Committee Minutes

Grand Forks City Council Service/Safety Standby Committee
Monday, May 12, 2008 - 5:15 p.m.__________________________________

The city council of the city of Grand Forks sitting as the Service/Safety Standby Committee met in the council chambers in City Hall on Monday, May 12, 2008 at 5:15 p.m. Present at roll call were Council Members Kreun, chair; Bakken (teleconference), McNamara.

Chair Kreun called the meeting to order at 5:15 p.m. with one item on the agenda.

1. Appeal of Mooddyz liquor license application denial.
Kreun asked Chief Packett for overview and recommendation.
Chief Packett reported that on February 19 City received application for Mooddyz Bar and Casino, filed on forms from the city auditor's office; that one of the two applicants, Doug Boushee, who owns 55% of the business answered on a question "have you ever been convicted of any crime in this state or any other state under federal law", and his answer on that question indicated an arrest for a 1979 marijuana possession; but failed to report a May 7, 2005 arrest and conviction for reckless driving (a one year unsupervised probation, 10 days with 10 days suspended and a $475.00 fine); failed to report on April 14, 2005 arrest and conviction for harassment (1 year unsupervised probation, 30 days with 30 days suspended and a $225 fine), both in District Court. He also failed to report a January 22, 1998 arrest and conviction for DUI
(12 days with 6 suspended for an alcohol evaluation and 6 suspended and a $501 fine) in Grand Forks Municipal Court. He stated the Police Department reviewed this application with the City Attorney's Office on February 26 and staff also reviewed it on April 7, 2008 with a recommendation of denial. He stated he asked Detective Flannery of Criminal Investigations Bureau to review the case on May 7 and he did and concurred with the additional findings re. this application

The most recent review by Det. Flannery indicates that the criminal convictions of Mr. Doug Boushee, appears that the most recent conviction is 3 years old and all the convictions are misdemeanors and if had been reported initially, singly or as a group, they would not have been automatic grounds for denial of the license; this highlights comments from Det. Flannery and his own comment, the need for complete and truthful answers on the application and would recommend denial and encourage a re-submittal at a later time if the applicant so wishes.

McNamara asked what are grounds for denial of a liquor permit and what are criteria to deny this application. Chief Packett stated quotations of automatic denial would be repeated liquor law violations, both state and local, felony convictions would automatically denied, and the issue if completeness and truthfulness on the application is something that they take very seriously at the review level; and as Det. Flannery indicates all four, either separately or as a group would not have been automatic denials but the fact that some are related to liquor and were not completed on the application in a truthful manner would be cause for concern and place into their recommendation for denial.

Doug Boushee, 111 Seward Avenue, stated on some of the issues the charge for marijuana was stated on the application, and that the way he and his partner read the application was if crimes were felonies and that was why other convictions not listed, that they were not trying to hide anything but didn't think these were crimes that needed to be included. He stated he understands what they wanted on the application and that he talked to Det. Flannery and explained that.

Gary Edwards, 3400 24th Avenue South, #1104, stated they reviewed the application to make sure they were completing it correctly, and misunderstanding on their part as they talked about each segment and were under the impression that it was to be felonies that were to be listed, and that is where they made the mistake, not trying to hide anything.

Bakken stated with the liquor license we have now and the things they are trying to do to alleviate the problems they are having with underage drinking, do have concerns about a DUI, marijuana use, harassment and reckless driving, and shows him there is a lack of good judgment and that is a concern to him. Boushee stated that the marijuana charge was 30 years ago and did gain knowledge and good judgment after that.

McNamara stated 30 years ago but echo Mr. Bakken's concerns about trend, not wanting to turn business away but have gone through a lot of things with Hospitality Industry and they have been great partners and working with the City on ordinances and training, and this is one of the most high profile issues in the city and that the reckless driving, harassment, and DUI is a trend of poor judgment and that 1979 was long time ago but concern is the last 3 years.

Mr. Edwards stated he could have applied for the license himself but had to put everything out in the open, let people know they are co-partners, and once his daughter graduates from college she will come in and take 10% of the corporation, and they would be 45% partners, can vouch for Doug as he has known him for many years and wouldn't be getting into this venture if he didn't think it would be a worthwhile venture to go for, and if give them the opportunity they will make that a good entertainment complex.

McNamara moved that we deny the permit and concurs with Chief Packett's recommendation. Bakken seconded the motion.

Kreun stated that if this motion carries, Mr. Edwards could reapply and go forward with plans. McNamara stated he would encourage them to do that and that they are not looking to discourage anybody's business and esp. the redevelopment of the Westward Ho.

Mr. Edwards asked if it makes sense to jump through all those hoops again knowing that Doug is his partner, whether the license was in his name wholly or in the corporation's name, and isn't it better to know who is involved. Kreun stated that puts a huge responsibility on you and the person with the clean record has the capability to manage and operate with that responsibility, huge responsibility with this license, and by this committee's understand that some of that responsibility has fallen off with Mr. Boushee and not saying that you would get the license, but certainly could apply and this committee is telling you that this isn't automatic, and would have to go back through the process to get that license.

Upon call for the question, the motion carried; and they would have the opportunity to reapply for that license under a different scenario.

Chief Packett stated that Det. Flannery wanted to bring to the committee's attention that they may have two additional items at an upcoming committee meeting for review relating to license applications that are currently being reviewed and will be bring those forward at a future meeting.

The meeting adjourned at 5:30 p.m.

Alice Fontaine, City Clerk