Madison Council declines to renew Red Rooster’s alcohol and entertainment licenses after December fatal crash

The Madison Common Council voted to not renew the Class B alcohol beverage license and the City of Madison entertainment license for Red Rooster Madison LLC after accepting the Alcohol License Review Committee's findings that the licensee admitted multiple violations tied to a December incident that resulted in a fatal crash.

The council's action followed a summary of the ALRC hearing by Assistant City Attorney McReynolds and remarks from the licensee, Timothy Payne, and City Attorney Zillavy. McReynolds said the ALRC's report described admissions by the respondent that, on at least one date, an on-site operator lacked a valid operator's license, the establishment remained open and served alcohol after hours, and staff overserved people who were intoxicated. McReynolds said the ALRC recommended nonrenewal of both licenses.

The ALRC report, McReynolds told the council, relied in part on video evidence and an inspection by the Wisconsin Division of Alcohol Beverage Control; the report said one intoxicated person later left and was involved in a crash that killed another occupant of a vehicle.

Owner Timothy Payne told the council he did not deny the facts in the complaint and said his former general manager had run the operation in ways Payne later learned were improper. "I cannot deny the facts of this case," Payne said, adding he accepts responsibility for what occurred. Payne described Red Rooster as a small independent music venue and said losing the liquor license would likely force the business to close because alcohol sales support the venue financially.

City Attorney Zillavy said she had prosecuted or overseen alcohol enforcement for 25 years and that the facts of this case "shocked my conscience." She described what she called "gross mismanagement," multiple violations of statutes and ordinances, and disregard for public safety, and recommended nonrenewal rather than a municipal-forfeiture action.

Several council members spoke in favor of the ALRC recommendation. Alder Evers called the outcome "a serious, serious matter," said the council's responsibility includes public-safety concerns and urged the licensee to use the nonrenewal period to address practices and return later if the business can meet conditions.

President Vittiver moved to adopt the ALRC's findings and recommendation and to find the relevant counts truthful; the motion was moved and seconded. The council recorded no objection when asked to record a unanimous vote in favor of nonrenewal.

The nonrenewal differs from a revocation: Zillavy explained that revocation would bar issuance of a new license to the person or property for 12 months, while nonrenewal does not include that statutory bar. The licensee may reapply, and any future application would return to the ALRC for consideration of conditions.

The council also discussed that the Department of Alcohol Beverage Control found additional statutory violations on April 15, including issues with defacing emptied bottles, purchasing from non-wholesalers, and missing posted licenses and seller's permits.

The council's action removes both the alcohol and entertainment licenses from Red Rooster Madison LLC at this renewal cycle; the record shows the ALRC had recommended nonrenewal and the council accepted that recommendation.

The council did not set a specific timeline or conditions for a future reapplication within the nonrenewal motion; staff said any new application would be handled by the ALRC and could include conditions and monitoring if the applicant reapplies.