South Carolina              
Administrative Law Court
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SC Administrative Law Court Decisions

CAPTION:
KCP, Inc., d/b/a KC Mart #3 vs. SCDOR

AGENCY:
South Carolina Department of Revenue

PARTIES:
Petitioner:
KCP, Inc., d/b/a KC Mart #3,
1625 Holly Springs Rd., Lyman, SC

Respondent:
South Carolina Department of Revenue
 
DOCKET NUMBER:
05-ALJ-17-0160-CC

APPEARANCES:
For the Petitioner: Scott F. Talley, Esquire

For the Protestant: Reverend Steve Durham, Pro Se, on behalf of Friendship Baptist Church

For the Department of Revenue: Excused
 

ORDERS:

FINAL ORDER AND DECISION

STATEMENT OF THE CASE

This matter comes before the Administrative Law Court pursuant to S.C. Code Ann. § 61-2-90 (Supp. 2004) and S.C. Code Ann. §§ 1-23-310 et seq. (Supp. 2004) for a contested case hearing. Petitioner KC Mart #3 (KC Mart) seeks an off-premise beer and wine permit. Prior to the hearing into this matter, Respondent South Carolina Department of Revenue (Department) filed a Motion to be Excused setting forth that but for the protest of the Protestant, this permit would have been issued. That Motion was granted by my Order dated June 2, 2005. A hearing was held before me on June 23, 2005, at the offices of the Administrative Law Court (ALC or Court) in Columbia, South Carolina.

FINDINGS OF FACT

Having observed the witnesses and exhibits presented at the hearing and closely passed upon their credibility, taking into consideration the burden of proof upon the parties and the Protestant, I make the following Findings of Fact by a preponderance of the evidence:

1. Notice of the time, date, place and subject matter of the hearing was given to the Petitioner, the Protestant, and the Department.


2. Petitioner seeks an off-premise beer and wine permit for KC Mart, located at 1625 Holly Springs Road, Lyman, South Carolina.

3. The qualifications set forth in S.C. Code Ann. §§ 61-4-520 and 61-6-1820 (Supp. 2004) concerning the residency and age of Petitioner are properly established. Furthermore, Petitioner has not had a permit or license revoked within the last two (2) years and notice of the application was lawfully posted both at the location and in a newspaper of general circulation.

4. KC Mart is a convenience store located outside the municipal limits in Spartanburg County, South Carolina. This store is situated at the intersection of Highway 357 and Highway 358, with entrances fronting on both highways. This area has both commercial activity and residences. The convenience store has been in operation for approximately four (4) months and has not experienced any problems. The hours of operation for the location are: 6:00 a.m. until 9:00 p.m., Monday thru Saturday; and 9:00 a.m. until 8:00 p.m. on Sunday.


5. The issuance of the permit is contested by the Reverend Steve Durham, pastor of Friendship Baptist Church. The Protestant’s church's entrance is approximately five hundred (500) feet from the proposed location. It is located on the same street as the proposed location and the side of the church faces the convenience store at a distance. Also, a cyclone fence runs along that side of KC Mart that the church faces. The church has been in existence at this location for over one hundred (100) years.

Pastor Durham's main objection to the issuance of this permit is the possible interaction the members of his congregation may have with individuals purchasing alcohol from the location, especially the impressionable younger members. Pastor Durham also set forth that this is a heavily traveled area with a busy intersection. However, no direct evidence was introduced to substantiate that this intersection is particularly more dangerous than any other. Overall, Pastor Durham is concerned about the negative impact the sale of alcohol will have on the church and nearby residences.

6. Pastor Durham's arguments appear to be based on a sincere concern for his church members and their surrounding community. However, in order to deny this permit, direct evidence of an adverse impact on the community is necessary. Though the evidence offered raises “potential” concerns that this business may change the integrity of the vicinity, the evidence did not establish that the granting of an off-premise permit for this location will have an overall adverse impact on the community. There also was no evidence of an existing criminal problem that could be exacerbated by granting the permit. However, if a significant change occurs as a result of Petitioner receiving this permit, the proposed location would no longer be suitable and the community and/or the Department could properly bring an action to prohibit the renewal of Petitioner’s permit. Therefore, I find that Petitioner’s proposed location is suitable for an off-premise beer and wine permit.

CONCLUSIONS OF LAW

Based upon the above Findings of Fact, I conclude the following as a matter of law:


1. S.C. Code Ann. § 1-23-600 (Supp. 2004) grants jurisdiction to the Administrative Law Court to hear contested cases under the Administrative Procedures Act. Furthermore, S.C. Code Ann. § 61-2-260 (Supp. 2004) grants the Court the responsibilities to determine contested matters governing alcoholic beverages, beer and wine.

2. S.C. Code Ann. §§ 61-4-520 and 61-4-540 (Supp. 2004) set forth the requirements for the issuance of a beer and wine permit.

3. Although "proper location" is not statutorily defined, the Administrative Law Court is vested, as the trier of fact, with the authority to determine the fitness or suitability of a particular location. Fast Stops, Inc. v. Ingram, 276 S.C. 593, 281 S.E.2d 118 (1981). The determination of suitability of location is not necessarily a function solely of geography. It involves an infinite variety of considerations related to the nature and operation of the proposed business and its impact upon the community within which it is to be located. Kearney v. Allen, 287 S.C. 324, 338 S.E.2d 335 (1985). In determining the suitability of a location, it is proper for this Court to consider any evidence that demonstrates the adverse effect the proposed location will have on the community. Palmer v. S.C. ABC Comm'n, 282 S.C. 246, 317 S.E.2d 476 (Ct. App. 1984). It is also relevant to consider the previous history of the location. Smith v. Pratt, 258 S.C. 504, 189 S.E.2d 301 (1972); Taylor v. Lewis, et al., 261 S.C. 168, 198 S.E.2d 801 (1973). Furthermore, in considering the suitability of a location, it is relevant to consider whether the testimony in opposition to the granting of a license is based on opinions, generalities and conclusions, or whether the case is supported by facts. Smith v. Pratt, supra; Taylor v. Lewis, supra.

“A liquor license or permit may also be properly refused on the ground that the location of the establishment would adversely affect the public interest, that the nature of the neighborhood and of the premises is such that the establishment would be detrimental to the welfare . . . of the inhabitants, or that the manner of conducting the establishment would not be conducive to the general welfare of the community.” 48 C.J.S. Intoxicating Liquors § 121 at 501 (1981). Nevertheless, without sufficient evidence of an adverse impact on the community, the application must not be denied if the statutory criteria are satisfied. The fact that a Protestant objects to the issuance of a permit is not a sufficient reason by itself to deny the application. See 45 Am. Jur. 2d Intoxicating Liquors §162 (Supp. 1995); 48 C.J.S. Intoxicating Liquors §119 (1981).

4. Petitioner meets the statutory requirements for holding an off-premise beer and wine permit at the proposed location.


ORDER

Based upon the above Findings of Fact and Conclusions of Law, it is hereby:

ORDERED that the Department resume processing Petitioner's application and issue an off-premise beer and wine permit to Petitioner upon payment of the proper fees and costs.

AND IT IS SO ORDERED.

 

 

_________________________________

Ralph King Anderson, III

Administrative Law Judge

 

 

June 28, 2005

Columbia, South Carolina


Brown Bldg.

 

 

 

 

 

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