City Council Meeting Date: April 4, 2017
To: Mayor and City Council
City Administrator
From: Deb Little, City Clerk
Monte Nelson, Chief of Police
Title
Consider Approval of Liquor Licenses for Tanzenwald Brewing Company - 103 N. Water Str.
Body
Action Requested:
The Northfield City Council is being asked to consider approval of Brewer Taproom On-sale, Off-sale and Sunday Liquor Licenses for Tazenwald Brewing Company, LLC, 103 Water Street N., Northfield.
Summary Report:
Tazenwald Brewing Company, LLC, dba Tanzewald Brewing Company, has applied for brewer taproom on-sale, off-sale and Sunday liquor licenses. Tanzewald Brewing Company meets the qualifications necessary for these licenses. The application for liquor license has been checked for compliance, which covers the provisions of Minnesota State law and City Code. Staff has met with the licensee on numerous occasions, including a recent walk through of their facility and recommends approval of the licenses. A public hearing was held at the April 4, 2017 City Council meeting.
Tazenwald Brewing Company will be the first microbrewery/taproom to open Northfield. They will offer an eclectic list of beer styles in their taproom including growlers for off-sale consumption. In addition to beer, Tazenwald will also make German-inspired food. The brewery’s goal is to source as many ingredients from Northfield and Minnesota farms as possible.
As defined in Northfield City Code Chapter 6 - Alcoholic Beverages, a Brewer Taproom (also known as a microbrewery) means a facility on the premises of or adjacent to the premises owned by a brewer, licensed under Minn. Stat. § 340A.301, intended for the on-sale consumption and limited off-sale of beer produced on site by the brewer as authorized by Minn. Stat. § 340A.26. The only alcoholic beverage that may be sold or consumed on the premises of the holder of a brewer taproom license will be the malt liquor produced by the brewer upon the brewery premises. A complete copy of Chapter 6 is attached.
As noted in the approval of the Conditional Use Permit for Tanzenwald Brewing Company, their business plan includes eventual distribution of cans and kegs from the facility. This wholesale distribution is licensed by the Department of Public Safety Alcohol & Gambling Enforcement Division. The AGE license permits Tanzenwald to distribute these items to licensed retailers such as bars, restaurants and liquor stores who in turn can sell the product to the general public. However, State law and City Code Sec. 6-57 (d) (3) notes the terms and conditions of the off-sale license. Off-sale to the general public is limited as follows:
• 6-57 (d) (3) c.: The off-sale of malt liquor, permitted by this clause, may only be made during the days and hours that off-sale of liquor may be made at the municipal liquor store as stated in section 6-134 of this chapter, except that malt liquor in growlers only may be sold at off-sale on Sundays between the hours of 8:00 a.m. and 10:00 p.m.
• 6-57 (d) (3) c.: The malt liquor sold off-sale must be removed from the premises before the applicable off-sale closing time at exclusive liquor stores.
• City Code 6-57 (d) (3) e.: The malt liquor for off-sale shall be packaged pursuant to Minn. Stat. § 340A.285 in 64-ounce containers commonly known as "growlers" or in 750 milliliter bottles. The containers or bottles shall bear a twist-type closure, cork, stopper, or plug. At the time of the sale, a paper or plastic adhesive band, strip, or sleeve shall be applied to the container or bottle and extended over the top of the twist-type closure, cork, stopper, or plug forming a seal that must be broken upon opening of the container or bottle. The adhesive band, strip, or sleeve shall bear the name and address of the brew pub or brewer.
There are currently a total of 32 liquor licenses issued in the City of Northfield in the following categories:
• 1 - Club license
• 16 - On-Sale Intoxicating licenses
• 9 - On-Sale Wine/3.2 licenses
• 5 - Off-sale 3.2 licenses
• 1 - Cocktail Room license
Alternative Options:
N/A
Financial Impacts:
The City receives $700 for the on-sale, off-sale, Sunday and background check fees for these licenses.
Tentative Timelines:
If approved, certification and off-sale license applications will be sent to the Department of Public Safety Alcohol & Gambling Enforcement Division for review and approval. Subject to all approvals, the applicant intends to open on April 20, 2017.