Liquor Control Board - April 8, 2025 Minutes

Liquor Control Board
Special Meeting
April 8, 2025; 1:30 p.m.
City Commission Chambers
People Present: Commissioner Piepkorn, Bob Nelson, LCB, Scott Brekke, LCB, Dave from Teddy’s, Eatery, Mark Doyle LCB, Representatives from Southern Glaciers Wine & Spirits, Jeremy Lemke from Buffalo Wild WIngs, Will Wischer, Assistant City Attorney, Kyle from Jasper Hotel, Duane Litton from Duffy’s, Warren Ackley from OB, Rick Carik from Rick’s Bar, Dave Erickson from Bulldog Tap

Agenda items are:
1. Review factors to consider when issuing a liquor license, proximity clause
Sprague presented, Mark Doyle asked about a proximity clause, conditions for issuing a license 25-1508C2, 25-1508C3 discusses proximity clause.
PD also has conditions for issuing a license such as felonies, offenses that involve the sale or manufacturing of alcohol, sale or deliver to a minor, consuming in public, etc.
Piepkorn asked about the 100 feet mentioned in 25-1508E. Sprague stated that the Off-Sale License has what is called the “100 foot rule” this was modified about 10 years ago and simplified, a line was added that if the City Commission determines that all the conditions have been met, then the license is approved. When issuing an Off-Sale license we look at “door to door” door from the off-sale to the door to the building must be 100 feet apart and there can be no passage through
2. Conditional licenses
i. Not called Conditional license
ii. License fees – 25-1507 pay for the license
iii. License usage – 25-1512 can ask for an exemption from selling
a. Past practice
Sprague presented, business would look for license approval before they had their business location and built, they were not called conditional licenses.
Sprague stated for reference in the past if an application was submitted the business needed to know the design of their building was being built around if they were planning on selling alcohol, they needed to know what that plan looked like before construction, licenses would be issued because they needed to know they had that license to begin construction. They were not really called conditional licenses at that time. 25-1507 discusses fees, which state once the license is approved 10% of the initial fee is paid and the balance is paid within 180 days, if the license is not used, 25-1512 has provisions in regards to using the license, an exemption request can be made to the City Commission. These are past practices and should there be something more the City does when it comes to a license application that won’t be used right away.
A current application from Target Wine & Spirits it was stated that they will begin operations in 2027, until that time the license will be sitting on the shelf, Sprague did tell them about the 25-1507, and 25-1512 conditions. His concern is what would happen if for some reason they put it off even further ie. poor economy, how long do we sit on a license that could be used somewhere else?
Piepkorn believes the way it works now seems fine, as long as the business continues to check in with the City as their concept progresses.
Brekke stated that some of the Big Box businesses have a checklist of items/licenses they need to have before they can begin the construction.
Sprague asked Dave Erickson how he felt the process for asking for an exemption worked, Dave stated it went well and he felt it was a fair process.
Piepkorn asked Warren Ackley his opinion and Warren stated he appreciated the way Borrowed Bucks was handled and he doesn’t see a reason to change it.
Piepkorn believes if there are changes that could improve it, but it sounds as if the process works.
Sprague asked if there would be a situation where the exemption wasn’t approved, Piepkorn believes the communication with the license holders is good and from his perspective we are doing a good job.

b. Factors to consider when approving a conditional license
i. When will the business open
ii. Are there caps on the license class
iii. Is there demand for the license
iv. Does license issuance affect building design

3. Annexation affect
i. History – 39 annexations since 2000
ii. Potential for abuse
iii. Future growth
Sprague presented there is a business looking for an off sale license with the City, the area has not been annexed yet, they have applied with the County, there are 8 steps to get a license with the County. Piepkorn stated if they want a City license they have to follow Fargo’s rules and pay the fees. Sprague mentioned this license is currently capped, if they are annexed there won’t be a license available for them.
Rick Carik asked if a license is purchased at a certain location can there be a stipulation that it has to stay at that location? If there is already a location that is open and their location gets annexed do they have to change to Fargo’s rules?
Piepkorn stated that yes, regardless of previous business practice the business would need to change to Fargo’s rules and maybe a conversation should happen that explains how Fargo works so they know when and if they are annexed.
4. Penalty to Points
i. Penalty severity
ii. Which offenses are worse
iii. Offense recurrence
iv. Rewards
Sprague presented, there are has some discussion about turning penalties into points. Currently the compliance check failure is the penalty that comes up the most. A former Liquor Control Board member had mentioned if there was a way to waive a fee by possibly issuing points that could be used against the penalty.
Points could also be used for a first offense and if there are many first offenses for different violations they could be cumulative. If a business goes 5 years without any points so some of the current points could be taken away.
Piepkorn asked about a Driver’s License points, Will responded it is his understanding that once you accumulate 12 points your license is suspended and for every point over 12 those go on off your record after a month, if you are under 12 they fall off slower, there is also a defensive driving course that will remove 3 points.
Piepkorn would like everyone to look at the current system and think of ways to change it. He believes currently the system is working well.
Duane Litton agrees with a point system and feels the current Ordinance has businesses boxed in and would like to see some humanity brought in to the way issues are handled.

Adjourned 2:24