The Pipestone City Council voted unanimously during a special June 13 meeting to transfer $75,000 from the liquor store fund to pay for patching on the worst of the city's streets.

Public Works Director Scott Swanson had requested the money about a month ago to cover spring patching around the city, which Swanson said has exceeded this year the money he has in his spring street maintenance budget.

The liquor store fund, the city's most profitable enterprise fund, gives $50,000 to the Rec Center every year and funds other city projects as the need arises. Currently, the fund has a certificate of deposit for $250,000 that matures in August as well as enough money in its checking account to handle the $75,000, City Administrator Jeff Jones informed the council during its May 16 meeting when the issue first came up.

 

Since the City of Olivia has their own electric utility, they are obliged to mail to all customers State-prescribed notices (Cold Weather Shutoff Rules, etc.). 

 

They take advantage of the envelope by including other items such as a flyer promoting the municipal liquor operation.

 

Click Here to See the Flyer 

At the recent League of Minnesota Cities Conference, the topic of pricing came up from a member.

 

In short, this facility is trying to compete with a larger operation on price. 

 

This is very difficult to maintain and is probably not necessary in their situation. 

 

Selling less of a product at a higher price is often more profitable than selling more of a product at a lower price.

 

To help illustrate this concept, MMBA Conference presenter Tom Shay prepared an interactive calculator that can be found by clicking here.

Creating a partnership with other local businesses can be a real "win-win" proposition.

 

For example, Central Park Liquor in Spring Lake Park recently partnered with Shorewood Bar & Grill in Fridley for a very successful wine dinner. 

 

The liquor store benefited from the orders (preference sheets) taken. 

 

The restaurant benefited from the food and pre / post event cocktails.

 

By working together they were able to expand the event promotional area and gain new customers from the other.

 

The event was so successful a beer dinner is scheduled for July.

 

Click Here to See the Event Flyer 

  

By Anthony Lonetree , StarTribune

The former owner of a White Bear Lake sports bar faces felony charges for allegedly buying beer kegs and other liquor in Hudson, Wis., for import and resale at his bar.

Michael Ogren, 43, made the purchases last fall after his Stadium Bar, 3600 Hoffman Road, was added to a state list of businesses that were delinquent in paying state sales taxes, according to the charges.

Ogren no longer owns the bar and is a former owner of the Myth nightclub in Maplewood. Under his ownership, the Myth closed in 2009 after he had a rocky financial spat with investor Steven Sadowski. It has since reopened under new ownership.

State law prohibits distributors from supplying liquor to businesses placed on the delinquency list. In Minnesota, it also is illegal for liquor license holders to purchase alcohol from other retailers for resale.

According to the charges filed in Ramsey County District Court, Ogren made 13 trips to Casanova's Liquor Store in Hudson between October and December, and allegedly bought 117 beer kegs, 95 bottles of liquor, 51 cases of beer and three bottles of wine.

Agents with the state Department of Public Safety put the Stadium Bar under surveillance in November. At times, the charges state, so many kegs were picked up that they had to be loaded into trucks or trailers.

A manager at the sports bar, known for its outdoor softball fields, told agents she placed orders at Ogren's direction and that Casanova's Liquor Store was selected at random.

"Ogren told her it was legal to do this and she regretted that she had trusted him," the charges state.

The manager also told agents that in January, when she last saw Ogren in the bar, he was throwing away business receipts.

In an April phone interview, Ogren allegedly told agents that he had purchased liquor at Casanova's "only twice," according to the charges. He then admitted to having made weekly trips between Oct. 30 and Jan. 7.

When asked if he knew he was breaking the law, he is alleged to have said: "Well, I knew I wasn't supposed to do it, let's put it that way."

 

 Click Here to View the New Wine 101 On-Line Training

"Slotting Fees" are payments made to licensees by manufacturers and wholesalers for premium product positioning.

  

While this practice is legal in other industries, it is prohibited in the alcohol industry.

  

In a recent seminar, a member asked for the following laws concerning the general concept of "tastings:"

  

  

  

  

As always, contact the MMBA office if you have questions.