Minnesota Municipal Beverage Association Newsletter
(August 23, 2015 - August 29, 2015)
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As I See It...

Last month, I had the privilege of speaking to members of the North Carolina Alcohol Beverage Control Association about Minnesota's municipal liquor system.
 
During my visit, my colleagues and I traveled to various parts of Greensboro, the host city.
 
Along the way we used two taxis.
 
They were, best to say, in "unique" condition.
 
One had a fully cracked windshield and the engine made strange sounds.
 
The other had colored pin tacks placed all over the interior roof.
 
A member of our party encouraged us to try the ride sharing cell phone app Uber.

For those not familiar with the concept, Uber Technologies Inc. is an American international transportation network company headquartered in San Francisco, California.

The company develops, markets and operates the Uber mobile app, which allows consumers with smartphones to submit a trip request which is then routed to Uber drivers who use their own cars.

Our two Uber rides were in clean, well maintained vehicles.
 
Believe me, these rides were much more enjoyable than the taxis.
 
In principle, I'm anti-Uber, since they avoid requirements often placed on traditional taxis, including certain license fees.
 
But after this recent experience, I'm having second thoughts.
 
You are probably asking what this story has to do with our industry.
 
Well, new competition has been created in all segments of the three-tier system.
 
If current businesses object (like the taxi drivers) to the unfair competition, without first focusing on their own issues, any sympathy to their position will be lost.
 
Customers will spend their money where they feel welcome and comfortable, even if the playing field is uneven.
 
The bottom line question is, "Is Your House in Order?"
 
If not, you have nothing to complain about.
 
Paul Kaspszak
MMBA
Did You Know?


Social dices games are permitted on the premises and adjoining rooms of a licensed establishment to sell alcoholic beverages.

Only the following games are allowed, and restrictions apply to these games as noted.


  • Shake-a-day
  • 3-2-1
  • Who Buys
  • Last Chance
  • Liar's Poker
  • 6-5-4
  • Horse
  • Aces
Restrictions
  • Wager or prizes for the above games are only for food or beverages
  • The licensed retail alcoholic beverage establishment does not organize or participate financially in the games.
  • Any prize or wager, limited to food or beverages, that is involved is the responsibility of the patron/player, not the establishment.
All other forms of dice games are illegal, and not allowed in licensed alcoholic beverage establishments.

Click Here for More Information
Elk River Liquor Operation Making Money

Joni Astrup, Star News

Elk River's city-owned liquor operation is making money and transferred $685,059 to help fund city operations in 2014.

An additional $689,718 was budgeted to be transferred to the city in 2015, and early projections show $718,950 in liquor profits going to fund city operations in 2016.

Northbound Liquor, located along Highway 169 in Elk River, is one of two city-owned liquor stores in Elk River.

Dave Potvin, who manages the city's liquor operation, said his first goal for 2016 is to maintain the current level of fund transfers, but that could become more difficult as competition increases.

"There's a lot of big box retailers coming into the market. The pie is getting sliced thinner and thinner," Potvin told the Elk River City Council during a budget work session Monday.

He specifically noted that Target is in the liquor business and Hy-Vee is coming into the Twin Cities and will sell liquor.

That being said, Potvin said he's seeing little impact from the Otsego Target selling liquor.

"Target in Otsego, as far as I know, hasn't affected us at all," he said.

"They're too far away and it's such a tiny little store."

The city of Elk River owns two liquor stores, Northbound at 19348 Evans St. and Westbound at 13484 185th Ave.

Northbound had total sales of $4.67 million in 2014, and Westbound had $2.15 million.

Beer was the top seller at both stores, followed by liquor and wine. The average sale was $24.76.

Combined in 2014, the two stores posted a gross profit of $2.07 million and operating income of $1.05 million.

The city's preliminary 2016 budget shows the stores' gross profit projected at $1.98 million and operating income at $909,900.

Profits fund city operations, parks

Of the $689,718 in municipal liquor store profits budgeted to be transferred to the city this year, about half will go to the city's general fund and half to parks.

City Administrator Cal Portner said the general fund transfer - $399,050 in 2015 - is not specifically allocated for an operation or purchase.

"The benefit of municipal liquor operations is that we control off-sale liquor sales and the profits reduce the tax liability for property owners," he said.

"The general fund transfer alone equates to approximately a 3.5 percent tax levy cut."

The liquor operation is also transferring $290,668 to the park improvement fund in 2015.

Portner said that money is used for park improvements, which would otherwise be levied on property taxes as well.

Among the 2015 improvements are trail repairs and trail expansion, Orono Park improvements, park irrigation system improvements, athletic field improvements, skate park design, design review of River's Edge Commons Park and improvements to Bailey Point Nature Preserve and the Houlton Farm property.

In the past, Portner noted that liquor store profits were also used for Elk River's public works facility, which allowed the city to bond for less and save on interest costs.

"We also will use an advance from the funds to pay for (railroad) quiet zone improvements so taxpayers won't feel the brunt of a large, one-time tax hit," he said.
Rogers City Council Approves Liquor Store Remodeling
Construction

From Press & News

The Rogers City Council considered capital improvements to Rogers Off Sale Liquor at its recent meeting.

Gary Buysse, Rogers liquor operations manager, presented information on capital improvements to Rogers Wines and Spirits, 21725 South Diamond Lake Road. The shop was built in 2002 and has had no significant improvements since then, Buysse said.

The council approved a bid of $19,770 from Focal Point Flooring in Otsego to remove the existing floor covering in the main floor and office, and install new floor tiles.

"The carpeting should have been changed a year or two ago," Buysse said. "I'm guilty of being too miserly."

In addition to the new flooring, Buyssee said, some changes will be made in the store's physical plant, including moving shelves on the south wall to the east wall.

"It will open up the store so customers don't feel so constricted," he said.

 "We're hoping to make it an appealing shopping environment, to improve the guest appeal."

Mayor Rick Ihli agreed that the improvement is "long past its due."
"It needs to be freshened up," Ihli said.

"This is money well spent. It's great that we're using someone from Otsego to do it."
Kenyon Wine & Beer Event Sucessful

Kenyon's Rose Fest 2015 will go down as a successful endeavor by the Rose Fest Committee, since attendance and participation in events was remarkable.

As a part of the celebration, the Park and Rec Committee held a wine/beer tasting at the Gunderson House.

Kenyon Municipal Liquor Store vendors supplied the sampling, and all of the money raised went to the Park and Rec Fund.

"This gives the Muni exposure and lets people know we sell more than beer," Muni Manager Matt Bartel said.

"People were amazed at the quality of wine sold at the Muni." 
Parkers Prairie Position Opening
Jobs

Liquor Store and Event Manager
 
A full-time employment opportunity is now available at the City of Parkers Prairie.

Applications are being accepted for a FT manager position at the City owned Liquor Store and Prairie Event Center.

Desired qualifications include three years management experience in liquor sales or retail sales.

Responsible for overseeing all operations of both locations, including, but not limited to, inventory control, staffing, merchandising, and marketing.

Proficiency with office and maintenance equipment, money controls, and cashiering system necessary.
 
Must be able to work various hours, including weekends and holidays.
 
Salary DOQ.
 
Submit cover letter, resume, and completed application to City of Parkers Prairie, Attention City Clerk/Treasurer, 102 N Otter Avenue, PO Box 70, Parkers Prairie, MN 56361 or [email protected]
 
Applications and resumes will be accepted until 4:00 p.m., September 15, 2015.
 
Job description and application are available at Parkers Liquor Store, www.parkersprairie.net/citygovernment/city-jobs/, or City Hall 102 N Otter Ave, Parkers Prairie, MN 56361.
 
Parkers Prairie is an Equal Opportunity Employer.
Future Dates to Remember
2015 MMBA Regional Meeetings

September 30
Worthington Event Center

October 14
Radisson Duluth

October 15
Parkers Prairie Event Ctr.

October 21
Radisson Roseville

October 22
Austin Holiday Inn

October 28
Sanford Center, Bemidji


2016 MMBA Annual Conference

April 17 - 19, 2016
Arrowwood Resort

Ask A Director

Gary Buysse
Rogers
763-428-0163

Cathy Pletta
Kasson
507-634-7618
  
Bill Ludwig
Paynesville
320-250-3325
  
Candice Woods
Hutchinson 
320-587-2762
  
John Jacobi
Isanti
763-444-5063

Michael Friesen
Hawley
218-483-4747

Lisa Kamrowski
Nevis 
218-652-3135

Steve Grausam
Edina
952-903-5732

Tom Agnes
Brooklyn Center
763-549-3710
Brenda Visnovec
Lakeville 
952-985-4901
 
Bridgitte Konrad
North Branch
651-674-8113

 Karissa Kurth
Buffalo Lake
320-833-2321
 
Paul Kaspszak
MMBA
763-572-0222
1-866-938-3925
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Minnesota SMART

The SMART campaign: Supporting Minnesota's Alcohol Regulations and Traditions, is a renewed public education and grassroots advocacy effort in support of Minnesota's current alcohol regulations and three-tier system.

 

We believe Minnesota's current alcohol regulations are smart, balanced, and supported by many citizens and our local small businesses.    

    

They work well for Minnesota!

 

The SMART campaign functions to help you engage in advocacy efforts with state legislators and others in support of Minnesota's current alcohol regulations, and to oppose issues-such as Sunday alcohol sales.

We want to make it easy and effective for you to engage.

 

Take action and send an email to your state legislators today through the new SMART campaign website.   

 

We have sample letters and legislator contact information put together that is ready to go.   

 

  Click Here for the Website
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The Troubling Reason Why Vaccines Are Made Too Late ... If They're Made At All
It seems like we wait for a disastrous disease outbreak before we get serious about making a vaccine for it.

Seth Berkley lays out the market realities and unbalanced risks behind why we aren't making vaccines for the world's biggest diseases.

 Click Here 
Don't Take it Personally
"I hope you didn't take it personally, Father," an embarrassed woman said after a church service, "when my husband walked out during your sermon."

 "I did find it rather disconcerting," the vicar replied.

"It's not a reflection on you, Father" insisted the church goer.

"Christopher has been walking in his sleep ever since he was a child."

There is little success where there is little laughter.

 
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