N.W.T. business owners call for appeal process for unreasonable, unaccountable liquor board
'An absolute gong show... just a ton of grief and money and frustration,' says Kelli Hinchey
Businesses in the Northwest Territories say the board that regulates liquor sales in the territory imposes rules that make no sense and their only recourse is to spend thousands of dollars on lawyers to challenge them in court.
Kelli Hinchey, who owns the Racquet Club in Yellowknife, says for 30 years the gym has had a deck and hot tub where alcohol was served and consumed. But when they recently renovated the deck and she renewed her licence, the N.W.T. Liquor Licensing Board said it was dangerous and insisted the hot tub be completely separate from the area where alcohol is consumed.
"I did not get my licence until five months later and it was an absolute gong show, which resulted in my having to hire a lawyer, redrawing plans for my deck and just a ton of grief and money and frustration," said Hinchey.
There were other hurdles to the renovation — the board insisted that railings around the deck be higher than the national building code requires to ensure customers don't pass alcohol to people on the steep rocks around it.
Hinchey says that's never happened and points out it's a requirement that does not seem to apply to several other restaurants and bars in town that have patios or outside areas.
The architect overseeing the Racquet Club renovation, Vince Barter, says a small set of steps leading from one level of the deck to another was also built to code, but the board said that was not safe enough and demanded changes.
Barter said it would be helpful if the board would talk to licensees and visit the projects and businesses they are licensing.
"It's like they're from a different planet," he said. "I suggested a couple of times we sit down and have a discussion. They don't want to sit down with you."
Operating 'incognito'
That lack of communication is a problem Fletcher Stevens says he's been dealing with since opening a microbrewery and bar in Yellowknife a few years ago.
"They operate almost incognito," said Stevens, who runs the N.W.T. Brewing Company.
"There's this board that exists, but you must send an email or a formal written letter. It goes through one person who acts as the gatekeeper, and they let the board read it. You can't address anyone in specific on the board."
Stevens says he wants to sell his beer to local bars and they want to buy it, but the board has insisted any beer he sells must be sold through the wholesaling system the government uses to sell all alcohol in the N.W.T.
The fees the government charges to do that would push the price of kegs above the retail price he charges people who buy only a few litres at a time.
"It would be easier for us to move down to Alberta, move to B.C., or even the Yukon for that matter," said Stevens.
"Yukon's embraced it. Every other province has embraced microbreweries. They don't treat liquor as such a problem and taboo and shelter everybody."
Shortage of accountability
Both Hinchey and Stevens say the board is not accountable for its decisions. They want to see an appeal process set up for people who disagree with its decisions. Right now, the only option is to hire a lawyer and challenge the decisions in the N.W.T. Supreme Court.
CBC asked the N.W.T. Liquor Licensing Board for an interview about how it does its business. It said it does not do media interviews under any circumstances.
Adelle Guigon, the N.W.T.'s rental officer, is acting chair of the liquor board. Other members are Hay River lawyer Michael Hansen and the chair of the Sahtu Land Use Planning Board, Heather Bourassa.
Board members collect honoraria of $325 per day when they meet, with the chair getting $400. In 2016, board members were paid a total of $71,000. That year it spent a total of $755,000.