ALRC renews Chiba Hut license with strict conditions and orders financial audit

3617983 · May 30, 2025

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Summary

The ALRC recommended renewal of Chiba Hut’s class B license with multiple conditions addressing overservice, after-hours drinking and crowd control, and ordered a city finance audit covering 2023–present.

The Alcohol License Review Committee voted to recommend renewal of Chiba Hut’s class B combination alcohol license but attached a series of conditions intended to reduce public-safety risks at the restaurant’s West Gilman Street location. The committee also ordered a financial audit of the business covering 2023 through the present.

By roll call, the committee approved the renewal recommendation with conditions (3–1 with 1 abstention). Members said the record included evidence of repeated police responses, instances of overservice and after-hours drinking and that the licensee had admitted to key allegations tied to a December incident. Assistant City Attorney Zillavy described police reports alleging fights, property damage and juveniles present at the restaurant. Captain Hartman (Central District) said officers had encountered firearms, pepper-spray incidents and multiple large, disorderly crowds.

Owners Robert and Heather Hoon told the ALRC they operate three Chiba Hut locations and that alcohol accounts for a minority of revenue. Robert Hoon said, "Our alcohol sales make up roughly 15% of our revenue," and described steps the business has taken since early 2025: hiring an experienced general manager, engaging an outside security firm, installing additional cameras and implementing PatronScan ID scanning.

Alder Oliver Revere moved the renewal motion; it included conditions the committee required be added to the license record: that the establishment meet Madison’s restaurant definition (per MGO 38.02), that alcohol service cease by 12:00 a.m. on Fridays and Saturdays and 10:00 p.m. Sunday–Thursday, that private security be used on Friday and Saturday nights from 10:00 p.m. until close with training in weapons screening, and that patrons be ID-checked and issued wristbands (with computerized ID scanning at entry and ID verification for each alcohol purchase). The committee also recorded a motion ordering the Madison Finance Department to conduct a financial audit from 2023 to the present; that motion passed.

Committee members said the conditions are intended to make enforcement clearer and provide avenues for follow-up. The licensee volunteered to cooperate with an audit; municipal staff will advise on records needed. The ALRC’s recommendation will be forwarded to the Common Council for final action.