Regular Meeting of the Lakewood Liquor and Fermented Malt Beverage Licensing Authority was held on this date in the City Council Chambers.

ITEM 1. CALL TO ORDER

Chairman Taake called the meeting to order at 7:00 p.m.

ITEM 2. ROLL CALL Fred Taake - presiding
Kristina Hansson
Lorri Stevens
Stan Wisneski
Mark Wolfe

Also present: Paul Kennebeck, Deputy City Attorney

Full and timely notice of this meeting had been given and a quorum was present.

ITEM 3. SHOW CAUSE HEARING

Hotel & Restaurant License
FoodBrand Colorado, L.L.C.
d/b/a Chilis Too
14500 W. Colfax Ave.

Secretary Laura Bock explained to the Authority that she had received a request from the licensee's attorney on September 9, 2003, to continue the matter to October 9, 2003. That request was granted.

ITEM 4. SHOW CAUSE HEARING

3.2% Off Premise Fermented Malt Beverage License
7-Eleven, Inc.
d/b/a Seven Eleven #17134
92000 W. Alameda Ave.

Deputy City Attorney Paul Kennebeck stated that this complaint is the result of the licensee's failure to pass a compliance check conducted by the City on May 22, 2003. This is the licensee's first offense and they are willing to stipulate to the offense.

Fern O'Brien, registration #26912, appeared on behalf of the licensee. She stated that her client would stipulate to the offense.

Ms. Hansson moved to accept the stipulation between the Deputy City Attorney and
7-Eleven, Inc., d/b/a Seven Eleven #17134, 9200 W. Alameda Ave. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE STIPULATION CARRIED.

Lonny Thomas, 2795 Eldridge St., appeared before the Authority and was sworn in. He testified that he is the Field Consultant responsible for this location. He explained to the Authority the systems that Seven Eleven has in place to prohibit the sale of alcohol to minors. The employee who failed the compliance check on this particular evening overrode the system and has been terminated.

Mr. Wisneski moved that the following penalty be imposed: a suspension of 10 days with five days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 5:00 a.m. on September 12, 2003, and end at 5:00 a.m. September 17, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

Ms. O'Brien requested that her client be allowed to pay a fine in lieu of the five days suspension.

Mr. Wolfe moved that the Authority allow 7-Eleven, Inc., d/b/a Seven Eleven #17134 to pay a fine in lieu of suspension. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT A FINE IN LIEU OF SUSPENSION CARRIED.

ITEM 5. SHOW CAUSE HEARING

3.2% Off Premise Fermented Malt Beverage License
7-Eleven, Inc.
d/b/a Seven Eleven #17299
8390 W. 14th Ave.

Deputy City Attorney Paul Kennebeck stated that this complaint is the result of the licensee's failure to pass a compliance check conducted by the City on May 22, 2003. This is the licensee's first offense and they are willing to stipulate to the offense.

Fern O'Brien, registration #26912, appeared on behalf of the licensee. She stated that her client would stipulate to the offense.

Ms. Stevens moved to accept the stipulation between the Deputy City Attorney and
7-Eleven, Inc., d/b/a Seven Eleven #17299, 8390 W. 14th Ave. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE STIPULATION CARRIED.

Rob Coulter, 573 E. 116th Dr., Thornton, CO, appeared before the Authority and was sworn in. He testified that he is the Field Consultant in charge of this location. He reiterated much of the testimony provided earlier by Mr. Thomas. He told the Authority that the manager of this location was terminated as well as the employee who sold the alcohol.

Ms. Stevens moved that the following penalty be imposed: a suspension of 10 days with five days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 5:00 a.m. on September 12, 2003, and end at 5:00 a.m. September 17, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

Ms. O'Brien requested that her client be allowed to pay a fine in lieu of the five days suspension.

Ms. Hansson moved that the Authority allow 7-Eleven, Inc., d/b/a Seven Eleven #17299 to pay a fine in lieu of suspension. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT A FINE IN LIEU OF SUSPENSION CARRIED.

ITEM 6. SHOW CAUSE HEARING

3.2% Off Premise Fermented Malt Beverage License
7-Eleven, Inc.
d/b/a Seven Eleven #22063
11599 W. Colfax Ave.

Deputy City Attorney Paul Kennebeck stated that this complaint is the result of the licensee's failure to pass a compliance check conducted by the City on May 22, 2003. This is the licensee's second offense, the first offense occurring in 2000. The licensee is willing to stipulate to the offense.

Fern O'Brien, registration #26912, appeared on behalf of the licensee. She stated that her client would stipulate to the offense.

Mr. Wisneski moved to accept the stipulation between the Deputy City Attorney and
7-Eleven, Inc., d/b/a Seven Eleven #22063, 11599 W. 14th Ave. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE STIPULATION CARRIED.

Rob Coulter appeared before the Authority again. He stated that both the employee and the manager of this location have been terminated. He also explained the systems that are in place in all of the Seven Eleven stores to prohibit the sale of alcohol to minors.

Ms. O'Brien asked the Authority to consider allowing this licensee to pay a fine in lieu of suspension as allowed by state statute since the first violation occurred in 2000.

Mr. Kennebeck stated that even though the statute allows for a fine in lieu of suspension after a two-year period, the Authority's guidelines to not allow for a fine in lieu of suspension.

Ms. Hansson moved that the following penalty be imposed: a suspension of 14 days with seven days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 5:00 a.m. on September 12, 2003, and end at 5:00 a.m. September 19, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

ITEM 7. SHOW CAUSE HEARING

Retail Liquor Store License
Aster Gebremeskel
d/b/a Reeb Liquors
11000 W. Alameda Ave.

Deputy City Attorney Paul Kennebeck stated that this complaint is the result of the licensee's failure to pass a compliance check conducted by the City on May 22, 2003. This is the licensee's first offense and she is willing to stipulate to the offense.

Aster Gebremeskel, 2934 S. Tamarac, appeared before the Authority and was sworn in. She testified that she is the owner/operator of this license and was the person who sold the alcohol to the minor. She apologized to the Authority and said her actions were a mistake and not intentional. She stated that she has lived in the United States for 22 years and has never committed a crime and this incident has been very disturbing to her.

Ms. Stevens moved to accept the stipulation between the Deputy City Attorney and
Aster Gebremeskel, d/b/a Reeb Liquors, 11000 W. Alameda Ave. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE STIPULATION CARRIED.

Kathleen Knowles, 10820 W. Glennon Dr., appeared before the Authority and was sworn in. She testified that she is a native of Lakewood and lives in the neighborhood of Reeb Liquor. She feels that the current owner has done lots of work to make the store a safe place to shop and she is a good neighbor to have.

Steve Pickett, 365 S. Newcombe St., appeared before the Authority and was sworn in. He testified that he is a neighbor and customer of Reeb Liquors and has watched the owner card her customers.

Daniel Evens, 10803 W. Virginia St., appeared before the Authority and was sworn in. He stated that he was attending the meeting in support of Ms. Gebremeskel. He said he is a customer of the store and has watched the owner turn people away because they did not have proper identification.

Desiree Lewis, 480 S. Taft St., appeared before the Authority and was sworn in. She testified that she has been a customer of this liquor store for approximately one year and was carded several times before the owner got to know her.

The public testimony was closed.

Mr. Wisneski moved that the following penalty be imposed: a suspension of 10 days with five days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 8:00 a.m. on September 12, 2003, and end at 8:00 a.m. September 17, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

Ms. Gebremeskel asked to be allowed to pay a fine in lieu of the five days suspension.

Mr. Wolfe moved that the Authority allow Aster Gebremeskel, d/b/a Reeb Liquors to pay a fine in lieu of suspension. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT A FINE IN LIEU OF SUSPENSION CARRIED.

Chairman Taake called a brief recess at 7:45 p.m. The meeting reconvened at 8:05 p.m.

ITEM 8. SHOW CAUSE HEARING

Retail Liquor Store License
SNK, Inc.
d/b/a Alameda Square Liquors
12792 W. Alameda Pkwy.

Deputy City Attorney Kennebeck stated that the complaint against this licensee is for the sale of alcohol to a minor. The licensee passed the compliance check conducted on May 22, 2003; however, while the police agents were still in the store, a minor entered and purchased alcohol with an obvious fraudulent I.D. This is the licensee's first violation.

J.Y. Kang, registration #23250, appeared on behalf of the licensee.

Karla Sarnacki, Detective with the Lakewood Police Department, appeared before the Authority and was sworn in. She testified that she has been employed with the Lakewood Police Department for 24 years and is currently assigned to the Special Enforcement Investigations Unit. She explained to the Authority how the City's compliance checks are conducted. Detective Sarnacki testified that she was one of the agents in the store at the time of the compliance check when the minor with the fraudulent I.D. purchased alcohol.

Mr. Kennebeck entered a copy of the fraudulent I.D. as City's Exhibit #1.

Detective Sarnacki testified that the fraudulent I.D. was found on the minor in addition to his real I.D. The fraudulent I.D. had a hole punched in it from the Motor Vehicle Division indicating that the I.D. is invalid. The picture on the I.D. did not match the minor in possession of it, but was in fact his brother.

Mr. Kennebeck entered the actual I.D. as City's Exhibit #2.

In response to cross-examination from Mr. Kang, Detective Sarnacki stated that the Explorer Scouts used in the compliance checks don't carry any identification but can lie when questioned by store clerks. The minor who successfully purchased the alcohol was not a participant in the City's compliance check.

Kristopher DeRoehn, Detective with the Lakewood Police Department, appeared before the Authority and was sworn in. He testified that he was in the store with Detective Sarnacki when the minor purchased the alcohol. He did not witness the sale, but felt that when the minor entered the store he was not of age. He stopped the minor outside the store and upon questioning him, discovered the fraudulent I.D. used to purchase the alcohol in his wallet. The alcohol was taken from the minor and booked into evidence.

Cheol Lee, Certified Court Interpretor, appeared before the Authority and swore that he would interpret from Korean to English and English to Korean to the best of his ability.

Byung S. Kwon, 8115 S. Willow St., appeared before the Authority and was sworn in. She testified that she was the clerk on duty who sold the alcohol to the minor. She had been working for three months as a part-time clerk. She remembered selling the alcohol and asking for the minor's identification. She looked at the date of birth, but did not know what the hole punched in the I.D. meant, nor did she notice that it said "Under 21." She also did not see that the I.D. said expired. She stated she concentrated solely on the date of birth.

In closing remarks, Mr. Kennebeck stated that Liquor Regulation 47-912 (B) says that as an affirmative defense, the burden of proof is on the licensee to establish a preponderance of the evidence that the minor presented fraudulent identification. The clerk did not check the identification presented to her well enough, or she would have seen that it said "Under 21," and was expired.

In closing remarks, Mr. Kang stated the clerk successfully passed the compliance check but relied on the fraudulent identification when she made the sale of alcohol to the minor.

The public testimony was closed and the Authority members discussed the evidence and testimony amongst themselves. There was a general consensus that the identification stating "Under 21," and being damaged by a hole punched in it, should have sent up red flags to the clerk.

Ms. Hansson moved that the Authority find that SNK, Inc., d/b/a Alameda Square Liquors did violate C.R.S. 12-47-901. The motion was seconded and with those present voting Aye, THE MOTION TO FIND THAT A VIOLATION OCCURRED CARRIED.

Mr. Kang asked the Authority to consider deviating from their typical sanction for the first time offender in that this is the licensee's first violation, and it was an employee who violated the statute and not the licensee. Mr. Kang also asked the Authority to consider that the clerk did ask for identification but relied on fraudulent I.D. He also would like his client to have the opportunity to pay a fine in lieu of any suspension.

Mr. Wisneski moved that the following penalty be imposed: a suspension of 10 days with five days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 8:00 a.m. on September 12, 2003, and end at 8:00 a.m. September 17, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

Mr. Wolfe moved that the Authority allow SNK, Inc., d/b/a Alameda Square Liquors to pay a fine in lieu of suspension. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT A FINE IN LIEU OF SUSPENSION CARRIED.

ITEM 9. SHOW CAUSE HEARING

Retail Liquor Store License
Prishika, Inc.
d/b/a Giant Discount Liquors
1000 S. Wadsworth Blvd. Unit C

Deputy City Attorney Paul Kennebeck stated that this complaint is the result of the licensee's failure to pass a compliance check conducted by the City on May 22, 2003. The licensee does not wish to stipulate to the charge and he is ready to proceed with a hearing.

Urvish Patel, 1000 S. Wadsworth Blvd., appeared before the Authority and was sworn in. He testified that he made a mistake by selling the alcohol to the Explorer Scout after the kid told him he didn't have an I.D. with him. The kid gave him a sob story and lied about his birth date. He feels the City goes too far by allowing the Explorer Scouts involved in compliance checks to lie.

Kristopher DeRoehn, Detective with the Lakewood Police Department, appeared before the Authority once again and was reminded that he is still under oath. He testified that he has been with the police department for seven years and is currently assigned to the Special Enforcement Investigation Unit. He stated that he was monitoring the Explorer Scout involved in this compliance check. The Explorer Scout did not have I.D. on him and was able to purchase alcohol.

Anthony Kotris, Explorer Scout, appeared before the Authority and was sworn in. He testified that he was 18 years old at the time of the compliance check. He said he entered Giant Discount and went to the cooler and grabbed some beer. When the clerk asked him for his I.D. he fumbled around in his pockets pretending to search for his I.D. He told the clerk he didn't have one. When the clerk asked for his birth date, he gave him a date that made him 21.

Ms. Hansson moved that the Authority find that Prishika, Inc., d/b/a Giant Discount Liquors did violate C.R.S. 12-47-901. The motion was seconded and with those present voting Aye, THE MOTION TO FIND THAT A VIOLATION OCCURRED CARRIED.

Mr. Wisneski moved that the following penalty be imposed: a suspension of 10 days with five days held in abeyance for one year commencing September 12, 2003. The balance of the suspension is to begin at 8:00 a.m. on September 12, 2003, and end at 8:00 a.m. September 17, 2003. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT THE PENALTY CARRIED.

Mr. Patel asked the Authority to consider allowing him to pay a fine in lieu of suspension.

Ms. Stevens moved that the Authority allow Prishika, Inc., d/b/a Giant Discount Liquors to pay a fine in lieu of suspension. The motion was seconded and with those present voting Aye, THE MOTION TO ACCEPT A FINE IN LIEU OF SUSPENSION CARRIED.

ITEM 10. GENERAL BUSINESS

(A) Issue Complaint and Order to Show Cause and set hearing date for the Hotel & Restaurant License of Yu Family, Corp., d/b/a China Imperial Restaurant, 11068 W. Jewell Ave. Units #C11-C12

Deputy City Attorney Kennebeck said the City Clerk's Office has been unable to get the licensee to come into compliance by providing proof that the corporation has legal possession of the premises. It also appears that the corporation has been dissolved by the Secretary of State's Office.

Mr. Wisneski moved to hold to a date certain of October 9, 2003, the complaint and order to show cause hearing for Yu Family, Corp., d/b/a China Imperial Restaurant, 11068 W. Jewell Avenue. The motion was seconded and with those present voting Aye, THE MOTION TO ISSUE A COMPLAINT CARRIED.

(B) Issue Complaint and Order to Show Cause and set hearing date for the Hotel & Restaurant License of Wallaby's Development Company, L.L.C., d/b/a Wallaroos Fresh Grill, 11353 W. Colfax Ave.

Deputy City Attorney Kennebeck said the licensee is 90% owned by a corporation called Speedy Turtle and it appears that a 5% interest owner bought out the 90% interest of Speedy Turtle and is now the majority owner. No formal information has been provided to the City Clerk's Office and it is believed that there has been an illegal transfer or change in corporate structure.

Mr. Wisneski moved to hold to a date certain of October 9, 2003, the complaint and order to show cause hearing for Wallaby's Development Company, L.L.C. d/b/a Wallaroos Fresh Grill, 11353 W. Colfax Avenue. The motion was seconded and with four members Aye, Mr. Wolfe recused himself. THE MOTION TO ISSUE A COMPLAINT CARRIED.

(C) Mr. Kennebeck asked the Authority to release City's Exhibit #2 (the actual identification card) used in Alameda Square Liquors to Detective Sarnacki's custody so she may return it to evidence. There is still a criminal procedure underway in Municipal Court in regards to this incident.

Ms. Hansson moved to approve releasing City's Exhibit #2, used in the Show Cause Hearing against Alameda Square Liquors, to Detective Sarnacki. The motion was seconded and with those present voting Aye, THE MOTION TO RELEASE THE EXHIBIT CARRIED.

ITEM 11. ADJOURNMENT

There being no further business to come before the Authority, Chairman Taake adjourned the meeting at 10:30 p.m.

Laura Bock, Liquor Licensing Clerk

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