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AGENDA ITEM #: 4.
DATE: 03/22/2021
CAR #: {ud_fi4}

 
CITY COUNCIL ACTION REPORT
 
SUBJECT: LOCATION TRANSFER FOR SERIES 6 (BAR) LIQUOR LICENSE FOR MACAYO’S
 
STAFF PRESENTER(S): Darcie McCracken, City Clerk

SUMMARY:

The applicant is requesting a recommendation of approval for a Location Transfer of a Series 6 (Bar) liquor license.

Recommendation:

Recommend to the Arizona Department of Liquor Licenses and Control (DLLC) approval of Application No. 138155, a request from Navayogasingam Thuraisingam, agent/applicant for Kind Hospitality Inc., for a Location Transfer of a Series 6 (Bar) liquor license. No. 06070119, located at 1474 N Litchfield Road, Goodyear, Arizona 85338 (Generally located west of Litchfield Road and south of McDowell Road). (Darcie McCracken, City Clerk)

FISCAL IMPACT:

The applicant paid the $635 application fee for the license per the Goodyear Municipal User Fee Schedule. The business will continue to contribute to the tax base of the community.

BACKGROUND AND PREVIOUS ACTIONS:

Kind Hospitality Inc. is the owner of a Series 6 (Bar) liquor license that is currently assigned to O H S O Brewery located in Terminal 2 of Sky Harbor Airport. Mr. Thuraisingam, agent/applicant for Kind Hospitality Inc., states that O H S O Brewery is no longer open for business. Kind Hospitality Inc. would like to transfer the Series 6 (Bar) liquor license to Macayo’s, another establishment that they own. The Series 6 (Bar) liquor license will allow Macayo’s to bring alcoholic beverages to events that they cater.  
 
Macayo’s is currently open for business and operating under a Series 12 (Restaurant) liquor license No. 12070006309, issued by the Arizona Department of Liquor License and Control (DLLC). Mr. Thuraisingam does not intend to renew the Series 12 (Restaurant) liquor license that will expire on March 31, 2021. Macayo’s plans to operate using the Series 6 (Bar) liquor license only.
 
Mr. Thuraisingam will apply for an Interim Permit for the Series 12 (Restaurant) liquor license if the Location Transfer of the Series 6 (Bar) liquor license is not approved for the DLLC prior to the Series 12 (Restaurant) liquor license expiring on March 31, 2021. An Interim Permit allows an applicant to sell, serve and store liquor under an existing license of the same series at the same location while the new license is processed.

The City Clerk’s Office received the application from the DLLC on February 8, 2021. A Public Hearing Notice was posted on the property on February 19, 2021, to comply with the State mandated 20-day comment period. No petitions or protests from qualified persons were received during the comment period. A.R.S. § 4-201(B) defines a qualified person as “any natural person who is a bona fide resident residing or owning or leasing property within a one-mile radius from the premises proposed to be license”.
 
The application was routed to the Police Department and the Development Services Department (Planning and Zoning, Code Compliance, and Building Safety), and any comments from these are listed below:

STAFF ANALYSIS

The Series 6 (Bar) liquor license is a "quota" license available only through the Liquor License Lottery or for purchase on the open market. Once issued, this liquor license is transferable from person to person and/or location to location within the same county and allows the holder both on- & off-sale retail privileges. This license allows a bar retailer to sell and serve all types of spirituous liquors, primarily by individual portions, to be consumed on the premises and in the original container for consumption on or off the premises. A retailer with off-sale ("To Go") privileges may deliver spirituous liquor off of the licensed premises in connection with a retail sale. A.R.S. §4-206.01.F. states that after January 1, 2011, the off-sale privileges associated with a bar license shall be limited to no more than 30% of the total annual sales receipts of liquor by the licensee at that location. Off-sale ("To Go") package sales of spirituous liquor can be made on the bar premises as long as the area of off-sale operation does not utilize a separate entrance and exit from the ones provided for the bar.
 
The DLLC requires license owners, agents, and managers actively involved in the day-to-day operations of the business to complete a state approved management training course prior to the issuance of a liquor license. The business has stated that all restaurant managers have completed state training and are 100% certified to serve alcohol. A manager will be present on site during all business hours, and the business will actively check ID of all patrons purchasing alcohol to prevent the sale of alcohol to minors.
 
There are no licensed childcare facilities, K-12 schools or churches within 300 feet of the location. 

The City Council’s recommendation of “Approval”, “Disapproval” or “No Recommendation” will be forwarded to the DLLC for consideration at a public hearing of the State Liquor Board (“Board”).

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