence was presented that the current hours of operation, which
appeared to be shared by some of the licensee's competitors, is attracting criminal
activity. The evidence concerning police calls does not appear to be so unusual as to
support disciplinary action. Action against the license can not be taken based upon
what might happen in the future.
LIEP indicated at the hearing that it recommends issuance of the license without
conditions since it has seen no evidence of violations from police reports or direct
citizen complaints. Based upon the record as whole, this would appear to be an
appropriate disposition.
C��
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STATE OF MINNESOTA)
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COUNTY OF HENNEPIN)
CERTIFICATE OF SERVICE BY U.S. MAIL
Debra S. Aws, being first duly sworn, hereby deposes and says that on
the 20 day of November, 2001, at the City of Minneapolis, Hennepin County,
state of Minnesota, she served the attached Findings of Fact, Conclusions of
Law and Recommendation, In Re the License Renewa/ Application of Team
Management Inc. d/b/a Midwest Cashing located at 477 Rice Street,� OAH
Docket No. 1-6020-14591-3 by depositing in the United States mail at said City of
Minneapolis, a true and correct copy thereof, properly enveloped, with first class
postage prepaid and addressed to the individuals named herein.
Virginia D. Palmer
Assistant City Attorney
400 City Hall
15 W. Kellogg Blvd.
St. Paul, MN 55102
T. Jay Salmen, Esq.
Kennedy and Graven
200 South 6 Street
Suite 470
Minneapolis, MN 55402
District 7 Planning Council
J. Patrick Brinkman, Esq.
Felhaber, Larson, Fenlon & Vogt
601 2" Avenue South
Suite 4200
Minneapolis, MN 55402-4302
Midwest Check Cashing
A�TN: Carol A. Toner, President
477 Rice Street
St. Paui, MN 55103
���.tN
Debra S. Aws
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