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HomeMy WebLinkAbout2020-05-07 Liquor Commission MinutesCOUNTY OF HAWAII DEPARTMENT OF LIQUOR CONTROL LIQUOR COMMISSION MINUTES — May 7, 2020 WEBEX I. Call To Order The meeting was called to order by Chair Claude Onizuka at 10:00 A.M., via WebEx (tele/video conferencing). The following were present and constituted a quorum: Commissioners: Claude Onizuka, Chair Michael Hughes, Vice Chair Warren Arakaki, Commissioner David Greenwell, Commissioner Ronald Ibarra, Commissioner Dawn Raymond, Commissioner Allen Salave'a, Commissioner Paula Thomas, Commissioner Absent and Excused: None Others Present: Gerald Takase, Director Brandon Gonzalez, Administrative Officer Craig Masuda, Deputy Corporation Counsel Stacie Waltjen, Licensing Officer Dorsi Lim, Secretary to the Board & Commission Onizuka: I'd like to call the meeting to order. My name is Claude Onizuka, Chairman of the Liquor Commission. If everyone participating will set their microphones on mute. We are conducting this meeting virtually via WebEx. Some of us have both audio and video. Some of us just have audio. We are recording this meeting so please remember a couple of things: 1) speak one at a time so that the recording remains very clear; 2) if you want to speak... ...We will now do a roll call to determine who is present for this meeting. Please say present when your name is called. I guess Dorsi is going to do the roll call. Lim: Commissioner Warren Arakaki? Arakaki: Present. n Lim: Commissioner David Greenwell? Greenwell: Present. Lim: Commissioner Ron Ibarra? Ibarra: Present. Lim: Commissioner Michael Hughes? Hughes: Present. Lim: Commissioner Claude Onizuka? Onizuka: Present. Lim: Commissioner Dawn Raymond? Raymond: Present. Lim: Commissioner Allen Salave`a? Salave`a: Present. Lim: Commissioner Paula Thomas? Thomas: Present. Lim: Gerald Takase, Director? Takase: Present. Lim: Brandon Gonzalez, Administrative Officer? Gonzalez: Present. Lim: Craig Masuda, Deputy Corporation Counsel? Masuda: Present. Lim: Stacie Waltjen, Licensing Officer. Waltjen: Present. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 2 -^. Lim: Marcus Bender, Owner? There was no response. Takase: We'll get to them as they come on (the rest of them). Lim: Okay. Takase: Let's just call them, you don't have to check them (in). There were technical difficulties in continuing the roll call of participants. Bender: Excuse me, can you hear me? This is Marcus Bender. Takase: Yes. Bender: Okay, thank you. Takase: We can go to the Approval of Minutes. Onizuka: Moving on to Agenda Item Roman numeral II. Approval of Minutes. II. Approval of Minutes Onizuka: The March 5, 2020, meeting minutes were circulated via email/mail on April 30, 2020. There is a correction on page 23, line 11, it should read, "Thomas: Know where your food comes from." That's the only action that I saw. If someone will make the motion to accept the minutes, please state your name, make the motion, then state your name and second the motion. Raymond: Move. Greenwell: Second. Ms. Raymond moved to approve the March 5, 2020, minutes as corrected; seconded by Mr. Greenwell. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 3 Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: Moving to agenda Item Roman numeral III. III. Approval of Addendum and/or Supplemental Agenda Onizuka: There is an addendum to the agenda. Pursuant to Section 92-7, Hawaii Revised Statutes, as amended, Item 1 is the 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. 1. New Business, ADD Item Nos. 25 and 26: 25. COVID 19 Updates and Actions • Discussion regarding inquires of selling alcohol from a vehicle much like an "ice cream truck" • Discussion regarding inquiries for dispenser and restaurant licensees being allowed to sell their own alcoholic mixed cocktails for take-out and delivery in conjunction with take-out and delivery food service • Discussion — deferring payments of liquor license renewal fees until latter part of the year 26. Par Hawaii, LLC, dba NOMNOM Express (Kaumana) and NOMNOM Express (Honoka`a), approval to extend the time issuance, for good cause shown, of its approved Retail General liquor licenses, located at 370 Kaumana Drive, Hilo, Hawaii, and 45-3533 Mamane Street, Honoka`a, Hawaii, for an additional six months, from May 7, 2020, to and including November 7, 2020, by letter dated May 5, 2020. Onizuka: Adding Item No. 25, New Business, COVID 19 Updates and Actions, and Item 26, Par Hawaii LLC, dba NOMNOM Express. Can we have a motion to add these items to the agenda? Hughes: So moved. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 4 Raymond: Second. Mr. Hughes moved to approve the addendum to the agenda; seconded by Ms. Raymond. Onizuka: Moved and seconded, any discussion? There was no discussion from the Commissioners. Onizuka: If none, Dorsi, we'll do a roll call vote. Lim: Commissioner Arakaki? Arakaki: Aye. Lim: Commissioner Greenwell? Greenwell: Aye. Lim: Commissioner Hughes? Hughes: Aye. Lim: Commissioner Ibarra? Ibarra: Aye. Lim: Commissioner Raymond? Raymond: Aye. Lim: Commissioner Salave`a? Salave`a: Aye. Lim: Commissioner Thomas? Thomas: Aye. Lim: Chair Onizuka? Onizuka: Aye. Lim: Chair Onizuka, there were 8 Ayes, no Nays. The Ayes have it. Onizuka: Thank you. Moving on to Item No. IV on the agenda. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 5 r-111 -,IN IV. Public Statements on Agenda Items Onizuka: Due to the COVID-19 pandemic and the Governor's orders to stay at home and practice social distancing, the public was instructed to submit public testimony in writing by email or fax by noon on Wednesday, May 6, 2020. All written testimony, regardless of time of receipt, will be made a part of the permanent record for each application. Onizuka: Moving on to Item V., Public Hearings. V. Public Hearings Onizuka: 1. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR 18-21 (10:08 A.M.) Pacific Aqua Beverages, LLC Hilo Brewing Company 29-2306 Old Mamalahoa Highway, Bldg. A, Hakalau, Hawaii 2-9-002:079 Original Small Craft Producer Pub, Category B1 Marcus Bender, Owner, was present. Onizuka: Do we have anyone to testify? Bender: This is Marcus Bender. If you need me to testify, I'm here. I'm the owner. Onizuka: Mr. Bender, any changes to the report? Bender: No. Onizuka: Can you describe the business that you are applying for? Bender: We currently have a brewery at 275 East Kawili Street and we want to be able to have the type 18 license so that we can look for a secondary location to open up a taproom location for retailing. Onizuka: Thank you. At this time, we have some testimony. Takase: Claude, the public testimony is for the next applicant. Poindexter: This is Valerie Poindexter. I thought this was going to be a deferred item on the agenda? Takase: Let me clarify. Hilo Brewing Company has two items on the agenda. Number one is for their Hakalau one. Why don't we receive public testimony on the item first? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 6 � -0*N Bender: I was confused. I thought that the item you were asking about was the one on Kawili Street. My apology. Takase: Sorry, we got it backward. Onizuka: (Application No.) 18-21 is the one with all the protests? Takase: Yes. Onizuka: So, we're going to lead with the public testimony? Takase: Yes. Onizuka: The first, is that written testimony by John Kaye? Kaye: I'm here, I don't know if you can hear me or not. Takase: Yes, we can hear you. Poindexter: This is Valerie Poindexter, again. Are we going to... Kaye: I would like to just clarify the situation. I was at this meeting and got cut off, and it took me about fifteen minutes to rejoin. Have we dealt with the Applicant's request to delay this, and/or are we just moving forward and holding off on that decision (until) later? Takase: The way we'll handle this is I'll take all the public testimony first, and we'll deal with the requests after that. Everybody will have a chance to at least have their say. Why don't we take whatever public is going to testify first so everybody has a chance to say their piece? Kaye: Okay, thank you. I provided a written statement a week ago to the Department and I believe the Commissioners have all gotten a copy of that. It's pretty self-explanatory.. I wanted to make one correction on that. I think I quoted a statistic of 72 percent of the registered voters were protesting, and I think it's 69 percent of the registered voters were protesting. I was off by... because I thought there was one more person protesting than was. If you take a look at the statement, I think it's pretty self-explanatory. The idea is that this community of Hakalau is pretty vocal about this situation. They don't want liquor operations in our residential community. We are a residential community made up of families and old people. Mostly, I would say old people, unfortunately, like myself. It is not something that fits in with this community at all and that is why so many people have opposed it. Kaye: The other thing I tried to point out in the statement was, when you look at the people and not vacant lots, when you look at people who live here, the overwhelming numbers of them are protesting. It is only when you get into the 56 percent and the 55 percent protesting, is because you have absentee lot owners who are not protesting. They don't have a dog in the fight, so to speak. Therefore, that's what brought it down MAY 7, 2020 - LIQUOR COMMISSION MINUTES to 55 and 54 percent. But, once you eliminate vacant lot owners and talk about the people who live here, the statistics go way up in terms of who's against it. The reasons are obvious and I put them in my written statement. Kaye: When you look at the protests, you'll see the same kinds of focuses over and over again, which is that the idea that alcohol doesn't mix with a bunch of kids playing in the neighborhood. It doesn't fit with the one -lane bridge and it doesn't fit when you go onto Highway 19, and there have already been three or four accidents happen out there that have been brutal accidents because it's a tough intersection. In terms of ... that's basically where we are with this thing. If there are any questions of me, I will be happy to answer them. Onizuka: Any questions? lbarra: Mr. Chair, my only question is, did you receive the response to the concerns raised? Kaye: Yes, if you're talking about the ones from Mr. Shropshire, I did and I'll comment on that for a couple of minutes. I received them this morning, and they are from the landlord, not from the applicant. I want everybody to realize that. Mr. Shropshire is the landlord, and he wrote both of those documents. The first one is basically him saying he wants a delay and the reasons he says he wants a delay are rather nebulous. The first one being because of coronavirus which I don't really see (has) anything to do with it, except for the fact that he has stated that he believes the coronavirus has prevented him from having neighborhood meetings in which he could campaign in favor of the liquor operation. Kaye: I just felt that was disingenuous because Mr. Shropshire has been making plenty of phone calls about this already, number 1, to people to try to get them in support of it. The second thing is the fact that the law is really clear that once the protests go in, you are not supposed to solicit people to try to get them to withdraw their protest. I wrote that up, and I think that it's mandatory. So, therefore, (that) he would like to "discuss their concerns," is really just an attempt to get them to take back a protest, and he shouldn't be doing that anyway, so that was that. Finally, his other concern was that you do have the right to extend it because of the coronavirus and I believe that is the case. You may, you may not; you chose not to, right, by having this meeting on the seventh remotely, and therefore, there's just no reason to delay it. Kaye: The second thing was a paper talking about why all of our protests are meaningless in terms of the alcohol, the one -lane bridge, the traffic, all of that. The only thing I would say is, he's completely wrong about a hundred cars coming down here a day, that's absurd, it's ridiculous. We have no more post office here. That stopped almost all the cars from coming. Hakalau Beach is closed with a gate up. There are no hundred cars coming down here a day. So, therefore, his attack on the kids for playing on Old Mamalahoa Highway is kind of a silly idea. It's an empty road, right now, that will not be empty once this facility takes place. Okay, I don't know if that answers it. MAY 7, 2020 - LIQUOR COMMISSION MINUTES Forbes: Hello, I'm sorry it took about fifteen minutes to get into this meeting. I don't know where I am in the line-up to testify. Takase: Are there any more questions for John Kaye? There were no further questions for John Kaye. Takase: If not, we'll go our next... Onizuka: Yes, go ahead. Takase: ...and I think Susan Forbes is our next testifier. Forbes: Okay, I, too, also sent in my testimony a week ago so I'm assuming you've all had a chance to see it. I will summarize my opposition to having a brewery in the warehouse, essentially across the street, that it would be embedded in our residential neighborhood, (is) not new. The property owner was notified in 2015, that the community was opposed to having Mehana Brewery set up operations in the warehouse. Since that time, the neighborhood has grown, and there are differing opinions, but a majority of both our registered voters and property owners within 500 feet are opposed to granting this license. All the residents within 500 feet along Old Mamalahoa Highway are opposed, as well, all of the residents within 500 feet with kids are opposed. Forbes: There are a lot of issues and the documents, this morning, from Mr. Shropshire don't change those issues. We live in a quiet residential neighborhood. The fact that the site where the brewery is proposed, or the producing pub is industrial, is just a historic oddity. There's more detail in the opposition forms, which I'm assuming you have already seen, and they have been validated by the Liquor Control staff. I respect the background of the applicant and I'm sorry that what we're hearing now is from the property owner, not the applicant. There are inherent risks in having a drinking establishment in our neighborhood, and talking about speed bumps or the one -lane bridge, and all the mitigation efforts related to noise or whatever, really don't change that fact. So, I'm ... we do have more than fifty percent of the property owners and registered voters, and I think on that basis, the application should be denied. Thank you for your time. Onizuka: Thank you. Do we have any other questions? Poindexter: Yes, this is Valerie Poindexter. Can you hear me? Onizuka: Yes. Takase: Yes. Poindexter: I am the councilmember for District 1, but I am testifying on behalf of myself and as a resident on the Hamakua Coast. I am not wearing my councilmember hat. I am definitely in opposition of this. I want to ditto everything that Mr. Kaye and Mrs. Forbes had testified to. We don't want to ruin our small rural communities. We are vulnerable MAY 7, 2020 - LIQUOR COMMISSION MINUTES right now. This brewery will set a precedence for us and other communities throughout our Coastline. We don't want this in small rural communities. We need to protect and preserve our cultural heritage. When we look at building the economy back up, that's not building the economy back up. Poindexter: (There are) so many road issues, you know, exactly what Mr. Kaye testified to, I won't repeat it. I just want you to know that once this is deferred, I will put my testimony in writing and why we should not allow these types of businesses in very small rural settings. It's absurd. If the owner of the facility and the developer, Mr. Shropshire, truly care about protecting our island and our community, then they should think twice and pull this out. Go put it where it belongs, in an industrial area, in more of the city settings where it's acceptable. Don't ruin Hamakua Coast. Anyway, that's my testimony and I'm definitely not in favor of this, and I'm looking for it to be deferred. Thank you, aloha. Onizuka: Thank you. Do we have any other testifiers? There were no other testifiers. Onizuka: Commissioners, any questions? There were no questions from the Commissioners. Onizuka: Hearing none, we'll move on to the Director's report. Takase: Chair, maybe we should ask the applicant if he would like to say anything more before we continue. Onizuka: Okay. Bender: This is Mr. Bender. I've listened to Mr. Kaye. I've listened to Valerie, I'm sorry, don't remember your last name and the other lady who testified. I would just like to say the following: 1) This is not a brewery, first of all. I think there is misinformation based on the original application, that they thought a brewery is actually going to be manufacturing beer there. It's not. 2) The property is actually zoned properly for this type of a business; and, 3) It is a small community and I'm very sensitive to that, and I can understand the push -back. Bender: But, our view is that this is not just for the people living on that block or street. It is a destination for tourists to be able to enjoy, yet, another interesting place to visit and to have something to enjoy. There's a whole tourism about traveling around the world and visiting small breweries and brewpubs. The alcohol itself, I believe you folks think it's the devil, somehow, but in fact, it's part of the culture. The Big Island is, statistically, very much MAY 7, 2020 -LIQUOR COMMISSION MINUTES 10 10. v'... immersed in beer as part of the drinking man, blue-collar life, and the fact that you don't enjoy it or don't want it in your backyard, I respect your opinion, but I think you're really putting a very ... that beer is a very strong type of attitude toward an industry that is, basically, not intended to disrupt life, but actually to make life more enjoyable. Bender: Again, the tourists who, 500,000 people I've been told, go to Rainbow Falls or Akaka Falls not very far away, I think would find this location not only visually beautiful, but a place to stop and enjoy a glass of beer that's made on the island, and basically, enjoy their business while they're on the island. So, it's not just for the people living on the block. Plus, there's a huge distance for people living on the Hamakua Coast to have to go into Hilo or into Kona to be able to have an area to basically socialize and gather. think by denying this kind of freedom in an area that is zoned properly, it's got all the proper permits and everything else, is really very selfish. Bender: That's all I would like to say. I've spent a fair amount of time trying to find a good location for this. I think it's beautiful and a great spot. It's unfortunate that the people are old, like me. I'm old, too; but, I don't think the old people should govern what the young people, and people that are active and enjoy life, want to do. In closing, I would say that the street is a public highway. It's not there for people's personal use so nobody else can come down the road. That's all I have to say, thank you. Poindexter: Okay, since you allowed him to speak, this is Valerie Poindexter. I just want to point out a few things, Mr. Bender, that you said, because you gave me a slap in the face. I was born and raised here. Our culture is not bent on alcohol, first of all. The zoning there is only zoned there because of the closure of the Hamakua Sugar Company, uh, the sugar companies throughout the Coastline. So, you have to do your history. Know that I'm not that old. I represent a very young population that is standing up to protect our island. I know it's not a brewery, but I wouldn't want another facility like that in my hometown of O'okala, a small rural community like ... and it's a little bigger than Hakalau. Poindexter: And the traffic, when you talk about tourism, think about tourism again, because tourism has destroyed so many places, even like Waipi'o Valley. So, we are fighting to make sure that we have proper tourist attractions throughout the island that are in proper locations that will not destroy our island. So, Mr. Bender, I would want to talk with you. Now, I'm taking off my personal hat, I'll put on my councilmember hat, and I'm going to call you to make an appointment to speak with you as a councilmember, and talk with you about our CDP and things that we're looking to work towards to protect our Hamakua Coast. Thank you for giving me this opportunity. I really appreciate it. Bender: I'm sorry you felt I slapped you in the face. I didn't intend to do that at all. Onizuka: Okay, thank you... Forbes: Hello? May I comment? This is Susan Forbes. May I comment on Mr. Bender's statements? Onizuka: Go ahead. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 11 Forbes: Okay. In my testimony, which I did not read in its entirety, I did mention that Hakalau Point is industrial and that's an artifact of the sugar industry. This is not a tourist destination, and our neighbors, a majority of our neighbors, do not want it to be. That changes the character of our neighborhood. And, yes, I know it's a small craft producer pub, not a brewery. I made mention of the 2015 attempt to have Mehana Brewery set there. I'm sorry for confusing the terms. Onizuka: Thank you. Forbes: That's it. Onizuka: We'll move on to the Director's report. Masuda: Mr. Chairman, are you going to ask Commissioners if they have questions of the testifiers? Onizuka: We could do that now; I thought I'd do that after the Director's report. But go ahead. Why don't we do that now? Commissioners, any questions? Thomas: I have several questions. I'll just put them in order. The first one is, what is the seating capacity, the maximum capacity of this intended brewpub? Number two, are you going to be selling any beverages besides beer? I do have a few other questions, but I'll put those two out there for the moment. That's for Mr. Bender. Bender: As far as the seating capacity, I believe it would be a hundred people, but it hasn't been determined yet. Plans have to be developed and submitted to the Building Department, which basically, would be viewed in terms of the overall infrastructure to support both the parking, the bathrooms, and all the rest of it. I can't give you a definitive answer at this point. The intent is to have somewhere in that range, I would say. The second part of your question, I'm sorry, can you repeat it? Thomas: Absolutely. My question is, will you be serving any other beverages besides beer? Bender: Yes. We would file for, basically, a full-service liquor permit. Masuda: Commissioner Thomas? When I asked the Chair (about) asking the Commissioners if they had questions (it was of) the public testifiers. You'll have the opportunity to question the applicant later, should it come to that point. What I was speaking to was just the public testifiers at this point. Thank you. Thomas: Okay, thanks. Onizuka: Any other questions, Commissioners? There were no other questions from the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 12 MIR i" \ Onizuka: Hearing none, Director's report. Takase: Mr. Chairman, there was one more matter that I think we should take up, and that is whether or not a continuance is going to be granted on their motion. Hughes: You need a motion? Takase: Yes. Masuda: You need a motion and a second to discuss whether or not... Hughes: I make the motion that we do not extend a ... (defer the application)... Onizuka: Motion made by Mr. Hughes. Calling for a second. Ibarra: I second that motion. Mr. Hughes moved that the Liquor Commission deny the request to defer Application No. 18-21, Pacific Aqua Beverages, LLC, dba Hilo Brewing Company, received on May 6, 2020, for an original Small Craft Producer Pub liquor license, Category B1, located at 29-2306 Old Mamalahoa Highway, Building A, Hakalau, Hawaii; seconded by Mr. Ibarra. Onizuka: Moved and seconded that we do not defer this application. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor of not deferring the application say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." There was no opposition by the Commissioners. Onizuka: We have no nays, motion is carried. Thank you. The motion was carried unanimously. Hughes: I make the motion that we close the public hearing. Takase: Mr. Chair, I can report on the protests at this time. Onizuka: Do we have to close the hearing? Takase: No, because this is part of the record, so I'll put it in. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 13 Takase: Mr. Chairman, the applicant mailed 4 out of 4 notices within 100 feet, 32 out of 32 within 500 feet, and there were 32 parcels entitled to protest by properties. We had 17 protests to this application (by properties). There were 29 registered voters within 500 feet, and 20 voters that protested this application. Both the protests by properties and protests by registered voters were more than 50 percent in both cases, which would result in automatic denial of this application. Onizuka: Thank you. Commissioners, any questions? There were no questions from the Commissioners. Onizuka: Call for a motion to close the public hearing. Thomas: I move to close the public hearing. Bender: May I ask a quick question? Onizuka: Is there a second to the motion? Hughes: I'll second the motion. Ms. Thomas moved to close the public hearing; seconded by Mr. Hughes. Onizuka: Moved and seconded that we close the public hearing. Any discussion? There was no discussion from the Commissioners. Onizuka: Did one of the Commissioners have any questions? Hughes: To Gerald, just to clarify, with the report, you would deny this application? Takase: Actually, it's an automatic denial, so I don't even know if you would have to vote on this. But you can vote on it if you want to cross all your is and dot your i's. Hughes: I see, thank you. Onizuka: Since we are conducting this meeting via audio/video, we should vote on it for the record. Any other discussion? There was no other discussion from the Commissioners. Onizuka: All those in favor of closing the public hearing say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 14 There was no opposition by the Commissioners. Onizuka: No nays, motion carried. The motion was carried unanimously. Onizuka: May I have a motion to approve or deny Application No. 18-21? Greenwell: I'll make that motion. Masuda: Mr. Greenwell, clarify your motion, please. Greenwell: Yes, I make the motion to deny Application No. 18-21, pending final inspection, if it has to be done. Onizuka: Call for a second. Ibarra: I second that. Mr. Greenwell moved to deny Application No. 18-21, Pacific Aqua Beverages, LLC, dba Hilo Brewing Company, for an original Small Craft Producer Pub liquor license, Category B1, located at 29-2306 Old Mamalahoa Highway, Building A, Hakalau, Hawaii, TMK: 2-9-002:079, pending final inspection, if one is needed; seconded by Mr. Ibarra. Takase: There's no need for a final inspection. Onizuka: Thank you. Moved and seconded that we deny Application No. 18-21. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays. Application No. 18-21 is denied. Thank you. The motion was carried unanimously. Onizuka: 2. APPLICATION NO.: 19-26 (10:40 A.M.) APPLICANT: Pacific Aqua Beverages, LLC MAY 7, 2020 - LIQUOR COMMISSION MINUTES 15 A-% -*N TRADE NAME: Hilo Brewing Company PLACE OF BUSINESS: 275 East Kawili Street, Hilo, Hawai'i TMK: 2-2-050:006 LICENSE APPLIED FOR: Change in Class to a Class 18 Small Craft Producer Pub liquor license, Category A, from its Manufacturer Beer liquor license, and Change in Trade Name from Hilo Brewing & Beverages to Hilo Brewing Company Marcus Bender, Owner, was present. Onizuka: Do we have a representative here? Bender: Yes, Marcus Bender. Onizuka: Okay, any changes to your report? Bender: No. Onizuka: Can you describe the business, please? Bender: (It's a) fifteen -barrel brewery that we are operating on Kawili Street, 275 East Kawili Street. We have a small tasting room there. I intend to find a location off-site to be able to establish a taproom, similar to what we were trying to do in Hakalau, but now another location. Onizuka: Director, report of protests? Takase: Mr. Chairman, the applicant mailed 6 out of 6 notices within 100 feet, 51 out of 51 notices within 500 feet. There were 50 properties entitled to protest and there were no protests to this application. Onizuka: Thank you. Commissioners, any questions or discussion? There were no questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Hughes: Motion to close the public hearing. Masuda: Mr. Chairman, I'm sorry, did I miss it; did you ask for public testimony? Onizuka: Sorry, is there any public testimony on this application? There was no public testimony. Onizuka: Hearing none, we'll move on. Any questions from the Commissioners? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 16 There were no questions from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Hughes: I make the motion. Greenwell: Second. Mr. Hughes moved to close the public hearing; seconded by Mr. Greenwell. Onizuka: Thank you, moved and seconded that we close the public hearing. Is there any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor of closing the public hearing say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion carried. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application No. 19-26. Greenwell: I make the motion to approve Application No. 19-26, pending final inspection. Hughes: Second. Mr. Greenwell moved to approve Application No. 19-26, Pacific Aqua Beverages, LLC, dba Hilo Brewing Company, for a change in Class to a Class 18 Small Craft Producer Pub liquor license, Category A, from its Manufacturer Beer liquor license, and Change in Trade Name from Hilo Brewing & Beverages to Hilo Brewing Company, located at 275 East Kawili Street, Hilo, Hawaii, pending final inspection; seconded by Mr. Hughes. Onizuka: Moved and seconded to approve Application 19-26, pending final inspection. Any discussion? There was no discussion from the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 17 Onizuka: If not, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion carried, application is approved. Thank you. The motion was carried unanimously. Onizuka: 3. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS: TMKS: LICENSE APPLIED FOR: T19-07 (10:45 A.M.) Big Island Alehouse, LLC Laverne's Sports Bar 75-5819 Ali'i Drive, Kailua-Kona, Hawai'i 7-5-009:025 and 027 Consolidation of Big Island Alehouse, LLC, dba Humpy's Big Island Alehouse with Kohola, LLC, dba Laverne's Sports Bar for a Restaurant General liquor license, Category B2 Takase: Mr. Chairman, the applicant has requested a continuance on this matter. Onizuka: Okay. What was the reason for the request? Takase: They haven't been able to do a lot of work because of the current situation, plus they have some documents outstanding. Onizuka: Call for a motion to approve continuance of the application. Raymond: Move to extend. Thomas: Continuance, right? Greenwell: Second. Ms. Raymond moved to approve the request to continue Application No. T19-07, Big Island Alehouse, LLC, dba Laverne's Sports Bar, for consolidation of Big Island Alehouse, LLC, dba Humpy's Big Island Alehouse with Kohola, LLC, dba Laverne's Sports Bar, for a Restaurant General liquor license, Category B2, located at 75-5819 Alii Drive, Kailua-Kona, Hawaii, TMKS: 7-5-009:025 and 027; seconded by Mr. Greenwell. Onizuka: Moved and seconded that we approve the continuation of Application No. T19-07. Any discussion? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 18 Greenwell: Claude? Do we have to give a reason for that continuance in our minutes? Onizuka: The Department has the communication from the... Takase: No, David, we can say 'At the request of the Applicant.' Greenwell: Okay. Masuda: Mr. Takase, I would suggest you also include something about COVID-19, in case they later come around, they can fulfill their licensing obligations within the year. Takase: What license year? Masuda: So it's not going to count against their year, right? Takase: No, because this is an application to transfer the license. Masuda: Okay. Onizuka: Any other discussion? There was no other discussion from the Commissioners. Onizuka: Hearing none, all those in favor of extending the application say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The application will be continued. The motion was carried unanimously. Onizuka: 4. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS: TMKS: LICENSE APPLIED FOR: 19-13 (10:47 A.M.) The View Restaurant Bar & Grill Corp. The View Restaurant Bar & Grill 78-7000 Alii Highway, Kailua-Kona, Hawaii 7-8-010:003, 034 and 036 Original Dispenser General liquor license, Category B1 Kalina Unger, Owner/Manager, was present. Onizuka: Do we have a representative for the applicant? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 19 Unger: Yes, I'm here, Kalina. Onizuka: Can you state your full name for the record. Unger: Kalina Unger. Onizuka: And your relationship to the business? Unger: I'm the Owner/Manager. Onizuka: Are there any changes to the report that was filed? Unger: No. Onizuka: Can you describe your business, please? Unger: What we have is on the golf course and we also have a snack cart. It's basically golf course food, like club sandwiches. When everyone's done golfing, they come into the bar afterward. It sits on the golf course. Onizuka: Thank you. Mr. Director, any report of protests? Takase: Mr. Chairman, the applicant mailed 1,419 out of 1,473 notices within 100 feet, 1,532 out of 1,593 notices within 500 feet, and 13 notices to condominium or cooperative apartment managers. There were 1,441 properties entitled to protest, and we did receive the 5 protests to this application, which I believe were provided to all of the Commissioners. Onizuka: Thank you. Do we have any public testimony on this application? There was no public testimony. Onizuka: Hearing none, Commissioners, any questions? There were no questions from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Greenwell: I'll make that motion to close the public hearing. Onizuka: Do we have a second? Arakaki: I second. Mr. Greenwell moved to close the public hearing; seconded by Mr. Arakaki. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 20 Onizuka: Thank you. Moved and seconded that we close the public hearing. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application No. 19-13. Hughes: I make the motion that we approve Application No. 19-13, pending final inspection. Greenwell: I will second that motion. Mr. Hughes moved to approve Application No. 19-13, The View Restaurant Bar & Grill Corp., dba The View Restaurant Bar & Grill, for an original Dispenser General liquor license, Category B1, located at 78-7000 Alii Highway, Kailua-Kona, Hawaii, TMKS: 7-8-010:003, 034, 036, pending final inspection; seconded by Mr. Greenwell. Onizuka: Moved and seconded that we approve Application No. 19-13, pending final inspection. Any discussion? There was no discussion from the Commissioners. Onizuka: If not, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 21 n Unger: Thank you, guys. Onizuka: You're welcome. Thomas: Good luck. Onizuka: 5. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR: 19-18 (10:50 A.M.) Paradise Express LLC Paradise Express 84-4811 Hawai'i Belt Road, Captain Cook, Hawai'i 8-4-014:040 Original Retail General liquor license Angela Dean, representing the applicant, was present. Onizuka: Is there a representative present? Dean: Good morning. Onizuka: Can you state your name and your relationship to the business? Dean: Yes. My name is Angela Dean and I'm the representative for Paradise Express LLC. Onizuka: Do you have any changes to the report that was filed? Dean: No, there hasn't been. Onizuka: Can you describe the business, please? Dean: Sure, it's a multi-level building, approximately 940 square feet. There's a gas station there, and it's a small mom and pop general store where they sell hot meals, snacks, and non-alcoholic beverages at the moment. Onizuka: Thank you. Mr. Director, any report of protests? Takase: Mr. Chairman, the applicant mailed 13 out of 14 notices within 100 feet and 25 out of 27 notices within 500 feet. There were 18 properties entitled to protest, and there were no protests to this application. Onizuka: Do we have any public testimony on this application? There was no public testimony. Onizuka: Hearing none, Commissioners, any questions or discussion? There were no questions or discussion from the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 22 Onizuka: If not, call for a motion to close the public hearing. Hughes: Motion to close the public hearing. Raymond: Second. Mr. Hughes moved to close the public hearing; seconded by Ms. Raymond. Onizuka: Moved and seconded to close the public hearing. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Hearing no nays, motion carried. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application 19-18. Thomas: I move to approve Application No. 19-18, pending final inspection. Hughes: Second. Ms. Thomas moved to approve Application No. 19-18, Paradise Express LLC, dba Paradise Express, for an original Retail General liquor license, located at 84-4811 Hawaii Belt Road, Captain Cook, Hawaii, TMK: 8-4-014:040, pending final inspection; seconded by Mr. Hughes. Onizuka: Moved and seconded to approve Application No. 19-18, pending final inspection. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 23 s'- Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, application is approved. Congratulations. The motion was carried unanimously. Dean: Thank you so much. Onizuka: 6. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS: TMK: LICENSE APPLIED FOR: "IN 19-24 (10:54 A.M. ) Kapapala Ranch Kapapala Ranch 98-1900 Hawaii Belt Road, Pahala, Hawai'i 9-8-001:009 Original Dispenser Beer and Wine liquor license, Category B2 Lani Petrie, Owner, was present. Onizuka: Do we have a representative present? Petrie: Yes, Lani Petrie, Kapapala Ranch. Thomas: Excuse me, I have a question. Could we state for the record that they are applying for an original Dispenser Beer and Wine liquor license, Category B2? Petrie: I believe, if that question is directed at me, I believe that's correct. Thomas: It's correct. It was directed at the... Onizuka: Kapapala Ranch is applying for an original Dispenser Beer and Wine liquor license, Category B2. Thomas: Thank you. Onizuka: For the record, can you restate your name and your relationship to the business, please? Petrie: My name is Lani Petrie. I'm the Owner of Kapapala Ranch. Onizuka: Thank you. Are there any changes to the report? Petrie: No. Onizuka: No changes, thank you. Could you describe your business, please? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 24 Petrie: We are a livestock operation, a cattle ranch, primarily. But we have had ecotourism as an approved use of the premises for well over twenty years. Onizuka: Thank you. Director, any report of protests? Takase: Mr. Chairman, the applicant mailed 12 out of 12 notices within both 100 and 500 feet. There were six properties entitled to protest and there were no protests to this application. Onizuka: Thank you. Do we have any public testimony on this application? There was no public testimony. Onizuka: Commissioners, questions? Discussion? There were no questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Greenwell: Motion to close the public hearing. Raymond: Second. Mr. Greenwell moved to close the public hearing; seconded by Ms. Raymond. Onizuka: Moved and seconded that we close the public hearing. Any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion carried. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application No. 19-24, pending final inspection. Greenwell: I'll move to approve Application No. 19-24, pending final inspection. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 25 ma Arakaki: Second. Mr. Greenwell moved to approve Application No. 19-24, Kapapala Ranch, dba Kapapala Ranch, for an original Dispenser Beer and Wine liquor license, Category B2, located at 98-1900 Hawaii Belt Road, Pahala, Hawaii, TMK: 9-8-001:009, pending final inspection; seconded by Mr. Arakaki. Onizuka: Moved and seconded that we approve Application No 19-24, pending final inspection. Any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Hearing none, motion is carried. The application is approved. The motion was carried unanimously. Petrie: Thank you, Commissioners. Thomas: Thank you. Onizuka: 7. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS: TMK: LICENSE APPLIED FOR: 19-25 (10:59 A.M.) Amigos Cantina Inc. Amigo's Cantina 250 Keawe Street, Ste. C, Hilo, Hawaii 2-3-011:015 Original Dispenser General liquor license, Category B2 Estelle Bowie, Owner, was present. Onizuka: Do we have a representative present? Bowie: Hi, my name is Estelle Bowie, and I am the Owner of Amigo's Cantina. Onizuka: Thank you. Are there any changes to the report that was filed? Bowie: No. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 26 Onizuka: Can you briefly describe your business, please? Bowie: It's going to be a small neighborhood bar that has different fun things for people to do, like, Karaoke or paint and sips, or dancing; just a variety of things. Onizuka: Mr. Director, any report of protests? Takase: Mr. Chairman, the applicant mailed 14 out of 15 notices within 100 feet and 108 out of 110 notices within 500 feet. There were 101 properties entitled to protest and there were no protests to this application. Onizuka: Thank you. Do we have any public testimony on this application? There was no public testimony. Onizuka: Seeing none, Commissioners, any questions? There were no questions from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Thomas: I move to close the public hearing. Greenwell: I second that. Ms. Thomas moved to close the public hearing; seconded by Mr. Greenwell. Onizuka: Moved and seconded that we close the public hearing. Any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion is approved. The public hearing is closed. The motion was carried unanimously. 11 Onizuka: Motion to approve or deny Application No. 19-25. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 27 Hughes: Motion to approve Application No. 19-25, pending receipt and review of State Tax Clearance and completion of final inspection. Greenwell: I'll second that. Mr. Hughes moved to approve Application No. 19-25, Amigos Cantina Inc., dba Amigo's Cantina, for an original Dispenser General liquor license, Category 132, located at 250 Keawe Street, Ste. C, Hilo, Hawaii, TMK: 2-3-011:015, pending receipt and review of State Tax Clearance and completion of final inspection; seconded by Mr. Greenwell. Onizuka: Moved and seconded to approve Application 19-25, pending receipt and review of State Tax Clearance and completion of final inspection. Any discussion? There was no discussion from the Commission. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion is carried. The application is approved. The motion was carried unanimously. Onizuka: 8. APPLICATION NO. APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR: 19-27 (10:00 A.M. ) Two Mikes LLC The HI Dive Bar Mango Court, 79-7460 Mamalahoa Highway, #A-102, Kealakekua, Hawaii 7-9-007:029 Original Dispenser General liquor license, Category B1 Michael Lubrani, Owner, was present. Onizuka: Do we have a representative here? There was no response. Onizuka: No representatives on this application? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 28 Masuda: There's someone here, but we can barely hear him. Can you restate your identification, please? Lubrani: Michael Lubrani. Onizuka: Your relationship to the business, please? Lubrani: I'm the Owner. Onizuka: Thank you. Are there any changes to your report? Lubrani: No, sir. Onizuka: Can you describe your business, please? Lubrani: Yes, it's a small bar/restaurant with pupus and lunch. Onizuka: Mr. Director, report of protests? Takase: Mr. Chairman, the applicant mailed 1 out of 1 notices within 100 feet and 14 out of 16 notices within 500 feet. There were 15 properties entitled to protest and there were no protests to this application. Onizuka: Thank you. Any public testimony to this application? There was no public testimony. Onizuka: If not, Commissioners, any discussions or questions? There was no discussion or questions from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Thomas: I move to close the public hearing. Hughes: Second. Ms. Thomas moved to close the public hearing; seconded by Mr. Hughes. Onizuka: Moved and seconded that we close the public hearing. Any discussion? There was no discussion from the Commission. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." MAY 7, 2020 -LIQUOR COMMISSION MINUTES 29 Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Application No. 19-27 public hearing is closed. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application No. 19-27, pending final inspection. Greenwell: I move to approve Application No. 19-27, pending final inspection. Hughes: I second the motion. Mr. Greenwell moved to approve Application No. 19-27, Two Mikes LLC, dba The HI Dive Bar, for an original Dispenser General liquor license, Category B1, located at the Mango Court, 79-7460 Mamalahoa Highway, #A-102, Kealakekua, Hawaii, TMK: 7-9-007:029, pending final inspection; seconded by Mr. Hughes. Onizuka: Thank you. Moved and seconded that we approve Application No. 19-27, pending final inspection. Any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, Application No. 19-27 is approved. Thank you. The motion was carried unanimously. Lubrani: Thank you. Onizuka: 9. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: 19-28 (10:00 A.M.) Umekes, LLC Umekes Fish Market Bar & Grill 74-5599 Pawai Place, Bldg. A, Kailua-Kona, Hawaii 7-4-010:018 MAY 7, 2020 - LIQUOR COMMISSION MINUTES 30 LICENSE APPLIED FOR: Change of location from 74-5563 Kaiwi Street, Unit No. 112, Kailua-Kona, Hawai'i to 74-5599 Pawai Place, Bldg. A, Kailua-Kona, Hawai'i, to its Restaurant General liquor license, Category B2, and Change in Trade Name from Umeke's Kuakini Center to Umekes Fish Market Bar & Grill Nakoa Pabre, Owner, was present. Onizuka: Do we have a representative? Pabre: Yes, we do, Nakoa Pabre. Onizuka: Are there any changes to your report filed? Pabre: No, sir. Onizuka: Thank you. Can you describe your business, briefly, please? Pabre: We're a restaurant, bar, and fish market, a family establishment. Onizuka: Thank you. Mr. Director, any report of protests? Takase: Mr. Chairman, the applicant mailed 9 out of 9 notices within 100 feet and 35 out of 35 notices within 500 feet. There were 19 properties entitled to protest and there were no protests to this application. Onizuka: Thank you. Thomas: Mr. Chairman, I would just like to note that we'll also be voting on not only the change of location, but a change in trade name as well. Onizuka: Thank you. Do we have any public testimony on this application? There was no public testimony. Onizuka: Hearing none, Commissioners, any questions or discussion? There were no questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to close the public hearing. Takase: Mr. Chairman, I have one question for the applicant. Onizuka: Go ahead. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 31 Takase: Nakoa, you were asking for service in your front door area, right? Pabre: Correct. Takase: We still need to get some kind of confirmation that you have exclusive use of that area. Pabre: Okay, I'll get that sent over to you folks. Takase: Okay, thanks. Pabre: You're welcome. Onizuka: Any other questions? There were no other questions from the Commissioners. Onizuka: If not, call for a motion to close the public hearing. Hughes: So moved. Pabre: Thank you. Ibarra: Second. Mr. Hughes moved to close the public hearing; seconded by Mr. Ibarra. Onizuka: Moved and seconded that we close the public hearing. Is there any discussion? There was no discussion from the Commission. Onizuka: Hearing none, all those in favor of closing the public hearing say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The public hearing is closed. The motion was carried unanimously. Onizuka: Call for a motion to approve or deny Application No. 19-28, pending final inspection. Thomas: I move to approve Application No. 19-28. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 32 Pabre: Mahalo, guys, thank you. Onizuka: Call for a second. Ibarra: I second that to include Gerald's question about confirmation of exclusive use. Ms. Thomas moved to approve Application No. 19-28, Umekes, LLC, dba Umekes Fish Market Bar & Grill for a change of location from 74-5563 Kaiwi Street, Unit No. 112, Kailua-Kona, Hawaii to 74-5599 Pawai Place, Bldg. A, Kailua-Kona, Hawaii, TMK: 7-4-010:018, Lot 12, to its Restaurant General liquor license, Category B2, pending final inspection; and Change in Trade Name from Umeke's Kuakini Center to Umekes Fish Market Bar & Grill; seconded by Mr. Ibarra with the confirmation of exclusive use to be submitted to the Department of Liquor Control. Thomas: Do we need to remake the motion again? Takase: There's no need. Masuda: It will be part of the final section that Gerald guys will do. Thomas: Okay. Onizuka: Moved and seconded to approve Application No. 19-28, pending final inspection. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Those opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No opposition, motion is carried. Application No. 19-28 is approved. The motion was carried unanimously. Pabre: Thank you, guys, mahalo. Onizuka: We are running long today. Does anyone want to take a break? No one needs a break? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 33 There was no response from the Commissioners. Onizuka: We will continue with Preliminary Hearings. VI. Preliminary Hearings 1. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS: TMK: LICENSE APPLIED FOR: 19-29 (11:08 A.M.) Crossroads Fireart LLC Fireart Cuisine Crossroads Shopping Center, 75-1027 Henry Street, #104, Kailua-Kona, Hawaii 7-5-004:054 Original Dispenser General liquor license, Category A Feng Ding, Owner/Manager, was present. Onizuka: Do we have a representative? Ding: Yes, this is Feng Ding. I am the Owner and Manager. Onizuka: Thank you. Are there any changes to your report? Ding: No, sir. Onizuka: Can you briefly describe your business? Ding: Yes, right now we are a sit-down and take-out Chinese (cuisine), and we would like to add liquor to our menu so that we can give ... for the families and friends to, get together. Onizuka: Thank you. Do we have any public testimony on this application? There was no public testimony. Onizuka: Hearing none, Commissioners, any questions or discussion? There were no questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to approve or deny Application No. 19-29; if approved, public hearing to be held July 2, 2020, in Hilo. There was no reply from the Commissioners. Onizuka: Call for a motion. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 34 n Greenwell: I will move to approve Application No. 19-29, with a hearing to be held on July 2, 2020, in Hilo. Arakaki: Second. Mr. Greenwell moved to approve Application No. 19-29, Crossroads Fireart LLC, dba Fireart Cuisine, for an original Dispenser General liquor license, Category A, located at the Crossroads Shopping Center, 75-1027 Henry Street, #104, Kailua-Kona, Hawaii, TMK: 7-5-004:054; if approved, public hearing to be held on July 2, 2020, in Hilo, Hawaii; seconded by Mr. Arakaki. Onizuka: Thank you. Moved and seconded that we approve Application No. 19-29. Ding: Thank you very much. Onizuka: If approved, public hearing to be held on July 2, 2020, in Hilo, Hawaii. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, Application No. 19-29 is approved. The motion was carried unanimously. Ding: Thank you. Thomas: You're welcome, thank you. Onizuka: 2. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR 19-30 (11:10 A.M.) Big Island Jeep Rental LLC Big Island Jeep Rental 73-4156 Hulikoa Drive, Bay #6, Kailua-Kona, Hawaii 7-3-058:018 Original Retail General liquor license MAY 7, 2020 — LIQUOR COMMISSION MINUTES 35 Joseph Webster, Owner, was present. Webster: Aloha, this is Joe Webster. Onizuka: Are there any changes to the report filed? Webster: No, sir. Onizuka: Can you briefly describe your business? Webster: Sure, it's a car rental agency. We specialize in jeeps, mostly, and pretty much 100 percent of our business is with tourists. What we'd like to do is, basically, sell some gift baskets for honeymooners, that sort of stuff, with chocolates, coffees, and a bottle of wine for... Onizuka: Do we have any public testimony on this application? There was no public testimony. Onizuka: Commissioners, questions, discussion? Thomas: I have a question. Are all the potential sales of alcohol going to be within the package of the gift basket as opposed to selling individual bottles of wine or champagne? Webster: That is the plan. I don't think I would tell a customer that they can't buy a couple of bottles of wine, so I would say that would probably be okay. But, the goal or intent is to have a package with either wine or beer, local chocolates and goodies, and that sort of stuff. Onizuka: Any other questions, discussion? There were no other questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to approve or deny. Hughes: Motion to approve Application No. 19-30; if approved, public hearing to be held on July 2, 2020, in Hilo. Arakaki: Second. Mr. Hughes moved to approve Application No. 19-30, Big Island Jeep Rental LLC, dba Big Island Jeep Rental, for an original Retail General liquor license, located at 73-4156 Hulikoa Drive, Bay #6, Kailua-Kona, Hawaii, TMK: 7-3-058:018; if approved, public hearing to be held on July 2, 2020, in Hilo, Hawaii; seconded by Mr. Arakaki. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 36 ri Onizuka: Thank you. Moved and seconded that we approve Application No. 19-30; if approved, public hearing to be held on July 2, 2020, in Hilo. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor signify by saying "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, Application No. 19-30 is approved. Thank you. The motion was carried unanimously. Webster: Thank you, guys. Hughes: Great idea. Thomas: Yes. Webster: Appreciate it. Onizuka: 3. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR: 4. APPLICATION NO.: APPLICANT: TRADE NAME: PLACE OF BUSINESS TMK: LICENSE APPLIED FOR T19-31 (11:14 A.M.) Hilton Grand Vacations Management, LLC The Bay Club Cafe 69-450 Waikoloa Beach Drive, Waikoloa, Hawaii 6-9-007:031 Sale and Transfer of the Dispenser General Liquor license, Category A, currently held by Hilton Grand Vacations Company, LLC T19-32 (11:14 A.M.) Hilton Grand Vacations Management, LLC Hilton Grand Vacations Club at Waikoloa Beach Resort 69-550 Waikoloa Beach Drive, Waikoloa, Hawaii 6-9-007:032 Sale and Transfer of the Dispenser General Liquor license, Category B2, currently held by Hilton Grand Vacations Company, LLC MAY 7, 2020 - LIQUOR COMMISSION MINUTES 37 5. APPLICATION NO.: T19-33 (11:14 A.M.) APPLICANT: Hilton Grand Vacations Management, LLC TRADE NAME: Kings' Land by Hilton Grand Vacations Club PLACE OF BUSINESS: 69-699 Waikoloa Beach Drive, Waikoloa, Hawaii TMK: 6-9-008:012 LICENSE APPLIED FOR: Sale and Transfer of the Dispenser General liquor license, Category A, currently held by Hilton Grand Vacations Company, LLC Robert Gunther, Vice President of Resort Operations, was present. Onizuka: Do we have a representative present? Gunther: Yes, this is Robert Gunther with Hilton Grand Vacations. Onizuka: Can you state your relationship with the business? Gunther: I'm the Vice President of Resort Operations for Hilton Grand Vacations here in Hawai'i. Onizuka: Thank you. Are there any changes to the report that was filed? Gunther: No changes, sir. Onizuka: Thank you. Can you briefly describe the business, please? Gunther: The Bay Club Cafe is one of our timeshare resorts here on the Big Island. We manage the resort and we have a small poolside cafe that's open for lunch and evening cocktails and pupus. Onizuka: Thank you. Is there any public testimony on this application? Takase: Mr. Chairman, maybe you can take up T19-31, 32, and 33 altogether? They are all Hilton Grand Vacation locations with the same transfer in ownership. Onizuka: They all filed for the same purpose, sale and transfer, all three? Takase: Yes. Onizuka: Okay, so let's restate that. We're taking Application Nos. T19-31, 32, and 33. Takase: Yes. Onizuka: Commissioners, any questions, discussion? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 38 There were no questions or discussion from the Commissioners. Onizuka: Hearing none, call for a motion to approve or deny Application Nos. T19-31, T19-32, and T19-33. Masuda: Mr. Chairman, if I can interrupt briefly, did you ask for any public testimony on the additional items, since we just added them? Onizuka: We'll revert to that. Is there any public testimony on any of these three applications? There was no public testimony. Onizuka: Hearing none, we'll move on. Commissioners, do you have any questions regarding the three applications? Thomas: Yes, I just want clarification. Are these all timeshares? What is the Kings' Land and the Hilton Grand Vacations Club? Is that another timeshare? Gunther: That's right, that's correct. We manage three resorts here in the Waikoloa Beach Resort; one (is) The Bay Club, one (is) the Hilton Grand Vacations at Waikoloa Beach Resort which is our Kohala Suites Resort, and then Kings' Land which is a... Each of them has a small food and beverage operation on these premises. Thomas: Okay, thank you for that clarification. Gunther: You're welcome. Onizuka: Call for a motion to approve or deny Application Nos. T19-31, T19-32, and T19-33. Greenwell: I will move to approve Applications T19-31, 32, and 33, with a (public) hearing to be held on June 4, 2020, in Kona. Hughes: Second. Mr. Greenwell moved to approve Application Nos. T19-31, T19-32, and T19-33, Hilton Grand Vacations Management, LLC, dba The Bay Club Cafe, dba Hilton Grand Vacations Club at Waikoloa Beach Resort, and dba Kings' Land by Hilton Grand Vacations Club, respectively; located at 69-450 Waikoloa Beach Drive, Waikoloa, Hawaii, 69-550 Waikoloa Beach Drive, Waikoloa, Hawaii, and 69-699 Waikoloa Beach Drive, Waikoloa, Hawaii, respectively; if approved, public hearing to be held on June 4, 2020, in Kona, Hawaii. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 39 .r. Onizuka: Moved and seconded that we approve all three Applications T19-31, -32, and -33. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. Gunther: Mahalo. Onizuka: Moving on to New Business. VII. New Business (11:20 A.M.) Onizuka: 1. Mauna Kea Resort LLC, dba Mauna Kea Beach Hotel, ratification of Application for Game Permit for an event on March 7, 2020, approved by Director Gerald Takase on February 24, 2020, to its Hotel liquor license, located at 62-100 Mauna Kea Beach Drive, Kamuela, Hawaii. Onizuka: Call for a motion to ratify. Thomas: I move to ratify. Arakaki: Second. Ms. Thomas moved to ratify the Application for Game Permit for an event on March 7, 2020, submitted by Mauna Kea Resort LLC, dba Mauna Kea Beach Hotel, approved by Director Gerald Takase on February 24, 2020, to its Hotel liquor license, located at 62-100 Mauna Kea Beach Drive, Kamuela, Hawaii; seconded by Mr. Arakaki. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 40 The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 2. O&J LLC, dba Johnny's at Waikoloa Village, ratification of Application for Temporary Increase in Licensed Premises to the Banquet Room, on February 28, 2020, approved by Director Gerald Takase on February 27, 2020, to its Restaurant General liquor license, Category B2, located at 68-1790 Melia Street, Waikoloa, Hawaii. Hughes: Motion to ratify. Onizuka: Do we have a second? Thomas: Second. Mr. Hughes moved to ratify the Application for Temporary Increase in Licensed Premises to the Banquet Room, on February 28, 2020, submitted by O&J LLC, dba Johnny's at Waikoloa Village, approved by Director Gerald Takase on February 27, 2020, to its Restaurant General liquor license, Category B2, located at 68-1790 Melia Street, Waikoloa, Hawaii; seconded by Ms. Thomas. Onizuka: Moved and seconded, any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 41 Onizuka: 3. O&J LLC, dba Johnny's at Waikoloa Village, ratification of Application for Temporary Increase in Licensed Premises to the Banquet Room, on March 3, 2020, approved by Director Gerald Takase on February 27, 2020, to its Restaurant General liquor license, Category B2, located at 68-1790 Melia Street, Waikoloa, Hawaii. Arakaki: Move to ratify. Raymond: Second. Mr. Arakaki moved to ratify the Application for Temporary Increase in Licensed Premises to the Banquet Room, on March 3, 2020, submitted by O&J LLC, dba Johnny's at Waikoloa Village, approved by Director Gerald Takase on February 27, 2020, to its Restaurant General liquor license, Category B2, located at 68-1790 Melia Street, Waikoloa, Hawaii; seconded by Ms. Raymond. Onizuka: Moved and seconded, any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 4. 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 an event on March 18, 2020, approved by Director Gerald Takase on March 5, 2020, to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M nd N, Kailua-Kona, Hawaii. Greenwell: I make the motion to ratify that. Hughes: I'll second that. Mr. Greenwell move to ratify the Application for Game Permit for an event on March 18, 2020, submitted by Kona, Hawaii, Lodge MAY 7, 2020 - LIQUOR COMMISSION MINUTES 42 No. 2616, Benevolent & Protective Order of Elks of the United States of America, dba Kona Elks Club, approved by Director Gerald Takase on March 5, 2020, to its Club liquor license, Category B2, located at 74-5596 Pawai Place, Bays M and N, Kailua-Kona, Hawaii; seconded by Mr. Hughes. Onizuka: Thank you. Moved and seconded, any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion carried. Thank you. The motion was carried unanimously. Onizuka: 5. Kukio Golf and Beach Club, Inc., dba Kukio Golf and Beach Club, Inc., dba Kukio Golf and Beach Club, Inc. (Retail), acceptance of change of officers, with the election of James Edward Rubnitz, President; Jaime Michael Weinstein, Vice President/Treasurer; and Jason Paul Werlin, Secretary; and the removal of Roderick Nelson Reed as President; James Edward Rubnitz as Vice President/Treasurer; and Jamie Michael Weinstein as Secretary, effective January 1, 2020, by letter and email dated March 3, 2020, received on March 5, 2020, to its Club liquor license, Category 132, and Retail General liquor licenses, located at 72-250 Kukio Nui Drive, Kailua-Kona, Hawaii. Hughes: Move to accept. Onizuka: Motion to accept change of officers. Arakaki: Second. Mr. Hughes moved to accept the change of officers, with the election of James Edward Rubnitz, President; Jaime Michael Weinstein, Vice President/Treasurer; and Jason Paul Werlin, Secretary; and the removal of Roderick Nelson Reed as President; James Edward Rubnitz as Vice President/Treasurer; and Jamie Michael Weinstein as Secretary, effective January 1, 2020, by letter and email dated March 3, 2020, submitted by Kukio Golf and Beach Club, Inc., dba Kukio Golf and Beach Club, Inc., dba Kukio Golf and Beach Club, Inc. (Retail), and MAY 7, 2020 - LIQUOR COMMISSION MINUTES 43 received on March 5, 2020, to its Club liquor license, Category B2, and Retail General liquor licenses, located at 72-250 Kukio Nui Drive, Kailua-Kona, Hawaii; seconded by Mr. Arakaki. Onizuka: Moved and seconded, any discussion? There was no discussion from the Commissioners Onizuka: If not, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 6. WHR LLC, dba Grand Naniloa Hotel, A Doubletree by Hilton, ratification of details for upcoming PolyFest event at the Naniloa Driving Range on March 13, 2020, approved by Director Gerald Takase on March 9, 2020, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawaii. Onizuka: Call for a motion. Hughes: I'll make the motion to ratify. Greenwell: Second. Mr. Hughes moved to ratify the details for upcoming PolyFest event at the Naniloa Driving Range on March 13, 2020, submitted by WHR LLC, dba Grand Naniloa Hotel, A Doubletree by Hilton, approved by Director Gerald Takase on March 9, 2020, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawaii; seconded by Mr. Greenwell. Onizuka: Moved and seconded that we ratify. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 44 I' -- Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Thank you. Motion carried. The motion was carried unanimously. Onizuka: Gerald, is six and seven the same? Takase: I don't know how six got on there. That was just for us to take care of. Seven is the event. Six was just the details of what they were going to do and probably shouldn't have been on there, so just look at seven. Onizuka: 7. WHR LLC, dba Grand Naniloa Hotel, A Doubletree by Hilton, ratification of request for PolyFest event at the Grand Naniloa Resort Golf Course (Naniloa Driving Range) on March 13, 2020, approved by Director Gerald Takase on March 10, 2020, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawai'i. Thomas: Move to ratify. Arakaki: Second. Ms. Thomas moved to ratify the request for the PolyFest event at the Grand Naniloa Resort Golf Course (Naniloa Driving Range) on March 13, 2020, submitted by WHR LLC, dba Grand Naniloa Hotel, A Doubletree by Hilton, approved by Director Gerald Takase on March 10, 2020, to its Hotel liquor license, located at 93 Banyan Drive, Hilo, Hawaii; seconded by Mr. Arakaki. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 45 Onizuka: 8. Anahkahna, Inc., dba Korner Pocket Sports Bar & Grill (The), ratification of Application for Temporary Increase in Licensed Premises to the Mauka parking lot and Makai covered area (as a rain option), on March 17, 2020, approved by Director Gerald Takase on March 10, 2020, to its Restaurant General liquor license, Category B2, located at the Central Kona Shopping Center II, 81-970 Haleki`i Street, Building B, Kealakekua, Hawaii. Greenwell: Motion to ratify. Hughes: Second. Mr. Greenwell moved to ratify the Application for Temporary Increase in Licensed Premises to the Mauka parking lot and Makai covered area (as a rain option), on March 17, 2020, submitted by Anahkahna, Inc., dba Korner Pocket Sports Bar & Grill (The), approved by Director Gerald Takase on March 10, 2020, to its Restaurant General liquor license, Category B2, located at the Central Kona Shopping Center ll, 81-970 Haleki`i Street, Building B, Kealakekua, Hawaii; seconded by Mr. Hguhes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: If not, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 9. Subaru Telescope -National Astronomical Observatory of Japan, ratification of Application for Alcohol Purchase Permit for twelve 1 -pint bottles of Ethyl Alcohol Pure RGT/USP 200, from Hawaii Chemical & Scientific, to be used for scientific instrument cleaning, approved by Director Gerald Takase on March 6, 2020. Onizuka: Call for a motion to ratify. Greenwell: Move to ratify. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 46 Hughes: Second. Mr. Greenwell moved to ratify the Application for Alcohol Purchase Permit for twelve 1 -pint bottles of Ethyl Alcohol Pure RGT/USP 200, from Hawaii Chemical & Scientific, to be used for scientific instrument cleaning, submitted by Subaru Telescope -National Astronomical Observatory of Japan, approved by Director Gerald Takase on March 6, 2020; seconded by Mr. Hughes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: If not, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 10. JTJ Enterprises, Inc., dba Quinn's, ratification of Application for Temporary Increase in Licensed Premises to the parking lot fronting the building, on March 17, 2020, approved by Director Gerald Takase on March 11, 2020, to its Restaurant General liquor license, Category B2, located at 75-5655 Palani Road, Kailua-Kona, Hawaii. Hughes: Move to ratify. Raymond: Second. Mr. Hughes moved to ratify the Application for Temporary Increase in Licensed Premises to the parking lot fronting the building, on March 17, 2020, submitted by JTJ Enterprises, Inc., dba Quinn's, approved by Director Gerald Takase on March 11, 2020, to its Restaurant General liquor license, Category B2, located at 75-5655 Palani Road, Kailua-Kona, Hawaii; seconded by Ms. Raymond. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 47 Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 11. Maruhiro Enterprise Co., Ltd., dba Izakaya Shiono, approval to extend the time issuance, for good cause shown, of its approved Restaurant General liquor license, Category A, located at 74-5599 Pawai Place, Bays B4 and B5, Kailua-Kona, Hawai'i, for an additional six months, from April 4, 2020, to and including October 4, 2020, by letter dated March 13, 2020. Arakaki: Move to approve the extension. Raymond: Second. Mr. Arakaki moved to approve the request to extend the time issuance, submitted by Maruhiro Enterprise Co., Ltd., dba Izakaya Shiono, of its approved Restaurant General liquor license, Category A, located at 74-5599 Pawai Place, Bays B4 and B5, Kailua-Kona, Hawaii, for an additional six months, from April 4, 2020, to and including October 4, 2020, by letter dated March 13, 2020; seconded by Ms. Raymond. Onizuka: Moved and seconded. Any discussion? Masuda: Can we have the motion be that you're finding good cause? Arakaki: Okay. Move to approve extension with the finding of good cause. Raymond: Second. Mr. Arakaki moved to approve the request to extend the time issuance, for good cause shown, submitted by Maruhiro Enterprise Co., Ltd., dba Izakaya Shiono, of its approved Restaurant General liquor license, Category A, located at 74-5599 Pawai Place, Bays B4 and B5, Kailua-Kona, Hawaii, for an additional six months, from April 4, 2020, to and including October 4, 2020, by letter dated March 13, 2020; seconded by Ms. Raymond. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 48 Masuda: Gerald, what's the reason for the extension? Takase: Mr. Chairman, it's in their letter for the request. Basically, they are in the new Brewers Block and all of them are having trouble getting approvals from the County. Onizuka: Any other questions or discussion? There were no other questions or discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion is approved. Thank you. The motion was carried unanimously. Onizuka: 12. Kailua-Kona Restaurants, Inc., dba Pancho and Lefty's Cantina & Restaurants, ratification of request to extend the time issuance, for good cause shown, of its approved Restaurant General liquor license, Category B2, located at 75-5725 Alii Drive, Kailua-Kona, Hawai'i, from April 5, 2020, to and including June 1, 2020, by letter dated March 13, 2020, approved by Director Gerald Takase on March 18, 2020. Takase: Mr. Chairman, once again, they have started their construction process, but with all the coronavirus setbacks, I would like to extend it to July 1, 2020, so we won't have to bring them back again. Onizuka: Okay. Any other discussion? Masuda: Again, on this motion, Mr. Chairman, can we have the motion be made that good cause was shown due to the delay of coronavirus having affect on permitting. Onizuka: Need a motion to include that, right? Masuda: Yes, correct. Thank you. Onizuka: Call for a motion to ratify showing good cause. Thomas: Until how long? Ibarra: July one. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 49 Thomas: July one, okay, because according to the letter, they just have other things that are going on, too; supplies, recipes... Takase: Yes, Mr. Chairman, they asked for June 1 st, but they can actually ask for six months. Maybe, to be prudent and prevent this matter from coming up (again), we could give them the whole six months. If they finish it earlier, that's fine. Thomas: Yes, I think that's a good idea. Onizuka: Do we have a motion? Greenwell: Mr. Chair, I'll make that motion for ratification, extending the time out, and showing the good cause as the delay in permitting. Onizuka: Do we have a second? Hughes: I'll second that. Mr. Greenwell moved to ratify the request to extend the time issuance, for good cause shown, submitted by Kailua-Kona Restaurants, Inc., dba Pancho and Lefty's Cantina & Restaurants, of its approved Restaurant General liquor license, Category B2, located at 75-5725 AIN Drive, Kailua-Kona, Hawaii, by letter dated March 13, 2020, approved by Director Gerald Takase on March 18, 2020; seconded by Mr. Hughes. Onizuka: Thank you. Moved and seconded. Any discussion? Greenwell: Mr. Chairman, what date are we going to use? Are we still going to use July 1 st, or are we going to go further out? Takase: October 5th. Thomas: Yes, October 4th. Takase: Fourth. Greenwell: I'll add that to my motion. Hughes: I'll second that. Mr. Greenwell moved to ratify the request to extend the time issuance, for good cause shown, submitted by Kailua-Kona Restaurants, Inc., dba Pancho and Lefty's Cantina & Restaurants, of its approved Restaurant General .liquor license, Category B2, located at 75-5725 AIN Drive, Kailua-Kona, Hawaii, for an additional six months, from April 5, 2020, to and including MAY 7, 2020 - LIQUOR COMMISSION MINUTES 50 October 4, 2020, by letter dated March 13, 2020, approved by Director Gerald Takase on March 18, 2020; seconded by Mr. Hughes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Hearing none, motion is carried. Thank you. The motion was carried unanimously. Onizuka: 13. Joseph Shackelford, ratification of Application for Alcohol Purchase Permit, for 25 gallons of organic alcohol, from The Organic Alcohol Company in Oregon, for use in herbal beauty and health products, approved by Director Gerald Takase on March 27, 2020. Onizuka: Call for ratification... Arakaki: Move to ratify. Hughes: I second. Mr. Arakaki moved to ratify the Application for Alcohol Purchase Permit, for 25 gallons of organic alcohol, from The Organic Alcohol Company in Oregon, for use in herbal beauty and health products, submitted by Joseph Shackelford, approved by Director Gerald Takase on March 27, 2020; seconded by Mr. Hughes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 51 There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 14. USDA, ARS, DKI PBARC, ratification of Application for Alcohol Purchase Permit by Tracie K. Matsumoto Brower, for 250 gallons of pure alcohol (ethanol), from Greenfield Global in Connecticut, for use in research, approved by Director Gerald Takase on March 30, 2020. Thomas: Move to ratify for 250 gallons of (pure alcohol) ethanol. Hughes: I'll second that. Ms. Thomas moved to ratify the Application for Alcohol Purchase Permit, submitted by Tracie K. Matsumoto Brower, for 250 gallons of pure alcohol (ethanol), from Greenfield Global in Connecticut, for use in research, approved by Director Gerald Takase on March 30, 2020; seconded by Mr. Hughes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 15. Duke's Enterprises, Inc., dba Kilauea Shell Food Mart, approval of Application for Transfer of Stock, from Duncan M. McBeath to Kent S. Miyashiro, effective May 1, 2020; and acceptance of the Personal History and Affidavit of Kent S. Miyashiro as President/Vice President/Treasurer/Secretary and Director, effective May 1, 2020, received on April 16, 2020, to its Retail Beer and Wine liquor license, located at 1104 Kilauea Avenue, Hilo, Hawaii. Hughes: Move to approve application for transfer of stock... MAY 7, 2020 - LIQUOR COMMISSION MINUTES 52 Thomas: Seconded. Mr. Hughes moved to approve the Application for Transfer of Stock, from Duncan M. McBeath to Kent S. Miyashiro, effective May 1, 2020; and acceptance of the Personal History and Affidavit of Kent S. Miyashiro as President/Vice President/Treasurer/Secretary and Director, effective May 1, 2020, received on April 16, 2020, submitted by Duke's Enterprises, Inc., dba Kilauea Shell Food Mart, to its Retail Beer and Wine liquor license, located at 1104 Kilauea Avenue, Hilo, Hawaii; seconded by Ms. Thomas. Onizuka: Thank you. Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Hearing none, motion is approved. Thank you. The motion was carried unanimously. Onizuka: 16. The Kalama Beach Corporation, dba Malama Market, dba Malama Market — Ocean View, dba Malama Market (Honokaa), acceptance of change of officers, with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses. Hughes: Motion to accept the change of officers. Thomas: Second. Mr. Hughes moved to accept the change of officers, submitted by The Kalama Beach Corporation, dba Malama Market, dba Malama Market — Ocean View, dba Malama Market (Honokaa), with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses; seconded by Ms. Thomas. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 53 Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 17. Food Pantry Ltd., dba Whalers General Store #230, dba Whalers General Store #77, dba Holo Holo Market, dba Mauna Kea Market, acceptance of change of officers, with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses. Hughes: Motion to accept the change of officers. Arakaki: Second. Mr. Hughes moved to accept the change of officers, submitted by Food Pantry Ltd., dba Whalers General Store #230, dba Whalers General Store #77, dba Holo Holo Market, dba Mauna Kea Market, with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses; seconded by Mr. Arakaki. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 54 Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 18. Foodland Super Market, Limited, dba Sack `N Save (Kinoole), dba Sack `N Save (Kona), dba Sack `N Save (Puainako), dba Foodland Super Market — Waimea, dba Foodland Farms, dba Foodland (Keaau), acceptance of change of officers, with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses. Hughes: Motion to accept the change of officers. Thomas: Second. Mr. Hughes moved to accept the change of officers, submitted By Foodland Super Market, Limited, dba Sack `N Save (Kinoole), dba Sack `N Save (Kona), dba Sack `N Save (Puainako), dba Foodland Super Market — Waimea, dba Foodland Farms, dba Foodland (Keaau), with the withdrawal of Dan Tregeagle Bessey as Executive Vice President and Chief Financial Officer, effective April 7, 2020, by letter received on April 20, 2020, to its Retail General liquor licenses; seconded by Ms. Thomas. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 19. Kohanaiki Shores, LLC, dba Kohanaiki Club, Inc. (Brewery), acceptance of the Personal History and Affidavit forms for David Hunter Reese, CEO and President; Matthew Scott Windisch, Executive Vice President; Omar Macedo, Executive Vice President; In Ku Lee, Executive Vice President; and Christopher Koepper, MAY 7, 2020 - LIQUOR COMMISSION MINUTES 55 r, CFO, Vice President and Secretary; effective June 26, 2019, by email received on April 16, 2020. Greenwell: Move to accept. Hughes: Second. Mr. Greenwell moved to accept the Personal History and Affidavit forms, submitted by Kohanaiki Shores, LLC, dba Kohanaiki Club, Inc. (Brewery), for David Hunter Reese, CEO and President; Matthew Scott Windisch, Executive Vice President; Omar Macedo, Executive Vice President; In Ku Lee, Executive Vice President; and Christopher Koepper, CFO, Vice President and Secretary; effective June 26, 2019, by email received on April 16, 2020; seconded by Mr. Hughes. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 20. The Kona Coffee & Tea Company, Inc., dba Kona Coffee & Tea Company, approval of Application for Change of Class to a Class 2 Restaurant liquor license from its Dispenser Beer and Wine liquor license, Category B2, located at the Kona Coast Shopping Center, 74-5588 Palani Road, Kailua-Kona, Hawaii. Hughes: Motion to approve application. Thomas: Second. Mr. Hughes moved to approve the Application for Change of Class to a Class 2 Restaurant liquor license, submitted by The Kona Coffee & Tea Company, Inc., dba Kona Coffee & Tea Company, from its Dispenser Beer and Wine liquor license, Category B2, located at the Kona Coast Shopping MAY 7, 2020 - LIQUOR COMMISSION MINUTES 56 Center, 74-5588 Palani Road, Kailua-Kona, Hawaii; seconded by Ms. Thomas. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion carried. Thank you. The motion was carried unanimously. Onizuka: 21. Mo's Fish and Chips LLC, dba Mohala's Bay Front Fish and Chips, approval of Application for Change of Class to a Class 2 Restaurant liquor license from its Dispenser Beer and Wine liquor license, Category A, located at 50 Waianuenue Avenue, Hilo, Hawaii. Thomas: Move to approve. Greenwell: I second. Ms. Thomas moved to approve the Application for Change of Class to a Class 2 Restaurant liquor license, submitted by Mo's Fish and Chips LLC, dba Mohala's Bay Front Fish and Chips, from its Dispenser Beer and Wine liquor license, Category A, located at 50 Waianuenue Avenue, Hilo, Hawaii; seconded by Mr. Greenwell. Onizuka: Thank you. Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 57 r-. There was no opposition by the Commissioners. Onizuka: Motion carried. The motion was carried unanimously. Onizuka: 22. Ulu Development LLC, dba Magics Beach Grill, approval of Application for Change of Class to a Class 2 Restaurant liquor license from its Dispenser General liquor license, Category 132, located at the Kona Magic Sands, 77-6452 Alii Drive, Kailua-Kona, Hawaii. Hughes: Motion to approve application. Arakaki: Second. Mr. Hughes moved to approve the Application for Change of Class to a Class 2 Restaurant liquor license, submitted by Ulu Development LLC, dba Magics Beach Grill, from its Dispenser General liquor license, Category B2, located at the Kona Magic Sands, 77-6452 Ali°i Drive, Kailua-Kona, Hawaii; seconded by Mr. Arakaki. Onizuka: Thank you. Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. Onizuka: 23. Limberg Inc., dba Oceans Sports Bar and Grill, approval of Application for Change of Class to a Class 2 Restaurant liquor license from its Dispenser General liquor license, Category 132, located at the Coconut Grove Marketplace, 75-5811 Alii Drive, Kailua-Kona, Hawai'i. Hughes: Motion to approve application. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 58 Greenwell: Second. Mr. Hughes moved to approve the Application for Change of Class to a Class 2 Restaurant liquor license, submitted by Limberg Inc., dba Oceans Sports Bar and Grill, from its Dispenser General liquor license, Category B2, located at the Coconut Grove Marketplace, 75-5811 Ali°i Drive, Kailua-Kona, Hawaii; seconded by Mr. Greenwell. Onizuka: Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. IX. Special Licenses Issued for Ratification Onizuka: Special Licenses Issued for Ratification. Requesting a motion for ratification of Special Licenses, Application Nos. SP -19-111 to SP -19-115, Item Nos. 24(a) to 24(e), and SP -19-120, Item No. 24(f), SP -19-123 to SP -19-125, Item Nos. 24(g) to 24(i). Mr. Hughes moved to ratify the following Special Licenses: 24. Special Licenses Issued for Ratification a. Application No. SP -19-111, Akaka Falls Lions Club, dba Akaka Falls Lions Club, for a Special General liquor license, on March 27, 2020, at Nani Mau Gardens, located at 421 Makalika Street, Hilo, Hawaii. b. Application No. SP -19-112, Holualoa Foundation for Arts and Culture, dba Donkey Mill Art Center, for a Special Beer and Wine liquor license, on February 29, 2020, at 74-5533 Loloku Street, Kailua-Kona, Hawaii. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 59 C. Application No. SP -19-113, Volcano Art Center, dba Volcano Art Center, for a Special Beer and Wine liquor license, on February 29, 2020, at the Volcano Art Center, located at 19-4074 Old Volcano Road, Volcano, Hawaii. d. Application No. SP -19-114, Christopher Camero Memorial VFW Post 12122, dba Christopher Camero Memorial VFW Post 12122, for a Special Beer and Wine liquor license for the period March 1, 2020, through March 31, 2020, at 74-5543 Kaiwi Street, Suite 185A, Kailua-Kona, Hawaii. e. Application No. SP -19-115, Hilo Women's Club, dba Hilo Women's Club, for a Special Beer and Wine liquor license, on March 14, 2020, at the Hilo Women's Club, located at 7 Lele Street, Hilo, Hawai'i. f. Application No. SP -19-120, Hawai'i Island Pacific & Asia Cultural Celebrations (HIPACC), dba Hawaii Island Pacific & Asia Cultural Celebrations (HIPACC), for a Special Beer and Wine liquor license, on September 13, 2020, at Courtyard by Marriott King Kamehameha's Kona Beach Hotel, located at 75-5660 Palani Road, Kailua-Kona, Hawai'i. g. Application No. SP -19-123, Volcano Art Center, dba Volcano Art Center, for a Special Beer and Wine liquor license, on March 14, 2020, at the Volcano Art Center, located at 19-4074 Old Volcano Road, Volcano, Hawaii. h. Application No. SP -19-124, Hawaii Island United Way, Inc., dba Hawaii Island United Way, Inc., for a Special Beer and Wine liquor license, on March 16, 2020, at The Club at Hokuli'a, located at 81-6636 Pu'u Ohau Place, Kealakekua, Hawaii. L Application No. SP -19-125, Hawaii Island United Way, Inc., dba Hawaii Island United Way, Inc., for a Special Beer and Wine liquor license, on March 15, 2020, at Courtyard by Marriott King Kamehameha's Kona Beach Hotel, located at 75-5660 Palani Road, Kailua-Kona, Hawaii. The motion was seconded by Ms. Thomas. Onizuka: Moved and seconded that we ratify. Any questions, discussion? There were no questions or discussion from the Commissioners. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 60 Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Motion is carried. The motion was carried unanimously. Onizuka: 25. COVID-19 Updates and Actions. Mr. Takase, are you going to take care of this? Takase: Yes. I tried to give the Commission a brief synopsis of what we've been doing in the last month or so. By way of background, you know that the Governor had issued several requests. The first one was a little confusing. He had requested that all bars and restaurants shut down. The County of Hawai'i interpreted the first request as merely a request, so we stayed open, I believe, until March 25th, when the Governor issued a proclamation stating that all shut -downs will take place as of March 25tH Takase: The first week, we were rather busy helping to interpret it and informing our Licensees of what was going on. There was criticism of us and the County government for not shutting down when the Governor's first order was issued. I see, coming out of this now, the Governor has allowed places to reopen; but, all the other counties have said they weren't ready, so they are resisting opening. But, everybody will be reopened as of next Friday. This doesn't necessarily include our restaurants, though. Takase: As we went into the shut -down, we had a lot of questions from our Licensees. But basically, we sent out all our investigators to make sure that they were closed down or knew that they were supposed to close down by the 25th, and in fact, they were. I'll report that all our Licensees have complied with the order. We allowed take-out and delivery by, not only restaurants but by our dispensers as well, provided that it was in conjunction with food service. That's why you saw a lot of them changing over from Dispenser General to Restaurant licenses on the agenda today. We spoke with a lot of them and said it would be easier if they changed over, so a lot of them were taking advantage of that fact. That's why you saw this changing over. Takase: We have allowed take-out of sealed wine and alcohol from the very beginning. For a while, we were the only one that was allowing that, and finally, the other counties had asked the Governor to approve that for them as well, which he did on April the 17t" What proceeded for the rest of the State is that they were allowing take-out of resealed wines and beers and it didn't make sense to us that in this time of increased sanitation, we would require them to open it just to reseal it for them to take-out. Though it may not have been quite on all fours with the law, I felt that it was a better avenue to pursue and MAY 7, 2020 - LIQUOR COMMISSION MINUTES 61 r. '.1"N that's why I allowed it. I guess, as the restauranteurs talk, they ... for the other counties to do that, which they all have at this point in time. Takase: Some of the other things that we've done upfront, was that we allowed our distillers to convert their operations into creation of disinfectants. We have two Licensees doing it now, Kuleana Rum (Works) and Big Island Distillers. They have already started to produce disinfectants and (is) providing to the County as well as to the public. Lastly, Hilo Brewing is looking at converting their operations, as well, at this point in time. Takase: We have also allowed drive-through service in containers, which was something new. With not being able to go in stores ... we've adjusted and allowed that, as well. We've extended the expiration dates for all our managers' cards, so in the last couple of months as they come due, we haven't had classes, so we extended the managers' (cards) expiration date. We had provided classes for a few people where they had no managers on duty. I believe we provided five or six people with those classes. Takase: The next (item) I wanted to speak with you about is providing take-out of mixed drinks. Up until now, we've (allowed) only cocktails that were pre -mixed ... can take this to go. But, I've been to the restaurants recently and they want to mix drinks. They have been able to seal them, which was one of our big requirements. They have different types of plastic they can put around the drinks and shrink wrap them. I believe Brandon had provided you with examples of that. It seems to work pretty well, so this is one of the things we're asking the Commission, if they have any position on that. If not, then we'll go ahead and start to approve it. The reason the dispensers are asking for that is, I guess, in the restaurant or alcohol business, that's their biggest margin, so they would like to have that ability, especially, as it does appear that they will not be allowed to open their restaurants for in -dining in the near future. That's something we're considering. We wanted to let you know and see if you had any objections to that. Thomas: Gerald, I have a question. Next Friday, May 15th, what is officially allowed to open at that time? Takase: There are all kinds of things that can open. But in terms of what affects liquor licenses, nothing will change at that point. Thomas: Okay. Takase: Really, May 15th is a Honolulu deadline. The Governor issued his order on Monday or Tuesday and allowed a host of things to open, including the malls. As of today, Kauai and Hawai'i County are following the Governor, and things will start to reopen. On Monday, I think Maui is going to open, and next week Friday, Oahu. In terms of liquor licensees and restaurants, there's really going to be no change; it's still only take-out, delivery, no dining in the restaurants at this point. Thomas: Another question, if I may? The request is for restaurants that serve these mixed cocktails to be able to provide them for take-out; you can buy your burgers and fries MAY 7, 2020 - LIQUOR COMMISSION MINUTES 62 with your mai tai or something, and the idea is to have them in sealed containers like the ones we're looking at. How large are these? Just say I have not much objection, I'm just wondering about the size of these containers that Brandon has put up on the screen. Takase: We tried to provide you with references. The mason jar is a little bigger than a soda can or 12 ounces. I believe the water bottle is a 16 -ounce size. That's what you're looking at. Thomas: Okay. Perfect. Ibarra: Gerald, back to the beer trucks... Takase: Yes, I didn't get to that yet. I wanted to see if there are any objections to this ... first. Greenwell: Gerald? Mr. Chair, do I have room to speak? Onizuka: Go ahead. Greenwell: Regarding these dispensers and restaurants, hopefully, this pandemic or coronavirus is going to be over, is this going to continue after that? The other thing is, I would think that you're losing some control. I don't expect you to be heavy-handed with a closed fist, but when somebody buys a hamburger, is that a front to buy a mixed drink, and you don't know where that mixed drink is going? You don't know who's going to drink it? Is there a limitation on stacking? In other words, if I buy a hamburger, can I buy three mixed drinks? I think there are some things that discussion might be in order, say, the next meeting or something like that, before we give them a free pass on selling mixed drinks. We've already given them beer and wine. Takase: Well... Greenwell: That's it. Masuda: Let me interject here. This is what the Governor's Proclamation 7 reads. This is under 281, intoxicating liquor, related administrative rules and to the extent as follows: "2. Section 281-31, HRS, Licenses, classes, to enable the County liquor commissions to allow licensees to sell unopened beer or unopened wine or unopened prepackaged cocktails with food for pick up, delivery, take out, or other means to be consumed off the premises, and to enable county liquor commissions to waive, suspend..." Masuda: ...and it talks about deadlines and other things. That's what the law says at this point. So, part of the question is, by allowing something like that, would that be considered an unopened prepackaged cocktail? And as far as duration, for Commissioner MAY 7, 2020 - LIQUOR COMMISSION MINUTES 63 Greenwell's question, this will only be for the duration of the Governor's proclamation. Other counties do not allow this at all. Greenwell: Craig, you say that prepackaged will be only consumed on the premises. In other words, it's not to take and go. Masuda: No. They cannot consume it on the premises. They have to take it and go. Greenwell: Okay. So now, we're in a situation where we've lost control of who is going to be drinking that liquor, and back to what my other question was; do they allow stacking? Masuda: Commissioner Greenwell, that comes to the same question of any kind of retail operation. Once the person who's of legal age buys a beer, you don't know who they're going to give it to or who is actually going to consume. It becomes the responsibility of the person purchasing to make sure that it's being consumed lawfully. As far as stacking, I think Gerald would agree, because it's taken off -premises, the stacking laws would not apply. Takase: Let me interject here. Number one is to your first point. Would we lose control? Yes, once it leaves the premises, we don't have control over it. With takeout and delivery, the Licensee is still obligated to assure that they're giving it to a person that's over the age of twenty-one. So, they do maintain that. As to the second point of stacking, we'll probably still follow the stacking rule. So, if you only bought one meal, you could buy drinks for one person. So, that would be the two drinks. In other words, you couldn't purchase one case of beer with your one hamburger. But there's a practical application to it, too. I don't think you're going to see people doing that because it's not cost-effective. If you're going to drink that many, all the stores are still open, so you'll probably go to a store to buy your beer rather than trying to purchase your twelve -pack or one case of beer from a dispenser. Greenwell: Gerald, I understand you, but we're talking about mixed drinks right now. Takase: Yes, but it would be the same thing, though. You could probably buy two with each one. Onizuka: Gerald, according to what Craig ran about what the Governor stated, you're talking about unopened beer, unopened wine. Rather than fool around with these mixed drinks, why don't they just sell those small bottles of alcohol? Takase: That's what we told them to do right now. Onizuka: The way I interpret what Craig read, was that, if they're going to mix drinks from an already open bottle, and repack it and seal it, I don't think that's what the Governor intended. I think we're talking about factory sealed. Takase: Yes, and that's why I brought up the point that we went forward with allowing sealed wines and beers without approvals, previously, but the Governor caught up with MAY 7, 2020 - LIQUOR COMMISSION MINUTES 64 us on that point. We're trying to balance things here for not only what we have to do, but also to allow our restaurants to try and survive this whole event. I don't expect the restaurants to be open that soon. They're going to have downtime, so number one, we're trying to work from our end to provide accommodations that will allow them to operate a little more easily. So, we bring it to you, but if you're dead set against it, then maybe we will not pursue it. Masuda: Let me interject something, too, because Gerald's talking about practicalities. understand why you'd want to have a manufactured product, sealed at the factory; that's the safest as far as the virus is concerned. But when it comes to this, it doesn't make sense, either. The person who's preparing the food might be the same person as the one making the drinks anyway. Everything is made on the same premises. So, that's a consideration. Onizuka: Rather than fool around with this, I think we've been trying to be more accommodating to the restaurant and food (people) that have liquor licenses by allowing them to take-out, according to what the Governor said. If you talk about mixed drinks, there are tons of already factory mixed drinks out there; seltzers, and more with alcohol. I would say we should just stay away from this completely, and it has to be something that comes out of the factory sealed. That's my opinion. Onizuka: Commissioners, any other discussion? There was no other discussion from the Commissioners. Onizuka: Gerald, do we need a motion to take care of this? Takase: No. The next item is, Ola Brewing approached us about selling alcohol from a vehicle, which they described like an ice cream truck. We have seen a couple of instances of it on the mainland, but they are really just delivery trucks. They will go around and sell. Rather than being strictly delivery, they'll sell it if you wave them down. From what I understood from Ola Brewing, they want to take it one step further and actually serve off of their truck. We've not been in favor of it, but they asked if we could bring it before the Commission. I told them we'd take it before them but... I'll leave it at that. Hughes: In a way, it's sort of like the Schwan ice cream truck that comes to your house and delivers. At least you're not out driving around and drinking. I think it's a great idea, myself. If you can call up and have your bottle of wine delivered to your house, they check the ID, make sure it's a legal transaction, it's good. Ibarra: Gerald, didn't we have one where the establishment was burned down and he said he was going to operate from a truck on -premises? I guess this is different? And we were talking about this kind of concept being extended. It's a great idea, but the question... if somebody wants to have a beer party, can I order the truck to come to my house and stay while the people go and buy out there? MAY 7, 2020 - LIQUOR COMMISSION MINUTES 65 Takase: Yes. We have allowed sales from trucks, but those were always at fixed locations. Even with what you're speaking of, we would probably be okay with that. But to just have them driving around serving is going to be a little problematic, so at that point, I wouldn't be... I could approach them with (the idea of) yes, you can rent out this truck and have service from that. That might be a workable idea. Ibarra: So, like I just said, I want to have a beer bust on a Friday afternoon, call up Ola Brewing, bring your beer truck to my house, and... Takase: ...in the cul-de-sac. Greenwell: Do I have room to speak? Onizuka: Yes, go ahead. Greenwell: Gerald, I think I'm not for this idea and I think there could be some problems. would hate for that truck to drive down Old Mamalahoa Highway in Hakalau because I think you might end up with some problems. Masuda: Gerald, if I can, Mr. Chairman? Onizuka: Yes, go ahead. Masuda: This is not even a catering issue, right? This is an issue where (they're) going to be driving around in the old ice cream truck, playing some kind of music, to attract people to come out of their house and buy alcohol. Takase: Yes, and if you look at your screens right now, Brandon has lots of examples of it. So, it's not a brand new idea. I guess it's a coming thing. Thomas: Sure. Takase: Let's table this for now, and I'm going to have them make a formal presentation about it. Thomas: Can I just say something, too, Mr. Chairman? One of the things that this reminds me of, first of all, is the lockdowns all over the country. It has sparked innovations in delivery services, which is like the new way to make money. If you can deliver to people who aren't willing to go out and get things for themselves, or who are loathed to go to the grocery stores and pick things up. This, to me, falls in that category of making it more convenient for people who... those things that they would normally go out for in the same way that restaurants might be able to package up their cocktails because you like going to Jackie Rey's and getting their fancy frozen margarita strawberry whatever, and you don't have the resources to make it or don't feel like making it at home. You can just buy it from the restaurant, take it home, have your meal at home. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 66 Thomas: All of these things, to me, just strike me as innovations borne of the times that we live in. They could become a thing later on, too, but I guess to look at them in the context of this pandemic and the restrictions, and specific behavior at this particular point in time. The idea of the truck is not such a bad idea, but it seems to disadvantage those businesses that don't have either the resources or the wherewithal to get a truck of their own. So, good for Ola Brewing that they have this idea, but the restaurants, could they do the same thing? So, there's a little bit of a competitive edge that Ola Brewing might have with coming up with this, because presumably, they're only going to sell Ola Brewing Company products. And, as long as they're subject to the same kind of strictures for alcohol sales as a licensed establishment, I don't see, fundamentally, a big problem with it. Thomas: But, the question is, is this what we want to encourage in the communities; and, would we put a limit on this based on what the environment is in terms of the COVID pandemic response from the government and us, too? So for me, I see this as a kind of natural innovation that's evolved from the environment that we're living in right now. Would we put a stop to this opportunity once everything's opened up again? Or make this something that's available just for this period of time, when there are so many strictures and people may feel uncomfortable going out and getting things, which by the way, I don't necessarily know if that's really a thing. Judging by how many people are already shopping, I won't think people are not buying their beer if they really want it. That's not what I'm seeing when I go out. Thomas: So, that's a question. Is this something that ... I don't think it's something unusual. As I said, it's an innovation that's sprung from the times that we're living in. Do we want to encourage this on our island? Do we want to make this available on a limited time until all of the restrictions are lifted and everybody's back open and doing things? Takase: To all of those points, a lot of mainland jurisdictions are starting to reopen now, and a lot of things were put into place during this lockdown period. I'm not so sure we're going to be able to go back that easily because the big question is going to be 'what's the harm of allowing, for instance, the to -go drinks.' I'm seeing a lot of people saying 'what was the harm' and 'why don't we allow it.' Same with our retail drive-thru service, so we're going to have to look hard at once this ends. Are there things that we can start allowing now that we've had a "test period" to see, and the big problems that we thought we were going to have with it, really haven't come up. Maybe there are some things that we can change in our laws to keep up with the times. Thomas: And that's a good question. Like I said, this pandemic has really sparked the innovations of to -your -door service. We can deliver right to you and that food truck, or the trucks that roll right down your street are in that sphere of innovation of things right now. Takase: I'm thinking you don't have any definitive answer to this question today. I will speak with Ola Brewing further and maybe we can have them come and do a formal MAY 7, 2020 - LIQUOR COMMISSION MINUTES 67 presentation to the Commission. I think they would want to do it, not just for this pandemic period, but maybe moving forward, permanently. Onizuka: Gerald, this whole take-out thing was set up to support the restaurants that couldn't have dine -in service to try to help them generate income during that period. To have a drive -around truck; I'm opposed to. There's question about liability. It's something to be tested in the islands, but I don't want to be a commissioner that approves it and somebody gets into trouble or hurt, and then they say 'who was the Commissioner that approved that?' I think that the takeout thing was just set up to support the local restaurants during this period, and we should just wait and see, and table this for later. Takase: Okay. Ibarra: If I may add one comment? Also with these take-out foods, can't people now call bars and not say 'I want to order, so can you deliver to me?' Takase: Yes, they can. Ibarra: Versus just driving around. So they can still order if they can't get out, right? Takase: Correct. We'll table it for now and I'll speak with them. If they want to pursue it, they can make a more formal presentation to the Commission. Greenwell: Mr. Chair, can I speak? Onizuka: Go ahead. Greenwell: Gerald, I am for that third discussion point of deferring payment of the liquor license renewals until a later part of the year. Takase: Mr. Chairman, can we change the subject now? That was the last point I had to bring up. We looked at our finances, and I believe we can cover... We collect about two hundred something thousand a year in liquor license renewals. That would run us from July through November; but, I believe we have sufficient reserves at this point that we don't have to collect upfront at this time. I was going to do this for two points: 1) to help the Licensees, as I see it, they're probably going to start opening again when they'll be hit with the licensing fees. The fees aren't that big—maybe from $300 up to $1,200 for the hotels; but, as most of them are saying, any little bit will help. So, from our side, in terms of goodwill, I can suspend collecting those fees until we do the percentage fees at the end of the year. Takase: Secondly, it's to help us ensure that our Licensees come back. When they can come back online, they will get hit with the renewals and their fees, and it might be enough to push them over the edge to say they will remain closed. We've had one or two that have already said they're not going to come back. I'm trying to prevent further Licensees from choosing that option. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 68 Ibarra: That's a great idea. Mr. Chairman, may I speak on this? Onizuka: Go ahead. Ibarra: Gerald, that's a great idea. When you mentioned the one or two Licensees not coming back, so you defer it, and in the end, they don't pay and they don't come back, what happens? Takase: That's a risk we take; but, we always had that risk anyway. So, if I can at least have them renew, it's a little better. Onizuka: Okay, thank you. Ibarra: I agree. I agree with that. Takase: Okay. Thomas: Gerald, I have a... Mr. Chairman, may I pose a question? If you delay the fees and they stay open but then they decide they're not going to renew the fees, can you offer the delay with the understanding that they will, you know, can you prorate the fee for the amount of time that they were open with not having the fee paid? Takase: Yes, we can. Our first pass would be to collect the entire license fee, but if they're not going to reopen, we probably aren't going to collect anything from them in the end. We have that problem now, but, I'll take it on good faith that most of them are going to renew. I think it's something that we can offer to them, they will be happy about it, and they'll, hopefully, not try to pass the (inaudible). Like with everything, you take that chance. Onizuka: Gerald, I hear what you're saying and some of them may really need to be deferred, (and) some may just jump on it because you are offering it. Maybe another idea would be to let them know that they can apply for the deferral. Takase: The deferral? Onizuka: Yes. Then you would have an indication of whether they plan to stay open or they're not going to open at all. Takase: Yes, we can try. We've been getting renewals already and they've been paying because... On our retail side, I expect most of them to pay since they've all been open. Most of them want to pay because they have the money now, so they bring it in and they'll pay. But for our dispenser category, they are the ones that... I didn't know how to break it down to offer it to some and not others. I said we can cover anyone that doesn't want to pay now and I don't want to distinguish between those that can and cannot, so I just offered it to all of them. Those that don't want to, we give them that option. It would create much more work on our side to try to determine who should get it and who shouldn't get it. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 69 Onizuka: If they defer the fees for six months, six months from now, they'll have to pay ... say it (COVID-19) runs into 2021, they'll end up double, right? Takase: The fee won't be due again until June 30 of next year. We're extending it for six months right now; if this (COVID-19) runs until June of next year, there'll be bigger problems than affecting our renewal fees. My position is that we will have extra money in our budget this year, especially with all of ... it looks like all of our travel is being cancelled. That's a good portion of our costs left in this year. I don't know what kind of personnel... Right now, the Mayor is saying that we will not be able to fill our vacant slots, so that will also give us excess funds. They're still talking about extra blows and things, which, although we can afford to go forward, I suspect if there is that, we would be required to follow along. Masuda: Mr. Chairman, if it's something the Commission wants to do, I would suggest someone make a motion to allow the Director the leeway to grant these extensions. That way it'll cover, Gerald, later on, should there be any question. Onizuka: Thank you. Call for a motion to allow the Director to defer payments of the liquor license renewal fee for six months. Six months? Greenwell: Mr. Chair, I'll make that motion to allow the Director to defer payments of liquor license renewal fees for the next six months. Raymond: Second. Mr. Greenwell moved to allow the Director to defer payment of the liquor license renewal fees for six months; seconded by Dawn Raymond. Onizuka: Moved and seconded that we allow the Director to defer fees for liquor license renewals up to six months. Any discussion? There was no discussion from the Commissioners. Onizuka: All those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. Takase: Thank you. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 70 Onizuka: 26. Par Hawaii, LLC, dba NOMNOM Express (Kaumana) and NOMNOM Express (Honoka`a), approval to extend the time issuance, for good cause shown, of its approved Retail General liquor licenses, located at 370 Kaumana Drive, Hilo, Hawaii, and 45-3533 Mamane Street, Honoka`a, Hawaii, for an additional six months from May 7, 2020, to and including November 7, 2020, by letter dated May 5, 2020. Takase: Yes, there are two locations, Kaumana and Honoka'a, and these are gas stations that are already operating. They're having some problems with getting their approvals for changes they've made. I believe a lot of it involves their signage. We recommend approval of the extensions. Onizuka: Any other discussion? Masuda: Mr. Chairman, if there's going to be a granting of the extension, we ask that it be for the reasons that Gerald said, they're having problems with their permitting and that it'd be done in the interest of finding of good cause. Onizuka: Okay. Call for a motion. Greenwell: I will make the motion to give them the time extension, and good cause would be shown in the letter they sent on May 5t" describing their problems, and the extension period would be for six months. Hughes: I'll second that. Mr. Greenwell moved to approve the request to extend the time issuance, for good cause shown, submitted by Par Hawaii, LLC, dba NOMNOM Express (Kaumana) and NOMNOM Express (Honoka`a), of its approved Retail General liquor licenses, located at 370 Kaumana Drive, Hilo, Hawaii, and 45-3533 Mamane Street, Honoka`a, Hawaii, for an additional six months from May 7, 2020, to and including November 7, 2020, by letter dated May 5, 2020; seconded by Mr. Hughes. Onizuka: Thank you. Moved and seconded. Any discussion? There was no discussion from the Commissioners. Onizuka: Hearing none, all those in favor say, "Aye." The Commissioners voted "Aye." Onizuka: Opposed, "Nay." MAY 7, 2020 - LIQUOR COMMISSION MINUTES 71 There was no opposition by the Commissioners. Onizuka: No nays, motion is carried. Thank you. The motion was carried unanimously. IX. Announcements Meetings of Liquor Commission Onizuka: The future meetings of the Liquor Commission are scheduled for June 4 and July 2nd at 10:00 A.M. It is still to be determined if the meetings will be conducted via WebEx, or at a single physical location. Takase: Mr. Chairman, for June we will probably stay with WebEx because I think it's going to be really close in time before we get appearances. We will just count on it. We'll leave the time set for Kona, but I expect it'll probably be another web meeting. By July, I hope we can all get together, but we shall see on that one. Onizuka: Okay, so plan on having another similar meeting in June. If things change, you'll be notified. Takase: Yes. I also wanted to thank Brandon and the rest of my staff. They've been trying on ... shutdown period. Brandon's... trying to keep everyone online and he's been stressing over this meeting. It went pretty well; nobody got cut off and everybody got to say their piece ... so, we'll have it for one more meeting. Onizuka: Okay, plan on another similar meeting for June 4th, sign on at 9:30 A.M. Takase: Nine thirty, nine forty-five. Brandon will send out a new invitation to you. X. Adjournment Onizuka: Call for a motion to adjourn. Greenwell: I make the motion. Arakaki: Second. Mr. Greenwell moved to adjourn; seconded by Mr. Arakaki. Onizuka: Moved and seconded that we adjourn. Any discussion? There was no discussion from the Commissioners. Onizuka: If none, all those in favor say, "Aye." MAY 7, 2020 — LIQUOR COMMISSION MINUTES 72 The Commissioners voted "Aye." Onizuka: Opposed, "Nay." There was no opposition by the Commissioners. Onizuka: Meeting is adjourned. The time now is 12:30 P.M. The motion was carried unanimously. Meeting adjourned at 12:30 P.M. &AA., Zr d Takase Director The May 7, 2020, and June 4, 2020, Liquor Commission minutes were approved as circulated via email/mail on July 23, 2020, by the Liquor Commission of the County of Hawaii on August 6, 2020. MAY 7, 2020 - LIQUOR COMMISSION MINUTES 73