Local Licensing Authority Minutes 2000 11 27

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Louisville Local Licensing Authority Meeting Date: November 27, 2000 Page 4 Licensees Mike Davis and Holly Ortiz stated their names and address for the record. Mr. Davis again stated that he was not comfortable proceeding without legal representation but would do so under protest. Vice Chairperson Lipton asked if either party had any preliminary matters to be taken care of. Hearing none, she continued, "at this time I will make a part of the record of the hearing the items contained in the Authority packets, 1) Entry of Appearance and Motion to Continue filed by Attorney Kevin Moore, 2) Order to Show Cause and Notice of Hearing, 3) Affidavit of Douglas C. Kowalis, dated November 21, 2000. She asked if there was any objection by the City or the Licensee to these items being made a part of the record of the hearing. Hearing none, the items were entered into the record of the proceeding. Vice Chairperson Lipton asked Prosecuting Attorney Barnett for his opening statements and presentation. Attorney Steve Barnett addressed the Authority, stating that he had been appointed by the Authority to investigate and prosecute the alleged violations contained in the Order to Show Cause. Attorney Barnett requested that the Authority take judicial notice of the minutes of the July 31, 2000 Local Licensing Authority meeting at which meeting, the Authority granted the applicants, Holly & Mike's Ribs, Inc. d/b/a Hickory Sticks a hOtel and restaurant liquor license. Attorney Barnett read from page (21) of the minutes a statement by Member Jeffers. "Jeffers stated he would be in favor of granting the liquor license but stated that, should the Authority grant such license, special attention should be paid to the applicant's timeliness in reporting and paying sales tax." He continued with a statement from Chairperson Myers, where he concurred with member Jeffers that he would be in favor of granting the liquor license but also clearly stated to the applicants that if they fail to pay their sales tax in a timely manner, there is sufficient case law to support the revocation of their license. Chairperson Myers was also deeply concerned about the frequency of the "short checks" and strongly suggested the applicants do whatever was necessary in their business operations to ensure sales tax is paid promptly and fully. Attorney Barnett stated that after the motion for approval was made, "Chairperson Myers directed Deputy City Clerk Bolte to check the status of Hickory Sticks tax payments with Director of Finance, Dianne Ray and report back to the Authority in two months' time." Attorney Barnett stated that the request for follow-up led to the letter from Dianne Ray of October 26, 2000 and subsequent Order to Show Cause. Attorney Barnett stated that he contacted Mr. Douglas Kowalis, Senior Tax Compliance Agent of the Colorado Department of Revenue as part of his investigation into the sales tax compliance of the licensee' s, Holly & Mike's Ribs, Inc d/b/a Hickory Sticks. Attorney Barnett referred the Authority to the November 21, 2000 Affidavit of Douglas C. Kowalis contained in their packets. Attorney Barnett reviewed the items contained in the affidavit noting that in conclusion, item (7) indicates that Hickory Sticks is now considered current on its sales tax payment obligations by the Colorado Department of Revenue pending final processing of the payments received November 8, and November 20, 2000. 4