Posted: 10/17/07

Stacy enterprises see a profit

By Anne Thom

On Oct. 9, Stacy Liquor Operations Manager Brian Hachey sat down at the council table with accountant Amy Joslin. "I had to sharpen my pencil," he said.

Joslin smiled and told the council the news they had all been waiting to hear: both Stacy Wine and Spirits and the Stacy Bar and Grill showed a profit in September.

The off-sale showed a profit of $3,819.71 and the on-sale a profit of $4,818.83.

"If we could continue that way, that would be a good thing," Joslin said. Hachey added that over the last few months, liquor operations revenue has increased approximately 33 percent over the same month in the previous year.

Most of the council greeted the news with cautious optimism. Councilor Mel Aslakson pushed to have money budgeted each month to go toward the next bond payment, due in Feb. 2008.

Mayor Daher felt that doing this would take away from the operations cash flow. Hachey said he is trying to balance this need and reminded the council that "typically gross sales aren't the best in February," but the holiday season is coming which always increases liquor sales and revenue.

One other concern for the bar has been the implementation of the statewide smoking ban on Oct. 1.

Daher asked Hachey, "Has there been any noticeable difference since Oct. 1?"

Hachey said there has been a noticeable increase in cigarette butts in the parking lot and he had been concerned that someone would start a fire in the accumulation of dry leaves surrounding the bar as well. The council once again discussed construction of an outdoor smoking area. This is seen as a necessity in order to retain patrons who smoke, but the council balked at an estimated construction cost of $24,000.

The last order of liquor business was a continuation of the tip sharing issue from a previous meeting. An employee had submitted an invoice for reimbursement of $245 in tips he or she had shared. Mayor Daher asked for comments.

Hachey said, "I'm concerned if acknowledged, it would be an admission of guilt." Hachey thought it might "snowball" and other employees would also submit invoices.

City Attorney Peter Grundhoefer advised the council he had discussed this invoice with the attorney contracted to handle another investigation stemming from a complaint filed by a bar employee. While the council would have the option to pay the invoice, Grundhoefer suggested a waiver then be requested of the employee holding the city responsible for no further monetary obligation or that the council simply let the investigation run it's course and the invoice would be handled within that scope.

Daher reminded the council the city has never had a tip sharing policy and asked how they could verify that $245 is in fact a correct figure of what is due to the employee. He also agreed with Hachey that the issue could snowball with many other staff then submitting invoices as well. The council voted to postpone any action on the matter at this time.

Larry Granberg of the Stacy-Lent Fire Department, came a request to renew the charitable gambling permit that benefits the fire department. The department was asking for a two-year renewal.

Granberg talked with the council about the department's investment in the community. He said $146,000 has gone for fire trucks and equipment. The department had donated $29,000 to fund Stacy Daze and made miscellaneous donations to Family Pathways, area food shelves, churches and families in the community who are in need. Over a six-year period, Granberg said the department has put a total of $333,000 back into the community.

Councilor Bud Wilson wanted to know if there was a split between money going to Stacy and money going to Lent.

Both Granberg and Mayor John Daher responded no, the money goes into the community in general and the department does not designate a certain amount toward the city or a certain amount toward the township.

Councilor Tony Olivolo asked, "Will it help pay off the training center too?" The department is constructing a burn building to use for training purposes. Granberg responded that $35,000 of the charitable gambling proceeds were going toward the new training center. The center, built by volunteers, will be used not only by Stacy-Lent but will be rented out to other local fire departments as well.

A resolution to continue the charitable gambling permit held by the Stacy Lent Fire Department through Dec. 31, 2009 passed unanimously.

In other business:

• The Stacy Lions would like to plant some trees at Doyle Field. Lions President Jerry Schroeder inquired about the city buying trees now, as they are usually 50 percent off in the fall. The city would first like a proposed layout. The council would like to consider putting lights at Doyle Field too, in the near future. The estimated cost was given as $60,000-$80,000. Schroeder was referred to the Park and Recreations Committee meeting on Wed., Oct. 17 at 6 p.m.

• The council is still waiting on the North Branch Hockey Association's decision for an arena. The NBHA has made presentations to North Branch, Harris and Stacy.

"We sure would like to see it here, it would be a great addition to the city," said Daher. The council has offered to underwrite the bond though the NBHA would pay off the bond, and to provide water and sewer hook up. The council feels Stacy offers the best location and with the recent improvements at Doyle Field, is very competitive.

Schroeder also asked the council to stop by Doyle Field and admire the new paved parking area which was recently completed, agreeing this makes Doyle Field a much more attractive venue for expansion, events and for the community.

• City Attorney Grundhoefer reported "there's an interest in an invitation to draft a purchase agreement" on the disputed stretch of Sherman Oaks Road near the BP service station. The strip of land is owned by AMW Corporation, in which Councilor Aslakson is a partner. Grundhoefer will draft an offer and present it to AMW representatives at the Oct. 23 council meeting.

• City Clerk Sharon Payne reminded the council interviews will be conducted next week for city attorney, city engineer and city building and code inspector. Each candidate will be interviewed for 20 minutes.The interviews are open to the public.



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