John Scarffe, Nederland. After a brief period without a liquor license, the Pioneer Inn regained its license during a public hearing at the Nederland Board of Trustees regular meeting at 7 p.m. on Tuesday, October 2, 2018, in the Nederland Community Center. The board also passed an ordinance finalizing the loan agreement and raising sewer rates for the Biosolids Waste Water Treatment facility.
During the consent agenda, the board approved moving the first November meeting from Tuesday, November 6, to Monday, November 5, because of election night.
The Pioneer Inn LLC, 15 E. First Street, filed a Colorado Liquor Tavern License Application with the Town Clerk’s Office, according to background. Pioneer Inn LLC is a Colorado Limited Liability Company in good standing with the State of Colorado, and the proper fees have been remitted to the Town.
The property is in compliance with public works water regulations, fire and safety and zoning ordinances, rules and regulations. The property is in compliance with the 50- foot distance prohibition in regards to public or parochial school, or the principal campus of any campus, university of seminary, and individual history records have been submitted by Cynthia Shaw-Pierce. Results of the background investigation have not yet been received.
Town Clerk Hope Jordan said that staff recommended that the Board of Trustees review the Pioneer Inn’s completed application for a Tavern Liquor License. A letter was submitted and placed in front of the trustees.
Shaw-Pierce said she has been manager of the Pioneer Inn since May 2011, and she is proud of her staff, the work they have done and their contribution made to community. She made a paperwork error, which caused the business to lose its liquor license.
“I appreciate all of you and your attention to this, and I won’t make that mistake again,” Shaw-Pierce said. During the eight years she has managed the bar and restaurant, she only had one violation when a bartender served an underage customer, and she has a good relationship with the Police Department. She also had an incident on September 16, and she will be doing a sit down with the police.
According to a letter from Town Marshal Larry Johns, on September 15, 2018, a customer was accused of assault against a female employee inside the Pioneer Inn, and on September 16, NPD received a cold complaint of a disturbance and noise.
The reporting party stated that, in the late hours of September14, a group of people came out of the Pioneer Inn being loud, according to the letter.
“Video of the disturbance was provided. Some of the people appeared to be intoxicated and were clearly causing a disturbance.
“It is not the intent of the Nederland Police Department to stifle local businesses. However, we do not condone actions by ownership, employees or patrons which negatively impact the town. Over-serving is one of those actions that negatively impacts the town,” Johns wrote.
During public comment, the Police Department recommended a probationary period for the license, but Town Attorney Nina Petraro said the trustees could only approve or deny the application, but at any time they can suspend a license if there is a violation.
Trustee Kristen Conrad said the Pioneer Inn is only one of two late night venues in Nederland, so she will have to deal with that. Shaw-Pierce said she will have the whole staff trained. Her employees have become very aware of how important alcohol is.
During public comment, five Nederland residents spoke in favor of approving the liquor license application. Chris Eddy said he and his family have enjoyed the Pioneer Inn since moving here 20 years ago. It has friendly service, good food and is a very accommodating place.
Eddy has informally adopted the Pioneer Inn as a work place away from home, where he can meet clients and do research. “Nederland has a long music history, and the Pioneer Inn is important to that and is an important part of the Nedness of the town.” Eddy said.
Stephanie Andleman said the Pioneer Inn is an historic landmark. She has seen bartenders say no to serving customers many times.
Musician Jon Ridnell said he has played music there for about 23 years now, and it changes the fabric not to have alcohol. Music goes with liquor, and liquor goes with music. It’s fall and he needs gigs.
The Board approved the Colorado Liquor Tavern License Application. Mayor Kristopher Larsen introduced a loan agreement with the Colorado Water Resources and Power Development Authority (CWRPDA) payable from the town’s net wastewater revenues and sales tax revenues to finance improvements to the town’s wastewater treatment system.
Larsen said this is a carryover from the previous meeting. The trustees approved the ordinance at the last meeting, but they need a majority of the board to vote for it, and only four trustees attended the last meeting.
The town has been pursuing this project for several years and has secured funding for the amount of $2 million. Additionally, through project innovations, Staff has secured a zero percent interest loan. This ordinance is the next step in executing the loan, according to background.
To approve this ordinance, it is necessary to have a 75 percent approval of the entire board, which means six members must approve this ordinance to comply with the requirements of an emergency ordinance. An emergency ordinance is necessary to execute the loan as quickly as possible to start construction. The Board unanimously approved it.
Larsen said now the Trustees have to discuss how they are going to pay back that loan. Public Works Director Chris Pelletier said that another requirement of the loan is to raise rates to cover the loan costs. The CWRPDA has evaluated town finances, and the town is fiscally healthy.
The project could be $2 million plus, and rates may have to be raised again, but right now $2.50 is enough to cover the cost per month per household, Pelletier said. The last step in the process to execute a loan with CWRDPA is to pass a resolution to raise sewer rates to an amount acceptable to the Authority to cover the rate covenant.
Because project costs and scope are unknown, and rates may need to be raised in two tiers, rates will be raised by $2.50 per user per month for the first year. It may be necessary to have a second rate increase depending on project outcomes in 2020, according to background.
Rate increases were briefly discussed during the regular September 18, 2018, board meeting, where staff committed to bring forth this resolution on October 2. The amount of the increase was calculated by the power authority and reviewed by the town treasurer, Pelletier said. It’s a requirement.
Trustee Dallas Masters asked if this exactly how we have to do this process. Pelletier said yes, but they don’t limit the increase. “We can go higher if we want.” Masters said he would like to know what the calculations were based on to determine whether these are good numbers, and those should have been provided.
Pelletier said the calculations are mandated, and there is nothing they can do about that.
The normal increase is about 3 percent, which would have been a dollar, so it’s only a $1.50 increase.
Masters said the town needed to have a rate study done. This is an increase without a study. The rate study has to be done in a timely fashion, not after the fact. “I see the increase as the required increase for the loan, but there needs to be another rate study.”
Masters said that a former trustee, Kevin Mueller, had texted him asking when will the rate study will take place. Pelletier said the rate study is scheduled for next year.
The original rate study didn’t have operational data and staff recognizes that. It’s a very expensive facility to run, and they don’t know if current rates are accurate.
Masters said they should have the rate study done when they start operating the new facility. If they do it before this is done, it won’t be accurate.
Pelletier said he understood, and the board approved the sewer rate increase.
(Originally published in the October 11, 2018, print edition of The Mountain-Ear.)
