Title
Resolution to Rescind Previous Recommendation of Issuance of New Full-Year Class C Quota Liquor Licenses in the City of Ann Arbor to A2WINEMAN, LLC
Memorandum
Following the results of the 2020 decennial census and the return of one Class C license to Ann Arbor, the City of Ann Arbor convened a public process to issue eight new Class C licenses under the State’s Class C quota system.
The Liquor License Review Committee designed and implemented a competitive application process for the eight available licenses. The process gave particular interest to applicants who intended to enhance the community with the uniqueness of their business, diversify the city's offerings, and illustrate commitment and actions related to the City's A2ZERO initiative. Following that process and the Liquor Committee’s recommendation, on June 6, 2022, City Council approved a recommendation to the Michigan Liquor Control Commission (MLCC) for the issuance of new Class C licenses to the eight selected businesses “above all others.”
In the more than three years since that recommendation, A2WINEMAN at 504 - 512 S. Main Street has failed to make substantial process towards opening and activating its liquor license. A letter was sent to A2WINEMAN on April 24, 2023 stating the City’s objections regarding the status of their ongoing renovation work. A second letter was sent on June 24, 2024 reaffirming the City’s continued objection. Concurrently, the Michigan Liquor Control Commission issued an Approval Order on August 1, 2023 that expired on August 1, 2025.
City staff recommend that City Council rescind their recommendation to issue this license “above all others” allowing the Council Liquor Committee to re-engage the public application process for other interested applicants to apply for the license.
Staff
Prepared by: Jacqueline Beaudry, City Clerk
Reviewed by: John Reiser, Assistant City Attorney
Sponsored by: Council Liquor License Review Committee
Body
Whereas, Following the decennial census, the City of Ann Arbor was notified by the State of Michigan Liquor Control Commission that the City had eight on-premise Class C liquor license available for award under the State’s quota system;
Whereas, The decision to recommend issuance of a new quota liquor license is the prerogative of the local governmental unit;
Whereas, The City Council established a Liquor License Review Committee to review all applications for liquor licenses in the City of Ann Arbor;
Whereas, The Liquor License Review Committee designed and implemented a competitive application process, including the publication of this process inviting applications from new and existing businesses;
Whereas, The Liquor License Review Committee reviewed all applications submitted within the prescribed process, with particular interest in applicants who intend to enhance the community with the uniqueness of their business, diversify the city's offerings, and commitment and actions related to the city's A2ZERO initiative;
Whereas, At their meeting on June 6, 2022, the Ann Arbor City Council voted to recommend issuance of a new Class C liquor license to eight businesses including A2WINEMAN, LLC at 504 - 512 S. Main St. Ann Arbor, MI 48104;
Whereas, The final approval of a license at their designated location was recommended subject to approval by the Michigan Liquor Control Commission and a background investigation and approval by City departments;
Whereas, A2WINEMAN, LLC at 504 - 512 S. Main St. Ann Arbor, MI 48104 has not activated its license in the more than three years since initial recommendation of approval;
Whereas, A2WINEMAN, LLC at 504 - 512 S. Main St. was issued an Approval Order by the MLCC on August 1, 2023 and pursuant to administrative rule R 436.1050, this approval was valid for two (2) years from the date of the approval order unless the Commission has been provided with a notice of pending litigation involving the application; and
Whereas, there is no pending litigation involving the A2WINEMAN, LLC at 504 - 512 S. Main St. application;
RESOLVED, That the City Council rescinds its June 6, 2022 recommendation that the Michigan Liquor Control Commission consider the request from A2WINEMAN, LLC at 504 - 512 S. Main St. Ann Arbor, MI 48104 for Approval “Above All Others” for a new Class C Liquor License;
RESOLVED, That the City Council asks the Michigan Liquor Control Commission to rescind its approval order for a Class C license issued to A2WINEMAN, LLC at 504 - 512 S. Main St. Ann Arbor, MI 48104 and deny the application; and
RESOLVED, That the City Clerk forward a copy of this resolution to each of the affected businesses and the Michigan Liquor Control Commission.
Sponsored by: Council Liquor License Review Committee