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05-247Council File # _(����� Green Sheet # U� i7� RESOLUTTON I'RESENTED BY REFERIiED TO OF SAINT PATL, MINNESOTA 23 COMYlITTEE: DATE i WE�EREAS, adverse acrion was initiated against all licenses held by M. Reaney, Inc. z dibfa Reaney's Baz (License ID#0016230) for the premises located at 870 Payne Avenue in a Saint Paui by Norice of Violation dated October 15, 2004 alleging a sale of alcohoi to an 4 intoxicated person on May 21, 2004 and a sale of aicohol to an underage person on August 4, s 2004; and s v WI3EREAS, while those matters were scheduled to be heardby an Administrative Law Judge s a Notice of Violarion dated December 17, 2004 was sent alleging a violation of failure to take s reasonable steps to prevent alcohol from leaving the premises; and io ii WHEREAS, the Licensee elected to have the matters combined and heard together, and the iz matters were heard before Administrative Law Judge Allan Klein on January 7 and January 21, 2005; is and i� is is i� is 19 20 WHEREAS, the Report of the ALJ issued on February 16, 2005 found that the violations had occurred and that adverse action against the licenses was appropriate; and WHEREAS, each of the violarions before the City Council in this matter are ones that are contained on the presumprive penalty matri:c contained in Saint Paul Legislative Code §409.26; and z i WFIEREAS, Licensee has had two prior appearances in front of the City Council for adverse zz actions in the last fifteen months, the first being a$500 fine on December 17, 2003 for failure to z s maintain order and sobriety and the second being a December 15, 2004 resolution imposing a$1,500 z� fine and a thiriy day suspension, with fifteen of the days stayed for a period of eighteen months on zs the condition that there be no furiher violations for a December 20, 2003 sale of alcohol to an zs obviously intoxicated person and a July 21, 2004 sale of alcohol to underage persons, both matrix 27 penalties; and 28 �s so e1 ;z WF�EREAS, Licensee spoke at the hearing to continue his denial that the incidents had happened and to blame his problems on the police harassing him, and failed to accept responsibility for the actions of his employees, and a WHEREAS, the City Council finds that there are substantial and compelling reasons to 4 impose a significantpenalty on the Licensee dueto thenumber and seriousness ofviolations, the fact � that this is the third adverse action before the Council in a relatively short period of time, that the s violations in this matter are the same type of violations as in the prior adverse action, that one of the r violations occurred beriveen the time ofthe last ALJ hearing and the time Licensee appeared in front ; of the City Council on the previous Report, and the unlikelihood that the management of the � establishmentwilichangetheirpracticesduetotheLicensee'sfailuretoacceptresponsibilityforany of the violations and instead to blame his problems on the police; now, therefore be it i RESOLVED, that all licenses held by M. Reaney, Inc. dlbla Reaney's Baz (License ID�� ° �� 1 z #Q016230) for the premises located at 870 Payne Avenue in Saint Paul are hereby suspended for a a period of 180 days, and a fine of $2,Q00 is imposed. Ninety ofthe days of suspension shall be stayed 4 for a period of 18 months on the conditions that 1) there be no fitrther violations in that period of s time; and 2) that the $2,000 fine be paid within thiriy days of tha passage and approval of this s resolution. The 90-day suspension ofthe licenses shall begin at 12:01 a.m on the third Wednesday � following adoption of this Resolution, and shall conrinue throu� unril i i_59 p.m. on the 90� day s following. 9 io FORTI�R RESOLVED, that the Findings of Fact, Conclusions of Law and i i Recommendation of the AIJ in this matter aze hereby adopted as the Findings and Conclusions of iz the City Council in this matter. 13 i4 A copy of this resolution, as adopted, shall be sent by first class mail to the Administrative is Law 7udge and to the license holder. is Requested by Department of: 3option Certifi�d by Council Secretary proved byfN,�a��r: Date� dopted by Council: Date ���� �, Sy: ��.i A.L� YY �"�<.t..t � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Greer► Sheet � �,- a�� Uepastmenbofficeleouncil: Date Initiated: Lp - LicenseJinspectionfEnvisonPmt o�-�-� Green Sheet NO: 3025652 ConWCt Pereon 8 Phone: Vr9inia PaNner 266-8?10 Must Be on Council Agenda Total # of Signature Pages � pssign Num6er For Routing Order 0 n e" nvir n Pro I 'c nsefln ionlEn "ro ra De a ent Director 2 ' Att 3 a r`s O re a dAssi ant 4 ounci! 5 iN I rk ih lerk (Ciip AII Locations for Signature) initiaVDate y �w.o... Approval of the attached resolurion memoralizing adverse acfion taken against atI licenses held by M. Reaney, Inc, dJb/a Reaney's Bar (License ID#0016230) for the pzemises located at 870 Payne Avenue in Saint Paul. Recommendalions: Approve (A) or K Pianning Commission CIB Committee Civit Service Commission (R): Contracts Must Mswer the Following Questions: 1. Has this persoNfirm ever worked under a eontrect for this department? Yes No 2. Has this personiflrtn ever been a city empioyee? Yes No 3. Does this personfffrm possess a skill not normally possessed by any current city employee? Yes No Expfain ali yes answers on separate sheet and attach to green sheef Initiating Probiem, {ssues, Opportunity (1Nho, What, When, Where, Why): A Public Aearing was held to discuss the Administrative I.aw Judge's Findings of Fact, Conclusion of Law and Recommendations from the Administrative Hearings held on January 7, 2005 and January 21, 2005. AdvantaaeslfApproved: � Memaiialize Council action taken as a result of the Aclministrarive Law Judge's Findings of Fact, Conclusions of Law and RecommendaGons. D'+sadvanta5�es lf Aparoved: None -��, rs�i ! 6 tjpr.s'-•4' MAR 1 0 2005 DisadvanWges If Not Approved: �,`i���`�S,'�.�: Total Amount of Transaction: Funding Souroe; Financial Information: (Exptain) Cost/Revenue Budgeted: Activiri Num6er: CsOF� �aea�PCy� �s?R'�K ,. :I,�; . .�. .-� .� ;'i�.�4� �. ( i February 16, 2005 TELEPHONE:(612)347-7600 TfY: (672) 347-7346 i 3 p- . - .. J ., _« �;�����. i £ �..m. � �. � � i� _ : - �� ay Don Luna, City Clerk ��� � .-, .• :,. � __ _ _ _ 170 City Hall ` `",`� _ , �� � = .' _.l � 15 West Kellogg Blvd. ���'� �'("�"(�����f St. Paul, MN 55102 RE: In the Matter of All Licenses Held by M. Reaney, Inc. d/b/a Reaney's Bar for the Premises Located at 870 Payne Avenue in St. Paul; License ID No. 0016230; OAH Docket No. 6-6020-16286-3 Dear Mr, Luna: Enclosed herewith and served upon you by mail is the Administrafive Law Judge's Findings of Fact, Conclusions and Recomrriendation in fhe above-entitled matter, Also enclosed is the official record, with the exception of the tape recording of the hearing. If you would like a copy ot those tapes, please contact our oifice in writing� or telephone 341-7448. Our fiie in this matter is now being closed. Sincerely, . _ _-� _ . .. ..... . .. .. . ...... .w_ _� .z,,,,r . �__ � � _ _ � Mn . .. �, �c��.,�_�� . � _ _ � ALLAN W. KLEtN � � �`` �_ �- �_ Rdminisfrative Law Judge Tefephone: 612J341-7609 AWK:cr Encl. cc: Virginia D. Palmer Mefvin Reaney STATE OF MINNESOTA OFFICE OF ADMINISTRATIVE HEARINGS 10Q Washington Square, Suite 1700 100 Washington Avenue Soutfi Minneapolis, Minnesota 55401-2i38 Providing Impartiai Hearings for Govemment and Citizens An Equal Opportunity Employer trative Law Division 8 Administrative Services Workers' Compensation Hearings Division Wodcers' CompensaUOn Settlement Division e: (612) 349-2665 Facsimile: (612) 349-2691 Facsimde: (612) 3d94634 (�J'�� 6-6020-'f 6286-3 STATE OF MINNESOTA OFFICE OFADMWISTRATIVE HEARINGS FOR THE COUNCtL OF TNE C{TY OF ST. PAUL In the Matter of ali ticenses He4d by M. Reaney, Inc. dPo/a Reaney's Bar for the Premises Located at 870 Payne Avenue in St. Paui; License iD No. 0016230 FINDINGS OF FACT, CONCLUSIONS AND RECOMMENDATION A hearing in this matter was held on January 7, 2005, at the St. Paul City Hall before Allan W Klein, Administrative Law Judge. After some tesfimony was taken, the hearing was reset until January 21, in order to obtain testimony of an additionaf witness. Appearing on behalf of the Office of License, inspections and Environmental Protection for the City of St. Paul (hereinafter "LIEP") was Virginia D. Palmer, Assistant City Attorney, 400 City Hall, 15 Wesf Kellogg Boulevard, Sf. Paul, MN 55102. Appearing on behalf of M. Reaney, Inc. dJb1a Reaney's Ba� (hereinafter "Reaney's") was Melvin Reaney, 1752 Bush Avenue, St. Pauf, MN 55106. The record in this matter ctosed an January 21, at the conciusion ofi the hearing. NOTICE _. _., This reporf is a recommendation,.nof.a.final decision.--The St:-Raul Cify �y-x�,...;-_�-"��.� Council wifl make the final decision afte� a review of the record. The City Counci( may adopt, reject or modify the Findings of Facf, `"Conclusions, and "" Recommendation herein. Under Section 310.05(c-1) of the City's Legislative Code, the City Council wiil provide Reaney's an opportunify to present ora{ or written argument to it before it takes final action. Reaney's shouid contact the St. Paul City Clerk fo learn the procedure for presenting argument to the councii. hSTATEMENT OF ISSUES 1. On May 21, 2004, did Reaney's sell alcoho! to an obviously intoxicated person in violation of Minn. Stat. § 340A.502? 2. On Augusf 4, 2004, did Reaney's permit an underage person to drink aicoholic beverages in violation of Minn. Stat. § 34�A.503, subd. 1{a){1)? Did Reaney's sefl alcoholic beverages fo an underage person in violation of Minn. Stat. § 340A.503, subd. 2(1)? � o5-a� 7 3. On December 5, 2004, did Reaney's violate Ch. 409.08 (15) of the City's Legisiative Code when a customer walked oui of the bar carrying a can ofi beer, took a sip of the beer, and then went back inside the bar? Based upon all of the proceedings herein, the Adminisfrafive Law Judge makes the fo[(owing FiNDINGS OF FACT 1. Reaney's Bar is located at 870 Payne Avenue, at fhe comer of Payne and Welis Sfreef, on the east side of St. Paul. 2. The corporation M. Reaney, Inc. holds a number of licenses from the city, including an on-sale liquor license, an on-sale Sunday liquor license, an off safe malt liquor license and a Class C restaurant license. 3. On May 21, 2004, St. Paul Police Officers Michaei Dunaski and Joe Reginek were dispatched to Reaney's Bar because an individual had telephoned the police department indicating that her boytriend had taken her truck without permission and had gone to Reaney's, where he was drinking. She was afiraid that he would become intoxicated and attempt to drive the truck and she did not want that to happen.' 4. Officers Dunasky and Reginek ran a license check on fhe boyfriend {James Roscoe Grittenden) and discovered that his drive�'s ticense had been revoked. They also viewed his photograph. They entered the bar; and saw only one person who resemb(ed the photograph. The individua! was sitting at the bar, ' conversing with the bartender. The o�cers approached them, and asked the individual his name. He replied: "Eugene:' O�cer Reginek then asked fhe bartender (Eleanor Johnson) whether she knew a James Crittenden. She tooked �_ .._, _toward "Eugene° and repiied °no:'..Officer�Dunasky then turned to Crittenden and .__._.,. _rY.,..,._,.�. asked to see his ID. Crittenden responded belligerenfly, and Officer Dunasky "assisted him off the barstooi" and walked him toward the door. Cr�Eenden puffed "' °""� ` away from him, and O�cer Dunasky and Reginek both walked him toward the door. O�cer Dunasky removed his wa(let and keys, and found a Minnesota identificat+on for Eugene Grittenden. Officer Dunasky then asked the individuat whether or not he was James Crittenden, and the individuai repiied that he was, and that the ID belonged to his brother. Crittenden appeared infoxicated, and admitted that he had drunk "severa! beers" since entering the 6ar. O�cer Dunasky locked the truck keys in the truck, and notified the compiainant. Ne and O�cer Reginek then took Crittenden to Detox, where he blew a.174 on the PBT. They gave him a ticket for driving after revocation and giving false information, and released him to the Detox staff. They prepared an offenselincident report, which was reviewed by LIEP staff and the County Aftorney's office, resulting in ' Ex. 2. 2 b5-a�J7 the issuance of a fag to Reaney's for providing alcoholic beverages to an o6viously intoxicated person. 5. On the night of August 4, 2004, Ofificer Jason Brubaker was among a group of eighf o�cers who performed a"premise check" at Reaney's Bar. That night the group inspected three bars, as well as fhe Dorothy Day area, looking for illegal activity. As he entered Reaney's, Brubaker observed a man and woman sitting side by side on fhe wesfem end of the bar. The man looked at fhe o�cers coming through fhe door, and pushed away a glass of beer which was sitEing in front of him. Brubaker also noticed that the man had been talking with the woman, but when he saw the officers, he turned away from the woman and iooked at fhe wali and the floor. Brubaker thought he looked young, and so he approached fhe man and asked him how oid he was. The man repiied that he was 20 years old. Brubaker then asked the man if he had been drinking, and he said "yes." Brubaker asked to see his ID, and it confirmed that he was dason Ratney and that he was 20 years old. Brubaker asked him if he knew that it was iliegal fo drink at his age, and the man repfied thaf he did know that. Brubaker issued him a cifation for underage consumption. Brubaker than spoke to the bartender, Jerry Jolly. Brubaker asked Joliy if he had checked the man's ID, and Jolly replied that he had not, but that he had seen him in the bar beFore. Brubacker asked Jolly why he had served him alcohol, and Joi(y repfied that he thought he had iD'd him before, and that he was 21 years of age. 6. At the hearing, Jerry Jolly testified that the female was a regular cusfomer, and he served her gin wifh beer in a glass, but that he _never served the man anyfhing. Sased upon all of the circumstances and the tesfimony of O�cer Brubaker, the Administrative Law Judge does not find Jolly's fesfimony to be credibie. 7. After review by LIEP and the City Aftomey's O�ce, Reaney's was �� �- cited for permitting a person underthe age`of 21�years'to'cirink"alcah�ol�o`n�the�'�"�""°""`"""`"""` premises and for seiling aicohoiic beverages to_a person under21 years of age. .. ._._._.. .__ 8. On December 5, 2004, Joe Larsin, a bartender at Reaney's, caqed for police assistance because two persons refused to leave the bar after he told them to leave. As soon as they saw that he was serious about calling fhe police, fhey sfepped outside fhe bar. Larsin then cailed the police and toid them thaf they didn't have to come. By that time, however, Officers Reginek and Dunasky were responding to the initial call. Even though they got a second caA from their dispatcher, indicating that they were no longer needed, they did cantinue on to Reaney's, and as they pulled up autside the bar, they noticed fwo people standing outside the bar. Whife they were taiking with those iwo, a third customer who was still in the bar (and not associated with fhe other fwo) saw fhe police car and stepped outside to see what was happening. He looked at the situation for a few seconds, took a sip of beer out of his can, and then went back inside. He was outs+de for less than 15 seconds. But Officer Dunasky saw him with the can of beer and saw him take a sip from it. Officer Dunasky recognized 3 o5-a�7 him as a regular in the area (his name was Femando Anderson) and remembered that he had issued a fickef to Anderson previously. He followed Anderson in#o the bar; and asked him why he had gone outside. Anderson replied fhat he just wanted to sae what was going on. Dunasky smelled a strang odor of beer on his breath and took Anderson to the squad car, issuing him a cifafion for consuming iilegal beverages in public. in his repor# of the incident� Dunasky nofed that the bartender working at Reaney's at the time was "dos" (later idenfified as Joe Larsin) and that if did not appear that any other staff were working, nor were there any bouncers present. Neither Dunasky nor Reginek spoke with Larsin about the incident. Larsin acknowfedged fhaf fhere were 15 to 20 peopfe present, and that he was working alone that night. There were no bouncers at the door. After LIEP and the Cify Aftorney's Office reviewed fhe police report of Anderson's citation, they decided to issue a citation to Reaney's for permitting a person to leav2 the bar with an alcoholic heverage. 9. On October 15, 2004, the City Attorney's O�ce sent Reaney's a Notice of Violafion reiating to fhe two incidents on May 21 and August 4. The notice indicated that LIEP woufd be recommending a 30-day suspension of Reaney's licenses, with 15 of the days stayed for a period of 18 monfhs, on the condition that Reaney's pay a$2,006 fine and have no further violations. 10. On October 25, 2004, Melvin Reaney requested a hearing on both incidents. 11. On November 17, 2004, the Ciiy Attorney's Office issued a Notice of Administrative Hearing on the first two violations, setting a hearing for November 3�, 2004. The hearing was not held on that date but was confinued. 12. On December 17, 2004, the City Attomey's O�ce issued a Notice of Violation with regard to the December 5 incident. The notice indicated fhat if ---- Reaney's desired a hearing on this alleged violafion, it coufd be combined with --- -- ��M the earfier ones 5 13. On December 23, 2004, Mefvin Reaney requested a hearing on the violation, and requested that it be combined with the two eariier viofations 6 14. On December 14, 2004, the Gity Attorney's Office had issusd a Nofice of Administrative Hearing, setting it for January 7. The hearing did go fon,vard on that date, but if was recessed until January 21 in order to allow Reaney's to subpoena a witness. The hearing concluded on January 21. 2 Ex, s. 3 Ex. 4. ° Ez. 5. 5 Ex. 7. s Ex. 8. � os a�� Based upon the toregoing Findings of Fact, the Administrafive Law Judge malces the following: CONCLUSiONS 1. The Gity Council of the City of St. Paul and the Administrative Law Judge have jurisdiction in this mafter pursuant to Minn. Stat. § 14.55 and § 310.05 of the City's Legislative Code. 2. The Cify has given proper notice of the hearing in this matter and has fulfilled ail relevant substantive and procedural requirements of law or rule. 3. Minn. Stat. § 340A.502 provides that no person may se{I alcoholic beverages for the use of an obviously intoxicated person. Qn May 21, 2004, Reaney's did sell an alcohofic beverage to James Criftenden when he was obviously intoxicated. See, Memorandum. 4. Minn. Stat.. § 340A.503, subd. 1(a) makes it unlawful for a ficensee to permit any person under the age of 21 years to drink alcoholic beverages on the ficensed premises. Section 340A.503, su6d. 2 makes it unlawfui for any person to sell or give alcoholic beverages to a person under 21 years of age. On August 4, 2004, Reaney's did provide an alcoholic beverage to Jason Ratney, who was then 20 years of age. Aithough he was carrying his brother's identification which indicated that he was at feast 21 years of age, the ba�tender on duty at the time did not ask to see that identification, and Ratney did not show it to him. � 5. Chapter 409.08 (15) of the City's Legislative Code requires a , license to take "reasonable and adequate steps" to prevent persons from leaving the premises with an alcoholic beverage. Reaney's did violate this request on December 5, 2004, when Fernando Anderson stepped ouf of the bar carrying a.,. _� .-__,.._.._ can of beer observed the police activiiy for severa! seconds, and then returned to the bar. _ _ _ _ Sased upon the foregoing Conciusions, the Administrative �aw Judge makes the following: RECOMMENDATION IT IS HEREBY RECOMMENDED: Tha4 the City Council fake adverse action egainst the licenses held by M. Reaney, Inc. d/b/a Reaney's Bar. Dated this 16 day of February 20 . In I l �..�.� ALLAN W. KLEiN Administrative Law Judge �s-a�� MEMORANDUNf With respecf to the first incident involving serving alcohol fa an obviously intoxicafed person, the evidence demonstrates fhat Crittenden had been at fhe bar for approximafely four hours, and he admitted to drinking "severai beers" during that period. Officers Dunasky and Reginek decided that he was too intoxicated to care for himself, and cerfainly too infoxicated to drive a motor vehicle, and so they fook him to Detox. Although he only blew a.174 when tested at Detox, it is more likely than not fhat he was intoxicated when served his last beer at Reaney's. Therefore, the citation is uphefd. The second violation, reiating to sale to a minor, is a matter of credibility. The police report provides a detailed description of Jason Ratney's conduct and his admissions that he had been drinking and fhat he knew it was iilegal for him to have been drink+ng. Although the barfender on duty at the time claims that he did not serve Ratney, the Administrative Law Judge finds the evidence supporting the violation to be more credible. The December 5 viofation involving Fernando Anderson stepping outside with a can of beer in his hand, taking a sip, and then going back inside, is a situation where so liftle time elapsed that a citation seems undu(y harsh. Anderson stepped outside in order to see what the police were doing, and after spending less than 15 seconds, he went back inside. But the Code requires a license to take "reasonable and adequate steps" to prevenf anyone from carrying an alcoholic beverage from the premises. There were 15 to 20 people in the bar, but only one bartender and no bouncers. Under those circumstances, Reaney's did not take reasonabie and adequate steps to prevent the occurrence. A.W.K. 0 os a� Z CITY OF SAINT PAUL Randy� C. KeIZy, Mayo� �� February 17, 2005 OFFICE OF THE CITY ATTOR�IEY ManuelJ. Cervnrtfes. Ciq�,{ltorney CivilDiViSiOR a00 Ciry Hat[ I S West KeIIogg Blvd. Sarnt Pau1, Minnesatn SS102 Telephone: 65! 2b6-8710 Fncsimile: 651298-56! 9 NOTICE OF COUNCIL HEARING Mr. Melvin Reaney Reaney's $ar 870 Payne Avenue St. Paul, MN 55101 RE: 7n the Matter of All Licenses held by M. Reaney, Inc., d!b!a Reaney's Bar (License ID#001 b230) for the premises located at 870 Payne Avenue in Saint Paul OAH Docket No. 6-6020-16286-3 Dear Mr. Reaney: Please take notice that a hearing on the report of the Administrative Law Judee concezning the above-mentioned licenses has been scheduled for 5:30 p.m., Wednesday, March 2, 2004, in the City Council Chambers, Third Floor, Saint Paul City Hall and Ramsey County Courthouse. You have the opportunity to file esceprions to the repod with the City Cierk at any time during normal business hours. You may also present oral or written argument to the council at the Hearing. No new evidence will be received or testimony taken at this hearing. The Council will base its decision on the record of the proceedings before the Administrative Law 7udge and on the arguments made and exceptions filed, but may depart from the recommendations of such Judge as permitted by law in the exercise of its judgement and discretion. Sincerely, ��/ V Virginia D. Palmer Assistant City Attorney , . t �.�"°��,°J.P(,b.. ��yF',aE FE� 2 � ���� cc: Diane Nordstrom, Office of Adminisirative Hearings, 100 Washington Squarz, Suite 1700, Minneapolis, MN 55401 Mary Brickson, Assistant Council Sectetary, 310 City Hall Christine Rozek, Deputy Director of LIEP Mr. Melvin Reaney, 1752 Bush Avenue, St. PauL MN 55106 Ms. Leslie McMurray, Executive Director, Payne Phalen District 5 Planning Council 1014 Payne Avenue, St. Paul, MN 551�1-3933 AA-ADA-EEO Employer