LAPEER, MI - After visits and communication from staff with the Michigan Department of Health and Human Services and the Michigan Liquor Control Commission, several Lapeer County restaurants that were banding together to offer dine-in services despite COVID-19 restrictions have changed course.
The Michigan Department of Health and Human Services implemented a three-week ban on dine-in service Nov. 18 to try and reduce the stem the spread of COVID-19, a move that was extended Monday until Dec. 20.
Less than a week later after the initial announcement, several businesses in the Lapeer area decided to come together and offer indoor dining or had planned to offer it despite the ban.
North Branch Bar and Grill, 4209 Huron St., planned to offer indoor dining the day before Thanksgiving. The business posted about its plans on its Facebook page, receiving lots of support from the community and long time customers.
But the bar and grill like others quickly back-peddled on their decision to open after a visit from the state liquor commission, according to Jenni Hart-Friske, general manager for the North Branch Bar and Grill.
Related: Mid-Michigan restaurants band together to reopen for indoor dining service amid statewide ban
“So I called other restaurants to see what they planned on doing, just to see if it was just us or them and to see how they were going to handle it. They all felt the same - if they’re going to pull our licensing we wouldn’t have a restaurant to reopen when we are allowed to legally open any way,” Hart-Friske said of the potential of the business’ liquor license being taken away.
The general manager described the situation as being put “in between a rock and a hard place.”
Liquor control detectives with the commission paid a visit to the restaurant in recent days to be sure indoor dining wasn’t taking place, Hart-Friske said.
“The liquor control really, that’s a whole ‘nother ball game,” Hart-Friske said, noting it could take months for the business to get its license back, which would cost the business a substantial amount of money.
Jeannie Vogel, spokesperson for the Michigan Liquor Control Commission, said if a business were to lose its license and wanted it back there is a process to follow.
“A violation hearing before a Hearing Commissioner or Administrative Law Judge,” Vogel said in an email to MLive-The Flint Journal. “Any adverse decision from that can be appealed to the Administrative Commissioners and then to the state Circuit Court.”
Hart-Friske said the business got warnings from the liquor commission and MDHHS, but it hasn’t been given any fines.
She added the health department warned the business of fines of $1,000 per day, if they were caught operating for indoor dining.
“The penalty is suspension and possible revocation of license with fines,” Vogel said of the violation of the indoor ban.
Vogel said a business could potentially lose its license if it doesn’t heed the warning. The issuance of a summary suspension is not a long process, she added.
“It’s really tough on staff,” Hart-Friske said of the current situation.
More than 30 employees have been laid off between the bar and grill and another restaurant that belongs to the owner, Hart-Friske said.
In neighboring Lapeer, Woodchips BBQ is still open for indoor dining despite a cease and desist order from the MDHHS, $1,000 fine and suspension of its liquor license.
Owner Patrick Hingst said representatives from the commission visited the business on Friday, Dec. 4 and retrieved the paper license that was affixed on the business’ wall.
Related: Lapeer restaurant continues dine-in service despite cease and desist order, $1,000 fine
Hingst said he plans to continue offering indoor dining, but is open to having a conversation about other ways his employees can still get paid without the service.
“I don’t want my liquor license suspended,” Hingst said. “I’ve had a flawless track record, I’ve never had a violation.”
The owner shared the suspension of selling alcohol has impacted the business. Alcohol sales account for about 15 percent of the revenue, Hingst said.
“I get that they’re in a position where they have to take action, but it’s not actually harming me or the business, it’s literally just harming the good that we’re able to do with our mission here,” Hingst said.
The business had been operating as non-profit by giving its profits to customers and donating to local causes.
Hingst reached out to the North Branch business and provided some care packages for the laid off employees, according to Hart-Friske.
Bob Wheaton, public information officer for MDHHS, said if dining establishments don’t come into compliance, the state can issue additional citations for each day that violations continue and it can also refer violations for prosecution as a misdemeanor.
Hart-Friske said the business is exploring its options for outdoor dining.
“It’s frustrating for us,” Hart-Friske said. “Florida is completely open, the beach is completely open, and they’re going on with they’re lives and here we are just pausing.”
Daner’s Diner, 224 W. Genesee St. in Lapeer, was one of the businesses that did open for dine-in service despite the ban.
Barb Lubick, who co-owns the business with her husband, at the time said the decision to reopen was more about mental health and less about the money.
When contacted by a reporter about the decision to close their doors soon after being open, Lubick simply replied: “Yeah. We’re not doing that anymore,” before quickly ending the call.
“We all backed down,” Jeff Ryeson, owner of E.G. Nicks Grill and Tavern, said. “They can take our liquor license.”
Ryeson said the purpose for his restaurant was to have more of his staff working and to generate more income.
“But if I’m closed 100 percent, that doesn’t really work,” Ryeson said. “I had to back down unfortunately.”
The Lapeer business was set to open the day before Thanksgiving and the liquor commission called on Tuesday to relay a familiar message -- “If you open, we can take your liquor license.”
“Our family has five restaurants and I don’t want to jeopardize the whole family with the liquor control commission and be on bad blood with them,” Ryeson said. “As a group, we decided it’s probably smarter if we just backed out.”
The business has laid off about six employees since the indoor ban went into effect. The remaining staff that still works has very limited hours, Ryeson added.
“MDHHS sympathizes with Michigan’s restaurants and their workers and understands the significant financial impacts of the order. However, suspending indoor dining for now is necessary to save lives and protect the public health as COVID-19 cases numbers, deaths and hospitalizations have spiked dramatically,” Wheaton said. “We continue to urge everyone to do their part by wearing masks, physically distancing, washing their hands frequently and avoiding indoor gatherings so that restaurants can resume indoor dining as quickly and safely as possible.”
Read more:
Dine-in restaurant ban is a ‘nail in the coffin’ of Michigan businesses, industry leaders say
Health leaders working with legal counsel over Michigan restaurant’s refusal to stop dine-in service
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