HomeMy WebLinkAbout2019_0221 Liquor Open Session APPROVED COUNTY OF KAUAI
Minutes of Meeting
OPEN SESSION
Board/Commission LIQUOR CONTROL COMMISSION Meeting Date February 21, 2019
Location Mo‘ikeha Building, Liquor Control Conference Room 3 Start of Meeting: 4:01 p.m. End of Meeting: 5:03 p.m.
Present Chair Paul Endo; Vice-Chair Shirley Akita; Members: Jean Iida, William Gibson, Maryanne Kusaka, Gerald Matsunaga, Gary
Pacheco
Also: Liquor Control Staff: Director Gerald Rapozo, Private Secretary Cherisse Zaima; Deputy County Attorney Cameron Takamura
Excused
Absent
SUBJECT DISCUSSION ACTION
Call To Order Chair Endo called the meeting to order at 4:01
p.m. with 7 members present, constituting a
quorum.
Roll Call Director Rapozo called roll, noting 7 members were present.
Approval of
Agenda
Ms. Iida moved to approve the agenda. Mr.
Gibson seconded the motion. Motion carried
670.
Approval of
Minutes
APPROVAL OF MEETING MINUTES:
Open Session minutes of February 7, 2019
Chair Endo noted that on Page 5 of the minutes, Item 7. Off-Premise
Warehousing did not have the motion or vote recorded. Staff stated it will be
added to the minutes.
Ms. Iida moved to approve the Open Session
minutes of February 7, 2019 as corrected. Ms.
Kusaka seconded the motion. Motion carried
7:0.
1.
Public Hearing
PIETRO’S PIZZA & PASTA: Application No. 2019-061 was filed on
December 12, 2018 by Pietro’s Poipu, LLC dba Pietro’s Pizza & Pasta for a
New Restaurant General (Live entertainment, No dancing) license at 2360
Kiahuna Plantation Drive, Suite C40-90, Kōloa, Kauai, Hawaii. The
Commission accepted Application No. 2019-61 for publication and public
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Open Session
February 21, 2019 Page 2
hearing on December 21, 2019 and ordered to print notice of public hearing
in The Garden Island newspaper on Wednesdays, December 26 & January 2,
2019, scheduling the public hearing on February 21, 2019 at 4:00 p.m. or
shortly thereafter in Meeting Room #3 of the Līhu‘e Civic Center, Mo'ikeha
Building, 4444 Rice Street, Līhu‘e, Kauai, Hawaii.
Mr. Thomas Iannucci, owner, was present.
The Commission received public testimony from Mr. James Jasper II in
support of the application. Mr. Jasper stated the applicants are a hard-
working family, and Mr. Iannucci is a good business man. He would like the
commission to approve the application.
The Commission received public testimony from Chris Gampon, General
Manager for the Association of Beach House Owners at Kiahuna Plantation.
Mr. Gampon stated he is not in objection of the application; however, he
submitted a letter of general concern regarding any type of amplified music.
Mr. Gampon stated they have experience late night music that disrupts the
ambiance of the Poipu area, and specifically Kiahuna Plantation which is
located directly across the Poipu Shopping Village. Mr. Gampon has spoken
with Mr. Iannucci, and has no doubt he has good intentions, he just wanted
to ask the Commission to direct the applicant to curtail any live music to
10:00 p.m., which he feels is an acceptable time. Mr. Gampon noted he did
express that to Mr. Iannucci as well.
Mr. Iannucci stated he is in agreement with Mr. Gampon, and the association
owners he represents. He noted that he is not a late night establishment, and
is a family restaurant much like the pizzeria they opened in Līhu‘e. Mr.
Iannucci wants to ensure a good relationship with the neighbors, and is fine
with shutting down at 10:00 p.m. He noted they will have some acoustic
music, maybe some jazz, and pointed out that the lounge is set up with a wall
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Open Session
February 21, 2019 Page 3
behind the entertainers that faces away from the neighbors, and they will do
their part to work with the neighbors to ensure they do not disrupt them.
The public hearing on Application No. 2019-061 was closed.
Ms. Kusaka moved to approve Application No.
2019-061. Ms. Iida seconded the motion.
Motion carried 7:0.
2.
Violation
Hearings
a) ALOHA ISLAND MART (PUHI): Violation of HRS 281-31(s)
Licenses, classes.
Robert Fung, Secretary and General Counsel was present to represent the
licensee. The licensee agreed to waive the reading of the charges. The
licensee admitted to the charges.
Mr. Fung explained that it was a matter of human error, noting that the
certificates of insurance were valid at the time; however, they were not
posted by the manager. Mr. Fung provided the insurance document that
proves the licensee had current liquor liability insurance at the time of the
violation, which Director Rapozo viewed and verified.
Commissioner Gibson asked what the licensee is doing to ensure this does
not happen again. Mr. Fung explained that a meeting was called, and
safeguards and protocols were instituted.
Commissioner Matsunaga asked whether the licensee understands that under
HRS 281-31, the proof of insurance shall be kept on the premises, pointing
out that even if the policy was current, not having it on premise would be a
violation. Mr. Fung acknowledged his understanding, and noted that the
certificate of liability insurance was on premise, it was just not the current
one.
Commissioner Akita asked to clarify that the licensee had the certificate on
premise, but that it was not the current one to which Mr. Fung replied yes.
Commissioner Akita stated in that case, they really did not have the updated
insurance policy on premise to which Mr. Fung replied yes.
In response to Commissioner Akita, Director Rapozo stated the document he
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
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Open Session
February 21, 2019 Page 4
just viewed shows that the licensee was covered on the date of the violation.
Mr. Pacheco seconded the motion. Motion
carried 7:0.
b) ALOHA ISLAND MART (KAPAHI): Violation of HRS 281-31(s)
Licenses, classes.
Robert Fung, Secretary and General Counsel was present to represent the
licensee. The licensee agreed to waive the reading of the charges. The
licensee admitted to the charges.
Mr. Fung explained that it was a matter of human error, noting that the
certificates of insurance were valid at the time; however, they were not
posted by the manager. Mr. Fung provided the insurance document that
proves the licensee had current liquor liability insurance at the time of the
violation, which Director Rapozo viewed and verified.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Mr. Pacheco seconded the motion. Motion
carried 7:0.
c) ALOHA ISLAND MART (KAPAA): Violation of HRS 281-31(s)
Licenses, classes.
Robert Fung, Secretary and General Counsel was present to represent the
licensee. The licensee agreed to waive the reading of the charges. The
licensee admitted to the charges.
Mr. Fung explained that it was a matter of human error, noting that the
certificates of insurance were valid at the time; however, they were not
posted by the manager. Mr. Fung provided the insurance document that
proves the licensee had current liquor liability insurance at the time of the
violation, which Director Rapozo viewed and verified.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
d) KAUAI PASTA LIHUE: Violation of HRS 281-31(s) Licenses, classes.
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Open Session
February 21, 2019 Page 5
Barbara Perkins, General Manager, was present on behalf of the licensee; no
counsel. The licensee agreed to waive the reading of the charges. The
licensee admitted to the charges.
Ms. Perkins stated they were unable to find the certificate, noting the next
morning she contacted the insurance agent and had a copy of the certificate
faxed over for both restaurants. Ms. Perkins provided the insurance
document that proves the licensee had current liquor liability insurance at the
time of the violation, which Director Rapozo viewed and verified.
Commissioner Gibson asked what the licensee has done to ensure this does
not happen again. Ms. Perkins stated they have a filing system that has all
the proper forms in place at both locations.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Mr. Gibson seconded the motion. Motion
carried 7:0.
e) KAUAI PASTA WEST: Violation of HRS 281-31(s) Licenses, classes.
Barbara Perkins, General Manager, was present on behalf of the licensee; no
counsel. The licensee agreed to waive the reading of the charges. The
licensee admitted to the charges.
Ms. Perkins stated they were unable to find the certificate, noting the next
morning she contacted the insurance agent and had a copy of the certificate
faxed over for both restaurants. Ms. Perkins provided the insurance
document that proves the licensee had current liquor liability insurance at the
time of the violation, which Director Rapozo viewed and verified.
Commissioner Akita asked who is responsible for making sure the
documents are there to which Ms. Perkins replied that it would be the owner
or General Manager. She pointed out that she had only been working for the
company for about 3 weeks when the violations were issued.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0
f) LIHUE TEXACO: Violation of HRS 281-31(s) Licenses, classes.
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William Cummins, District Manager for Lahaina Petroleum, was present on
behalf of the licensee; no counsel. The licensee agreed to waive the reading
of the charges. The licensee admitted to the charges.
Mr. Cummins stated the insurance policy was expired in March of 2018.
When it was brought to his attention that the store did not have the current
policy, he went to check all of the stores, and obtained a copy of the current
policy. Mr. Cummins provided the insurance document that proves the
licensee had current liquor liability insurance at the time of the violation,
which Director Rapozo viewed and verified.
Mr. Cummins further stated that the policy was distributed to the managers
of each store, and apparently 2 of the 5 managers neglected to replace it.
That has since been corrected.
Commissioner Akita asked whether the managers are new to the stores to
which Mr. Cummins stated 2 of the 5 were new.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
g) KOLOA TOWN TEXACO: Violation of HRS 281-31(s) Licenses,
classes.
William Cummins, District Manager for Lahaina Petroleum, was present on
behalf of the licensee; no counsel. The licensee agreed to waive the reading
of the charges. The licensee admitted to the charges.
Mr. Cummins stated the insurance policy was expired in March of 2018.
When it was brought to his attention that the store did not have the current
policy, he went to check all of the stores, and obtained a copy of the current
policy. Mr. Cummins provided the insurance document that proves the
licensee had current liquor liability insurance at the time of the violation,
which Director Rapozo viewed and verified.
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February 21, 2019 Page 7
Mr. Cummins added that he is responsible for ensuring the proper documents
are available at the stores, and he does quarterly inspections of all the
documentation.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
h) LONGS DRUGS (LIHUE): Violation of HRS 281-31(s) Licenses,
classes.
Newton Chu, counsel for Longs Drug Stores California, LLC, was present
on behalf of the licensee. The licensee agreed to waive the reading of the
charges. The licensee admitted to the charges.
Mr. Chu explained that the insurance policies are emailed to the stores, and
the most recent policy was emailed mid-December; they are probably still in
the store’s email. Since the violation, a new policy has been implemented
statewide for all 50 of their stores which now instructs managers to print the
policies out immediately upon receiving them, and physically stapling it to
the Rules and Regulations book. Mr. Chu provided the insurance document
that proves the licensee had current liquor liability insurance at the time of
the violation, which Director Rapozo viewed and verified.
Commissioner Akita asked whether the managers at the stores are new to
which Mr. Chu stated the managers vary from store to store. His thinking is
that because everything is done electronically nowadays, people don’t
always print things out; however, the new policy has been put in place to
ensure a physical copy of the certificate is printed out and stapled to the
Rules and Regulations book.
Mr. Chu asked for clarification that after the 1-year period, the suspended
amount goes away to which Commissioner Matsunaga replied yes, provided
there is no conviction of a similar offense.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
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Open Session
February 21, 2019 Page 8
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
i) LONGS DRUGS #10474 (POIPU): Violation of HRS 281-31(s)
Licenses, classes.
Newton Chu, counsel for Longs Drug Stores California, LLC, was present
on behalf of the licensee. The licensee agreed to waive the reading of the
charges. The licensee admitted to the charges.
Mr. Chu explained that the insurance policies are emailed to the stores, and
the most recent policy was emailed mid-December; they are probably still in
the store’s email. Since the violation, a new policy has been implemented
statewide for all 50 of their stores which now instructs managers to print the
policies out immediately upon receiving them, and physically stapling it to
the Rules and Regulations book. Mr. Chu provided the insurance document
that proves the licensee had current liquor liability insurance at the time of
the violation, which Director Rapozo viewed and verified.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
j) ABC STORES #58: Violation of HRS 281-31(s) Licenses, classes
Lovella Romuldo, Property Manager, and Kevin Chung, District Manager,
were present on behalf of the licensee; no counsel. The licensee agreed to
waive the reading of the charges. The licensee admitted to the charges.
Ms. Romuldo explained that on the date of the inspection, they were
covered, but did not have their current certificate of insurance on premises.
Ms. Romuldo provided the insurance document that proves the licensee had
current liquor liability insurance at the time of the violation, which Director
Rapozo viewed and verified.
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Commissioner Akita asked who would ultimately be responsible for posting
the certificate to which Mr. Chung replied the store manager would be
ultimately responsible to post it, and it would be Mr. Chung’s responsibility
to remind them prior to the date it needs to be posted. In response to
Commissioner Matsunaga, Mr. Chung stated he did not remind his managers
this time, but he will make sure he will do so moving forward.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Mr. Pacheco seconded the motion. Motion
carried 7:0.
k) ABC STORE #59: Violation of HRS 281-31(s) Licenses, classes.
Lovella Romuldo, Property Manager, and Kevin Chung, District Manager,
were present on behalf of the licensee; no counsel. The licensee agreed to
waive the reading of the charges. The licensee admitted to the charges.
Ms. Romuldo explained that on the date of the inspection, they were
covered, but did not have their current certificate of insurance on premises.
Ms. Romuldo provided the insurance document that proves the licensee had
current liquor liability insurance at the time of the violation, which Director
Rapozo viewed and verified.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
l) ISLAND COUNTRY MARKETS: Violation of HRS 281-31(s)
Licenses, classes.
Lovella Romuldo, Property Manager, and Kevin Chung, District Manager,
were present on behalf of the licensee; no counsel. The licensee agreed to
waive the reading of the charges. The licensee admitted to the charges.
Ms. Romuldo explained that on the date of the inspection, they were
covered, but did not have their current certificate of insurance on premises.
Ms. Romuldo provided the insurance document that proves the licensee had
current liquor liability insurance at the time of the violation, which Director
Rapozo viewed and verified.
Mr. Matsunaga moved that a fine of $250 be
imposed with $100 suspended provided there is
no conviction of a similar offense within 1 year.
Ms. Iida seconded the motion. Motion carried
7:0.
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m) 7-ELEVEN STORES (LIHUE): Violation of HRS 281-31(s) Licenses,
classes.
n) 7-ELEVEN STORES (HANAMAULU): Violation of HRS 281-31(s)
Licenses, classes.
Director Rapozo noted that the department received a letter from the
licensee’s counsel requesting a continuance of the violation hearing to the
March 21, 2019 meeting as both parties are not able to attend the meeting
today.
Mr. Matsunaga moved to continue the Violation
Hearing to the March 21, 2019 meeting. Ms.
Akita seconded the motion. Motion carried 7:0.
3. DIRECTOR’S REPORTS:
a) INVESTIGATOR’S REPORTS:
b) INCOMING COMMUNICATIONS:
(1) From Arrowhead Promotion & Fulfillment Co.
(2) From Craft Brew Alliance
(3) Disturbance reports from Grand Hyatt Kauai, and Nāwiliwili Tavern
c) OUTGOING COMMUNICATIONS:
(1) To Arrowhead Promotion & Fulfillment Co.
(2) To Craft Brew Alliance
d) EMPLOYEES IN LICENSED PREMISES:
Managers and Assistant Managers – See Attachment “A”
e) ACTIONS OF THE DIRECTOR:
(1) FOODLAND PRINCEVILLE
(2) SAFEWAY LIHUE
(3) WEST KAUAI BUSINESS AND PROFESSIONALS
ASSOCIATION
f) INFORMATIONAL MATTERS:
Mr. Pacheco moved to approve Items 3(a)
through f. Mr. Matsunaga seconded the motion.
Motion carried 7:0.
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4. VIOLATION REPORTS:
a) BANGKOK HAPPY BOWL THAI BISTRO: Violation of HRS 281-
31(s) Licenses, classes.
b) BRENNECKE’S BEACH BROILER: Violation of HRS 281-31(s)
Licenses, classes.
c) ROB’S GOOD TIMES GRILL: Violation of HRS 281-31(s) Licenses,
classes.
d) TREES LOUNGE: Violation of HRS 281-31(s) Licenses, classes.
e) WALMART SUPERCENTER #2308: Violation of HRS 281-31(s)
Licenses, classes.
f) EATING HOUSE 1849 BY ROY YAMAGUCHI: Violation of HRS
281-31(s) Licenses, classes.
g) MERRIMAN’S KAUAI: Violation of HRS 281-31(s) Licenses, classes.
h) 9TH ISLAND BARS, INC.: Violation of HRS 281-31(s) Licenses,
classes.
i) OLYMPIC CAFÉ: Violation of HRS 281-31(s) Licenses, classes.
j) RUTH’S CHRIS STEAK HOUSE: Violation of HRS 281-31(s)
Licenses, classes.
k) TIMES SUPER MARKET: Violation of HRS 281-31(s) Licenses,
classes.
l) TORTILLA REPUBLIC KITCHEN & MARGARITA BAR: Violation
of HRS 281-31(s) Licenses, classes.
Ms. Akita moved to call licensees for Items 4(a)
through (l) for violation hearing. Mr. Pacheco
seconded the motion. Motion carried 7:0.
5. CHANGE IN CORPORATE OFFICERS:
a) MNS, LTD.: Promotion of Tracy Chiemi Ide to Vice President, and
Director.
Ms. Iida moved to accept the Change In
Corporate Officers. Mr. Matsunaga seconded
the motion. Motion carried 7:0.
b) ALOHA PETROLEUM, LTD.: Removal of Richard Michael Parry as
CEO, President, and Director; and Thomas Alan Grimes as Vice
President and Treasurer. Addition of Thomas Alan Grimes as President
and Director, Timothy Stephen Lum as Vice President and Treasurer,
and Brian Andrew Hand as Director.
Ms. Iida moved to accept the Change In
Corporate Officers. Mr. Matsunaga seconded
the motion. Motion carried 7:0.
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6. 90-DAY TRIAL PERIOD:
KAUAI BEER CO.: Pursuant to HRS Section 281-47, applicant requests a
one-time 90-day trial period for live entertainment and dancing.
Director Rapozo explained that the licensee’s current Brewpub class license
does not include live entertainment and dancing. However, the licensee will
be holding an event in which he will be having music and dancing, so he is
requesting the trial period for this event.
Ms. Kusaka moved to approve the 90-day trial
period. Mr. Gibson seconded the motion.
Motion carried 7:0.
7. LICENSE IN ABEYANCE:
BAMBOO: Request to hold Restaurant General License No. 2G-012 in
abeyance until such time that the license may be transferred.
Director Rapozo explained the licensee’s lease was terminated, and the
licensee’s intent is to find a new location. He is requesting that the
commission hold the license in abeyance until then. Director Rapozo further
explained that under HRS the licensee had 5 days to turn in his license after
the establishment closed down; the Department did not hear from the
licensee until very recently. Currently, the Commission has the option of
either approving the request to hold the license, or cancelling the license as
he did not follow the State law.
Director Rapozo stated that cancelling the license would allow a new
applicant to apply for that location; holding the license in abeyance would
allow for a transfer to another entity who wishes to use that location.
Director Rapozo reiterated that the licensee did not comply with State law,
noting the licensee shut down on October 31, 2018.
James Jasper II, landlord to the licensee, explained that his family took over
the license from the previous licensee, Victor Heresa, and was subsequently
transferred to the current licensee. However, there is language in the
licensee’s lease that states the license needs to be assigned back to Mr.
Mr. Matsunaga moved to deny the request to
hold the license in abeyance. Ms. Iida seconded
the motion. Motion carried 7:0.
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February 21, 2019 Page 13
Jasper’s family. Mr. Jasper asked the Commission to hold onto the license
so it can eventually be transferred back to his family.
Commissioner Akita asked counsel whether there is something in the
Statutes they must comply with, or can they just make a decision. Deputy
County Attorney Takamura suggested the commission go into executive
session if they wish to consult about their powers and duties under HRS 92.
Executive
Session
EXECUTIVE SESSION:
Pursuant to Hawai‘i Revised Statutes §§92-4 and 92-5 (a) (4) the purpose of
this executive session is to consult with the Commission’s legal counsel on
questions and issues pertaining to the Commission’s powers, duties,
privileges, immunities, and liabilities as they may relate to this item,
deliberate and take such action as appropriate.
Ms. Akita moved to enter into Executive
Session. Ms. Kusaka seconded the motion.
Motion carried 7:0.
Return to Open
Session
LICENSE IN ABEYANCE:
BAMBOO: Request to hold Restaurant General License No. 2G-012 in
abeyance until such time that the license may be transferred.
The meeting resumed in open session at 5:00
p.m.
Mr. Matsunaga moved to deny the request to
hold license in abeyance, pursuant to HRS 281-
41(j). Ms. Iida seconded the motion. Motion
carried 7:0.
Announcements Next Scheduled Meeting: Thursday, March 7, 2019 – 4:00 p.m., Mo’ikeha
Building, Meeting Room #3.
Adjournment Chair Endo adjourned the meeting at 5:03 p.m.
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February 21, 2019 Page 14
Submitted by: __________________________________ Reviewed and Approved by: _________________________________________
Cherisse Zaima, Private Secretary Paul Endo, Chair
( ) Approved as circulated.
( ) Approved with amendments. See minutes of ___________ meeting.