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HomeMy WebLinkAbout2017-02-02 Liquor Commission Minutes COUNTY OF HAWAII DEPARTMENT OF LIQUOR CONTROL LIQUOR COMMISSION FEBRUARY 2, 2017 WEST HAWAII CIVIC CENTER, 74-5044 ANE KEOHOKALOLE HIGHWAY, BUILDING B, 2ND FLOOR, KAILUA-KONA, HAWAII I. Call To Order The meeting was called to order by Chairperson William Takaba at 10:05 a.m., in the Meeting Room, Department of Liquor Control, West Hawaii Civic Center, 74-5044 Ane Keohokalole Highway, Building B, 2nd Floor, Kailua-Kona, Hawaii. The following members were present and constituted a quorum: William Takaba, Chairperson Art Taniguchi, Vice Chairperson David Greenwell, Commissioner Stephen Lopez, Commissioner Dwayne Mukai, Commissioner Shelby Nahale-a, Commissioner Absent and excused: Leina'ala Enos, Commissioner Donn Mende, Commissioner Claude Onizuka, Commissioner Others present: Gerald Takase, Director Brandon Gonzalez, Administrative Officer Gail Fujimoto, Licensing Officer J Yoshimoto, Deputy Corporation Counsel Stacie Waltjen, Licensing Tech I Nyssa Aoki, T/A Secretary to the Commission Takaba: I'd like to call this meeting to order. If you have any cell phones, please silence your cell phones. We're going to start with introductions. We can start from Nyssa. Aoki: Good morning, Nyssa Aoki, Secretary to the Board and Commission, T/A. Waltjen: Good morning, Stacie Waltjen, Licensing Technician. Fujimoto: Gail Fujimoto, Licensing Officer. Gonzalez: Good morning, Brandon Gonzalez, Administrative Officer. Greenwell: David Greenwell, District 9, Commissioner. Taniguchi: Art Taniguchi, Commissioner. Yoshimoto: Good morning, J Yoshimoto, Deputy Corporation Counsel. Takaba: Bill Takaba, Commissioner. Takase: Gerald Takase, Director. Mukai: Good morning, Dwayne Mukai, Commissioner. Nahale-a: Aloha, Shelby Nahale-a, Commissioner. Lopez: Aloha, Steve Lopez, Commissioner. Takaba: Okay, thank you. II. Approval of Minutes (January 5, 2017) Takaba: The January 5, 2017 Minutes were circulated by email and regular mail on January 26th. Do we have a motion to approve? Mukai: Move to approve. Taniguchi: Second. Mr. Mukai moved that the January 5, 2017, Liquor Commission Minutes, which was circulated via e-mail and mail on January 26, 2017 be approved; seconded by Mr. Taniguchi. Takaba: Moved and seconded to approve. All those in favor, say "Aye." Takaba: Those opposed, "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: We have one Supplemental Item on the Agenda, under New Business: III. Approval of Addendum and/or Supplemental Agenda Pursuant to Section 92-7, Hawaii Revised Statutes, as amended, Item 1 is a proposed amendment to the agenda, and has been determined not to be of reasonably major significance nor does it affect a significant number of persons, and is proposed for placement on the agenda by two-thirds vote of the Commission. Takaba: New Business, Item No. 17, discussion on House Bill 707, relating to intoxicating liquor. Do we have a motion to approve? Taniguchi: Move to approve. FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 2 Nahale-a: Second. Mr. Taniguchi moved that the Commission amend/add the following items to its agenda; seconded by Ms. Nahale-a. 1. New Business, Item No. 17, ADD new paragraph to read: 17. Discussion on House Bill 707 Takaba: Discussion anybody? There was no discussion by Commissioners. Takaba: All those in favor, say "Aye." There Commissioners voted "Aye." Takaba: Oh, this is a...sorry, this is a roll call vote. Aoki: Commissioner Mukai Mukai: Aye. Aoki: Commissioner Nahale-a. Nahale-a: Aye. Aoki: Commissioner Lopez. Lopez: Aye. Aoki: Commissioner Greenwell. Greenwell: Aye. Aoki: Commissioner Taniguchi. Taniguchi: Aye. Aoki: Commissioner Takaba. Takaba: Aye. Aoki: The "Ayes" have it. IV. Public Statements on Agenda Items Takaba: Thank you. Motion carried. Do we have any public statements on any of the agenda items? There was no reply from the public. V. Public Hearing FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 3 Takaba: If not, then we'll proceed to public hearing. We have four items today. The first item is Application No. 16-13, Papa'aloa Market & Café LLC dba Papa'aloa Country Store and Café, for an original Dispenser General liquor license. 1. Application No. 16-13 Papa'aloa Market & Café LLC dba Papa'aloa Country Store and Café (Café), for an original Dispenser General liquor license, Category B2, located at 35-2032 Old Mamalahoa Highway, Papa'aloa, Hawaii, TMK: 3-5-008:18. Solomon Burke Member of the LLC was present. Takaba: Can you identify yourself, please and your relation to the business? Burke: I'm Solomon Burke and I'm the owner. Takaba: Thank you. Do you have any changes to your report? Burke: Nope. Takaba: Can you describe your business? Burke: We have a general store and café. We serve local food and pizzas and burgers and we have alcohol sales and a cooking distribution tank. We serve the local community; pretty much the only one that's located on the Hamakua coast, right in the middle. We are looking to expand to a restaurant and a small bar with drinks. Takaba: Director Takase, do you have any report of protest? Takase: Mr. Chairman, the Applicant mailed 1 out of 1 notices within 100 feet; 19 out of 20 within 500 feet; there were 19 properties entitled to protest. We received no protest to this application, but we did receive one letter of support from Jim and Harvest Edmonds, he's your next door neighbor who are in full support of their application. Takaba: Okay, thank you. Do we have any public testimony for this particular application? There was no reply from the public. Takaba: If not, do we have any discussion? Mukai: Mr. Chairman? Takaba: Yes. Mukai: I'd just like to comment on further of what Director Takase has said. It's very unusual that we have a support letter from someone that's lived adjacent to one of our applicants. I read the letter and it's very well done. I take it that you've been a good neighbor in the neighborhood all this time. Thank you. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 4 Burke: We try our best. Nahale-a: Mr. Chair, I'd also like to concur with that. I was happy to see the Edmonds wrote a support letter. Mr. Burke is a neighbor of theirs as well so he obviously would like to be a good neighbor. I know you and I had previously discussed that one of your neighbors was possibly concerned about the expansion and stuff. Is that still a concern of yours? Burke: No, he's actually been coming in and been very supportive. Nahale-a: Okay, good good. I'm happy to hear that. Thank you. Burke: I try to make peace with everybody. Nahale-a: Yeah. Well you guys all live near each other, so you gotta. Thank you. Burke: And if someone does have a concern, and they voice it to me, I'll do my best to mediate it and to accommodate their concerns. Nahale-a: Awesome. Fantastic. Thank you. Takaba: Anybody else? Mukai: Chair, I move that we close the public hearing. Taniguchi: Second. Mr. Mukai moved that the public hearing on Application No. 16-13 be closed; seconded by Mr. Taniguchi. Takaba: Moved and seconded that we close public hearing. Any discussion? There was no discussion by Commissioners. Takaba: Hearing none. All those in favor, say "Aye." The Commissioners votes "Aye." Takaba: Those opposed, "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Can I get a second motion? Taniguchi: Move to approve Application No. 16-13, pending reimbursement of balance due for publication of$410.01 and final inspection. Mukai: Second. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 5 Mr. Taniguchi moved that Application No. 16-13, Papa'aloa Market & Café LLC dba Papa'aloa Country Store and Café (Café), for an original Dispenser General liquor license, Category B2, located at 35-2032 Old Mamalahoa Highway, Papa'aloa, Hawaii, TMK: 3-5-005:018, be approved and that the license shall be effective upon reimbursement of balance due for publication of$410.01 and final inspection; seconded by Mr. Mukai. Takaba: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor, say "Aye." The Commissioners voted "Aye." Takaba: All those against? There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Mukai: All right. Burke: Thank you very much. Takaba: The second Application is No. 16-14, Kalikala Cuisine Inc., dba Kalikala Cuisine for an original Dispenser General liquor license. 2. Application No. 16-14 Kalikala Cuisine Inc., dba Kalikala Cuisine, for an original Dispenser General liquor license, Category B1, located at the Banyan Court Mall, 75-5695 Alii Drive, #E, Kailua-Kona, Hawaii, TMK: 7-5-006:011 and 012. Richard Bate, Secretary/Treasurer was present. Takaba: Can you identify yourself and your relation to the business? Bate: My name is Richard Bate and I am the Secretary/Treasurer. Takaba: Okay, thank you. Do you have any changes to the report that you submitted? Bate: Not that Gail is not aware of. Takaba: Thank you. Can you describe your business? Bate: The business is a proposed restaurant in Kailua town, the village area, on Ali`i drive, just Mauka of Big Island Jewelers. Additionally, we have arranged to rent the empty lot with the big banyan tree right next door that has an existing cement slab for FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 6 outdoor eating and also drinking. I am going to be building fences and tables and chairs on that property. According to the Research and Development Division of the County, I don't need a building permit to put tables, chairs and awnings as long as they are not attached to the ground with screw or stake. I'm proposing to do that in other methods. We are also eventually planning to open a bakery across from the café and will use that location temporarily for office and storage and I have applied for a liquor storage permit, I believe it's called and it's in my application. Takaba: Okay, thank you. Director, any protests? Takase: Mr. Chairman, the Applicant mailed 13 out of 13 notices within 100 feet; 300 out of 303 within 500 feet; and 3 notices to condominium property apartment managers. There were 257 properties entitled to protests. There were no protests to this application. Takaba: Thank you. Do we have any public testimony on this application? There was no reply from the public. Takaba: If none, Commissioners do you have anything you want to discuss? Steve? Lopez: Question, yes. What was in this location prior? Bate: There were two different, actually 3. What started with "Sibu Cafe."' Lopez: Sibu, that's right. Bate: And then there was one called "Rapa Nui" and then most recently, "Pauline's Bakery." Lopez: Okay, that tells me where it is then. The parking lot, I mean the slab-- Bate: There is a 900 square foot cement slab. Lopez: Yes, I see on the map it says storage/cars. Is that going to be on the same slab? Bate: No, no, that's on the dirt area. Lopez: Okay. Bate: I'm not looking at the map you're looking at, so I'm not sure. Lopez: It's exhibit number four. Can you see that? Bate: Well, I'm proposing to put a box up there. It is a truck bed box, like a van box from a truck to park a food truck inside, which is not a food truck you go inside. It's an elongated golf cart that meets the Health Department requirements as long as there is a commissary kitchen. There is a hand wash sink, a grill, a hotbox and two iceboxes on the food cart that will fit inside this box that I'm proposing to put on that site; again not attached to the ground. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 7 Lopez: So, the word cars, then, how do I interpret the word cars? Takase: I think he's looking at the very back. Bate: Yeah, I'm not going to be using that for parking. Lopez: Okay, because I see these arrows. Bate: Nope, that's for a golf cart to bring food from the restaurant. Lopez: Oh, that's what the arrows are for. Bate: Yeah. Lopez: Okay, so there's not going to be walking traffic from the back parking lot? Bate: No, no, it's fenced off. It's a gate we will use. Lopez: Okay, that's the point I was trying to get to. Bate: It's a gate we will use and close each time we leave. And I'm going to get a little golf cart to bring hot food down to the food service area and the eating area. Lopez: I see. All right, thank you very much. Bate: No problem. Takaba: Anybody else? Mukai: I move we close the public hearing. Taniguchi: Second. Mr. Mukai moved that the public hearing on Application No. 16-14 be closed; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Close public hearing. Any discussions? There was no discussion by Commissioners. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Taniguchi: Move to approve Application No. 16-14, pending reimbursement of balance due for publication of$128.54 and final inspection. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 8 Takaba: Do we have a second? Mukai: Second. Mr. Taniguchi moved that Application No. 16-14, Kalikala Cuisine Inc., dba Kalikala Cuisine, for an original Dispenser General liquor license, Category B1, located at the Banyan Court Mall, 75-5695 AIi`i Drive, #E, Kailua-Kona, Hawaii, TMK: 7-5-006:011 and 012, be approved pending reimbursement of balance due for publication of $128.54 and final inspection; seconded by Mr. Mukai. Takaba: Moved and seconded. Any discussion? Mukai: Yes, speaking in favor of the motion. When he was here last time, you know, the lot that you're going to be using that is adjacent to his property has been in the past an area of homelessness, some transient people there. I think by his operation, it's really going to help clean up downtown Kailua. It's a really good thing for everyone concerned. Thank you. Takaba: Any further discussion? Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from Commissioners. Takaba: Motion carried. The motion was carried unanimously. Bate: Thank you. Takaba: Next Application, No. T16-15, Amici Italian Bar& Grill, L.L.C. dba Amici Vista Bar& Grill, for a sale and transfer of the Restaurant General liquor license, currently held by Kona Country Club dba Kona Country Club. 3. Application No. T16-15 Amici Italian Bar& Grill, L.L.C. dba Amici Vista Bar& Grill, for a sale and transfer of the Restaurant General liquor license, Category B1, currently held by Kona Country Club, Inc., dba Kona Country Club, located at 78-7000 Ali`i Drive, Kailua-Kona, Hawaii, TMK: 7-8-010:003, 034, 036, 042, 051, 077 & 082. Devon Drake and Giovanni Saffioti, Members were both present. Takaba: Can you identify yourself and your relationship to the business? Drake: My name is Devon Drake and I am part owner. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 9 Saffioti: My name is Giovanni Saffioti and I'm part owner, also. Takaba: Do you have any changes to the report that you'd like to discuss? Saffioti: No changes, no. Takaba: Thank you. Can you describe your business? Saffioti: It's a full service restaurant. Full bar and kitchen, lunch and dinner. We're at the golf course at Keauhou. They just reopened about a year ago. It was closed for about almost three and a half years. We're a full operation now. Takaba: Thank you. Director, report of protest? Takase: Mr. Chairman, this is a sale and transfer so therefore there were no mailed notices. But the publication was made in the newspaper. There were no protests to this application. Takaba: Thank you. Do we have any public testimony? There was no reply from the public. Takaba: Hearing none. Do we have any discussion from the Commission? There was no discussion from the Commissioners. Takaba: Hearing none. Motion? Mukai: I move that we close the public hearing. Taniguchi: Second. Takaba: Moved and seconded. Mr. Mukai moved that the public hearing on Application No. T16-15 be closed; seconded by Mr. Taniguchi. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor of closing public hearing say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commission. Takaba: Motion carried. The motion was carried unanimously. Greenwell: Move to approve the motion. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 10 Mukai: Second. Mr. Greenwell moved that Application T16-15, Amici Italian Bar& Grill, L.L.C. dba Amici Vista Bar& Grill, for a sale and transfer of the Restaurant General liquor license, Category B1, currently held by Kona Country Club, Inc., dba Kona Country Club, located at 78-7000 Alii Drive, Kailua-Kona, Hawaii, TMK: 7-8-010:003, 034, 036, 042, 051, 077, & 082, be approved; seconded by Mr. Mukai. Takaba: Moved and seconded to approve Application T16-15. Any discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Saffioti: Well, thank you very much. Mukai: No, thank you. Taniguchi: We have to ratify. Greenwell: I make the motion to ratify the issuance of the temporary license T-REST-G-026, effective October 31, 2016. Taniguchi: Second. Mr. Greenwell moved to ratify issuance of temporary license, T-REST-G-026, effective October 31, 2016; seconded by Mr. Taniguchi. Takaba: Moved and seconded to ratify temporary license. Any discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commission. Takaba: Motion carried. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 11 The motion was carried unanimously. Takaba: Final item. Application T16-16, JNG Investment Corporation dba Barcode Karaoke & Grill, for a sale and transfer of the Restaurant General liquor license, Category B2, currently held by Kula Taxi Corporation dba Starz Karaoke & Grill. 4. Application No. T16-16 JNG Investment Corporation dba Barcode Karaoke & Grill, for a sale and transfer of the Restaurant General liquor license, Category B2, currently held by Kula Taxi Corporation dba Starz Karaoke & Grill, located at the Ka`ahumanu Shopping Plaza, 74-5467 Kaiwi Street, Suite 6, Kailua-Kona, Hawaii, TMK: 7-4-015:017. Jung Eun Byun, President, Vice President, Secretary, Treasurer and Director was present. Byun: Yes. Takaba: Can you identify yourself and the relation to the business? Can you tell us who you are? Byun: My name is Jung Eun Byun. Takaba: Okay, thank you. And you're? Byun: President of Jung Investment Corporation. Takaba: Do you have any changes that you want to make to the report? Byun: I change just Starz to the business name, the Barcode. Takaba: Did you get that, Gail? Fujimoto: Starz is current. Takaba: You have that? Okay. Can you describe your business? Tell us what your business is about, what do you do? Byun: Local food and Korean food and then karaoke. Takaba: Thank you. Gerald, do you have any protest? Takase: Chairman, again this is a sale and transfer application. No mailing was required. There was publication made in the newspaper and we received no protests to this application. Takaba: Thank you. Do we have any public testimony? There was no reply from the public. Takaba: If none, Commissioners do you have any discussion? FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 12 Mukai: I have a question. So, your operation, your restaurant, as compared to Starz, the previous, is it very similar? Anything different? Byun: No, everything same. Mukai: Everything same. Byun: Yeah, just changing business name. Mukai: Oh I see. I have a question. Takaba: Yes. Mukai: For the department, in regards to Starz operation have we had any issues with the community in regards to them? Takase: Not really. We did have one I think one violation in the past for staying open late, but other than that, we've never had any problems. Mukai: Thank you. Takaba: Anything further? Mukai: Move to close public hearing. Taniguchi: Second. Takaba: Moved and seconded to close public hearing. Mr. Mukai moved that the public hearing on Application T16-16 be closed; seconded by Mr. Taniguchi. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Mukai: Chair, I move that we approve Application No. T16-16, pending final inspection. Taniguchi: Second. Mr. Mukai moved that Application T16-16, JNG Investment Corporation dba Barcode Karaoke & Grill, for a sale and transfer of FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 13 the Restaurant General liquor license, Category B2, currently held by Kula Taxi Corporation dba Starz Karoke & Grill, located at the Ka`ahumanu Shopping Center Plaza, 74-5467 Kaiwi Street, Suite 6, Kailua-Kona, Hawaii, TMK: 7-4-015:017, be approved pending final inspection; seconded by Mr. Taniguchi. Takaba: Moved and seconded to approve, pending final inspection. Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none. AU those in favor of the motion, can you signify by saying "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Nahale-a: Thank you. Mukai: Good luck. VI. Preliminary Hearings Takaba: Now, we're on to the Preliminary Hearings. There are four items as well. Application No. 16-20, Food Pantry, Ltd. dba Accents (Mauna Kea Beach Hotel), for a change of location within the Mauna Kea Beach Hotel, to its Retail General liquor license, located at the Mauna Kea Beach Hotel. Can you identify yourselves and your relationship to the business? 1. Application No. 16-20 Food Pantry, Ltd. dba Accents (Mauna Kea Beach Hotel), for a change of location within the Mauna Kea Beach Hotel to its Retail General liquor license, located at the Mauna Kea Beach Hotel, 62-100 Mauna Kea Beach Drive, Kamuela, Hawai'i, TMK: 6-2-002:004. Robert Ueoka, representing Food Pantry, Ltd., dba Accents (Mauna Kea Beach Hotel) and District Manager Loren Koanui were present. Ueoka: Good morning Mr. Chair, Members of the Commission. Robert Ueoka on behalf of Food Pantry, Ltd. Present to my right, Mr. Loren Koanui, District Manager. First name spelt L-O-R-E-N, last name; K-O-A-N-U-l. At this time we have nothing to add to the report. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 14 Takaba: Thank you. Can you describe the business? Ueoka: It's a sundries store, located at the Mauna Kea Beach Hotel. We're just going to change location within the hotel. Takaba: Okay. Any public testimony? There was no reply from the public. Takaba: Questions? Taniguchi: Move to approve Application No. 16-20. Takaba: Any second? Mukai: Second. Taniguchi: Oh, I'm sorry. Approve public hearing to be held April 6th, in Kailua-Kona. Mukai: Second. Takaba: Moved and seconded. Mr. Taniguchi moved that Application No. 16-20, Food Pantry, Ltd. dba Accents (Mauna Kea Beach Hotel), for a change of location within the Mauna Kea Beach Hotel to its Retail General liquor license, located at the Mauna Kea Beach Hotel, 62-100 Mauna Kea Beach Drive, Kamuela, Hawaii, TMK: 6-2-002:004, be approved for a public hearing to be held on April 6, 2017, in Kailua-Kona, Hawaii; seconded by Mr. Mukai. Takaba: Any discussion? Takase: Mr. Chairman, as part of the motion, the applicant is going to request that we waive the mailing of notices to the surrounding property. The surrounding property is really just Mauna Kea Beach itself. We have no objection to waiving the mailing requirements. Ueoka: Thank you, Mr. Takase. Taniguchi: Do we have to amend the motion? Takase: No, just add it on. Mukai: What's the verbiage? Whatever he did amended, I second the amendment. Takaba: The motion is to approve... Mukai: We have to vote on the amendment first; then you vote on the amended. Takase: Nah, just... Mukai: No need? FEBRUARY2,2017-LIQUOR COMMISSION MINUTES 15 Takaba: Without any objection; nobody objects. The motion is to approve application 16-20... Takaba: If approved, the public hearing will be held on April 6th, in Kailua-Kona. In addition to this application, they do not need to do mailing. Do we approve the waiving of the mailing to the surrounding property owners? Okay, discussion? Takaba: If none, all those in favor say "Aye." The Commissioners voted "Aye." Takaba: All those against. "Nay." There was no opposition by from the Commission. Takaba: Motion carried. The motion was carried unanimously. Ueoka: Thank you. Mukai: All right. See you soon. Ueoka: Thank you. That will simplify things. Mukai: Oh, you have another one? Ueoka: We'll be on the next one. Takaba: This one is in Sheraton Kona Resort. Food Pantry, dba Lamonts Gift & Sundry#424, for a change of location within the Sheraton Kona Resort & Spa at Keauhou Bay to its Retail General liquor license located at the Sheraton Kona Resort and Spa at Keauhou Bay. Would you like to explain...well is the report correct that you submitted? 2. Application No. 16-21 Food Pantry, Ltd. dba Lamonts Gift & Sundry#424, for a change of location within the Sheraton Kona Resort & Spa at Keauhou Bay to its Retail General liquor license, Robert Ueoka, representing Food Pantry, Ltd., dba Lamonts Gift & Sundry #424 and District Manager, Loren Koanui were present. Ueoka: Report is fine. I was going to make an appearance. Robert Ueoka, on behalf of Food Pantry, Ltd. Present to my right, Mr. Loren Koanui, District Manager. We have nothing to add to the Investigative Report. This does involve a change of trade name that was submitted to the Department and nothing further. Takaba: Do we have any public testimony? FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 16 There was no reply from the public. Takaba: Any questions? Taniguchi: Question. So, Director Takase, so this is the same as the other one, right? Takase: Yes. Taniguchi: Should we add that... Takase: I think you can add it. There are two property owners. The hotel but there is also an estate. But I think... Taniguchi: So all they're doing is moving the store within the hotel? Takase: Right next door, so I don't think it's a problem. Taniguchi: We can also include that in our motion? Or should we not? Takase: You know what, I'm looking at their old application. There is one other, kind of non-related property. We should do the mailing. Takaba: Okay, so why don't we make a motion just as is? Taniguchi: Move to approve Application 16-21. If approved, public hearing to be held April 6th in Kailua-Kona. Greenwell: Second. Takaba: Moved and seconded. Mr. Taniguchi move that Application No. 16-21, Food Pantry, Ltd., dba Lamonts Gift & Sundry#424, for a change of location within the Sheraton Kona Resort & Spa at Keauhou Bay to its Retail General liquor license, located at the Sheraton Kona Resort& Spa at Keauhou Bay, 78-128 Ehukai Street, Kailua-Kona, Hawaii, TMK: 7-8-010:038, be approved for a public hearing to be held on April 6, 2017 in Kailua-Kona, Hawaii; seconded by Mr. Greenwell. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none? All those in favor say "Aye." The Commissioners voted Aye. Takaba: All those opposed. "Nay." There was no opposition from the Commission. Takaba: Motion carried. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 17 The motion was carried unanimously. Ueoka: Thank you so much. Takaba: Application T16-22, Island Forager LLC, dba Island Forager General Store, for a sale and transfer of the Retail General liquor license currently held by the Honokaa Enterprises LLC dba JJ Country Market. Can you identify yourself and your relation to the business? Kate Smith, co-owner of the LLC was present. 3. Application No. T16-22 Island Forager LLC dba Island Forager General Store, for a sale and transfer of the Retail General liquor license currently held by Honokaa Enterprises LLC dba JJ Country Market, located at 45-3745 Honoka`a-Waipi'o Road, Honoka`a, Hawai'i, TMK: 4-5-005:009. Smith: Yes, I'm Kate Smith and I'm the co-owner and manager. Takaba: Have you read the report and is the report correct? Smith: Yes. Takaba: Can you describe your business? Smith: We are mainly a meat market and we sell just general groceries as well. Takaba: Do we have any public testimony? There was no reply from the public. Takaba: If none, Commissioners any questions? Taniguchi: I have a question. This sounds so familiar. Didn't we hear this one before? Takase: Yes, it came up last month when JJ Market transferred their inventory to here. Taniguchi: Oh okay, that's why. Greenwell: Are you people basically going to be the same JJ? Smith: Yes. Currently we are planning no changes unless we want to add a deli, but we haven't started that process yet. Greenwell: So, it's going to be basically the same operation? Smith: Yes, just more groceries and more local foods. Takaba: Thank you. Any further questions? There were no further questions from the Commissioners. FEBRUARY2,2017-LIQUOR COMMISSION MINUTES 18 Mukai: Mr. Chair, I move that we approve Application No. T16-22. If so approved, public hearing to be held on March 2, 2017 in Hilo, Hawaii. Greenwell: Second. Takaba: Moved and seconded to approve. Mr. Mukai moved that Application No. T16-22, Island Forager LLC dba Island Forager General Store, for a sale and transfer of the Retail General liquor license currently held by Honokaa Enterprises LLC dba JJ Country Market, located at 45-3745 Honoka`a-Waipib Road, Hawaii, TMK: 4-5-005:009, be approved for a public hearing to be held on March 2, 2017, in Hilo, Hawaii; seconded by Mr. Greenwell. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: All those in favor of the motion, say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Mukai: Mr. Chair, I move that we ratify issuance of temporary license, T-RG-713, effective October 31, 2016. Takaba: Second anybody? Taniguchi: Second. Takaba: Moved and seconded. Mr. Mukai moved to ratify issuance of temporary license, T-RG-713, effective October 31, 2016; seconded by Mr. Taniguchi. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none? All those in favor, say "Aye." The Commissioners voted "Aye." Takaba: All those opposed, "Nay." There was no opposition from the Commission. FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 19 Takaba: Motion carried. The motion was carried unanimously. Smith: Thank you. Takaba: Thank you. Takaba: Last item. Application No. 16-23, MS Kohanaiki LLC dba Minit Stop (Kohanaiki), for an original Retail General liquor license, located at 73-4041 Hulikoa Drive in Kailua-Kona. Can you identify yourself and the relationship to the business? 4. Application No. 16-23 MS Kohanaiki LLC dba Minit Stop (Kohanaiki), for an original Retail General liquor license, located at 73-4041 Hulikoa Drive, Kailua-Kona, Hawaii, TMK: 7-3-058:001 Jon Miyabuchi, Vice President and General Manager for Minit Stop Stores, was present. Miyabuchi: Hi, yes good morning. My name is Jon Miyabuchi. I'm the Vice President and General Manager for Minit Stop. Takaba: Have you read the application? Is it correct? Miyabuchi: Yes, correct. Takaba: Thank you. Can you describe your business? Miyabuchi: Sure. We're a convenience store chain that retails fuel. We have a convenience store and our biggest category is our food service sales. We have bentos, musubis, sandwiches and salads. And of course, we're famous for our fried chicken. Takaba: Do you have a central kitchen? Miyabuchi: No, not yet. Takaba: Any public testimony? There was no reply from the public. Takaba: If none. Commissioners, questions? There was no questions from the Commissioners. Takaba: If none, motion please. Mukai: Mr. Chair, I move that we approve Application No. 16-23, if so approved public hearing to be held on April 6, 2017 in Kailua-Kona. Taniguchi: Second. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 20 Takaba: Moved and seconded. Mr. Mukai moved that Application No. 16-23, MS Kohanaiki LLC dba Minit Stop (Kohanaiki), for an original Retail General liquor license, located at 73-4041 Hulikoa Drive, Kailua-Kona, Hawaii, TMK: 7-3-058:001, be approved for a public hearing to be held on April 6, 2017, in Kailua-Kona, Hawaii; seconded by Mr. Taniguchi. Takaba: Any discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor of the motion say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. VII. Unfinished Business Takaba: There is no unfinished business. VIII. New Business Takaba: We do have several items of New Business. The first one is Kalikala Cuisine Inc., dba Kalikala Cuisine, submits an Application for Outside Storage Permit to its pending original Dispenser General liquor license. 1. Kalikala Cuisine Inc., dba Kalikala Cuisine, submits Application for Outside Storage Permit to its pending Original Dispenser General liquor license, Category B1, located at the Banyan Court Mall, 75-5695 Ali'i Drive, #E, Kailua-Kona, Hawaii, TMK: 7-5-006:011 and 012. Takaba: Motion? Nahale-a: Move to approve. Mukai: Second. Ms. Nahale-a moved that the Liquor Commission approve the Application for Outside Storage Permit for Kalikala Cuisine Inc., dba Kalikala Cuisine, to its pending original Dispenser General liquor license, located at the Banyan Court Mall, 75-5695 AIi`i Drive, #E, Kailua-Kona, Hawaii; seconded by Mr. Mukai. Takaba: Discussion? FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 21 There were no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: We're going to take something out of order. No. 7, item listed at No. 7 on your Agenda. Kohala Village Hub Pub & Shop LLC dba Hub Pub, requests permission to extend the time of issuance of its original Class 18, Small Craft Producer Pub liquor license, for an additional six months. 7. Kohala Village Hub Pub & Shop LLC dba Hub Pub, pursuant to Rule 4-2-M of the Rules and Regulation of the Liquor Commission of the Department of Liquor Control of the County of Hawai'i, requests permission to extend the time issuance of its original Class 18, Small Craft Producer Pub liquor license, Category B2, for an additional six months, to August 4, 2017. Leigh Delphina Dorrance, Owner and Lehua Ah Sam, Executive Director, both present. Takaba: Can you identify yourself and your relationship to the business? Ah Sam: Aloha, I'm Lehua Ah Sam. I'm the Executive Director for the Kohala Village Hub Project. Dorrance: And I'm Delphina Dorrance, co-owner of this LLC and President on the Board for the non-profit that's on the project as well. Takaba: Do you want to explain since you're here? Ah Sam: Yeah, might as well. Basically because the pretty much historic nature of the buildings that we're occupying now, we're encountering some issues with the Building Department. We got signed off on Electrical, Liquor, Health as well as even Fire with Clint Baybayan, here. But because the building exceeds 5,000 square feet, the Building Department is investigating the need to install a sprinkler system and it's not something that we've been able to clarify with them in the last eight months of working with them. We went and met with Fire, Bobby Perreira and we met with Clint. Clint's been up there and he even was ready to sign off on it and then we got caught with Chris Domino and Kelly Wilson in building. They're both kind of playing this not sure whose role is going to be able to sign off on this. We're investigating the need for the sprinkler system FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 22 because of the historic nature. It's been operating as a restaurant and bar since 1951. We have not done any modifications to the building yet. There is a brewery which is part of our small craft beer license. We're still investigating where is best to place that activity, whether it's in the existing building or in a separate building because of the needs of that brewery. In terms of getting the approval to just serve alcohol for our restaurant that is operating currently, we're held up by this question about a sprinkler system. Takase: It's historic. Ah Sam: It's historic. We're not changing the intent of the building. It's the same type of business that has been there since 1951 when the Luke's family opened it. I think we're a little all scratching our heads over the situation. It's been with the health issues of Kelly this past year. It's been really hard to move this project forward and meet this timeline. It's caused great hardships for a business, extreme hardships for a business, and the bottom now having to install a sprinkler system that will probably cost us upward to $200,000 is really something that the owner and I have to contemplate in terms of feasibility. It's all something the committee wants. They're all ready to sign a petition for this. I told them don't be so radical guys. Kohala is very vocal. I told them no, no guys, we're working very well with County. But we wanted to come today just to let you know the status and let you know we're working really hard on this. Takase: You're saying that you didn't know where to put your brewpub yet. If you moved it outside, how far outside? Ah Sam: Within the commercial property; probably within the parking lot area. Dorrance: There's a designated place that's already on the application. But we want to get through this part first before we do all other next steps. Takase: So, if you move it to a different location, check with Gail so that we make sure it's part of your license. Ah Sam: If it doesn't go in the part of the building where were proposing, we understanding that will we will have to reengage building permit and design. If that is what holding this project up because of the questions of new construction per se; what we have looked at just building a brand new structure on the same commercial lot within 500 feet, obviously, of the building. It wasn't something we anticipated countering since this business has been there before I was born, for sure. Probably before my mom was born at this point. Takase: Make your brewpub upstairs and that can be your default sprinkler system. Ah Sam: I hear that is really good for fire suppression, actually. Mukai: Mr. Chair, I move that we extend time for issuance of license. Greenwell: One more question, where is the location of this? FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 23 Ah Sam: The old Luke's in Hawi town. Greenwell: Oh, Luke's! Ah Sam: I know, the community is like come on, bring us back our hang out again. So, we're trying. Takaba: Do we have a second? Any further discussion? Taniguchi: Second, is that renovated already? Mr. Taniguchi moved that the Liquor Commission approve the request by Kohala Village Hub Pub & Shop, dba Hub Pub to extend the time issuance of its original Class 18, Small Craft Producer Pub liquor license, for an additional six-months to August 4, 2017; seconded by Ms. Nahale-a. Ah Sam: All we've done is paint and floor. We had to redo the floor because of a big flood in 2014. Taniguchi: Is that koa in the bar side? Ah Sam: Yeah, we've kept all that original structure. We haven't touched anything structurally because it has such good bones. The owner really believes in rehabilitating these old buildings rather than building new. They invested a lot of money. Takase: When did they close? Ah Sam: The previous business closed 2010, 2011, something like that. Then we picked it up in 2014. Dorrance: During the interim, we had the zip line. Ah Sam: The liquor license wasn't available for us to purchase when we purchased the property, it had lapsed too far at that point. Otherwise, like with the Blue Dragon the owner had purchased the liquor license with that. We didn't have that opportunity here. We also weren't anticipating coming up against this knowing that the historical usage of that building. When Clint did the walk through with us, he didn't think it would be a problem because we have more egresses than anybody knows what to do with. I think there's six doors that lead out of the bar area. It's practically outdoor dining. It was something that came up when we again had to start looking and start working with Chris in the Building Department. They've kind of been tossing it back and forth with Fire. Fire says no, it's Building holding it up. We've even had to bring in an outside consultant to work directly with them to get to the bottom of this situation. It's costing us a lot of money. Gonzalez: Domino is a Building Inspector. Kelly Wilson is a Plans Reviewer. Ah Sam: Yes. FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 24 Gonzalez: There is a Plans Review Coordinator, Neil Erickson, that can coordinate everybody. Have they had a meeting with Public Works and Fire in the room at the same time? Ah Sam: The consultant has. Gonzalez: Okay, because the issue here is complicated. It's relating to Fire Safety but it's a provision of the Building Code on whether or not sprinklers are required for a building of that size. Because automatically when you reach a certain size and occupancy, it automatically triggers the need for fire suppression. Ah Sam: Absolutely. Gonzalez: Basically Commissioners, it's something beyond the applicants' control at this point. That's why they need the extension. The agencies that overlap are trying to work it out. That's what she's describing. It's really out of their control at this point. Ah Sam: Absolutely. Takaba: Questions? There were no questions from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commission. Takaba: Motion carried. The motion was carried unanimously. Takaba: Thank you. Ah Sam: Thank you guys very much. Mukai: We'll pray for you. Ah Sam: I know, were trying to do good for our community. I have faith that the County is working together to get us there. It's just got to give everything to take its course. Rather than just jumping to one system, we want to be sure we research all our options. Thank you for the extension. Takaba: We're going to move on to do number three because they're patiently waiting back there. Limberg Inc., dba Oceans Sports Bar and Grill, requests an amended to its liquor license condition for a trial period to keep the Makai and front-facing windows open when live entertainment or amplified entertainment is provided by for DJ before 10:00 P.M. Can you identify yourselves and explain your relation to the business? FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 25 3. Limberg Inc., dba Oceans Sports Bar and Grill, pursuant to Rule 1-16 of the Rules and Regulations of the Liquor Commission of the Department of Liquor Control of the County of Hawaii, State of Hawaii, requests an amendment to its liquor license condition by letter dated and recorded on January 15, 2017, received January 15, 2017, for a trial period to keep the Makai and front-facing windows open when live entertainment or amplified entertainment is provided for by DJ before 10:00 P.M., to its Dispenser General liquor license, Category B2, located at Coconut Grove Marketplace, 75-5811 Alii Drive, Kailua-Kona, Hawaii. Shirley Hull, Manager and Todd Hull, Manager were present. S. Hull: My name is Shirley Hull and I'm a Manager at Ocean's Sports Bar and Grill. T. Hull: My name is Todd Hull and I'm also a Manager at Ocean's Sports Bar and Grill. Takaba: Can you explain your request? S. Hull: Our request is to, for a trial period, allow us to keep our Makai and front-facing windows open while there is live entertainment. What we're trying to get is foot traffic from Ali`i Drive because once our windows are closed a lot of people think we are closed. Between the hours of 6:00 or whenever we start live entertainment until 10:00, we always do close our windows after 10:00. Takase: Mr. Chairman, there is a condition upon the licensee and they had noise problems, I'll say in the distant past. They had asked us if they can amend these conditions to allow them to stay open; well keep the windows open when they do have entertainment. I said we'd be willing to try on a trial basis and that's why we're here to get your consent. I think right now you're proposing to leave the windows open to, leave the windows open till 10:00? S. Hull: Correct. Takase: They will still be open later, but they will close it at 10:00 P.M. And that's the compromise. They recognize that residences are still over and across from there and we hadn't had any complaints. Two weeks ago, we had our Investigators out with the sound meters; both at the condos, down at their places, and various places around Coconut Grove. I'll say from the reports I read, it went well. There were no complaints. I guess as the Department and on their behalf, we are asking you folks to give them a trial period and we will monitor their noise and report back to the Commission, coming forward to amend the conditions. They know they need to perform during this time. It's up to them. Takaba: Yes. Gonzalez: Mr. Director, this is Brandon, Administrative Officer. The test monitoring period occurred on Sunday, January 22"d, and the licensee closed their windows at 9:00 FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 26 P.M., during the test. We took readings Friday, Saturday, and Sunday but they had a live rock band on Sunday the 22nd. Our Investigators working with the licensee were onsite Friday and Saturday to take base line readings so they could make the comparison to their readings on Sunday night. T. Hull: May I add that, we're still serving dinner at that time as well. It's something our patrons have to, we can't just be blowing it out. It is a "Rock and Roll" setting in the evening, but it's still not going to be like a full on rock concert, loud, 'cause we're still serving dinner till 10:00 P.M. We have an oyster special that's going on with that, so were trying to push the combo together in a fun atmosphere. It's going to be louder than maybe a normal general dinner time music, but not so loud that it's blowing everybody out. Additionally we have our neighbor Outback which has their lanai and dining as well. We can't disturb our friends there as well. It can't be very loud because our customers will complain. Takaba: Any questions? Lopez: Is there a time frame for a trial period? Takase: That's up to you guys to establish. Lopez: Okay, and we haven't gotten there yet. Taniguchi: Question for Gerald. Why were the conditions put in the first place? Was it because of them or the previous owner? T. Hull: Might I add, originally when we first opened 14 years ago, we didn't have any idea of what Mr. Takase said that the major complaint was noise as it's just over 500 yards, so we didn't have to notify them when we opened. We had no idea of how the noise would travel, if it was too far or what the deal was so we had all of our windows open. It was just the DJ playing at 10:00. We had bands too as well, but it would all start at 10:00. The Commission came and we had the violation so we came into the meetings, there was no time frame put into anything like that. Anytime we have live entertainment, could be 6:00, 9:00, whatever, we have to shut our windows. That was the restriction put on us. For the last 14 years, we've always done live entertainment after 10:00 because we didn't want to seem like we're closed with those windows shut. So now, it will allow us to do a little more live entertainment, keep the windows open, have a little more dinner business, kind of get all that combined. That was originally what happened. And it worked out great for us actually. But once we did shut the windows, it was better; it created a little dance floor atmosphere, it was better for late night, the neighbors were happier. It turned out to be a good thing and that's why we never really pushed for any time frame monitor or any different hours. Takase: I suspect other things have taken place. Mostly, the vegetation between them and the condos has gotten a little denser. Measured at the condo this time, I think it was minimal. FEBRUARY 2, 2017—LIQUOR COMMISSION MINUTES 27 Gonzalez: In addition to what the licensee said, it was in the mid 2000 that the Commission had fielded complaints from couple of residents residing in the Kona Ali`i Condominium, which is little over 500 feet away from the licensee. If you are familiar with the Coconut Grove area though, there's a lot of licensees in that proximity. As the Director stated, we took measurements from Kona Alii Condo at 20:45, 8:45, and there wasn't anything registering on the meter that went over the noise violation threshold. The sound conditions, the ambient sound was light wind and regular vehicle traffic from Ali`i Drive. Takaba: Any further questions? Lopez: Going back to this period, you're requesting a trial period? What do you have in mind for time? S. Hull: The trial period we had, I know, was two Sundays ago. Brandon and I had spoken and we were doing from 6:00 to 9:00, was the trial period. We were requesting a month for the trial period and we can revisit this if we needed to do a trial period. T. Hull: And really, if there's complaints in the community, we just can't do it. If I remember right, one of the Inspectors, were telling me as they remembered back originally our levels were not actually over the required level, there was just some people that weren't enjoying the late night music. To get back to the question, even if our levels are low and people are not happy with it, we won't be able to do it. So, if we can have a trial period forever but the minute we have the complaint if somethings going wrong, we understand that's over, we can't do it anymore. Lopez: So what I hear you saying is, we'll grant you a trial period? T. Hull: Yes. Lopez: Let's say 30 days, as you suggested. If you get any complaint in that 30 days, you'll cease? T. Hull: Immediately we'll try to fix the problem as far as getting the level down but we should be on top of the levels already. There shouldn't be a problem. Yeah, if it can't be fixed if it's just too loud to have the windows open for some reason, we're not going to come in front of you folks if people are complaining. Takase: Let me ask you this. If we give you 30 days, will that run the whole gamut of different types of entertainment you'll have? S. Hull: It should, but, right now we are also having trouble finding bands and reggae bands. T. Hull: Sunday is kind of going to be the rock night. Rock and roll afternoon/evening. And Friday and Saturdays will be more of the reggae bands and the DJ's will start up later. So we've kind of been still working out the details of when we would want the FEBRUARY2,2017-LIQUOR COMMISSION MINUTES 28 reggae bands to start and that kind of a thing. But yes, that would run the gamut absolutely of all the entertainment we would have. Takase: Maybe if I can suggest, maybe we'll give them a two month trial period. That would give them a chance to show us all the different types of entertainment where we can keep track of them. If, assuming that you have complaints, then we'll just stay at where we're at. But if they don't have any complaints, what has to happen is they will have to come in to formally amend the conditions. That will require a notice to surrounding property owners again as well as a public hearing to amend the conditions. It's probably about a 3 or 4 month process anyway. Lopez: I'm familiar with the location. Where does the band sit in relative to your floor space? T. Hull: The Makai window where Humpy's is there and the back window facing the back with the music shooting back. Lopez: So the window will be open behind and the window to the left? T. Hull: Correct. S. Hull: Right now, both the windows are closed and the lanai people if we do entertainment can't see anything. Can't see the band or anything because the windows closed. Lopez: Understood. Mukai: I'm in favor of granting them the trial period but I'm looking at more of a six month period. The reason why is because condos; a lot of the owners are not there every day. A lot of condo unit owners might live in the mainland. So I'm thinking, down the road if you don't have any complaints and you come in for a license you'll have more credence if the trial period goes longer. Two months or six months doesn't make that much of a difference to me. But I'm thinking you'll have firmer ground to stand on if and when you do apply for the change in license, where you actually gave it a longer trial period where some of the people that lived here only once every third month, they had the opportunity to be in the lodging. Lopez: Keeping with that thought, it doesn't seem unreasonable. However, if you get an abundance of complaints then we have to do something. No, we can't just let them go for six months? Mukai: No, no. If a complaint comes up we have to nip it in the bud right there. We're giving them a trial period. It's not set in stone where it's going to be for six months. If something happens in between, it has to be addressed. Takase: We still take complaints during that time. If there are lots of complaints then your trial will end. FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 29 T. Hull: Can I ask that will it be possible to, if there were no complaints, be some way to maybe extend the trial period while were going through the process of ratifying the original license? So we can kind of keep it consistent. Takase: Let's assume you have no complaints. We'll probably let you run during the time you're mailing your notices. T. Hull: Fantastic. Takaba: Why don't we say up to six months at the discretion of the department? Taniguchi: I have a question. You're the expert, but I mean why "Rock and Roll" on Sunday instead of Saturday? T. Hull: Well, our Saturday crowd is, I guess the younger crowd, more into the reggae style music. Just to get a different style of music and more people. We haven't done bands in years and we've been looking for reggae bands and there are two of them that are trying to get their guys back together. There's probably six rock and roll bands that want to play, so partly because there's a lot of rock and roll bands, maybe there's more rock and roll fans. We've been talking to David Lawrence from the radio station to come have his band play. I guess variety to answer your question. Taniguchi: So they'd rather have it on Saturday than Sunday? T. Hull: I worry we would alienate our Saturday crowd, turn them off. That's not what they're into. Mukai: The reason why I would like to approve this, is that normally the crowd that they're looking at, they come later anyway. At 10:00, the plan is to close the windows and that's when they're probably going to crank it up anyway. So, I don't think realistically when we have a reggae band come in, the crowd is not going to be there hopping and jumping. The younger crowd comes late. Takase: Or like they said they're still at dinner service. Mukai: Correct. I think it should be a non-issue. S. Hull: And, not saying just rock bands. Let's say Friday evening from six to nine, a one person acoustic, that's something we'd also like to look into. But right now, because of our conditions we're also not able to do that either, even if it's not a band. Gonzalez: So, in discussing it with the licensee, Ms. Hull, two things. The band that was observed on the night the Investigators were there was a five piece band; with one bass, one lead singer, one lead guitar, one drummer and one keyboarder, amplified. And the licensee dinner service hours that was describe by them is 6:00 to 9:00, for your information. S. Hull: So what we started with was a three-piece band. They did an acoustic set till 9:00. After 9:00, we closed our windows and the drummer and I think the bass, I'm not FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 30 too familiar, came in after that and turned into a five piece band after we closed our windows. So it was the three-piece and during dinner service when they first came in. Mukai: Mr. Chair? That's actually good. So what I gathered now is the music you are looking at for dinner music, isn't going to be the reggae band? It's going to be a progression, in that sense because you're having meals, correct? T. Hull: Correct. Mukai: Mainly, be the acoustic version of the reggae band and later on after dinner hours are over, then the whole band will come on and the music starts slamming? S. Hull: It was like that on that Sunday. There may be more bands that start at 8:00, with the three-piece the whole time. But like I said, we have a really good relationship with our neighbor Outback and they have a lanai seating. If there are complaints that it's too loud for their customers, I would work with John. T. Hull: Those are our two biggest factors, our dinner service and we can't upset John at Outback folks. Right there, we all have to be able to handle the music and enjoy it. Mukai: I move that we issue them a, what's the verbiage? An exemption, a trial period in regards to the opening of the windows and doors facing the Makai up to six months or at the discretion of the department, up to 10:00 P.M. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission approve Limberg Inc., dba Ocean Sports Bar and Grill's request to temporarily amend its liquor license condition, for a trial period at the discretion of the Department of Liquor Control for up to six months to keep the Makai and front-facing windows open when live entertainment or amplified entertainment is provided for by DJ before 10:00 P.M., to its Dispenser General liquor license, Category B2, located at Coconut Grove Market Place, 75-5811 Alii Drive, Kailua-Kona, Hawaii; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Any discussion? Takaba: None. All those in favor of the motion say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commission. Takaba: Motion carried. The motion was carried unanimously. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 31 Takaba: Let's go back to the Agenda. Item No. 2. The Other Bar LLC dba The Hilo Town Tavern requests an extension of approval of Application of its Change of Class from Dispenser General liquor license to Class 18, Small Craft Producer Pub, for an additional six months to May 5, 2017. 2. The Other Bar, LLC dba Hilo Town Tavern, pursuant to Rule 4-2-M of the Rules and Regulations of the Liquor Commission of the Department of Liquor Control of the County of Hawaii, State of Hawaii, requests an extension of approval of application of its Change of Class from Dispenser General liquor license to Class 18, Small Craft Producer Pub, for an additional six months to May 5, 2017. Taniguchi: Motion first then discuss? Takaba: Yeah. Taniguchi: Move to approve. Nahale-a: Second. Mr. Taniguchi moved that the Liquor Commission approve the request by The Other Bar, LLC, dba Hilo Town Tavern for an extension of approval of application for a Change of Class from Dispenser General liquor license to Class 18, Small Craft Producer Pub, for an additional six-months to May 5, 2017; seconded by Ms. Nahale-a. Taniguchi: Discussion? Taniguchi: Which one is this one Gerald? Takase: Hilo Town Tavern is downtown. He has similar problems to Hub Pub. He's trying to create a brew station in the back but he's running into code problems as well. It gets bounced back between the agencies. It's taking them longer than expected. We don't want to become part of that problem. So we tell them just apply for your extension and we'll support it. Greenwell: When these people come in for an extension and ask for six-month and they say they've been going back and forth for eight or nine months to a year. Is there a way we can give them a little bit more time because it's right in line with them opening the business and if something comes back here six months. Takase: We typically give them one year to get going and then a six-month extension. After that, it's every six months to make sure we don't lose track of them. They wanted to come in but we don't usually require them to appear. Just so we know that they're actually doing something. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 32 Takaba: Anything further? All those in favor of the motion for an extension for six months to May 5, 2017 for The Other Bar LLC dba Hilo Town Tavern say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: No. 4, Kealakekua Ranch, Ltd., dba Choice Mart, submits letter dated January 6th regarding a change of Officer Rhonda Kavanagh from COO to CEO and the removal of Damien Souza and James Beaumont as Directors, effective January 1, 2017. 4. Kealakekua Ranch, Ltd., dba Choice Mart, submits letter dated January 6, 2017, regarding a change of Officer Rhonda Kavanagh from COO to CEO and the removal of Damien D. Souza and James H. Beaumont as Directors, effective January 1, 2017, to its Retail General liquor license, located at 82-6066 Mamalahoa Highway, Captain Cook, Hawaii. Mukai: Move to accept the ratification. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify Kealakekua Ranch, Ltd., dba Choice Mart, requests of change of Officer Rhonda Kavanagh from COO to CEO and the removal of Damien D. Souza and James H. Beaumont as Directors, effective January 1, 2017, to its Retail General liquor license, located at 82-6066 Mamalahoa Highway, Captain Cook, Hawaii; seconded by Mr. Taniguchi. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners Takaba: Motion carried. The motion was carried unanimously. FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 33 Takaba: No. 5, VIP Spa Limited Liability Partnership dba VIP Spa, requests withdrawal of partners Luie Wong and Yenni Wong and admission of new partner Kenny Hoang Do, to its pending liquor license application. 5. VIP Spa Limited Liability Partnership dba VIP Spa, requests withdrawal of partners Luie Wong and Yenni Wong and admission of new partner Kenny Hoang Do, to its pending liquor license application for a Dispenser Beer and Wine liquor license, Category A, located at the Sunset AIi`i Plaza, 75-5799 Ali`i Drive, Unit A-4B, Kailua-Kona, Hawaii, TMK: 7-5-009:030. Takaba: Motion? Mukai: Move to accept information provided for by applicant. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission accept VIP Spa Limited Liability Partnership dba VIP Spa, requests to withdraw partners Luie Wong and Yenni Wong and admission of new partner Kenny Hoang Do, to its pending liquor license application for a Dispenser Beer and Wine liquor license, Category A, located at the Sunset Alii Plaza, 75-5799 Alii Drive, Unit A-4B, Kailua-Kona, Hawaii, TMK: 7-5-009:030; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item No. 6, Kuki`o Golf and Beach Club, Inc., dba Kuki`o Golf and Beach Club, Inc., submits Personal History and Affidavit statements for James McClain Hoak, Jr., Roderick Nelson Reed, and Amy Yang, as Directors, who replaces William S. Thompson, Brett White, and David Zierk. Motion? 6. Kuki`o Golf and Beach Club, Inc., dba Kuki`o Golf and Beach Club, Inc., submits Personal History and Affidavit statements for James McClain FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 34 Hoak, Jr., Roderick Nelson Reed, and Amy Yang, as Directors, who replaces William S. Thompson, Brett White, and David Zierk received on December 20, 2016, and January 24, 2017, respectively, effective January 1, 2017, to its Club liquor license, Category B2, located at the 87 Mile Marker on Queen Ka`ahumanu Highway, Ka`upulehu, North Kona, Hawaii, TMK: 7-2-017:015, 29, 31, and 32, and 7-2-016:001 through 008, and 7-2-036-012. Mukai: Move to accept Personal History and Affidavit statements regarding the said individuals. Greenwell: Second. Mr. Mukai moved that the Liquor Commission accept Kuki`o Golf and Beach Club, Inc., dba Kuki`o Golf and Beach Club, Inc., Personal History and Affidavit statements for James McClain Hoak, Jr., Roderick Nelson Reed, and Amy Yang, as Directors, who replaces William S. Thompson, Brett White, and David Zierk received on December 20, 2016, and January 24, 2017, respectively, effective January 1, 2017, to its Club liquor license, Category B2, located at the 87 Mile Marker on Queen Ka`ahumanu Highway, Ka`upulehu, North Kona, Hawaii, TMK: 7-2-017:015, 29, 31, and 32, and 7-2-016:001 through 008, and 7-2-036:012; seconded by Mr. Greenwell. Takaba: Moved and seconded. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item No. 8, Umeke's, LLC dba Umeke's Kuakini Center, submits an Application for a Change to Class 2, Restaurant liquor license to its Dispenser General liquor license. 8. Umeke's, LLC dba Umeke's Kuakini Center, submits an Application for a Change to Class 2, Restaurant liquor license to its Dispenser General FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 35 liquor license, Category B1, located at Kuakini Center, 74-5563 Kaiwi Street, #112, Kailua-Kona, Hawaii, TMK: 7-4-010:005. Takaba: Motion? Mukai: Move to accept the application. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission accepted Umeke's, LLC dba Umeke's Kuakini Center, Application for a Change to Class 2, Restaurant liquor license to its Dispenser General liquor license, Category B1, located at Kuakini Center, 74-5563 Kaiwi Street, #112, Kailua-Kona, Hawaii, TMK: 7-4-010:005; seconded by Mr. Taniguchi. Mukai: Question. Why is he doing that? Takaba: Discussion? Takase: Because if they change to a Restaurant license, it affords them some greater privileges. Right now it used to be, resealed wines, but we since then granted that to others. The greatest thing right now is catering privileges. They can cater off premises. You will see Umeke's will be coming in pretty soon to increase their premises. I think they're going to go to the adjacent place. Here's an example of a business that has done very well. Takaba: Anything else? All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commission. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item 9, Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, ratification of Application of Entertainment Permit for Live Music on Friday evening held on January 6, 13, 20, and 27, 2017 and Saturday evening held on January 14, 2017 9. Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, ratification of Application of Entertainment Permit for Live Music on Friday evening held on January 6, 13, 20, and 27, 2017 and Saturday evening held on January 14, 2017, approved by Director Gerald Takase on January 3, 2017, to its Retail General liquor license, located at 35-2031 Old Mamalahoa Highway, Papa`aloa, Hawaii. Mukai: Move to ratify. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 36 Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Entertainment Permit for Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, to its Retail General liquor license, located at 35-2031 Old Mamalahoa Highway, Papa'aloa, Hawaii, for Live Music on Friday evening held on January 6, 13, 20, and 27, 2017 and Saturday evening held on January 14, 2017, approved by the Director on January 3, 2017; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item 10, Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, ratification of Application of Entertainment Permit for Live Music on Saturday evening held on January 21, 2017. 10. Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, ratification of Application of Entertainment Permit for Live Music on Saturday evening held on January 21, 2017, approved by Director Gerald Takase on January 18, 2017, to its Retail General liquor license, located at 35-2031 Old Mamalahoa Highway, Papa'aloa, Hawaii. Mukai: Move to ratify. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Entertainment Permit for Papa'aloa Market & Café LLC dba Papa'aloa Country Store & Café, to its Retail General liquor license, located at 35-2031 Old Mamalahoa Highway, Papa'aloa, Hawaii, for Live Music on Saturday evening held on January 21, 2017, approved by the Director on January 18, 2017; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Discussion? FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 37 There was no discussion from the Commission. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: No. 11, Aqua Hospitality LLC dba Hilo Naniloa Hotel, ratification of Application for Teen Event Permit for the Teen Dance in the Crown Room held on January 15, 2017. 11. Aqua Hospitality LLC dba Hilo Naniloa Hotel, ratification of Application for Teen Event Permit for the Teen Dance in the Crown Room held on January 15, 2017, approved by Director Gerald Takase on January 13, 2017, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawaii. Mukai: Move to ratify. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Teen Event Permit for Aqua Hospitality LLC dba Hilo Naniloa Hotel, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawaii, for the Teen Dance in the Crown Room held on January 15, 2017, approved by the Director on January 13, 2017; seconded by Mr. Taniguchi. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takase: Commissioners, I did go down to Naniloa yesterday since they opened and they're kind of in full operation. They don't have any full restaurant facilities now so FEBRUARY2,2017-LIQUOR COMMISSION MINUTES 38 they're having Kaleo's from Pahoa cater breakfast, lunch and dinner. We're trying to work out some arrangements for them. Takaba: Item 12, Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Club, ratification of Application for Game Permit for playing cards and Texas Hold'em held on January 9, 23 and 30, 2017, in the Kona Elks Lodge. 12. Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United State of America, dba Kona Elks Club, ratification of Application for Game Permit for playing cards and Texas Hold'em held on January 9, 23 and 30, 2017, in the Kona Elks Lodge, approved by Director Gerald Takase on January 6, 2017, to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M & N, Kailua-Kona, Hawaii. Mukai: Move to ratify. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Game Permit for Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United State of America dba Kona Elks Club, to its Club liquor license, located at 74-5596 Pawai Place, Bays M & N, Kailua-Kona, Hawaii, for playing cards and Texas Hold'em held on January 9, 23 and 30, 2017, in the Kona Elks Lodge, approved by the Director on January 6, 2017; seconded by Mr. Taniguchi. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item 13, Big Island Grill Inc., dba Big Island Grill Inc., ratification of Application for Game Permit for an all-age trading card, video & board game event held on January 13 and 14, 2017, in the Big Island Grill Restaurant. 13. Big Island Grill Inc., dba Big Island Grill Inc., ratification of Application for Game Permit for an all-age trading card, video & board game event FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 39 held on January 13 and 14, 2017, in the Big Island Grill Restaurant, approved by Director Gerald Takase on January 6, 2017, to its Restaurant General liquor license, Category B1, located at 75-5702 Kuakini Highway, Kailua-Kona, Hawaii. Mukai: Move to ratify. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Game Permit for Big Island Gril Inc., dba Big Island Grill Inc., to its Restaurant General liquor license, located at 75-5702 Kuakini Highway, Kailua-Kona, Hawaii, for an all-age trading card, video & board game event held on January 13 and 14, 2017, in the Big Island Grill Restaurant, approved by the Director on January 6, 2017; seconded by Mr. Taniguchi. Takaba: Discussion? There was no discussion from the Commissioners. Takaba: All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Opposed? "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item 14, Kim Mukai LLC dba Kim's at the Hilo Muni, ratification of Application for Temporary Increase in Licensed Premises for the cover patio fronting the restaurant for the Hilo High School Golf Tournament on January 28, 2017. 14. Kim Mukai LLC dba Kim's at the Hilo Muni, ratification of Application for Temporary Increase in Licensed Premises for the cover patio fronting the restaurant for the Hilo High School Golf Tournament on January 28, 2017, approved by Director Gerald Takase on January 25, 2017, to its Restaurant General liquor license, located at the Hilo Municipal Golf Course, 340 Haihai Street, Hilo, Hawaii. Mukai: Move to ratify. Taniguchi: Second. Mr. Mukai moved that the Liquor Commission ratify the Application for Temporary Increase for Kim Mukai LLC dba Kim's at Hilo Muni, to FEBRUARY 2,2017-LIQUOR COMMISSION MINUTES 40 its Restaurant General liquor license, located at the Hilo Municipal Golf Course, 340 Haihai Street, Hilo, Hawaii, for the cover patio fronting the restaurant for the Hilo High School Golf Tournament on January 28, 2017, approved by the Director on January 25, 2017; seconded by Mr. Taniguchi. Takaba: Moved and seconded. Discussion? There was no discussion from the Commissioners. Takaba: Hearing none. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Those opposed. "Nay." There was no opposition from the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Special Licenses issued for ratification. Chair requests a motion for ratification of Special License Application Nos. SP-16-53 to and including Application No. SP-16-57, Item Nos. 15(a) to 15(e). Mukai: Move to ratify licensee application Nos. as mentioned. Mukai: Second. Mr. Mukai moved that the Commission ratify the following Special Licenses: a. Application No. SP-16-53, Akaka Falls Lions Club dba Akaka Falls Lions Club of District 50 HI Lions, for a Special General liquor license, held at Nani Mau Gardens, 421 Makalika Street, Hilo, Hawaii on January 29, 2017. b. Application No. SP-16-54, Kahilu Theatre Foundation dba Kahilu Theatre Foundation, for a Special Beer and Wine liquor license, held inside Kahilu Theatre, 67-1186 Lindsey Road, Kamuela, Hawaii on January 14, 21, and 28, 2017. c. Application No. SP-16-55, Kahilu Theatre Foundation dba Kahilu Theatre Foundation, for a Special Beer and Wine liquor license, held inside Kahilu Theatre, 67-1186 Lindsey Road, Kamuela, Hawaii on February 9, 11, 12, 14, 16, 18, 24 and 25, 2017. d. Application No. SP-16-56, Hawaii Island Chamber of Commerce dba Hawaii Island Chamber of Commerce, for a Special Beer and FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 41 Wine liquor license, held at Big Island Toyota, 811 Kanoelehua Avenue, Hilo, Hawaii on January 19, 2017. e. Application No. SP16-57, The Friends of the Palace Theatre dba The Friends of the Palace Theatre, for a Special Beer and Wine liquor license, held in the lobby of the Palace Theatre, 38 Haili Street, Hilo, Hawaii on January 26, 2017. The motion was seconded by Mr. Taniguchi. Takaba: Moved and seconded. If there's no objection, we're going to make a correction to 15(3) to 15(e). Any objections? There were no objections from the Commissioners. Takaba: Hearing none. Takaba: Any discussion? There were no discussion from the Commissioners. Takaba: Hearing none. All those in favor say, "Aye." The Commissioners voted "Aye." Takaba: Those opposed? There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item No. 16, Transient Vessel Licenses issued for ratification. Again, I'd like to request a motion for ratification for Transient Vessel Licenses Application No. TV-16-36 to and including Application No. TV-16-42, Item Nos. 16(a) to No. 16(g). Mukai: Move to ratify Transient Vessel Licenses Nos. as mentioned. Taniguchi: Second. Mr. Mukai moved that the Commission ratify the following Transient Vessel Licenses: a. Application No. TV-16-36, Waldron Norton Lilly International, Inc., dba Sirena, for a Transient Vessel liquor license in port Hilo, Hawaii on January 13 and May 28, 2017. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 42 b. Application No. TV-16-37, Waldron Norton Lilly International, Inc., dba Insignia, for a Transient Vessel liquor license in port Hilo, Hawaii on January 27, 2017. c. Application No. TV-16-38, Waldron Norton Lilly International, Inc., dba Seven Seas Navigator, for a Transient Vessel liquor license in port Hilo, Hawaii on January 30, 2017. d. Application No. TV-16-39, Waldron Norton Lilly International, Inc., dba Europa, for a Transient Vessel liquor license in port Hilo, Hawaii on April 28, 2017. e. Application No. TV-16-40, Waldron Norton Lilly International, Inc., dba Crystal Serenity, for a Transient Vessel liquor license in port Hilo, Hawaii on May 31, 2017. f. Application No. TV-16-41, Waldron Norton Lilly International, Inc., dba Europa, for a Transient Vessel liquor license in port Kailua-Kona, Hawaii on April 24, 2017. g. Application No. TV-16-42, Waldron Norton Lilly International, Inc., dba Crystal Serenity, for a Transient Vessel liquor license in port Kailua-Kona, Hawaii on June 1, 2017. The motion was seconded by Mr. Taniguchi. Takaba: Moved and seconded. Discussion? There were no discussion from the Commissioners. Takaba: All those in favor say, "Aye." The Commissioners voted "Aye." Takaba: Those opposed? There was no opposition by the Commissioners. Takaba: Motion carried. The motion was carried unanimously. Takaba: Item No. 17. Discussion on House Bill 707. 17. Discussion on House Bill 707 Takase: I included this item on the Agenda. House Bill 707 is a bill that was introduced by a Representative or Senator, Agaran, from Maui. It's a fall out from the Maui problems that they're having. One particular interest to Honolulu, they asked us to weigh in on is to appoint or remove the administrator subject to the advice and consent FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 43 of the legislative body. It doesn't really affect anybody that's currently in because we're already in, but it will be in the future. For those of you that are new, what had happened last legislative session was that Maui had some problems interpreting their rules to specifically to with dancing in premises. These guys were sitting at the bar and dancing to music and the Inspectors came in and cited them. It should've ended with the Director saying, "Not a problem." They let it go through; they got cited, they got held in violation and fined. These bar owners had some clout with the Legislature. They took a bill forward saying that the Liquor Commissions could not enforce such rules unless they actually defined dancing which none of us had defined and none of us really had a problem. But also as part of that, they also said I think the Commissions have too much authority. One of their other actions that was to take away the wording in the statute that said the Commissions had full, complete authority over these matters. It said that they would now share it with any other government authority, and leaving it to the Mayors as well as the Council. Honolulu is reading this as a further derogation of the Commission's rights that right now you have the ability to hire and fire the Directors. It's going to try and cap that and say that all those actions need to go through the legislative body as well. It's hard to say that it's a bad thing, but they see the break in the armor and it's trying to stop it strongly. I think what the Legislature and probably the Councils are looking at one day is to grab our funding which we will probably fight but I'm sure the industry will fight as well. They are kind of seeing this progression and they're opposed to it. They asked us to support that measure so I said I would need to bring it to you folks. I have my own opinion but it's not really the opinion for the Department. There's about five other things in here, but I think we can probably live with. The rest are not a problem. It would just be Section 1 that we would be submitting testimony in support of Honolulu and Kauai in opposing this section. Maui has been strangely silent on the matter. Mukai: Mr. Chair, I would like to speak in support of our opposition to Section No. 1. Several of us are Commissioners on this body and served on the Water Board and Maui's Water Board has lost their autonomy and now all their funds are going to the general fund. Its chaos. The Water Department is in dire straits. If this is pointing in that direction, I would be strongly opposed that our Department lose its semi-autonomous position. Greenwell: Mr. Chair, I would second Mr. Mukai's sentiments. But in looking at the email that was sent out by Director Takase, I feel that he is a professional in his right and he is probably closer to this and I would intend to follow his opposition to this Section 1. Takaba: Any further discussion before someone makes a motion? Lopez: I also object to this change. Director Takase said you can't argue that it may not be right or wrong. Well, having served in the County Council for a number of years and seeing what happened with the makeup of the Council. Potentially granting control of approval of mayoral or department head appointees. It's just another chip in the FEBRUARY2, 2017-LIQUOR COMMISSION MINUTES 44 department that the County Council has lot to clean up at their own house regarding this same subject before they start trying to grab power. For all those reasons, I stand opposed to this. Taniguchi: Just to clarify. Gerald, you are in favor of opposing this? Takase: Yes, I would recommend opposing this. Takaba: When we go to the Legislature to testify are you going as a Department or with the Commission. Takase: That's why I came to you folks. If you folks approve it, then we will go as a Department with the support of our Commission. Mukai: Mr. Chair? I move that we totally support Director Takase in his objection to the House Bill 707. Greenwell: Second. Takaba: Moved and seconded. Discussion? Nahale-a: I have a question. Are we opposing the whole bill itself or just Section 1? Takase: Really only Section 1. The other sections we could live with. The rest of them whether they pass or not, it's not that critical. Section 2 talked about omitting a temporary license if they have tax clearance problems, which we already allow. Section 3, defining an irreputable way to. Hard to define, but usually it's that they don't have prior violations, criminal records, that types of things. I don't think it's been a problem for us. Section 4, same thing. Criminal record checks. We don't actually run criminal record checks but we're not opposed to having something along those lines. In fact, we actually do make at least certify that they have no criminal record. Section 5, whether Investigator are covered in the course and scope for their activities. We do have mechanisms to handle that if they are found to be operating within the scope and course of their activities then we will provide defense coordinately. There will probably be cases where they are operating illegally or beyond what we determine to be the scope and probably deny that coverage. We have had several cases in the past and this long ago past, where we have had Investigator that were involved in bribery type cases. I'll say they did have the gall to ask for representation. It was denied. I think we have a pretty good handle on it so I don't see that as being a problem as well. Takaba: The motion was to object? Mukai: No, motion was to support Director Takase's opposition. Takase: Just for Section 1. Mukai: I'd like to comment along those same lines. Opposition is better when it's definitive rather than carte blanche. They know that we read the bill and it holds more credence. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 45 Takaba: Any further discussion? If none, all those in favor of the motion, signify by saying "Aye." The Commissioners voted "Aye." Takaba: Motion carried. The motion was carried unanimously. IX. Announcements Takaba: The next meetings, March 2, 2017 and will be in Hilo at Department of Liquor Control at the Lagoon. After that we meet again back in Kona at the West Hawaii Civic Center on April 6,,2017. Meetings of Liquor Commission: March 2, 2017, 10:00 A.M., Meeting Room, Department of Liquor Control, Hilo Lagoon Centre, 101 Aupuni Street, Unit 230, Hilo, Hawaii. April 6, 2017, 10:00 A.M., Meeting Room, Department of Liquor Control, West Hawaii Civic Center, 74-5044 Ane Keohokalole Highway, Building B, 2nd Floor, Kailua-Kona, Hawai'i. Takaba: Do we have any other announcements? Takase: None. Taniguchi: Move to adjourn. Mukai: Second. Takaba: Moved and seconded. All those in favor say "Aye." The Commissioners voted "Aye." Takaba: Motion carried. Meeting adjourned at 11:31 a.m. .J.,..., - d Takase Di -ctor The February 2, 2017, Liquor Commission Minutes were approved as circulated via email/mail on February 23, 2017, by the Liquor Commission of the County of Hawaii on March 2, 2017. FEBRUARY 2, 2017-LIQUOR COMMISSION MINUTES 46