RLO19970929RULES, LAWS & ORDINANCE COMMITTEE - CITY OF MUSKEGO
MINUTES OF MEETING HELD THURSDAY, SEPTEMBER 29, 1994
isThe meeting was called to order at 7:15 P.M. by Chairman Taube.
Also present were Committee Member Woodard and Misko (arrived at
7:20 P.M.) and Mayor De Angelis and those per the attached list.
Mayor De Angelis noted that he would not be a part of the
discussion because of a potential conflict of interest in that the
corporation that he is a part of still holds a license.
Ald. Woodard noted that the meeting was noticed on September 23,
1994, in accordance with the Open Meeting Law.
The Committee further reviewed the proposed amendments to Liquor
License Ordinance. Ald. Woodard read the attached correspondence
from Scott Krause, Muskego Lakes Country Club, which were
requested to be read and become part of the official minutes.
Attorney Molter's Opinion of August 23, 1994, along with Chief
Johnson's memorandum of September 23, 1994, which is also
attached, were reviewed and discussed.
Mr. Dick Schaumberg voiced his concern with Chief Johnson's
memorandum and wanted it stated that none of the License Holders
have in any way advocated underage drinking.
Representatives from the Woods Road Tap, Bushy's Pub, William
Supper Club, Country Squire Supper Club, Schaumberg's Suburban
• House, Stage Coach Inn, Muskego Moose Lodge, Hunter's Nest,
Pioneer Inn, and Art Dyer (Cowtown Development) all voiced strong
objection to the Committee and Chief Johnson's proposed intent to
put unrealistic restrictions on their livelihood.
Ald. Woodard requested that all licensees be noticed of all future
meetings that deal with any proposed amendments to the Liquor
License Ordinance.
•
Ald. Woodard moved to recommend leaving Liquor License Ordinance
in its present form and refer back to the Finance Committee
without any new recommendations as she felt that the City
Attorney's correspondence plainly indicated that most suggestions
were in violation of state statutes. The motion died for lack of
a second.
The Committee requests that Attorney Molter research requirements
listed in the State Statutes as to the period of time a business
can be closed before a Municipality can revoke or suspend a
license and also that Chief Johnson be in attendance at the
October 13, 1994 meeting.
Ald. Misko moved to adjourn the meeting at 9:02 P.M. Seconded by
Ald. Woodard, motion carried.
Respectfully submitted,
/cma
Ald. Donna M. Woodard
Secretary
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September 17, 1994
City of Muskego
Rules, Laws & Ordinances Committee
P.O. Box 12
Muskego, WI 53150
Gentlemen:
Since my son Mark and I must be out of town and cannot attend this
meeting I sincerely request that the following remarks be entered
into the public record.
I have carefully read the suggested ordinance changes, Mr. Molter's
response and the applicable state law. Our principle objection is
to the suggested prohibition against sale or transfer to another
person at another location as well as the underlying philosophy
involved.
• The State of Wisconsin established the quota system for licenses.
This then created an artificial value for such licenses, beyond that
created by owners in building goodwill. That value then became a
part of the value of any going business. To suddenly decide, for
example, that there are too many licenses in a municipality, does
away with that value. Granted, the value was artificial to begin
with, created by restricted supply doing away with competition. No
one knows how many licenses would be applied for if there were no
artificial limit imposed but, that limit wasn't imposed by the
owners but by the State. Who will then compensate the owners for
their loss? Would you impose such limits on Real Estate, Plumbers,
Electricians, or others requiring licenses?
Oh, I forgot - tavern owners are inducing kids to drink. But, Chief
Johnsion specifically stated that our taverns don't target underage
drinkers. So, why make us the target? How do we protect ourselves
if a kid "says" he got it in our establishment? How do we protect
ourselves if we irritate a politician or the Chief and become the
target of numerous "stings" (actually entrapment and fraud which are
illegal if done by individuals)? Why isn't the underage person
punished for committing a fraud on the owner? Why is the owner
punished for mistakes of his employees - especially when, in large
establishments like ours, he can't be in all places at all times.
The state law is very specific. It states:
• 125.04(12) "Every alcohol beverage license or permit may be trans-
ferred to another place or premises within the same municipality."
It places NO limits on this action by the licensee.
5100 W14020 Loomis Road 0 Muskego, Wisconsin 53150 0 Teleohone (414) 425-6500
125.04(12)(b)4 "If the business is sold or assigned, the license
may be transferred to the successor owner or assignee at no charge •
if
a. He or she complies with the requirements applicable to original
applicants; and
b. He or she is acceptable to the issuing authority and consent to
the transfer is given by the issuing authority."
In short, the City has the ultimate say in approving the new
applicant anyway. Why abrogate State law? Is this just another way
to reduce the number of taverns?
In conclusion, every licensee in Muskego and elsewhere has seen a
drastic drop in alcohol consumption over the past few years. Ours
has declined about 35% even though golfers can't drink and play the
game. Even so, we don't want to serve underage people - we go to
great lengths under difficult conditions to prevent it. Besides,
our police department admits that almost all underage people caught
drinking have obtained the alcohol somewhere other than at a local
tavern. Wouldn't it make more sense to control underage drinking
by punishing those caught - particularly those who buy it for the
underaged - rather than targeting taverns and restaurants? It
appears however, that the suggested ordinance discussed above is
aimed at prohibition of all drinking - not just control of underage
drinking. To suggest that a license be revoked after a given number
of violations is to invite political reprisal against those who make
the mistake of irritating an official. •
I would remind this committee that prohibition of alcohol didn't
work - it created more drinkers, not fewer while giving birth to the
Mafia with its crime and violence. We've seen the same thing with
the "drug war"- it hasn't reduced drug use but it has created more
druggies, crime and violence just as alcohol prohibition did. It
all comes down to supply and demand. When supply is restricted
prices rise and demand increases. The favored few will profit,
society will suffer but, the authorities will gain more power.
Sincerely,
Scott F. Krause, Owner/Manager.
0
MUSKEGO POLICE DEPARTMENT W183 S8150 Racine Avenue
679-4112 Muskego, WI. 53150
• September 23, 1994
TO: Honorable Mayor David De Angelis
Members of the Rules, Laws & Ordinance Committee
FROM: Chief Johnson
I feel it necessary to respond to Mr. Krause's letter of September
17, 1994. Mr. Krause touched on a number of issues; I will address
several.
The reduction of the number of taverns in our City through attrition
is a benefit to the community. For some reasons, people seeking an
opportunity to run their own business tend to look to the tavern
business to fulfill that entrepreneur dream. The dream, in most
cases, is not successfully fulfilled mostly because our contemporary
society is recognizing the terrible effect the abuse of alcohol has
on our society and is limiting consumption. The human toll, as well
as economic drain as a result of alcohol abuse, is only now being
realized.
Those taverns that fit into the category of revolving owners/oper-
ators are usually prone to be the problem. Over -serving people and
serving underage persons result from the need to be profitable. A
reduction in the number of those taverns from our community would go
towards the overall health of the community.
The remaining businesses would be more profitable and be better
business citizens. The established successful owners generally
discipline their clientele better and, could absorb customers from
the less successful businesses. This shift of clientele would tend
to limit the problems we have with over -serving and underage
consumption.
Alcohol and the abuse of it (not always consumed in taverns) amounts
to a lopsided percentage of the causal factors in many of the
problems within our society. In particular, alcohol abuse problems
with our youth are alarming. Strict enforcement of laws pertaining
to the sale, use, and general license operation is being pursued by
this Department. In addition to taverns, adults selling alcohol to
minors and the use by minors are all being vigorously prosecuted.
Tavern owners, parents and the underage population need to
understand that they are responsible for their actions. Tavern
owners need to increase supervisary measures to ensure the law is
followed. Parents need to assume control of their children and
underage people need to assume responsibility for themselves.
• cc: Scott Krause