License Commission

Lowell License Commission | Meeting Minutes for 2024.03.21 This meeting was held in City Council Chambers, second floor, City Hall, 375 Merrimack St. on Thursday, March 21, 2024, at 6:00 PM, and by Zoom. Video of this meeting is available: https://www.youtube.com/live/ww‐GcWX6NhU?si=EO7eUkMDEooKZ4IA ROLL CALL: On a roll call at 18:00, members present were, namely: Commission Chair Howe, Commissioner Krieger, Commissioner Donahue, Commissioner Mercier, and Commissioner Taing. MINUTES: 0 Acceptance of the meeting minutes for March 7, 2024. Commissioner Krieger made a motion to approve the minutes for the meeting of Thursday, March 7, 2024; seconded by Commissioner Donahue. 5 yeas, APPROVED. 1 Applications for public amusement licenses for carnival by John Flynn of Fiesta Shows, at Regatta Field, 381‐501 Pawtucket Blvd., Wednesday, May 22 through Sunday, June 2, 2024. Weekdays 5‐ 11PM and weekends 1‐11PM. John Flynn, Vice President of Dean & Flynn, doing business as Fiesta Shows, appeared before the Commission. He noted that his carnival has been coming to Lowell for 27 years. Move approval by Commissioner Krieger; seconded by Commissioner Donahue. 5 yeas, APPROVED. 2 Application by Amy St. Hilaire for a "Special Events Permit for Amplified Outdoor Public Entertainment," for the ‘14th Annual UKG 5K,’ to be held on Thursday, April 11, 2024, from 6:00 to 8:00 PM at 900 Chelmsford Street. Amy St. Hilaire spoke about her annual event and noted that they normally had around 250 participants in the 5K. Move approval by Commissioner Donahue; seconded by Commissioner Mercier. 5 yeas, APPROVED. 3 Application by Chris Porter for a "Special Events Permit for Amplified Outdoor Public Entertainment," for ‘The Town and The City Festival,’ to be held on Saturday, April 27, 2024, from 3 to 5 PM at Brew'd Awakening, 61 Market Street. Chris Porter introduced himself and noted that he’s the Executive Producer of “The Town and the City Festival,” an annual event in it’s fifth year. Move approval by Commissioner Mercier; seconded by Commissioner Taing. 5 yeas, APPROVED. City of Lowell License Commission | 375 Merrimack St. Lowell, MA 01852 Page 1 of 4 Lowell License Commission | Meeting Minutes for 2024.03.21 4 Applications by Fionna Brennan for two "Special One Day Licenses to sell/dispense Malt Beverages & Wines" for "The Town and the City Festival" events that will be held at Mill No. 5, 250 Jackson Street on: • Friday, April 26, 2024, 5 PM‐12 Midnight. • Saturday, April 27, 2024, 11:00 AM‐11:00 PM. Fionna Brennan joined the meeting on Zoom. She described her events as part of “The Town and the City Festival” and explained that her events would take place inside Mill No. 5’s “Overlook.” At Commission Chair Howe’s inquiry, she stated that they anticipated about 75 persons at each event and would have one TIPS Certified bartender for each. Move approval by Commissioner Donahue; seconded by Commissioner Taing. 5 yeas, APPROVED. 5 Applications by Joel Mongeon for three "Special One Day Licenses to sell/dispense Malt Beverages & Wines" for "Market & Concert" events that will be held at Mill No. 5, 250 Jackson Street on: • Saturday, March 30, 2024, Noon‐11:00 PM. • Saturday, April 6, 2024, Noon‐11:00 PM. • Saturday, April 13, 2024, Noon‐11:00 PM. Mr. Joel Mongeon appeared before the Commission via Zoom. Move approval by Commissioner Taing; seconded by Commissioner Mercier. 5 yeas, APPROVED. 6 Applications by Amanda Étinge, for a "Special One Day License to sell/dispense Wines and Malt Beverages only," for a Thanksgiving Celebration from 6 PM to 1:30 AM on Saturday, April 13, 2024, at the Hellenic Center, 41 Broadway Street. Amanda Etinge spoke with the Commission via Zoom. At Commissioner Donahue’s request, she reviewed the hours of her event and noted that they serve until the very end, but the venue requires that they be licensed for the time that her staff is cleaning up after the event. Move approval by Commissioner Mercier; seconded by Commissioner Donahue. 5 yeas, APPROVED. 7 Application by Suzanne Frechette, Habitat for Humanity of Greater Lowell, for a "Special One Day License to sell/dispense All Alcoholic Beverages" for the 17th Annual Dream Builders Gala on Wednesday, April 24, 2024, from 6 to 10 PM at UTEC, 35 Warren Street. Ms. Frechette appeared before the Commission. She stated that she anticipated between 150 and 180 attendees and that she’s held the license previously and is aware of her responsibilities. Move approval by Commissioner Krieger; seconded by Commissioner Donahue. 5 yeas, APPROVED. 8 Application for Secondhand Motor Vehicles – Used Car Dealer, Class II, for No Limit Towing & Sales, Inc., Edwin Quezada, President, for premises at 131 Tanner Street, Unit C. City of Lowell License Commission | 375 Merrimack St. Lowell, MA 01852 Page 2 of 4 Lowell License Commission | Meeting Minutes for 2024.03.21 Joshua Medina, Vice President of No Limit Towing & Sales, Inc., spoke before the Commission. Commissioner Krieger asked about the lots in front of the building, to which Mr. Medina clarified that another business had control of the lots to the front and side of the building – that his business is located in the rear of the building and his lot is in a fenced‐in and gated area in the back. Mr. Medina confirmed that he had the required parking reserved for his customers. Commissioner Donahue asked about clean‐up efforts, and Mr. Medina stated that they’ve already begun – and that they’re collaborating with the crowded business in the front to improve the location. Move approval by Commissioner Krieger; seconded by Commissioner Donahue. 5 yeas, APPROVED. 9 Public hearing for an application by Varni LLC [d/b/a] University Convenience, Mukesh Patel, proposed license manager, for transfer of a "All Alcoholic Beverages" Package Store license for premises at 102 University Avenue. Attorney Brian Akashian appeared before the Commission and spoke on behalf of Varni LLC. He reviewed their plans with the property and their experience and training. He confirmed that the business would be staffed by a family member 95% of the time and that all family members would be TIPS Certified before the business transfer is finalized. Commission Chair Howe asked what they would be doing to ensure they didn’t serve to underage persons in the University area. Attorney Akashian stated that the Patels had discussed a point‐of‐sale device that would scan customer IDs. At the public hearing, no one spoke in favor of or in opposition to granting the license. Move approval by Commissioner Krieger; seconded by Commissioner Donahue. 5 yeas, APPROVED. 10 Public hearing continued from March 7, 2024, for an application by Dhairya Inc. [d/b/a] Store 38, Sohil Patel, proposed license manager, for transfer of a "All Alcoholic Beverages" Package Store license for premises at 6 Laurel Street. Attorney Rachel Judkins did not appear before the Commission. Motion to continue the hearing, one last time, at the next meeting made by Commissioner Krieger; seconded by Commissioner Donahue. 5 yeas, APPROVED. 11 Public hearing regarding Pawnbroker interest rates for the City of Lowell. [Note: Background information on Pawnbroker Interest Rates, and the current copy of the chart of “Approved Municipal Pawn Interest Rates” from the Massachusetts’ Division of Banks is included with the meeting minutes posted to the City of Lowell Agenda Center.] Commission Chair Howe asked Solicitor Wood to review the issue of Pawnbroker Interest Rates. Solicitor Wood did so and concluded by provided the City Solicitor’s recommendation that the License Commission adopt the current Commonwealth maximum rate of 3% per month and an APR City of Lowell License Commission | 375 Merrimack St. Lowell, MA 01852 Page 3 of 4 Lowell License Commission | Meeting Minutes for 2024.03.21 of 36%. Commissioner Howe noted that no current member of the License Commission had been on the Commission when this question had been taken up – previously in 2010 and 2006. At the public hearing, Michael Goldstein, Owner of Empire Loan, spoke in favor of setting the Pawnbroker interest rate at 3% per month and 36% per year, and noted that is the rate he charges at each of his locations – except for one, which is less. No one spoke in opposition to setting the interest rate at the recommended rate. Move approval by Commissioner Donahue; seconded by Commissioner Krieger. 5 yeas, APPROVED. 12 Communication from Gregory Hudon, Superintendent of Police, dated March 19, 2024, regarding allegations of misconduct charged against MBOA Alliance LLC, d/b/a Sahel Restaurant & Lounge, 135 Central Street, Peter Tamajong, License Manager, all alcoholic beverages restaurant licensee. Allegations of misconduct occurred March 16, 2024, regarding failure to comply with all laws and regulations, including legal hours of operation and manager's responsibilities. It is requested that a hearing be held on April 25, 2024, at 6 PM to determine whether MBOA Alliance LLC has violated certain provisions of Massachusetts General Laws (M.G.L.) and the Alcoholic Beverages Regulations for Licenses Issued in the City of Lowell. Commissioner Krieger asked why the hearing wasn’t scheduled for the next meeting of the Lowell License Commission, and Lowell Police Captain David Peaslee stated that he had made the request so that he could be present at the hearing; he would not be able to attend the earlier meeting. Motion made by Commissioner Taing to hold a public hearing at the April 25, 2024, meeting of the Lowell License Commission, seconded by Commissioner Mercier. 5 yeas, APPROVED. 13 Request for a hearing for an amended application by Reginato, LLC [d/b/a] Village Market, Karina Conceicao, proposed license manager, for transfer of a "Wines and Malt Beverages" Package Store license for premises at 1172 Lawrence Street. It is requested that legal notice be published in local newspaper, and public hearing to be held on April 4, 2024, at 6 PM. Motion made by Commissioner Krieger to hold a public hearing at the April 4, 2024, meeting of the Lowell License Commission, seconded by Commissioner Taing. 5 yeas, APPROVED ADJOURNMENT: Commissioner Taing made a motion to adjourn at 18:28, seconded by Commissioner Mercier. 5 yeas, APPROVED. Submitted by: John Pyers Executive Secretary ✻ City of Lowell License Commission | 375 Merrimack St. Lowell, MA 01852 Page 4 of 4 Summary of Pawnbroker Regulations Pertinent to Setting Interest Rates Massachusetts General Laws chapter 140, §78 states, in part, that, "[T]he authorities who grant licenses to pawnbrokers shall establish regulations, to the satisfaction of the commissioner of banks, relative to the business carried on and the rate of interest to be charged by them." In accordance with the statute, the burden is upon the City, as the entity authorized to establish regulations relative to the rate of interest to be charged, to establish a record in a manner which will permit a determination by the Commissioner of Banks ("Commissioner") of the reasonableness of the interest rate so proposed. With the enactment of 1911 Mass. Acts c. 727, §21, the Legislature amended the laws governing the establishment of regulations intended to address the rate of interest to be charged by pawnbrokers. For the first time, the Legislature inserted language requiring that the authority responsible for granting licenses to pawnbrokers shall establish regulations, "to the satisfaction of the supervisor of loan agencies," relative to· the business conducted, and the rate of interest charged. The supervisor of loan agencies is appointed by the Commissioner pursuant to Massachusetts General Laws chapter 26, §4. The aforementioned clause has subsequently been amended whereby Massachusetts General Laws chapter 140, §78 now requires that such regulations be established, "to the satisfaction of the commissioner of banks." The provisions of 1911 Mass. Acts c. 727, §21 were included as part of a broader legislative act entitled "An Act to Regulate the Business of Making Small Loans." In evaluating the regulations proposed by the City, the Division proceeded with guidance from the experience and knowledge accumulated by the Division in matters relating to the alternate credit market in the Commonwealth. In the absence of the Division's application of its experience and knowledge in the matters relating to alternate forms of credit, the language inserted by 1911 Mass. Acts c. 727, §21 would be made inoperative or superfluous. Such a result would be contrary to a basic principle of statutory construction and against the intent of the Legislature in amending Massachusetts General Laws chapter 140, §78 to include the aforementioned "satisfaction of the commissioner of banks" clause. In Suffolk Jewelers, Inc. vs. Commissioner of Banks (2005), the Massachusetts Superior Court held that the language "to the satisfaction of the commissioner" places on the licensing authority the burden of justifying its regulation - "by argument or evidence" - to the Commissioner. Most recently, on March 21, 2006, the Division denied the City of Lowell's then submission of a rate of 5% per month for loans greater than $25.00, for an annualized percentage of 60%. No further submission has been made by the City of Lowell for approval for an interest rate since that time, and no pawnbroker in the City of Lowell can lawfully charge an interest rate that has not been approved by the Division. It should be noted the Division has not approved interest rates above 3% per month for amounts greater than $25.00, or 36% annually. Approved pawnbroker regulations and interest rates Approved Municipal Pawn Interest Rates are posted on the Division of Banks’ website, which can be found here: https://www.mass.gov/info-details/approved-pawnbroker-regulations-and- interest-rates Town / City Interest Rate APR (%) Approval Date Andover 3% per month for loan >$25 36 3/16/2005 Attleboro 3% per month for all loans 36 1/18/2011 Beverly 3% per month for all loans >$25 36 7/28/2003 Boston 3% per month for all loans >$25 36 Pre-1990 Bourne 3% per month for all loans 36 1/2/2011 Brockton 3% per month for all loans 36 5/28/2008 Cambridge Variable rate of 1/4% a week for loan >$100 13 11/13/2002 Chicopee 18% per annum 18 2/11/2003 Everett 3% per month for all loans 36 4/9/2014 Fall River 3% for all loan 36 10/28/2010 Fitchburg 3% per month for all loans 36 12/2/2009 Haverhill 3% per month for all loans 36 1/4/2008 Holyoke 3% per month for all loans 36 5/28/2008 Hudson 3% per month for all loans 36 12/2/2009 Lawrence 3% per month for all loans >$25 36 1/11/2002 Lynn 3% per month for all loans 36 12/2/2009 Malden 3% per month for all loans 36 1/23/2024 Middleborough 3% per month for all loans 36 8/8/2011 Milford 3% per month for all loans 36 7/6/2006 North Adams 18% per annum 18 12/5/2005 New Bedford 18% per annum for loans >$25 18 8/22/2013 Palmer 3% per month for all loans >$25 36 1/4/2008 Approved pawnbroker regulations and interest rates Plymouth 3% per month for all loans >$25 36 11/14/2003 Quincy Over $25 to $100 3% per month. Over $100 2% 24 10/23/2008 per month. Raynham 3% per month for all loans 36 5/13/2011 Revere 3% per month for all loans >$25 36 11/7/2000 Salem 3% per month for all loans 36 2/22/2008 Salisbury 3% per month for all loans>$25 36 3/26/2004 Somerset 3% per month for all loans >$25 36 1/23/2003 Springfield 3% per month for all loans 36 7/1/2008 Stoughton 3% per month for all loans 36 1/7/2011 Taunton 18% per annum 18 5/25/2004 Wareham 3% per month 36 6/27/2006 Westfield 18% per annum 18 6/23/2004 Winchendon 2% per month for all loans 24 11/12/2010 Worcester 3% per month >$101 for a maximum for 4 12 1/16/2004 months The following cities and towns have sought approval from the DOB to set pawnbroker interest rates above 36%. The Division has denied all of these requests. The following communities therefore do not have approved interest rates: Town / City Interest Rate APR (%) Denial Date Lowell 5% per month for loans >$25 60 3/21/2006