OFFICE OF THE MUNICIPAL CLERK155 S. Seward St., Room 202

Phone: (907)586-5278 Fax: (907)586-4552email: BethMcEwen@ci.juneau.ak.us

MEMORANDUM

DATE: March 1, 2013

FROM:

Assembly Human Resources Committee

Beth McEwen, Deputy Municipal Cler~~

Liquor License Protest Recommendation - Sprazzo, LLC

TO:

RE:

Before you is a liquor license renewal application for RestauranUEating Place License # 2641Sprazzo, LLC d/b/a Sprazzo, location: 112 N. Franklin Street, Juneau, AK.

Staff from the Fire, Finance, Police, and Community Development (CDD) Departments havereviewed this license for code compliance and staff from the Fire and Finance Departmentsare recommending the Assembly protest the renewal based on the reasons stated below. Yourpacket contains a copy of the letter sent to Sprazzo, LLC owner Mr. Haydar Suyun informing

-, him of the recommendations reasons for the protest and instructed him on the stepsnecessary to bring his business into compliance prior to the March 4,2013 Assembly HRC andAssembly meetings as well as his rights to an informal hearing before the Assembly at thosemeetings should he request one.

FIRE DEPARTMENTFire Marshal Dan Jager in an email to me on January 28, 2013 stated the following:

"There is no record of receiving a current (within the last 12 months) report forthe sprinkler system. I know that the hood system was installed and inspectedlast April, so that is still good. Since it was being used for the pizza oven onlyand no grease vapors present, we agreed to allow the inspection for that systemto be annual unless operations changed, then it would go back to the six monthinspection requirement. The sprinkler system was past due at the time of theinspection last April, and we do not have anything current in our files."

In following up with Mr. Jager on February 28, he stated that he had received a call theprevious week from Mr. Suyun who asked for clarification of the Fire Department'srequirement for the license renewal. Mr. Jager informed him that they need to havedocumentation of a sprinkler inspection being conducted within the past 12 months. Mr.Suyun informed Mr. Jager that he would need to get the building owner to schedule aninspection with a company and provide a report to the Fire Department as soon aspossible. Mr. Jager informed me that as of February 28, they have not yet received areport or any other communications from Mr. Suyun or the building owner ........_ ....

B. McEwen Memo to HRC re: Liquor License Protest - Sprazzo, LLCMarch1,2013

Page 2 of 2

FINANCE DEPARTMENTSales Tax Compliance Accountant Clinton Singletary indicated in an email datedJanuary 25, 2013 that Sprazzo, LLC had a balance due on its September 2012 salestax return. This information was also conveyed to Mr. Suyun in the letter sent on

~February 1t, 2013. In an update from Mr. Singletary on February 28, he statedthat thebalance due on the return for the period ending September 30,2012 was $4,726.63and as of March 1, 2013 the balance will have additional penalties and interest due fora new balance of $4951.60.

CITY/BOROUCH Of JUNEAUALASKA'S CAPITAL CITY OFFICE OF THE MUNICIPAL CLERK

Ph: (907)586-5278 Fax: (907)586-4552e-mail: BethMcEwen@ci.juneau.:tk.us

February 11,2013 1

Via certified & regular mailHaydar SuyunSprazzo, LLC d/b/a Sprazzo523 Fourth StreetJuneau, AK 9980.1

Re: Restaurant Eating Place, Liquor License 20.13-20.14 Renewal

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Dear Mr. Suyun,

The State of Alaska Alcohol Beverage Control staffhas notified the City and Borough of Juneau of yourliquor license renewal for 2013-20.14 and submitted the renewal for comment before the local governingbody.

As is our practice in these matters, the staff from the Fire, Finance, Police, and Community DevelopmentDepartments reviewed your establishment to insure compliance with city code. The Finance Departmenthas reported that there is still an outstanding balance owing on the September 2012 Sales Tax return. TheFire Department has also reported that they have 110tyet received the sprinkler system report that was pastdue at the time of the inspection inApril 2012. In light of the above concerns, both the Finance and FireDepartments are recommending the Assembly protest the renewal of the liquorIicense until those issuesare resolved. I would strongly recommend that you contact Fire Marshal Dan Jager at 586-0260 andthe Sales Tax Office at 586-5265 to resolve these issues as soon as possible:

The Assembly Human Resources Committee (HRC) will address this license renewal at its meeting onMonday, March 4, 20.13 at 6:00. p.m. in the Assembly Chambers. Immediately following the HRC meetingon March 4 is a regular Assembly meeting at 7:0.0.p.rn. atwhich time the HRC will forward itsrecommendations to the Assembly for official action on your liquor license renewal. If the protestrecommendation is forwarded to the Assembly, you will be eligible for an informal hearing before theAssembly in accordance with CBJ Code 2o..2S.o.2S(c), (copy attached).

BethMcEwenDeputy Clerk

Enclosurescc: Assembly Human Resources Committee MembersKim Kiefer, City ManagerBob Bartholomew, Finance DirectorJoan Roomsburg, Sales Tax AdministratorDan Jager, Fire Marshal

____________ 155 So. Seward Street Juneau, Alaska 99801-1397.----- ,.;'

U.S. Postal ServiceTMCERTIFIED MAILTM RECEIPT(Domestic Mail Only; No Insurance Coverage Provided)

~.L_ __ ~~~~~~~~~~--~~=-==--~.:rI:()U1

rn Retum Receipt Fee~ (Endorsement Required) 1----__:_-4o Restricted DeUver'~••

(Endorsement Req

Here

?2 TotalPostage 8 Haydar Suyun[f"'

ru SentTo SpraZ1:0,LLC d/b/a Sprazzo523 Fourth StreetJuneau, AK 99801

r-'Ir-'I Siieei,AiJrNiJ:;--o or PO Box No.~ ciiiStaie.-ziP~

PS Form 3800. August 2006 See Reverse for Instructions

! • Complete items 1, 2, and 3. Also completeitem 4 if Restricted Delivery is desired_

• Print your name and address on the reverseso that we can return the card to you.

• Attach this card to the back of the mallpiece,or on the front if space permits.

1. Article Addressed to:

Haydar SuyunSprazzo, LLC d/b/a Sprazzo

523 Fourth StreetJuneau,AK 99801

2. Article Nuinber·(Transfer from service /abel)

D. IsdeJivety address different from item 17If YES, enter delivery address below:

n Express Mallo Return Receipt for Merchandiseo C.O.D.

7Dll 2970 0003 5&44 4203

102595-02-M-1540PS Form 3811, February 2004 Domestic Return Receipt

ALASKA STATUTES AND CBJ CODE SECTIONSRE: ASSEMBLY LIQUOR LICENSE REVIEW AND PROTEST PROCESS

Alaska Statutes 04.11.480Sec. 04. t 1.480. Protest.

(a) A local governing body may protest the issuance, renewal, relocation, or transfer to another person of a licenseby sending the board and the applicant a protest and the reasons for the protest within 60 days of receipt from theboard of notice of filing of the application. A protest received after the 60-day period may not be accepted by theboard, and in no event maya protest cause the board to reconsider an approved renewal, relocation, or transfer. Thelocal governing body may protest the continued operation of a license during the second year of the biennial licenseperiod by sending the board and the licensee a protest and the reasons for the protest by January 31 of the secondyear of the license. The procedures for action on a protest of continued operation of a license are the same as theprocedures for action on a protest of a renewal application. The board shall consider a protest and testimonyreceived at a hearing conducted under AS 04.11.51 O(b)(2) or (4) when it considers the application or continuedoperation, and the protest and the record of the hearing conducted under AS 04.11.510 (b)(2) or (4) shall be kept aspart of the board's permanent record of its review. If an application or continued operation is protested, the boardshall deny the application or continued operation unless the board finds that the protest is arbitrary, capricious, andunreasonable.

(b) If the permanent residents residing outside of but within two milesofan incorporated city or an establishedvillage wish to protest the issuance, renewal, or transfer of a license within the city or village, they shall file with theboard a petition meeting the requirements of AS 04.11.510 (b)(3) requesting a public hearing within 30 days of theposting of notice required under AS 04.11.310, orby December 31 of the year application is made for renewal ofalicense. The board shall consider testimony received at a hearing conducted under AS 04.11.510 (b)(3) when itconsiders the application, and the record ofa hearing conducted under AS 04. 11.510 (b)(3) shall be retained as partof the board's permanent record of its review of the application.

\"'-_"

(c) A local governing body may recommend that a license be issued, renewed, relocated, or transferred withconditions. The board shall consider recommended conditions and testimony received at a hearing conducted underAS 04.11.510 (b)(2) or (4) when it considers the application or continued operation, and the recommendedconditions and the record of the hearing conducted under AS 04.11.510 (b)(2) or (4) shall be kept as part of theboard's permanent record ofits review. If the local governing body recommendsconditions, the board shall impose

. the recommended conditions unless the board finds that the recommended conditions are arbitrary, capricious, orunreasonable. If a condition recommended by a local governing body is imposed on a licensee, the local governingbody shall assume responsibility for monitoring compliance with the condition, except as otherwise provided by theboard.

(d) In addition to the right to protest under (a) of this section, a local governing body may notify the board that thelocal governing body has determined that a licensee has violated a provision of this title or a condition imposed onthe licensee by the board. Unless the board finds that the local governing body's determination is arbitrary,capricious, or unreasonable, the board shall prepare the determination as an accusation against the licensee under AS44.62.360 and conduct proceedings to resolve the matter as described under AS 04 ..1 1.510 (c).

CBJ Code 20.25.025

20.25.025 Assembly review of license issuance, renewal, transfer, relocation, or continued operation.

(a) The assembly may protest the issuance, renewal, transfer, relocation, or continued operation of analcoholic beverage license as provided in state law. The protest shall cite any of the following criteria which theassembly determines to be pertinent:

(I) The character and public interests of the surrounding neighborhood;

(2) Actual and potential law enforcement problems, including the proximity of the premises to lawenforcement stations and patrols;

(3) The concentration of other licenses of the same and other types in the area;

(4) Whether the surrounding area experiences an unacceptable rate of alcohol abuse or of crime oraccidents in which the abuse of alcohol is involved;

(5) The adequacy of parking facilities;

(6) The safety of ingress to and egress from the premises;

(7) Compliance with state and local fire, health and safety codes;

(8) The degree of control the licensee has or proposes to have over the conduct of the licensedbusiness;

(9) The history of convictions of the applicants and affiliates of the applicants for:

(A) Any felony involving moral turpitude;

(B) Any violation of AS title 04; and

(C) Any violation of the alcoholic beverage control laws of another state as a licensee of thatstate;

(10) Whether the applicant or the applicant's affiliates are untrustworthy, unfit to conduct a licensedbusiness or constitute a potential source of harm to the public;

(I ) Any other factor the assembly determines is generally relevant or is relevant to a particularapplication. .

(b) The assembly may protest the issuance, transfer, renewal, relocation, or continued operation of alicense as provided in state law ifit determines any of the following conditions exist:

(1) The business operated under the license is, on the date the assembly considers the license,delinquent in the payment of any sales tax or penalty or interest on sales tax arising out of theoperation of the licensed premises;

(2) There are delinquentproperty taxes or local improvement district assessments or penalty orinterest thereon arising out of real or personal property owned in whole or in part by any personnamed in the application as an applicant or on the permit which is to be continued where suchproperty is used, or is to be used, in whole or in part in the business conducted or to be conductedunder the license;

(3) There is a delinquent charge or assessment owing the City and Borough by the licensee for amunicipal service provided for the benefit of the business conducted under the license or for aservice or an activity provided or conducted by the municipality at the request of or arising out ofan activity of the business conducted under the license;

(4) If the license requested is for a beverage dispensary and is requested under AS 04.1 IAOO(d)(l),unless the tourist facility will contain 30 or more rooms;

(5) If the application is for the issuance or relocation of a license and, after the issuance or relocation,there would be:

(A) More than one restaurant or eating place license for each 1,500 population, or fractionthereof, residing within the City and Borough; or

Alaska Statutes And CBJ Code Sections re: Assembly Liquor License Review And Protest Process Page 2 of3

(8) More than one license of each other type for each 3,000 population or fraction thereofresiding within the City and Borough.

(6) The business operated or to be operated under the license is violating or would violate the zoningcode of the City and Borough; or

(7) The business operated under the license is, on the date the assembly considers the application, inviolation of state or local fire, health, or safety codes. A criminal conviction of this violation is nota prerequisite for a protest under this section.

(c) If the assembly or committee or a subcommittee thereof recommends protest of the issuance,renewal. transfer, relocation, or continued operation of a license it shall state the basis of the protest and theapplicant shall be afforded notice and an opportunity to be heard at an abbreviated informal hearing before theassembly to defend the application. For the purposes of this subsection, notice shall be sufficient if sent at least tendays prior to the hearing by certified first class mail to the address last provided by the applicant to the municipalsales tax examiner. At the conclusion of the hearing, the assembly decision to protest the application shall standunless the majority of the assembly votes to withdraw the protest.(Serial No. 84-50. § 4, 1984; Serial No. 86-35, §§ 2, 3, 1986; Serial No. 93-25, § 2, 1993; Serial No. 2002~06, § 2,2-25-2002; Serial No. 2002-44, § 2, 12-2-2002)

State Law References: Assembly protest, AS 04,11.480.

Alaska Statutes And CBJ Code Sections re: Assembly Liquor License Review And Protest Process Page 3 of3

Department of Commerce, Community,and Economic Development

GOVERNOR SEAN PA.RNELL 5848 E. Tudor RoodAnchorage, Alaska 99507

Main: 907.269.0350Chris Lambert: 907.269.0359

TDD: 907.465.5437Fax: 907.272.9412

January 22, 2013

Renewal Application Notice---C tTY CLERK

C C8 JAN 2 2 2013 Bj J

I't eEl v EnCity of JuneauAttn: City Clerk & Beth McEwenVIA EMAIL: cityclerk(a)ci.juneau.ak.us;bethmcewen(mci.juneau.ak.us

DBA Lie Type Lic Owner Service Location......#

Breeze-In Liquor Package Store ·176 Allan Ahlgren & 8 Mile Old Glacier HwyMichael Corcoran

Bullwinkle's Pizza Restaurant/Eating 188 Bullwinkle's.Inc 318 Willoughby AvePlace

Prospector HoteVTK Beverage 313 Juneau Hospitality 375 Whittier StreetMaguires Dispensary- LLC

Tourism AS04.11.400(d)

Zen Beverage 586 Yang Sing, LIC 51 W Egan DriveDispensary-Tourism AS04~.1.1.400(d)

Douglas Island Breeze-In Package Store 662 Breeze In 3370 DouglasHwyCorporation

Lucky Lady Beverage 674 Lucky Lady Inc 192 S Franklin StDispensary

Tripp's Viking Liquor Package Store 828 Jack D. Tripp 151 S Franklin Street

Bullwinkle's Pizza Restaurant/Eating 1690 Bullwinkle's Inc 2687 Mendenhall LoopPlace Mall Road

Marlintini's Lounge Beverage 644 BCMInc 9121 Glacier Hwy 2ndDispensary Floor

Viking Restaurant & Beverage 2533 Jack D and Arlene 216 Front StreetLounge Dispensary D TrippSprazzo Restaurant/Eating 2641 Sprazzo, LLC 112 N Franklin Street

PlaceG. W. Teal Beverage 2728 Los Arcos Inc 9105 Mendenhall Mall Rd

Dispensary I

The Sandbar .: Beverage 2844 Sandbar Inc 2525 Industrial BlvdDispensary

K & L Distributors Wholesale-Malt 4081 K & L Distributors 8420 Airport BlvdBeverage & Wine Inc

Breeze-In Package Store 4543 Breeze In 5711 Concrete WayCorporation

Taku Lanes, LLC Recreational Site 5095 Taku Lanes, LLC 608 W Willoughby Ave,...Juneau, AI( 9980 1

Jovany's Italian Restaurant Restaurant/Eating 1384 Alfonso Soriano 9121 Glacier HwyPlace

Costco Wholesale # 107 Package Store 3352 Costco Wholesale 5225 Commercial WayCorporation

We have received a renewal application for the above listed licenses within your jurisdiction. This is the noticeas required under AS 04.11.520. Additional information concerning filing a "protest" by a local governingbody under AS 04.11.480 is included in this letter.

A local governing body as defined under AS 04.21.080(11) may protest the approval of an application(s)pursuant to AS 04.11.480 by furnishing the board and the applicant with a clear and concise written statementof reasons in support of a protest within 60 days of receipt of this notice. Ira protest is filed, the board will notapprove the application unless it finds that the protest is "arbitrary, capricious and unreasonable". Instead, inaccordance with AS 04.11.51 O(b), the board will notify the applicant that the application is denied for reasonsstated in the protest. The applicant is entitled to an informal conference with either the director or the boardand, if not satisfied by the informal conference, is entitled to a formal hearing in accordance with AS 44.62.330-4.62-630. IF THE APPLICANT REQUESTS A HEARING, THE LOCAL GOVERNING BODY MUST

---ASSIST IN OR UNDERTAKE THE DEFENSE OF ITS PROTEST.

Under AS 04.l1.420(a), the board may not issue a license or permit for premises in a municipality where azoning regulation or ordinance prohibits the sale or consumption of alcoholic beverages, unless a variance ofthe regulation or ordinance has been approved. Under AS 04.11.4 20(b) municipalities must inform the board ofzoning regulations or ordinances which prohibit the sale or consumption of alcoholic beverages. If a municipalzoning regulation or ordinance prohibits the sale or consumption of alcoholic beverages at the proposedpremises and no variance of the regulation or ordinance has been approved, please notify us and provide acertified copy of the regulation or ordinance if you have not previously done so.

Protest under AS 04.11.480 and the prohibition of sale or consumption of alcoholic beverages as required byzoning regulation or ordinance under AS 04.11.420( a) are two separate and distinct SUbjects. Please bear that inmind in responding to this notice.

AS 04.21.01 O(d), if applicable, requires the municipality to provide written notice to the appropriate communitycouncil(s). .

If you wish to protest the application referenced above, please do so in the prescribed manner and within theprescribed time. Please show proof of service upon the applicant. For additional information please refer to 13AAC 104.145, Local Governing Body Protest.

2

Note: Applications applied for under AS 04.l1.400(g), 13 AAC l04.335(a)(3), AS 04.11.090(e),and 13 AAC I04.660(e) must be approved by the governing body.

Sincerely,

SHIRLEY A. COTEDirector

Christine C. LambertLicensing & Records SupervisorChristine.lambert@alaska.gov

3

iii>b

2013/2014 Liquor License Renewal- Restaurant Eating Place',-.' ,.•'-

-c- .. ~ ,,J

N'tf'~'License Number License Type Establishment Name

2641 RestaurantlEating Place SprazzoSeasonal Date From: Seasonal Date To:

Mailin2 Address Premises AddressSprazzo, LLC 112 N Franklin Street523 Fourth Street Juneau, City & BorJuneau, AK 99801

Community Council (Anchorage & Mat-Su only)

Phone: Fax:Email:Employer Identification # (EIN)

Please mark the correct box to answer:

Was your business open at least 30 days for 8 hours each day in 2011?Was your business open at least 30 days for 8hours each day in 2012?Has the licensed premise changed from the last diagram submitted?Has any person named in this application been convicted of a felonyor Title 4 violation?

DYes oNo fJ/AJiYes oNoDYes ;8No

DYes ~oGross receipts from sale of food were at least 50% of total gross receiptsfor 2011 and 2012? )(Yes oNo

List all corporation members, managers and shareholders below:

Name & Mailing Address Title Share % Phone

ttJ\-'l Df'\~ S-v\..{V \J Ovv tJ&l'L too 0(0 '\ol-l&q -~ \00

t)L?;, l\ \\1\ -s t-re .e.:~.. ,1«MO-V, AlL.<1 q 8P(

If not a' corporation - List all individuals, spouses, or partners that own business below:

Name & Mailing Address PhoneTitle

ABC Board .. 5848 E. Tudor Rd - Anchorage, AK 99507Phone: 907-269-0350 Fax: 907-272-9412

Page 1 of2

License Fee $ 600.00Filing Fee s 200.00TOTAL $·800.()0 ..Late Fee - If Received or Postmarked after 12/31/12 $Fingerprint Fee=- $51.50 per person (only for new $owners/members)GRAND TOTAL $ ~O.

By affixing my signature below:

I declare under penalty of perjury that Ihave examined this application and to the best ofmy knowledge and belief state it is true, correct and complete.

I certify that I have read and am familiar with Title 4 of the Alaska statutes and itsregulations.

I agree to provide all information required by the Alcoholic Beverage Control Board insupport of this application.

As a licensee (a sole proprietor or partner), I certify that Ihave received alcohol servertraining and my certification is currently valid.

As a CorporatelLLC licensee, I certify that all agents and employees, who serve, sell or areotherwise responsible for the service/sale/storage of alcoholic beverages have received alcoholserver training and their certification is currently valid. I further certify that certainshareholders/officers/directors/members of the entity that are not directly or indirectlyresponsible for the service/sale/storage of alcoholic beverages are not alcohol server trainingcertified, and will not be required to be certified.

As a licensee, I certify that all my agents and employees tasked with patron identificationverification have received alcohol server training and their certification is currently valid.

{t*'{~Q_ .5~'(VtJ <XOWrJBt2--Printed Name & TitleLicensee

Subscribed and sworn to before me thisi a re ,

N ary blie i and for the State of A~k ::.21My commission expiresr (;q/J.3 )-;;015r I

ABC Board - 5848 E. Tudor Rd - Anchorage, AK 99507Phone: 907-269-0350 Fax: 907-272-9412