Hospitality owner Ben McCann outside his Anjuna Beer Garden development in Gisborne's main street, which has not been able to open since a liquor licence appeal from a nearby school. Photo: Liam Clayton / LDR
A Gisborne man spent hundreds of thousands on renovations for a planned bar, not realising his liquor licence had been appealed seven months prior.
Ben McCann now questions who should have notified him of the appeal.
McCann's licence had been approved on 8 May, 2023, but Te Kura Kaupapa Māori O Hawaiki Hou, located just 30m away, appealed his licence as the local liquor licence policy requires no new licences within 150m of sensitive sites, unless it is a cafe or a restaurant.
As McCann's establishment was considered a tavern, McCann's licence was put on hold until the verdict of the appeal.
McCann said he eventually withdrew his licence on 5 June this year after the appeal's hearing had been continuously delayed and he had spent thousands on legal fees.
He said he first heard about the appeal on October 30, 2023, in an email from Gisborne district licensing secretary Gary McKenzie.
"He only told me about the appeal because I asked them to send me a copy of the license," McCann said.
An employee from the Alcohol Licensing and Hearings Authority (ARLA) said it was up to the applicant who submitted the appeal to inform the other party.
"They're required to serve the notice of appeal on all parties," they said.
Section 155 of the Sale and Supply of Alcohol Act 2012 says the appellant must "specify the grounds of appeal in sufficient detail to fully inform the licensing authority and other parties of the issues in the appeal".
Russell Wilson, principal of the kura, said his appeal case lawyer Dr Grant Hewison - who is also the secretary of Communities Against Alcohol Harm - advised the school not to comment while the matter was before the Alcohol Regulatory and Licensing Authority.
Local Democracy Reporting was unable to get hold of Dr Grant Hewison for comment.
Gisborne District Council chief executive Nedine Thatcher Swann said she had full empathy for the situation.
"It's a complex one," she said. "The District Licensing Committee (DLC) has an important judicial process to follow and they cannot be seen to take any sides when granting liquor licences.
"The DLC has no role in the notification of an appeal, nor would it be appropriate for it to do so. No DLC in New Zealand should be seen to favour any party in this legal process.
"Once the DLC has made its decision it's released by the DLC secretary, and from that point on any appeal is not in the DLC's hands."
She said the council was aware of the challenges of the central business district and was committed to making businesses thrive there.
McCann said he felt backed into a corner when applying for the licence.
He initially applied for his licence to be considered a restaurant and bar under the name Anjuna Beer Garden. However, the district licensing inspector considered it a tavern.
This is because the applicant did not apply for food registration as pizza would be provided from the pizzeria next door, the inspector's report read.
"It is my opinion that food is not the principal purpose of this business and therefore any licence issued must be as a tavern," the report said.
McCann said he had planned to link his bar and restaurant with his sister's takeaway restaurant next door, Neptune's Pizzeria, which was within the same building footprint and shared facilities, including a master lease.
Outside of the pizzeria hours, nacho bowls, bruschetta, bread and dips, and deep-fried foods would be provided, the report read.
Councils are required to renew their local alcohol policies and Gisborne's has been up for renewal this year.
The council looked at proposals that would stop new licences being granted for Class 1 restaurants within 150m of sensitive sites such as marae, schools and places of religion.
Class 1 restaurants have a bar area that operates at least one night a week "in the manner of a tavern".
Communities Against Alcohol Harm submitted an application to the Local Liquor Licence Hearing asking for the 150m rule to be changed to 300m.
Councillors voted to adopt the 150m policy for Class 1 restaurants but excluded the CBD from being affected.
Thatcher Swann said they were reviewing the broader 150m sensitive site rule and the CBD rules, intending to help businesses and the hospitality industry.
"We know that the current planning framework is not set up to let the CBD thrive," she said. "We are developing a CBD master plan over the next 12 months to change this."
LDR is local body journalism co-funded by RNZ and NZ On Air.