HomeMy WebLinkAbout2022_0824 Liquor Open Session-Minutes - APPROVED.pdf��JJAPPRIV
I ELD
COUNTY OF KAUAI � JJ
Minutes of Meeting
OPEN SESSION
Approved see minutes of 9/28/2022.
Board/Commission:
LIQUOR CONTROL COMMISSION
Meeting Date
August 24, 2022
Location
Pi'ikoi Building, Suite 300 4444 Rice Street, Lihue, HI 96766
Start of Meeting: 1:00 p.m.
End of Meeting: 2:27 p.m.
Present
Chair Dee Crowell, Vice Chair Leland Kahawai Members: Gerald Matsunaga, Randall Nishimura, Lorna Nishimitsu. Also: Liquor Control
Staff: Director Leo Sandoval -Reyes, Liquor Private Secretary: Malialani Kelekoma, Boards & Commission Administrator: Ellen Ching,
Deputy County Attorney: Charles Foster
Excused
Tess Shimabukuro
Absent
SUBJECT
DISCUSSION
ACTION
A.
CALL TO ORDER
Chair Crowell called meeting to
order @ 1:00 p.m.
B.
ROLL CALL
Director Leo Sandoval -Reyes called roll, Commissioner Shimabukuro is excused, noting 5
members were present constituting a quorum.
C.
ANNOUNCEMENTS:
Next Scheduled Meeting: Wednesday September 14th, 2022 — 1:00 p.m. or shortly
thereafter. Details on the meeting will be forthcoming.
D.
APPROVAL OF AGENDA
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
Motion:
Commissioner Nishimura requested to strike the approval of minutes from the agenda.
Ms. Nishimitsu moved to approve
the agenda as amended. Mr.
Matsunaga seconded the motion.
Motion carried 5:0.
Liquor Control Commission
Open Session
August 24, 2022 Page 2
SUBJECT
DISCUSSION
ACTION
E.
CONSENT AGENDA:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
1. APPROVAL OP MINUTES-
2. DIRECTORS REPORT: August 3, 2022 - August 18, 2022
3. EMPLOYEES IN LICENSED PREMISES:
Managers and Assistant Managers Red/Blue Card exam list - See Attachment "A"
4. ACTIONS OF THE DIRECTOR:
a. REQUEST FOR FREE -ONE DAY SPECIAL LICENSE:
1. KAUAI MUSEUM ASSOCIATION LIMITED dba KAUAI MUSEUM
ASSOCIATION LIMITED: Approval of Application No. 2023-05 filed on
August 11, 2022. Event to be held on September 15, 2022, at the Kauai
Museum located at 4428 Rice Street, Lihue, Kauai, Hawaii.
2. HAWAII HOTEL INDUSTRY FOUNDATION dba HAWAII HOTEL INDUSTRY
FOUNDATION: Approval of Application No. 2023-04 filed on August 10,
2022. Event to be held on August 20, 2022, at Vidinha Stadium, Hoolako
Street, Kauai, Hawaii.
3. NATIONAL TROPICAL BOTANICAL GARDEN dba NATIONAL TROPICAL
BOTANICAL GARDEN: Approval of Application No. 2023-06 filed on July
Liquor Control Commission
Open Session
August 24, 2022 Page 3
SUBJECT
DISCUSSION
ACTION
20, 2022. Event to be held on August 20, 2022, at 4425 Lawai Road,
Koloa, Kauai, Hawaii.
b. APPLICATION FOR PRODUCT TASKING PERMIT:
1. Safeway, Inc. dba Safeway Store #2894 (4G-011): Approval of product
tasting permit to be conducted at 4454 Nuhou Street, Lihue, Kauai,
Hawaii on August 19th, 2022 and August 261h, 2022.
c. REQUEST FOR OFF -PREMISE WAREHOUSING:
1. DHC FOOD & BEVERAGE CORP. dba THE MARKET: Request for off -
premise warehousing, per diagram submitted, located within the
Sheraton Kauai Resort
5. REQUEST FOR APPROVAL OF PERMANENT REDUCTION OF PREMISES:
a. DHC FOOD & BEVERAGE CORP. dba SHERATON KAUAI COCONUT BEACH
RESORT: Request for permanent reduction within the licensed premise in
the basement of the hotel, per diagram submitted.
6. AUTHORIZED AGENT NOTIFICATION:
a. MPK Management-IP2, LLC, dba The Beach House (2G-045):
Authorization for Laura Blaho, Controller; Sara Hill, CEO and Erica Dunn,
General Manager, to act as authorized agents for MPK Management- IP2,
LLC. dba The Beach House.
b. Kawailoa Development LLP. dba Poipu Bay Clubhouse (5G-028):
Liquor Control Commission
Open Session
August 24, 2022 Page 4
SUBJECT
DISCUSSION
ACTION
Authorization for Russell S. Kato, Attorney; Jennifer Chin, Attorney; Jill
Nakagawa, Legal Assistant and Tanya David, Attorney to act as
authorized agents for Kawailoa Development LLP dba Poipu Bay
Clubhouse.
7. CHANGE IN OFFICERS/ DIRECTORS/MEMBERS:
a. AOAO of Hanalei Bay Resort dba AOAO of Hanalei Bay Resort (4BW-002)
& The Pool Bar (5G-003): reports the deletion of Deborah Fraga-Decker
as Secretary; Joan Bettencourt as Director and the addition of Gene Stout
and Andy Muxlow as Directors.
b. Light House Bistro LLC. dba The Bistro Kilauea (2G-008): reports the
addition of John Gordon as a member.
c. The Kalama Beach Corporation dba Kilauea Market+Cafe (2G-088),
Kilauea+Cafe (4G-059) and Ishihara Market (4G-024): reports the
deletion of Keoni Matthew Sun Tim Chang as Vice President, and the
addition of Stacy Marie Kupio Waiau-Omori as Senior Vice President.
Motion:
d. The Food Pantry, LTD. dba Whalers General Store (4G-066), Whalers
Mr. Nishimura moved to approve
General Store (4G-064), Accents (4G-005), Accents(4G-004) and Lamonts
the Consent Agenda. Mr. Kahawai
Gifts & Sundry(4G-056): reports the addition of Stacy Marie Kuuipo
seconded the motion. Motion
Waiau-Omori, and Jamie Kiyomi Tokunaga-Magno both as Senior Vice
carried 5:0.
President.
Liquor Control Commission
Open Session
August 24, 2022 Page 5
SUBJECT
DISCUSSION
ACTION
F.
PUBLIC TESTIMONY ON ALL AGENDA ITEMS:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this item at this time.
G.
ADOPTION OF DECISION AND ORDER:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
Motion #1:
1. TRU PROTECTION, INC. dba Japanese Grandma's Cafe (2G-098)
Mr. Nishimura moved to approve
Summary: Under the findings of fact the opening paragraph of the entire document
the Adoption of Decision and Order
references the failure of the sole officer to make an appearance, there should be a
Protection,
I , for Tru Protection
Inc. dba
finding of fact that the sole officer did not appear and that a default was therefore
Japanese Gra Cafe License #
taken. In addition to that I would suggest that contact also was called, licensee was not
Japanese. Ms. Nishimitsu seconded
present, placed at the end of the calendar and recalled. Called three times and there
the motion.
was no response, and a default judgement was placed against her.
Motion #2:
Commissioner Nishimura withdrew his motion and Commissioner Nishimitsu withdrew
hersecond.
Mr. Nishimura moved to defer
action on the Adoption of Decision
and Order for Tru Protection Inc.
dba Japanese Grandma. Ms.
Nishimitsu seconded the motion.
Motion carried 5:0.
Liquor Control Commission
Open Session
August 24, 2022 Page 6
SUBJECT
DISCUSSION
ACTION
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
Motion #3:
2. VIVA KAI, LLC. dba Kai Bar Coffee Roasters (2G-029)
Mr. Nishimura moved to Adopt
Summary: Concerns about the finding of facts should also reflect that the licensee was
Decision and Order for Viva Kai,
present, waived reading of the charge and admitted to the offense.
LLC. dba Kai Bar Coffee Roasters
License (2G-029). Ms. Nishimitsu
seconded the motion.
Commissioner Nishimura withdrew his motion and Commissioner Nishimitsu withdrew
her second.
Motion #4
Mr. Nishimura moved to defer this
item and refer back to staff or
Attorney's Office for amendments
and brought back to the
Commission for further action. Ms.
Nishimitsu seconded the motion.
Motion carried 5:0.
H.
PUBLIC HEARINGS:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
1. AG AVALON, LLC. dba AVALON GASTROPUB: Application No. 2022-074 was filed
on June 7, 2022, by AG AVALON, LLC. dba AVALON GASTROPUB for a New
Restaurant General (B) with Live Entertainment and Dancing located at 2555 Ala
Namahana Parkway Bldg. J1, Kilauea, Kauai, Hawaii.
Liquor Control Commission
Open Session
August 24, 2022 Page 7
SUBJECT
DISCUSSION
ACTION
2. AG AVALON, LLC. dba AVALON WHISKEY SHOP: Application No. 2022-075 was
filed on June 7, 2022, by AG AVALON, LLC. dba AVALON WHISKEY SHOP for a
New Retail Dealer General license located at 2555 Ala Namahana Parkway Bldg.
J1, Kilauea, Kauai, Hawaii.
Mr. Gabriel Avalon, Member/Owner was present to represent AG Avalon, LLC. dba
Avalon Gastropub and Avalon Whiskey Shop. He received the investigators report and
had no comments.
Commissioner Nishimura asked Mr. Avalon you want to serve or dispense retail in the
restaurant while it is closed. Serve as a restaurant when the restaurant is open is that
correct?
Mr. Avalon replied we will run both there will be a wall separating the restaurant from
the retail. Food will be going both ways for lunchtime, and they are separate entities
and have a separate entrance.
Commissioner Nishimura asked the Director Sandoval -Reyes under the retail license
Motion #1:
people can take drinks out of the facility; how would you distinguish between where
that drink came from.
Mr. Nishimura moved to hear both
applications for AG Avalon, LLC.
Mr. Avalon commented the retail side we do a lot of barrel picks, where we buy.
dba Avalon Gastropub Application
No. 2022-074 and AG Avalon, LLC.
Mr. Foster advised for procedural you can't do them together, there should be a motion
dba Avalon Whiskey Shop
to hear them together and then you can freely discuss both applications.
Application No. 2022-075 hear
them together and handle actions
separately. Mr. Matsunaga
seconded the motion. Motion
carried 5:0.
Liquor Control Commission
Open Session
August 24, 2022 Page 8
SUBJECT
DISCUSSION
ACTION
Mr. Avalon replied, the retail side will be a defined space, when we have customers
come in, they will be getting their to go food or any of our single barrel whiskeys or beer
by the bottle they will be leaving. There will be no on -premises consumption for any of
that. When you come in through the market, there will be a door leading to the
restaurant for any of the on -premises. If you were to buy our single barrels or bottles of
booze, you have the option of bringing it to your car before you come in or we have a
check stand for anything that was purchased in the market that we will hold them while
they are dining. They will have two options, purchased before dining from the market to
the restaurant.
Chair Crowell asked will you be operating separately and the same hours?
Mr. Avalon commented it depends on staff; on the retail side we plan to keep that open
from 10:00 a.m. till 4:00 p.m. Get that lunch rush and have our retail it's kind of like a
niche spirit. So, it will be rare, allocated whiskeys and our single barrels. We are not
looking to sell any kind of commodity spirits. Nothing that you could just go to the
grocery store and get. It's more of a specialty shop.
Commissioner Nishimura asked Mrs. Kelekoma to bring up page 77 of 132, it has the
floor plan. Where is that wall going to be?
Mr. Avalon replied to the red line on top of the screen that will be a solid wall. Where it
says door that's going to be the access to the restaurant. There is another door if you go
all the way to the bottom of the screen it goes to the patio.
Commissioner Nishimitsu asked any customer wanting to eat at your restaurant has to
come in through the retail section.
Liquor Control Commission
Open Session
August 24, 2022 Page 9
SUBJECT
DISCUSSION
ACTION
Mr. Avalon replied through the retail section or the red line at the bottom right of the
screen there will also be an access right there. Where it says TLT 1 right in the red line,
that's the walkway to the patio.
Commissioner Nishimitsu asked, staff for the retail section and staff for the restaurant
section are going to be totally separate staff.
Mr. Avalon responded, correct.
Commissioner Nishimitsu asked so, there won't be any overlap and confusion.
Mr. Avalon replied no overlap from the market floor staff or the restaurant floor staff.
The kitchen will be receiving orders from both sides.
Chair Crowell asked are there any questions and asked where are you going to have the
live music?
Mr. Avalon replied either or we have live music for four years and we had live music
one time, it's not something we intend to exercise all the time. It's more for special
events, tasting menu's or when we do a private event. It wouldn't be necessarily a band
more like a duo or trio. If we are contracted for a reception, we want to be able to and
not waste your time with applying for a license. We figured we get that all out of the
way right here. We have the whole lanai space, or we would be able to clear the lower
portion of the dining room from the bar on. We would be able to clear that space for
indoor music or the lanai for outside.
Commissioner Nishimitsu asked where would the dance floor be?
Liquor Control Commission
Open Session
August 24, 2022 Page 10
SUBJECT
DISCUSSION
ACTION
Mr. Avalon replied either the left section of the lanai or if it was inside, the lower
portion of the restaurant. It's not something we intend to use all the time.
Commissioner Nishimitsu asked Director Sandoval -Reyes as to whether a floating dance
floor location is allowable under the rules.
Director Sandoval -Reyes responded there is supposed to be a designated space and a
particular size, and it shouldn't be moving around there should be a designated spot for
it.
Mr. Avalon replied I don't recall the square footage its supposed to be. I know it's
supposed to be a square space when dancing is happening.
Director Sandoval -Reyes replied, it should be at least 150 square feet.
Mr. Avalon asked if he could have two designated spaces.
Director Sandoval -Reyes replied it is up to you.
Mr. Avalon responded I would do two designated spaces, the carpet lanai on the left
side and the lower portion of the restaurant.
Chair Crowell asked Director Sandoval 150 square feet for each space or total.
Director Sandoval -Reyes replied, no.
Vice Chair Kahawai asked for the outside covered lanai are there going to be actual
barriers?
Liquor Control Commission
Open Session
August 24, 2022 Page 11
SUBJECT
DISCUSSION
ACTION
Mr. Avalon replied yes, they will be an actual railing and we are still building, and there
Motion #2
will be a roof over that.
Mr. Nishimura moved to close the
Commissioner Nishimura asked Director Sandoval -Reyes since this is still under
Public Hearing for AG Avalon, LLC.
construction how long do they have to exercise their license.
dba Avalon Gastropub Application
No. 2022-074 and AG Avalon, LLC.
Director Sandoval -Reyes replied they have 180 days.
dba Avalon Whiskey Shop
Application No. 2022-075. Mr.
Commissioner Nishimura advised you can come in for an extension you will need to get
Matsunaga seconded the motion.
that done and get a certificate of occupancy.
Motion carried 5:0.
Commissioner Nishimitsu asked will the department require a revised floor plan
Motion #3
showing the two proposed dance floor areas so we can be comfortable to what's
submitted.
Mr. Matsunaga moved that
Application No. 2022-074 and
Director Sandoval -Reyes replied they are going to have their final inspection and it's
Application No. 2022-075 be
going to have to compare to what was approved by the Commission. What he put's on
approved. Mr. Nishimura added
there then we will go back to make sure it's going to be there.
two conditions: First as
represented by the applicant that a
Chair Crowell opened the Public Hearing there was no one that was for or against the
physical barrier be constructed to
application. Hearing none Chair called for a motion.
separate the retail and restaurant
operations. Second applicant work
with the department to establish a
clear dancing area(s) as part of
their issuance of the license. Mr.
Kahawai seconded the motion.
Motion passed 5:0.
Liquor Control Commission
Open Session
August 24, 2022 Page 12
SUBJECT
DISCUSSION
ACTION
2. VAN WESCOMP HAWAII INC., dba VAN WESCOMP HAWAII, INC.: Application No.
2022-073 was filed May 26, 2022, by Van Wescomp Hawaii Inc. dba Van
Wescomp Hawaii Inc. for a new Retail Dealer General license located within the
Koa Kea Hotel at 2251 Poipu Road, Koloa, Kauai, Hawaii.
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
Mr. Robert Ueoka, Counsel and Sharolyn Kawakami, General Manager was present to
represent Van Wescomp Hawaii. There were no changes to the Investigator's Report.
This is a Retail Dealer General application for a resort sundry located in the Koa Kea
Resort. We are open and currently not selling alcohol at this time, and it's located just
to the left of the front desk area.
Chair Crowell asked are there any questions.
Commissioner Nishimura asked why the customers are bringing it up to the front desk.
Mr. Ueoka replied we don't have the facilities right now in the retail store. That is why
we are including the front desk with the premises for the retail to allow that. Thank you,
to the department was very nice, to allow us to accommodate that. Originally, we did
submit just the retail store however that is the only place that has a register.
Chair Crowell asked is that a bar and restaurant to the left.
Mr. Ueoka replied yes, it is a restaurant not a bar called Red Salt.
Chair Crowell asked how do you separate? If they buy something from the store, can
they drink it out here.
Liquor Control Commission
Open Session
August 24, 2022 Page 13
SUBJECT
DISCUSSION
ACTION
Mr. Ueoka explained once they take it out of the premises they are supposed to
consume off -premises, the intent of the retail is to take it outside of the premises. Our
intent is to not have the consumers consume there. It is a complete restaurant area
that's reserved for the restaurant for on -premises consumption.
Commissioner Nishimitsu asked do you have no control over that restaurant?
Mr. Ueoka replied we operate it as well.
Commissioner Nishimitsu asked would you allow customers who purchased a bottle of
liquor to go into the restaurant?
Mr. Ueoka replied we can do it by choice, and we would rather not have it, but we want
them to buy in the restaurant. So, I mean "no" something that we would highly
discourage. People are trying to save money we want to present the best.
Chair Crowell asked how would you enforce?
Mr. Ueoka responded we have employees that will monitor, the retail container is going
to be different from what they are going to be served in, a glass at the restaurant. We
would tell them very nicely that we have to follow the liquor laws and we have a policy
as well. We are going to monitor it and make sure it doesn't happen.
Commissioner Matsunaga replied so, they won't be able to buy a bottle of wine and
drink it in the restaurant.
Mr. Ueoka replied that is something that we don't want to encourage or allow. We
want them to buy in the restaurant and put our best foot forward. The restaurant is one
our flagships that we are very proud of.
Liquor Control Commission
Open Session
August 24, 2022 Page 14
SUBJECT
DISCUSSION
ACTION
Commissioner Nishimura asked do you feel that this might be an enforcement issue.
Director Sandoval -Reyes replied it is going to be their responsibility to maintain the
control of alcohol if they come out. The ball is in their court on being able to enforce the
rule.
Commissioner Nishimura commented personally I do not want to set them up for
failure, I don't want to approve something that they will get in trouble.
Mr. Ueoka replied we are willing to take that responsibility and to monitor it and it's our
responsibility to follow liquor laws.
Commissioner Nishimitsu commented I would imagine the wait staff that tips depend
on how much they sell. They might not be happy with somebody pulling a little bottle
out of their purse pouring into a glass.
Mr. Ueoka replied we really don't think that's a problem, the reason why we opened
the retail store is when people go off property they always ask where can we buy
alcohol to take out. You can't do it from the restaurant. That is why we wanted a retail
store. It took us some time to do it as there were so many questions and requests from
the customers and guests. We are trying to accommodate the customers; the whole
intent is to take it off property.
Commissioner Matsunaga asked is there a sign now.
Mr. Ueoka replied absolutely.
Commissioner Matsunaga indicated that the purchase of alcohol cannot be consumed
at the restaurant.
Liquor Control Commission
Open Session
August 24, 2022 Page 15
SUBJECT
DISCUSSION
ACTION
Mr. Ueoka replied absolutely on the boundary of the retail store where we can put signs
Motion #1
and to notify the guests and customers. We are happy to do that and that's what we
have done with other clients in other jurisdictions and has worked well.
Ms. Nishimitsu moved to close the
Public Hearing. Mr. Nishimura
Vice Chair Kahawai asked do you allow a corkage fee at the restaurant
seconded the motion. Motion
carried 5:0.
Mr. Ueoka replied I don't know if that ever came up it is not something that comes up
with most of our people being tourist. They are not bringing their stash from home. It
hasn't been an issue.
Motion #2
Mr. Matsunaga moved that
Chair Crowell opened the public hearing and asked if there was anyone who would like
Application 2022-073 be approved.
to speak for or against this application. Hearing none, called for a motion to close the
Ms. Nishimitsu seconded the
public hearing.
motion. Motion carried 5:0.
I.
PRELIMINARY HEARING (NEW LICENSE):
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
Motion:
1. DRIFT KAUAI, LLC. dba DRIFT KAUAI: Application No. 2023-007 was filed on July
261 2022, by Drift Kauai, LLC. dba Drift Kauai for a new Restaurant General (A) No
Mr. Kahawai moved to approve
Live Entertainment and No Dancing license to be located at 3540 Koloa Road
Application No. 2023-007 Drift
(Food Truck Space #5), Kalaheo Kauai, Hawaii.
Kauai, LLC dba Drift Kauai for
Publication and Public Hearing. Mr.
Nishimura seconded the motion.
Motion carried 5:0.
Liquor Control Commission
Open Session
August 24, 2022 Page 16
SUBJECT
DISCUSSION
ACTION
J.
ACTION REQUESTED ON SCHEDULED CONTESTED HEARING:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
1. BAMF, LLC. dba BATTERS UP: located at 1639 Haleukana St. Unit 1&2, Lihue,
Kauai, Hawaii, Violation of Rule 7.8, Manager on Duty.
Director Sandoval -Reyes requested that the licensee in a previous decision was
scheduled to a Contested Hearing Case. After discussion with him that was not exactly
what he wanted to, he wanted to discuss the circumstances behind why the violation
took place. He would like to have it re -considered as a regular adjudication hearing for
another day if possible.
Mr. Foster commented the process is very easy there are two options. By a majority
vote you can rescind the action and that would take the contested case off the
calendar. Or there can be a motion to amend something previously adopted. It could
stay on the calendar as a non -contested matter and have a non -contested hearing on
the same day. So, if someone made a motion to amend the prior action to remove the
Contested Case and have it be a non -contested case hearing.
Commissioner Nishimitsu asked would we need to do that if the applicant compares it
to a criminal proceeding and decides he wants to plead guilty, but guilty with an
explanation or admit with an explanation.
Mr. Foster replied my understanding is the department discussed with me what his
intent was here, what was he denying. He was not denying the facts at all. Rather he
wanted to present mitigating circumstances that were not exercising their license yet.
They aren't selling and wanted to explain that. I think that normally this body considers,
Liquor Control Commission
Open Session
August 24, 2022 Page 17
SUBJECT
DISCUSSION
ACTION
we will ask the licensee for an explanation of what happened and can consider those
circumstances in your decision as to the fine or how much and determine whether to
fine or not. In consultation with our office and the Director you may go before the body
and turn this into a non -hearing. It's not fact, here he is admitting to the facts is my
understanding.
Commissioner Nishimitsu asked why, can't we proceed with the contested case hearing
and listen to his explanation. Whether or not he admits to the allegations or not,
instead of going through this whole motion about change it from a contested case
hearing to a regular hearing.
Mr. Foster explained that in the contested case the county attorney would send
another attorney down to represent this department. I would be Counsel the way I am
normally, and our department would send down another attorney to prosecute the
case. It's more procedurally complicated. This would be easier then holding it as a
contested case hearing.
Commissioner Matsunaga asked if this was a first appearance or second. I have the
same thoughts with Commissioner Nishimitsu person appears, even it is a contested
change of plea. I have admitted to the charge and have some ligating circumstance that
the Commission to consider.
Commissioner Nishimitsu commented I need to have Mr. Christiansen up here again. I
heard at the beginning, that we would change the nature of the preceding and he
would have to come back again, which means he would be before us three times.
Mr. Foster explained he will come back, this is not the contested case hearing, correct.
That's yet to be determined he will be coming back for either case whether its
contested or non -contested case hearing.
Liquor Control Commission
Open Session
August 24, 2022 Page 18
SUBJECT
DISCUSSION
ACTION
Commissioner Matsunaga asked if he was here and if we could dispose of this today?
Commissioner Nishimitsu replied if he withdraws his request for a contested case
hearing and states that on the record and says he admits that it occurred but let me
give you my explanation and we act today, so he doesn't have to come back another
day.
Mr. Foster stated we have it down as actually requested on schedule a contested
hearing he is here.
Commissioner Matsunaga commented he is here; he can say I changed my mind I am
not contesting the charge.
Motion #1
Mr. Foster said we can do it that way, right now it is on the agenda as action requested
on scheduled contested case hearing and you would do the motion to rescind and hear
Mr. Nishimura moved to rescind
it now as a non -contested hearing.
the contested case hearing as
requested by the licensee and that
Trevor Christensen was present to represent BAMF LLC, dba Batter's Up.
we hear his explanations as to the
charges on his violation. Ms.
Chair Crowell asked if was represented by counsel and asked him to tell the truth, the
Nishimitsu seconded the motion.
whole truth and nothing but the truth. Do you admit to the charge? Please explain what
Motion carried 5:0.
happened.
Mr. Christensen replied no not represented by counsel. Yes, I have a copy of the charges
and admit to the charge. I was under the impression that the blue card was pertaining
to sell alcohol. We were not quite open yet as I did not want to fall behind as being a
restaurant that 30% of my sales has to be through as the restaurant part had not been
open yet. We did obtain the liquor license without acquiring alcohol on the premise
whatsoever, and the batting cages side was still open. So, we had an employee there
Liquor Control Commission
Open Session
August 24, 2022 Page 19
SUBJECT
DISCUSSION
ACTION
working running the batting cages and at the time we filed for a gaming permit as we
Motion #2
were acquiring our permit from the Department of Health. One of the officers came to
drop off the permit asked employee Sam, if he has his blue card. He has not obtained
one and issued a citation. Again, I take full responsibility of not reading the section of
Mr. Nishimura moved as
the license and I have no problem in admitting that part is my fault. That when you
acknowledged by the licensee that
acquire the license, you have to have a member, a manager on duty with the blue card.
he was in violation that we levy a
I, again take responsibility for that. I should have had one, but I was under the
fine of $500.00 and we will
impression it was to sell the alcohol and we were not quite open on restaurant part.
suspend $500.00 given that he had
Health Department issues as well
Commissioner Nishimitsu asked you're understanding was that the license was
as not having any liquor either in
triggered upon alcohol sales.
inventory or in sales. Provided that
he doesn't have another incident
Mr. Christensen replied yes correct.
like this in the next twelve months.
Ms. Nishimitsu seconded the
Commissioner Nishimitsu responded although the license is actually triggered upon
motion. Motion passed.
issuance. Now I have a question about whether you were selling food from the
premises or not yet.
Roll Call Vote:
Mr. Christensen replied we are now, we have copies of when we got our license, which
is on August 8t". Also have when we obtain liquor from Odom Corporation to start
Mr. Matsunaga - Nay
selling. We got our first order from them as the distributor for alcohol which is July
Ms. Nishimitsu - Aye
13th. We were right there starting to open the restaurant but not quite open.
Mr. Nishimura - Aye
Mr. Kahawai - Nay
Commissioner Nishimitsu asked the day the violation was noted that there were no
Mr. Crowell - Aye
food sales occurring either.
Mr. Christensen replied no food.
Commissioner Nishimitsu asked do you have blue and red card employees now?
Liquor Control Commission
Open Session
August 24, 2022 Page 20
SUBJECT
DISCUSSION
ACTION
Mr. Christensen replied yes, we do, and we have a calendar schedule for all managers
Motion #3
on duty with their blue cards every single day, included are the food handlers.
Mr. Matsunaga moved that a fine
Director Sandoval -Reyes asked Mr. Christensen did you also have an issue with the
of $500.00 be imposed of which
Department of Health that was holding something up.
$500.00 to be suspended provided
that no violations occur within a
Mr. Christensen replied they held up our licenses a little bit, there was a
period of one year from date of
miscommunication, obviously with Roger. I put in with the health department the same
this order. Mr. Nishimura seconded
time I put in for our liquor license. In an email he stated all my paperwork was great I
the motion. Motion passed 5:0.
didn't need a sink behind the bar at the time. So, we were right in line with the liquor
department to have both permits at the same time. When I was ready for him, he came
in and asked for my sink behind the bars and showed him an email and he said no. You
Roll Call Vote:
have to have a sink, so I did stop in March, and we had to replumb, reconnect
Mr. Matsunaga - Aye
everything. That is why I did take a few extra months to obtain the actual health
Ms. Nishimitsu - Aye
department permit. I did not want to fall behind and have more liquor sales than food
Mr. Nishimura - Aye
sales. In case an auditor, I'm not that type of person this may be out of context, but I
Mr. Kahawai - Aye
may not look like I follow the rules, but I really do try to. I am not asking for a handout
Mr. Crowell - Aye
or for anything. My biggest thing is I don't want to continue wasting your time which
am grateful you decided to do this now. Again, now I understand looking back that I
didn't follow the exact law as far as what was my permission for taking that license. So,
I am not here to ask for hand-outs I don't want to be that person that goes oh well
Batters Up had this thing happen, if I need to pay a fine, I am totally understandable as I
am in fault of that.
Commissioner Nishimitsu asked if you didn't have to stop and replumb your premises,
would you have your food and alcohol sales and blue and red card employees ready to
go.
Mr. Christensen replied yes.
Liquor Control Commission
Open Session
August 24, 2022 Page 21
SUBJECT
DISCUSSION
ACTION
K.
VIOLATION REPORT:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
1. RESORT MANAGEMENT INTERNATIONAL INC. A CALIFORNIA CORPORATION dba
Motion:
THE POINT AT POIPU: located at 1613 Pee Road, Poipu, Kauai, Hawaii, Violation
of Rule 7.8(a), Manager on Duty.
Mr. Nishimura moved to schedule
a violation hearing for items K1.
2. SHIVALIK INDIAN CUISINE LLC. dba SHIVALIK INDIAN CUISINE: located at 4-771
Resort Management International
Kuhio Hwy. Kapaa, Kauai, Hawaii, Violation of Rule 4.7, Gross liquor Sales
INC. a California Corporation dba
reports, percentage fee, and records.
The Point at Poipu, K2. Shivalik
Indian Cuisine LLC. dba Shivalik
3. RED ROOSTER RESTAURANTS, LLC. dba FISH BAR DELI: located at 4-1380 Kuhio
Indian Cuisine and K3. Red Rooster
Hwy, Kapaa, Kauai, Hawaii, Violation of Rule 4.7, Gross liquor Sales reports,
Restaurants, LLC. dba Fish Bar Deli.
percentage fee, and records.
Mr. Matsunaga seconded the
motion. Motion carried 5:0.
L.
ADJUDICATION HEARINGS:
Director Sandoval -Reyes asked if there's anyone in the public who wishes to testify on
No Public Testimony.
this agenda item.
1. TAHITI NUI ENTERPRISES INC. dba Tahiti Nui: located at 5-5134 Kuhio Hwy,
Hanalei, Kauai, Hawaii, Violation of Rule 2.6, Renewal of license.
a. Tahiti Nui Enterprises Inc. is licensed as a restaurant permitted to sell
liquor for on premises consumption.
b.Tahiti Nui Enterprises Inc. failed to submit application renewal of license
Liquor Control Commission
Open Session
August 24, 2022 Page 22
SUBJECT
DISCUSSION
ACTION
no later than June 30t" of each year. On July 7th, 2022, contrary to Rule
2.6 of the Rules and Regulations of the Liquor Control Commission of the
County of Kauai, State of Hawaii.
c. Violation History within 24 months: None
Nanea Marston, Owner/ Member present to represent Tahiti Nui.
Chair Crowell asked Ms. Marston to raise her right hand, do you swear to tell the truth,
the whole truth and nothing but the truth.
Ms. Marston replied yes.
Chair Crowell asked did you receive a copy of the charges and do you understand the
charge. Do you admit or deny the charge? Please explain what happened.
Ms. Marston replied yes this is about the liquor license. I admit to the charge. Yes,
embarrassed to say it but this is the first time we had our federal and state taxes paid.
That is what I am waiting for at the last minute. All of that was paid this year on time. I
thought we were waiting for insurance to be renewed when I got over there to get the
stamp, she said that our corporate tax return had to be done. Prior to that, is the first
that had I had to do that. She explained that to me which was my misunderstanding. It's
my fault for not understanding it. She said that normally we have to October, so we
weren't normally late. Our state and federal taxes was paid on time. Our corporate tax
returns for 2020 were still sitting at H&R Block that is really it. We finished that night
the lady from H&R Block came in to help me at 7:30 p.m. I got it turned in the next
morning we lost our bookkeeper and was extra long at H&R Block.
Commissioner Nishimitsu asked Director Sandoval -Reyes you have a chronology of
events being the last page. One item noted received tax -clearance Wednesday July 6,
2022. Was that the final thing the department needed to be able to renew the license.
Liquor Control Commission
Open Session
August 24, 2022 Page 23
SUBJECT
DISCUSSION
ACTION
Director Sandoval -Reyes replied yes.
Commissioner Matsunaga stated the deadline was June 30tn
Director Sandoval -Reyes commented there was not supposed to be any liquor sales
between the 30tn through the 6tn
Commissioner Matsunaga asked from July 1st to July 6tn were you selling alcohol?
Ms. Marston answered we got the license back the next day, not the 6tn of July it was on
the 1st
Commissioner Nishimitsu replied the clearance went into the liquor department on July
6tn which was what was necessary before the license could be renewed.
Ms. Marston commented I am confused it was the very next day.
Commissioner Nishimura check to say if there is a date stamp.
Director Sandoval -Reyes commented I will have to check with Malia if it was delivered
online.
Mr. Nishimura moved to call for a
Chair Crowell called for a recess at 2:12 p.m.
recess @ 2:12 p.m. Mr. Matsunaga
Resumed meeting at 2:18 p.m.
seconded the motion.
Director Sandoval -Reyes replied on July 11t the department has the on-line submittal
that the compliance certificated was requested on June 30tn on the last day of the
month you had done your submission. Then you gave you a form that said it was
complied in there. The actual tax clearance was received on the 611 which is the actual
official form. So, we had the unofficial that it's been submitted for request.
Ms. Marston replied I brought in the paper copy the next day.
Liquor Control Commission
Open Session
August 24, 2022 Page 24
SUBJECT
DISCUSSION
ACTION
Commissioner Nishimitsu replied for the purposes of this matter we're dealing with the
question of whether there were liquor sales from July 1st to July 6tn. The July 6tn date is
just the date that they received your tax clearance from the department. So, it becomes
mooted out.
Vice Chair Kahawai asked do we date stamp the document.
Director Sandoval -Reyes replied it supposed to.
Commissioner Nishimura also commented it has an issuance date. Isn't that the QR
code above that the issuance date is July 1st, 2022. That is for the state of the issuance
online.
Director Sandoval -Reyes replied there is a discrepancy she saying she did come in on
the 11t and that it was stamped. I don't know where the stamp is, one it is probably at
the office. So, we probably collaborate whatever she is saying if it says the first it will be
Motion:
stamped the first. If it is not, it will be stamped whatever it is. It is up to the Commission
if you want to defer, we can get that document to you or we can go with this, it's up to
Mr. Matsunaga moved that a fine
you.
of $500.00 be imposed. Ms.
Nishimitsu seconded the motion.
Commissioner Matsunaga replied, it does not make a difference the deadline was June
Motion carried 5:0.
30tn. It was submitted past June 30tn
Chair Crowell commented do we have two violations at this point, one of county rules
and the other of state HRS.
Director Sandoval -Reyes replied we presented it under the rule.
Commissioner Nishimitsu asked addressing the question whether they sold liquor
between July 1st to July 6tn which is not the charge that Tahiti Nui is here for. The charge
is they failed to renew on or before June 30tn. There was an admission that they missed
that deadline.
Liquor Control Commission
Open Session
August 24, 2022
Page 25
SUBJECT
DISCUSSION
ACTION
M.
ADJOURNMENT
Motion:
Mr. Nishimura moved to adjourn
the meeting. Mr. Matsunaga
seconded the motion. Motion
carried 5:0.
Meeting ended at 2:27 p.m.
N.
EXECUTIVE SESSION:
No Executive Session
Submitted by:
Malialani Kelekoma, Private Secretary
Reviewed and Approved by:
( ) Approved as circulated.
(X) Approved with amendments. See September 28, 2022 meeting.
Leo Sandoval -Reyes, Director of Liquor Control