HomeMy WebLinkAbout2015_0903 Liquor APPROVEDCOUNTY OF KAUAI
Minutes of Meeting
Open Session
Board /Committee:
LIQUOR CONTROL COMMISSION
ACTION
Meeting Date
I September 3, 2015
Location
Mo`ikeha Building, Meeting Room #3
Start of Meeting: 4:00 p.m.
End of Meeting: 4:31 p.m.
Present
Chair Paul Endo, Vice Chair Josephine Sokei; Members: Members: Shirley Akita, Jean Iida, Gerald Matsunaga, Dane Oda, Pauline
Ventura
Also: Liquor Control Staff: Director Gerald Rapozo, Private Secretary Cherisse Zaima; Deputy County Attorney Nicholas Courson
Excused
Director Rapozo called roll, noting 7 members were present.
Absent
Director Rapozo noted the following addition to the agenda:
SUBJECT
DISCUSSION
ACTION
Call To Order
Chair Endo called the meeting to order at 4:00
p.m. with 7 members present, constituting a
quorum.
Roll Call
Director Rapozo called roll, noting 7 members were present.
Approval of the
Director Rapozo noted the following addition to the agenda:
Agenda
PROPOSED AMENDMENTS TO RULES AND REGULATIONS OF
THE LIQUOR CONTROL COMMISSION OF THE COUNTY OF
KAUAI:
RULE 1.1 DEFINITIONS: "Dancing" means "to move your body in a way
that goes with the rhythm and style of music that is being played."
Ms. Iida moved to approve the agenda as
amended. Ms. Ventura seconded the motion.
Motion carried 7:0.
Violation
POIPU BEACH ATHLETIC CLUB: Violation of Sec. 281- 31(c)(1)(B)
Hearing
Restaurant License,
Mr. Anthony Carll was present representing the licensee; no counsel,
charges admitted.
Kauai Liquor Control Commission
Open Session
September 3, 2015
Page 2
Mr. Carll explained that when he applied for the license, he was under the
impression that this license allowed for dancing. He notified the
Department of their first event, and asked for an investigator to come and
ensure they were adhering to all the rules. He noted again, that he thought
dancing was included under this restaurant license. Upon finding out they
were in violation, PBAC LLC filed a new application to include the dancing
condition. Mr. Carll stated they have an event that weekend, for which he
applied for a special license in order to allow dancing. Mr. Carll
apologized, stating he thought dancing was included.
Commissioner Matsunaga pointed out that the violation report states the
liquor investigator did give him a warning, and explained that dancing was
not permitted to which Mr. Carll affirmed, adding that he was confused at
that time, and asked if he needed to shut down the event. Mr. Carll stated
the investigator told him no, he did not need to shut it down, but if multiple
people start to dance, he will have to issue a violation. Mr. Carll then told
the investigator that he would accept the violation then, noting the
investigator was very polite and helpful. Mr. Carll stated he tried to make
an announcement about the dancing, but it was difficult to get the MC to do
so with all that was going on.
Commissioner Matsunaga asked to clarify that the liquor investigator did
inform the licensee to correct the situation by announcing and posting signs
that dancing was not permitted. Mr. Carll stated they did post signs, and
attempted to get an announcement out, but there was much going on; he
should have gone on stage to make the announcement himself.
Commissioner Lida pointed out that the violation report states the liquor
investigator told the licensee to cease all dancing completely; however, Mr.
Carll's version of the events sounds different. Mr. Carll explained that
children were already dancing, and that the investigator told him that as
soon as he sees adults start to dance, he would issue a violation. At that
Kauai Liquor Control Commission
Open Session
September 3, 2015
Page 3
point, several adults began to dance, and a violation was given. Ms. Iida
asked whether Mr. Carll attempted to put a stop to it right then and there to
which Mr. Carll stated there was no demand from the liquor investigator to
stop the dancing altogether; however, signs were posted, and they tried to
stop it, but due to the large amount of people, they were unable to do so.
Mr. Carll added that he truly thought that because they were allowed to have
live entertainment, dancing would be allowed as well. PBAC currently has
a new license in the works.
Commissioner Oda asked to clarify that the new license he is referencing is
to allow dancing on a permanent basis to which Mr. Carll replied yes,
explaining that they have applied for special licenses for any upcoming
events. He noted that on the day their new license application is to come
before the Commission, they have an event scheduled for that evening; he
has already applied for a special license for that event in case the application
does not go through.
Chair Endo closed the violation hearing.
Mr. Matsunaga moved that a fine of $2,000 be imposed. Ms. Iida seconded
the motion.
Commissioner Matsunaga explained his reason for imposing the maximum
fine of $2,000 is that this is the first violation that has come before him in
which the offense was committed knowingly and intentionally. The
licensee did not correct the situation though he was given the opportunity to
do so.
Commissioner Akita noted she realizes the licensee was in violation, but can
also empathize with the circumstances. She agrees that it sounds like the
licensee was caught in a dilemma and chose to go with the violation, which
was a conscious action. She acknowledged that the licensee violated the
Kauai Liquor Control Commission
Open Session
September 3, 2015
Pate 4
statutes, but feels $2,000 is excessive for a first violation.
Vice Chair Sokei stated she agreed with Commissioner Akita, and would
like to suggest a different fine.
Mr. Carll interjected to say that it was never stated to him to shut the project
down, and stop dancing completely; it was an agreement that he and the
liquor investigator came to. It was never stated that it needed to be shut
down.
Director Rapozo stated the investigators would not shut down any
operation, only the liquor commission has the power to suspend an
operation. The investigator can make recommendations, and it is up to the
licensee whether or not to accept the recommendation or not.
Commissioner Iida pointed out that the violation report states that signs
were NOT posted, which tells her that the licensee did not do what the
investigator recommended.
Ms. Akita moved that a fine of $1,000 be imposed with $500 suspended
provided there is no conviction of a similar violation within I -year. Ms.
Ventura seconded the motion.
Commissioner Matsunaga stated based on the facts and circumstances
where a violation was committed knowingly and intentionally, he feels that
would just be a slap on the wrist, again noting that this is the first violation
that has come before him where there was an intentional violation.
Mr. Carll interjected to state that he did not think it was intentional as he did
not do anything to lead the investigator to believe it was done intentionally
Mr. Matsunaga moved that a fine of $2,000 be
imposed. Ms. Iida seconded the motion. Motion
failed 4:3 (Nay: Akita, Oda, Sokei, Ventura;
Aye: Endo, Iida, Matsunaga)
Kauai Liquor Control Commission
Open Session
September 3, 2015
Pate 5
or knowingly. He stated he did everything is his power to rectify the
situation, noting he has applied for a new license to include live
entertainment and dancing, stating again that he was under the assumption
that a license for live entertainment included dancing, which it does on
Oahu where he holds two liquor licenses. He feels the outcome of the
discussion with the investigator was an agreement they both came to.
Commissioner Iida asked if the investigator who issued the violation could
come up and speak to which Deputy County Attorney Courson explained
Ms. Akita moved that a fine of $1,000 be imposed
the hearing has already been closed, and that even the comments being
with $500 suspended provided there is no
given by Mr. Carll should not be happening.
conviction of a similar violation within I -year.
Ms. Ventura seconded the motion. Motion failed
4:3 (Nay: Endo, Iida, Matsunaga, Oda; Aye:
Akita, Sokei, Ventura)
Mr. Oda moved that a fine of $2,000 be imposed
with $1,000 suspended provided there is no
conviction of a similar violation within 1 -year.
Mr. Matsunaga seconded the motion. Motion
carried 6:1 (Aye: Akita, Endo, Iida, Matsunaga,
Oda, Sokei; Nay: Ventura)
Minutes of the
Minutes of the Meeting of f August 20, 2015
Ms. Ventura moved to approve the minutes. Ms.
Meeting
Sokei seconded the motion. Motion carried 7:0.
1.
DIRECTOR'S REPORT:
a) INVESTIGATORS' REPORTS
b) INCOMING COMMUNICATIONS:
(1) From The Wine Group, Re: Blends With Friends 2015 sweepstakes,
flipflop Wines 2015 You Flippin' CANcun contest
(2) From Delicato Family Vineyards, Re: Gnarly Head Hat Contest
Kauai Liquor Control Commission
Open Session
September 3, 2015
Pate 6
(3) From Constellation Brands, Inc., Re: SVEDKA coupon offers
(4) From Avid Marketing Group, Re: Phusion Lokoween 2015
sweepstakes, and Dos Equis coupon offers
(5) From Arrowhead Promotions, Re: Oakheart Dominate to Tailgate
sweepstakes
(6) Disturbance Reports from Tiki Iniki, Rob's Good Times Grill, Port
Allen Sunset Grill & Bar, and Nawiliwili Tavern
c) OUTGOING COMMUNICATIONS:
(1) To The Wine Group, Re: Blends With Friends 2015 sweepstakes,
flipflop Wines 2015 You Flippin' CANcun contest
(2) To Delicato Family Vineyards, Re: Gnarly Head Hat Contest
(3) To Constellation Brands, Inc., Re: SVEDKA coupon offers
(4) To Avid Marketing Group, Re: Phusion Lokoween 2015
sweepstakes, and Dos Equis coupon offers
(5) To All Wholesale Licensees, Re: The Feral Pig Cancellation of
Liquor License, Birdie's Cafe Change of Firm Name to Paco 's
Tacos
d) EMPLOYEES IN LICENSED PREMISES:
Managers and Assistant Managers — See Attachment.
e) ACTIONS OF THE DIRECTOR:
(1) SAFEWAY SUPERMARKET (Li -hu`e)
(2) DESTINATION EVENTS HAWAII
(3) WALDRON NORTON LILLY INTERNATIONAL
(4) KAUAI MUSEUM
f) INFORMATIONAL MATTERS:
Mr. Matsunaga moved to receive Items I (a)
through (f). Ms. Iida seconded the motion.
Motion carried 7:0.
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Open Session
September 3, 2015
Pate 7
2.
VIOLATION REPORTS:
a) MEA INU BEER KIOSK: Violation of HRS 281- 31(f)(1) Class 5
Dispenser Licenses.
b) PORT ALLEN SUSNSET GRILL & BAR: Violation of Rule 7.13 Fight
and disturbance reports.
c) ISLAND PALM: Violation of Rule 4.7(a)(1) Gross liquor sales report,
percentage fee, and records.
d) LEMON GRASS GRILL & SEAFOOD: Violation of Rule 4.7(a)(1)
Gross liquor sales report, percentage fee, and records.
Ms. Iida moved to call the licensees for Violation
e) KAUAI SPORTS BAR & ASIAN CUISINE: Violation of Rule 4.7(d)
Hearing. Mr. Oda seconded the motion. Motion
Records and accounts.
carried 7:0.
3.
CHANGE IN CORPORATE OFFICERS:
YOUNG'S MARKET COMPANY, LLC: Removal of Paul Armon Vert
as President /CEO /Assistant Secretary, Dennis James Hamann as
Executive Vice President /CFO /Secretary, and Janet Underwood Smith
as Executive Vice President /Secretary /Director. Appointment of Rick
Gillis as President, Jason Wooler as Executive Vice President/General
Manager — California, John Erickson as Executive Vice
Ms. Akita moved to approve the change in
President /General Manager — Hawai`i, and Brian O'Neill as Executive
corporate officers. Ms. Iida seconded the motion.
Vice President /General Counsel /Assistant Secretary.
Motion carried 7:0.
4.
CHANGE OF LICENSEE NAME:
a) ASTON HOTELS & RESORTS, LLC (Aloha Beach Kauai Hotel):
Change of limited liability company name from "Aston Hotels &
Resorts, LLC" to "Aqua -Aston Hospitality, LLC" on Hotel License No.
12G -004.
Kauai Liquor Control Commission
Open Session
September 3, 2015
Page 8
b) ASTON HOTELS & RESORTS, LLC (Islander on the Beach): Change
of limited liability company name from "Aston Hotels & Resorts, LLC"
to "Aqua -Aston Hospitality, LLC" on Dispenser General License No.
5G-005.
c) KAI MANAGEMENT SERVICES, LLC (Kauai Beach Resort): Change
of Aqua Hospitality LLC's sole member name from "Hospitality
Partners, Inc." to "AHR Hospitality Partners, Inc. ", and change of Aqua
Hotels and Resorts, Inc.'s sole stockholder name from "Hospitality
Ms. Akita moved to approve the request for
Partners, Inc." to "AHR Hospitality Partners, Inc." on Hotel License No.
change of firm name. Ms. Iida seconded the
12G -003
motion. Motion carried 7:0.
5.
ALCOHOL PURCHASE PERMIT:
GLOBAL ALGAE INNOVATIONS: Request for permit to purchase
Ms. Iida moved to approve the request for
ethyl alcohol.
solicitor's permit. Ms. Akita seconded the
motion. Motion carried 7:0.
6.
PROPOSED AMENDMENTS TO RULES AND REGULATIONS OF
THE LIQUOR CONTROL COMMISSION OF THE COUNTY OF
KAUAI:
RULE 1.1 DEFINITIONS: "Dancing" means "to move your body in a
way that goes with the rhythm and style of music that is being played."
Ms. Akita moved to approve the rule amendments
for publication and public hearing. Ms. Ventura
seconded the motion. Motion carried 7:0.
Announcements
Next Scheduled Meeting: Thursday, September 17, 2015 — 4:00 pm,
Mo`ikeha Building, Meeting Room #3.
Adjournment
Chair Endo adjourned the meeting at 4:31 p.m.
Kauai Liquor Control Commission
Open Session
September 3, 2015
Submitted by:
Cherisse Zaima, Private Secretary
O Approved as is.
() Approved with amendments
See minutes of
Page 9
Reviewed and Approved by:
meeting.
Paul Endo, Chair