City Council Meeting Date: March 4, 2025
To: Mayor and City Council
City Administrator
From: Lynette Peterson, City Clerk
Jeff Schroepfer, Chief of Police
Subject:
TITLE
Consider Approval of Liquor License Renewals.
BODY
Action Requested:
The Northfield City Council hereby approves liquor license renewals for April 1, 2025 - March 31, 2026 as shown on the attached list, subject to the following conditions:
1. Liquor licenses will be issued upon receipt of:
• All required documents
• Payment of all delinquent taxes, assessments, utility bills or other financial claims of the city
• Payment of all remaining liquor license fees
• Successful completion of background investigations
2. Renewal of Outdoor Dining Permits are approved for The Hideaway (to include serving alcohol to tables in the parklet), The Grand Event Center and Basil’s Pizza subject to the following conditions:
• Final review and approval of layout and barriers proposed to be used by the Chief of Police.
• Compliance with all terms and conditions noted in City Code Section 6-70 - Temporary expansion of licensed premises/outdoor sales and service.
Summary Report:
The City Council is being asked to approve the 2025 liquor license renewals. Current liquor licenses expire on March 31, 2025. The list contains a total of 32 licenses in the following categories:
• 19 - On-Sale Intoxicating licenses
• 4 - On-Sale Wine/3.2 licenses
• 5 - Off-sale 3.2 licenses
• 1 - Cocktail Room license
• 2 - Taproom licenses
• 1 - Off Sale Small Brewer License to sell 128 Ounces Per Day
Staff has been working on the license renewals since early January. Licensees were provided with copies of applicable state laws, and Chapters 6 and 50 of the City Code. Each liquor license renewal application is being checked for compliance, which covers the provisions of Minnesota State law and City Code. These provisions include:
• Background investigations on licensees
• Review of premises layout
• Review of liquor law violations for the previous five years
• Review of insurance certificates
• Review of delinquent utilities, taxes, assessments or other financial claims
Staff is aware that Froggz LLC, doing business as Froggz, is listed on the Minnesota Department of Revenue tax delinquency list for liquor, wine and beer sales. The Department of Revenue has a specific process for delinquent taxes. Once the Minnesota Department of Revenue makes a determination, including any actions taken against Froggz, the City will then follow city code (Sec. 6-63 (c)) in reference to issuing or revoking the liquor license.
Sec. 6-63 (c)
No license shall be granted or renewed for operation on any premises on which taxes, assessments, service charges or other financial claims of the city or of the state are delinquent. If an action has been commenced pursuant to the provisions of Minn. Stat. Ch. 278, questioning the amount or validity of the taxes, the council may, on request of the licensee, waive strict compliance with this subsection. No waiver may be granted, however, for taxes or any portion thereof which remain unpaid for a period exceeding one year after they become due, except, in the sole discretion of the city council under the circumstances presented, in instances of a lessee of leased property upon which taxes are delinquent.
Once licenses are approved by the City Council, they will be sent to the Department of Public Safety Alcohol and Gambling Enforcement Division (DPS-AGE) for review and approval. Licenses will be issued after receipt of all required documents, any delinquent payments and successful completion of background checks.
Compliance checks of license holders were conducted in 2024 by the Northfield Police Department. There were two compliance checks completed on all license holders. During these checks there were a total of one (1) failed checks or violations which are listed below. This one violation qualified as a first offense. Civil action (fines) by the city for these violations are generally handled after the criminal action is settled by the courts for the server that served or sold the alcohol and was cited for the violation. Those license holders with pending civil action will be dealt with at a separate time from license renewals.
Failed Compliance Checks in 2024
October 2024
Flaherty’s Northfield Lanes
The City of Northfield policy regarding civil penalties for violation of liquor laws provides for penalties as follows:
|
1st offense |
$250 civil penalty and require verification of retraining |
|
2nd offense within 2 years |
$500 civil penalty and 3 day suspension of license and require verification of retraining |
|
3rd offense within 3 years |
$2,000 civil penalty and 18 day suspension of license |
|
4th offense within 5 years |
Revocation of license |
Alternative Options:
N/A
Financial Impacts:
The City received $68,875 in liquor license renewals in 2025.
Tentative Timelines:
Liquor licenses need to be approved by the City and forwarded to the Alcohol and Gambling Enforcement Division for review and approval a minimum of 30 days prior to expiration.