04-594Council File # p�t-'S9�
Green Sheet #.3 � 1� dS� j
RESOLUTION
CITY OF SAINT PAUL, MINNESOTA
Presented
Referred To
Committee Date
13
1 WIIEREAS, the Legislative Hearing Officer recommends that the license application (ID # 20040000866) for
2 Liquor Off Sale, Retail Food Grocery and CigarettelTobacco at Capital Wine and Spirit, 531 Rice Street be
3 approved with the following conditions:
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1. The licensee shall seil no distilled spirits at 50 milliliters or less (othenvise known as miniatures); and the
licensee shall sell no fortified beer or 40 ounce bottles.
2. The licensee shall sell no fortified wines.
3. The licensee shall take reasor.able steps to discourage loitering in front of or on the property of the licensed
business.
4. The licensee shall pick up trash, litter and empty bottles and/or cans in the immediate vicinity of the licensed
business, whether on pubiic or private property.
5. The licensee sha11 install lighting to illuminate the azea at the front of the licensed premises based on a site
plan on file in the Office of LIEP no later than two weeks after opening for business under the authority of
the license.
14 THEREFORE, BE IT RESOLVED that the Council of the City of Saint Paul hereby approves this license
15 application with the conditions listed.
Requested by Department of:
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Adoption Certified by Council Secretary
By: /' iJ %Fz'_✓Je�
Approved b�/ yor: Date (�` 2 �y1 � 6
Form Approved by City Attomey
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Approved by Mayor for Submission to Council
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Adopted by Council: Date //i�y�S_ /�� a0os�
o�- g�
� Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet �
Departrnendoffiee/councii: Date Initiated:
co -���il OS-JUN-04 Green Sheet NO: 3018055
Contact Person & Phone: Deoarhnent SeM To Person InitiaUDate
Marcia Mcertnond � 0 iCouncil
266'$56� Assign 1 ouncit e arimentDircetor
Must Be on Council Agenda by (Date): Number Z uk
For
Routing 3
Order 4
5
Total # of Signature Pages _(Clip All LocaEons for Signature)
Action Requested: ' �
Approving the license app{ication with conditions, per the Legislative Hearing Officer, for Liquor Off Sale, Retail Food Grocery, and
Cigazette/T'obacco Licenses by Capital Wine and Spirit, 531 Rice Street.
Recommendations: Approve (A) or Reject (R): Personal Service Contracts Must Answer the Following Questions:
Planning Commission 1. Has this person/firm ever worked under a contract for this department?
CIB Committee Yes No
Civil Service Commission 2. Has this person/firm ever been a city employee? '
Yes No
3. Does this person/firzn possess a skill not normally possessed by any
current city employee?
Yes No
F�cplain atl yes answers on separate sheet and attach to green sheet
Initiating Problem, issues, Opportunity (Who, What, When, Where, Why):
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AdvantageslfApproved: , . . . „ . . -
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DisadvanW57es If Approved:
�ooa 8 o Nnr
.�we� y�,�ese� sra�,no�
Disadvanfages If Not Approved:
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Total Amount of CostlRevenue Budgeted:
Transaction:
Funding Souree: Activiiv Number:
Financial Information:
(Explain)
O�s��
MINiJTES OF'TI� LEGISLATIVE HEARING
CAPITAL WINE AND SPIRIT - 531 Rice Street
Thursday, June 3, 2004
Marcia Moermond, L,egislative Hearing Officer
The hearing was called to order at 10:08 a.m.
STAFF PRESENT: Kristina Schweinler, LIEP; and Jean Birkholz, City Council
Others present: Ry Phann, 531 Rice Street; Brian Alton, Attorney, McClay, Alton, PLLP, 951
Grand Avenue; Steward Rhodes, 528 Rice Street; and Julene Maruska, St. Vincent de Paul Thrift
Store, 511 Rice Street.
Ms. Moermond explained that at this informal hearing, she will develop a recommendation for
the City Council to take action on the application of the license. Thexe aze three (3) possible
things that the City Council can do: 1) grant the license without conditions; 2) grant the license
with conditions; or 3) recommend that the application go to an administrative law judge (if they
don't believe that the license should be issued at all, or if the applicant doesn't agree to the
conditions that the Council thinks aze necessary).
Ms. Moermond noted that this application is a change in ownership for the license and asked Ms.
Schweinler, LIEP, to provide a staff report. Ms. Schweinler stated that the Office of License,
Inspection and Environmental Protection approves the applicarion with the following conditions:
1. The licensee shali sell no disrilled spirits at 50 milliliters or less (othercvise known as.
miniatures); and the licensee shall sell no fortified beer or 40 ounce bottles.
2. The licensee shall sell no fortified wines.
3. The licensee shall take reasonable steps to discourage loitering in front of or on the
property of the licensed business.
4. The licensee shall pick up trash, litter and empty bottles and/or cans in the immediate
vicinity of the licensed business, whether on public or private property.
5. The licensee shall insta111ighting to illuminate the azea at the front of the licensed
premises based on a site plan on file in the Office of LIEP no later than two weeks
after opening for business under the authority of the license.
Ms. Moermond stated that this business is currently in operation with these same lacenses; and
asked if the proposed owner was operating under a management agreement. Ms. Schweinler
responded that there is no management agreement at this time. The current license holders are
still operating.
Ms. Moermond asked the applicant, Ry Phann, about his plans far the business. Mr. Phann
stated that he has been interested in buying Capital Wine and Spirit for some time now. For rivo
(2) years he has observed the business and has been in training from the previous owner. Ms.
Moermond asked Mr. Phann if he has ever run a liquar store. Mr. Phann replied that he has not.
Oh/- s��
LEGISLATIVE HEARING - May 25, 2004 - CAPITAL WINE & SPIRIT 2
He has a Purchase Agreement for this store. He intends to unprove the business, and fixing the
pazking lot is the first improvement he intends to make. He added that the store has hired an off-
duty police officer for security on Thursday, Friday and Saturday nights. Mr. Alton added that
the business is voluntarily hiring security, which will continue under the new ownership; and the
applicant is interested in making sure that the property is picked up and will not allow any
loitering. The store closes at 8 p.m. Monday - Thursday and 10 p.m. Friday and Saturday.
Ms. Moermond asked Mr. Phann if he owned any other businesses and/or would he be the
manager on site at this business. Mr. Phann responded that he does not own any other business
and that it has been his dream to own a small business; he intends to be there personally six (6)
days a week. Ms. Moermond asked by what phone nuxnber he could be reached. Mr. Phann
replied that he could be reached at the store phone number, 298-8501. Ms. Moermond noted that
it is very important that the City have a phone number by which he can be reached.
Ms. Moermond asked whether the appficant and his attorney have had an opportunity to talk with
staff about the conditions. Mr. Alton responded that they had not yet had an opportunity to do
that. Mr. Alton asked if these were the existing conditions. Ms. Schweinler replied that they
were, except for #5 regarding the lighting, which is new. Ms. Moermond recommended that the
meeting take a five (5) minute break while the applicant and staff discuss the conditions.
Upon reconvening the hearing, the applicant stated that he was in agreement with the conditions.
Ms. Moermond asked that Julene Maruska from St. Vincent de Paui Thrift Store to speak. Ms.
Maruska spoke for Mr. Edward Koerner, Executive Director, Society of St. Vincent de Paul
Archdiocese of St. Paul-Minneapolis, who wrote a letter with concerns that St. Vincent had about
this business at this location.
Ms. Maruska introduced a map of the location with highlighted azeas which presented problems.
Basically, St. Vincent's Store has issues with drunkenness, people sleeping on their property,
people leaving messes on thear property, customers being accosted by intoxicated people, people
breaking into their apartments (a stairway goes up and over the liquor store which is used by
people who climb up there and drink, sleep, etc., and at one Ume, the apartments were broken
into). As a result, the tenants don't feel safe. Another issue is trucks. The liquor store has na
back door, so when the trucks (they're huge semi-trucks) come to bring their supplies, they
literally block all of Rice Street. If they're not blocking the street, they're taking up all the
parking. Ms. Schweinler provided an aerial photo. Ms. Moermond asked Ms. Maruska the hours
of St. Vincent's Store. Ms. Mazuska replied that they are 930 a.m. - 5 p.m., Monday through
Friday; and on Saturdays, beginning June 12, 2004, from 11 a.m. - 5 p.m. The store is closed on
Sundays. People who work in the warehouse come from 730 - 8 am. Ms. Moermond asked
about the store's peakllow traffic times. Ms. Maruska replied that eazly mornings are slow. It
picks up at about 11 am., levels off with peeks and valleys, and tends to be busier later in the
day. Ms. Moermond asked whether St. VincenYs has worked with the Central Police District on
any of their issues. Ms. Maruska responded that the police are routinely called when there is an
issue. The tenants have also been informed to call the police directly when there is an issue.
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LEGISLATIVE HEARING - May 25, 2004 - CAPITAL WINE & SPIItiT 3
Ms. Moermond noted that a letter was also received from Stephen Jilek, a neighbor at 169
Sherburne; and also a letter from Michele Genereaus. The Jilek letter is making a connection
between the sale of alcohol and the loitering. The Generea� letter talks more generally about
poor neighborhood conditions and urban policy.
Mr. S�ewart Rhodes addressed the hearing officer. He owns Frogtown Computer, directly across
the street from Capital Wine & Spirit. Mr. Rhodes commented that he has never observed the
actual loitering in front of Capital Wine & Spirit, however, there aze problems in the
neighborhood. He is in the process of going from business to business rirying to create a fixnd to
clean-up the block. Capital Wine & Spirit is not responsible for all the problems. People come
out of the gocery store, the restaurant, etc., and they throw stuff on the street. He thinks that iY s
one of the dirtiest business blocks in Saint Paul. He also thinks that it is the responsibility of
every business owner on that block to make sure the block is clean. Mr. Rhodes stated that he
has known Mr. Phann for about 2'/z years, and from what he sees, Mr. Phann is a very nice
person and also a responsible businessman. Although the business people are glad to have St.
VincenYs Store there, he reminded them that they aze the newest business on that block. The
current businesses also want Capital Wine & Spirit there. The azea has many handicapped
people in the azea; if they are 21 yeazs of age and the law allows them to drink, they shouldn't
haue to walk a long way or take the bus. Many can't afford to have cars. He feels that it would
cause an undue distress for some people in the community if Capital Wine & Spirit wasn't there.
He added that there are peopie who don't take responsibility everywhere. Many of the people
who drink and sleep where they shouldn't aze homeless people. St. Vincent de Paul is in the
business to help those people, so they are azound on the block; and the block is going to have
them there whether Capital Wine & Spirit is there or not. We have gotten rid of the drug dealers.
Mr. Rhodes has gone to every business on the block and gotten signatures on letters that explains
that the problems on the block aze not the solely the fault of Capital Wine & Spirit; the Vincent
de Pau1 Store is the only one that did not sign it. Everyone on the block aiso wants Vincent de
Paul to know that they do support their store. The community needs their store and it also needs
a liquor store. The letters were introduced in to the record by Mr. Alton.
Ms. Moermond noted that no matter who does the dumping, it's the property owner's
responsibility to clean it up. Mr. Rhodes has stated it well. Everyone on the block is responsible.
Ms. Moermond asked Mr. Phann to install a garbage can. Mr. Phann responded that he already
had two (2) garbage cans; one in front of the business and the other in the pazking lot. Ms.
Moermond asked if the business has a sign stating that guns are not allowed. Mr. Phann replied
that it did not, but he is interested in putting such a sign on the door.
Ms. Moermond asked Mr. Phann if he had time-specific plans for working on the parking lot.
Mr. Phann replied that he plans to do it within the yeaz.
There was some conversation about delivery tnxcks blocking the street and parking spaces. Mr.
Phann wanted to clarify that the beer trucks aze not the large semi-trucks that block trafFic. The
large trucks are making deliveries to Lempa Mazket, and they use Capital Wine & SpiriYs
parking lot to do that. Ms. Moermond asked Mr. Phann if Lempa Market had an easement on his
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LEGISLAT'IVE HEARING - May 25, 2004 - CAPITAL WINE & SPIIZIT 4
property or did they just have a friendly agreement so they could do that. Mr. Phann responded
that anyone can use the pazking lot to come and go, because the other businesses azound there do
not have pazking lots. Ms. Moermond asked Mr. Phann how long the liquor deliveries take. Mr.
Phann answered that they take between 30 - 60 minutes, and they are short trucks that do not
block traffic. Ms. Moermond asked if the pazking lot was marked in any way. Mr. Ph.ami
responded that it is not mazked now, but he will mazk it when he fixes it. However, he is not
concerned about shoppers pazking in his lot. He tries to support the other businesses on the
block. Ms. Moermond stated that another subject that came up in a letter is that cazs mazked
"For Sale" are sometimes pazked in the lot. Mr. Phann said that he has tried to tell the owner to
keep the "For Sa1e" cazs out of the lot. Mr. Alton pointed out that Mr. Phann is a tenant in this
building and has limited authority. Ms. Moermond asked Ms. Schweinier if there was any
licensing requirement for having a"For Sale" car on the front lawn. Ms. Schweinler answered
that if it is stored there, then it becomes a zoning issue because the property is not zoned properly
for car sales. If it's a customer or an employee that has a"For Sale" sign in his car because he is
hying to sell it, there isn't any requirement. If one is actually mazketing a car, it becomes a
zoning issue.
Ms. Moermond commented that she is hearing from his neighbor, Mr. Rhodes, and from Mr.
Phann himself, that he is really interested in running a nice business far this area, and investing,
personally and financially, in the neighborhood, which is exactly what is needed. She added that
she wished she had the power to do some of the things that are suggested in the letters in terms of
helping the businesses to form some sort of a coalition to seek money for stoxefront
improvements, landscaping, eta It is something that could be warked on with the district
councils. She pointed out that Ms. Renee Tyler from Councilmember Montgomery's office is
present at this heazing, and she will have some ability to put together contacts who can help with
storefront rehabs and site improvements. These things will help people feel better about being in
the area. She suggested that the businesses work together to do a project, and she encouraged
Mr. Phann to possibly take a leadership role in trying to keep the area looking good.
Ms. Moermond recommends granting this license with the conditions listed. She is not making it
a condition that the parking lot be fixed, but taking Mr. Phann's word that he will deal with its
improvement as soon as he is financially able; probably within eighteen (18) - twenty (20)
months.
Ms. Moermond said that the next step in this process will be for this to go to the City Council
(either June 16 or June 23, 2004). There will be no discussion on it; the Council will simply pass
it with one motion along with a long list of other items. The Ward One Councilmember will
haue a chance to review this and sign the resolution that grants the license. Occasionally, the
Councilmember will have a question and give the licensee a call.
The hearing was adjourned at 11:05 a.m.
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