10-431Council File # 10-431
Green Sheet # , r��
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Presented
1 WHEREAS, adverse acho'�was taken against all licenses held by The Liquor Vault, LLC d/b1a The
2 Liquor Vault (License ID#20080002503) for the premises located at 523 Jackson Street in Saint Paul by
3 Notice of Violation dated April 5, 2010, alleging licensee sold individual bottles of beer and miniature
4 bottles of liquor in violation of license condition #1; and
5
b WHEREAS, per Saint Paul Legislative Code §310.05 (m) (I), tl�e licensing of�ice recommended a
7 $500.00 matrix penalty; and
8
9 WHEREAS, the Notice of Violation was sent in error to 523 Jackson Street instead of 521 Jackson
10 Street and returned by the United States Post Office "return to sender - attempted not known- unable to
I I forward"; and
12
13 WHEREAS, a copy of the same Notice of Violation was also sent to licensee's home address and
14 not returned; and
15
16 WHEREAS, the licensee did not respond to the Notice of Violation to pay the $500.00 matrix
17 penalty, request a public hearing or an administrative heazing; and
18
19 WHfiREAS, the Notice of Violation stated that if the licensee did not pay the $500.00 matrix
20 penalty or request a hearing by April 15, 2010, that the matter wouid be placed on the consent agenda to
21 impose the recommended penalty; now, therefore, be it
22
23 RESOLVED, that The Liquor Vault, LLC d/b/a The Liquor Vault is hereby ordered to discontinue
24 the sale of individual bottles of beer and miniature bottles of liquor. The licensee is also ordered to pay a
25 matrix penalty of $500.00 for the license condition violation. Payment of such penaity shall be made
26 within thirty days of the date of the adoprion of this resolution.
Requested by Department of:
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Adoption Certified by Couueil Secretazy Form ove by or for u e issi Cou il
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BY� � By:
Approee �y y . Date � },,{7 p
By: �
Adopted by Council: Date ����/�j//Q
10-43
� Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet �
, S' partrneMlOffice/Council: � D6 � Green Sheet NO: 3107216
_ Dept. of Safety & Inspections
; Contact Person & Pfione: '� � i
�I Rachel Tiemev �
266$7� ; �;
, Assign I
Must Be on Counci Agenda by (Date): � Number 'i
28-APR-10 �C ti\ �� j For ,
Routing
� Doa Type: RESOLUTION ' Order �
E-Document Required: Y
Docvment Cor�tacT. �ulie Kraus
Contact Phone: 266-8776
0
I
2
3
4
5
Total # of Signature Pages _(Clip All Locations for Signature)
Action Requested:
Approval of the attached resolution to take adverse acfion against all licenses held by The Liquor Vault, LLC d)bia The Liquor V ault
(License ID#20080002503) for the premises located at 521 7ackson Sheet in Saint Paul.
Recommendations: Approve (A) or Reject (R):
Planning Commission
CIB Committee
Civil Service Gommission
Personal Service Contrects Must Answer the Following Questions:
1. Has this person/firm ever worked under a contract for this department?
Yes No
2. Has this personlfirm ever been a city employee?
Yes No
3. Does this person/firm possess a skill not normally possessed by any
current city employee?
Yes No
Explain all yes answers on separale sheM and attach to green sheeY.
Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why):
Licensee sold individual bottles of beer and miniature bottles of liquor in his establishment in violation of license condition #1. After
notification, licensee did not respond to the Notice of Violation.
AdvanWgeslfApproved:
Discontinue the sale of individual bottles of beer and miniature bottles of liquor and imposition of $500.00 matrix penalty.
Disativantages li Approved:
DisadvanWges If Not Approved:
Totai Amount of
Transaction:
Funding Source:
Financial Information:
(Explain)
Cosf/Revenue Budgeted:
Activity Number:
April 16, 2010 10:06 AM Page 1
10-431
OFFICE OF THE CITY ATTORNEY
John J. Choi, CrtyAttomey
SAINT
PAUL
�
Al1AA
CITY OF SAINT PAUL
Cbnstopher 8. Coleman, Mayo�
Civil Division
400 City Hall
15 West Xellogg Hlvd.
Saint Paul, Minnesota 55702
Telephone; 651266-8770
Facsimile� 651 298-56 7 9
April 5, 2010
John Nguyen
The Liquor Vauit
523 Jackson Street
St. Paul, MN 55101
NOTICE OF VIOLATION
RE: All ]icenses held by The Liquor Vault, LLC d/b/a The Liquor Vault for the premises located at 523
Jackson Stteetin Saint Paul
License ID #20080002503
Dear Mr. Nguyen:
The Department of Safety and Inspections {DSI) has recommended adverse action against all licenses held
by The Liquor Vault, LLC d/b/a The Liquor Vault for the premises located at 523 Jackson Street in Saint Paul. The
basis for the recommendation is as follows:
On February 24, 2010, at appro�amately 5:00 p.m., a Saint Paul Police Sergeant came to your
establishment in response to a complaint that a downtown liquor store was selling individual
bottles of beer and small bottles of liquor (CN #10-038-571).
When the sergeant entered your store, he saw several shelves of bottled liquor and wine and
coolers along a wal] containing beer and other beverages. The sergeant noted there was a
display of miniature bottles of various liquors in a size you would normally see on commercial
flights. The sergeant purchased a 22 ounce bottle of a beer called "Magic Hat Not Quite Pale
Ale" and a 200 milliGter (smaller than a half-pint) bottle of "New Amsterdam" gin for
approximately $5.00. The beer was in the cooler but the sergeant had to ask the cashier for the
bottle of gin which was displayed behind the counter.
This is a violation of license condition #1 which states: °�This licensee shall not permit the sale of
the following: distilled spirits in containers of 50 milliliters or less (miniatures), distiZled spirits in
h¢If pint containers, fortifzed beers or wines or single service containers of malt liqunr (including
40 oZ. bottZes)."
Per Saint Paul Legislative Code §310.05 (m) (1), the licensing office will recommend a$500.00 matrix penalty
forthis violation.
AA-A7�A-F.Fl1 Fmnlnve.
10-431
The Liquor Vault
April 5, 2010
Page 2
At this time, you have three options on how to proceed:
You can pay the $500.00 matrix penalty. If this is your choice, you can send in the payment directly to the to
the Department of Safery and Inspections at 375 Jackson Street, Ste. 220, St. Paul, Minnesota 55101-1806 no
later than Thursday, Apri115, 2010. Information should be directed to the attenlion of Christine Rozek. A
self-addressed envelope is enclosed for your convenience. Payment of the matrix penalty will be considered a
waiver of the hearing to which you aze entitled.
2. If you wish to admit the facts but contest the penalty, you may have a public hearing before the Saint Paul City
Council, you will need to send me a letter with a statement admitting the facts and requesting a public hearing.
We will need to receive your letter by Thursday, Apri115, 2010. The marter will then be scheduled before the
City Council for a public hearing to determine whether to impose [he $500.00 matrix penalty. You will have
an opportunity to appear before the Council and make a statement on your own behalf.
3. If you dispute that the above facts constitute a violation of your license condition, you can request a hearing
before an Administrative Law Judge. At that hearing both you and the City will be able to appear and present
witnesses, evidence and cross-examine each other's wimesses. The St. Paul City Council will ulfimately decide
the case. IF this is your choice, please advise me no later than Thursday, April 15, 201Q and I will take the
necessary steps to schedule the administrative hearing.
If you have not contacted me by that date, I wili assume that you do not contest the imposition of the
$500.00 matrix penalty. In that case, the matter will be placed on the City Councii Consent Agenda for
approval of the recommended penalty.
If you have questions about these options, please feel free to contact me at 266-8710.
Sincerely, ,�
� �
� �,�c.u;� .� �, c.J� .�vw
V irginia D? Palmer
Assistant Ciry Attomey
cc: Christine Rozek, Deputy Ditector of DSI
John Nguyen, 2575 Queen Avenue South, Shakopee, MN 55379
Katie Sabaka, Exec. Director, CapitolRiver Council District 17, US Bank Center
101 East 5` Street, Ste. 24Q St. Pau1, MN 55101
n a_cne_ccn F..,a,..,e.
STATE OF MINNESOTP
� ss.
COUNTY OF RAMSEY }
10-431
AFFIDAVIT OF SEh JICE BY U.S. MAIL
Julie Kraus, being first duly swom, deposes and says that on the � day of
April, she served the attached NOTICE OF VIOLATION by placing a true and correct copy
thereof in an envelope addressed as follows:
John Nguyen
The Liquor Vault
523 Jackson Street
St. Paul, MIV 55101
John Nguyen
2575 Queen Avenue South
Shakopee, MN 55379
Katie Sabaka, Exec. Director
CapitolRiver Council District 17
US Bank Center
101 East 5` Street, Ste. 240
St Paul, MN 55101
(which is the last known address of said person) depositing the same, with postage prepaid, in the
United States mail at St. Paul, Minnesota.
��
3u ie Kraus
Subscribed and sworn to before me
this S'�- day of April, 2010
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No ary Public
1lITA 11. 808SI1RD
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10-431
Chapter 310. Uniform Licens� ocedures Page 1 of 3
(m) Presumptive pena/ties for certarn violations. The purpose of this section is to establish a
standard by which the city councii determines the amount of fines, ihe lengih of lice�se
suspensions and the propriety of revocations, and shall apply to all license types, except that in
the case of a violation involving a liquor license § 409.26 shall apply where a specific violation is
listed. In the case of an adverse action filed for a violation of chapter 331A, the ficensee shali be
given a fine for each individual violation of § 331A. The total fine amount for violations of § 331A
may exceed the maximum fine outlined below due to multiple violations in one (1) appearance.
All penalty recommendations for chapter 331A violations sha{I be based on the food penalty
guideline referred to in chapter 331A. These penalties are presumed to be appropriate for every
case; however the council may deviate therefrom in an individual case where the council finds
and determines that there exist substantial and compelling reasons making it more appropriate
to do so. When deviating from these standards, the council shall provide written reasons that
specify why the penalty selected was more appropriate.
TABLE INSET:
Appearance
Type of Violation 1st 2nd 3rd 4th
(1) Violations of conditions $500.00 fine $1,000.00 $Z,000.00 fine Revocation
placed on the license fine and 10-day
suspension
(2) Violation of provisions of $2,000.00 fine
the legislative code relating �500.00 fine $1,00�.�0 and 10-day Revocation
to the licensed activity fine sus ension
P
(3) Violation of provisions of
the legislative code relating $2,000.00 fine
to the licensed ectiv+ty, $500.00 fine $1,000.00 and 10-day Revocation
other than violations of the � suspension
food code
(4) Failure to permit 5-day 10-day 15-day Revocation
entrance or inspection by suspension suspension suspension
DSI inspector or police
(5) Commission of a crime
other than a felony on the $�00.00 $1,500.00 5-day Revocation
premises by a licensee or suspension
employee
(6) Commission of a felony
on the premises by a $2,000.00 Revocation n/a n(a
licensee or employee
(7) Death or great bodily 30-day 60-day
harm in establishment suspension suspension Revocation n/a
related to violation of law or
ficense conditions
(8) Failure to pay license Revocation
fees
(9) Critical violations under $1,0OO.OQ 5- Revocation
331A $250.00 $500.00 day
suspension
(10) Non-critical violation $150.00 $250.00 $500.00
under331A $1,000.00
(i) Fines payable without hearing ,
10-431
Chapter 310. Uniform Licens� ocedures
Page 2 of 3
A. Notwithstanding the provisio�s of section 310.05(c), a licensee who would be
making a first or second appearance before the council may eleci to pay the fine
to the Departme�t of Safety and Inspections without a council hearing, unless the
notice of violation has indicated that a hearing is required because of
circumstances which may warrant deviation from the presumptive fine amount.
Payment of the recommended fine will be considered to be a waiver of the
hearing to whicfi the licensee is entitled, and will be considered an "appearance"
for the purpose of determining presumptive penalties for subsequent violations.
B. For adverse action initiated under Chapter 331A of this Code, a fine may be
paid without a hearing regardless of how many prior appearances that Iicensee
has made before the Council. 7he above council hearing requirement applies to
violations under Ghapter 331A unless the fine recommended by the Department
of Safety and Inspections is equal to or less than the fine amount outlined in the
above matrix. Payment of the recommended fine will be considered to be a
waiver of the hearing to which the licensee is entit{ed, and wil{ be considered an
"appearance" for the purpose of determining presumptive penalties for
subsequent violations. A non-critical violation under chapter 331A shall not be
considered an "appearance" for purposes of determining presumptive penalties
for non-331A violations. A council hearing is required if the Department of Safety
and Inspections recommends a fine that is an upward departure for the amount
outlined above.
(ii) Multipie vioiations. At a ficensee's first appearance before the city council, the
council shall consider and act upon all the violations that have been alleged andlor
incorporated in the notices sent to the licensee under the administrative procedures act
up to and including the formal notice of hearing. The council in that case shall consider
the presumptive penalty for each such violation under the "1st Appearance" column in
paragraph (b) above. The occurrence of multiple violations shall be grounds for
departure from such penalties in the council's discretion.
(iii) Vio/ations occurring after the date of the notice of hearing. Violations occurring
after 1he date of the notice of hearing that are brought to the attention of the city attorney
prior to the hearing date before an administrative law judge (or before the council in an
uncontested facts hearing) may be added to the notice(s) by stipulation if the licensee
admits to the facts, and shall in that case be treated as though part of the "1st
Appearance." In all other cases, violations occurring after the date of the formal notice of
hearing shall be the subject of a separate proceeding and dealt with as a"2nd
Appearance" before the council. The same procedures shall apply to a second, third or
fourth appearance before the council.
(iv) Subsequent appearances. Upon a second, third or fourth appearance before the
council by a particular licensee, the council shall impose the presumptive penalty for the
violation or violations giving rise to the subsequent appearance without regard to the
particular violation or violations that were the subject of the fiirst or prior appearance.
However, non-critical violations of Chapter 331A shall not be counted as an
"appearance" before the Councii in relation to any violation other than another violation
of Chapter 331A.
(v) Computation of time.
(1) If a licensee appears before the council for any violation in paragraph (m)
where that violation has occurred within iwelve (12) calendar months after the
first appearance of the same licensee for a violation listed in paragraph (m)
above or section 409.26, the current appearance shall be treated as a second
appearance for the purpose of determining the presumptive penaity.
(2) If a iicensee has appeared befiore the councii on fivo (2) previous occasions
10-431
Chapter 310. Uniform Licensr ocedures Page 3 of 3
for violations fisted in paragraph {m} or section 409.26, and if said licensee again
appears before the council for a violation listed in paragraph (m), and if the
current violation occurs within eighteen (18) calendar months of the violation that
gave rise to the first appearance before the council, then the current appearance
shail be treated as a third appearance for the purpose of determining
presumptive penalty.
(3) If a licensee has appeared before the councii on three (3) previous
occasions each for violations listed in paragraph (m) or section 409.26, and if
said licensee again appears before the council for a violation contained in
paragraph (m), and if the current violation occurred within twenty-four (24)
calendar months of the violation that gave rise to the first appearance, then the
current appearance sha!{ be treated as a fourth appearance for the purpose of
determining the presumptive penalty.
(4) Any appearance not covered by subsections (1), (2) or (3) above shall be
treated as a first appearance. In case of multiple violations in any appearance,
the date to be used to measure whether twelve (12), eighteen (18), or twenty-four
(24) months have elapsed shall be the date of the violation last in time at the first
appearance, and the date of the viofation first in time at any subsequent
appearance.
(5) Notwithstanding subsections (iv)(1), (2), (3) or (4) above, a second
appearance before the council regarding a death or great bodily harm i� a
licensed establishment that is related to a violation of the law or license
conditions shall be counted as a second appearance, regardless of how much
time has passed since the first appearance if the first appearance was also
regarding a death or great bodily harm in a licensed establishment. A third
appearance for the same shal� be counted as a third appearance regardless of
how much time has passed since the first or second appearance.
(Code 1956, § 510.05; Ord. No. 17551, § 2, 4-19-88; Ord. No. 17559, §§ 1, 2, 5-17-88; Ord. No. 17659,
§ 1, 6-13-89; Ord. No. 17911, § 1, 3-10-92; C.F. No. 94-46, § 7, 2-2-94; C.F. No. 94-898, §§ 2, 3, 7-13-
94; C.F. No. 94-1340, § 2, 10-19-94; C.F. No. 95-473, § 4, 5-31-95; C.F. No. 05-180, § 1, 4-6-05; C.F.
No. 06-954, § 1, 11-8-06; C.�. No. 08-1072, § 1, 12-27-06; C.F. No. 07-149, § 73, 3-28-07; C.F. No. 07-
1053, § 1, 11-28-07; C.F. No. 08-1208, § 1, 12-17-OS)