MTA votes to continue tradition of no endorsements
Pub Date: 4/1/2008
The Montana Tavern Association board of directors voted to continue its long tradition of not endorsing individual candidates for public office when it met at Jorgenson's in Helena March 4.
MTA Government Affairs Counsel Mark Staples said his office had recently received requests from some candidates, even for national office, seeking the association's endorsement. MTA has always refrained from such endorsements, preferring as an association to stay neutral in contested races given the broad variety of its membership.
Staples said that often candidates who have exemplary voting records in support of small businesses have received overwhelming backing from individual business owners, but never an "edorsement" from the association as a whole.
"We have carefully remained non-partisan," Staples said. "We haven't endorsed candidates, but we have supported them."
A case in point, Staples said, is U.S. Sen. Max Baucus, who is widely credited with having been influential in the popular 2005 repeal of the Special Occupational Tax (S.O.T.) which cost every business licensed for alcohol production, distribution or retail sales between $250 and $1,000 each year.
The board decided that while Sen. Baucus has a "terrific" record in support of licensed businesses, out of 900-plus members, "some are certainly of other political persuasions and should not be categorized one way or the other by a blanket endorsement."
The discussion and vote occurred during a report from the MTA Legislative and Gambling Committee delivered by Staples to the executive board (see a complete report on the committee's proceedings on page one of this edition). Kent Frampton filled in for the committee's chairman, Pat Kelly, who was excused due to illness.
Also during the committee report, Staples acknowledged a widespread concern among members over the release of the U.S. Treasury's new five-dollar bills and the problems and expense that would be borne by owners of older video gaming machines that reportedly cannot be upgraded to take the new fives. (See a detailed report on the subject in the January 2008 edition of the Montana Tavern Times).
Staples said all avenues and options are being explored, but that no bona fide fix had been identified as yet. He said he was hoping a manufacturer of bill validator devices might be found that could design a mechanism that would work with old machines yet recognize the new bills.
"In the meantime I do suggest licensees hoard old fives for customer use for awhile," Staples said. One board member then suggested, "Teach customers to use the other denominations" current-generation bill acceptors readily accept.
As an aside, Staples lauded the Montana Tavern Times as a business periodical that "should be required reading" by licensees, particularly citing the Times' recent coverage of the problems with the new five-dollar bills, and a story on fraudulent gaming machine win tickets and ways to prevent such flim-flams.
Staples predicted licensees would continue to see a few advocating breaking down the state's traditional population-based liquor license quota system, disingenuously in the name of economic development, he said.
Unlimited licensure "is always going to be an issue," he said, even though many social reform activists are ironically seeking to reduce alcohol availability. "But we have been instrumental in finding ways to relieve pressure on the system," he added, alluding to the recent issuance of over 120 inexpensive all-new restaurant beer and wine licenses, adding to the large number issued just a few years back and the number that will be issued in the future in areas where the population grows.
He said there may be some legislative efforts to institute a mandatory alcohol server training regimen, noting many licensees are already availing themselves and staff of available server training programs including industry developed programs such as TIPS and TAM. Some have also attended training offered by local health departments.
Staples said the industry as a whole has long embraced the server training concept. However, he said, even trained servers make mistakes and that if training were mandatory, "a reduction in legal liability should be considered for licensees who have practiced training due diligence and then every other possible step."
Some proposals along these lines may go too far, Staples said, when they advocate that those charged and convicted of an illegal sale be barred from working in any licensed establishment. The cost to the individual, the business and society would simply be unreasonable, he said.
Staples reiterated that the problem of under-age access stems mostly from of-age buyers providing the illicit alcohol and from the use of high quality bogus IDs, and that relatively little is purchased illegally from retailers.
He also expressed some frustration that advocates of retailer stings keep no state-wide statistics and are unable to demonstrate how much if any progress in terms of reducing under-age access is being made as a direct result of stings.
In Staples' legislative analysis, he noted that Bob Miller, long-time MTA member, board director and past vice-president, has filed for House District 71.
He asked members to provide input on candidates who have filed, then provided a region-by-region snapshot of local delegations' fairness to small business. He noted some areas have traditionally been supportive of licensed businesses, other have shown improvement and in still others stalwart small business supports have been lost to term limits.
Staples also offered his views of how the attorney general race is shaping up, noting two Republicans and three Democrats have filed, none with superior public name recognition or clear a front-runner status. He said he has visited with all of them and expected campaigning to ratchet up soon.
"All have been giving good answers to our questions about issues facing our small businesses," Staples said.
Budget and Membership
Mary Jane Heisler had earlier been called to the podium to deliver the Budget and Membership Committee report. She said expense and revenue budgets were tracking closely with expectations and that the organization was comfortably in the black.
She said membership remains strong with 791 regular members, 48 associate members, three corporate members and 185 Gold Star memberships. She did note that there have been 62 non-renewals year-to-date. Altogether, membership is up 64 over the same time last year.
She said the MTA building remains a "project" with no lessee yet to occupy the extra space. All options are being explored to gain full utilization of the building, she reported.
She said the MTA Public Relations Committee had requested $15,000 to fund the activities of the Gaming Research and Education Fund, which currently is paying for a 24-hour problem gambler helpline and a supporting web-site. Heisler said the Budget Committee believed the request could be accommodated without undue budget strain.
Frampton, who had earlier in the day filled in as acting chairman for the PR committee, explained that MTA has traditionally provided one-fourth the support for the activities of the research and education entity (R & E), with the Gaming Industry Association, Montana Coin Machine Operators Association and Town Pumps contributing equal shares.
Frampton noted the R & E had not sought funding from MTA for more than two years and had exhausted the funds it had on hand. He told the board that the PR committee voted to recommend the funding based on the merits of the R & E projects.
The board quickly gave It's assent for the expenditure.
2008 MTA Convention
John Hayes, executive secretary of the Cascade County Tavern Association, which is hosting the Sept. 8-11, 2008 state MTA convention in Great Falls, gave the board an update on convention planning.
He said tentatively a Sunday night reception is anticipated, followed Monday by a golf tournament and sporting clays shotgun event with a "19th Hole Party" slated for that evening. In addition, a Missouri River float trip, shopping trips and a reception at the C.M. Russell Museum were being considered.
The traditional trade show and Industry Party would be slotted for Tuesday, Hayes said, with the banquet highlighting Wednesday with a Thursday brunch and business meeting planned. Other committee meetings will be scheduled as time and convenience allow.
Since the convention will occur just before the general election, members can expect informative panel discussions from candidates, legislators and regulators as well.
The Heritage Inn in Great Falls will be the convention center and will offer MTA members special rates, Hayes said.
National Report
Darrell Keck and Harry Klock, MTA representatives to the MTA national counterpart American Beverage Licensees (ABL), then took the podium to deliver the national report.
Keck first noted that MTA's Tippy Burtch of The Den in Cut Bank was named Montana's Brown Forman Retailer of the Year, the national honor bestowed on individual state s licensees, at the recent ABL national convention in Las Vegas. Burtch was on hand and graciously accepted a hearty round of applause. (See story on Burtch and the award beginning on page one in this issue. She and The Den were featured in the Dec. 2007 Montana Tavern Times.)
Keck said the ABL board of directors was considering an invitation from the Montana delegation to conduct its fall board meeting here, perhaps in conjunction with the MTA convention, which would be known within the week. He also suggested MTA needed to conduct a fund-raising enterprise to boost coffers of the ABL political action committee.
Klock said he and Keck had just returned from the ABL convention in Las Vegas which was well attended and featured many informative speakers. He said the 2009 convention was now scheduled for March 3-5, again at the Monte Carlo in Las Vegas.
Keck said he was delighted to see "30 or 40" retailers from Montana in Las Vegas, but noted many apparently attended only the Nightclub and Bar Trade Show without registering for or attending the ABL functions. He urged those heading to Las Vegas next year to register for the ABL convention, take in some of its functions and get a substantial discount on the trade show admission fee.
Keck said ABL was now operating firmly in the black and finances were as sound as they had ever been since the group's formation in 2002. "We're going in the right direction," he said, adding that recently Idaho and Arkansas on-premise retail associations had affiliated with the national organization. He also noted some distillers were coming back into the fold as the rift between ABL and the Distilled Spirits Council of the U.S. is healing.
It was also noted that Keck was re-elected to a two-year term on the important ABL executive board.
Gaming Advisory Council Report
Steve Morris was then asked to deliver a report on the proceedings of the Gaming Advisory Council, where he holds a seat. He said a committee appointed to examine municipal zoning authority essentially came to loggerheads and decided to not present a policy position for council consideration.
He also noted the Gambling Control Division of the Montana Department of Justice is moving forward with rules that clarify how and when licensees need to begin reporting gaming machine data for tax calculation purposes electronically over the internet. (See an article by Gene Huntington, Gambling Control Division administrator, on the regional timetables for conversion on page 11 in this edition.)
As an incentive to participate in the automated system, operators were given in 2005 the opportunity to run both keno and poker on one game platform as long as they contractually committed to electronic reporting when a system is ready, which it now is. Most operators signed up and now must schedule their conversion or, in the alternative, begin to shut down multi-game machines or revert them to single-game status.
Cal McOmber of the Corvallis Bar, one of the first locations to participate in early system tests, told the board conversion is relatively easy and reporting is simple.
"It's been a good thing for us," he said. "We put the soft meter numbers in every two weeks and the hard meter numbers at the end of the quarter, then pay with an e-check," an electronic bank draft, he said.
He added that GCD personnel will come to your business and help you establish the system, and work with key staff to implement it. "Gene Huntington (GCD Administrator) and Al Arvish (project chief), have been very easy to work with, McOmber said. Locations will need to have a computer to report and it should be on site for practical reasons, he said.
Morris was quick to note that the system also allows electronic permitting of machines right from your location with no more crazy dashes to Helena at deadline.
Executive Director's Report
Executive Director Diana Koon told the board she had met February 5 with the Cascade County Tavern Association to review convention planning. She said major event locations are to be determined by March 31, with the CCTA accepting member bids until March 24.
She noted she had also met with 2009 Missoula convention chairperson Sandy Jones on February 15. That group has selected Sept. 21-24 for the convention dates and the Hilton Garden Inn as the location.
Koon said fourth reminder membership renewal notices would be mailed April 1 and first notices for 2009 membership renewals would go out June 1.
She reminded directors to amplify with local chapters the on-line server training available through the MTA web-site. She said the TIPS training costs just $40 of which $16 gets kicked back to MTA while licensees then get a $10 per-person-trained discount on membership dues.
The ATM Network, which has established an affiliation with the ABL, now offers MTA members a discount on ATM machine purchases and rebates $50 to MTA, Koon said. Members can call 1-800-929-0228 for complete details, she said, concluding her report.
Keck then moved MTA send a $100 floral arrangement to the funeral of Dave Clark's wife, Val, who passed away just a couple of days prior to the meeting. Clark is a long-time director from Eureka.
Ralph Ferraro then informed the group that another MTA stalwart, James "Country Jim" Mankin of Billings, had also recently passed away (see complete obituary on page 19 in this edition. Again, a $100 floral tribute was ordered by MTA.
President Dennis White gaveled the meeting to a close just after it was announced that Bruce Enott was the winner of $250 in the 50/50 drawing.
Source: The Montana Tavern Times, April, 2008, published monthly by Continental Communications, 125 W. Granite St., Suite 102, Butte, MT 59701.