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HomeMy WebLinkAbout2018-01-04 Liquor Commission MinutesHILO LAGOON COUNTY OF HAWAII DEPARTMENT OF LIQUOR CONTROL LIQUOR COMMISSION JANUARY 4, 2018 CENTRE, 101 AUPUNI STREET, UNIT 230, HILO, HAWAII I. Call To Order The meeting was called to order by Chair Art Taniguchi at 10:00 A.M., in the Meeting Room, Department of Liquor Control, Hilo Lagoon Centre, 101 Aupuni Street, Unit 230, Hilo, Hawaii. The following were present and constituted a quorum: Commissioners: Art Taniguchi, Chair Shelby Nahale-a, Vice Chair Michael Hughes, Commissioner Claude Onizuka, Commissioner David Greenwell, Commissioner Stephen Lopez, Commissioner Absent and Excused: William Takaba, Commissioner Warren Arakaki, Commissioner Others Present: Gerald Takase, Director Brandon Gonzalez, Administrative Officer Renee Schoen, Assistant Corporation Counsel Gail Fujimoto, Licensing Officer Stacie Waltjen, Licensing Tech I Dorsi Lim, Secretary to the Board & Commission (Inaudible) Mr. Taniguchi welcomed those present and reminded everyone to put their phones on vibrate or silent mode. He began the meeting with introductions. Takase: Gerald Takase, Director. Gonzalez: Good morning, Brandon Gonzalez, Administrative Officer. Hughes: Michael Hughes, Commissioner. Onizuka: Claude Onizuka, Commissioner. Schoen: Renee Schoen, Assistant Corporation Counsel. Taniguchi: Art Taniguchi, Chair. Nahale-a: Shelby Nahale-a, Commissioner. Greenwell: David Greenwell, District 9 Commissioner. Lopez: Steven Lopez, Commissioner. Lim: Dorsi Lim, Secretary to the Board and Commission. Fujimoto: Gail Fujimoto, Licensing Officer. II. Approval of Minutes (Inaudible) Mr. Taniguchi asked for a motion to approve the minutes of the December 7, 2017, meeting, circulated via email on January 3, 2018. Mr. Onizuka moved to approve; seconded by Mr. Greenwell. There was no discussion from the Commissioners. The Commissioners voted "Aye." There was no opposition by the Commissioners. The motion was carried unanimously. III. Approval of Addendum and/or Supplemental Agenda (Inaudible) Mr. Taniguchi informed the Commissioners that there were addendums to the agenda and pursuant to Section 92-7, Hawaii Revised Statutes, as amended, Items 1, 2, and 3 are proposed amendments to the agenda. It was determined the proposed amendments were of no reasonable major significance nor would they affect a significant number of persons. The items were proposed for placement on the agenda by two-thirds vote of the Commission. 1. Preliminary Hearings, Item No. 2, CHANGE paragraph to read: 2. Application No. 17-19, (10:00 A.M.) Blue Velvet Entertainment, LLC, dba C7 Music Cafe, for an original Dispenser General liquor license, Category 82, located at 69 Waianuenue Avenue, Hilo, Hawai`i, TMK: 2-3-003:033. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 2 2. New Business, Items No. 11 and 13, CHANGE paragraphs to read: 11. Hawaiian Ola Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held on December 31, 2017, approved by Director Gerald Takase on December 28, 2017, to its Small Craft Producer Pub liquor license, Category 81, located at 74-5598 Luhia Street, Kailua-Kona, Hawai`i. 13. Last Call Saloon LLC, dba Last Call Saloon, ratification of request to extend hours of business on December 31, 2017, into the morning of January 1, 2018, until 2:00 A.M., submitted on December 19, 2017, approved by Director Gerald Takase on December 19, 2017, to its pending liquor license application, located at 45-3490 Mamane Street, Unit G, Honoka`a, Hawaii, TMK: 4-5-006:014. 3. New Business, Item No. 16, ADD new paragraph to read: 16. Company Rum LLC, dba Company Rum LLC, submits Articles of Conversion, Appointment of Agent for Service of Process and Agreement to Pay Dissenting Member, Shareholder or Partner and Certificate of Conversion from a Hawaii limited liability company to a Hawai`i corporation under the name Kuleana Spirits, Inc., located at 61-3270 Maluokalani Street, #86, Kawaihae, Hawai`i, TMK: 6-1-006:015, with effective date of conversion August 16, 2017. It was moved and seconded to approve the proposed Addendum Items 1, 2 and 3 to the agenda. The motion passed by the following roll call vote: Ayes: 6 (Lopez, Greenwell, Nahale-a, Taniguchi, Onizuka, Hughes); Nays: 0; Absent: 2; Vacant: 1. IV. Public Statements on Agenda Items There were no public statements. V. Public Hearings (Inaudible) 1. Application No. 17-11 Big Island Distillers Inc., dba Big Island Distillers, for an original Small Craft Producer Pub liquor license, Category A, located at the Ka`ahumanu Plaza, 74-5467 Kaiwi Street, Building 1, Bay #5, Kailua-Kona, Hawaii, TMK: 7-4-015:017. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 3 David Puckett, President of Big Island Distillers was present. Mr. Puckett described his business as being small with him being the only employee at present. He is looking at producing a thousand cases per year, which he considers small- scale compared to other distillers. There was discussion between Mr. Lopez and Director Takase about the category of the license (Category A). Takase: He has that Category, but he doesn't have to do everything in it. Lopez: Understood. But if he chooses to at some point, would he have to come back? Takase: No. He would be set to go, that's why he has an entertainment category. He could have a restaurant attached to this for instance, then you just need to classify it with what they have, if there's live entertainment (inaudible). Lopez: So it's a matter of best suitability given the situation, with the Category? Takase: It's the best Category for him to start off with. Lopez: Thank you. Taniguchi: Are there any other questions? (Inaudible). Is there anything you'd like to add? Puckett: Being that I'm the only employee, I have a three-year projection right now. If I'm able to sell that thousand cases, I'll have about an eleven percent profit margin. As my whiskey ages longer in barrels, on the premise that for two years of aging my profit margin jumps quite a bit because those bottles will be (inaudible) that much longer. It sounds like a lot. I have a schedule where my distillery will run two times a day on Monday, Thursday and Friday. The other days will be geared for reporting, cleaning, sanitizing, (inaudible) and such like that. So as far as I'm concerned, it's very doable for me. On the bottling side, I'll be bottling my own bottles, and labeling my own bottles. If we break it down to how many days a year I'll be working, I need to bottle about 60 bottles a day which I'll be able to accomplish on Tuesdays and Wednesdays. I'll be able to bottle for the whole week. I plan to probably open retail sales out of there on Tuesdays and Wednesdays. I have safety concerns. I can't be disturbed while I'm distilling so I can't be stopping in the middle to sell a bottle. If I get someone to help me, there goes my profit margin. (Inaudible) Puckett: I was going to make a half traditional bourbon recipe and the other half a sugar (inaudible) and then a straight sunny spirit. I'm juggling with a (inaudible). I have a friend and we (inaudible) that are (inaudible) approved under his license and (inaudible). But it was approved by the (inaudible). Vodka takes more elaborate equipment to distill, but I do have plans to add a third line of an Okinawa sweet potato, purple potato and honey vodka. I'm hoping that will be a big seller. Vodka doesn't take much skill to distill. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 4 Takase: Mr. Puckett, we're going to host a National conference in June. We actually have contact with one of the Kentucky bourbon distillers that's coming. If you want, we could put you in contact with them. Puckett: Ok, that'll be great. I was reading up on some of the latest stuff and they said that the next best bourbons in the United States probably won't come from Kentucky. Takase: I think it's been said that maybe 200-300 bourbon distillers popped up in the last five years. Puckett: There was a law in effect for a long time that you couldn't call it a bourbon unless it was made in Kentucky. That law's no longer in effect, but to be called bourbon, it has to contain 51% corn. I'm going to look into Hawaiian Sweet Corn here so that I can possibly call it a bourbon. If not, it's classified as a whiskey. Taniguchi: That's interesting. Any other questions? There were no questions from the Commissioners. Taniguchi: If not, can we have a motion to close public hearing? Nahale-a: Move to close public hearing. Onizuka: Second. Ms. Nahale-a moved to close the public hearing; seconded by Mr. Onizuka. Taniguchi: Moved and seconded to close public hearing. Any other discussion? There was no discussion from the Commissioners. Taniguchi: If not, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. Thank you. The motion was carried unanimously. Greenwell: Good luck. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 5 Taniguchi: May we have a motion to approve Application No. 17-11? Lopez: Move to approve, pending final inspection. Taniguchi: Any second? Nahale-a: Second. Mr. Lopez moved to approve Application No. 17-11, Big Island Distillers Inc., dba Big Island Distillers, for an original Small Craft Producer Pub liquor license, Category A, located at the Ka`ahumanu Plaza, 74-5467 Kaiwi Street, Building 1, Bay #5, Kailua-Kona, Hawai`i, TMK: 7-4-015:017, pending final inspection; seconded by Ms. Nahale-a. Taniguchi: Seconded by Shelby. Any discussion? There was no discussion from the Commissioners. Taniguchi: If not, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. Thank you. The motion was carried unanimously. Puckett: Thank you very much for your time. Nahale-a: Thank you. Taniguchi: Application No. 17-13, Kim & Kang LLC, dba K's House, for an original Dispenser General liquor license, Category B1, located at the King Kamehameha Mall, 75-5626 Kuakini Highway, Suite #9, Kailua-Kona, TMK: 7-5-005:005. Any applicant? Is the applicant here? 2. Application No. 17-13 Kim & Kang LLC, dba K's House, for an original Dispenser General liquor license, Category B1, located at the King Kamehameha Mall, 75-5626 Kuakini Highway, Suite #9, Kailua-Kona, Hawaii, TMK: 7-5-005:005. Eric Kim, representing property owner Kim & Kang was present. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 6 Taniguchi: Good morning. Kim: Good morning. How are you? Nahale-a: Good morning. Taniguchi: Would you please identify yourself and your relationship to the business? Kim: My name is Eric Kim. I'm representing property owner Kim & Kang of K's House. Taniguchi: Are you familiar with the report? Kim: Yes. Taniguchi: Have you read the report and do you have any changes to it? Kim: No changes. Taniguchi: Can you briefly describe the business? Kim: It's a Korean barbeque restaurant, about 8,000 square feet. It's still under construction, and it's about 80% done right now. They have about 1,900 square feet outside, a patio, and a little over 7,000 square feet of a dining room combined together. They will be selling beer and wine and some other light liquors and they will have live entertainment on the patio area for the tourists and local people. About 70% of sales are food. Taniguchi: Thank you. Director, any reports of protest? Takase: Mr. Chairman, the applicant mailed 13 out of 13 notices within 100 feet, 46 out of 46 within 500 feet. There were 27 properties entitled to protest. There were no protests to this application. Taniguchi: Thank you. Is there any public testimony? There was no reply from the public. Taniguchi: Commissioners, any questions? Onizuka: I have a question. According to the drawings here, there is a restroom facility that's being built? Kim: Yes. Onizuka: And that is strictly for the restaurant? Kim: Yes, for the restaurant. The property itself has a public restroom also. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 7 Onizuka: Is the public restroom downstairs? Kim: Yes, it's downstairs. Onizuka: In the corner? Is it ADA compliant? Kim: Yes. Onizuka: It is? Kim: We are relocating a new public restroom which is facing the Kuakini Highway. We just got the building permits and all that and they comply to the ADA. Onizuka: On the first floor? Kim: Yes. Onizuka: Is that going to be a public restroom open to all? Kim: Yes, sir. Takase: Will they enter that through the back alley? Kim: Yes, there's access to the (inaudible) and all that. The inspector came out and they inspected the (inaudible) map, so it should be okay. Onizuka: Will this restroom will be completed when the restaurant opens? Kim: Yes, before that. Onizuka: The public restroom? Kim: Yes. Onizuka: The reason why I questioned that restroom matter, just for your information, we've been hearing things about the restrooms being so far away that people who patronize the shops there, like Sunflower, are urinating in the parking lot. Kim: Well, you have to understand that the property itself has a lot of homeless people, the shelter, for a long time. We bought the property over a year ago and we want to clean it up by bringing the right tenants to the property. One of the tenants is spending over a million dollars to bring in the right restaurant. We are still struggling to clean up the property in there. Actually, the public restroom was located on the second floor which wasn't in compliance with the ADA restroom. That's why we relocated the public restroom in the back area which is on the first floor now. We're trying to bring everything up to code and bring in the right tenants to the property. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 8 Onizuka: Okay, that's what we've been hearing, so that was my concern. Kim: Yes, and beyond that, we hired a new security company to do more "clean up" around the property. Onizuka: This is going to be a fairly Targe restaurant, right? Kim: Yes, sir. Onizuka: Sixteen employees and only two liquor cardholders? Kim: Well, according to Kim & Kang, the size of the bar is not really huge compared to the size of the patio area. I say two or maximum three people operating the bar with the license should be enough. That's how I look at it. Plus, 70 to 80 percent of their sales are mostly food, barbeque and stuff like that. It's a family oriented restaurant they're trying to create. Onizuka: Okay. We don't care about how much food you serve. Anytime you serve liquor, you need a cardholder there. Kim: Yes, I'm sure they have. Onizuka: Thank you. Takase: Does Ms. Kang have a restaurant in California or Texas? Kim: She owns two restaurants and is opening one in downtown pretty soon. Takase: Downtown? Kim: Yes, downtown in Texas. Dallas, Texas. Takase: She's not going to be here? Kim: She's going to be here once we have a grand opening here. She owns a separate restaurant and has staff members that follow her wherever the location is that she opens. As a property owner, I went there and checked their operations and they got pretty good recommendations from the city of Dallas. I have a great confidence about how they'll operate the business here in Kona. Takase: Is her entertainment going to be out in the patio area? Kim: Inside the patio area there used to be a little stage. (Inaudible). We renovated the whole stage and inside the patio area so that we've created a small stage for the live entertainment. Takase: What kind of entertainment? JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 9 Kim: Local musicians and traditional Hawaiian; plus any kind of music that we can bring that will entertain the locals and tourists. Takase: They're not planning for a late night nightclub? Kim: No, no, they can't do that. We already put it in the lease. They aren't going to be operating any nightclub. I'm not going to allow it. Takase: Is there an awning or covering over the patio area? Kim: Are you talking about the roof? That's the area where we're going to put the bar and a little storage. Takase: What's going to be outside by the umbrellas? Kim: We have outside tables; five tables with the umbrellas. They're trying to create the L.A. style outdoor atmosphere out there. And of course, they're going to use the deck area. I'm really looking forward to the opening. Takase: Are they going to maintain the fence around there? Kim: Yes. Takase: Thank you. Taniguchi: I have a question. Since it's a Korean barbeque place, are you going to cook on the table? Kim: Yes. They have 25 barbeque tables. They have a huge area for groups and they can have family events. They have the space for a group of tourists with a minimum of 50 people. Taniguchi: So you cook on the table? Kim: Yes. I don't know if you're familiar with the Korean barbeques in L.A. or Honolulu or not. Taniguchi: That's why my question is, I've been to several different ones. How's the smoke going to be handled? Is the smoke going to be sucked down or up? Kim: We have a downdraft. Before they had an oven hood, but we put more money into it to make a downdraft. The smell will go down the table. You don't have any barbeque smell on you. Kim: It's two hours from Hilo, but come on down. It's going to be a good place there. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 10 Taniguchi: Thank you. No other questions? There were no questions from the Commissioners. Taniguchi: Can I have a motion to close public hearing? Nahale-a: Move to close public hearing. Greenwell: Second. Ms. Nahale-a moved to close the public hearing; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: If not, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Motion to approve? Nahale-a: Move to approve Application No. 17-13, pending final inspection. Greenwell: Second. Ms. Nahale-a moved to approve Application No. 17-13, Kim & Kang LLC, dba K's House, for an original Dispenser General liquor license, Category B1, located at the King Kamehameha Mall, 75-5626 Kuakini Highway, Suite #9, Kailua-Kona, Hawaii, TMK: 7-5-005:005, pending final inspection; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any other discussion? There was no discussion from the Commissioners. Taniguchi: If not, all those in favor signify by saying, "Aye." JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 11 The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. Thank you very much. The motion was carried unanimously. Nahale-a: Thank you. Kim: Thank you. Taniguchi: Application No. T17-16, RCSH Operations, Inc., dba Ruth's Chris Steak House, for a sale and transfer of the Restaurant General liquor license, Category BI, currently held by Lava Coast Steak House, LLC, dba Ruth's Chris Steak House, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Building E, Suite 121, Kohala Coast, Hawaii, TMK: 6-8-022:002. 3. Application No. T17-16 (10:00 A.M.) RCSH Operations, Inc., dba Ruth's Chris Steak House, for a sale and transfer of the Restaurant General liquor license, Category B1, currently held by Lava Coast Steak House, LLC, dba Ruth's Chris Steak House, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Building E, Suite 121, Kohala Coast, Hawai'i, TMK: 6-8-022:002. Newton Chu, Esq., representing the applicant was present. Chu: Good morning. Taniguchi: Mr. Chu? Chu: Mr. Chairman and members of the Commission, I want to wish you a Happy New Year first of all. Newton Chu on behalf of the applicant, RCSH Operations, Inc. No changes to the report. I'll just give you a quick summary: we were before you last month in Kona notifying you of the transfer from Desert Island Restaurants or Lava Coast Steak House which is an Arizona based franchisee to the parent company Ruth's Hospitality Group. Their operating entity is this RCSH, Inc. which is a limited California operation. The business will be the same. "Let our people eat steak" is not their motto, but that's what I say. Specially aged steaks, high end restaurant, very, very high price point, in the Mauna Lani Shops. No changes to the personnel or operations or hours. Taniguchi: Director, any report of protests? JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 12 Takase: Mr. Chairman, this is a sale and transfer. No notice of mailings were made. Publication was made and there were no protests to the application. Taniguchi: Is there any public testimony? There was no reply from the public. Taniguchi: Commissioners, do you have any questions? There were no questions from the Commissioners. Taniguchi: If none, can we have a motion to close public hearing? Nahale-a: Move to close public hearing. Greenwell: Second. Ms. Nahale-a moved to close the public hearing; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: If not, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: May I have a motion to approve Application No. T17-16? Nahale-a: Move to approve Application No. T17-16, pending final inspection. Greenwell: Second. Ms. Nahale-a moved to approve Application No. T17-16, RCSH Operations, Inc., dba Ruth's Chris Steak House, for a sale and transfer of the Restaurant General liquor license, Category B1, currently held by Lava Coast Steak House, LLC, dba Ruth's Chris Steak House, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Building E, JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 13 Suite 121, Kohala Coast, Hawaii, TMK: 6-8-022:002, pending final inspection; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: If none, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Chu: Thank you very much. Greenwell: Newton, have a nice day. Nahale-a: Happy New Year. Chu: I have to stay. I have the next one. VI. Preliminary Hearings Taniguchi: Preliminary hearings, Item No. 1, Application No. 17-18, Maui Tacos H1, Inc., dba Maui Tacos, for a Change in Kind of its liquor license from Dispenser Beer and Wine to Dispenser General, Category B1, located at the Prince Kuhio Plaza, 111 E. Puainako Street, Space No. 605, Hilo, Hawaii, TMK: 2-2-047:006. 1. Application No. 17-18 Maui Tacos H1, Inc., dba Maui Tacos, for a Change in Kind of its liquor license from Dispenser Beer and Wine to Dispenser General, Category B1, located at the Prince Kuhio Plaza, 111 E. Puainako Street, Space No. 605, Hilo, Hawaii, TMK: 2-2-047:006. Newton Chu, Esq., representing the applicant, and Mandy Kanaiaupio, Manager were present. Taniguchi: Mr. Chu? Chu: Good morning, Mr. Chairman and members of the Commission. Again, Happy New Year to all of you. I'm here on behalf of Dave Jorgensen who is the Corporate Counsel for JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 14 Maui Tacos. Mr. Jorgensen has a hearing right now in Maui. To my left, Mandy Kanaiaupio, Manager of Maui Tacos in Hilo. We have no changes to the report. Taniguchi: Can you describe the business? Chu: It's a Mexican food, beer and wine, across the theaters in Prince Kuhio Plaza, some of the finest tacos in all of Hilo, burritos as well. Right? Kanaiaupio: Yup. Taniguchi: Is there any public testimony? There was no reply from the public. Taniguchi: If none, Commissioners? Any questions? There were no questions from the Commissioners. Taniguchi: If none, can we have a motion please? Nahale-a: Move to approve Application No. 17-18. If approved, public hearing to be held March 1, 2018, in Hilo, Hawaii. Greenwell: Second. Ms. Nahale-a moved to approve Application No 17-18, Maui Tacos H1, Inc., dba Maui Tacos, for a Change in Kind of its liquor license from Dispenser Beer and Wine to Dispenser General, Category B1, located at the Prince Kuhio Plaza, 111 E. Puainako Street, Space No. 605, Hilo, Hawaii, TMK: 2-2-047:006, if approved, public hearing to be held on March 1, 2018, in Hilo, Hawai`i; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: If none, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 15 Chu: Is it March 1st or March 8th? Taniguchi: It's the first Thursday. Chu: The letter says March 8th. Can you change that? Taniguchi: Yes, it's usually the first Thursday. Nahale-a: Thank you. Chu: Great to see all of you. See you later. Happy New Year. Taniguchi: Item No. 2, Application No. 17-19, Blue Velvet Entertainment, LLC, dba C7 Music Cafe, for an original Dispenser General liquor license, Category B2, located at 69 Waianuenue Avenue, Hilo, Hawaii, TMK: 2-3-003:033. 2. Application No. 17-19 Blue Velvet Entertainment, LLC, dba C7 Music Cafe, for an original Dispenser General liquor license, Category B2, located at 69 Waianuenue Avenue, Hilo, Hawaii, TMK: 2-3-003:033. Darryl Castillo and Paul Mangus, Managers of C7 and Blue Velvet were present. Taniguchi: Good morning. Castillo: Good morning. Mangus: Good morning. Taniguchi: Can you identify yourselves and your relation to the business? Castillo: My name is Darryl Castillo. I'm the Manager for C7 and Blue Velvet. Mangus: Paul Mangus, also Manager. Taniguchi: Have you read the report? Any changes to the application or the report? Castillo: No. Mangus: It's good. Taniguchi: Can you please describe the business? Castillo: Myself and Paul are police officers. Before becoming a police officer, Paul worked many years in the restaurant industry on Oahu. For myself, along with being a JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 16 police officer, I'm also a professional musician. I still play actively. Born and raised in Hilo, I lived on Oahu for about twenty years in my college days. When I came back here and looked around, I saw there's not too many places that offer live music, where the music is featured. I've played professionally for about 30 years and everytime they tell us to go in the corner. A lot of people sometimes go to a restaurant for the music. Recently, we had the opportunity to meet with the owners of the building. If you're not familiar with the building, it's off Waianuenue where the Poke Market is. Ernie Gray is an expert sushi chef and he's going to partner with us. He worked at Nobu Sushi in New York for many years. He's going to do the food and we're basically going to run the front house and do live music. We're going to have sushi, sandwiches, and salads. He has a cold kitchen already, so I'm working in conjunction with him. Basically, the business will provide live music and entertainment. For me, if I want to take my wife and family out someplace, there's not many places that have live music where we can eat good food and just hang out. I'm not going to go to the Tavern and I'm not going to go to Karma's. There's just not too many places. We just want to create someplace to hang. You can come and just enjoy a nice meal and some live music. Mangus: So, basically, what Darryl's trying to say is that our demographic is going to be focused on the older crowd. We're not looking to do any kind of a nightclub. Twenty-one to thirty -year-olds, we're going to try to stay away from. Castillo: They're welcome to come, too. Mangus: Yes, they're welcome to come, but, our focus will be on the older demographic. Castillo: That's the people I play for already. I play at the Naniloa Hotel, top side, the Hula Lounge. I play the first and third Tuesdays each month. Tonite I play at Cafe Pesto. That's the demographic. And when we looked around in town, there's not too many places that offer that—that style of live music. Taniguchi: No one is here, so there's no public testimony. Commissioners, questions? There were no questions from the Commissioners. Taniguchi: I'm just looking at the picture, but, where's this building? Castillo: My wife works for the Chock family, and she manages the properties, residential and commercial. Taniguchi: It's right below Keawe? Takase: It's right by the old Bank of Hawai'i. Castillo: Yes, right below Keawe. The big gravel parking lot, there's a building in the back. We cleaned up the whole place, made it look nice, and we have our own parking there. We have about forty stalls, which is unique for the downtown area. It's probably one of the only buildings that has that much parking; besides Bank of Hawaii. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 17 Takase: You're working only on the weekends? Castillo: Yes, for now we're going to start and work only on Fridays and Saturdays and see how that goes. Takase: How early are you going to be working on the food trucks? Castillo: We're working on the SMA right now. We meet with the Mayor on the ninth, next week Tuesday. Because we have paid parking during the week, we can just open it for a night market in the parking area. We're working on that concurrently with the building. Greenwell: Where does the C7 come from? Castillo: C7 is a chord. If you're a musician, C7 is a chord. And also, my last name is Castillo, and with my kids and wife, that makes seven. And 7 is God's number. It's a dominant chord in music. Taniguchi: Any other questions? Nahale-a: I have a question. What's the capacity of the room? Castillo: Inside, fifty. Nahale-a: Not a bad size. You can still be intimate. Castillo: Right. It's a nice little space. It has a stage that's already set. There's only cosmetic stuff we have to do. It used to be a church at one time. That's why there's a stage in there. It's a nice space. Nahale-a: For the record, I just want to note that it is near Connections, a public charter school. But they're not operating during school -time hours. Takase: I think actually their entrance is from Kam Avenue, so you kind of "cut back" into them. Castillo: We have two entrances. We can come in from Waianuenue and we have an easement that comes from Kalakaua. Nahale-a: I just wanted to note that. I don't see a concern with that. Taniguchi: Commissioners, any other questions? There were no questions from the Commissioners. Taniguchi: If none, can I have a motion? JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 18 Onizuka: Move to approve Application 17-19, if approved, public hearing to be held March 1, 2018, in Hilo. Nahale-a: Second. Mr. Onizuka moved to approve Application No. 17-19, Blue Velvet Entertainment, LLC, dba C7 Music Cafe, for an original Dispenser General liquor license, Category B2, located at 69 Waianuenue Avenue, Hilo, Hawaii, TMK: 2-3-003:033, if approved, public hearing to be held on March 1, 2018, in Hilo, Hawaii; seconded by Ms. Nahale-a. Taniguchi: Moved and seconded. Any other discussion? There was no discussion from the Commissioners. Taniguchi: If none, all those I favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Thank you very much. Greenwell: Good luck. Nahale-a: Thank you. Castillo: Thank you. Mangus: Thank you. VII. Unfinished Business Taniguchi: Unfinished business. None. VIII. New Business Taniguchi: Under New business, Item No. 1, Foodland Supermarket, Limited, dba Foodland (Keaau), located at the Kea'au Town Center, 16-586 Old Volcano Road, Suite 102, Kea'au, Hawaii; dba Foodland Farms, located at The Shops at Mauna Lani, JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 19 68-1330 Mauna Lani Drive, Suite 200, Kohala Coast, Hawaii; dba Foodland Super Market -Waimea, located at the Parker Ranch Center, 67-1185 Mamalahoa Highway, Space 109A, submits Minutes and the resignation of Alan Teruo Tsuruda as an Officer of the Corporation, effective September 8, 2017, and received November 2, 2017. 1. Foodland Super Market, Limited, dba Foodland (Keaau), located at the Kea'au Town Center, 16-586 Old Volcano Road, Suite 102, Kea'au, Hawaii; dba Foodland Farms, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Suite 200, Kohala Coast, Hawaii; dba Foodland Super Market -Waimea, located at the Parker Ranch Center, 67-1185 Mamalahoa Highway, Space 109A, Kamuela, Hawaii; dba Sack 'N Save (Kinoole), located at 250 Kino'ole Street, Hilo, Hawaii; dba Sack 'N Save (Kona), located at the Lanihau Center, 75-5595 Palani Road, Kailua-Kona, Hawaii and dba Sack 'N Save (Puainako), located at the Puainako Town Center, 2100 Kanoelehua Avenue, Hilo, Hawaii; submits Minutes and the resignation of Alan Teruo Tsuruda as an Officer of the Corporation, effective September 8, 2017, received on November 2, 2017. Taniguchi: Can we have a motion to accept? Onizuka: Move to accept. Nahale-a: Seconded. Mr. Onizuka moved to accept the Minutes and the resignation of Alan Teruo Tsuruda as an Officer of the Corporation, effective September 8, 2017, and received November 2, 2017, for Foodland Super Market, Limited, dba Foodland (Keaau), located at the Kea'au Town Center, 16-586 Old Volcano Road, Suite 102, Kea'au, Hawaii; dba Foodland Farms, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Suite 200, Kohala Coast, Hawaii; dba Foodland Super Market -Waimea, located at the Parker Ranch Center, 67-1185 Mamalahoa Highway, Space 109A, Kamuela, Hawaii; dba Sack 'N Save (Kinoole), located at 250 Kino`ole Street, Hilo, Hawaii; dba Sack 'N Save (Kona), located at the Lanihau Center, 75-5595 Palani Road, Kailua-Kona, Hawaii and dba Sack 'N Save (Puainako), located at the Puainako Town Center, 2100 Kanoelehua Avenue, Hilo, Hawaii; seconded by Ms. Nahale-a. Taniguchi: Moved and seconded. Any questions? There were no questions from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 20 Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 2, Karma Hawaii, LLC, dba Karma HI, ratification of Application for Temporary Increase in Licensed Premises to its back parking lot. It was approved by Brandon Gonzalez on December 6, 2017. 2. Karma HI, LLC, dba Karma HI, ratification of Application for Temporary Increase in Licensed Premises, to its back parking lot for a beer garden and outdoor concert to include live music held on December 8, 2017, approved by Administrative Officer Brandon Gonzalez on December 6, 2017, to its Cabaret liquor license, located at 124 Maka'ala Street, Hilo, Hawai'i. Nahale-a: Move to ratify. Greenwell: Second. Ms. Nahale-a moved to ratify the Application for Temporary Increase in Premises, for Karma HI, LLC, dba Karma HI, to its back parking lot for a beer garden and outdoor concert to include live music held on December 8, 2017, approved by Administrative Officer Brandon Gonzalez on December 6, 2017, to its Cabaret liquor license, located at 124 Maka'ala Street, Hilo, Hawaii; seconded by Mr. Greenwell. Taniguchi: Discussion? No. All those in favor signify by saying, "Aye." There was no discussion from the Commissioners. The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 3, RY-5, Inc., dba Roy's Waikoloa Bar and Grill, submits Personal History and Affidavit for Michael John Webber, as President, effective November 1, 2017. 3. RY-5, Inc., dba Roy's Waikoloa Bar and Grill, submits Personal History and Affidavit for Michael John Webber, as President, effective JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 21 November 1, 2017, received on November 30, 2017, to its Restaurant General liquor license, Category B2, located at the Kings' Shops, 250 Waikoloa Beach Drive, Suite E-1, Waikoloa, Hawaii. Onizuka: Move to accept. Nahale-a: Second. Mr. Onizuka moved to accept the Personal History and Affidavit for Michael John Webber, as President, effective November 1, 2017, received on November 30, 2017, for RY-5, Inc., dba Roy's Waikoloa Bar and Grill, to its Restaurant General liquor license, Category B2, located at the Kings' Shops, 250 Waikoloa Beach Drive, Suite E-1, Waikoloa, Hawaii. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: If none, all those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 4, Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge, ratification of Application for Game Permit for a Texas Hold'em Dinner held on December 11 that was approved by Director Gerald Takase on November 30, 2017. 4. Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge, ratification of Application for Game Permit for a Texas Hold'em Dinner held on December 11, 2017, approved by Director Gerald Takase on November 30, 2017, to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M and N, Kailua-Kona, Hawaii. Greenwell: Move to approve. Nahale-a: Second. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 22 Mr. Greenwell moved to ratify the Application for Game Permit for a Texas Hold'em Dinner held on December 11, 2017, approved by Director Gerald Takase on November 30, 2017, for Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M and N, Kailua-Kona, Hawaii; seconded by Ms. Nahale-a. Taniguchi: Moved and seconded. All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 5, Kona, Hawai'i, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge, ratification of Application for Game Permit for Bingo held on December 18, 2017, approved by Director Gerald Takase on November 30, 2017. 5. Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge, ratification of Application for Game Permit for Bingo held on December 18, 2017, approved by Director Gerald Takase on November 30, 2017, to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M and N, Kailua-Kona, Hawaii. Nahale-a: Move to ratify. Greenwell: Second. Ms. Nahale-a moved to ratify the Application for Game Permit for Bingo held on December 18, 2017, approved by Director Gerald Takase on November 30, 2017, for Kona, Hawaii, Lodge No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Lodge to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M and N, Kailua-Kona, Hawai`i; seconded by Mr. Greenwell. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 23 Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 6, Kona Snorkel and Sail, LLC, dba Kona Style (on board vessel "Noa Noa"), submits Proposed Changes to LLC withdrawing members Hau 0 Ma`ihi LLC and Bite Me Fish to Go, Corp., adding Holualoa Enterprises LLC as new member, and Personal History and Affidavit for Walter Kaleo 0 Kalani Nakoa and Alexander John Lilikalani McGuire, Members of Holualoa Enterprises LLC, and notice of change address of authorized representatives, effective December 1, 2017. 6. Kona Snorkel and Sail, LLC, dba Kona Style (on board vessel "Noa Noa"), submits Proposed Changes to LLC withdrawing members Hau 0 Ma`ihi LLC and Bite Me Fish to Go, Corp., adding Holualoa Enterprises LLC as new member, Personal History and Affidavit for Walter Kaleo 0 Kalani Nakoa and Alexander John Lilikalani McGuire, Members of Holualoa Enterprises LLC, and notice to change address of authorized representatives, effective December 1, 2017, and received on December 5, 2017, to its Tour or Cruise Vessel liquor license, Category B1. Nahale-a: Move to accept. Onizuka: Second. Ms. Nahale-a moved to accept the Proposed Changes to LLC withdrawing members Hau 0 Ma`ihi LLC and Bite Me Fish to Go, Corp., adding Holualoa Enterprises LLC as new member, Personal History and Affidavit for Walter Kaleo 0 Kalani Nakoa and Alexander John Lilikalani McGuire, Members of Holualoa Enterprises LLC, and notice to change address of authorized representatives, effective December 1, 2017, and received on December 5, 2017, for Kona Snorkel and Sail, LLC, dba Kona Style (on board vessel "Noa Noa"), to its Tour or Cruise Vessel liquor license, Category B1; seconded by Mr. Onizuka. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 24 Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 7, JTJ Enterprises, dba Quinn's, ratification of Application for Temporary Increase in Licensed Premises, to its front parking area for food and beverage for a special event held on December 9, 2017, approved by Director Takase on December 7, 2017. 7. JTJ Enterprises, dba Quinn's, ratification of Application for Temporary Increase in Licensed Premises, to its front parking area for food and beverage for a special event held on December 9, 2017, approved by Director Gerald Takase on December 7, 2017, to its Restaurant General liquor license, Category B2, located at 75-5655 Palani Road, Kailua-Kona, Hawaii. Nahale-a: Move to ratify. Onizuka: Second. Ms. Nahale-a moved to ratify the Application for Temporary Increase in Licensed Premises, to its front parking area for food and beverage for a special event held on December 9, 2017, approved by Director Gerald Takase on December 7, 2017, for JTJ Enterprises, dba Quinn's, to its Restaurant General liquor license, Category B2, located at 75-5655 Palani Road, Kailua-Kona, Hawaii; seconded by Mr. Onizuka. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 25 Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 8, Hawaiian Ola Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held December 15, 2017, approved by Director Takase on December 13, 2017. 8. Hawaiian Ola Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held on December 15, 2017, approved by Director Gerald Takase on December 13, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawaii. Lopez: Move to ratify. Greenwell: Second. Mr. Lopez moved to ratify the Application for Temporary Increase in Licensed Premises for a special event held on December 15, 2017, approved by Director Gerald Takase on December 13, 2017, for Hawaiian OIa Brewing Corporation, dba Ola Brew Co., to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawaii. Taniguchi: Moved and seconded. Onizuka: Mr. Chair, this Ola Brewing apparently has about three or four items. Can we combine them? Taniguchi: I was looking at that. Can we combine it, Renee? Schoen: Yes. Taniguchi: Can we take Items No. 8, 9, 10 and 11 then? Chair requests motion to ratify Items 8 through 11, for Hawaiian Ola Brewing Corporation, dba Ola Brew Co. 8. Hawaiian OIa Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held on December 15, 2017, approved by Director Gerald Takase on December 13, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawaii. 9. Hawaiian Ola Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held on December 16, 2017, approved by Director Gerald Takase JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 26 on December 13, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawaii. 10. Hawaiian Ola Brewing Corporation, dba Ola Brew Co., submits Personal History and Affidavit for Brett Russell Jacobson, President and Director, effective September 29, 2016, received on January 6, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawai'i. Permanent liquor license issued on December 14, 2017. 11. Hawaiian Ola Brewing Corporation, dba Ola Brew Co., ratification of Application for Temporary Increase in Licensed Premises for a special event held on December 31, 2017, approved by Director Gerald Takase on December 28, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawaii. Greenwell: Move to ratify Items 8, 9, 10 and 11. Lopez: Second. Mr. Greenwell moved to ratify the Applications for Temporary Increase in Licensed Premises for Hawaiian Ola Brewing Corporation, dba Ola Brew Co., to 74-5598 Luhia Street, Kailua-Kona, Hawai`i, for events held on December 15, 16 and 31, 2017, approved by Director Gerald Takase on December 13 and 28, 2017, and to accept the Personal History and Affidavit for Brett Russell Jacobson, President and Director, effective September 29, 2016, received on January 6, 2017, to its Small Craft Producer Pub liquor license, Category B1, located at 74-5598 Luhia Street, Kailua-Kona, Hawai`i; seconded by Mr. Lopez. Taniguchi: Moved and seconded. Discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 27 Taniguchi: Item No. 12, Chatcharat, LLC, dba The Royal Thai Cafe, submits an Application for a Change to Class 2 Restaurant liquor license to its Dispenser General liquor license, Category B1, located at the Keauhou Shopping Village. 12. Chatcharat, LLC, dba The Royal Thai Cafe, submits an Application for a Change to Class 2 Restaurant liquor license to its Dispenser General liquor license, Category B1, located at the Keauhou Shopping Village, 78-6831 Alii Drive, K-2 & K-3, Kailua-Kona, Hawaii, TMK: 7-8-010:040. Taniguchi: Motion? Greenwell: Motion to ratify. Taniguchi: To approve? Greenwell: Motion to approve. Taniguchi: Second? Nahale-a: Second. Mr. Greenwell moved to approve the Application for a Change to Class 2 Restaurant liquor license to its Dispenser General liquor license, Category B1, for Chatcharat, LLC, dba The Royal Thai Cafe, located at the Keauhou Shopping Village, 78-6831 AIi`i Drive, K-2 & K-3, Kailua-Kona, Hawaii, TMK: 7-8-010:040; seconded by Ms. Nahale-a. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Last CaII Saloon LLC, dba Last Call Saloon, ratification of request to extend hours of business on December 31, 2017, into the morning of January 1, 2018, until 2:00 A.M., approved by Director Takase on December 19, 2017. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 28 13. Last Call Saloon LLC, dba Last Call Saloon, ratification of request to extend hours of business on December 31, 2017, into the morning of January 1, 2018, until 2:00 A.M., submitted on December 19, 2017, approved by Director Gerald Takase on December 19, 2017, to its pending liquor license application, located at 45-3490 Mamane Street, Unit G, Honoka`a, Hawaii, TMK: 4-5-006:014. Onizuka: Move to ratify. Lopez: Second. Mr. Onizuka moved to ratify the request to extend hours of business on December 31, 2017, into the morning of January 1, 2018, until 2:00 A.M., submitted on December 19, 2017, approved by Director Gerald Takase on December 19, 2017, for Last Call Saloon LLC, dba Last CaII Saloon, to its pending liquor license application, located at 45-3490 Mamane Street, Unit G, Honoka`a, Hawaii, TMK: 4-5-006:014; seconded by Mr. Lopez. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 14, Lava Coast Steak House, LLC, dba Ruth's Chris Steak House, requests to transfer liquor inventory for sale and transfer of the Restaurant General liquor license, Category B1, to RCSH Operations, Inc., dba Ruth's Chris Steak House, located at The Shops at Mauna Lani. 14. Lava Coast Steak House, LLC, dba Ruth's Chris Steak House, requests to transfer liquor inventory for the sale and transfer of the Restaurant General liquor license, Category B1, to RCSH Operations, Inc., dba Ruth's Chris Steak House, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Building E, Suite 121, Kohala Coast, Hawaii. Onizuka: Move to approve. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 29 Nahale-a: Second. Mr. Onizuka moved to approve the request to transfer liquor inventory for RCSH Operations, Inc., dba Ruth's Chris Steak House, for the sale and transfer of the Restaurant General liquor license, Category B1, located at The Shops at Mauna Lani, 68-1330 Mauna Lani Drive, Building E, Suite 121, Kohala Coast, Hawaii; seconded by Ms. Nahale-a. Taniguchi: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 15, JKL & Associates, LLC, dba E Komo Mai Lounge, ratification of Application for Temporary Increase in Licensed Premises for a concert to be held on January 6, 2018, approved by the Director Gerald Takase on December 27, 2017. 15. JKL & Associates, LLC, dba E Komo Mai Lounge, ratification of Application for Temporary Increase in Licensed Premises for a concert to be held on January 6, 2018, approved by the Director Gerald Takase on December 27, 2017, to its Dispenser General liquor license, Category B2, located at 340 Kuawa Street, Hilo, Hawaii. Lopez: Move to ratify. Greenwell: Second. Mr. Lopez moved to ratify the Application for Temporary Increase in Licensed Premises for JKL & Associates, LLC, dba E Komo Mai Lounge, for a concert to be held on January 6, 2018, approved by Director Gerald Takase on December 27, 2017, to its Dispenser General liquor license, Category B2, located at 340 Kuawa Street, Hilo, Hawaii. Taniguchi: Moved and seconded. Any discussion? JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 30 There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 16, Company Rum LLC, dba Company Rum LLC, submits Articles of Conversion, Appointment of Agent for Service of Process and Agreement to Pay Dissenting Member, Shareholder or Partner and Certificate of Conversion from a Hawaii limited liability company to a Hawaii corporation under the name Kuleana Spirits. 16. Company Rum LLC, dba Company Rum LLC, submits Articles of Conversion, Appointment of Agent for Service of Process and Agreement to Pay Dissenting Member, Shareholder or Partner and Certificate of Conversion from a Hawaii limited liability company to a Hawaii corporation under the name Kuleana Spirits, Inc., located at 61-3270 Maluokalani Street, #B6, Kawaihae, Hawaii, TMK: 6-1-006:015, with effective date of conversion August 16, 2017. Lopez: Motion to approve. Taniguchi: Motioned to approve, any second? Nahale-a: Second. Mr. Lopez moved to approve the Articles of Conversion, Appointment of Agent for Service of Process and Agreement to Pay Dissenting Member, Shareholder or Partner and Certificate of Conversion from a Hawaii limited liability company to a Hawaii corporation under the name Kuleana Spirits, Inc., for Company Rum LLC, dba Company Rum LLC, located at 61-3270 Maluokalani Street, #B6, Kawaihae, Hawaii, TMK: 6-1-006:015, with effective date of conversion August 16, 2017; seconded by Ms. Nahale-a. Taniguchi: Discussion? None. There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 31 The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 17, Special Licenses issued for ratification. 17. Special Licenses Issued for ratification a. Application No. SP -17-59, Boys and Girls Club of The Big Island, dba Boys and Girls Club of The Big Island, for a Special General liquor license, held in the Kaikodo Ballroom, 2nd floor above Jackie Rey's Ohana Grill, 60 Keawe Street, Hilo, Hawaii, on December 15, 2017. Taniguchi: May I have a motion to ratify Special Licenses, SP -17-59? Greenwell: Yes, I'II give you that motion. Taniguchi: Second? Nahale-a: Second. Mr. Greenwell moved to ratify the following Special Licenses: a. Application No. SP -17-59, Boys and Girls Club of The Big Island, dba Boys and Girls Club of The Big Island, for a Special General liquor license, held in the Kaikodo Ballroom, 2nd floor above Jackie Rey's Ohana Grill, 60 Keawe Street, Hilo, Hawaii, on December 15, 2017. The motion was seconded by Ms. Nahale-a. Taniguchi: Any discussion? There was no discussion from the Commissioners. Taniguchi: All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." JANUARY 4, 2018 — LIQUOR COMMISSION MINUTES 32 There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Taniguchi: Item No. 18, there's nothing. 18. Transient Vessel Licenses issued for ratification None IX. Announcements Taniguchi: Announcements. Next meeting, February 1st in Kona then March 1st in Hilo. Meetings of Liquor Commission February 1, 2018, 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, Hawaii. March 1, 2018, 10:00 A.M., Meeting Room, Department of Liquor Control, Hilo Lagoon Centre, 101 Aupuni Street, Unit 230, Hilo, Hawaii. Taniguchi: Do we have any other business? Takase: Just a reminder to submit your Financial Disclosures. You can turn it in to Dorsi or the Board of Ethics. Lopez: Motion to adjourn. Nahale-a: Second. Taniguchi: Moved and seconded to adjourn. All those in favor signify by saying, "Aye." The Commissioners voted "Aye." Taniguchi: Those opposed, "Nay." There was no opposition by the Commissioners. Taniguchi: Motion carried. The motion was carried unanimously. Meeting adjourned at 10:48 A.M. JANUARY 4, 2018 — LIQUOR COMMISSION MINUTES 33 Id Takase Director The January 4, 2018, Liquor Commission minutes were approved as circulated via e-mail/mail on January 25, 2018, by the Liquor Commission of the County of Hawaii on February 1, 2018. JANUARY 4, 2018 - LIQUOR COMMISSION MINUTES 34