5.5. SR 09-12-2005
Item 5.5.
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MEMORANDUM
TO: Mayor and City Council
FROM: Joan Schmidt, City Clerk
DATE: September 12, 2005
SUBJECT: Consider Tobacco License for Elk River BP
REQUEST
Tobacco license for Elk River BP
APPLICANT
Linda Persons
BACKGROUND
Councilmember Motin asked that this item be continued until September 12, 2005.
Linda Persons is requesting a license to sell tobacco, tobacco products, and tobacco related
devices at Elk River BP, located at 19696 Evans Street. She is considered a retail contractor
operator (RCO) responsible for the day-to-day operations. Under this arrangement, BP
owns the building and Ms. Persons runs the business for them. She obtains the license.
She is currendy the co-owner of two BP's - Bloomington and Edina. BP asked her to run
the Elk River BP because Oasis was leaving.
The two compliance checks in the past five years on the license that Ms. Persons holds in
the City of Bloomington were failed by employees. The one in January of 2005 was by an
employee who mistook the new license as saying 1983 when it said 1988. She was proactive
and obtained information and provided training. The incident in June of 2002 was by an
employee she felt was not being responsible and was let go. Both incidents had fines of
$500 which were paid by the store. The employees involved also were fined $50 each.
Compliance checks are conducted by the police department in combination with Sherburne
County twice a year.
A license issued is valid for one calendar year, expiring on December 31 st.
S:\Council\Joan\ Tobacco\Elk River BP2ndtime.doc
According to Elk River City Code, ~ 26-63 Grounds for Denial, the City Council ha,s.;the'to\
discretion to approve or deny a tobacco license if an applicant has been convicted of any
tobacco violation by local law within the past five years. I was attempting to give you a
history of past violations with the recommendation that if a compliance check was failed in
Elk River, the Council may wish to deny Ms. Persons' renewal in January. Also, Elk River
City Code, ~ 26-71 states: Any license issued under this division may be revoked or
suspended.
Per Elk River City Code, ~ 26-34 Penalties, Any licensee found to have violated this article,
or whose employee has violated this article, shall be charged an administrative penalty of $75
for a first violation of this article, $200 for a second offense at the same licenses premises
within a 24-month period, and $250 for a third or subsequent offense at the same location
within a 24-month period. In addition, after the third offense, the license shall be suspended
for not less than seven days.
Police Chief Beahen will be present at the meeting on the 12th of September and can answer
questions that the Council may have regarding compliance checks. He also has discussed
this matter with Councilmember Motin and it was felt that it was not necessary for the
applicant to be present.
s: \ Council\Joan \ Tobacco \Elk River BP2ndtime.doc